Republic of the Philippines
HOUSE OF REPRESENTATIVES
Quezon City, Metro Manila

TWENTIETH CONGRESS
First Regular Session

HOUSE BILLNo. 412

Introduced by Representative JESUS R. MARQUEZ

EXPLANATORY NOTE

It is stated in Article II Section 17 of the Constitution that “the State shall give
priority to science, technology and innovation to foster patriotism and nationalism,
accelerate social progress, and promote total human liberation and development.”

In addition, the United Nations Educational, Scientific and Cultural Organization
(UNESCO) recommends that developing countries should have at least one percent (1%)
of gross domestic product (GDP) expenditure on research and development to make
significant advances in Science, Technology and Innovation (ST1) which will result in the
acceleration of the country’s progress. On top of that, there should be at least three
hundred eighty (380) Researches, Scientists and Engineers per million populations.

UNESCO also states that “creating knowledge and understanding through Science
equips us to find solutions to today’s acute economic, social and environmental challenges
and to achieving sustainable development and greener societies.” As the country
experience the risks and limitations posed by the CoVid-19 pandemic, now more than
ever, we should support the Department of Science and Technology as it endeavors to
significantly accelerate STI through massive increase in investments on S&T, Human
Resource Development (HRD) and Research and Development (R&D).

The Department of Science and Technology (DOST) offers solutions to the
country’s perennial and most pressing problems brought by the pandemic as it provides
science-based interventions oh how to safely get every Filipinos lives on track and reopen
the country’s economy. It also guides us amid the uncertainties by providing opinions
from the experts in the science community.

It is with this mindset that the enactment of the Science for Change Program Act
or the S4CP Act which aims to massively increase STI investments and permanently put
a robust policy-making measure that yields towards the achievement of inclusive and
sustainable development through enhanced innovation and creative capacity of the
Filipinos is intensely pursued.

The S4CP is consist of four (4) components namely:

Program Expansion in 7 years
New Programs in 6 years

. Grand Plan for S&T Human Resource Development

. Accelerated R&D Program for the Capacity Building of Research and
Development Institutions and Industrial Competitiveness

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The significant increase in the budget will capture all the country’s R&D efforts
spread through a 5-year period, as follows:

1
2.
3.
4.

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Niche Centers in the Regions for R&D (NICER) — total of 3.2 billion pesos
R&D Leadership Program (RDLead) - total of 6 billion pesos

Collaborative R&D to Leverage PH Economy (CRADLE) for RDIs and Industry
— total of 3.2 billion pesos

Business Innovation through S&T (BIST) for Industry — 14.25 billion pesos (25
industry sectors, at 50 to 100 million per sector times 75)

S&T HRD (STRAND, STAR, SRCUR)

The passage of this significant piece of legislation will further boost R&D and will
accelerate the global competitiveness of Philippine products and services.

In this light, the passage of this important measure is earnestly sought.

a
AZ.
H US jaar Kadanquez


Republic of the Philippines
HOUSE OF REPRESENTATIVES
Quezon City, Metro Manila

TWENTIETH CONGRESS
First Regular Session

HOUSE BILL NO. 412

Introduced by Representative JESUS R. MARQUEZ

AN ACT

ESTABLISHING THE SCIENCE FOR CHANGE PROGRAM AND
APPROPRIATING FUNDS THEREFOR

Be it enacted by the Senate and House of Representatives of the Philippines in
Congress assembled:

SECTION 1. Short Title. This Act shall be known as the “Science for Change Program
Act”.

SEC. 2. Declaration of Policy. Article XIV of the Philippine Constitution recognizes
that “Science and technology are essential for national development and progress. It
declares that “the State shall give priority to research and development, invention,
innovation, and their utilization; and to science and technology education, training, and
services”. Likewise, “the State shall support indigenous, appropriate, and self-reliant
scientific and technological capabilities, and their application to the country’s productive
systems and national life”.

To this end and in pursuit of excellence in the field of science, technology and
innovation (STI), the State needs to accelerate the development of STI in the country
through a massive increase in investment, expansion of existing STI initiatives, creation of
new programs, development of human resources in STI, and capacity building of research
and development institutions.

SEC. 3. Objectives. The objectives of this Act are as follows:

1. To achieve a higher standard of science, technology and innovation (STI) and
contribute to the development of the economy and society;

2. To improve the welfare of the nation by prescribing comprehensive and systematic
policies for the promotion of STI; and

3. To encourage innovation and creativity among Filipinos, and come up with new
products, technologies and solutions to pressing national problems, and gain competitive
edge in the field of research and development.

SEC. 4. Definition of Terms. As used in this Act, the following terms shall mean:

a. Harmonized National Research and Development Agenda(HNRDA)

refers to an outcome-based agenda where all research and development (R&D)

programs and projects to be funded by the government are envisioned, to contribute


to the attainment of the majority of government's key result areas, particularly
responding to poverty reduction and empowerment of the poor and vulnerable;
rapid, inclusive, and sustained economic growth; and integrity of the environment
and climate change adaptation and mitigation.

b. High-tech equipment refers to any equipment using the most advanced
and developed machines and methods.

c. National Innovation Council (NIC) refers to the policy advisory body,
established by virtue of the Philippine Innovation Act, mandated to formulate,
develop, implement and monitor the country’s innovation goals, priorities, and long-
term national strategy.

d. — Publicly-funded technology refers to any technology the development
or generation of which was funded, in part or in full, using government money or
resources.

e. Research and development (R&D) refers to any systematic and creative
work undertaken in the physical, natural, mathematical, and applied sciences by
using methods in order to increase the stock of knowledge in these fields to devise
new applications.

f. Science, Technology, and Innovation (STI): science refers to the
systematic way of acquiring knowledge through observation and experimentation;
technology refers to the practical application of science; and innovation refers to the
creation of new ideas that results to the development of new or improved products,
processes, or services which are then spread or transferred across the market.

g. Technology licensing refers to a mode of technology transfer whereby
a licensor (technology generator or owner) authorizes a licensee to use the technology
under certain agreed terms and conditions.

SEC. 5. Science for Change Program (S4CP) and Utilization Policy Framework.

The formulation of the S4CP is anchored on the HNRDA which shalll be regularly updated
based on the needs of the time.

a. __ Inorder to achieve the objectives of this Act, the following Science and
Technology (S&T) programs of the DOST shall be expanded:
1. Health Self Sufficiency and Responsiveness to Public Health
Emergencies
2. Renewable Energy (RE) Systems & Bioenergy Technologies
3. Functional Materials for Alternative Energy Sources and
Energy Conversion and Storage
Nuclear Science for Energy, Health, Agriculture and Industry
Biotechnology, Nanotechnology, and Genomics
Climate and Environment Sciences
Nutrition and Food Security and Safety
Agriculture, Aquaculture and Fisheries Productivity
Natural Resource Management and Sustainable Development

Per ans

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Cor aneen

10. Transport Solutions
11. Industrial or Manufacturing or Mining Productivity
12. Disaster Risk Reduction and Climate Change Adaptation
13. Science And Technology (S&T) Services for the Production
Sector
14. Metrology, Calibration and Standards
15. Technology Transfer or Commercialization
16. Human Resource Development for STI
17. Nurturing a Culture of Science
b. The following new programs shall also be included in the Science for
Change Program:
1. Defense and Security Research and Development(R&D}
2. Space Science and Technology
3. ICT Development, Electronics and Artificial Intelligence
4. Strengthening of R&D and S&T Services in the Regions through
Infrastructure and Human Resource Development
5. S&T for the Creative, Tourism, and Services Industry
6.  Newand Emerging Technologies
SEC.6. Major Strategies of the Science for Change Program - The S4CP shall focus

on the Accelerated R&D Program for Capacity Building of Research and Development
Institutions and Industrial Competitiveness which is composed of four (4) programs

namely:

a. Niche Centers in the Regions for R&D (NICER). The NICER
Program shall be implemented to address the discrepancy in access to R&D funding
among the regions. Through the program, qualified higher education institutions
(HEIs) in the regions shall be provided with grants so they can undertake quality
research directed at promoting regional development with their existing capabilities
and resources. A proposed NICER should be a unique and collaborative project
between HEIs, and must be duly endorsed by the Regional Development Council
(RDC).

b. R&D Leadership Program (RDLead). The RDLead program shall
be implemented to help develop and strengthen further the research capabilities of
the academe, research and development institutions (RDIs), and other government
line agencies nationwide. To this end, RDLeaders who are local S&T experts with
strong leadership and innovative policy proficiencies shalll be engaged to train, direct,
and support R&D goals. Academic institutions, RDIs, and other agencies may engage
the services of an RDLeader through a screening and evaluation process to be
conducted by the National Research Council of the Philippines (NRCP) based on their
respective needs and specifications. The NRCP shall be the implementing agency of
the RDLead Program.


¢. Collaborative R&D to Leverage the Economy (CRADLE) for
RDIs and Industry. The CRADLE Program shall be implemented to promote
technological advancement and innovation in local companies and to support the
growth of the Philippine innovation ecosystem. Through the program, the academe
or RDI in partnership with a Filipino company, shall undertake research and
development to improve the company’s products, processes, and services to become
more competitive in their respective industries. To ensure that research outputs from
the academe are commercially utilized by the market, beneficiary-companies under
this program must provide at least Twenty Percent (20%) counterpart funding and
commit to adopt the technology that shall be developed by their R & D Partner.
d. Business Innovation through S&T (BIST) for Industry. The
BIST Program shall be implemented by the DOST to provide financial assistance to
Filipino private companies for the acquisition of strategic and relevant technologies
so they can undertake their R&D activities. The financial assistance shall be used
solely for the purchase of hightech equipment or to secure technology licensing or
patent rights and shall be refunded to the DOST at zero percent interest.
SEC. 7. Formulation and Submission of the Science for Change Program (S4CP)
Plan. The DOST shall formulate the five-year S4CP Plan in coordination with other relevant
government agencies, including state universities and colleges, and representatives from the
private sector undertaking R&D. The Secretary of DOST shall submit to the President, for
approval, the Science for Change Program Plan within ninety (90) days from the effectivity
of this Act.
A successor S4CP Plan shall be formulated and submitted to the President for
approval at least three (3) months prior to the expiration of the existing S4CP Plan.

SEC.8. S4CP Management Office. The S4CP Management Office shall be created
and placed under the supervision of the Office of the Secretary of the DOST. The S4CP
Management Office shall ensure the effective and efficient implementation of the Science
for Change Programs. It shall perform coordinating and secretariat functions and promote
the various S4CP programs. The Secretary of the DOST shall determine the organizational
structure and staffing pattern of the S4CP Management Office in accordance with the
Revised Compensation and Position Classification System subject to the evaluation and
approval of the Department of Budget and Management and in compliance with Civil Service
rules and other pertinent laws and regulations.

SEC. 9. The Harmonized National R&D Agenda. The DOST shall, in consultation
with government research institutions and other agencies concerned, formulate a
harmonized national research and development agenda (HNRDA) and a program for
technology adoption for the government in accordance with the priorities of the Philippine
Development Plan. The proposed HNRDA shall be submitted to the National Innovation
Council for approval. The DOST shall certify that all the publicly funded R&D projects form


part of the HNRDA subject to the provision on Harmonized National R&D Agenda in the
General Appropriations Act.”

The DOST shall submit to the Department of Budget and Management (DBM), the
Speaker of the House of Representatives, and the President of the Senate of the Philippines,
either in printed form or by electronic document, a copy of the approved HNRDA. The
Secretary of Science and Technology and the agency's web administrator or an equivalent
officer shall ensure that the approved HNRDA is posted on the agency’s website.

SEC.10. Mandatory Adoption of Publicly-Funded Technologies. All publicly-funded
and generated technologies whenever feasible and practicable- shall be utilized by all
government entities or instrumentalities. All national government agencies (NGAs),
government owned and controlled corporations (GOCCs), state universities and colleges
(SUCs), and local government units (LGUs) conducting science and technology
development projects shall adopt publicly-funded technologies.

SEC. 11. Administration. The Science for Change Program shall be administered by
the DOST. The DOST shall coordinate their activities with other departments, agencies and
bureaus, including government owned and controlled corporations and local government
units to carry out effectively the provisions of this Act.

The DOST shall provide for a mechanism that will prioritize areas for application of
research to attain technological advancement and innovation leading to economic
development in accordance to this act.

‘The DOST may assign the implementation of the science for change program to the
research councils and institutes that is consistent and will strengthen its mandate.

‘They shall consider their enhancement that will complement the specific mandates
of the research councils and institutes within the DOST that is consistent to the Philippine
Development Plan.

SEC. 12. Data Banking Responsibility. The DOST shall create and maintain a central
databank of persons who have availed the Science for Change Program pursuant to this Act
to serve as directory and guide in sustaining the pool of science technology and innovation
experts in the country.

The DOST shall require all funding recipients to submit their periodic
accomplishment reports to ensure that R&D activities are properly applied and utilized in
all over the country and deliberately transfer technologies to the private sector to reach the
intended users and to authentically respond to the issues in the Philippine science,
technology and innovation ecosystem in accordance to its objectives.

SEC. 13. International cooperation in research and development. The DOST shall
undertake and encourage collaboration in the scientific research and development activities
with different international scientific organizations and facilitate the active participation of
domestic and foreign private entities in order to establish a system of priorities towards
filling the basic and immediate needs of the country.

SEC. 14. Interagency coordination. The DOST shall coordinate and promote

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cooperation in the application of research and development with various institutions being
undertaken by the bureaus, offices, agencies, universities and instrumentalities of the
government to prevent duplication.

SEC. 15. Evaluation and Review. The DOST shall undertake at least once every three
(3) years a monitoring and evaluation of the Science for Change Program in order to review
and assess, among others, how the program has impacted the state of science, technology
and innovation human resources development and the local economy on the
implementation of this Act and submit recommendations for its improvement.

SEC. 16. Donations, The DOST is authorized to receive donations, contributions,
grants, bequests, or gifts, in cash or in kind, to be used exclusively for the implementation
of this Act in accordance with existing budgeting, accounting, auditing and other pertinent
laws, rules and regulations.

SEC.17. Appropriations. The amount necessary for the initial implementation of this
Act shall be charged against the current year’s appropriations of the DOST. Thereafter, the
funding of which shall be included in the Annual General Appropriations Act.

SEC.18. Annual Report. The DOST shall submit an annual report on the
implementation of the S4CP to the Office of the President and to the Committee on Science
and Technology of the House of Representatives and the Senate.

SEC.19. Implementing Rules and Regulations. Within One hundred eighty (180)
days from the effectivity of this Act, the DOST shall formulate rules and regulations for its
effective implementation.

SEC.20. Separability Clause. If any part or provision of this Act is declared invalid
or unconstitutional, the remaining parts or provisions not affected shall remain and in full
force and effect.

SEC. 21. Repealing Clause. - All laws, ordinances, rules, regulations, other issuances
or parts thereof, which are inconsistent with this Act, are hereby repealed or modified
accordingly.

SEC.22. Effectivity. This Act shall take effect fifteen (15) days after its publication in
the Official Gazette or in a newspaper of general circulation.

Approved,