Kaye Nikki: Advanced Technology Institute Bill — First Reading 
Text is incorporated into the Bound Volume 
Kaye Nikki: Advanced Technology Institute Bill — First Reading 
[Sitting date: 13 September 2012. Volume:683;Page:5228. Text is incorporated into the Bound Volume.] 
NIKKI KAYE (National—Auckland Central) 
: 
 I am pleased to support the Advanced Technology Institute Bill to the House. As chair of the Education and Science Committee I will look forward to working collaboratively with all members of the House on this bill. I want to acknowledge that the Advanced Technology Institute is to be named after one of our greatest scientists and a great leader the late Sir Paul Callaghan. The late Sir Paul Callaghan said last year: “My view is that to succeed New Zealand businesses need to be the best in the world at what they do.” And with that I would like to firstly set out how this is within National’s significant investment in the science and innovation framework. 
I just want to cover off some of the things that we have done in the last 3½ years. I know that the Hon David Cunliffe has mentioned a couple of things and raised a number of issues that I think are actually incorrect. If you look at what we have invested we have invested $166 million in the Advanced Technology Institute. Our overall funding in terms of science and innovation has increased by 17 percent over the last 4 years in very difficult fiscal times. That figure includes a $250 million injection of cash in the last Budget with $76 million in capital funding over the next 4 years for science and innovation. We have invested half a billion dollars in the Primary Growth Partnership to develop cutting-edge research and innovation in our rural industries. We have also undertaken significant reform in a number of areas like the Resource Management Act and like labour reforms which have been opposed by the Opposition. This bill is part of a very comprehensive reform of our science and innovation ecosystem. I think that members on this side of the House are very confident that we have not only invested significantly to show that we have increased our budget by 17 percent but also reformed all of the other levers within the Government—like labour reform Resource Management Act reform reducing costs to businesses and ensuring that we have decent company tax rates—to actually enable our businesses to get ahead. So I just want to make that point before I go into the actual detail of the bill. 
The purpose of this bill has come out of the  
Powering Innovation 
 report and is also part of what we know from international evidence—that is by being business-focused advanced technology institutes can help firms expand their own innovation capabilities which enable them to grow and add value to the economy and we actually get the best ideas to the market place faster. We want to ensure that New Zealand does a lot better in our rate of conversion of ideas into commercial products. That needs both having greater investment from a public sector and a Government perspective but also ensuring we have a one-stop shop for businesses to be able to invest more in research and development be connected to Crown research institutes and other tertiary institutions and be better connected to international market places. I must say as well this is part of our overall framework whether it is the aggressive trade agenda that the Hon Tim Groser has progressed or ensuring that we are better linked up to international markets. 
The other thing that I would say is very important and what has been emphasised to me by businesses and by key scientists is to ensure that we are focused not just on the physical infrastructure but also on the intellectual infrastructure of the Advanced Technology Institute so that this is able to be a high-tech headquarters for innovative businesses around New Zealand. We know that some research organisations have lacked visibility and relevance to manufacturing and service firms and their research capability although significant has been very uncoordinated. We want to focus with high-potential growth on areas like food and beverage manufacturing agritech and digital technologies. If we do this we know that we can increase the number of firms carrying out research and development encourage firms that are already doing research and development to invest more and boost the innovation and commercialisation capability of firms. 
I want to mention that one part of the Advanced Technology Institute’s role is going to be to help business build industry-led innovation consortia and act as a portal through which businesses can access appropriate research and development and technical expertise both in New Zealand and overseas. I also want to mention that it is a service provider so it is there to help by offering businesses technology testing applied research and development work business development and technology and knowledge transfer. 
The Hon David Cunliffe mentioned the establishment board. I would like to mention that Neville Jordan does have significant experience in terms of engineering and science so it is not fair to say that this is just a whole lot of corporate managers. I think the purpose of the establishment board is to get the Advanced Technology Institute up and running quickly. We have been very clear about that. But another major aspect of the Advanced Technology Institute is about greater collaboration. We know that in the past Governments have acted in silos and we need to ensure that businesses are better connected. We know that they will have more compliance costs and they will waste time if they do not have a one-stop shop to connect them to Crown research institutes tertiary institutions and international markets. 
I want to mention a couple of things in terms of the location of the Advanced Technology Institute. We know that we have identified several areas—Auckland the Hutt Valley and Christchurch. I am very pleased obviously with the Wynyard Quarter Innovation Precinct which is going to be a key space for innovation but also that we ensure that the many businesses within Auckland are connected to the Advanced Technology Institute so I am very pleased that the Advanced Technology Institute will potentially be located in central Auckland. 
The Advanced Technology Institute will also seek to improve connectivity between businesses and the significant but highly distributed capability that exists across New Zealand’s public and private research organisations. The purpose of this is that the Advanced Technology Institute can collaboratively work with industry Crown research institutes universities and polytechnics as I mentioned to develop partnerships and maximise commercialisation opportunities. 
Finally I also want to mention something that David Cunliffe mentioned about students. A key purpose of the Advanced Technology Institute will also be to help facilitate placements of researchers and graduate students with industry while also enabling some of our academic leaders to advance their careers and gain greater financial rewards. I have met with a number of young scientists. I have met with people who have gone overseas and have come back to New Zealand. I think that this is really crucial—that it is a one-stop shop for businesses but also that some of our young people in New Zealand can see a future. They can see an innovative hub whether that is in Christchurch in the Hutt Valley or in the Wynyard Quarter or another part of Auckland to see a future for them in terms of both business and science. I think that is quite crucial. 
I am very pleased to support this bill to the House. It is part of the National Government’s significant increase in investment in the last 4 years to $1.24 billion in science and innovation. It is part of a greater ecosystem in terms of how our scientists and our leading entrepreneurs interact with each other. It is part of saying that we are not just interested in shuffling the decks in terms of physical infrastructure but actually serious about intellectual property and the way that our businesses interact with scientists. It is also about saying to New Zealanders that if we want to connect with international markets then we have got to be a lot more savvy in terms of how we operate our research institutions with our businesses. It is about reducing compliance costs for businesses. I support this bill to the House. Thank you.