Cooperative Research Centres Association:
Submission to the Productivity Commission research
study into public support for science and innovation in
Australia:
Response to the Draft Report
18th December 2006
Overview of submission
The CRC Association (CRCA) welcomes the Productivity Commission’s draft report into public
support for science and innovation and would like to commend the Study Team on their efforts to
date.
The CRCA supports the call for the CRC Programme to re-emphasise the focus on the translation of
research outputs into economic, social and environmental benefits and also welcomes the call for
greater flexibility of arrangements to be built into the CRC Programme.
While endorsing the general thrust of the Study Team’s recommendations, in this submission the
CRCA would like to take the opportunity to provide some additional information in relation to the
current operation of the Programme to address some misconceptions that appear within the draft
report in relation to the CRC Programme. The two key points we are seeking to clarify in this
submission are that:
The CRC Programme does currently generate considerable economic, social and
environmental benefits that are not privately captured by industry participants in the CRC
Programme. These non-privately captured benefits are in fact likely to be the most significant
benefits that the Programme generates. We believe that as a consequence of the Study Team
not fully understanding the extent to which such benefits are being delivered by the
Programme, concerns raised regarding large rates of subsidy to business collaborators are
considerably overstated within the draft report.
The CRC Programme has been making considerable efforts towards facilitating
shorter/more flexible interactions. However, recognizing that more needs to be done in this
area, to further this, the CRCA makes two extra recommendations for change to the
Programme in addition to the five provided earlier viz:
Recommendation Six:
The CRCA recommends that the Government accept the Productivity Commission’s draft finding that
the original objectives of the CRC Programme - the translation of research outputs into economic,
social and environmental benefits - should be reinstated. This is likely to produce better outcomes
than focusing public support [only] on the commercialisation of industrial research alone.
Recommendation Seven
CRC Programme funding should be increased – with new funding explicitly earmarked for use in the
support of flexible engagement with smaller end user groups. Leveraging of existing CRC Programme
Cooperative Research Centres submission to Productivity Commission study into science and innovation
administrative structure in this way will be a more cost effective mechanism for supporting flexible
research collaborations with SMEs than incurring the expense of establishing a completely new
complementary program as per Draft Finding 9.5
Cooperative Research Centres submission to Productivity Commission study into science and innovation
Types of benefits delivered by the CRC Programme
The CRCA strongly endorses the Productivity Commission Study Team’s support for focusing
government research funding on activities that generate economic, social and environmental benefits
for the Australian community. The generation of such benefits should be the primary goal of not only
the CRC Programme, but for publicly funded research more generally. A key concern that the CRCA
therefore has with the analysis of the CRC Programme in the draft report is that the Commission
Study Team has focused overwhelmingly on the direct commercial benefits realised from CRC
research and has overlooked the far broader range of benefits that the CRC Programme delivers for
Australia.
In large part this misunderstanding of the nature of CRC Programme benefits may be due to the fact
that CRCs, as part of the regular performance reporting processes within the Programme, are asked to
quantify and value the monetary benefits that they generate. Direct commercial benefits, and benefits
accrued by industry through the application of CRC research to improve production processes are the
most amenable to such “value” quantification. Hence, these types of benefits from the Programme are
the most heavily reported. This does not mean, however, that they are the only – or even the dominant
types of benefits generated by the Programme.
As noted in our original submission to the Commission, the CRC Programme generates benefits
through the following key channels:
Application of research. Economic, environmental, health and social benefits are generated through
the application by industry or public sector end users (including capital and operating cost savings
delivered in the public sector) of new products, processes, policies and resource management
techniques enabled by CRC research and research dissemination activities.
Commercialisation of research. Increased economic output is generated through commercialisation
of new products based on CRC R&D via spin-off companies or licensing of IP to existing companies.
Enhanced access to international knowledge networks. Australia is less than 1 percent of the
global economy and its research output produces around 2 percent of the world’s scientific literature.
For Australia it is therefore critical that there are strong pathways for accessing internationally
generated knowledge. The conduct of high quality research in Australia is generally essential for
Australia to gain a seat at the international R&D table, which in turn brings Australia early access to
new internationally generated knowledge.
Skills formation. The skills formation that occurs within CRCs, particularly in relation to research
student training, delivers a number of economic benefits for Australia such as the development of
highly skilled “industry ready” post-graduates who then work in industry and allow industry to be
smart adopters and adapters of nationally and internationally generated technology/knowledge.
Cooperative Research Centres submission to Productivity Commission study into science and innovation
Collaboration of public and private sector researchers. Through providing an opportunity for
industry and academic researchers to interact/collaborate, CRCs broaden and improve the skills of
both, and hence their future innovative productivity. The Programme promotes the development of a
new breed of research managers that understand research provider and end user perspectives and the
importance of actively planning for and managing the route to application of research.
Encourages industry investment in research. By virtue of their dual academic/industrial character,
the culture of CRCs’ research and management practices forms an effective “bridge” between
industry and academe, encouraging industry to invest in research. Such investment is less forthcoming
where industry invests directly with academia.
The breadth of the CRC Programme across its six focus areas, the wide range of channels through
which the Programme delivers benefits for Australia and the Programme’s unique role in encouraging
long-term and deep collaboration between research providers and research users together explain the
high profile that the CRC Programme has had compared to the relatively small proportion it
represents of total Australian Government science and innovation funding.
In the recent study on the economic impacts of the CRC Programme commissioned by the
Department of Education, Science & Training (DEST), fifty examples were included of the beneficial
application of CRC research. In these solid, quantified examples, only the clearly, measurable
components of the outcomes were included in the calculation of the net economic impact of the
Programme. However, many of these cases also highlighted considerable “unquantified” social,
environmental and health benefits from the application of CRC research. For instance, the report:
Quantified the change in costs in wine production across South West NSW, North West
Victoria and North East SA due to reduced water use resulting from adoption of irrigation
approaches partially (50 per cent) developed by CRC for Viticulture. There has been 26 per
cent adoption of new approaches across regions totaling 47 135 Ha, with 5Ml/Ha average
water use saving per annum occurring at average water costs of $55/Ml. However, in addition
to the direct cost saving to wine producers, the reduction in water use also carries an
environmental benefit for the community that the study does not attempt to attach a
monetary value to.
Quantified cost savings for tourism operators to be generated between 2003 and 2010 through
application of Green Globe standards developed by the CRC for Sustainable Tourism. Based
on a sample of end user impacts and known uptake rates, total net cost savings to tourism
operators are estimated at over $80 million. However, what are left unquantified are the
environmental benefits resulting from more environmentally friendly operating practices.
Cooperative Research Centres submission to Productivity Commission study into science and innovation
Quantified the contribution of the CRC for Cochlear Implant and Hearing Aid Innovation to
the revenues generated by spin-off companies plus a small attribution of the gross output of a
major industry partner since 1996. However, what are left unquantified are the benefits
accrued to patients who have experienced improved quality of life as a result of receiving
improved hearing through implants.
In addition to fifty examples of CRC knowledge application where a “market” value of the application
was determined, the recent DEST commissioned study into the impacts of the CRC Programme also
noted that application of CRC knowledge has often generated benefits to which it is very difficult to
attach a short-term “market” value. Examples of some of these “difficult to value” impacts included in
the report are:
The CRC for Tropical Savannas Management’s research is focused on increasing knowledge
of sustainable, holistic management practices such as the restoration of traditional burning
patterns. The incorporation of local knowledge, both Indigenous and non-Indigenous, into
resource management strategies has both environmental and social benefits, especially
through the CRC’s programs which transfer this on-country knowledge and training from
older to younger people. Initiatives such as the West Arnhem Land Fire Abatement project,
and the Dugong and Marine Turtle project provide employment opportunities for remote
Indigenous communities, as well as delivering better environmental monitoring and
management.
The Desert Knowledge CRC aims, through its core projects, to encourage self-reliant regional
economic development at the same time as acknowledging the cultural value of desert life.
The CRC report on “Population and Mobility in the Town Camps of Alice Springs” was
conducted by Indigenous researchers in local Aboriginal languages. Many of these
researchers have subsequently been involved in a local eye health project, and in conducting
the census in the town camps. In addition to directly increasing skills, employment and
information, this has encouraged the valuing of Indigenous knowledge, language and culture.
The Vision CRC’s research has contributed not only to technological advances in treating
avoidable blindness, but in improving delivery methods and policy strategies. Impaired vision
is estimated to affect around 480 000 Australians, with Aboriginal populations suffering
around ten times the levels of blindness as the rest of the community. One of the programs to
which Vision CRC research contributes is the VisionCare NSW, which delivers over 80 000
pairs of spectacles a year to low income earners in NSW.
Cooperative Research Centres submission to Productivity Commission study into science and innovation
The CRC for Antarctic Climate & Ecosystems’s sea ice modelling has enabled better
understanding of the implications of climate variability and its impact on sea levels and
biodiversity, including possible links between Antarctic and Southern Ocean processes and
rainfall on the Australian mainland. Such knowledge is likely to inform future policy
decisions on, for example, shipping and fishing regulation. Given the topical and political
nature of climate change, robust scientific research into these areas is of national importance.
The CRC for Plant-based Management of Dryland Salinity has a Salinity Policy project group
whose focus is on policy mechanism choice and design, and the design of institutions to deal
with dryland salinity. This group’s main research impact is to increase the options for
stakeholders in managing salinity. While there are substantial economic implications of such
research – which may be expected to inform national salinity policy, currently with a budget
of around $200 million per year – the main value of this knowledge is in increasing the
options for all stakeholders in managing salinity.
The Invasive Animals CRC provides knowledge about Australian flora and fauna which have
evolved in geographic isolation. For most issues concerning invasive animals, scientists
cannot simply leverage overseas research; rather, there is a need for the development of local
knowledge to apply to local problems. The value of this creation and maintenance of a
“critical mass” of research and researchers, therefore, goes beyond the one-off economic
impacts of any invasive animal management strategies it may provide. The Vertebrate
Biocontrol CRC (a forerunner to the Invasive Animals CRC) contributed substantially to the
development of the "Western Shield" program in Western Australia, widely acknowledged as
one of the best conservation programs in the world. Western Shield involves baiting an area
about three times the size of Tasmania for foxes, four times a year. Western Shield has
brought back populations of the tammar wallaby, the quenda and the woylie in the wild to the
extent that they have been taken off the endangered species lists in Western Australia. The
program also brought back the WA animal symbol, the numbat, from the point of extinction.
The fact that it is not possible to place an economic value on such achievements in no way
suggests that such outcomes are not valuable.
Attachment A provides information on a further selection of some of the broader, but not
economically quantified, benefits that the CRC Programme generates for the Australian community.
The consequence of the Commission Study Team not fully understanding the true nature of the
diverse benefits from the CRC Programme is that the Study Team has expressed concerns over the
levels of subsidy of industry benefit within the CRC Programme. For the following reasons, the
CRCA believes that this concern is misplaced.
Cooperative Research Centres submission to Productivity Commission study into science and innovation
Community benefits vs private benefits: As the above discussion indicates, much of the work
conducted within CRCs is focused on generating community benefits rather than generating benefits
to be privately captured by CRC business participants.
Industry role in adoption: The involvement of industry is often the most effective way to get
widespread adoption of research outcomes generated by CRCs. This does result in some private
returns to industry; however, generally this only accrues to industry after it spends considerable
resources in the further development and application of research outcomes after an industry
participant leaves the CRC. However, the fact that industry does apply the research will frequently
generate substantial community benefits.
The public funding of CRCs should therefore be primarily viewed as paying for the collaboration
required to ensure that research is applied and that such public benefits are generated.
Industry pays to apply research: It should also be noted that, whilst CRCs vary to some degree,
generally the industry participant does not get free ownership of the outcomes of research that does
carry the potential for private benefit capture. In most CRCs, a commercial licence must be obtained
for developed technologies, or ownership is held in proportion to the level of funding provided by the
participant. In general industry is prepared to share the development risk and then pay for success.
This further reduces the rate of subsidy to industry within the CRC Programme compared to the levels
estimated by the Commission.
For these reasons, the CRCA believes that the rates of subsidy to private industry suggested by the
Commission in the draft report are overstated. The CRC Programme in fact generates public benefits
far in excess of private benefits and private beneficiaries in general are expected to “pay” for the
research that has led to the benefits that they capture.
Cooperative Research Centres submission to Productivity Commission study into science and innovation
Increasing flexibility within the CRC Programme
In its draft report (for instance Section 6.28) the Commission outlines the problem of linking research
organisations and SMEs. These linkages are in part being addressed by CRCs. Enhanced
arrangements to provide for greater flexibility of participation in the work of CRCs would further aid
these to formation and maintenance of such linkages.
It is important to emphasise here that one of the benefits of the long-term program continuity of the
CRC Programme is that across the CRC Programme there has been room for a breadth of operational
structures of CRCs to be tried – some successfully and other unsuccessfully. This has allowed lessons
to be learned over the evolution of the Programme.
One such key lesson is that it is hard for smaller end-user stakeholders to commit to be long-term core
participants of a CRC. To make room for engagement by such stakeholders it is necessary to provide
for shorter-term more flexible modes of participation with CRCs. To this end, a number of CRCs have
tried innovative approaches to SME engagement, ranging from outreach/information dissemination
activities to the setting aside of some CRC resources explicitly to support shorter-term SME
interactions. Others engage SMEs through participation by their industry associations. Some CRCs
have also made it easier for participants to enter or withdraw from CRCs over the course of their
operations.
There is nothing inherent in the structure of the CRC Programme or of CRCs to prevent such SME
engagement activities. However, there is an important practical constraint to the extent of resources a
CRC can allocate to such activities. This comes via the selection process for CRC funding
applications. To secure funding, it is necessary for prospective CRCs to have concrete plans for the
allocation of CRC Programme funds and there is a strong perception that simply indicating that some
share of the Programme funds are to be reserved to support future collaborative engagements with
SMEs is likely to result in funding applications being unsuccessful. Unless selection panel guidelines
explicitly acknowledge that it is unrealistic to have future engagements with SMEs pre-defined
(potentially years in advance of the activity occurring) and allow instead for CRC bidders to describe
the mechanism by which future interactions will be managed, CRC bidders will continue to pre-assign
most of their resources to research themes that can be clearly described in advance. The consequence
of this is that there will be limited resources available to support further opportunities for SMEs once
the CRC is in operation.
Cooperative Research Centres submission to Productivity Commission study into science and innovation
A final point that is worth noting is that there does need to be a degree of realism in expectations
regarding how streamlined and low cost genuine, collaborative, research endeavors can be. As is
highlighted in the recent CHASS report, Collaborating across the sectors: the relationships between
the humanities, arts and social sciences and science, technology, engineering and medicine sectors,
collaborative activity does inherently involve higher administrative and transaction costs than do
single participant activities. For geographically and institutionally diverse collaborators to build
mutual understanding, trust and effective shared practices takes time and resources. However, as is
demonstrated by the strong track record of the CRC Programme in delivering net economic, social
and environmental benefits for the Australian community, sustained investment in long term,
collaborative research activity is an excellent investment that Australia must continue to make.
Cooperative Research Centres submission to Productivity Commission study into science and innovation
Recommendations
The CRCA would like to reiterate the recommendations made in its initial submission to the Study
Team and make two further Recommendations (Recommendation Six and Seven) in relation to
changes to the CRC Programme.
Recommendation One
The CRC Programme should be funded at the level required for each bi-annual funding round to award at least
fifteen to twenty grants per round with each grant carrying an average value of at least $40 million in current
dollar terms. This would provide a strong incentive for Universities, CSIRO and industry to continue to engage
in the CRC Programme and would, by directing additional resources into highly outcomes-focused research,
help deliver a better return for Australia on such resources.
Recommendation Two
The early announcement of the 2006 and 2008 funding rounds for the Programme has engendered confidence
and encouraged investment by industry and research parties. Such medium term planning and announcement of
funding rounds should be continued.
Recommendation Three
To ensure that the RQF encourages research of highest benefit to Australia, the CRC Association recommends
that within the RQF the end impact of research is given a weighting of 50 per cent within overall RQF funding
outcomes and that the impact of research is reported separately from the academic quality of research within the
RQF.
Recommendation Four
The potential for improved alignment between Government innovation policy objectives and Australian
Taxation Office interpretation of legislation relating to the taxation treatment of business R&D expenditure
should be investigated.
Recommendation Five
The potential for better integration of the CRC Programme with other Federal programs and State programs that
fund R&D should be investigated.
Recommendation Six:
The CRCA recommends that the Government accept the Productivity Commission’s draft finding that the
original objectives of the CRC Programme - the translation of research outputs into economic, social and
environmental benefits - should be reinstated. This is likely to produce better outcomes than focusing public
support [only] on the commercialisation of industrial research alone.
Recommendation Seven
CRC Programme funding should be increased – with new funding explicitly earmarked for use in the support of
flexible engagement with smaller end user groups. Leveraging of existing CRC Programme administrative
structure in this way will be a more cost effective mechanism for supporting flexible research collaborations
with SMEs than incurring the expense of establishing a completely new complementary program as per Draft
Finding 9.5
Cooperative Research Centres submission to Productivity Commission study into science and innovation
Attachment A: Further selected examples of Health,
Social and Environmental benefits generated by
application of CRC research
The following provides just a small set of the many examples of CRC research application generating
positive health, social and environmental outcomes.
Health Benefits from CRC research application
The Australian Biosecurity CRC for Emerging Infectious Diseases estimates the value of its
research by calculating the costs to industry and the healthcare system of outbreaks of
diseases such as foot and mouth disease (FMD), influenza and Severe Acute Respiratory
Syndrome (SARS), given the probabilities of such events. It then estimates the role of CRC
research in mitigating the impact of these outbreaks – reducing their probability, limiting their
extent, or minimising costs in management. The CRC estimates that, for example, in the case
of influenza, its research has the ability to reduce the likelihood of a mid-level pandemic from
0.05 per cent probability in any given year to a range of 0.0495 to 0.025. Given the potentially
high costs of a flu pandemic – which could reach 0.8 per cent of GDP – the average expected
value of achievement of this level of risk reduction would range from $3.9 million to $195
million per annum.
In 2003, the CRC for Cochlear Implant and Hearing Aid Innovation (CRC HEAR) and
Cochlear Ltd released the Nucleus Contour electrode. Around 30,000 were implanted
worldwide. Additionally, Cochlear Ltd released the ESPrit 22 behind-ear speech processor,
and developed and publicly released the Advance-off-Stylet surgical technique to insert the
Contour electrode. Cochlear Ltd staff also continued to support research colleagues in
projects in the US and Germany using the centre’s CViews and psychophysics software.
Through its Clinical Innovations program, CRC HEAR had developed software modules for
audiological assessment which can be installed on a PC, enabling the introduction of new
procedures into clinics around the world. The use of cochlear implants generates significant
social and economic benefits, for example enabling children with hearing impairments to
participate in mainstream education which results in estimated savings of $100,000 to
$200,000 per student.
In 2005, the HealthConnect project was trialled in Queensland using Distributed Systems
Technology CRC developed technology. Ultimately, this is planned to expand into a national
health information system, overseen by the National E-Health Authority out of the Australian
Health Ministers’ Advisory Council (AHMAC) and the National Health Information Group
(NHIG) in 2004. The DSTC developed Pegamento middleware which allows organizations
Cooperative Research Centres submission to Productivity Commission study into science and innovation
using different web services to connect with each other, enabling modular and open systems
that are not tied to one technology. Additionally, the DSTC’s Elvin technology (which limits
message access to authorized recipients) increases security in data management architectures.
These interoperable technologies are being used in the HealthConnect network, promising
significant improvements in communication between health professionals and organizations,
particularly in the areas of chronic disease management. This will deliver better patient
outcomes in the national health system.
The CRC for Sensor Signal and Information Processing’s collaboration with the Howard
Florey Institute has resulted in advances to Magnetic Resonance Imaging (MRI) technology.
These MRI technologies are used in understanding brain structure and function, and have
application in the diagnosis of conditions such as breast and cervical cancers, and the
detection of hearing impairments in new-born infants. Breast cancer is the most common
cause of cancer-related death in Australian women, with over 11,000 women diagnosed with
breast cancer every year. The annual incidence of this cancer continues to increase, rising
from 94.6 per 100,000 in 1990 to 115.3 per 100,000 in 2000. Because the cause of breast
cancer is not known, the key strategies for improving morbidity and mortality depend on early
diagnosis, in which imaging techniques and devices play an important role. MRI
technological advances therefore have the potential to improve the quality and costeffectiveness
of health care systems.
Distributed Systems Technology CRC has developed XML Metadata through the Titanium
Project group. This software product has been made available as an open source tool for the
management of digitized collections of Indigenous cultural material. The Centre’s XML
technology has also been applied to projects in the defense and health sectors. The DSTC
spin-off Extensia Solutions is projected to have annual sales of >$10M/annum by 2006-07.
The company’s major product, the RecordPoint data management tool, uses the Pegamento
middleware technology developed at the CRC. It is expected to be used by health care
organizations to improve electronic health records management, access and security. The
enterprise architecture middleware technology developed by the DSTC has the potential to
improve quality of service and reduce costs in the health, social services, and defense sectors.
Social benefits from CRC research application
The Rainforest CRC has collaborated with the ACF to develop potential models for culturally
and environmentally appropriate economic activities for Indigenous communities in northern
Australia and Cape York Peninsula. The project concludes that nature conservation must be
linked to Indigenous peoples’ role on country as the best mode of sustainable economic
development in the region. They propose that there is potential for a bush food industry.
Cooperative Research Centres submission to Productivity Commission study into science and innovation
The Rainforest CRC formed a strategic alliance in 2002 with Queensland Department of Main
Roads to apply research to the planning, construction and maintenance of wet tropics roads.
The Rainforest CRC contribution included the development of best practice environmental
quality guidelines, which were used in the Kuranda Range road upgrade.
The microTechnology CRC’s commercial companies SportZCo, Micro Relay Technology
and MNT Innovations had significant input, in collaboration with the Australian Institute of
Sport (AIS), into Australian team’s training and performance at 2006 Athens Olympic games.
The CRC for Sensor Signal and Information Processing in 2005 began a collaborative
research project with Canon into surveillance technology. The CRC has already developed
novel middleware for an internet-enabled video-surveillance system, of which a working
prototype has been installed at the University of Adelaide. Fifty networked cameras are
installed as part of 24 hour monitoring by Campus Security, and the system has played a key
role in resolving several incidents of theft and vandalism.
Environmental and resource management benefits from CRC research application
Researchers from the CRC for the Great Barrier Reef (GBR)World Heritage Area have
worked with tourism operators, making recommendations based on several of the CRC’s
project groups. The tourism industry has been identified as potentially ‘sustainable.’ These
recommendations have included the development of a code-of-practice for swim-with-thewhales
activities, a collaboration with Surf-Lifesaving Queensland to identify stingers and
ensure swimming beaches are closed at appropriate seasons, and the development of Eye-onthe-
Reef, a web-based site-monitoring program for tourism operators. The Centre’s ecosystem
knowledge base supported the Reef Water Quality Protection Plan 2003; provided a base for
the mapping used for rezoning of the entire Reef in 2004; and was enhanced recently by
habitat surveys of high risk shipping lanes in the GBR Marine Park, which will be
incorporated into the Oil Spill Response Atlas being developed by the Australian Maritime
Safety Authority.
Use of the CRC for Catchment Hydrology’s MUSIC urban stormwater modelling product
resulted in reductions of up to 50% in costs of infrastructure works. The MUSIC software
provides urban stormwater planners and managers with modeled management scenarios.
Melbourne Water is using MUSIC to plan future works and assess land development
proposals, and to design stormwater treatment strategies for new and existing drainage
schemes. Application of MUSIC has resulted in significant savings on capital works, whilst
still satisfying water quality criteria. Brisbane City Council uses MUSIC for urban catchment
planning, and to design new stormwater treatment measures in Brisbane. The Centre’s
Cooperative Research Centres submission to Productivity Commission study into science and innovation
Catchment Management Support System (CMSS) software was designed to enable catchment
stakeholders to improve land and catchment management strategies.
The CRC for Catchment Hydrology had developed catchment modeling and decision-support
tools. These have been used to develop management strategies in the Great Barrier Reef, Port
Phillip Bay, and Moreton Bay. They will underpin implementation of the Commonwealth
Coastal Catchments Initiative, as well as any likely implementation of UNEP’s Global
Programme of Action (GPA) for the Protection of the Marine Environment from Land-based
Activities.
The CRC for Tropical Plant Protection undertook research into diseases affecting the
horticultural and agricultural sectors, including cotton, cucurbits, lucerne, fusarium-resistant
wheat and avocado crops. The CRC in 2004 conducted research into the effects of the fungus
Colletotrichum gloeosporiodes or anthracnose in sub-tropical and tropical fruit crops such as
mango, lychee and avocado. Anthracnose is the most serious post-harvest disease affecting
these crops, and the implementation of recommendations for its improved management has
led to a decrease of anthracnose incidence. This has resulted in reduced costs to growers, as
well as a reduction of the industry’s use of copper-based fungicides. In turn, this has
environmental benefits from the lower levels of copper-based fungicide leached into the
environment.
The Australian Cotton CRC developed integrated pest management systems, known as IPM.
This has led not only to an economic benefit of $300 million dollars to cotton growers, but
has also delivered significant environmental and social benefits to Australia. There has been
a dramatic reduction in pesticide use and significant improvement in water quality of the
Darling River systems. For example, the percentage of water sample detections of the
pesticide endosulfan in the Namoi, Gwydir and Border Rivers has decreased from around
45% five years ago to less than 1% in 2003/04. There has also been increased biodiversity in
cotton regions eg bird life and other species.
Research undertaken by the CRC for Australian Weed Management over several years
underpins the Weed Risk Assessment System used by Biosecurity Australia to screen all new
plant species before introduction into Australia. A recent paper by US economists (*)
demonstrated that this system provides net benefits to the Australian economy of at least $5 to
$10 billion. Weed CRC research in 2004 convinced Biosecurity Australia to fast-track a
revision of the list of plants permitted into Australia without Weed Risk Assessment and
resulted in the removal of >4,000 known weedy species from this list.
* Keller, RP, Lodge DM and Finnoff, DC. (2006) Risk assessment for invasive species produces net bioeconomic benefits. Proc.
National Acad Sciences (US)
