New Zealand Accelerates Science Reforms to Drive Economic Growth

"We are moving quickly on changes to New Zealand’s science and innovation system to maximize the value of government funding and drive economic growth," stated Dr. Reti.

New Zealand’s Science, Innovation and Technology Minister, Dr. Shane Reti, has announced that the country will begin reaping the benefits of its science sector reforms in 2025, with significant structural changes taking effect as early as October 2024.

"We are moving quickly on changes to New Zealand’s science and innovation system to maximize the value of government funding and drive economic growth," stated Dr. Reti. "To accelerate the benefits of these reforms, I expect Crown Research Institutes to transition into three newly focused public research organizations (PROs) in early October, with formal legislation to establish them following in 2026."

These new PROs will align with the government’s priority of fostering economic growth and will enhance the delivery of high-quality scientific research. Dr. Reti emphasized that these organizations will promote collaboration with universities and seek private-sector partnerships sooner rather than later.

"Providing clear direction for the science, innovation, and technology sector will instil confidence in both public and private entities, encouraging them to advance critical research that supports economic expansion," he added.

Future of Callaghan Innovation’s Biotechnology and Applied Technologies Groups

Dr. Reti also outlined decisions regarding the future of Callaghan Innovation’s Biotechnology and Applied Technologies Groups, ensuring continued support for these critical research teams during the transition.

“In addition to previously announced transitions of certain functions to the Ministry of Business, Innovation and Employment (MBIE) or the appropriate PRO, we will extend funding for Callaghan Innovation’s Biotechnologies and Applied Technologies Groups,” said Dr. Reti.

Both groups provide scientific expertise to New Zealand businesses on a fee-for-service basis. However, a review of Callaghan Innovation’s functions raised concerns about their long-term financial sustainability without continued government funding.

Extended Funding to Ensure Stability

To facilitate a smoother transition, the Biotechnologies Group will receive government funding until June 2027. The group will eventually integrate into the newly established bioeconomy PRO, allowing time to develop commercial viability and achieve sustainable, independent operation.

Meanwhile, the Applied Technologies Group will be funded through September 30, 2025, ensuring the completion of contracted projects while allowing an orderly wind-down of its functions.

These steps underscore the government’s commitment to fostering a more robust, sustainable, and economically beneficial research environment in New Zealand.