With the abolition of the preliminary feasibility study (pre-feasibility, or "ye-ta") ahead, the government's research and development (R&D) budget system is set for a major overhaul. Oh Tae-seok, president of the Korea Institute of Science & Technology Evaluation and Planning (KISTEP), outlined on the 26th at a press briefing in Jung-gu, Seoul, the pre-planning review system to be introduced after the abolition of ye-ta and KISTEP's enhanced role, presenting a direction to build a new R&D system that encompasses science and technology and industrial innovation policies.
KISTEP is a specialized science and technology policy think tank that carries out planning, evaluation, and budget support for national science and technology policy. KISTEP President Oh Tae-seok took office on Apr. 1.
According to Oh, the bill abolishing ye-ta in the R&D field passed The National Assembly's Legislation and Judiciary Committee and is expected to be handled by the National Assembly plenary session as early as the 27th, or by early Dec. at the latest. Once the bill passes, it will take effect upon promulgation.
Until now, ye-ta evaluated large-scale R&D projects worth hundreds of billions of won by analyzing feasibility over two to three years and then rating them as pass or fail. Under the new system, this process will shift to a pre-planning review. By verifying the completeness and feasibility of project planning early, it will prevent waste of time and budget.
Oh said, "The existing ye-ta often missed speed and timing," adding, "Once we shift to a pre-planning system, policy response speed will be significantly faster in national strategic technologies and emerging industries."
Detailed criteria for the new pre-planning review system will be prepared by public notice in Dec. after the bill passes. Oh said, "The detailed content on what criteria to use for evaluation is almost finalized," adding, "To prepare for poor reviews, we will clarify accountability and operate the system with a structure in which the Office of Science, Technology and Innovation and outside experts participate together to ensure transparency."
Oh said, "If ye-ta is abolished, the workload that the Office of Science, Technology and Innovation and KISTEP must handle will increase significantly," adding, "Particularly in the first year, confusion is expected due to the system transition."
Some have voiced concern that abolishing ye-ta will lead to unchecked growth in projects. In response, Oh emphasized the practical constraint of a "spending limit." Each ministry must set priorities and apply for projects within its set budget cap, and the results of the pre-planning review must also be reported to the National Assembly, structurally limiting the possibility of budget overspending.
Meanwhile, KISTEP held a joint forum with the Korea Institute for Industrial Economics & Trade (KIET) on the day and signed a memorandum of understanding (MOU). Oh said, "This forum is a continuation of the technology-led growth strategy pursued since I took office," adding, "We will work together to explore how to link and complement science and technology and industrial innovation policies."
He went on to explain, "Amid environmental changes such as the launch of the vice prime minister for science and technology system and the expansion of the R&D budget, KISTEP is proactively preparing the direction of innovation policy."
The innovation policy direction presented by Oh can be summarized in five points. Move beyond a researcher-centered approach to design R&D policy based on the industrial ecosystem and strengthen support for technology scale-up. At the same time, build a collaborative system between science and technology and industrial innovation think tanks.
It will also expand cooperation among the private sector, universities, and government-funded research institutes, and, especially in fields that require large amounts of capital, increase the participation of large companies to strengthen the role of the private sector.
Expanding participation from the financial sector is also a key pillar. Oh said, "In the United States, private capital is making large-scale investments while taking on high risks in areas such as quantum, small modular reactors (SMRs), and nuclear fusion," adding, "In Korea, R&D and the financial sector speak different languages, so we are starting with the work of creating a linking mechanism." Options such as equity investment and insurance are also being reviewed to connect various financial tools to science and technology innovation.
Oh emphasized, "For technology to blossom into industrialization, not only R&D funds but also non-R&D policies such as regulation, talent, finance, and supply chains must move together," adding, "To that end, we will cooperate with various institutions."
Oh added, "To make policies in key fields such as artificial intelligence (AI), we need to precisely understand the flow of talent itself," adding, "Next year, we plan to present new policy proposals based on a talent analysis report."