On July 31, 2024, the Standing Committee of the 14th Guangdong Provincial People’s Congress passed the Guangdong Science and Technology Innovation Regulation, which will take effect from October 1, 2024. This legislation aims to provide comprehensive legal support for the promotion of science and technology innovation in the province. The regulation, consisting of 11 chapters and 94 articles, focuses on the entire innovation chain, including basic research, technology breakthroughs, technology transfer, science and technology finance, and talent support.
Breakthroughs in Technology Transfer
Guangdong’s science and technology innovation landscape has been significantly enhanced by this new legislation. For instance, the regulation introduces a series of innovative measures to address the bottlenecks in technology transfer. One notable example is the Guangdong Model in technology transfer, which encourages scientific researchers to take a more active role in the commercialization process.
According to Xinhua Daily Telegraph, Daryl Xu, a team leader at the Guangdong Academy of Sciences’ Intelligent Manufacturing Institute’s robotics technology team, has seen significant progress in mobile robot technology. The team has successfully applied this technology to outdoor cleaning robots. Since 2021, we have partnered with a company to build a joint laboratory, focusing on technical breakthroughs and close collaboration, and we have achieved success, Xu explained. Our research team eventually invested 1.3 million yuan in the company through patent valuation, which significantly boosted our researchers’ morale.
Key Provisions in the Regulation
The new regulation is seen as a crucial step in deepening Guangdong’s science and technology reforms. It aims to institutionalize and legalize the successful practices of the province over the years. This is a significant measure to implement the spirit of the 20th Third Plenary Session of the Central Committee and comprehensively deepen Guangdong’s science and technology system reform, said Wu Shiwén, deputy director of the Guangdong Provincial Department of Science and Technology.
The regulation covers a wide range of topics, including basic research, technology breakthroughs, technology transfer, science and technology finance, and talent support. For instance, Chapter 29 of the regulation explores the assignment of ownership or long-term usage rights to the completion of scientific and technological achievements in universities and research institutions. This provision encourages scientists to invest in startups and provides more flexible ways for technology transfer to small and medium-sized enterprises.
Strengthening Basic Research
Guangdong has identified basic research as a critical area for improvement. The regulation includes a dedicated chapter on basic research, emphasizing the need for substantial investment and the creation of a robust innovation ecosystem. Specifically, Article 13 stipulates that one-third of the provincial fiscal science and technology special funds should be allocated to basic research.
Enhancing Science and Technology Finance
Guangdong’s unique feature is its strong emphasis on science and technology finance. The regulation includes provisions to build a comprehensive system for science and technology investment funds, improve the management of state-owned venture capital institutions, and diversify fund exit channels. Article 41, for example, aims to establish a performance evaluation and incentive mechanism for state-owned venture capital institutions, encouraging them to provide more support to early-stage tech companies.
Simplifying Administrative Procedures
The regulation also simplifies administrative procedures for the transfer of research achievements and the management of state-owned equity resulting from such transfers. It stipulates that if the loss of investment is due to due diligence, it will no longer be subject to review by the principal department.
Conclusion
Guangdong, as a pioneer in China’s reform and opening-up, is well-positioned to make significant contributions to the country’s modernization efforts. The new regulation provides a strong legal framework to support the province’s innovative endeavors. By addressing the existing bottlenecks and promoting a more efficient and flexible innovation ecosystem, Guangdong is expected to play a crucial role in China’s journey towards becoming a global leader in science and technology.
Views: 0