Foundations Maintained, but Concerns for Future R&D Capacity
The Royal Australian Chemical Institute (RACI) acknowledges the Federal Government’s continued investment in education, science and innovation in the 2026–27 Budget, while raising concerns about the long-term impact on Australia’s research and development capability.
The Budget maintains investment in science, skills and engagement and signals support for reform and better coordination across the research system, including through the establishment of the National Resilience and Science Council. However, it also includes savings measures affecting the research and commercialisation pipeline, including the termination of the Australian Economic Accelerator (AEA) and pressures on university-linked research funding.
RACI recognises that the Budget reflects a period of consolidation in a complex and uncertain global environment but notes that these changes place increased strain on Australia’s innovation system.
RACI CEO, Mr Shenal Basnayake, said:
This Budget reinforces the importance of science, skills and coordinated national effort, including through the establishment of the National Resilience and Science Council, which we welcome as an important step in strengthening the existing system. At the same time, the changes to research and commercialisation programs raise important questions about how Australia will continue to translate high-quality research into economic and societal outcomes. This places greater pressure on universities, researchers and industry aiming to translate research into economic outcomes.
Mr Basnayake welcomed continued investment in education:
RACI welcomes the ongoing focus on education, particularly measures supporting student outcomes, teacher capability and inclusion. Our school science educators do an outstanding job every day, and it is essential they are supported with the tools, confidence, and resources to inspire the next generation of scientists.
Chemistry sits at the centre of Australia’s challenges and opportunities, underpinning key national priorities including energy transition, advanced manufacturing, health and defence capability. RACI reaffirmed its commitment to working constructively with government to strengthen Australia’s science and skills system, including through the forthcoming release of its policy priorities.
“Chemistry is embedded in the vast majority of Australia’s innovations. Strengthening our national capability means investing across the full pipeline, from education and skills through to research and commercialisation. There is a clear opportunity to build on our world-class chemical science capability to strengthen Australia’s scientific presence globally and support future workforce needs. RACI stands ready to partner with government to ensure the chemical sciences are fully recognised as a critical enabler of Australia’s future prosperity, from the classroom through to industry and global innovation,” said Mr Basnayake.
#Feature #News