New Delhi : The monthly joint meeting of Science Secretaries chaired by Dr. Jitendra Singh, Union Minister of State (Independent Charge) for Science & Technology and Earth Sciences and MoS PMO, Personnel, Public Grievances, Pensions, Atomic Energy and Space, was marked by three important announcements.
Dr Jitendra Singh said that the RDI Fund 'Conflict of Interest' policy was protected by stringent safeguards to ensure protection of Taxpayers’ Money as well as private capital. However, he added that suggestions from stakeholders are most welcome and wherever feasible more safeguard could be considered. The Minister was apprised that stringent protocols are being followed for both fund disbursement and conflict-of-interest safeguards to ensure transparency, fairness and accountability, given that the RDI Fund involves public money. He was also informed that the framework has robust mechanisms to protect the integrity of investment decisions, with further safeguards being considered wherever required.
During the meeting, Dr. Jitendra Singh was apprised that the disbursal of RDI funds to some of the selected firms has already been completed, while the process for disbursal to the remaining selected firms is underway and will be completed shortly.
The Minister was also apprised that the process for selection and announcement of Second-Level Fund Managers (SLFMs) is underway and is expected to be completed within two weeks or so. These SLFMs will play a key role in identifying deserving companies and supporting them through the RDI Fund framework. It was informed that the onboarding of SLFMs is being carried out through a transparent process, as these fund managers will have the responsibility of managing investments within the approved framework while ensuring fairness and equal opportunity.
The Minister was also informed that inter-ministerial consultations have been undertaken to make the RDI Fund framework more inclusive and responsive to strategic technology requirements across different sectors. Inputs were sought from various ministries to identify areas of national importance that may require support beyond the initially proposed list of sectors. These suggestions were evaluated by an expert committee, which recommended expanding the sectoral scope to make the framework more flexible and inclusive, enabling the Fund to cater to a wider range of technological priorities.
The Minister noted that the RDI Fund carries a shared responsibility, as 50 per cent of the investment is expected to come from private equity sources, placing an equal responsibility on investment committees to safeguard both taxpayers’ money and private capital. He emphasised that while due diligence and verification processes must remain uncompromised, timely release of funds is equally important to enable firms to move forward. He directed officials to adopt faster timelines and make the disbursal process more responsive in the future.
The Minister’s direction on RDI processing comes at a time when the Government is seeking to create a more competitive and responsive environment for private-sector participation in research and development. During the review, it was informed that the first round of application assessment had already been completed and positive recommendations were ready in respect of eligible applications. The emphasis was on moving the proposals through the remaining stages without avoidable delay, while retaining the scrutiny required before public funds are released.
The RDI initiative assumes particular significance as a first-of-its-kind Government effort to accelerate private investment in R&D by providing public funding support. The meeting noted that the first cycle is also expected to help the mechanism move towards a smoother and more efficient mode in subsequent cycles. At the same time, the Government is conscious that private-sector participation is a new experience within such a public funding framework and therefore requires a balance between speed, responsibility and stakeholder confidence.