Cop17 ib lungile shoba zikhali 061211

Industrial Biotechnologies

For Climate Change

COP 17Lungile Shoba-Zikhali

(GM – Industrial Biotechnology)

06 Dec 2011 Lungile Shoba-Zikhali 2

Technology Innovation Agency (TIA)

www.akasan.com.tr/resimler/vision-mission-big.jpg

TIA VISION

…A world class innovation agency that supports and enables

technological innovation to achieve socio-economic benefits for South

Africa through leveraging strategic partnerships.


Formation of the TIA


The Innovation chasm challenge

Research Development Manufacturing

Local

Knowledge

Local Industry

OVERSEAS TECHNOLOGY SOURCES

Research Development Production

Innovation

“Chasm”

IP Lost

Large balance of

payment


The innovation chasm- the strategic

challenge continued

THE

IDEAS, RESEARC

H AND

DEVELOPMENT

COMMERCIAL

INDUSTRIES AND

MANUFACTURING

VALLEY OF DEATH


TIA

COMMERCIAL

INDUSTRIALISTRIES

AND

MANUFACTURING

THE IDEAS,

RESEARCH AND

DEVELOPMENT

TIA: Bridging the innovation chasm


MANDATE:

“…to support the State in stimulating and intensifying technological

innovation in order to improve economic growth and the quality of life

of all South Africans by „supporting & facilitating‟ the development and

exploitation of technological innovations”

The TIA Act [No 26 of 2008]

The TIA Mandate


PPP‟s

Private

Equity

Basic Research Applied Research Tech Development Manufacturing

IP V

alu

e

TIA Funding Focus

Low Risk/

High Return

High Risk/

Uncertain Return

CoCs

TIA geared towards addressing “market failure”

and building bridges and institutional linkages

along the innovation value chain:

Partnerships

(e.g. IDC, NEF)Partnerships

(e.g. NRF)

The TIA focuses its financial and non-financial offerings along the innovation chasm, and

operates with the required flexibility across the innovation value chain through mobilising

and leveraging national, regional and international partnerships

TIA Funding Focus


TIA Sectors

Agro HealthIndustrial

Biotechnology

Biotechnology

Sectors

Industrial

Sectors

TIA SECTORS

EnergyMiningAdvanced

Manufacturing ICT …Other

… Fund Management; Expert Services; IP; Finance; PPM&E…


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INDUSTRIAL

BIOTECHNOLOGY

Industrial Biotechnology (IB)

Working definition:

“the application of biotechnology for the environmentally friendly

production of products and processing of chemicals, pharmaceuticals,

materials and bio-energy”.

(OECD Workshop on “Outlook on Industrial Biotechnology”. Discussion paper –Session II “Industry Structure and Business Models for Industrial Biotechnology”. 13-15 Jan 2010)


• Provides an opportunity to develop a sustainable, bio-based economy that uses

eco-efficient bio-processes and renewable bio-resources.

• Focuses on development of processes and production systems that:

- save costs and are more profitable since they do not waste material

-enable greater and more efficient utilization of renewable resources.

• Products that are:

-better performing, more durable and don’t persist after their useful life

-less toxic, more easily recyclable and biodegradable

-are derived from renewable resources

-contribute minimally to net greenhouse gas emission

Industrial Biotechnology (IB)


Drivers

• Less energy

• Less waste

- i.e. Cleaner production

Hurdles

• Further technology development

• Waste management

Drivers

• Knowledge-based quality jobs

• Social responsibility

Hurdles

• Unawareness

• Acceptance

Drivers

• Cost reduction

• Novel products

Hurdles

• Regulations

• Further technology development

• Feedstock prices

• Investments

SUSTAINABILITY

…to achieve the „Triple Bottom Line‟

…3Ps of Sustainability

Why Industrial Biotechnology?…Greening the SA economy for sustainable industrial

development


Industrial Biotech

Cross-Cutting Technology Sector


IB = cross-cutting „technology sector‟

…applies biotechnologies (microbial, plant and animal) for:

1. processing and

2. production of:

(Bio) Chemicals

(Bio) Materials

(Bio) Energy

across a diverse range of industry/economic sectors:

Application of IB

e.g. Sectors where

IB plays a roles

Pharmaceutical

Agriculture

Energy

Food & Beverage

Chemicals

Pulp & Paper

Plastics

Mining

Textiles


IB Value Chain


IB Sub-Sector Focus Areas


IB Sector Unit Objectives

1. Stimulate and support the development of industrial biotechnology-

based innovations for the environmentally friendly processing and

production of chemicals, materials and energy

2. Stimulate and support the development of industrial biotechnology-

based private and/or public enterprises

3. Leverage the TIA funds for co-investment into industrial biotechnology-

based innovations


4. Facilitate the development of human capital for technology innovation

within industrial biotechnology investments to ensure sufficient firm and/or

industry absorptive capacity* for new technologies

5. Promote and support activities and events that facilitate the building of a

culture of technology innovation and entrepreneurship

*“ability to recognize the value of a new „technology‟, assimilate it, and apply it to commercial ends” Cohen and Levinthal

(1990), "Absorptive capacity: A new perspective on learning and innovation", Administrative Science Quarterly, Volume 35, Issue 1 pg.

128-152.

IB Sector Unit Objectives


1. BioChemicals:

Products/processes with superior cost/performance ratio, e.g. enzymes in

bioprocesses

2. BioMaterials:

Production of eco-efficient materials e.g. biodegradable

3. BioEnergy:

Technologies for efficient conversion of biomass feedstock for energy production

4. BioRemediation:

Technologies for effective & cost-efficient treatment and recycling of wastewater

for improved water quality and reduced pollution/toxicity

5. BioMinerals:

Technologies for efficient & cost-effective bio-leaching/mining processes for

extracting mineral resources

IB Sub-sectors


OUTCOMES IMPACT

1

Increased application of biotechnology

in the process steps for the production of

chemicals and materials

Enhanced competitiveness of industries

Eco-efficient use of the renewable raw

materials

Sustainable industries less reliant on limited

fossil fuels

Economically & environmentally sustainable

manufacture of products

SA’s dependency on fossil fuels reduced

SA’s import of fuels reduced

Meaningful job creation

Improved standards of living for all SAs

Reduced waste generation

Reduced production of greenhouse gases

Increased contribution to the national GDP

Enhanced global competitiveness of South

African firms & industries

2Increased use of renewable resources

as raw materials for industrial applications

3

Increased application of biotechnology

in the manufacture of products across

various industries

4

Increased production of biomass-

derived energy based on biotechnology

for everyday consumption

5

Increased rural development that

contributes to the supply of raw renewable

materials

6

Increased cooperation, collaboration

and support between researchers,

industry, government & civil society

Expected Outcomes & Impact

of IB Innovation in SA


Distribution by Focus Area

0

5

10

15

20

25

30

35

Biochemicals Biomaterials Bioenergy Bioremediation Other

All

Current

Completed

Pipeline


1. Rabivir Green PharmProduction of anti-bodies in plant systems for the

development of therapeutics & diagnostics

2. AzarGen Production of high value therapeutic peptides in plants

3. FemTechDevelopment & optimisation of a fermentation technology for

the production of human recombinant proteins

4. HaloduransDevelopment & optimization of a recombinant technology for

the production of therapeutic peptides.

5. Enzyme Technologies Production of bromelain enzyme from pineapples

6. ZA BiotechCommercialisation of locally produced enzymes and

proprietary enzyme immobilisation technologies

7. Lactase Enzyme

(SLIEK)

Development of a fermentation bioprocess technology for

lactase production

Examples of TIA IB Investments


8. Algal Bioprospecting

Explore & characterize SA’s algal biodiversity and development

a collection and database of algal strains for the production of

biofuels

9. Indigenous FungiScreening & classifying (database) fungi culture collections for

value adding products

10. Algal Omega 3Validation of initial techno-economics of EPA/Omega 3

production by SA's algal strains

11. OM3 OilsValidation of technology for fish waste beneficiation (omega 3 oil

extraction)

12. Food and Cosmetic

TechnologiesDevelopment of novel formulation of low glycemic index sugar

13. Acid Mine Drainage

Development of technology for the neutralisation of acid mine

water and the biological removal of sulphate using sulphate

reducing bacteria

Examples of TIA IB Investments


Basic Research

Idea Generation

Proof of Concept

Technical development/

commercial planning

Product & business

development

Business start up

(tech based)

AzarGen RabiVir Femtech

Halodurans

ZA Biotech

Lactase Enzyme

(SLIEK)

Enzyme

Technologies

Algal

Bioprospecting

Indigenous

Fungi

Algal

Omega-3

Food & Cosmetic

TechnologiesOM3 Oils

Acid Mine

Drainage

Stage in the Innovation & Funding Value Chain

DoE, NRF, DST TIA Support IDC , NEF

Business growth

Seed Start-upEarly

ExpansionExpansion

Phase 1 Phase 2 Phase 3 Phase 4


What the IB Sector Unit is looking for

in Opportunities

1. Technology Innovation opportunity – Science-based product/process/service

offering with strong potential for market capitalisation

2. Strong alignment with the TIA mandate, Corporate and Sector Strategic objectives

3. Stage of technology development is beyond basic research (validated post-proof

of concept)

4. Potential for high socio-economic impact – addresses national imperatives e.g.

job creation

5. Strong potential to enhance industry competitiveness

6. Presence of an industry commercialisation partner where relevant

7. Co-Investment opportunity presented to allow risk-sharing


Thank you

www.tia.org.za