United Nations

CDP
Committee for
Development Policy

Science, technology and innovation for sustainable development*

Science, technology and innovation are essential drivers of sustain- (TRIMS) should be recognized, especially the restrictions on the
able and inclusive development. It is therefore crucial that science, use of policy instruments such as domestic content, export perfor-
technology and innovation initiatives address all aspects of sustain- mance and standards for government procurement that have been
able development — economic, social and environmental — and widely used by developed countries and successful industrializers in
their interrelationships, since technological choices can have nega- the developing world.
tive impacts on the social and environmental dimensions of sustain-
able development. It is equally important that knowledge systems The current system of promoting research and development, in-
be constructed broadly to include the cultural, social and institu- cluding associated intellectual property rights, leads to underin-
tional dimensions in which they operate. vestment in social priorities and restricts access to the benefits
of innovation. Alternative modalities for supporting and financing
The role of government in building science, technology and in- global research and innovation merit serious consideration. Knowl-
novation capabilities is fundamental, including in stimulating the edge, research and technologies that have a direct bearing on the
development of systems that will foster the acquisition, develop- fulfilment of basic human needs and on small rural producers and
ment and dissemination of knowledge at the national level. This that tackle environmental challenges, in particular those relating to
includes the promotion of education, research, development and climate change, should be freely accessible to all as global public
technological dissemination, as well as the design and implemen- goods. A major challenge for science, technology and innovation
tation of nationally appropriate industrial policies. Moreover, the for sustainable development will be climate change adaptation,
international community should review the extent to which the in- especially in the most vulnerable communities and countries. To
ternational trade and investment regimes can guarantee adequate this end, emphasis should be placed on the creation of an improved
policy space for national Governments in this area. In particular, the knowledge base for the understanding of climate change dynam-
limitations imposed by the World Trade Organization Agreement on ics and of the technologies and innovations needed to respond to
Trade-Related Aspects of Intellectual Property Rights (TRIPS Agree- them.
ment) and the Agreement on Trade-Related Investment Measures

1. Introduction activities are essential factors for expanding peoples’ capabilities

and achieving sustainable development. At the same time, sci-
Science, technology and innovation play a critical role in achiev- ence, technology and innovation form part of global and nation-
ing sustainable development goals, including with respect to al capabilities to address the economic, social and environmental
enhancing productivity and inducing a dynamic transforma- dimensions of development and their interactions.
tion of the economy, increasing growth rates and the number
of decent jobs while reducing fossil-based energy consumption, While science, technology and innovation are essential in finding
developing essential drugs and improving health/medical care, answers to the sustainability crisis that the world is currently fac-
achieving food security through sustainable agricultural meth- ing, there is a need to look at the broader context and take into
ods and raising agricultural productivity, reducing the drudgery account both the cultural and historical dimensions in which sci-
and improving the safety of housework, and increasing the safety ence, technology and innovation operate. Under this framework,
of reproduction. Advancing a nation’s capacity in science, tech- it is crucial to recognize that although the world is confronting
nology and innovation and its effective application in economic common crises, there are differences within and between coun-

*
Excerpt from Committee for Development Policy, Report on the eighteenth session, See Official Records of the Economic and Social Council, 2013, Sup-
plement No. 13 (E/2013/33)

The CDP is a subsidiary advisory body of the United Nations Economic and Social Council (ECOSOC), providing independent advice on emerg-
ing issues that are critical for the implementation of the United Nations development agenda. The CDP is also responsible for recommending
which countries should be placed on the United Nations list of least developed countries (LDCs).
tries; hence, knowledge systems should be constructed broadly been active in agricultural innovation in developing countries in
to include the diverse historical, cultural, social and institutional the past, leading to the green revolution of the 1960s and 1970s.
features of countries. National Governments expanded roads, irrigation systems and
electrical power supply to support farmers to adopt the new tech-
In this regard, the contributions of science, technology and in- nology. International lending was also prioritized for agricultural
novation to a new sustainable development paradigm require a development2. More recently, an innovative system, known as
deep understanding of the relation among the three pillars of sus- the rice intensification system, has been successfully tested in 40
tainable development, acknowledging that environmental deg- countries3. Nonetheless, these efforts remain limited. Moreover,
radation harms economic development and human well-being, in many instances, access to technology and innovation remains
especially for the poor and vulnerable groups in society. Social restricted in view of the proprietary nature of intellectual rights.
and economic sciences must contribute as much as natural and
technical sciences to an approach where improved quality of life Geography matters in climate change, and some regions will be
and sustainable patterns of consumption and production can be more affected than others. The economic, social and environ-
reconciled with reduced environmental degradation, poverty and mental consequences will also vary, depending on levels of de-
inequalities, and the promotion of peace and security. velopment in general and on individual, local and national pre-
paredness to mitigate and adapt to the impact of climate change.
Similarly, it is imperative to understand that there are techno-
logical choices that can have negative impacts (externalities) on A major challenge for science, technology and innovation in
the social and environmental dimensions of sustainable devel- climate change is to support mitigation and adaptation. While
opment. They also have important distributional consequences much attention has been paid to mitigation, particularly because
besides generating “winners” and “losers” owing to the introduc- greenhouse gas emissions are largely generated in the more tech-
tion of new production processes and labour-saving technologies. nologically advanced countries, little or no attention has been
Important distributional implications emerge particularly owing paid to the promotion and development of science, technology
to decisions about which types of knowledge and innovations are and innovation for adaptation. Most of the adaptation technolo-
promoted and developed and which types are neglected and for- gies currently available reflect informal or spontaneous processes,
gotten. Thus, it remains important to be clear about the fact that such as indigenous or traditional knowledge-based technologies
the choices we face are societal choices, not scientific or techni- used to cope with flooding and irrigation systems developed and
cal ones. Understanding this approach, science, technology and updated to make more efficient use of scarce water. Adaptation
innovation for sustainable development offers immense oppor- measures are likely to be more amenable to small-scale interven-
tunities to connect science with society, culture and traditional tions and thus more adaptable to local conditions and institu-
knowledge. tions. However, adaptation measures are likely to be more acces-
sible to richer countries, communities and individuals, which are
2. Science, technology and innovation: not necessarily the most vulnerable.
meeting basic human needs and
environmental challenges Science, technology and innovation as global
public goods
The science, technology and innovation capabilities of a nation
are basic, yet crucial, factors not only for sustained economic The above-mentioned considerations reinforce the need to view
growth, but also for a nation’s ability to provide its citizens with certain technologies, particularly those that contribute to meet-
quality education, good health care and safe food and to mitigate ing basic human needs and environmental challenges, as glob-
the negative impacts of climate change and natural disasters. al public goods that deserve to be supported by a system of in-
centives to make them accessible to all. The development and
Since the adoption of the Millennium Development Goals in dissemination of these technologies should be a global priority.
2000, there have been renewed efforts to use science, technology However, both confront major obstacles.
and innovation, nationally and globally, for the development of
vaccines and improved medical treatments for tropical diseases First, with respect to development, markets have not been effi-
and other diseases that plague the developing world, as well as cient in providing these goods and services in the right quantity
for global pandemics such as HIV/AIDS1. Technological inno- and quality in a timely manner. The current system of financing
vation has played an equally critical role in the management of research and development depends largely on granting exclusive
safe freshwater resources and in addressing concerns about wa- intellectual property rights as an incentive for private investment
ter scarcity in agricultural production by small farmers. Inter-
national research institutions, supported by public funds, have 2
The green revolution has been criticized based on the technology it pro-
moted, which involves intensive use of fertilizers, chemical pesticides and
water; these have negative environmental impacts.
See Official Records of the Economic and Social Council, 2009, Supple-
1 3
Rice has been the single most important staple of the poor, particularly
ment No. 13 (E/2009/33). in Asia and parts of Africa.

2
in the generation of technology and innovation. This leads to sition and dissemination of knowledge, as well as in designing
underinvestment in innovations for social priorities, notably and implementing industrial policies. Evidence suggests that
to meet basic human needs and environmental sustainability. the level of expenditure on research and development is key to
Therefore, alternative mechanisms for financing innovation are building up innovation capacities. Meanwhile, a country’s insti-
needed, such as prizes and public funds (including public funds tutions, educational system and quality of education are signif-
to buy technologies that would then be made freely accessible), icant factors in achieving the transition from the low-income to
and deserve further consideration. the middle-income level. In this regard, it should be noted that
tertiary education and retraining and facilitating the mobility of
Second, with respect to dissemination, technologies receiving researchers are necessary to enhance the transfer of technology
patent protection are often less accessible owing to monopoly among different sectors of the economy and the application of
pricing, which makes them more costly. However, a defining as- such technology in business activities.
pect of global public goods is that they should be non-exclusive;
once the knowledge or technologies are created in these crucial Moreover, building technological capacities requires Govern-
areas, no one should be excluded from the access to them. The ment support. When private capacity is non-existent or weak, the
question is how to secure sustainable funding to provide them. public sector as a whole needs to lead the design and implementa-
Because of their non-exclusive nature, research and development tion of a new industry or a new technology, with a combination
in such technologies has long been underfunded, in particular of horizontal interventions at the macroeconomic level. As the
with respect to those needed by poor people living in low-income capacity of the private sector advances, the direct involvement of
countries. the national Government may become less prominent, its policies
are likely to be more targeted to specific industries or technolo-
3. Building science, technology and innovation gies, and the nature of public and private cooperation takes the
capabilities for sustained growth: the role of form of partnership. Ultimately, the private sector may become
Government fairly independent from the public sector in technological devel-
opment, with the latter providing the former with economic in-
Development is, in essence, a process of capacity-building. Devel- centives, including exclusive property rights for a certain period,
oping countries confront many obstacles in building a robust and to encourage its efforts. Nonetheless, it should be recognized that
entrepreneurially dynamic private sector; however, they also have even in developed countries, Governments continue to conduct
some advantages. They can draw on the knowledge accumulat- and sponsor a significant amount of research and technological
ed elsewhere, obviating the need to devote significant resources development, and not only in defence-related matters.
to research and development. Developing countries use a given
technology only after it becomes an industrial standard, which 4. Importance of policy space for science,
also implies that they can adapt these existing mature technolo- technology and innovation
gies. This is known as the “latecomer effect”4. However, latecom-
ers also need to acquire new or emerging technologies, which are A pertinent question is whether the current international trade
often associated with dynamic markets. Emerging technological and investment regimes guarantee enough policy space for the
paradigms can serve as a window of opportunity for latecomers Governments of developing countries to promote national sci-
because they are not necessarily locked into the “old” or “mature” ence, technology and innovation capabilities.
technological paradigm and thus are able to make best use of new
Among the relevant multilateral, regional and bilateral agree-
opportunities in the emerging or new industries.
ments, the TRIPS and TRIMs Agreements should both be men-
However, developing countries often go through technological tioned. The TRIPS Agreement establishes minimum standards
learning and capability development before reaching the stage for domestic intellectual property protection with which signa-
where they can fully benefit from the latecomer effects. Public tory countries (excluding least developed countries) are required
and/or private entities need to build a stock of knowledge in the to comply. This has significant implications for permissible sci-
form of human and physical capital, identify the technologies ence, technology and innovation policies at the national level.
and industries in which the country or firm has the larger growth In this regard, certain measures that developed countries used
potential and channel the resources into them, while acknowl- in the course of their industrialization, namely, discrimination
edging the risks of failing to plan. against foreign patent application, or exclusion of such industries
as chemicals and pharmaceuticals, are no longer available. How-
Governments thus have a fundamental role to play in building ever, the TRIPS Agreement contains several “flexibilities” that
science, technology and innovation capabilities, including in can be used by developing countries in designing their own in-
stimulating the development of systems that foster the acqui- tellectual property rights system. Meanwhile, the TRIMs Agree-
ment prohibits practices such as local content requirements man-
4
Alexander Gerschenkron, Economic Backwardness in Historical Per-
spective (Cambridge, Massachusetts, Belknap Press of Harvard University, ufacturing requirements, export performance, trade balancing
1962).

3
requirements and technology transfer requirements. Simply put,
these measures significantly limit policy space for Governments
in developing countries. Beyond this issue, there is the question
of whether the TRIPS rules are the right intellectual property
rights model for developing countries and what implications they
bring in terms of access to knowledge and technology.

There is a need for a global dialogue on the reform of internation-

al trade and investment regimes. In particular, intellectual prop-
erty right systems need to evolve from a focus on protection to
one that fosters dissemination. Stringent protection of intellectu-
al property rights, particularly patents, can be a serious deterrent
in countries’ efforts to achieve sustainable development in gen-
eral and to pursue appropriate industrial policies to that effect.
In this regard, the international community should also consider
several policy issues, including a broad research exemption for
experimental users and judicial power to require non-exclusive
licensing in the spirit of public interest. Moreover, there is a need
to install a minimum safeguard of public interests by ensuring
transparency in licensing and allowing wider use of non-exclu-
sive licensing, particularly in the patenting of results of publicly
funded research.