US innovation stimulus a success, says Holdren

The big burst of spending on R&D in the US in 2009 - 2010 as part of the economic stimulus package has been a success, delivering new facilities that will outlive these two years and generating new research outputs from the National Science Foundation, the National Institutes of Health and the Department of Energy. The US has been able to reinforce its position in strategic energy technologies, such as advanced batteries and photovoltaics.

“There are many success stories,” Holdren told ScienceBusiness. The problem now is that after the feast, US researchers are facing a famine, with flat budgets for 2011 and 2012. Holdren admitted this funding cliff has turned out to be steeper than expected. “We thought we could minimise it because of increases in the basic budget.” This hasn’t played out however: as yet the 2011 budget is has not been agreed and the 2012 budget presented by President Obama last week would see overall R&D funding rise by only 5 per cent.

“The administration had to make some very difficult choices,” Holdren said. “Not everything in science and technology did well, but [overall] it did well given the fiscal environment.” Holdren added that some “hard choices” were made in drawing up the budget. “Lots of things we are not funding we would like to fund; lots of things are being cut we would like to fund.”

Don’t throw the engine overboard

Maintaining the science budget, “Reflects the President’s understanding that R&D is the driver for economic growth, so this is not the time to stop investing,” Holdren said, adding, “If you are worried about the airplane being overweight the first thing you throw overboard shouldn’t be the engine.” However, it is unlikely the proposed 2012 will get approval as it stands. “It’s obviously going to be a challenge, given the determination of some in the Congress to cut all expenditure.”

Holdren outlined the future for US R&D funding at the American Association for the Advancement of Science meeting in Washington on Friday (February 18) where he gave a “mid-course update” on the policy for science, technology and innovation in the Obama adminstration, and warned if the US does not maintain spending it risks losing its position as number one in science and technology. “Everybody is looking at China and saying, if we don't lift our game, China is going to eat our lunch economically because the amount they are investing in science, technology and innovation - while it has not yet reached anything like our level - is rising very quickly," Holdren said.

China is doing "extraordinary things" in terms of science and innovation, said Holdren, citing the 400 kilmetre per hour maglev that carries passengers from Shanghai airport to the city and a $200 million automotive research facility he had visited with three wind tunnels that is larger than any in the US. Looking at China’s advance  it's no longer “ automatic” that the US will be number one in science, technology and innovation. “We have to out-innovate. We don’t want the US sliding into an inferior postion in science and technology,” Holdren said.

The US is “at some sort of turning point.” President Obama,  “Does not want to preside over the US sliding into an inferior position. It ends up compromising our economy, compromising our balance of payments and ultimately compromising our security," Holdren concluded.