The government will conduct a customised review system for large research and development (R&D) investments to shorten the time required compared with preliminary feasibility studies while preventing budget waste.

The Ministry of Science and ICT said on Feb. 12 that a plan for a comprehensive overhaul of the large R&D pre-screening system was finally approved at the fifth deliberation meeting of the National Science and Technology Advisory Council.

The preliminary feasibility study applied to R&D projects since 2008 has taken an average of more than 2 years, drawing criticism that it makes it difficult to secure innovative technologies in a timely manner. In particular, because it focuses on economic feasibility, it has had the drawback of forcing researchers to put more effort into proving economic viability than into research outcomes.

The government will scrap the preliminary feasibility study and formally introduce an R&D pre-screening system. It raised the threshold for large R&D subject to pre-screening to 100 billion won from 50 billion won. It plans to classify projects into research-type and infrastructure-type depending on their nature and apply a tailored screening system.

Research-type R&D to undergo project planning checks

Under the overhaul, new research-type R&D projects of 100 billion won or more will undergo project planning checks before budget deliberations. Research-type R&D refers to R&D-focused projects such as development of strategic technologies including AI, quantum and bio, technology commercialisation, and workforce training. It is an area where ensuring speed and flexibility, the key purpose of scrapping the preliminary feasibility study, is especially important.

Project planning checks will be conducted for about 5 months starting in November of the year before a budget request. After notifying each ministry of the results during March, the government will have them supplement shortcomings in new project plans and use them to prepare budget requests. It streamlined evaluation items to 4, including urgency, specificity and duplication, excluding economic feasibility.

Infrastructure-type R&D to be managed systematically under a full life-cycle review system

Infrastructure-type R&D refers to large-scale research facility and equipment construction, development of research complexes, and space-sector system development projects, which are difficult to manage and have large sunk costs. Infrastructure-type R&D projects will be operated under a full life-cycle review system, including project promotion reviews, design suitability reviews and plan change reviews.

At the project promotion review stage, the government will check whether technologies have been secured and project management plans so that projects can proceed successfully without disruption. To reduce risks that could arise when candidate sites are decided first, only candidate sites and selection plans need to be submitted at that stage. For projects that must carry out technology development in advance, it is also possible to first finalise only the relevant budget and proceed.

The system will also include a private-sector-led process to verify actual demand, involving academic societies and associations, so that infrastructure-type R&D projects proceed based on real needs in the research field. The subsequent design suitability review will examine constructability and the appropriateness of the site. Projects can also be halted if the status of securing technology is markedly insufficient or if it is judged unnecessary to continue the project.

Major plan change reviews will be conducted when it is necessary to revise project plans during implementation due to domestic and external environmental changes such as inflation, exchange-rate fluctuations and changes in applicable technologies. For major plan change reviews, it will be possible to apply review items selectively, such as a full re-examination or a unit-cost-focused review, depending on the reason for and timing of the change.

The ministry plans to swiftly establish administrative rules that stipulate the screening standards, methods and procedures for the system and support the settlement of the new system through on-site briefings.

Deputy Prime Minister and Science Minister Kyung-hoon Bae (배경훈) stressed that the comprehensive overhaul of the R&D investment review system following the scrapping of the preliminary feasibility study for the first time in 18 years is the most important achievement among science and technology policies to date in terms of speeding up large R&D and improving the efficiency of fiscal investment.