So, what is Australia doing for the future? Cutting funding to science, that’s what. Since the beginning of 2024, 800 staff have been cut from Australia’s leading scientific research agency, the Commonwealth Scientific and Industrial Research Organisation (CSIRO), and another 350 are to be cut in 2026, which brings the total cuts to over 16% of the organisation’s staff. The Labor government has dealt the CSIRO some of the largest job cuts in the organisation’s history. Science is one of the best defences we have in tackling Australia’s and the world’s future challenges – including climate change, ecosystem collapse, not to mention food security, and health emergencies such as that we experienced the first few years of this decade1.
This reminds me of something I heard years ago: “Politicians hate scientists because scientists keep finding out things which show that the political dogma of the age is either bullshit or dangerous”. If politicians can stop scientists finding out things, they will. This is because it stops them being embarrassed when pandering to, or shovelling money to, their donors. Given the dire predicament the world currently finds itself in with regard to climate change and ecosystem collapse, it makes no sense to drastically cut the Environment Research Unit, which will bear the brunt of these prospective cuts. Unless, of course, you want to stop scientists finding out that government policies are stupid or dangerous. This is the same technique, albeit at a smaller scale, as that used by the idiotic Trump regime.
The idiot Trump has proposed cutting funding for the National Science Foundation (NSF), one of the largest funders of basic research, by some 56% in 2026. Congress has yet to finalise NSF’s 2026 budget, but they are pushing back against Trump’s proposal and seem unlikely to agree to it2.
The National Institutes of Health (NIH) is the largest funder of biomedical research. More than $2 billion in federal research grants were cancelled by the NIH earlier this year as part of Trump’s ‘downsizing’ of the federal government. Agency spending has also been slowed, and 1,300 employees have been sacked. Thousands of universities and other institutions rely on NIH funding for their research3, and if this is not forthcoming, many researchers will likely lose their jobs.
This is just at a time when China is becoming the world’s new science superpower in terms of gross spending on research and development. A new Organisation for Economic Cooperation and Development (OECD) report has revealed that China’s gross domestic expenditure on R&D (GERD), was US$780.7 billion – 95% of US spending (US$823.4 billion), up from 72% in 2013. This, in 2023, translates to an 8.7%, growth in R&D expenditure in China while in the US it is 1.7%, and in the European Union it is 1.6%.” At this rate, China is likely to have passed the American GERD last year (2024). In the OECD – a group of most of the world’s wealthiest countries – in 2023 R&D expenditure grew by 2.4% in inflation-adjusted terms, down from 3.6% in 20224. China seems to be set to win the race to the future.
As I have said elsewhere, the main aim of the Chinese government seems to be building a future for the nation, while in the US, Australia and elsewhere the main aim seems to be making sure that shareholders (and those making political donations) get the maximum return on their investment each and every year. With such short-term thinking, the future is of little concern beyond the accumulation of more money by these very few.
Sources
- https://greens.org.au/news/media-release/greens-secure-senate-inquiry-csiro-job-cuts
- https://www.science.org/content/article/despite-trump-chaos-nsf-avoided-feared-dip-research-financing
- https://www.cbsnews.com/news/national-institues-health-clinical-trial-funding-cuts-cancer-research/
- https://www.universityworldnews.com/post.php?story=20250404133241546
https://archive.is/wnG8Q
Most researchers miss out on innovation grants while medical fund sits on $25b
This seems to be a growing sickness. The bank mgt philosophy of “future” funds (which often gives financial managers a VERY lucrative income source eg the Future Fund) and certain well known charities (I won’t name them, you should do your own research on charity financials, but think respected animal protection and child education) is overriding their core business/raison d’etre. SOME capital is necessary for big charities and special govt funds but the earning/expenditure balance appears to be way out of whack.
Speaking of funding – for the present and the short term future.
One of the great travesties of modern federal politics is the abject failure of successive goverments (from Howard on) to manage our finite (offshore) “petroleum” (and onshore mineral) resources – in fact the whole of the national estate and environment – for the benefit of all Australians. If you haven’t bothered to read or think about this then it’s time to get involved/informed. I implore you to listen to the podcast, and get VERY angry. Ironically our RBA legislation specifically directs bank officials and politicians that policy must be ‘directed to the greatest advantage of the people of Australia’ (subtext: rather than narrow political and private/commercial advantage). Some will think, as I do – surely that should be the driver of every political act and decision! Often it is, or is intended, but in this case our politicians simply don’t give a fig that the public is being rogered, despite the patently obvious evidence available to them.
ABC Radio Nightlife Philip Clark Interview with Richard Denniss – 7.47 into the podcast. https://www.abc.net.au/listen/programs/nightlife/nightlife/107006990
“First Hour – Gas, Tax and Trickery – Australia’s natural gas, why do we give so much of our natural resources away, basically for free? Even paying some companies to export it back to us at high prices. The government collects more from the beer excise and HECS repayments than from our so called Petroleum Resource Rent Tax. Australia Institute’s Richard Denniss joined Philip Clark on Nightlife to discuss how, when the price of resources surge, Saudis feel rich, yet the little Aussie battler is getting nothing.”
Albonko’s hubristic response to a Green’s question on a gas tax in parliament (50:25 in podcast) is telling: ignore the question, attack the Greens. He tried the same tactic when David Pocock raised the topic in parliament. That Albanese oversees (he certainly doesn’t lead) our nation is another travesty. By the time he grows a spine and is forced to adopt a gas export tax (no doubt watered down from the suggested 25%) the cost to you and me will already be a conservative $44B !!! (assuming $350M/week and implementation after the next election in 2028). Interestingly One Notion has a 10% gas export tax policy and the LNP is belatedly talking about funding Australia on the back of becoming an energy powerhouse (including coal, gas and uranium, while dumping Net Zero of course).
Sadly Philip Clark has still not bothered to read up on the topic (20:10), despite twice having people on his program to discuss this critical issue. On the first occasion he had someone who, unlike Richard Denniss, frankly knew sfa and simply regurgitated what others had said publicly in the brief period after Pocock’s questions on a gas export tax. Fortunately Denniss didn’t allow Clark’s misinformed questioning/commentary to mislead listeners. I’m probably being a little harsh on Clark, he was trying to be “balanced”, but he should have done some basic research (especially about the Norway experience) after Nightlife’s initial foray. I sent him some links but don’t know if they ever got to him. He certainly hadn’t read the content if his comments and questions are any guide.
Norway’s oil history in 5 minutes https://www.regjeringen.no/en/topics/energy/oil-and-gas/norways-oil-history-in-5-minutes/id440538/
Norway’s Petroleum History https://www.norskpetroleum.no/en/framework/norways-petroleum-history/
Managing Resource Booms: The Norwegian Sovereign Wealth Fund (Australian Institute perspective) https://www.nordicpolicycentre.org.au/norway_sovereign_wealth_fund