R&D System of Lithuania

Until 1990 the system of R&D institutions was well developed in Lithuania (according to the Soviet standards), especially in the fields of natural, exact and technical sciences. Much of Lithuanian research was structured and run according to the needs of Soviet Union, with a strongly centralized power of direction, which did not give priority to the needs of Lithuania. Institutions conducting research, i. e. higher education establishments and various research entities were controlled by different governing bodies such as the Ministry of Higher Education, the Lithuanian Academy of Sciences, and various ministries of either Lithuanian or former Soviet Union's central Government.

In 1990, after regaining the independence it was clear that existing flow of funds from the East would be terminated in the nearest future. So it was necessary to safeguard research potential of the country as well as to direct the research to fulfil the needs of the Lithuanian industry and also to integrate Lithuanian research system into the international one.

In 1991 the Law on Research and Higher Education was adopted. The Law enforced the principles of autonomy, academic freedom, integration of research and higher education; it described today structure of country's R&D system, and also protected research activities of higher education establishments. Later the institutional structure of R&D was built, the best research establishments gained the status of State Research Institute, the main governing or advisory bodies of Lithuanian R&D system, e. g. the Science Council of Lithuania, the State Research and Higher Education Fund, the Lithuanian Academy of Sciences, were established or reorganized.

Legislative framework

At present the system of research and higher education is based on the Law on Research and Higher Education and the Law on Higher Education. Other legislative acts mainly deal with a regulation of state research sector in Lithuania: legal status of research organisations, the State Research and Higher Education Fund, State research programmes, etc. State research institutes, university research institutes and universities themselves are autonomous units, self-governing according to their statutes.

The status of a state research institute means that the institute has a sufficient scientific potential and is autonomous in determining its own structure as well as in using the budget subsidies. These institutes conduct R&D activities, train scientists and assist higher education establishments in training of specialists. Coordination of activities of state research institutes is provided by governmental acts regulating their main activities in R&D.

The status of university research institute is similar to that of state research institute. University research institutes are more fundamental research-oriented and act in research branches related to teaching programs of corresponding university. University appoints one third of the members of the board of university research institute.

State research establishments are under regulation of corresponding ministries or universities. Ministerial institutes concentrate their activities on applied research and/or development. State research establishments regulated by universities shall be reorganised to university research institutes or closed till the end of 2003.

On September 1, 2000 the Law on Higher Education entered into force. Although the main purpose of the law is to provide the bases for higher education activities, research activities of universities and qualifying requirements for university researchers are described in it. The university research institutes are foreseen in the law.

On October 1, 2002 the new version of the Law on Research and Higher Education entered into force. The law reflect today's realities of Lithuanian R&D and is based on worldwide-recognised definitions of R&D activities.

The policy of research is formed and implemented by the Ministry of Education and Science in collaboration with the Science Council of Lithuania.

The Science Council of Lithuania is the main scientific expert by the Seimas (Parliament) and the Government of the Republic of Lithuania on issues of organizing and financing of research and higher education. The Science Council is formed and acts according to the regulations approved by the Seimas.

The Lithuanian Academy of Sciences is an autonomous, state-subsidized scientific establishment, which brings together the most distinguished Lithuanian scientists, as well as foreign scholars whose activities are related to Lithuania.

At July 2002 the Government approved the following R&D priorities:

1. Research to ensure quality of life of people:
• genomics and biotechnology for health and agriculture,
• qualitative, safe and ecological food technologies,
• changes of ecosystems and climate.
2. Research to promote a knowledge-based society:
• information society technologies,
• citizens and governance in a knowledge-based society,
• protection of national identity under globalisation.
3. Research to create nanotechnologies:
• nanosciences,
• nanotechnologies,
• development of multifunctional nanostructure-based materials.
4. R&D activities on nuclear safety of Ignalina nuclear power station in the stages of its operation and closure, and management of radioactive waste:
• nuclear safety,
• radioactive waste management.
5. R&D to increase international competitiveness of Lithuanian industries: development of biotechnologies, mechatronics, lasers, information and other high technologies.

During the last decade Lithuania managed to safeguard its research potential. In 2001 numbers of researchers per 1000 labour force (5.9) as well as having PhD or higher degree (2.9) were comparable to that of European countries. These figures remain practically unchanged during last five years at least. Here it has to be mentioned that practically all researchers (c.a. 95 %) are concentrated in Higher Education and Government Sectors. At that point Lithuania differs from developed countries hugely.

At present Lithuanian R&D system consists of about 175 institutions. In Lithuania there are:

• Higher Education sector:
• 16 Universities,
• 10 State Research Establishments,
• Government sector:
• 16 State Research Institutes,
• 9 University Research Institutes,
• 8 State Research Establishments,
• about 30 other entities,
• Business Enterprises sector:
• about 90 entities.

In 2001 the distribution of R&D personnel among the sectors was following:

In 2000 distribution of researchers having PhD or higher research degree was following:

physical sciences biomedical sciences among them: - agricultural - natural - medical technological sciences social sciences humanities

22 % 37 % 41 %

20 % 27 %       21 % 16 % 16 %

In previous years more than 95 % of expenditures on R&D were made in Higher Education and Government sectors. Gross Domestic Expenditure on R&D (GERD) was constantly growing since 1991 and reached 0.52 % of Gross Domestic Product (GDP) in 1996. In 1997 - 1999 GERD was rather stable, and started to grow in 2000:

It has to be noticed that increase of GERD is caused only by rise of expenditures on R&D in Business Enterprises sector. Fraction of State budget funds in GERD is diminishing from 2000, although Government expenditures on R&D in percentage of GDP were rather stable.

As a consequence of rise of expenditures on R&D in Business Enterprises sector, the distribution of GERD became more development-oriented. The fraction of personal costs, which was unusually high in previous years, diminished. The fraction of capital expenditures increased several times:

Although the increase of business expenditures on R&D in 2000 and 2001 improved statistical figures, situation in Higher Education and Government sectors remains practically the same as five years ago. Growth of capital expenditures in these sectors is insufficient, personal costs are close to 80 % of all expenditures. Links between industry and academia remain not strong enough. This feature of Lithuanian R&D is typical for all economies in transition. Increase of business expenditures on R&D in Lithuania at present doesn't mean sufficient growth of R&D activities in Business Enterprises sector because capital expenditures are close to three quarters of overall expenditures in that sector. Nevertheless, growth of industrial R&D can be expected in the nearest future, so the increase of business expenditures on R&D seems to be encouraging.

Future development of R&D system

At present a reform of R&D system is being launched. The main goal of the reform is to increase the efficiency of R&D system and to strengthen links between research and industry. Programs for upgrading and modernizing research equipment of universities and state research institutes are being implemented since 1998.

It is planed to increase gradually the funds assigned for the State Research and Higher Education Fund up to 25 % of State budget funds allocated to research. These funds will be used for competitive funding of research and are already used to support collaboration between industry and research entities. The Fund is being reorganized in order to make it able to distribute increasing amount of funds.

In order to improve coordination of Lithuanian R&D activities ant to increase efficiency of country's R&D system in September 2002 the Government established the Council on Science and Technologies. The Council is formed of R&D-related ministers, outstanding researchers and representatives of industry. The Council is chaired by the Prime Minister.

Lithuania is going to participate in the 6^th Framework Programme. Necessary legal acts are under preparation, the new country's NCP system is started to create.