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28.09.2011




e-Estonia:
strategic decisions for success
                               Ivar Tallo




                 Just to remind you ….
                 We are a very small country in
                 a cold Nordic neighborhood!

                 Population: 1.4 mil people
                 Area: 45.000 km2

                 Member of the European Union
                 and NATO as of 2004

                 Regained independence from
                 the USSR in 1991

                 Adopted euro in 2011




                                                          1
28.09.2011




                                Rank=19                Rank=12




                                                                     Rank=28
                Rank=34




                  Rank=47                                              Rank=12




                        Rank=25                                 Rank=28


                                           Rank=24
                                                                                                 The Global
                                                                                                 Competitiveness
                                                                                                 Raport 2011 - 2012

                                                                                                           World Economic Forum




                                    Internet penetration 2011 (%)
     100%
                97
                       92
      90%                      86 85
                                              80
      80%                                             76
                                                              69 68
      70%                                                           66
                                                                                     60 58 58
      60%

      50%
                                                                                                 48
                                                                                                      43
      40%                                                                                                   34
      30%

      20%

      10%

        0%




Internet penetration, 31th Mar 2011Source: http://www.internetworldstats.com/stats4.htm#europe




                                                                                                                                          2
28.09.2011




                 GDP per capita in PPS (2009)
300

250

200

150

100

50

 0




      EUROSTAT




                                    Why Estonia?
                     Internet penetration – 76 %
                     98% of under 35’s are frequent
                     internet users
                     Fully functional e-government
                     infrastructure
                     7 years experience of complex
                     e-service provision
                     92% of Personal Income Tax
                     Declarations submitted on-line
                     i-Voting on all elections since 2005
                     First evercyber-riots
                     „Cradle“ of Skype


 9/28/2011




                                                                    3
28.09.2011




                                        How did we get there?


 Tiger Leap Foundation                 Come Along, computer usage
to support ICT in schools               courses for 100 000 citizens


                                                   2009
        1997                2002
                                                   2010


                  Computer and Internet
            usage courses for 100 000 citizens –
                   look@world project




                            729 Public Internet Access Points




                                                                               4
28.09.2011




                                                         Some landmarks




                                        An intriguing question …

Why did Estonia differ from its Baltic neighbours? ⃰
                                                                              74                2000
                                                                         71
 Estonia                                          53
                                                               64                               2002
                                    42
                             29
                                                                                                2004
                                                                      68
                                                               63                               2006
                                                  54
   Latvia                          39
                        22                                                                      2008
               6
                                                                                                2010
                                                             62
                                                    55
                                        44
Lithuania                     31
                                                         : ITU World Telecommunication / ICT Indicators Database

                      18
               6

                                             : ITU World Telecommunication / ICT Indicators Database

                                                ⃰Internet penetra on rate as measured by Emor




                                                                                                                           5
28.09.2011




                                        Politics matters

Similar size
Similar geographical location
Similar social and political experience

Estonia prioritized the ICT development and backed it
up by real government resources ~ 1% of budget every
year between 1994 and 2004
The total sum not as important as continuity




                              The reasons for success

General consensus among main forces
in Estonian society
Commitment of political elites
Right mix of private and public initiative
Active role of government
Project based development
Little baggage of previous practices




                                                                   6
28.09.2011




                                                                  E-cabinet




2000                                       2011


 e-Estonia as a political project.




                                     E-Government infrastructure

       Access
        – citizens: PIAPs, Look@World
        – offices – village road 1, 2, 3

       Digitalized information
        – Information systems and databases in all levels of government
       Formalized exchange
        – x- Road - the connection of government databases by a data
          exchange service layer

       Electronic Identity
        – Authentication of a user by digital certificate imbedded in the ID
          card or SIM card




                                                                                       7
28.09.2011




                                e-Factory

e-Energy              e-Parlament


  e-Banking


                                      x-Road Center




                                                 e-Health

           e-School
                         e-Identity




                                                                    8
28.09.2011




                            Databases / information systems                                                                                   Banks


                                                                       Document                                                            • Ühispank




                               National Pension




                                                                                              Documents
Population




                                                                                               repository
             Insurance
Register




                                Insurance
              Register
                                                                                                                                           • Hansapank




                                                        Register
                                                                         record
                                                                         Document




                                 Register




                                                         Vehicle
               Health
                                                                           Document
                                                                      management
                                                                           record                                                          • Krediidipank
                                                                             record
                                                                        systems
                                                                       management                                                          • Sampo Pank
                                                                         management
                                                                          systems                                                          • Nordea Pank
                                                                            systems


Security     Security       Security                   Security               Security      Security                                       Security
 server       server         server                     server                 server        server                                         server

                                                   Internet              X-road


 Security                         ::    …         ::                                                       Security
  server         :: E-institution – institution view ::                              Central                server
                                                                   Central
                    :: E-county – county view ::                   server I         monitoring




                                                                                                     http://www.riik.ee/arr/
   :: Governmental Portal – Your Estonia ::
   Institutional view of  Thematic view of                                                                                                     ID – card




                                                                                                                               Databases
         the state            the state                              Central         HelpDesk




                                                                                                                                Register

                                                                                                                                National
       www.riik.ee         www.eesti.ee                              server II
                                              AIT
       KIT            EIT
                                       Public servant         X-road certification center
  Citizen view Enterpriser view
                                           view

                                                                                                                                       Certification Center
                                                                          X-road center




                                                                                                National ID card

                                                                              Issued by:
                                                                                      Department of Citizenship and
                                                                                      Migration
                                                                              Subcontractor:
                                                                                      TRÜB Switzerland

                                                                                         First card issued: 01.01.2002
                                                                                         Over 1.100.000 now

                                                                              Satisfies the requirements of:
                                                                              ICAO Doc. 9303 part 3
  Based on 16 Kb RSA crypto-chip:
  2 private keys; authentication
  certificate;
  certifacate to issue digital signature;
  A file with personal data




                                                                                                                                                                      9
28.09.2011




   Reform of Government 1990s
Weberian Bureaucracy + Internet




   Reform of Government 2000s
       One Stop Shop approach




                                         10
28.09.2011




Reform of Government 2010s
   Integrated E-Government




                                    11
28.09.2011




       12
28.09.2011




                                      Privacy by design
  Digital case file
  Digital prescription
         Controlling the access to my data
         Empowering others
         Getting better service
         Helmes session tomorrow at 15.00 in Allegro




                                 The coming e-government

   Integration of different levels of government in service
   provision
   Integration of different user roles in a single gateway
   24/7 government
   “Do it yourself” government
   Mobile-government: government coming to you ...

Some more working examples of integrated e-government:




                                                                     13
28.09.2011




                   100
                                                                      91%     92%
e-declarations     90                                          82%
                   80                                  74%
    submitted      70
                                               59%
     to the tax    60

                   50
         board                         36%
                   40

                   30           21%
                   20    9%
                   10

                     0
                         2000   2001    2002    2003    2004   2005    2009   2010




                                       Parential leave benefit claim


     A so called complex or
     integrated e-service ….



        18 data requests between
        5 information systems + calculation = 7
        documents in real life = 3 minutes data
        input +1 mouse click




                                                                                            14
28.09.2011




                            45,0
                                                                                                                    41,3 %
                            40,0

                            35,0

                            30,0
                                                                                                               34,8 %
                                                                                               33,6 %
                            25,0                                              30,0 %
Parential                   20,0
                                                              19,7 %
   leave                    15,0

                            10,0

 benefit                     5,0
                                                10,0 %

  claims                     0,0
                                        2005            2006             2007             2008          2009            2010



                                   18000               14549        15031                               17147
                                                                                15096        15868                 16770
                                   16000
                                   14000
                                   12000
                                    10000
                                     8000
                                     6000
  Electronic submissions                                                    4527         5324         5961       6921
                                     4000        1451         2967
            Total claims              2000
                                         0
                                                2005
                                                             2006
                                                                         2007
                                                                                        2008
                                                                                                     2009
                                                                                                                 2010




                            30,0

                                                                                                                   24,5 %
                            25,0


                            20,0


Internet                    15,0                                                                         15,8 %
                                                                                      14,8 %
  voting                    10,0



      in                     5,0             1,9 %                   5,5 %

 Estonia                     0,0
                                        KOV 2005             RK 2007            EP 2009           KOV 2009        RK 2011



                                   700000                                                               658213
                                                            496 336       550213
                                   600000                                                                               575133
                                   500000                                                396982
                                   400000
                                   300000

     Valid internet votes           200000
                                    100000           9287             30243
        Total valid votes                                                            58669           104313       140764
                                            0
                                                KOV 2005
                                                                RK 2007
                                                                                   EP 2009
                                                                                                 KOV 2009
                                                                                                                 RK 2011




                                                                                                                                        15
28.09.2011




                                 Driving forces of eGov

Stable and functioning organizational setup for
coordination

Leadership and political will
Fixed info-political principles
PPP, good telecom infrastructure and high level of
eBanking
Supporting legal and fiscal frameworks
Interoperable ICT architecture




                       Status of e-gov developments

Information society/paperless office/on-line
government/e-government/m-government
/e-governance/good governance

Spread of e-government “deeper”
Spread of e-government “broader”
– From early adaptors to mainstream
– Both in terms of institutions & people
– Inclusive e-gov, reinforcing the concept of inclusiveness
  of information society




                                                                     16
28.09.2011




We are in a new reality where ICT useage is not a hobby,
not a tool but a major building block of that reality

The reality has already changed but our minds have not
recognized it yet

We need to work on new fundamentals and not just
sharpening our knives and swords




                                            e-Estonia.com




                                                                   17
28.09.2011




Thank you!
Questions?

                       Ivar.Tallo@ega.ee
                        Check for additional information WWW.EGA.EE


 This presentation is financed by Estonian Information System’s Authority from
 European Regional Development Fund.




                                                                                        18

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Plenary1 ivar tallo

  • 1. 28.09.2011 e-Estonia: strategic decisions for success Ivar Tallo Just to remind you …. We are a very small country in a cold Nordic neighborhood! Population: 1.4 mil people Area: 45.000 km2 Member of the European Union and NATO as of 2004 Regained independence from the USSR in 1991 Adopted euro in 2011 1
  • 2. 28.09.2011 Rank=19 Rank=12 Rank=28 Rank=34 Rank=47 Rank=12 Rank=25 Rank=28 Rank=24 The Global Competitiveness Raport 2011 - 2012 World Economic Forum Internet penetration 2011 (%) 100% 97 92 90% 86 85 80 80% 76 69 68 70% 66 60 58 58 60% 50% 48 43 40% 34 30% 20% 10% 0% Internet penetration, 31th Mar 2011Source: http://www.internetworldstats.com/stats4.htm#europe 2
  • 3. 28.09.2011 GDP per capita in PPS (2009) 300 250 200 150 100 50 0 EUROSTAT Why Estonia? Internet penetration – 76 % 98% of under 35’s are frequent internet users Fully functional e-government infrastructure 7 years experience of complex e-service provision 92% of Personal Income Tax Declarations submitted on-line i-Voting on all elections since 2005 First evercyber-riots „Cradle“ of Skype 9/28/2011 3
  • 4. 28.09.2011 How did we get there? Tiger Leap Foundation Come Along, computer usage to support ICT in schools courses for 100 000 citizens 2009 1997 2002 2010 Computer and Internet usage courses for 100 000 citizens – look@world project 729 Public Internet Access Points 4
  • 5. 28.09.2011 Some landmarks An intriguing question … Why did Estonia differ from its Baltic neighbours? ⃰ 74 2000 71 Estonia 53 64 2002 42 29 2004 68 63 2006 54 Latvia 39 22 2008 6 2010 62 55 44 Lithuania 31 : ITU World Telecommunication / ICT Indicators Database 18 6 : ITU World Telecommunication / ICT Indicators Database ⃰Internet penetra on rate as measured by Emor 5
  • 6. 28.09.2011 Politics matters Similar size Similar geographical location Similar social and political experience Estonia prioritized the ICT development and backed it up by real government resources ~ 1% of budget every year between 1994 and 2004 The total sum not as important as continuity The reasons for success General consensus among main forces in Estonian society Commitment of political elites Right mix of private and public initiative Active role of government Project based development Little baggage of previous practices 6
  • 7. 28.09.2011 E-cabinet 2000 2011 e-Estonia as a political project. E-Government infrastructure Access – citizens: PIAPs, Look@World – offices – village road 1, 2, 3 Digitalized information – Information systems and databases in all levels of government Formalized exchange – x- Road - the connection of government databases by a data exchange service layer Electronic Identity – Authentication of a user by digital certificate imbedded in the ID card or SIM card 7
  • 8. 28.09.2011 e-Factory e-Energy e-Parlament e-Banking x-Road Center e-Health e-School e-Identity 8
  • 9. 28.09.2011 Databases / information systems Banks Document • Ühispank National Pension Documents Population repository Insurance Register Insurance Register • Hansapank Register record Document Register Vehicle Health Document management record • Krediidipank record systems management • Sampo Pank management systems • Nordea Pank systems Security Security Security Security Security Security Security server server server server server server server Internet X-road Security :: … :: Security server :: E-institution – institution view :: Central server Central :: E-county – county view :: server I monitoring http://www.riik.ee/arr/ :: Governmental Portal – Your Estonia :: Institutional view of Thematic view of ID – card Databases the state the state Central HelpDesk Register National www.riik.ee www.eesti.ee server II AIT KIT EIT Public servant X-road certification center Citizen view Enterpriser view view Certification Center X-road center National ID card Issued by: Department of Citizenship and Migration Subcontractor: TRÜB Switzerland First card issued: 01.01.2002 Over 1.100.000 now Satisfies the requirements of: ICAO Doc. 9303 part 3 Based on 16 Kb RSA crypto-chip: 2 private keys; authentication certificate; certifacate to issue digital signature; A file with personal data 9
  • 10. 28.09.2011 Reform of Government 1990s Weberian Bureaucracy + Internet Reform of Government 2000s One Stop Shop approach 10
  • 11. 28.09.2011 Reform of Government 2010s Integrated E-Government 11
  • 13. 28.09.2011 Privacy by design Digital case file Digital prescription Controlling the access to my data Empowering others Getting better service Helmes session tomorrow at 15.00 in Allegro The coming e-government Integration of different levels of government in service provision Integration of different user roles in a single gateway 24/7 government “Do it yourself” government Mobile-government: government coming to you ... Some more working examples of integrated e-government: 13
  • 14. 28.09.2011 100 91% 92% e-declarations 90 82% 80 74% submitted 70 59% to the tax 60 50 board 36% 40 30 21% 20 9% 10 0 2000 2001 2002 2003 2004 2005 2009 2010 Parential leave benefit claim A so called complex or integrated e-service …. 18 data requests between 5 information systems + calculation = 7 documents in real life = 3 minutes data input +1 mouse click 14
  • 15. 28.09.2011 45,0 41,3 % 40,0 35,0 30,0 34,8 % 33,6 % 25,0 30,0 % Parential 20,0 19,7 % leave 15,0 10,0 benefit 5,0 10,0 % claims 0,0 2005 2006 2007 2008 2009 2010 18000 14549 15031 17147 15096 15868 16770 16000 14000 12000 10000 8000 6000 Electronic submissions 4527 5324 5961 6921 4000 1451 2967 Total claims 2000 0 2005 2006 2007 2008 2009 2010 30,0 24,5 % 25,0 20,0 Internet 15,0 15,8 % 14,8 % voting 10,0 in 5,0 1,9 % 5,5 % Estonia 0,0 KOV 2005 RK 2007 EP 2009 KOV 2009 RK 2011 700000 658213 496 336 550213 600000 575133 500000 396982 400000 300000 Valid internet votes 200000 100000 9287 30243 Total valid votes 58669 104313 140764 0 KOV 2005 RK 2007 EP 2009 KOV 2009 RK 2011 15
  • 16. 28.09.2011 Driving forces of eGov Stable and functioning organizational setup for coordination Leadership and political will Fixed info-political principles PPP, good telecom infrastructure and high level of eBanking Supporting legal and fiscal frameworks Interoperable ICT architecture Status of e-gov developments Information society/paperless office/on-line government/e-government/m-government /e-governance/good governance Spread of e-government “deeper” Spread of e-government “broader” – From early adaptors to mainstream – Both in terms of institutions & people – Inclusive e-gov, reinforcing the concept of inclusiveness of information society 16
  • 17. 28.09.2011 We are in a new reality where ICT useage is not a hobby, not a tool but a major building block of that reality The reality has already changed but our minds have not recognized it yet We need to work on new fundamentals and not just sharpening our knives and swords e-Estonia.com 17
  • 18. 28.09.2011 Thank you! Questions? Ivar.Tallo@ega.ee Check for additional information WWW.EGA.EE This presentation is financed by Estonian Information System’s Authority from European Regional Development Fund. 18