How To Understand The Benefits Of An International Trade Union
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1 Sustainable financing of the digital inclusion in Brasil Brasília, June 7 th, 2005 Dep. Julio Semeghini Câmara dos Deputados Brazil
2 Agenda ITC industry and its usage in Brazil Legal framework for the incentive of ITC in Brazil Financing the digital inclusion Sustainable policy for the digital inclusion Bids regarding ITC in course at the Câmara dos Deputados Conclusions
3 ITC industry and its usage in Brazil ITC sells in Brasil, 2003 Position Sector Sells US$ billions % 1 Communications 26, Hardware 4, Infrastructure 4, Software 2,2 5 5 Services 1,7 4 - Total 39,7 100 Source: Ranking Informática Exame, Set/04
4 ITC industry and its usage in Brazil Digital divide in Brazil and its situation comparing to other IPAIT members Internauts by 1000 inhabitants, 2002 Canadá Paises Baixos Bélgica Finlândia Espanha Italia Israel Coréia do Sul Polônia Lituânia Costa Rica Croácia Malásia Albânia Venezuela Romênia Brasil Tailândia Arábia Saudita Cazaquistão Fiji Filipinas Turquia Jordânia China Irã El Salvador Argélia Vietnã Guatemala Marrocos Índia Bangladesh Sudão Nepal Quênia Iêmen Nigéria Ruanda Angola Etiópia 82 (HDI 72) 552 (HDI 28) By HDI order Source: UN Human Development Report, 2004
5 ITC industry and its usage in Brazil Internauts evolution in Brazil and its relation to NGP growth 12,00% 11,00% 10,00% 9,00% 8,00% 7,00% 6,00% 5,00% 4,00% 3,00% 2,00% 1,00% 0,00% Internauts and GNP 7,90% 8,10% 7,00% 5,80% 11,50% 5,20% 4,40% 1,90% 1,30% 0,50% Internautas Cresc. PIB Source: Nielsen-NetRating, Computer Ind. Almanac, IDC, Brazilian ISC e IBGE
6 ITC industry and its usage in Brazil Internet point of access in Brazil 35% 30% 31% 27% 31% 25% 20% 15% 10% 11% 5% 0% Home Work Relatives School Source: IBRANDS, 2001
7 Legal framework for the incentive of ITC in Brazil Informatics Act 1984 Informatics Act 1991 Market closure Informatics Act 2001 Informatics Act IV e V 2003 e 2004 Need of a Basic Production Process to intitle to federal tax reduction (IPI e IR) 5% investment in R&D R&D in-house and in public fund (CT-Info) BPP for IPI reduction Research Centers Regional induction criteria Extension of incentives
8 Legal framework for the incentive of ITC in Brazil Results of the Informatics Act (ITC segment over brazilian's NGP) Informatics Act II BPP, R&D, IPI, IR Informatics Act III IPI, CT-Info, Research Centers
9 Legal framework for the incentive of ITC in Brazil Results of the Informatics Act (cont.) Federal Tax Deduction x Federal Tax Payed Deductions: US$ 1800 millions Payed: 3200 millions Deductions Payed Fonte:MCT, 2003
10 Legal framework for the incentive of ITC in Brazil PDTI/A Act 1993 Lei Innovation de Inovação Act 2003 Ind. & Agr. Dev. Prog. Incentives for product acquisition for companies that invests in R&D (IRPJ e IPI) Incentive for Universities (and others) and companies to innovate - Profit commission for the researcher - Creation of investments funds. Innovation Act II 200? Incentives: IRPJ, CSLL, Pis, Cofins? Different from Informatics Act? Social Security?
11 Financing the digital inclusion Diminishing the digital divide How to cross the bridge?
12 Private initiative Financing the digital inclusion Sector s sinergy Universities and academy Public Sector - Governm. -National, -Regional and -Municipal. Citizen serving estructure Third Sector: -NGOs -Foundations/ Associations -Unions -Servicing clubs
13 Financing the digital inclusion Estimate of investments in Brazil, 2005 Federal Budget US$ 144 millions Social actions of the private sector US$ 40 millions Public Sector Private economy implementation ONGs
14 Financing the digital inclusion Strategic Programs - official budget Education: - Student s labs, - Professional learning Companies social responsability Worker Assistance Fund (FAT) Partnerships with Unions Governmental Infrastructure: - Computers for public servicing Post Office, Reg. Secretaries, Fundations, etc
15 Financing the digital inclusion Strategic Programs - official budget (cont.) Access and citizen s trainning: - National Gov. (with partnerships) - Casa Brasil (House Brazil) - Telecentros - Regional Gov. - Acessa São Paulo - Local Gov. - City of São Paulo 200 telecenters working, 100 munipalties attended and 13 millions of attendees Partnership with third sector
16 Financing the digital inclusion Strategic Programs - not budgetary Informatics Act: - incentives to national production and technological R, D & I FUST: - ICT s universalization PC Conectado (Connected PC): - objective: computers acquisition for small and medium companies and for citizens - Tax Incentives - Low interests financing
17 Financing the digital inclusion Investments x Needs 180 millions inhabitants 150 millions info-excluded 40 millions address without telephone small business 7000 municipalities lybraries schools Lei de Inovação
18 Financing the digital inclusion Investment effectiveness FUST(*) Available funding = US$ 200 millions / year = US$ 200 millions / 140 millions info-excluded= US$ 1,4 / info-excluded / year (*): Telecom. Universalization Fund (1% of telecom. bills) Examples of needs Payment of telephone lines for the divided = US$ 12 / month x 12 month x 40 millions addresses = US$ 5,7 billions / year Informatization of small business (only needed for 50% of them) US$ 700 / computer x business = US$ 1,58 billion
19 Financing the digital inclusion Investment effectiveness and more examples: Schools informatization= schools x 10 computers US$ 700 x 10 x = US$ 1,750 billion Broad band Internet= US$ 12 access x 12 months x = US$ 36 millions/ year Costs estimation for infoinclusion in Brazil = US$ 20 / inhab. / year x 140 millions excluded = US$ 2,8 billions / year
20 Sustainable policy for the digital inclusion Investment effectiveness Scarse financial resources Sustainability of actions needed Technological develpment supporting the financing continuity for digital inclusion initiatives Example of an Act pro for the sustainable tecnological development: Innovation Act
21 Sustainable policy for the digital inclusion Innovation % of innovatives companies Patents leaders in Brazil Petrobras Unicamp Arno CSN CVRD Usiminas Multibras Embraco Corona Eletrolux 5 0 Germany Taiwan United Kingdom Europea n Union France Brazil Innovation example: Campinas State University- Unicamp => US$ 5 millions / year with copyrights Source: Valor Econômico, 23/5/5
22 Sustainable policy for the digital inclusion Created in 1960 São Paulo State Research Support Foundation Financed by 1% of State taxes (US$ 170 millions in 2004) Granted scholarships and aided researchs Kinds of grants: Scholarships: cientific initiation, Master, PhD, Post-Doc Aids: cientific or tecnological research, visiting researcher, events organization
23 Bids regarding ITC in course at the Câmara dos Deputados Digital certification, the usage of electronical sgnatures IT Services Universalization Fund, creation of the FUS-TI Digital divide: Telephone bills reduction for low income citizens and teachers Financing of digital inclusion initiatives in small communities Population literacy in ITC tools Public financing for digital inclusion initiatives using mobile phone companies Establishment of a Brazilian Digital Inclusion Index
24 Bids regarding ITC in course at the Câmara dos Deputados Cybercrimes, their typification Access to Internet information, recording the data Telephone monthly subscription, ending Free software, its option by Public Administration Spam, reglamentation Ban of OEM (Original Equipment Manufacturer) software
25 Conclusions The country is diminishing the digital divide. Digital inclusion must be based on tecnological development policies for the correct offer of products and services compatible with country needs. Financing alternatives must take into consideration country's investment capacity, enabling the implementation of self-sustainable continued policies for the digital inclusion. The Parlament can contribute defining financing alternatives for the digital inclusion.
26 ...tecnhology divided more, because there're people that possess resources enough to enjoy all the benefits of the technology and there're others that are getting every time more abandoned Carlos Drummond de Andrade, 1987 writer
27 Thank you! Dep. Julio Semeghini Câmara dos Deputados Brazil
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