Flagship DeTIKNas (Indonesian National ICT Council

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Flagship DeTIKNas (Indonesian National ICT Council ICT2007 Indonesia Summit and TechoConference, 3-4,5,2007 1

[1] What are the key paradigms of DeTIKNas [2] Understanding the flagships of DeTIKNas [3] Discussing the critical issues of Indonesian ICT 2

Understanding Indonesia ICT Market Growth Source: International Data Center, 2006 3

Understanding Indonesia Infrastructure Profile Source: International Data Center, 2006 4

ICT Indicators Comparison Indonesia Vs Other Countries Source: International Data Center, 2006 5

SUMMARY Summary of Current Status Status & Issues Strategy Service The professional supports are required to formulate policies and to collect all stakeholders opinion & demands In order to make more practical implementation, there are needs for more strong management and leadership Despite the comparatively high rate of website development, they are still at very early stages, providing limited benefit to the users Most systems of GOI have been developed separately without coordination and consideration to web service, so they are very limited as e-government systems Fields Infra The gap of ICT utilization level among the institutions (local and central governments, one ministry and others) is quite large Generally the grade of e-government infrastructure is still primary Management Etc. Establishment of the strong and systematic management is needed for e- Government implementations There needs integrated way of e-government implementation to prevent overlapping and duplicate planning The lack of human resources in public sector and absence of information culture must be solved for e-government development More laws and regulations should be issued focusing on informatization promoting, electronic document usage and exchange, and protection of private information 6

Vicious Circle Resistance & anti-feeling against e- Government Lack of awareness & recognition on needs of e-government Unwillingness to share information and data Culture Digital Divide Insufficient Infrastructure Lack of Service System ICT Infrastructure Main Obstacles Leadership on e-government Implementation Central vs. Local Legislation Budget Allocation Standard 7

INDONESIAN ICT PROBLEMs A lot of scattered ICT programs Non effective coordination among agencies Limited and redundant budget PROGRAM COORDINATION 8

Indonesian National ICT Council PARTNER TEAM ICT Society, ICT Association, Universities, Chamber of Commerce, Technology Vendors, etc. Chairman: President Vice Chairman: Coordinating Minister of Economy Executive Chairman: Minister of CIT Member: Minister of Finance, Education, Internal Affairs, Industry, Trade, Research & Technology, State Apparatus, Law & Human Rights, National Planning Secretary Attached to MICT ADVISORY TEAM ICT Expert Team of 4 Universities International and National ICT Experienced Individual Experts NICTC handles crosssectoral ICT projects and/or ICT projects needs significant policy/regulatory change... Facilitation and incentive scheme for. ICT industry develop........ NIN MAIN ROLES Strategic direction and ICT policy ICT development approval ICT implementation performance measure e-education E-Government Services E-Proc E-Announcement Software Legal Executive Secretary performs daily duties NSW 9

Keppres No. 20 Tahun 2006 Tugas Dewan TIK Nasional Merumuskan kebijakan umum dan arahan strategis pembangunan nasional, melalui pendayagunaan teknologi informasi dan komunikasi (TIK); Melakukan pengkajian dalam menetapkan langkah-langkah penyelesaian permasalahan strategis yang timbul dalam rangka pengembangan TIK; Melakukan koordinasi nasional dengan instansi pemerintah pusat/daerah, BUMN/D, dunia usaha, lembaga profesional, dan komunitas TIK, serta masyarakat pada umumnya dalam rangka pengembangan TIK; Memberikan persetujuan atas pelaksanaan program TIK yang bersifat lintas departemen agar efektif dan efisien. 10

INDONESIA ICT BLUEPRINT: MAIN COMPONENTS ICT INFRASTRUCTURE E-EDUCATION Palapa Ring Project Transition into Digital Terestrial TV 3G Implementation BWA Deployment Affordable PCs E-GOVERNMENT Legalization of Software in Government Institutions e-services & e-procurement National Single Window National Identification Number (NIN) e-budget Legalization of Educational Software ICT Human Resources Competency Standard e-education in Formal Education e-education in Non-Formal Education Internet Use for Education Campaign ICT INDUSTRY DEVELOPMENT AND SUPPORTING ELEMENTS Technopark Development ICT Venture Capital Information and Electronic Transaction Law ICT Convergence Law 11

Pilihan Flagship Program NO Flagship Programe 1 Palapa Ring Project 2 e-procurement 3 National Single Window 4 Nomor Identitas Nasional 5 e-anggaran 6 e-edukasi dan e-learning 7 Legal Software 8 UU ITE 9 Digital TV Implementation 10 BWA 11 Cheap PC Programe 12 Profesional ICT Standard 13 Techno Park 14 Capital Venture for ICT 15 UU Konvergensi 16 e-health Meeting ADVISORY TEAM, Dec 28, 2006 12

OWNER MEMBER of 7 Flagships NO FLAGSHIP OWNER MEMBER 1 E-Procurement BAPPENAS MoCIT, MoF, MoIndustry, MoRT 2 E- Education MoNE BAPPENAS, MoCIT, MoIndustry, MoRT 3 E-Budgeting MoF MoCIT, MoF, MoIndustry, MoRT 4 NSW Coord. Ministry of Economy MoF, Food&Drug Control Agency, MoTrade, MoMarine&Fishery, MoAgriculture, MoHealth 5 NIN MoIA BAPPENAS, MoCIT, MoIndustry, MoRT, MoF 6 Palapa Ring MoCIT MoCIT, MoF, MoIndustry, MoRT 7 Legal Software MoCIT BAPPENAS, MoTrade, MoF, MoRT Meeting ADVISORY TEAM, Dec 28, 2006 13

Understanding the flagships of DeTIKNas Palapa Ring Project Connecting all 440 districts across Indonesia as core domestic backbone network to increase telecommunication penetration. National Single Window Integrating and delivering export and import trade services in a single government website, including customs and excises completion, shipment of goods, bank transfer and remittance, insurance, licensing, etc. e-education Implementing education system based on ICT application and combined with distance e-learning for the levels of junior and senior high schools across Indonesia. Software Legalization Promoting legal software use in every government institutions, through the use of both proprietary software and open-source software e-services & e-procurement Developing a system to deliver service to public interactively through online mechanism (government goods and services procurement, tax payment, billing, etc). National Identity Number (NIN) Implementing National Identity Number for every citizen since the birthday as a unique identification, social security, government administration, taxation, banking, insurance, general election, etc. e-budget Coordinating and streamlining state budgeting process through a single government website hence generating fair, transparent, and accountable process involving the Parliament (DPR) and related government institutions. 14

Palapa Ring Project It will connect all districts/cities across Indonesia (440 points of connection) The developer may also deliver telecommunication and broadband accesses and services. There will be new telecommunication operator (i.e. a consortium) having nationwide license competing with incumbents. Communication and internet access will be available across Indonesia at more affordable price. It will significantly change telecommunication industry landscape in Indonesia. Incentive will be given with the consultation and approval from Ministry of Finance when involving tax and/or non-tax revenue aspects. 15

Palapa Ring Project A 36,000 km (+ additional 9,000 km backhaul) fiber-optic submarine network connecting 33 provinces and 440 districts (kabupaten) Sabang Kalimantan Banda Aceh Meulaboh Sulawesi Tapaktuan Medan Tarakan Tobelo Singkawang Toli-toli Sibolga Manado o Maluku Batam Manokwari Padang Samarinda Gorontalo Biak Natal Pontianak Balikpapan Palu Palemban Salaw o o o Bengkulu o g Luwuk ati Palopo o Belitung o Kendari o Sampit o o Nabire Jakarta Banjarmasin Ambon Tual Cirebon Ujungpandang Kalianda Semarang o Reo Surabaya Maumere o Dobo Gilimanuk Larantuka o o o Saumlaki Ketapang Kalabahi Sumatera Karangasem o Merauk e Atambua Mataram Kupang Sumbawa Waingapu Jawa Nusatenggara Papua 16

National Single Window It provides export and import processing service under single government website including processing of customs and excise, shipment, bank transfer, insurance, licensing, etc. It is based on integrated on-line transaction system, huge database system and storage, and managed by high-skilled human resources. It will ease trade and economy, especially on export opportunity, by reducing associated highcost economy. It can be conducted through PPP by involving recognized technology owner cooperating with local ICT application developer. It is part of preparation towards 2012 ASEAN Single Window, hence it must be ready for not isolated in international and regional trade. It needs special plan to prepare government official resources to cope with e-skills and to procure sufficient computer technology and internet connection for related government offices. 17

e-budget It will support coordination among the Parliament (DPR), Ministry of Finance, and other related government agencies in state budgeting process through single government website, hence the whole budgeting process can be transparent, auditable, and accountable. It needs integrated system among all agencies involved and supported by crosssectoral SOP, secured data processing, and highly skilled human resources. State budgeting will be more efficient, faster, and more transparent. It will also reduce the leakage in budget system. It needs secured data access and processing. It needs high capacity computer system to perform simultaneous activities and processing as all government agencies involved in state budgeting process. 18

National Identification Number (NIN) It will generate and assign single identity number for each citizen since the birthday, that can be used for identification, taxation, banking, insurance, general election, and other government administration needs. It allows accurate demographic data for the whole population of Indonesia. It needs integrated concept, procedure, and demographic data validation and it must be supported by database system and huge secured data storage and retrieval system and secured data access as well. It needs accompanying preparation of institutional establishment, institutional capacity building, ICT-skilled human resources, to support sustainability of its operation. 19

e-services & e-procurement It will deliver government services through interactive and online service and payment mechanism such as for tax payment, procurement of goods and services, etc. It will facilitate better, faster, more transparent government services and hence it will improve tax and/or non-tax revenue to the government and reduce unnecessary leakage. It will significantly the culture of government officials to serve all citizen. It needs computer facilities and sufficient internet connection for all government offices, including secured online transaction system. It needs highly-secured and un-penetrable security system. 20

e-education It will implement ICT-based learning system and combined by long distance e-learning applicable for universities, senior and junior high schools across Indonesia. It is part of program to prepare younger generation to be able to participate actively and positively in Information Society in order to cope with global challenge as well. It needs huge computer facilities for more than 200,000 schools at all level across Indonesia and affordable internet access as well. It needs accompanying program to prepare ICTskilled teachers It needs the development of highly customized application and content to support e-education in Indonesia. 21

Legalization of Software in Government Offices It is part of commitment to promote intellectual property rights and to combat intellectual piracy initiatives. It will create quality, security, support, consistency, and interoperability for the use of software in government offices. It will be recommended for all government offices to use only interoperable office application. Government should have bargaining power visà-vis software developer as the market in government is huge and attractive. Legal software can be proprietary software or non-proprietary ones. It needs coordinated policy and standards; with the implementation is still at each government institutions. 22

Let s s Work Together for a Better Indonesia 23