i.t for better governance & empowerment of people by dr t.h.chowdary * director, center for...

I.T for Better Governance &

Empowerment of People

ByDr T.H.Chowdary

* Director, Center for Telecom Management & Studies* Chairman, Pragna Bharati (Intellect India), AP

* Former Information Technology Adviser, GOAPChairman & Managing Director

Videsh Sanchar Nigam Ltd., BombayT: +91 (40) 6667-1191(O)2784-3121(R)

F: +91 (40) 6667-1111 (O) Talk @ Andhra Mahila Sabha, Hyd: 10 Oct '09

S425_Oct'09 2THC_CTMS

Why e-governance (1)

• Government(s) largest handlers of people’s money – (25 to 25)% of GDP & Welfarist

• Least efficient, economic & transparent– Eg: Projects in progress for 10 to 25 yrs –

$ 25 bln unproductively locked up– 25 mln homes claimed to have been built for 75 mln

people in AP alone!– 13 mln. White ration cards for families below poverty

line (80 of Pop.)


50

100

150

200

250

300

1998-99

1999-00

2000-01

2001-02

2002-03

2003-04

2004-05

2005-06

2006-07

2006-08

Th

ou

san

ds

50000

Rs.229505 cr

Rs.314446 cr

DIRECT TAX COLLECTION

2009-'10 = 400,000 cr


Sector Budget Allocation in 2003-04

Budget allocation in 2008-09

Agriculture 3,262 10,075

Education 7,024 34,400

Health 6,983 16,534

Rural Development and Land resources 11,320 18,972

Road Transport and High Ways 7,236 14,066

Sarva Siksha Abhiyan 1,951 13,100

Midday Meal Scheme 1,175 8,000

Integrated Child Development Scheme 2,356 6,300

Rural Employment Scheme 4,986 16,000


Budget allocation 2009-'10 continue.....

* Subsidies in 2009-'10 = Rs. 95,579 cr

* Total Budgeted Expense = Rs. 9,53,231 cr

* Plan Exp. = Rs. 2,85,149 cr

* NREG = Rs. 39,000 cr


The Cost of Delay: Rs. 50,000 cr.

Total Projects 742 ( 216 hit by cost overrun)

Railways Power Atomic Energy

Urban Development

Coal Petroleum

No. of Projects 256 62 10 18 100 30

Projects hit by cost overrun

149 9 2 4 13 13

Original cost (Rs. crores) 25,175 3,527 3,527 4,976 529 24,406

Extent of cost overrun 91.5% 87.7% 87.7% 115.9% 52.2% 29.6%

(Source: Indian Express 31/8/2006)


Why E-Goverannce –“Socialism” at work (2)

• Subsidies ( $ 6.2 bln. on food, kerosene & sugar and $

4.5 bln on other items)

• Apply, Apply – No Reply• Government officials:

– Labour-lordism; Babu-bossism– Insectification of citizen– Sale of Information– Move from office to office again & again


Why E- Governance (3)

• Taxes increase; Projects Multiply; so do offices

– Poverty Alleviation– Poverty Eradication– Integrated Rural Development– Uplift of Utterly poor (Antyodaya –)– Light to the dark (Velugu)– C.M’s Employment of Youth– Indira Awas ( Housing the poor)– Rajiv Arogya Sri


Why E- Governance-Revenues Rise (4)

• 52 such programmes in 53 years since 1951. Illiteracy, poverty, large family – vicious circle, 15% of benefit money reaches the poor

• 25 mln homes claimed to have been built for 75 mln people in AP alone! 100% must be living in Govt Built houses!

• 13 mln. White ration cards for families below poverty line (80% of Population)



• Garibi Hatao – again after 36 years

• 2nd launch of multipoint “Backwardness

Eradication” for Minorities.

• Moslem Fist “Programs

• 35 Rajiv / Indira XYZ Programs



• Taxes increase; Projects Multiply; so do offices

– Poverty Alleviation– Poverty Eradication– Integrated Rural Development– Uplift of Utterly poor (Antyodaya –)– Light to the dark (Velugu)– C.M’s Employment of Youth– Indira Awas ( Housing the poor)– Schemes named after Rajiv Gandhi- 140;

Indira Gandhi -32; Jawaharlal Nehru-15– In A.P, Rajiv Schemes > 40


Good Governance: Prime Necessity (1)

• Leadership• Vision• Conviction• Political Will• Communication & Evangelism for

development • Value for taxes collected and votes

garnered


Information & Knowledge

• Information in power• Information is the basis of planning,

control, management, efficiency, effectiveness

• MIS - electronified, stored, updated; accessed; distributed; gathered over telecom network

• Telecoms, computers, Web-sites, networks


I.T in Vision 2020 for Andhra Pradesh (then, India)

•ICTs as engines for development & growth•e-education •e-Governance•e-procurement •e-Seva ( service)• e-cops•Tele-medicine

•Jobs for the educated•e-Consulting•e-money transfer•e-Income tax filing•EMRI•E-Counselling•I.T in High Courts


What E-Governance Can Deliver (1)

• ICT – based MIS eg: Story of Weaker Section Housing• Delivery of government services – One stop – Many Services• Speed Up Process

– Corruption decreases– Dissatisfaction decreases – Time & fuel economy– Reduced Transaction costs



• Responsiveness & Accountability – Dial the Chief Minister, Commissioner (Police,

Municipal Corpn), Collector…

• Economy & Effectiveness – E-Procurement – e- Cops– Better planning ( MPHS; GIS; Data Bank; Oversight,

Speedy Correction )– Video in jails –prisoners not physically brought to

courts – escapes prevented



– Interviews from video- enabled Internet Kiosks # e-ways of SIFY (saving time & money)

– In courts – original documents scanned, stored on floppy/ CD; document theft avoided

– Land records, titles, encumbrances easily accessed by farmers (BHOOMI in Karnataka)

– E-Chaupal (ITC procurement & farmer education; market information); multi-services

– Rural Service Delivery Points ( for e-Seva of Andhra Pradesh )



– Job search by Internet Browsing– Students write Project Reports – Computer Education in High Schools– All teachers to become computer literature– STD/ISD PTs upgrade to Internet Kiosks –

e-mail in Indian Languages– Public libraries computerised more titles,

subscription to foreign “electronic” form journals


Major EG Projects in Andhra Pradesh:

• MPHS .. Building the citizen’s & land data base• CARD .. Registration of legal & sale deeds• FHIMS ..IT in Primary Health Sector• FAST.. Transport services through IT • Compact.. Streamlining commercial taxes• e-COPS .. IT in Police• SmartGov.. Knowledge-led governance (Secretariat)• e-Procurement.. • eSeva .. Redefining citizen services• APOnline .. Convergence of info, forms & services• Kiosks .. Network of internet kiosks in villages • OLTP .. Online Transaction Processing • Treasury.. Receipts& Payments

(there are over 50 other e-governance projects)


Some Spectacular Outcomes (1)

E-Procurement• Award time reduced from 150 to 20 days• On 52 e-tenders (Rs. 3.5 bln), 23% saving• 1500 e-tenders in progress (Rs. 16.4 bln) in

2003-04• Procurement would cross Rs. 15,000 cr in 2004-

05• 0.24% of tender value as commission (reduced

to 0.05% in 2005)



E-Seva in Andhra Pradesh • Multiple services offered at each counter• Utility / Tax Payments

– Electricity, Water, Property Tax, Telephone bills– Filing Sales Tax and Income Tax Returns

• Certificates– Birth / death certificates– Encumbrance certificates for property

• Passport and Licenses– Filing applications for passports– Municipal trade licenses, Learner’s License, Vehicle registration …

• Bus tickets … train tickets, airline tickets, travel bookings • Rail Reservations• E-Payments on internet ( www.esevaonline.com)



E-Seva in Andhra Pradesh • One-stop-Shop for G2C services• 31 service centres, 6 bank branches, 81 ATMs (in Hyderabad)• Volume of Transactions increasing• 0.8 mil in April 2001• 8.5 mil since Aug 03; 12 mln, Dec ‘04 • 46 services across any of 290 counters• Extending to all urban areas by Dec 03• 232 more eSeva Centres in 116 cities & towns & • 2500 villages by March 2004• 5000 villages by Dec 2004



CARD• In-house execution of the Project• More than 240 registration offices• Old documents scanned and indexed• 20 year title search in less than 15 mnts.• Certified copies of registration deeds• Encumbrance certificates• Valuation slips for properties• Registration deeds like sale, mortgage,

lease& gift


E-Communication with People

• Video-conferencing

• Face to face with Chief Minister

• Transportable VSATs and Discussion with Village Assemblies


IT based Elections

• Registration

• Canvassing

• Voting

• Results


Infrastructure for e-governance/commerce

• Broadband electronic/ photonic telecom network

• Microwave Radio – Terrestrial Satellite• Wireless Access: Cellular Mobile System

with Internet Access• Optical Fiber Cables – underground &

undersea• Communication devices

– cell phones, Laptops, i-phone, PCs


PCI

AX TSP

Time

(a) Affordability

A PCI/ Tele-Service Price- PCI: Per Capita Income- TSP: Telephone Service Price- A: Affordability

Bring down price to increase affordability


Affordability of Telephone

1951 1994 2007

Revenue/Line*at current exchange parity

$ 125 $250 $125

Rev. as% of PCI 2.5 1.0 0.12

Affordability PCI

Tel. Svce.Price


E-GOVERNANCE STRATEGY (1)

Governments on the Band Wagon

• Almost all (except a few dishonorable exceptions) States and Union Governments are enthused and committed to e-governance.

• All have launched many and implemented some programs

• All are Government-centric

• May falter and flounder like PSU disinvestment and telecom demonopolisation


E-GOVERNANCE STRATEGY (2) TECHNOLOGY’S ROLE

Technologies are Enablers, Promotive of Efficiency, Speed, Effectiveness & Economy

Offices/Officials need not be technology-savy but skilled to use

To make a difference, move to E-Governance should be swift (>5 Years), not graduated; otherwise old absorbs, assimilates, disfigures the New


E-GOVERNANCE STRATEGY (3) TECHNOLOGY’S ROLE

• Information Infrastructure (Electronic)

Photonic Highways) is Available; Improving;

Extending Thro’ Multiple Enterprises.


E-GOVERNANCE STRATEGY (4) Implementation

• A vision and master-mind

• Best Instrument - Government Department or

Society (eg STP) or Mission


Opposition Carps (1)

• Does I.T give water, medicine, house –sites• World Bank, Multi-nationals want to exploit India• MNC’s exploiting Indian “labour” (ignore that

there are millions unemployed graduates;• I.T professional gets (3 to 10) times a non-IT

Engineer)• Reduces Employment• Benefits only the elite• Has not reduced corruption (true but cut delays)


Opposition Carps (2)

• English language destroys Indian languages (true; but every such politician sends children to “convent schools” & exports to USA

• Neglects agriculture; irrigation• Power to IT companies; darkness for farmers &

poor• Tax concessions to I.T companies hurt us• No reservations for back-ward and lower castes

in jobs


Peoples’ Perception

• Derogation of ICTs by opposition parties as elitist &wasteful

• Hitec, Hitex, IIIT, IBS, Roads,Fly-overs, Corporate Hospitals/ Schools as negligent of rural areas/ people

• Telephone's Acceptability– Public telephones in villages– Mobile phones

• PCs & I.T & Internet– Unaffordable, too sophisticated– Not relevant for voter masses


E-governance & I.TAll-Party Agenda

• Criticised but embraced by “opposition” partis when come to power ( A P; UP; Kerala…)

• Consultative & involvement in program planning• Vision Document: Peoples/ not party’s• Get into Manifestos – Professionals to write & “sell”• Get parties to go High-tech ( eg: TDP in Andhra Pradesh )• Self-help Groups ( 350,000 in A P) given mobile

telephones (Internet-enabled)• Talk not jargon; develop popular style• Extend reliable power to the entire territory


ICT-enabled Employment in Rural areas


Work taken to Villages: GramIT (1)

• While US, EU, Oceania outsource to Hyderabad, Hyderabad out-sources to villages.

• Satyam Computers & Byraju Foundation• 200 Resident village graduates ( BA, B.Com,

B.Sc) trained in Ameringlish; imparted computer & Internet skills

• Satyam (Hyderabad HQ) outsourced its own internal work (pay-roll, accounting; travel; training; MIS

• Satisfied,work from abroad moved to villages



• Broad-band telecom (optical fiber) 512 kbps extended from point of presence (POP) to work-site by PMP wireless

• Called Gram ITs, these offer transaction processing services ( accounting, bulk mlng; records digitisation, reminder and follow-up and travel support.

• A whole Gram IT can be dedicated to a customer (like twinning of cities across continents; city [email protected] twinning



• Gram IT-team contributed part of profits for village development scheme designed by them – Independent and local initiative

• Rural Pressure group to demand and get quality infrastructure and services such as roads, retailing, education, health


In Summary

• E-governance & ICTs – beneficial but pubic acceptability & appreciation to be built up

• Education for all and skills for many to be evangelised

• Digital Divide: Reduce by Public Internet Kiosks

Haath-heath mein telephone;Gaon-Gaon mein Internet Kiosk


“Those who claim to lead the masses must resolutely refuse to be led by

them, if we want to avoid mob law and desire ordered progress for the

country. I believe that mere protestation of one’s opinion and

surrender to the mass opinion is not only not enough, but in matters of vital importance leaders must act contrary to the mass of opinions if it does not

commend itself to their reason.” -Mahatma Gandhi


Those who carry on great public schemes must be proof against the

most fatiguing delays, the most mortifying disappointments, the most shocking insults. And what is most of all the presumptuous judgment of the

ignorant. – Edmund Burke


We keep on tackling 50-year problem with 5-year plans, staffed

by 2-year officials, working with one year appropriations, fondly hoping

that somehow the laws of economics will be suspended

because we are Indians.


1. Indian liberalisation encounters formidable opposition from three quarters.

a) The top heavy bureaucracy reluctant to shed its enormous powers

b) Influential politicians who prefer to let socialism remain the opium of the people and of whom it can be truly said that if ignorance

is bliss, they should be the happiest men alive. c) Quite a few Indian businessmen men who are much interested in their own personal prosperity than in the future of the country and

who preferred to flourish in the non competitive environment.

2. India continues to remain the only significant country in the free world to hold aloft the tainted and tattered flag of socialism.

3. “ We shut our eyes to the fact that socialism is to social justice, what ritual is to religion and dogma is to truth”.


THANK YOU:

DHANYAWAD

(Some more after this If you like)


Indian Software Industry Exports ( $ mln )

1,124 1,755 2,700 3,9005,700

8,00010,000

12,00016,000

38 bln

21,000

1995-96

1996-97

1997-98

1998-99

1999-2000

2000-01

2001-02

2002-03

2003-04

2004-05

2008


Employment in Indian IT sector*,’000

0

500

1000

1500

2000

2500

2000 '01 '02 '03+ '04+ '06+

Call-centers (ITES) Software Multinational operations

(* Years ending March; + Estimate@ break-up: NA)

2.0 m

2.5 m

2008


Hyderabad’s & A P’s Surge (1)

• Software companies in Hyderabad 1248

• Software companies in rest of A P 30

• Exports from HYD: Rs. 18,294 Cr

• Exports from Visakhapatnam: Rs.245 Cr

• Exports from Vijayawada: Rs. 42 Cr

• Exports from Tirupati: Rs. 1 Cr


Hyderabad’s & A P’s Surge (2)

• 2008 Exports: Rs.24,000 cr

• Employees 187,450 (31.3.2007)– 200,000 Dec 2007– BPO & Call center companies in HYD 410;– Employees 72,000– Revenue Rs.6,500 cr


A.P’s Software and ITES Exports

Year 2007 2006 2005 2004 1996

Volume (in Rs. Cr. ) 17,000 12,521 8,270 5,025 65of Exports

Visakhapatnam Units 37; Exports Rs. 70crVijayawada Units 13; Exports Rs. 24 Cr• Number of direct employees 1,60,000

adding 30,000 to 40,000 per year


2001 2002 2003 2005 2006 2007 2008

1.5% 1.9% 2.82% 3.8% 5.0% 6.5% 8%

India’s share in software exports in the over all global market


Share of India in GlobalBPO & KPO Markets

Year 2003-’04 2010-’11 BPO 36% 55%

KPO 56% 71%


Foreign Companies Engaging Indian intellect (1/2)

• Motorola – 1700 employees• 40% of software in its mobiles developed

in India • The Internet browser and multi-media

messaging system conceived and developed for 3G and GSM and engineer

• The software going into US cars is being developed here in India .


Foreign Companies Engaging Indian intellect (2/2)

• GE – Largest R&D center outside USA is in India in Bangalore with 2300 researchers, double that in Shanghai

• GE put in $ 80 mln in the Bangalore R&D facility• GE’s Bangalore R&D field for 260 patents in the USA (37 already

approved)• Boeing USA is outsourcing Aircraft design to Russia ( $ 120/

Hr) • Russians are outsourcing parts of the design to HAL (BG) at $

30/Hr • Gorbachev went to USA to recommend Moscow as Bangalore’s

rival!• An Indian retained does the work of 2 or 3 Europeans;

does not take 6 weeks of holidays & costs one-fourth


Some foreign companies’ employees in India

GE Caps GE Dev IBM Oracle EDS Texas

16,000 1,800 10,000 6000 3,500 900

Intel JP Morgan HUWAI Siemens Motorola

1,700 1,200 1,500 2000 1,500

i.t for better governance & empowerment of people by dr t.h.chowdary * director, center for...

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