Letter to Sr. Hatt and Attefall: Sweden has every opportunity to become a leader in the processing of public data
In a letter to the ministers Anna-Karin Hatt and Stefan Attefall, Anne-Marie Fransson of IT&Telecom, together with representatives from the Stockholm Chamber of Commerce, the Federation of Swedish Enterprises, Almega and PSI Alliance, writes about a number of proposals for measures that can increase the processing of public data in Sweden.
Processing of public data - a large untapped market
We welcome the new law on the re-use of public administration documents that came into force on July 1, 2010 (the so-called PSI Act, SFS 2010:566). The Act deals in a good way with the conditions that the business community needs to refine public data into new services and products (re-use of documents from the public administration). However, a law is not enough to develop and create a market where different actors can operate in competition. It is necessary for public authorities and industry to recognize each other's different roles and thereby jointly build the basis for an information market. The business community is keen to contribute its expertise and experience to this work.
Industry has experience and suggestions
The business community has important experiences and constructive suggestions on how PSI work in Sweden can be improved and developed. From the business community's perspective, we welcome the role that the E-delegation has been given to support the work with PSI (Public Sector Information, hereinafter referred to as public data) in the Swedish administration. We are also convinced that the driving forces in the private sector are important for creating new services and jobs. Therefore, we want representatives of the business community to be more involved in influencing the E-delegation's work on the refinement of public data.
The total market in Europe for public data enhancement is worth 300 billion SEK. The private sector is responsible for the main value added in the processing of public data. As partners of public administrations, private companies can create innovative, flexible and tailored information services.
The industry already exists today and develops services based on financial information, geographical data, legal information, weather data, etc. To reach the real potential of public data processing, clear, fair and long-term conditions are needed for existing information companies and new entrepreneurs.
Growth opportunities
Investment in public data in the EU amounted to SEK 81 billion in 2000. When the information was processed and resold, it generated a value of SEK 1,139 billion - a 14-fold increase in value. In the United States, the corresponding exchange generated a value 39 times higher. The US weather market grew by 17% between 2000 and 2008, compared to 2.2% per year over the same period in the EU. What is the difference? Open access to public raw data at no or low fees.
In Sweden, there is great potential for this sector with large amounts of high-quality data. The Institute for Growth Policy Studies (ITPS) has shown that increased use of publicly produced information creates more value than the competitive activities of public authorities. For example, ITPS estimates that the market for geographic information could double.
Sweden has great opportunities to develop and expand the information market. There are also opportunities for service exports. Major socio-economic gains arise when the information companies' customers use the services to streamline their operations or make better decisions.
Need for further action
The PSI Act aims to promote the development of an information market by facilitating the processing of public data. The government bill in particular contains many encouraging words about the opportunities for business to develop new services based on public data. In practice, however, businesses face a different reality. A reality that does not always match the good intentions written into the law.
A survey by the Stockholm Chamber of Commerce shows that almost two thirds of the municipalities surveyed do not know whether they have information covered by the PSI Act. Out of 31 public authorities that responded to PSI questions, 21 stated that they do not publish information on fees and conditions for the use of public data. Other problems faced by the business community are that
- there is a lack of information on the data sources available at the authority or municipality
- access to the raw data needed to develop new services is restricted by public authorities
- high fees for data lead to lower utilization of public data and unjustifiably high costs for business investments
- micromanagement through the use of rules and conditions by public authorities hinders creativity among businesses and entrepreneurs and limits opportunities to create new products.
This often leads to conflicts between businesses and the authorities. Legal proceedings are time and resource consuming. Time and resources that could be used to develop new products. It also prevents entrepreneurs and small and medium-sized enterprises from participating in development.
Industry's proposals for action
With the PSI Act, the government and parliament have shown the way forward. Our hope is that the authorities will now also live up to the intentions of the Act. In particular, we would like to highlight the following proposals for measures that can increase the processing of public data in Sweden:
- The authorities should not themselves compete with private companies by processing public data themselves (compare with the proposal in Styra och ställa - förslag till en effektivare statsförvaltning, SOU 2008:118).
- Define the concept of raw data (documents) so that it is clear which data sources companies have access to.
- As a general rule, public authorities should not apply conditions or claim copyright to data produced within the authority that unnecessarily restrict access to and use of data sources.
- It needs to be clarified that public authorities should follow what has been in place since 1998 for the collection of electronic data: the fee should be based only on the cost of producing and distributing the data.
- Facilitate business contacts with public authorities by assigning responsible contact persons to promote the enhancement of public data.
- Licenses can be useful to create clarity for both parties on how data can be used.
- Clearer guidelines for public authorities and mediation in conflicts can allow the market to develop faster.
- Align existing registry legislation with the intentions of the PSI Act, e.g. regarding electronic disclosure.
Sweden has every opportunity to become a leading country in the processing of public data. We now have an excellent opportunity to move forward in this work, with the PSI Act as a foundation. This is not possible without cooperation between government and business. The business community is prepared to take the first step.
Maria Rankka, CEO Stockholm Chamber of Commerce
Ulf Linderg, Head of Almega Industrial Policy
Anne-Marie Fransson, Director of the Swedish IT & Telecom Association
Christina Linderholm, Acting CEO Företagarna
Rolf Nordqvist, Chairman PSI Alliance