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Towards a Baltic Sea Region Strategy in Critical ... - Helsinki.fi

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CHAPTER I: INTRODUCTION<br />

well. This <strong>in</strong> turn may cause a failure <strong>in</strong> a third <strong>in</strong>frastructure, and so on.<br />

Thus, the failure cascades through the <strong>in</strong>frastructures like a wave,<br />

sometimes reveal<strong>in</strong>g new <strong>in</strong>terdependencies between seem<strong>in</strong>gly<br />

<strong>in</strong>dependent CI. For example, a failure <strong>in</strong> the natural gas <strong>in</strong>frastructure<br />

might result <strong>in</strong> a failure of a power generation unit, caus<strong>in</strong>g power<br />

blackouts.<br />

• Escalat<strong>in</strong>g Failure: A disruption <strong>in</strong> one <strong>in</strong>frastructure worsens an exist<strong>in</strong>g<br />

<strong>in</strong>dependent disruption <strong>in</strong> a second <strong>in</strong>frastructure, ma<strong>in</strong>ly by affect<strong>in</strong>g the<br />

time of recovery or restoration. For example, a disruption <strong>in</strong> a<br />

telecommunications network may be escalated by a simultaneous<br />

disruption <strong>in</strong> a road transportation network, as repair personnel and<br />

equipment are delayed.<br />

• Common Cause Failure: Two or more <strong>in</strong>frastructure networks are<br />

disrupted at the same time, of some common cause. For example, dur<strong>in</strong>g<br />

a storm, trees may crash both phone l<strong>in</strong>es and power l<strong>in</strong>es, caus<strong>in</strong>g<br />

disruptions to telecommunications and power distribution.<br />

It is clear, that the ability to identify and analyze <strong>in</strong>terdependencies is an important<br />

part of CIP. If we look at the above typologies from the perspective of the BSR,<br />

we can notice that although these <strong>in</strong>terdependencies are a common feature of CI<br />

systems and often materialize via cyber connections through ICT, most of them are<br />

regionally determ<strong>in</strong>ed, mean<strong>in</strong>g related to geographic proximity and <strong>in</strong>tegrated<br />

regional networks. Thus, the breakdown of an electricity network is likely to affect<br />

<strong>fi</strong>rst and foremost the <strong>in</strong>terdependent local or regional CI networks, and only after<br />

that have an effect elsewhere. This is particularly true <strong>in</strong> the BSR and especially <strong>in</strong><br />

the Nordic countries, where CI are <strong>in</strong> many sectors often part of the very same<br />

Nordic <strong>in</strong>frastructure system.<br />

1.7 THE DILEMMA OF PUBLIC-PRIVATE PARTNERSHIP<br />

Governments are usually legally responsible for safeguard<strong>in</strong>g the CI, although<br />

most of the CI are owned, adm<strong>in</strong>istered and operated by the private sector. This is<br />

why public-private partnership (PPP) is considered as a major issue <strong>in</strong><br />

safeguard<strong>in</strong>g national <strong>in</strong>frastructure (e.g. Abele –Wigert 2006, pp. 57-58). While <strong>in</strong><br />

the United States private <strong>in</strong>dustry traditionally owns most of what is def<strong>in</strong>ed as<br />

national <strong>in</strong>frastructure, its share be<strong>in</strong>g estimated as 85 per cent, <strong>in</strong> many European<br />

countries such <strong>in</strong>frastructures as water, energy, and railway transportation have<br />

previously often solely been taken care of by the governments. However, s<strong>in</strong>ce<br />

1980s there has been an ongo<strong>in</strong>g process of the market liberalisation and<br />

privatisation of these <strong>in</strong>frastructures. The rapid development of the predom<strong>in</strong>antly<br />

privately owned and operated ICT, and other sectors’ dependence on it, has further<br />

complicated the situation. This has led to a rather ambiguous situation <strong>in</strong> terms of<br />

the real authority, as described by de Bruijne and van Eeven:<br />

“[Government authorities] may have, formally or <strong>in</strong>formally, the<br />

overall responsibility for the reliable provision of services, but they<br />

lack the authority and resources to actually ful<strong>fi</strong>l that responsibility.<br />

NORDREGIO REPORT 2007:5 35

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