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E-Government in Hungary

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E-<strong>Government</strong> <strong>in</strong> <strong>Hungary</strong><br />

Strategy<br />

and the<br />

Central System project


The pr<strong>in</strong>cipal objective of e-Governance <strong>in</strong> 2005 was to develo<br />

a higher quality and more efficient governance us<strong>in</strong>g modern<br />

<strong>in</strong>fo-communication technologies<br />

On-l<strong>in</strong>e<br />

Efficient<br />

Knowledgebased<br />

Client-oriented Social Democratic<br />

EU<br />

compatib<br />

• The e-<strong>Government</strong> Strategy is a set of transparent political objectives and also a straightforward<br />

implementation plan, supported by the <strong>Government</strong>’s commitment to reform<strong>in</strong>g the public<br />

adm<strong>in</strong>istration system and creat<strong>in</strong>g a client-focused state that provides services to its citizens.<br />

• The objectives aim to develop seven govern<strong>in</strong>g skills essential for the new type of governance.<br />

• Due to their novelty these abilities represent a great challenge to all organisations of the<br />

Hungarian public adm<strong>in</strong>istration. Their implementation requires considerable commitment to<br />

<strong>in</strong>novation on the <strong>Government</strong>’s part, and they may result <strong>in</strong> a more efficient national governance<br />

<strong>in</strong> harmony with the pan-European services of the EU.


The implementation of the strategy affects all fields of<br />

government operations and triggers a comprehensive<br />

transition <strong>in</strong> governance<br />

• In accordance with the objectives of the e-<br />

<strong>Government</strong> Strategy, the EKK encourages<br />

and coord<strong>in</strong>ates the development of<br />

<strong>in</strong>dividual IT strategies for the various<br />

<strong>in</strong>stitutions, and prepares standards and<br />

recommendations to support <strong>in</strong>stitutional<br />

developments.<br />

• At the same time, the <strong>in</strong>stitutions themselves<br />

are primarily responsible for creat<strong>in</strong>g their<br />

own official procedures and services.<br />

• The implementation of the strategy results <strong>in</strong><br />

significant changes <strong>in</strong> a number of areas of<br />

governance from regulation to <strong>in</strong>frastructural<br />

elements to cooperation with<strong>in</strong> the<br />

<strong>in</strong>stitutional framework.<br />

Regulation and<br />

procedures<br />

Info-communication<br />

<strong>in</strong>frastructure<br />

Content and services<br />

Culture and <strong>in</strong>dividual<br />

knowledge<br />

Institutional framework<br />

and cooperation


The implementation of the strategy has commenced <strong>in</strong> six<br />

framework programs<br />

FIELDS<br />

Regulation and<br />

procedures<br />

Info-communication<br />

<strong>in</strong>frastructure<br />

Content and<br />

services<br />

Culture and<br />

<strong>in</strong>dividual<br />

knowledge<br />

Institutional<br />

framework and<br />

cooperation<br />

E-GOVERNING ABILITIES<br />

On-l<strong>in</strong>e Efficient Knowledge-basedClient-oriented Social Democratic<br />

e-Regulation<br />

Basic e-Infrastructure<br />

e-Efficiency<br />

e-Service<br />

e-Culture<br />

EU<br />

compatible<br />

EU Integration<br />

• All framework programs of the e-Governance Strategy aim to develop the governance competencies<br />

that are required for a state to provide services and to facilitate onl<strong>in</strong>e operation. The key objective of the<br />

strategy is to manage the governance transition process that will create the framework for modern<br />

governance through e-government services.


The first priority program of the e-Governance Strategy aims to<br />

create the <strong>in</strong>frastructural basis of onl<strong>in</strong>e governance <strong>in</strong> Hunga<br />

Justification<br />

• When the e-Governance Strategy was<br />

developed, there was no countrywide<br />

broadband telecommunication network<br />

facilitat<strong>in</strong>g government agencies to<br />

communicate securely on the <strong>in</strong>ternet.<br />

• The isolated development efforts of the various<br />

government agencies would not have resulted<br />

<strong>in</strong> a consistent basic <strong>in</strong>frastructure suitable for<br />

e-governance.<br />

Objective<br />

• The objective of the Basic e-Infrastructure is to<br />

provide the conditions and the environment for<br />

electronic operation of onl<strong>in</strong>e governance <strong>in</strong><br />

<strong>Hungary</strong>, to create a consistent telematic<br />

government network as part of the Central<br />

System (KR) and a central basic <strong>in</strong>frastructure<br />

facilitat<strong>in</strong>g the use of e-governance <strong>in</strong>formation<br />

and transaction services.<br />

Info-communication<br />

<strong>in</strong>frastructure<br />

Content and services<br />

Culture and <strong>in</strong>dividual<br />

knowledge<br />

Institutional framework<br />

and cooperation<br />

Onl<strong>in</strong>e<br />

Basic e-Infrastructure


The elements of the Central System: the EKG, the Client<br />

Gateway, the Client Hotl<strong>in</strong>e and the <strong>Government</strong> Portal were<br />

completed by early 2006, and thus the technical framework of<br />

onl<strong>in</strong>e governance was <strong>in</strong> place<br />

Results<br />

• The EKG (Hungarian <strong>Government</strong> Backbone<br />

Network), the <strong>Government</strong> Portal, the Client<br />

Gateway and the Client Hotl<strong>in</strong>e form<strong>in</strong>g part<br />

of the Central System were completed<br />

• The EKG is the most secure government<br />

network <strong>in</strong> the region<br />

• In 2006 all government agencies will be<br />

connected<br />

• It connects to TESTA and H-Sec-Net<br />

• It provides basic and premium services<br />

• The <strong>Government</strong> Portal and the Client<br />

Gateway provide access to standard<br />

government onl<strong>in</strong>e <strong>in</strong>formation and<br />

transactional services<br />

• The Client Hotl<strong>in</strong>e (189) makes process<br />

descriptions available by phone, ensur<strong>in</strong>g<br />

equal opportunities<br />

• Regulation issues concern<strong>in</strong>g the<br />

implementation of e-payment and e-signature<br />

to produce fully onl<strong>in</strong>e adm<strong>in</strong>istrative<br />

procedures have been resolved<br />

Development of the Hungarian <strong>Government</strong><br />

Backbone Network (HGBN)<br />

• Increased number of EKG end po<strong>in</strong>ts<br />

• Security, <strong>in</strong>ternet protection system<br />

Standard government onl<strong>in</strong>e and electronic<br />

<strong>in</strong>formation service<br />

• <strong>Government</strong> Portal (www.magyarorszag.hu)<br />

• Standardisation of central public adm<strong>in</strong>istration<br />

portals<br />

• Client Hotl<strong>in</strong>e<br />

Standard government onl<strong>in</strong>e transaction<br />

services<br />

• Client Gateway<br />

• E-signature<br />

• E-payment


One of the most important tasks <strong>in</strong> 2006 will be to expand the<br />

service portfolio <strong>in</strong> l<strong>in</strong>e with the EU’s pan-European services,<br />

and to <strong>in</strong>crease the relative weight of fully onl<strong>in</strong>e services.<br />

Future tasks<br />

• One of the most important tasks <strong>in</strong> 2006<br />

will be to develop efficient cooperation<br />

between government agencies so that<br />

the government portal can offer high<br />

quality contents;<br />

Portal<br />

HGBN<br />

Central<br />

System<br />

(KR)<br />

Client Gateway<br />

• A comprehensive payment service will<br />

have to be added to the exist<strong>in</strong>g central<br />

<strong>in</strong>frastructure to ensure that the Central<br />

System will be able to meet the highest<br />

electronic service level.<br />

Client Hotl<strong>in</strong>e<br />

E-payment


The Central System and the Transport Eng<strong>in</strong>e<br />

Control and Coord<strong>in</strong>ation<br />

Interface<br />

Security,<br />

Payment<br />

Construction <strong>in</strong>itiatives<br />

for Portal, best<br />

practice, etc.<br />

Magyarorszag.hu<br />

<strong>Government</strong>al Portal,<br />

Information Centre<br />

Authentication, Payment<br />

e- and m-<br />

Gov’tal Portal<br />

Citizen’s Gateway<br />

Institutional provider system 1<br />

Institutional provider system 2<br />

Gov’t to Client<br />

Information Centre<br />

G2C, G2B, G2G<br />

systems and<br />

applications<br />

Central <strong>Government</strong>al Service<br />

Provider System,<br />

Central Databases,<br />

Address Register,<br />

Mail<strong>in</strong>g System<br />

Institutional provider system ..n<br />

Local Gov’t Provider Serv. System ..1<br />

Local Gov’t Provider Serv. System..n<br />

Bus<strong>in</strong>ess Service Provider System 1<br />

Bus<strong>in</strong>ess Service Provider System ..n<br />

Basic<br />

<strong>in</strong>frastructure<br />

<strong>Government</strong> Backbone Network<br />

(HGBN), Internet access<br />

HGBN


The simultaneous use of electronic and traditional services<br />

doubles adm<strong>in</strong>istrative costs, thus it is particularly important<br />

that onl<strong>in</strong>e governance be extended as fully as possible<br />

across all operations<br />

Future tasks<br />

• The first step towards onl<strong>in</strong>e governance is to<br />

have all <strong>in</strong>stitutions develop their <strong>in</strong>ternal e-<br />

operations compris<strong>in</strong>g the follow<strong>in</strong>g elements:<br />

• Intranet<br />

• Web presence<br />

• Public servant card<br />

• Process descriptions<br />

• Electronic records<br />

• Electronic rules of procedures<br />

• The next step is to ensure that the various<br />

<strong>in</strong>stitutions provide their onl<strong>in</strong>e services<br />

through the Central System (KR).<br />

• Institutional systems can be connected to the<br />

KR at four levels:<br />

• Level 1: Connection to the HGBN us<strong>in</strong>g basic<br />

services<br />

• Level 2: Connection to the HGBN us<strong>in</strong>g premium<br />

services<br />

• Level 3: Connection to the government portal<br />

through the electronic <strong>in</strong>formation system of the<br />

relevant <strong>in</strong>stitution<br />

• Level 4: Connection to the Client Gateway<br />

through the electronic service system of the<br />

<strong>in</strong>stitution<br />

CG<br />

L<strong>in</strong>k to<br />

government<br />

portal<br />

L<strong>in</strong>k to the HGBN<br />

us<strong>in</strong>g premium<br />

services<br />

L<strong>in</strong>k to the HGBN<br />

Us<strong>in</strong>g basic services


Content


The success of the new type of client-focused public<br />

adm<strong>in</strong>istration depends on the ability of the <strong>in</strong>stitutional<br />

framework to provide services built on the citizens’<br />

requirements<br />

Future tasks<br />

Level 1<br />

• The number one priority of the com<strong>in</strong>g period is<br />

to further modernise the 20 services required<br />

by the EU, and to develop fully electronic<br />

adm<strong>in</strong>istrative procedures.<br />

Level 2<br />

• One of the most important tasks for the com<strong>in</strong>g<br />

years is to expand the service portfolio <strong>in</strong> l<strong>in</strong>e<br />

with the EU’s pan-European services.<br />

Level 3<br />

• The success of onl<strong>in</strong>e governance depends on<br />

the extent to which citizens wish to take<br />

advantage of the possibility of electronic<br />

adm<strong>in</strong>istration, thus it is particularly important<br />

that, <strong>in</strong> addition to traditional adm<strong>in</strong>istration, a<br />

client-friendly service portfolio is developed <strong>in</strong><br />

response to clients’ needs.<br />

Onl<strong>in</strong>e operations<br />

Level 3<br />

Level 2<br />

Level 1<br />

Number of services


The EU accession has been a big challenge for the<br />

<strong>in</strong>stitutional framework; comply<strong>in</strong>g with the obligations and<br />

exploit<strong>in</strong>g the benefits require a lot of <strong>in</strong>puts<br />

Justification<br />

• The tasks aris<strong>in</strong>g from the EU accession <strong>in</strong>volv<strong>in</strong>g<br />

build<strong>in</strong>g cooperation at central and <strong>in</strong>stitutional<br />

level have represented a great challenge to the<br />

<strong>in</strong>stitutional framework. Exploit<strong>in</strong>g the benefits<br />

orig<strong>in</strong>at<strong>in</strong>g from our full EU membership, tak<strong>in</strong>g<br />

advantage of the knowledge base and the<br />

f<strong>in</strong>ancial resources and their <strong>in</strong>tegration <strong>in</strong>to<br />

Hungarian developments have been similarly<br />

important.<br />

Objective<br />

• The objective of the program is to prepare the<br />

Hungarian <strong>in</strong>stitutional framework to jo<strong>in</strong> those of<br />

the EU and subsequently to improve<br />

<strong>in</strong>frastructural and <strong>in</strong>stitutional cooperation.<br />

• The program has to ensure that the Hungarian<br />

<strong>in</strong>stitutional framework is connected to the EU<br />

networks and that <strong>in</strong>stitutions are <strong>in</strong>volved <strong>in</strong> the<br />

e-governance programs of the EU at both central<br />

and sectoral levels.<br />

Regulation and<br />

procedures<br />

Info-communication<br />

<strong>in</strong>frastructure<br />

Content and services<br />

Culture and<br />

<strong>in</strong>dividual knowledge<br />

Institutional framework<br />

and cooperation<br />

EU<br />

compatible<br />

EU Integration


The central electronic government has been successfully<br />

connected to the <strong>in</strong>frastructural systems of the EU and<br />

cooperation between <strong>in</strong>stitutional frameworks has expanded<br />

Results<br />

• The Hungarian <strong>in</strong>stitutional framework was<br />

among the first to be connected to TESTA<br />

through the EKG (H-Sec-Net was launched)<br />

• The EKK and the IHM are <strong>in</strong>volved <strong>in</strong> the<br />

creative work associated with the EU i2010<br />

strategy<br />

• The EKK is participat<strong>in</strong>g <strong>in</strong> the management of<br />

the IDABC program launched to realise pan-<br />

European e-government services<br />

• Hungarian <strong>in</strong>stitutions are participat<strong>in</strong>g <strong>in</strong> the<br />

sectoral programs of the IDABC, coord<strong>in</strong>ated by<br />

the IDASZB Committee<br />

• Developments underway make use of EU<br />

knowledge bases and its free software (eL<strong>in</strong>k,<br />

CIRCA, IPM)<br />

• From the EU funds<br />

• pre-accession funds were used by the central<br />

<strong>in</strong>stitutions, and<br />

• NFT (National Development Plan) funds were used<br />

by local governments.<br />

• The government has not yet been able to take<br />

advantage of the possibilities offered by<br />

Community programs<br />

Infrastructural developments<br />

• H-SEC-NET<br />

• TESTA<br />

Cooperation between <strong>in</strong>stitutional frameworks<br />

• Program management<br />

• Horizontal areas<br />

• CIRCA<br />

• IPM<br />

• eL<strong>in</strong>k<br />

Knowledge management<br />

Explor<strong>in</strong>g EU development funds<br />

• Pre-accession funds<br />

• Hungarian NDP<br />

• Community Programs


By the end of the decade the EU plans to develop a pan-<br />

European services system connect<strong>in</strong>g all Member States,<br />

which will provide a full range of tools for national<br />

governments to communicate with one another<br />

Future tasks<br />

• The EU <strong>in</strong>tegration is an important framework<br />

program of the strategy, but it is also a<br />

significant driv<strong>in</strong>g force beh<strong>in</strong>d the<br />

development of onl<strong>in</strong>e services <strong>in</strong> <strong>Hungary</strong>;<br />

• Accord<strong>in</strong>g to the plans for European<br />

Interoperability, all EU citizens will enter the<br />

standard EU service platform through a<br />

shared European Client Gateway;<br />

• At the same time, it is important that <strong>in</strong> the<br />

future years, while the development of onl<strong>in</strong>e<br />

services <strong>in</strong> <strong>Hungary</strong> enables us to become an<br />

active and <strong>in</strong>creas<strong>in</strong>gly <strong>in</strong>volved participant of<br />

the evolv<strong>in</strong>g EU e-governance framework<br />

system, we also learn how to secure external<br />

fund<strong>in</strong>g to complement the NDP programs<br />

from programs support<strong>in</strong>g the implementation<br />

of Community Policies for the realisation of<br />

Hungarian e-governance developments.<br />

Member State A<br />

Public<br />

adm<strong>in</strong>istration<br />

Member State B<br />

Public<br />

adm<strong>in</strong>istration<br />

EU public adm<strong>in</strong>istration<br />

EU Citizen


EXTENDING THE STRATEGIC PROGRAMS TO THE<br />

ENTIRE INSTITUTIONAL FRAMEWORK


Once the central systems and the basic regulation are <strong>in</strong> place<br />

the pr<strong>in</strong>cipal task of e-government is to extend onl<strong>in</strong>e<br />

governance to the entire <strong>in</strong>stitutional framework<br />

• The basic <strong>in</strong>frastructure of e-<br />

governance has been created <strong>in</strong> the<br />

past three years, <strong>in</strong>itiated and<br />

coord<strong>in</strong>ated by the EKK;<br />

service<br />

• The challenge for the com<strong>in</strong>g years is to<br />

extend the program to the entire<br />

<strong>in</strong>stitutional framework of the<br />

government;<br />

IT<br />

<strong>in</strong>frastructure<br />

Regulation<br />

• The various <strong>in</strong>stitutions also need to<br />

prepare their own e-governance<br />

strategies and plans specify<strong>in</strong>g:<br />

• the scope and contents,<br />

• the required regulation,<br />

• the <strong>in</strong>formation technology background<br />

• the <strong>in</strong>dividual and organisational<br />

knowledge management and<br />

• the required EU cooperation<br />

of the e-services to be developed.<br />

Culture and<br />

knowledge<br />

Central<br />

coord<strong>in</strong>ation<br />

Efficiency<br />

EU<br />

cooperation


The program extended to the entire <strong>in</strong>stitutional framework<br />

needs to be centrally coord<strong>in</strong>ated to ensure that the transition<br />

takes place with uniform standards and that resources are used<br />

efficiently<br />

• In most EU Member States the extension of<br />

e-governance to the entire public<br />

adm<strong>in</strong>istration is a high-priority central<br />

government task.<br />

• To ensure the efficient use of resources,<br />

generally a central coord<strong>in</strong>at<strong>in</strong>g body is set<br />

up to manage the above process, which is<br />

responsible for a number of tasks, such as:<br />

• standards development<br />

• resource management<br />

• knowledge management<br />

• <strong>in</strong>stitutional coord<strong>in</strong>ation.<br />

• The first step of extend<strong>in</strong>g the e-government<br />

strategy is to determ<strong>in</strong>e the tasks and<br />

authority of a central coord<strong>in</strong>at<strong>in</strong>g body <strong>in</strong><br />

<strong>Hungary</strong>.<br />

Development of uniform standards<br />

Resource management<br />

Connection to the central systems<br />

Knowledge management<br />

Coord<strong>in</strong>ation of cooperation with<strong>in</strong><br />

the <strong>in</strong>stitutional framework


It is essential to determ<strong>in</strong>e and legally establish the scope<br />

and rules of cooperation accord<strong>in</strong>g to which the central<br />

coord<strong>in</strong>at<strong>in</strong>g body can lead the next steps <strong>in</strong> the transition of<br />

the <strong>in</strong>stitutional framework<br />

• The <strong>in</strong>stitutional framework and the central<br />

coord<strong>in</strong>at<strong>in</strong>g body can cooperate successfully<br />

<strong>in</strong> a number of ways;<br />

Develop the <strong>in</strong>stitutional cooperation<br />

model, ”enterprise architecture”<br />

• It is worth look<strong>in</strong>g at examples provided by the<br />

relevant EU Member States, but the operation<br />

model essentially needs to be developed<br />

based on the conditions and characteristics of<br />

public adm<strong>in</strong>istration <strong>in</strong> <strong>Hungary</strong>;<br />

• The model needs to clarify, among others, the<br />

follow<strong>in</strong>g:<br />

• roles and responsibilities;<br />

• task allocation and<br />

• motivation.<br />

Develop the required regulation<br />

Determ<strong>in</strong>e roles and responsibilities<br />

Allocate tasks<br />

Create motivation


In addition to creat<strong>in</strong>g and regulat<strong>in</strong>g a central coord<strong>in</strong>ation<br />

model, it is also very important to identify and correctly allocat<br />

the resources available<br />

• The EKK has achieved significant results<br />

us<strong>in</strong>g the funds allocated to the<br />

implementation of the framework programs of<br />

the e-<strong>Government</strong> Strategy: it has created a<br />

central <strong>in</strong>frastructure for e-governance.<br />

• In the past three years, <strong>in</strong> addition to the EKK<br />

coord<strong>in</strong>ation, over HUF 140 billion has been<br />

spent on <strong>in</strong>dividual governmental <strong>in</strong>formation<br />

technology developments. Another HUF 120<br />

billion has been spent on developments<br />

related to the <strong>in</strong>formation society.<br />

• In the field of e-governance coord<strong>in</strong>ated<br />

developments are more efficient than<br />

significant <strong>in</strong>vestment projects us<strong>in</strong>g<br />

fragmented sources of funds.<br />

• The range of fund<strong>in</strong>g options must be explored<br />

and funds must be used efficiently, <strong>in</strong><br />

accordance with a plan based on central<br />

coord<strong>in</strong>ation<br />

NDP II.<br />

E-government developments<br />

Sectoral and <strong>in</strong>dividual <strong>in</strong>formation<br />

technology developments<br />

Central <strong>in</strong>formation technology<br />

developments<br />

Direct Community resources<br />

PPP type cooperations


Thank you for your<br />

attention!<br />

Gábor BÓDI<br />

Head of Department, <strong>Government</strong> Advisor<br />

Prime M<strong>in</strong>ister’s Office<br />

Electronic <strong>Government</strong> Centre

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