Can smart states save public welfare? Ketil Raknes, political advisor. Socialist Left Party of Norway
The Nordic Model Strong social democratic parties, Working multiparty systems An active state Consensual approach to policymaking Extremely high levels of trust amongpeople and to centralgovernmentalinstitutions (socialcapital).
Nordic people trust eachother The graph shows percentagewhoagreeswiththestatement ”most peoplecan be trusted”
Nordic TechpoliticsOpportunities An addition to highlevelsofinternetpenetrationpublic data is ofextremelyhighquality
The challenge Agingpopulationsputsenormousstrainonthepublicsector. Willdemandhigherpublic spending at the same time as thetax base decreases Productivity in the private sectorgrows faster than in thepublicsector
The smart statesolution The stategoes online. No more publicoffices. Taxes, educationalchoices, prescriptions etc. can be done online. Simple and effectivetaxing system givesincreasedcompetitiveness for corporations. 89 percentofnorwegiancorporatetaxeswaspaid online in 2009.
The growthofMyID MyID is thepubliceIDonsecuritylevel 3. Has 2,3 million users. The charts shows percentageofusers by age.
The economicopportunities ”Investments in digitalising publicsectorare as lucrative as investing in the North Sea” eIDcost-benefitanalysis
Promisingexamples State EducationalLoaning Fund: Numberofphonecallsreduced from 1,5 mill to 460.000. Reducednumberofemployeeswith 15 percent Altinn (common web portal for public reporting): 50.000 less forms to be filled in by bureacrats. 900 full time equivalentssaved (FTE) for Norwegian corporations 2005-2007. Norwegian TaxAdministration: 800 FTEssaved.
The challenge The central nerve ofthewelfarestate. Healthcare, pensions and welfarebenefits is still in the analog age. eIDonsecuritylevel 4 and a nationaltechnologicalinfrastructure is the missing link. Politiciansdoes not understand theimportance and thebenefitsofusing smart statesolutions. Bureacraticinfightinghampersdevelopmentofnew services.