El Salvador Feasibility Study of Egovernment JICA Summary
El Salvador Feasibility Study of Egovernment JICA Summary
El Salvador Feasibility Study of Egovernment JICA Summary
FINAL REPORT
SUMMARY
DECEMBER 2006
Municipal
Office
Technology Bank
•Disaster Info System.
Training •Citizens’ Master
VPN Center Database.
•Back up/Hosting.
Bad Guys
Data Center
Public
Public
Internet
Internet
Citizens Rural Area Connectivity
Municipal
Office
Portal
School
Network
Operation Center
PAT
FINAL REPORT
SUMMARY
DECEMBER 2006
PREFACE
In response to the request from the Government of the Republic of El Salvador, the Government of
Japan decided to conduct the Feasibility Study on Establishment of e-Government Platform for El Salvador
and entrusted the Study to the Japan International Cooperation Agency (JICA).
JICA selected and dispatched a Study Team, which consisted of experts of PADECO Co., Ltd. to the
Republic of El Salvador between January 2006 and November 2006. The Study Team was headed by Mr.
Yuichiro Motomura of PADECO.
The Study Team held discussions with the officials concerned of the Government of the Republic of
El Salvador and conducted field surveys. Upon returning to Japan, the Study Team conducted further
studies and prepared this final report.
It is my hope that this report will contribute to the development in the Republic of El Salvador, and to
the enhancement of friendly relationship between our two countries.
Finally, I wish to express my sincere appreciation to all the officials concerned of the Government of
the Republic of El Salvador for their generous cooperation given to the Study Team.
December 2006
Kazuhisa Matsuoka
Vice-President
Japan International Cooperation Agency
December 2006
Mr. Kazuhisa MATSUOKA
Vice-President
Japan International Cooperation Agency
Tokyo, Japan
LETTER OF TRANSMITTAL
Dear Sir,
We are pleased to submit herewith the final report of “ The Feasibility Study on Establishment of
e-Government Platform for El Salvador”.
This report presents the results of the Study, which was undertaken in the Republic of El
Salvador from January 2006 to November 2006 by the Study Team, organized by PADECO Co., Ltd.
under the contract with JICA.
The Study Team, in cooperation with diverse sectors of the people in El Salvador, has formulated
a comprehensive plan of establishing an e-Government platform and its implementation. The Study Team
also technically supported some of the preparatory processes for the Government to acquire funds for the
implementation including loans and grants from foreign sources.
We owe a great deal to many people for the completion of this report. We would like to express
our deep appreciation and sincere gratitude to all those who extended their kind assistance and cooperation
to the Study Team, in particular, the concerned officials of the counterpart agency for this Study, the
Technical Secretariat, the Presidential House, of the Republic of El Salvador, and members and related
officials of the National Commission for the Information Society.
We also are very much thankful to the officials of your agency and the Ministry of Foreign
Affaires of Japan.
We hope that the report will contribute to facilitating further socio-economic development in the
Republic of El Salvador.
Yuichiro MOTOMURA
Team Leader
The Feasibility Study on Establishment of e-Government Platform for El Salvador
THE FEASIBILITY STUDY ON ESTABLISHMENT OF THE e-GOVERNMENT PLATFORM IN EL SALVADOR
Table of Contents
6. Recommendations ............................................................................................................................... 25
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Summary
El Salvador is the coordinator for ICT sector development in Plan Puebla Panama, a regional
development program of the Central American countries. The Government of El Salvador requested the
Government of Japan to carry out a feasibility study for establishing an e-Government platform for the
purpose of making the ICT sector development as the core of national development. This study has been
being carried out by PADECO Co., Ltd., which was commissioned by the Japan International Cooperation
Agency. The study is assumed to take into account foreign financial assistance such as a yen loan from
Japan Bank for International Cooperation. The study commenced in January 2006; its progress report was
issued in March 2006, an Interim Report in August 2006, and a Draft Final Report in October 2006.
2. Policy Analysis
• JBIC Mater Plan: Submitted in March 2003. Thirteen projects were proposed, which basically
include proposals contained in this report.
• e-Pais Strategy: Effort of National Committee for Information Society for its preparation is nearing
completion. Six components of e-Government are identified: central organization, standards and
norms, intra-government communication, government to citizen communication, e-Government
portal, education and training, and research and development center.
• Hinds Paper: Analysis of procedures and benefits of e-Government realization by an ex-ministry of
finance official.
• Daboub Paper: Explanations of twelve important projects for e-Government identified under the
previous president.
• Ministry of education and ministry of industry prepared plans including IT policies.
Private IT industries in El Salvador are very much underdeveloped. The e-Government project would
promote private sector in the following manner.
No data are available that indicate the digital divide in El Salvador. It is considered that the divide is
significant judging from regional difference in literacy. The following are deemed effective to eradicate
such divide:
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The above measures are mentioned in the National Education Plan 2021, and within the program
Conectate for the purpose there are subprograms of Grado Digital, Edunet, Mi Portal, Aulas Informaticas,
and Computadoras para Mi Escula.
2.5. Relationship to Plan Puebla Panama and Regional Development of Central America
The Plan Puebla Panama advocates eight pillars with respective coordinators:
El Salvador is responsible for the program of integrating telecommunication services with an important
objective of promoting IT. Officials of El Salvador are well aware of this aspect. There also exists a high
degree of interest in the effect of this e-Government project to the countries participating PPP.
1) There is no secure and stable system operation. It will very difficult to keep stability in operation
when many citizens will access these systems in the near future, as they should;
2) Few IT units have back-up system, although El Salvador is one of the most earthquake prone area
in the world; and,
3) Many similar or duplicated efforts are being made as individual organizations are independently
outsourcing system development.
1) Citizen Identification;
2) Security;
3) Education; and
4) Health.
Necessity of e-Government
Integrated e-Government is highly necessary on the grounds of the following:
1) Most of the government organizations are facing shortage of budget and human resources except a
few;
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2) Most of the existing systems cannot handle a near future situation in which many citizens try to
access the system;
3) Systems are being developed by each organization. This causes inefficiency because the lack of
common development methodology results in duplication and incompatibility;
4) Because of insufficient data and system back-up, it is difficult to secure system stability;
5) Few data are shared by different organizations because each system has been developed separately;
and,
6) Inefficient development and operation caused by the non-existence of Standards and Norms.
Data
Security Exchange Data Admi-
Common OLAP
Software Application Operation nistration
DSS
Physical Government
Infrastructure WAN Data Center
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1) Government WAN;
2) e-Government Center;
3) Trigger Applications; and
4) Standards & Norms.
Promotion of IT Industry
This project, once implemented, will promote IT industry in El Salvador in the following ways:
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Issues
Internet market of the El Salvador has been fully privatized after the telecommunication infrastructure
was sold to a private company in 1998. Generally, the quality of the Internet services has the following
problems:
• Internet access speed is slow;
• Bandwidth of backbone network is not sufficient to provide good broadband services to citizens;
• Service price is high relative to GDP per capita level, so that national Internet population is
estimated at less than 5 %;
• The Government does not collect any information related to neither the national Internet
infrastructure nor statistics on network traffic; and,
• Internet services are not provided to a large part of rural towns and villages, especially in northern
area of the country.
Current Internet market situation may not be a comfortable one for El Salvador as a member of PPP,
responsible for telecommunication strategy. It should be emphasized that the market mechanism for
Internet businesses does not function properly in El Salvador as manifested by the facts that both
continuing high Internet service price for years, as commonly found in most of Central/South American
countries, and the unsolved problem of expanding Internet services into rural areas.
Another important problem is that the Government continues to pay unnecessarily high charges to ISPs,
due to the following reasons:
• No volume discount is available. Most ministries have their own separate Internet contract with
ISPs; and
• A contract duration is limited to one year.
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private company. A quality service level should be defined and verified in a Service Level Agreement
contract. Monitoring and repairing arrangement works are done by NOC staffs.
The NOC should be equipped with a sophisticated and integrated monitoring and management system,
such as Tivoli Monitoring or Openview product.
Regulation
Telecommunications regulations in El Salvador need to be updated. The policies must be in constant
change and evaluation, because the telecommunication market is one that moves forward fast and changes
at the same pace as technology does.
The SIGET is supposed to monitor and supervise the national telecommunication industry. In order to
realize providing a good and efficient Internet services to all citizens on an equal chance basis, the regulator
and industry have to give best effort implement the following policies: sharing facilities, information
exchange, rural facility investment promotion, among others.
Business Model
It is envisaged that the government will invest all network equipment and installation work. The
ownership of the equipment and facilities would belong to the government. Operation and maintenance
work is outsourced to a private company. Unless the contractor violates the Service Level Agreement
Contract, the government pays required outsourcing fee every year.
Technical Options
Backbone network: Optical fiber cable is a long-term solution. When new data transmission technology
is developed, replacement of equipment may be enough to adapt new technology
without replacing cables.
Cable laying: Underground cable laying is much safe in terms of security consideration.
Local connectivity: Wireless LAN seems best solution, however further study is needed.
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1) Planning: 3-5
2) Administration: 3-5
3) Standardization promotion committee: committee
4) System auditing committee: committee
5) Procurement: 3-5
6) Data Center Service: 3-5 (Internal only)
7) Training: 2-3 (Internal)
8) Field Service: 2-3 (Internal only)
9) Network Services:
10) Software Services: 3-5
The 1) above seems to be the best choice. President can create a department within the Secretariat
without asking to the congress.
Issues
RNPN issues an ID card (DUI) to all of Salvadoran nationals over 18 years old utilizing personal data
kept in a database managed by RNPN. Actual operation and maintenance is outsourced to a private
company. A number of databases of individual citizens’ personal data are maintained by various systems in
many organizations. Providing a function that enables data linkages between the RNPN system and other
systems would result in more efficient government services to users. Issuing of birth certificate, which is
often necessary in various occasions in the life of Salvadorians, is one of those services.
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Trigger Applications
Citizens’ master database systems
c) Systems summary view
Public Access Applications
Public Applications
Birth
Certificate
•DocumentExpedition.
•Document Expedition.
•Municipalities. •Online Payment.
•Online Payment.
•Consulates. Citizens
Citizens
Database
Database •CriminalRecords
•Criminal Records
•PAT Certificate.
Certificate.
•Remote Access System. •Etc.
•Etc.
•Remote Access System.
•Fingerprint Security.
•Fingerprint Security.
•Online Payment System. Criminal
•Online Payment System. Criminal
•Online Documentation Records
Records
•Online Documentation Public Applications
System
System
Passport
•Statistics/ /Analysis
•Statistics Analysis
Passport,, VISA,
VISA,
Taxes,
Taxes, etc.
・Accessand
・Access andentry
entryby
by etc.
Municipalities.
Municipalities.
Main System
Source: JICA Study Team
Figure 2 Trigger Application: Citizens’ Master Database
Benefits
Citizens: No need to go to a municipality far from their residence.
Overseas Salvadorians can also enjoy this function.
Municipalities: Reduction of the work of issuing birth certificates.
Transmission of data to RNPN through the network.
Central government agencies: Agencies will have access to RNPN data
Statistical and analysis systems are available.
Standardization
Some important Standards and Norms described later will be prepared in parallel with the works of
design, development and operation/maintenance.
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Citizens
(PC/PAT)
APP DB
(UNIX × 4) (UNIX × 2)
Web (UNIX × 4)
Portal (UNIX × 2)
PNC
Ministries DB
(UNIX × 2)
EAI Solution
(UNIX × 2)
Citizens DB
Certification DB
Statistics / Analysis DB Finger print DB
BI
(UNIX × 2) (UNIX × 2)
Existing Systems
Municipalities
Web APP DB
(UNIX × 2) (UNIX × 2) (UNIX × 2)
Finger Print
Application
Birth Finger by
Data
Certificate Point
DUI Municipalities
With No System
Systems DUI center.
Confirmed Data
RNPN
Confirmation
Transaction
Confirm Modify
RNPN
Birth Birth
Data Data
Certificate Certificate
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O&M
The e-Government Center is responsible for securely operating the system. Data themselves should be
managed by RNPN.
Issues
SNET gathers and stores information concerning natural disasters in order to provide them to public and
to community leaders. Once a disaster occurs, an emergency headquarters is established and the responsible
parties from related ministries gather at Civil Protection under its leadership. Currently, information
provision depends on manual operation, so that information flow is often disrupted.
System Overview
Function1: Allow anyone with PC nationwide to get hazard map.
Function2: Distribute disaster information, shelter information, etc. mainly to mobile terminals (such as
cellular phones). (One in three persons in El Salvador owns cellular phone)
Trigger Applications
Disaster Information System
C) System Overview
Operators System Public Access
PCs
Operation •Schools.
•Municipalities.
•Infocentros.
Seismic
Seismic Hurricane
Hurricane Disaster Info Digital
Database MAP
Information
Information
Cellular
•Citizens.
PDA
Volcano
Volcano Flooding
Flooding
Data
Data
Collection
Collection
Analysis
Analysis Community
Leaders
•Community
Citizens’ Data
Benefits
Citizens: Identify areas of high risk
Immediate access to information on disasters
Initiate timely evacuation or other preventive procedures
Municipalities: Prepare adequate emergency response plans
Make sound decisions for land use planning to reduce the vulnerability to disaster
Government users: Coordinate risk prevention and emergency response activities
Make sound decisions for new infrastructure and social benefit project
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Participating Organization
SNET
Issues
CONACYT (National Council of Science and Technology) is in charge of the standardization work
within the Government of El Salvador. However, standardization document rarely exists in the IT field.
Consequently, system inter-connection among ministries has been very limited. The chance of cost
reduction in procurement is large but has been missed.
CMMI is the world standard for the software development. Obtaining CMMI certifications will improve
competitiveness of private IT enterprises in El Salvador.
Basic Concept
The figure below illustrates the structure of the standards and norms as generally recognized worldwide.
Global IT Standards
SPA
(Software Process Assessment)
PMS
QMS (Project Management)
(Quality Management) ISO 15504
CMMI
ISO 10006
ISO 9001
PMBOK
Action Do
Process Management
IN Process OUT Check
Document Work
Management Flow
ISMS EMS
(Information Security Management) ITSMS (Environmental Management)
(IT Service Management)
ISO 27001 ISO 14001
ISO 20000
(BS15000/ITIL)
Because these international standards are merely guidelines for standardization, it is necessary to work
for actual standardization process considering actual situation in El Salvador.
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Method of Establishment
It is envisaged that the following standardization work will be implemented in parallel with the
implementation of the forthcoming project: standardization in security and network-related areas while the
development of the Government WAN, standardization in security and operation-related areas during the
implementation period of the e-Government Center, and standardization in development-related areas when
the trigger applications are being developed.
A committee should be set up for the purposes.
Issues
At present, most of application systems in the government have been developed and implemented
separately by each of the individual ministries without much consideration to other organizations, resulting
in the waste of effort due to duplication, and in mutual incompatibility. Common subsystems can eliminate
such inefficiency.
Targets
There are many that can become common subsystems. However, the following six should be given
priority:
Method of Establishment
The Standardization Promotion Committee, which should be set up under the e-Government Center, will
select targets and will oversee the development and implementation.
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Note: Components circled by the dotted line are those included in the Project.
Source: JICA Study Team
Figure 7 Optical Fiber Links and Switches
Note: Components circled by the dotted line are those included in the Project.
Source: JICA Study Team
Figure 8 Voice IP (VoIP) Network
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Application Software
Network Management Software
Application Software
Network Management Software
Note: Components circled by the dotted line are those included in the Project.
Source: JICA Study Team
Figure 10 Network Application Servers
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Municipal Connectivity
The figure below shows the outline of Municipal Connectivity.
Municipality Network
Enhancement
Equipment
Note: 1) Components circled by the dotted line are those included in the Project.
2) CANOPY is a wireless data communication equipment.
Source: JICA Study Team
Equipment
Equipment Equipment
Note: Components circled by the dotted line are those included in the Project.
Source: JICA Study Team
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Equipment
Note: Components circled by the dotted line are those included in the Project.
Source: JICA Study Team
Figure 13 Public Access Terminal (PAT) Network
Design
• Data Center floor area: 710m², server rack including UPS: 150 sets
• The server room floor: 18 inches raised、floor strength: 1,200 lbs/square feet
• HVAC for server room
• Operation room for servers and network
• Call center including 40 desks
• System production room
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Services
Services with possible charging schemes to users:
Web Hosting Service, System Operation,
Data back up service, Data Replication Service,
System Stand by service, Data Exchange Service,
Virus Protection, Access Log Management Service,
PC Monitoring, Authentication Service,
Access Control Service, PKI,
Technical Service, Network Engineering Service,
Remote Operation Service, Intra-Government Portal,
e-Government Portal, Open Document Service,
Payment Gateway, Video Conference,
Technology Bank, Training Center,
Help disk, Call Center
System Configuration
Citizens
(Citizens Master DB)
Ministries
Integrates
Database
Integration
Entry data Refer
Local
Database
Create
Replication Replication
Verified Data
Error Data
RNPN
Database
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Existing RNPN databases such as those for DUI and birth certificates will be used as the basis of the
expanded system as shown above.
SNET/e-Government Center
User
Hazard Disaster Registration Mobile
Data Info Input Distribution
User
DB
Hazard Disaster Information
Data Data Provision
Import GIS
GIS
Hazard MAP
Injury
Information
Inquiry
Source: JICA Study Team
Figure 15 Systems Configuration (Disaster Information System)
• Hazard Map
- Map Import
- Hazard data input
- Hazard map inquiry
• Disaster Information
- User registration (Linked with Citizens’ Master DB)
- Disaster Information entry
- Disaster Information inquiry
- Disaster information distribution (To mobile terminals as well as PCs)
As soon as the e-Government Center is organized, the standardization promotion committee should be
set-up. Development of Standard & Norms is not only for government agencies but also for private
enterprises. Subjects will include:
Output of this activity should be published onto Website for better dissemination.
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Systems which are necessary in this project with high priority are listed below. It is recommended that
all of them be implemented immediately.
4.7. Cost
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4.8. Schedule
The figure below illustrates the project schedule as assumed at the time of this writing.
Pledge ☆
Signing of Loan Agreement ☆
Consulting Services
Selection of Consultant
Detailed Design [ EGC Building ]
Detailed Design
Tendering Assistance [ EGC Building ]
Tendering Assistance
Construction Supervision [ EGC Building ]
Construction Supervision
Construction Supervision [ Standards and Norms ]
Selection of Contractor
Pre-Qualification(incl.JBIC's concurrence)
Preparation of Tender Documents(incl.JBIC's concurrence)
Tender Period
Tender Evaluation
JBIC's Concurrence of Tender Evaluation
Negotiation of Contract
JBIC's Concurrence of Contract
Signing on Construction Contract
L/C Opening, L/Com Effectuate
Construction Works
COMPONENT1
PACKAGE Government
1 : Government WAN
WAN
COMPONENT2
PACKAGE e-Government
2 : e-Governemnt Center
Center
COMPONENT3
PACKAGE Citizen’s
3 : Citizens' Master
Master Database
Database
COMPONENT4 Disaster
PACKAGE 4 : Disaster Information
Information System
System
COMPONENT 5 Common
PACKAGE 5 : Common SubSub Systems
Systems
COMPONENT 6 EGC
PACKAGE 6 : EGC Building
Building
COMPONENT 7 Standard
PACKAGE 7 : Standards and
and Norms
Norms
Source: JICA Study Team
Figure 16 Overall Project Schedule
Basic Assumptions
1) Project Life
The project life is 12 years from September 2007 to August 2019. Government WAN and e-Government
Center begin operation in October 2009 while Citizens’ Master Database and Disaster Information System
will be operational in January 2010.
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4) Taxes
Economic costs and benefits exclude value added tax of 13%.
5) Contingencies
Economic investment and OM costs include 5% physical contingency. Price contingency is not included.
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1) Government WAN
Reduction in Telecommunication Service Costs
Central Government
It is estimated that telecom service costs of the central government will be reduced gradually by US$13
million (-58% in comparison to without project case) in 2018 due to estimated 40% reduction in data
communication costs and introduction of free IP phones.
Municipalities
It is estimated that telecom service costs of the municipalities will be reduced gradually to US$ 267,000
(-73.3% in comparison to without project case) in 2018 due to introduction of free IP phones and rural
wireless data communication service.
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62% of birth certificate acquisition will be made by Internet in 2018, when reduction in cost of time will
reach US$5.4 million.
Cost Reduction of Municipality Employees Attending Citizens Applying for Birth Certificates
Efficiency improvement is calculated as reduction in costs of these municipality employees and is
estimated to be US$1.2 million in 2018.
4) e-Government Center
Reduction in Damages to RNPN, SNET and Civil Protection
It is assumed that a natural disaster will occur in the middle year of the project life of the e-Government
Center (2012) that will be large enough to damage and suspend the computer & telecommunication
network system of RNPN, SNET and Civil Protection for one month under the without-project scenario.
SNET
It is assumed that the SNET data (worth US$ 12.9 million based on the employees’ costs) will be
destroyed by a natural disaster in 2012. In addition, the replacement costs of SNET’s equipment are
assumed to be US$0.6 million
Civil Protection
It is assumed that the operations of Civil Protection will be suspended once a natural disaster strikes San
Salvador in 2012, increasing the damage (estimated at US$14 million p.a. based on the past 55 year data of
casualty by earthquakes) by a conservative 10% estimate under the without-project scenario.
In total, the reduction in damages to RNPN, SNET and Civil Protection is calculated at US$15.0 million.
Conclusion
Reduction in telecom service costs of the Central Government (Gov. WAN) is the largest economic
benefit, followed by that of Disaster Information System and time value saved of citizens (Citizens’ Master
Database). The economic internal rate of return (EIRR) is calculated at 17.3%, which exceeds the target
EIRR of 10%. It is concluded that the proposed project is economically beneficial to the economy of El
Salvador.
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The current prevailing thinking within the Government concerning the implementation of the
Government WAN project is that the Government invests in the construction of the initial infrastructure by
itself and that a private sector company operates the system under a contract with the Government. In
accordance with the contract the private company charges the Government periodically for an amount that
covers actual operating cost plus profit deemed reasonable. In addition, the Government pays user charges
to the ISP company that provides communication lines as is the case now. Under such circumstances, it
would be meaningless to calculate the Financial Internal Rate of Return.
6. Recommendations
The Government of El Salvador should implement this project as a priority project of the country. It
should secure budgets for various aspects of the project such as operation, maintenance and management,
and human resource development, and adopt means for retaining trained personnel for the purpose of
sustainable operation and growth.
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