The information society and development: the role of the European Union - Communication from the Commission to the Council to the European Parliament to the Economic and Social Committee and to the Committee of the Regions
Date: 1997-07-15
Institutions: European Commission
Subjects: EU action, cooperation policy, developing countries, information technology, telecommunications

COMMISSION OF THE EUROPEAN COMMUNITIES 

4 *A 

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Brussels,  15.07.1997 
COM(97)351  final 

The Information Society and Development: 

the Role of the European  Union 

Communication from the Commission 

to the Council 

to the European Parliament 

to the Economic and Social Committee 

and to the Committee of the Regions 

CONTENTS 

INTRODUCTION 

A. 

1. 

THE  CHALLENGE  OF  INTEGRATING  TÎÎE  DEVELOPING 
COUNTRIES  m  THE  INFORMATION  SOCIETY 

THE 
AND 
OF 
COMMUNICATIONS  TECHNOLOGIES (ÏCT) TO DEVELOPMENT 

CONTRIBUTION 

INFORMATION 

2. 

THE CHALLENGES FACING THE DEVELOPING COUNTRIES 

B. 

3. 

4. 

COMMUNITY  ACTION  AND  PROSPECTS 

THE  EUROPEAN  UNION'S  CONTRIBUTION  TO  PROMOTING 
THE 
IN  THE  DEVELOPING 
COUNTRIES 

INFORMATION 

SOCIETY 

GIVING  A  NEW  IMPETUS  TO  COMMUNITY  ACTION  FOR  THE 
DEVELOPING  COUNTRIES 

3 

6 

3 

10 

14 

CONCLUSION 

ANNEX  I 

List of acronyms 

INTRODUCTION 

Recent  trends towards the information  society potentially  concern  most  human  activities, 
including  learning,  communication,  work  and  leisure.  This  applies  equally  to  the 
developing countries, notwithstanding  the  diversity  of their market  situations, policies  or 
technological  capacities.  This  Communication  presents  & number  of  guidelines  and 
mechanisms  to  encourage  the  participation  of  developing  countries  in  the  information 
society, not only as consumers but also in an active role. 

The  G7  Conference  on  the  information  society  held  in  Brussels  in  February  1995 
expressed  concern  about  the  need  to  avoid  further  widening  the  gap  separating  the 
industrial countries from the developing countries and called for "a shared vision of human 
enrichment:"  i 
"Our  action  must  contribute  to  the  integration  of  all  countries  into  a 
global effort.  Countries in transition and developing countries must be provided with the 
chance to folly participate in this process as it will open opportunities for them  to  leapfrog 
stages  of technology  development  and  to  stimulate  social  and  economic  development". 
The Conference  on the information  society  and development  organized  in Midrand  from 
13  to  15 May  1996  at  President  Mandela's  invitation,  bringing  together  more  than  50 
countries and  international  organizations, focused  on the specific  needs of the  developing 
countries  and  highlighted  the  potential  of  the  new  technologies  (see  supplementary 
Annex 6)  It provided a forum for joint reflection  reflection  on the common rules required, 
the areas of cooperation towards building the global information  society, and the priorities 
for development.  Egypt has undertaken to organize the follow-up to this Conference. 

The EU  has embarked  upon redefining  and modernizing  its relationship  with  each  of  the 
main  developing  regions,  providing  an  opportunity  to  take  account  of  the  information 
society concept in relations with them.  For Community action a reference framework has 
to be established to  secure the necessary  coherence,  promote  possible synergies  between 
the various policies,  and  strive for  coordination  with  the activities  of the Member  States 
and  of the  international  organizations  concerned.  A regional  approach  is  recommended 
for  this purpose  to  ensure  that  the  action  takes  place  in the  context  of  existing  relations 
and  at  the  same  time  in  that  of  the  available  cooperation  instruments.  For  external 
partners  the  message  should  be realistic  and  it  should  draw  their  attention  to. what  is at 
stake in the current upheavals and to the efforts  they have to make. 

A.  THE CHALLENGE OF INTEGRATING THE DEVELOPING 

COUNTRIES IN THE GLOBAL INFORMATION SOCIETY 

1  THE  CONTRIBUTION  OF 

INFORMATION  AND  COMMUNICATIONS 

TECHNOLOGIES (ICT) TO DEVELOPMENT 

1.1.  As  emphasized  at 

the  Conferences  of  Midrand  and  Rome  on 

the 
Mediterranean,  the  information  society  (IS)  mobilizes  revolutionary  and 
pervasive  technologies  that  profoundly  alter  the  organization  of  work, 
It  entails  a  reduction  of  time  and  space 
education  and  society  at  large. 

*  Meeting of the Ministers of the G7 countries and the Member States of the European Union, Brussels, 

2&pBNi»ry 1996. 

intermediary 

stages  which 

constraints  and  presents  a panoply  of  new  tools  with  unparalleled  capacities 
enabling  the  developing  countries  to  make  some  great  leaps  forward  in 
technology  by  economizing  on 
the 
the 
industrialized  countries  have  gone  through.  The  increasing  complexity  of 
economic  relations  and  the  unprecedented' accumulation  of  knowledge  and 
experience  are  conducive  to  increasing  global  integration.  However, 
countries  that  shut  themselves  off  from  these  changes,  isolating  themselves 
from  international  trade networks and investment flows  and from  networks of 
their  spread,  would  risk  being 
scientific  and  cultural  creativity  and 
marginalized. 
In  some  countries  there  is  the  further  risk  of  a  two-speed 
society  emerging,  with  only  part  of  the  population  having  access  to  new 
networks,  services .and  equipment  and  capable  of  using  them  with  ease  and 
enjoying  the advantages they  offer. 

1.2. 

In technological  terms, the moves towards the information  society  mobilize a 
panoply  of  new  tools  which  are  spreading  throughout  the  developing 
countries.  There has bQQn an explosive growth in cellular mobile  telephony, 
in particular where they offset  the deficiencies  of fixed networks.  In the  field 
of  satellite  communication,  geostationary  technology  is  in  full  development 
(multispot  access or  access  on demand),  and  low- and  medium-altitude  orbit 
systems  will  soon  be  offering  global  services.  These  technologies  are  less 
capital-intensive  and better  adapted  to remote regions and  sparsely  populated 
areas (solar-powered  switches, VSAT).  The capacity  of optical cables is on 
the  increase  and  connections  are  multiplying,  e.g.  those  being  established 
between  Chile and the other  countries of the Pacific  coast  of South  America, 
and  the  FLAG  project  linking  Europe  and  Asia  via  the  Mediterranean. 
Internet  and  WWW  technology  provide  a  platform  for  integrating  other 
technologies,  including  ISDN lines and  ATM  servers.  A very wide  range  of 
projects  is  already  based  on  these  techniques  and  virtually  all  NGOs  in  the 
field  use  them.  Teieports  serve  as  "reception  centres"  for  tele-working,  in 
particular  for  highly  labour-intensive  types  of  services  such  as  statistics, 
accounting,  software  production  and  airline  reservation  systems  (Mauritius, 
Jamaica, India, the Philippines). 

Space  technology  offers  unprecedented  possibilities  for  development  aid,  in 
particular  in  navigation  and  positioning  and  also  in  earth  observation. 
Specifically,  earth  observation  satellites enable the collection  of data  essential 
the 
for  resource  management, 
environment.  CD-ROMs  contribute  to  education  and  facilitate  the  storage 
and  dissemination  of  data. 
technologies  and 
material-as-needed  methods  (Just  in  Time)  lead  to  significant  gains  in 
productivity. 

land  management  and  monitoring  of 

CIM  production 

1.3. 

Through 
information  society  applications  new  opportunities  present 
themselves for the developing countries with advantages comparable to those 
accruing  in  the  industrialized  countries,  e.g.  more  efficient  management  for 
SMEs  and  access  to  economic  information,  training,  interactive  user/server 
networks  and  international  markets,  and  also  enhanced  efficiency 
for 
governments and administrations. 

Technologies for  education  and  training,  in particular  distant  education  aid 
.multimedia, ma  new modes of learning offered  by the information  society  -cy 
be instrumental in meeting these quantitative and structural  needs of countries 
that have to  accommodate, train  and economically  integrate large numbers  of 
workers (in  most  cases  half the  population  is under  the  age  of  20)  in widely 
dispersed  and  under-equipped  areas  of  habitation.  Through  continuing 
education  and training,  moreover,  there has to be a constant  renewal  of  skills 
throughout people's lives. 

Some  countries  have  to  cope  with  large-scale  endemics  and  epidemics. 
Teïemedicmc  may  help  to  meet  these  challenges  by  improving 
the 
organization  and  management  of  health  care.  Data  bases  may  be  linked 
the  development  of  diseases 
to  monitor 
through  telematic  networks 
(epidemiology),  provide  access  to  medical expertise  through  teleconsult&tion 
and  pave the way for  remote  medical assistance.  ICT also  play an important 
role in preparing and implementing health policies. 

In industry  and  international  trade,  ICT  play  a decisive  role  in  improving 
competitiveness  by  raising  production  quality  (more  stringent  standards, 
quality  control)  and  its  fashion-related  aspects  (textiles)  or  by  kitegrating 
production in a complex process such as in the case of spare car components, 
or by offering  facilities for  the transmission of orders and  specifications  as the 
first  steps  towards  electronic  commerce. 
In  some  countries  software 
applications and computerized  data input  have created  a large number  of jobs 
(100 000 software  engineers in India) and new markets are emerging for  word 
processing in the press, newsmedia and audiovisual sectors. 

In  the  domain  of  research  in  agriculture,  chemistry,  water  management, 
fisheries,  the environment,  urban  planning,  etc.  the  development  of  networks 
enables  researchers  in  the  developing  countries  to  have  the  necessary 
information  at  their  disposal  and  to  set  up  teams  of  critical  size  and  thus  to 
integrate in the global scientific community and thus stem the brain drain. 

The  emergence  in  many  developing  countries  of  a  new  independent  press 
and  the explosive  growth  of the  Internet,  the freeing of the  airwaves  esiù  the 
shift  from  state  to  public  service  broadcasting  are  creating  an  increasing 
demand  for  up-to-date  information,  both  written  and  audiovisual.  Sixh 
pluralist 
to  strengthening  Chilian  society  and 
consolidating the democratization  process in numerous developing countries. 

information  contributes 

Linguistic diversity, including certain Community languages as well as native 
languages  of  the  developing  countries,  constitutes  a  cultural  richness  that 
forms  part  of  man's  heritage.  Thanks  to  ICT,  it  can  be  conducive  to  the 
development  of an  industry  with  multicultural  and  multimedia  contents  based 
in particular on electronic publications. 

1.4. 

ICT are not the sole instrument to give an impetus to structural  development. 
They can only be used with optimum efficiency  if the societies where they are 
applied  manage  to  master  them  properly.  Experience  in  development  aid 
shows that the use of new technologies must be largely adapted  according  to 

-5» 

national  and local  contexts, geographic  conditions, the economic  structure of 
the  country  concerned  or  to  its  fundamental  needs.  However,  ICT  have  a 
great  potential  which  may  serve the  goals  of the  development  strategies  and 
competitiveness  of the  developing  countries.  This potential  has  certainly not 
yet  been  fully  exploited.  The  aim  of  this  communication  is  to  propose  an 
overall strategy in this domain. 

THE CHALLENGES FACING TEE DEVELOPING COUNTRIES 

The benefits  of the information  society for the develomng  countries depend hovvsver 
on  the  level  of  their  communication  and  information 
infrastructure  and  the 
development  capacity  offered  by their economic and regulatory systems. 

2.1. 

The level  of îelesomnurnteflîion  mfr-asîryeîures  in the developing countries 
is  highly  diverse  but  mostly  far  removed  from  that  in  the  industrialized 
countries.  Using tslsdensity2 as an indicator,  the  tigure for  the  industrialized 
countries  is  over  43,  that  for  middle-income  countries  around  !0  while  the 
least  advanced  countries  are  about  1.5  and  the  world  average  is  11.5.  This 
quantitative  difference  is  further  aggravated  by  qualitative  weaknesses  of 
networks  affecting  the  quality  and  reliability  of  communication  and  by 
structural  disparities  between  urb?.n  and  rural  areas.  Teledensity  in  rural 
areas,  for  instance,  does  not  exceed  0.8  in  low-income  countries.  The 
infrastructures  fail  to  meet  local  demand  and  cannot  guarantee  access  to 
global  communication  networks.  Moreover,  default  on  payment  by  public 
administrations  in  certain  cases,  failure  to  allocate  charges  for  international 
communications  (deductions from the general state budget)  and the  existence 
of  cost  structures  that  surcharge  international  communication  and  subsidize 
local  communication  deprive  telecommunication  operators  of  the  resources 
for  their  activities.  Thus  public  management  hampers  the  optimum  use  of 
existing facilities.:; 

However,  there  are  enough  factors  for  growth.  First  of  all,  there  is  a 
significant  sustainable  demand,  witness  the  long  waiting  lists  and  connection 
periods  of  up  to  ten  years,  the  existence  of  veritable  "black  markets"  in 
telephone  lines  in  some  areas,  and  high  levels  of  average  revenue  per  line. 
This  explains  why  in  many  countries  there  has  been  a  sustained  growth  in 
telecommunications,  e.g.  more  than  17%  a  year  for  all  countries  with  an 
income  level  below  US $700  from  1984  to  1994.  The  drop  in  the  cost  of 
technologies  and  competition  from  new  global  operators  using  call-back 
procedures  and  the  like  have  led  to  a  decrease  in  traditional  revenue  from 
international  communication  that  is  causing  concern  to  the  developing 
countries, raising their awareness of current changes. 

2 

number of mam  lines per  100 inhabitants. 

3  African  Green  Paper  -  Telecommunication  Policies  for  Africa,  Document  2~t\  2  April  1996, 

Telecommunications  Development Office,  ITU. 

2.2. 

2.3 

For tlie oilier informationinfrastructure.^ the PC ratio per  100 inhabitants 
gives  an indication of the informatics gap, ranging from IE for high-income 
countries, to 2.3 for medium-income and 0.01 for low-income  countries.  In 
terms  of  the  market  share  in  information  technology,  the  United  States 
account  for  34.7%, Europe for 29.3%, Japan for  14.6% and the rest  of the 
world only 21,4%.  These differences are also reflected in the figures for data 
transmission, the spread of Internet  servers and the number of users.  Rere. 
again,  there  are enough  factors  for  potential  growth,  including  the  drop in 
prices, the development of multimedia applications and access to the Internet. 
The  PC  market  is  dynamic  and  could  follow  in  the  footsteps  of  television 
which  is  now  wide-spread  in  low-income  countries,  with  46%  of  homes 
having a TV set. 

According  to  the  World  Bank,  the  annual  investment  necessary  for  the 
growth of telecommunications in the developing countries over the next  five 
years  amounts  to  US $60  billion.  Financing  in  the  form  of  international 
public aid would  not exceed 2.3 billion and most  countries  cannot  make up 
the  difference.  The  necessary  investment  can  only  come from the  private 
sector.  However,  to  mobilize  private investors  a legislative  and regulatory 
framework will  have  to  be  established  that  is  stable,  predictable  and 
transparent, making it possible to take rational economic decisions. 

The  commitments  on  market  access  and  national  treatment  and  on  the 
regulatory  principles  adopted  by  69 countries,  including  many  developing 
countries,  in  the  framework  of  the  WTO/GATS  negotiations  on  the 
opening-up  of  telecommunication  services  which  were  completed  on 
15 February 1997 provide a general framework that can meet the needs of  the 
developing  countries.  Provision  is  made for  independence  of  the  regulator, 
basic  competition  rules,  interconnection  of  networks,  universe!  service 
obligations,  transparency 
in  the  grant  of  licences,  and  allocation  of 
In  order  to  make  more  rapid  progress  on  the  road  to  the 
frequencies. 
Information  Society,  the developing  countries  ought to  examine what  would 
be the best  approach to  develop  their national telecommunication  systems in 
accordance with the GATS principles. 

The developing countries will thus be able to meet the commitments made to 
the  WTO  on  telecommunication  services  and,  in  the  case  of  countries  that 
have not  made such commitments,  to meet these,  including those relating to 
regulatory principles. 

2.4  Human  resources  are  decisive  by  coping  with  change.  This  includes 
technical  staff  in telecommunication  and computing  and,  in particular,  those 
in the  software  sector,  offering  prospects for  new jobs.  This also concerns 
training  for  people  working  in information  such  as teachers  and journalists, 
those  responsible  for  regulation,  management  (marketing,  financial  and 
commercial services, and quality control) and new professional  intermediaries 
specialized in ICT access and use;  Measures should also be taken to ensure 
life-long learning. 

2.5 

A  dialogue  on  the  aspects  of  the  information  society  connected  with 
development  is carried  on  within  certain  international  organizations,  e.g.  the 
ITU,  UNESCO,  UNCTAD,  UNDP,  with  the  SDNP  programme,  the  World 
Bank, with its InfoDev  initiative, and the OECD. 

B.  COMMUNITY  ACTION 

3.  THE  EUROPEAN  UNION'S  CONTRIBUTION  TO  PROMOTING  TEE 

INFORMATION  SOCIETY IN THE DEVELOPING  COUNTRIES 

European  Union  action  on  cooperation  in  telecommunications  and  information 
technologies  has  progressively  increased  over  the  years.  Experience  shows  that  it 
meets a growing need  more explicitly expressed  by our partners and that  it produces 
concrete  and  significant  results.4  The  new  cooperation  agreements  signed  with 
developing  non-member  countries  include  formal  provisions  on  the  information 
society and associated technologies. 

3.1.  Economic,  financial  and  technical  cooperation  has  led  to  significant 

activities in the various partner regions of the Union.5 

implemented, 
In  the  Mediterranean  region  several  projects  have  been 
including  assistance  in  consulting  Community  data  bases.  On  Malta  the 
European  Commission 
the 
telecommunications  network.  An  ECU  10  million  programme  was  recently 
approved for the modernization of the Syrian telecommunications  operator. 

co-financed 

upgrading 

has 

the 

of 

In Africa  the accent has been on rural telecommunications  and  communication 
by  satellite.  Two  projects  for  rural  telecommunications  services  have  been 
implemented  in  Mozambique  (MECU  13)  under  EDF VI  and  in  Tanzania 
(MECU 25) under  EDF VII.  A major  satellite communication project  for  the 
safety  of  civil  aviation  has  been  launched  in  West  and  Central  Africa 
(MECU  38) under  EDF VI and VII.  In the Pacific,  a number of projects have 
improved  communication between the islands. 

In Central  America  assistance  for  the modernization  of telecommunications  is 
being  set  up  with  the  COMTELCA  regional  organization  involving  financial 
support  totalling  ECU  18 million.  Other  projects  have  been  implemented, 
including  a study  of human  resources  in Venezuela  and  telematic  applications 
in Mexico, and AHCIET is running a programme of seminars. 

See  SEC(94)428  on  Telecommunications  and  Development,  the  Role  of  the  European  Union" 
(Working document of the Commission's  departments) 

See  the  annex  listing  the  total  sums  allocated  by  the  Community  (Commission  +  EIB)  to 
telecommunication  projects  in  the  developing  countries,  with  a  breakdown  by  geographic  areas 
(Mediterranean,  Africa,  Latin  America  and  Asia;  the  countries  of  Central  and  Eastern  Europe  are 
not included  in these data, although they benefit  from  extensive cooperation with the Union). 

-8 

3.2. 

3.3 

Foc Asia, actions connected  with the information  society  have been  included 
in  other  operations.  The  ECIP  mechanisms  for  promoting, partnerships, 
supplementing the ALINVEST,  ASIA-INVEST  and MEDINVEST  regiomi 
programmes,  have  made  it  possible  to  support  more  than  20  joint  venture 
projects in the information sector and introducing ICT in industry. 

From  1990  there  has  been  international  scientific  cooperation  with  the 
developing  countries  under  the  accompanying  actions  (APAf)  of  t!ic. 
Framework  Programme  and  projects  totalling  MECU 27  were  launched 
between  1990 and  1994, including activities in China  and  India.  Since  1995 
this cooperation has formed part of the fourth R&D framework programme. 
Action  2,  International  Cooperation,  with  25  projects  totalling  MECU 9. 
covering  subjects  ranging  from  microelectronics,  telernatic  applications 
(telemedicine in Letin America, distant teaching in Africa  and Latin  America, 
management  of  natural  resources  and  linguistic  engineering  in  the  Arsb 
countries),  management  of  natural  resources  (in  particular  for  tropica!' 
forests)  and  industrial  applications  (textile  industries  in  the  Maghreb  and 
machine tools  in Latin America).  However,  the rapidly  developing  countries 
have  expressed  regret  that  the  financial  resources  dedicated  to  ICT  wea? 
remain  limited,  although  to  them  these  are  priority  areas.  Consideration  is 
being given to whether European research networks  should be linked  up with 
the corresponding networks in the developing countries. 

The European  Investment  Bank has made part  of the resources  earmarked 
for non-member countries available for initiatives under the Lome Convention 
and  agreements  with  the  Mediterranean  countries. 
Since  1980  over 
ECU 350 million have been lent in the countries of the Mediterranean  and the 
ACP  and  since  1993  in  the  countries  of  Latin  America  and  Asia  that  have 
signed  cooperation  agreements  with  the  Community.  The  Bank  has  lent  its 
support  to  these  projects,  set  up  at  the  request  of  the  beneficiary  countries 
and designed  to extend  or modernize telecommunications  networks.  Several 
loans  and  support  in the  form  of risk capital  have been  provided  to  African 
countries  to  finance  networks,  in  particular  in  rural  areas,  including  in 
Erythrea,  Burkina  Faso  and  Namibia. 
In  Morocco  the  EIB  granted  an 
MECU 80  loan  for  the  extension  of  international  cable  links  to  connect 
Tetouan  to  Spain  and  Casablanca  to  Portugal  and  France. 
In  Erythrea 
MECU  8  has  been  lent  to  strengthen  the  local  network  and  international 
links,  supplementing  a  regional  project  which  also  involves  Djibouti.  An 
MECU  75  investment  was  made  in  Chile  in  1994  to  connect  400 000  new 
subscribers  to  the  digital  network  over  the  next  two  years,  involving  a 23% 
growth of initial teledensity (12 lines per  100 inhabitants). 

3.4. The  Member  States  also have bilateral ICT programmes.  For instance, the 
Commonwealth  Secretariat in London promotes the organization  of  seminars 
on  the  regulation  of  telecommunications  and  also  technical  training  courses. 
The  Governet  project  is  designed  to  illustrate  the  challenges  involved  in  the 
implementation  of  Internet  in  Africa,  presenting  proposals  to  meet  these 
challenges by linking up management  experts in Africa  through  networks with 
the  collaboration  of  the  Association  of  Management  Training  Institutes  in 

Eastern  and  Southern  Africa  (AMTIESA).  The  Spanish  scientific  and 
technical  cooperation  programme  with  the  countries  of  Latin  America 
(CYTED)  has  implemented  several  ICT  projects.  Initiatives  taken  in France 
include  the  RJO  project  (Réseau  Intertropical  d'Ordinateurs  or  intertropical 
computer  network)  of  the  French  office  of  overseas  scientific  and  technical 
research (ORSTOM) which at the end of the 1980s linked the research centres 
and  laboratories  of  the  countries  of  Southern  Africa  to  global  research 
networks.  There  are  plans  for  extending  the  French  REFER  network  to  the 
developing  countries  with  the  assistance  of  AUPELF/UREF  which  are 
developing  a  scientific  information  system  (SYFED)  in  the  French-speaking 
countries.  The  INRIA  (national  institute  for  informatics  and  automatics 
research)  continues  its cooperation  with  numerous  partners  in  the  developing 
countries.  The  Italian  Government,  in  conjunction  with  UNESCO  and  the 
Republic  of  Korea,  has  financed  the  RINAF  project  (Regional  Informatics 
Network  for  Africa)  for  the  creation  of  several  access  points  to  information 
networks  in Africa  in collaboration  with  other  similar initiatives in the region, 
e.g.  the RIO of ORSTOM. 

GIVING  A  NEW  IMPETUS  TO  COMMUNITY  ACTION  FOR  THE 
DEVELOPING  COUNTRIES 

4.1. 

The outline sketched above shows that there has been increasing awareness in 
the Community  and in the recipient  countries of the strategic  character  of the 
integration  of  the  developing  countries  in  the  information  society. 
However,  this calls for  a strategy  in which account  is taken  of this dimension 
when  evaluating  cooperation  projects  and  programmes  so  as  to  ensure  the 
coherence  of  all  the  instruments  of  cooperation  for  optimum  effectiveness. 
To  implement  these  guidelines  there  is  no  need  to  provide  additional  loans. 
Rather,  the information  society  dimension  should,  with  the agreement  of the 
partner  countries, be systematically  incorporated  in the  existing programmes, 
rechannelling  the  funds  made  available,  where  appropriate,  in  particular 
where this dimension  may be advantageous.  Promoting the  establishment  of 
an  economic  and  regulatory  framework  remains  a  first  priority  target, 
mobilizing  iocal  and  international  capital  to  ensure  access for  the  developing 
countries to  ICT  for  their  benefit.  The second  target  is to  put  technology  at 
the service of development. 

Creating the conditions favourable to such integration requires the following: 

-  establishing  the  prerequisites  to  the  development  of  the  information 
society:  regulatory  framework  conducive  to  investment,  commitments 
under the WTO on the basic regulatory  principles for  telecommunication, 
standards; 

-  facilitating  the  access  of  the  developing  countries  to  the  information 
society through  measures relating to human resources, technology  transfer 
trade  activities,  demonstration  of 
in  particular 
applications;  this  also  includes  their  participation  in  Community  R&D 
activities. 

in  production  and 

-10 

-  supporting  measures  to foster  partnerships  between  private operators  of 

the Union and the developing countries; 

-  contributing  to  better  Intégration  between 

information  and 
communication systems  sf the developing  countries of the same region 
so  as to  encourage  interconnection  of their  systems  and  the  development 
of new services, following the Community model; 

the 

- 

fostering  dialogue  and  coordination  with  international  initiatives  of 
the Member  States and those of the international organizations concerned. 

in  these  activities  account  will  be  taken  of  the  priorities  of  the  Partners. 
Often,  they will not modify  the objectives of cooperation but,  rather,  strive to 
serve  them  more  efficiently  in the  light  of  each  country's  Specific  economic 
situation.  Nor  is it the intention that the Union should substitute  itself for the 
developing  countries.  Rather  the  Union  intends  to  provide  them  with  the 
means to participate in working out  the global frameworks for the  information 
society and developing internal models for its use. 

4.2. 

It  is  proposed  that  cooperation  should  follow  eight  courses  oï  action 
comprising the following: 

the  awareness-raising 

in  coordination  with 

•  Raising  awareness  and  fostering  dialogue,  including  social  and  societal 
aspects.  This  can  be  achieved  by  including  the  information  society 
dimension  in the  institutional  dialogue between  the  European  Union  and 
most  of the developing  countries.  Where  possible this  activity  should  be 
pursued 
initiatives  of 
international  organizations  such  as the World  Bank  (InfoDev),  UNESCO 
and  the  ITU  (in  particular  the  World  Conference  on  Development  and 
Telecommunications 
regional 
conferences)  and,  where  appropriate,  by  supporting  the  initiatives  that 
In  this 
could  be  taken  in  the  follow-up  to  the  Conference  of  Midrand. 
context,  it  is  important  to  encourage  the  establishment  of  concertation 
bodies between suppliers, operators  <md users (governments of developing 
countries,  local  decision  makers,  companies)  to  examine  how  the  new 
technologies could improve national and local development  strategies. 

in  1998,  and 

to  be  held 

in  Malta 

•  Supporting  the  establishment  cf  a  regulatory  framework  suited  to  the 
development  of  infrastructures  for  which  the  EU  has  wide-ranging 
experience  in  gradual  liberalization,  which  may  serve  as  a  model, 
obviously  with  national  nuances.  This  includes  technical  assistance  in 
implementing 
the  commitments  made  to  the  WTO  by  developing 
countries, and support for countries contemplating such commitments. 

•  The  use  of  the  financial  instruments  administered  by  the  Commission 
and  the  EIB,  taking  account  of  the  other  funding  organisations  (World 
Bank  but  also  the  BID,  ADB,  etc.)  and  by  making  financial  cooperation 
subject  to a  number  of conditions  conducive  to  structural  adjustment  and 
progressive  adaptation  of  the  operators.  Financial  assistance  should  be 
clearly targeted and linked to consecutive stages of change.  Thus, support 

-M  -

will  be  given  by  priority  to  credible  and  qualified  operators  offering 
prospects  of  efficiency  and  sustainabiîity.  A  particular  focus  could  be 
aimed at projects for rural areas or projects of regional  significance. 

•  Action  oriented  towards  the  regional  adoption  of  identical  standards 
ensuring  interconnectability  of  networks  and  interoperability  of  services 
and  enabling users to benefit  from  falling  prices resulting  from  economies 
of scale.  At the same time, an impetus should be given to the adoption of 
strict  quality  requirements  for  systems  and  components.  The  EU  has 
evolved  a dynamic standardization  policy  which has led to such  standards 
as GSM, ISDN, DECT  and ERMES.  The developing  countries  could be 
more  closely 
in  standardization  and  thus  benefit  from 
Community  experience.  Such  cooperation  should  take  place  in  the 
framework  of European bodies such as the ETSI and CEN/CENELEC. 

interested 

•  Pilot projects which  make it possible to demonstrate the specific  benefits 
of applications,  test  their technical  feasibility  and evaluate  their  economic 
implications and cultural  acceptance.  They  enable users to move  forward 
in successive stages in adapting the specific  applications and learning how 
to use them.  It is therefore  recommended  that projects be incorporated in 
the  existing  programmes  that  are targeted  at  areas  regarded  as requiring 
priority  under  regional  action  plans.  This  should  be  achieved  in  close 
coordination  with  the  projects  launched  at  global  level  in  the  G7 
framework  following  the  conference  of Brussels.  The Global  Inventory 
Project  could  serve as a basis for data exchange in this  field. 

•  Taking  account  of ICT in industry,  in particular  in sectors  where  there 

is cooperation with the EU.6 

•  Support  for  defining  a  strategy  for  the  development  of  the  information 
society,  requiring  provision  of  the  necessary  human  resources,  in 
particular  through  the  transfer  of  experience  in  matters  of  training, 
multilingual access to knowledge and the utilization of new technologies in 
this  domain.  Particular  emphasis  should  be  placed  on  targeted  training, 
especially  at a regional  level, for  regulators,  decision  makers,  distributors 
and managers, high-level technicians and media staff,  both  audiovisual and 
printed.  Priority  ought to be given to local  training facilities,  in particular 
for technical staff,  and to improving these where they are insufficient. 

• 

Inclusion  by the EU of the  information  society  among the principal  areas 
for  action 
in  research  and 
development.7 
In  some  cases  developing  countries  will  be able  to  take 

in  the  5th  Framework  Programme 

6  Document  of the Commissions  departments  on  industrial  cooperation  in  the Mediterranean  region 

and  in Asia. 

7  COM(97)47  final,  Communication  of  the  European  Commission:  Towards  the  5th  Framework 

Programme, the scientific  and technological  objectives. 

12 

part in Community  programmes  in this field  on a prqject-by-project  basis. 
This  has  to  be  implemented  under  the  provisions  on  intemationd 
cooperation  in  the  framework  of  the  Fifth  Framework  Programme. 
Specifically,  the  interconnection  of  European  research  networks  and 
those  of  the  developing  countries  should  be  systematically  promoted,  in 
particular to break the isolation of researchers in developing  countries and 
give them access to specific  documentation. 

4.3. 

In  order  to  take  account  of  the  specific  economic,  political  and  cultural 
characteristics  of the developing countries  and their  requirements,  the  action 
contemplated  should  be  modulated  according  to  the  particular  features 
peculiar to  each major  region  and the nature of the  dialogue the  Community 
carries  on  with  each  one  of  these.  Specifically,  a  regional  action  plan 
should be drawn up and implemented in each case. 

• 

• 

the  construction  of 

For  the  Mediterranean  region,  Community  cooperation  takes 
place  within  the  framework  of  the  Barcelona  Declaration  for  a 
Euro-Mediterranean  partnership (November  1995).  The Barcelona 
action plan takes the information  society into account.  The Rome 
Conference  on 
the  Euro-Mediterranean 
information  society  (30-31 May  1996)  emphasized the  importance 
of  a  communication  capacity  that  is  commensurate  with  trade 
flows.  An  action  plan  drawn  up  in the MED A framework  covers 
actions  of  regional  interest  and  proposes  synergy  between  the 
various  instruments  for  structural  adjustment,  in  particular  by 
providing  support  for  adaptation  to  the  regulations,  a  dialogue 
through  a  Forum  on  the  Information  Society,  accompanying 
support  for  the  restructuring  of  télécommunications,  training, 
and  six  domains  for  pilot  projects:  health  care,  electronic 
commerce,  tourism/heritage,  IT  in  industry  and  innovation, 
space 
education 
networks.  Additional  projects  are  being  submitted  by  recipient 
states on a bilateral basis. 

technology  applications, 

research 

and 

The  Lomé Convention  makes provision  for  a framework  to  foster 
cooperation  on  communications  and  information  with  the  70 
partner  states  in  Africa,  the  Caribbean  and  the  Pacific,  Priority 
applications  in  social  and  economic  services  have to  be  evolved 
in  accordance  with  the  needs  specified.  A  reference  in the  Green 
Paper  on EU/ACP relations8 opens the way for  a new  approach in 
this  direction.  At  political  level  the  governments  of  the  ACP 
countries  should  be  encouraged  to  take  due  account  of  the 
problems  of  networks  and  ICT  while  supporting  their  own  users 
and,  if  necessary,  setting  up  new  bodies  to  underpin  these 

8  Green  Paper  on  relations  between  the  European  Union  and  the  ACP  counuies  on  the  eve  of  the 

21st century, COM(96)570. 

13-

developments.  A special  approach  is called  for  the least  advanced 
countries. 

The  countries  of  Latin  America  are  linked  to  the  European 
Community  by  bilateral  agreements,  sub-regional  agreements 
concerning  the  countries  of  the  Cartagena Agreement  (Andean 
Pact),  the  countries  of  the  central-american  isthmus  and  a  new 
agreement  with  MERCOSUR.  There  is  also  a  regional  dialogue 
with  Central  America  (San Jose)  and  all the  countries  covered  by 
the  Rio Group.  Provision  is  made  for  references  to  IS  or  ICT 
cooperation.  Most  of  the  countries  concerned  have  already 
restructured 
developed 
infrastructures  with  the  active  participation  of  European  industry 
and operators  or have set out to do so.  Cooperation,  based  on the 
principle  of mutual  benefit,  should  encompass  standards,  industrial 
aspects,  research  and  priority  applications.  As  a  first  step  it  has 
been  proposed  that  a  conference  be  organized  on  cooperation 
between  the  European Union  and  Latin  America  on  matters 
concerning the information  society. 

telecommunications 

their 

and 

The  countries  of  Asia  have  emerged  as  consumers  and  dynamic 
producers  of  computer  and  communications  equipment.  With 
approximately  half  of  the  world's  population,  they  appear  very 
attractive  in  the  eyes  of  European  operators  who  are  eager  for 
closer  cooperation,  as  was  illustrated  by  a  recent  study  on 
prospects for  cooperation between the EU and Southern and  South 
East Asia.9  On  the  basis  of  the  findings  of  this  study,  an  initial 
cooperation  framework  with  these  countries  is  currently  being 
studied.  It  mainly covers priority  areas of ICT application  and  the 
creation in Asia of a "technology window" to facilitate  cooperation 
between  companies  in  Europe  and  Asia  and  enable  assistance  on 
aspects like deregulation and standards.  For the ASEAN countries, 
a programme was launched  at the ASEM  Summit  held  in Bangkok 
in  April  1996.  The  ICT  occupy  an  important  position  in  the 
Partnership  with  ASEAN  meeting  planned  for  November  1997 in 
Singapore. 
The  projects  using  satellite  observation  have 
contributed  to  the  development  of  local  know-how.  Today  the 
strong  demand  emanating  from  this  region  calls  for  a  specific 
programme  which  would  as  its  first  objective  foster  partnerships 
between  companies. 
In  relations  with  India  and  China,  targeted 
industrial  cooperation  should  be  pursued  while  for  the  poorest 
countries, such as Vietnam and Mongolia,  action  should by priority 
focus  on  basic  information  and  communication  services  and 
preparations for their access to the IS. 

9  EU-Asia  IT&C  Economic  Cooperation,  Final  Overall  Report,  August  1996,  EC/ECO  Mission 

No 569/96 (ref. EC CC/B/ECO/2/B7-3001/95/155). 

14 

CONCLUSIONS 

The  actions  undertaken  to  date  to  raise  awareness  and  provide  Information  have 
highlighted  the  importance  of  integrating  the  developing  countries  in  the 
information  society.  Following  the  Midrand  Conference,  three  objectives  have-
been attained: 

- 
- 

- 

the start of a dialogue between developed  and developing ccuutricf : 
the  start  of  £ process  that  should  lead  to  t  vision  of  the  glob si  irifunnEvicii 
society sliced  between the social sectors concerned' by development; 
the  drawing  up  of  common  principles  arid  cooperative  action  to  strengthen 
our common vision and meet the challenges cf the information  society. 

This dialogue  has revealed  the extent  to  which the gap  between  the  industrialized 
countries  and  the  less  advanced  countries  could  widen  as  a  result  cf  the  current 
changes; this situation calls for specific  action.  Bearing this in mind, the European 
Commission,  which  has  gained  significant  experience  in  co-operation  in  the 
technologies in question,  proposes to take up a position that  is strongly conducive 
to  the  development  of the  information  society  in the  developing  countries  and  to 
include  this  dimension  in  its  general  cooperation  policy  with  the  developing 
countries. 

The  actions  proposed  involve  the  existing  cooperation  mechanism?  which  will, 
where appropriate, be applied  to the dialogue, awareness campaigns, the  definition 
of  appropriate  policies,  the  development  and  interconnection  of  information 
infrastructures,  the  provision  of  training,  the  distribution  of  applications  and  the 
development  of  their  contents.  These  activities  will  be  managed  under  regional 
action  plans  which  will  ensure  the  coherence  of  Community  action  and  synergy 
with  action  by  the  Member  States}  and  provide  a  basis  for  concertation  with 
international organizations. 

This  approach  provides  the  framework  within  which  the  EU  and  its  Member 
States can play an active role as a bridge between the industrialized  countries  and 
the developing countries, contribute to translating into practice the participation  of 
the developing countries in the emerging information  society and shape it in such a 
way that each one of them can participate in it. 

15 

List of abbreviations 

ACP: 

ADB 

ABCIET: 

African, Caribbean and Pacific states, signatories to the Lomé 
Convention 

African Development Bank 

Asociacion Hispanoamericana de Centras de Investigacion y 
empresas de Telecomunicaciones 

ALINVEST: 

Investment Program for Latin America 

AMTŒSA: 

ASEAN: 

ASEM: 

Association of Management Traimng Institutions of Eastern and 
Southern Africa 

Association of South East Asian Nations 

Asian-European Meeting 

ASINVEST: 

Investment Program for Asia 

ATM: 

Asynchronous Transfer Mode 

AUPELF/UREF: 

Association des Universités Partiellement ou Entièrement de 
Langue Française - Université des Réseaux d'Expression 
Française [association of partly or fully French-speaking 
universities - university of French-speaking networks] 

BIB: 

BID: 

European Investment Bank 

Banco Interamericano de Desarollo 

CEN/CENELEC: 

European Committee for Standardization - European Committee 
for Electrotechnical Standardization 

CEPT: 

European Conference of Postal and Telecommunications 
Administrations 

€IM 

Computer Integrated Manufacturing 

COMTELCA: 

Technical Commission on Telecommunications for Central 
America 

CYTED: 

DECT: 

ECIP: 

ETSI 

Ciencia y Tecnologia para El Desarrollo 

Digital European Cordless Telecommunications (European 
standard for digital cordless telecommunications) 

European Community Investment Partnership 

European Telecommunications  Standards Institute 

16 

EU: 

FLAG: 

GATS: 

GSM: 

G7: 

ICT 

INRIA: 

European Union 

Fiber-optic Link Around the Gfobe 

General Agreement on Trade in Services 

Global  System  for  Mobile  communications;  (the  digitel  pan-

European mobile telephone system) 

Group of 7 (the 7 most industrialized countries) 

Information  and communication technologies 
Institut National de Recherche en Informatique  et  Automatique 
(France) 

InfoDev: 

Information  for Development (World Bank) 

IS 

ISDN: 

ITU 

Information  Society 

Integrated  Services Digital Network 

International Telecommunication Union 

MEDINVEST: 

Investment Program for the Mediterranean Area 

MERCOSUR 

Mercado Comun del Cone  Sur 

NGO: 

OECD: 

ORSTOM 

PC: 

REFER: 

RIO 

Non-governmental organization 

Organisation for Economic Co-operation and Development 

Organisation de la Recherche Scientifique et Technique d'Outre-
Mer 

Personal Computer 

Réseau Français de la Recherche 

Réseau Intertropical d'Ordinateurs 

SDNP/UNCTAD: 

Sustainable Development Network Program (United Nations) 

UNCTAD: 

United Nations Conference on Trade and Development 

UNDP: 

United Nations Development  Program 

UNESCO: 

United Nations Education Science Culture Organisation 

VSAT: 

WWW: 

Very-Small-Aperture Terminal (for  satellite communications) 

World Wide Web 

17 

THE  INFORMATION SOCIETY AND DEVELOPMENT: 
THE ROLE OF THE EUROPEAN UNION 

COMMUNICATION  FROM THE COMMISSION 
TO THE COUNCIL 
TO THE EUROPEAN PARLIAMENT 
TO THE ECONOMIC AND SOCIAL  COMMITTEE 
AND TO THE COMMITTEE OF THE REGIONS 

Reference  annexes, complementary  to the main  document: 

(1) 

(2) 

(3) 

(4) 

(5) 

(6) 

Statistics on Information and Communication Infrastructures in the Developing 
Countries 

European Commission Projects for the development of the Information Society in 
the Developing Countries 

European Investment Bank loans in the sector of telecommunications 

Information Society and Development  Conference, Midrand  13-15 May 1996, 
Chair's Conclusion 

Euromediterranean Conference  on information society, R.ome 30-31 May 1996, 
Conclusion of the Presidency 

Reference paper on regulatory principles negociated in the framework of the 
General Agreement on Trade in Services (GATS) 

- 4 . S-

Annex  I: Statistics  on  Information  and Commnnication  Infrastructures  in the Developing  Countries 

(Source:  ITU, World Telecommunication Development  Report,  1995) 

TELEPHONE:  main  lines  and  International  traffic  table 

Main lines 
{Thousand) 

CAGR1  (%) 
84-94 

Main lines per 
100 inliab. 

CAGR  (%) 
per 100 inh. 
84-94 

Outgoing 
telephone  traffic 
A4, minutes 

CAGR(%) 
outgoing 
telephone  traffic 

Outgoing Tel. 
Traf.  minute/Inh. 

Low  Income^ 

47204.5 

18.1 

Lower Middle Inc.** 

92590 

Upper  Middle  Inc.4 

70083 

* 

Higher  Inc.5 

424140.7 

World 

634  019.2 

7.9 

8.3 

3.4 

5.0 

1.44 

9.64 

14.12 

50.80 

11.39 

15.9 

1 880 

29.1 

6.2 

6.4 

2.5 

3.3 

3  558 

4  032 

38 402 

21 

15 

14.2 

47 872 

j 

15 

0.6 

4.2 

8.5 

46 

9.1 

1  Compound annual  growth  rate.  It is computed by the following  formula:  [(Pv/po)I/n]-I,  where Pv= Present value, Po= Beginning Value, n=mimbcr of periods. Tlie result is 

multiplied by 100 to obtain a percentage. 

2 GNP per Capita of US$ 675 or less. 
3 Between US$676-2 695 
4 Between US$2 696-8 355 
5 US$ 8 356 or more. 

INTERNET, PCs and TELEVISION 

INTERNET 

DATA 
TRANSMIS 
SION 

PC 

TELEVISION 

Networks 

Hosts 

Total 
estimated 
users 

Packet-
Switch6 

Estimated 
Pcs(1994)7 

Total  television 
receivers  1994 

TVRec. 
per  100 
Inhab. 

Total  TV 
Household 
1994 

Per/100, of TV 
Household 
1994  (%) 

52 

1  405 

7  728 

4.14 

0.09 

370  855 

11.4 

269  262 

46.4 

815 

39S5I 

219  181 

35.20 

1.00 

174  967 

18.3 

103 084 

76.1 

921 

77  886 

428  373 

60.6! 

2.28 

115  792 

23.9 

84  034 

81.7 

23  509 

I  586  125 

723  688 

821.67 

17.95 

499  684 

59.9 

277  862 

90.8 

Low 
Income 

r 
r© 
0 

Lower 
Middle  Inc. 

Upper 
Middle  Inc. 

Higher 
Income 

6 Thousands of subscribers. 
7 Per 100 inhabitants. 

Annex 2: Projects financed  by the European  Community for the development of the  Information 
Society  in the Developing  Countries 

1. 

R&D Framework  Programme  Projects 

Projects  launched  between  1990-1994  within  the  III  Framework  Programme  (APAS)  committed  a 
total  amount  of  27.3  Mio  ECU  to  Asian,  Latin  American  and  Mediterranean  countries.  The  main 
projects  of  particular  interest  for  developing  countries  for  the  support  of  S&T  Research  are  the 
following: 

-  Data  Transmission  System  Concept  for  Decision  Support  System:  a  project  based  on  the 
application of information and communications technologies that aims at developing an Integrated 
Flood  Risk Management  System for Shanghai.  Partners of the project were  the S&T Commission 
of Shanghai  Municipality and the Shanghai Bureau of Water Conservancy.  (3.532.000 ECUs) 
-  Computer Integrated Manufacturing: a program consisting of 4 projects in the field of Engineering 
Research  and design,  in cooperation  with Tsinghua  and  Beijing  Universities,  and the East China 
Institute of Technology). (1.179.000 ECUs) 

-  Communication  Mobile  GSM:  a  R&DT  project  in  the  field  of  the  new  generation  of  mobile 

telephony technologies in China. (5.938.000 ECUs) 

-  DAB-DVB:  Digital  Audio  Broadcasting  and  Digital  Video  Broadcasting  for  the  definition  of 

common standards in China (2.000.000 ECUs) 

-  Research  on  the  interfaces  of  Arab  and  Community  languages  for  databases  or videotex  in  the 

Mediterranean. (130.000 ECUs) 

-  Training plan: For Latin America w ith AHCIET (540.000 ECUs). 
-  REDALC:  Research networks in Latin America (140.000 ECUs). 

Two mini-programmes targeting Information Technology  issues of specific  importance for developing 
countries were launched by DGIII. 

-  Keep-In-Touch Programme: 26 projects at a cost of  1.7 Mecu, to build IT cooperation based on 
researchers returning to their home countries from the European Union - a strategy to stabilise 
the local expertise in IT which is essential  for development. 
ITDC Programme: 2S projects at a cost of 4.0  Mecu.  to help build capacity in High Performance 
Computing,  a  domain  of  general  importance  for  industry,  for  infrastructure  and  for  natural 
resource planning as well as satellite data exploitation. 

- 

In  the  1995  Call  for  Proposals,  within  the  IV  Framework  Program  (INCO-DC).  the  Commission, 
DGIII launched  12 projects and DGXIII launched 7 projects: 

-  ARAMED:  Extension  and  integration  of  Arabic  lingware  component  in  a unification  based MT 

System for the field of medical terminology and classification  (130.000 ECUs). 

-  GAIA:  A  Multimedia  tool  for  natural  resources  management  and  environmental  education 
••: 

(700.000 ECUs). 

-  TELESUN: A World Wide Multimedia Teleteaching  System for Universities (600.000 ECUs). 
-  AREF: Arabic English  French Software Localisation Tool (350.000 ECUs). 
-  D A WRON: Design of advanced wavelength-routed optical  networks (597.000 ECUs). 
-  ELCANO:  European  and  Latin  American  countries  associated  for  a  networked  database  of 

outstanding guidelines  in unusual clinical cases (465.000 ECUs). 

-  African Telecom: African Telecommunication  Research (211.000 ECUs). 
-  Micropowcr sources: Micro-battery technologies - (500.000 ECUs). 
-  Porous Tech Sensors: Integrated porous silicon based sensor technology - (320.000 ECUs). 
- 
-  PARALIN:  High  Performance  Computing  applied  to  energy  efficiency  in  mining  and  electrical 

ITUBR: Implantable telemetry for physiological  data acquisition -( 350.000 ECUs). 

power industry - (630.000 ECUs). 

-  Peace by HPC: High  Performance  Computing and  networking  for joint  research  in  medicine and 

hi-tech design -(350.000 ECUs). 

-  HIPSÏA: High Performance Computing applied to manufacturing  technology - (220.000 ECUs). 
-  HPC Finance: High Performance Computing applied to financial and economic planning (500.000 

ECUs). 

-  QC1ME: Quality control  management software  tools (299.000 ECUs). 

- 

Iberstandard:  Maintainable  database  for  industrial  standards  in  Information  Systems  development 
(135.000 ECUs). 

-  SCM+: Extended agri-enterprise  - ( 100.000 ECUs). 
-  DASEC: EDI for  Chinese public administration  and government  - (300.000 ECUs). 
IBERCHIP: CAD and  ASIC design and  fabrication  network - (300.000 ECUs). 
- 

An  additional  initiative  financed  by  DG  XIII  was  a  Workshop  on:  Information  Society  in  the Euro-
Mediterranean  context  (104.000 ECUs). 

For the second call  for  proposals  (1996) under  INCO-DC. the following  list of projects  to be financed 
by the Commission  has been established:  21 to be financed by DGIII and 9 to be financed by DGXIII. 

Information  Society 

• 
-  ARGON'AUTA,  for  the  development  of  a  network  application  in  the  sector  of  health  care  and 

continuous  medical education  in remote regions of Argentina  and Chile. (1.000.000 ECUs) 

-  MUBOSIC, will  allow  to develop new a communication  tool  to use of Digital  Audio  Broadcasting 
(DAB)  multimedia  services  to fixed and  mobile  DAB  users  in  China  with  a  great  advantage  for 
rural areas. (849.000 ECUs) 

-  HARMON,  will carry out  fundamental  research  in  the field of psycho-pedagogy applied  to social 

insertion  for the disabled  and  those socially excluded  people. (580.000 ECUs) 

-  TEBALA,  for  the  promotion  of  tele-working  initiatives  and  to  develop  a  network  and  links 

between Latin  America  and Europe. (253.000 ECUs) 

-  TISMAC. will promote  fundamental  applied  research  in the field of transport.  (655.000 ECUs) 
-  MEDEDl:  Arabic language EDI and  Internet  technologies (425.000 ECUs). 
-  MEDINA:  Information  networks  for  the Arab world  (4S9.000 ECUs). 
Internet  in Asia: Social  usage of internet  in Asia  (150.000 ECUs). 
- 
-  MEDISAT: Mediterranean  S&T information  network  (300.000 ECUs). 

•  Advanced  Telecommunications  Technologies 
-  USEE  SM,  will  allow  the  upgrading  of  Science  and  Engineering  education  in  Southern 

Mediterranean  universities  using the Telematics  technologies. (309.000 ECUs) 

-  TRINET, for the development of data communications  network appropriate for use in remote areas 

of DCs  using Low Earth Orbit  Satellite  technology.  (500.000 ECUs) 

•  Linguistics  Engineering 
-  DIINAR-MBC.  for  the  research  activities  to create  a  multilingual  lexical  database  for  the  benefit 

- 

of both  Arabic and  European  parties. (430.000 ECUs) 
IDOL,  for  the  development  of  a  computer  assisted  translation  tools  for  users  of  less  favoured 
languages. (511.000 ECUs) 

•  Software  Technologies: 
-  MAGICTOURNET:  Multimedia  and  GIS applied  to regional  tourism (400.000 ECUs). 
-  SIMES: Multimedia  systems for sub-saharan  environment  (450.000 ECUs). 
-  SQUAD: Software  quality  (275.000  ECUs). 
-  PROSME: Quality  management  for  SMEs (400.000 ECUs). 
-  ESIMEAU:  IT in water  resource management  (700.000 ECUs). 
-  AMOVIP: Advanced  modelling of visual  information  processing  (400.000 ECUs). 

.^ 
: 

•  Computer Integrated  Manufacturing: 
-  CARIBCAD: Internet based Computer  Aided Design  (350.000 ECUs). 
-  MTOM3D: IT design  tools for  the textile  industry  (450.000 ECUs). 
-  TEXCOM TOOLS: Tools for communications  in the textile  industry  (450.000 ECUs). 
-  EIAM-IPE: Systems for  management  of intelligent  actuators in industry' (100.000 ECUs). 
-  PROQUS: Model based  industrial  quality control  (280.000 ECUs). 
-  TAUTEM: Integration  in Manufacturing  and  technology  transfer  (350.000 ECUs). 

•  Keep In  Touch 
5  actions  will  be  supported  in  domains  related  to  micro-electronics,  IT  in  manufacturing,  software 
engineering and  multimedia  technologies (350.000 ECUs). 
In addition a new call  for  proposals has been  issued  for  information  technologies  in the  mediterranean 
area. 

2. 

.  The  main  projects  implemented  or  under  implementation  concerning  different  areas  of 
•  application  (financed  hv ALAMED and  ACP  funds) 

• 
- 

- 
- 

In  the telecom  infrastructure  area 
Improvement  of national  telecom  network  in Ivory Coast.  Sierra Leone, Senegal, Ethiopia,  Sudan, 
Kenya. Zimbabwe. Fiji,  Benin, Congo, Kiribati. Mozambique, Niger 
Improvement  of regional  satellite telecommunications  in the  Pacific 
Improvement  of  regional  satellite  telecommunications  in  Western  Africa  as a participation  to  the 
ITU/PANAFTEL  project 
Improvement  of a regional  air navigation  telecom  in the Indian Ocean and  in the Pacific. 

- 
-  Regional  programme  for  improvement  of  the  telecommunications  in  the  Central  american 

Countries 

-  Studies on regional  satelite communications  in the Andean  Pact 
-  Programme of rehabilitation  of  Syrian  Telecommunications 
• 
-  Telecom  Network  for  civil  aviation  control  and  safety  linking all  international  airports of the  Gulf 

In  the  Tr un sport area 

of Guinea countries via  the Intelsat  satellite. 
Improvement  of a regional  air navigation  telecom  in the Indian Ocean and  in the Pacific. 
in  the  trade area 

- 
• 
-  Automated  System  for  Customs (ASYCUDA)  in several  countries  in Africa.  Indian  Ocean and  the 

Caribbean as part  of an  UNCTAD programme 

-  Advanced  Cargo  Information  System  (ACIS) on  some of  the  main  transport  mode  in east  African 

countries 

-  Regional Telematics Network  Services (RTNS) for the Horn of Africa  Countries 
- 

Information  and  Communication  Systems  in  the  framework  of  a  trade  exchange  projects  in  the 
Caribbean  region 

-  Computerised  system  for external  trade statistics  in the Indian Ocean countries. 
• 
-  Early  warning  crop  forecasting  and  environment  surveillance  system  for  the Horn of Africa  using 

In  the environment,  natural  resources, forestry, fisheries  areas 

- 

satellites data 
Information  system  and  support  to  decision  making  for  a  permanent  and  global  management  of 
coastal  zones of the Indian  Ocean countries 

-  Hurricane  early  warning  and  tracking  system  in  the  south  pacific  region,  in  the  Meteorological 

Organisations (WMO)  programmes 

-  Participation  to the elaboration  of two data bases : Fishbase and  Reefbase 
-  Large  scale  dissemination  of  Fishbase  to  all  ACP  countries  concerned  including  support  for 

research environment  in the context of ACP-EU Fisheries Research  Initiative 

-  Lake Victoria  Fisheries  Research programme with managemant of related databases 
- 

Installation  of  14 terminals  to  improve  the  telecommunications  through  the PEACESAT  network . 
between  the Forum Fisheries Agency (FFA) in the Pacific  with its member states. 
•-, 
///  Educational  and cultural ureas 
integrated  library automatization  system  for  the public library of Curaçao 

The  main  projects  for  which  no  financing  decision  has  been  taken  vet  (under  appraisal  or 
for  possible consideration')  arc  the  following: 

Installation of ground  facilities  for a global  navigation  satellite  system  in Africa  and  in the Indian 
Ocean  region  to expand  to these  regions  the European  Geostationery  Navigation  Overlay  Service 
(EGN'OS) to be deployed  in the EU. 

-  Regional fisheries Information  and  Analysis  System  (FIAS) for  West  African  countries  to  link  up 

otherwise  incompatible and  isolated data bases covering different  disciplines 

-  Participation  to  the  FAO  project  of  the  Land  Cover  Map  and  Database  of  Africa  (AFRICOVER) 

- 

- 

based on satellite remote sensing 
Installation  of Trade  Points  in  West  Africa,  East  and  Southern  Africa  countries  and  in Mauritius 
as a participation  to the UNCTAD Trade Efficiency  Initiative 
Implementation  of  monitoring,  control  and  surveillance  of  fishing  activities  (MCS)  with  the 
SADC Countries 

-*v-

• 
- 

- 

I N F O R M A T I ON  S O C I E TY  A ND 
DEVELOPMENT  CONFERENCE 

13-15 May 1996 
Gallagher  Estate 
Afidrand, South  Africa 

CHAIR'S CONCLUSIONS 

INTRODUCTION 

The world is in the throes of a new and highly potent revolution.  This revolution will forever change the way 
we live, work, play, organise our societies and ultimately define ourselves.  Unlike previous technological 
revolutions which were focused  on energy and matter, this fundamental  change involves our understanding 
of time, space, distance and knowledge.  This revolution  is leading to the creation of the Global  Information 
Society (GIS). 

BACKGROUND 

In February  1995, Ministers from the Group of Seven Highly Industrialised Nations (G-7) and Members of 
the  European  Commission  (EC)  met  in  Brussels  at  the  G-7  Ministerial  Conference  on  the  Information 
Society.  This  Conference  re-emphasised  the  need  for  all  countries,  including  developing  countries  and 
countries in transition, to be integrated in the GIS. 

However,  the  challenges  of  integrating  the  less  industrialised  countries  of  the  world  into  the  GIS  are 
tremendous.  As South African  Executive Deputy President Thabo Mbeki argued in his keynote address to 
the  G-7 Information  Society Conference, '"there are more telephone lines in Manhattan  than in all of sub-
Saharan Africa," and that "half of humanity has never made a telephone call." Mbeki challenged the-G-7 and 
the EC to convene a follow-up conference bringing together a cross-section of the developing world with the 
G-7 and the EU to exchange views on such questions as strategy, finance and international coordination in 
confronting the global information  and communication challenge.  He offered  South Africa  as host for such 
an initiative.  The Information  Society and Development (IS AD) Conference is the result of that challenge. 

The ISAD Conference, held in Midrand, South Africa  under the auspices of South African  Executive Deputy 
President  Thabo  Mbeki,  included  representatives  from  40  countries  and  18 international  organisations. 
Delegations  consisted  of  government  ministers  and  senior  officials,  CEOs  and  other  private  sector 
participants,  and  civil  society  representatives.  This  historic  conference  accomplished  its  three primary* 
objectives of. 

• 

• 

Launching  a  dialogue  between  the  developed  and  developing  worlds  and  within  the 
developing world on the emerging Global Information  Society; 
Initiating the process to define a shared vision  for the Global Information  Society between 
the relevant societal  sectors in the developed and developing countries; 
Working  towards  "Common  Principles'" and  '"Collaborative Actions*' to strengthen  our 
shared vision and meet the challenges of  the Global Information  Society. 

- S . i l-

i&F&totÀTios Scarry As& DEiZLOMEsrCasFEKExce: CHAIR *$ Coxcusioxs 

U S Î NG  T HE 

P O T E N T I AL  OF  T HE 

I N F O R M A T I ON 

S O C I E TY 

TO 

MEET TEE  NEEDS OF THE DEVELOPING  WORLD 

the  Present Reality 

While we speak of a "global" information  society,  the present  reality  is daunting.  The technology gap 
between the less developed and industrialised countries of the world is widening.  This situation must be 
addressed by the world community if we are to build a truly Global Information  Society.  In respect to the 
present reality, we acknowledge the following: 

• 

.  «. 

• 

• 

• 

Information  and Communication Technologies and Sep. ices have the potential to offer a 
significant  contribution towards the promotion of sustainable growth in all countries: 
There  currently  exists  a  huge  gap  between  the  highly-industrialised  countries  and  the 
less-industrialised countries in terms of information  inJfrastructure; 
Through developing an information  infrastructure  and effectively  utilising information and 
communications technologies and seniccs, developing countries can narrow the current gap 
in economic and social development and prevent it from widening; 
There are tremendous and diverse needs in the developing world which often differ from the 
needs of the more industrialised countries: and, 
Developing countries must assess their own requirements and strategies for entry into the 
Global Information  Society based on their specific realities. 

Mobilising the Required Investments 

'There is clearly an unsatisfactory  level of investment in information  infrastructure  development in the less 
industrialised countries.  Being able to mobilise the necessary investment, particularly from the private sector, 
is  of paramount  importance  to the developing countries.  Of equal  importance, is being able to develop 
networks which enable the whole of their populations to gain access to the global information  infrastructure 
and  participate  in  the  GIS  at  affordable  prices.  In respect  to  mobilising  the  required  investments  for 
information  infrastructure development, we acknowledge the following: 

• 

• 

• 

There is currendy an insufficient  investment in developing information  infrastructures  in the 
less industrialised countries; 
There  is  an  extensive  demand  for  information  and  communications  technologies  and 
services in the developing world; and, 
To create a truly Global Information  Society, we must mobilise appropriate investment. 

Employment, Labour Market and Work 

The new techno-economic paradigm of the global economy is increasingly driven by knowledge-intensive 
sectors which utilise information and communications technologies.  These economic sectors could form the 
basis  of entirely  new multi-media  industries,  products  and  services  which could contribute  to attracting 
investment and creating emploient  within national economies.  In respect to employment, labour market 
and work in the GIS, we acknowledge the following: 

• 
• 

A new knowledge intensive global economy is emerging: 
The new global economy can stimulate new industries and emplosment opportunities: 
We must attempt to minimise the risk and enhance the opportunities  for Labour;  and? 
Access to training and lifelong  learning must be promoted. 

IXFCRMATIOX SOCIETY AXD DEI ZLOPMEST COSFERESCE: CH.-UR 's Coxcwstoxs 

Using the Potential of Information Technologies 

Meeting  basic  needs, developing  human  resources, growing  the economy, creating  a culture of  effective 
delivery of public services, promoting a participatory democracy and conveying different  cultures and ideas 
are challenges jointly faced by all countries in the world.  New information  and communication technologies, 
increasingly affordable  as their costs continue to fall, could help developing nations "leapfrog" entire stages 
of development in setting up their own information  infrastructures  and applications.  In respect to using the 
potential of information  technologies, we acknowledge the following: 

• 

Information  technologies have tremendous potential to: meet basic needs, develop human 
resources, grow economies  facilitate  new competitive advantages, improve the efficiency 
of  government  management  and the delivery of public services, promoting participatory 
democracy as well as cultural and linguistic diversity in each country; 

•.  -m  To achieve these benefits, the particular environment in each nation must be considered to 
promote the optimal mix of technologies in deploying the information  infrastructure: and, 
These  new  information  and  communication  technologies  will  help  developing  nations 
"leapfrog" entire stages of development. 

• 

Key opportunities exist in the following areas: 

• 
• 
• 
• 
• 

• 
• 
• 

• 
• 
• 
• 

Enhanced capacity for the development of human resources, skills and competencies; 
Improved debt management within each country; 
Improved effectiveness,  efficiency  and productivity in the workplace; 
Greater decision-making capability- through timely access to information; 
Efficient  delivery of public services  through  improved mechanisms and greater customer 
responsiveness; 
Increased access to public  information; 
More efficient  interface between the public and private sectors, 
Economic  growth  and development  through  electronic  trade, investment  and commerce, 
particularly for Small, Medium and Micro Enterprises (SMMEs); 
Decrease in the need for migration to urban areas, 
Health care improvement; 
Better management of natural  resources and the environment, and. 
Early-warning systems for weather and other environmental phenomena. 

.;:. 

Mobilising Investment Through Appropriate Regulatory  Conditions 

The  establishment  of an advanced  information  and communications  infrastructure  requires  a favourable 
investment  climate.  In many countries, achieving  such  an environment  might necessitate changes  in the 
regulatory framework and economic  restructuring  aimed  at  a more liberalised  telecommunications sector 
which could provide more choice, higher quality and better access. In attracting direct  investment, national 
regulator)'  policy  objectives  need  to  be  transparent,  and  consistently  applied,  in  respect  to  mobilising 
investment through appropriate regulatory conditions, we acknowledge the following: 

• 

• 

• 

In  order  to mobilise  and  attract  investment,  developing  countries  must  create a climate 
conducive to investment; 
This necessitates  an adaptable  regulatory framework based upon competition and aiming 
ac the provision of more choice, higher quality and better access; 
The process should take into account the particular realities in each country; and, 
Investment in indigenous content creation  should be encouraged. 

IxroMAfroxSoasmAxD ÛE\ ELOFMEXTCOXFERESCE: CHMR 'S COXCUSTOXS 

People s Involvement: Social and Societal Aspects 

The information society has the potential to enhance the quality of life of all participants.  However, the scale 
and pace of improvements in social welfare and economic development will depend heavily on the universal 
enabling environment.  The social and societal benefits of the information infrastructure  will be optimised 
by an approach which aims at the highest possible levels of participation.  The alternative would lead to the 
emergence of two ''information-classes" of citizens.  In the developing world, the risk of creating a two-tiered 
society, where onh- ooe group of the population has access to new networks, services, and equipment, is even 
greater than in the developed countries.  In respect to social and societal aspects of the GIS, we acknowledge 
the following: 

•••  , 

• 

• 

The  Information  Society must  enhance the quality  of life  for  ail participants  and  avoid 
developing a two-tiered society; 
Life-long Education is a major key to enable full  and active participation by all citizens in 
the GIS; and. 
Indigenous content creation should address the cultural and linguistic requirements of each 
society. 

CREATING  THE  GLOBAL INFORMATION  SOCIETY 

Shared  Vision of Human Enrichment 

The  potential  rewards  of working  together  towards  a  GIS  are  enticing  and  include:  a better balance in 
economic and social progress between nations, growth of the global economy; the capacity to solve common 
societal problems, enhancing the progress of democratic values, and sharing as well as augmenting cultural 
creativity,  traditions  and  identities.  On  this  shared  vision  of  human  enrichment,  we  acknowledge  the 
following: 

• 
• 
• 

A consensus is emerging about the importance of global information society;". 
Ko single model is universal; and, 
A globally cooperative approach is required. 

Launching a Dialogue Between  the Developed and Developing World 

Like all societies, the GIS needs to be built on a set of common norms, on tolerance, on respect of diversity 
and on habits of collaboration  and combined efforts.  Easing its birth, like dealing with all major  "shifts", 
means overcoming uncertainties  and a break in continuity.  While it is bringing our world closer together, 
existing differences  in social and economic development are becoming more apparent and the difficulties  they 
create are worsening.  In respect  to launching a dialogue between the developed and developing world, we 
acknowledge the following: 

• 

• 

Building  the  GIS  requires  common  guidelines,  tolerance,  respect  for  diversity  and 
collaborative actions; and, 
Distinct national visions should converge into a shared global vision. 

-U-

IXF)MATt0x'S0CtET\AXDD£tEL0F.\tEXTC0XFER£XCE:CftMR'SC0XCLCSt0XS 

Common  Principles  and  Collaborative  Actions 

The  developing  and developed  worlds  should  agree  on  the principles  for  cooperation  in  the GIS.  Close 
collaboration at the highest level  will ensure the efficient  introduction and development of a truly "Global*" 
information  society  and prevent  the marginalization of some countries from this inevitable revolution. 

Like  all  societies,  the  Global  Information  Societv- needs  to  be  built  on  a set  of  principles, on respect  of 
diversity  and on collaboration. 

Following  the principles endorsed by the Brussels conference,  which are 

. 

• 
• 
• 
• 

while 

• 
• 
• 
• 

promoting dvnamic competition 
encQuraging private  investment 
defining  an adaptable regulatory  framework 
providing open access  to networks 

ensuring universal provision of and access  to services 
promoting equality of opportunity  to the citizen 
promoting diversity of content, including cultural and Linguistic diversity 
recognising  the  necessity  of  worldwide  co-operation  with  particular  attention  to  less  developed 
countries 

and taking into account the key policy issues  identified  at the ISAD conference, which are 

universal  sen-ice 
clear regulatory  framework 
sustainable socio-economic  development 
employment  creation 
global  co-operation and competitiveness 
diversity of applications  and content 
diversity of  language  and culture 
co-operation  in technology-
private investment and competition 
protection of intellectual  property  rights 
privacy  and data security 
narrowing  the infrastructure gap 
co-operation in research and technological  development 

the ISAD participants are therefore resolved to continuing the dialogue  and taking appropriate action on these 
principles and policy  issues. 

Furthermore wc are committed to: 

• 

» 

Fostering  partnerships  between the public  and private  sectors; 

Continue or begin a process of national  information  society planning  in each of our countries which 
is ultimately  in concert  with the development  of a Global  Information  Society; 

tXFOR.UATfOXSOCIETYASD DEIELOFMEXTCOXFEREXCE: 

CH.AJR'SCOXCUSIOXS 

• 

• 

• 

• 

Encourage  further discussions  towards identifying  and implementing  Global  Information Societv 
Projects  in conjunction with non-governmental  organisations  and international  organisations; 

Share  information  on  best  practices  of  development  programmes  and usage  of  information  and 
communication  technologies; 

Call upon international organisations to re-assess and refocus  their development  tools to give active 
follow-up  to the principles  and policies  identified  at this conference; and 

Fully  utilise  various  policies  and  private  and  public  financial  instruments  available  for  the 
development of the  Global  Information  Society 

Participants  welcomed  the  contribution  of  representatives  of  civil  society .and  business  leaders  in  the 
proceedirtgs-of the Conference.  They re-emphasised  the need of public and private sector co-operation and 
partnership'in achieving common goals. 

These  ISAD  conclusions  are  informed  by  a commitment  to  ensure  that  the  development  of  the  Global 
Information  Societv benefits  all humanitv. 

- < £ * &-

CONFERENCE')!7  ROME 
ON  THE  EURO-MEDITERRANEAN  COOPERATION  IN  THE  FIELD  OF  THE 
INFORMATION  SOCIETY 

CONCLUSION  OF THE  PRESIDENCY 

Introduction 

The Euro-Mediterranean  Conference  of  the  27-28  November  in  Barcelona  has  set  itself 
the  objective  of  creating  a  true  partnership  Euro-Mediterranean.  With  regards  to  the 
economic  and  financial  sectors,  the  Conference  stressed  the  importance  of  the  role  of 
science  and  technology  in  the  social  and  economic  development  of  the  concerned 
countries, as well  as the necessity to  modernise the telecommunications  infrastructure  and 
to optimise the use of Information Technologies. 

In  this:  context,  the  Rome  Conference  underlined  the  importance  of  à  harmonious 
transition  towards  the  Information  Society  in the Mediterranean  region  and  the  utility  to 
define  national  priorities  and  strategies  in  such  a  way  as  to  create  a  favourable 
environment  for  such  an  evolution.  It  further  implies  a  sustained  effort  in  order  to 
reinforce  the  co-operation  between  the  European  Union  and  its  Mediterranean  partners 
and especially  in the three following  sectors: 

- adaptation and development  of telecommunications  infrastructures  and services 
- research and development 
- human resources 

„ 

that  are  closely  linked  and  constitute  the  major  elements  of  a  Euro-Mediterranean 
partnership firmly turned towards the future. 

To  this  effect  the  Présidence  requested  the  Commission  to  set  up  in  the  context  of  the 
recommandations  adopted  by the Barcelona  Conference  the concrete  means necessary  for 
the  implementation  of  the  projects  related  to  the  Information  Society  and  of  regional 
interest. 

I 

Promoting  the  interconnection  and development  of communications  arid 
trans-Mediterranean  information  networks  for economic  co-operation 

The Presidency  noted  that  the  participants  welcomed  the  results  of  the  workshop  on  the 
regulatory  framework  and  the  development  of  communications  networks  for  economic 
co-operation  that  was  held  in  Palermo  on  the  6/7th  May  1996  whose  conclusions  arc 
annexed  hereto. 

In order  to  facilitate  the  interconnection  and interoperability of  the  terrestrial  and  satellite 
telecommunications  netwoiks  between 
l-U  and  Medilcriancan  countries,  and 
the 
contribute  to  the  selling  up  of  infrastructures  facilitating  the  economic  and  cultural 
exchanges,  the  dcsiiability  was  sressed  of  mantaiuing  a  constant  and  open  dialogue 
between 
the  Mediterranean  Countries  on  the  regulatory 
framewotl;  for  telecommunications,  as  well  as  the  need  for  the  standardisation  which  aie 
leipiiied  ir. oulci  to  as'.'nc  the  !:i!«--.>;viahilily ofnrt woi l.s 

lunopcan  Union  and 

the 

This dialogue'  will  have  to  be  supported  by  concrete  co-operation  initiatives,  which  will 
tneiude  -in  particular-  the  promotion  of  the  development  of  human  ressources  through 
appropriate  training initiatives 

The need  was  also  mentioned  of having  a harmonised  regulatory  framework  that  plan  for 
the  progressive  introduction  of  free  market  principles  in  the  EU  and  Mediterranean 
telecommunication  sector  in  order  to  promote  investments.  In  this  respect,  it  would  be 
advisable  to  encourage  competition  in  order  to  improve  the  quality  of  services,  reduce 
costs and widen the range of supplies. 

The  validity  of  the  principle  of  separation  of  functions,  in  the  respect  of  each  country's 
unique  characteristics,  between  the  regulatory  authorities  and  the  telecommunications 
operators, was generally  recognised.  It was further recognised that the commitment  of the 
regulatory  authorities  must  above  all  focus  on  the  general  objectives  of  national 
telecommunications  policy,  and  at  the  same  time  guarantee  a  universal  service  at  an 
affordable  price and conforms to the recognised rules. 

The Presidency  noted  with  interest  the  co-operation  initiatives  identified  in Palermo,  and 
asks to  the  Commission  to  study  the  possibility  of  carrying  out  the  development  projects 
put  forward  in  that  forum  within  the  framework  of  existing  budjetay  ressources,  and 
according to appropriate procedures. 

intends  to  organise  potentional  meetings  between 
In  particular,  the  Commission 
telecommunications  regulatory  Authorities  of  Euro-Mediterranean  partners,  in  order  to 
promote a coordinated  regulatory  framework. 

In addition  the  Commission  will  promote  the organization  of Fora  of  euro-mediterranean 
operators  in  order  to  obtain  a concrete  cooperation  among  economic  operators  and  to 
allow  the  integration  of  netwoks  infrastructures.  Firstly it has been  proposed  to  organise 
a  workshop  on  applications  of  satellites  in  the  Euro-mediterranean  region  before .the end 
of  1996. 

Moreover  the  Commission  will  encourage  the  regional  training  projects  destinated  to 
euro-mediterranean  regulatory  Authorities  and  operators.  Furthermore  it  has  been 
suggested  to  install  a network  of  institutions  of economic  telecommunication  studies  of 
euro-mediterranean  partners within an Observatory  for the  communication  development 
in the region. 

On  its part the Commission  has asked  for the support  of the euro-mediterranean  partners 
for the realization  of a study launched  in connection  with the  World  Bank  and  I.T.U.  on 
the  modalities  ol 
the  situation  of  telecommunications  in  the  Mediterranean 
development  cooperation  in the sector 

and 

- - V 4-

II 

To  put  a*c5C;n*cli t\tul  technological  development  «I  Ihe.wvia* of Ihc 
Information  Society  and social  nu cl economic  development 

The  Conference  participants  have  favourably  acknowledged  the  results  obtained  during 
the Sophia-Antipolis  workshop  of the  1-2  nd  April  1996  which  arc reported  in the annex-
to  the present  document. 

On  those  bases,  the  importance  of  maintaining  a  constant,  open  and  sustained  dialogue 
through  concrete 
the  Euro-Mediterranean  partners  has  been 
underlined.  To  this  effect,  the  Follow  Up  Committee  for  the  research  issue  of  the 
Barcelona  dialogue,  which  met  in  Capri  in  Mai  1996,  could  constitute  an  appropriate 
framework. 

initiatives  between 

The  Présidence  has  noted  with  satisfaction  that  the  delegations  expressed  the  wish  of 
launching  co-operation  actions,  as soon  as  possible,  covering  the whole  of the  concerned 
fields  ranging  from  basic  research  to  demonstration  projects  bearing  in mind  the  specific 
needs  in the  fields  of  training,  awareness  building  for  the  users  and  the reinforcement  of 
The research capacity and technological  support. 

To  this  end,  the  available  means  of  the  Fourth  Framework  Programme  that  are  likely  to 
interest  the  Mediterranean  region,  would  see  their  impact  reinforced  by  a fast  and  mass 
commitment  without questioning the established  balances. 

It appeared desirable that clear and efficient  mechanisms be established  in order to support 
the activities at the hart of the Euro-Mediterranean  partnership according to the Barcelona 
Declaration and in coordination with the tools of the Framework Programme. 

Furthermore,  it  has  been  agreed  to  encourage  a  bilateral  resource  mobilisation  of  the 
European Union's Member States in the neighbouring  sectors. 

Finally,  a ceratain number of proposals  seemed to be particularly important: 

- establishing links between Information  Society application projects set up in the 
European Union, and similar projects in Mediterranean partners; 

-  promote  the  constitution  of  a  high  capacity'  Euro-Mediterranean  data: 
transmission  backbone using submarine cable  infrastructures  and existing or future* 
satellites.  The  World  Wide  Web  (WWW),  reinforced  by  a  satellite  infrastructure, 
would  provide  the  perfect  common  tool  for  the  development  of  "thematic 
communities" and for the realisation of "pi'ot  projects" identified  by the Follow  Up 
Committee  for  the  research  issue  of  the  Barcelona  dialogue  All  these  activities 
could  be the object  of  a Euro-Mediterranean  technological  co-operation  initiative. 
To  this effect  :i preparatory  workshop  will  be  organised  by  the end  of  the current 
year 

• piomoimji  the development  of  v'ieniilic  activities  of ieseaichcr> and those in 
eh.nue of kvlifioluiiioal  development  in then  countries  of origin especially  through 
"keep  in  l«»;ieh" ."serious. 

lui  iheui!«>;e.  I he  pailieipants  took  n.'le  of  the  Conference  of  ih«-  industrials  which 
wa.  i:.-!.i  !i. • ;••  .'!••:  .«fm.i; 

HI  To  put  new  technologies  at  the  service  of  the  development  of  human  resources 
niiefen cou rage,  through  training  actions,  the  establishment  cf  the  Information 
Society 

The  participants  of  the Conference  have  favourably  acknowledged  the conclusions  of  the 
80155615' workshop  on education and training (which report U annexed  to this document), 
which  was  held  on  2/3rd  of  May  1996.  Moreover,  it  was  maintained  that  from  now  on, 
developing  strategies will  have  to be increasingly  based on  advanced communications and 
information  networks  and  on  educational  and  professional  training  systems  which  foster 
lifelong  learning, mobility and reconversion. 

Education  and  training  play  a  fundamental  role  in  those  changes  brought  about  by 
innovation  technologies  which  concern  both  individuals  and  the  economic  dynamic. 
Information  Society  tools  contribute  to  the  establishment  of  new  and  promising 
educational  opportunities,  thus  providing  everyone  with  complementary  and  more 
efficient.means  to  widen their own knowledge and introducing a  potential factor of equal 
opportunities.  Moreover,  they would increase access to  information  and make it available 
for  the greatest  number of citizens. 

In  this  sense  it  has  been  reaffirmed  the  need  for  strengthening  the  links  between  the 
European  Union  and  its  Mediterranean  partners  as  far  as  training  and  more  generally 
cultural  and  societal  aspects  are concerned,  in order  to integrate  them  in a long-term  co 
operation  context.  It  would  be  advisable  to  deepen  the  mutual  rethinking  of  diffusion 
methods  and  training  experiences  at  a  Mediterranean  level  on  the  use  of  Information 
Society  tools  as  well  as  on  the  educational  techniques  which  are  more  appropriate  in 
relations to  new  technologies. 

More  specifically,  the  Italian  Presidency  noted  the  interest  expressed  by  the  participants 
to: 

-  promote  co-operational  pilote  projects  in  order  to  give  the  students,  since  the primary 
level  of education,  the basic  knowledge  for understanding  the new  technologies  and using 
them  in their life in a critical  and responsible way. 
-  intensify'  the  exchange  of  experience  on  educational  and  training  projects  which  involve 
the  use  of  communication  and  information  technologies,  in  the  fields  of  primary, 
secondary  and  university  education,  initial  and continued  professional  training,  adults and 
teacher  training.  In  this  perspective,  it  would  be  desirable  to  foresee  the  creation  of  a 
Euro-Mediterranean  network  for  the  identification  of  potential  partners  and  for  the 
exchange  of  information.  This  network  might  be  built  on  the  already  existing  poles  of 
competence. 

-  foster  initial  and  continued  training  in  the  field  of  télécommunications  and  access  to 
electronic  infbriiKKicwi  networks. 

- eiiMite that  co>i*per;tfioit.  fhtotfct:ii  evistnru: uiiti;iiivt::».  will have all! :be  necessary synergy 
h>  kiiplernerit  rUeihienancan  a^rr/urs-  kr^tï  «ni  te;idim£  jtnd  c.<im\ 
learning,  Tints 
*cjM•tsewiins:, a  oM  pv»iti* of  pefcuc^e  tor  the tkveÎKpttfvrtt  of i»*bw .ictioivs  These actkws-
wvtftMi Iv fersvivideJ m the tK*ti«*-\tbi ::>•?« at fec^M trct^Mvisship. 

- ^ ~S  -

-  give  special  support  to  the  pilot  projects  which,  in  the context  of  existing  programmes, 
involve-'putting  the application  of information  technologies  at the service  of education  and 
training  (including  on-line  networks,  optical  fibres,  television  channels,  also  the  satellite 
ones,  distance  learning  infrastructures).  One  of  the  objectives  will  be  to  identify,  without 
ignoring  either  consistency  with  the  existing  ones  or  cultural  mediation  requirements; 
cheap  and feasible  optimal  models  for education and distant training. 

-  favourably  foster  projects  concerning  the  building  of  awareness  and  the  training  of 
teachers and training staff.  Indeed, these actions would  have the advantage of  familiarising 
the users with new technologies  and thus allow them to fully  integrate the future  evolution 
and play an active  part in it. 

~ - b q_ 

Annex 6 :  Regulatory  framework  of  the  General  Agreement  on  Trade  in  Services 
(CATS) 

The  Negotiations  on  basic  telecommunications  services,  held  in  the  GATS  framework 
under  the  auspices  of  the  World  Trade  Organisation  (WTO)  in  Geneva,  started  in  April 
1994,  shortly  after  the  end  of  the  Uaiguay  Round.  Governments  worked  to  set  aside 
national  differences  on  how  basic telecommunications  might be defined  domestically.  They 
negotiated  on  all  public  and  private  telecommunications  services  (local,  domestic  long 
distance  and  international).  Services  covered  by  this  Agreement  include  voice  telephone, 
data transmission,  telex,  telegraph,  facsimile,  private leased  circuit  services  (i.e.  the sale or 
lease of transmission  capacity),  provided  on  a facilities-basis  or by resale,  and through any 
means of technology  (e.g.  cable,  wireless and satellites). 

Negotiations  concluded  successfully  on  February  15,  1997.  As  a result,  69  governments 
undertook  legally  binding  commitments  on  access  to  /and  national  treatment  on 
their  respective  telecommunications  services'  markets.  Commitments  undertaken 
reflect  various  degrees  of  liberalisation  and  development  of  the  sector  in  the  different 
countries,  in  accordance  with  the  GATS  principle  of  progressive  liberalisation.  The 
commitments  are  inscribed  in  so-called  "offers"  (Schedules  of  Specific  Commitments  on 
Basic  Telecommunications).  Out  of  the  55  offers  (counting  the European  Community  as 
one),  35  pertain  to developing  countries.  Together the offers  account  for well  over 90% 
of world  revenues  from  telecommunications  services. 

The  most  important  result  of  the  Agreement  is  that  the  telecommunications  services' 
sector  is now  fully  embedded  in  the  WTO  multilateral  trading  system,  namely that: 

1.  The  GATS  general  obligations  and  disciplines  will  apply to it from  the date of entry 
into force of the Agreement  (1.1.1998): 

•  Most-favoured-nation 

(iMFN)  treatment:  Each  WTO  Member  shall  accord  to 
télécommunications  services  and  service  suppliers  of  any  other  Member  treatment  no 
less  favourable  than that  it grants to  telecom  services  and service  suppliers  of any other 
country (i.e.  non-discrimination  between  countries); 

Members  wishing  to  maintain  measures  inconsistent  with  the  most-favoured-nation 
obligation  had the  one-off  possibility,  before  the conclusion  of the  Agreement,  to  table 
a  MFN-exemption.  Very  few  countries  have  chosen  to  do  so,  and  the  scope  of  their 
exemptions  remains limited.21 

•  Transparency  (publication /  public availability of all relevant  information); 

•  Domestic  regulation:  In  each  telecom  services'  sector  for  which  a  country-  has 
undertaken  market  access  commitments,  it  must  ensure  that  all  its  measures  which 

21  The oul\  permitted  exceptions  to the M FN principle  are:  1) economic  integration  agreements  (such  as 
the  EC. NAFTA, etc.)  provided  thc>  cover substantially till services  sectors; and  2) advantages  conferred 
to adjacent  countries in order  to facilitate  the exchange of services limited to contiguous  frontier  zones. 

-"vru 

affect  trade  in such  services  are  administered  in a  non-discriminatory,  objective  and 
transparent  manner.  F.g.,  licensing  requirements  and  technical  standards  must  be 
based on objective  and transparent  criteria,  and  cannot  act  as a disguised  market  access 
barrier -- unless otherwise  specified  in the  country's  offer; 

•  Disciplines  for  monopolies  and  exclusive  service  suppliers:  Each  Member  shall 
ensure  that  any monopoly  or exclusive  supplier  in its territory does  not  act  in a manner 
inconsistent  with  that  Member's  MFN  obligation  and  market  access  commitments.  In 
addition,  where  the  monopoly  or  exclusive  supplier  competes  — either  directly  or 
through  an affiliated  company  -  in the supply  of a service which  is outside  the scope  of 
its  monopoly  or  exclusive  rights  and  is  part  of  that  Member's  market  access 
commitments,  the monopoly  or exclusive  supplier  is not  allowed  to  abuse its monopoly 
or exclusive  right  position; 

•  Disciplines  concerning  business  practices:  Each  Member  shall,  at the  request  of  any 
other  Member,  enter  into  consultations  with  a view  to  eliminate  business  practices  of 
its  service  suppliers  in  case  such  practices  restrain  competition  and  thereby  trade  in 
services 

to 
The  above-described  GATS  general  obligations  and  disciplines  will  apply 
telecommunications  services  for  all  four  modes  of  supply  — within  the  limits  of  each 
country's  commitments.  Of  particular  importance  in  this  respect  are  the  cross-border 
supply  and  the  supply  through  establishment  of  a  commercial  presence  (foreign 
investment). 

2.  The  GATS  'Annex  on  Telecommunications'  (entered  into  force  already  at the  end 
of the  Uruguay  Round)  which  provides  for: 

•  Transparency:  Each  Member  shall  ensure  that  relevant  information  on  conditions 
affecting  access  to  and  use  of  public  telecommunications  transport  networks  and 
services  is  publicly  available,  including:  tariffs,  specifications  of  technical  interfaces, 
information  on bodies  responsible  for the  preparation  and adoption  of standards, etc.] 

•  Access  to  and  use  of  public  telecommunications  transport  networks  and  services: 
The  Annex  acknowledges  the dual  role of  the telecommunications  services'  sector,  as a 
distinct  sector  of  economic  activity  and  as  the  underlying  transport  means  for  other, 
economic  activities.  Each  Member  shall  ensure  that  access  to  and  use  of  its  national 
public  telecommunications  transport  networks  and  services  is  granted  on  reasonable 
and  non-discriminatory terms and conditions  to  any service  supplier  of any other WTO 
Member. 

3.  Additional  commitments  on  the  basis  of  the  Reference  Paper  on  regulatory 
principles:  countries  negotiated  a  set  of  regulatory  principles  specific 
the 
telecommunications'  sector  in  order  to  complement  the  existing  GATS  obligations  and 
disciplines  These  principles  aim  at  ensuring  more  effective  market  access  and  national 
treatment  commitments  --  while  accommodating  different  regulatory  environments  and 
practices  worldwide.  They  address and  set  rules  on  a number  of  key  issues:  definitions  of 
'major  supplier');  prevention  of  anti 
key  concepts  (such  as 
competitive  practices 
interconnection  obligations;  universal 
service,  public  availability  of  licensing  criteria;  independence  of  the  regulator;  and 
allocation  and  use  of  scarce  resources  Out  of  the  69  countries,  54  undertook  additional 

'essential  facilities', 
in  telecommunications; 

to 

commitments  on regulatory  principles on the basis of the full Reference  Paper, and  10 at 
least on parts of it 

4.  Finally and most impoiiantly. Members' commitments on telecommunications services 
will  be  subjected  to  the  WTO  dispute  settlement  rules  and  procedures.  This  will 
guarantee a high level of legal security with respect to implementation of commitments. 

-^ 

ISSN 0254-1475 

COM(97) 351 final 

DOCUMENTS 

EN 

16  11 

Catalogue number  :  CB-CO-97-344-EN-C 

ISBN 92-78-22400-6 

Office  for Official  Publications of the European Communities 

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