Hungarian GIS Market Survey 1997.

Part I. Characteristics of the Hungarian GIS market


Analysis and decisions on the solution of a number of problems brought to the surface by the social changes of Hungary - which can be considered completed by now - the invigorated economic life, the intention to join the European Union and the NATO call for the overview of data in space and in time. The increasingly successful Hungarian GIS community is prepared to meet these challenges.

The current survey aims at providing a comprehensive picture of the quickly developing Hungarian GIS market in order to promote contacts between Hungarian firms and potential foreign partners. This study was prepared by BONAVENTURA GIS Market Analysis and Public Relations Office on behalf of Hungarian Association for Geo-Information (HUNAGI) and HUNGIS Foundation. The author is Dr. Szilárd Szabó, leader of BONAVENTURA.


Part I
Role of the state in promoting innovation

The role of the state - and local governments - in promoting innovation is interpreted in a number of ways. According to one approach the intervention of these is more harmful than positive, as in many cases such intervention results in solutions which are non-conform with market trends, are wasteful and the quality of the solutions often leaves quite a lot to be desired. According to an another concept, modern state management needs efficient use of technology. Changes in the society and economy in the last decade, the intention to join the European Community and the NATO boosted enormously the value of handling information in space and in time and, in turn, these changes brought about an explosion-like growth in the use of GIS tools in community management.

The use of map-based systems is a question of strategic importance because it means intensive use of cutting edge technology; affects the whole economy of the country, provides possibilities to join the international information exchange and problem solving; it is an indispensable tool of improving the efficiency of community management, generates a considerable number of new jobs for example for surveyors, digitising personnel, etc.; if properly managed, expenses can be re-gained.

Although in Hungary recognition of the necessity of a national GIS policy is still far from being universal, nevertheless, there are steps towards this direction. A few examples will be highlighted below.

The National GIS Project financed by the National Committee for Technological Development (OMFB) was the most important action generating innovation. This Project in addition to support granted to definite projects of local governments shouldered the tasks of standardisation, digital mapping, GPS applications and crop estimation problems especially important in the view of joining the EU.

Computerisation of regional Cadastre Offices was also a strategic step. The National Cadastre Programme when completed will affect the whole national economy of Hungary. Tenders invited on applications of GIS technology in environment protection laid down the foundations of a consistent management of the environment. It has to be remarked that Hungary - via HUNAGI - is a full member of the international GIS community. This opens possibilities for establishing relationships with prominent organisations of persons of the European GIS community, information exchange and to represent Hungarian interests.

The most important governmental organisations and ministries and their activities are listed below
(Source: Remetey-F. G.: GIS networking, meta data base building, institutional context, main data sources, products and services, frameworks, experience for setting up HUNAGI as NGIA case in Hungary
Final report, Budapest, June, 1997):

Governmental Commission on Informatics and Telecommunications
This high level governmental body (GCIT) was recently established in order to supervise the planning and implementation of IT-related governmental activities with special emphasis on the Euro-Atlantic harmonisation.

Prime Minister's Office, Co-ordination Office of Informatics
Inter-ministerial Committee on Informatics (ICI)
Working Group on Geographical Information (WGGI)

The set up of WGGI was decided in late April 1997 by ICI with the objective to provide advice, consultancy and strategic support for ICI and GCIT in GI-related, higher priority issues. In WGGI, all governmental sectors listed below are represented. As first action of WGGI, the study entitled "GI in the Public Administration" was compiled in co-operation with HUNGIS Foundation and will be submitted to GCIT via ICI. WWGI is chaired by Zsolt Sikolya of COI. Main items in WGGI's working plans are: standardisation, data management, methodological issues, base maps and metadata database, Euro-harmonisation, evaluation (and later supervision) application project proposals having public administration importance (such as GI-based governmental information system, network-based service of DTA-50 digital topographic data, pilot on single window public service of. selected municipalities and Cadastre Offices)
The ICI is headed by under-secretary János Horváth, who is also a promoter of the series of the Annual National GIS Conference devoted primarily for the public administrations.

Ministry of Agriculture (MoA)
Department of Land and Mapping (DLM)
DLM serves as the national land administration and mapping agency responsible among others for surveying and mapping related (legal, methodological, technological, R+TD, applications) activities, production, updating base maps, provision of land registration and related products and services. DLM supervises the operation of 19 County and the Capital Cadastre Offices and their 116 District Cadastre Offices. The basic R+TD institution of MoA/DLM is the Institute of Geodesy, Cartography and Remote Sensing. DLM as NMA is member of CERCO, founder of MEGRIN and provides significant infrastructural support for HUNAGI. In close co-operation with the Mapping Agency of the Hungarian Home Defence Forces, MoA and the MoD prepared the Law on Surveying and Mapping Activities and its related high level regulations which are now in force since 1st quarter of 1997.
Major projects are:

The cadastre, landuse, agriculture sector is a huge user of GI. Potential application areas are as follow: The UN FAO sub-regional centre for Central- and Eastern Europe was established in Budapest, in 1996. In order to support sustainable development in agriculture and forestry, FAO is ready to provide know-how transfer (including GIS/RS technologies).

Ministry of Domestic Affairs
Hungary has about 3200 settlements. Due to the financial and methodological support provided by the National Committee on Technological Development in the framework of the GIS National Program during the last several years, local governments has become major users of GI systems and related services. In framework of the project, 30 GIS based urban/settlement information management systems have been implemented taking into account the Digital Base Map standard elaborated in multidisciplinary board of professionals and officially issued last year. It is anticipated, the new Law on Territorial Development will significantly impacted the applications of GI by the county level public administrations. Certain counties are already active in this field. The partnership of Local Governments and the Cadastre Offices is to be encouraged because of openings new ways and innovative solutions toward network based public services. Base maps for these kind of applications are available in the 1:1000 - 1:50 000 range, where the DTA-50 as product is already available in digital form.

Ministry of Defence
In accordance with the decision made by the Hungarian Government in August 1996, as the legal successor of the Tóth Ágoston Mapping and Military Geographic Institute, the Mapping Agency of the Hungarian Home Defence Forces has been established. in conformity with the Act on Surveying and Mapping. The Agency has also gained executive tasks, especially in the field of traditional and digital topography and cartography. Today marketing data and products for civil sector is the priority tasks. DEM's, mid- and small scale topographic products are marketed for use in the public and private sector communities.
According to a recent law the Ministry of Defence and the Ministry of Agriculture are to co-operate closely in setting standards, establishing legal regulation for the Hungarian Topographic Programme.

Ministry of Industry, Commerce and Tourism
The utility companies have the most advanced GI infrastructure in the user community.
Equipped with and operating the latest high-tech facilities as well as served by system and solution provider SMEs with custom-tailored application software, the privatised regional electricity, gas, water and sewage works are the most dominant users in the Hungarian GIS market. Functionality, data and security, interoperability are common requirements. Huge companies in the tourism, transportation, telecommunications and non-renewable resources management including the oil industry represent steadily growing market segment. The Hungarian Geological Survey/Geological Institute of Hungary (MÁFI) is using GI in many of it activities ranging from protection of environment through land use to the inventory of natural resources. The map-based concept has become its traditional approach during the past more than 125 years of existence. MAFI entered in the digital thematic mapping in the early 90's and today implements projects in environmental, hidrogeological, geochemistry applications, providing consultancy and services also for municipalities, public utilities (e.g. power plants), site selection for waste depositories and regional civil-engineering works using GIS. MÁFI has leading role in the consortium working on the multipurpose Aerial Survey of Hungary Project initiative.

Ministry of Transportation, Communications and Water Management
In transportation, the country-wide inventory of public roads is a fundamental tool for traffic analysis. While the Data Bank on Public Roads (OKA) has limited geospatial analysis capability, the integrated, advanced CIVITAS database has already full GIS functionality using digital map products in the medium scale range.

The Hungarian Railways has the intention to establish its GIS-based property inventory using large scale digital maps.

The Communication area is mostly interested for the DEM and land cover data (using 14 classes nomenclature). The use of these data in GIS environment is operational.
The Water Management area is one of the most experienced sector in use of computer-aided data collection, analysis and reporting. GIS-based projects have been implemented in flood protection (ÁRTÉR), countrywide Water Management Information Database (OVTR), the water distribution/sewage utility information system for the settlements (TVIR) used also by the National Water Authority with spatial analysis and statistical reporting capabilities.

Ministry of Environment and Regional Policy
Integrated GIS called ITR featuring environmental and natural protection subsystems has been already introduced in the central and two sites in the regional institutional network. Using by the Environmental Management Institute a system for management of the dangerous waste deposits will be also upgraded to provide GIS functionality using the DTA-50.
Some of the infrastructure development including the new GIS-based information service offered for the governmental decision makers are subject of Inter-ministerial Committee on Informatics (ICI) support.
The regional policy and planning area has a great challenge due to the new Law. The implementation of the National Spatial Information System is the task of VÁTI.
In the environmental protection area, pilot projects in groundwater analysis, water quality assessments are underway and applications in soil/landscape degradation, pollution sources monitoring are to be mentioned.

At the National Meteorological Service, GIS based local area networks are at the analysis staff's disposal. Data on soil, topography, land cover will be also required and used.
The UNEP's subregional GRID Center was opened recently in Budapest at the Ministry of Environment and Regional Policy. It supports world-wide access to and free exchange of global and regional data, provides access to environmental data management methods and makes possible to use the GRID technology and archives in the national environmental surveys and environmental management.

Central Office of Statistics
GIS techniques are used at the COS since the late 80's. Recent GI-related projects are as follow: CD ROM products containing also mapping software for visualisation. The terrestrial statistics uses desktop GIS, where the upgraded, integrated version will be available later this year.

National Committee for Technological Development (OMFB)
OMFB plays basic role in the research and technology development, providing for grant application oriented innovative solutions, keeps international contacts in scientific and technological co-operation with special emphasis on the European Union' institutions, programmes and project offices. After a study document of OMFB on the "Application of GIS" in 1991, the majority of the sectorial GI-related programmes were supported with grants by OMFB especially in the 1993-1996 time frame. Under the permanent support of Deputy Vice-President Sándor Bottka, the expert network and the co-ordination established by project manager Vilmos Bognár was so far a serious contribution to the development of the Hungarian GIS culture and progress. Among others direct beneficiaries were the following programmes:



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