MITA Annual Report 2014

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A N N UA L R E P O RT 2 O 1 4



The Agency’s mission:

ESTABLISH ICT POLICY AND DELIVER SOLUTIONS TO ENABLE PUBLIC SERVICE DELIVERY. MITA does this by driving the development of Government’s ICT policy and national digital strategy, delivering information systems to enable reform and innovation in public service delivery as well as developing and providing ICT infrastructure and services for Government. MITA actively supports students, start-ups and innovators in developing their ideas into products and services through digital technologies, works with leading local and international ICT companies as well as encourages the application and take-up of ICT in the wider Maltese economy.

OUR VALUES

PEOPLE

EMPOWERMENT

PROFESSIONALISM

CLIENT FOCUS

CONTINUOUS IMPROVEMENT

MITA ANNUAL REPORT 2014 | 1


2 | MITA ANNUAL REPORT 2014


01

2014 Highlights

4

02

Executive Chairman’s Statement

7

03

Board Members

8

04

Executive Committee

9

05

Sustainable Solutions For A Digital Government

10

06

Citizen Empowerment Through Digital Services

20

07

Investing In Our People

28

08

Corporate Social Responsibility

32

09

Board Members’ Report

40

10

Independent Auditors’ Report

46

11

Financial Statements

48

MITA ANNUAL REPORT 2014 | 3


2014 HIGHLIGHTS O1

O2

O3 SCHOOLS INTERNET LINK

UPGRADED TO 1Gbps

O4

OVER 29,000 VEHICLES ELIGIBLE FOR VAT REFUND

O8 O6

€1 MILLION IN COST SAVINGS PER ANNUM

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O7 Sustainable Solutions For A Digital Government 01

Launch of Digital Malta Strategy

02

Inauguration of MITA Innovation Hub

03

1st in EU eGovernment Benchmark 2014

04

ICT investment of €2.5 million signed with local companies.

05

Upgrade of the Schools Internet service

06

New Enterprise Server and Storage Solution

O5


O9

13

CONSOLIDATION OF

10 16

40

HR POLICIES

12

11 14

15

Citizen Empowerment Through Digital Services

Investing In Our People

07

Student Advantage Scheme - Free Office 365 to over 40000 students

13

Career Progression Framework

08

Refund of VAT paid on Vehicle Registration Tax

14

Investors in People

09

One Tablet per Child Pilot Project

15

Celebrating Value Week

10

New online services in the Justice sector

16

Reform in HR policies

11

Student Placement Programme 2014

12

#StopHate - Anti Cyberbullying Campaign

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EXECUTIVE CHAIRMAN’S STATEMENT 2014 has been a year of accelerating momentum for MITA. Throughout this year, our Agency was an integral part of the development of Government’s modernisation strategies to create public value through the provision of innovative, sustainable and secure digital solutions. MITA also supported Government in the use of digital technologies to transform public service delivery and alas, become more open and increase interaction with the general public. Being successful in such a dynamic environment requires continuous commitment towards the constant expansion of the breadth and depth of knowledge and skills of our employees. Over this past year MITA has proved to be a leader in all of these aspects. MITA took an active role in the development of the Digital Malta Strategy for 2014-2020, which was launched by Government in early 2014. Digital Malta established a vision for Malta to prosper as a digitally-enabled nation in all sectors of society. It sets out a path of how technology can contribute significantly towards sustainable economic and productivity growth. Another important development in 2014 was the launch of the MITA Innovation Hub at SmartCity Malta. The Innovation Hub offers the possibility to students and startup founders to transform their ideas into tangible born-global products in a real life setting. Our Agency was also a silent but instrumental partner with various Ministries in the implementation of numerous public service reforms in strategic sectors such as Justice, Taxation, Social Services, Agriculture and Identity Management. Government’s strong commitment towards the harnessing of ICT to transform online public services has been recognised again in 2014, as, the European Commission eGovernment Benchmark exercise reconfirmed Malta as leader in the delivery and performance of eGovernment services. Our people are crucial to the success of the Agency. Commitment to our people was recognised by the UK Commission for Employment and Skills which reconfirmed MITA’s Investors in People accreditation. However we did not stop there. We felt the need to introduce a Career Progression Framework that was specifically designed to make effective use of every employee’s capabilities together with the evolving needs of the Agency. 2015 will mark a significant milestone for MITA as the Agency will be celebrating its 25th anniversary. To commemorate this, we are planning a number of events to celebrate such an important milestone with all the employees, and the general public. Whilst reflecting on our ample accomplishments that shaped who we are today, we will continue to focus on our vision: to be the digital leader for Government. Our priorities will include the impetus to increase the take-up of online public services, the launching of accelerator programmes for SMEs, and the development of the next generation of technology infrastructure and solutions, ensuring that we reap the benefits from our investments.

Mr Tony Sultana Executive Chairman MITA ANNUAL REPORT 2014 | 7


Mr. Tony Sultana

Mr. Joseph Agius

Ing. Saviour Baldacchino

Executive Chairman

Board Member

Board Member

Mr. Tony Borg

Dr. Helen Borg Muscat

Dr. Aron Mifusd Bonnici

Board Member

Board Member

Secretary to the Board

BOARD MEMBERS 2014 was another productive and challenging year for MITA. During the year, the Board held 15 meetings and discussed 82 Board Papers which were presented by the Head of Departments. These Board Papers focused on the Agency’s strategy and direction, investment and capital expenditure, financial and operational performance, as well as human resource aspects. In preparation to the launch of the MITA Strategy 2015 – 2017, the Board approved further organisational realignment aimed at sustaining the implementation of the Agency’s strategy together with the improvement of customer service and increase in operational efficiency. The Board approved a major capital investment to upgrade the computing and storage resources within MITA Data Centre. The objective of this investment was to increase resource availability, reduce operational cost and maximise energy use, leading to cost savings in energy consumption and reduced carbon footprint. The Career Progression Framework was another key human resource management initiative launched in 2014. The competency based framework opened further career opportunities allowing employees to grow within MITA, whilst permitting the Agency to attract, capture and retain best talent thus keep offering excellent products and services to its clients.

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Executive Committee Members (left to right): Mr. Robert Galea, Mr. Rodney Naudi, Mr. Wayne Valentine, Ing. Ian Bonello, Dr. Godwin Caruana, Mr. Brian Micallef (Secretary), Mr. Tony Sultana, Ing. Emanuel Darmanin, Mr. Carmelo Formosa, Mr. Victor Camilleri, Mr. Ivan Alessandro, Mr. Ray Navarro, Mr. Jesmond Mizzi

EXECUTIVE COMMITTEE The Executive Committee (EXCO) held 16 meetings during 2014. EXCO focused on various operational matters with particular attention given to business operations, finance and business management, new projects and initiatives, business continuity, human capital investment and corporate social responsibility initiatives. Additionally, Head of Departments reported their departmental activity to ensure all other EXCO members are kept informed with the ongoing developments and progress within each department. EXCO supported the further use of the outsourcing strategy as a means to complement the Agency’s capacity. Outsourcing services included software application services, operational and technical support. This allowed MITA to meet the increasing business demands, as well as provided the opportunity to assign internal resources to work on new business, technical and innovative projects. Furthermore, EXCO discussed numerous technology matters. Key initiatives included the investment required for the upkeep of the data centre, and the associated systems and network infrastructure, as well as the associated security infrastructure that support the operations of the suite of Government business systems and eGovernment services. EXCO’s continuous commitment towards the wellbeing of the Agency’s personnel was translated into a revised set of human resources policies and measures that support employees’ continuous training and development, career growth, gender equality and family friendly measures.

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SUSTAINABLE SOLUTIONS FOR A DIGITAL GOVERNMENT We play an instrumental role in the provision of innovative, sustainable and secure digital solutions, as an integral part of Government’s modernisation strategies to create public value.

MITA ANNUAL REPORT 2014 | 11


5.1 Digital Malta Strategy

5.2 MITA Innovation Hub

Government launched Digital Malta - the National

MITA Innovation Hub (MIH) was inaugurated by the

Digital Strategy for 2014-2020, which was developed

Prime Minister at SmartCity Malta. MIH is serving

by MITA and Malta Communications Authority (MCA)

as a support platform and collaborative environment

in close collaboration with other stakeholders. Digital

for the digital community. It is a place where students,

Malta puts forward a set of guiding principles together

startups and innovators can develop their idea into a

with policy actions of how ICT can be used for socio-

product or service through digital technologies. MIH

economic development. It sets out a path how ICT can

assists by providing physical office space, mentorship,

be applied in different sectors of the economy and

access to technologies and legal advice. The methods

society, and how citizens and businesses can benefit

used to engage with both students and startups are

from its application.

top-down and bottom-up approaches.

Digital Malta also provides direction on how Government can be closer to the citizen through the use of technology and become more efficient in the way public services are delivered. The Digital Malta Governing Board was also established in 2014 with the aim to provide leadership, mentorship and support to stakeholders in understanding and implementing the Strategy.

The first involves competitive calls sourcing ideas, to resolve pain points in civil society, whilst bottom-up approaches, seek membership of teams with an idea feasible to take to market. Following its launch, MIH worked on various projects. In response to a competitive call by MIH, a group of four students teamed up to build a mobile app for the Majjistral Nature and History Park. The team used different technologies and managed the entire project

EMAILS SENT

3+3

Strategic themes supported by 3 strategic enablers

10 29

built a sleekly designed mobile app to support the business of the NGOs managing the park. MIH also organised two separate fora, one with IBM and the other with SAP, both of which were followed

Underlying Principles Guiding Principles

by technical bootcamps. The IBM forum was aimed specifically to assist startups capture new business opportunities. On the other hand, the SAP forum gave startups an opportunity to learn how to develop new

71

Actions

12 | MITA ANNUAL REPORT 2014

on their own under MIH mentors’ guidance. The team

applications on SAP HANA, thus increase their chance of reaching new markets.


5.3 Procurement of development and support services

5.4 Outsourcing to the Private Sector During 2014 MITA published 33 tenders valued at

In 2014 MITA published an enabling tender to establish

€7.67m. The major tenders included the procurement

a framework agreement for the provision of application

of the next generation WAN connectivity, workstations

services. Through this enabling tender, MITA approved

for Government and related support services, software

10 suppliers, five of which were collectively awarded

development and support services, email anti-virus and

contracts for €2.7m over five years. This has been the

anti-spam solution, and eGovernment online services

largest outsourcing investment since the launch of the

training and awareness campaign. Additionally MITA

first application services framework agreement in 2010.

generated €27,756,532 in revenue. Of this, €13,985,938

A number of ICT SMEs will provide services on diverse

(or 50% of the total revenue) attributed to solutions and

systems including statistics, administrative and health.

services rendered by the private sector.

Leveraging on its outsourcing experience, MITA widened its spectrum and partnered with the private sector for the provisioning of application services in business areas traditionally confined to MITA inhouse development such as taxation, social services and EU funding.

INVESTMENT

€2.7m OVER 5 YEARS

Largest application services outsourcing investment to date

eGOVERNMENT

TENDERS

Malta has been reconfirmed

PLACE

as the leader in the delivery of eGovernment services across the European Union

PRIVATE SECTOR

€7.67m

The value of 33 tenders published

MANIFESTO IMPLEMENTATION SYSTEM

€13,985,938 Attributed to solutions and services rendered by the private sector

Monitored

Comprising of

Programmes

Projects

1000 6000

“ Digital Malta is a vision for the country in 2020 when: Malta will prosper as a digitally-enabled nation in all sectors of society”

MITA ANNUAL REPORT 2014 | 13


MITA completed the process to upgrade the operating

5.6 N ew Enterprise Server and Storage Storage Solution

system software of all workstations within the public

In 2014 MITA replaced its aging enterprise server and

service. All workstations were upgraded to the latest

storage solution with a more cost effective solution

version of Microsoft Windows. This process enabled

providing the latest features and functionality also

the improvement of the workstations security posture

based on virtualisation technologies. Throughout the

and the capitalisation of modern end-user devices

year meticulous planning and detailed preparation

functionality. The migration process, which started in

was carried out to ensure that the applications and

2013, was initially carried out by MITA employees and

systems hosted on the old solution are migrated to

students; however the Agency outsourced this work

the new solution in the smoothest and least disruptive

to the private sector in order to further accelerate the

manner possible. The migration will include a number

migration process.

of Government strategic information systems such

5.5 Migration from Windows XP

as Health, Inland Revenue, VAT and Social Security; file shares and MITA’s virtualisation platform. All migrations are planned to be completed by mid 2015. Furthermore, the Agency will take on a systems integrator role thus maximising the knowledge and

EMAILS SENT

expertise of its employees and empowering them

60,300 PER DAY EMAILS RECIEVED

to deliver an effective and efficient service. The anticipated net savings, as a result of this investment and implementation, is estimated at €1,000,000 per annum for the next seven years.

SERVERS

356,200 PER DAY

EMAILS TAGGED AS SPAM

213,700 PER DAY

VIRTUAL

523 PHYSICAL

499

“ The anticipated net savings for the next seven years through the New Enterprise Server and Storage Solution is €1,000,000 per annum.”

14 | MITA ANNUAL REPORT 2014


NETWORKS

FIREWALLS

ROUTERS

SWITCHES

115 490 2494 74,046 4.8KMS NETWORK POINTS

NETWORK CABLE

5.7 Upgrade of Government email

5.8 Upgrade of Schools WAN

MITA migrated Government’s email system to

The Ministry for Education and Employment (MEDE)

Microsoft Exchange 2010. The completion of this

commissioned MITA to carry out a study to analyse

upgrade resulted in various benefits for email users

bandwidth usage during the execution of the One

such as, utilisation of a supported Exchange version,

Tablet per Child pilot project in various primary schools

larger mailboxes and improved webmail interface

and all secondary schools staff rooms. The study

compatible with different browsers. Other benefits

recommended that the bandwidth between schools

included the twofold increase of mail attachment

and MITA had to be increased to provide a better user

size to 20Mb, and an easier recovery process for

experience once the full scale One Tablet per Child is

end-users without the need of support from the

launched. Additionally the study also highlighted the

Agency personnel.

need to increase Internet bandwidth. Consequently the schools’ links were upgraded to the recommended bandwidths. These upgrades have enabled faster

DATABASES

access speeds to the schools’ services hosted at MITA Data Centre. The GEANT Internet link was also OPERATIONAL TEST / DEVELOPMENT

423 846

upgraded from 200Mbps to 1Gbps to enable enhanced Internet browsing experience to all Government state schools. The new connectivity contractual framework and infrastructure allows for further seamless increases in bandwidth.

“ Upgrade of Government email resulted in larger mailboxes and improved webmail interface for all Government Users.”

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5.9 Implementation of the Foreign Account Compliance Act

5.11 Common Agricultural Policy 20142014-2020

In late 2013, Malta and the United States of America

MITA assisted the Agriculture and Rural Payments

(USA) signed an agreement to implement the Foreign

Agency (ARPA) in the implementation of all the new

Account Compliance Act (FATCA) aimed at reducing

business requirements emanating from the new

tax evasion by USA citizens who have foreign

Common Agricultural Policy (CAP) 2014-2020. The new

accounts. FATCA requires financial institutions

CAP reform increased the funds allocated thus allowing

outside the USA to pass on information about their

farmers to invest more in their produce resulting

USA customers to the USA tax authorities. During

in higher quality products for the consumers. MITA

2014, MITA supported the Ministry for Finance (MFIN)

compiled a gap analysis document and identified the

in the successful implementation of the ICT solution.

enhancements required on ARPA information system

Furthermore, the Chief Security Officer of Internal

(SITI-AGRI). The SITI-AGRI framework was upgraded

Revenue Service (USA) visited the MITA Data Centre

accordingly in 2014. The new version allows the web

as part of the review process of the implementation

application to be accessed from all types of devices,

of FATCA in Malta. As a result, Malta was one of the

including mobiles. This allows farmers to conveniently

first groups of countries to implement the FATCA

view the application status and access GIS information

agreement with the USA.

related to their agricultural parcels at any time and

5.10 Accrual Accounting in Government The Ministry for Finance (MFIN) is implementing a

from anywhere. AGRICULTURE

number of accounting reforms aimed at harmonising the Malta Government standards with international public sector accrual-based accounting standards

OVER 6,600

and EU regulations. Such reforms will result in higher transparency in public spending since the financial

farmers and breeders received

statements and management reports will outline the true value of Government finances, fixed assets and liabilities. As part of these reforms, MITA is providing consultancy services to MFIN in the procurement of a

€21,100,000 in EU funds

Corporate Financial Management Solution. A number of MITA technology, business and legal consultants are participating in technical teams responsible for the evaluation process. TAXATION

86% 98% €173m

16 | MITA ANNUAL REPORT 2014

of employees’ FS3 submitted

of corporate tax returns

online by their employers

submitted online

in electronic payments


5.12 Payment of EU funds

5.14 Fleet Management System

MITA enhanced the Ministry for European Affairs and

The Fleet Management System (FMS) is a government

Implementation of the Electoral Manifesto (MEAIM)

wide application with the aim to manage a wide

EU funding systems so that payments to beneficiaries

variety of assets and resources. Fleet operations

for funding are compliant to the Single Euro Payment

represent a significant capital investment and an

Area (SEPA) requirements. MITA implemented this

ongoing expense for the civil service as well as

for four funding systems mainly, Structural Funds,

organisations. Fleet managers constantly seek greater

EA Norway Funds, European Fisheries Fund and Solid

control over fuel supplies to improve overall fuel

Information System. This project included a business

economy and to eliminate loss due to pilferage and

process reengineering exercise aimed at developing

theft. The FMS allows Government to manage its fleet

more clientcentric services, as well as reducing the

more efficiently by providing fuel management, and

heavy administrative burden, and therefore improving

tracking of maintenance and repairs of vehicles. In

the processing of payments of EU funds. The first SEPA

2014, MITA migrated the system from a client-server

compliant payments are scheduled for 2015.

based application used by over 500 users to a web-

5.13 National Police System MITA developed the Criminal Records Investigative Module which further extends the functionality of the National Police Systems. This module provides the Malta Police Force (MPF) with the tools to manage the

enabled application. This transition drastically reduced the effort required to support the large number of users accessing the information system on different operating systems and environments installed across the public sector. Migration of all users is expected to be completed in 2015.

full prosecution cycle. Additional functionality provided includes a holistic picture of a ‘person of interest’ by providing a single view point to any European alerts, ongoing prosecutions, criminal records, weapon ownership, ongoing bail, bail conditions and past prison sentences. MITA worked with MPF to source an Advanced Passenger Information System (APIS), an initiative which will provide a direct link with air carriers and sea carriers allowing them to push prearrival manifest data of passengers and crew members. This system will effectively enhance border security through the automation of a comprehensive risk assessment of each passenger and additionally provide a time window for immigration officers to analyse and act upon high risk or undesirable travellers.

“ Malta was one of the first groups of countries to implement the Foreign Account Compliance Act (FACTA) agreement with the USA.”

MITA ANNUAL REPORT 2014 | 17


5.15 Customs Mobile App In addition to the development of the core Customs Import and Export modules which will replace the current legacy Customs electronic system in phases between mid 2015 and 2016, MITA is currently working on a mobile app. The Customs Department commissioned MITA to develop a mobile app to inform citizens and economic traders about duties to be charged when importing commodity goods to Malta. The mobile app will calculate duties, taxes and VAT payable for imported goods as well as provide information on the type of documentation which needs to be submitted by the importer.

CUSTOMS

88%

of the commodity goods for export released within one hour from online submission of export declaration.

Online submission of

925,000 declarations for commodity goods entering Malta from outside EU customs territory

“ The Customs Department commissioned MITA to develop a mobile app to inform citizens and economic traders about duties to be charged when importing commodity goods to Malta.�

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5.16 Health

HEALTH

In 2014 Government initiated the process to take over the operational and technical aspects of the Integrated

7,646,844

Healthcare Information System (IHIS) Phase I systems: Radiology Information System (RIS), Picture Archiving and Communications System (PACS), and Laboratory

Tests processed through

Information System (LIS). In order to facilitate

The laboratory system

this transition, a number of MITA employees were assigned to work with the supplier’s team to gain more aforementioned systems. MITA will start taking over

243,423

the systems integrator role in the beginning of 2015;

Investigations processed through

process will be completed by mid-2015. This change

the radiology and pacs system

exposure and technical expertise in the support of the

will significantly reduce the total cost of ownership of the IHIS Phase I systems.

Additional Statistics LAND REGISTRY

PUBLIC REGISTRY

ISSUED OVER

ISSUED CIRCA

SITE PLANS

CERTIFICATES

37,000

74,700 Birth

Marriage

Death

Adoption

44,100 12,500 18,000 100 GOVERNMENT PAYMENT GATEWAY

OVER

AMOUNTING TO

485,000 €74,700,000 PAYMENTS

MITA ANNUAL REPORT 2014 | 19


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CITIZEN EMPOWERMENT THROUGH DIGITAL SERVICES We support Government in the use of digital technologies to become more open, innovative and participatory and to foster forward-looking public institutions, thus increasing citizen empowerment and strengthening citizen trust.

MITA ANNUAL REPORT 2014 | 21


6.1 Social Security Budget Measures

6.3 Electronic Identity Card

MITA has developed a number of online services

MITA was a key partner with the Ministry for Home

for the Ministry for the Family and Social Solidarity

Affairs and National Security (MHAS), Identity Malta and

(MFSS) in order to simplify business processes, add

the Electoral Office in the finalisation of the Electronic

new functional requirements and pursue the goal

Identity Cards project and subsequent launch of the

of a paperless environment. The services include

national mass roll out. The Electronic Identity Card will

the notification for retirement pension, which

fulfil various roles including the traditional means of

is automatically provided to the citizen through

identification, a travel document, and a passkey to the

e-mail. This allows the citizen to submit online

citizens’ personal data. Furthermore, the introduction if

any missing information or documentation to

the Electronic Identity Card is expected to have positive

enable the assessment of the retirement pension.

effects on Malta’s digital economy due to the introduction

The same service is also provided for the widows’

of a powerful digital certificate capable of performing

pension and the online application for the marriage

qualified electronic signatures. Since the initiation of the

one time grant. Furthermore, MITA implemented

mass rollout in early 2014 Identity Malta has issued 121,148

a number of major enhancements to the Sistema

Electronic Identity Cards by the end of year.

għall-Amministrazzjoni tal-Benefiċċji Soċjali (SABS), including the simplification of children’s allowance applications, part bonus assessments and the payment of the new tapering benefit, where newly employed social assistance beneficiaries and their employers receive a percentage of the benefit in payment for a number of months.

ELECTRONIC ID CARDS

ISSUED OVER

6.2 eJustice Services MITA continued to assist the Courts of Justice in the

eRESIDENCE PERMIT CARDS

implementation of the ICT aspects of the Justice Reform

ISSUED OVER

Programme through the provisioning of various new electronic services. An automated advice of notification of Acts was implemented and over 55,000 electronic notifications have been sent to the legal professionals over a 10 month period in 2014. Additionally an online case management system was built to cater for the information needs of the legal professionals and allow

ePASSPORTS

location independent access to case information from

ISSUED OVER

any type of mobile/computing device. The system gives

P

access to over 140,000 documents pertaining to civil cases. These services therefore bring about greater transparency of the Courts’ processes and ultimately a better service to the citizen.

eJUSTICE

55,000 Electronic notifications over a 10 month period

& 22 | MITA ANNUAL REPORT 2014

ONLINE ACCESS TO

140,000

CIVIL CASES DOCUMENTS


6.4 Refund of VAT paid on Vehicle Registration Tax

6.6 Student Placement Programme

MITA supported Transport Malta in the implementation

awaited initiative which takes place on a yearly basis

of one of the Government’s budget measures. MITA

during the summer period. This initiative facilitates

developed a number of enhancements in the Vehicle

summer placements for students, studying ICT and

Registration and Administration System (VERA) to

ICT-related courses, within the private, public and

refund vehicle owners the VAT paid on registration tax

voluntary sectors. In order to support the private

for vehicles registered and licensed between 1st May

and voluntary sectors in participating and employing

2004 and 31st December 2008. The information system

students, Government provides a co-sponsorship of

payment process had to take into consideration non-

the students’ salaries. SPP 2014 was officially launched

eligibility factors, the heirs of deceased eligible owners

in May and ran from July till September 2014, hence

and the calculation of the part-refund for the first year.

students benefitted from 11 weeks of practical ICT

The Student Placement Programme (SPP) is a much

experience in an organisational setting. MITA received 663 valid applications from students.

VEHICLES LICENCES RENEWED ONLINE

A total of 303 placements within the public service and public sector, private industries and NGOs were offered.

VEHICLES LICENCES RENEWED ONLINE

6.5 Student Advantage Scheme As part of its commitment towards education, Government in collaboration with MITA and Microsoft Malta has launched the Student Advantage Scheme, which allows students to use the latest version of Office at their education institution and at home. Students who registered for the initiative are now able to use various Office 365 Education cloud based productivity tools that will help them to communicate and collaborate more efficiently, access assignments in shared workspaces, have notes synchronised in OneNote and use familiar applications such as Word, PowerPoint and Excel anywhere, anytime and across virtually any device (PC, Mac, Windows, Android, iOS). Students also benefitted from 25GB of free online space where they can save all their work.

6.7 European Digital Jobs Campaign MITA joined a European Grand Coalition where a number of member states, industry players, academic institutions and NGOs are seeking to collectively promote digital jobs and the opportunities enabled by the application of technology. MITA’s role in the consortium is to export the Student Placement Programme concept to other member states. During 2014, MITA reached out to companies, public sector entities and governments in the other member states. The project is set to continue in 2015, where MITA will reach out to National Coalitions being established by member states to address e-skills shortages and mismatches. The Student Placement Programme is being promoted with member states, as a win-win, tangible initiative that can bring closer the demand for e-skills and the upcoming technology professionals.

MITA ANNUAL REPORT 2014 | 23


Prior to the launch of the National Coding competition,

6.9 Promotion of Science, Technology Engineering & Maths (STEM)

MITA in collaboration with the Ministry for Education

MITA organised various outreach initiatives to promote

and Employment (MEDE) invited Computing and

Science, Technology, Engineering & Maths (STEM);

ICT teachers to attend free and professionally-run

including career orientation visits for students, ICT

workshops on the use of programming languages

career exposure, Girls in ICT Day and workshops for

to create and design digital artefacts. The aim of the

children. A number of workshops were organised

workshops was for teachers to familiarise themselves

at MITA where children created digital and physical

with the programming environments and be in a

artefacts and explored basic STEM concepts. MITA

better position to guide and assist their students once

celebrated Girls in ICT Day, alongside other countries,

the competition has been launched. A total of 92

through a hands-on workshop for girls who coded

teams, comprising 216 students, participated in the

with Scratch, programmed robots and built rockets.

competition. With the assistance of their teachers, the

Moreover, a number of school visits were hosted at the

students coming from state, church and independent

MITA Data Centre and other technology companies. The

schools used programming skills to create an animated

visits at the Data Centre included an interactive session

game from scratch.

where students configured and connected a network

6.8 National Coding Competition

and programmed with Scratch.

MATE... I N A & E T A E CR UTURE! F e h t t u o b a wn game your o

4

ETITION 201

DING COMP NATIONAL CO

“ 92 teams comprising of 216 students, participated in the National Coding Competition.�

24 | MITA ANNUAL REPORT 2014


6.10 STEM Summer Club

6.11 Free Childcare Scheme

The STEM Summer Club pilot project was launched in

77 childcare centres participated in the free childcare

2014 with the aim of encouraging children to follow a

scheme launched by Government in April 2014. 3,857

Science, Technology, Engineering and Maths (STEM)

children benefitted from this scheme and Government

study path at Form 3 level. Five summer schools

paid a total of €5.2m to the various centres. The Ministry

around Malta participated in the project, where over

for Education and Employment (MEDE) requested the

200 students aged between 10 and 12, learned about

Agency’s support in the development of the business

STEM by doing hands-on activities. To complement the

processes and supporting information systems. The free

in-class activities, various ICT stakeholders partnered

childcare scheme incorporates a number of business rules

with MITA to deliver practical sessions in Robotics, Kodu

and on a monthly basis MEDE pays the childcare centres

Game Maker, Scratch programming, digital games and

the amount due based on the children’s attendance. MITA

other activities at their premises. A number of Summer

provided consultancy services to MEDE, which included

Placement Programme students were engaged to train

the development of the technical specifications and

students in the STEM activities and create a game using

adjudication of the Free Childcare System invitation to

Unity programming for the STEM Club section on the

tender issued by the Ministry.

MITA website. FREE CHILDCARE

77

Childcare centres participated

3,857

Children participated

€5.2m The Government paid a total of

in Social Benefits

“200 students learned about Science, Technology, Engineering and Maths (STEM).”

MITA ANNUAL REPORT 2014 | 25


6.12 One Tablet per Child Pilot Project

6.13 #StopHate Campaign

The One Tablet per Child was launched as a pilot

MITA, together with 89.7 Bay and General Soft Drinks

project by the Ministry for Education and Employment

Co Ltd launched #StopHate - a nationwide awareness

(MEDE), as part of the National Literacy Strategy, with

campaign against cyber bullying. The aim of the

the aim to increase numeracy and digital literacy. A

campaign is three-fold: to make cyber bullying look

total of 20 schools around Malta and Gozo participated

uncool and unfashionable; raise awareness amongst

in this project - 14 state schools, three church schools

youths to help and protect their friends if they realise

and another three independent schools. MITA is

they are victims of online bullying; and to provide

supporting the Ministry in the management of the

the audience with a source of information on how to

project and in ensuring that the schools infrastructure

protect themselves and what to do in case they fall

supports the anticipated technology requirements of

victims of cyber bullying. This campaign gives the

the full scale project.

necessary tools for youths to stand up and challenge this new reality.

“20 schools participated in the One Tablet per Child Pilot Project.�

26 | MITA ANNUAL REPORT 2014


6.14 eParticipation

6.16 eSkills Malta Foundation

MITA carried out a scope study to investigate the implementation of eParticipation in other EU countries. Additionally MITA explored how new technologies can expand Government’s toolbox to reach out and engage with people. A number of best practices were identified

eSkills

and, where applicable and in collaboration with the

Government launched the eSkills Malta Foundation

various stakeholders, mapped to local participatory

that will see various stakeholders working together

initiatives. The review of eParticipation tools showed

to jointly create the skills base and life-long

that such tools not only facilitate and structure the

quality growth required for a digitally enabled

method on how collaborative activities are managed

knowledge economy. The eSkills Malta Foundation

but also smoothen the progress of how information

brings together Government representatives from

can be collated, analysed and presented. The findings

MITA and Education together with key entities in

emerging from this study were presented to the

investment, employment and industry, including:

various stakeholders within Government; as a result an

Malta Enterprise, Malta Communications Authority,

inter-ministerial committee has been setup to drive the

the Malta Gaming Authority, the Employment and

initiative forward and, together with MITA, implement

Training Corporation and the Chamber of Commerce,

an eParticipation solution.

Enterprise and Industry.

6.15 Information Security Expo MITA organised an Information Security Expo at SmartCity Malta. The event targeted a wide spectrum of people including home users, students and ICT professionals. The Expo was divided into three main events: hackathon, security talks and awareness sessions. The Capture the Flag hackathon event attracted ICT professionals and students who were divided in different teams and tasked to find a number of ‘flags/vulnerabilities/strategic points’ in the environment set up by MITA’s international security partner TrustedSec LLC. The founder of the TrustedSec held an exclusive workshop for the Expo participants and numerous local companies contributed in raising awareness about various information security topics.

MITA ANNUAL REPORT 2014 | 27


28 | MITA ANNUAL REPORT 2014


INVESTING IN OUR PEOPLE The continuous delivery of successful results is achieved through the efforts of a talented and committed workforce. We provide our people with an environment where they can reach their full potential and excel. This is an investment in both their future and ours.

MITA ANNUAL REPORT 2014 | 29


7.1 Career Progression Framework

7.4 Conferences and Seminars

In September 2014, MITA launched its Career Progression

A number of employees benefitted from attendance

Framework which established six career levels denoting

to various conferences and seminars held abroad.

the different levels of responsibility within the Agency.

Participation was funded by the European Social Fund

Job Profiles were developed on the basis of the

project ESF 4.100 – Developing Core Skills in the Public

European Union’s eCompetency Framework and the

Service. Conferences attended by MITA employees

Skills Framework for the Information Age (SFIA). A set of

under this project included, amongst others, Panta

competencies were identified for each position and new

Rhei, TechED 2014, and Making e-services a reality

salary brackets were defined for each career level. This

in Europe. Such conferences serve as a platform for

framework was developed by an internal action team

employees to have a better understanding of their area

set up specifically for this purpose who, in the process,

of expertise, and are also an opportunity to network

also consulted with employees across the Agency. A skills

with counterparts from other countries.

assessment process for each career path was carried out, at the end of the year, for those employees who were

7.5 Training

eligible and applied for career progression.

MITA continued to invest in the training and

7.2 Investors in People

development of its employees through a number

In 2014 the UK Commission for Employment and Skills

and new technologies such as Sharepoint and Linux.

reconfirmed MITA’s Investors in People accreditation.

Classroom training was also provided by MITA

This prestigious award is evidence of the Agency’s

in-house certified trainers in ITIL. Additionally

high level of people management and development

employees attended to various courses organised by

practices. The audit analysed the extent to which MITA’s

the Centre for Development, Research and Training

operations were based on an established business plan

(CDRT). MITA also invested in self-taught training

and whether the strategy was appropriately discussed

courses. These included the Microsoft Academy Portal

and communicated with all staff members. The audit

which provides employees with a variety of self-taught

also covered the extent to which employee learning

courses and resources leading to Microsoft industry

and development are taken into consideration at the

certifications, and Plural-Sight where employees can

strategic level and therefore championed by the top

subscribe to a number of courses including cloud

leadership of the Agency.

computing, social media and many more.

of specialised training courses in the use of existing

TRAINING

7.3 Business Leaders Malta Employee Research MITA participated in the Business Leaders Malta 2014 employee research survey. This survey measured various work related aspects, mainly, communication and team cohesiveness, corporate culture, employee well-being, effective leadership, performance management, reward and recognition, training and development. In 2014, MITA increased its survey participation rate to 84%, and above all achieved an improvement in its rankings. Furthermore, when comparing the results obtained in 2014 to those of 2013, there was an overall improvement across all domains, with the greatest improvement being registered in the communication and team cohesiveness domain.

30 | MITA ANNUAL REPORT 2014

151

EMPLOYEES FOLLOWING ONLINE COURSES In 2014, 7 sponsored employees completed their studies


7.6 Celebrating Our Values

7.8 Technology Committee

MITA organised a week-long of activities which brought

MITA set up the Technology Committee (TeCo) to bring

together all employees to celebrate the Agency’s values.

together principal technology representatives from various

The activities included a football match between a

internal departments to assist the Agency to achieve its

team from MITA Head Office and a team from MITA

business and strategic objectives more effectively, in a focused

Data Centre. The annual family day was also organised

fashion, through formal active participation and contribution.

during this week, where employees and their families

The committee provides a forum for the exchange of

attended to guided tours to the Ħaġar Qim and Mnajdra

information, best practices and ideas on matters relating to

Neolithic Temples. MITA hosted 25 delegates from various

the introduction, management and application of information

Commonwealth countries as part of a six-day programme

and technology in support of MITA’s as well as Government’s

Legal Frameworks for ICTs organised by the Ministry for

programmes and objectives. 2014 deliverables included

Foreign Affairs (MFA), Commonwealth Secretariat and

the articulation, upkeep and presentation of horizontal

COMNET Foundation for ICT Development. An ad-hoc

and vertical blue-prints and roadmaps. Furthermore the

EXCO meeting was organised and attended to by MITA

committee discussed various matters, including, core

staff who presented their ideas about the Agency’s values.

infrastructure, education domain, cloud adoption as well as

Activities were concluded by a blood donation campaign.

kicked-off research on identity and access management.

7.9 Enterprise Risk Management An internal action team was set up with the aim to quantifiably reduce the effort the Agency spends on groundwork to retain ISO certification by analysing methods how risk can be embraced in a wider context at all levels of the Agency. The action team put forward a number of recommendations which were favourably considered by both EXCO and MITA Board Members. Most notably is the introduction of risk appetite concept in the revised Enterprise

7.7 HR Policies

Risk Management (ERM) policy and procedure. This allows

The review of the Agency’s HR policies was completed in 2014. In total 51 policies were reviewed and updated to reflect the current state of affairs, also taking into

for a higher risk tolerance enabling the Agency to act quicker and focus more on where it matters thus facilitating the transition from a culture of risk aversion to a culture were

account the related legislation. Obsolete policies

risk is managed according to industry standards.

were removed whilst others in similar subject areas

7.10 MITA Road Shows

were consolidated for ease of reference. This process together with the resultant 40 consolidated HR policies

During 2014, MITA organised a number of road shows

ensured that MITA has HR policies that are up-to-date

consisting of half-day seminars for various Ministries to

and meeting the contemporary needs of an organisation

strengthen the working relationship between the respective

aspiring for equality and family-friendly measures.

Ministry and the Agency. These meetings served to highlight the projects which MITA is implementing for the Ministry and the respective departments and entities. Additionally, MITA

STAFF GENDER MIX

gave an overview of the portfolio of services being provided

236 MALES 73 FEMALES

to Government in general, as well as the other national initiatives being undertaken by the Agency.

MITA ANNUAL REPORT 2014 | 31


32 | MITA ANNUAL REPORT 2014


CORPORATE SOCIAL RESPONSIBILITY Similar to other forward-thinking organisations, MITA is embedding sustainability into the core of its business operations to create shared value for the community.

MITA ANNUAL REPORT 2014 | 33


8.1 Community

c) Technical Assistance

MITA’s Corporate Social Responsibility (CSR) Committee

MITA provided technical assistance in the restoration

organised and participated in numerous initiatives that

project of the Ghajn Tuffieha Barracks by the Heritage

benefit society. During 2014 CSR activities included:

Parks Federation where ex-military structures were

a) Fund Raising Activities and Donations

converted to an administration and information centre for the management of the Majjistral Park.

The CSR Committee together with MITA employees

Additionally, MITA loaned a plasma screen to the

organised various activities to raise funds. Initiatives

Special Olympics Malta Committee to be used during

included sales of cupcakes, books, toys and stationery

an awareness event.

items as well as proceeds from a football tournament

d) Non-technical Assistance

and the World Cup 2014 predictor challenge competition. Furthermore, during the celebrating of

MITA offered office space to the Karl Vella Foundation

our values week 50% from the proceeds of the MITA

which was set up to promote the well-being of children

canteen sales were also donated to the CSR fund.

in families dealing with long-term illness. The primary

MITA provided financial assistance to HopeXchange

objective of the Foundation is to provide support and

Ghana Health Project, Malta Hospice Cycling Challenge,

maintain continuity and a sense of normality in the

Maratona bir-Roti, Puttinu Cares, Richmond Foundation,

lives of these children by providing educational and

Sacred Heart Major Seminary, Sisters of Mother

psychological assistance, as well as regular extra-

Theresa, Ursuline Sisters of Angela House and Ursuline

curricular activities.

Sisters of Dar Dun Sidor.

e) Office Furniture Donations MITA donated office furniture to numerous institutions including Action for Breast Cancer Foundation, AIESEC, Child Development Assessment Unit, Heritage Parks Federation, Immaculate Conception Sisters of Charity, Junior Achievement Young Enterprise, MCAST Business Incubation Centre, Malta Guide Dog Foundation, St. Monica School, St. Paul’s Missionary College, St. Augustine College, St. Michael’s School, the Archbishop’s Seminary, and Wardija Special Needs School.

b) Various Items Donations MITA employees donated several items to families in need. Donations included DVD player, bedroom furniture, and various children and baby items.

f) PCs, Printers and Networking Equipment Donations MITA donated IT equipment to Cini Institute in Santa Venera, Cospicua Scout Group, Dar Qalb ta’ Gesu’, Heritage Parks Federation, Junior Achievement Young Enterprise, MCAST, Malta Community Chest Fund, Malta Hospice Movement, Maltese Dominican mission in Albania and Caritas.National Council of Women, Richmond Foundation, Savio College,

34 | MITA ANNUAL REPORT 2014


g) President’s Solidarity Fun Run

i) Blood Donations

MITA employees and their relatives took part in the President’s Solidarity Fun Run. Furthermore numerous employees donated an hour or more from their salary to l-Istrina charity campaign.

MITA blood donation campaign continued during 2014 where about 30 employees (four of which first time donors) participated. Moreover MITA assisted the National Blood Transfusion Service (NBTS) in its campaign to attract potential young donors from the University of Malta and MCAST by donating more than 700 USB memory drives. These then were distributed by NBTS as a token of appreciate to blood donors.

j) Organ Donation Awareness Sessions CSR Committee in collaboration with the Transplant Support Group (TSG) Malta organised an awareness campaign to MITA employees. TSG explained their aims and objectives and answered queries that

h) Christmas Party for children

were raised by those present. Personnel from other

MITA organised a Christmas party for children who

premises as MITA Head Office were also invited

are receiving services from the Inspire Foundation.

to attend to these sessions. Over 60 participants

The party was held at the MITA Data Centre and the

attended to these sessions.

Government institutions housed within the same

proceeds collected from MITA employees for this event were used to organise the party and to buy Christmas presents for these children.

MITA ANNUAL REPORT 2014 | 35


8.2 Environment

Energy Efficiency

Introduction of an electric vehicle as part of MITA’s

MITA actively monitors the power consumption of the

corporate fleet

Data Centre on a monthly basis and undertakes ongoing initiatives to maximise the efficient use of energy. The

In line with the National Strategy for the Introduction of

reporting mechanism used by the MITA Data Centre for

Electromobility, MITA introduced an electric vehicle as

monitoring power consumption is based on Green Grid –

a replacement of one of its existing pool cars. This is a

the international de facto standard and is in line with the

pilot project for MITA prior to embarking on its long term

EU Code of Conduct for Data Centre Energy Efficiency.

commitment for its entire fleet. On average, the electric vehicle in use by MITA is covering 1,300 km distance per 25.5

month. Electric vehicles have tangible benefits as they offer a real opportunity to reduce the carbon emissions of the transport sector as well as cost savings. Driving an electric car costs just 2-3 cents per km compared to 12-

27.7

25.1

23.6

22.4 19.5

18.7 16.1 13.8

13.7

13.2

1.77

1.76

1.76

1.74

15.2

1.80

1.86

1.86

1.89

1.89

1.85

1.86

1.77

15 cents per km for conventional cars. Additionally, due to its lack of moving parts, servicing an electric car costs substantially less than servicing a conventional car.

Energy Management As in previous years, MITA’s effort and commitment on energy management focused on three aspects: energy conservation, energy efficiency and renewable energy. Energy Conservation As part of the refurbishment project at MITA Head Office in Blata l-Bajda, various energy conservation mechanisms were implemented to safeguard energy use. Air conditioning systems with elevated EER (Energy Efficient Ratio) to maximise energy use.30% more efficient than previous installation.

LED lighting throughout offices leading up to 40% reduction of power consumption.

Motion detection lighting in toilets and other common areas.

Dual flush systems leading to substantial water consumption savings.

Solar water heating.

36 | MITA ANNUAL REPORT 2014

1.82

JAN

FEB

MAR

APR

MAY 2014 PUE

JUN

JUL 2014 AVERAGE

AUG 2014 TEMP

SEP

OCT

NOV

DEC


Renewable Energy Since its deployment in 2012, the PV plant has yielded 110,000kWh units over a 36 month period. This translates to €22,0001 saving from the electrical bill and the total reduction of CO2 emissions (tCO2e)2 was 96 tons. MITA is strongly committed towards renewable energy hence it is planning to invest further by installing an additional 20KW PV plant in 2015. The graph below presents the monthly energy yield from the existing PV plant and the respective revenue from Enemalta for 2014.

UNITS 2013 2014

JAN

FEB

1,849

2,287

MAR 2,791 2,742

APR 3,540 3,382

MAY 3,573 4,344

JUN 4,304 3,895

JUL 3,980 3,657

AUG 3,729 4,146

SEP 2,983 3,059

OCT NOV 2,353 1,884 2,670 1,646

DEC 1,614 1,606

TOTAL KWH 30,751 35,283

PHOTOVOLTAICS (KWH UNITS)

4,344

35,283

4,146 3,382

3,059

2,742 2,287

3,895

1,849

3,657

2,670 1,646

1,606

30,751

JAN FEB MAR APR MAY JUN JUL AUG SEP OCT NOV DEC

2013

2014

2013 TOTAL KWH

2014 TOTAL KWH

PHOTOVOLTAIC (KWH UNITS)

30,751

2013 (12 MONTHS)

35,283

2014 (12 MONTHS)

1.

Based on the previous Enemalta Feed-In Tariff Commercial rates of 20 Euro cent per KWh.

2.

alta’s conversion factor is 0.875 kg per kWh. This is based on 2008 Verified Emissions Factor which Malta Resource Authority submit to EU. M According to the Carbon Trust - Greenhouse gas conversion factors, the average EU conversion factor from for grid electricity is 0.537kg/kwh.

MITA ANNUAL REPORT 2014 | 37



REPORTS & FINANCIAL STATEMENTS

MITA ANNUAL REPORT 2014 | 39


BOARD MEMBERS’ REPORT for the year ended 31 December 2014

Board members Mr Tony Sultana – Executive Chairman

Registered address

Gattard House

Mr Anthony Borg

National Road

Ing. Saviour Baldacchino

Blata l-Bajda HMR 9010

Mr Joseph Noel Agius

Malta

Dr Helen Borg Muscat

The board members of the Agency present their annual report and the audited consolidated financial statements for the year ended 31 December 2014.

Overview Malta Information Technology Agency (MITA) is the central driver of Government’s information and communications technology policy, programmes and initiatives. The Agency is responsible for the delivery and management of all programmes related to the implementation of information technology and related systems in Government with the aim of enhancing public service delivery. MITA also provides information and communications technology infrastructure services to Government. Additionally, the Agency promotes and delivers programmes aimed at enhancing ICT education and the use of ICT as a learning tool. MITA is also involved in initiatives aimed at proliferating the further application and take-up of information and communications technologies in society and economy.

Core ICT Services to Government Throughout 2014, the provision of Core ICT Services to Government detailed by means of a contractual agreement between MITA and the Ministry for Economy, Investment and Small Business, continued to provide the basis for the provision of the core ICT infrastructure to Government.

Projects and Programmes The delivery of specific projects and programmes provided a significant portion of the Agency’s business during the year. Specific programmes and deliverables included: i. Digital Malta Strategy – Government launched Digital Malta - the National Digital Strategy for 2014-2020, which was developed by MITA and Malta Communications Authority in close collaboration with other stakeholders. Digital Malta puts forward a set of guiding principles and policy actions of how ICT can be used for socio-economic development. It sets out a path how ICT can be applied to different sectors of the economy and society, and how citizens and businesses can benefit from its application. Digital Malta also sets out how Government can be closer to the citizen through the use of technology and become more efficient in the way public services are delivered. ii. MITA Innovation Hub – MITA inaugurated its Innovation Hub at SmartCity Malta. This is an Internet-enabled office environment which students, web innovators, software developers and start-ups can use to discuss concepts, develop prototypes, and conduct proof-of-concept projects supported by mentors from the industry, as well as by software tools and other resources made available by world players from the ICT industry.

40 | MITA ANNUAL REPORT 2014


iii. Student Advantage Scheme – The Student Advantage Scheme was launched by MITA and Microsoft Malta for primary and secondary schools and MCAST students. Through this scheme, students had the opportunity to use the latest version of Office, for free, at their education institution and at home. The benefits of this scheme include the free use of Microsoft Office 365 (Word, Excel, PowerPoint and more) on 5 different devices and SkyDrive with 25Gb of free online space. iv. Commonwealth Heads of Government Meeting (CHOGM) 2015 – MITA provided technical consultancy and coordinated with the CHOGM Task Force the setting up of the environment to host the CHOGM portal. In addition, a cloud based Content Delivery Network was brokered to secure and accelerate the CHOGM portal. v. Refund of VAT paid on Vehicle Registration Tax – MITA implemented a number of enhancements to the Vehicle Registration and Administration (VERA) system for Transport Malta to be able to process all applications for the refund of VAT paid on vehicle registration tax between 1 May 2004 and 31 December 2008. vi. Free Childcare System – MITA provided consultancy services to the Ministry for Education and Employment, which included the development of the technical specifications and adjudication of the Free Childcare MIS invitation to tender issued by the Ministry. vii. One Tablet per Child Pilot Project – MITA is participating in the One Tablet per Child Steering Committee and technical Sub Committee, both chaired by the Ministry for Education and Employment. MITA provided technical consultancy and supported the Ministry in the implementation of the required wireless and WAN infrastructure in 20 primary state schools across Malta and Gozo that are participating in the pilot project. viii. Civil Unions – MITA implemented a number of enhancements to the system in use by the Pubic Registry Department in order to record and maintain the details of civil unions. ix.

Justice – The Courts of Justice launched a new service that was developed by MITA. This project implemented a number of changes to the core IT system which has allowed the electronic merger of the Malta and Gozo Court registries. This service now facilitates and expedites the filing of Court Acts across the sister Islands therefore providing a better service to the legal profession. Furthermore the Courts of Justice also launched a new portal for the Legal profession. Through this new service, the Legal professionals have on-line access to a more comprehensive set of court case information. This implementation uses responsive technologies and therefore the service will run equally well on any device (PC, Tablet, Mobile) of legal professionals’ preference.

x. Social Policy – The Ministry for the Family and Social Solidarity has launched a number of electronic services aimed to pursue the goal of a paperless environment within the Ministry. The services, which were developed by MITA, include the notification for retirement pension, which is automatically provided to the citizen and which also allows the citizen to submit missing information and documentation to enable the assessment of the retirement pension; the same service is provided for the provision of the widows pension, where the citizen is not required to submit an application; and the online application for a one time grant following marriage. xi.

National Police System – MITA completed the development of the Criminal Records Investigative module which further extends the functionality of the National Police System. This module provides the Malta Police Force with the tools to manage the full prosecution cycle. Additional functionality provided includes a holistic picture of a ‘person of interest’ by providing a single view point to any European alerts, ongoing prosecutions, criminal records, weapon ownership, ongoing bail/bail conditions and past prison sentences.

MITA ANNUAL REPORT 2014 | 41


BOARD MEMBERS’ REPORT

(CONTINUED)

for the year ended 31 December 2014

xii. VAT Department – MITA has implemented a new Accounting System within the VAT Department in line with the Budget 2014 speech. The new accounting concepts implemented simplify the calculation of interests due on unpaid VAT and improved the payment allocation methods to encourage Tax Return compliance. Other systems were aligned to support this accounting process. This legislative, business process and IT systems alignment is supporting the Commissioner for Revenue in the merge of the Taxation Departments. Other work related to the merger was done to implement document management and workflow management systems, in use by the Inland Revenue, within the VAT Department. xiii. Corporate Financial Management Solution – MITA provided consultancy services to the Ministry for Finance in the procurement of the Corporate Financial Management Solution. MITA is represented on the Adjudication Board. In addition, several MITA experts from technology, business and legal have been nominated to form part of the technical teams required to undertake the evaluation process. xiv. Electronic ID Card – Identity Malta, in collaboration with MITA, launched the electronic ID (e-ID) Card which is the next generation identity document issued by Government for Maltese nationals who are 14 years of age and older. It replaces the previously issued cards (without a chip) which will be phased out. In addition to the traditional identification features the new e-ID Card also includes, amongst other enhancements, an electronic component which will allow the user to access an array of electronic services provided by the Government and other parties. The advanced electronic features of the card will also enable electronic signatures which are legally equivalent to handwritten signatures. xv. Majjistral Park Mobile App – Majjistral History and Nature Park launched its official mobile application which was developed by a team of young students following a call for proposals by the MITA Innovation Hub. The call had attracted 17 teams and two teams were short-listed to work at the MITA Innovation Hub in SmartCity Malta. The two teams decided to merge and collaborate on one mobile application for the Park. xvi. Procurement of support and development services – MITA has signed a number of contracts with local companies for a total ICT investment of €2.5 million. This was the result of an outsourcing framework through which private companies have been trusted with the maintenance, support and upgrades of some of Government’s ICT systems. xvii. eSkills Malta Foundation – Government launched the eSkills Malta Foundation that will see various stakeholders working together to jointly create the skills base and life-long quality growth required for a digitally enabled knowledge economy. The eSkills Malta Foundation brings together Government representatives from MITA and Education together with key entities in investment, employment and industry, including: Malta Enterprise, Malta Communications Authority, the Malta Gaming Authority, the Employment and Training Corporation and the Chamber of Commerce, Enterprise and Industry. xviii. Student Placement Programme – MITA, in collaboration with the Parliamentary Secretariat for Competitiveness and Economic Growth, launched the Student Placement Programme (SPP). The SPP provided ICT-related summer work placement to students with a minimum, or in the process of obtaining, ICT and related qualification of Level 4 (from both public and private educational institutions). A total of 303 placements within the public service and public sector, private industries and NGOs were offered during the summer of 2014.

42 | MITA ANNUAL REPORT 2014


xix. European Digital Jobs campaign – MITA promoted the Student Placement Programme (SPP) across the EU as part of its role within the Consortium working on the European Digital Jobs campaign. Interest to replicate this Programme has been received from the Digital Champion of Bulgaria. xx. STEM Summer Club – MITA organised a STEM Summer Club - a pilot project which aimed to increase students’ interest in Science, Technology, Engineering, and Maths (STEM) through the delivery of hands-on classroom activities and outings to private training providers. Over 200 students in the age range of 10 to 12 years from five summer schools participated in 2014 pilot project. The aim was to encourage them to follow a STEM study path at Form 3 level. xxi. #StopHate Campaign – MITA partnered with 89.7 Bay and General Soft Drinks for a campaign to raise awareness on cyber bullying. The campaign will be promoted through billboards, news adverts, cinema adverts, an intensive campaign on BAY radio, Bay Kids song on the topic, a number of video adverts by top local DJs and artists, and more. xxii. Information Security EXPO – MITA organised the first Information Security Expo with the aim of raising awareness about information security topics. Over eighty participants attended the talks by TrustedSec, Palo Alto and LogicPass and thirty-two individuals participated in the security hackathon. xxiii. Schools WAN Upgrade – MITA provided consultancy to the Ministry for Education and Employment as part of the Schools WAN Upgrade initiative. The initiative consisted of the analysis of bandwidth usage and projected increase through the One Tablet per Child pilot project in various Primary schools and Wifi access in all Secondary schools staff rooms. The schools’ links were upgraded in time for the start of the scholastic year. These upgrades allow faster access speeds to the schools’ services hosted at MITA and Internet in general. The GEANT Internet link was also upgraded, from 200Mbps to 1Gbps, to enable enhanced Internet browsing experience. xxiv. New Enterprise Server and Storage Solution – MITA concluded the sourcing of the new enterprise server and storage solution through a number of tenders. The Agency took on the systems integrator role for the services components that were procured thus maximising the knowledge and expertise of MITA resources and empowering them to deliver an effective and efficient service. The new solution was considerably cheaper to procure and operate resulting in significant savings for MITA and Government. xxv. Government Email – MITA upgraded the Government email platform from Microsoft Exchange 2003 to Microsoft Exchange 2010. This upgrade provided the 26,000 Government email users with a larger mailbox. xxvi. Desktop Windows 8.x Upgrade – MITA migrated all Government desktops to Windows 8.x. This migration was also aimed at maximising the return on investment from the Enterprise Agreement with Microsoft.

MITA ANNUAL REPORT 2014 | 43


BOARD MEMBERS’ REPORT

(CONTINUED)

for the year ended 31 December 2014

Financial Review In spite of the tight Government budget allocations, the overall financial performance of the Agency was a positive one, with a reported surplus before tax of €540,606, of which €484,500 is attributable to normal operations. The remaining €56,106 relates to the net effect of the movement in provision for Treasury pensions and associated recoverability. Revenue from the provision of projects and ICT service to Government reached €27,756,532, down by 6% from 2013 results. During 2014, MITA continued its investment programme to enhance and expand Government underlying infrastructure, with total investment for the year amounting to €1,254,036. Operational costs decreased by 4% over 2013 as MITA continued in its efforts to manage and contain costs.

Corporate Governance The Board Audit Committee supports the work of the Board in terms of overseeing the Internal Audit Office whilst enabling the objective assessment of the performance of the Agency, its management and its internal and external auditors. The Board Audit Committee is currently chaired by Dr Helen Borg Muscat, with the other members being Mr Vincent Marmara and Mr Jurgen Zammit. The Internal Audit Office (IAO) primary aim is to ensure an independent disciplined approach in evaluating and improving internal controls while adding value to the Agency’s operations. During 2014, IAO conducted several audit initiatives as requested by the BAC. Assignments were both technical and also operational in nature and included, lessons learnt reviews, due diligence exercises, value for money audits, software reviews, audit follow-ups, and escalation of issues in NAO Audit Reports where MITA was involved. Recommendations put forward by IAO as a result of the audits ensure continuous improvement of operational controls. Together these units ensure that MITA’s internal controls are strong and reliable, that its reporting arms are accurate, ethics are maintained, oversight is effective, risks are mitigated and investments are protected.

Board Members’ responsibilities The Agency’s statute requires the board members to prepare consolidated financial statements for each financial year which give a true and fair view of the state of the affairs of the agency and of the profit or loss of the agency for that year, in accordance with the requirements of International Financial Reporting Standards as adopted by the EU. In preparing these the board members are required to: - adopt the going concern basis unless it is inappropriate to presume that the agency will continue in business; - select suitable accounting policies and apply them consistently; - make judgements and estimates that are reasonable and prudent; - account for income and charges relating to the accounting period on the accruals basis; - value separately the components of asset and liability items; and - report comparative figures corresponding to those of the preceding accounting period.

44 | MITA ANNUAL REPORT 2014


The board members are responsible for keeping proper accounting records which disclose with reasonable accuracy, at any time, the financial position of the agency. They are also responsible for safeguarding the assets of the agency and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities. The consolidated financial statements of MITA for the year ended 31 December 2014 may be made available on the Agency’s website. The board members are responsible for the maintenance and integrity of the consolidated financial statements on the website in view of their responsibility for the controls over, and the security and jusridictions, where legislation governing the preparation and dissemination of consolidated financial statements may differ from requirements or practice in Malta. This report was approved and authorised for issue by the Board Members on 14 April 2015, and signed on its behalf by:

Mr Tony Sultana

Mr Anthony Borg

Executive Chairman

Board member

MITA ANNUAL REPORT 2014 | 45


INDEPENDENT AUDITORS’ REPORT to the Members of Malta Information Technology Agency

We have audited the accompanying consolidated financial statements of Malta Information Technology Agency, which comprise the Statement of Financial Position as at 31 December 2014, and the Statement of Profit or Loss and Other Comprehensive Income, Statement of Changes in Accumulated Fund and Statement of Cash Flows for the year then ended, and a summary of significant accounting policies and other explanatory notes.

Board Members’ Responsibility for the Consolidated Financial Statements The board members are responsible for the preparation and fair presentation of these consolidated financial statements in accordance with International Financial Reporting Standards as adopted by the EU. This responsibility includes: designing, implementing and maintaining internal control relevant to the preparation and fair presentation of consolidated financial statements that are free from material misstatement, whether due to fraud or error; selecting and applying appropriate accounting policies; and making accounting estimates that are reasonable in the circumstances.

Auditors’ Responsibility Our responsibility is to express an opinion on these consolidated financial statements based on our audit. We conducted our audit in accordance with International Standards on Auditing. Those standards require that we comply with ethical requirements and plan and perform the audit to obtain reasonable assurance whether the consolidated financial statements are free from material misstatement.

46 | MITA ANNUAL REPORT 2014


An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the consolidated financial statements. The procedures selected depend on the auditor’s judgement, including the assessment of the risks of material misstatement of the consolidated financial statements, whether due to fraud or error. In making those risk assessments, the auditor considers internal control relevant to the entity’s preparation and fair presentation of the consolidated financial statements in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the entity’s internal control. An audit also includes evaluating the appropriateness of accounting policies used and the reasonableness of accounting estimates made by the board members, as well as evaluating the overall presentation of the consolidated financial statements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion.

Opinion In our opinion, the consolidated financial statements give a true and fair view of the financial position of Malta Information Technology Agency as at 31 December 2014 and of its financial performance and its cash flows for the year then ended in accordance with International Financial Reporting Standards as adopted by the EU.

Mr Manuel Castagna for and on behalf of Nexia BT Certified Public Accountants The Penthouse, Suite 2 Capital Business Centre, Entrance C Triq taz-Zwejt San Gwann SGN 3000 Malta Date : 14 April 2015

MITA ANNUAL REPORT 2014 | 47


FINANCIAL STATEMENTS STATEMENT OF PROFIT OR LOSS AND OTHER COMPREHENSIVE INCOME for the year ended 31 December 2014 2014

2013

Revenue

27,756,532

29,389,793

Cost of Sales

(21,409,827)

(22,942,772)

6,346,705

6,447,021

Gross Surplus

Reversal of / (Provision for) cost of service pensions

56,106

(159,033)

payable to Government Administrative expenses Operating surplus

Interest receivable and similar income Share of results of the associate Finance costs Surplus before taxation

Income Tax

(5,887,829)

(6,144,536)

514,982

143,452

25,663

37,395

-

-

(39) 540,606 (184,194)

180,847 (164,299)

Surplus for the year

356,412

16,548

Total Comprehensive Income

356,412

16,548

48 | MITA ANNUAL REPORT 2014


STATEMENTS OF FINANCIAL POSITIONS as at 31 December 2014 2014

2013

â‚Ź

â‚Ź

5,346,833

5,357,865

20,000

-

ASSETS Non-current assets Property, plant and equipment

33,776

Investment in subsidiary Investment in associate

33,776

191,650

Deferred taxation

295,826

5,592,259

5,687,467

Current assets 48,454

Inventories Trade and other receivables

52,186

4,492,380

6,799,318

6,428,852

5,258,035

401,263

Current tax recoverable Cash at bank and in hand

11,370,949

12,122,224

1,531,345

1,174,933

1,531,345

1,174,933

5,094,497

5,094,497

6,177,653

6,326,377

9,000,906

10,147,828

253,171

160,553

16,963,208

Total assets

12,685

17,809,691

FUNDS AND LIABILITIES Fund Accumulated fund Total fund Non-current liabilities Trade and other payables

1,083,156

Provision for liabilities and charges

1,231,880

Current liabilities Trade and other payables

133

Short term borrowings Provision for liabilities and charges

9,254,210

15,431,863

Total liabilities

16,963,208

Total funds and liabilities

10,308,381 16,634,758 17,809,691

The consolidated financial statements were approved and authorised for issue by the Board Members on 14 April 2015, and signed on its behalf by:

Mr Tony Sultana

Mr Anthony Borg

Executive Chairman

Board member MITA ANNUAL REPORT 2014 | 49


NOTES

50 | MITA ANNUAL REPORT 2014





Malta Information Technology Agency, Gattard House, National Road, Blata l-Bajda, HMR 9010, Malta +356 21234710 | info.mita@gov.mt | www.mita.gov.mt


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