1. Introducing PRIMET
PRIMET is a Trade Organisation formed by (mainly) SMEs within the EU that deliver
high quality value-added meteorological products and services derived on sound
scientific principles. PRIMET seeks to represent the interests of its members in
the continued development of a vigorous, competitive and financially robust
international market for these products and services.
In particular PRIMET:
- encourages and supports any activities likely to promote growth of the market;
- fosters commercial practices aimed at ensuring that all operators within the
market, irrespective of their ownership, benefit from equal opportunities in the
supply chain for meteorological and climate information, whether observational,
analytical or predicted.
Membership of PRIMET is open, on payment of the appropriate membership fee,
to any EU based organisation or individual operating within the private commercial
sector which has the objective of delivering scientifically well founded,
added-value products based upon meteorological or climate information,
whether observational, analytical or predictive.
2. The Market
Meteorologists and oceanographers can process weather information to deliver
knowledge about the future. This capability and knowledge is valuable to the
whole of Society. It increases security and well-being, facilitates trade and
industry and can be a crucial element in the fight to reduce energy consumption
and carbon emissions at every level from the actions of individuals to the
decisions of industrial giants and governments.
It is estimated for example, that:
- "Weather impacts $3.8 Trillion [per year] or approximately 1/3 of the
U.S. economy" - Dean John Dutton, Penn State University (2002)
- "In the UK alone, there are around one dozen industries with capital
and maintenance budgets of L100M -L1000M and which are impacted by the
ability to predict accurately the occurrence of North Sea storm surges,
an activity with an estimated benefit to (full) cost ratio of 5 or 10:1"
(Ryder 1996)
- The relative position of the commercial meteorology market as
between the USA and Europe was quoted by Weiss (1999) as:
| United States | Europe |
| Gross Receipts | $ 400-700 million | $30-50 million |
| Number of Employees | 4000 | 300 |
From these figures we can estimate:
GEstimated annual tax return | $ 80 million | $ 7 million |
Estimated income to government from data sales | $ 0 | $ 0.5-1 million |
It is reasonable to ask, given that the size of the US and EU economies are
approximately the same, why the private sector weather business and the
aggregate return to the government are about 10 times larger in the US?
3. The Issue
The answer to this question lies in the final row of the above table.
In the USA the free availability of "taxpayer-funded government
information - from corporate data from the Securities and Exchange
Commission, to patent data from the Patent and Trademark office, to
statistical and environmental data, etc. is contributing to the spectacular
growth in the information retrieval and database industries" [of which the
meteorological industry is a particular case]. And the US understands that
there are "significant economic benefits to the nation from (an) open and
unrestricted data policy" (Weiss 1999)
Whereas in the EU, "the concept of commercial companies being able to acquire,
at very low cost, quantities of public sector information and resell it for a
variety of unregulated purposes to make a profit, is one that policymakers
find uncomfortable." (Weiss 1999).
This leads to strangulation of the EU commercial weather market and a
significant loss to the EU economy in terms of jobs, and wealth. It also
results in lost opportunities to deliver operational efficiencies in areas
such as the energy consumption and carbon emission control, water management
and other key elements of society's activities.
4. The Solution
PRIMET argues for a substantive change in charging policy for public service
information within the EU. In line with the EU Directive 2003/98/EC publicly
funded data should be regarded as a public good, available to all in a timely
and relevant manner at the marginal cost of distribution. In the case of
meteorology, the internationally agreed infrastructure necessary to identify,
distribute and utilize these data, which is the subject of the Directive
2007/2/EC already exists. All current meteorological data, whether
observations or analyses of the current state of the weather or predictive
output from numerical forecasting models, is time limited. Its value for use
in value adding services declines quickly on the scale of minutes to a few hours.
Such data should therefore be made available over the internet with minimal
time delay from its point of origination. If this were done, the
meteorological (and oceanographic) services sector will grow as it has in the
US with all of the concomitant benefits to the economy and society as a whole.
Such arguments can be applied to other sectors (mapping and other geophysical
survey data, for example) with a consequent large multiple in the accrued
benefit to the EU economy.
In the EU model, centrally funded government owned agencies are required to
"recover" some or all of their central funding by "selling" much of the raw
or processed data essential for the production of these added value products
and of which they are the monopoly national supplier. They are also mandated
to sell the value added products in the retail market in competition with
those who must rely upon the data. Since the responsibilities for achieving
these "retail" sales lies with operating units embedded within the operational
and accounting envelope of the agencies themselves, there is no clear,
"arms length" commercial differentiation between the monopoly production and
supply of the raw and processed data and the supply to the retail market of
the value added services. Such an arrangement would not be tolerated in other
sectors of the economy and one has only to look at the telecommunications and
media industries to see that it has been vigorously and proactively prevented
by government policy in these areas.
It is time that the provisions of EC Directive 2003/98/EC on the re-use of
ublic sector information were uniformly and rigorously applied. This would
relieve virtually all of the restraints to market growth and economic activity
within the meteorological and climatological. It should be noted in this
regard that the internationally agreed infrastructure for the identification,
distribution, archiving and use of the data which is the subject of Directive
2007/2/EC already exists for meteorological and climatological data through
the data protocols of the World Meteorological Organisation. This makes the
sector an ideal test bed for the full implementation of these two Directives.