Case study:
Local public private dialogue (PPD) in Santa Catarina, Brazil
by
Simone Lehmann (extract from a report about a mission to Vietnam)
Relationship between the state and the private sector in Brazil
There is
a long time tradition in Brazil and other Latin American countries that
the local elite of entrepreneurs involve themselves in politics on
local, state and national levels. Chambers and associations are often
used as a jumping board to enter into politics. Presidents and board
members are invited to assume the function of a secretary in the local
government (e g in Joinville)
In
Brazil there is no strict division between the public and the private
sector with the entrepreneurs on one side, and on the other side the
politicians and the public administration. The entrepreneurs are in the
advantageous position to be able to easily enter into and influence the
local / regional governments with proposals in favour of the
entrepreneurship. But the entrepreneurs' participation does not
guarantee better economic politics: There is a danger of the emergence
of powerful rent-seeking lobbies which exert strong pressure on the
state. Interaction may only formally take the format of a “dialogue” but
is likely to constitute a cloak for rent-seeking activities. |
|
Local PPD
in Santa Catarina:
the point of departure before 1991
Three
chambers of commerce and industry (ACEs) in the North East of the
federal estate of Santa Catarina were used to do some kind of lobbying
before a partnership project with the Chamber of Crafts and Small
Industries for Munich and Upper Bavaria was launched in 1991.
Since
the ACEs were driven by big businesses in the respective localities,
local government had little chance but to listen whenever they strongly
demanded something. It was a dialogue among local elites. Because of the
way political campaigns were sponsored, it was very easy for
associations to make themselves heard. Lobbying to improve the traffic
and transport system in the town was for example: "Please put tar on
street x until the entrance of my enterprise."
But even
more importantly the ACEs were not prepared to elaborate proposals on
how to change certain conditions in an operational matter in order
stimulate the weak public administration for improvement of certain
framework conditions. The participation of the entrepreneurs in dialogue
was never the bottleneck but the lack of visions and proposals for
solutions from both sides. Jordi Castan remembers the ACEs’ general
approach in terms of lobbying. Back then, the entrepreneurs said: "We
need more energy” or “water supply could be a problem in the future" but
most of the time without presenting relevant information and data to
support the argument and mostly without proposals on how to overcome
this problem. |
15 years later: ACEs are important dialogue
partners in local and regional development
The traditional
lobbying strategy worked until the nineties when Brazil started to open the
economy and delegated responsibilities and tasks to the lower administrative
levels and the civil society.
Suddenly the
ACEs were under pressure to adjust and become more professional as well as to
come up with operational proposals including solutions. Finally they had to
launch a more systematic lobbying effort, based on complaints and proposals from
an enlarged membership. With PACA and the Nucleus Approach the ACEs were
supported to improve their planning and problem solving capacities. Today, the
private sector representatives are ready to contract (technical) specialists to
compile relevant information and are well prepared with technical proposals when
they enter into PPD.
An increased
number of entrepreneurs who are supported by the ACEs or even their presidents
have come into important positions in the local and the state government being
in charge of economic development. ACE Joinville, which is one of the three
supported chambers, today participates actively in more than 30 councils in
universities, local and state governments. They are very representative and have
a strong voice in these councils. The town majors discuss their future plans
with the ACE.
This case was compiled after an interview with Dr.
Jörg Meyer-Stamer, PACA Consultant, Rainer Müller-Glodde, Nucleus Consultant and
Jordi Castan, ACE Joinville Vice President |
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