PAKISTAN CLOUD FIRST POLICY databases, or any kind of technology where a cloud-based offer is essentially equivalent to or better than other kinds of technological solutions. PSE will consider cloud solutions as the preferred option. To this effect, any decision to not use cloud solutions first must be substantiated by a business case and clear evidence of the value of such a decision. In this regard, the PSE must establish that the non-cloud-based ICT deployment strategy has a lower Total Cost of Ownership (TCO) with at least the same level of security that a cloud deployment offers or it meets special requirements of the PSE that are not offered by a cloud deployment. The selection of the appropriate cloud deployment and service model will be based on an assessment of each application, incorporating cost-benefit analysis and achieving value for money over the life of the investment. Procurement practices should reflect purchasing practices and contract terms that allow cloud platforms to be scalable, cost-effective, and innovative. CAO will facilitate PSE in their selection of the appropriate cloud service and deployment model, architecting, procuring, building, migrating, and managing their workloads and applications on the cloud. CAO will also hold call offs for the selection of accredited CSP. The following aspects will be considered when procuring cloud services: a. Value for money-to fulfil the intended purpose of the service; b. Transitioning from capital budgets to operational expenditure; c. Short, medium, and long terms impact on finances, governance, technology, relevance, suitability; d. The suitability of Service Level Agreements in relation to PSE needs; and e. Information on data security guidelines and compliance with national legislation and international standards on data privacy and cybersecurity; In general, cloud services are provisioned on a “pay as you use” basis. The organizations requiring ICT services do not have to purchase equipment to obtain services. This is a shift from the traditional way of procuring ICT in public sector in Pakistan which is based on purchasing equipment and incurring a capital expenditure. In order to achieve the goals of PCFP, a new perspective for purchasing and operating ICT will be considered. The “Pay As You Use” and “Self Service” approaches permit scaling of services and is useful as the data and compute needs of an agency fluctuate. After the approval of this policy, MoITT, together with the Public Procurement Regulatory Authority (PPRA), Ministry of Finance, and other relevant authorities, shall devise mechanisms to move away from the conservative theme of Capital Expenditure to Operational Expenditure, which is more relevant for cloud service provisioning. Furthermore, guidance will be provided to PSE on the aforementioned aspects concerning procurement of cloud services. 10.1 Centralized Procurement The true benefits of cloud computing can be realized with a centralized entity providing facilitation to PSE for their cloud procurement needs. This provides convenience, efficiency, reduced costs and a simplified ordering process. Aggregate demand for common cloud technologies by PSE results in the best possible offerings from CSP. It also aligns different PSE over a common set of terms and conditions rather than different ones for each organization. CAO will be the centralized office for ICT procurements of all PSE. CAO will have the visibility of the aggregate demand of PSE which will result in better cost and service offerings by CSP. Page 13 of 21