NEW DELHI: Indian government will spend around 20,000 crore to connect panchayats spread across the country through an optical fibre network after Telecom Commission, the highest decision making body in the ministry, cleared the proposal on Friday.
The commission has proposed the 20,000-crore project to provide broadband connectivity to all villages in the next three years. This will be have to be approved by the Indian Cabinet. Telecom minister Kapil Sibal said the Universal Services Obligation Fund (USOF) would finance the national optical fibre network (NOFN). All mobile phone companies contribute 5% of their annual revenues towards USOF , which is used to support rural telephony.
"The Telecom Commission has approved the project that will be funded through the Universal Service Obligation Fund . We will take the proposal to the Cabinet soon," he said.
State-owned telco Bharat Sanchar Nigam Ltd has been asked to work on forming a special purpose vehicle for building the network which will be owned jointly by the government and USOF, Sibal added. Other institutions such as RailTel may also be roped in at later stage.
"If necessary, at a later stage, we will involve the private sector also to ensure that the project is completed within the stipulated period of three years," Sibal said, adding that this would help in brining in e-education, e-medicine and e-governance. The scheme will extend the existing fibre optic network, which at present is only available till district headquarters, by utilising funds from USOF. ....ET
The commission has proposed the 20,000-crore project to provide broadband connectivity to all villages in the next three years. This will be have to be approved by the Indian Cabinet. Telecom minister Kapil Sibal said the Universal Services Obligation Fund (USOF) would finance the national optical fibre network (NOFN). All mobile phone companies contribute 5% of their annual revenues towards USOF , which is used to support rural telephony.
"The Telecom Commission has approved the project that will be funded through the Universal Service Obligation Fund . We will take the proposal to the Cabinet soon," he said.
State-owned telco Bharat Sanchar Nigam Ltd has been asked to work on forming a special purpose vehicle for building the network which will be owned jointly by the government and USOF, Sibal added. Other institutions such as RailTel may also be roped in at later stage.
"If necessary, at a later stage, we will involve the private sector also to ensure that the project is completed within the stipulated period of three years," Sibal said, adding that this would help in brining in e-education, e-medicine and e-governance. The scheme will extend the existing fibre optic network, which at present is only available till district headquarters, by utilising funds from USOF. ....ET
