Cabinet approves a project for saturation of 4G mobile services in uncovered villages

The Union Cabinet on July 27 approved a project for saturation of 4G mobile services in uncovered villages across the country at a total cost of Rs. 26,316 Cr.

Salient features

  • The project will provide 4G mobile services in 24,680 uncovered villages in remote and difficult areas. The project has a provision to include 20% additional villages on account of rehabilitation, new-settlements, withdrawal of services by existing operators etc.
  • In addition, 6,279 villages having only 2G/3G connectivity shall be upgraded to 4G. The project will be executed by BSNL using Atmanirbhar Bharat’s 4G technology stack and will be funded through Universal Service Obligation Fund.
  • The project cost of Rs. 26,316 Cr includes capex and 5 year opex.
  • BSNL is already in process of deployment of Atmanirbhar 4G technology stack, which will be deployed in this project as well.

About Universal Service Obligation Fund (USOF)

  • It provides widespread and non-discriminatory access to quality ICT services at affordable prices to people in rural and remote areas.
  • The New Telecom Policy – 1999 (NTP’99) provided that the resources for meeting the Universal Service Obligation (USO) would be raised through a ‘Universal Access Levy (UAL)‘, which would be a percentage of the revenue earned by the operators under various licenses.
  • The Universal Service Support Policy came into effect from 01.04.2002. The Indian Telegraph (Amendment) Act, 2003 giving statutory status to the Universal Service Obligation Fund (USOF) was passed by both Houses of Parliament in December 2003.
  • The Rules for administration of the Fund known as Indian Telegraph (Amendment) Rules, 2004 were notified on 26.03.2004. The office of the Administrator USOF is an attached office of the Department of Telecommunications (DOT).

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