DIGITAL BHARAT NIDHI - GOVERNANCE

News: What is Digital Bharat Nidhi, govt’s fresh attempt at improving rural telecom connectivity?

 

What's in the news?

       Recently, the Department of Telecommunications (DoT) released draft rules to operationalise the Digital Bharat Nidhi, in a fresh attempt by the central government at increasing telecom connectivity in rural areas.

 

Digital Bharat Nidhi:

       Digital Bharat Nidhi (DBN) is an initiative by the Department of Telecommunications (DoT).

       It replaces the Universal Service Obligation Fund (USOF) to ensure better allocation of resources.

 

Aim:

       To improve internet connectivity, particularly in rural, remote, and economically disadvantaged areas.

       To foster technology innovation, create regulatory sandboxes, and enhance the global presence of India’s telecom sector.

       To promote innovation, indigenous technology development, and standardization.

       To support startups in the telecom sector and the manufacturing of telecom equipment.

 

Key Features:

       DBN will focus on research, development, and overall connectivity improvement. 

       It encourages telecom services for underserved groups, including women and people with disabilities.

Management:

       Telecom companies contributions to the Digital Bharat Nidhi will first be credited to the Consolidated Fund of India (CFI) and then later deposited into the DBN.

       An administrator functioning under the central government will manage the fund, and projects will be executed by implementers selected through bidding or direct applications, ensuring transparency.

       The administrator will tailor payment methods (full, partial, co-funding) based on specific connectivity needs.

 

Significance of the Fund:

       The funds will be used to promote access to telecommunication services, support research and development, fund pilot projects, and introduce new telecom technologies in underserved areas.