• UGI USER
  • Sep 02, 2024
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TELECOMMUNICATIONS (ADMINISTRATION OF DIGITAL BHARAT NIDHI) RULES, 2024

Why in the News?

  • New Rules Notified: The Department of Telecommunications (DoT) has notified the “Telecommunications (Administration of Digital Bharat Nidhi) Rules, 2024,” under the Telecommunications Act, 2023.
  • Digital Bharat Nidhi Focus: These rules aim to enhance the management and implementation of the Digital Bharat Nidhi initiative to promote digital connectivity across India.
Source: PTI

Key Provisions and Objectives:

  • Universal Service Fund: The Universal Service Obligation Fund (USOF) under the Indian Telegraph Act, 1885, has been restructured as Digital Bharat Nidhi, addressing new technological challenges.
  • Criteria for Schemes and Projects: Aimed at provisioning telecom services in underserved areas, introducing next-gen technologies, supporting startups, and promoting sustainable technologies.
  • Network Sharing: Networks established under DBN must be shared and made available on an open, non-discriminatory basis.
  • Fund Allocation Process:
    • Bidding: For promoting telecom services in underserved areas.
    • Selection by Application: Supports R&D of new telecom technologies or services through co-funding and Viability Gap Funding (VGF).

Broader Implications and Vision:

  • Government Commitment: Union Minister Jyotiraditya Scindia emphasized the government’s dedication to creating a digitally connected Atmanirbhar Bharat.
  • Inclusive Development: The initiative will support sustainable and green telecom technologies, ensuring equal access to services for all societal segments.
About Digital Bharat Nidhi (DBN):

  • Establishment : DBN, established by the Telecommunications Act, 2023, is designed to fund telecom projects in underserved and remote rural areas at affordable rates.
  • Key Details: It replaces the Universal Service Obligation Fund (USOF), which was established under the Indian Telegraph Act, 1885.
  • Funding Mechanism: USOF was a non-lapsable fund generated through a Universal Access Levy of 5% on the Adjusted Gross Revenue from DoT licensees.