The Maharashtra cabinet has approved the formation of a special purpose vehicle (SPV) named Mahanet Digital Infrastructure Limited (MDIL) to implement the upgraded BharatNet Phase 2 programme in the state.

MDIL will build a high-speed optical fibre broadband backbone connecting all gram panchayats and rural households to high-speed internet, supporting e-governance, 4G mobile expansion and fibre-to-the-home (FTTH) connections, according to a government release. The existing network from BharatNet Phase 1 and Phase 2 will be transferred to the new SPV on an as-is basis, with pending legal disputes and financial liabilities from previous phases not being passed on to MDIL.

The Administrator of the Digital Bharat Nidhi will serve as chairman of MDIL, with senior officials from Maharashtra’s finance, rural development, IT and revenue departments, along with four central government nominees, serving as board members.