Various stakeholders of the telecom industry have been roped in to oversee implementation of the Department of Telecommunications? (DoT) national optic fibre network project.
Sam Pitroda, the advisor to the Prime Minister on public information infrastructure and innovations, has roped in the chief executive officers of Bharti airtel, Reliance Communications, Tata Communications, Hathway Cable, Tikona Digital and You Telecom, to be part of an advisory body that will implement this initiative.
This panel will also include the chairman of the Unique Identification Authority of India (UIDAI), Nandan Nilekani along with representatives from ministries such as education, rural development, health, Panchayati Raj and the Planning Commission.
The project involves setting up a special purpose vehicle (SPV), comprising Bharat Sanchar Nigam Limited (BSNL) and Mahanagar Telephone Nigam Limited (MTNL) and other public sector undertakings such as RailTel, Gail and Power Grid Corporation.
The capital expenditure for the SPV will be met from the Universal Service Obligation Fund (USOF). The SPV’s task will be to ensure that fibre connectivity is available to every village that has a population of more then 500 people. The advisory body will be headed by Kapil Sibal, Minister of Communications and IT.
The final details of the SPV are yet to be ironed out, as DoT is looking to limit BSNL and MTNL?s holdings in the SPV to 49 per cent, with the remaining being owned by private companies, where the maximum ownership by a single firm is limited to 26 per cent.
DoT is keen on this model, as it may bring about a level-playing field between different stakeholders in the project with private players bringing in best industry practices.
It is believed that a separate high-level committee, consisting of DoT and IT department officials will coordinate and give strategic directions to all activities relating to creation, implementation and management of the project. This committee has also been entrusted with the task of finalising all matters relating to the scope of the project, including the roles and responsibilities of all agencies involved in implementation.
