DOT is planning to allot about Rs. 5,000 crore as subsidy from Universal Service Obligation Fund (USOF)to the telecom operators for providing broadband services in the rural areas.
The USO Fund is having Rs.16,803.84 crores in its kitty at present. The USO Fund was started in 2002 to subsidise for providing of landlines in the rural areas which are loss making. On the pressure of the private companies, the subsidy was extended to mobiles also. Now it is extended to providing broadband in the rural areas.
Tender is to be submitted by the telecom companies for getting the subsidy. BSNL is number one in broadband services. BSNL Management has to take immediate action to ensure that appropriate and aggressive tenders are submitted for getting maximum subsidy from the USOF.