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Centre sanctions Rs 3,942 crore to boost digital connectivity in Chhattisgarh: CM Sai


What Happened

  • The Centre sanctioned Rs 3,942 crore to Chhattisgarh under the Amended BharatNet Programme for rural digital connectivity.
  • The funds will connect 11,682 gram panchayats (GPs) in the state through a ring topology-based optical fibre network.
  • Ring topology ensures network resilience: if one fibre link breaks, data reroutes automatically in the opposite direction, maintaining uninterrupted service.
  • Chief Minister Vishnu Deo Sai described the sanction as a historic milestone for rural digital empowerment in Chhattisgarh.
  • The enhanced connectivity will support e-governance, telemedicine, online education, and digital financial services in remote villages.

Static Topic Bridges

BharatNet Programme

Launched in 2011 as the National Optical Fibre Network (NOFN) and renamed BharatNet in 2015, the programme aims to provide broadband connectivity to all 2.5 lakh gram panchayats across India. It is fully funded by the Universal Service Obligation Fund (USOF), which was set up to improve telecom services in rural and remote areas. The programme uses existing fibre assets of PSUs — BSNL, RailTel, and Power Grid — and lays incremental fibre to bridge gaps to the GP level.

  • Nodal ministry: Ministry of Communications (DoT); implementing agency: BSNL
  • As of March 2025, over 2.18 lakh GPs have been made service-ready and 6.93 lakh km of OFC laid
  • The network provides non-discriminatory open access to all telecom service providers (ISPs, mobile operators, cable TV)
  • Services enabled: e-health, e-education, e-governance, digital banking, agri-market access
  • Total USOF disbursement under BharatNet as of December 2023: Rs 39,825 crore

Connection to this news: Chhattisgarh's allocation of Rs 3,942 crore under the Amended BharatNet Programme is part of the ongoing national push to eliminate rural-urban digital divide; the ring topology specifically addresses connectivity reliability challenges faced in interior and forested districts.

Universal Service Obligation Fund (USOF)

The Universal Service Obligation Fund was established under the Indian Telegraph Act, 1885 (as amended) and operationalised through the Indian Telegraph (Amendment) Act, 2003. It finances telecom infrastructure in areas unattractive to private operators due to low commercial viability. A levy of 5% on the Adjusted Gross Revenue (AGR) of all telecom service providers feeds the fund.

  • Administered by the Department of Telecommunications (DoT) under the Ministry of Communications
  • Finances rural wireline broadband, mobile coverage in uncovered villages, and BharatNet
  • Scope expanded over the years to cover satellite-based connectivity and submarine cable systems
  • Fund has financed multiple schemes: Village Public Telephones, Rural Wireline Broadband, 4G in uncovered areas

Connection to this news: BharatNet, including the Chhattisgarh sanction, is entirely USOF-funded — underlining the fund's central role in India's digital inclusion policy and the government's commitment to using dedicated telecom levies for rural development.

Digital Divide and Rural Connectivity in India

India's digital divide remains stark: urban teledensity exceeds 130%, while rural teledensity is around 60%. Over 40% of India's population in rural areas still lacks reliable broadband, limiting access to government services, education, healthcare information, and e-commerce. Bridging this gap is central to the Digital India mission, Smart Villages, PM-WANI (wi-fi access nodes), and PMGDISHA (digital literacy) programmes.

  • Digital India mission launched in 2015 with three pillars: digital infrastructure, digital services, digital literacy
  • PM-WANI scheme (2020): enables local shops to set up wi-fi hotspots using BharatNet backhaul
  • PMGDISHA: targets training 6 crore rural citizens in digital literacy annually
  • Rural broadband penetration linked to better farmer income, reduced information asymmetry, improved healthcare outcomes

Connection to this news: Connecting 11,682 GPs in Chhattisgarh — a state with large tribal and forested belts — directly addresses one of the most connectivity-deprived regions; the ring topology approach is a design upgrade over earlier linear deployments that proved fragile in remote terrain.

Key Facts & Data

  • Sanctioned amount: Rs 3,942 crore under the Amended BharatNet Programme
  • Gram panchayats to be connected: 11,682 (covers all GPs in Chhattisgarh)
  • Network design: Ring topology (resilient, self-healing optical fibre network)
  • Programme funding source: Universal Service Obligation Fund (USOF)
  • India's total OFC laid under BharatNet (as of March 2025): 6.93 lakh km
  • BharatNet total USOF spend to date: Rs 39,825 crore
  • Chhattisgarh has 146 blocks and 11,664 GPs — among the most complex deployment terrains due to forest cover and Naxal-affected areas
  • Applications enabled: telemedicine, online education, e-governance, digital payments