Agreement Signed between DBN (Digital Bharat Nidhi) - Department of Telecommunications; Government of Andhra Pradesh; APBIL; BSNL & APSFL for Implementation of Amended BharatNet Programme (ABP) in Andhra Pradesh

Digital Bharat Nidhi (DBN) under the Department of Telecommunications (DoT), the Government of Andhra Pradesh, Andhra Pradesh BharatNet Infrastructure Limite...

What Happened

Digital Bharat Nidhi (DBN) under the Department of Telecommunications (DoT), the Government of Andhra Pradesh, Andhra Pradesh BharatNet Infrastructure Limited (APBIL), Bharat Sanchar Nigam Limited (BSNL), and Andhra Pradesh State FiberNet Limited (APSFL) signed an agreement at Sanchar Bhawan, New Delhi, for implementation of the Amended BharatNet Programme (ABP) in Andhra Pradesh.
The Union Government has approved financial support of ₹2,432 crore for this initiative, to be administered under the State-led model of the ABP.
The programme covers a total scope of 13,426 Gram Panchayats: upgradation of 1,692 Phase I GPs from linear to ring topology, coverage of 11,254 Phase II GPs, and inclusion of 480 newly created GPs; additionally, 3,942 villages will receive demand-based connectivity.
The initiative is expected to facilitate more than five lakh rural home fibre connections, significantly expanding last-mile broadband access in rural Andhra Pradesh.
The Amended BharatNet Programme was approved by the Union Cabinet on August 4, 2023, with the objective of upgrading, consolidating, and expanding the existing BharatNet network for robust, future-ready broadband connectivity to all Gram Panchayats on demand.

Static Topic Bridges

Digital Bharat Nidhi (DBN) and the Telecommunications Act, 2023

Digital Bharat Nidhi (DBN) is the successor to the Universal Service Obligation Fund (USOF), rechristened via Section 24(1) of the Telecommunications Act, 2023. USOF was originally created under the Indian Telegraph Act, 1885, to fund telecom access in rural and underserved areas. The Telecommunications Act, 2023 (which received Presidential assent on December 24, 2023) significantly expanded DBN's scope to include funding for research and development and pilot projects, beyond its legacy mandate of rural telecom rollout.

Predecessor: Universal Service Obligation Fund (USOF), created under the Indian Telegraph Act, 1885
Successor: Digital Bharat Nidhi (DBN), established under Section 24(1) of the Telecommunications Act, 2023
Governing rules: Telecommunications (Administration of Digital Bharat Nidhi) Rules, 2024 (notified August 20, 2024)
Nodal authority: Department of Telecommunications (DoT), Ministry of Communications
Expanded mandate: R&D, pilot projects, telecom in underserved areas, and support for women, persons with disabilities, and economically weaker sections
₹39,825 crore disbursed from USOF/DBN under BharatNet as of 2025

Connection to this news: The ₹2,432 crore financial support for Andhra Pradesh is disbursed through DBN, marking one of the first major state-level deployments under the new DBN framework established by the 2023 Telecommunications Act.

BharatNet: History, Phases, and the Amended Programme

BharatNet is one of the world's largest rural telecom infrastructure projects, originally launched as the National Optical Fibre Network (NOFN) on October 25, 2011. It was renamed BharatNet in 2015. The project aims to provide non-discriminatory broadband access to all approximately 2.5 lakh Gram Panchayats across India through a special purpose vehicle, Bharat Broadband Network Limited (BBNL), incorporated on February 25, 2012.

Original name: National Optical Fibre Network (NOFN); approved by Union Cabinet: October 25, 2011
Renamed: BharatNet, 2015
Implementation SPV: Bharat Broadband Network Limited (BBNL)
Phase I: Connecting 1 lakh GPs with optical fibre
Phase II: Connecting remaining 1.5 lakh GPs; used multiple technology modes (OFC, radio, satellite)
Amended BharatNet Programme (ABP): approved August 4, 2023; upgrades legacy linear topology to ring topology for network resilience; consolidates and expands to all GPs on demand
Ring topology vs. linear topology: ring topology provides redundancy — if one link fails, traffic reroutes through the other direction, ensuring continuity

Connection to this news: The Andhra Pradesh agreement is a state-level implementation of the national ABP, using the State-led model where the state government plays an active role alongside BSNL and a state entity (APSFL), as opposed to the central model where BBNL leads directly.

Digital Connectivity and Rural Governance

Universal broadband connectivity is a prerequisite for the effective delivery of digital governance initiatives — from Direct Benefit Transfer (DBT) to e-governance portals, telemedicine, and digital financial inclusion. The National Broadband Mission (NBM), launched in 2019, set a target of 50 Mbps broadband speed to all rural households by 2024, within which BharatNet serves as the backbone.

National Broadband Mission (NBM): launched December 17, 2019; target: 50 Mbps to all by 2024
Common Service Centres (CSCs): last-mile delivery points for digital services; require reliable broadband backhaul from BharatNet
BharatNet connectivity enables: PM Kisan e-KYC, Aadhaar authentication, PMJAY health claims, Jan Dhan transactions
Andhra Pradesh State FiberNet Limited (APSFL): state government entity providing optical fibre infrastructure across AP; a key implementation partner

Connection to this news: Strengthening GPs in Andhra Pradesh with ring-topology optical fibre ensures these villages have the bandwidth and reliability required for the full stack of digital public infrastructure services, not merely internet browsing.

Key Facts & Data

Financial support approved for Andhra Pradesh BharatNet: ₹2,432 crore
Total Gram Panchayat scope in Andhra Pradesh under ABP: 13,426 GPs
Phase I upgradation (linear to ring topology): 1,692 GPs
Phase II new coverage: 11,254 GPs
Newly created GPs: 480
Additional villages (demand-based): 3,942
Expected rural home fibre connections: more than 5 lakh
Amended BharatNet Programme Cabinet approval: August 4, 2023
BharatNet originally approved: October 25, 2011 (as NOFN)
BharatNet renamed: 2015
Digital Bharat Nidhi created under: Telecommunications Act, 2023 (Section 24(1))
DBN Rules notified: August 20, 2024
Implementation partners in AP: APBIL, BSNL, APSFL
Model used: State-led model under ABP