Lok Sabha Question No. 2384 (UNSTARRED), answered on 2016-11-30
Subject: Universal Service Obligation Fund
Ministry: COMMUNICATIONS
Asked by: HEMANT TUKARAM GODSE

## GOVERNMENT OF INDIA MINISTRY OF COMMUNICATIONS DEPARTMENT OF TELECOMMUNICATIONS

## LOK SABHA UNSTARRED QUESTION NO.2384 TO BE ANSWERED ON 30 TH  NOVEMBER, 2016

## UNIVERSAL SERVICE OBLIGATION FUND

2384. SHRI GODSE HEMANT TUKARAM:

Will the Minister of COMMUNICATIONS be pleased to state:

- (a) whether all inhabited villages in the country have not been covered with access to telecom services provided at affordable prices though huge subsidies have been provided to telecom companies under Universal Service Obligation Fund (USOF);
- (b) if so, the details thereof and the reasons therefor;
- (c) whether  the  Government  is  having  steady  monitoring  mechanism  on  the expenditure of these funds and services delivered by the service providers;
- (d) if so, the details thereof; and
- (e) the year-wise funds  collected  under  Universal  Access  Levy  (UAL)  and expenditure  incurred  during  the  last  three  years  and  the  current  year,  year  and operator-wise?

## ANSWER

## THE MINISTER OF STATE (IC) OF THE MINISTRY OF COMMUNICATIONS & MINISTER OF STATE IN THE MINISTRY OF RAILWAYS (SHRI MANOJ SINHA)

(a) & (b) The Government is committed to provide a robust telecom service in all parts  of  the  country  including  rural,  backward  &  hilly  areas.  There  are  55,669 villages  (As  per  survey  conducted  in  2014)  that  do  not  have  mobile  coverage. Various  schemes  are  being  implemented  with  financial  support  from  Universal Service Obligation Fund (USOF) for provision of telecom services in commercially unviable  rural  and  remote  areas  of  the  country.  Mobile  coverage  to  uncovered villages  is  planned  to  be  provided  in  a  phased  manner,  subject  to  availability  of financial resources. Government has prioritized to provide mobile coverage in Left Wing  Extremism  (LWE)  areas,  North-Eastern  Region,  Himalayan  States  and Islands with financial support from Universal Service Obligation Fund (USOF).

(c) to (e) Verification of performance, Quality of Service (QoS) and   inspection of records  for  USOF  schemes  are  being  carried  out  by  Designated  Monitoring Agency.  Penalties  are  imposed  as  per  provisions  of  Agreement  signed  by  the executing entities with USOF.

The funds are released to the Universal Service providers at field level through the Controller of Communication Accounts Offices of Department of Telecom. The year  wise  funds  collected  under  Universal  Access  Levy  (UAL)  and  expenditure incurred during the last three years and the current year and operator wise are at Annexure I and Annexure-II.

## Year-wise fund collected under Universal Access Levy (UAL) and expenditure incurred during the last three years and the current year

| Financial Year                          |   UAL collection (Rs in Crore) |   Funds disbursed (Rs in Crore) |
|-----------------------------------------|--------------------------------|---------------------------------|
| 2013-14                                 |                        7896.39 |                         2163.45 |
| 2014-15                                 |                        7537.88 |                         2086.98 |
| 2015-16                                 |                        9835.7  |                         3100    |
| 2016-17 (Upto October 2016 provisional) |                        4869.3  |                         3571.43 |

Contd…3/-

## Annexure-II

## Universal Service Provider - wise Disbursement of subsidy

| USP                                                                 | Disbursement of subsidy (Rupees in Crores)   | Disbursement of subsidy (Rupees in Crores)   | Disbursement of subsidy (Rupees in Crores)   | Disbursement of subsidy (Rupees in Crores)   |
|---------------------------------------------------------------------|----------------------------------------------|----------------------------------------------|----------------------------------------------|----------------------------------------------|
|                                                                     | 2013-14                                      | 2014-15                                      | 2015-16                                      | 2016-17                                      |
| Bharat Broadband Network Limited                                    | 514.00                                       | 1351.86                                      | 2415.10                                      | 3344.83                                      |
| Bharat Sanchar Nigam Limited                                        | 1629.72                                      | 731.40                                       | 678.85                                       | 198.68                                       |
| Dishnet Wireless Limited                                            | 1.24                                         | 0.04                                         | 0.93                                         | 0.00                                         |
| GTL Infrastructure Limited                                          | 3.09                                         | 0.00                                         | 0.00                                         | 0.00                                         |
| KEC International Limited                                           | 5.24                                         | 1.53                                         | 0.00                                         | 0.00                                         |
| Viom Networks Limited (erstwhile QUIPPO Telecom Infrastructure Ltd) | 0.33                                         | 0.00                                         | 0.00                                         | 0.00                                         |
| RAILTEL                                                             | 0.00                                         | 0.00                                         | 3.95                                         | 27.52                                        |
| Reliance Communications Infrastructure Limited                      | 2.55                                         | 0.21                                         | 0.05                                         | 0.00                                         |
| Reliance Communications Limited                                     | 0.01                                         | 0.00                                         | 0.01                                         | 0.00                                         |
| Reuters Market Light Information Services Pvt Ltd (RML ISPL)        | 0.41                                         | 0.35                                         | 0.29                                         | 0.00                                         |
| TATA                                                                | 0.00                                         | 0.00                                         | 0.53                                         | 0.00                                         |
| The Energy Resource of India                                        | 1.95                                         | 0.68                                         | 0.30                                         | 0.40                                         |
| Vodafone Essar Cellular Limited                                     | 3.62                                         | 0.90                                         | 0.00                                         | 0.00                                         |
| Vodafone Essar South Limited                                        | 1.28                                         | 0.00                                         | 0.00                                         | 0.00                                         |
| Grand Total                                                         | 2163.45                                      | 2086.98                                      | 3100.00                                      | 3571.43                                      |

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