A recent survey has revealed that there are a number of rural takers for telephone and data services

Communication for growth is the new theme for developing nations. In India’s context, it fits just well, as our urban tele-density is still lower and in the majority of rural areas where 65 percent of our population resides, effective connectivity is still a dream. Although the total average VPT target achieved till February 2003 has been estimated to be 80 percent, predominantly BSNL’s share; the fact remains that in most of the villages and far-flung areas, villagers still have to travel miles to access even a plain telephone, leave aside the Internet services. India is now aspiring to achieve a tele-density target of seven by 2005 and 15 by 2010, from the already achieved figure of 5.35 as on 31 March 2003. These figures are easily achievable both at ‘national and rural telephony’ levels by affording requisite priority to rural areas, for which the technological expertise is readily available to provide not only simple VPT but even telephones on demand and data services.

The Rural Scene
Lack of telecom infrastructure is an integral part of India’s rural landscape, not because of people’s lack of telecom awareness or affordability issues, but primarily because of the lack of ‘will’ to deploy it. This results in a chicken-and-egg story wherein one debates: should the need be generated before the infrastructure comes up, or should the infrastructure be deployed and the utilization/demand would follow? A recent survey has revealed that there are sizeable number of rural takers for telephone and data services. However, besides the ‘will’ factor, both government and the private service providers face typical capex-related deterrents, like low capacity utilization in the access network, large capital investment in setting up the infrastructure, maintenance difficulties, and low and slow RoI.

A Concept Framework for VPT

Telecom solution providers have been seized with this challenge for quite some time now. The challenge here is that while the solution will need to be highly reliable, user-friendly and speedily deployable in the prevalent rural environment, it should also be available for an exceedingly affordable cost. The equipment may provide connectivity ahead of the service provider’s/franchisee’s communication node that is generally deployed at the block/tehsil level. The system should be suitably integrable with the available or planned infrastructures of copper/fiber lines, EPABXs, VSAT or even cordless telephones (CT2).

We, however, need to understand that these are some of the universal impediments encountered, compelling even countries like the US to take on the onerous task of achieving rural connectivity targets in national interest. Special provisions, incentives, subsidies and support are provided to facilitate enthusiastic service providers to make it happen, at the required speed. India is not different and the targeted ‘rural connectivity’ would be achievable through collective efforts of the government, service providers, and entrepreneurs/franchisee or NGOs. Ground realities and financial considerations dictate that the mammoth task would not be implementable with the efforts of a single agency, within the desirable timeframe.

The Qualitative Requirement
The choice of technology is wider today in terms of wireline (copper/fiber), wireless (MARR, WLL—CDMA or CorDECT or P2P/PMP radios), VSAT, etc or a suitable mix of all these. The essential ingredients of a successful system are reliability, flexibility, user-friendliness, scalability, fit-and-forget-standard maintainability, and above all affordability by users. Some of the desirable qualitative requirements (QRs) could, therefore, be listed as:

n Simultaneous provisioning of multiple telephones/voice, fax and data facilities—village telecom center (VTC) or public telecom information center (PTIC)
n Support for irregular ‘deployment pattern’ and providing connectivity on demand
n Lower per line cost (sub-Rs 10,000)
n Employment generation with profitable revenue generation
n Integrable with existing legacy and modern systems based on OFC, VSAT and EPABX, wherever feasible
n Lower electric power consumption, supported by unconventional sources
n Flexibility, in terms of system usability for emergency communications during disaster management in case of natural calamities, and unprecedented law-and-order problems
n Minimum of eight ADPCM voice channels/telephones (which could be scaled further to provide more telephone connections on demand, through use of a suitable capacity EPABX, at village-end).
n Simultaneous provisioning of data channel (256 kbps) for use of computer/Internet connectivity (VTC or PTIC with voice/fax and data facilities from the very start).
n Coverage of multiple villages from a single strategic location (PMP) to provide voice/fax and data simultaneously.
n Self-employment with revenue generation—for locals to undertake maintenance, operations and revenue collection tasks
n Emergency usage—easily upstickable system, which can be used for ‘disaster management’ eventualities
n Installations speed, depending on the availability of resources in terms of manpower and other facilities. The speed of providing telephone connectivity or establishment of VTCs/PTICs can be regulated to achieve the desired deployment density.

The Bottlenecks
Why has ‘rural telephony’ not taken off despite various governmental efforts and special regulatory provisions for basic service providers? The reasons point at both ‘financial’ and ‘will’ factors. However, both these aspects are not insurmountable, in case the government and the service providers resolve to meet the challenge and tackle the problem, jointly. While one has to provision for a few special considerations, the other has to temporarily contend with marginal profits in the great national interest. In addition, both central and state governments as well as service providers have to get useful information or content for agriculture, trade, primary health and other matters of rural concern.

Financial Implications and Support Actions
Fortunately, with the spiraling drop in the prices of the equipment systems and services, capex on access network will become financially affordable in case following facilities are extended to service providers with entrepreneurs/NGOs working under their licenses or under some special provisions by the government:

n Interconnectivity: Provide the proposed wireless network connectivity with the existing communication node/hub in terms of ‘tie-lines’ on PRI/2 Mbps basis or otherwise, as required
n Amortization for initial five years or special exemption for limited period, in terms of

l Annual rentals for ‘tie-lines’ connectivity
l Bank Guarantee charged as performance surety
l Rationalize rural telephony tariffs, as applicable with effect from 1 May 2003
l Permission for space available at existing communication nodes/hubs, electric power, etc for first two years or so.
l Permission to install EPABX at distant villages ends, in case required

In addition, government, BSNL or the licensee service provider should extend all possible assistance as facilitator or enabler of the rural connectivity project at various locations and evolve pragmatic revenue sharing norms among BSNL/service providers and franchisees/entrepreneurs.

The average per-line cost for full capacity usage of the access-network (15 CPEs or so), with financial exemptions and facilities mentioned above, should be less than Rs 10,000 only. This can further be reduced with innovative measures like innovative masts, and solar power systems. The network at or ahead of existing communication ‘hub/node’ can be installed by the concerned franchisee or NGO under the coverage of BSNL or Basic service operator’s license or through special provisions made by the government in the national interest. The franchisee will train the eligible local volunteers on maintenance and operation of local telephones, STD booths and Internet kiosks at the VTC/PTIC.

The Pilot Project
The service provider may place education orders on willing franchisees or NGOs to install and commission pilot projects at few locations under their jurisdiction to prove efficacy and financial viability of the proposal. In case successful, the system can be replicated in other states and locations too. The deliverables by the proposed scheme are manifold in terms of technical, political and social pay-offs, at justifiable temporary concessions and facilities by the government for the project of national dimensions. The action-plan needs out-of-the-box thinking by all concerned and a definite push in terms of initial support activities. It is certain that unless the suggested bold steps are initiated, rural connectivity will remain a mirage.

In the knowledge age, criticality of communications cannot be over-emphasized. And to quote Alvin Toffler, “Mal-distribution of telecom in today’s world is more dramatic than mal-distribution of food”. However, the Indian government having realized the warning in time, has to ‘emphatically and willfully’ implement the planned ‘rural telephony’ in the right earnestness with the required speed. Legalities and regulators may watch and wait for sometime if not act positively in the greater national interests.

While the governments, both central and state, and the service providers have to act as real-time facilitators in terms of all possible supportive actions like subsidies, discounts, and amortization, the service providers and associated NGOs or
franchisees must strive hard to meet the national challenge by adopting a workable pragmatic approach and
missionary zeal. The collective efforts will not only surpass stipulated targets but also add to national growth, because communications and literacy are the shortest way to socio-economic development. Will India really surge ahead in its rural telephony project and join the ranks of the developed countries by 2020?

DP Dimri, COO, Tropicana Telecom