Cellular Phone in Rural Areas

for Ministry of Communications | Date - 03-03-2006


Lok Sabha

The Minister of State for Communications & Information Technology, Dr. Shakeel Ahmad, informed the Lok Sabha today, in a written reply to the question by Shri Ramji Lal Suman and Shri Rajiv Ranjan Singh “Lalan” that the cost incurred in providing communication facility through cellular technology in rural areas is lesser than the fixed line telephone technology. As per information given by BSNL the installation cost of wire line is around Rs. 26,000/- per line while that of wireless in Local Loop Phone is around Rs. 9000/- (excluding cost of Handset) and that of mobile phone is around Rs. 5500/-. The operational expenditure per line per month for basic services has been reported as Rs. 621.25 while for cellular services, the corresponding figure is Rs. 205/-.

Dr. Ahmad further informed the House that the policy of the Government is technology-neutral irrespective of rural or urban areas. However, most of the service providers are using wireless technology in rural areas. The Minister further said that an amendment in the Indian Telegraph Act, 1885 for providing assistance for cellular services from Universal Service Obligation Fund is under consideration.

RM/AMA – 030306 Rural Cellular USQ 1441
(Release ID :16200)

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