Andhra makes first move toward cheap, accessible broadband

Broadband connections – the bete noir of Indian computer users - may become more affordable and broad-based in Andhra Pradesh, if IT-savvy Chief Minister N Chandrababu Naidu has his way with the centre for his Rs6,000-crore optical fibre project.

The proposal has already got off the mark, as the Department of Telecommunications has recommended in-principle approval for the project to the union government.

The state government had sent the proposal to the union ministry of communications and technology last month, saying it would facilitate private enterprises and households to get better access through cable networks and mobile 4G and 3G platforms.

The proposal aims at making available at least 10-15 Mbps broadband connections each to 12 million homes in the state at a price of about Rs150 per month; and on-demand availability of 100 Mbps to 1 one Gbps for business enterprises.

Referring the project to the Telecom Commission last month, DoT recommended that in-principle approval could be considered as the proposal is based on the principles of National Optical Fibre Network (NOFN) project.

After further examination, the proposal will be presented to the Cabinet for approval through the Telecom Commission.

The proposal falls under the combined scope of the NOFN, Government User Network and the Centre's 'Digital India' vision.

The capital expenditure for laying the required infrastructure proposed in the project is Rs3,843 crore, while the operating cost is pegged at Rs2,140 crore over 10 years.

The main component of the cost is laying the fibre over 65,000km at a cost of ?2,500 crore, including the cost of the optical fibre. The DoT has noted that the national NOFN network, created with Universal Service Obligation fund, is envisaged as a common infrastructure that will be offered on a non-discriminatory basis to all telcos and service providers at reasonable costs, so as to facilitate provision of broadband to the rural people.

''The Andhra Pradesh government has affirmed that its fibre grid will be established in conformity with this principle, with the grid being fully owned by the government and offered to telcos and service providers on a non-discriminatory basis,'' the department said in a note to the Telecom Commission.

It also noted that the proposal is significantly larger in scope than NOFN in terms of coverage and scalability, as it envisages an end-to-end network right from the State to the gram panchayats.