Executive Summary:
This document outlines initiatives by the Indian Government's Department of Telecommunications to enhance the telecom sector. It details the progress of the BharatNet project, expansion of 5G services, promotion of rural services by the Postal Department, improvements in spectrum allocation transparency, and schemes to boost domestic manufacturing. The document references spectrum auctions conducted in 2022 and 2024 and provides data up to May 31, 2025, regarding the Production Linked Incentive (PLI) scheme.
Key Points / Main Content:
* **BharatNet Project:**
* Implemented in phases to provide broadband connectivity to all Gram Panchayats (GPs).
* 2,14,325 GPs have been made service ready.
* **5G Services Expansion:**
* Spectrum in various bands (700 MHz, 3300 MHz, and 26 GHz) assigned to Telecom Service Providers (TSPs) through auctions in 2022 and 2024.
* Successful bidders can deploy any International Mobile Telecommunications (IMT) technology, including 5G.
* **Postal Department Initiatives in Rural Areas:**
* Digitization of Post Office Savings Bank services.
* Transition of Postal Life Insurance to a paperless and online system.
* Establishment of Dak Ghar Niryat Kendras.
* Collaboration with e-commerce entities.
* **Spectrum Allocation Transparency:**
* Transparent and non-discriminatory auction process.
* Publicly shared Notice Inviting Application (NIA) details rules, timelines, and eligibility.
* Online auction via a secure, STQC audited Electronic Auction System.
* **Promotion of Domestic Manufacturing:**
* 'Digital Communications Innovation Square (DCIS)' scheme supports startups and MSMEs with a budget of INR 108 crore for advanced technologies, including indigenous 5G, supporting 126 projects.
* Production Linked Incentive (PLI) Scheme for telecom and networking products (notified on 24.02.2021, effective from April 2021) with an outlay of INR 12,195 crore to boost domestic manufacturing.
* 42 companies (28 MSMEs and 14 non-MSMEs) approved as beneficiaries under the PLI scheme.
* PLI beneficiary companies have collectively invested INR 4,305 crores, generating sales worth INR 85,391 crores (including exports of INR 16,414 Cr) and employment for 28,067 individuals (as of 31st May 2025).
Impact Analysis:
* **Telecom Service Providers (TSPs):**
* Impact: Access to spectrum for deploying 5G services and other IMT technologies; potential beneficiaries of increased demand due to BharatNet expansion.
* Action Required: Participate in spectrum auctions, deploy 5G and other IMT technologies, and leverage the BharatNet infrastructure for service delivery.
* **Rural Citizens/Gram Panchayats (GPs):**
* Impact: Improved digital connectivity through the BharatNet project, enhanced access to banking, insurance, and e-commerce services via Postal Department initiatives.
* Action Required: Utilize available broadband connectivity and newly accessible services.
* **Startups and MSMEs in the Telecom Sector:**
* Impact: Opportunities for funding and support through the DCIS scheme, potential beneficiaries of the PLI scheme.
* Action Required: Apply for the DCIS scheme, participate in the PLI scheme, and contribute to domestic manufacturing and innovation.
* **Postal Department:**
* Impact: Expansion of service offerings and digitization of processes.
* Action Required: Implement digitization plans, establish Dak Ghar Niryat Kendras, and collaborate with e-commerce entities.
* **Domestic Telecom Manufacturers:**
* Impact: Boost in manufacturing through the PLI scheme.
* Action Required: Participate in the PLI scheme to increase domestic manufacturing and leverage incentives.
Key Entities Referenced
BharatNet project: A project implemented to increase digital connectivity in the rural and remote areas of the country by providing broadband connectivity to all Gram Panchayats (GPs).
5G services: Next generation mobile network services that are being expanded, with priority given to developing sectors in the States and districts.
Postal Department: A government department that has taken initiatives to promote banking, insurance, and e-commerce services in rural areas.
International Mobile Telecommunications (IMT): A standard for mobile telecommunications which includes spectrum bands such as 700 MHz, 3300 MHz and 26 GHz.
Telecom Service Providers (TSPs): Entities that have been assigned access spectrum in various spectrum bands through spectrum auctions to enable the rollout of 5G services.
Digital Communications Innovation Square (DCIS): A scheme under which the Department of Telecommunications (DoT) has supported 126 projects led by start-ups and MSMEs to foster the development of advanced technologies, including indigenous 5G.
Production Linked Incentive (PLI) Scheme: A scheme for telecom and networking products, notified on 24.02.2021 and effective from April 2021, that aims to boost domestic manufacturing.
Department of Telecommunications (DoT): A department under the Ministry of Communications that has undertaken multiple initiatives to promote innovation and domestic manufacturing in the communications sector.
GOVERNMENT OF INDIA
MINISTRY OF COMMUNICATIONS
DEPARTMENT OF TELECOMMUNICATIONS
LOK SABHA
UNSTARRED QUESTION NO. 642
ANSWERED ON 23RD JULY, 2025
INITIATIVES IN TELECOM SECTOR
†642. SHRI ANIL FIROJIYA:
Will the Minister of COMMUNICATION be pleased to state:
(a) whether the Government has implemented the BharatNet project at a fast pace to increase
digital connectivity in the rural and remote areas of the country, if so, the details thereof;
(b) whether priority is being accorded for expansion of 5G services especially to the developing
sectors in the States and the districts, if so, the details thereof;
(c) whether any new initiative has been taken to promote banking, insurance and e-commerce
services in rural areas by the Postal Department, if so, the details thereof;
(d) whether the Government has made any technical improvements to make the spectrum
allocation process transparent, if so, the details thereof; and
(e) whether the Government has launched any scheme to promote domestic manufacturing and
self-reliance in the Telecom Sector and if so, the details thereof?
ANSWER
MINISTER OF STATE FOR COMMUNICATIONS AND RURAL DEVELOPMENT
(DR. PEMMASANI CHANDRA SEKHAR)
(a) BharatNet project is being implemented in a phased manner to provide broadband
connectivity to all Gram Panchayats (GPs) in the country, so far 2,14,325 GPs have been made
service ready.
(b) To enable roll out of 5G services, access spectrum in various spectrum bands for International
Mobile Telecommunications (IMT) including 700 MHz, 3300 MHz and 26 GHz bands has been
assigned to Telecom Service Providers (TSPs) through spectrum auctions conducted in the year 2022
and 2024. The successful bidders, who acquire spectrum through auctions, are permitted to deploy
any IMT technology, including 5G.
(c) The Postal Department has undertaken new initiatives such as the digitization of Post Office
Savings Bank services, the transition of Postal Life Insurance to a paperless and online system, the
establishment of Dak Ghar Niryat Kendras and collaboration with e-commerce entities in rural and
urban areas to promote banking, insurance, and e-commerce in rural regions.
(d) The spectrum auction process is transparent and non-discriminatory, beginning with a
publicly shared Notice Inviting Application (NIA) detailing rules, timelines, and eligibility. The
auction itself is conducted online through a secure, Standardization Testing and Quality Certification
(STQC) audited Electronic Auction System.
1(e) The Department of Telecommunications (DoT) has undertaken multiple initiatives to
promote innovation and domestic manufacturing in the communications sector. Under the 'Digital
Communications Innovation Square (DCIS)' scheme, DoT has supported 126 projects led by start-
ups and MSMEs, with a total budget outlay of ₹108 crore, to foster the development of advanced
technologies, including indigenous 5G.
Additionally, the Production Linked Incentive (PLI) Scheme for telecom and networking
products, notified on 24.02.2021 and effective from April’21, aims to boost domestic manufacturing
with an outlay of ₹12,195 crore. A total of 42 companies—28 MSMEs and 14 non-MSMEs—have
been approved as beneficiaries under the PLI scheme. As of 31st May 2025, PLI beneficiary
companies have collectively invested INR 4,305 crores, generating sales worth INR 85,391 crores
which includes exports of INR 16,414 Cr. This investment has also resulted in employment for
28,067 individuals.
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