Home India Ministry of Communications Parliament Question: Telecom Ecosystem...
Date: 2025-12-03 Category: Not Applicable State: Union Government Country: India

Parliament Question: Telecom Ecosystem

Issued by Ministry of Communications · Not Applicable

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Executive Summary & Key Takeaways

**Executive Summary** This document, a response to Lok Sabha Unstarred Question No. 545 answered on December 3rd, 2025, outlines the measures undertaken by the Government of India to strengthen the telecom ecosystem, expand connectivity in rural areas, and ensure equitable digital access. The response details various policy changes and infrastructure developments in the telecom sector. It highlights the current infrastructure and data usage. **Key Points / Main Content** * **Government Initiatives for Telecom Sector Growth:** * Rationalization of Adjusted Gross Revenue. * Rationalization of Bank Guarantees (BGs). * Rationalization of interest rates and removal of penalties. * Dispensing with BGs for auctions after 15.09.2021 to secure instalment payments. * Permission for surrender of spectrum after 10 years (future auctions). * Dispensing with Spectrum Usage Charge (SUC) for spectrum acquired in auctions after 15.09.2021. * Removal of additional SUC of 0.5% for spectrum sharing. * Permission for 100% Foreign Direct Investment (FDI) in telecom sector under automatic route (subject to safeguards). * Replacement of licenses under 1953 Customs Notification with self-declaration. * Replacement of paper Customer Acquisition Forms with digital storage of data. * Easing Standing Advisory Committee for Radio Frequency Allocation (SACFA) clearance. * Increase in tenure of spectrum from 20 to 30 years. * **Digital Infrastructure Growth:** * Optical fiber cable network expansion: 17.5 lakh km (March 2018) to 42.36 lakh km (September 2025). * Base Transceiver Stations increase: 17.3 lakh (March 2018) to 31.4 lakh (October 2025). * Mobile connectivity: 6,34,019 villages covered out of 6,44,131. * 4G Services: available in 6,30,676 villages. * Broadband subscription increase: 48 crore (September 2018) to 98 crore (June 2025). * PM-WANI Wi-Fi hotspots: 3.80 lakh installed across the country as of October 31, 2025. * **Data Consumption and Tariffs:** * Data consumption increase: 8.32 GB per subscriber per month (September 2018) to 25.24 GB (September 2025). * Average wireless data tariff decrease: ₹10.91 per GB to ₹8.27 during the same period. * **Ensuring Equitable Digital Access:** * Implementation of schemes under Digital Bharat Nidhi, including 4G saturation projects and Amended BharatNet Program, to expand digital connectivity in rural and remote areas. **Impact Analysis** **Telecom Operators** * **Impact**: Reduced financial burden through rationalized charges, fees, and penalties, leading to potentially improved profitability and investment capacity. Streamlined regulatory processes and increased spectrum tenure enhance operational efficiency and long-term planning. * **Action Required**: Understand and adapt to the new policies regarding spectrum usage charges, bank guarantees, and other regulatory changes to optimize business operations and investment strategies. **Citizens (Especially in Rural Areas)** * **Impact**: Increased availability of mobile connectivity, particularly 4G services, and broadband access. Enhanced digital inclusion through initiatives like PM-WANI Wi-Fi hotspots and programs to expand connectivity in rural and remote areas, potentially improving access to information, education, and economic opportunities. * **Action Required**: Utilize the improved digital infrastructure and connectivity to access online services, education, information, and participate in the digital economy. **Government** * **Impact**: Strengthened telecom sector and progress towards digital inclusion goals. Increased FDI inflows and improved operational efficiency within the telecom sector. * **Action Required**: Monitor the effectiveness of implemented policies and schemes, and make adjustments as necessary to achieve the objectives of strengthening the telecom ecosystem and ensuring equitable digital access.

Key Entities Referenced

Digital Bharat Nidhi: A scheme to ensure equitable digital access, includes 4G saturation projects. Amended BharatNet Program: Program to expand digital connectivity in rural and remote areas. Spectrum Usage Charge (SUC): Requirement was dispensed with for spectrum acquired in spectrum auctions after 15.09.2021. PM-WANI: A Wi-Fi hotspot initiative mentioned in the context of digital infrastructure growth. Standing Advisory Committee for Radio Frequency Allocation (SACFA): Clearance process was eased for telecom towers.
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GOVERNMENT OF INDIA MINISTRY OF COMMUNICATIONS DEPARTMENT OF TELECOMMUNICATIONS LOK SABHA UNSTARRED QUESTION NO. 545 ANSWERED ON 3RD DECEMBER, 2025 TELECOM ECOSYSTEM 545. SMT. POONAMBEN HEMATBHAI MAADAM: Will the Minister of COMMUNICATIONS be pleased to state: (a) whether the Government has undertaken measures to strengthen the telecom ecosystem in the country; (b) if so, the details thereof; (c) whether efforts are being made to expand telecom connectivity in rural and remote areas to ensure equitable digital access across the country; and (d) if so, the details thereof? ANSWER MINISTER OF STATE FOR COMMUNICATIONS AND RURAL DEVELOPMENT (DR. PEMMASANI CHANDRA SEKHAR) (a) to (d): Yes, the Government has undertaken several measures to strengthen the telecom sector in the country which has led to the growth of telecom sector. These measures include Rationalization of Adjusted Gross Revenue; Rationalization of Bank Guarantees (BGs); Rationalization of interest rates and removal of penalties; Dispensing with the requirement of BGs (for auctions held after 15.09.2021) to secure instalment payments; Permission for surrender of spectrum after 10 years (in future auctions); Dispensing with the requirement of Spectrum Usage Charge (SUC) for spectrum acquired in spectrum auctions held after 15.09.2021; Removal of additional SUC of 0.5% for spectrum sharing; Permission for 100% Foreign Direct Investment (FDI) in telecom sector under automatic route subject to safeguards; Requirement of licenses under 1953 Customs Notification for wireless equipment replaced with self-declaration; Replacement of paper Customer Acquisition Forms with digital storage of data; Easing Standing Advisory Committee for Radio Frequency Allocation ( SACFA) clearance for telecom towers and increase in tenure of spectrum from 20 to 30 years. This has led to significant growth in its digital infrastructure over the years. The optical fiber cable network has expanded from 17.5 lakh km in March 2018 to 42.36 lakh km in September 2025, while the number of Base Transceiver Stations has increased from 17.3 lakh in March 2018 to 31.4 lakh in October 2025. As of October 2025, out of 6,44,131 villages in India, 6,34,019 are covered with mobile connectivity, of which 6,30,676 have 4G services. Broadband subscriptions have risen sharply from 48 crore in September 2018 to 98 crore in June 2025. Additionally, 3.80 lakh PM-WANI Wi-Fi hotspots have been installed across the country as of 31 October 2025. Data consumption has also grown substantially, increasing from 8.32 GB per subscriber per month in September 2018 to 25.24 GB per subscriber per month in September 2025, while the average wireless data tariff has declined from ₹10.91 per GB to ₹8.27 during the same period. Further, to ensure equitable digital access across the country the Government is implementing various schemes under Digital Bharat Nidhi such as 4G saturation projects and Amended BharatNet Program to expand digital connectivity in rural and remote areas. ***** 1

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