Union Telecom Minister Kapil Sibal on Monday introduced the draft of the National Telecom Policy 2011. The draft has five big objectives which include: broadband on demand, a simple one-nation-one-licence policy that will end roaming charges, separation of telecom network operations from service delivery, and sale of spectrum at market-determined prices. The fifth goal is to allow for the orderly exit of operators who are unable to fit in.

The draft NTP-2011 aims :

  • to achieve 175 million broadband connections by 2017, and 600 million by 2020.
  • to offer broadband services at a minimum 2 Mbps on download and making available higher speed of at least 100 Mbps on demand.
  • to provide high-speed and high quality broadband access to all village panchayats through optical fibre by 2014 and progressively to all villages and habitations.

The move is definitely good for customer and rural economy as such and likely help bridge urban-rural divide and absolutely must for GDP growth as there is direct co-relation between GDP and broadband growth,” Deloitte Haskins & Sells Partner Hemant Joshi said.

Telecom Commission, the decision-making arm of the Department of Telecom, has already cleared the Rs 20,000-crore project to provide broadband connectivity to all villages in the next three years.

The primary objective of NTP-2011 is maximizing public good-by making available affordable, reliable and secure telecommunication and broadband services across the entire country. The main thrust of the Policy is on the multiplier effect and transformational impact of such services on the overall economy. It recognizes the role of such services in furthering the national development agenda while enhancing equity and inclusiveness. Direct revenue generation would continue to remain a secondary objective. NTP-2011 also recognizes the predominant role of the private sector in this field and the consequent policy imperative of ensuring continued viability of service providers in a competitive environment. Pursuant to NTP-2011, these principles would guide decisions needed to strike a balance between the interests of users/ consumers, service providers and government revenue.

Source: Hindustan Times

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