New TRAI Draft Aims to Reduce Broadband Costs for PM-WANI Hotspots.
23 August 2024
The Telecom Regulatory Authority of India (TRAI) has issued a draft Telecommunication Tariff (70th Amendment) Order, 2024, aimed at establishing a regulatory framework for the PM-WANI scheme. The National Digital Communications Policy (NDCP), 2018, set a goal of deploying 10 million public Wi-Fi hotspots by 2022, which was later reaffirmed in the Bharat 6G Vision with a target of 50 million by 2030. Despite these goals, current PM-WANI hotspot numbers are significantly below target.
The Department of Telecommunications (DoT) reported in November 2022 that the scheme’s slow expansion is due to high backhaul internet connectivity costs charged by Telecom Service Providers (TSPs) and Internet Service Providers (ISPs) to Public Data Offices (PDOs). TSPs and ISPs often require PDOs to use costly Internet Leased Lines (ILL) rather than more affordable Fiber-to-the-Home (FTTH) connections. In response, TRAI proposes that the tariff for broadband connectivity to PDOs under the PM-WANI scheme be aligned with the rates for retail FTTH connections. This measure aims to reduce costs and accelerate the scheme’s growth.