OFFICE OF THE Pr.CCA,

DoT, AP Circle, Hyderabad

EXPERIENCES OF MONITORING MOBILE PHASE-I

Aims and Objectives

Scope: The scope of the agreement aims at setting up andmanaging infrastructure sites and provision of mobileservices in specified rural and remote areas and isdivided into two parts as stated below.

Part A: Setting up and Managing Infrastructure Sites. IPs: GTL, Vodafone and BSNL

Part B: Provision of Mobile Services (Radiation)

USPs: Vodafone, Idea, Reliance and BSNL

Initial Problems� Power problems: IPs faced problems in getting power connection.

� Land Problems: IPs faced problems in acquiring land.

� Initiatives by this office:

� Power Problems:

� Took up the issue with the Chairman & Managing Director (CMD), APTransco, Hyderabad.

� A List of sites where the IPs were not able to get the sanctions for powerconnections even after payment of necessary charges was provided to theCMD.

� The problems were resolved.

Initial Problems (Contd…)• Land Problems:

• The problems of the IPs in acquiring land was taken up withLiaison Officer and Secretary, I T & Communications, Govt. ofAP.

• This resulted in removal of various impediments in acquiringland by the IPs.

• These efforts resulted in the timely commissioning of towersand commencement of mobile services.

PART -A

� Validity Period of agreement : 06 years 6 months (01-06-2007 to 30-11-2013).

� Subsidy payable (Maximum Period) : 05 years from the date of commissioning.

� Scope : The IP shall be solely responsible to setup, operate andmaintain the Infrastructure site in specified clusters for thewhole period of the agreement.

Roll out / Towers commissionedClusterNo

Name of the IP Towers to be commissioned

Towers commissioned upto the Rollout period (13.06.09)

Shortfall (if any)

No. of tower s commissioned after roll out period

1 M/s GTL 101 101 -- 101

2 M/s GTL 92 89 3 92

3 M/s GTL 95 93 2 95

4 M/s Vodafone 105 105 -- 105

5 M/s Vodafone 105 105 -- 105

6 M/s BSNL 98 98 -- 98

Total 596 591 5 596

� Rs. 78,554/- recovered from M/s GTL towards LD for 5 sites.

Process of claims:• Claims submitted on quarterly basis.

• Claims were verified by comparing the details with Annexure-IX and village name and Tower-ID in DoT list.

• Deviations were informed to the IPs and USOF.

• As per clarifications/directions received from USOF many

items were settled.

• Still 16 sites are not being paid because of non-matchingof details.

Monitoring the implementation

• Monthly meetings (from 09/2007 to 09/2010) and quarterlymeetings (from 10/2010 onwards) with the IPs and USPsconducted in accordance with the instructions of the USOF.

• Importance of submission of Reports and Annexures wereemphasized and the operators were repeatedly reminded in caseof any non-submission.

• Certain issues between IPs and USPs were resolved during theco-ordination meetings.

Monitoring the implementation (Contd…)

� Problems relating to payment of Electricity Charges byBSNL(USP) to Vodafone(IP) discussed and solved.

� Non-payment of maintenance charges by M/s Reliance(USP) to IPs was resolved.

Monitoring of Reports� Reports from IPs to CCA office: MIS-A (Monthly)

Regarding RFI (Ready For Integration) of towers.

� Status : In A.P Circle since all 596 towers have been commissioned, this report is dispensed w.e.f. January, 2010.

� Reports from CCA office to USOF: MIS-C & MIS-E

(Quarterly).

� Status: Report for QE 31.12.2011 submitted to USOF.

Payment detailsName of the USP

Cluster No. AmountPaid ( Rs. In Cr)

Paid upto QuarterEnding

No. of Districts covered

M/s GTL 1 to 3 18.52 30.9.2011 14

M/s Vodafone

4 & 5 11.19 30.06.2011 5

M/s BSNL 6 4.55 30.09.2011 3

� The range of subsidy rate per tower is Rs.157833 to Rs.201241 per annum .

� Claims for the QE 31.12.2011 in respect of M/s GTL & M/s BSNL have been processed and forwarded.

� M/s Vodafone subsidy claim for QE 30.9.2011 & 31.12.2011 not processed due to non-submission of Auditors’ Report.

(Part B)Provision of Mobile services by USPs

� Scope : The USP shall be solely responsible to setup,operate and maintain the mobile services sites(radiation) for whole of the period of the agreementusing sharable infrastructure created by IP in Part -A.The USP shall also make payment to USOF (negativesubsidy) for a period of 5 years from the date mobile servicesite is commissioned.

� Operators: Reliance, Idea, Vodafone and BSNL

� Validity Period : 06 years 6 months (30-11-2013).

Cluster-wise details of radiation of sites

Cluster No

Towersto be radiated

Towers radiated

M/s Idea BSNL (Cellone)

Vodafone M/s Reliance

1 101 101 101 NA 49

2 92 92 NA 91 72

3 95 95 NA 95 63

4 105 105 NA 105 72

5 105 NA 105 105 58

6 98 NA 98 98 39

Total 596 393 304 494 353

� M/s Reliance has started services in only 353 sites (as on 31-12-2011) out of 596sites, inspite of our best efforts.

Monitoring of ReportsMonthly Reports from USPs:

Regarding Remarks

MIS-B Monthly progress of Radiation of sites

Vodafone, Idea, BSNL (USPs) have radiated all the sites hence report dispensed with. M/s Reliance is submitting reports since all the sites have not been radiated.

Annex-5A Number of mobile connections added and closed during the month and progressive total

Reports from Idea and BSNL received upto 01/2012. Reports from Vodafone received upto 06/2011. Reliance not submitting reports inspite of repeated reminders.

Annex-5B Details of number of sites radiated during the month and cumulative.

Reports from Idea , Reliance and BSNL receivedupto 01/2012. Reports from Vodafone received upto 06/2011.

� One time report of Annexure - IX received from all USPs except Reliance.

Monitoring of Reports (Contd..)Reports to USOF:

Regarding Frequency Remarks

MIS-D Radiation of sites Quarterly Being submitted

MIS-F Position of Radiation of No. of USPs in each tower and reason for non-radiation

Quarterly Being submitted

Monitoring of Reports (Contd..) � It was observed from the Annexure-X submitted by M/s

RCL that they have switched off some sites duringDecember, 2010 to January, 2011.

� As per the terms and conditions of agreement a demandwas raised for payment of penalty of Rs.1.01 Cr.

� M/s RCL remitted Rs.1.01 Cr in April, 2011.

No. of mobile connections provided

Name of USP No. of connections As on

Vodafone 2,00,776 30.06.2011

Idea 5,54,410 31.12.2011

BSNL 4,85,853 31.12.2011

Reliance ----- -----

� Source: Annexure –V A. M/s Reliance not submitted reports.

Physical Inspections

� No. of Infrastructure Sites in A.P. Circle: 596

� Target fixed: 477 (80%) by 31.3.2012

� Inspected : 503 (84%)

� During the sites inspection Part-B services are also verified.

FindingsAs per the interaction of the officers with the rural peopleduring inspection of sites are:

• The rural population has got better connectivity with the outsideworld and mobile phones have percolated deep into the rural areas.

• After installation of USOF towers many other operators have installedtheir own towers in the vicinity leading to increase of tele density inrural areas.

• Provision of generators in all the sites facilitated continuous powersupply to maintain the uninterrupted mobile services.

• People utilise the mobile charging facilities available in theInfrastructure sites.

Findings (Contd…)

• Due to the commissioning of Infrastructure sites,local people have got employment as Security guardsand the land owners who have entered into leaseagreement with IPs get substantial compensation.

• In case of emergencies like fire, illness the villagersare approaching security guard to access emergencyservices as he is available at a fixed location.

Challenge:

• Representatives of IPs informed that they are facing protestsfrom some villagers and media regarding harmful radiationemanating from the mobile towers.

Suggestion:

• It appears that the TERM cells are entrusted with the job of measuringthe radiation levels .

• DoT may place some advertisements in this regard to allay thefears of the villagers regarding radiation.

vRecently a report given in a news

paper also shows that mobile users

in rural areas have increased

considerably as it can be seen in

the next slide.

Recently a report given in a news paper also shows that mobile users in rural areas haveincreased considerably as it can be seen below.

Conclusion

� As per the aims and objectives of USOF this scheme hasproved successful in providing access at reasonable /affordable prices and strive for the development of telecomfacilities in remote, hilly & tribal areas of the country bymaking India a global village.

� Thus, the Mobile Phase I scheme, is a very successfulscheme under the USOF. It has really served to take themobile technology deep inside the rural areas.

THANK YOU