NEW DELHI, June 28: In a significant move to strengthen digital connectivity in India’s Northeast, Bharat Sanchar Nigam Ltd (BSNL) has awarded a ₹1,901.1 crore contract to ITI Ltd for the implementation of the BharatNet project across Arunachal Pradesh, Nagaland, and Manipur. The agreement was signed on Thursday, marking a major step forward in bridging the digital divide in remote and underserved areas.

Under this agreement, ITI Ltd—India’s premier public sector telecom manufacturing company—will serve as the Project Implementation Agency (PIA) for the development, upgradation, operation, and maintenance of BharatNet infrastructure over the next ten years.

The selection process began with BSNL floating bids on behalf of the Universal Service Obligation Fund (USOF) on February 15, 2024. Following a detailed evaluation of proposals and negotiations, the contract was finalized in accordance with the terms of the tender process.

“This engagement reflects the government’s commitment to inclusive digital growth, especially in the Northeast, where terrain and accessibility pose challenges to conventional infrastructure,” a source familiar with the agreement stated.

The USOF, now rebranded as Digital Bharat Nidhi (DBN) under the Telecommunications Act, 2023, is the Centre’s key funding mechanism to expand telecom services in rural and remote parts of the country.

BharatNet, approved by the Union Cabinet in 2011, is one of the world’s largest rural broadband projects, aimed at delivering non-discriminatory, high-speed broadband access to all telecom service providers at the Gram Panchayat level. The project plays a pivotal role in enabling e-governance, digital education, telemedicine, and online financial services in India’s villages.

As of May 26, 2025, the government has:

• Connected 2,14,325 Gram Panchayats
• Laid 6,93,303 km of optical fibre cable (OFC)
• Commissioned 12,81,564 Fibre-To-The-Home (FTTH) connections
• Installed 1,04,574 Wi-Fi hotspots for last-mile digital access

With over ₹42,000 crore already invested, the addition of ITI Ltd as the PIA in three strategically important northeastern states is expected to accelerate digital empowerment, promote local development, and improve public service delivery in the region.

The latest contract is part of the Centre’s broader Digital India mission and reinforces its Act East Policy, focusing on the infrastructural and economic upliftment of the Northeastern region.