RVNL Secures ₹3,622 Crore BharatNet Project to Boost Rural Connectivity

16 Jan 2025 , 12:41 PM

Rail Vikas Nigam Ltd has informed that a Letter of Acceptance has been received from BSNL for one important project. The project would focus on middle-mile network development, upgradation and maintenance under BharatNet, an initiative initiated by the India government.

On the Design-Build-Operate-Maintain model for sustainable and effective service for decades to come. The company is undertaking this project in partnership with HFCL and ATS, both of whom would bring experience to deliver it successfully.

The total value of the project is ₹3,622.14 crore, which includes the operations and maintenance for 10 years. The project will be carried out in two phases:

• Phase 1: A three-year construction period for developing and upgrading the network.
• Phase 2: A 10-year maintenance period divided into two five-year intervals.

During the maintenance phase, remittances will be paid as an incentives of the capital expenditure 5.5% for the initial five years. 6.5% for the subsequent five years.

According to a statement by RVNL, this is one of the projects that fit right within the core business focus of developing infrastructure in India. The project seeks to improve BharatNet’s middle-mile network to increase connectivity in rural and underserved areas as it seeks to bridge the digital divide. This milestone further fortifies RVNL’s position in telecom infrastructure development while contributing to India’s digital growth journey.