BharatNet (2011): Connecting Rural India Through Digital Public Infrastructure

Policy Update
Prisha Sachdeva

Background

BharatNet is India’s flagship rural broadband infrastructure programme, implemented by the Department of Telecommunications (DoT), Ministry of Communications, through Bharat Broadband Network Limited (BBNL). It was originally launched as the National Optical Fibre Network (NOFN) in October 2011 and later renamed BharatNet. Its core objective is to provide affordable, non-discriminatory broadband connectivity to all Gram Panchayats (GPs) in the country, thereby strengthening last-mile digital connectivity for rural citizens, government services, and local businesses.

The project is financed primarily through the Universal Service Obligation Fund (USOF) and is designed to create a nationwide optical fibre backbone connecting approximately 2.5–2.6 lakh Gram Panchayats. BharatNet is intended to act as a neutral, non-discriminatory infrastructure layer, enabling telecom service providers, internet service providers, and other institutions to deliver broadband, e-governance, telemedicine, education, and financial services in rural areas.

BharatNet is being implemented in phases. Phase I focused on connecting one lakh Gram Panchayats using existing infrastructure and was completed in December 2017. Phase II expanded the network to an additional 1.5 lakh Gram Panchayats using optical fibre, radio, and satellite technologies, while Phase III focuses on network upgradation, higher bandwidth capacity, integration with 5G technologies, and last-mile connectivity.

The programme is closely aligned with Digital India, the National Broadband Mission, and the government’s broader objective of bridging the urban–rural digital divide. By creating a common rural digital backbone, BharatNet supports the delivery of public services such as Common Service Centres, Direct Benefit Transfer, telemedicine, online education, and e-governance platforms at the Gram Panchayat level.

Functioning

BharatNet functions as a public digital infrastructure project that creates and operates a rural broadband network connecting Gram Panchayats through optical fibre, radio, and satellite technologies. The Department of Telecommunications is the administrative ministry, while Bharat Broadband Network Limited (BBNL) is the special purpose vehicle responsible for creating, operating, maintaining, and managing the BharatNet infrastructure.

How the Network Works

BharatNet creates a middle-mile and last-mile digital infrastructure network. Optical fibre cables are laid to connect Gram Panchayats to the national telecom backbone, while radio and satellite technologies are used in areas where laying fibre is difficult or uneconomical. The network is designed to provide non-discriminatory access to service providers, allowing telecom operators and internet service providers to use the infrastructure to offer broadband services in rural areas.

Beneficiaries

The programme primarily benefits rural citizens, Gram Panchayats, Common Service Centres, government institutions, schools, health centres, small businesses, and telecom and internet service providers. By providing shared rural connectivity infrastructure, BharatNet enables service providers to extend broadband services to rural households and institutions without having to build separate networks.

Funding

BharatNet is financed through the Universal Service Obligation Fund (USOF), a statutory fund under the Department of Telecommunications created to support telecom services in rural and remote areas. The estimated total cost of the project is approximately ₹42,068 crore.

Performance

BharatNet has achieved substantial progress in connecting Gram Panchayats, although the gap between infrastructure readiness and actual service delivery remains an important concern.

Connectivity Progress

As of February 2026, approximately 2,17,805 Gram Panchayats had been made service-ready under BharatNet. As of December 2025, 2,14,904 Gram Panchayats had been provided broadband connectivity and made service-ready. The Department of Telecommunications reported that, out of approximately 2,56,000 Gram Panchayats in the country, nearly 2,14,000 had been brought online under BharatNet Phases I and II. [pib.gov]

Infrastructure Progress

As of March 2025, the optical fibre cable network under BharatNet had reached 42.13 lakh route km, while 6,92,676 km of optical fibre cable had been laid as of January 2025. By February 2026, cumulative optical fibre laid had reached 6,94,605 km, with 2,18,653 Gram Panchayats connected through optical fibre cable. [static.pib.gov]

Impact

BharatNet has strengthened India’s rural digital infrastructure by creating one of the world’s largest rural broadband networks and extending connectivity to more than 2.14 lakh Gram Panchayats. This has improved the potential for rural citizens to access e-governance services, digital payments, online education, telemedicine, and other digital public services.

The programme has also supported the expansion of Common Service Centres and other last-mile service delivery mechanisms by providing the connectivity backbone required for digital services in villages. By enabling non-discriminatory access to service providers, BharatNet has helped create a shared infrastructure model that reduces the cost and complexity of extending broadband services to rural India.

However, the actual impact on citizens depends not only on Gram Panchayat connectivity but also on last-mile availability, affordability, service quality, and uptake of digital services. The relatively low proportion of operational Gram Panchayats compared with service-ready Gram Panchayats suggests that the full socio-economic impact of BharatNet is yet to be realised.

Emerging Issues

The most significant emerging issue is the gap between network creation and actual service utilisation. Although more than 2.19 lakh Gram Panchayats were service-ready as of November 2025, only around one-third of these were reported as operational, indicating that a substantial portion of the infrastructure may not yet be delivering regular broadband services. [cag.gov]

The project has also faced delays and cost escalation. The original NOFN estimate was much lower than the later revised project cost, and Phase II, originally targeted for completion by December 2019, remains ongoing. This reflects the difficulty of executing a large-scale rural infrastructure project across diverse geographies, including remote, hilly, and border areas.

Last-mile connectivity remains another major challenge. Connecting a Gram Panchayat to the BharatNet backbone does not automatically ensure that households, schools, health centres, or businesses within the village receive reliable internet access. The availability of Wi-Fi hotspots, fibre-to-the-home connections, local service providers, and affordable data plans is essential for converting backbone connectivity into meaningful citizen access.

Operational sustainability is also a concern. Rural broadband networks require continuous maintenance, fault repair, power supply, local technical capacity, and viable commercial models for service providers. Without sustainable last-mile operations, BharatNet risks becoming underutilised infrastructure rather than a widely used public digital utility.

Way Forward

The government should shift its performance measurement from the number of service-ready Gram Panchayats to the number of operational connections, active users, and actual broadband service availability. Publishing regular data on operational Gram Panchayats, active Wi-Fi hotspots, fibre-to-the-home connections, and service quality would improve transparency and accountability.

The last-mile gap should be addressed through stronger partnerships with telecom operators, internet service providers, Common Service Centres, panchayats, and local entrepreneurs. Expanding affordable Wi-Fi, fibre-to-the-home connections, and village-level digital service points would help convert BharatNet’s backbone into usable citizen services.

The Amended BharatNet Programme should be accelerated to improve network resilience and service quality, particularly in remote and underserved regions. At the same time, the government should ensure that BharatNet is integrated with other digital public infrastructure initiatives, including Digital India, Common Service Centres, Direct Benefit Transfer, telemedicine, and online education, so that connectivity translates into measurable improvements in rural service delivery.

References

Comptroller and Auditor General of India. (2026). Performance audit report on BharatNet* (Report No. 19 of 2026). https://cag.gov.in/webroot/uploads/download_audit_report/2026/19-of-2026-UG-Eng-06a7c90aa5f2901.29659974.pdf](https://cag.gov.in/webroot/uploads/download_audit_report/2026/19-of-2026-UG-Eng-06a7c90aa5f2901.29659974.pdf

Department of Telecommunications. (2026). *Union Minister Shri Jyotiraditya Scindia says BharatNet is connecting rural India*. Ministry of Communications, Government of India. https://www.dot.gov.in/static/uploads/2026/02/6a4a81f28bb5e5271d8fdfa75eda2a40.pdf](https://www.dot.gov.in/static/uploads/2026/02/6a4a81f28bb5e5271d8fdfa75eda2a40.pdf

Department of Telecommunications. (2026). *BharatNet project and Udyami scheme*. Government of India. https://jankalyanfile.rajasthan.gov.in/WebMyWayFiles/DepartmentMaster/33/2026/Jul/30409/334a8743ec-51e9-4dd2-b2e3-2ee9c42efb3e.pdf](https://jankalyanfile.rajasthan.gov.in/WebMyWayFiles/DepartmentMaster/33/2026/Jul/30409/334a8743ec-51e9-4dd2-b2e3-2ee9c42efb3e.pdf

Ministry of Communications. (2025). *BharatNet*. Press Information Bureau, Government of India. https://static.pib.gov.in/WriteReadData/specificdocs/documents/2025/apr/doc2025421542801.pdf](https://static.pib.gov.in/WriteReadData/specificdocs/documents/2025/apr/doc2025421542801.pdf

Ministry of Communications. (2025, November 20). *Digital village project*. Press Information Bureau, Government of India. https://www.pib.gov.in/PressReleasePage.aspx?PRID=2237671&reg=3&lang=1](https://www.pib.gov.in/PressReleasePage.aspx?PRID=2237671&reg=3&lang=1

PRS Legislative Research. (2026, October 5). *Demand for grants 2026–27 analysis: Telecommunications*. https://prsindia.org/budgets/parliament/demand-for-grants-2026-27-analysis-telecommunications](https://prsindia.org/budgets/parliament/demand-for-grants-2026-27-analysis-telecommunications

PRS Legislative Research. (n.d.). *Demand for grants analysis: Telecommunications*. https://prsindia.org/budgets/parliament/demand-for-grants-analysis-telecommunications

Press Information Bureau. (2026). *Government of India—Sansad annexure on Amended BharatNet Programme*. https://sansad.in/getFile/annex/271/AU508_bGfrzD.pdf?source=pqars](https://sansad.in/getFile/annex/271/AU508_bGfrzD.pdf?source=pqars

About the Contributor:

Prisha Sachdeva is a Research & Editorial intern at IMPRI. She’s pursuing Bachelors in psychology (Honours) from the University of Delhi. Her interest lies in cognitive science and human behavior with a focus on evidence-based policy and behavioral research.

Acknowledgement:

The author sincerely expresses gratitude to the reviewers and the editorial team for their valuable comments, constructive suggestions, and continuous guidance throughout the preparation of this article. Their insightful feedback significantly enhanced the clarity, organisation, and analytical quality of the manuscript. The author also acknowledges the support and encouragement received during the research and writing process, which contributed to the successful completion of this work.

Reviewers: Gargi and Arjya