Har Hath Mein Phone Scheme to provide a Mobile Phone to all BPL Families

smartphoneEvery Poor man in India would get a cellphone from UPA Led Central Government if it comes to power again in 2014. A whooping 7000 crores would be spent on this.

According to a report in Times of India a scheme— Har Hath Mein Phone—expected to be announced by PM Manmohan Singh on August 15, will not only aim to give away mobiles to around six million BPL households, but also provide 200 minutes of free local talk time.

Top government managers involved in formulating the scheme want to sell it as a major empowerment initiative of the UPA 2. While the move will ensure contact with the beneficiaries of welfare programmes worth thousands of crores, there is also a view the scheme will provide an opportunity for the UPA to open a direct line of communication with a sizable population that plays an active role in polls.

The scheme may be funded from the telecom department’s universal service obligation (USO) funds. According to a source, 50% of the cost is likely to come from the bidder who gets the right to provide the service and the remaining from the USO fund. The fund is meant to be used to meet USO aims by providing access to phone services to people in rural and remote areas at affordable prices. The resources for its implementation are raised through a service levy fixed at 5% of the adjusted gross revenue of all telecom service providers except the pure value added service providers like internet, voice mail, email etc.

According to estimates, the scheme will involve a monthly expenditure of Rs 100 per cellphone. The government is also exploring the possibility of getting service charges subsidized through competitive bidding.