USO fund for mobile service in rural, remote areas: Cabinet

New Delhi, Oct 16 (UNI) The government today decided to issue an ordinance for offering mobile phone and broadband internet services in rural and remote areas of the country by utilising the Universal Service Obligation (USO) fund.

The decision was taken at a Cabinet meeting chaired by Prime Minister Manmohan Singh, Information and Broadcasting Minister Priya Ranjan Dasmunsi told reporters.

USO fund would be made available immediately for the construction of 10,000 towers for transmission of wireless signals, resulting in massive increase in coverage, he said.

The ordinance, Indian Telegraph (Amendment) Ordinance 2006, would be sent to President A P J Abdul Kalam for its promulgation, the Minister said.

The infrastructure created for provision of cell phone services would be utilised for offering broadband internet connectivity as well, he said.

At present, the USO fund is utilised by state-owned telecom companies, MTNL and BSNL, for subsidising rural telephony.

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