The Telecom Regulatory Authority of India (TRAI) has recommended capping internet tariffs for Wi-Fi service providers under the PM-WANI scheme at twice the retail broadband rate.

About PM-WANI Scheme

• Launch Year: Launched in 2020 by the Department of Telecommunications (DoT).
• Aim: To enhance the proliferation of public Wi-Fi hotspots and create robust digital communication infrastructure, especially in rural areas.
• Promotes ease of doing business by allowing local businesses to become Wi-Fi providers without licenses or fees.

PM-WANI Ecosystem Components

• Public Data Office (PDO): PDOs are usually housewives, tea sellers, photocopy shop owners and roadside food stalls who offer cheap data vouchers at Rs 5 to Rs 100.
  • An average PDO makes Rs 700-1000 per month and will be able to sustain the business at the new ceiling price.
    • They set up Wi-Fi hotspots to provide internet access.
    • No license fee is required from DoT for operation.
• Public Data Office Aggregator (PDOA): Provides authorization, accounting services, and user interfaces for purchasing data plans and monitoring usage.
• App Provider: Develops applications to help users locate and connect to nearby PM-WANI hotspots for seamless internet access.
• Central Registry:
  • Managed by the Centre for Development of Telematics (C-DoT).
  • Maintains records of App Providers, PDOs, and PDOAs.

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Accessing PM-WANI Internet

• Download a relevant app to view available networks.
• Select a connection from the list and make a payment to access the internet.
• The user can access the network until their balance is exhausted.

Advantages of Capping Internet Tariffs for PM-WANI Scheme

• Affordable Connectivity: Capping broadband costs at twice the retail broadband rate allows Public Data Offices (PDOs) to access connectivity at lower rates (₹500–₹600/month).
• Boosts PDO Viability: Reduces dependency on expensive leased line connections (40–80 times costlier), improving profitability for small-scale PDO operators.
• Encourages Public Participation: Attracts more housewives, tea sellers, and small businesses to become PDOs by offering affordable operational costs.
• Rural Connectivity Expansion: Helps bridge the digital divide by promoting the establishment of affordable public Wi-Fi in underserved rural areas.
• Social and Economic Impact: Enhances digital access for education, work, and communication at a minimal cost for the lower-income population.