Monitoring the Deliverables

underUSOF

Mobile Infrastructure Schemein

North East Region

Presentation by CCA, North East Region

Flow of Discussion

A. Overview of the scheme

B. Monitoring the Deliverables of Infrastructure Providers

C. Monitoring the Deliverables of Universal Service Providers

D. Impact of Monitoring

E. Issues to be resolved

OVER VIEW OF

SCHEME FOR

SIX CLUSTERSOF

NORTH EAST CIRCLES(NE I AND NE II)

Mobile Infrastructure Scheme : Overview for NE I Circle

Cluster No. Number of

approved

Towers

IP

Name

USP Name

54(Meghalaya) 108 KEC RTL DWL BSNL

55(Mizoram) 43 KEC RTL DWL BSNL

71 (Tripura) 115 BSNL RTL DWL BSNL

TOTAL for NE I 266

Mobile Infrastructure Scheme an Overview for NE I Circle

� Representative Rates

No subsidy flow for Part B in Cluster 71

Cluster No. Part-A (Per annum per site)

Part-B (Per annum per site)

54 (Meghalaya) Rs. 2,23,299/- Rs. 1,49,345/-

55 (Mizoram) Rs.2,74,599/- Rs. 1,59,758/-

71(Tripura) Rs. 2,55,912/- 0

Mobile Infrastructure Scheme : Overview for NE II Circle

Cluster No. Number of

approved Towers

IP Name USP Name

7 (ArunachalPradesh)

67 BSNL RTL DWL BSNL

53 (Manipur) 98 BSNL RTL DWL BSNL

56 (Nagaland)51 BSNL RTL DWL BSNL

TOTAL for NE II

216

Mobile Infrastructure Scheme an Overview for North East II Circle

� Representative Rates

Cluster No.Part-A (Per annum

per site)

Part-B (Per annum per site)

7 (Arunachal Pradesh) Rs. 2,02,316/- Rs. 1,45,870/-

53 (Manipur) Rs. 2,12,185/- Rs. 1,52,410/-

56 (Nagaland) Rs. 2,12,185/- Rs. 1,11,315/-

Monitoring of USOF Schemes

Rule 524 (v) & (vi) of the Indian Telegraph (Amendment) Rules 2004, lays down the power of the Administrator USOF to

‘specify relevant formats, procedures and records to be

maintained and furnished by the Universal Service

Provider’ and to ‘monitor the performance of the

Universal Service Provider as per the procedure

specified by him [Administrator] from time to time’

Subsidy disbursement and monitoring under USOF has been decentralized to 22 CCA offices across India by USOF Administrator with concurrence of DoT IFA

Monitoring the Deliverables of Infrastructure Provider

1. • Monitoring through Monthly reports

2. • Monitoring the Self Certifications

3.• Monitoring through Subsidy Claims

4. • Monitoring via inputs from USPs

5. • Monitoring through Physical Inspection

1. Monitoring through Monthly Reports

Agreement prescribes MIS A to be submitted monthly by IP to CCA office. Two aspects are monitored through MIS A:

� Progress in Civil Work by IP

� Progress in Electric work by IP

MIS A and Ann 5 helps CCA in monitoring the Status of ROLL OUT for an IP in a cluster.LD aggregating to Rs 44.5 Lakhs has been recovered from IPs in NE I and NE II Circle.

1(a) Progress in Civil Work� CCA office closely monitors and periodically

reviews the progress made in civil work foryet to be commissioned towers.

� The hurdles in progress are discussed andCCA office has acted as a coordinatorwherever required like (i) in acquisition ofForest land (ii) security issues duringconstruction (iii) delay due to otherconstraints unique to North East Area

MONITORING THE IMPLMENTATION

IP Name Approved Sites

Commissioned sites as on

31.12.2009 (Roll out date)

Commissioned Sites as on

31.08.2011 (Cut off date)

Percentage achievement

KEC (Cluster 54) 108 107 107 99%

KEC (Cluster 55) 43 37 37 97%

BSNL (Cluster 71) 115 81 115 100%

TOTAL for NE I 266 225 259 99%

STATUS OF CIVIL WORK IN MIZORAM AS ON 29TH Feb, 2012

S. No

Site NameSite Clearance,

Lay out, ExcavationTower

FoundationDG

FoundationSecurity Cabin

Boundary Wall

Tower Erection

1 Ratu √ √ √ √ √ x √

2 Khawruhlian √ √ √ √ √ x √

3 Bungzung √ √ WIP x x x x

4 Mimbung √ √ √ √ WIP x x

5 Lungtian √ √ √ √ √ WIP WIP

6 Sertlangpui √ √ √ √ √ x x

6 6 5 5 4 - 2

IMPLMENTATION STATUS: PART-A (NE II)

Cluster No of Approved Sites

No of Commissioned site %achievementDec, 09 Dec, 10 Aug, 2011 Feb, 2012

7(ARP) 67 25 59 61 63 91%

53(MNP) 98 16 53 60 60 61%

56 (NGL) 51 19 36 42 48 82%

TOTAL for NE II 216 70 162 163 172 75%

STATUS OF CIVIL WORK IN NORTH EAST II AS ON 29TH Feb, 2012

S. No

StateBalance site to

be commissioned

Site Clearance, Lay out,

Excavation

Tower Foundation

DG Boundary Wall

Tower Erection

1 7 (ARP) 4 4 4 2 1 1

2 53 (MNP) 37 37 37 0 0 0

3 56 (NLD) 3 3 3 1 0 1

Operational, Administrative, Financial, Law and Order and

other issues in NE II Circle are causing delay

(b) Monitoring issues related to Electric Work

� Provisioning of Permanent Electricity Supply in USO Towers and cause for the delay.

� Provisioning of two DG Sets where Permanent SEB supply is still to be provided. Receipt of Estimate by IP from SEB, payment of Demand Note and progress in EB supply work.

� Provisioning of two DG Sets where Permanent SEB supply is not feasiblePeriodic review meetings are held by CCA, NE where IP, USP and SEB Officers actively participate, exchange the issues and synergise.

Status of Permanent SEB Connection: NE ICluster

Sites Commissioned

SEB Con as on Mar, 11

SEB Con as on Feb, 12(Temp)

DD Deposited

Estimates not

received

Remarks

54 107 52 71 +

(2)

101 5 SEB Conn not feasible at Huroi site; Huroi has

2DG sets

55 37 10 21+

(4)

32 5+6 DD awaited from KEC CO for 1

sites

71 115 99 106 112 3 2 DG sets are provided at 3 sites

Status of Permanent SEB Connection (NE II)

Details as provided by IPArunachal

PradeshManipur Nagaland

A Sites Commissioned 63 60 48

BSEB Connection received

as on Mar, 1160 0 36

CSEB Connection received

as on Feb, 1261 0 42

D DD Deposited 65 2 42

E Sites with 2 DGs 5 61 1

2. Monitoring the Self Certification (Annexure 9)

� As prescribed in Agreement, IP certifies all the major aspects of the towers including location, civil and electrical work, SACFA and Pollution Clearance etc. in Ann 9.

� CCA, NE took a monitoring drive for all 425 odd sites, scrutinized Ann 9 and asked IPs to rectify the deficiencies.

� An exhaustive database was prepared for all towers in North East to monitor the details in Ann 9 vis-à-vis those provided in approved data from USOF HQ.

2. Monitoring the Self Certification (Annexure 9): Issues in NE I Circle

� RFI date was determined for all the towers as per USOF extant instructions to regularize the subsidy flow.

� In Cluster 54 (Meghalaya) and Cluster 55 (Mizoram), BSNL disagreed to integrate as (i)Demand Note not paid by IP to SEB and (ii) towers were not ready for integration for BSNL. CCA, NE co-ordinated with USOF HQ and the issue has been resolved. BSNL has resumed integration.

2. Monitoring the Self Certification (Annexure 9): Issues in NE II Circle

� IP, NE II Circle faced problems in submitting Ann 9 like: � Difficulty in acquiring Lease deeds esp in Nagaland and Arunachal Pradesh

� Delay in SACFA Clearance by DOT HQ esp in Manipur

� SACFA delay was coordinated by CCA, NE with DoT HQ� Progress of Ann 9 submission was constantly monitored by

CCA, NE with rigorous persuasion.� Out of 160 odd sites, submission of Ann 9 was increased to

100 towers (62%) by Feb, 11 and to140(87%) on Feb, 12 in NE II Circle.

3. Monitoring through Subsidy Flow

Following issues were noted while monitoring the Subsidy Claim Statements of IPs:

a. Issues related to Tower ID� Mismatch of Tower IDs from USOF Master data

� Tower IDs not available in claim

� Tower IDs differing among various claims and at variance with that in Annexure 9

Tower ID is a unique and standardized physical identification number for any tower as it describes its exact location in accordance with the Census data

3. Monitoring through Subsidy Flow

b. Issues related to Village Names� Mismatch of Village names from USOF Master data

� Non availability of village name in USOF Master data

Variance in Tower ID and/or Village name raise a doubt on correctness of tower location. Subsidy is kept withheld in such cases and issue has been constantly persuaded by CCA, NE with IP and USOF HQ for rectification. For cluster 54 and 55, issue has been resolved recently; rest under process at USOF HQ.

4. Monitoring via Inputs from USPsCCA, NE has always encouraged inputs from USPs on deliverables from IPs. Major such issues are:

� Meghalaya: BSNL objected in radiating from 48 odd sites being within 3Km of their existing towers. CCA, NE assisted USOF HQ by physically monitoring the towers and presenting the ground reality. Issue has been recently resolved; BSNL relieved from integrating 15 sites, 33 are being radiated by BSNL.

4. Monitoring via Inputs from USPs: Sites returned by USP BSNL to IP, NE II CircleS. No Cluster Site Name Reasons

1 Manipur ChehlepTower is broken. Land owner is not allowing

2 Manipur Sita Tower is broken

3 Manipur Chalwa DG wiring not done

4Arunachal Pradesh

Hayugam (Saplang) DG not ready

5 NagalandChiebobozou (Seiyhama)

Tower is broken

Such issues were taken up in review meeting by CCA, NE and issues at 4 and

5 above have been complied by IP)

4. Monitoring via Inputs from USPs: Other issues� Theft of equipments and expensive cables by

miscreants as reported by USPs � Issues related with Irregular/ Non availability of

Power supply � Issues related to DG not started or fails to

start, non replenishment of fuel, DG or DG Battery faulty

� Collapse of wall in ONGC Chanpang, Nagaland reported by DWL

� Rent issue, Security issues, custodian issue

Glimpse of our mail inbox

5. Monitoring through Physical InspectionDespite harsh climatic conditions, terrific terrains andgeographical adversities remote and inaccessiblelocations of towers, staff crunch and other constraints,CCA, NE has taken up a special drive of PhysicalInspection in present Financial Year

CircleNo of RFITowers

No of towers inspected as on

Mar, 2011 Feb, 2012Mar, 2012

(expected)

NE I 225 24 114 170

NE II 172 6 47 60

TOTAL 397 30 (7%) 161(38%) 230 (54%)

General Observations related to Towers in North East

KEC Towers (Cluster 54 and 55) arecharacterized by three legs, presenceof two Sign board, mobile chargingfacility outside the tower and single

phase Engine Alternator.

General Observations related to Towers in North East II and Tripura

BSNL’s towers (Cluster 7, 53 and 56)are four legged with heavy roundedhead proper distribution box and 3Phase Engine Alternator.

Observations related to KEC towers

� No proper feeder cable tray up to BTS in some towers

� Wires hanging loose in one USO Tower at Ranikor� Chain linked fencing was noted in two towers rather

than a boundary wall; approval from USOF HQ is pending

� Some Towers require repainting e.g. Kamphaduli � Name of village where tower is located and name in

the Claim/sign board is different (e.g. Borsora, Kamphaduli)

� External Alarm panel is yet to be connected to DG and Main Supply in many sites

Observations related to BSNL towers in Tripura

� Four legged towers with SEB connection available in all the towers inspected except Kanchigunj South, Tripura.

� Sign board not available in Kanchigunj tower� Village name as provided in Claim and village name

available in Signboard is different (Paschim Nalcherand Mandhai in West Tripura)

� Tower at Bashpukur Kathaliya is still to be painted� Earthing wire regarding Lightning Arrestor has been

stolen in all the towers inspected

Observations made during inspection of USO Towers in NE II

� Low availability of SEB supply with all sites running on DG sets in Manipur.

� DG sets in poor working condition at many places

� DG set at Maglenoma, Nagaland was found to be stolen on inspection.

� BTS equipments lying on site. Site either yet to be integrated or down during inspection. More than 40% towers are yet to be integrated

� Connection to Earthing, Lightning Arrestor, LED Aviation Lamp not available

� Non availability of Sign Boards, Fire Alarm and Fire extinguisher.

� Sites need to be properly leveled and cleaned.

GLIMPSE OF PHYSICAL INSPECTION

OFUSO TOWERS

AND ISSUES THEREIN

Problems during Commissioning of Towers

Difficulties in Approaching Towers

Terrains and Towers in North East

Remotely located Towers of Mon District, Nagaland waiting in solitude for long to get integrated

Totokchingha

Tang

Pongkong

Commissioning of Jakhu Tower delayed; being amidst Dense Tropical Forest carrying DG Set and other

equipments by head load to site was difficult

Creepers flourishing at Mokokchung site due to poor maintenance and scarce site visit

BROKEN TOWER AT SAYHAMA, NAGALAND

BROKEN TOWER AT CHEHLAP, MANIPUR

BROKEN TOWER AT SITA, MANIPUR

Monitoring the Deliverables of Universal Service Provider

1. • Monitoring through Monthly reports

2. • Monitoring the Down Time Report for Tripura

3.• Monitoring through Subsidy Claims

4. • Monitoring via inputs from IPs

5. • Monitoring through Physical Inspection

1. Monitoring through Monthly Reports

� Agreement prescribes following reports to besubmitted by USP to CCA office on monthly/quarterly basis:

� MIS B: Construction Phase

� Ann 5 A and B: Construction Phase????

� Ann 9: Self Certification

� Ann 10: Down time Report

� Initially USPs were reluctant in submitting thereports esp Ann 5 and 10 but after regularpersuasion, the reports are now timely submittedsince June, 2011 from all USPs.

1. Monitoring through Monthly Reports� USPs are made to submit completely filled all

reports since commencement of services foreffective monitoring. In Ann 5 and Ann 9, USPsdeliberatively avoided details regardingcoverage area and number of rural connectionsprovided from concerned BTS.

� Ann 9 is watched to monitor whether thetechnical details provided by USP qualify thespecifications prescribed in Agreement. Ann 9determines RFR date and thus commencementof subsidy flow

1. Monitoring through Monthly Reports

� Periodic scrutiny of Ann 9, Ann 5 A and Ann 5B tomonitor the deliverables by USPs as prescribed inAgreement.

� Quarterly Scrutiny of Ann 10 to monitor theperiod of interruption in services in each site andits correct reflection in the subsidy claims in termsof subsidy deductions.

� Roll Out was monitored through Ann 5 and Ann 9;liquidated damages aggregating to Rs 1.16 croreshave been imposed and recovered for NE I andNE II Circle

IMPLMENTATION STATUS: PART-B (BSNL) NE I

Cluster No

RFI Sites

Site radiated on

Sites yet to be radiated

Dec, 10 Mar, 11 Aug,11 Feb, 12

54 (MGL) 107 1 57 70 82 25 (23%)

55 (MZR) 37 0 19 23 25 11 (32%)

71 (TRP) 115 0 85 93 102 13 ( (11%)

TOTAL 259 1 161 186 186 73 (28%)

IMPLMENTATION STATUS: PART-B (BSNL) NE II

Cluster No

RFI Sites

Sites radiated as onSites yet to be radiatedDec, 10 Mar, 11 Aug, 11 Feb, 12

7(ARP) 61 3 44 54 61 2 (.05%)

53(MNP) 59 3 26 33 47 12 (20%)

56 (NGL) 41 0 10 12 12 29 (71%)

TOTAL for NE II

161 6 80 99 120 41 (25%)

IMPLMENTATION STATUS: PART-B (DWL) IN NE I

Cluster No

Sites commission

ed

Sites radiated as on

31.03.2011

Sites radiated as on

31.08.2011

Sites yet to be radiated

54 107 88 88 19 (18%)

55 37 24 24 13 (35%)

71 115 78 78 37 (32%)

Total 259 190 190 69 (27%)

No new site has been radiated since past one year. Reasons being

media problem and poor network availability

IMPLMENTATION STATUS: PART-B (DWL) NE II

Cluster No Sites commissioned

Sites radiated as on

31.03.2011

Sites radiated as on

31.08.2011

Sites yet to be radiated

7 (ArunachalPradesh) 61 4 4 57 (93.4%)

53 (Manipur) 59 6 6 53 (89.8%)

56 (Nagaland) 41 6 6 35 (85.4%)

TOTAL for NE II 161 16 16 145 (90%)

IMPLMENTATION STATUS: PART-B (RTL) IN NE ICluster No

Sites commissioned by IP

Sites radiated as on Sites yet to be

radiated31.03.2011 31.05.2011 31.08.201

1

54 107 54 58 60 47(44%)

55 37 1 6 6 31(84%)

71 115 12 12 12 103 (90%)

TOTAL

259 67 76 78 181 (70%)

No site radiated in past six months. In NE II, not a single site radiated. Case

forwarded to USOF HQ in July, 2011.

2. Monitoring the Down Time Report for Tripura (Cluster 71)

� Subsidy representative rate for Tripura (Cluster 71) isZERO for USP and therefore incidence of BTS beingdown attracts penalty.

� Down time is to be monitored by the prescribed Ann10 Report which was submitted by USPs recently aftermuch reluctance.

� CCA office has imposed penalty on the basis of Ann10 and has recovered Rs. 3.08 Lakhs as penalty due.RTL, DWL and BSNL were asked to submit revisedaudited claims for Tripura for all quarters andrecoveries were effected.

3. Monitoring through Subsidy Claims: Case of USP BSNL NE I Circle

� Subsidy claim not submitted by BSNL till May, 2011. � After rigorous persuasion of CCA, NE, BSNL filed the claims

since April, 2009 to Mar, 2011. � Low integration (88 out of 261RFI Towers, 34%), huge

deductions for service interruption (70-95%) and petite net subsidy payable for 8 Qrtrs (Rs. 33.8 Lakhs) instilled phenomenal motivation in BSNL to integrate more towers, and to keep the BTS up.

� In FY 2011-12, by Dec, 2011, 209 towers were integrated (80%) with high uptime and recording Rs 1.06 Crores subsidy flow for these 3 quarters only.

� CCA, NE acted as catalyst for the deliverables of USP BSNL by pro-active monitoring.

Subsidy Claim Settlement and LD Recoveries made till date

IP/USP Name Cluster Amount in Crores of Rupees LD Re covered (in lakhs)

Claimed Settled

IP KEC 54, 55 9.55 9.04 0.94IP BSNL, NE I 71 6.26 6.01 8.95IP BSNL, NE II 7, 53, 56 6.02 3.46 34.63USP BSNL, NE I 54, 55 1.40 1.40 21.9USP BSNL, NE II 7, 53, 56 1.48 1.11 9.34DWL 7, 53, 54,

55, 56, 714.35 3.97 32.55

RTL 7, 53, 54, 55, 56, 71

1.48 1.08 42.12

TOTAL in Crores 30.54 26.07 (85%of claimed

1.5 (6% of Disbursement)

4. Monitoring via Inputs from IP

�Low Battery Bank of DWL (51 cases in Tripura)

�Load unbalancing on the Engine Alternator (14 cases) due to single phase Equipments of BTS in case of Cluster 7, 53, 56,and 71.

�Huge Receivables from USPs

5. Monitoring by Physical Inspection

Following issues were noticed regarding USP during physical inspection:

� Equipments lying on site but not integrated mainly due to media problems.

�Equipment integrated but network unavailable.�Poor battery bank in case of DWL�Cables not laid properly, broken platforms, BTS

door open in case of DWL

GLIMPSEOF

OBSERVATIONS MADEDURING

PHYSICAL INSPECTION

Scattered Wiring and Broken Platform near DWL BTS

Loose wires and broken platform: Rikhen

Wires hanging loose at Ranikor Site (W. Khasi Hills)

Wires wrapped around tower: Mawkyllie, Meghalaya

Improper Clamping of Basement of BSNL VSAT (Ngunraw, Meghalaya)

VSAT at Borsora, Meghalaya

VSAT at Balat, Meghalaya

Properly cemented basement at Kinshi

BSNL’s equipments lying idle at Domjorain, Meghalaya

BSNL has integrated

the tower after joint

inspection

BSNL’s BTS and other equipments lying Idle at Tizit HQ, Nagaland

Empty BSNL BTS Shed in Mokhokchung, Nagaland utilised privately by Care taker

External Alarms extended to BTS by BSNL at Kyndong Tuber

Status of Mobile Services in Seventeen W. Khasi Hills USO Towers on the Inspection day ?

Name

of USP

Equipment IntegratedN/W

coverage.

Yes No Yes No Yes No

BSNL 17 0 13 4 7 10 (59%)

DWL 13 4 13 4 13 4 (31%)

RTL 12 5 5 12 5 12 (100%)

IMPACT OF MONITORING

� Timely Commissioning of most of the tower by IP.

� Hastened integration by USP esp USP BSNL� Increase in SEB connections esp in Meghalaya� Submission of Ann 9 in case of NE II Circle due

to acquisition of lease deed and SACFA clearance

� Resolution of issue of objected sites in Meghalaya

IMPACT OF MONITORING

� Resolution of Tower ID issue in case of KEC as IP

� Submission of revised and audited claims for Tripura and receipt of Penalty from the USPs

� Reduced number of towers with zero radiance

� Deduction of LD

IMPACT OF MONITORING

� Compliance has been received on most of the issues from IPs and USPs on observations made during Physical Inspection

� Balancing of power and constant vigil on each other make IP and USP efficient

� Site wise nodal person from IP and USPs along with contact details have been made available to all for co-operation and resolving the issues

Issues to be Resolved

� Finalized list of approved number of towers, the master data on website with approved tower IDs and other details.

� Extension of roll out period for IP in case of Tripura and North East II

� DWL and RTL has stopped integration process and RTL has not integrated even one site in NE II despite regular persuasion and monitoring by CCA office

Monitoring by CCA

CCAs thus far have been instructed to highlight the

implementation defects while conducting Physical

Inspection & interact with Telecom Service

Providers to rectify & facilitate effective service

provision. USOF Administration and DOT HQ have

expressed satisfaction on the role CCA offices have

so far played.

Suggestions for Improvement� All the CCA offices should not be measured with

same yard sticks as there are issues specific toCCA offices.

� Circles with geographical and other constraintsincluding staff crunch should be helped by otherCCA units by deputing inspection teams forassistance.

� Statistical sampling method as employed by USOFHQ in RDEL should be extended for all activitiesspread over the Agreement period to deriveconclusive results

CONCLUSION‘MONITORING BY CONTROLLER’

may not be taken in a negative connotation…. It is a mechanism to optimize the deliverables, regularize

the subsidy flow and to synergize among the various strategic partners for the betterment of the ultimate beneficiary…..

the ultimate Goal of USOF and Monitoring is “Provisioning of accessible and affordable telecom services for the residents of rural and remote areas”