The project encompassed the provisioning, operation and maintenance of Village Public Terminals (VPTs) in uncovered villages. The project was effective with effect to 10.11.2004 and was valid for 8 years. The subsidy support was extended to a maximum period of 5 (five) years from the date the VPT is installed and made functional.

The project had the provisdion of changing the location of VPTs to provide better access to the public within the geographical boundaries of the same village. However, no subsidy support was extended for relocating the VPTs by Universal Service Obligation (USO) Fund against the expenditure incurred on relocation. The USP was responsible for provisioning and operationalising of necessary equipment and systems, treatment of subscriber complaints, collection of call charges and the issue of receipt thereof, and attending to claims and damages arising out of operations.

Roll Out

The USP shall receive a subsidy from the date VPT is installed and made functional. The equated annual subsidy payable quarterly in arrears shall be given up to a maximum period of 5 years from the date VPT is installed and made functional. The subsidy from the USOF shall be disbursed in four quarterly installments during each financial year. Each installment shall be disbursed quarterly in arrears.

In cases of faults for more than 7 days in a quarter, the subsidy shall be deducted proportionately for the total number of days VPT remained faulty during the quarter. In cases, however, where the VPT remains faulty for 45 days or more in a quarter, no subsidy for the entire quarter shall be allowed.

VPTs that remain disconnected on account of non-payment and VPTs that register no incremental meter reading during the entire quarter shall not qualify for any subsidy support for that quarter

Claims from QE December 2007 onwards should contain a list of NIMR/Closed/DNP Nos.

Subsidy claims from QE June 2008 onwards should be certified by the concerned GM/DGM (TR) to the effect that information furnished in the claim tallies with the billing record

Roll Out conditions modified vide USOF-Technical letter no. 30-130/2007-USF/ Vol VIII dated 04.02.2009, circulated vide USOF-Finance letter no.

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