Report By INTERNET-READINESS OF INDIAN STATES · With advancement of internet penetration and...
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INDEX OF INTERNET-READINESS OF INDIAN STATES February, 2016 Report By
Transcript of Report By INTERNET-READINESS OF INDIAN STATES · With advancement of internet penetration and...
INDEX OFINTERNET-READINESS
OF INDIAN STATESFebruary, 2016
Report By
INTERNET READINESS INDEX IN INDIA
INTRODUCTION 4
Previous Work on e-Readiness 4
Objective of the study 5
A. Framework of the Study 5
METHODOLOGY 9
E-INFRASTRUCTURE INDEX 10
E-PARTICIPATION INDEX 23
IT SECTOR INDEX 24
E-GOVERNANCE INDEX 26
E-READINESS INDEX 32
LOCALISATION of IT and ITeS INDUSTRY 43
CONCLUSION 44
REFERENCES 45
APPENDIX 46
DATA COLLECTION AND ANALYSIS 46
A. Method of Data Collection 46
A.1: Information Collected From Secondary Sources: 46
A.2. Information Collected from State IT offices 48
ABOUT INDICUS ANALYTICS 54
ABOUT IAMAI 55
The most phenomenal change India has experienced during the last decade was penetration of internet technology into every realm of personal and community life. Introduction of smartphones and internet services by telecom companies, apart from those with other modes of internet services, has changed the lifestyle of the country people altogether, especially of the urban population. On top of this, with banking facilities through internet for financial inclusion as well as various governance related services including rural part of the country, India is poised to become a nation integrated digitally soon.
With advancement of internet penetration and digitalised personal and community life, it is also important to see how this benefits are spread across different regions of the country as well as how this has percolated to every stratum of the society. It is critical that every part of the country as well as every section of this society has awareness and access to this life changing technology towards building a Digital India.
Most other studies focus on conventional parameters that try to measure internet readiness in terms of readiness for adopting IT/ITeS industries. However, with the evolution of the digital economy and the advent of mobile internet, the ecosystem has changed and hence newer parameters are required to capture Internet readiness in the new age.
With this background, IAMAI, as a foremost industry association, desired to undertake a study to assess the internet readiness of various states that reflects the status as well as the environment in every state regarding internet penetration and usage.
INTRODUCTION
Several studies have been done so far to formulate the e-Readi-ness rankings by various government and private institutions. Each ranking is the product of different methodologies and divergent definitions of e-Readiness. The Economist Intelli-gence Unit (EIU, 2006) stated that different corporate and international organizations have developed a variety of e-Readiness models to participate in the global digital economy at the level of e-Commerce, e-Government and general ICT diffusion. These indices include ‘The Inter-national Telecommunication Union Digital Access Index’, ‘World Economic Forum Networked Readiness Index’, ‘United Nations Conference’ on ‘Trade and Development ICT Development Index’, ‘The Economist Intelligence Unit e-readiness Index’, ‘Mosaic Group Index’, ‘Conference Board of Canada Connected Index’, ‘ORBICOM Infostate Index’.
The Economist Intelligence Unit (2014) defines a country’s e-Readiness as a, “measure of their e-business environment, a collection of factors that indicate how amenable a market is to internet based opportunities”. The EIUs e-Readiness Study is a measure of the quality of a country’s ICT infrastructure and the ability of its consumers, businesses and governments to use ICT to their benefit. This index measures (a) connectivity and technology infrastructure (b) business environment (c) social and cultural environment (d) legal environment (e) governmAent policy and vision (f) consumer and business vision.
National Council of Applied Economic Research (NCAER) is the first organization in India to assess the e-readiness of Indian states and union territories. As defined by NCAER, e-Readiness of state/UTs measures its ability to participate in the increasingly networked world as a composite of ICT environment, readiness and usage within the state/UTs. The emphasis of this measure of e-Readiness was to capture capacity to provide services that enabled (a) participation in the provincial and digital economies, (b) equitable and cost effective governance, (c) a better integration of the deprived segments of society and remote regions. Thus e-Readiness index as defined in Indian context is based on the following broad parameters: a. The ICT environment of a given state b. The readiness of the people to use ICT c. The actual usage of ICTA
Previous Work on e-Readiness
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International research on e-Readiness is widely used by both government and non-governmental organizations. The global ranking based on e-Readiness by the Economist Intelligence Unit is the most popular tool which serves an easy reference point to gauge the progress of ICT, focus efforts and identify areas where advancement is required. In the global ranking for 144 countries on ‘Networked Readiness Index-2014’, India stands at 83rd rank and the relative position has declined from 68 in 2013. Clearly, India is not moving as fast as other countries. Accordingly a detailed analysis at micro level is required to identify gaps in internet growth or the usage of internet.
This study aims at measuring internet readiness for different states of India. More precisely, the objective of this study is to: i. Assess the Internet readiness status of the states in India ii. Rank the states in terms of Internet readiness iii. Identify the policy aspects that have led to their success or failure.
The analysis can be used as a tool for the policy makers to recognize gaps and adopt corrective measures. Besides, the success path of the Internet ready states of India can be used as a path guide for replicating development in other states.
The indicators are categorized in 4 broad categories based on their nature and similarities in characteristics. The status and performance of the states on the basis of each indicator collected is analyzed under the following heads:
a. e-Infrastructure b. e-Participation c. IT Services d. e-Governance
e-Infrastructure comprises of tools, facilities and resources that is required for Internet readiness. This category measures the extent to which individuals and business organizations can access mobile networks and internet. It is the optimal representation of the extent to which voice and data services are accessible to the people. This index tries to measure the level of e-Infrastructure present in each state on which the e-readiness of the state can be build on.
Objective of the study
A. Framework of the Study
e-Infrastructure
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Promoting participation of the citizen is the cornerstone of socially inclusive governance. The goal of e-Participation initiatives is to improve the citizen’s access to information and public services and promote participation in public decision making which impacts the well-being of the society in general and the individual in particular.
This index tries to capture the Internet readiness of the state population in terms of their present digital engagement.
e-Participation
Information, Communication and Technology is one of the booming industries of Indian economy today. The Indian IT and ITeS industry is divided into four major segments – IT services, Business Process Management, Software products and engineering services, and hardware. ICT service export forms one the most important component of the service export of India, accounting for about 66% of the total service sector export. Computer software takes the major chunk, accounting for 94% of the total ICT export. There has been a significant increase in the proportion of computer software export to total export from 16% in 2007-08 to 19% in 2013-14 (Ministry of Information, Communication & Technology, 2014-15). The computer software and hardware sector in India attracted cumulative Foreign Direct Investment (FDI) inflows worth US$ 13,788.56 million between April 2000 and December 2014, according to data released by the Department of Industrial Policy and Promotion (DIPP).
This index tries to capture the extent of IT/ITeS industry in each state so as to ascertain how well each state has managed to harness the growth potential from one of the most dynamic industries of the country.
IT Service Sector: Status
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Over the years a large number of initiatives have been undertaken by various State Governments and Central Ministries to usher in an era of e-Governance. Sustained efforts have been made at multiple levels to improve the delivery of public services and simplify the process of assessing them. The National e-Governance Plan takes a holistic view of e-Governance initiatives across the country, integrating them into a collective vision.
In order to promote e-Governance in a holistic manner, various policy initiatives and projects have been undertaken to develop core and support infrastructure. The major core infrastructure components are State Data Centers (SDCs), State Wide Area Networks (SWAN), Common Service Centers (CSCs) and middleware gateways, i.e., National e-Governance Service Delivery Gateway (NSDG), State e-Governance Service Delivery Gateway (SSDG) and Mobile e-Governance Service Delivery Gateway (MSDG).
This index tries to capture the e-services offered by the states and the extent of their adoption by the local population.
Selections of the categories (and the parameters within each category) were based on the broader understanding of Internet readiness, whereas Internet readiness encapsulates the spread and extent of the digital sector in different aspects of the socio-economic realities of each state. Thus, Internet readiness in this study is not limited to how industry friendly each state is for investment in the IT sector, but aims to give a more holistic picture of the digital ecosphere that presently exists in the states. This stems from the understanding that only an organic linkage between the digital world and the real world can lead to the development and wellbeing that digitalization promises to deliver.
The different parameters considered under each of these categories and their rational are given in details below.
e-Governance
Table 1: Framework of Internet readiness Index
CATEGORY
e-Infrastructure Tele-Density A network tool available with people by which voice services can be reached.
Mobile subscribers perperson above 15 years of age
Mobile usage is manifold. Higher penetration among adults in a reflection towards the availability of the basic infrastructure
Share of private players in internet service providers
Private service providers are dominating the mobile internet subscription. Therefore larger the number of private players in the market, larger will be the coverage in providing e-infrastructure to the people
Percentage of households using computer/ laptop with internet connection
It directly indicates the infrastructure available with the households to access internet connection in computer/laptop
Percentage of schools with computer facility This indicates the infrastructural support provided to the children
Percentage of post offices equipped with internet and e-mail facility
This indicates the infrastructural support provided in the post offices
Mobile subscribers with internet access per person above 15 years of age
It directly indicates the infrastructure available with the people to access internet in mobile
MEASURE RATIONALE
In tune with the main objectives of this study, all the 35 states and union territories in India have been ranked on the basis of the four important components.
A comparative analysis of states is possible only with similar stage of development or size. Accordingly, states are categorized into groups: i.e., 20 large states, 9 small states and the remaining are union territories. Each of the components is ranked within each category.
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CATEGORY
e-ParticipationRatio of Number of adults completed primary or higher level of education to total population
This indicates the basic skills available with people to participate in an e-Ready environment
Average revenue per user on mobile services Reflects the extent of usage
No. of e-Transactions in Utility Bill payments per lakh person above 15 years
It includes the citizen participation in e-Transactions in payment of Water bill, telephone bill, electricity bill, e-Municipality services, piped-gas bill etc.
No. of e-Transactions in InformationalServices per lakh person above 15 years
This reflects the use and awareness of e-Governance services
No. of e-Transactions in Statutory andNon-Statutory services per lakh person above 15 years
It includes citizen participation in statutory and non-statutory services
No. of e-Transactions in Business to Citizen (B2C) Services per lakh person above 15 years
It includes citizen participation in business services, likebanking transactions, mobile recharge etc.
IT ServicesNo. of IT companies per ‘000 population
It identifies the economy that has scope of growth and employment in IT sector
Ratio of IT Workers to Total Workers It reflects the employment status of ICT which directly impacts an e-ready environment
Ratio of GDP- IT Services to Total GDP It identifies the economy which has higher potential of providing e-Ready environment
e-Governance% of Kiosks installed under Rural Wireline Broad band Scheme in India
Reflects the achievement of the government in meeting the target of NeGP
Expenditure Incurred on Operational Common Service Centers per person Reflects the extent of functioning of the CSCs
No. of e-Services rolled out for citizen participation
Reflects the e-Governance services provided by the government to the citizen
MEASURE RATIONALE
A range of statistical procedures are developed that can be used to formulate an index. Principal Component Analysis (PCA) is one of the most popular methods used in indexation. PCA is a useful technique for transforming a large number of variables in a data set into a smaller and more coherent set of uncorrelated factors, the principal components. The principal compo-nents account for much of the variance among the set of original variables. In mathematical terms, from an initial set of n correlated variables, PCA creates uncorrelated indices or components, where each component is a linear weighted combina-tion of the initial variables. For example, from a set of variables Xn
Where amn represents the weight for the mth principal component and the nth variable. The weights for each principal component are given by the eigenvectors of the co-variance matrix.
Given the range of dimensions and large number of variables used in indexation, PCA analysis was found to be the most suitable method of developing Internet readiness Index. Further, given the various aspects of Internet readiness covered in the model, it may so happen that a state scores high in a particular indicator, say, mobile subscription but very low in terms of another indicator, i.e., growth in internet penetration. It is therefore essential that each of the parameters is given its relative importance. PCA analysis enables one to determine the relative importance of each indicator in the model.
Another aspect of PCA analysis is that it can reduce a large number of original variables to a small number of transformed variables only when the original variables are highly correlated. Therefore for a significant reduction of original variables, PCA analysis is done for each component separately. Each component within the composite set is a group of correlated variables.
The number of components to be used for indexation can be decided based on Kaiser’s criterion or the eigenvalue. Under this rule, only those factors with eigen value 1 or more than 1 are retained. In the above model, two components have eigen values greater than 1. Another method of selecting components is the graphical method known as the Catell’s scree test. Catell (1966) introduced scree plots which are visual tools used to help determine the number of important components. The scree plot is examined for natural breaks between large eigen values and the remaining small eigen values. The results of the PCA analysis for each component are given in the appendix section.
METHODOLOGY
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PC1=a11X1+a12X2+……………+a1nXn
PCm=am1X1+am2X2+……………+amnXn
The Broader Picture
Key Highlights
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e-Infrastructure index is an index of 7 measures, i.e., a) Mobile Subscribers per population above 15 years b) Internet access in mobile phones per population above 15 years, c) Tele-density, d) Percentage of households using internet connection, e) Percentage of schools with computer facility, f) No. of Post Offices Equipped with Internet and E-mail Facilities per '00 sq km., g) share of private players in internet
All the measures identified were found to be equally significant in the model. Mobile and internet penetration is one of the crucial measures of e-infrastructure index. Significant correlation exists between e-infrastructure index and other institutional indicators, like schools with computer and post offices with internet facilities. In some states, like, Kerala, Maharashtra, Tamil Nadu, more than 80% of the schools have computer facility. This is encouraging as the young people who will be participating in the e-Ready environment have access to the networked tools. Post offices with internet facilities is again a crucial indicator, however this measure shows low level of achievement across all states.
• The states that emerge as leaders in this component are Kerala, Punjab, Tamil Nadu, Maharashtra, Karnataka, Gujarat and Telangana. In Kerala, more than 90% of the schools have computer facilities. Household Internet penetration in these states is in the range of 4% to 6% above the average internet penetration of other large states. Also, both tele-density and penetration of mobile subscriptions are at least twice the average value of all states.
• Kerala occupies the top most position amongst the large states of India. Kerala government has taken several initiatives in developing a well-developed ICT infrastructure in the state. Kerala State IT Infrastructure Ltd (KSITIL) is the apex company formed under the government of Kerala for pioneering the development of IT/ITES Special Economic Zones, IT Townships and IT Parks in the state of Kerala. Technopark in Thiruvananthapuram, Infopark in Kochi, Cyberpark in Kozhikode are the three IT Parks promoted by the Government of Kerala which have excellent facilities that are comparable with the best IT parks of the world.
E-INFRASTRUCTURE INDEX
Fig 1: e-Infrastructure Index: Large States
Kerela 1.000.97
0.930.87
0.77
0.770.69
0.59
0.570.49
0.470.38
0.260.220.21
0.200.16
0.15
0.080.04
0.20 0.40 0.60 0.80 1.00 1.20
Punjab
Tamil NaduMaharashtra
Karnataka
GujaratTelangana
HaryanaUttarakhand
Andhra PradeshAndhra Pradesh
Jammu & KashmirUttar Pradesh
Madhya PradeshChhattisgarhWest Bengal
Odisha
AssamJharkhand
Bihar
Himachal Pradesh
Key Highlights
• At the other side of the table, Bihar, Jharkhand, Assam and Odisha need improvement in terms of availability of IT infrastructure. Internet penetration in these states are below 1%.
• In the small states category, Delhi and Puducherry are the top achievers. Delhi also emerged as one of the leaders amongst all States/UTs.
• Delhi has seen major infrastructural changes over the past few years amidst increased foreign investment and economic growth. A well-developed ICT infrastructure in the state of Delhi is attracting MNCs and corporate bodies from all over the world. Information Technology, BPOs and other IT services are among the growing industries in Delhi. Also, Goa a state with highest per capita income has ensured the availability of ICT to the people. Both the states show highest level of internet penetration in the country.
• Amongst the north eastern states, Sikkim stands above the rest yet significantly below the index value of Goa.
• Arunachal Pradesh, Meghalaya and Mizoram are the bottom performers. Merely 1% of the households in these states have internet penetration. Besides, these states fare poorly in all the measures of e-Infrastructure index.
Fig 3: Index of e-Infrastructure-Union Territories
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Fig 2: Index of e-Infrastructure-Small States
1.00
0.22
0.20 0.40 0.60 0.80 1.00 1.20
0.14
0.08
0.05
0.03
0.03
0.02
0.01
Delhi
Puducherry
Goa
Sikkim
Nagaland
Manipur
Tripura
Mizoram
Meghalaya
Arunachal Pradesh
Chandigarh 1.00
0.30
0.14
0.05
0.20 0.40 0.60 0.80 1.00 1.20
Lakshadweep
Dadra & Nagar Havell
Daman & Diu
Andaman & Nicobar Islands
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Detailed Analysis of the Parameters
Telephone connections are an essential network tool to connect people and give them access to voice services. The number of telephone subscribers in India increased from 951 million in 2012 to 979 million in January end 2015, registering an annual growth of 1% in three years. Rural subscription increased at a rapid pace from 338 million in 2012 to 404 million in 2015 registering a growth of 6% per annum. However, rural tele-density at 46 telephone connections per 100 persons is far below urban tele-density at 148 connections per 100 persons. Therefore, there is immense scope of growth in rural India.
Delhi circle in India recorded the highest tele-density in 2013-14 at 221 connections per 100 persons. This is followed by Tamil Nadu, Himachal Pradesh and Punjab where tele-density exceeds more than 1 connection per person. Bihar, Assam, Madhya Pradesh, Uttar Pradesh and Jammu & Kashmir need improvement where tele-density is less than 60 connections per 100 persons.
Tele-density
Fig 4: Tele-Density in India (per 100 persons)
Key Highlights• In the union territories list, Chandigarh and A&N Islands occupies the top two positions. Again, Chandigarh has the highest level of internet penetration in the country.
While the index gives a composite view which helps rank states, analysis of each of the variables is important to understand the nuances of the different level of development each state has managed to make in each of these parameters. This in turn helps us both appreciate the efforts made in these fields by each of the states, and also help identify the areas in which more effort needs to be put in by the states to improve on its ranking in this category.
Source: Telecom Regulatory Authority of India, 2014-15Note: Wherever state level data was not available for a telecom circle, the district level data of Census, 2011 is used to estimate the missing states.
222136
108108
105103
969691
8989878787
777676
71696969
686868686868
6059
5757
5454
474646
50 100 150 200 250
Jharkhand
Assam
Madhya Pradesh
Uttarakhand
Odisha
Manipur
MeghalayaTripura
NagalandMizoram
Sikkim
Rajasthan
HaryanaChandigarh
West Bengal
Andaman & Nicobar Islands
Arunachal Pradesh
Jammu & Kashmir
Uttar Pradesh
Chattisgarh
Bihar
Dadra & Nagar HaveliAndhra Pradesh
GujaratDaman & Diu
Maharashtra
Kerala
Punjab
PuducherryHimachal Pradesh
Lakshadweep
Karnataka
Goa
TelanganaTamil Nadu
Delhi
Considering the poor telecom connectivity in rural India, Government of India introduced several steps to upgrade the rural infrastructure. Bharat Nirman Programme set a target to achieve complete broadband coverage of 2,50,000 village panchayats and setting up of Bharat Nirman Common Service Centers.
In 2011, 45% of the village panchayats were under broadband coverage. Kerala and Pudhucherry were the only two states with achievement of 100% broad band coverage in 2011. On the other hand, 15 out of 31 states in India achieved less than 50% broadband coverage. The worst was the case of Meghalaya and Manipur where only 2-3% of the village panchayats were covered under broadband.
However, due to dearth of available information on the targets achieved in 2014, success of the Bharat Nirman Programme could not be gauged.
Broadband Coverage of Village Panchayats under Bharat Nirman-II
Mobile Subscribers
The ease of mobile usage has revolutionized the whole world in less than a decade. In India, number of mobile subscribers per 100 persons increased from mere 8 subscribers in 2005 to 75 subscribers in 2014 (World Development Indicators, World Bank of India, 2014).
However, while few states, like Delhi, Tamil Nadu, Punjab, Gujarat and Himachal Pradesh reportedly have a very high mobile density, it is abysmally low in Lakshadweep, Bihar, Arunachal Pradesh etc. Mobile subscription in Delhi is double than that of the total population of the state. In Tamil Nadu, mobile subscription is almost equal to the total population of the state.
The two leading states, Delhi and Tamil Nadu are followed by Punjab, Gujarat and Himachal Pradesh with about 90 to 95 subscriptions per 100 persons. Looking at the other end, mobile subscription is lowest in Lakshadweep registering only 23 subscriptions per 100 persons. Bihar amongst the large states has a large gap to fill, with merely 35 subscriptions per 100 persons. West Bengal, Assam, Jharkhand and Madhya Pradesh are the other large states where mobile subscriptions fall below 50 per 100 persons. North Eastern states have a low level of mobile subscriptions, Tripura stands above the rest with 72 subscribers per 100 persons.
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As per the Indian Telecom Services Performance Indicator Report, 2015, total number of internet subscribers in India is 302 million of which 94% of the internet subscribers are mobile internet users and only 6% are wired internet users. However, merely 30% of the total mobile subscribers in India have internet access in their mobile phone. About 50% of the mobile users have internet access in Kerala and Lakshadweep while Bihar and Jharkhand take the bottom ranks with only 21% of the mobile users having internet penetration.
In an international ranking done by the International Telecommunications Union, India’s position in terms of internet usage is 151. The top countries Falkland, Iceland, Norway, Demark etc. show internet usage of more than 90%, while in India the internet penetration in 2013 was only 15 %. As per Census 2011, broadband internet density in India is only 3.1%. Only one state and two union territories in India have internet density of over 10%. Chandigarh has the highest (18.8%) followed by Delhi (17.6%) and Goa (12.6%).
Internet Users
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Fig 5: Mobile Subscribers in India (Per 100 persons)
Source: Cellular Operators Association of IndiaNote: Wherever state level data was not available for a telecom circle, the district level data of Census, 2011 is used to estimate the missing states.
256
100
95
8989
79
77
7673
72
71
71
65
6562
60
60
59
58
58
57
5555
52
5049
47
46
45
42
40
39
38
38
35
23
50 100 150 200 250 300
Lakshadweep
Bihar
Arunachal Pradesh
Daman & Diu
Madhya Pradesh
Jharkhand
Mizoram
Goa
West Bengal
Assam
Andaman & Nicobar IslandsSikkim
Uttar Pradesh
ChandigarhOdisha
Puducherry
Manipur
Chattisgarh
Maharashtra
Uttarkhand
Meghalaya
Jammu & KashmirNagaland
Haryana
Rajasthan
Andhra Pradesh
Tripura
Kerela
Dadra & Nagar Haveli
Telangana
Karnataka
Himachal PradeshGujarat
Punjab
Tamil Nadu
Delhi
Source: Cellular Operators Association of IndiaNote: Wherever state level data was not available for a telecom circle, the district level data of Census, 2011 is used to estimate the missing states
Fig 6: No. of mobile subscribers with Internet access (Per 100 person)
Broadband internet connection in India is largely dominated by the public internet service providers, i.e., BSNL/ MTNL. The share of public sector in providing broadband internet connections increased from 56% in 2005 to almost 70% in 2013. Of the mere 30% share of the private service providers, Reliance Communications Infrastructure Ltd. takes the major chunk of 12%.
However, access to internet connections with mobile increased at a faster pace than with broadband connections. As per Census 2011, mere 4% of the households use only landline phone and merely 6% households use both landline and mobile while 53% of the households use mobile phone only. Clearly the main tool of networking today is mobile phones. Given the increasing coverage of mobile connections, the private players have dominated the wireless internet subscribers.
Internet Service Providers
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96.5
38.4
36.2
33.3
28.4
27.2
26.8
26.7
24.4
24.0
22.6
22.3
21.5
20.4
20.0
19.7
18.5
17.1
15.4
15.3
14.5
14.4
14.1
13.8
13.4
12.0
10.4
9.5
8.6
7.4Bihar
Jharkhand
Madhya Pradesh
West Bengal
Uttar Pradesh
Odisha
Uttarakhand
Arunachal Pradesh
Chhattisgarh
Assam
Mizoram
Chandigarh
Sikkim
Rajasthan
Maharashtra
Haryana
Manipur
Meghalaya
Andhra Pradesh
Nagaland
Tripura
Karnataka
Gujarat
Tamil Nadu
Himachal Pradesh
Kerala
Punjab
Delhi
Jammu & Kasmir
Goa
Overall, including both broadband internet connections and wireless internet connections, BSNL holds only 16% of the total market share. Bharti Airtel, Vodafone, Reliance and Idea Cellular hold almost 70% of the share. Given the extent to which private players are gradually taking over the market, it is important to identify the states where private players have a larger share. The private service internet providers are playing a faster and competitive role in providing network tools to the people. The following figure shows the extent of variation in the market share of private players in different states.
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Fig 8: Share of Private players in the (Wireline + Wireless) Market
Fig 7: Market Share of Broadband Internet Service Providers
Source: Telecom Regulatory Authority of India
Source: Department of Telecommunications.Note: North eastern states and union territories with low private participation is not reported here (Detailed table given in the appendix).
86
83
80
78
77
76
72
72
70
69
67
63
61
59
5956
50
49
4842
36
36
30
0 10 20 30 40 50 60 70 80 90 100
Delhi
Karnataka
Telangana
Maharashtra
Gujarat
Goa
Kerela
Uttarakhand
Chandigarh
Tamil Nadu
Andhra Pradesh
West Bengal
Jharkhand
Punjab
ChattisgarhMadhya Pradesh
Odisha
Assam
Rajasthan
Haryana
Himachal Pradesh
Uttar Pradesh
Bihar
69.811.53
6.47
1.69
1.631.28
1.26
0.58
0.545.22
Public Internet service providers (BSNL + MTNL)
Reliance Communications Infrastructure Limited
Bharti Airtel Limited
Hathway Cable & Datacom Pvt. Ltd.
You Broadband & Cable India Private Ltd
Tikona Digital Networks Pvt Ltd
Beam Telecom Pvt. Ltd.
Tata Communications Private Limited.
Asia Net Satellite Communications Ltd.
Others
Giving a child the tools as well as the right to education is a crucial step towards building an Internet ready environment. The closest proxy indicator available in this direction is the number of schools that have computer facility. However, school level statistics do not give an encouraging picture. Only 23% of the schools in India have computer facility and it has increased by mere 3 percentage points in the period 2011-12 to 2013-14. The extent of variation across the country is wide. In Lakshadweep all schools have computer facility while in Puducherry, Chandigarh and Kerala less than 10% of the schools do not have computer facility. On the other hand, less than 10% of the schools in Bihar, Assam, Meghalaya, Jharkhand and Chhattisgarh have computer facility. Gujarat had a significant rise in schools with computer facility increasing from 60% in 2011-12 to 73% in 2013-14.
Schools with computer facility
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Source: District Information System of Education, 2013-14.
Bihar
Meghalaya
Chhattisgarh
West Bengal
Tripura
Jammu & Kashmir
Rajasthan
Manipur
Arunachal Pradesh
Himachal Pradesh
Madhya Pradesh
Uttar Pradesh
Odisha
Jharkhand
Assam
UttarakhandKarnataka
Andhra PradeshMizoram
TelenganaNagaland
HaryanaGoa
PunjabMaharashtra
Tamil Nadu
Sikkim
Delhi
Kerala
Gujarat
88 93
8293
7360
54 51
46 53
48 52
5145
4437
37 39
30
29
27
28
35.49
33.84
35
32
30
30
32
30
21
19
25
24
19
18 23
22
14 16
11 13
12 11
7 11
9 11
9 11
7 9
8
87
87
2 5
9
0 50
2011-12 2013-14
100 150 200
Fig 9 (a): Percentage of Schools with Computer: States
The internet revolution has allowed rapid exchange of communication through e-mails. However, internet connectivity as seen before is still poor in the remote areas. To bridge this digital divide, and to bring the benefits of the revolutionary internet technology to people living in these areas, Department of Posts introduced e-Post. The e-Post was initially launched in 5 states on an experimental basis. In the wake of the experience gained, a tie- up has been established with National Informatics Centre (NIC), who have developed the software and the service is being launched on a national basis. e-Post is a service under which printed or even hand written messages of customers are scanned and transmitted as email through internet. For this purpose, e-Post centers have been set up in the Post Offices, covering all the districts and major towns. Provision of internet and e-mail facilities in post offices has therefore become an important tool of communication. Accordingly, it is essential to assess the number of post offices with computer and email facilities to evaluate the e-infrastructure of a state.
Post offices equipped with internet and e-mail facility
17
Source: District Information System of Education, 2013-14.
10098
9895
9695
55 58
59
28 36
0 50 100 150
2011-12 2013-14
200 250
53
Lakshadweep
Puducherry
Chandigarh
Daman & Diu
Andaman & Nicobar Islands
Dadra & Nagar Haveli
Fig 9 (b): Percentage of Schools with Computer: Union Territories
13.80
12.88
10.68
8.67
7.86
6.93
6.23
4.70
3.86
2.83
1.93
1.49
1.17
1.17
1.17
1.05
1.04
0.79
0.74
0.68
0.68
0.49
0.39
0.38
0.34
0.24
0.23
0.14
0.11
0.11
0.11
0.11
0.11
0.11
2.00 4.00 6.00 8.00 10.00 12.00 14.00 16.00
Manipur
Andhra Pradesh
Meghalaya
Mizoram
Nagaland
Tripura
Uttar Pradesh
Jammu & Kashmir
Chattisgarh
Madhya Pradesh
Rajasthan
Jharkhand
Punjab
Goa
Assam
Himachal Pradesh
Haryana
Bihar
Sikkim
West Bengal
Chandigarh
Puducherry
Andhra Pradesh
Lakshadweep
Uttarakhand
Telangana
Tamil Nadu
Kerala
Gujarat
Maharashtra
Delhi
Karnataka
Andaman & Nicobar Islands
Odisha
18
Source: Ministry of Telecommunication
Fig 10: No. of post offices equipped with internet and e-mail facilities per ’00 sq km.
19
The most significant outcome of an Internet ready society is the ability of the people to utilize IT services or participate in an IT environment. e-Participation is an index of 5 measures, i.e., a) average revenue per user of mobile subscribers, b) e-Tansactions in utility bill payments per lakh person, c) e-Transactions business to citizen services per lakh person, d) e-Transactions: in informational services per lakh person, e) Propotion of aduts who have completed atleast primary years of schooling, f) Mobile governance
The Broader Picture
• The leaders in this category are Gujarat, Maharashtra, Tamil Nadu, Kerala, Telangana and Karnataka. Participation through e-Transactions recorded is far above the rest in every category of e-services compared to the total population of the states. In these states, the average revenue from mobile subscribers is at least double the average value, indicating high usage of mobile to participate in an e-Ready environment. Gujarat stands above others in e-Transactions related to informational services. Maharashtra recorded large number of e-Transactions in statutory and non-statutory service and business to citizen services. Besides these, Maharashtra government has encouraged e-Participation by opening up large number of e-Services for the people. Tamil Nadu records highest number of e-transactions in statutory services.
E-PARTICIPATION INDEX
Fig 11: Index of e-Participation-Large States
Key Highlights
0.02
0.03
0.06
0.06
0.06
0.07
0.08
0.09
0.11
0.11
0.20
0.20
0.28
0.34
0.36
0.41
Gujarat
Maharashtra
Tamil Nadu
Kerala
Telangana
Andhra Pradesh
Madhya Pradesh
Haryana
Punjab
Jammu & Kashmir
Rajasthan
Uttar Pradesh
Himachal Pradesh
West Bengal
Assam
Chattisgarh
Uttarakhand
Odisha
Jharkhand
Bihar
Karnataka
0.94
1.00
0.13
0.08
0.20 0.40 0.60 0.80 1.00 1.20
Telangana outperforms other states in e-Transactions in utility bill payments. Kerala records the largest number of e-Transactions in mobile governance- a component of business to citizen services. Also, close to 80% of the total adult population in the state completed primary years of schooling.
• The states that need to improve in this category are Bihar, Jharkhand, Odisha and Uttarakhand, recording exceedingly low number of e-Transactions across all categories. These states fall behind in the basic minimum requirement of participating in an e-Ready environment. Percentage of adults with bare minimum primary schooling is far below the average.
• In the small states category, Delhi, Goa and Puducherry are the top achievers. However e-Participations for all small states are found to be low in comparison to the large states. Despite a well-developed ICT infrastructure and significant steps taken to promote expansions of skills and technology, participation of the people in utilizing e-Services is lower than many other states.
• Manipur shows the lowest utilization of e-Services.
20
Fig 12: Index of e-Participation-Small States
Fig 13: Index of e-Participation-Union Territories
Key Highlights
1.00Delhi
Goa
Puducherry
Meghalaya
Nagaland
Mizoram
Tripura
Arunachal Pradesh
Sikkim
Manipur
0.67
0.45
0.20 0.40 0.60 0.80 1.00 1.20
0.34
0.27
0.23
0.17
0.16
0.15
1.00
0.79
Lakshadweep
Dadra & Nagar Haveli
Daman & Diu
Chandigarh
Andaman & Nicobar Islands
0.04
0.20 0.40 0.60 0.80 1.00 1.20
A basic pre-requisite of participation in an ICT environment is the skills and the know-how of the use of Information Technology. In a country where about 31% of the population above 15 years of age is illiterate, it is important to identify the section of population that has the basic skills to utilize the benefits of ICT. Number of people who have completed schooling is an important indicator that can identify population with the ability to participate in an e-Ready environment. As per Census, 2011, merely 58 per cent of the population above 15 years of age completed primary education in India. Chandigarh, Delhi and Kerala are the leading states with about 78-81 per 100 persons above 15 years of age having attained primary or higher level education. Bihar presents a worrying picture with only 46 per 100 persons with primary or higher level of education. Similarly, in the states of Rajasthan, Jharkhand and Meghalaya, only half of the adult population attained at least the bare minimum primary level of education.
Adult population with at least primary level of education
The most significant indication of participation is the extent of usage of mobile services. As seen before, internet usage through mobile devices have increased significantly in the recent years. Average revenue from mobile subscribers indicates the extent of usage of mobile services. Revenue per user from mobile subscribers has a significantly high correlation with the number of internet users. Here again, there is a significant variation in the average revenue earned from mobile subscribers. Average revenue per mobile subscriber in Kerala is Rs. 188, followed by Delhi at Rs. 178. At the other end, average revenue per subscriber in Odisha and Bihar is less than Rs. 100.
Revenue per user from mobile subscribers
Fig 14: Average revenue per user from mobile subscribers - (excluding BSNL & MTNL): Large States
Source: Cellular Association of IndiaNote: Wherever state level data was not available for a telecom circle, the district level data on expenditure on mobile from NSSO:2013-14 is used to estimate the missing states.
21
• In the list of union territories, Chandigarh and Puducherry occupy the top rank while Andaman & Nicobar Islands has the lowest participation
Detailed Analysis of the Parameters
Key Highlights
0
Odi
sha
Bih
ar
Jhar
khan
d
Wes
t Ben
gal
Chha
ttis
garh
Mad
hya
Prad
esh
Utt
ar P
rade
sh
Utt
arak
hand
Him
acha
l Pra
desh
Har
yana
Raja
stha
n
Guj
arat
Tela
ngan
a
Tam
il N
adu
And
hra
Prad
esh
Mah
aras
htra
Punj
ab
Karn
atak
a
Jam
mu
& K
ashm
ir
Kera
la
Ass
am
20
40
60
80
100 9299 99 100 103 103 108 108 109
115 118 121 121132 136 140
147 150156
163
188
120
140
160
180
200
Though Indian economy has shown a slower pace of increase in internet penetration compared to other developed economies of the world, it cannot be denied that India is on a steady path of digitization as evident from the significant rise in e-Transactions from 6300 per lakh persons in 2012-13 to 25000 per lakh persons in 2014-15. Participation of the people in e-services can be gauged under the following sections:
a. e-Transaction in statutory and non-statutory services: Statutory services includes: 1. Certificates; 2. Payment of taxes; 3. Payment of subsidies/ scholarships/ social welfare transfers; Non Statutory services include: 1. Services delivered under agriculture/ PDS/ Rural development schemes etc.
b. e-Transaction in information services: This includes the Category D services, i.e., information access from various -governance portals/ websites; downloading of forms, enquiry related services such as passport status, railways PNR enquiry etc. result of an examination.
c. Transactions in business to citizen services: These are the Category C services. The B2C transactions include ticket booking, banking transactions etc.
d. Transactions in utility bill payments: These are category B services, which includes water bill, telephone bill, electricity bill, e-Municipality services, piped-gas bill, etc.
e. Social Benefits: Repetitive government disbursements to citizens like pensions, MGNREGA Payment, DBT Scholarships, etc. which are periodic in nature are to be accounted in this category.
f. Mobile Governance: End-to-end services delivered through mobile device are accounted for in this category.
Transactions in statutory and non-statutory services form the major component accounting for 50% of the total e-Transactions in the country. The share of e-Transactions in mobile governance in just 2 years has gone up significantly from 1% in 2012-13 to 11% in 2014-15. Transactions in informational services like downloading of forms/ tenders or accessing information from e-Governance websites accounts for 10% of the total e-Transactions in 2014-15, increasing considerably from 4% in 2012-13. Transactions in utility bills and payments which was one of the major component accounting for 21% in 2013-14 has now gradually declined to 12% n 2014-15.
e-Transactions
Source: Ministry of Information, Communication & Technology
22
Fig 15: e-Transactions in India: 2012-13 to 2014-15
0%
2012-13 2013-14 2014-15
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
11%
11%
10%
12%
50%
2%
15%
11%
19%
52%53%
21%
4%
20%
1%
F: Mobile Governance
E: Social Benefits
D: Informational Services
C: Business To Citizen (B2C) Services
B: Utility Bill Payments
A: Statutory & Non Statutory Services
Fig 16: e-Transactions per Lakh Population
Source: Ministry of Information, Communication & Technology
23
At the state level, e-Transactions in Kerala registered a massive rise from 1731 transactions per lakh population in 2012-13 to 51,093 e-Transactions per lakh population in 2014-15. Kerala surges way ahead of others in 2014-15 in terms of mobile gover-nance related e-Transactions. Gujarat recorded the highest number of e-Transactions per lakh population in 2014-15 with one person in Gujarat having more than 1 transaction on an average in 2014-15. Social benefits form the most important compo-nent in Gujarat. In Madhya Pradesh, utility bill payments form an important component with every 1 in 5 person in Madhya Pradesh having made utility bill payments through e-transactions (compared to only 1 in 15 in Gujarat). Maharashtra stands way above other states in terms of e-Transactions in informational services with access rate of 1 in 8 persons.
Odi
sha
Bih
ar
Jhar
khan
d
Wes
t Ben
gal
Chha
ttis
garh
Mad
hya
Prad
esh
Utt
ar P
rade
sh
Utt
arak
hand
Him
acha
l Pra
desh
Har
yana
Raja
stha
n
Guj
arat
Tela
ngan
a
Tam
il N
adu
And
hra
Prad
esh
Statutory And Non-statutory Services Utility Bill Payment Business To Citizen Services
Mobile GovernanceSocial BenefitsInformational Services
Mah
aras
htra
Man
ipur
Meg
hala
ya
Miz
oram
Nag
alan
d
Pudu
cher
ry
Sikk
im
Trip
ura
Punj
ab
Karn
atak
a
Jam
mu
& K
ashm
ir
Kera
la
Ass
am
Aru
nach
al P
rade
sh
Chan
diga
rh
Del
hi
Goa
200,000
400,000
600,000
800,000
1,000,000
1,200,000
1,400,000
The Broader Picture
Key Highlights
The index of IT services is measured under three heads: a) Per capita GDP-Information & Technology Services; b) Ratio of employment in IT sector to total employment; c) No. of IT companies.
• Economic contribution of Information, Technology and Communication is concentrated in few locations. Karnataka tops the list in this category with higher ratio of employment to total workers. Also per capita GDP from IT services is the highest in the state.
• IT economy is concentrated in only few states. Karnataka, Maharashtra, Telangana, Tamil Nadu and Gujarat are the leaders in the category.
• States like, Odisha, Bihar, Assam and Jharkhand have almost negligible contribution to the overall IT economy of India.
• Amongst the small states, Delhi only has significant contribution to ICT economy. To some extent, Goa and Meghalaya have also positively contributed.
• In the list of UTs, Daman & Diu and Chandigarh are ranked as the top two achievers.
IT SECTOR INDEX
Fig 17: Index of IT Services: Large States
24
Gujarat
Maharashtra
Tamil Nadu
Kerala
Telangana
Andhra Pradesh
Madhya Pradesh
Haryana
Punjab
Jammu & Kashmir
Rajasthan
Uttar Pradesh
Himachal Pradesh
West Bengal
Assam
Chattisgarh
Uttarakhand
Odisha
Jharkhand
Bihar
Karnataka 1.00
0.89
0.66
0.50
0.33
0.32
0.26
0.25
0.23
0.21
0.14
0.13
0.12
0.04
0.03
0.02
0.01
0.01
0.01
0.00
0.20 0.40 0.60 0.80 1.00 1.20
Given the rise in importance of ICT sector, it is essential to identify the states with larger number of IT companies that has higher scope of providing employment in IT sector and thereby have a larger potential to contribute to the growth of the economy. However, ICT development in Indian economy is concentrated in only 11 states. Of the total 1,841 IT companies registered with NASSCOM , 95% of them are in just 11 states, i.e., Karnataka, Maharashtra, Telangana, Andhra Pradesh, Uttar Pradesh, Tamil Nadu, Haryana, Delhi, West Bengal, Kerala and Gujarat. Out of the few states that contribute significantly to the economy of IT service sector, Karnataka alone accounts for 32% of the total IT service sector GDP, followed by Maharashtra (27%) and Telangana (14%).
No. of IT Companies & Gross Domestic Product-Information, Communication
& Technology
Number of people employed in the sector is another significant indicator reflecting the ICT status of an economy. Nonetheless, the statistics on employment gives similar result as that of above showing high concentration of workers in only few locations. Number of people employed in ICT has a significant positive correlation with the existence of IT companies and their contribution to the total GDP.
IT Sector in India is predominantly based in the big states and have negligible footmark in the smaller states or Union Territories. While the analysis was done for both categories, the results were negligible and hence unreported here.
Employment in IT Sector
Fig 18: Contribution of the States to the total IT Service Sector GDP
25
Detailed Analysis of the Parameters
Source: District Gross Domestic Product, Indicus Analytics-Nielsen Company
32%
Karnataka
Maharashtra
Telanagana
Tamil Nadu
Anhra Pradesh
Haryana
Gujarat
West Bengal
Kerala
Uttar Pradesh
NCT Of Delhi
27%
14%
9%
6%
3%2%
2% 2% 1% 1%
The Broader Picture
Key Highlights
e-Governance index is an aggregation of four measures: a) Common Service Centers per person; b) Percentage of wireline broadband connections installed under Rural Broadband Scheme in India; c) Expenditure incurred per CSC; d) No. of e-Services rolled out for participation.
• Maharashtra, Karnataka, Kerala and Gujarat are the leaders in the initiatives taken by the government. These states show large number of e-Services rolled out by the government. In Kerala more than 70% of the wireline broadband connections were installed under rural broadband scheme in India. Also the other leaders had more over 50% of total area with broadband connections installed.
E-GOVERNANCE INDEX
Fig 19: e-Governance Index: Large States
26
Gujarat
Maharashtra
Tamil Nadu
Kerala
Telangana
Andhra Pradesh
Madhya Pradesh
Haryana
Punjab
Jammu & Kashmir
Rajasthan
Uttar Pradesh
Himachal Pradesh
West Bengal
Assam
Chattisgarh
Uttarakhand
Odisha
Jharkhand
Bihar
Karnataka
1.00
0.73
0.66
0.58
0.49
0.45
0.44
0.40
0.38
0.32
0.23
0.22
0.22
0.21
0.20
0.17
0.17
0.12
0.11
0.11
0.20 0.40 0.60 0.80 1.00 1.20
• Maharashtra occupies the top most position in the large states category. The initiatives taken by the government of Maharashtra has been widely acknowledged and awarded at various e-Governance related forums and competitions. The government of Maharashtra started implementing various initiatives around Aadhaar number such as State Resident Data Hub (SRDH), Android tablet based enrolment center survey, SMS based Aadhaar Self seeding, Web based Aadhaar self-seeding, Usable SRDH (U-SRDH) etc. The U-SRDH enables rich analysis of data in the specific local context of Maharashtra and enables innovations for development of Marathi Language tools and competencies. This has encouraged e-transactions in public utility services.
• At the other end, Bihar, West Bengal, Haryana scores low in the initiatives taken by the government.
• In the small states category, Delhi and Goa occupy the top two positions in terms of e-Governance initiatives.
• Tripura on the other hand, occupies the bottom rank in terms of e-Governance initiatives. Only 15 e-services rolled out for citizen participation. The number of CSCs operational in the rural part of Delhi is significantly low compared to the other states of the country.
• In the list of union territories, Andaman & Nicobar Islands occupied the top position. However, in this category e-Governance initiatives could not be adequately measured due to paucity of data.
Fig 20: Index of e-Governance-Small States
Fig 21: Index of e-Governance-Union Territories
27
Chandigarh
1.00
0.91
0.81
0.07
0.20 0.40 0.60 0.80 1.00 1.20
Lakshadweep
Dadra & Nagar Havell
Daman & Diu
Puducherry
Andaman & Nicobar Islands
Manipur
Meghalaya
Mizoram
Nagaland
Puducherry
Arunachal Pradesh
Sikkim
Tripura
Delhi 1.00
0.88
0.87
0.80
0.62
0.49
0.36
0.22
0.12
0.20 0.40 0.60 0.80 1.00 1.20
Goa
Detailed Analysis of the Parameters
• In the list of union territories, Puducherry and Chandigarh occupied the top positions. Puducherry and Chandigarh registers the highest number of e-services rolled out for participation amongst the union territories.
• At the other end, Dadra & Nagar Haveli and Daman and Diu scores low in e-Governance initiatives. The State Data Centers in these territories are also not fully operational.
State Data Center has been identified as one of the important element of core infrastructure for supporting e-Governance initiatives of National e-Governance Plan. State Data Centers have been set up and operationalized in all states since 2011. The services in the State Data Centre are rendered through common delivery platform seamlessly supported by core connectivity infrastructure such as the State Wide Area Network and Common Service Centers. SWAN has been made operational in 34 states. Implementation of SWAN is at the final stage in Jammu & Kashmir and Andaman & Nicobar Islands. The “Common Service Centers” is a strategic cornerstone of the National e-Governance Plan, approved by the government in May, 2006. As on 2015, apart from Goa all states/ UTs in India have at least 1 operational Common Service Centers. Maharashtra has the highest number of CSCs in India, and almost 22% of the CSCs in India are in Maharashtra.
However, the set-up of CSCs has not been proportionate to the population of the state. Uttar Pradesh, the most populous state in the country has only 8 CSC per lakh population. Himachal Pradesh has the highest density with 46 CSCs per lakh population. Maharashtra and Gujarat are the other two leading large states in India about 26 and 21 CSCs per lakh population respectively. On the other hand, Haryana, Karnataka, Tamil Nadu has merely 1 CSC per lakh population. The expenditures incurred per Common Services Centers are as per the norms fixed by the Government of India.
28
Source: Ministry of Communication, Information & Technology
Fig 22: Common Service Centers per Lakh Population
29
Gujarat
Manipur
Arunachal Pradesh
Jharkhand
Maharashtra
Lakshadweep
Uttarakhand
Odisha
Himachal Pradesh 46.8
26.2
22.7
21.2
19.5
14.9
14.6
13.4
13.4
12.7
12.3
12.0
11.8
11.7
11.0
9.8
9.0
8.8
8.8
8.1
7.1
6.6
5.9
5.6
4.9
4.1
3.8
2.5
2.0
1.5
1.4
0.8
0.5
0.2
0.4
Tamil Nadu
Madhya Pradesh
Punjab
Haryana
Daman & Diu
Telangana
Goa
10.0 20.0 30.0 40.0 50.0
Jammu & Kashmir
Rajasthan
Uttar Pradesh
West Bengal
Kerala
Assam
Mizoram
Nagaland
Andaman & NIcobar Islands
Andhra Pradesh
Meghalaya
Chattisgarh
Bihar
Sikkim
Puducherry
Tripura
Dadra & Nagar Haveli
Karnataka
Delhi
Chandigarh
Source: Ministry of Information, Communication & Technology
Fig 23: No. of e-Services Rolled Out
The Government approved the National e-Governance Plan comprising of 27 Mission Mode Projects and 8 components on 2006. In 2011, 4 projects- Health, Education, PDS and Posts were introduced to make the list of 27 MMPs to 31 MMPs. The number of e-Services rolled out for citizen participation is widely different across states. Andhra Pradesh one of the leading states in e-Governance rolled out 594 e-Services, followed by Gujarat, Maharashtra and Madhya Pradesh with more than 200 e-Services being rolled out.
30
Lakshadweep
Goa
Arunachal Pradesh
Daman & Diu
Madhya Pradesh
Jharkhand
Mizoram
West Bengal
Delhi
Assam
Andaman & Nicobar Islands
Sikkim
Uttar Pradesh
Chandigarh
Odisha
Bihar
Puducherry
Manipur
Chattisgarh
Maharashtra
Uttarkhand
Meghalaya
Jammu & Kashmir
Nagaland
Haryana
Rajasthan
Andhra Pradesh
Tripura
Kerela
Dadra & Nagar Haveli
Telangana
Karnataka
Himachal Pradesh
Gujarat
Punjab
Tamil Nadu
594257
246215
196176
173
166142
136126
122
120110
107103
10398
9593
92
8785
797974727169
5148
44
3731
3030
0 100 200 300 400 500 600 700
In the light of the above, the most essential criteria for selection of variables included (a) credibility- the data is sourced from all official government sources; (b) coverage and time period- the data is available for all states in India and is available for the current time point, or after 2013-14; (c) variability- there is significant variability across indicators to capture the different dimension of e-Readiness components. Also, there is significant variability across states for a clear identification of states with good or poor performance.
31
Internet Readiness index is a composite index of five components, i.e., e-Infrastructure index, e-Participation index, IT-Services and e-Governance index. The performance of the states based on internet readiness index depends on several factors. The driving factors influencing Internet readiness index of each state varies from one another. For instance, in Maharashtra, though e-infra-structure is relatively low compared to Kerala, Karnataka, Gujarat etc, yet the state surpasses others in all other components making it the best e-Ready society. In case of Karnataka, participation of citizen in ICT environment is lower than Kerala and Gujarat, yet on account of the high contribution of IT to overall economy and success in e-government initiatives makes the state the second most e-Ready environment in the county. Madhya Pradesh, though having a high rating in terms of participation, ranks low in all other components. Nevertheless, all the four components have equal significance in the Internet readiness index model.
INTERNET READINESS INDEX
Fig 24: Internet Readiness Index: Large States
32
Madhya Pradesh
Jharkhand
West Bengal
Uttar Pradesh
Odisha
Assam
Bihar
Chattisgarh
Maharashtra 1.00
0.73
0.71
0.58
0.54
0.46
0.31
0.30
0.29
0.25
0.25
0.24
0.19
0.17
0.11
0.11
0.08
0.06
0.05
0.03
0.20 0.40 0.60 0.80 1.00 1.20
Uttarkhand
Jammu & Kashmir
Haryana
Rajasthan
Andhra Pradesh
Karnataka
Himachal Pradesh
Gujarat
Telangana
Punjab
Tamil Nadu
Kerala
33
• Maharashtra is one of the leading states in India in terms of Internet readiness rankings. With excellent IT infrastructure and skillful human resource, Maharashtra has emerged as a leader in utilizing its IT skills for better governance. The state stands above the average index value in almost all the components apart from e-infrastructure. The e-Governance initiatives in the state of Maharashtra are widely acknowledged and have been awarded at various e-Government related forums and competitions (Directorate of Information Technology, Govt. of Maharashtra). The outcome of the initiatives is seen in the high indexation of Maharashtra in terms of e-Readiness.
• Karnataka, ranked second in terms of Internet readiness, is also known as the Silicon State of India. The state contributes significantly to the Gross Domestic Product of Information; Technology & Services. Bengaluru is today the second largest IT cluster with about 9 lakh direct and about 27 lakh indirect employments, which is second only to the Silicon Valley. Economic contribution of ICT is most significant and the IT cluster in the state is projected to leave behind Silicon Valley by 2020. Karnataka IT policy offers several incentives for companies that create employment in Information Technology. Concession benefits in terms of areas of cost of land, registration charges, zonal regulations etc. are given to the companies that provide employment of more than 200 in Bengaluru and 100 in other areas.
• Gujarat, another leader in terms of Internet readiness index, is one of the frontline State in the implementation of e-Governance policies & projects in India. Government of Gujarat has aggressively promoted information sharing with the citizen by way of display and disclosure of information of large number of functional departments and their subordinate organizations through their respective websites. There are more than 250 websites which provide information on various aspects of governance in the State. A number of initiatives to provide quicker delivery of government services to the citizen have been taken up. This includes:
e-Dhara (land records computerization); e-Municipality (delivery of citizen centric services through municipalities in the State); e-Gram (delivery of village panchayat level services); SWAGAT(grievance redressal system using ICT) etc.
Government of Gujarat has undertaken two major initiatives. Firstly, the government has provided VSAT-based "Broadband" connectivity to all the 13716 Village Panchayats in the state through e-Gram Vishwagram Society under the Panchayat & Rural Housing Department of the state government. Secondly, all Village Panchayats have been provided with the computers, printers and other necessary hardware so as to enable the village level computer operators to deliver government services to the people.
• Telangana –a newly formed state in 2014 is one of the leading states in terms of Internet readiness index. Hyderabad and Rangareddi districts have a dominant share of knowledge based industries, i.e., Information Technology Enabled Services as they have a strong infrastructure and support systems in the form of Special Economic Zones, skilled manpower and research development capabilities.
• Kerala the fourth ranked state in terms of Internet readiness index is galloping fast in the IT service sector. According to the Industries-IT Minister P.K. Kunhalikutty, Kerala is all set to become an aggressive and complete e-state soon. IT policy initiated in 2012 has brought in several positive steps. Several incentives and concessional power tariff were given to IT/ITES units, Govt. IT Parks, Akshaya e-Centers. Specific ICT Programs were developed to cater to the needs of different sections of society.
• Tamil Nadu, Himachal Pradesh and Andhra Pradesh are the aspirers with their index value higher than the average index value of all states. Several initiatives have been taken by the states in this direction. Tamil Nadu has already emerged as the leader in e-Infrastructure category. Himachal Pradesh and Andhra Pradesh achieved significant success in e-Governance and are among of the top scorers in e-governance index. However participation of people in an ICT environment in Himachal Pradesh is low.
• Bihar, Jharkhand, Assam, Odisha, Chhattisgarh and Jammu & Kashmir are in need of significant improvement and therefore these are the states which need to be targeted for making India an e-ready environment as a whole.
Key Highlights
34
Fig 25: Internet Readiness Index: Small States
• In the small states category, Delhi is way above the other states in terms of Internet readiness index. The Government of NCT of Delhi had taken various steps to bring openness and transparency in providing citizen friendly services. The government of NCT of Delhi initiated the following action with emphasis on “preventive vigilance” Set up a dynamic website leading to e-Governance for departments or agencies Provide online services including services on e-Applications Reduce citizen’s visit to offices and provide information electronically rather than over the counter Making Delhi a cyber city
• The Directorate of Education, Government of NCT of Delhi, has successfully used ICT enablinggovernance and academic innovations to address issues that have a direct or an indirect bearing on classroom teaching, students’ performance and accountability of the principal, teaching staff and the office personnel. The initiatives taken by the directorate included interventions for personnel and office management, such as an employee information system, transfer posting module, finance module, library management, infrastructure module, etc. As a result, there has been perceptible change in both administrative and academic output of the department, with human intervention and discretion being minimised, resulting in a fair, transparent, accountable and responsive system. The success of the initiatives is evident from the fact that the Directorate of Education has won four National e-Governance Awards. Through the deployment of ICT, it is expected that it will boost the enrolment, increase quality of education by standardisation, make the learning environment interesting and help in retention of students.
• Goa has also emerged as one of the leader in Internet readiness index amongst the small states. Initiatives of Goa government in promoting ICT have not only helped the state but e-participation has also increased.The state has world class fiber optics broadband network infrastructure in place. The broadband connectivity provides 10 GPS connectivity from the State Headquarters/ District Headquarters up-to the Taluka level and 1 GPS connectivity from Taluka level to village panchayats.
• Sikkim is gradually developing into an Internet ready society. e-Governance in this state has led to a positive success in e-Infrastructure and e-Participation.
1.00
0.20
0.14
0.12
0.05
0.03
0.02
0.02
0.01
0.20 0.40 0.60 0.80 1.00 1.20
Goa
Puducherry
Delhi
Meghalaya
Nagaland
Mizoram
Tripura
Arunachal Pradesh
Sikkim
Manipur
Fig 26: E-Readiness Index: Union Territories
• Chandigarh is ranked at the top in terms of Internet readiness index and has also emerged as a leader.
The following table gives the strength and weakness of the states based on each of the e-Readiness components
35
1.00
0.89
0.48
0.01
0.20 0.40 0.60 0.80 1.00 1.20
Chandigarh
Lakshadweep
Dadra & Nagar Haveli
Andaman & Nicobar Islands
Daman & Diu
Table 2: Key Strength and Weakness: (Green-Leaders; Blue-Progressive; Red-Need improvement)
The major policy drivers of the leading states in Internet readiness index are given in the table below. Each leading state has its own unique characteristic which makes it stand out from the rest. For instance, Maharashtra is one the largest market for IT hardware and Karnataka is in the forefront in IT services. Kerala is the forerunner in the adoption of IT services and Gujarat is a favorite destination for investment. A summary of IT policies driving the state to an e-ready society is given below.
36
States e-Infrastructure Index
e-Participation Index
IT - Sector e-Governance Index
Internet Readiness Index
Maharashtra Karnataka Gujarat Telangana Kerala Tamil Nadu Andhra Pradesh Himachal Pradesh Punjab Rajasthan Uttarakhand Haryana Uttar Pradesh Madhya Pradesh West Bengal Jammu & Kashmir Chhattisgarh Odisha Assam Jharkhand Bihar Delhi Puducherry Goa Sikkim Nagaland Manipur Mizoram Meghalaya Tripura Arunachal Pradesh Chandigarh Lakshadweep Dadra & Nagar Haveli
Andaman & Nicobar Islands
Daman & Diu
Table 3: Major Policy Initiative of the State Government of the leading States in e-readiness Index
STATE CURRENT STATUSNEW POLICY
INITIATIVESDIRECTION
Leader in all components of Internet readiness
Maharashtra ranks second in the country for the exports of IT & ITES
Last two IT policies of state in 2003 and 2009 had played important role to attract investment of 3.24 trillion rupees and had created 465 private and 37 public IT parks along with 748,000 direct jobs
Maharashtra is the largest market for IT hardware and internet in India.
The major highlights of the Maharashtra IT/ITeS policy 2015 are:
Aims at making the state an IT,animation and gaming industry hub by attracting Rs. 50,000 crore of investment and creating 1 million jobs by 2020.
Promotes a walk-to-work concept by proposing the construction of integrated IT townships along with residential apartments and social infrastructure such as schools, hospitals, multiplexes, malls and parks etc.
Several incentives and concessions are given to promote IT Parks
The strategic drivers for the IT & ITES Policy provide direction to the State’s commitment to create long term assets through an expanding talent pool, extensive IT infrastructure and a thriving culture of innovation and entrepreneurship.
Leader in all components of Internet readiness
Karnataka is in the forefront of Information Technology and Bengaluru, the capital city is acknowledged as the ‘IT Capital of India’
The IT policy of the state helped in the growth of IT industries. Increased computer literacy and IT penetration through Yuva. com Centres, Computer labs in govt. schools, capacity building in institutes of higher learning, setting up of International Institute of Information Technology at Bengaluru and Hubli was instrumental in helping the growth of IT industry
The IT industry in the state has emerged as one of the largest job providing sector. The industry provides direct employment to over a million and indirect employment to more than 1.5 person
The current ICT Policy in the state is ‘ICT Policy-2015’
The major highlight of the policy is:
Setting up of Research hub to encourage entrepreneurs and start- up companies
Innovation ark to be set up for the MSME’s
Incentives for export-oriented enterprise
The strategic driver of IT policy is to create a talent pool and develop IT R&D.
To enable Karnataka as the most preferred destinations for Micro Small and Medium Enterprises
37
Maharashtra
Karnataka
38
Gujarat is one of the most investor friendly states in the country
Gujarat is one of the most e-governed states in the country
Gujarat has a number of vibrant tier II cities with advantages like availability of skilled resources
The current IT Policy of the state is the ‘IT Policy: 2014-19’
The key highlights of the policy:
The govt. will duly facilitate allotment of land for IT/ITeS units investing in the State.
Support will provided to the R& D institutions
Assistance will be provided to MSME units for participation in International Trade Fairs
A 30% subsidy on bandwidth for connectivity paid to internet service providers (ISP) subject to maximum of Rs. 5 lakh per annum, shall be available for a period of 2 years from the date of starting commercial production
The role of the government will be that of a facilitator. An empowered ‘Single Window Clearance Committee’ will be set up and operationalized for granting approvals and clearances for establishing New Units in the state.
The major strategic driver of the policy is to leverage information and technology as an enabler and catalyst for the socio-economic development of the state.
To attract and promote IT and ITeS companies that provide product or services for urban and rural markets to ensure that overall regional balance is achieved
First state to pioneer e-Governance projects across the country
Software exports (2013-14) INR 57,000 cr( >$ 10 Bn) with growth rate of 14%.Direct employment in the State: over 4 lac
Telangana has 40 IT SEZs, out of 348 approved IT SEZs in the country
ICT policy 2010-2015, offers best incentives, facilitation & thrust for the growth of start-ups small & medium Enterprises and sun- rise areas like Engineering services, Product/R&D Companies, Animation , Gaming.
To achieve the objective of making Telangana the most preferred IT destination and for enhancing the capacity for growth of IT sector in the State. ICT policy 2010-2015, has been put in the place with the following objectives:-
Major strategic driver of the ICT industry
Gujarat
Telangana
39
a. Provision of congenial industrial friendly and proactive climate for IT Companies to locate, grow, and sustain their operations most competitively in hassle-free environment in the State.
b. Creation of employment opportunities to the educated youth of all section of the society across all regions.
c. Achieving higher level of export turnover resulting in enhanced productivity, and augmentation of Gross State Domestic Product (GSDP).
d. To spread IT to nook & corner of the State and
e. Leverage Information Technology as a tool for the socio-economic development of the State.
Kerala has been the forerunner among the states of India in the adoption and application of ICT services/ support to its citizen or enabling smoother functioning of the business community
The basic ICT infrastructure, viz, State Data Centre, Kerala State Wide Area Network, Mobile Service Delivery Platforms, Akshaya, with its initial emphasis on bridging the digital divide through e-literacy programs and call centers
The Kerala Technology Start-Up Policy was declared in 2014
The key highlights of the policy are:
Government will provide core infrastructure like plug and play incubation facilities in different sectors and different locations within the state
All Government owned IT Parks, Industrial Parks and SME Clusters shall have incubation facility for the sectors concerned.
The government would work with universities, educational institutions and the industry to provide pre-trained manpower in emerging technologies and to foster a culture of entrepreneurship in all sectors
The major strategic driver of the policy is to develop Kerala as the No. 1 Destination in India for Startups and amongst the top 5 startup ecosystems in the world
Gujarat
Kerala
40
Development of IT infrastructure and promoting e-governance has brought enormous benefits to the people of Delhi
‘Teach the Teachers’ Programme for upgrading the IT knowledge and skills has been a catalyst for the state development
The current IT Policy of state is –IT Policy 2003’
The new policy is being drafted
Pudhucherry has emerged as a hardware destination of India and also a centre for IT investment in IT services
A multi-product Special Economic Zone at Sedarapet, IT Park at Kalapet, provide world class infrastructure and business support facilities for IT operations
The current IT policy of the state is ‘IT Policy-2008
Increase the number of registration of IT companies by 50%
Achieve 100% IT literacy in schools and colleges
All government departments to be computerized and networked
Every government employee to receive training in basic IT usage
Increase of at least 50% in earnings in foreign exchange
Increase in employment by at least 50% in IT sector
The major strategic driver of this policy is that the government would maximize the use of technology in all its processes.
Delhi
Puducherry
Rajiv Gandhi Chandigarh Technology Park which started in 2005 has emerged as a major centre for IT exports from the region. RGCTP presently hosts around 70 companies from the IT world and provides direct employment to more than 20,000 persons. RGCTP itself generates exports of around Rs 1750 Crores annually. Chandigarh, as a whole, has exports of around Rs 1850 Crores annually
The current IT Policy of the state is –‘IT Policy-2013
The major highlights of the policy are:
Enabling service delivery through e-governance and m-governance
Creation of next generation IT infrastructure
To enhance the availability and quality of talent pool of IT professional services
To support MSME’s to establish and grow in various verticals of the IT industry
The major strategic driver of the policy is to improve the environment for the IT and ITeS industry by giving several incentives. Also to enhance availability and quality of talent pool of IT professionals
Chandigarh
Fig 27: Economic Development and e-readiness Index : Large States
Note: MAH-Maharashtra; KAR-Karnataka; GUJ-Gujarat; TEL-Telangana; KER-Kerala; TAM-Tamil Nadu; ARP-Andhra Pradesh; HP-Himachal Pradesh; PUN-Punjab; UTK-Uttarkhand; HAR-Haryana; UP-Uttar Pradesh; MP-Madhya Pradesh; WB-West Bengal; J&K-Jammu & Kashmir; CHH-Chhattisgarh, ODI-Odisha; ASS-Assam; JHA-Jharkhand; BIH-Bihar
41
The above discussion on Internet readiness index throws open some interesting insights. The crucial drivers of Internet readiness index are e-Infrastructure, e-Participation and e-Governance. However, e-Governance initiatives cannot harness benefits unless people have access to the networked tools and the skills to participate in an e-ready environment. Therefore an important pre-requisite of an Internet ready society is developed IT infrastructure, i.e., e-Infrastructure, skills to use IT infrastructure, e-Potential and thirdly to utilize the government initiatives, e-Participation. Development of this requires a developed economy. Fig 5.16 shows the correlation between e-Readiness index and Per Capita Gross Domestic Product (PCGDP). Evidently, Internet readiness index is highly correlated with PCGDP.
Clearly, despite initiatives taken by the Government of Rajasthan, Jharkhand etc., path to Internet readiness is still far. Economic progress and Internet readiness is highly correlated. Economic progress is measured not only in terms of overall economic growth of the state but also in terms of percolation of economic benefits to all sections of the society.
Given the rapid pace at which e-Commercialization and e-Services are increasing in the economy, it is essential that the gaps are identified and pro-active measures taken to strengthen the e-Ready environment. The basic requirement of an Internet ready environment is that people are skilled to utilize the services. The table below gives a comparison of Internet readiness index with the proportion of literate population and the ratio of workers to population above 15 years as reported in Census 2011.
Table 4: State wise Comparison of Internet readiness Index with Socio-Economic Indicators
42
State Internet Readiness Index Literacy Rate % of Workers (above 15 years) to Total Population Large States
Maharashtra 1.00 83.70 61.80 Karnataka 0.73 75.00 63.70 Gujarat 0.71 77.60 59.10 Telangana 0.58 62.22 46.70 Kerala 0.56 96.00 49.20 Tamil Nadu 0.54 80.80 61.50 Andhra Pradesh 0.31 65.60 46.50 Himachal Pradesh 0.30 85.70 70.20 Punjab 0.29 77.40 49.30 Rajasthan 0.25 63.60 67.50 Uttarakhand 0.25 78.90 56.20 Haryana 0.24 76.00 51.90 Uttar Pradesh 0.19 65.40 50.30 Madhya Pradesh 0.17 67.10 66.10 West Bengal 0.11 75.30 53.90 Jammu & Kashmir 0.11 66.20 52.50 Chhattisgarh 0.08 68.70 71.30 Odisha 0.06 72.60 60.50 Assam 0.05 70.80 57.10 Jharkhand 0.03 62.70 62.20 Bihar - 57.50 54.70
Small States Delhi 1.00 86.00 47.60 Puducherry 0.20 87.60 50.00 Goa 0.14 90.60 54.00 Sikkim 0.12 82.70 68.50 Nagaland 0.05 81.20 70.20 Manipur 0.03 78.80 64.80 Mizoram 0.02 92.00 66.00 Meghalaya 0.02 74.70 64.50
43
The southern states lead in India’s IT and ITeS industry. Karnataka dominates in terms of attractiveness as an IT destination with the city of Bengaluru being at the topmost. The first IT Park in India was built at Bengaluru; many cities now emulate this model of urban development. As India’s leading IT hub, Bengaluru is now home to numerous IT companies including HCL Technologies, Infosys, Mahindra Satyam, Tata Consultancy Services, Wipro Technologies, ITC Infotech India Ltd, etc. Nearly 40 per cent of India’s IT indus-try is concentrated in Bengaluru. More than 500 IT companies are based in Bengaluru.
The state of Telangana, backed by the emergence of the city of Hyderabad as a major IT hub, ranks as the second IT hub of India. Hyderabad, also called Cyberabad, has good infrastructure and significant government support making it a strong technology base in India. Telangana’s Information Technology and Panchayat Raj Minister K.T. Rama Rao noted in May 2015 that a huge expansion of IT sector has been proposed in Hyderabad. The city’s exports in 2014 were of the order of Rs.57,000 crore, next only to Bengaluru and the goal is to increase exports to Rs.1.20 lakh in collaboration with major companies abroad. The Government aims to also tap the potential of low-cost and high-value human resource available in Hyderabad by encouraging startups. (Press Release: ‘The Hindu’, 28th May, 2015).
The city of Chennai in Tamil Nadu is emerging as a global capital for Business Process Outsourcing (BPO) and is propelling the state to the number one position in IT exports. The state is a pioneer in IT and software services, and has a 100 percent digital exchange network thus having the potential to garner a major chunk of ITeS business. Among major metro-markets Coimbatore is an upcom-ing major IT hub of India.
Maharashtra is the second largest exporter of software with annual exports of Rs18 000cr (20% of India's software exports). The state has set up software parks in Pune, Mumbai, Navi Mumbai, Aurangabad, Nagpur and Nasik.
Globally branded firms have their presence in the state of Gujarat. NASSCOM (National Association of Software and Services Com-panies) has ranked the city of Ahmedabad in Gujarat to be among the top five Indian destinations for business process and knowl-edge process outsourcing.
The National Capital Region of India comprising Delhi, Gurgaon, Faridabad, Noida, Greater Noida and Ghaziabad has been emerg-ing as one of the most attractive IT destinations over the last decade.
Trivandrum the capital city of Kerala provides a good platform for IT development. Being one of India's largest IT Parks, is also one of world's greenest Technopolis. Techno-park that came into existence in 1990 employs more than 46000 IT professionals. Over 300 companies are operational at present.
The state of West Bengal is beginning to be recognized as the fastest growing IT destination in the country with more than double the national average growth rate of IT companies. A number of IT units are doing significant business in the city of Kolkata.
LOCALISATION of IT and ITeS INDUSTRY
The report highlights the performance of the states regarding different measures of Internet readiness index. India’s position in international ranking in terms of internet penetration and usage is still significantly low. Thus, given the rapid advancement in e-Services and e-Commerce, it is essential to understand the strengths and weaknesses of the states. While this would help the business and governments to leverage the strength, policy measures can also be taken where improvements are required.
In this study, Internet readiness index is measured by aggregating four broad dimensions, viz., e-Infrastructure, e-Participation, IT-services and e-Governance. Each of these broad dimensions is a combination of several relevant sub-dimensions.
• Maharashtra occupies the first rank in terms of overall Internet readiness index. Well-developed IT infrastructure, skillful human resource, success of e-Governance initiatives and participation of common mass in the same, encouraging steps taken by the government like concessions and benefits for opening IT hubs etc. are some of the positive factors that helped the state to promote Internet readiness in a significant way.
• Karnataka, Gujarat, Telangana, Kerala, Tamil Nadu, Delhi and Chandigarh are the other leaders in terms of Internet readiness index. In all these states, IT hubs are incentivized in various ways. Besides, several policies related to developing the skills of the people to utilize e-Services have been promoted.
• Bihar, Jharkhand, Assam, Odisha and Chhattisgarh need improvement in all measures of Internet readiness index. Improvement is required in providing the network tools as Internet usage in mobile phone is found to be exceedingly low compared to other states. Improvement is required in the efforts of the government to promote Internet readiness. Number of e-Services rolled out by the government is low. However, relatively lower economic activity might have also affected usage of internet facilities because of affordability issues.
• Evidences through hard data shows that Internet readiness index is positively correlated with economic development of the states. Clearly e-Initiatives by government or private players alone cannot make a society e-Ready. Affordability of the common mass towards ICT facilities does play a crucial role.
• Other socio-economic development measures, like literacy rate, also have a strong influence on Internet readiness index.
CONCLUSION
44
The major findings of this study are the following:
45
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6. Ojo, A. et al (2007), “Determining progress towards e-Government-what are the indicators? International Institute of Software Technology, Government of Macau & United Nation’s University
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8. Center for International Development, Harvard University (2001-2; 2002-3). Global Information Technology Report, Readiness of the Networked World; http://www.eldis.org/go/home&id=28316&type=Document#.VYj1frC6ZMs
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REFERENCES
Data Collection And Analysis
Table 1: Information Collected from Secondary Source
An exhaustive secondary research was conducted to collect information related to internet readiness of India. Basic data has been sourced from all official government sources such as Telecom Regulatory Authority of India (TRAI), Department of Information, Communication and Technology, District Information System for Education (DISE), Indian Census etc. However, a few critical indica-tors that were essential for evaluating the qualitative aspect of internet readiness of a state could not be obtained from secondary sources. An attempt was therefore made to collect information from the State IT offices.
APPENDIX
46
The following table gives the data collected from various secondary sources
A. Method of Data Collection
A.1: Information Collected From Secondary Sources:
Indicators Source Year
Tele-density TRAI, 2014 2013-14
No. of mobile subscribers Cellular Association of India 2013-14
Share of private players in the internet TRAI, 2014 2013-14
No. of mobile subscribers with Internet access TRAI, 2014 2014-15
Proportion of households having access to internet facility NSSO, 2014 2013-14
% of schools with computer facility DISE, 2013 2013-14
% of post offices equipped with computer and internet facilityMinistry of Information and Technology
2013-14
No. of adults (>18 years) who has completed schooling NSSO, 2014 2014-15
Average expenditure per user on mobile services Cellular Association of India 2014-15
No. of e-services rolled out eTaal 2014-15
No. of e-Transactions eTaal 2014-15
No. of e-Transactions in Utility Bill payments eTaal 2014-15
No. of e-Transactions in Business to Citizen (B2C) Services eTaal 2014-15
No. of e-Transactions in Information Services eTaal 2014-15
No. of e-Transactions in Statutory and Non-Statutory services eTaal 2014-15
No. of IT Companies NASCOM 2014-15
47
a. Telecom Regulatory Authority of India (TRAI, http://www.trai.gov.in): TRAI was established with effect from 20th February, 1997 by an act of parliament, called the Telecom Regulatory Authority of India Act, 1997 to regulate telecom services, including fixation/revision of tarrifs, for telecom services which were earlier vested in the central government. The annual report of TRAI gives state level details of tele-density, broadband and narrowband subscribers at the circle level b. Electronic Transaction Aggregation and Analysis Layer (eTaal; Department of Electronics and Information Technology, http://eta-al.gov.in) : eTaal is a web portal for dissemination of e-Transaction statistics of National level and State level e-Governance projects including Mission Mode Projects. It receives transaction statistics from web based applications periodically on near real time basis. eTaal presents quick analysis of transaction counts by various e-Governance projects.
c. All India Council for Technical Education (AICTE; http://www.aicte-india.org): All India Council of Technical Education was set up in November 1945 as a national level Apex Advisory Body to conduct survey on the facilities on technical education and to promote development in the country in a coordinated and integrated manner. It gives state level reports on annual intake in technical educa-tion.
d. Reserve Bank of India (RBI; https://www.rbi.org.in/home.aspx ): The annual report of RBI on ‘State Finances: A Study of Budgets” is used to get information on expenditure details of the government on technical education.
e. National Association of Software and Service Companies (NASSCOM; http://www.nasscom.in): NASSCOM is a trade association of Indian Information Technology (IT) and Business Process Outsourcing established in 1988. The survey based data of NASSCOM collects financial and other information from its member companies and the participating companies.
f. District Information System for Education (DISE): This is the only comprehensive database on elementary education in India which is created by the National University of Educational Planning and Administration with the financial support of UNICEF. The survey collects information from both primary and upper primary schools of all districts in the country. In this analysis data on schools with computer facility is used.
g. Census of India, 2011: Census of India provides detailed information on demography, economic activity, education and other housing characteristics. The Office of the Registrar General and Census Commissioner, India under the Union Ministry of Home Affairs is the nodal authority for conducting decennial Census in the country. Data on internet penetration is used from Census of India, 2011.
A brief description of the different sources of data used is given below:
Indicators Source Year
IT Workers NSSO, 2011-12 2011-12
GDP- IT Services Indicus Estimates 2013-14
No. of Common Service Centers Ministry of Information, Communication & Technology
2014-15
Expenditure Incurred by State Government on Operational Common Service Centers per CSCs
Ministry of Information, Communication & Technology
2014-15
% wireline broadband connections installed under Rural Wireline Broadband Scheme in India
Ministry of Information, Communication & Technology
2014-15
No. of e-services rolled out for citizen participationMinistry of Information and Technology
2014-15
Despite several attempts, information from all states could not be obtained, particularly for quantifiable indicators. Many states reported that they do not maintain any repository of such information. However, qualitative information could be obtained from most of the states.
1. Quantifiable measures that can assess the success of NeGP. a. Urban local bodies completely computerized b. Percentage of successes in tracking crimes under the Crime and Criminal Tracking Networking System (A scheme approved by the Cabinet Committee on Economic Affairs in June, 2009) c. No. and percentage of Panchayat Raj Institutions fully computerized d. No. of districts benefitted by e-District project (one of 31 mission mode projects under National e-Governance Plan) e. No. and percentage of Road Transport Offices computerized
2. Qualitative measures a. Initiation of the ICT Policy b. Number. of amendments of the ICT Policy c. An institutional mechanism to implement and review progress of ICT policy d. Any new initiative undertaken to promote e-readiness since 2013
48
An attempt was made to collect both quantitative and qualitative information from all the state IT offices
Table A1: Measures of e-Infrastructure Index
A.2. Information Collected from State IT offices
State Total Tele-
density
Mobile Subscribers per million
population in age group 15-
60
Share of Private
players in the Total wireline Market
No. of mobile subscribers
with Internet access per
million population in age group 15-
60
% of households using computer/Laptop with
internet connection
% of Schools with computer
No. of Post Offices
Equipped with
Internet and E-mail
Facilities per '00 sq km
Large States Andhra Pradesh 77.19 70.86 67% 22.64 0.01 33.84 0.83 Assam 46.51 47.00 49% 14.49 1.56 7.69 0.74 Bihar 45.72 34.81 30% 7.41 0.88 4.51 1.05 Chhattisgarh 53.55 58.44 59% 14.37 1.20 8.89 0.24 Gujarat 87.23 89.13 77% 27.15 3.12 72.69 0.67 Haryana 76.44 65.50 42% 20.36 5.11 44.15 1.04 Himachal Pradesh 105.39 88.82 36% 33.28 2.78 22.47 0.79 Jammu & Kashmir 58.57 62.02 20% 24.44 2.74 15.81 0.23 Jharkhand 45.72 40.25 61% 8.57 1.46 8.66 0.39 Karnataka 91.24 79.45 83% 26.82 4.78 29.93 0.88 Kerala 96.09 72.67 72% 36.20 6.16 92.66 3.86 Madhya Pradesh 53.55 38.78 56% 9.54 1.41 13.09 0.34 Maharashtra 88.56 58.79 78% 19.98 5.65 50.63 0.68 Odisha 60.21 55.21 50% 13.41 1.40 10.56 0.68 Punjab 102.99 95.28 59% 38.41 5.30 51.95 0.49 Rajasthan 70.85 70.53 48% 19.74 1.78 23.09 0.38 Tamil Nadu 108.17 100.06 69% 28.39 4.17 54.12 1.93 Telangana 174.46 76.79 80% 23.39 0.07 35.49 0.23 Uttar Pradesh 56.83 52.18 36% 12.00 1.82 11.06 0.14 Uttarakhand 56.83 59.91 72% 13.77 3.06 31.97 4.70 West Bengal 69.43 46.10 63% 10.45 2.18 10.76 1.17
Table A2: Measures of e-Participation Index
49
Small States Delhi 221.64 256.23 86% 96.50 17.14 81.59 23.80 Goa 88.56 44.97 76% 15.28 11.95 38.57 0.68 Manipur 67.78 58.28 20% 21.53 2.13 24.88 0.11 Meghalaya 67.78 60.25 30% 22.26 1.47 8.35 0.11 Mizoram 67.78 41.62 32% 15.38 2.52 32.00 0.11 Nagaland 67.78 64.98 25% 24.01 1.75 35.09 0.11 Sikkim 69.43 50.07 30% 18.50 3.32 53.33 1.17 Tripura 67.78 72.21 25% 26.68 1.01 11.40 0.11 Arunachal Pradesh 67.78 38.09 20% 14.07 1.90 24.10 0.11
Union Territories Andaman & Nicobar Islands 69.43 49.00 20% 11.11 3.42 52.64 1.17 Chandigarh 76.44 55.05 70% 17.11 18.36 95.83 1.49 Dadra & Nagar Haveli 87.23 76.39 12% 23.27 2.63 35.74 0.00 Daman & Diu 87.23 38.40 12% 11.70 2.76 57.52 0.00 Lakshadweep 96.09 23.05 10% 11.48 2.83 100.00 3.86 Puducherry 108.17 56.59 40% 16.05 5.98 97.63 1.93
State No. of adults (>18 years) with technical
education per 100 educated person
Average revenue from
mobile subscribers -
(excluding BSNL & MTNL)
No. of transactions in
Utility Bill payments per lakh person
No. of transactions
in Business to Citizen (B2C) Services per lakh person
No. of transactions
in Informational Services per lakh person
No. of transactions in Statutory and non statutory services per lakh person
Large States Andhra Pradesh
2.08 140.12
58,805.43
16,712.07
5,836.28
1,08,778.67
Assam 0.48
131.61
8.71
11,012.41
2,061.59
10,417.15
Bihar 0.28
98.67
5.40
6,916.55
1,928.89
3,429.48
Chhattisgarh 0.60
102.62
2,485.81
50,644.00
4,137.33
34,461.67
Gujarat 1.82
120.97
1,03,783.40
7,064.20
1,81,142.77
7,98,045.60
Haryana 2.92
115.48
27,845.72
12,152.42
1,394.63
44,664.66
Himachal Pradesh 1.28
109.05
62,255.74
16,574.58
2,521.11
29,168.04
Jammu & Kashmir 0.69
163.15
23.54
6,216.70
1,085.79
7,407.13
Jharkhand 0.76
98.67
3,334.20
7,516.01
2,019.73
16,734.96
Karnataka 2.93
156.28
78,468.50
41,293.29
3,904.42
1,40,770.00
Kerala 3.25
187.86
25,027.82
17,781.16
12,986.82
1,65,161.57
Madhya Pradesh 0.99
102.62
81,892.41
17,152.82
20,925.56
1,91,663.88
Maharashtra
50
Small States Delhi
3.91
177.57
55,022.69
11,798.62
10,676.47
1,43,884.32
Goa 4.12
147.15
-
8,140.37
1,124.48
84,302.51
Manipur 0.31
139.19
1,477.66
10,710.37
1,753.87
6,793.91
Meghalaya 0.29
139.19
15,857.96
1,15,327.50
1,883.86
22,567.95
Mizoram 0.20
139.19
2.19
5,588.56
1,740.51
58,527.02
Nagaland 1.14
139.19
1.72
5,784.58
1,868.18
35,192.99
Puducherry
2.09
135.95
17.23
7,459.10
2,803.39
86,175.04
Sikkim 0.54
100.22
-
23,060.32
1,167.75
5,115.82
Tripura 0.20
139.19
163.64
9,667.39
1,563.94
23,733.72
Arunachal Pradesh
0.64
139.19
15.97
5,334.65
1,066.54
1,762.41
Union Territories Chandigarh
2.80 115.48
1,58,331.80
34,164.57
4,289.54
60,460.28
Dadra & Nagar Haveli 7.58
120.97
1,384.31
8,896.48
2,619.08
5,86,440.56
Daman & Diu 9.61
120.97
3,021.62
5,960.20
2,290.26
14,081.57
Lakshadweep 3.64
187.86
20,33,426.40
1,11,719.63
1,336.99
2,22,297.71
Andaman & Nicobar Islands 9.96
100.22
30,783.46
9,402.47
1,569.97
10,702.06
Table A3: Measures of IT Economy Index
51
State No. of IT Companies per lakh population Employment in IT sector per lakh workers GDP-IT Services (Rs. Million) Large States
Andhra Pradesh 13.00 30.27 4,426.09 Assam 1.00 0.00 80.02 Bihar 1.00 0.00 34.07 Chhattisgarh 1.00 25.96 68.58 Gujarat 45.00 269.04 934.49 Haryana 143.00 0.00 3,012.96 Himachal Pradesh 0.00 661.56 65.99 Jammu & Kashmir 0.00 40.91 95.60 Jharkhand 0.00 0.00 33.65 Karnataka 406.00 140.50 14,916.45 Kerala 68.00 0.00 1,348.02 Madhya Pradesh 23.00 0.00 101.62 Maharashtra 338.00 380.20 6,868.99 Odisha 7.00 0.00 84.74 Punjab 6.00 19.07 92.85 Rajasthan 13.00 756.61 44.32 Tamil Nadu 275.00 13.53 3,744.22 Telangana 174.00 657.41 11,752.13 Uttar Pradesh 133.00 387.74 196.68 Uttarakhand 6.00 348.06 185.20 West Bengal 81.00 37.74 494.77
Small States Delhi 88.00 871.00 2,266.33 Goa 2.00 0.00 832.34 Manipur 0.00 0.00 37.47 Meghalaya 1.00 0.00 - Mizoram 0.00 0.00 80.20 Nagaland 0.00 0.00 - Puducherry 0.00 14.37 2,288.55 Sikkim 0.00 0.00 - Tripura 0.00 0.00 166.04 Arunachal Pradesh 1.00 0.00 -
Union Territories Andaman & Nicobar Islands 0.00 0.00 - Chandigarh 13.00 0.00 56.85 Dadra & Nagar Haveli 0.00 0.00 - Daman & Diu 0.00 0.00 - Lakshadweep 0.00 0.00 -
Table A4: Measures of e-Governance Index
52
State Operational CSC per person
Expenditure Incurred by Govt. in India on Operational Common Service Centers (Rs. Lakhs)/ population
% wireline broadband connections installed under Rural Wireline Broadband Scheme in India
No. of e-Services rolled out for citizen participation
Large States Andhra Pradesh 0.16 0.52 72% 594 Assam 0.13 1.24 38% 79 Bihar 0.08 0.42 22% 103 Chhattisgarh 0.12 0.28 48% 93 Gujarat 0.23 0.11 56% 257 Haryana 0.01 3.07 84% 126 Himachal Pradesh 0.49 0.45 33% 92 Jammu & Kashmir 0.09 1.75 47% 95 Jharkhand 0.14 0.36 43% 98 Karnataka 0.01 0.20 80% 407 Kerala 0.06 0.07 60% 266 Madhya Pradesh 0.18 0.26 41% 215 Maharashtra 0.28 0.05 33% 646 Odisha 0.15 0.51 68% 103 Punjab 0.13 0.20 100% 136 Rajasthan 0.10 0.30 45% 176 Tamil Nadu 0.02 0.65 109% 142 Telangana 0.16 0.52 72% 196 Uttar Pradesh 0.09 0.22 36% 173 Uttarakhand 0.21 0.30 65% 87 West Bengal 0.07 0.53 31% 122
Small StatesArunachal Pradesh 0.14 1.85 10% 48 Delhi 0.01 - 10% 120 Goa - - 73% 30 Manipur 0.14 2.66 51% 79 Meghalaya 0.08 1.18 51% 72 Mizoram 0.12 1.56 10% 69 Nagaland 0.11 1.69 51% 71 Puducherry 0.05 0.12 44% 85 Sikkim 0.05 5.16 10% 37 Tripura 0.04 1.68 51% 110
Union Territories Andaman & Nicobar Islands 0.09 0.51 29% 44 Chandigarh 0.03 - 10% 74 Dadra & Nagar Haveli 0.02 0.28 44% 51 Daman & Diu 0.00 - 44% 30 Lakshadweep 0.23 0.31 3% 31
53
State Operational CSC per person
Expenditure Incurred on Operational Common Service Centers (Rs. Lakhs)/ population
% wireline broadband connections installed under Rural Wireline Broadband Scheme in India
No. of e-services rolled out for citizen participation
Large States Andhra Pradesh 0.16 0.52 72% 594 Assam 0.13 1.24 38% 79 Bihar 0.08 0.42 22% 103 Chhattisgarh 0.12 0.28 48% 93 Gujarat 0.23 0.11 56% 257 Haryana 0.01 3.07 84% 126 Himachal Pradesh 0.49 0.45 33% 92 Jammu & Kashmir 0.09 1.75 47% 95 Jharkhand 0.14 0.36 43% 98 Karnataka 0.01 0.20 80% 407 Kerala 0.06 0.07 60% 266 Madhya Pradesh 0.18 0.26 41% 215 Maharashtra 0.28 0.05 33% 646 Odisha 0.15 0.51 68% 103 Punjab 0.13 0.20 100% 136 Rajasthan 0.10 0.30 45% 176 Tamil Nadu 0.02 0.65 109% 142 Telangana 0.16 0.52 72% 196 Uttar Pradesh 0.09 0.22 36% 173 Uttarakhand 0.21 0.30 65% 87 West Bengal 0.07 0.53 31% 122
Small StatesArunachal Pradesh 0.14 1.85 10% 48 Delhi 0.01 - 10% 120 Goa - - 73% 30 Manipur 0.14 2.66 51% 79 Meghalaya 0.08 1.18 51% 72 Mizoram 0.12 1.56 10% 69 Nagaland 0.11 1.69 51% 71 Puducherry 0.05 0.12 44% 85 Sikkim 0.05 5.16 10% 37 Tripura 0.04 1.68 51% 110
Union Territories Andaman & Nicobar Islands 0.09 0.51 29% 44 Chandigarh 0.03 - 10% 74 Dadra & Nagar Haveli 0.02 0.28 44% 51 Daman & Diu 0.00 - 44% 30 Lakshadweep 0.23 0.31 3% 31
54
About Indicus AnalyticsThe study is conducted by Indicus Analytics, India's premier economic research firm now owned
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About IAMAIThe Internet and Mobile Association of India [IAMAI] is a young and vibrant association with ambitions
of representing the entire gamut of digital businesses in India. It was established in 2004 by the leading
online publishers, and in the last 11 years has come to effectively address the challenges facing the
digital and online industry including mobile content and services, online publishing, mobile advertising,
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MNC companies, and with offices in Delhi, Mumbai and Bengaluru, the association is well placed to work
towards charting a growth path for the digital industry in India.
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Assistant Vice President
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Associate Vice President
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