Divyam Srivastava-E-Governance Thesis IIPM

“Role And Scope Of E-Governance In Rural Economy” 1
THE INDIAN INSTITUTE OF PLANNING AND MANAGEMENT

NEW DELHI
THESIS REPORT ON
Role And Scope Of E-Governance In Rural Economy
SUBMITTED TO:
PROF. SUMANTA SHARMA
EXTERNAL GUIDE:
MAJOR ASHUTOSH SHRIVASTAVA.
INTERNAL GUIDE:
Prof ALPI JAIN.
SUBMITTED BY
DIVYAM SRIVASTAVA
PGP/FW/2007-09
ALUMNI ID NO. DF79-M-0134
DIVYAM SRIVASTAVA PGP/FW/2007-09 DF79-M-0134
ABSTRACT
E-governance stands for `electronic governance’ or the use of ICT

(information and communication technology) to improve the delivery of
government services to citizens (G2C), businesses (G2B) and other
government agencies (G2G). (G2G).
E-governance helps in integrating and simplifying government services,

reducing the time citizens and businesses spend obtaining/submitting
information from/to the government, increasing government transparency by
cutting down corruption, improving government finances through enhanced
revenue collection and cost reduction, and improving the business
environment in the country for private sector development and to enhance
foreign direct investment.
E-governance is a tool for achieving good governance and is not an end in

itself. In good governance, public processes and institutions produce results
that meet the needs of society while making the best use of resources at their
disposal. It also requires that the institutions and processes try to serve all
stakeholders within a reasonable timeframe. And e-Governance is what helps
the government achieve this goal. It allows citizens to communicate with the
government, participate in the government’s policy-making and reflect their
true needs.
Achieving success in e-Governance requires active partnerships between

government, citizens and the private sector. The e-governance process needs
continuous input and feedback from the `customers’— the citizens, resident,
businesses and officials who use electronic public services. Their voices and
ideas are essential to making e-Governance work. Hence e-governance has
to be a shared vision with all the stakeholders – government and non-
government – participating in defining this vision.
For e-governance initiatives, the three Ps – public-private partnership (PPP)

are a must. The PPP model of development focuses on collaboration between
the public and the private sector. It recognizes the importance of the private
sector in reaching development goals by promoting business, creating income,
providing jobs as well as developing a sense of corporate social responsibility.
The public and the private sector recognize overlaps of their goals, see the
opportunities for cooperation, and work side by side in mutual projects.

CERTIFICATE FROM GUIDE
This is to certify that this thesis report titled "Role And Scope Of E-Governance
In Rural Economy” was prepared and completed successfully by Divyam
Srivastava under my guidance.
The thesis has been completed to my satisfaction and I wish him all the best in
his future endeavours.
MAJOR ASHUTOSH SHRIVASTAVA

THESIS APPROVAL LETTER
From: thesis [mailto:thesis@iipm.edu]

Sent: Saturday, April 25, 2009 2:14 PM
To: divyam14diamond@rediffmail.com; divyam.srivastava@sahajcorporate.com
Subject: Thesis Topic Approval (M) FW/ 2007-09
Dear Divyam Srivastava,

This is to inform that the thesis topic “An Empirical Study on the Role of E-
Governance in Rural India”, as proposed by you, has been approved .This email
is an official confirmation that you would be doing your thesis work under the
guidance of Maj. Ashutosh Shrivastava . Make it a comprehensive thesis; the
objective of a thesis should be value addition to the existing knowledge base.
Please ensure that the objectives as stated by you in your synopsis are met
using the appropriate research design.
You must always use the thesis title as approved and registered with us.
Your Alumni ID Number is DF79-M-0134
You are required to correspond with us by sending at least six response sheets
to Prof. Alpi Jain at alpi.jain@iipm.edu. Ph-011-42789891 ( format attached
along with this mail) at regular intervals, before 31st July 2009(the last date for
thesis submission).
Regards,
Sumanta Sharma
Dean (Academics)
The Indian Institute of Planning and Management
New Delhi
Sumanta.sharma@iipm.edu
Phone: 011– 42789910,876

THESIS SYNOPSIS
Particulars of the student.
1. Name of Student:- Divyam Srivastava.

2. Batch:- FW 07-09
3. Specialization:- Marketing/ HR.
4. Section:- P-4.
5. E-mail Id:- divyam14diamond@rediffmail.com
6. Phone No;- +91-9999049511/ +91-9792003020.
7. ID:- D0709FW10460.
Desired Area of Research:-
IT Industry ( Service Industry, Marketing Research ).
Title of the Thesis.
" Role and scope of e-governance in the rural sector of the economy "
An Empirical Study.
Objective.
1. To study the mass potential and objectivity of e-governance in the rural

sector of the country.
2. To evaluate and simulate the strategies of e-governance in the country
adopted by Public-Private Partnership.
Introduction to the Area of Research.
E-governance stands for `electronic governance’ or the use of ICT

(information and communication technology) to improve the delivery of
government services to citizens (G2C), businesses (G2B) and other
government agencies (G2G). (G2G).
E-governance helps in integrating and simplifying government services,

reducing the time citizens and businesses spend obtaining/submitting
information from/to the government, increasing government transparency by
cutting down corruption, improving government finances through enhanced
revenue collection and cost reduction, and improving the business
environment in the country for private sector development and to enhance
foreign direct investment.

E-governance is a tool for achieving good governance and is not an end in

itself. In good governance, public processes and institutions produce results
that meet the needs of society while making the best use of resources at their
disposal. It also requires that the institutions and processes try to serve all
stakeholders within a reasonable timeframe. And e-Governance is what helps
the government achieve this goal. It allows citizens to communicate with the
government, participate in the government’s policy-making and reflect their
true needs.
Achieving success in e-Governance requires active partnerships between

government, citizens and the private sector. The e-governance process needs
continuous input and feedback from the `customers’— the citizens, resident,
businesses and officials who use electronic public services. Their voices and
ideas are essential to making e-Governance work. Hence e-governance has
to be a shared vision with all the stakeholders – government and non-
government – participating in defining this vision.
For e-governance initiatives, the three Ps – public-private partnership (PPP)

are a must. The PPP model of development focuses on collaboration between
the public and the private sector. It recognizes the importance of the private
sector in reaching development goals by promoting business, creating income,
providing jobs as well as developing a sense of corporate social responsibility.
The public and the private sector recognize overlaps of their goals, see the
opportunities for cooperation, and work side by side in mutual projects.
Scope of the Study.
The study will be based on how well are the strategies are adopted by the
Government and the private players in the country.
The effective delivery of the services in the country like India will also
Foster, the overall economic development of the country.

Research Methodology
Collection of Data
1. Primary Data:- Information collected through Questionnaires and through

different officials ( Whether Government or Private ).
2. Secondary Data:- Collected through Government journals, Newsletters,
Company's reports and etc.
Justification of choosing a Particular Topic:-
I had chosen the particular topic because the topic is very intrinsic to the
point of development of the rural economy is very important if we want overall
development of our country.
The topic covers such points that are very important to give a clear view in the
eyes of the government or the private players existing in the country that there
is a lot of potential in the rural economy.
Reasons for going rural because:-

a) Huge potential.
b) Uncovered market.
c) People looking for a better change.
d) Education will empower them to become an entrepreneur.
e) Looking for advancements.
Helping customers, businessmen and government officials to go for the best

in the e-governance platform.
Details Of External Guide.
Name of the Company:- SREI SAHAJ e-village Ltd, Lucknow.

Name of the Guide:- Major Ashutosh Shrivastava.
Designation:- State Head Uttar Pradesh.
Contact No:- +91-9792003000.
E-mail id:- ashutosh.shrivastava@sahajcorporate.com
Company's Web-Site:- www.sahajcorporate.com

ACKNOWLEDGEMENT
Through this acknowledgement I express my sincere gratitude towards all those
people who helped me in this project, which has been a learning experience.
I am thankful to my project guide Major Ashutosh Shrivastava and Prof Alpi Jain
for guiding me throughout this study without his help this dissertation would have
not be completed.
I appreciate the co-ordination extended by my friends and also express my
sincere thankfulness to the entire faculty members of Indian Institute of Planning
& Management, Delhi, giving me the opportunity to do this project/study and also
assisting me for the same.
I owe everything in this life to my parents who are a constant source of
inspiration and pillars of support.

TABLE OF CONTENT
Abstract
Certificate from Guide
Thesis Approval Letter
Thesis Synopsis
Acknowledgement
Chapter-1: Introduction
Chapter-2: Literature Review
Chapter-3: Research Objective and Methodology
Chapter-4: Finding and Analysis
Chapter-5: Survey results
Chapter-6 Conclusion and Recommendation
Bibliography
Annexure.

CHAPTER-1
INTRODUCTION
Executive Summary
1.0. ICT for Rural Empowerment
1.1. ICT as an Enabler:
ICT can be a powerful enabler of developmental goals as its use can dramatically
improve communication and exchange of information for strengthening and
creating new economic and social networks. ICT is pervasive and can be
applied to the full range of human activity-from personal use to business and
government. ICT is multifunctional and flexible, allowing for tailored solutions
to meet diverse needs of the population. ICT facilitates disintermediation, as
it makes it possible for users to acquire products and services directly from
the original provider, reducing the need for intermediaries. ICT is fair, equal
and transparent as it does not differentiate on the basis economic status,
religion or castes of its users.
1.2. The Development Challenge:
About two-thirds of India’s predominantly rural population having agriculture as its

primary occupation, account for less than one-third of the National Income
leading to disparity in incomes in rural and urban India. Government
agencies, domestic and international institutions associated with
development, and NGOs have been engaged in addressing this persistent
development problem, each in their own space and time, armed with their
respective development ideologies and tools. Traditional rural development
interventions have centered round:
a) Rural development programmes and schemes launched either at central, state

or local government level;
b) Decentralization of Planning;
c) Better enforcement of land reforms; and,
d) Greater access to credit

The strategy has been evolving with changing times and taking into its fold new
approaches such as participatory local governance, community development,
technology diffusion, and rural entrepreneurship. While the participatory local
governance and community development approaches have been well absorbed
and adopted by the Government agencies, NGOs and the grassroots alike, the
induction of ICT and ‘rural entrepreneurship’ into the rural development domain
has been more or less unorganized (despite the promising growth in ICT
infrastructure and information system in urban areas).
1.3. The NeGP:
The NeGP stresses upon ICT as a platform for the rural communities to leapfrog
some of the traditional barriers to development by improving access to
information, expanding their market base, enhancing employment
opportunities and making the Government work better. The NeGP recognizes
and supports the need for rural India to take advantage of ‘knowledge-
intensive’ techniques for sustainability. Given below illustrates the Three
Pillar Model for the NeGP:

NeGP - The Three Pillar Model
The NeGP is an enormous step towards making the Government accessible to

citizens, in ways that can not only save huge costs to the Government but
also make it more transparent and efficient in its day-to-day interactions with
the common man. To that effect, the role of the Common Services Centers,
envisaged as the front-end delivery network for Government services
assumes great significance.

CHAPTER-2
LITERATURE REVIEW
There are different components of National E-Governance Scheme.
The Common Services Centers (CSCs): CSCs are envisioned as the front-end
delivery points for Government, private and social sector services to rural
citizens of India. The idea is to develop a platform that can enable
Government, private and social sector organizations to integrate their social
and commercial goals for the benefit of rural populations in the remotest
corners of the country through a combination of IT as well as non-IT services.
CSC as a Change Agent:
The CSCs cannot be seen as mere service delivery points in rural India. The
CSC has to be positioned as a Change Agent - that will promote rural
entrepreneurship, build rural capacities and livelihoods, enable community
participation and effect collective action for social change - through a bottom-
up model that focuses on the rural citizen.
ICT in isolation cannot undertake such monumental socio-economic change.

However, Rural Entrepreneurship driven by Government, Private and Social
sector agencies, and supported by continuous capacity building and training
has the power to undertake dramatic changes in rural incomes as well as
attitudes. The intensity of national goals fueled by local entrepreneurial vigor
can act as a powerful catalyst to empower rural India.
Public Private Partnership (PPP):
To undertake such a mammoth task calls for participation of leading thought

leaders and agencies involved in rural markets. It is proposed that a Public
Private Partnership model can undertake this challenging task in the most
effective way.
A PPP is a facilitating framework that enables sustainable development by

effectively leveraging limited public funds, integrating scale with efficiency;
reducing life cycle costs, harnessing national resources and looping best
practices, to achieve a social purpose. A PPP provides a format in which all
the important stakeholders are incentivized to come together in achieving the
community development goals enshrined in the project. To that effect, a PPP
framework is more than a Joint Venture.
The PPP Framework

The CSC Structure: The Draft Framework outlines a 3-tier structure for the
CSC Scheme:
a) At the first (CSC) level would be the local Village Level Entrepreneur (VLE-
loosely analogous to a franchisee), to service the rural consumer in a focused
cluster of 5-6 villages.
b) At the second/middle level would be an entity termed the Service Centre

Agency (SCA – loosely analogous to a franchiser) to train, manage and build the
VLE businesses
c) At the third level would be the agency designated by the State- the State Level
Agency (SLA) - to facilitate implementation of the Scheme within the State, to
provide policy, content and financial support to the SCAs

A Program Management Agency (PMA) was appointed to assist the DIT in

Phase I i.e. The Project Development Phase
The National Level Service Agency (NLSA):
There are significant challenges in exploiting opportunities to achieve economies

of scale in the identification, customization and implementation of the
physical and digital infrastructure required for the project. Further, many of
the potential citizen-centric services would lend themselves to aggregation at
the national level. To enable the State-specific implementation plans and
benefit from such economies of scale, aggregation of best practices, content
providers, etc., it is expected that the PMA extend its role to a National Level
Service Agency (NLSA) – and continue with the project for another 30
months.
The Special Purpose Vehicle (SPV):
In addition to the NLSA, an SPV has been proposed for the day-to-day
monitoring of the CSC Scheme, in terms of financial support, content
aggregation and SCA enablement. It is suggested that the SPV would be set
up during the initial implementation phase of the Scheme, but it is essentially
an entity created to be an integral part of the CSC framework in-perpetuity.
The SPV would undertake the following key roles and responsibilities:
a) Lay down operating and financial disciplines within the CSC system
b) Provide a framework for collaborative decision making process
c) Catalyze content aggregation on an on-going basis
d) Build a common “Identity” between all stakeholders to the citizens as well as

lenders

Building Awareness about the Scheme
Reaching out to the stakeholders: The implementation strategy at the State level
would need to address the respective State’s needs and to a certain extent be in
line with the ongoing initiatives. Accordingly, over the last six months, various
steps have been taken to sensitize the State Governments on the concept,
business model and other related aspects of the CSC Scheme. A brief outline of
the action plan for implementation of the scheme was discussed with each of the
State Governments. Based on the feedback received through interaction with the
States, broad parameters for implementation of the Scheme have been outlined
in order to formulate a state specific approach for implementation in a majority of
States. In a few states like Gujarat, Rajasthan, Tamil Nadu and Kerala existing
initiatives need to be factored in. An Approach Note for each State has been
developed with an aim to outline a roadmap of CSC implementation taking into
account the ongoing initiatives that are being carried out in various States.
Interactions have also been held with various Chambers of Commerce at

local level as well as Corporates, NGOs and other stakeholders including
content and technology providers. Seminars have been held at Regional /
State Levels to create awareness amongst the potential Service Centre
Agencies (SCAs) to enable them to understand the project and to encourage
them to bid for the Expression of Interest (EOI) issued by the DIT, GOI.
The need for a broader base:
a) Existing Projects: By some estimates, there are as many as 150

existing rural PC-kiosk projects across India, with approximately
12,000 rural kiosks operational. Reflecting the Nation’s diversity,
these initiatives differ in goals, models, operating paradigms,
and geographical distribution. A variety of entities are
associated in running these projects, –large enterprises,
entrepreneurs, universities, Government, and NGOs–with
motives ranging from driving commercial profits, to achieving
socio-economic development or streamlining government
processes.
b) To that effect current kiosk projects can broadly be split into

three categories:
i) Commercial initiatives run by private enterprises;
ii) Community-oriented entrepreneurial projects;

iii) Government-led initiatives.
However, barring a limited few, the ability of the current kiosks to

scale up and provide effective service delivery has been hampered
by various challenges as listed below:
i) Lack of Financial Support
ii) Limited End-to-end e-Government Services
iii) Limited Sharing of Best Practices
iv) Lack of Awareness amongst Users
v) Limited Capacity Building and Training
vi) Inability to Leverage Economies of Scale
vii) Limited bouquet Content & Services .
Widening the Search:
Consequently, whilst the operational expertise of existing kiosk businesses is
invaluable, there is a need to look beyond the current operators and involve
organizations across sectors outlined below:
a) Domain Expertise: Strong organisations in various domains such as banking,

telecom, agriculture, rural development, education, health etc. can bring their
domain specific expertise into the CSC business. Each of these organizations will
not only help improve the sustainability of their CSCs but they can develop best
practices in their domains for other SCAs to replicate.
b) Channel Integration: SCAs which can build the CSC business as an extension
of their existing businesses have a better chance to achieve sustainability.
c) Understanding of local issues and ground realities: Organisations like SEWA

which have a network of over 684,000 members can bring in tremendous
value in terms of local knowledge and innovations in the CSC ecosystem.
d) Sound financial and managerial resources: Initiatives backed by

large corporations tend to be independent and self-reliant. The
possibility of their projects to endure in the long term is higher,
because of their business and financial expertise.
It is also important to have organizations from diverse segments

and commercial interests (like corporate houses, PSUs, SMEs,
entrepreneurs, training institutes, NGOs, SHGs, co-operatives, etc.)
in the ecosystem so that the entire ecosystem can leverage the
core competencies of the participants.
Organizations with complementing skills could also form consortiums for
effectively leveraging their strengths. For example, a corporate with adequate
financial resources and business acumen associating with an NGO which has
the relevant understanding of local issues, adequate geographical reach and
social acumen can bring their core-competencies together for developing a
sustainable CSC business.
Expressions of Interest:
More than 2300 organizations from across the country and with diverse
backgrounds responded to the DIT advertisement, inviting potential SCAs to
express their interest in the CSC Scheme. Exhibit 4 shows the State-wise
total number of applicants who have shown an interest in establishing CSCs,
with specific location preferences.

Areas of prior experience

Category Areas of experience
Vocational training Community polytechnic
Conducting EDP and skill-based training programmes
Conducting vocational training programmes
Training & counseling Aptitude test and career counseling
Conducting training for farmers
Empowerment of tribal women,
SHG & micro finance through SHG formation
Micro finance for the rural poor
Business Process Outsourcing
Outsourcing (BPO) activities
Running call centres and Help Desk services
IT related Computerization of banks
Digitization of Gram Panchayats
Land records computerization & workflow automation
Smart Card based vehicle registration project
e-commerce for local women
Income generation entrepreneurs
Entrepreneurship development programme
Handicraft training programme
Income generation programme
Health Telemedicine
Community information centre
Establishing ICT kiosks project
Kisan Soochna Kendra
Environment Animal welfare activities
Horticulture training
Education Basic computer education
Distance education /tele-education
Offering alternative & innovative education
Awareness generation Programmes Awareness generation programmes
Conducting adult educational
programmes

Distribution of applicants in terms of number of States selected
No. of States Selected No. of % of Applicants

Applicants
All 35 States 7 0.6%
20-34 States 14 1.3%
10-19 States 33 2.9%
5-9 States 44 3.9%
2-4 States 138 12.3%
Only 1 State 884 78.9%
Total 1120
Determining the number of CSCs: The mandate of the CSC scheme is to
establish 100,000 rural kiosks across the country with an equitable
distribution. That could normally be taken to imply standardization on the
population covered by each CSC. As reflected in the Financial Model,
discussed in a later part of the note, a CSC would ideally need a catchment
population of 7,000-8,000, to be viable. If the 100,000. centers were to be
allocated based on this norm, the distribution of CSCs across States would be
as reflected.
State Level Agency: Each State Government was requested to identify a
State Level Agency (SLA) and a Nodal Officer to represent the State and
provide all state level support for smooth implementation of the CSC scheme.
As a State Government representative, the SLA is expected to provide the
necessary policy level support to the CSC Scheme. Such support can come

in the form of affirmative action through various state policies to develop a
sustainable framework for regulation, promotion and ramp up of e-
Government and private sector services. Essentially, the role of the SLA
would primarily be to:
• Facilitate e-readiness of the State
• Provide policy and regulatory support
• Facilitate integration of the existing ICT enabled Government schemes

into the CSC Scheme.
• Help identify CSC locations
• Coordinate and facilitate interactions with various internal departments
• Coordinate and network with other concerned state level entities
• Select Service Centre Agencies (SCA)
• Facilitate training and capacity building
• Facilitate awareness campaigns
• Facilitate the SWAN interface
• Link state government schemes with CSCs
• Catalyse roll out of G2C applications by individual state departments,

district administrations, other local bodies.

Determining the Content and Services Stack for the CSCs
Understanding the Needs: Rural India has several unmet needs. Be it education,
health, agriculture or finance, rural India has very limited or even no access to
quality services and necessary financial support to avail them. Therefore, merely
driving any content and service into the CSCs will be risky in the long-term. What
is needed instead is a model that can build disposable incomes while providing
world-class services at affordable costs.
Prospective Key Government (G2C) Services:
• Land records
• Registration of vehicles
• Issue of certificates/ Government schemes
• Employment exchange
• Ration cards
• Electoral services
• Pension schemes
• Road transport
• Public grievance
• Utility/ Telephone Bills (Government undertakings)
Prospective Business to Consumer (B2C) services
Commercial Services
• Digital Photos
• Web surfing
• Photocopy
• DTP
• Email/Chats
• CD Burning
• Typing
• Printing
• Games
• Forms downloads/Estimates
• Utility/Telephone Bills (private enterprises)
Prospective e-Commerce/online services
• Railway Tickets
• Astrology
• Matrimonial

• Shopping
• Resumes
Prospective Education Services
• IT Education
• English Skills Training
• Tuitions
Prospective Entertainment
• DTH - Community TV
Prospective Telemedicine
• Primary Healthcare
Prospective Agriculture Services
• Agriculture-inputs
• Agriculture -loans
• Agriculture -consulting and training
Prospective Business-to-Business services (B2B)
- Advertising & Promotion Services

• Space marketing of Jan Seva Kendra
• Promotions
- Data Collection Services
• Research Data collection
• Data Entry
- Distribution Services
• FMCG Products
- Financial Services
• Loans/Deposits
• Referrals
• Insurance, etc.

Usage Patterns of Services in the State
Agricultural procurements
Presently most farmers procure their farming inputs from multiple locations. The
large farmers buy branded products from State Government Co-operative’s,
which provideseeds, fertilizers and information, but the availability of
seeds and fertilizers is limited to about 30% of the total demand. Krishi Samitis
provides seeds to some of the farmers. Good quality seeds are also available at
Agricultural University Outlets, which are 2 – 3 in each district, but the travel time
and cost has to be incurred. For the small and marginal farmers most of the
inputs are from the numerous small shops in nearby town mandis, and it is this
section of farmers, who really require the Jan Seva Kendra services, to save
transport costs and multiple visits.
Agricultural consultancy & marketing facilities to the farmers for their

produce
Although Kisan Seva Kendras are present, they do no realwork, and no relevant
literature on various consultancy requirement are also available with them..
These centresmostly act as distribution centres for branded seeds.Consultancy is
mostly required on the dos and don’ts of using different hybrid seed varieties for
different crops.
Vocational education:- In different parts of Uttar Pradesh, a variety of skilled but

labour intensive handicraft work is done. The villagers of Uttar Pradesh demand
training to undertake such work in efficient and cost effective manner.
Basic computer training It is lower than the national average. Unless the kiosks
provide some placement assistance to the youths undertaking Basic computer
training there will be no meaning to provide such a service through kiosks.
All tuitions Due to the poor performance of the board examination students,
tuition classes are plentiful for classes IX, X, XI and XII. However, as the students
mostly travel 2 – 3 km on bicycle to access the classes in nearby towns or
kasbas, they would prefer availing them from the Jan Seva Kendra.
Forms and mark sheets (all downloads)

Although current level of usage relating to download of forms and mark-sheet is
quite low, yet they rural masses have expressed willingness to use such facility
once available through Jan Seva Kendra.
Tele-medicine The poor infrastructure (only 18% PHCs and 23% subcentres),
absenteeism of doctors, dispensing of medicines by pharmacists without due
consultation, are all reasons, which make tele-medicine attractive for the
villagers.
Entertainment - movies Movies are a much favoured entertainment option, but

as easily accessible infrastructure is limited, demand for Jan Seva Kendra usage
is high for this service.
Internet browsing and email (includes information search)

It is lower than the national average.
E-daak It is lower than the national average.
Bio data MakerComputerized, neat bio-data (with soft copies, which are
amenable to changes/modifications) are only available at block headquarters at
present. In the villages, the typewriterbased bio-data is still made, which is not as
neat, and has to be re-made each time, if modifications have to be made.
Thus, need for this service is high at the Jan Seva Kendra .
Ticketing - Rail/Road/Air Train ticketing is only available at the districts, which

incurs average transport cost of Rs.100 per trip. If the ticketing option is available
at the Jan Seva Kendra , information on ticket availability and purchase is
facilitated. This is especially relevant for the eastern UP districts, which travel to
Maharashtra for migratory work. It is also relevant for a large proportion of
households in western UP, who travel to the Gulf countries for work.
Long distance Telephony through internet (ISD)

The proportion of villagers currently availing ISD services is 14% and the
willingness to use such services through Jan Seva Kendra is comparatively high.
Photocopying 19% villagers are currently availing the service of photocopying.

The proportion of villagers willing to use such services through Jan Seva Kendra
is comparatively low.
Desk Top Printing (DTP) services

Probably due to unavailability of DTP related jobs in rural Uttar Pradesh, not only
the current usage but also willingness to use such services is also comparatively
low.
Astrology The present willingness to use is low due to low faith in the
authenticity of high-tech; less understood computer generated outputs (due to
low literacy levels). The faith is on the universally available local pandit, who is
also usually an influential person, and on interactive sessions for any finding
favorable dates or solutions to various problems besides developing the usual
‘janam kundli’ or the horoscope, andallowing customers to clarify content and
predictions.
CD burning including CD cost

It is lower than the national average.
Digital Photographs – passport size

Not exposed to digital photography, but the need is for photograph shops, which
are not very abundant.
Digital Photographs – postcard size

Not exposed to digital photography, but the need is for photograph shops, which
are not very abundant.
Soil Testing- Soil testing are required for western UP districts, which
practices multi-cropping. Presently facilities are only available at Block level,
where test results are generally delayed and therefore become irrelevant.
Land records Are used for crop loan guarantee and for litigation – both of
which have considerable requirement in UP.
Ration cards – issue of newcards/ change of name/change of name

Government campaigns for making new rations cards and photo id cards are
currently going on, and therefore the willingness to use figures are low.
Bus pass Roads are bad, with little government transport network.
Although the demand for bus passes from the Jan Seva
Kendra is high, little can be done about the same, as most
of the present infrastructure is private bus service.
Certificates available at GP Willingness to use figure are high, as currently

certificates
(Birth/ Death certificate) are procured only after speed money is paid, and that
toowith multiple visits.
Certificates available outside GP(Residency/caste/income/ma

rriage/power of attorney/unemployment/disability certificate)
Willingness to use figure are high, as currently certificates are procured only after
speed money is paid, and that too with multiple visits.
Application for New passport/renewal/change of name & address

Willingness to use for passport application is high, as this is a much-required
service, especially in areas where there is non-agricultural labour exodus to
neighbouring countries (Bangladesh, Nepal and the Gulf countries), and with low
literacy, to get a passport made is considered a problem.
Payment of all bills In rural Uttar Pradesh, there is general tendency of not
paying or delaying the payment of bills to future date.
Grievances Land problems, caste conflicts; dissatisfaction among villagers’ w.r.t

existing Government programmes makes this service much sought after if
provided through kiosks at a reasonable rate wherein villagers can access this
service without much pain..
The Services Model
Data
Value-adds Collection,
Rural BPOs,
etc.
Quality of Entertain
Life ment
Social Education, Healthcare,

Development Agricultural Extension,
etc
Create Income
Opportunities Market Linkages
Save Costs E-Government

Services
Delivery Network at the Core of a Network of Stakeholders

Corporates
e-Service operating in
providers rural areas
Govern
Business
ment NGOs Agro- Consumer Finance
business products
Government Delivery network
Policy
,
fundin Network Regional Village Communities/ma
g orchestrator hub kiosk rkets
Infrastructure
providers
Common Services Centres : Impact On Rural Livelihood
 Good Governance
 Empowerment
 Equal Opportunity
 Human Development
 Income / Employment Generation
E--GOVVERNANCE AND ITS’S RELEVANCE TOO INDIA.
India is a land of diversity. This diversity spans across culture, tradition,

language, geography and the economic condition of the people. It is a nation that
has a significant number of people who are below the minimal socio-economic
benchmarks. This includes rural and urban poor, women in rural areas, street
children, people belonging to historically disadvantaged castes and people living
in less developed areas. The vulnerability of these sections of society has
increased with globalisation and this section is prone to become even more
marginalized - economically and socially.
Successive governments have committed themselves to addressing these
divides, but effective implementation of various economic development
programmes aimed at individuals belonging to these sections of society has
proved an elusive goal. Government of India (GoI) recognizes that e-
Governance, in the context of developing countries, provides an excellent
opportunity for improving governance. Used imaginatively, it is a trigger for

introducing various administrative reforms. These changes could not only go a
long way in improving the quality of life of these sections of society, but could
actually provide them more equitable access to economic opportunities than ever
before. In this context, the Government of India views e-Governance as a
strategic tool for transforming Governance and improving the quality of services
provided by the government to its people.
India’s experience in e-Governance / ICT initiatives has demonstrated significant
success in improving accessibility, cutting down costs, reducing corruption,
extending help and increased access to un-served groups. In this phase of
experimentation, e-government initiatives have reached millions of people
belonging to these sections of society. Improved access to information and
services has provided economic and social development opportunities, facilitated
participation and communication in policy and decision-making processes and
empowerment of the weakest groups. This has led to fostering a sense of
ownership and building of social capital, which in turn, constitute a basis for local
revitalization.
The Government of India, in various forums, has indicated its commitment to
provide efficient and transparent government to all strata of society. E-
Governance is now mainly seen as a key element of the country’s governance
and administrative reform agenda. The Government of India aspires to provide:
• Governance that is easily understood by and accountable to the citizens,

open to democratic involvement and scrutiny (an open and transparent
government)
• Citizen-centric governance that will cover all of its services and respect
everyone as individuals by providing personalised services.
• An effective government that delivers maximum value for taxpayers’ money

(quick and efficient services)
Hence the Government of India views e-Governance as a vehicle to initiate and

sustain reforms by focusing on three broad areas:
3

Governance
• Transparency
• People’s participation
• Promotion of a democratic society
Public services
• Efficient, cost-effective and responsive governance
• Convenient services to citizens and businesses
• Greater citizen access to public information
• Accountability in delivery of services to citizens
Management
• Simplicity, efficiency and accountability
• Managing voluminous information and data effectively
• Information services
• Swift and secure communication
While pursuing these goals, it is recognized that the motivations and imperatives
for adopting e-governance in a developing country like India are vastly different
from those in developed countries. Manpower costs and constraints were among
the imperatives driving technology induction in developed countries. Further, the
advent of ICT in governance preceded the emergence of the Internet. Hence one
of the main challenges in these countries was to integrate heterogeneous
backend computer systems through complex middleware to leverage the Internet
and achieve integration of services. By contrast, in countries like India, there was
hardly any significant back end computerisation in government before the advent
of the Internet. Consequently, while planning e-governance projects today, the
ubiquity, convenience and power of the Internet can be factored in right from the
planning stage itself. Moreover, it is neither the availability constraint nor the cost
of manpower that is the driver for e-governance. Primarily, the motivations are
higher efficiency, transparency, accessibility and accountability as well as
reduction of procedural complexity that breeds corruption. It is also a realization
that there is no other way to effectively provide services to a population of over
one billion people.

Besides, the economic and social environment is very different in India compared
with that in a developed country. Per capita income is much lower. Telephone,
PC and Internet penetration levels are low in comparison. Availability of reliable
electric power supply is still a problem, particularly in rural areas. Universal
literacy is still a distant goal. IT literacy is very low, both in absolute and relative
terms. India has 22 official languages. Several hundreds of dialects are spoken
all over the country. Less than 5% of the population can speak English. Hence e-
governance initiatives need to be planned with reference to these ground realities
in the country.
E-Governance In India:- Challenges.
There are however, numerous challenges. Some of the key areas needing
attention are:
• Clarity in objective setting: Project approval and funding of projects through

multiple departmental budgets lead to wide variations in the approach to
project objective setting, without a clear focus on outcomes or on building
sustainable services. The service needs of citizens/ businesses and those of
other departments are often either overlooked or accorded lower priority in
relation to internal needs. Very often, objective setting is purely in ICT terms
such as computers, networks and so on which are specified in great detail,
while government business process outcomes are either not defined or are
defined in vague terms that do not lend themselves to measurement post
implementation.
• Ensuring service delivery: E-governance projects have primarily focused on

internal process automation and generally are hardware and infrastructure
driven (sometimes even vendor driven) with little focus on citizen service
delivery or outcomes.
• Leveraging Private Capital: Experience of successful e-governance initiatives

indicates that well structured service-oriented projects can attract private
capital linked to explicit service-linked revenues from users or from
government. The current system of project formulation, i.e. based on
budgetary allocation / grant places little or no pressure on departments to
develop project structures that can attract private capital, a goal that
necessitates additional rigour and complexity at the project formulation and
development stage.
• Need for Government Process Reengineering: Computerization of inefficient

processes can lead to higher rather than lower levels of inefficiency and
spiralling cost. Hence, it is essential to undertake process re-engineering as
an integral part of e-governance project implementation in order to ensure
increased efficiency and reduced costs.

• Standardization: Departmental approach and absence of a national framework

for common standards has resulted in adoption of different technical
standards and varied architectures. This has significant implications for
designing effective integrated applications and also entails long-term costs
and sub-optimal results.
• Independent Impact Assessment: In the current system, there is no

requirement or institutional mechanism for an independent assessment of
projects post-implementation to determine whether they have achieved the
set objectives, except in purely financial terms. Further, very few projects
have formal performance metrics defined at the start of the project to measure
outcomes.
• Localisation: ICT solutions were mostly developed with an English Language

interface. However, in India a vast majority (95%) of the citizens do not know
English and use the local language. The fact is that India has 22 official
languages; for success of e-Governance, this reality needs to be reflected in
the implementation strategy.
• Internal Capacity/Project Management Expertise: Departments/ states have

limited access to any institutional mechanisms for building capacities in the
areas of e-governance project development and design, bid process
management, professional project management, development of Contractual
Frameworks, Service Level Agreements, etc. They also have no means of
accessing external (outside Government) competencies that are difficult to
procure within the governmental framework.

The Overall E-Governance Action Plan

Business Logic of CSCs

Estimated Revenue Potential: B2C
Key B2C Services that would drive footfalls

B2C Services % HHs WTP HHs (APL) per Rate per Mean No. of Revenue
910 HHs transaction in transactions Potential per
Rs. per annum annum (Rs.)
Web surfing 8% 73 5.00 6.60 2,402

DTP 5% 46 4.00 4.67 850
Email/Chats 6% 55 5.00 4.64 1,267
Health Services 47% 428 10.00 4.58 19,589
Forms 9% 82 5.00 4.41 1,806
Downloads/Esti
mate
Photocopy 44% 400 0.50 3.99 799
CD Burning 6% 55 15.00 3.86 3,161
Railway Tickets 33% 300 10.00 3.85 11,562
Resume upload 11% 100 5.00 3.51 1,757
Movies 29% 264 3.00 3.00 2,375
Astrology 10% 91 20.00 2.59 4,714
Services
Sale of Agri- 29% 264 5.00 2.16 2,850
inputs
Digital Photos 41% 373 5.00 2.04 3,806
Agri- 28% 255
consultancy 10.00 2.00 5,096
Tuitions 29% 264 50.00 1.00 13,195
Classes
IT Training 21% 191 450.00 0.33 28,665
Vocational 10% 91 200.00 0.33 6,067
Training
Programs
Content and Services Ecosystem

Pictures Of CSC’s in Different States.

Uttar Pradesh:-
Bihar:-
West Bengal:-


Items provided by the SCA to the particular CSC’s
CPE Radio
Switch and Cables
Power Solution
Laser Printer
Operating System
Mast
Digital Camera
Furniture
Pair of Laptop
Pair of External Wipro Mouse (Std. 2 button)
Pair of External Wipro Keyboard (Std.) – 1 for each system
Pair of Head Phone with Microphone – 1 for each system
Pair of External Speakers (I set for each system)
Multi Functional Device (MFD) Print-Copy-Scan- Make – HP
Painting
Electrification
Flooring
CHAPTER 3
RESEARCH METHODS
In this section I have first explained about research philosophy and approaches.
In the later part of the chapter a brief and detailed overview of the research
design and methodology used by me for this dissertation are provided.
RESEARCH METHODOLOGY
To get to the stated aim of the research in question a combination of both primary
and secondary research is to be carried out. A discussion of the methodology
would provide a framework for constructive criticism and replication of the
research (Nachmias, D & Frankfort-Nachmias, C, 1996). The various tools used
throughout the research are described in the following section along with a
rationale behind choosing each one of those tools.
RESEARCH DESIGN
Research design is a conceptual structure within which research is conducted. It
constitutes the blueprint for the collection, measurement and analysis of data.
Research design is needed because it facilitates the smooth sailing of the various
research operations, thereby making research as efficient as possible yielding
maximum information with minimum effort, time and money. Research design
stands for advance planning of methods to be used for collecting the relevant
data and the techniques to be used in their analyses. Preparation of research
design should be done with great care as any error may upset the entire project.
Therefore it is imperative that an efficient design must be prepared before

starting research operations. It helps to organize the ideas in a form whereby it
becomes possible to look for flaws and inadequacies.
THE CREDIBILITY OF RESEARCH FINDING
In order to reduce the possibility of getting the answer wrong means that
attention has to be paid in two particular emphases on research design:
Reliability and Validity (Saunders et al, 2000, p 100).
Reliability of the source is very important for the research, which is to be carried
out. It is to be seen and understood that the analytical measures will yield the
same result as desired in other situations and whether the results obtained will be
the same if the same research is carried out by other researchers. Reliability of
the source can also be the source of faults and threats for the research like
information drawn from the source could be biased, there could be an error of
misinterpretation by the observer, or the questionnaire could be full of faults.
These tend to raise the questions of how reliable is the source for the research.
Thus in the research I have been careful while using the secondary data.
Validity on the other hand, is concerned with whether the findings are really
about what they appear to be. There is always a great probability of error
creeping into the system. A researcher has to be very careful and alert while
focusing on his research. He has to make sure the method used to collect data is
valid and that the data thus collected is from the reliable source, as the final
findings in the research report depends on it. For the research to be a successful
it is very important that the researcher has his aim very clear with well-defined set

of objectives and some means or guidelines in hand to keep a check on the
research for its growth.
DATA COLLECTION METHODS
This section describes the various data collection methods used along with the
rationale behind choosing them,
SAMPLING
The sampling strategy for this research is largely modeled around the various
constraints on the availability of data. The productivity data in organisations is
very confidential and in most cases is not publicly available. Therefore, one of the
factors which are an important influencer to the sample size is the number of
organizations processes from where data could be obtained.
The research focuses on the population of the research theoretically would be all
the behavior of rural paradigm in the India. it is extremely difficult to ascertain the
total population size, which makes using accurate probability sampling not
feasible.
Keeping those constraints in mind, the sampling used for this research is
heterogeneous non-probability sampling. According to Newuman (2000), this sort
of sampling is best when using the case study research. Although a statistically
accurate sample of the population is not feasible in this research, the sample
used is heterogeneous to remove the element of bias to the extent possible.

SECONDARY DATA
A majority of the data regarding this research was in the form of secondary data.
A large portion of the data came from the various sources available such as
books, journals and industry reports etc. A description of each source is
presented below.
SOURCES OF SECONDARY DATA
The exploratory desk research included a wide range of sources including,
books, journals, newspapers etc.
Journals – Journals supplemented the knowledge available from books.
Journals are frequently updated and therefore provide insight into the Indian Auto
Component Industry. Journals can also be chosen because of the fact that they
are the articles, which gives you views and work done on the same field, by other
researchers. However, journals might also suffer from biasness in its approach. A
researcher just might have taken a different approach or might have overlooked
the other side of the coin required in the research. Still journals provide enough
insight and material for the research in question here. Thus raising the doubts
about how reliable is this source and how valid is the data collected from this
source. A researcher needs to make sure about the information gathered is not
only valid but also reliable and can be used in the research. If not, then the
research will not be a valid research report.

Among the sources mentioned above, additional sources of knowledge were
trade journals, websites and industry reports. These are the sources for wider
coverage of the research.
PRIMARY DATA: INTERVIEWS
For the purpose of getting the required information, I proposed to conduct the
interview of three segments. One segment will be people in the organization who
have the decision-making powers. Second segment will be people who execute
the decision taken. Further more researchers divide these segments into two
main categories. For those organizations who outsource and the other for those
who are being outsourced to. Interviews will be both through emails, postal and
personal in nature. Use of email and postal is for the targeted interviewees who
are not reachable by me in the given timeframe however personal interviews are
specially meant for the interviewees like managers or people in the organisation
who have the decision taking power.
The reason for conducting the interviews is to have the first hand information
from the people in question here for the research. Among the different kinds of
interviews, semi-structured interviews have been used for this research. It was
felt that a structured approach would not be completely appropriate. The nature
of relationships is likely to be very different across different organizations
therefore; the interviews may require a more flexible approach. On the other
hand, the key discussion areas need to be guided by the existing literature and
therefore it would be helpful that an interview guide is followed. It may well be the
case that some people would prefer not to discuss particular subject areas.
There are certain limitations of interviews, which should be made clear. The
experiences of each interview subject are personal therefore to generalize the
analysis across all organisations would not be scientific. However, keeping this
abstract subject of cross-cultural management relationship in mind, it would not
have been effective to ascertain the true picture by using an alternative research
tool.
ETHICAL CONSIDERATIONS FOR DATA COLLECTION
The subject of offshore outsourcing is quite volatile in the public domain.
Confidentiality and anonymity is therefore, of primary importance throughout this
research. In almost all cases, the data collection has only been possible on the
condition of anonymity. An attempt is also be made in this research to abide by
the ethical aspects on all occasions.
LIMITATIONS OF THE RESEARCH
For every research there are restrictions and limitations. Without them the world
does not exist. Similarly there are some restrictions in my research work, which
could not be controlled. The following were some limitations, which I faced in the
making of this research.
• The study was restricted to only the case of E-Governance Nevertheless all
efforts were made to get relevant information for the successful completion of
the research.

• There may be some discrepancies in views as some people might give false
information in the Questionnaire, as they might not be interested in filling the
form.
• Firstly I had chosen 100 residents of 3 districts near of for the evaluation of
exact needs and requirements of e-governance in INDIA I was able to get all
questionnaires filled. The reason being that they all really want to find out
what is the exact requirement and their propositions in rural context scenario.


CONCLUSION
The report focuses on the tools used for this research. The research uses a
range of data sources and techniques including interviews and secondary data
analysis, therefore, it seems appropriate to classify the research strategy as a
case study. Data collection is one of the most important elements of the
research. As mentioned above, this research uses a range of data sources. The
most important data sources being interviews and analysis of data from Omax
Auto, secondary data sources such as books, journals, industry reports and
Internet have also been used. The reason of giving more stress to the primary
data is for the fact that secondary data is more of historical and very nature of the
research is evidential. For this research I had to collect and analyse the current
market to prove the assumptions. To validate the research findings primary
research gave the research more indebt knowledge about the aim. Secondary
data though relevant sources was available but suffers from a lot of biasness and
limitations of the previous studies conducted as the situation in the Indian Auto
Component Industry is changing. What the situation was five years ago may not
be relevant today. Moreover the research here is based more on today’s market
conditions.

CHAPTER 4
FINDINGS & ANALYSIS
Service Usage Pattern and Coping Costs on Transport
This section presents aspects of the current service usage. The information
presented in the following table includes the proportion of households using the
listed services, the average number of times they access/attempt to access
various services, and the average transport cost they incur for the services. The
information is presented in annual form. The total number of respondents
surveyed in Uttar Pradesh is 5605.
Uttar Pradesh being a major agricultural state, the percentage of respondents

who have said that they are presently using agriculture-related services (seeds,
fertilizers, insecticide, etc.) is fairly high. It is interesting to note that majority of
them are not availing information or consultancy related to agricultural inputs,
which indicated potential for kiosks in rural Uttar Pradesh. Considering that 62%
of the total monthly expenditure is on agriculture, the relatively high investments
made to ensure the correct agricultural inputs are provided at reasonable prices.
The less number of trips reflects this as the related markets are found at
accessible distances, providing inputs at somewhat standardized prices and
hence the transport costs are low.
Formal school and college education and illnesses (mainly common illnesses)
form the other major sources of high usage and associated coping costs.
Medical services for common illnesses are also availed by a large proportion of
villagers.

Average number of visits for availing different private services and average
transport cost
Services Valid N % of N Mean Annual Mean

number of Transport
trips Costs
Procurement of agricultural
seeds 3688 66 4 52
fertilizers 4049 72 5 263
insecticides & pesticides 2730 49 4 53
Agricultural inputs - information 181 3 4 65
Agricultural consultancy 89 2 6 86
Marketing facilities to the
farmers for their produce 269 5 7 399
Primary education classes 2678 48 22 51
Secondary education classes 1140 20 22 37
Higher Secondary education 632 11 19 54
College 372 7 13 186
Vocational education 24 0 6 1056
Basic computer training 20 0 40 293
Tuition – primary school 183 3 26 79
Tuition – secondary school 116 2 37 19
Tuition – Hr. Sec. school 66 1 40 501
Tuition – College 39 1 19 276
Download of Mark
sheets/Admission forms 107 2 8 67
Prescription for common
illnesses
(Fever/Cough/Diarrhoea, etc.) 4742 85 14 124
Prescription for pregnancy,
infant issues, child diseases,
etc. 337 6 8 93
Prescription for advanced
treatment for
TB/malaria/Pneumonia, etc. 142 3 9 169
Prescription for advanced
treatment – for heart
diseases/cancer, etc. 19 0 8 299
Medical expenses – on 228 4 5 244
diagnostic tests (blood reports,

Services Valid N % of N Mean Annual Mean

number of Transport
trips Costs
BP checking etc)
Retail banking services 262 5 4 37

Entertainment – movies 80 1 11 86
Information on Loans and
Insurance 48 1 6 693
Non-banking financial services
for loans/credit 56 1 8 41
All types of application forms 65 1 6 172
Crop insurance (Application
and payments) 18 0 5 28
Internet browsing and email
(includes information search) 10 0 13 89
E-daak 15 0 6 63
Bio data Maker 224 4 5 98
Tickets - Rail/Road/Air 1101 20 7 576
Long distance Telephony
through internet ( ISD ) 783 14 14 38
Photocopying 1027 18 5 29
Desk Top Printing (DTP)
services 25 0 5 55
Astrology 21 0 4 50
CD burning 36 1 2 22
Digital Photographs 1336 24 3 35
Soil Testing 231 4 5 54
Land ownership certificate 755 13 9 82
The government services which are mostly availed are different kinds of
certificates and payment of utility bills or taxes for which respondents have to
make 4 trips and 3 trips, respectively (Table 2.5). The transportation cost, of one
round trip, is Rs. 35 to get the former service while it is Rs. 25 to get the later. For
other services the transportation cost is low, as some travel by foot, and others
by cycle.

Government Services
No. of trips to Transport cost for
Services
avail service one round trip
N Mean N Mean
Certificates available at GP (Birth/
291 3 291 35
Death certificate)
Certificates available outside GP
(Residency/caste/income/marriage/p
ower of 928 3 928 25
attorney/unemployment/disability
certificate)
Examination results 177 2 177 11
New bus pass 6 1 6 29
Bus pass renewal 3 2 3 9
Application for Voters ID/PAN card 187 2 187 3
Payment of taxes 24 4 24 13
Payment of utility (electricity,
855 2 855 13
telephone, property tax, water bills)
Basket of Services as per buyer preference
As per the survey, the respondents have indicated the services that they would
like to access from a village kiosk (CSC), instead of traveling longer distances
and multiple times to access different services. While administering the
willingness to use and pay questions, it was felt, that some of the respondents
had not been able to really understand or have faith in the effectiveness of the
CSCs in delivering/facilitating a service with one effective visit. The reason for
this is that the government bureaucracy and their typical handing of
citizens/customers is so well entrenched, that unless and until proved otherwise,
the people will remain skeptical. Thus, in some cases, the CSC has only been
perceived as a time saver for one round trip, and considered useful. In such
cases, the respondents have stated their usual number of visits as their CSC
transactions. These will have provided some level of over-estimation, in the
average transaction response. Other respondents have answered on the basis of
their understanding that the proposed CSC will impact both time saving per trip
and on the number of trips as a whole. These households have provided a more
accurate response on possible CSC transactions for different services.
The ‘willingness to pay’ question was asked along with the willingness to use
question, and the responses of households willing to use is with the condition of
their stated price. Thus, an analysis of the data was undertaken to assess the
proportion of households who would use at the different price points included in
the questionnaire, and on the basis of this response and average number of
visits, the revenue was worked out. The price at which the revenue was the
highest was taken as the best price. For most services, this amounted to the

lowest or the second lowest price in the range offered to the households. The
following table presents the proportion of households that will use at the selected
price and this will include, of course all households who have stated a higher
affordability.
The proportion of households wanting to use the CSC for procuring agricultural
inputs and agricultural consultancy is high as compared to other states, as the
proportion of the population practicing cultivation is high. The need for soil testing
and accessing land records are also high for the same reasons.
The proportion of households wanting vocational education from the CSCs is

high because of their high aspirations to acquire new skills that would enhance
their earning/job potential. Similarly, the need for basic computer training is also
high because youth in rural Uttar Pradesh perceive computer knowledge is
something that is latest and would help them to keep pace with the existing trend.
Although there are large number of PHCs in rural Uttar Pradesh, yet majority of
them lack basic infrastructure and adequate manpower. This is well reflected in
propsed usage high figures of telemedicines.
The proposed usage figure for entertainment services are high, as the presence
of entertainment option through TV and network cable is poor in rural Uttar
Pradesh. Anotehr problem is regular supply of electricity which deprioves them
to have a regular soruce of entertainment.
The need for the bio-data maker is also high because youth in rural Uttar
Pradesh aspire for jobs in service sector and they feel that a good bio data could
increase their chance of being short listed for various vacancies they apply for.
The need for this is service is more because the literacy in Uttar Pradesh is also
low.
Due to the low literacy, the need for photocopying services is high, as the student
population seeks much of the services.
The proposed high usage of digital photographs of the post card size is due to
the increasing practice of photo-documentation of socio-cultural occasions, even
to the extent of using video-graphy for important occasions.
The reason for the high proposed usage for passport sized photographs, is
closely linked to the high use of the CSC to access different kinds of certificates
available within the GP and from outside the GP. In Uttar Pradesh, most
households are either SC or OBC by caste, and there is a lot of reservation in
education, work opportunities, etc. all of which needs to be proved by certificates,
accompanied by photographs, and thus the high requirement.
The high usage of the CSC in service requirements related to the ration card
(new card/change of name/change of address etc.) is especially high, as the
ration card is the equivalent of the APL/BPL certificate, and to access any types
of goods and services, especially programme benefits and job opportunities from
the government, the ration cards are a must.
The low usage of the CSC for payment of bills is related to low confidence in
government and private subsystems or bodies rendering such services in Uttar
Pradesh as a whole. People still fell that their work would not be done until or
unless they make 3-4 visits.
Annual
Annual Revenue for
Mean 100
Number households
Services Usage Price of visits (Rs.)
Agricultural procurements 54.4 5 1.2 332
Agricultural consultancy & marketing
facilities to the farmers for their produce
49.2 10 1.3 648

Vocational education 12.9 200 7.4 2575
Basic computer training 24.9 450 14.0 11199
All tuitions 38.2 50 15.1 1908
Forms and marksheets (all downloads)
12.3 7 3.9 337
Tele-medicine
57.7 10 1.9 1122
Entertainment – movies 36.0 5 6.2 1111
Internet browsing and email (includes
information search) 7.8 5 2.8 110
E-daak 14.9 5 2.0 147
Bio data Maker
19.4 7 2.6 356
Ticketing - Rail/Road/Air 49.3 10 1.9 938
Long distance Telephony through internet
( ISD ) 37.7 1 5.0 189
Photocopying
31.6 0.75 2.6 61
Desk Top Printing (DTP) services
3.3 6 1.1 21
Astrology
7.2 20 1.0 145
CD burning including CD cost 6.8 15 0.9 97
Digital Photographs – passport size
59.2 2 1.8 209

Annual
Annual Revenue for
Mean 100
Number households
Services Usage Price of visits (Rs.)
Digital Photographs – postcard size
34.5 7 1.1 255
Soil Testing
29.2 20 1.9 1107
Land records 44.9 30 1.9 509
Ration cards – issue of new cards/ change
of name/ change of name
65.1 7 1.0 93
Bus pass 8.2 5 2.0 82
Certificates available at GP (Birth/ Death
certificate)
45.3 5 1.2 263
(Residency/caste/income/marriage/power of
attorney/unemployment/disability certificate)
66.4 10 1.5 968

Application for New
passport/renewal/change of name & address
12.8 50 1.3 80
Payment of all bills
23.1 3 9.4 653
Grievances
37.2 10 1.3 466
Total Annual Revenue (Rs.)
25981
Total Monthly Revenue (Rs.)
2165
Top 80% Revenue Generating Services

The major revenue generating services amongst the top 80% services are basic
computer training, vocational education, tuitions, entertainment & movies,
telemedicine, soil testing etc.
List of services accounting for top 80% CSC revenue in nodal villages
Annual Revenue for

Services 100 HHs
Basic computer training 11199
Vocational education 2575
All tuitions
1908
Tele-medicine 1122
Entertainment - movies 1111
Soil Testing 1107
(Residency/caste/income/marriage/powe
r of attorney/unemployment/disability
certificate) 968
Ticketing - Rail/Road/Air 938
Location of Kiosks
As per the findings of the survey, in Uttar Pradesh, only the nodal villages in
both mainstream and difficult terrain areas, which are Gram Panchayat
villages and having a Post and Telegraph office (GP + PTO) and a market
within 1 km radius, and population of more than 1000 households are
possible candidates for kiosk locations. A partial correlation analysis conducted
between the projected CSC revenue and the various infrastructure and economic
development factors at the village level showed strongly significant positive
correlation between projected revenue and such GP+PTO villages. Another
factor which showed positive correlation was the presence of a local market in
the village.
The revenue model estimated shows that villages having more than 1000
households in the difficult terrain villages will give more monthly income as
compared to their counterpart in the mainstream villages, vis-à-vis the
benchmark of Rs. 22,500 as set up by ILFS. The medium size nodal villages with
population of 500 – 1000 households, maybe be suitable if a small revenue
support is provided to the extent of 10% of the expected minimum monthly
turnover.
Profile of Nodal Villages

The national level scheme for providing ICT enabled services envisages a three-
tier structure to execute its functional priorities. All the three levels are crucial in
building a sustainable business model that plan to function as a platform for
providing all possible government and private services in the nodal level. This
chapter attempts to map the profile of the nodal villages in the state of Uttar
Pradesh to observe the state specific peculiarities that are vital in the planning
and execution of the scheme in the state that best addresses the development
needs of its people.
Distribution of Nodal Villages by Topography and Villages Sizes
In Uttar Pradesh, the villages located in the plains and riverine areas are
considered as mainstream villages, while those located in forested and
hilly/undulating terrain were considered as difficult terrain villages. In each of the
above categories, there was a further classification in terms of village size. Three
size categories included:
• Villages that have less than 500 households,
• Villages having 500 to 1000 households, and
• Villages having more than 1000 households.
In Uttar Pradesh, about 84 percent of the survey was done in the mainstream
habitations that formed plains, while about 18 percent were riverine. There is no
major variation found in the distribution of village size of different topographies.
Regarding the size of the villages, more inhabitants lived in villages that have
less than 500 households, while the villages with the number of households
between 500-1000 and above thousand were of the same proportion.
Road Connectivity
Majority of the selected nodal villages (81%) have all weather roads connecting
to nodal villages, while one-fifth were found to be not accessible across all the
seasons. There is no notable difference found among the mainstream habitation
in comparison with the difficult terrains as far as the road connectivity is
concerned. However, with respect to the size of the villages, road connectivity
was found better in larger villages (Refer Table. 207 for details). The fact that a
large number of the cluster villages have good road connectivity with nodal
villages would probably positively impact the level of usage of the CSCs that
would be located in the nodal villages. Also since most of the roads are all
weather roads, there wouldn’t be much variation in usage across rainy and other
seasons.
Rural Electrification and Telephone Connectivity

Reported by 86% households, the presence of electricity was found quite high in
sample villages of Uttar Pradesh. The electrification was better in mainstream
and big villages. The average daily supply of electricity was for 7.5 hours daily
across the areas that are electrified. In 46% villages the supply of electricity was
for 5-8 hours while in around one-fifth villages it was for 9-12 hours. However, the
daily supply of electricity was found independent of the size of villages. Though
there are no specific timings for the power supply or its failure, the mornings and
evenings are found to be the lean time for the electric supply. In terms of
electricity based operations, the evening times seem to be most dependable and
suitable, and considering this is the time that most male members are free from
daily chores, the absence of electricity in the evening hampers all important
activities including the services of CSCs in future.
Above 88% of the identified nodal villages have telephone connections in their
village; with better telephone connectivity in larger villages. The best connectivity
figured among the habitations that have less than 500-1000 households with
95%. For communication, 97% utilized telephones, with about 55% of the total
villagers resorting to posts also. Above 89% of the connections were available at
home, while about 85% of the users made use of PCOs also. More number of
users found to be using PCOs at the larger villages compared to the smaller
villages. (Refer to Table no. 506 for details). The connectivity and working
conditions do not seem to have any impediments in most of the cases. Almost
one-third of the telephone exchanges are situated within two kilometers of the
village, while another one-third has the facility within a range between 3 to 5
kilometers.
Distribution of Facilities and Amenities
Only 18% of the nodal villages have Primary Health Centres (PHCs). The
distribution of PHCs is slightly higher in mainstream than difficult terrains and
better in larger villages. Similarly, majority of the Health Sub Centres are also
found to be there in the villages that have more than 1000 population. The
availability of services of the private doctors in the respective villages, again,
varied according to size of the villages. About 47% of the smaller (less than 500
households) villages under survey were under the services of private doctors,
while 83% of the bigger villages (above 1000 households) were having so. The
distribution of chemists found to be low with an average of 25% across the
surveyed areas. The presence of chemists was better in larger villages. The
inroads of private hospitals are lesser with only 9% of the nodal villages have at
least one. In terms of the possible use of the CSCs, the above distribution of
facilities would mean that villages not having doctors will opt for tele-medicine
services which can generate prescriptions. This service would be more useful in
villages of Uttar Pradesh, where major part of expenditure goes in common
illness. There are private doctors, some part of the doctor’s clientele would opt for
tele-medication, especially for common illnesses, if the queue time and the cost
per service is lower than that at the private doctors. The services will also need
careful marketing to emphasize that high quality advice is available through the
CSC. The use of tele-medicines in areas having PHCs maybe less popular, as
there is faith in the government doctors, and there is further incentive to use, as
medicines for some common illnesses are distributed without cost. However, the
presence of doctors on a reliable basis, doctor’s treatment of patients and the
queues for accessing services, maybe factors which may influence households to
try alternative channels.
There is, reportedly, good presence of Anganwadis (90%) in the villages. About
87% of the villages under survey in Uttar Pradesh have Fair Price Shops with
better distribution of such shops is better in larger villages. In case of Post and
Telegraph, 41% villages in mainstream and 29% in difficult terrain have such
services.
The access to bus stops in nodal villages of Uttar Pradesh is quite poor, with only
21% reporting the presence of bus stops within one kilometer of distance.
Majority of the villages are not close to railway station as only 5% confirmed the
presence railway stations within one kilometer of distance. As expected the
services regarding road transportation is better in mainstream villages (46%), in
comparison to difficult terrains (12%).
In case of banks, only 15% of villages in mainstream while none in difficult terrain
have bank facility. Even the prevalence of private money lenders is slightly better
in mainstream nodal villages (24%) than in nodal villages of difficult terrain (18%).
The presence of banks and private lenders is better in larger villages in
mainstream. The low presence of banks and money lenders in rural Uttar
Pradesh is in line with the low levels of investment in agriculture, loan and
insurance especially in difficult terrain nodal villages.
The presence of general stores is, reportedly, higher in mainstream (63%) than
difficult terrain nodal villages (53%). The number of general stores is better in
larger villages under the survey.
While, on an average, 23% of the villages only had CD and Cassette shops, 9%
of the villages were connected to cable TV network. On the other hand, only 5%
of the villages under survey in Uttar Pradesh had cinema halls. The option of
including entertainment services in kiosks is dependant on the proportion of
households having TV and VCR/DVD facilities. The low presence of
entertainment options available through TV network, cinema halls and
CD/cassette shops, shows good potential for kiosk.

Reported by 6% respondents in difficult terrain and 13% in mainstream villages

had government colleges and private colleges. Kissan Seva Kendras are,
reportedly, present in 13% villages in mainstream and in none of the villages in
difficult terrain. Uttar Pradesh, being poorly industrialized, only 4% villages in
mainstream and none in difficult terrain, reportedly, have mills. The presence of
co-operative societies is also poor, with only 12-15% nodal villages across
mainstream and difficult terrain having them. The opportunity of the kiosks to
provide higher education through distant learning techniques and its facilitation
through tuition classes is present for most villages, as college and technical
education services are only available at considerable distances.
Figur
Places of Social Activity and Community Gatherings
The informal gatherings play a crucial role in the information dissemination in

villages. A significant section (38%) among the men from Uttar Pradesh
informally meet at panchayat bhavan or near the school. 16% men, reportedly,
meet near the temple while 14% each meet at Chauri/Chaupal or near market
place (For details, see Table No. 601). As far as presence of women in these
gatherings is concerned, 61% of them confirmed their presence in such
gatherings either always or sometimes, while 38% said that they don’t attend at
all.
Internet
Women’s social gatherings generally take place in each other’s house (46%), but
this is unimportant in case of CSC location consideration. 39% gravitated around
the Anganwadi centres. The other place social interaction as far as women are
concerned is in common areas between the houses (13%), near the school (8%),
etc. Thus, if the CSC were to be located where both men and women can
access, it would have to be place within the village and close to the panchayat
DIVYAM SRIVASTAVA
Telephone PGP/FW/2007-09 DF79-M-0134
bhavan for men and Anganwadi Centres for women, which are located on the
village road and accessible during both day and evening hours.
Primary and Secondary Occupations
In rural Uttar Pradesh, farming constitutes the most important primary

occupation. Most of the farmers were marginal farmers with less than 2.5 acres
or between 2.5 to 5 acres of land. Agricultural laborers and construction laborers
also constituted major categories of primary occupation as per the survey
(Please see Table 301 for details).
Marginal farming and agricultural labor constitute the prominent secondary
occupational categories. A significant proportion of households have undertaken
the jobs of construction labour also.
Village Youth- Educational Attainment, Occupations, Major Challenges and

Aspirations for Knowledge and Skills
Across the habitations under survey, on an average there are 148 persons who
are in illiterate or just literate category. Among the literates, on an average, 104
youths have studied upto 10th class, while 94 youths have studied upto 12th class.
The average number of professionals emerged as 60 youths in sample villages of
Uttar Pradesh.
Majority of the youths across various educational categories are, reportedly,

engaged in cultivation or in agricultural labour. Of those who attained some
professional education, 38% were employed as professionals and 7% were
service (govt., private or tuitions). However, 32% such professionally qualified
were still engaged in cultivation or in some kind of labour work.
There is a substantial section among the youth who are illiterate to those studied
upto middle school and engaged in agriculture considered that vocational skills
could enhance their job and income potentials. But those studied above middle
school till upto 12th class prioritized business management skills and computer
education ahead and of vocational training. However, those received vocational
education after/with 10th or 12th classes considered that their incomes and jobs
could be enhanced if they primarily acquire knowledge/skill in business
management, followed by computer education and English speaking course.

School Infrastructure and Performance
Almost all the villages (96%) have schools. In villages where schools are
available, 93% are primary schools, 47% are secondary schools, 13% are higher
secondary schools and only 1% are degree colleges. Mean number of teachers
available in primary schools and secondary school is 4 and in higher secondary
school is 11. As far as regular attendance of students is concerned, on an
average, 250 students in primary school, 166 in secondary school and 440 in
higher secondary school regularly attend their classes. The student teacher ratio
in primary, secondary schools and sr. secondary schools respectively are 62.4,
42.2 and 39.9, which is very favourable. However, these ratios are affected by
teacher and student attendance.
Reasons for Dropout
Reported by almost half of the respondents (47%) absenteeism of teachers

emerged as the main reason for dropout of students from schools. Lack of quality
teaching (33%) and teachers (28%) was also reported. Other reasons viz., lack of
physical infrastructure and education infrastructure was reported to be major
causes of dropout by 14% and 7% villagers respectively.
Subject Students Usually Fail
Majority of students, reportedly, usually fail in English (92%) and Mathematics

(86%). Around 29% and 18% villages said that students usually fail in Physics
and Chemistry, respectively. Biology, economics and Computer Science were
among the other few subjects mentioned by the respondents (9%) in which
students fail.
Availability of Tuition Classes and incidental Cost
Nearly one-fourth villagers reported paucity of tuitions classes in the village. In

villages where tuitions classes are available majority of the villages (46%) paid
more than Rs. 76 to Rs. 100 as tuition fees and 39% villages reported the tuition
charges to be Rs. 26 to Rs.50. Mean number of students attending tuition
classes is 59.
Village Issues and Causes of Dispute
Major causes of disputes in a village can pertain to land, water, common

resources, family feuds, youth employment related, abuse of women, migration,
law and order, communal/caste feuds etc.
a) Land
Around half (54%) villagers reported occurrence of disputes related to land. Out
of these, one-third reported land dispute to be a frequent phenomenon in the
villages. Majority of these land disputes are within community (83%). Only 11%
reported the occurrence of such disputes between communities of the village.
b) Water
Around one-third villagers reported occurrence of disputes related to water and of
these 34% reported water disputes to be a frequent phenomenon. Nearly three-
fourth reported water disputes within the community and 19% reported it to be
mostly occurring between communities.
c) Common Resources
Disputes dwelling around common resources were reported by only 15%
villagers and in 60% cases such disputes were frequent in nature. Again said it
occurred usually within communities (79%).
d) Family Feuds
Family feuds were reported by 58% villagers. In 62% villages family feuds were
frequent and mostly occurred within communities (88%). Family feuds between
communities was reported by 8% villagers.
e) Youth Employment Related

Disputes related to youth employment were, reportedly, fewer in nature (15%)
villages. Nearly 56% villages reported it to be occurring frequently. Majority (81%)
of the disputes were within community, however, in 10% it was reported with
government officials, too.
f) Abuse of Women
Dispute related to abuse of women was reported by 13% villages. However, such
occurrence was reported to be occasional (89%). Nearly 78% of the disputes
related to women were reported to be between communities.
g) Migration
Disputes pertaining to migration were not reported by only 4% villagers and that
too they were occasional in nature.
i) Law and Order

Law & order situation in the villages of Uttar Pradesh did not emerge as a
problem. Only 11% villagers reported occurrence disputed related to law & order
situation and these occurred occasionally within the community.
j) Communal and Caste

Communal and caste based skirmishes was reported in just 5% respondents and
these occurred occasionally. 69% reported it to occur within community while
19% reported it to be between communities.
3.1.18 Village Needs

Rural India is characterized by lack of availability, accessibility and affordability of

services viz., health, educations, banking, communication, etc. The inhabitants
travel long distance to avail these services. In this context the top most needs of
the villages was identified that may be facilitated through the kiosk.
a) Health
Need for good doctors and health facility was reported by 86% and 81%
villages, respectively. The same needs were ranked as the first five top most
needs by 66% and 34% villages, respectively. Similarly, need for medical
consultation through internet café was reported by 32% villages and out of these
only 37% gave a ranking of one to five in their priority list (refer table below).
Felt Needs IMP. Services Top 5

Good Doctors 86.1 66
Health Facility 80.7 34
Internet Café for Medical Consultation 32.0 37
b) Agriculture
The need for best practices and access to market was reported by 70% and
52%, respectively. The same needs were ranked as the first five top most needs
by 36% and 24% villages, respectively. The need for cheaper credit facility was
felt by 52% villages while only 21% ranked them amongst the five most important
ones (refer table below).
Felt Needs IMP. Services Top 5

Best Practices 69.6 35.9
Access to Market 52.1 24.0
Cheaper Credit 52.1 21.2
Agri-consulting 39.3 21.5
a) Training and Education
68% of the villages have felt the need of information technology that may be
facilitated through the presence of a rural kiosk. Of them 24% have voted to be
one of the top most needs that can enhance qualitative training and education.
Career development and job planning is one of the felt needs as reported by
58% of the villages. This particular service is ranked as one of the top most need
by 27% of the villages (refer Table below).
IMP.
Felt Needs Top 5
Services
Better Quality education 67.9 24
Higher Education Distance Learning 26.1 10
Adult Education Distance Learning 27.5 4
IT/Computer Training 57.9 43

English Speaking Courses 40.4 7
Career Development & Job Planning 57.5 27
Job Search 53.9 14.6
Vocational Training for men 65.7 25
Vocational Training for women 59.3 21
Upgrading Occupational Skills 42.1 12
Training on use of new tools & technology 41.1 5
Business Management/Entrepreneurship Training 28.9 1
Training on Creation of Organized Marketing
Channels 45.0 4.8
b) Banking and Insurance
Financial services are one of the most common needs as reported by 79% of
the villages. However, only 38% villages have ranked it amongst the top five
needs. Financial services for the entrepreneurs are most commonly needed
as felt by 49% villages, of which 7% of them have ranked it amongst the top most
need. 48% villages have felt the need of financial services for women SHG
and accordingly 8% have ranked them amongst the top five. Rural Banks also
account for one of the most important services as mentioned by 67% of the
villages. This service has been ranked as one of the top five needs by 48% of the
villages.
IMP.
Felt Needs Top 5
Services
Finance for farmers 78.6 38
Financial services for entrepreneur 48.6 7
Women SHG group 47.5 8
Life insurance 51.4 32
General insurance 31.4 6
Rural bank 66.8 48
Investment advice 34.3 2
Knowledge and Access to Government Programme
Knowledge on the existence of following government programmes in the gauged

was identified from villagers:

1. Sampoorna Grameen Rojgar Yojana (SGRY)

2. Swarnajayanti Gram Swarojgar Yojana (SGSY),
3. Pradhan Mantri Gram Sadak Yojana (PMGSY)
4. Indra Awas Yojana (IAY)
5. Swajaldhara
6. Total Sanitation Schemes
7. ICDS
8. Kutir Jyoti
9. Credit cum Subsidy Scheme
10. PDS
11. Antadoya Anna Yojana (AAY)
12. National Food For Work Programme (NFFWP)
13. Mid Day Meal Scheme (MDM)
14. National Old Age Pension Scheme (NOAPS)
15. Widow Pension Scheme (WPS)
16. Maternity Benefit Scheme (MBS)
17. Freedom Fighter Pension Scheme
18. Annapurna Scheme
19. Sarvashiksha Abhiyan (SSA)
GENERAL ANALYSIS
Demographic Profile
Figure

Figu
Educational Attainment
Figure
Type of house
35
espondents
Majority of the respondents were, reportedly, staying in pucca house (19%),

47% were in semi-pucca houses while 34% in kutcha houses.
Ownership of household and agricultural assets

a) Household assets:
30
The ownership pattern of household assets which are non-electricity operated
are as follows:
 Radio: 45% new and 28% second hand

 Wooden cot: 92% new and 67% second hand
25
 Bicycle: 79% new and 76% second hand
 Steel almirah: 21% new and 21% second hand
 Telephone (landline): 7% new and 5% second hand
 Mobile: 10% new and 4% second hand
20
 Scooter/motorbike: 12% new and 7% second hand

 Four wheeler: 2% new and 2% second hand
The ownership pattern of household assets shows the commonly owned items
are wooden cot, bicycle, steel almirah and radio. For most items, the purchase
behaviour is for new products.
The pattern of ownership of electricity operated assets is:

 Fan: 78% new and 55% second hand
 Television: 79% new and 70% second hand
 Stereo: 21% new and 23% second hand
 Refrigerator: 8% new and 6% second hand
 Air cooler: 9% new and 5% second hand
 Air conditioner: 0.3% new and 2.8% second hand
 Computer: 0.2% new and 4% second hand
 Washing machine: 1% new and 1% second hand
The ownership pattern of electricity operated household assets shows the

commonly owned items are fan and television, which is purchased both as old
and new items. Interestingly, 70% of the households have two television sets. For
most items, the purchase behaviour is for new products, except stereo.
b) Agricultural assets:
Majority of the respondents, reportedly, did not own various agricultural assets.
The proportion that owned one or more such assets had – plough (24%), tractor
(8%), tiller (6%), thresher (7%), crusher (3%), sprayer (4%), diesel operate pump
set (23%), electricity operated pump set (6%), camel/bullock cart (8%).
Marketing channels for different goods and products
Almost all the respondents said that their household is not involved in selling of
‘forest-based products, honey through bee-keeping or practice sericulture (F, BK,
& S)’, ‘handicraft or other cottage industry precuts (H&CI)’, or ‘fishing activity and
meat production (F&M). Only, 5% said that dairy and poultry products (D&P) are
sold by their household, and mainly through the channel where ‘direct buyer
purchases such products from their homes’.
Problems in assessing the markets
Although there wasn’t any major problem, yet transportation was mentioned by
few respondents as problem in assessing the markets to sell their products
(19%). Some also mentioned the problem of poor rates in the market (12%).

Media exposure and habits, and favorite programmes
a) Having spare time:

Spare time available per day was assessed for children, youth and adult
members of the family, separately. Majority of (male: 49%, female: 41%) children
said that they have average spare time of 3 hours in the evening. The proportion
of children who said that they don’t get any spare time during the course of the
day was higher in case of female children (51%) as compared to male children
(42%).
A high proportion of youth did not find spare time (male: 45%, female: 52%). Of
the remaining, majority had sapre time in the evening (male: 44%, female: 35%).
The mean spare time available to these youth is 3 hours per day.
The adults in rural area have, reportedly, lot of spare time. While adult males are
generally free in the evening (75%), the adult females are free in the afternoons
(61%) and as well as in the evening (64%). The average spare time available to
the adults was again 3 hours per day. Just 5% to 6% adults said that they don’t
get any spare time during the entire day.
b) Entertainment options available:

Mentioned by almost all the respondents, TV was the most popular entertainment
option available in the rural Uttar Pradesh (95%). Next was ‘movie shows on TV
with VCD/DVD players (36%).
c) Activities pursued during the spare time:
For adult males, the activities pursued during spare time were radio listening
(62%), TV viewing (55%) and newspaper reading (16%). The adult women gave
almost equal importance to radio listening (55%) and TV viewing (58%). Only
10% read newspapers.
The youth also split their spare time almost equally in watching TV (60%) and
listening to radio (55%). Reading newspaper in spare time was reported by just
16%. Again, their was not much difference between watching TV (56%) and
listening radio (45%) as far as spare time activities of children are concerned.
c) Reading newspaper:
31% of the respondents said that someone or the other in their household read
the newspaper at home or anywhere else. Regular reading of newspaper was
found relatively high among adult males (32%) and youth males (18%). Around
10-13% youth and adult females regularly read the newspapers.
d) Watching TV:
Regular watching of TV emerged quite low across all the categories of
respondents. It was relatively higher among the adults (25-26%) followed by
youths (18-21%). 71-20% children and 8-9% old members of the respondents,
reportedly, watch TV regularly.
Preferred TV programmes:
The programmes usually preferred were:
 Movies (76.9%)
 Travel programmes (96.9%)
 News (74.4%)
 Serials (61.3%)
 Religious programmes (56.7%)
 Sport (47.8%)
 Choupal (28.6%)
 Music programmes (22.9%)
55% of the households watched TV in their homes, while about 27% watched in
neighbour’s house.
f) Listening Radio:
Reported by 46% respondents, listening to 60%
Figure 3.6 : Media used
radio programmes by anyone in the 46%
household was found lower when compared
31%
to watching TV. Regular listening of radio
programmes was found highest amongst the
adults (34-38%). Next were youth (male:
26%, female: 20%) and children (15-18%). It
is was quite low among the old people (8- New spaper TV Radio
6%).
86% of men listened radio in the evening but women found more time in the
afternoons (76%) and then in the evenings (63%). Majority of youth and children
(84%) listened radio in the evening.
g) Availability of video cassettes and CDs:

Around 17% reported availability of video cassettes and CDs only through hire in
the nodal villages of Uttar Pradesh. Few (9%) said that these are available
through both hire and purchase methods. just 2% said these could be only
purchased while 73% reported absolute unavailability of the video cassettes and
CDs.
h) Organizing movie shows:

Reported by 83% respondents, movie shows (on TV and VCP/DVD players or
through projectors) are not organized in the nodal villages of Uttar Pradesh.
Around two-third, of those that said that such shows are organized in their village,
added that usually no one contributes any money for such shows. Regarding the
presence of a movie theatre in and around the village, only 6% responded in
affirmation.
CHAPTER 5
SURVEY RESULTS

Over 100 Rural Residents were interviewed and were asked different questions
on which their view on E-GOVERNANCE concept was came to know in a much
better way.
1. Are you fully aware of National E-Governance Plan.
YES NO
47
53
2. Does the model fits for Building rural India into great economy ?
YES NO
40
60
3. Are you a owner of Common Service Center under NeGP ?

YES NO
35
65
4. From where did you came to know about this Project ?
NEW SPA PER

RA DIO
LEA FLETS
W ORD OF MOUTH
25 22
25 28
5. Are you aware of the qualification criteria required for taking CSC ?

YES NO
40
60
6. What was your mindset when you first listened about the project-
Rank ?
POSITIVE NEGATIVE NOT SURE
10
33
57
7. Do you feel that to the area you belong is well developed ?

YES NO CAN"T SAY
20
35
45
8. Do you think Government is well equipped to provide services in

rural areas.
YES NO CAN'T SAY
25
30
45
9. What's your opinion that does Public-Private partnership will really

cater needs of rural India ?

YES NO CAN"T SAY
15
25
60
10. Rate the Indian Rural Economy –
FAR DEVELOPED DEVELOPED SEMI DEVELOPED

DEVELOPING UNDER DEVELOPED
5% 15%
45%
30%
5%
11. Rate your key ratings from different services.
G2C SERVICES.

HIGH MEDIUM LOW
5%
40%
55%
B2C SERVICES.
HIGH MEDIUM LOW
5%
35%
60%
B2B SERVICES.
HIGH MEDIUM LOW
5%
30%
60%

Commercial Services.
HIGH MEDIUM LOW
5%
20%
75%
12. For you which is the most important service.
AGRICULTURAL SERVICES RAILWAY SERVICES MOBILE RECHARGING

LIC PREMIUM COLLECTION E-LEARNING HORTICULTURE SERVICES
POST PAID MOBILE SERVICES
10%
10% 30%
20% 4%
6%
20%
13. Do you feel the concepts of Telemedicine & E-Agriculture will really
prove to be beneficial for the rural mass ?

YES NO
22
78
14. Does the facilities provided by the company are well equipped ?
YES NO
30
70
15. Does the Bank Loan Process is really a transparent module ?
YES NO
15
85

16. What are expected earning from the CSC’s business model ?
RS 5000 RS 5000 - RS 10000 RS 10000 - RS 15000 CAN'T EXPECTED
10
30
20
40
17. Would you recommend this CSC’s business model to your nearest
one’s or to your natives’s ?
YES NO
22
78

GENERAL FEEDBACK QUESTIONS
Some Questions were asked where the general questions were asked for
the reference of what they think about this NeGP Model.
Where the answer of 1 respondents is mentioned below:-
1. Write your feelings below regarding this PPP model framework.
I think PPP model will really work in achieving the modus operandi of
the National e-governance plan, whether it is government, private or
commercial services it will be delivered to us in the least minimum
time with the affordability, reliability & with least amount of error.
2. What would you say about the services that are being already to
your CSC’s ?
They are really good in fulfilling the needs of rural customers and the
Services that are already there are really catering the needs of the
rural consumers.
3. Now, the most important thing what are your expected outcome’s
or rating from the National E-Governance Model ?
Years Consumer Business Government Private Firms.

Services. Model. Support.
2009 High High Low High
2010 High High Medium High
2011 High Medium Can’t Say High
2012 High High High High
The Questionnaire was prepared in such a manner so that it should

not hinder any one’s feeling that’s why questions that were asked in this
were very crisp and easy to answer because at the end of the day the
answers to these questions have to be answered by the rural
consumers.
------------------------------------------------

CHAPTER- 6
CONCLUSIONS & RECOMMENDATIONS
The following points that were there to finalize the whole topic and from where
we drive towards conclusions and there were some nice recommendations from
my external guide that this NATIONAL E-GOVERNANCE PLAN is really fruitful
for the growth of Indian Rural Economy;
The efforts as the Program Management Agency, have, primarily been

focused on developing a better understanding of the building blocks for a viable
and sustainable CSC model – focusing both on the technology pieces, as well
as, more importantly the potential stack of services. The attempt has been to
cover as wide a spectrum as possible so as to surface all the areas, which need
to be looked at for implementation of this scheme. As the project moves to the
next stage some of the key areas, which need to be focused on, are covered in
the following paragraphs:
Technology Architecture
The configuration and IT hardware at the CSC would need to be robust and
easy to operate. There are enough reliable sources of hardware of all types in
the country, and therefore procurement of IT assets and getting optimal costs
thereof, should not be a major issue. To the extent, the various SCAs can
coalesce their requirements – could be through the NLSA – economies of scale
could help further drive down prices from the levels indicated.
The bigger challenge is going to be that of maintenance and management of
a remote network – especially in harsh power, heat and dust conditions.
Whilst, more robust PC hardware solutions are entering the market, SCAs
would need to tie-in with reliable manufacturers and System Integrators for
the establishment and maintenance of the CSCs.
To achieve ease of operations, would also need a focus on the OS,
applications software etc, especially from a language interface perspective.
Whilst there are some available solutions, with agencies such as CDAC,
most of them are still prototypes. These now need to be “taken to the
market”.
The Content Challenge

More than just the user interface, the bigger challenge is going to be the
Content. There is no dearth of available content available in disaggregated
forms with various content providers, government departments, and NGOs -
both at the national and the regional levels. For example, MANAGE has a large
repository of agriculture content which could be effectively used. Television
channels like Doordarshan, as well as private channels, have large content
banks that could be catalogued and recycled for rural areas. The challenge, is
to create capacity and capability to:
a) Enable content to be delivered through a digital medium in multiple

languages: Most content would be in any one of English, Hindi or a regional
language – i.e. the content is not ready for multi-lingual deployment. Further,
most of it is in print. Technology can be effectively used to convert this content
into a CSC friendly format. Hence, for government agencies at least, it is
suggested that the DIT should facilitate
Selection of VLEs:
b) The VLE is the key to the success of the CSC operations. While content
and services are important, it is the VLE’s entrepreneurial ability that is critical
to ensure CSC sustainability. A good VLE would be one with entrepreneurial
traits, strong social commitment and commands respect within the
community. VLE should have all the qualities necessary to sub-serve the
basic objectives of the CSC. The quality of service at the CSCs would be as
effective as the quality of persons running them. Selection and proper training
of the VLE therefore would play a vital role in making the CSC a success. The
SCAs would need to explore NGOs, SHG and other agencies such as
organization of retired services personnel for a database of potential VLEs.
Network such that those of Gram Sevaks, National Innovation Foundations,
Yuvak Kendras can provide a starting place for identifying potential “change
agents”.
Monitoring Framework
c) A strong monitoring and control systems at the SCA level is a must. Whilst
there are available platforms for managing remote hardware and software, a
robust MIS and financial control system needs to be put in place. There are
challenges of secure payment systems, user identification and authentication,
remote network management. Some solutions have been identified. These and
more would be tested out through pilot centres, which are being set up in
different parts of the country.

G2C Services
The State Governments should be encouraged to establish a centralisedSDC.

The SDC should host all the databases across the various State government
departments, District/Taluka offices. The States should also accelerate their
backend computerisation through a turnkey PPP model, wherein the private
partner could take complete responsibility for development/sourcing of relevant
applications, bring in the initial investment and agree on a revenue sharing
pattern with the SCAs, as services get deployed through the CSC. A centralized
initiative also needs to be taken for establishing connectivity solutions.
Selecting SCAs
The success of the CSC scheme would largely depend on a careful selection of
the SCAs. Most of the existing private kiosks are “managed” by SCA
equivalents, which bring in their managerial skill and their business networks for
the benefit of village kiosk owners. Other than a few like ITC, do not necessarily
bring in a base revenue model of their own. Motivating large.companies from
relevant verticals can accelerate the establishment of a viable business model,
as the CSCs would essentially become an extension of an existing commercial
ecosystem. And, to the extent such SCAs can be networked with local NGOs, a
good mix of commerce and development can be achieved. Going forward, this
“matchmaking” will be a key focus area.

SO TO CONCLUDE….!!!!
‘…the debate on the digital divide is founded on a myth – that

plugging poor countries into the Internet will help them to become rich
rapidly. This is highly unlikely, because the digital divide is not a
problem in itself, but a symptom of deeper, more important divide : of
income development and literacy.’
- The Real Digital Divide, The Economist, Mar10, 2005
BIBLOGRAPHY

1) http://www.google.co.in
2) Mr Gopesh Tiwari – State Anchor- ILFS, Lucknow.
3) Department of IT & Electronics – Uttar Pradesh.
4) http://www.csc-india.org
5) Dataquest Magzine.
6) E-Gov Magzine.
7) Mr Ravindra Singh – Center for E-Governance, Lucknow.
ANNEXURE’s

A. Questionnaire.
B. Article Of E-Gov Article- BY Mr D.S. Srivastava –Special
Secretary- IT & Electronics- Government Of Uttar Pradesh.
C. SREI SAHAJ E-VILLAGE LTD’s E-LEARNING AD.
D. PAPER CUTTINGS.
E. Response Sheets.
F. Reply Sheets- Mail Cover- Prof Alpi Jain.

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“Role And Scope Of E-Governance In Rural Economy” 1

THE INDIAN INSTITUTE OF PLANNING AND MANAGEMENT

Role And Scope Of E-Governance In Rural Economy

PROF. SUMANTA SHARMA

MAJOR ASHUTOSH SHRIVASTAVA.

Prof ALPI JAIN.

E-governance stands for `electronic governance’ or the use of ICT

E-governance helps in integrating and simplifying government services,

E-governance is a tool for achieving good governance and is not an end in

Achieving success in e-Governance requires active partnerships between

For e-governance initiatives, the three Ps – public-private partnership (PPP)

DIVYAM SRIVASTAVA PGP/FW/2007-09 DF79-M-0134

CERTIFICATE FROM GUIDE

In Rural Economy” was prepared and completed successfully by Divyam

Srivastava under my guidance.

his future endeavours.

MAJOR ASHUTOSH SHRIVASTAVA

DIVYAM SRIVASTAVA PGP/FW/2007-09 DF79-M-0134

THESIS APPROVAL LETTER

From: thesis [mailto:thesis@iipm.edu]

Dear Divyam Srivastava,

DIVYAM SRIVASTAVA PGP/FW/2007-09 DF79-M-0134

Particulars of the student.

1. Name of Student:- Divyam Srivastava.

Desired Area of Research:-

IT Industry ( Service Industry, Marketing Research ).

Title of the Thesis.

1. To study the mass potential and objectivity of e-governance in the rural

Introduction to the Area of Research.

E-governance stands for `electronic governance’ or the use of ICT

E-governance helps in integrating and simplifying government services,

DIVYAM SRIVASTAVA PGP/FW/2007-09 DF79-M-0134

E-governance is a tool for achieving good governance and is not an end in

Achieving success in e-Governance requires active partnerships between

For e-governance initiatives, the three Ps – public-private partnership (PPP)

Scope of the Study.

DIVYAM SRIVASTAVA PGP/FW/2007-09 DF79-M-0134

1. Primary Data:- Information collected through Questionnaires and through

Justification of choosing a Particular Topic:-

Reasons for going rural because:-

Helping customers, businessmen and government officials to go for the best

Details Of External Guide.

Name of the Company:- SREI SAHAJ e-village Ltd, Lucknow.

DIVYAM SRIVASTAVA PGP/FW/2007-09 DF79-M-0134

Through this acknowledgement I express my sincere gratitude towards all those

I appreciate the co-ordination extended by my friends and also express my

sincere thankfulness to the entire faculty members of Indian Institute of Planning

assisting me for the same.

I owe everything in this life to my parents who are a constant source of

inspiration and pillars of support.

DIVYAM SRIVASTAVA PGP/FW/2007-09 DF79-M-0134

Certificate from Guide

Thesis Approval Letter

Chapter-2: Literature Review

Chapter-3: Research Objective and Methodology

Chapter-4: Finding and Analysis

Chapter-5: Survey results

Chapter-6 Conclusion and Recommendation

DIVYAM SRIVASTAVA PGP/FW/2007-09 DF79-M-0134

1.0. ICT for Rural Empowerment

1.1. ICT as an Enabler:

1.2. The Development Challenge:

About two-thirds of India’s predominantly rural population having agriculture as its

a) Rural development programmes and schemes launched either at central, state