India’s dream of universal broadband and next generation connectivity is facing a ground level gridlock. Even as the National Broadband Mission 2.0 sets ambitious goals including 100 percent village coverage, 90 percent tower fiberization, and 6G readiness, bureaucratic hurdles are slowing the rollout. From arbitrary fees to delayed permissions, the system meant to enable connectivity is now choking it.

Breakdown

At the India Mobile Congress 2025, Minister of State for Communications Chandra Sekhar Pemmasani highlighted a persistent problem. Local authorities continue to impose inconsistent and excessive charges for right of way permissions, which are mandatory for laying optical Fiber and network infrastructure. In many states, approval timelines stretch for months and fee structures vary widely between districts.

The minister called on states to implement single window systems, streamline procedures, and enforce time bound approvals. He emphasized that collaboration between state IT departments and local bodies is essential for meeting the connectivity goals of the National Broadband Mission 2.0.

Adding to the concern, the Cellular Operators Association of India (COAI) noted that the financial strain on telecom operators continues to grow. The gap between network rollout expenditure and tariff revenue, which was ₹10,000 crore in 2024, has widened further in 2025. With spectrum costs, levies, and RoW charges piling up, operators argue that reducing operational friction is as critical as tariff correction to ensure sector sustainability.

Why This Matters

India’s digital growth story depends on the strength of its physical infrastructure. Without faster and more consistent right of way clearances, even the most visionary connectivity ambitions will struggle to reach the last mile. The telecom sector’s profitability is already thin, and additional costs combined with bureaucratic unpredictability threaten the foundation of the next phase of Digital India.

The Big Picture

The standoff between telecom companies and local governance reflects a larger challenge in India’s infrastructure model. Policy ambition often moves faster than administrative coordination. While central schemes set aggressive targets, execution at the state and municipal levels remains fragmented. Unless right of way rationalization becomes a national priority, India risks a patchwork digital map with unequal connectivity and missed economic opportunities.

The Crunch

The real bottleneck is not technology but permission. As India eyes 6G readiness, the breakthrough will come from reforming how infrastructure is approved rather than how it is built. A unified and cost based right of way framework could unlock billions in efficiency gains and bring telecom expansion back on track. For entrepreneurs and innovators, this delay is not just a telecom issue but a barrier to future growth and inclusion.