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Kerala Govt Terminates Contract with Kerala Vision: know why

K-FON, the Kerala Fibre Optic Network, has terminated its contract with Kerala Vision, a company tasked with providing free connections to economically disadvantaged families in the state. Despite being ten months since its inauguration, K-FON has fallen short of delivering even half of the 14,000 connections promised in its initial phase. The termination of the contract includes one year of maintenance.

Launched by Chief Minister Pinarayi Vijayan on June 5, K-FON aimed to offer free broadband connections to 14,000 BPL families and internet connectivity to around 30,000 government workplaces in Kerala as part of its initial rollout. However, operational progress has been disappointing, with only 5,734 out of the targeted families receiving free connections, despite repeated alerts from Kerala Vision regarding incomplete personal information hindering balance payments.

Following the expiration of the one-year contract term, K-FON has decided not to renew its agreement with Kerala Vision. The remaining connections will now be directly provided by K Phone. While Kerala Vision is entitled to one year of maintenance for the connections it did establish, K-FON has not provided clarity on this matter, and payment has not been made as per the contract terms. Sustainability for K-FON necessitates a monthly income of at least 15 crore rupees to cover operating expenses and loan repayments. The state government initiated the K-FON program to prevent private cable networks and mobile service providers from exploiting it, aiming to bridge the social digital divide through this initiative under the Department of Electricity and IT.

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