1. Subhash Bhatnagar Indian Institute of Management, Ahmedabad
Empowering the poor through telecenters in India: Critical Issues for Sustainabilty
Subhash Bhatnagar
Indian Institute of Management, Ahmedabad

2. Telecenters Projects in India

4. Report Card on Gyandoot
Declared successful after one year, based on anecdotal evidence. Being expanded with support from Media Lab Asia -CORDECT
Survey of 31 users, 41 non users, 28 kiosks
Offers 22 services: Mandi prices (30%), grievance (13%), certificates promised in 8 days (25%)
A user fee of Rs for services
Kiosks offer training, copying, word processing services for bulk of revenue

5. Doubtful Economic Viability
Dwindling attendance at Kiosks (85% males) over 2 years logged in 18 kiosks. Attendance averages to one a day per kiosk
Handle very small proportion of any type of transactions
Investments of Rs 2.5 million for network.
Kiosk needs Rs 75K worth of equipment
Solar power will need Rs 75 K of investment
Operating expenses of Rs 1200 pm
Average revenue from user fee Rs 150 pm/ kiosk

6. Sustainability Risk Factors
Change of initial team. Not a part of state wide program. Frequent changes in administrative leadership
Hurried implementation and/or lack of resources. Many Kiosks not functioning. Problems of power outage (6-72 hours), connectivity(50%)
Inadequate value delivered to clients Survey reports unsolved grievances and price data not updated.
Lack of awareness amongst poor( 80% non users)
Not implemented in a context of wider administrative reform Change based on tighter monitoring and supervision
Close identification of a project with a single champion
Back end not computerized or reengineered. Needs visits to district and speed money for collection of documents.

7. Learning from Evaluations
Success is measured as
Implementation and use sustain over long periods
Measurable benefits delivered to all stakeholders
Success can not be measured in first 1-2 years. Projects are still vulnerable.
Success needs to be measured through independent evaluation seeking formal feedback from all stake holders
Awards instituted by multilateral agencies, Governments, professional bodies to rate egovernment have been dysfunctional:
Not based on systematic evaluation. Provide incentive for over projection of achievements
Premature stamp of success distracts from acknowledging short comings and correcting them

8. Key Learnings Small centers in rural areas
Reliable and robust-technology is necessary but not sufficient
Government service can be a killer application
Delivering real value requires a lot of community inputs, resources and back end reform and computerisation.
One year is too early to make a judgement.