BSNL has decided to offer 90 per cent discount on its existing tariff rates for 2 Mbps leased line circuits to state governments for the statewide area network (SWAN). The tariff for 2 Mbps leased lines depends on the distance. For distances of 100-200 km, the tariff is Rs 950,000; for 400-500 km it is Rs 2.19 million; for more than 500 km, it is Rs 2.2 million. The discounts will be given for the 22 e-governance mission mode projects in the states that have been identified by the national e-governance plan. The discount will be applicable for circuits between state capitals and districtheadquarters and block headquarters earmarked for the e-governance project. BSNL's discount offer is based on two conditions.

First, BSNL would be the only bandwidth supplier to the state for the project for at least three years. Second, the state government and its local bodies will not charge any fees for providing the right of way to lay cables. Also, state government departments will have to give an undertaking that the network will be used for e-governance only and will not be exploited commercially.