Challenges of Digital Economy in Meghalaya

By Dilip Singh

The digital revolution has proven to be a catalyst for improving human efficiency over the past two decades. With its ability to enhance livelihood opportunities and preserve cultural heritage, this technological advancement has become an invaluable asset. In the unique state of Meghalaya, renowned for its geographical and socio-cultural dimensions, digital connectivity offers a plethora of opportunities, particularly due to its official language being English, a key factor in harnessing the maximum benefit of this revolution.

Known as the “Abode of Clouds,” Meghalaya boasts breathtaking landscapes and a rich cultural heritage. However, embracing the digital economy presents significant challenges for the state. These challenges can be grouped into two categories: readiness and operational challenges. Readiness challenges pertain to the preparedness of state agencies in facilitating the development of digital and telecom infrastructure, ensuring a speedy and timely rollout of digital connectivity throughout the state.

Meghalaya’s undulating terrain poses a major obstacle to road, electricity, and telecom connectivity. Furthermore, the fear among the populace regarding mobile tower radiation and the potential destruction of social fabric in hill society adds to the complexity. It is important to note that India has implemented stringent policies and regulations on mobile tower radiation, limiting it to one-tenth of the prescribed limit set by the World Health Organization (WHO). Any violation of these norms may result in action from the Indian government.

Contrary to fears of societal erosion, technology actually serves to preserve culture through digital archives for future generations. Additionally, the promotion of culture and heritage on social platforms provides wider access to these invaluable aspects of Meghalaya’s identity. Digital connectivity transcends political and geographical boundaries, offering tremendous potential for growth and development.

The Indian telecom sector shines as a beacon of progress, having experienced exponential growth that has fueled the country’s economy. Technology, as an enabler, has made the urban workforce more productive and is now poised to contribute to an inclusive economy, ensuring that all segments of society participate in the country’s journey towards economic prosperity.

While the government plays a vital role in this endeavor, ensuring every household is connected through the Department of Telecom’s (DoT) Universal Service Obligation (USO) Fund, the responsibility does not solely lie on the shoulders of the DoT. The government of Meghalaya must facilitate timely right-of-way permissions to telecom service providers and digital connectivity providers. Additionally, the Skill Development Corporation must prioritize digital literacy initiatives, while Law Enforcement Agencies (LEAs) and License Service Areas (LSAs) play essential roles in building confidence in terms of privacy and safety. 

The digital landscape in Meghalaya is witnessing significant progress as broadband coverage expands and digital transactions surge across the state. A recent State Level Banker’s Committee report of Meghalaya reveals the status of digital transactions during the fiscal year 2022-23 (up to 31st March, 2023) while latest LSA report on the extent of broadband coverage in various districts is given below in the table:

Table presents key data on broadband coverage, the number of Bhim/UPI accounts, and the amount of transactions in lakhs for each district.

The data reveals that South West Garo Hills district boasts the highest broadband coverage at an impressive 97.19%, followed closely by West Garo Hills with 95.58%. These districts have significantly embraced digital connectivity, enabling seamless access to online services and transactions. East Khasi Hills, the most populous district in Meghalaya, ranks sixth in terms of broadband coverage at 82.23%. However, it outshines other districts in terms of the number of Bhim/UPI accounts, boasting a staggering 8,213,099 accounts. The district also leads in the amount of transactions conducted, totaling a remarkable 282,021.73 lakhs. 

The digital transactions in the last financial year 2022-23 (up to 31/03/2023) shows that on an average rupee 3360 per BHIM / UPI account transaction during the year. As on date, total 6459 census villages (Census-2011) in Meghalaya 772 villages have no mobile coverage that is 12% of total villages are uncovered which constitute 179228 populations only, which is about 6.04% of the total population (Census-2011). Based on the above figures, it can be said that in today’s digital age, mere connectivity is no longer sufficient; it is meaningful connectivity that holds the key to economic growth and prosperity. Universal and meaningful connectivity, defined as the ability for everyone to access a safe, satisfying, enriching, productive, and affordable online experience, has emerged as a critical imperative for the Decade of Action spanning from 2020 to 2030. The International Telecommunication Union (ITU) has identified three key challenges that must be addressed during this transformative period: closing the coverage gap, closing the usage gap, and achieving universal and meaningful connectivity.

To tackle these challenges head-on, the state must focus on five essential dimensions of connectivity: infrastructure, devices, affordability, skills, and safety & security. In terms of infrastructure, the state is leveraging the Universal Service Obligation Fund (USOF) to finance the expansion of 4G connectivity throughout the region. Simultaneously, the state is encouraging industries to establish manufacturing units within its borders, thereby addressing the device dimension.

Ensuring affordability is another crucial aspect, which requires the involvement of regulatory bodies such as the Telecom Regulatory Authority of India (TRAI) and the Government of India. A special scheme should be launched to make internet access more affordable for all citizens. Additionally, skill development agencies play a pivotal role in imparting training, enhancing digital literacy, and equipping individuals with the necessary competencies to thrive in the digital economy.

Safety and security are paramount, and the responsibility lies with the license service area of North East Shillong. Through public awareness programs and other initiatives, they must prioritize the protection of users’ data, privacy, and online transactions. By instilling confidence in the digital ecosystem, people will feel secure and bridge the gap between the actual and potential benefits of connectivity.

Furthermore, it is imperative to acknowledge and address the five major divides within the state: income divide, urban-rural divide, gender divide, generation divide, and education divide. These divides can impede progress and hinder the full realization of the transformative potential of the digital economy. Thus, it becomes a collective responsibility to work towards eliminating these divides and ensuring equal access and opportunities for all.

Unlocking the transformative potential of the digital economy demands a concerted effort from various stakeholders, including the government, private sector, regulatory bodies, and law enforcement agencies. By investing in meaningful connectivity and bridging the gaps in infrastructure, devices, affordability, skills, and safety & security, the state can pave the way for inclusive and sustainable economic growth. It is through the power of connectivity that individuals and communities can access new markets, educational resources, employment opportunities, and vital services. As we strive to build a more prosperous future, let us embrace the collective responsibility of unleashing the full potential of the digital revolution and ensure that no one is left behind.

The author is an ITS officer working as Director (Rural) in NELSA, DoT Shillong. The view expressed here are  personal and based on firsthand experience in the state,