Indian telecom equipment maker Vihaan Networks Limited today announced the first commercial deployment of solar-powered GSM system, a step that could increase competition for MNCs like Ericsson and Nokia-Siemens.

The solar-powered network is designed with a purpose to help mobile operators build sustainable and profitable networks in remote areas where average revenue per user (Arpu) is as low as $2 (less than Rs 100) a month.

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Mehrotra said that two billion litres of diesel are consumed annually by GSM operators worldwide and reducing carbon emission is the key topic for discussion at the ongoing International Telecommunication Union, 2009.

In India too, the per capita diesel consumption is estimated at 23 litres and out of this seven litres are consumed by the mobile operators for towers.

In rural areas, diesel consumption is even greater due to acute shortage of power, making the services more expensive.

VNL system has been in operation since last year in some villages in India and by the end of this year the systems would be deployed in three more continents, including Africa where outages are frequent.

The system, that comes with a 20-year guarantee, works on solar panel, and can run without being powered for three days while the battery needs to be replaced every five years.

Another advantage of the system is that it has no operational cost like other GSM networks, Mehrotra said.

The company has been talking to various operators for connecting the next billion rural subscribers, he said, adding the "company has spent last six years re-engineering the GSM to overcome these challenges. The result is WorldGSM — the world's first truly environmentally sustainable mobile network."

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