Infotech Lead India: Indian Post Office’s IT modernization project will cost Rs 4,909 crore to cover 1.55 lakh post offices.
On Thursday, the Cabinet Committee on Economic Affairs approved the proposal. The Rs 4,909 crore project includes implementation phase and operation and maintenance phase for the IT infrastructure of post offices.

The IT project of the Department is a part of the Mission Mode Project (MMP) included in the National e-Governance Plan (NEGP).
The project will improve the delivery of mails, banking and insurance services rendered by the Post offices across the length and breadth of the country.
The IT modernization project has been structured into 8 segments catering to IT infrastructure such as data center, network, computers and peripherals, software applications which will cover all the product and services of the Department of Posts, and change management which will help in effective transformation into IT mode.
The project will be implemented in all the 1.55 lakh post offices in a phased manner over a time period of 2 years, to be followed by the O&M phase over the period of contract.
The project will be rolled out to all the post offices covering all States and Union Territories in the country a phased manner.
The proposal of the Department of Posts is in continuation of the proposal which was approved by the Cabinet Committee on Economic Affairs (CCEA) on 26th Aug 2010. The overall project has been segregated into eight RFPs, of which, selection of vendors have been finalized in case of 5 RFPs and LOIs have been issued. Of these 5 RFPs, in four cases the contracts have been signed with the selected bidders. In respect of two RFPs the financial bids have been opened and selection of the bidder is under process.