India's postal department is going high-tech. In March-April, it will launch pilot projects in Delhi, Madras, Bangalore, Lucknow and Patna to transmit money orders by satellite. Miniature earth stations called Very Small Aperture Terminals will be installed in post offices and linked to a business message network of the department of telecommunications. Later, the satellite network will be used for other services such as money transfer, fax and exchange of information on bank accounts.

The scheme will be implemented in 75 cities and towns and by the end of the Eighth Plan period, 200 stations will be linked by satellite. Each station will cover an area with a radius of 100-150 km. "Post offices within this radius, including those in rural areas, will have faster, more dependable and economical delivery of money orders," says Raju Korah, information officer in the ministry of communications. The network will reduce the cost of the service, which is Rs 10.62 per money order, and against which the average revenue is only Rs 8.61.