Ministry of Panchayati Raj (MoPR) has formulated  “e-Panchayat Mission Mode Project (MMP)” for implementation of  e-governance in Panchayats as a Centrally Sponsored Scheme under the  umbrella of National e-Governance Programme (NeGP). The scheme aims at  supporting all the State Governments for making effective use of IT in  Panchayats in the process of planning at grassroots level, bring out  transparency in the working of the PRIs and also help in increased  accountability of these institutions. Internet connectivity is to be  provided to the Panchayats by the respective States/UTs by utilizing  funds from various schemes, such as Central Finance Commission Grants,  State Finance Commission Grants, Backward Region Grant Fund (BRGF),  Mahatma Gandhi National Rural Employment Guarantee Schemes, etc.  
As on 31 March, 2011, 1,19,245 Village Panchayats have been provided  internet connectivity. It is targeted to provide internet connectivity  to all Panchayats by 2012.  
The total approved cost for the project is Rs.130.39 crore, spread over  a period of 5 years (2008-09 to 2012-13), against which the expenditure  so far has been Rs.48.66 crore.  
Ministry of Panchayati Raj has proposed to provide basic computer  literacy to 25,000 Panchayat functionaries under the e-Panchayat MMP  during year 2011-12, in collaboration with the Department of Electronics  and Accreditation of Computer Courses (DOECC), an autonomous body under  the Department of Information Technology (DIT).  
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