KOLKATA: The government's efforts to
revive financially stressed Bharat Sanchar Nigam Ltd. continues. The telecom
department will shortly waive nearly Rs 102 crore of microwave royalty and
satellite spectrum charges payable annually by BSNL, according to an internal
note.
At present, BSNL pays Rs 96 crore annually as royalty to DoT's wireless planning cell for microwave-based connectivity across the seven northeastern states. In addition, it pays nearly Rs 6 crore as satellite spectrum charges to Indian Space Research Organisation ( ISRO) for satellite-based coverage in the remote border districts of the Northeast, Ladhakh and the Andaman and Lakshdweep archipelagos.
At present, BSNL pays Rs 96 crore annually as royalty to DoT's wireless planning cell for microwave-based connectivity across the seven northeastern states. In addition, it pays nearly Rs 6 crore as satellite spectrum charges to Indian Space Research Organisation ( ISRO) for satellite-based coverage in the remote border districts of the Northeast, Ladhakh and the Andaman and Lakshdweep archipelagos.
The telecom department has asked the
Wireless Planning & Coordination (WPC) wing to "exempt BSNL from
payment of both royalty charges for point-to-point microwave links and
satellite spectrum levies" with immediate effect, the note shows.
The moves are aimed at incentivising
BSNL to step up telecom penetration in these regions, especially after Telecom
Regulatory Authority of India ( Trai) recently recommended a comprehensive
expansion of landline and mobile coverage in the Northeast.
These will be in addition to the
government support that loss-making BSNL has received for paying staff salary.
An empowered inter-ministerial group had recently asked DoT to give
concessional loans to the state-run telco to help it pay a portion of its staff
salary bill, which is likely to touch Rs 14,000 crore in 2013-14.
A top BSNL official said the
"royalty waiver had been sought" as the company is compelled as part
of its social obligation to go for expensive microwave links to provide both
landline and mobile coverage in these hilly regions, which are ill suited to
optic-fibre connectivity".
The latest sops come at a time when differences have arisen between the telecom department and Planning Commission over waiving satellite bandwidth charges to BSNL for sprucing up telecommunications in the strategically located Andaman and Lakshdweep islands.
The latest sops come at a time when differences have arisen between the telecom department and Planning Commission over waiving satellite bandwidth charges to BSNL for sprucing up telecommunications in the strategically located Andaman and Lakshdweep islands.
While DoT has urged the Department
of Space to waive such payout, the Planning Commission wants the Universal
Services Obligation Fund (USOF) to reimburse the state-run telco for such
costs. "The USOF was created to provide telecom connectivity in rural and
inaccessible areas, and should ideally reimburse BSNL for satellite bandwidth
charges," says the Planning Commission in a related note.
Telecom Commission, the highest decision making wing of the communications ministry, is likely to take a final view on this shortly.
Telecom Commission, the highest decision making wing of the communications ministry, is likely to take a final view on this shortly.