The Union Cabinet, chaired by Prime Minister Narendra Modi, has approved Rs.1,250 crore as compensation for the loss BSNL has incurred in operating rural landline connections. This compensation is for the landlines installed prior to 1st April, 2002. Even though this compensation became due in 2013-14 itself, there was inordinate delay in government's approving the same. Forum of BSNL unions and Associations has conducted several struggles, demanding payment of this compensation. However, the Cabinet has also decided that this is the last and final payment of compensation to BSNL, and that no further financial support from the USO Fund will be made on this count
