DoT Circulates Draft Cabinet Note for Allocation of 4G Spectrum to BSNL and MTNL

State-run telcos, Bharat Sanchar Nigam Limited (BSNL) and Mahanagar Telephone Nigam Limited (MTNL) have been under pressure for not generating enough profits. But there’s a reason behind that; Both the telcos did not receive 4G spectrum from the government to launch 4G services in the country. Talks regarding the allocation of 4G spectrum to both BSNL and MTNL are going in full swing for a while now. A new report from PTI says that the Department of Telecommunications (DoT) has circulated a draft cabinet note for the allocation of 4G spectrum to the PSUs. It’s also said that the cabinet note also includes the implementation of a voluntary retirement scheme at the two loss-making telecom PSUs. The department has sought comments of the key ministries on the proposals, an official source told PTI.

  • Make Telecom Talk My Trusted Source
  • Source of Google
  • Source of Google

BSNL,MTNL,Bharat Sanchar Nigam Limited,Mahanagar Telephone Nigam Limited,BSNL 4G,MTNL 4G

4G Spectrum Allocation to BSNL and MTNL Likely to Happen Soon

“The Department of Telecom has sent a draft cabinet note on 4G spectrum allocation to BSNL and MTNL and implementation of voluntary retirement scheme in these organisation. Comments from some of the key ministries are awaited,” an official source told PTI.

Both the companies have also sought spectrum for 4G services through equity infusion from the government. BSNL, which has the lowest debt of Rs 14,000 crore among all telecom operators, has sought 4G spectrum across India through equity infusion of Rs 7,000 crore. The total spectrum will cost the firm Rs 14,000 crore.

BSNL is among the two telecom companies that have been consistently gaining customers. All competitors of BSNL have 4G spectrum and invested heavily in building their network while the PSU has only 3G network which is denting the company’s profits. The telco even competes with private operators in terms of tariff plans.

Digital Communications Commission Seeks Recommendations from Trai