Monetization of other passive infrastructure assets could assist the corporation raise Rs 10,000-15,000 crore
The department of telecommunications (DoT) has agreed state-run Bharat Sanchar Nigam Limited’s (BSNL’s) plan to cream off its tower assets into an entirely owned subsidiary and is in the process of formulating a Cabinet note for the same.
The offer to this effect will be send to the Cabinet quickly for a final approval, a leading official from DoT said.
BSNL has been setting up to monetize its huge tower assets of 61,000 towers crossways the country to generate additional profits. “We arrangement to monetize our passive infrastructure — towers, factory, land assets and training centers. For towers, we are in the final stage of setting set up a subsidiary with 100 per cent equity investment by BSNL,” a leading bureaucrat from BSNL told.
Primary, an interior unit under BSNL will be formed for all the tower assets and then, a completely owned subsidiary, the bureaucrat added.
This is part of the renewal plan for revolving BSNL back into proceeds. The monetization of other related passive infra assets could assist the public sector undertaking increase Rs 10,000-15,000 crore, in proportion to guesstimates. Previous year, the administration had in-principle agreed BSNL’s arrangement to hive off its tower assets into a separate entity.
At present, BSNL has tower sharing contracts with mainly of the private performers. As the towers of BSNL are spread crosswise the nation, even in the remote areas, private telcos desire to distribute BSNL’s infrastructure rather than spending in setting up of their own network.
BSNL, with in excess of 61,000 towers, has the biggest tower assets amid the telcos. Indus Towers, a joint project amid Bharti Airtel, Vodafone and Idea Cellular, is the biggest player in the industry with more than 120,000 towers.
A growing competition and constraints in its capacity development plan led BSNL post a loss of Rs 1,823 crore in 2009-10 for the initial time since setting up in 2000. The losses have now reached Rs 7,600 crore.
To revive the corporation in the subsequently two-three years, the latest chairman and managing director of BSNL Anupam Shrivastava arrangements to spend Rs 39,000 crore more than the next five years to expand BSNL’s core network. BSNL is also focusing big instance on launching data services — wi-fi and fourth-generation with an arrangement to integrate wi-fi with their mobile network to offer users a seamless knowledge of third generation as well as wi-fi services.
“Mobile services supply Rs 13,500 crore, of which 10 per cent comes from the data section and is consistently increasing. From broadband services, we earn Rs 7,500 crore. We anticipate income from combined data and broadband services of Rs 15,000-16,000 crore in the subsequent three years,” Shrivastava said in a current interview.
The department of telecommunications (DoT) has agreed state-run Bharat Sanchar Nigam Limited’s (BSNL’s) plan to cream off its tower assets into an entirely owned subsidiary and is in the process of formulating a Cabinet note for the same.
The offer to this effect will be send to the Cabinet quickly for a final approval, a leading official from DoT said.
BSNL has been setting up to monetize its huge tower assets of 61,000 towers crossways the country to generate additional profits. “We arrangement to monetize our passive infrastructure — towers, factory, land assets and training centers. For towers, we are in the final stage of setting set up a subsidiary with 100 per cent equity investment by BSNL,” a leading bureaucrat from BSNL told.
Primary, an interior unit under BSNL will be formed for all the tower assets and then, a completely owned subsidiary, the bureaucrat added.
This is part of the renewal plan for revolving BSNL back into proceeds. The monetization of other related passive infra assets could assist the public sector undertaking increase Rs 10,000-15,000 crore, in proportion to guesstimates. Previous year, the administration had in-principle agreed BSNL’s arrangement to hive off its tower assets into a separate entity.
At present, BSNL has tower sharing contracts with mainly of the private performers. As the towers of BSNL are spread crosswise the nation, even in the remote areas, private telcos desire to distribute BSNL’s infrastructure rather than spending in setting up of their own network.
BSNL, with in excess of 61,000 towers, has the biggest tower assets amid the telcos. Indus Towers, a joint project amid Bharti Airtel, Vodafone and Idea Cellular, is the biggest player in the industry with more than 120,000 towers.
A growing competition and constraints in its capacity development plan led BSNL post a loss of Rs 1,823 crore in 2009-10 for the initial time since setting up in 2000. The losses have now reached Rs 7,600 crore.
To revive the corporation in the subsequently two-three years, the latest chairman and managing director of BSNL Anupam Shrivastava arrangements to spend Rs 39,000 crore more than the next five years to expand BSNL’s core network. BSNL is also focusing big instance on launching data services — wi-fi and fourth-generation with an arrangement to integrate wi-fi with their mobile network to offer users a seamless knowledge of third generation as well as wi-fi services.
“Mobile services supply Rs 13,500 crore, of which 10 per cent comes from the data section and is consistently increasing. From broadband services, we earn Rs 7,500 crore. We anticipate income from combined data and broadband services of Rs 15,000-16,000 crore in the subsequent three years,” Shrivastava said in a current interview.
