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Parliamentary panels asks for allotment of 4G spectrum to BSNL and MTNL

March 14, 2018

The Standing Committee of Information Technology has asked for the allocation of 4G spectrum to state-run operators, Bharat Sanchar Nigam Limited (BSNL) and Mahanagar Telephone Nigam Limited (MTNL) at the earliest in order to help them compete and survive in the market.

Both MTNL and BSNL have submitted proposals for allotment of spectrum with government support to launch 4G services in their respective telecom circles. Both operators have requested for 5 MHz of radiowaves in 2100 MHz band. The proposal is currently under consideration of the Department of Telecommunications (DoT). At present, BSNL operates in 20 circles while MTNL’s operations are in Delhi and Mumbai.

The panel also asked the government to consider voluntary retirement scheme submitted by the companies in order to help them improve their cash flows. Staff costs accounts for more than 76 per cent of MTNL’s revenue as opposed to 4 to 6 per cent for private players.


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