The Department of Telecommunications (DoT) has asked Bharat Sanchar Nigam Limited (BSNL) and Mahanagar Telephone Nigam Limited (MTNL) to synergise their operations and function as one entity, pending their merger, offering pan-India services.
According to R. Chandrasekhar, secretary, DoT, ?Functioning separately denies BSNL the chance to offer services in the country?s two most lucrative telecom markets (Delhi and Mumbai) and restricts MTNL from expanding beyond the two metros. There is, no doubt, a good reason for both to have combined operations, but there are practical problems going forward.?
He adds, “We have directed them to work out a plan to synergise their operations so that even if they are two separate entities they can work out a mode of functioning as a pan-India service provider. Procedurally, there are many issues like MTNL’s shareholding pattern, staffing, salary structure and pension structure in merging them.?
