
BSNL has reportedly sought a reimbursement of Rs 53.85 billion from the government to help it meet its target of providing 6.5 million mobile connections and 1 million fixed lines. In 2000, when BSNL became a corporation, it had huge liabilities of corporate tax and outgo of employee salaries. In order to compensate BSNL for this, the cabinet had then decided to reimburse its licence fee and spectrum charges. However, that decision was valid only until last year. For this year, BSNL has asked for fresh approval from the government for reimbursement of Rs 17 billion of spectrum fee and Rs 36.85 billion of licence fee.