Lok Sabha Question No. 101 (STARRED), answered on 2022-02-09
Subject: Revival of BSNL and MTNL
Ministry: COMMUNICATIONS
Asked by: Kunwar Danish Ali

## GOVERNMENT OF INDIA MINISTRY OF COMMUNICATIONS DEPARTMENT OF TELECOMMUNICATIONS

## LOK SABHA STARRED QUESTION NO. 101 TO BE ANSWERED ON 9 TH  FEBRUARY, 2022

## REVIVAL OF BSNL AND MTNL

| †*101. KUNWAR DANISH ALI:   | †*101. KUNWAR DANISH ALI:                                                                                                                                   |
|-----------------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------|
| (a)                         | whether Bharat Sanchar Nigam Limited (BSNL) and Mahanagar Telephone Nigam Limited (MTNL) are incurring losses since 2009-10 and if so, the details thereof; |
| (b)                         | the cumulative losses incurred by both the PSUs separately as on date; and                                                                                  |
| (c)                         | the steps taken/proposed to be taken by the Government for revival of BSNL and MTNL?                                                                        |
| ANSWER                      | ANSWER                                                                                                                                                      |
| (a) to (c)                  | A statement is laid on the Table of the House.                                                                                                              |

STATEMENT TO BE LAID ON THE TABLE OF THE LOK SABHA IN RESPECT OF PARTS  (a)  TO  (c)  OF  THE  LOK  SABHA  STARRED  QUESTION  NO.  101  FOR  9 TH FEBRUARY, 2022 REGARDING 'REVIVAL OF BSNL AND MTNL'.

(a) & (b) The  details  of  annual  profit/loss  for  the  financial  year  2009-10  to  2020-21  of BSNL and MTNL are as follows:

| Financial Year   | Profit/ (Loss) in Rs Cr   | Profit/ (Loss) in Rs Cr   |
|------------------|---------------------------|---------------------------|
|                  | BSNL                      | MTNL                      |
| 2009-10          | (-)1823                   | (-)2611                   |
| 2010-11          | (-)6384                   | (-)2802                   |
| 2011-12          | (-)8851                   | (-)4110                   |
| 2012-13          | (-)7884                   | (-)5321                   |
| 2013-14          | (-)7019                   | 7825                      |
| 2014-15          | (-)8234                   | (-)2893                   |
| 2015-16          | (-)4875                   | (-)2006                   |
| 2016-17          | (-)4793                   | (-)2971                   |
| 2017-18          | (-)7993                   | (-)2971                   |
| 2018-19          | (-)14904                  | (-)3398                   |
| 2019-20          | (-)15500                  | (-)3811                   |
| 2020-21          | (-)7441                   | (-)2454                   |

The cumulative losses incurred up to 2020-21 by BSNL and MTNL are Rs 95,701 Cr and Rs 35,348 Cr respectively.

(c) In  order  to  strengthen  BSNL  and  MTNL,  the  Government  approved  a  revival  plan  on 23.10.2019.  The  revival  plan  inter-alia,  includes  measures  to  reduce  the  Staff  cost  through  a Voluntary Retirement Scheme (VRS) for employees of age 50 years and above, administrative allotment  of  spectrum  for  providing  4G  services  with  funding  through  budgetary  allocation, monetisation  of  non-core  and  core  assets  to  generate  resources  to  retire  debt,  meet  Capital Expenditure  (CAPEX)  and  other  requirements,  debt  restructuring  by  raising  of  Sovereign Guarantee Bonds and in-principle approval for merger of BSNL and MTNL. BSNL and MTNL have turned EBIDTA positive (operating profit) in 2020-21 as a result of these measures.

**************