Lok Sabha Question No. 5373 (UNSTARRED), answered on 2023-04-05
Subject: BSNL Revival Package
Ministry: COMMUNICATIONS
Asked by: Karti P. Chidambaram

## GOVERNMENT OF INDIA MINISTRY OF COMMUNICATIONS DEPARTMENT OF TELECOMMUNICATIONS

## LOK SABHA UNSTARRED QUESTION NO. 5373 TO BE ANSWERED ON 5 TH  APRIL, 2023

## BSNL REVIVAL PACKAGE

## 5373. SHRI KARTI P. CHIDAMBARAM:

Will the Minister of COMMUNICATIONS be pleased to state:

- (a) the details of the Rs. 1.64 lakh crore revival package approved for BSNL in July 2022 as well as Rs. 74,000 crore package approved in October 2019;
- (b) the details of utilisation of the two revival packages;
- (c) whether BSNL and BBNL are loss making CPSEs, and if so, the details of their profit/loss statements starting FY 2014-15 including provisional data for current year;
- (d) the  reasons  for  approving  merger  of  loss  making  entities  BSNL  and  BBNL  by  the Government in 2022;
- (e) whether the BharatNet project will be carried out by the merged entity, and if so, the details thereof and if not, the reasons therefor;
- (f) the targets set under BharatNet including length of Optical Fibre Cable (OFC), number of panchayats where OFC laid, number of panchayats service ready vis-a-vis achievements of these targets, State/UT-wise; and
- (g) the details of the deadline for completion of BharatNet project?

## ANSWER

## MINISTER OF STATE FOR COMMUNICATIONS (SHRI DEVUSINH CHAUHAN)

(a) & (b) The Union Cabinet on 23.10.2019, approved the revival plan for BSNL and MTNL. It inter-alia approved the reduction in employee costs through Voluntary Retirement Scheme (VRS), debt restructuring by raising of sovereign guarantee bonds, administrative allotment of spectrum for 4G services  through  capital  infusion,  monetization  of  core  and  non-core  assets  and  in-principle approval of merger of BSNL and MTNL.

Further on 27.07.2022, to transform BSNL into a viable Public Sector Undertaking, the Union Cabinet  approved  a  revival  package  for  BSNL  amounting  to  Rs  1.64  lakhs  crores.  The  revival measures inter-alia focus on infusing fresh capital for upgrading BSNL services, allocating spectrum,

de-stressing its balance sheet and augmenting its fibre network by merging Bharat Broadband Nigam Limited  (BBNL)  with  BSNL.  The  details  of  utilization  of  two  revival  packages  is  attached  at Annexure-I .

## (c) The profit/ (loss) statement of BSNL and BBNL is as below:

(in Crores of Rs.)

|                           | Profit/(loss)   | Profit/(loss)   |
|---------------------------|-----------------|-----------------|
| Financial Year            | BSNL            | BBNL            |
| 2014-15                   | (8,234)         | 0.29            |
| 2015-16                   | (4,859)         | 8.43            |
| 2016-17                   | (4,793)         | 22.85           |
| 2017-18                   | (7,993)         | 2.77            |
| 2018-19                   | (14,904)        | 3.36            |
| 2019-20                   | (15,500)        | 3.24            |
| 2020-21                   | (7,441)         | 1.45            |
| 2021-22                   | (6,982)         | 2.49            |
| 2022-23 (upto 31.12.2022) | (5,458)         | 1.44            |

(d) & (e) The merging of BBNL with BSNL will facilitate wider utilization of infrastructure laid under BharatNet and strengthen BSNL. The merger will result in operation, maintenance and utilization  with  one  agency,  which  will  bring  synergy  in  terms  of  cost  reduction,  revenue enhancement and better utilization of existing assets.

- (f) The details are attached at Annexure-II .
- (g) Timeline for completion of BharatNet project is 2025.

## Annexure-I

## (in Crores of Rs.)

| Sl. No.   | Item                                                                    | Financial year   | Financial year   | Financial year   | Financial year            |
|-----------|-------------------------------------------------------------------------|------------------|------------------|------------------|---------------------------|
|           |                                                                         | 2019-20          | 2020-21          | 2021-22          | 2022-23 (upto 29.03.2023) |
| 1.        | Capital infusion in BSNL and MTNL                                       | -                | -                | -                | 26,386.44                 |
| 2.        | Viability Gap Fund (VGF) to BSNL                                        | -                | -                | -                | 16,189.00                 |
| 3.        | Incremental Pension Payment to Voluntarily retiring BSNL&MTNL employees | 256.86           | 2,713.51         | 2,977.11         | 3,298.85                  |
| 4.        | Ex-gratia Payment - BSNL&MTNL                                           | 5,000.00         | 11,162.86        | -                | -                         |
| 5.        | Fund raised by BSNL& MTNL against Sovereign Guarantee                   | -                | 15,000           | -                | 15,094.7                  |

## Annexure-II

| S.No.   | State               | No. of GPs planned on OFC   | No. of GPs Service ready on OFC   | OFC laid (Km)   | No. of GPs where OFC laid   |
|---------|---------------------|-----------------------------|-----------------------------------|-----------------|-----------------------------|
| 1       | Assam               | 1,506                       | 1,506                             | 4,877           | 1,506                       |
| 2       | Bihar               | 8,324                       | 8,300                             | 27,413          | 8,300                       |
| 3       | Chhattisgarh        | 10,014                      | 9,541                             | 42,324          | 9,601                       |
| 4       | Haryana             | 6,082                       | 6,082                             | 11,901          | 6,082                       |
| 5       | Jammu &Kashmir      | 413                         | 413                               | 860             | 413                         |
| 6       | Karnataka           | 6,084                       | 6,084                             | 14,217          | 6,084                       |
| 7       | Kerala              | 977                         | 977                               | 829             | 977                         |
| 8       | Madhya Pradesh      | 17,830                      | 17,780                            | 67,752          | 17,813                      |
| 9       | Maharashtra         | 27,811                      | 23,824                            | 83,360          | 25,618                      |
| 10      | Punjab              | 12,664                      | 12,664                            | 24,463          | 12,684                      |
| 11      | Rajasthan           | 8,747                       | 8,740                             | 30,156          | 8,743                       |
| 12      | Uttar Pradesh (E)   | 34,533                      | 31,232                            | 77,375          | 33,350                      |
| 13      | Uttar Pradesh (W)   | 12,432                      | 10,264                            | 27,410          | 12,070                      |
| 14      | Uttarakhand         | 1,819                       | 1,684                             | 3,968           | 1,695                       |
| 15      | West Bengal         | 2,676                       | 2,562                             | 9,521           | 2,579                       |
| 16      | Sikkim              | 163                         | 26                                | 942             | 37                          |
| 17      | Chandigarh          | 12                          | 12                                | 19              | 12                          |
| 18      | Lakshadweep         | 0                           | 0                                 | 0               | 0                           |
| 19      | Arunachal Pradesh   | 79                          | 79                                | 1,519           | 570                         |
| 20      | Nagaland            | 116                         | 116                               | 2,000           | 656                         |
| 21      | Manipur             | 315                         | 315                               | 634             | 366                         |
| 22      | Mizoram             | 41                          | 41                                | 689             | 130                         |
| 23      | Tripura             | 589                         | 587                               | 1,686           | 802                         |
| 24      | Meghalaya           | 122                         | 122                               | 1,069           | 356                         |
| 25      | Gujarat             | 14,298                      | 14,233                            | 55,418          | 14,261                      |
| 26      | Daman &Diu          | 18                          | 18                                | 30              | 18                          |
| 27      | Dadra &Nagar Haveli | 20                          | 20                                | 82              | 20                          |
| 28      | Puducherry          | 98                          | 98                                | 93              | 98                          |
| 29      | Andhra Pradesh      | 12,935                      | 5,194                             | 39,679          | 8,997                       |
| 30      | Telangana           | 12,733                      | 9,223                             | 30,964          | 9,235                       |
| 31      | Odisha              | 6,741                       | 6,741                             | 32,373          | 5,347                       |
| 32      | Jharkhand           | 4,379                       | 4,352                             | 16,745          | 4,379                       |
| 33      | Himachal Pradesh    | 252                         | 252                               | 783             | 252                         |
| 34      | Ladakh              | 0                           | 0                                 | 0               | 0                           |
| 35      | Tamil Nadu          | 12,525                      | 1,553                             | 9,524           | 1,623                       |
| 36      | Andaman &Nicobar    | 66                          | 64                                | 213             | 0                           |
|         | Total               | 2,17,414                    | 1,84,699                          | 6,20,888        | 1,94,674                    |

## Note:

- Delhi has no Gram Panchayats and thus not taken up under BharatNet Project.
- Goa had its own similar broadband network and thus not taken up under Phase-I & II of BharatNet Project.

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