Lok Sabha Question No. 1193 (UNSTARRED), answered on 2022-12-14
Subject: Telecom PSUs
Ministry: COMMUNICATIONS
Asked by: Beesetti  Venkata Satyavathi

## GOVERNMENT OF INDIA MINISTRY OF COMMUNICATIONS DEPARTMENT OF TELECOMMUNICATIONS

## LOK SABHA UNSTARRED QUESTION NO. 1193 TO BE ANSWERED ON 14 TH  DECEMBER, 2022

## TELECOM PSUS

## 1193.   DR. BEESETTI VENKATA SATYAVATHI:

Will the Minister of COMMUNICATIONS be pleased to state:

- (a) the details of the telecom PSUs currently operating in the country including their financial performance during the last three years;
- (b) whether the Government has any plans to formulate a revival plan for the loss-making telecom PSUs;
- (c) if so, the details thereof and if not, the reasons therefor;
- (d) whether the Government proposes to privatize any telecom PSU; and
- (e) if so, the details thereof and if not, the reasons therefor?

## ANSWER

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

- (a) The Financial Performance of PSUs under Department of Telecommunications for the last three financial years is at Annexure-I.

(b) & (c) On 23.10.2019,  Government  of  India  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.  As a result of these, BSNL and MTNL have become EBITDA (Earnings Before Interest, Taxes, Depreciation and Amortization) positive since the financial year 2020-21.

Further, to transform BSNL into a viable Public Sector Undertaking, the Government on 27.07.2022 approved a revival package for BSNL amounting to Rs 1.64 lakhs crores. The revival measures approved by the Cabinet 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.  With  the  implementation  of  these measures, BSNL is expected to turn-around and become a profit earning entity.

(d) & (e) Disinvestment of Telecom PSUs will be taken up as per new Public Sector Enterprise policy for Atma Nirbhar Bharat announced in February 2021.

## Annexure-I

| Financial year   | Revenue Rs. In Cr   | Profit/(Loss) after tax Rs. In Cr   |
|------------------|---------------------|-------------------------------------|
| ITI Ltd          |                     |                                     |
| 2021-22          | 2115.3              | 121.06                              |
| 2020-21          | 2523.55             | 11.2                                |
| 2019-20          | 2242.76             | 147.48                              |
| TCIL             |                     |                                     |
| 2021-22          | 1595.69             | 30.32                               |
| 2020-21          | 1765.8              | 52.76                               |
| 2019-20          | 1755.76             | -55.66                              |
| BSNL             |                     |                                     |
| 2021-22          | 19,052              | -6,982                              |
| 2020-21          | 18,595              | -7,441                              |
| 2019-20          | 18,907              | -15,500                             |
| MTNL             |                     |                                     |
| 2021-22          | 1,697               | -2,602                              |
| 2020-21          | 1,788               | -2,462                              |
| 2019-20          | 2,227               | -3,696                              |

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