Lok Sabha Question No. 4519 (UNSTARRED), answered on 2025-08-20
Subject: Revival Packages of MTNL
Ministry: COMMUNICATIONS
Asked by: Shri Vijayakumar Alias Vijay Vasanth

## GOVERNMENT OF INDIA MINISTRY OF COMMUNICATIONS DEPARTMENT OF TELECOMMUNICATIONS

## LOK SABHA UNSTARRED QUESTION NO. 4519 ANSWERED ON 20 TH  AUGUST, 2025

## REVIVAL PACKAGES OF MTNL

## 4519.   SHRI VIJAYAKUMAR ALIAS VIJAY VASANTH:

Will the Minister of COMMUNICATIONS be pleased to state:

(a) the explain manner in which the Rs. 6,000 crore revival package ensures long-term viability rather than serving as a temporary bailout in view of MTNL's continued financial, if so, the details thereof;

(b) whether the Government has published a time-bound roadmap or white paper on MTNL's full financial turnaround, especially after multiple revival packages since 2019 and  if so, the details thereof, if not, the reasons therefor;

(c) whether the measurable performance benchmarks have been set post-approval of the 202324 revival package and if so, the details thereof and the manner in which accountability is ensured in public spending on MTNL and BSNL;

(d) the manner in which the Government justify repeated financial infusion into MTNL without resolving its legacy issues of employee costs, inefficient infrastructure and declining revenue;

(e) the current status of MTNL's asset monetization and the manner in which the revenue has been actually generated versus the target set under the revival plan; and

(f) the details of safeguards put in place by the Government to protect the identity, workforce and assets of MTNL with  MTNL's daily operations now shifted to BSNL?

## ANSWER

## MINISTER OF STATE FOR COMMUNICATIONS AND RURAL DEVELOPMENT (DR. PEMMASANI CHANDRA SEKHAR)

( a ) to (c) Government has taken various steps for revival of BSNL/MTNL as mentioned below:

-  In 2019, first revival package amounting to around Rs. 69 Thousand Crores was given that brought down the operating costs of BSNL/MTNL.
-  In 2022, revival package amounting to around Rs. 1.64 Lakh Crores was given. It focused on infusing fresh capital, restructuring debt, viability gap funding for rural telephony etc.
-  In  2023,  Government approved the allotment of 4G/5G spectrum to BSNL with the total outlay of around Rs. 89 Thousand Crores.
-  In 2025 an additional amount of Rs 6,982 Crores has been approved as additional CAPEX support for rollout of 4G network by BSNL across the country.

The implementation of the packages is being regularly reviewed at various levels in DoT. The revival packages are being implemented and funds are being released as per the approval of the Cabinet. Further, as per the existing rules, the utilization certificates are taken from BSNL and MTNL to ensure the accountability.

( d ) to (f) An  agreement  between  BSNL  and  MTNL  has  been  signed,  with  effect  from  1st January  2025,  to  run  MTNL's  telecommunication  services  by  taking  over  maintenance  and operational  activities  of  MTNL  on  EBITDA  neutral  basis.  The  integration  of  telecom  services between MTNL and BSNL is still underway.

Further, MTNL has generated the revenue of Rs. 2,303.29 Crore out of the target Rs. 22,918 Crore through Asset Monetization of land & building as on 30.06.2025.

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