BSNL KeralaTo Expand Cell Ops

Posted: Monday, Apr 19, 2004 at 0000 hrs IST
Updated: Monday, Apr 19, 2004 at 0000 hrs IST

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Thiruvananthapuram: A third wave of expansion has reared its head in Bharat Sanchar Nigam Ltd (BSNL) Kerala in the form of a Rs 2000-crore mobile network enhancement project, even before its Rs 150-crore second expansion wave has subsided.

From the 3.7 lakh mobile services in the first Rs 300-crore cellular foray, the target is to gallop to 7.2 lakh by May 15 and add another ambitious 9.5 lakh in next seven months, BSNL sources told FE. The entire schedule is loaded on the year 2004.

While in big states with remote areas like Madhya Pradesh, BSNL has incurred losses to the tune of Rs 70 crore, in Kerala, Gujarat, Maharashtra and Tamil Nadu, it has clocked impressive profits for 2003-2004. For over a decade now, Kerala has been an unchallenged topper among Indian states in wired teledensity at a phone connection for every 100 people.

“Only one-tenth of the total Rs 2000-crore revenues of BSNL Kerala comes from mobile service,” according to K Sreekantan Nair, chief general manager, Kerala circle, BSNL. Other operators in Kerala are Escotel, Airtel and BPL. “But there is no disputing that mobile service is the fastest growing segment in the BSNL Kerala’s revenues,” he added.

Already, servicing 3.7 lakh mobiles on 3.5 lakh tower-capacity has been playing haywire with the system-efficiency. Unlike in many other states, only 40 per cent of BSNL’s growing mobile portfolio in Kerala comes from high-yielding post-paid connections. It’s existing 340 towers will be enhanced soon to 713, Mr Nair said.

Tenders for procuring equipment are under preparation for the third lap of capacity expansion to treble the present mobile connections. Both in the first and second phases, Motorola had clinched the vendor deal. In the third expansion, there is also a happy cost-efficency factor for BSNL. Imported network equipment like MSC (Main Switching Centre) is now cheaper. This would mean that even the low-yielding segment could be milked to the maximum.

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