BSNL cash reserves plunge 96% in two years to Rs 1,214 crore

Written by Press Trust of India | New Delhi | Updated: Feb 28 2013, 05:47am hrs
Government-owned telecom major BSNLs cash reserves declined by a whopping 96% to R1,214.44 crore in 2011-12 from Rs 29,355.5 crore 2009-10.

The company had a cash reserve of R29,355.5 crore in 2009-10 fiscal, which declined to R1,733.35 crore in 2010-11 and further slipped to R1,214.44 crore in 2011-12, Minister of State for Communications and Information Technology K Kruparani said in a written reply to the Lok Sabha.

The loss-making company has drawn a blueprint to monetise its vast real estate as well has hiving off its tower arm over the next five years to increase revenues.

The proposals include utilisation of its real estate, monetising of towers assets, utilisation of its factories for revenue generation, providing broadband connectivity to schools and leasing out its CDMA network.

Telecom Minister Kapil Sibal has asked BSNL to submit plans that will help the company turn profitable.

BSNLs losses have more than tripled to R5,997 crore crore during 2010-11. The company had registered a net loss of R1,823 crore during 2009-10.

In real estate, BSNL has about 4,400 hectare of total land bank. It also has seven telecom factories, where it plans to set up manufacturing facilities of electronic equipment in partnership with other manufacturers.

Meanwhile, Telecom Regulatory Authority of India has imposed R1 lakh penalty on Bharti Airtel in 2012-13 for violating norms laid by it to check telemarketing calls and SMSes, Parliament was informed on Wednesday. TRAI had imposed financial disincentives on various service providers for violation of the provision of the regulations, minister of state for communications and IT Milind Deora said in a written reply to Lok Sabha.

The has imposed R1 lakh fine on Bharti Airtel for violation of the provisions of the Telecom Commercial Communications Customer Preference Regulations during the ongoing financial year.

In 2009-10, TRAI had imposed a penalty of R15,000 on Vodafone, R11,000 on Reliance Communications, R10,000 on Bharti Airtel, R9,000 on Spice (now merged with Idea Cellular) and R1,000 each on Tata Teleservices, BPL (now Loop Mobile), MTNL and BSNL under previous version of norms to check pesky calls.