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Revival of BSNL and MTNL: Payment of pension to the employees of MTNL at par with BSNL

GOVERNMENT OF INDIA
MINISTRY OF  COMMUNICATION AND INFORMATION TECHNOLOGY
RAJYA SABHA

UNSTARRED QUESTION NO-201

ANSWERED ON-06.12.2013

Revival of BSNL and MTNL

201 . SHRI N.K. SINGH

(a) whether Government had set up a Group of Ministers (GoM) to look into the matter of reviving and revitalising loss making public sector units BSNL and MTNL;
(b) if so, the details of recommendations made by the GoM in this regard;
(c) the reaction of Government thereto;
(d) whether Government proposes to withdraw the facilities extended to employees of MTNL and BSNL in view of losses; and
(e) if so, by when and if not, the reasons therefor?

ANSWER

THE MINISTER OF STATE IN THE MINISTRY OF COMMUNICATIONS AND INFORMATION TECHNOLOGY (DR. (SMT.) KILLI KRUPARANI)

(a) to (b) Government had constituted a Group of Ministers (GoM) on 17.04.2013 to recommend short term, medium term and long term measures for revival and revitalization of Bharat Sanchar Nigam Limited (BSNL) and Mahanagar telephone Nigam Limited (MTNL). GoM has met on 12.06.2013, 01.08.2013 and 12.09.2013. The recommendations made by the GoM so far are as follows:
(i) Payment of pension to the employees of MTNL at par with BSNL.

(ii) Surrender of Broadband Wireless Access (BWA) spectrum by BSNL (in six licensed service areas) and MTNL (both Delhi and Mumbai) and refund of amount paid by BSNL and MTNL for such spectrum.
(iii) Waiver of unpaid portion along with the interest of Notional Loan of Rs. 7500 Crore given to Bharat Sanchar Nigam Limited (BSNL) as part of the Capital structure of BSNL at the time of its formation.
(c) The above recommendations of the GoM are being placed before the Cabinet for approval.
(d) & (e) No, sir. Government proposes to revive and revitalize BSNL and MTNL through various short term, medium term and long term measures so that BSNL and MTNL become financially strong entities in the competitive telecom services sector.
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