Page 16 - TELEWAVE AUGUST-2015
        P. 16
     
       	           9.     National Telecom Policy (NTP) 99 does not envisage recovery of any license fee from BSNL (then DoT)           in respect of its fixed line services. In respect of GSM line services the license fee was to be paid by BSNL but           the  same  was  to  be  fully  reimbursed  being  a  National  service  providers  having  immense  rural  and  social           obligations.  BSNL  has  been  paying  the  license  fee  in  respect  of  basic  services  and  cellular  services  also.           Accordingly, BSNL has suffered a total financial loss of Rs. 39,200/- Crores up to 31.03.2015. Further it is facing           the recurring financial loss of Rs. 1200 Crores per annum on the payment of license fee and Rs. 1750 Crores           towards USO contribution per annum contrary to NTP’99.                  Union  Cabinet approved  the  National Telecom Policy-2012  (NTP-2012) on 31.05.2012. The  Cabinet           also  approved  introduction  of  Unified  License  and  authorized  the  Department  of  Telecommunications  to           finalize the new Unified Licensing regime with the approval of Minister of Communications & IT. The policy has           benefited  the  Private  Operators  but  nowhere  any  preferential  treatment  to  BSNL/MTNL  has  been  offered           being the State own PSUs. The merger and acquisition policy should not be for enabling trade in license and           spectrum by the unscrupulous players’ quick profits.           10.    It  is  understood  that  certain  authorities  in  Govt.  believe  that  Rural  Operation  of  BSNL  are  in  fact           profitable.  It  is  with  this  laughable  and  irresponsible  attitude  that  recommendation  of  TRAI  for  paying  a           compensation of Rs.750 Crs. for the period upto July, 2014 has not been yet implemented, whereas BSNL has           been  incurring  the  expenditure  even  with  borrowing  at  high  interest  cost.  Similarly,  Rs.  18,500  Crs.  were           arbitrarily and in an unfair manner taken away from BSNL and Govt. even after the decision of refund of Rs.           4700 Crores BWA Spectrum Charges to BSNL is still dragging its feet on refund of BWA Spectrum pending           charges about Rs.3600 Crs.           11.    BSNL has been requesting to DoT for financial support in order to make its wired line services/rural           telephony  financially  viable  by  compensating  the  losses  of  Rs.  44,000  Crores  incurred  by  BSNL  due  to           difference in ADC which was admissible to BSNL earlier. Despite repeated requests by BSNL Management to           DoT,  this  has  not  been  made  good.  BSNL  has  continued  to  render  services  in  unviable  rural  remote  and           difficult areas. Now ADC has been stopped all together. BSNL being 100% control Govt. PSU, it can’t go to the           Govt. against Govt. decisions even if they are not favorable to BSNL. Whereas, the Private Operators have           liberty to approach TDSAT against Govt. decisions. For example Private operators have gone to TDSAT against           the CAFs related penalties and have been given relief. Such reliefs have not been made applicable by DoT to           BSNL.           12.    At least one correct diagnosis has been made regarding the problems faced by BSNL, which has been           aptly  put  in  words  by  Dr.  D.P.S.  Seth,  former  CMD  of  BSNL,  who  stated  that  “Whenever  BSNL  needed           equipment most, it was not available due to interference. As a result, BSNL’s market share in GSM has been           slipping. At one stage BSNL was almost in the number one position in terms of subscribers.” Today, it stands           at the No. 5 slot (Bharti Airtel, Vodaphone Essar, Reliance Telecom, Idea, BSNL) in the mobile market. The           private  operators  commenced  operations  in  GSM  Mobile  Services  in  1996  in  accordance  with  National           Telecom Policy formulated in 1994. After formation of BSNL in Oct 2000 the Govt. of India permitted BSNL to           offer GSM Services only in year 2001-2002. BSNL could roll out its GSM Mobile services on 19th October 2002,           within a short duration of three years BSNL managed to acquire number two slot in market share in GSM           Mobile services in the year 2005 and remained at number two position for around two years. Subsequently           Tendering Process for procurement of GSM Mobile Equipment was held up due to Court cases followed by           delay  at  the  level  of  Ministry  of  IT  and  Communications  in  granting  necessary  approvals.  This  caused           considerable delay in procurement of GSM Equipment for BSNL. The episode of the Tender of 45.5 million           GSM lines is still fresh in our memory and it is a glaring example of interference. The Government wanted to           cancel  the  Tender.  Only  after  prolonged  agitation  by  all  the  BSNL  Unions/  Associations  in  July  2007,  the           Ministry allowed BSNL to place order for 50% of the quantity of the approved Tender i.e. 23 Million GSM           Lines.  Had  the  Tender  been  cancelled  in  full  then  Market  share  of  BSNL  would  have  been  in  a  far  worse           situation. Again the Government cancelled the Tender for 93 Million GSM lines floated by BSNL more than           four years ago and twice floated 5.5 Million GSM line tender. Cancellations of these Tenders have affected the           supply of GSM Equipment’s and expansion plans of BSNL. The 15 million GSM lines tenders could be finalized           with the great efforts of our CMD, BSNL Sh. Anupam Shrivastava the then Director (CM) which has given relief           in North and East Zone. But West Zone is suffering due to M/s ITI un-helping attitude.           TELEWAVE                                   Page-16                                   AUGUST-2015
       
       
     





