Bhubaneswar: The Union Cabinet chaired by Prime Minister Narendra Modi today approved the third revival package for BSNL with total outlay of Rs 89,047 crore.
The package includes allotment of 4G/5G spectrum for BSNL through equity infusion, said an official.
“The authorized capital of BSNL will be increased from Rs 1,50,000 crore to Rs 2,10,000 crore. With this revival package, BSNL will emerge as a stable telecom service provider focused on providing connectivity to remotest parts of India,” he added.
With this spectrum allotment, BSNL will be able to provide 4G and 5G services across the country. It can also provide 4G coverage in rural and uncovered villages under various connectivity projects, said the official.
“With this allotment, BSNL can provide Fixed Wireless Access (FWA) services for high-speed internet. Besides, it will Provide services/spectrum for Captive Non-Public Network (CNPN),” he added.
Notably, the Centre had approved the first revival package of Rs 69,000 crore for BSNL/MTNL in 2019. The package brought stability in BSNL/MTNL.
In 2022, the Centre approved second revival package of Rs 1.64 lakh crore for BSNL/MTNL. The package provided financial support for capex, viability gap funding for rural landlines, financial support for de-stressing the balance sheet and settlement of AGR dues and merger of BBNL with BSNL among others.
As a result of these two packages, BSNL has started earning operating profits since 2021-22 fiscal. Total debt of BSNL has come down from Rs 32,944 crore to Rs 22,289 crore, sources said.