Nod to hive off BSNL's tower into subsidiary
BSNL, MTNL to get loans to pay staff inherited from DoT
Feb 01, 2014
Source : Business Standard


DELHI: The government on Friday gave an in-principle approval to hive off BSNL’s tower assets into a separate subsidiary.

The Group of Ministers (GoM) on revival of BSNL  and MTNL also decided to give a loan to the state-owned telecom companies to pay the employees they inherited from the Department of Telecom.

On tower assets, Telecom Secretary M F Farooqui said: “Yes, we will be working on it to hive off towers assets of BSNL  as a subsidiary.” He said on tower business, the GoM has indicated a way forward and the Department will now see what all approvals are needed to be taken to take it forward.

BSNL  has about 60,000 towers. It also has tower sharing pacts with many private operators.

No decision was, however, taken on the issue of monetisation of land assets of the state-run companies, which could fetch them nearly Rs 14,000 crore. “It will be examined further,” the secretary said.

Both the telecom companies, which have been in losses, are rationalising cost and are considering other steps such as locking value of their real estate for their revival. The Group of Ministers on revival of BSNL  and MTNL decided that telcos should get loan to address the salary issue. “In the process of rationalising the cost which is being incurred by BSNL  and MTNL on staff which they had basically inherited from DoT, we have made a case and GoM has come to a decision that this can be addressed by giving them a loan,” Farooqui said after the GoM meeting.

When asked what amount will be given, he said it is being worked out on the basis of some limited number of employees and expanses on those on salary. The loan will be given on that basis which the companies will eventually repay with some interest, he added.

BSNL’s salary burden in 2011-12 was Rs 13,406 crore, almost half its revenues. Most of the BSNL  staff were inherited from the DoT.

In a bid to bring down this burden, BSNL  had proposed letting go employees by offering them voluntary retirement scheme (VRS).

Sources, however, said the VRS proposal is now on hold as it required huge outgo of around Rs 12,000 crore at one-go.

BSNL  had posted loss of about Rs 7,784 crore in financial year 2012-13. MTNL's net loss widened to Rs 5,321.12 crore in 2012-13 from Rs 4,109.78 crore in FY'12. The GoM's previous decisions, including refund of fee for broadband wireless spectrum which cumulatively amounted to Rs 11,258 crore and bearing burden of pension paid to MTNL staff, brought some relief to the ailing public sector units. Both the PSUs expect to turn profitable by 2017-18, sources said.

Latest Realty News

DDA okays draft land pooling policy
Feb 01, 2014
DELHI: The real estate potential of about 70,000 acres in outer Delhi locations like Mehrauli, Bijwasan, Chhatarpur and Ghitorni came one step closer to realization with DDA board of directors approving draft regulations of land pooling policy in their last meeting.
6 investment hotspots along Delhi-Jaipur belt
Feb 01, 2014
DELHI: The 250-km stretch between Delhi and Jaipur has become a hotbed for real estate development, with areas like Manesar, Dharuhera, Bhiwadi, Neemrana, Kotputli and Alwar becoming the new catch words for investors.
Ajnara India Ltd launches Ajnara Ambrosia in Noida
Feb 01, 2014
NOIDA: Ajnara India Ltd, a major realty player has launched its much awaited and one of the most luxurious residential project in sector-118, Noida. Ajnara India Ltd is one of the largest realty companies in NCR with over 50 delivered projects and over 10 ongoing projects, many of which are near to possession. The new project, Ajnara Ambrosia is a theme based project which is being designed to give it’s the buyers the feel of ‘Spanish luxury’.
DDA to track encroachment online with real-time mapping through satellite
Feb 01, 2014
DELHI: The Delhi Development Authority (DDA) will soon track encroachment of its land online with real-time mapping through satellite.
DDA to raise floor area ratio for hotels by up to 66%
Feb 01, 2014
DELHI: The Delhi Development Authority has decided to increase the cap on total floor area for hotels by up to 66 per cent, DDA vice chairman Balvinder Kumar said on Friday.
Brokers in NCR region integrate to grow in relevance
Jan 31, 2014
DELHI: A large number of Delhi-NCR based small real estate brokers are joining popular platforms to get a wider bottom-up reach. While these big platforms are educating the nuances of modern day practices adopted by the industry to small brokers, apart from giving them the brand value, the former too is benefiting by getting more penetration into the micro markets. Experts believe that adopting technology and remaining connected is the only way out, working in isolation would make them obsolet
India last in intellectual property protection and enforcement rankings
Jan 31, 2014
DELHI: For the second straight year, India has been placed at the bottom of a ranking of countries assessed for protection and enforcement of intellectual property practices.
GoM nod sought for monetisation of BSNL real estate
Jan 31, 2014
DELHI: As part of its plan to revive ailing Bharat Sanchar Nigam Limited (BSNL), the department of telecommunications (DoT) has sought approval from a group of ministers (GoM) to monetise some of the land bank of the state-owned telecom behemoth, which is valued, based on circle rates, at Rs 13,439.5 crore.
Protecting patents: India worst in world
Jan 30, 2014
DELHI: Despite the current decade being called India’s “decade of innovation”, the country has been ranked at the bottom of the list of 25 countries in terms of its intellectual property (IP) environment. According to the 2014 International Intellectual Property (IP) Index by the US Chamber of Commerce’s Global Intellectual Property Center (GIPC), India’s percentage score has fallen from 25 per cent in 2012 to 23 per cent.
Noida to allocate Rs. 9, 000 crore for annual budget
Jan 30, 2014
NOIDA: The Noida authority on Wednesday said that it is likely to approve Rs. 9, 000 crore annual budget for financial year 2014-15, in its board meet scheduled to take place on February 12.

Latest Realty News Of State

Realty Talk's