Union Govt mandates all ministries, public depts, PSUs to use only BSNL, MTNL services

Oct. 14: The Centre has mandated all ministries, public departments and public sector units to use telecom services of state-run Bharat Sanchar Nigam (BSNL) and Mahanagar Telephone Nigam (MTNL). The decision is likely to be a huge relief for loss-making state-owned telecom companies BSNL and MTNL who have been losing their subscriber base. In 2019-2020, BSNL recorded a loss of Rs 15,500 crore while MTNL posted a loss of Rs 3,694 crore.

“The government of India has, inter-alia, approved the mandatory utilisation of capacities of BSNL and MTNL by all ministries/departments of government of India, CPSEs, central autonomous bodies,” a memorandum issued by the Department of Telecommunications (DoT) said. The memorandum dated October 12, was issued to all secretaries and departments under the Centre following consultation with the finance ministry.