It is reported by SNEA that DOT has returned BSNL’s proposal on 3rd PRC

14 Nov
Posted on Author BDPA Admin

It is reported by SNEA that DOT has returned BSNL’s proposal on 3rd PRC with the following queries :

  1. Revenue from operation is on huge decline, 20% in 2017-18 in comparison with 2016-17 and 27.8% in comparison to Q1 of FY 2018-19.
  2. During 2017-18, BSNL estimated 4.8% growth, but it has actually reduced by 14.8%.
  3. Expenditure on employees remuneration is continuously growing comparing to its revenue. It is 65.7% of revenue from operations during 2017-18. Now it has become 89% during Q1 of FY 2018-19.
  4. Rs.4303 Cr is the additional expenditure per annum for 3rd PRC with 15% fitment (pension contribution calculated on maximum of the pay scale) and it may cross the revenue from operations (Rs.2760 Cr is the additional expenditure if the pension contribution is on actual basic pay).
  5. For 4G rollout, loan has to be taken and additional revenue expected after that will be required for repayment of loan.
  6. The excess payment on pension contribution is shown as Rs.2000. Govt not agreed to the BSNL proposal for pension contribution on actual basic pay.
  7. BSNL proposes additional revenue from FTTH etc.

With the above remarks, DoT asked BSNL to work out a concrete workable proposal with a detailed analysis.

(Courtesy: SNEA)