Tuesday, 22 April 2014

BSNL TOWER SUBSIDIARY COMPANY

GS, FS, AGS (HQ) and AFS attended
awareness session on creation of
BSNL tower subsidiary incorporating joint venture

GM (Infra), BSNL CO along with the consultant KPMG gave presentation on tower business of BSNL. He explained in detail that at present about 2900 BSNL towers could be leased out to other Telecom Service Providers due to less focus on this issue. To provide more focus in this segment wherein approx. 62000 BSNL towers can be shared and may get approx. Rs. 35000/- per month each operator and thus may be earn a huge revenue in the tone of hundreds of the Crores in the next 3-4 years itself.

He further mentioned about the recommendations of the Consultant and approval of BSNL board which is as under-

Phase 1: Formation of a Strategic Business Unit (SBU) including outsourcing of Operations & Maintenance and Sales & Marketing.

Phase 2:  Creation of subsidiary and induction of a Joint Venture (JV) partner.

To begin with the action plan to implement the first phase of advise, a Project Management Office (PMO) has been proposed to be established for which services of professionally qualified external consultant are proposed to be taken. The timeline for the phase 1 and phase 2 is expected to be 12-18 months and the proposal has been forwarded to DoT for the approval.

We strongly opposed against induction of strategic Joint Venture (JV) partner who will come to earn more and more revenue from BSNL infrastructure and finally may take over the tower subsidiary company by increasing its share. It will dilute the strength of BSNL and allow fragmentation of BSNL. We pleaded that BSNL tower should be monetized by creating its own infra units at all circles/ SSA level i.e. the Strategic Business Unit (SBU) as recommended by the consultant as the Phase-1 to maintain the site perfectly and earn revenue by leasing out and creating new sites. We strongly opposed the implementation of the Phase-2 of the recommendations.

All the Unions and Associations representatives present in the meeting also opposed the Govt. decision for creation of BSNL tower subsidiary by induction of strategic partner. GM (SR) assured to communicate our feelings to the BSNL Management.