The Hindu Business Line : BSNL sets deadline for Net backbone project

In an attempt to salvage the crucial National Internet Backbone (NIB) project, Bharat Sanchar Nigam Ltd (BSNL) has asked Telecommunication Consultants of India Ltd (TCIL) to complete the implementation of the phase two of the network latest by March 31.

TCIL, along with its consortium partners, Tata Consultancy Services and IBM, had jointly bid for implementing the project on a turnkey basis for BSNL.

In a strongly worded letter to TCIL, Mr A.K. Sinha, Chairman and Managing Director, BSNL, said, "Contrary to your belief that project 3 of NIB-II has been taken up by TCIL on top most priority, the spirit does not seem to have percolated to your project team and consortium partners. This is amply demonstrated by the fact that while as per the purchase order given in April 2005, the project should have been completed in all respects by October, it has not yet been completed."

The NIB plan is to link more than 400 cities by 53,000 route km of optic fibre cable. While phase 1 of the project connecting 33 cities has been completed, phase 2 will connect 150 cities.

Once completed, BSNL will be in a position to offer high quality broadband services and other Web-based services such as hosting, premium mail services and flexible billing plans.

Non-supply of tools

BSNL has told TCIL that many critical items such as hardware for security solutions has not yet been supplied. "It is learnt that even orders for these equipment have not been placed by TCIL or their consortium partners. You may appreciate that project is to be implemented on a turnkey basis hence non-supply of even a few critical items can severely hamper implementation activities," BSNL said in the letter.

Broadband plans hit

In a review meeting held in January, BSNL officials had admitted that that delay in the Internet backbone project was hampering the broadband plans of the state-owned company. While IBM and TCS have maintained that there has been no delay from their side in delivering the equipment, highly placed officials in TCIL said the delay in implementing the project was due to lack of a physical place to install the hardware required to kickstart the project. BSNL has, however, said "ill preparedness of TCIL in handling the project is evident from the fact that even though the Bangalore site was handed over in October, work is still not complete"

Penalty clause

As per the agreement signed between the companies, BSNL can levy a penalty on TCIL for a delay of more than 20 weeks. As a precedent, BSNL had imposed a penalty on Chinese manufacturer Huawei for delaying supply of equipment for BSNL's wireless project.

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