Info-tech

BSNL Tower Co begins separate accounting process since Oct 1

Rajesh Kurup Mumbai | Updated on October 06, 2020 Published on October 06, 2020

BTCL will undertake smart city projects, enterprise business, external work for State Governments, public sector banks and autonomous bodies among others

As Bharat Sanchar Nigam Ltd (BSNL) intends to focus on its core businesses, its non-telecom activities will be carried out by subsidiary BSNL Tower Corporation (BTCL), which began a separate accounting process from October 1.

BTCL will undertake all projects where BSNL — the State-owned telecom operator — is mostly a facilitator. Further, the execution of non-telecom projects will help BSNL reduce its licence fee liability on activities which do not require telecom licenses.

In cases where telecom activity is part of projects undertaken by BTCL, then BSNL will issue invoices at arm’s length principle to the latter.

BTCL will undertake smart city projects, enterprise business, external work as project management consultants for State Governments, public sector banks and autonomous bodies among others, according to a letter by BSNL Chairman and Managing Director PK Purwar.

Non-telecom activities

Further, the Chief General Managers of all circles and heads of metro circles were asked to identify non-telecom activities that can be carried out by BTCL.

The CGMs have to identify existing manpower in BSNL, who can be moved over to BTCL and working loans or advances would also be allotted to BTCL. Also the telecom activities can be billed by BSNL to BTCL at arm’s length principle so that the implication of licence is restricted to telecom licence activity only.

BTCL was formed to take over tower infra assets of BSNL’s mobility division and work as an infrastructure provider category-I (IP-I) and to maintain dark fibre, ducts and provide telecom infrastructure on lease to other players. BTCL was formed in 2018 under the Companies Act of 2013.

Marking its 20th Foundation Day, BSNL is celebrating a ‘Customer Delight Month’ this October throughout the country.

Follow us on Telegram, Facebook, Twitter, Instagram, YouTube and Linkedin. You can also download our Android App or IOS App.

Published on October 06, 2020
This article is closed for comments.
Please Email the Editor