The Government of India has unveiled a fresh capital expenditure plan worth ₹47,000 crore for BSNL, marking another step in its efforts to strengthen the state-run telecom company’s infrastructure. The announcement, made by the Department of Telecommunications (DoT) on its official social media channels, highlights the government’s focus on expanding network capacity and improving service delivery for millions of subscribers.
This comes after last year’s record investment of ₹25,000 crore, which was used to install one lakh towers to support BSNL’s 4G rollout.
Focus on Expanding Telecom Infrastructure
The previous investment was largely implemented with the help of IT major TCS and a consortium led by the Centre for Development of Telematics (C-DoT), which supplied telecom equipment to BSNL. With this fresh allocation, BSNL is expected to accelerate network expansion, strengthen mobile coverage in underserved regions, and prepare its systems for future technology adoption, including 5G readiness.
Minister’s Growth Targets for BSNL
Union Telecom Minister Jyotiraditya Scindia has set clear performance benchmarks for BSNL. In a recent review meeting with the company’s circle and business unit heads, he directed the operator to increase its mobile service business by 50% in the coming year. Additionally, BSNL has been tasked to boost its enterprise business by 25%–30% and expand fixed-line services by 15%–20%.
Driving Higher ARPU and Customer Satisfaction
Another key goal is improving BSNL’s Average Revenue Per User (ARPU), which currently ranges from ₹40 in some circles to over ₹175 in others. Scindia emphasized the importance of enhancing customer satisfaction and subscriber acquisition to narrow the ARPU gap with private competitors.
For context, Bharti Airtel reported an ARPU of ₹250, while Reliance Jio recorded ₹208 for the June quarter, underscoring the stiff competition in India’s telecom market.
Conclusion
The government’s new ₹47,000 crore capex plan reaffirms its commitment to reviving BSNL and positioning it as a stronger competitor to private operators. With clear growth targets and a renewed focus on service quality, BSNL is expected to play a crucial role in expanding digital connectivity across India.
