The Union Cabinet on Wednesday cleared the merger of Bharat Broadband Network Limited (BBNL) into BSNL
Expanding optical fibre cable network
With the merger, BSNL will get an additional 5.67 lakh kilometre of optical fibre laid across 1.85 lakh village panchayats using the Universal Service Obligation Fund (USOF).
With this, BSNL would have 14 lakh km of the optical fibre network.
Currently, it has an optical fibre cable network of over 6.83 lakh kilometre.
Union Minister Ashwini Vaishnaw also announced a revival package of Rs 1,64,156 crore for BSNL spread over four years.
Elements of the revival package includes:
- Advancement of services and its quality
- Destress balance sheet of BSNL
- To expand BSNL optical fibre network
Furthermore, the cabinet has decided to convert Rs 33,000 cr of statutory dues into equity.
BSNL will work as an executing arm of the government and ownership of assets will rest with the government
BBNL has a workforce of less than 200 which will be absorbed in BSNL
This April The government announced that BBNL will be merged with BSNL.
BBNL is a special purpose vehicle (SPV), formed to implement the ambitious BharatNet project.
It has been touted to be the largest rural connectivity programme in the world which aims to “transform India into a digitally empowered society and knowledge economy”.
Through the project the government aims to address issues of internet penetration in rural India.