BSNL did not charge Reliance Jio for 10 years!
The CAG (Comptroller and Auditor General of India) gave a report about the Indian government. The report showed that BSNL, a government telecommunication (telecom) company, made a big mistake.
BSNL lost ₹1,757 crores ($210 million). For 10 years, it did not ask Reliance Jio to pay for using BSNL’s telecom network. Reliance Jio used BSNL’s services but did not pay the sharing fee.
What is BSNL?
BSNL means Bharat Sanchar Nigam Limited. The Indian government started it in the year 2000. Before that, it used to be the Department of Telecommunications (DoT). BSNL’s office is in New Delhi, India’s capital.
The story of telecom services in India started in British times. In 1853, the British built the first telegraph line from Kolkata to Diamond Harbour. After that, people all over India could use it.
After independence, India made two departments: one for postal services and one for telegraph services. The telegraph department later became BSNL. Today, BSNL gives many services like landlines, mobile phones, 4G/5G, WiFi, and more.
Why is this a problem?
BSNL has not made money since 2009. It is now a company with losses and debt. Private companies like Airtel, Jio, and Vodafone have strong competition. Other problems include corruption, government control, and high employee costs.
In 2022, the Indian government gave money to BSNL to help it grow and reduce debt. But now, people are worried about how BSNL is working. Can it become a good and successful company again?
Why do governments run companies like BSNL?
Private companies work for profit. Government companies are made to help people and for the country’s good. The government usually works in areas like defence, banking, trains, or electricity where private companies do not go.
Government companies use public money. So, they give cheaper and long-term services to all people. But public money is not unlimited. So, the government must use it carefully.
Thus, government-run companies like BSNL need to work properly and avoid losing any money. This is important for their future and the people of India.
