BSNL-MTNL merger decision soon
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BSNL-MTNL merger decision soon

The matter may not be sent to the PMO and may directly be sent to the Cabinet for approval.

india Updated: Feb 02, 2006 12:43 IST

The Centre is in favour of the mega merger of telecom majors Bharat Sanchar Nigam Limited (BSNL) and Mahanagar Telecom Nigam Limited (MTNL) and the unions have also agreed to the proposal, Union Minister of State for Communications and IT Dr Shakeel Ahmad said on Wednesday.

"The government is in favour of the BSNL-MTNL merger... The unions are also in agreement to the proposal," Dr Ahmad told reporters.

The Communications Ministry is currently examining the modalities and the route of the proposed merger as per the recommendations of the I-Sec consortium and a formal decision will be taken within the first quarter of fiscal 2006-07, he said.

The matter may not be sent to the PMO and may directly be sent to the Cabinet for approval after the modalities of the proposals were evaluated, Dr Ahmad said.

The Communications Ministry is also looking at ways to reduce traffic congestion in communication systems, the minister said adding that the much talked about "Indiaone" service would be launched by March 31, 2006.

Dr Ahmad was in the city to launch the KMC-NET project in which BSNL is a project partner with Kolkata Municipal Corporation (KMC).

The Rs 16.9 crore DFID, UK, funded project would connect 223 offices of KMC and provide video conferencing facility in 15 locations of KMC.

The project to be completed by July 2006 would make corporation related information available to the common citizens at the net, city Mayor Bikash Ranjan Bhattacharya said.

First Published: Feb 01, 2006 14:48 IST