Bharat Sanchar Nigam Ltd (BSNL), the state-run telecom firm, is aiming to generate revenues of Rs 30,000 crore in the ongoing financial year, a growth of over 7 per cent over 2011-12.
"We are striving very hard to reach Rs 30,000 crore figure through our various initiatives and income from services. That would be very desirable situation," BSNL Chairman and Managing Director R K Upadhyay said.
Total revenues of the company for 2011-12 declined to Rs 27,933.5 crore during the year, compared to Rs 29,687.62 crore it had posted a year ago.
Upadhyay said: "Apart from pure telecom services, we are working out additional scheme which should act as additional sources of revenue for BSNL to meet additional employee cost at least."
FROM THE MAGAZINE:Why RK Upadhyay is BSNL's last hope
BSNL CMD sounded optimistic on improving quality of service under the company's ongoing expansion plan of GSM lines. The company has shortlisted Chinese telecom equipment maker ZTE and European Vendor Alcatel Lucent for its 14.37 million line expansion.
"We expect commissioning equipments under phase 7 within 6 to 8 months. With this not only capacity will increase but coverage also increases. Earlier, there was a mention about congestion in certain part of country on BSNL network, all this will be a thing of the past soon," Upadhyay said.
Asked about status of grants from Universal Services Obligation Fund (USOF) to support BSNL's loss-making landline business in rural areas, Upadhyay said: "It is still under consideration of the government and not yet sanctioned."
During financial year 2011-12, BSNL had not received around Rs 1,600 viability gap funding for its rural landline operations from government. This pulled down BSNL's income.
The company's losses widened to about Rs 8,850.70 crore during 2011-12 mainly due to regulatory expenses and non-receipt of funds for its rural landline operations. The company had reported a loss of Rs 6,384.26 crore in 2010-11.