BSNL Faces ₹1,800 Crore Loss Over Billing Oversight, Highlights Telecom Sector Challenges
New Delhi, July 1, 2025 – Bharat Sanchar Nigam Limited (BSNL), once a cornerstone of India's telecom industry, is now grappling with significant financial losses due to a decade-long billing oversight. According to a recent Comptroller and Auditor General (CAG) report, BSNL failed to issue invoices to Reliance under a 2014 infrastructure-sharing agreement, resulting in an estimated ₹1,800 crore revenue shortfall.
The agreement, which allowed Reliance to use BSNL's telecom towers to facilitate Jio's network rollout, was expected to boost the public sector company's revenue. However, the lack of proper billing and accountability has raised serious concerns about BSNL's operational efficiency and oversight mechanisms.
A Troubled Trajectory
BSNL, once the leader in India's telecom sector, reported annual profits of over ₹8,000 crore in 2004. However, policy decisions and market disruptions have steadily eroded its market position. Critics allege that government policies favoring private entities have accelerated BSNL’s decline, allowing companies like Reliance Jio to consolidate market share.
Broader Industry Implications
The oversight has drawn attention to the larger challenges facing India's telecom sector, including regulatory inconsistencies and the impact of privatization on public-sector enterprises. With BSNL struggling to compete against private operators like Airtel, Vodafone Idea, and Jio, questions are being raised about the balance between fostering innovation and safeguarding public assets.
Calls for Accountability
Telecom industry experts and stakeholders are urging greater transparency and accountability in managing public-sector enterprises. The CAG report has spurred demands for an investigation into the lapses and a re-evaluation of policy frameworks to ensure fair competition and financial sustainability for state-run entities.
As India’s telecom sector continues to evolve, the BSNL-Reliance billing controversy underscores the need for robust governance and equitable market practices to support the growth and stability of the industry.
