BSNL’s Mega Plan: 2 Lakh New 4G Sites to be Installed at a Cost of ₹77,000 Crore
State-owned telecom company Bharat Sanchar Nigam Limited (BSNL) is currently preparing on a large scale to expand its network. To this end, the company may invest approximately ₹77,000 crore over the next five years. A significant portion of this amount could be raised through asset monetization. The plan focuses on installing 2 lakh 4G sites across the country, strengthening the network, and launching 5G services in select high-traffic and strategic areas. The government expects to raise substantial funds through asset monetization during the current and upcoming financial years.
New 4G Sites
The Department of Telecommunications’ (DoT) five-year investment plan proposes a massive boost to BSNL’s network. Under this initiative, the company will expand its existing telecom tower network and install an additional 2 lakh 4G sites. According to Moneycontrol, the company will focus on continuously enhancing its coverage and network capacity. The new towers and sites will be equipped with more advanced technology compared to previous installations.
Funds to be Raised via Asset Monetization
To fund the proposed ₹77,000 crore investment, BSNL expects to raise capital through asset monetization alongside government support. Discussions regarding this are ongoing between the Department of Telecommunications and the Ministry of Finance. The government believes that BSNL now has a robust pipeline of projects suitable for asset monetization. The proceeds from this can be utilized for network expansion and capital expenditure.
Targeting Operational Break-even by FY2029
One of the objectives of this major investment is to bring BSNL to an operational break-even position by the financial year 2028-29 (FY29). The operational break-even point is the level of sales or production where total operating revenue equals total operating costs. Additionally, there are plans to expand the company’s network coverage to approximately 98 percent nationwide. In the 2024-25 fiscal year, BSNL undertook capital expenditure (Capex) of around ₹26,022 crore—reportedly the highest in the company’s history—with a special focus on 4G networks, the modernization of power infrastructure, and the expansion of the fiber network.
Focus on 5G After 4G
To expand its 4G network across the country, BSNL has placed orders with TCS and the state-owned company ITI for over 26,300 4G BTS sites. By the end of April, the company had installed 105,290 indigenous 4G sites. Furthermore, the rollout of 5G services has already commenced in Delhi.
Mobile Business Grows Despite Losses
BSNL reported a loss of ₹1,280 crore for the first quarter of the fiscal year; however, this marked a reduction compared to the ₹1,419 crore loss recorded in the previous quarter. The company’s revenue rose by 4.2 percent year-on-year to ₹5,306 crore. The mobility business also saw a 12 percent increase, reaching ₹2,282 crore. By the end of the quarter, BSNL’s mobile subscriber base had reached approximately 9.3 crore.
