Setting aside BSNL, India Post opts for private telecom operators for providing mobile connections, reveals RTI

Overlooking the state-run Bharat Sanchar Nigam Ltd (BSNL), the Department of Posts has rather opted for private telecom players, including Vodafone, Bharti Airtel and Reliance Jio for providing mobile connections to its employees.

In response to an RTI filed by Arif Jwadder, for about 4,487 connections, a sum of Rs 4.5 lakh was paid to private telecom service providers on a monthly basis, News18 reported.

The 2018-19 annual report of the Department of Posts stated that as on 31 March 2019, more than 38,000 mobile phones were bought. This means the total amount paid by the India Post to private players to a staggering Rs 4.16 crore annually.

Vodafone accounted for the lion’s share i.e. a little more than 73 per cent of the total connections.

This comes at a time when BSNL’s loss swelled to about Rs 39,080 crore during the April-December 2019 period.

It should be mentioned here that the central government had launched a plan in order to provide smartphones to postmen to facilitate door-to-door banking by India Post Payment Bank.

Meanwhile, the revenue deficit of the India Post has also increased. According to available repo6, India Post spends on an average Rs 12 on each postcard but realises just 50 paise from it. In the same vein, its recovery is only half of the average parcel service cost

The revenues have also taken a hit thanks to dropping volumes of letters and parcels which have given way to phone calls, e-mails and courier companies.