IVO of Finland has been selected as technical consultant, which would prepare feasibility report for the corporation's plan to diversify into telecom sector, Powergrid chairman and managing director R P Singh said.

``We have forwarded the name of the consultant for World Bank approval and we expect to award the contract by the year-end to the multinational firm,'' Singh said.

The consultant would work out modalities for Powergrid entering the telecom sector either by setting up a joint venture company or settle only for a partner, corporation sources said. Singh said, the consultant had to submit the report within six months . IVO would also work out the tariff and other technical matters relating to the corporation going into the new area, the sources said adding Powergrid would go in for governmentapproval with a firm package for entering into telecom.They said the consultant fee would also be paid by the WB that amounts to about three million dollars.

Asked about Powergrid's plan to lend its optical fibre network at the Itarsi-Jabalpur junction to Bharati Telecom for its basic telephony operations, Singh said ``we are still negotiating with the private company over the rental and other charges.''