MTNL to offer services abroad -- Board

MTNL to offer services abroad -- Board
UNITED NEWS OF INDIA

NEW DELHI, DECEMBER 12: In a significant development, Mahanagar Telephone Nigam Ltd (MTNL) has been empowered to provide telecom services within and outside India by way of joint venture or partnership and to fix, modify, increase or decrease tariffs for any of the services provided by the company.

The tariff fixed, modified, increased or decreased will be subject to the policy of the government and directives and regulations of the Telecom Regulatory Authority of India (TRAI), according to an amendment in the memorandum of association and articles of association of the company effected in an extra ordinary general meeting late last month.

The amendments form part of the enhanced autonomy and delegation of powers granted to the MTNL as a ``navratna'' publilc sector enterprise to incur capital expenditure on new items or for replacement without any monetary ceiling and to enter into joint ventures in India or abroad, MTNL sources said. The amendments have enabled the mtnl to buy back its own shares. Theboard of directors has been empowered to form a subsidiary company or joint venture company in india or abroad and to obtain by purchase or other arrangements technology and know-how to make purchases and contracts of major nature involving substantial capital outlay.

The sources said that in terms of the enhanced powers vested in the company, the board of directors has approved the business plan for MTNL to have a strategic alliance with it industries for developing software packages relating to telecom industries and to explore the possibility to enter into strategic alliance with various telecom companies for expanding its operations in India.

For this purpose, the board has decided to appoint a reputed international consultant for preparation of business plan to increase the value of mtnl stock both in India and abroad and to ensure optimal utilisation of its resources.

The future plans of MTNL for providing ervices, internet access, virtual private network, telecommuting, distance learning,e-commerce applications and mobile services based on gsmtechnology have also been approved by the board, the sources said.

The board of directors has also approved the proposal for revision of internet tariff which includes a night and day usage package, monthly usage plan and reduced tariffs for TCP/IP pstn dial up plans as well as the proposal for internet tariff from internet kiosks. Also approved by the board is the formation and incorporation of a subsidiary company called Millennium Telecom Ltd and formation of a search committee of the board for selection of a young and dynamic managing director to head the subsidiary company.

The board has for the first time excercised its enhanced powers and approved the proposal for incurring capital expenditure exceeding Rs 20 crore for installation of 40k ocb type equipment.