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©BSNL, India For Internal Circulation Only 1

Chapter-5

TR Billing, Accounting & Outstanding Pursuit



TR Billing, Collection and Accounting

Introduction to Telecom Services of BSNL

BSNL, fully owned by Government of India, formed in October 2000, provides telecom

services across the length and breadth of the country excluding Delhi and Mumbai. BSNL is

providing all types of telecom services namely telephone services on landline, WLL and

GSM mobile, Broadband, Internet, leased circuits and long distance telecom service. Rural

telephony is one of its focus areas. BSNL also pays special emphasis on development of

telecommunication facilities in North-Eastern region and in tribal areas. BSNL had a

turnover of $ 14125 crore during the year 2014-15 (upto September).

BSNL has installed Quality Telecom Network in the country and now focusing on improving

it, expanding the network, introducing new telecom services with ICT applications in villages

and winning customer's confidence. It has about 377 lakhs capacity in wireline, 84 lakhs

capacity in WLL, 860 lakhs capacity in mobile, 99 lakhs capacity in broadband, 41584

in capacity in FTTH , more than 37382 fixed exchanges, 18000 BTS, 287 Satellite

Stations, as on 2014-15

BSNL cellular service, CellOne, has more than 81.17 million cellular customers, garnering 8

percent of all mobile users as its subscribers. In basic services, BSNL is miles ahead of its

rivals, with 17 million Basic Phone subscribers i.e. 62 per cent share of the subscriber base.

BSNL has more than 20 lakhs WLL subscribers and 2.5 million Internet Customers who

access Internet through various modes viz. Dial-up, Leased Line, DIAS, Account Less

Internet (CLI). BSNL has been adjudged as the NUMBER ONE ISP in the country.

BSNL has set up a world class multi-gigabit, multi-protocol convergent IP infrastructure that

provides convergent services like voice, data and video through the same Backbone and

Broadband Access Network.

During the year 2014-15, the company incurred a loss of Rs.8234.09 Crores [Previous year

7,019.76Crore]. While the Income from services is Rs.27242.23 Crores [Previous year Rs.

26,153.26 Crore], other income was Rs. 1402.97 Crores [Previous year Rs. 1,843.09 Crore].

There was an increase of 4.16% in Income from services in comparison to previous year, the

other income decreased by 23.88%. There was an increase of 2.32 % in the total Income in

comparison with the previous year. The positive revenue growth of 2.10% in the year under

review in comparison to previous years is testimony to the turning around of the Company.

However, the operational needs are being through internal cash accruals.



Today, BSNL is operating in a highly competitive Indian telecom market. There are a

number of licensed telecom service providers in all segments like landline, mobile, long

distance, ILD and internet.

The technology for provision of telecom services is undergoing significant and fast changes

world over and the same situation prevails in India too. The presence of the independent

regulator namely the Telecom Regulatory Authority of India and the dispute settlement

tribunal like TDSAT (Telecom Dispute and Settlement Appellate Tribunal) to regulate and

stabilize the competitive environment ensure uniform operating conditions for all service

providers and assure quality services to customers. The Department of Telecommunications

of the Government of India continues as the licensing authority for all service providers.

The Quality of Service parameters fixed by the regulator (TRAI) are to be adhered to by all

operators and these cover technology, billing and other quality aspects.

UNIVERSAL SERVICE OBLIGATION FUND: - The Universal Service Support Policy

came into effect from 1.4.2002. The Indian Telegraph (Amendment) Act 2003 gives statutory

status to the Universal Service Obligation Fund (USOF). The Fund is to be utilized

exclusively for meeting the Universal Service Obligation. Credits to the Fund shall be

through Parliamentary approvals. The Rules for administration of the Fund have also been

notified on 26.3.2004. The USO Fund is headed by the Administrator, USF who is

empowered to formulate procedures for implementation of the USO and disbursement of

funds from the USOF. His office functions as an Attached office of the Department of

Telecom, Ministry of Communications & IT. The Universal Service Levy is presently 5% of

the Adjusted Gross Revenue (AGR) of all telecom service providers except the pure value

added service providers like Internet, Voice Mail, E-Mail service providers etc. The

Universal service obligations have significant influence on the operations, revenues and costs

of all service providers, and specially on BSNL which provides and maintains the maximum

VPTs.

TARIFFS IN COMPETITIVE CONDITIONS: - Unlike the monopoly Government era,

there is no stable tariff environment in the Indian telecom market today. The competitive

dimension and the regulatory conditions have together made all service providers to fix and

revise their tariffs duly taking into account the limits and conditions set by TRAI, the tariffs



of the other competitors, the need to retain existing customers and the need to attract

customers away from competitors.

In BSNL also, CGMs and SSA Heads are being delegated more and powers for this purpose

to enable them to counter the competitive pressures and retain and enhance BSNL's customer

base.

Suitable customer segmentation and appropriate and distinctive treatment for each segment is

also being introduced for the same purpose.

Such fast technological changes and new business strategies in BSNL need new orientation

for the TR Billing, accounting and collection machinery also.

A brief description of the telecom services provided by BSNL is given below. The reader is

expected to check up and update himself on the latest position in respect of the Statistical and

tariff details given in this manual – since these are subject to periodical changes.

Basic Services

BSNL is the largest telecom operator in India and is known to everybody for Basic

Telephony Services for over 100 years. Presently the Plain old, Countrywide telephone

service is being provided through 32,000 electronic exchanges, 326 Digital Trunk Automatic

Exchanges (TAX), Digitalized Public Switched Telephone Network (PSTN) all interlinked

by over 2.4 lakh km of Optical Fiber Cable, with a host of Phone Plus value additions to our

valued Customers. BSNL's telephony network expands throughout the vast expanses of the

country reaching to the remotest part of the country.

Broad Band

BSNL has commissioned a world class, multi-gigabit, multi-protocol, convergent IP

infrastructure through National Internet Backbone-II (NIB-II), that provides triple play

services through the same backbone and broadband access network. The Broadband service

is available on DSL technology (on the same copper cable that is used for connecting

telephone) in a large number of cities/towns on country-wide basis.

In terms of infrastructure for broadband services NIB-II has put India at par with more

advanced nations. The services that are supported includes: always-on broadband access to

the Internet for residential and business customers, Content based services, Video

multicasting, Video-on-demand and Interactive gaming, Audio and Video conferencing, IP

Telephony, Distance learning, Messaging: plain and feature rich, Multi-site MPLS VPNs



with Quality of Service (QoS) guarantees. The subscriber will be able to access the above

services through Subscriber Service Selection System (SSSS) portal.



Key Objectives

To provide high speed Internet connectivity (upto 8 Mbps)

To provide Virtual Private Network (VPN) service to the broadband customers

To provide dial VPN service to MPLS VPN customers.

To provide multicast video services, video-on-demand, etc. through the Broadband

Remote Access Server (BRAS).

To provide a means to bill for the aforesaid services by either time-based or volume-

based billing. It shall provide the customer with the option to select the services

through web server

To provide both pre-paid and post paid broadband services

Technical Capability of the Backbone

The Broadband Service is given through the state of the art Multi Protocol Label Switching

(MPLS) based IP Infrastructure, which is designed to provide reliable routes to cover all

possible destinations within and outside the country. Layer-1 of the network consists of a

high speed Backbone comprising of 24 powerful Core Routers connected with high speed 2.5

Gbps(STM-16) links. The routers are located on the national DWDM network interfacing at

STM-16 optical level to provide for high transmission speeds. Layer-2 of the network

consists of approx. 100 routers through which the customers access services like

MPLS/VPN, content etc.

MPLS VPN is a technology that allows a service provider like BSNL to have complete

control over parameters that are critical to offering its customers service guarantees with

regard to bandwidth throughputs, latencies and availability.

Services available through Broadband

High speed Internet Access: This is the always-on Internet access service with speed

ranging from 2 Mbps to 8 Mbps.

Bandwidth on Demand: This will facilitate customer to change bandwidth as per his / her

requirement. For example a customer with 2 Mbps can change to 4 Mbps during the IP TV

session.

Multicasting: This is to provide video multicast services for application in distance

education, telemedicine etc.



Dial VPN Service: This service allows remote users to access their private network securely

over the NIB-II infrastructure.

VPN on Broadband: This facilitates access of VPN using existing Broadband connection.

Video and Audio Conferencing

Content based Services: Like Video on Demand, Interactive Gaming, Live and time shifted

TV to use Broadband the customer needs.

BSNL's Bfone (Basic phone) connection Personal Computer with 10/100 Ethernet Port /

USB Port ADSL CPE (Customer Premise Equipment). This can be taken from BSNL at

nominal rental per month or can be purchased outright.

Wireless in Local Loop (‗Tarang‘)

This is a communication system that connects customers to the Public Switched Telephone

Network (PSTN) using radio frequency signals as a substitute for conventional wires for all

or part of the connection between the subscribers and the telephone exchange.

Countrywide, WLL is being offered by BSNL in areas that are non-feasible for the normal

wired network thus helping to relieve congestion of connections in the normal cable/wire

based network in urban areas. The other features / uses of this CDMA technology based

system are -

Connecting the remote and scattered rural areas.

Limited mobility provided without any air-time charge

Cellular Mobile Service

Countrywide Post-paid Cellular Service (Under the brand Name : CellOne)

Pre-paid Card (Under the brand name: ExCel)

BSNL‟s GSM cellular mobile service has a customer base of over 793 lakhs. Subscriber can

use BSNL cellular service in over 160 countries worldwide and in 270 cellular networks and

over 1000 cities, towns and highways across India. The cellular services and basic services of

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different operators are interconnected with each other according to interconnect agreements

entered into between them.

Internet

BSNL is providing Internet service throughout the entire country - except Delhi and Mumbai

- under the brand name of “Sancharnet". Sancharnet provides free all India roaming and

enables it's users to access their accounts, using the same access code (172233) and user ID

from any where in the Country.

BSNL provides the following types of connections to access Internet to customer

PSTN dial up access

BSNL internet service offers flexible options of access plans for PSTN dial-up in various

slabs of 25,50,100, 200, 500 and 1,000 hours. With Sancharnet dialup account customer can

get all India roaming advantage by dialing '172233' from any city in India. The speed of this

facility is 64 Kbps and it utilizes existing PSTN network upto the premises of the customer.

ISDN dial up access

The speed of ISDN access is 128 Kbps. The uniform all India access no. for ISDN access is

'172225'. With ISDN both voice call and internet can be enjoyed simultaneously. In case

both are used simultaneously speed will be 64 Kbps. The ISDN dial-up internet access is an

extension of the ISDN technology usage and the further details of the same are given in a

succeeding paragraph.

Leased Line Access

One can enjoy round the clock internet connectivity at speeds varying from 64 Kbps to 45

Mbps. various plans are available to suit different needs. ISDN dial backup packages for

Internet Leased Line Customers are also available

Direct Internet Access (DIAS) Service

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BSNL also provides DIAS in selected cities of the Country. The DIAS offers a wire-line

solution for high speed symmetrical Internet access on the existing telephone lines. It

provides an "always on" internet access that is permanently available at customer's premises.

DIAS combines voice and internet data packets on a single twisted pair wire at subscriber

premises which means the customer can use telephone and surf internet at the same time.

Account free Internet dial up access based on CLI

Duration based Dialup Internet Service(CLI based) is a unique method providing Internet

service in which the Customer can access the Internet service from any telephone through

dial up. The service allows automatic registration on first LOGIN. The authentication will be

based on CLI of the telephone with the password supplied by the caller. The charging is

totally usage based and the service is a post paid service like normal PSTN. The billing will

be (separate) based on the duration of use and will be charged to telephone bill(CLI based) as

Internet access charge at the prescribed rate. The service is available in selected cities. The

access no. of this service is '172222' in all cities.

Wi-Fi (Wireless Fidelity)

Wi-Fi Hotspots are Wireless access points for Internet around key public sites, such as hotels,

airports, bars and coffee shops. Wi-Fi Services have been introduced for providing high

speed internet access at such convenient public locations called Hot Spots. The wireless local

area network (WLAN) will allow people with laptops and a wireless LAN PC cards to send

and receive data at broadband speed - as long as they are close to one of these "hotspots".

A pilot Wi-Fi project was launched in Kolkata airport. Now, BSNL has initiated the

installation of Hot Spots in various cities/ locations. Hot Spot Type-A is applicable for public

utility services like Airports, Railway Stations, Universities and their campus etc. BSNL has

post-paid and pre-paid plans for Public utility Wi-Fi. The tariffs and plans are mentioned

below.

Plan Name Price(inclusive of service tax)

Data Volume

with one day validity

BSNL Wifi 30 Rs 30/- 200 MB,With one day validity



http://bsnl.co.in/service/internet_tariff_dias.htm#cities



BSNL Wifi 150 Rs 150/- 1.5 GB,With one day validity

WiMax

A standard based wireless technology, WiMAX provides high-throughput broadband

connections over long distances. The technology can be used for a number of applications,

including "last mile" broadband connections, hotspot and cellular backhaul, and high-speed

enterprise connectivity for businesses.

An implementation of the IEEE 802.16 standard, WiMAX provides metropolitan area

network connectivity at speeds of up to 75 Mb/sec.

WiMAX systems can be used to transmit signal as far as 30 miles. However, on an average a

WiMAX base-station installation will likely cover between three to five miles.

Low network investment costs is one of the factors that make WiMAX an attractive

technology. By 2009, In-Stat forecasts that approximately three percent of total broadband

subscribers worldwide will be using WiMAX-based broadband wireless access services.

Sancharnet Card

BSNL has also launched "SANCHARNET CARD" which is a pre-paid Internet Access Card

with following features for customers:

Self-register for internet access with your choice of user id

Renew your existing Sancharnet Account

Webfone

BSNL has started the Internet Telephony service also under the brand name, „webfone‟.

Using this subscriber can make calls to a person in UK, USA, Canada and many other

countries for as cheap as Rs. 4.50/- per minute.

Web hosting and Web co-location services

BSNL also offers Web hosting and co-location services at very cheap rates.



ISDN

ISDN Has emerged as a powerful tool worldwide for provisioning of different services like

voice, data and image transmission over the telephone line through the telephone network.

ISDN is being viewed as the logical extension of the digitalization of telecommunication

network and most developed countries are in different stages of implementing ISDN.

An ISDN subscriber can establish two simultaneous independent calls (except when the

terminal equipment is such that it occupies two 'B' channels for one call itself like in video

conferencing etc.) on existing pair of wires of the telephone line (Basic rate ISDN) where as

only one call is possible at present on the analog line /telephone connection. The two

simultaneous calls in ISDN can be of any type like speech, data, image etc. The call setup

time for a call between two ISDN subscribers is very short, of the order of 1 to 2 seconds.

ISDN also supports a whole new set of additional facilities, called Supplementary Services.

Integrated Services Digital Network Service of BSNL utilizes its digital network for

providing high speed and high quality voice, data and image transfer over the same line. It

can also facilitate both desktop, video and high quality video conferencing.

Note: Please see ISDN dial up access in pre-pages.

Leased Lines & Datacom

To transmit data between computer and electronic information devices, BSNL provides data

communication services to its subscribers. It offers a choice of high, medium and low speed

leased data circuits as well as dial-up lines. Bandwidth is available on demand in most of the

cities. Managed leased Line Network (MLLN) offers flexibility of providing circuits with

speeds of n x 64 Kbps up to 2 Mbps. Useful for internet leased lines and international

principle Leased Lines (IPLCs). For dedicated point to point speech, private wire, tele-printer

and data circuits are given on lease basis. Leased circuits are provided to subscribers for

internal communication between their offices/factories at various sites within a city/town or

different cities/town on point to point basis, or on a network basis interconnecting the various

sites

Services

Point to Point Data Circuits - Local and Long Distance

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Private Data Network

Closed User Group

Telegraph and Tele-printer Circuits

International Leased Circuits

Value Added Services on Intelligent Network

To harness the rewards of telecom revolution, BSNL has introduced value added services in

the form of intelligent network.

This technology makes possible, time and cost effective services, optimized solutions,

meeting the exact needs of the customers and bringing in additional business for BSNL and

its business oriented customers.

Intelligent Network Service (In Service) offers value-added services, such as:

Free-phone Service - Call charges paid by the called person. Ideal for service and

Tourism industry.

Premium Rate Service - A great tool for professionals to sell priced

information/consultation on phone.

Indian Telephone Card - A pre-paid facility for making local, STD or ISD calls from

any telephone.

Virtual Private Network - Normal telephones programmed to work as cheaper and

flexible - nationwide - private network.

Universal Number - A unique number nationwide.

Tele voting - for conducting opinion polls and surveys using BSNL network.

Account Calling Card - those who want to have a permanent account with BSNL can

make use of this service. This is similar to India Telephone Card.

Audio and Video Conferencing Services:

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http://bsnl.co.in/service/fph.htm

http://bsnl.co.in/service/prm.htm

http://bsnl.co.in/service/itc.htm

http://bsnl.co.in/service/vpn.htm

http://bsnl.co.in/service/un.htm

http://bsnl.co.in/service/in_network1.htm#1

http://bsnl.co.in/service/acc.htm



BSNL is launching audio and video conferencing service across the country, for its own

subscribers. Video conferencing service is being launched in 94 cities and audio

conferencing will be available in the entire service area of BSNL. Wherever video

conferencing is available, there will be a studio facility where general public can avail of

video conferencing service. Video conferencing service allows multiple participants to

converse with each other regardless of their location through video end-points or personal

computers. The service involves audio and video communication. A video conference

subscriber can add one or more participant on demand or by scheduling through the Web.

The video conferencing service can be availed by any user through IP or ISDN interface.

For video display, television screen, projector or computer screen can be used. Any

conference scheduled can have both Dial-in and Dial-out participants on either IP or ISDN.

The customer can procure the video end-point from the market. Personal computer users can

download the software " PVX" from BSNL' s video conferencing portal to avail the facility

with their webcam.

Regular tariff is shown below

Monthly charges Audio conference Video Conference

FMC Rs 25 Rs 200

Bridge Usage

Charges NIL

No of participants Session length charges in (Rs.)

0-3 Rs 10/Min Rs. 200/ per MCU



21-30 Rs 20/Min Rs. 1000/ per MCU

Each Pulse Duration of 15 min

Audio conferencing allows multiple participants to converse with each other regardless of

their location through normal fixed line telephone or cellular phone. All audio conference

subscribers can add two or more participants in a particular conference. The customers can

schedule their audio conferences through the Web or through IVR. - The service can be

availed of through Cellular, WLL, or landline handset. On demand conferences can also be

made. The caller who initiates the conference can also invite users one by one in the

conference without using the web. He/She has to dial a number followed by certain code and



the called party number for doing a conference call. A meeting room can also be created in

which members can call anytime to be part of a conference.

Telecom Technologies are constantly improving and BSNL introduces more and more

services and improves existing services. The Telecom revenue accounting Units need to keep

themselves conversant with the new services, to enable them to render efficient service in

their units.



BASIC TARIFF

Basic Tariff

Particulars

Standar

d Package

General Alternative Package for Rural

Alternative package for Rural and Urban both

BSNL BSNL BSNL

Rural Rural Urban Economy (OLD)

Specia

l (OLD)

Economy

Special Special plus

Super Premium

Sulabh One India

A. Registration Charges

Rs.500 (only in case of waiting list)

B. Security Deposits

The security deposit can be increased in case of higher usage or defaults

a) Local+STD Rs. 500

b)

Local+STD+ISD

Rs. 2000

C. Installation Rural 550 Urban 600 (CLIP instrument charges at the time of new connection Rs 600 in both the cases)

Particulars

Standar

d Package

General Alternative Package for rural

Alternative package for Rural and Urban both

BSNL BSNL BSNL

Rural Rural Urban Economy (OLD)

Specia

l (OLD)

Economy

Special Special plus

Super Premium

Sulabh One India

D. Monthly fixed charges in Rs #



Exch system

capacity & <999 70 140 180 195 695 355 495 995 1495 2495 110 220

between 1000

and 29999 120 160 180 - 695 355 495 995 1495 2495 110 220

between 30000 and 99999

200 195 220 - 695 355 495 995 1495 2495 140 220

100000 lines and above

280 195 220 - 695 355 495 995 1495 2495 140 220

# a)Subscribers can avail annual/Bi-annual/Tri-annual payment option facility for all existing plans of LandLine/WLL by paying fixed monthly chages

of 11 months/21 months/30 months in advance against 12 months/24 months/36 months of fixed charges otherwise payable.

E. Free Calls (in MCU/month) #

Exch system

capacity & <999

60

OnNet- 75

Offnet - Nil

OnNet-90

Offnet - Nil

150 700 225 400 1000 1500 3000 0

OnNet-

110 Offnet -

Nil

between 1000 and 29999

OnNet-

75 Offnet -

Nil

OnNet-

90 Offnet -

Nil

between 30000

and 99999

OnNet-

100

Offnet - Nil

OnNet-

110

Offnet - Nil

100000 lines

and above

OnNet-100

Offnet - Nil

OnNet-110

Offnet - Nil

Additional Facility

N.A Unlimited Free calls between 9 PM to 7 AM on Landline and Mobile of any network within INDIA N.A

Unlimite

d Free calls

between



9 PM to

7 AM on Landline

and Mobile

of any network

within INDIA

Unit Call Charges(Including free calls) in Rs.

Call charges after free calls

First 300 MCU

pm 0.80 Rs

1.00(On-Net)

and Rs 1.20(Off

-net)

Rs

1.00(On-Net)

and Rs 1.20(Off

-net)

1.20 1.10 1.20 1.10 1.00 0.90 0.80 1.20

Rs

1.00(On-Net)

and Rs 1.20

(Off-Net)

> 300 1.20

Unlimited Tariff Packages for Landline :

Particular

Applicable for : ( Urban area SSAs having L/L

equipped Capacity <1,00,000 / All Rural areas

irrespective of capacity )

Applicable for : (Urban area SSAs having L/L equipped Capacity > 1,00,000 )

Plan Name UL-350 UL-500 UL-450 UL-600

Plan Charges 395 545 495 645

Call Charges (in Rs)

BSNL Fixed Line

(Within Same Circle and Outside Circle)

Unlimited Calls /No charge

BSNL Mobile


0.60 Unlimited Calls /

No charge 0.60

Unlimited

Calls /No charge



Other Operator's network


1.00 1.00 1.00 1.00

Pulse 60 sec

Additional Facility Unlimited Free calls between 9 PM to 7 AM on Landline and Mobile of any network within INDIA

Election Special Landline Plan:

Particular Description

Plan Name Election Special Landline Plan 1500

FMC Rs.1500/-

Free Calls 1500 MCU on land line & mobile of any network within India

Call Charges after free

MCUs Rs.1.00/MCU on landline & Mobile of any network within India

Registration Charges Rs.500/-

Installation Charges Rs.600/-

Clip Instrumentation Charges

Rs.600/-(Including Tax)

Advance Rental for Two Month

Rs.3000/-

Minimum Hiring Period 2 Months

Note:- If hiring period is more than two months, then advance rental shall be charged for whole period.

Pulse rate (in seconds)

Particular

BSNL Network Other Network

Fixed /WLL (except 10

digit numbers)

Cellular /WLL (10 digit

numbers)

Fixed /WLL (except 10

digit numbers)

Cellular/WLL (10 digit

numbers)

Local and Intra circle calls 120 60 60 60

Inter Circle Calls 120 60 60 60

Financial implications per month (in Rs.)

MoUs (Minutes Standard PackageGeneral Alternative Package for rural Alternative package for Rural and Urban both



of Usage) BSNL BSNL BSNL BSNL BSNL BSNL BSNL BSNL BSNL

Rural Urban Economy(OLD)

Special (OLD) Economy

Special

Special plus

Super Premium

Sulabh

100 172 227 169 730 337 478 1096 1629 2753 214

200 225 293 179 730 337 478 1096 1629 2753 293

300 278 359 258 730 352 478 1096 1629 2753 372

400 357 438 337 730 432 478 1096 1629 2753 452

500 436 517 416 730 511 478 1096 1629 2753 531

1000 832 913 812 823 907 841 1096 1629 2753 927

2000 1623 1705 1604 1548 1698 1567 1592 1706 2753 1718

Calls originating from BSNL Bfone and WLL:

Pulse rate(In sec)

Calls made from adjacent SDCA to Delhi

MTNL/other

Fixed Cellular/WLL*

60 60

Note : * If subscriber opts for advance rental option in combo plans for 1yr/2yr/3yr then additional discounts of Rs 250/- will be given. * CLIP Instrument Charges:- 600/- as replacement cost with Clip Instrument on subscriber request.


©BSNL, India For Internal Circulation Only

20

ARD/SD are being collected from the customers/corporates based on the scheme chosen by

them (sometimes in installments, sometimes with minimum amount etc). There a no of

schemes being announced by the Circles from time to time.

The ARD may be taken in lump-sum or alternatively within a period of 6 months, either

monthly or bimonthly in billing, as per billing cycle of the telephone on the request of

subscriber.

114-13/2004-Comml dated 24-07-2007.

CENTREX

In supersession of Circular No.106-5/92-PHC (Pt.) dated 15 th November 1999, following

conditions are prescribed for the provision of centrex facility:-

(i) The individual subscribers seeking centrex facility may not belong to the same

group or organization.

(ii) The registration amount, initial deposit, monthly rental, installation charges, etc. for

DELs under centrex shall be same as normal DEL.

(iii) The monthly plan charges shall be levied on each DELs covered under Centrex as

under:

A) Centrex facility to CIC's/ Corporate customers/ Multistory complex /Housing

Societies etc.

Particular Fixed monthly charges (Rental & Plan Charges)

Upto Rs 200 > Rs 200<=Rs 500 >Rs 500

Size of Centrex group Centrex Charges per DEL /month (in Rs)

5-15 75 60 0

16-50 60 40 0

51-100 40 25 0

100-500 25 0 0

> 500 0 0 0

Note :

The above Centrex charges will not be levied fro CIC/Corporate customer whose annual revenue is

more than Rs. 4 lakhs with combined billing wherever technically feasible.

(B) Rent free incoming connections: In addition to above, rent free connection for corporate

customers, housing societies, multistory complex etc shall also be provided for the use of incoming

calls and making calls to other centrex members subject to fulfillment of following conditions :

Size of the Centrex Group Rent Free incoming connection

15-25 01

26-50 02



21

51-100 03

The security deposit, fixed monthly charges, installation charges, free calls etc shall be same as

applicable to normal DEL. Click here for details

All intra centrex calls shall be free.

The free monthly call shall be allowed on the DELs covered under the centrex.

There is no upper limit on the number of members in the centrex group.

The Dels belonging to public services like, call centers, enquiry numbers, ISP Dial in numbers,

paging service numbers, PCO holders shall not be part of the Centrex group.

The above charges are applicable with effect from 1st February 2007.

(C) Centrex facility to trade related group, which are identified/authorised by respective

associations like medicine,Hardware,Sanitary,Doctors,Lawyers and General Store etc.

Size of the

Centrex Group

Monthly plan charges for

Intra circle

(in Rs.)

Monthly plan charges

for Inter circle

(in Rs.)

Monthly plan

charges for SDCA

(in Rs.)

Less than 25 75 150 50

More than 25 90 180 60

2.The Centrex facility is available on WLL (Fixed) and WLL (Mobile) also subject to technical

feasibility. The tariff shall be same as applicable on fixed line.

The following condition are prescribed for the provision of Centrex facility:

The registration amount, initial deposit, monthly rental, installation charges, etc for DELs under

Centrex shall be same as normal DEL.

The monthly plan charges shall be levied on each DELs covered under Centrex as under:

Number of DELs in Centrex Fixed Monthly Centrex Plan charges

2 Rs. 50 per DEL

3 Rs. 75 per DEL

4 & above Rs. 100 per DEL

All intra Centrex calls shall be free.

The free monthly call shall be allowed on the DELs covered under the Centrex.

There is no upper limit on the number of members in the Centrex group.

The option of consolidated billing, payment and discount, under the " Corporate Account

Holders scheme" where applicable, may be provided to the groups or organizations covered

under the Centrex.However, the condition of combined billing for all the DELs covered therein shall

be mandatory. In other words, wherever technically feasible to generate single/consolidated

billing/payment the Centrex feature shall be offered, otherwise it will not be provided. However,

existing Centrex groups may continue even without consolidated billing/payment.

http://www.bsnl.in/opencms/bsnl/BSNL/services/landline/tele_tariff.html



22

The DELs belonging to public services like, call centers, enquiry numbers, ISP Dial in numbers,

paging service numbers, etc., besides franchises, PCO holders shall not be part of the Centrex

group.

Provision for Free Centrex facility to CIC‘s

It has been decided by the competent authority to delegate the powers to CGMs for providing

free centrex facility to Commercially Important Customers (CICs)/ corporate Customers of

BSNL subject to the condition that there should be minimum 50 connections and revenue of

Rs.4 Lakhs per annum with group billing.

(BSNL HQ No.105-2/2003-Comml. Dt. 11-5-2005)

In continuation to this office circular No.105-2/2003-Comml. dt. 11-5-2005, the competent

authority has decided that CGMs may offer free Centrex facility within the Single Exchange

area to commercially important customers without insisting for group (consolidated) billing.

(BSNL HQ No.105-9/2004-Comml. Dt. 23-8-2005)

Rationalization and Popularization of Centrex facility in the BSNL Network for

CIC/Corporate Customers-reg

Numerous proposals have been received from field units for providing free Centrex facility to

CIC/corporate customers who are giving substantial revenue to BSNL. In this regard the

competent authority has decided to provide Centrex facility or CUG facility to

CIC‘S/Corporate customers served from one exchange and its RLU or within SDCA

wherever technically feasible as under:



23

Provisioning of all b-fone tariff plans to the customer under free EPABX Scheme

BSNL had launched a scheme of free EPABX for the provision of Voice & Data EPABX

Systems to our corporate/commercially Important Customers. BSNL provides revenue share

to EPABX manufacturer for rental and usage. Under this scheme, franchisee supply, install

and maintain the EPABX while BSNL provides free of cost connectivity through PRI/E1.

Presently franchisee is given 60% share of the rental and Rs.0.20/MCU on the usage. There

are two types of customers under free EPABX scheme.

1. Corporate: The PRI plans are offered and single bill is issued.

2. Group Housing Societies: Individual bills to subscribers are provided.

It has been requested by some circles that the individual end users (in residential

complexes/Housing Societies/Multistoried buildings) are demanding different b-fone (viz.

Economy, Super etc.) plans of BSNL, which presently are not being offered under this

scheme.

The case has been considered at BSNL HQ and it has been decided to extend all b-fone tariff

plans to individual subscribers (end users) under free EPABX scheme. In such cases

following revenue sharing arrangement with the EPABX franchisee under free EPABX

scheme shall be applicable:

(a) Revenue share for Special Plan:

1. On Rental: In case, in any of the special plan viz Alternative Plan offered, the

rental portion is zero, no revenue share shall be payable on rental to franchisee.

2. On Usage: On usage 20% revenue share shall be extended to franchisee for usage

and call charges.

(b) Revenue share for Normal Plans:

1. On Rentals: If some subscribers want to opt for normal plan, they will pay

extension rental like Rs.60/75/100 to BSNL and existing/applicable revenue share

will be payable to franchisee.

2. On Usage: for subscribers opting for normal plans, applicable/existing revenue

share on usage will be applicable.

(c) The bills to the individual customers will be issued by BSNL based on the data

provided by the franchisee after verifying the same with the PRI call data.



24

It is requested to extend all b-fone tariff plans to the individual end users under free

EPABX scheme as per their requirement.

(BSNL HQ No.BSNL/BD/EPABX/2005 dt. 21-11-2006)

Free EPABX Scheme of BSNL

BSNL had launched a scheme of “Free EPABX” for the provision of Voice & Data EPABX

systems for Commercially Important Customers and Housing Societies. BSNL provides

revenue share to EPABX manufacturer for rental and usage. CIC/Housing societies are

supposed to provide free space, electricity, air-conditioned environment, subscriber wiring

etc. for installation of EPABX and franchisee supply, install and maintain the EPABX while

BSNL provides free of cost connectivity through PRI/E1

I has been indicated by the circles that some of the Housing Societies/complexes are not

willing to give free space, electricity, Air-conditioned, subscriber wiring etc. for the

provisioning of EPABX. However, these can be extended by RWA / Management on

chargeable basis. It is understood that competitors are offering competitive tariff, space &

electricity on chargeable basis to such Societies.

The case has been considered at BSNL HQ and following have been approved by the

competent authority for providing EPABX for such housing societies where charges are

required to be paid for space, electricity, AC, Wiring or any facility etc. by BSNL subject to

the following conditions:

1. Payment of rent for space and electricity charge as per market rate to these societies.

2. Monthly rental of Rs.150/- per connection in place of normal rental of Rs.60/- or

Rs.75/- or Rs.100/- being charged per extension under free EPABX scheme, may be

charged.

3. M/s Coral will get revenue share as per agreement only i.e. 60% of Rs.100/75/60 only

(Not 60% of Rs.150/-). M/s Coral has agreed for this arrangement.

4. The above mentioned arrangement will be applicable only if minimum 60%

connections of the EPABX capacity are taken by the customer (Housing Society).

(BSNL HQ No.BSNL/BD/EPABX/2006(Pt.) dt. 16-4-2007)

Free EPABX Scheme of BSNL-Reduction of monthly rental

BSNL had launched a scheme of “Free EPABX” for the provision of Voice & Data EPABX

systems for Commercially Important Customers and Housing Societies. BSNL provides

revenue share to EPABX manufacturer for rental and usage.



25

It has been indicated by the circles that some of the CICs/Housing Societies/Complexes

interested for taking EPABXs under Free EPABX Scheme of BSNL are requesting for

reduction in the monthly rental charges per extension.

The case has been considered at BSNL HQ and competent authority has delegated powers to

CGMs to offer discounted price on fixed monthly charges under the free EPABX scheme

subject to the following:

1. CGMs are authorized to offer a discount in fixed charges up to 50% over the existing

fixed charges under the free EPABX scheme with due concurrence of circle IFA.

2. The revenue share to the franchisee should be over the discounted rental and not on

the base price.

3. Minimum extensions under such scheme should be 500 or more.

(BSNL HQ No.BSNL/BD/EPABX/2006 (Pt.) dt. 10-5-2007)

General

The subscribers seeking telephone connection have been broadly divided into 2 categories

Urban and Rural as per the Census Report 2001 to determine the rent applicable free calls

allowed and the LCC slab.

As per instructions issued from time to time by the Corporate Office, Powers have been

delegated to CGMs in r/o Waiving ARD in bulk demand.

Exemption of SD(ARD) for bulk demand of 5 or more new connections by CICs subject to

certain terms and conditions.

In r/o b-phone, tarang, leased line services, flexibility in packaging tariff along with

generation of demand in areas where phones are available on Demand, to offer concession to

Corporate CUG/VPN Subscribers under Cellular Mobile Services.

B-FONE SERVICE BILLS

CUSTOMER INFORMATION

I Address your grievances:

1. If your complaint is not attended to your satisfaction you may contact the following

nodal officer (Public Grievances) of the SSA with your complaint reference number

and details of the complaint.



26

Name / Designation Tel. No. Fax No. E-mail

2. If grievance still remains unresolved, an appeal may be submitted to following

Nodal Officer (Public Grievances) of the Circle Office


3. Details of Customer Grievance Redressal Mechanism in BSNL is available on our

Website (Name of the Circle Website)

II Tariff details:

Please contact Nodal Officer / Call Centre / Customer Service Centres / official website

III Billing:

Payment [ Brief details of payment points (options) viz. BSNL counters, Banks,

Post Offices, Internet, other authorized agencies]

Complaints

AO (TR) Tel. No.

DGM (F) / TR Tel. No.

Notice for Disconnection:

The Telephone service is liable to be withdrawn if the bill is not paid within 15 days

from the date of issue. The incoming facility will however continue till a further

period of 15 days. This is without prejudice to taking any action that might be

taken for disconnection of the services for non-payment in time.

IV Call Centre Numbers:

All India

Circle

MOBILE BILLS

CUSTOMER INFORMATION

I Address your grievances:



27

1. If your complaint is not attended to your satisfaction you may contact the following

nodal officer (Public Grievances) of the SSA with your complaint reference number

and details of the complaint.

Name of SSA Name / Designation Tel. No. Fax No. E-mail

2. If grievance still remains unresolved, an appeal may be submitted to following

Nodal Officer (Public Grievances) of the Circle Office


3. Details of Customer Grievance Redressal Mechanism in BSNL is available on our

Website (Name of the Circle Website)

II Tariff details:

Please contact Nodal Officer / Call Centre / Customer Service Centres / official website

III Billing:

Payment [ Brief details of payment points (options) viz. BSNL counters, Banks,

Post Offices, Internet, other authorized agencies]

Complaints

Name of SSA Tel. No. of AO /JAO

Notice for Disconnection:

The mobile service is liable to be withdrawn if the bill is not paid within the due

date. The incoming facility will however continue till a further period of 5 days.

This is without prejudice to taking any action that might be taken for disconnection

of the services for non-payment in time.

IV Call Centre Numbers:

All India

Circle

REF. NO.2-38/2004/TR-CMTS/BSNL , DATE: 20-03-2006



28



29

Issue of Bill

Billing Schedule

As per BSNL Lr.No. 2-32/95-TR, dated 23.02.01, and amendment order dated 31.05.2001

and 13.08.2001



30

1. The subscribers making over 3000 calls in a month are to be billed monthly.

2. The bills will be issued on the 7th of the month for calls made up to the end of

previous month.

3. The remaining subscribers who are making calls upto 3000 in a month will be

continued to be billed bimonthly. However STD/ISD PCOs will be billed

fortnightly.

A). Issue of first bill for New line

I. DUE:

i) DEL rental (From date of installation to the last day of previous month of bill

issue).

ii) One time charge / annual rental for accessory provided with DEL.

iii) LCC charges / TC / Phonogram / OCS call charges. Internet CLI (Based)***,

other Misc. charges like damaged / directory etc. upto last day of the previous

month in which the bill is to be issued.

iv) Installation charges of DEL and for accessory if any.

v) One year advance rental for NOYT connection / Installation amount of ARD

vide Topic I/2 (B) r/w Note 4 of this Topic

vi) Service tax on item (i) to (iv) Total (i to vi)\

II. Credits

i) Initial NOYT deposit (Registration Charge) paid if any

ii) Interests accrued on OYT/NOYT deposits made at the time of registration

vide Topic No. I/5.

iii) Other Credits, Total Credits (i) to (iii)

III. Net amount for which bill is to be issued/balance credit to be carried over.

IV. Surcharge payable if not paid by pay by date vide Topic 1/34

V. Total amount due if paid after by date

Note1: Proper monitoring for issuance of first bills in time to avoid Audit paras etc.

(BSNL No-23-Misc/C&AG Paras/2004 (SPF) Dt. 07-12-2004 Serial 2209/II

B) Issue of Main Bill (Monthly/Bi-monthly)

I. DUE:



31

i) DEL renal for the previous two months/one month as the case may be

ii) One time charge/annual rental for necessary provided if any

iii) L.C.C. charges/TC/Phonogram/OCS call charges, Broadband charges, Internet

CLI (Based)*** other Misc. charges like damage/directory etc. upto last day of

the previous month in which the bill is to be issued.

iv) Installment amount of ARD if any due

v) Service Tax on item (i) to (iii)

Total (i to v)

III. Credits

i) Adjustment of credits/discounts if any:

Total Credits

III. Net amount for which bill is to be issued/balance credit to be carried over

IV. Surcharge payable if not paid by pay by date vide Topic I/34

V. Total amount due if paid after pay by date

(***=Billed for CLI Based Internet Service in BSNL network vide BSNL 11-4/2002-

Comml dt. 07-02-2003 Serial I 902 / I).

Note 2: Charging of rental with effect from 1.5.2001: (BSNL No.2-32/95-TR Dt. 31-05-

2001 Serial 1383 / I).

Note 3: Detail bill to accompany with the Main bill wherever due is there. For Display of

break-up of Metered calls in Telephone bills and tariff details refer Topic I/26 II (a)

(BSNL 2-18/2001-BSNL (TR) Dt. 24-11-2003. For copy refer I/35 Serial 1382 / I.

Note 4: For OYT connection while claiming rental, only the net rental after allowing rebate

is to be claimed and included in the amount billed for but for service tax purpose

full rental value before allowing rebate is to be given.

Note 5: From 1-5-03, different packages like BSNL Economy, Special and Super with

different rate of rental have been introduced. The advance payment of

rental/security is also as per general package only vide BSNL 3-8/2002-R&C Dt.

11-04-03 Serial 1011 Tariff Card Item G.

Grouping of subscribers and changes in billing pattern: (a) Issue of bills at frequent intervals

for Heavy callers: Consequent to the issue of DOT order No.2-32/95-TR dated 09-08-1999,

the existing subscribes are to be grouped into four viz. (I) Very Heavy caller, heavy caller,

medium high caller and low caller making > 1 lakhs in fortnightly bills and usage bills are to

be claimed have been fixed. Subsequently the same is modified as follows:

(b) Further modification of bill issue and allowing discount/rebate: (1) The high calling

subscribers are to be identified in each SSA/billing unit and a cell created for



32

ensuring timely billing of, and collection from, and servicing of their needs on the

highest priority. The BSNL Board desired the following billing pattern to be

followed by Metro Districts/SSA.

i) The subscribers making over 50,000 calls in a month are to be billed

fortnightly just like STD/ISD PCO holders. The bills in question will be

issued on 7th and 22nd of the month, covering the calls in the preceding

fortnightly periods, from the 16th to the 30th and the 1st to the 15th respectively.

These subscribers will be allowed seven days' time to make payment of their

bills, which will be delivered by hand. Action for disconnection due to non-

payment will be by 20th day following the issue of bill. (As regards incentive

entitlement refer Topic I/43).

ii) The subscribers making over 50,000 calls in a month are to be billed monthly.

The bills will be issued on the 7th of the month for calls made upto the end of

previous month. The pay-by-date will continue to be 21st day from the date of

bill.

iii) The remaining subscribers viz. those making 15-3000 calls in the urban areas

and 250-3000 calls in the rural areas in a month will continue to be billed bi-

monthly, as at present.

iv) Subscribers making calls within their free call limit (i.e 150 calls for urban

subscribers and 250 calls for rural subscribes in a two month period) are to be

billed once in four months. However the unexhausted free calls of 2months

cannot be carried forwarded into the 3rd month etc.

v) Subscribes may be classified into the categories specified above, based on

their calling pattern for the last year at the present stage. Subsequent reviews

will be done in 6 months, in the month of May and November each year.

vi) The existing slabwise charging of bi-monthly bills is to be retained. For the

fortnightly, monthly and 4-monthly bills, slab rate will be proportionately

applied.

2. With the revision of tariffs effective from 01-02-2001, rental based on calling

pattern of the preceding two months has been done away with, it has been decided

that with effect from the bills issued from May 2001 onwards rental will be

charged in advance as was done upto April 1999. (**This advance rental

collection para is subsequently amended and it is ordered that this para is treated

as withdrawn. In other words, the rental shall continue to be charged in arrears, as

was the position upto the end of April 2001).

3. The subscriber is not to be disconnected until the total payable amount of his

unpaid bills exceeds the rental of two biling cycles, as relevant to his category.



33

4. All new subscribers have to be issued bi-monthly bills, to begin with, till the 6-

monthly review. However for the containment of outstanding, it is necessary that a

subscriber who makes 25,000 calls or more in any fortnight be intimated and

billed immediately. (BSNL 2-32/95-TR dated 23-03-2001 Serial 1375 & 31-05-

2001 Serial 1383 / I).

SERVICRE TAX:



34



35

Based on the approval of Competent Authority and consequent upon levy of Swachh Bharat Cess at the rate of 0.5% by the Govt. of India, the Service Tax has been revised from 14% to 14.5% applicable for all



36

type of PCOs Tariff and Minimum Guarantee for all categories of Landline and WLL-fixed PCOs including CCB PCO, R&G PCO and VPT etc. w.e.f. 15-11-2015. (BSNL Circular R&C-CFA No113/15-16 dated 23-12-2015

1st Telephone Bill

(i) NOYT connection:- In the first telephone bill, in addition to the rental and call

charges for the period ( from the date of installation of telephone to the last date of the

month preceding the month of issue of bill), the following will also be claimed:-

Installation fee

Service Tax as applicable

Education Cess as applicable.

Annual rental deposit (one year rent)

From the above, the registration fee paid at the time of application and waiting

charges accrued will be adjusted.

* The amount of service tax shall be calculated on the total amount of the telephone bill

before adjustment of excess/double payment/deposit etc.

* In case of OYT connections, the service tax at prescribed rate should be calculated on

the amount of rent payable before allowing admissible OYT rebate.

* It has been clarified by Department of Revenue that service tax is not leviable on the

amount of surcharge collected for delayed payment of telephone bills. [MF (DR)

Service Tax circular No.32/3/2000 CX dated 20-12-2000]

* The value of taxable services in relation to telephone connections provided to the

subscribers is the gross total amount received by the telegraph authority. In case where

the telegraph authority has extended services at a discounted price, the service tax

liability is only in respect of the discounted price so received.

(BSNL HQ No.2-20/2000-BSNL/TR dated 8-9-2003)

Interconnect Usage charges (IUC) would not be chargeable to service tax

(M.O.F. Dept. of Rev. No.149/2/2004-CX.4 dt. 15-6-2004)

[Service Tax is applicable w.e.f. 1-6-2007 on the following charges:

(i) Interconnect usage charges (IUC)

(ii) Port charges

(iii) Infrastructure charges]

Since the Service Tax and Education Cess are being charged and accounted for separately,

the same have to be rounded off individually.

(M.O.F. No.137/59/2004-CX-4 dt. 24-3-2005)



37

SURCHARGE as indicated below shall be levied from the subscribers, if the Telecom. Bill

is not paid by “pay by date”. Pay by date for this purpose shall be 21st day from the date of

issue of bills. However if the 21st day happens to be holiday, next working day will be “Pay

by date”.



38



39

Tariff from 1-5-2003

The free calls, unit calls charges etc. are required to be accounted for on the basis of monthly

entitlement, even though Telephone bill may be issued on monthly/bi-monthly basis



40

A customer can change tariffs plans without any restriction (i.e. at least 10 days in advance of

the start of next billing cycle) and payment of any fee. This choice shall be implemented on

start of the next billing cycle.

The rental and plan charges shall be recovered in arrears only.

(BSNL HQ No.3-8/2003-R&C dt. 29-4-2003)

All subscribers of concessional categories shall be treated under General Plan. Concessional

category be allowed to migrate from general to other alternate plans after payment of all dues

as applicable to general category subscribers under plan being opted for, including security

deposit and installation charges etc.

Rebate for fault in excess of 7 days

The plan charges including rental should be used as a base for calculating rebate. The current

practice of pro rate computing of free and slab calls for the chargeable period shall continue.

(BSNL HQ N0.1-60/2002/FC/BSNL/17 dt. 31-5-2003)

Concession in rent

25% concession in rental (local area rent only) is admissible in respect of the following cases.

i) All non-residential telephone connections provided at schools, universities, colleges,

polytechnics and other like institutions recognized by government.

ii) Not exceeding two non-residential telephones in institutions like Homes for aged,

infirm, spastics, Handicapped, deaf-dumb-mute persons, orphanages and voluntary

organizations for tribal welfare and other like institutions or organizations recognized

by government.

iii) 50% concession in rental is admissible to Freedom Fighters/Widows of Freedom

Fighters who are in receipt of Pension/family Pension under freedom fighters Pension

Scheme and Blind Persons.50% concession in rental is also admissible to War

widows and disabled soldiers.

100% concession in rental for Awardees of President Police Medals for Gallantry in

the service of the country

Freedom fighters/widows of Freedom Fighters, War widows, Gallantry Award winners,

Awardees of President‟s Police Medals for Gallantry in the service of the country and

Disabled soldiers are fully exempted from payment of installation charges.

Safe custody charges-revision of existing instructions



41

The instructions for Safe Custody and Safe Custody charges were revised vide circular No.2-

27/2000-PHA dated 20th April, 2001. Now, the competent authority has decided to further

revise the safe custody instructions and charges as indicated below:-

A. When a subscriber does not want to retain indicator as well as cable pair or wants to

retain only indicator-

(i) The minimum period for safe custody shall be one month instead of three

months for all electronic exchanges.

(ii) Full normal rental shall be charged, irrespective of plans, for first month and

thereafter 20% of normal rental as prescribed under different exchange system

capacity

(iii) However, in the exchanges/areas where waiting list is existing, full normal

rental for three months (as per existing) will be charged. In such cases cable pair

and indicator to be kept reserved for three months.

(iv) Cable pair and indicator shall be kept reserved for one month instead of 3

months

B. When a subscriber wants to retain both cable pair as well as indicator-

(i) Full normal rental shall be charged as prescribed under different exchange

system capacity irrespective of plans for the entire period of safe custody.

(ii) Cable pair & indicator shall be kept reserved for the entire period of safe

custody.

2. Reconnection of telephone under safe custody to be materialized within three days

when requested by the subscriber for restoration in the cases where cable pair and

indicator is kept reserved for which full rental is being charged and in other cases

depending upon the technical feasibility of the areas/pocket.

3. Every efforts may be made to complete the formalities relating to placement of

connection under safe custody & restoration of connection within 3 days of

customer‟s request. It should be ensured that delay in billing & commercial activities

due to information gap should not cause inconvenience to the customer.

(BSNL HQ No.115-43/05-Comml. Dt.13-9-2006)

Prescreening of heavy telephone bills to avoid errors and excess billing/metering:-



42

(i) AO (TR) shall be personally responsible to ensure that the prescribed percentage

checks are actually carried out by the designated staff where bills are complied

manually. In computerized billing, he has to ensure 100% verification of the

accuracy of various inputs fed into computer for generation of bills.

(ii) AE/SDO shall be personally responsible to ensure the technical accuracy of the

meter reading data.

(iii) AO (TR) of each SSA/Division should verify heavy bills exceeding Rs.10,000/-

before dispatch to ensure that there is no error in processing the bill. In

computerized billing, AO (TR) shall invariably verify the error reports‟ generated

in each billing cycle for every exchange in addition to verifying the heavy bill

exceeding Rs.10,000/-

(iv) If the AO (TR) is satisfied that there is no processing error, the bills may be

dispatched to the subscriber. The abnormality of the calls, if any, in bill should be

brought to the personal notice of DET concerned to have the functioning of the

meter checked.

(v) The DET should satisfy himself in each case that the AE/SDO has personally

verified the technical accuracy of meter readings.

(vi) As soon as the results of the investigation of the causes of the heavy billing as

outlined above are known and if it is decided that the bill is to be corrected,

revised bill clearly indicating that it is in supersession of the bill issued earlier

shall be dispatched to the subscriber. If however the subscriber reports that he has

paid the bill, the excess amount should be passed on to his credit by adjustment in

the next bill and he may be intimated of the fact.

(vii) The above process will not take more than one week and should be completed

within the prescribed period.

The Heads of will ensure that the procedures laid down in Manuals and orders/instructions

issued in this regard from time to time are observed strictly by all concerned to improve the

billing system to avoid excess metering complaints (DOT 2-31/92-TR, dated 03-02-1994 &

BSNL, 2-45/2003-BSNL (TR) Dt. 05-05-2004 Serial 2208 / II).

Scrutiny of bills and reflection of earlier outstanding in the subsequent bills: (BSNL 2-

28/2000-BSNL/TR Dt. 06-05-2002 serial 1377 and 2-41/2002-TR (BSNL) Dt. 14-02-2003

Serial 1420 / I).

Special treatment to be given in dispatch/collection in respect of High Calling subscribers:

Arrangement may be made in every SSA to create a cell with surplus staff (T.Os.,

Telegraphists etc.) to specifically service the needs of high calling subscribers-people who

pay Rs.1,00,000 or more on a bill for one cycle. Bills to these customers can be reached by

hand. Collection on them can also be made personally be these staff. (DOT 2-4/99-TR dated

08-091999 Serial 2037 / I).



43

Provision for collection of advance rental deposit in the various Computerized Billing

Accounting packages. (BSNL 23-79/2000-BSNL/TR Dt.14-02-2002 Serial 2037/I).

Monthly advertisements reg. bill dispatch: (BSNL 2-28/2000-BSNL/TR Dt. 06-05-2002

Serial 1377/I).

Postal charges for dispatch of bills: A number of queries are being received from field units

as to the chargers to be paid to postal authorities for posting telephone bills. In this

connection it is clarified that the DOP has already agreed to treat the telephone bills as book

packets. The postal charges as applicable from time to time will be applicable accordingly.

(BSNL 2-023/2000-PHA (Vol.III) Dt. 24-10-2002 Serial 1380 / I).

PT Billing:-

Presently monthly bills are being issued in case of Local PCO and fortnightly bills in case of

STD PCOs. In this regard billing has to be made on fortnightly basis for all type of PCOs

i) It has to be ensured that the completed advice note after execution of the job is sent by

the Engineering Authority to AO (TR) promptly and in any case within one day after

the provision/reconnection of PCO. The cases of delay noticed in this regard should

be reviewed on a weekly basis by the IFA or CAO (TR) of the SSA, for taking up the

matter with the concerned Engineering Authority. Both these authorities should

ensure coordination between the Exchange and Billing Unit for both online and

offline advice notes.

ii) Though issuing of bills on fortnightly basis in respect of STD/ISD PCOs is

prescribed, the instructions also exist for issue of bills on weekly basis in respect of

such STD PCOs where call revenue exceeds Rs.5000/- in Urban STD PCOs and

Rs.1200/- in Rural PCOs, which need to be followed.

iii) Strict watch over issue of first bill after provision or restoration (after disconnection)

of PCO should be kept by the AO (TR) and the position should be reviewed by the

CAO (TR) or IFA so that the cases of non-issue of bills in the next billing cycle after

the date of receipt of Advice Notes in TRA are avoided.

Monitoring

i) A fortnightly report (instead of monthly report prescribed under the extant

instructions) be furnished by the exchange to the AO (TR), giving the particulars of

the STD/ISD PCOs provided within that fortnight, with dates of provision. Based on

these the AO (TR) should keep a special watch (a) on the completed copies of Advice

Notes / OBs not received in TRA, and (b) on the timely feeding/reconciliation of

data/details in the computer/records in his own branch.



44

ii) The Head of the TR should keep a watch on the prompt billing of STD/ISD PCOs and

should ensure submission of a monthly report to the Head of SSA/District each

month, containing the following information

a) The total no. of STD/ISD PCOs in the SSA;

b) The No. and particulars of PCOs provided in the previous month (with dates);

c) The total No. of PCOs billed;

d) The particulars of cases not billed ;

e) The reasons for non- billing.

Head of SSAs/ Areas of Metro district shall have the final responsibility for the

timely billing (or otherwise) of these STD/ISD PCOs.

iii) At the Circle Headquarters, GM in charge of TR should obtain a quarterly report from

all the Heads of SSA in the Circle on the STD/ISD PCOs not billed for over a month

after their provision, with reasons thereof, and the same should be brought to the

notice of Head of Circle.

Disconnection

A complied copy of the disconnection list is sent back to AO (TR) immediately by the

exchange in-charge and the same is verified by the AO (TR). Any discrepancy or

delay noticed in disconnection of any of the PCOs listed in the disconnection list

should be brought to the notice of Head of SSA for fixation of responsibility .

Clarification regarding Billing, Security Deposit and tariff etc. for all type of PCOs-reg

Field units are seeking information/clarification consequent upon issue of PCO tariff order

no.3-5/2007-R&C dated 23-3-2007 & 30-3-2007 which was implemented w.e.f. 1-4-2007.

2. In this connection the Competent Authority has decided to clarify/revise the tariff for

all type of PCOs as under:-

(A) Billing:- PCO billing may be done in the following manner:-

Type of PCOs Billing Cycle

VPTs without 95 facility Monthly

PCOs including VPTs without ISD Fortnightly

PCOs with ISD facility Fortnightly

Note:- Weekly bills may be issued by local authority where call revenue (per month)

exceeds Rs.5000 in Urban PCOs & Rs.1200 in rural PCOs as already prescribed vide



45

DOT letter no.2-47/99-TR dated 30-5-2000 & reiterated to all field units in letter no.2-

17/2006-BSNL/TR dated 20-11-2006

(B) Security Deposit

(i) The Urban column under Local VPT with 95 facility/STD VPTs for Para 1(A)

of circular No.3-5/2007-R&C dated 23-3-2007 may be deleted.

(ii) The security deposit of Rs.2000/- for ISD facility as applicable for Urban

PCOs may also be recovered from PCOs working in rural areas with ISD

facility.

Safe custody of STD/ISD PCO:

It has been decided to allow the STD/ISD PCO franchisees to keep the PCOs in safe custody

subject to the following conditions:

a. Safe custody of PCOs necessitated for the circumstances beyond the control of

franchisees like road widening or any natural calamity etc.

b. Minimum and maximum period of safe custody shall be 1 month & 3 months

respectively.

c. After 3 months, PCO shall be withdrawn if operator fails to request restoration.

d. Cable pair etc. will be kept reserved and PCO shall be restored within 3 days of

request.

e. The safe custody charges shall be 50% of the minimum guaranteed amount prescribed

for the respective areas and the same will have to be paid in advance.

(BSNL HQ No.22-16/201-PHB dt. 25-6-2001)

Sub: Disconnection of STD/ISD PCOs for non payment-regarding

Instructions exist that fortnightly bills should be issued for STD/ISD PCOs and the same

should be paid by the franchisees within 4 working days of receiving the bill, failing which

the connections provided to them should be disconnected immediately.

Several instances have been pointed out by Audit where the STD/ISD PCOs were not

disconnected wither since the AOTR did not receive the ringing list in time from the

Computer Cell, or the disconnection lists sent to the concerned exchanges were not

effectively followed up by the exchanges. As a result of such deficiencies the PCO

franchisees continued to enjoy the facility of telephone service even without paying their

dues.

The procedure for disconnection of telephones for non-payment is prescribed in para 159 of

P&T Manual Volume XIV, according to which disconnection lists should be prepared and



46

sent to telephone exchanges well in time. The lists, after disconnection of the telephones on

prescribed dates, are to be returned by the AE/DE to the TRA branch. Failures on the part of

TRA branch (e.g. in excluding a telephone from the disconnection list despite dues, or in

delayed/non despatch of the disconnection list to AE/DE of the exchange) or on the part of

the exchange ( in not disconnecting the telephones ordered for disconnection and in non

return of the complied disconnection list to TRA) are required to be viewed as acts of

misconduct and action taken accordingly against the concerned delinquent officials.

The Heads of Telecom circles/Telephone districts are requested to ensure that the prescribed

procedure for disconnection of STD/ISD PCOs and other telephones for non payment of dues

is scrupulously followed in their units and any failures in this direction are strictly dealt with.

(BSNL HQ No.2-39/2002-BSNL-TR dt. 6-1-2003)

Interest on the security deposit by the STD/ISD PCO franchisees shall be offered at the same

rate (12%) as offered to voluntary deposits made by the customers w.e.f.1-10-1999 (DOT

Lr.No.31-36/99-PHB dt. 5-11-1999)(9% w.e.f. 1-8-2000) (w.e.f. 1-1-2006- Interest @

applicable for 1 year fixed deposit in SBI as on 1st April of that year)

Bill Payment Facilities

Realisation of Revenue generated and billed is one of the most important items of work in

TRA Unit. The collection of revenue billed is made in various modes as follows:

Collection of bills through various payment facilities provided to the customer.

Cancellation of bills where wrong or excess charges have been billed

Adjustment of bills against available deposit at credit – Voluntary Deposit, SD etc

Writing off of irrecoverable bills which is treated as Bad Debts and a loss.

The method of dispatch of bills of & its receipt by the customer must always be kept in mind

… any customer complaint of non-receipt of bills must be discussed with the organization

handling bill dispatch.

In some SSAs, a system is already in vague for giving IVRS intimation to all subscribers 2 or

3 days after dispatch of the bill intimating amount payable, date of bill and last date for

payment. This is apart from the ringing / disconnection reminders given through IVRS just

before disconnection list is finalized. This system is known to have improved customer

satisfaction levels considerably.



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Precaution in Programming IVRS: This system is known to have improved customer

satisfaction levels considerably. IVRS systems are usually programmed for 3 or 4 trials at a

gap of 5 minutes each or so. An examination of their efficiency in some units reveals that

even after such programmed trials, the IVRS is unable to succeed in reaching out to a number

of subscribers - one reason for the same being that the customer is using the line continuously

/ long periods when the trial of IVRS is on.

It is therefore suggested that the unsuccessful numbers are extracted again and tried again at a

larger gap of time (3 or 4 times).

Collection of Bills:

It is more important that various channels are provided to customers to pay their bills within

'pay by date'. The situation in some places is that the subscriber is willing to pay but he has

not been facilitated with a hassle free payment channel. It is not appropriate to argue that the

customers are waiting till the last date of „pay by date‟ resulting in long queues in our

counters. The customer is entitled to pay till the last date of the pay by date and it is our

foremost duty to arrange for receiving the payment without much inconvenience to the

customer. Hence, it is pertinent that payment facilities are adequate and generate confidence

in customer, apart from being as near to customer as possible.

Despite the best efforts of the organization, there are many defaulters of the bills issued .In

order to recover the dues which have not been paid by due date the recovery mechanism like

disconnection of services for non payment, pursuit of the outstanding through various modes

etc have to be resorted to, as per Corporate Office instructions.

Payment facilities

BSNL is taking utmost care in enabling its customers making various facilities available to

the customer to make telephone bill payment. At present a number of payment channels are

in operation.

Payment places

o Cash counters of SSAs\area offices.

o Telecom centers of BSNL

o Through Post Offices up to pay-by-date

o Department Telegraph Offices/CTOs

o Authorized Nationalized Banks

o Authorized Scheduled Banks like ICICI, HDFC, IDBI



48

o Internet

o ECS

o Cheque Drop Boxes/Automatic cheque collection machines.

o Credit/Debit Cards

Some hassles usually reported by customers:

a) Duplicate bill formats are not being accepted at Pos / Banks etc, as they have no clear

instructions (or) due to the duplicate bill being in a highly non-standard format.

b) Payment in cash not being accepted on duplicate bills at some payment offices even

before pay-by-date.

c) Customers in queue at BSNL counter not being serviced due to time-outs etc. TRAs

of SSAs need to look into such problems.

Mode of payment

Telephone bills can be paid by cash, Demand draft and by local cheque. After the pay by

date, the payment is received only by DD or cash at Departmental cash counter at SSA

Headquarters. However, wherever on-line payment counters are available, bills are accepted

beyond pay-by-date.

Publicity of Payment Facilities:

It is essential that the customers must be made aware of the various payment facilities

offered by BSNL as a part of its customer care, periodically through the bill/posters at

different offices/media.

The schemes like Electronic Clearing Scheme and Voluntary Deposit Scheme, in opting of

which the subscriber is relieved of the trouble of visiting cash collection counter on every

occasion, besides getting discount or interest on such payments, need to be popularized. This

will go a long way in reducing rush at our collection centers besides providing relief to

customers.

Many SSAs have also introduced Note Counting & checking machines, which are accurate,

fast and improve customer service. Other TRA / SSAs can think of such measures.



49

Subject: -Providing better facilities to Customers for payment of telephone bills,

opening of new counters etc. – regarding.

It is apparent from the representations received in this office either directly from the

subscribers or through VIPs that subscribers while making payment of telephone bills are still

experiencing difficulties as they have to stand in long queues, which causes a great deal of

inconvenience to them.

As the complaints of the nature mentioned above are pouring in, there definitely seems to be

some lagging in our effort to give adequate publicity to the availability of a number of

payment channels in operation, which include the huge network of Post Offices (including

Branch Post Office), Nationalized/ Scheduled Banks (excluding Co-Op Banks), CTOs/DTOs,

Cash Collection Counters of BSNL etc. In addition facilities like acceptance of payment of

bills through Internet, Electronic Clearing Scheme, Cheque Drop Boxes and Automatic

Cheque Collection Machines etc. are also existent.

It is, therefore, desired to give wide publicity of these facilities available, through media and

also through display boards/ placards at the cash collection centers, so that the general public

easily comes to know about the same and avail of the facilities available. The schemes like

Electronic Clearing in opting of which the subscriber is relieved of the trouble of visiting

cash collection counter on every occasion, besides getting discount or interest on such

payments, need to be popularized. This will go a long way in reducing rush at our collection

centers besides providing relief to customers.

No: - 2-17/2004-BSNL/TR Dated 16 -12- 2004.

Review of system of payment of overdue telephone bills.

Vide No.17-21/97-TR(BSNL) dated 7/8-11-2002 the Heads of Telecom Circles were allowed

to accept payment of telephone bills at certain selected Post Offices/Bank Branches up to

one week beyond “pay-by-date”. The selection of these Post Offices and Banks was to be

made by the heads of Circles keeping in view the customer convenience and the payment

pattern in that area.

In response to a (starred) Parliament Question in the just-concluded Budget Session, the

Hon‟ble Minister for Communication & IT has meanwhile given an assurance to the Rajya

Sabha that “The system of payment of overdue telephone bills would be reviewed again and

steps would be taken to ensure that customers do not have to travel over long distances.” The

matter has accordingly been reconsidered and the following decisions taken:-

1. The scope of application of the 8.11.02 order, referred to above, is hereby enlarged

to cover other authorized collection centers (e.g. e-Seva in Andhra Pradesh) as well.



50

2. While no general extension, of the period for acceptance of payments mentioned in

the Nov.2002 order can be allowed, if an authorized collection center has the facility

of online data transfer the payment acceptance period could be extended by the

CGMs up to a maximum of ten (10) days, after the ‟pay-by-date‟, subject to

operational and technical feasibility of such data transfers to the SSA vis-à-vis the

requirements of computerized billing and payment-matching cycles, etc.

3. A thorough review of the facilities existing for the acceptance of payments of

telephone bills may be got undertaken by all heads of Circles within their

jurisdiction by 23rd June,2003 , and immediate steps taken to ensure that the

subscribers do not have to travel long distances to pay their telephone bills, not only

within but even beyond “ pay-by-date”. Suitable instructions may accordingly be

issued to the SSAs under their jurisdiction immediately and closely monitored for

implementation. Under no circumstances should the disconnection schedule be

however allowed to be disrupted since this would adversely affect the SSA‟s

collection efficiency and BSNL‟s revenues.

A compliance report in the matter may be faxed by 30th June 2003 at FAX

Nos.23369433/23369101 positively, to enable this office to convey fulfillment of the

Parliamentary Assurance to DOT.

No.2-1/2003-BSNL/TR Dated: 28.5.2003

Subject: - Effective monitoring for billing and realisation of revenue against STD/ISD

PCOs - regarding.

It is observed that despite re-iteration of instructions laid down for billing, revenue realization

and prompt disconnection of STD/ISD PCOs due to non- payment; the outstanding revenue

in respect of the STD/ISD PCOs has been getting accumulated from month to month. The

latest Sub- ledger review reports reveal that the outstanding against STD/ISD PCOs has

reached an alarming figure running in to crores of rupees; thereby giving a clear indication

that the rules and procedures for timely billing and collection of revenue in respect of

STD/ISD PCOs are not being strictly followed. You will agree that the share of the STD/ISD

and other PCOs franchisees in the general outstanding should be „Nil ‟, but the fact is that the

same is as high as 10% of the total outstanding.

Needless to mention the failure on the part of the PCO franchisee in depositing the money

collected from general public on behalf of BSNL is sheer embezzlement of BSNL‟s money

by the franchisee and thus a criminal offence on his part. And allowing the particular PCO to

run despite non-receipt of payment from the concerned PCO franchisee against the bill raised

against him, is the failure on the part of the concerned officers of Company in enforcing the

prescribed procedure for safeguarding the interest of the Company by way of disconnecting

such PCOs. Both the franchisee as well as the Company‟s concerned official / officer at fault



51

are liable for appropriate prescribed action, which obviously is not being taken, as is apparent

from the heavy accumulation of outstanding PCO revenue.

In order to arrest the situation from deteriorating further, and to ensure liquidation of the

outstanding revenue the following standing instructions/procedures (with slight

modifications) are reiterated:

1. Billing

i) Since delay in raising the bill against newly opened PCOs and against PCOs

reconnected after disconnection due to non payment can result in non-recovery

of dues from the Franchisee, it is imperative that the opening Advice note is

received promptly in TRA unit. Therefore, it has to be ensured that the

completed advice note after execution of the job is sent by the Engineering

Authority to AO (TR) promptly and in any case within one day after the

provision/reconnection of PCO. The cases of delay noticed in this regard should

be reviewed on a weekly basis by the IFA or CAO (TR) of the SSA, for taking

up the matter with the concerned Engineering Authority. Both these authorities

should ensure coordination between the Exchange and Billing Unit for both

online and offline advice notes.

ii) Though issuing of bills on fortnightly basis in respect of STD/ISD PCOs is

prescribed, the instructions also exist for issue of bills on weekly basis in respect

of such STD PCOs where call revenue exceeds Rs.5000/- in Urban STD PCOs

and Rs.1200/- in Rural PCOs, which need to be followed.

iii) Strict watch over issue of first bill after provision or restoration (after

disconnection) of PCO should be kept by the AO (TR) and the position should

be reviewed by the CAO (TR) or IFA so that the cases of non-issue of bills in

the next billing cycle after the date of receipt of Advice Notes in TRA are

avoided.

2. Monitoring

In order to ensure that all the STD/ISD PCOs are billed regularly and disconnection is

effected promptly on the due dates for default in payment by the Franchisee, an effective

monitoring is required. In this regard the following instructions for strengthening of the

internal monitoring mechanism need to be followed.



52

i) A fortnightly report (instead of monthly report prescribed under the extant

instructions) be furnished by the exchange to the AO (TR), giving the particulars of

the STD/ISD PCOs provided within that fortnight, with dates of provision. Based on

these the AO (TR) should keep a special watch (a) on the completed copies of Advice

Notes / OBs not received in TRA, and (b) on the timely feeding/reconciliation of

data/details in the computer/records in his own branch.

ii) The Head of the TR should keep a watch on the prompt billing of STD/ISD PCOs and

should ensure submission of a monthly report to the Head of SSA/District each

month, containing the following information.

a) The total no. of STD/ISD PCOs in the SSA;

b) The No. and particulars of PCOs provided in the previous month (with dates);

c) The total No. of PCOs billed;

d) The particulars of cases not billed ;

e) The reasons for non- billing.

Head of SSAs/ Areas of Metro district shall have the final responsibility for

the timely billing (or otherwise) of these STD/ISD PCOs.

(ii) At the Circle Headquarters, GM in charge of TR should obtain a quarterly report

from all the Heads of SSA in the Circle on the STD/ISD PCOs not billed for over

a month after their provision, with reasons thereof, and the same should be

brought to the notice of Head of Circle.

3. Disconnection

i) Disconnection being the only major tool with the Company to arrest

accumulation of outstanding dues against a franchisee running STD/ISD PCO, it

has to be ensured that the PCO is immediately disconnected, in case of non-

payment of a bill within four working days of its issue by the PCO franchisee, as

already prescribed.

ii) For effective monitoring of disconnections being carried out timely, it may be

ensured that all the PCOs where the bills are not paid within four working days

of their issue are included in the disconnection list by the AO (TR) concerned,

the disconnection list so issued is complied with immediately on its receipt in

the exchange, a complied copy of the disconnection list is sent back to AO (TR)

immediately by the exchange incharge and the same is verified by the AO (TR).

Any discrepancy or delay noticed in disconnection of any of the PCOs listed in

the disconnection list should be brought to the notice of Head of SSA for

fixation of responsibility.



53

4. Payment

i) Payment in respect of the disconnected PCOs (other than those disconnected due

to dishonour of cheque) should be accepted in Cash only. However, in case the

franchisee insists for payment by cheque, the same may be accepted but the

PCO should be restored only after realization of amount of the cheque in full.

AO (Cash ) should keep a watch over realisation of cheques in such cases and

should pass on the intimation thereof promptly to AO (TR) in order to enable

him to initiate action for restoration of PCO.

ii) PCO disconnected due to dishonour of a cheque for the first time should be

restored after receiving the payment due in cash only. Cheques for the future

payments from such franchisees should not be accepted.

The Franchisee in case of cheque dishonour should be requested to deposit an

additional amount of security deposit equal to half the average monthly revenue

as prescribed vide letter no. 31-30/99-PHB dated 10-8-2000.

iii) In case of dishonour of Cheque – AO (Cash) should give intimation regarding

the dishonour of cheque to AO (TR) immediately and the PCO concerned

against which cheque had been deposited should be disconnected immediately.

iv) PCO disconnected due to non-payment should be restored on realization of full

payment from franchisee by an officer who is at least one level above the level

of the authority who had ordered disconnection.

5. Review of Security Deposits/Bank Guarantee (s)

Annual review of security deposits from STD/ISD PCO holders as prescribed should

be carried out timely in order to adequately securitize the BSNL‟s revenue.

Bank guarantee(s) wherever received as security deposits should be kept safely and

should be timely renewed.

All the Heads of Circles are requested to:

(a) Ensure compliance to the above instructions by the concerned officers/officials

in all the SSAs in their control,

(b) Get a PCO wise analysis in respect of all the SSAs under their control carried

out to examine the reasons for accumulation of huge outstanding against the

PCOs, and

(c) Ascertain if any of the STD/ISD PCOs is still working, despite non-payment of

bill/s. Immediate action may be taken for getting such PCOs disconnected



54

forthwith in addition to fixation of responsibility for non-disconnection of such

PCOs.

No.2-17/2006-BSNL/TR dated : 20 .11. 2006



55

Sub: - Payment of Telephone bills through Electronic Clearing Service (Debit) scheme

(ECS)-Discount to Customers-regarding

The proposal to allow discount to BSNL‟s customers opting to pay their telephone bills

through “Electronic Clearing Service (Debit) Scheme (ECS)” was under the consideration of

the HQ consequent upon the receipt of suggestion from few Telecom Circles. The same was

examined in the Corporate Office by Commercial and Tariff & Costing branches.

2. It has been decided to allow discount @1% (one percent) of the value of the telephone

bill (exclusive of service tax) subject to a maximum of Rs.1000 (Rs. One thousand

only) per bill to such customers who opt to pay their telephone bills through “Electronic

Clearing Service (Debit) Scheme (ECS)”.

(BSNL HQ No.2-52/94-BSNL/TR Vol.II (Pt.) dt. 8-12-2004)

The Scheme of allowing 1% discount to customers for payment through ECS has been

withdrawn w.e.f 1.4.2013

(BSNL HQ.No.2-9/2010-BSNL/TR dt 28-02-2013)

Exempted for disconnection

The telephones of High Government officials like President of India, Vice President of

India, Prime Minister and all Heads of States and Union Territories, Former President, Chief

Justice of India, Speaker of Lok Sabha/Chairman of Rajya Sabha, CAG, Members of

Planning Commission, Speaker, State Legislative Assembly, Chairman, Legislative Council,

Regional Committee, Chief Justice, High Courts, Registrars State High Courts, Lokayukta in

State Governments, Commissioners in State Secretariat, Leaders of the Opposition of all the

State Legislatures etc are exempted from disconnection.

The disconnection list is prepared after accounting all payments including the payment

received from pay-by-date to the preparation of disconnection list and forwarded to AO (TR).

The schedule for preparation of ringing list/disconnection list and actual date of

disconnection at exchange are communicated in advance to all concerned by the TR General

section. The payments received up to actual disconnection of telephone numbers are also

deleted from the list by the AO (TR).

Excluding the 'exempted category' from Disconnection list must be ensured both in the

computerized system and in manual system.



56

Whenever any cheque dishonour information is received from the bank, the subscriber is

immediately informed about it and advised to make the payment in cash within 24 hours

failing which the connection is liable for disconnection immediately.

The disconnection of STD /Local PT is done separately as per the schedule fixed for such

PTs.

Utmost care should be taken by the AO (TR) (a) to avoid any wrong disconnection and

(b) the offline payments received from various channels on various days are to be regulated

systematically and are to be updated in the system before resorting to disconnection.

This is very much essential since a customer who has paid cannot be caused inconvenience.

If for any reason an erroneous disconnection takes place, immediately it is to be rectified in

two fold - ensure immediate reconnection of the telephone and also ensure payment posting

in the system to prevent further disconnection in future.

Prompt updation of payments of disconnected telephones and reconnection of

telephones:

The billing software must ensure (to be suitably modified if necessary) the online payment

validation immediately so that the disconnected telephones get reconnected automatically

without manual intervention and time consumption. The billing software should facilitate that

as soon as a payment is received for a disconnected telephone the payment is to be posted in

the system immediately and the telephone is to be reconnected immediately at the exchange

end also. Such a system will definitely ensure better customer satisfaction and retention.

Telephones remaining disconnected for nonpayment for more than 3 months-

finalization of accounts

The telephones which are remaining under disconnection for more than 90 days are to be

dealt with as under:

Such phones are to be listed and forwarded to the commercial officer for issue of closure

Advice Note

The issue of closure Advice Notes are to be watched and as soon as the completed

closure Advice Notes are received, the accounts of the phones are to be finalized

Suitable action is to be initiated on the delay/ non-receipt of the completed closure

Advice Note. The billing system may also be provided with the above features so that

the activities of online Advice Note will result in timely finalization of the accounts

for further action



57

The accounts of the customers whose telephone is under non-payment disconnection

for more than 3 months, has to be finalized.

The deposit at the credit of the subscriber has to be adjusted against the outstanding

bills and the balance bills outstanding after adjustment are intimated to the Subscriber

for payment.

If any balance of Deposit and other credits are due to the subscriber, then a sanction

for the same has to be sent to the Accounts Officer (Cash) for issue of cheque, to the

customer..

Issue of defaulter's notice

After the finalization of account, in case, there are still outstanding dues from the subscriber,

a registered notice has to be sent to the subscriber with acknowledgement due. The subscriber

should be given time to make payment within a stipulated period and also be intimated that in

case of failure to make payment, the other associated telephone connections would be

disconnected. A copy of the notice should also be sent to the DE/SDE concerned of the

External unit.

In this connection it must be ensured that all possible measures are taken to trace the

customer (by a thorough look at the customer record (file) - where his other working Nos. are

mentioned etc) for realization of revenue.

Getting field reports, police reports for defaulters

After initiating the recovery process from the defaulted customer by sending a final notice,

further action is to be taken if no reply is received from the customer. Periodically a list of

defaulted customers is to be prepared and sent to the field officer for verifying his other

working telephones, if any. The field officer has to submit a report on the verification details

of the defaulted customer to the AO (TR). Wherever possible a TRI may visit the customer

and persuade him to make payment.

AO (TR) has also to correspond with Police authorities regarding the whereabouts of the

defaulted customer. Periodically a list of defaulted customers can be submitted to the Police

authorities to trace the whereabouts of the customers to realize the dues from him.

Similarly the matter can be taken up with the Revenue authorities also to know the property

details of the customer for realisation of the outstanding telephone dues from the customer.

Dispensing with obtaining of reports from Revenue Authorities regarding financial

position of defaulters and from Police authorities regarding whereabouts of the

defaulting customers: before write off of irrecoverable outstanding telephone dues of

Basic Services.



58

The approval of the Management committee of BSNL Board is hereby conveyed to do away

with, completely the requirement of obtaining reports from Revenue Authorities regarding

financial position of defaulters and from Police authorities regarding whereabouts of the

defaulting customers, in respect of defaulter cases(without any monitory limit with regard to

amount under default), which are otherwise fit fort write-off in accordance with write-off

policy of BSNL. However, the Heads of Circles/SSAs may call for these reports from

Revenue /Police Authorities, if considered necessary.

(BSNL HQ. No.2-2-24/2008-BSNL/TR dt 14-03-2013)

Issue of legal notices

After a periodical review of the reports received from field office, AO (TR) has to arrange

for issue of legal notices to the defaulted customers. The suits for the outstanding telephone

dues are to be filed in the appropriate court of law well in time since the law of limitation has

a great impact in realisation of revenue. All the possibilities may be explored to get the dues

realized from the defaulted customers.

Review of defaulter Cases

Holding of LBM and HPC

On the 5th of second month following the month of closure, a defaulters list will be

prepared and defaulters notice will be issued. The defaulters list will be updated

periodically by 25th of every month and submitted to DGM/GM of the SSA/Circle for

review.

All outstanding items in the bill register after the second month following the month

of issue of bills will be copied in a register of outstanding bills prepared electronically

from the accounting system of TR Billing. The register of outstanding should be

reviewed constantly and action for recovery should be taken.

In order to recover the outstanding telephone dues from defaulted customers of

closed phones, High Power Committee and Liquidation Board are constituted.

Revised Policy for Write-Off of Irrecoverable Outstanding Telephone Revenue Relating

To Basic Service

1. Outstanding Pursuit:



59

1.1 It shall be ensured that disconnection of telephones is timely effected as per standing

instructions i.e., on the 35th day of the date of issue of the bill except in case of

STD/ISD PCOs, which have to be disconnected for non-payment immediately if the

payment against the bill issued (on fortnightly basis) is not received within four

working days of the date of issue of the bill. After disconnection of telephone the SSA

concerned will immediately initiate action to issue notice for disconnection of any

associated BSNL WLL/Mobile connection working in the name of the same party

after observing prescribed procedure.

1.2 On permanent closure of the service i.e., after the closing advice note issued by the

commercial branch is received in TRA Branch, the account of the defaulter will be

finalized by cancellation of excess charges billed if any after the date of disconnection

and adjustment of available deposit against the disconnected telephone. Every month

a consolidated list of outstanding in respect of closed connections.

1.3 Consolidated list of outstanding will have the following details, grouped in three slabs

viz. Cases outstanding I)above Rs.5000/- ii)between Rs.250/- to Rs.5000/- and iii)up

to Rs.250/-

a) Account No.

b) Telephone Number

c) Name of the customer

d) Total amount outstanding

1.4 On receipt of the above information, the pursuit cell in each SSA concerned will

immediately take action to pursue recovery of outstanding by issuing defaulter notices

and entrust the work to Private Recovery Agents/ Telephone Revenue

Inspectors/Phone Inspectors for recovery of the dues. The SSA will maintain

individual defaulter file for all cases of outstanding above Rs.5000/- with the

following details:

1. Name and address of the customer

2. Account No.

3. Telephone number

4. Date of opening of the telephone connection

5. Date of disconnection of telephone connection

6. Details of associated mobile number/WLL number of BSNL or other operator,

working if any for the defaulter

7. Details of outstanding dues viz., Invoice No., Invoice date, amount

outstanding

8. Copies of the outstanding bills along with itemized bills

9. Copy of original application for registration of telephone connection along

with relevant documents.



60

1.5 The preliminary reports submitted by the Private Recovery Agents/Officials/Officers

will be placed on record along with individual details of the defaulter.

Simultaneous action to get reports from Revenue Authorities/Police wherever

applicable shall also be taken. The liquidation board will take into consideration of

all these aspects while reviewing the cases of irrecoverable outstanding dues.

2. High Power Committee and Liquidation Boards for Reviewing of the Telephone

Revenue Outstanding

The constitution of High Power Committee and Liquidation Boards and their unctions

for dealing write off cases in respect of basic telephone service & telex service shall be as

follows:-

A. CONSTITUTION:

1 Telecom

Circles

a) Chairman PGM/GM/TDM/TDE (Head of

SSA)

DGM (TR)/DGM(F)

in SSA/IFA

b) Members DGM(TR) or IFA of SSA ( in

case there is no separate post

of DGM-TR)

DE (Out-door) or SSA

under whose

jurisdiction the address

or the defaulter falls

DE (Out-door) or SSA under

whose jurisdiction the address

or the defaulter falls

CAO (TR) in the SSA

c) Secretary Sr.AO (TR)/AO TR in the

SSA

Sr.AO (TR)/AO TR in

the SSA

2 Metro

circles

a) Chairman PGM/GM DGM (TR)/ DGM(F)/

IFA

b) Members DGM (TR)/ DGM(F)/ IFA DE (Out-door) under

whose jurisdiction the

address or the

defaulter falls

DE (Out-door) under whose

jurisdiction the address or the

defaulter falls

CAO (TR)

c) Secretary Sr.AO (TR)/AO TR Sr.AO (TR)/AO TR

B. Functions:



61

(a) High Power Committee:

i) Will review all cases of outstanding beyond the purview of Liquidation Board

and more than three months old and satisfy themselves of the adequacy of action

taken and direct further course of action for recovery of the dues.

ii) Will also review in detail the working of SSA with specific reference to the

following points:-

(a) Whether the bills have been issued in time and sufficient checks have been

exercised to ensure that all telephones have billed for.

(b) Whether the Liquidation Board meetings have been held regularly.

(c) Whether the amount billed for is proportionate to the increase in number of

connections, growth on the telephone activities and revision of tariff, if

any, during the period under review.

(d) Whether the collection efficiency is up to the prescribed standard, If not,

whether the remedial measures taken are adequate.

(e) Will recommend write-off by competent authority the cases of

irrecoverable dues of closed connections, reviewed after observing the

guidelines on write-off.

Note: - The cases falling under (a),(c) and (d) above should be critically

reviewed/analyzed by the IFA and put up to the committee.

b) Liquidation Boards:

(i) Will review all cases of outstanding up to the limit given below and more than

three months old up to the end of the month preceding the month in which the

meeting is held.

Liquidation Board headed by JAG level officer of SSA-

Above Rs.5000 and up to Rs.20000

Liquidation Board headed by STS level officer of SSA-

Above Rs.5000 and up to Rs.10000

(ii) Review will cover:

(a) Examining the adequacy of action taken for recovery of the dues.

(b) Whether disconnections have been made promptly and if not, initiate

necessary remedial measures, and wherever disconnection have been

held up, review such cases to see whether the same is in order and has

been approved by the competent authority.



62

(c) Cases of irrecoverable dues of closed connections to write off by

competent authority.

(d) Examine the possibility of legal action for recovering and recommending

filing of suits,

(e) Will recommend write-off by competent authority the cases of

irrecoverable dues of closed connection, reviewed after observing the

guidelines on write-off

C) Frequency:

The Liquidation Board shall meet every month and High Power Committee bi-

monthly. A monthly report, in the format given below, on holding of Liquidation

Board/HPC meetings shall be appended to the Sub Ledger Review report.

CIRCLE: Month:

Opening balance of defaulter cases pending for review

No. of defaulter cases arisen after permanent closure and

regularization of account during the month

No. of defaulter cases under review

Closing balance of defaulter cases pending for review

HPC LB For cases with

outstanding up to

Rs.5000

Date of meeting NA

No. of cases reviewed

No. of cases recommended for write-off

Amount recommended for write off (in

thousands of Rs.)

3. Outstanding per telephone connection up to Rs.5000/-

The outstanding up to Rs.5000/- will be reviewed in normal course on a monthly

basis without submitting to Liquidation Board or High Power Committee and

necessary action shall be taken to liquidate the outstanding subject to adherence to

the provisions for write-off.

4.1 WRITE OFF



63

1. Before a case is finally recommended for the write-off, it is necessary to obtain

reports from various authorities concerned regarding the assets owned by the

defaulters to find out the possibility of recovery through a legal suit. Such

cases should be finalized very expeditiously and following points should be kept in

view:-

i) The report of the revenue authorities regarding the financial position and report

of the Police authorities about the whereabouts of the defaulters should

invariably be obtained where outstanding telephone dues are above Rs.50000 in

each case.

ii) The power of dispensing with the report of the revenue authorities in cases of

individual outstandings between Rs.5000/- to Rs.20000/- shall be exercised by

the Heads of SSAs and between Rs.20000 to Rs.50000/- by the Heads of

Telecom. Circles/Metro Circles, personally on the recommendation of the High

Power Committee and in consultation with their IFAs, subject to the following

conditions.

a) For this purpose, the High Power Committee should satisfy itself that all

efforts had been made to obtain the reports from the Revenue

authorities/Police authorities but the same could not be obtained within a

reasonable time and the financial status of the defaulter reported by the

Phone Inspector/Telephone Revenue Inspector was got verified by an

office of higher rank viz., JTO/SDE.

b) The report of preliminary investigation about whereabouts of the

defaulters not being known should be got verified and confirmed by the

report of another independent official/Officer of higher rank i.e. the report

of the Phone Inspector/Telephone revenue Inspector should be confirmed

by a report from JTO or SDE.

c) The possibilities of locating the whereabouts of the defaulter through

Income Tax/ Sales Tax authorities should have been explored and found to

be not fruitful.

iii) In all other cases of outstanding exceeding Rs.250 and up to Rs.5000 per case,

the procedure for obtaining the reports from Police/Revenue authorities may be

dispensed with the approval o the IFA of the SSA. Such cases may be decided

on the basis of the report of the preliminary investigation about whereabouts of

the defaulters not being known and should be got verified and confirmed by the

report of another independent official /Officer of higher rank i.e. the report of



64

the Phone Inspector/ Telephone revenue Inspector should be confirmed by a

report from JTO/ SDE.

iv) The IFAs of SSAs may dispense with the report /enquiries by Telephone

revenue Inspectors/ Investigating Officers etc. in cases where the total

outstanding in respect of closed connections does not exceed Rs.250 in each

case, provided the outstanding is more than six months old.

5. Financial Powers for Write Off

(I) Delegation of financial powers for write off of irrecoverable telephone revenue

Powers in this regard shall be exercised as per delegation made vide letter no.6-

12/2003-EB dated 23-7-2003, reproduced as follows:

POWER DELEGATED TO FINANCIAL POWERS

Circle Telecom. Board Rs.5,00,000 in each case

Head of the Circle (CGM) Rs.2,00,000 in each case

i)PGM/GM (Head of SSA in circles)

ii)PGM/GM (Head of Areas in Metro

Telephone distt.)

Rs.1,00,000 in each case

Rs.1,00,000 in each case

DGM(TR) in the SSA Rs.20,000 in each case

TDM(Head of the SSA) Rs.20,000 in each case

TDE(Head of the SSA) Rs.10,000 in each case

CAO(TR) in the SSA Rs.10,000 in each case

AO(TR) in the SSA i)Rs.2000/- in each case

ii)Rs.250 petty irrecoverable dues in

each case of working connection

a) The exercise of financial powers is subject to strict observations of rules, orders,

instructions and guidelines issued by BSNL from time to time including the procedure

mentioned under para 1 above and subject to availability of provision for bad debts.



65

b) The financial powers are to be exercised by the competent authorities strictly in

consultation with their respective IFAs.

II. Powers for write off of outstandings against working or closed connections under

certain conditions (with reference to para 192-© of P&T Manual Vol-XIV

In so far as the outstandings against working or closed connections against the Government

and Private subscribers that are five or more than five year old as on 1st April of the financial

year during which the same are being considered for write off for different reasons as laid

down in para 192 © of the P&T Manual volume XIV, and reproduced below, the powers for

write off may be exercised by the Heads of SSAs to the extent indicated below:

Description Financial powers to be exercised by

Heads of SSAs

i) Outstanding against a working or closed

connection Where payment has not

been forthcoming despite all efforts and

the party has disputed bill(s) and wants

details of claim but details cannot be

given for want of relevant records (for

example-trunk calls Tickets etc.)

Up to Rs.20000/- per telephone

connection

ii) Outstanding against a working or closed

connection Where the party claims to

have made the payment but does not

have receipt(s) at this distant date


connection

Outstanding involving petty amounts

against working or closed connection

Where all possible efforts made to

realise the dues have proved futile and

further pursuance is considered

uneconomical and hence not

worthwhile


connection

The Heads of SSAs before resorting to write-off, will screen all cases of the description

detailed above carefully. The write-off sanctions will be issued under the personal signatures

of the Head of SSA and contain the following certificates besides the usual one appended to

sanctions to write off:-



66

“All the cases detailed in the sanction have been carefully screened to may satisfaction and I

hereby certify that:

a) The need for such write-off has arisen not from fraudulent manipulation or

misplacement of the relevant records but from normal administrative exigencies.

b) Suitable action wherever necessary for omission or negligence on the part of the

staff concerned which led or contributed to the loss has been taken.

c) Adequate measures have been taken wherever necessary to prevent a repetition of

such losses in future.

6. Write off of irrecoverable revenue of Telex connections:

The revised policy for write off of irrecoverable outstanding dues for landline

telephones mentioned at serial 1 to 5 above will apply mutates mutandis to the cases

of irrecoverable revenue of Telex connections.

(BSNL HQ No.2-32/2002-BSNL/TR dt. 19-9-2006)

Write-off policy for liquidation of irrecoverable dues of closed connections of CMTS.

1. OUTSTANDING PURSUIT:

1.1 It shall be ensured that disconnection of outgoing service by 21st day and incoming

service by 26th day from the date of issue of bill is effected without fail for non-

payment of dues. After 15 days from the date of disconnection of incoming service,

GM (CMTS) of the Circle will send a list of outstanding cases where the outstanding

is more than the deposit available, to the SSA concerned. The SSA concerned will

immediately initiate action to issue notice for disconnection of associated BSNL

landline / WLL connection after observing prescribed procedure. The action taken on

the outstanding list will be reviewed by the IFA / DGM (F) / DGM (TR) of the SSA

in-charge of CMTS.

1.2 On permanent closure of the service, the account will be regularized by GM (CMTS)

of the Circle i.e. cancellation of excess charges if any and adjustment of deposit.

Every month GM (CMTS) of the Circle will sent a consolidated list of outstanding in

respect of closed connections as detailed below to the SSA concerned.

1.3. Consolidated list of outstanding with the following details grouped in three slabs viz.

i) Above Rs. 5000 ii) Rs. 251 to Rs. 5000 iii) Up to Rs. 250



67

a) Account No.

b) Mobiles Numbers

c) Name of the customer

d) Total amount outstanding

1.4. On receipt of the above information from the GM (CMTS) of the Circle, the SSA

concerned will immediately take action to pursue recovery of outstanding by issuing

defaulter notice after adjusting any deposit with landline / WLL connection and

entrusting the work to Private Recovery Agents / Telephone Revenue Inspectors /

Phone Inspectors. The SSA will maintain individual defaulter file for all cases of

outstanding above Rs. 5000 with the following details:

1. Name and address of the customer

2. Account No.

3. Mobile numbers

4. Date of activation of the connection.

5. Date of disconnection of outgoing service

6. Date of disconnection of incoming service

7. Details of associated landline / mobile number / WLL of BSNL or other

operator, if any.

8. Details of outstanding viz. Invoice No., Invoice date, amount outstanding

9. Copies of the outstanding bills along with itemized bills.

10. Copy of original application along with relevant documents

1.5 The preliminary reports submitted by the Private Recovery Agents / Officials /

Officers will be placed along with individual details of the defaulter.

Simultaneous action to get reports from Revenue Authorities / Police wherever

applicable shall also be taken. The liquidation board will take into

consideration of all the above while reviewing the irrecoverable outstanding.

2. WRITE-OFF:

2.1.1 Before a case is finally recommended for the write-off, it is necessary to obtain

reports from various authorities concerned regarding the assets owned by the

defaulters to find out the possibility of recovery through a legal suit. Such cases

should be finalized very expeditiously and following points should be kept in view:-

1) The report of the Revenue authorities regarding the financial position and report

of the Police authorities about the whereabouts of the defaulters should

invariably be obtained where outstanding of Cellular Mobile dues are above Rs.

50000 per account.



68

2) The power of dispensing with the report of the Revenue Authorities in cases of

outstanding per account up to Rs. 50000 and exceeding Rs. 20000 shall be

exercised by the Heads of Telecom. Circles / Metro Circles and up to Rs, 20000

and exceeding Rs. 5000 by the Heads of SSAs personally on the

recommendation of the High Power Committee and in consultation with their

IFAs subject to the following conditions.

a) For this purpose, the High Power Committee should satisfy itself that all

efforts had been made to obtain the reports from the Revenue Authorities /

Police Authorities but the same could not be obtained within a reasonable

time.

b) The report of the preliminary investigation about whereabouts of the

defaulters not being known should be got verified and confirmed by the

report of another independent official / Officer of higher rank i.e. the

report of the Phone Inspector / Telephone Revenue Inspector should be

confirmed by a report from JTO or SDE.

c) The possibilities of locating the whereabouts of the defaulter through

Income Tax / Sales Tax Authorities should have been explored and found

to be not fruitful

3) In all other cases of outstanding per account exceeding Rs. 250 and upto Rs.

5000, the procedure for obtaining the reports from Police / Revenue Authorities

may be dispensed with the approval of the IFA of the SSA. Such cases may be

decided on the basis of the report of the preliminary investigation about

whereabouts of the defaulters not being known and should be got verified and

confirmed by the report of another independent official / Officer of higher rank

i.e. the report of the Phone Inspector / Telephone Revenue Inspector should be

confirmed by a report from JTO / SDE.

4) In all cases, irrespective of the amount of outstanding, where there is a reason to

believe that the report of the departmental staff is incorrect or is calculated to

favour the defaulter, the report of the Police / Revenue Authorities should be

obtained.

2.2 Before resorting to write-off, the competent authority will screen all cases of the

description detailed above carefully. The write-off sanctions will be issued under the

personal signatures of the competent authority and contain the following certificates

besides the usual one appended to sanctions to write-off:-

i) The need for such write-off has arisen not from fraudulent manipulation or

misplacement of the relevant records but from normal administrative exigencies.

ii) Suitable action wherever necessary for omission or negligence on the part of the

staff concerned which led or contributed to the loss has been taken.



69

iii) Adequate measures have been taken wherever necessary to prevent a repetition

of such losses in future

2.3 The IFAs of SSAs may dispense with the report / enquiries by Telephone Revenue

Inspectors / Investigating Officers etc. in cases where the total outstanding in respect

of closed connections does not exceed Rs. 250 per account, provided the outstanding

is more than six months old.

2.4.1 Delegation of Financial Powers for Write-Off Of Irrecoverable Revenue Dues Of

Cellular Mobile Telephone Services.

Power Delegated To Financial Powers

Circle Telecom. Board

Rs. 5,00,000 in each case

Head of the Circle (C G M)


i) PGM / GM (Head of SSA in Circles)

ii) PGM (CMTS) / GM (CMTS) in

Metro Circles



TDM ( Head of SSA in Circles)

Rs. 20,000 in each case

DGM (TR) / DGM (F) in-charge of CMTS

in SSAs


TDE ( Head of SSA in Circles)


CAO in-charge of CMTS in SSAs Rs. 10,000 in each case

a) The exercise of financial powers is subject to strict observance of rules, orders,

instructions and guidelines issued by BSNL from time to time and subject to

availability of provision for bad debts.

b) The financial powers are to be exercised by the competent authorities strictly in

consultation with their respective IFAs.

2.5 Constitutions of High Power Committee and Liquidation Boards and their

functions in respect of Cellular Mobile Telephone Services

2.5.1 Constitution:

Sl. Unit Designation High Power Committee Liquidation Board



70

No.

1 Telecom.

Circles

a) Chairman

b) Members

c) Secretary

PGM/GM/TDM/TDE

(Head of SSA)

DGM (TR)/DGM(F) in-

charge of CMTS of

SSA / IFA

DE (Out-door) of SSA

under whose

jurisdiction the address

of the defaulter falls.

DE (Vigilance) /SDE

(Vigilance) of the SSA

AO in-charge of CMTS

in the SSA

DGM (TR) / DGM

(F) in-charge of

CMTS in SSA /

IFA

DE (Out-door) of

SSA under whose

jurisdiction the

address of the

defaulter falls.

CAO in-charge of

CMTS in the SSA

SDE (Vigilance) of

the SSA

AO in-charge of

CMTS in the SSA



71

Sl.

No.

Unit Designation High Power Committee Liquidation Board

2 Metro Circles a) Chairman

b) Members

c) Secretary

PGM (CMTS) / GM

(CMTS)

DGM (TR) /DGM(F)

O/o PGM(CMTS) /GM

(CMTS) / IFA

DE (Outdoor) under

whose jurisdiction the

address of the defaulter

falls.

DE (Vigilance)/SDE

(Vigilance)

AO (TR) O/o GM

(CMTS)

DGM (TR) /

DGM (F) O/o

PGM (CMTS)

/GM (CMTS) /

IFA

DE (Outdoor)

under whose

jurisdiction the

address of the

defaulter falls.

CAO (TR) O/o

PGM(CMTS) /GM

(CMTS)

SDE (Vigilance)

AO (TR) O/o GM

(CMTS)

2.5.2 Functions:

(A) High Power Committee:

(i) Will review all cases of outstanding beyond the purview of LBM and more than

three months old and satisfy themselves of the adequacy of action taken and

direct further course of action for recovery of the dues.

(ii) Will review whether Liquidation Board meetings have been held regularly.

(iii) Will review whether disconnections have been made promptly and if not,

initiate necessary remedial measures, and wherever disconnections have been

held up, review such cases to see whether the same is in order and has been

approved by the competent authority.

(iv) Will examine the possibility of legal action for recovering and recommending

filing of suits



72

(v) Will recommend to write-off by competent authority in respect of cases of

irrecoverable dues of closed connections reviewed after observing the guidelines

on write-off.



73

(B) Liquidation Boards:

(i) Will review all cases of outstanding up to the limit given below and more than

three months old up to the end of the month preceding the month in which the

meeting is held.

LBM headed by JAG level officer of SSA – Above Rs. 5000 and up to Rs.

20000

LBM headed by STS level officer of SSA - Above Rs. 5000 and up to Rs.

10000

(ii) Will examine the adequacy of action taken for recovery of the dues.

(iii) Will recommend to write-off by competent authority in respect of cases of

irrecoverable dues of closed connections reviewed after observing the guidelines

on write-off.

2.5.3 Frequency:

The Liquidation Boards shall meet every month and High Power Committee bi-

monthly. A monthly report, in the format given below, on holding of LBM /HPC

shall be appended to the Sub Ledger Review report of CMTS.

CIRCLE: Month:

Opening balance of defaulter cases pending for review

No. of defaulter cases arisen after permanent closure

and regularization of account during the month

No. of defaulter cases under review

Closing balance of defaulter cases pending for review

HPC LBM Outstanding

up to Rs. 5000

Date of meeting --NA--

No. of cases reviewed

No. of cases recommended

for write-off

Amount recommended for

write-off (in thousands of

Rs.)

2.5.4 Outstanding per account up to Rs. 5000



74

The outstanding up to Rs. 5000 will be reviewed in normal course on a monthly basis

without submitting to LBM or HPC and necessary action to be taken to liquidate the

outstanding subject to adherence to the provisions for write-off.

2.6 Maintenance of Write-Off Register

The amounts written off should be entered in a register maintained, in manuscript and

softcopy, for the purpose in the format given below. The entries in the register shall

be reviewed every month and countersigned by CAO concerned.

Sl

No.

Date of

sanction

Account

No. /

Mobile

No.

Name of

the

customer

Invoice

No.

Invoice

dt.

Invoice

amt.

Particulars

of

sanction

Sign.

of AO

2.7 Incorporation of write-off details in the CMTS billing system:

All write-off sanctions issued by competent authority will be sent to the concerned

officer authorized to incorporate in the CMTS billing system with a copy to GM

(CMTS) of the Circle.

2.8 Format For Individual Outstanding Details

Account No. / Name

& Address of the

Customer

Mobile

Number

Date of

activation

Date of

disconnection

of Outgoing

Date of

disconnection

of incoming

Details of Associated Land line / WLL connections as per Billing system:

Details of outstanding invoices:



75

Invoice Number Invoice date Amount

outstanding

Itemized bill

attached Yes / No

Total outstanding

Signature of AO

In-charge of CMTS

……………….. (SSA)



76

Details of disconnection of associated landline / WLL connection, if any:

Date of issue of Defaulter Notice:

Brief Report of TRI / PI /

PRA

Brief Report of Revenue

Authority

Brief Report of Police

Signature of AO (CMTS) / AAO (CMTS) / JAO (CMTS) of the SSA

Details of amount recovered:

Date of Recovery Amount Recovered Balance

Review by Liquidation Board:

Date of Review Recommendation Signature of Chairman



77

Review by High Power Committee:

Date of Review Recommendation Signature of Chairman

Approval of the competent authority to write-off

===== END OF POLICY ===

Vide BSNL Lr No. .2-22/A/2005-BSNL/TR, dated: - 27.11.2006, there were proposals by the

corporate office to engage private recovery agents to collect the dues from defaulted

subscribers.

Subject: Re- Launch of a Discount Scheme for the Ex- Subscribers (Defaulters) of

DoT/DTS/BSNL, under Basic/WLL Service as well as under CMTS, for clearance of

their outstanding telephone/mobile phone dues—regarding.

Based on the achievements regarding recovery of old outstanding dues from the defaulters

under the Discount scheme, introduced for three months vide this office circular of even No.

dated 14-06-2007, recommendations were received from some Circles regarding re-

launch of the scheme under the subject. The proposal in this regard was submitted to CMD,

BSNL, for consideration and approval. The said proposal for re-launch of the scheme for a

period of six months has been approved by the CMD.



78

2. Accordingly, the approval of CMD, BSNL is hereby conveyed for re-launch of the

scheme under the subject with immediate effect upto 30-09-2007. The scheme is

reproduced as follows:

3. Scheme:

The Ex- Subscribers (Defaulters) of DoT/DTS/BSNL, under Basic/WLL as well as

under CMTS who come forward to liquidate their outstanding dues in lumpsum shall

be granted discount at the rates given below with reference to the age of outstanding

amount:

S. No. Age of outstanding dues Discount admissible

1 Up to 2 year old Nil

2 2 to 4 years old 10%



5 8 years old and above 20%

4. Terms and Conditions:

Following terms and conditions are prescribed for the re-launched Discount Scheme:

i) The scheme shall be applicable to all disconnected numbers having outstanding

of more than one year, but the discount shall be payable only for clearance of

outstanding bills more than two year old at the rates indicated in para 3 above.

ii) There shall be no ceiling on the maximum eligible amount of discount payable

on bills paid against one particular connection.

iii) Payment shall preferably be accepted in cash only. However, in case payment is

received by cheque, necessary action for finalisation of defaulter‟s account shall

be taken only after realisation of cheque. It should clearly be indicated in the

consolidated bill given to the party that discount being offered is subject to

realisation of full amount of cheque.

iv) Telephones, if required to be restored shall be reconnected only after the total

outstanding amount minus the eligible discount is realised.

v) Moreover, if requested by the customer, Telephone can also be reconnected,

without charging rental for the intervening period.

vi) Reconnections to be approved only by the Head of SSA with the concurrence of

IFA.

vii) It should, however, be made clear to the subscriber in writing that allotment of

the same indicator No. of the disconnected telephone or Cell phone in respect of



79

which the dues are being cleared can‟t be guaranteed. Efforts should, however,

be made to provide the same indicator No. wherever possible.

viii) The scheme can be availed of by the State Government Departments/

Corporations/ Local bodies/ Public Undertakings on the similar pattern as by the

private parties, individuals etc.

ix) The scheme will be applicable for all disconnected numbers; irrespective of

whether the applicant is desirous of reconnecting the phone or not.

x) Fresh deposits at applicable rates from applicants desirous of reconnecting their

phones will have to be taken in case the deposits have been adjusted against the

outstanding dues.

xi) The scheme shall be launched by all the Circles with immediate effect upto 30-

09-2007.

5. Finalisation of Defaulter‟s Account:

a) Discount allowed to the defaulter under the instant scheme after clearance of the

outstanding bills net of such discount by him/her, shall remain outstanding in the

accounts of BSNL unless action is taken to write off the said balance amount.

Therefore, it has to be ensured that immediately after receipt of payment (in case

received in cash) or on receipt of information regarding clearance of cheque (in

case payment is made by the subscriber through cheque); action should be taken

to write off the said balance amount.

b) The said balance amount, which obviously will be equal to the amount of

discount allowed to the defaulter under the scheme, shall be written off by the

concerned authority as per delegations made for writing off of irrecoverable

Telecom revenue.

6. Other related activities

a) The scheme should be launched in all the SSAs of the Circle. However, it

should be ensured that the periodicity of the scheme is restricted upto 30-09-

2007 only.

b) Wide publicity should be given to the scheme during the launch period so that

the attention of maximum number of defaulters gets attracted.

c) While publicizing the scheme, specific mention should be made about the

proposed date of launch of scheme, its periodicity (i.e., scheme effective from

__________ to _________) and the fact that relief being allowed through the

scheme may not be allowed after expiry of the scheme on 30-09-2007.

d) On receipt of payment from the party, a clearance certificate should be issued to

the party/ ex-subscriber (defaulter) clearly indicating that the account against the



80

particular connection against which defaulter has made payment, has been

settled by grant of discount to the party to the extent of Rs.-----------------/- and

receipt of payment of balance amount of Rs.-------------/- in lumpsum from

him/her.

7. Submission of Reports:

a) Reports on results achieved on implementation of the scheme separately in

respect of each of the SSAs of the Circle, should be sent to this office by the

Circle office after the expiry of the scheme on 30-09-2007.

b) The report in this regard separately for (i) Basic telephone and WLL Service and

(ii) CMTS should be sent in the following proforma latest by 15-10-2007.

PROFORMA – A

Cases settled through Discount Scheme under Basic telephone & WLL Service.

S.No

.

Name of

SSA

Date of

commence-

ment of

scheme

Date of

closure

of

scheme

No. of

Cases

settled

Amount

realised

Discount

allowed

Total

amount

settled

( 6 + 7)

Year wise

break up

of amount

settled as

per Col.8

1 2 3 4 5 6 7 8 9

1

2

3

Total*

Total to be indicated SSA wise.

PROFORMA – B

Cases settled through Discount Scheme under Cellular Mobile Telephone Service.



81

S.No

.

Name of

SSA

Date of

commence-

ment of

scheme

Date of

closure

of

scheme

No. of

Cases

settled

Amount

realised

Discount

allowed

Total

amount

settled

( 6 + 7)

Year wise

break up

of amount

settled as

per Col.8

1 2 3 4 5 6 7 8 9

1

2

3

Total*

* Total to be indicated SSA wise.

(BSNL HQ No. No.2- 19 /2005-BSNL/TR Dated: 28 - 03 – 2007)

Subject: Permanent closure of mobile connections disconnected for non-payment of

dues.

It has been brought to the notice of this office that bills are being continuously issued

claiming fixed monthly charges even after disconnection of OG/IC facility for non-payment

of dues. In this regard attention is invited to the letter No.114-6/2003-Comml dated 27th

January 2004 wherein instructions for permanent closure of mobile connections disconnected

for non-payment, after 60 days from the „Date of bill‟ was issued.

As issue of bills claiming fixed monthly charges even after DNP results in accumulation of

fictitious outstanding, unnecessary expenditure on stationery and postage, additional work at

the time of cancellation of excess claim and inconsistency in the data of ABF and ARPU,

following guidelines are issued for immediate implementation.

1. The mobile connections (i.e. packages) disconnected for non-payment shall be closed

after 60 days from the date of bill (i.e. 34th day from the date of incoming barring).

2. Automated procedure for permanent closure available in Pune Billing Centre shall be

replicated in all Zonal Billing Centres and this procedure shall take care of cancellation

(i.e. adjustment) of excess fixed monthly charges, if any, claimed.

3. The above process is to be centrally run by Zonal Billing Centre only in respect of all

Circles under the Zonal Billing center.

4. Fixed monthly charges (i.e. recurring charges) will be chargeable only up to the

previous day of date of incoming barring (i.e. there shall be no fixed monthly charges

for the day of permanent closure irrespective of time of closure), if incoming barring is



82

effected within/up to 5th day from the date of outgoing barring. Otherwise fixed

monthly charge is to be claimed up to the date of last usage.

5. No further bills shall be formatted (i.e. BIF) and dispatched unless there are any

unbilled usage charges.

Zonal Billing Centres shall furnish the details of permanently closed connections after

DNP to the respective Circles, SSA-wise, on the 3rd day of permanent closure.

6. Circle /SSA shall take immediate action to adjust the deposit available against

outstanding of the permanently closed mobile connections within 5 days of receipt of

information from Zonal Billing center and return the list to Zonal Billing center duly

indicating the date of adjustment and amount adjusted.

It is requested that all pending cases may be reviewed and closed in accordance with the

above guidelines on or before 31-03-2007 and ensure that accounting of adjustment of excess

claim of fixed monthly charges are duly reflected in sub ledger reports for the onth of March

2007.

(BSNL HQ NO. 2-85/2006/TR-CMTS/BSNL Dated 30-03-2007)

Subject: - Settlement of defaulter cases through Lok Adalats – reg.

The matter regarding settlement of defaulter cases (including court cases) through Lok

Adalats had been engaging the attention of this office for quite some time. Accordingly a

proposal in this regard was placed before the Management Committee, which was discussed

by the Management Committee in its 40th Meeting held on 21.6.2006. The Management

Committee having considered the proposal has approved to authorise all of the Head of SSAs

to settle the cases of defaulters (including court cases) through Lok Adalats or through out of

court settlement by offering the package as follows: -

In this regard the defaulters who come forward for settlement of the outstanding dues in lump

sum may be allowed the following concessions:

i) Graded discount on the basic defaulted amount at the rate indicated below S.No. Age of

outstanding dues Discount admissible

1 Up to 2 year old Nil




5 8 years old and above 20%

ii) Interest @ 18% leviable on defaulted amount, may be waived off.

iii) However, in case of the ongoing Court cases, where the cases are desired to be settled

through out of Court settlement or through Lok Adalats, the amount of graded discount



83

payable for lump sum payment of the outstanding amount under item (i) above should

be adjusted against the legal expenses incurred in respect of such cases for filing and

pursuing the related recovery suits in Civil Courts. The position is clarified further as

follows:

In respect of Court cases desired to be settled through Lok Adalats, if the Legal expenses

incurred in filing and pursuing the related recovery suits in Civil Courts happen to be more

than the discount payable on lump sum payment of outstanding dues under item (i) above, the

difference i.e., the balance of legal expenses should be recovered in lump sum from the

defaulter along with the outstanding dues. However, where the legal expenses incurred

happen to be less than amount of discount payable as per item (i) above, the balance of

discount amount after adjustment of legal expenses should be allowed to the defaulter on

lump sum payment of the outstanding dues.

It may be worthwhile to mention that while the upper ceiling for referring the defaulter cases

to Lok Adalats for settlement of outstanding dues relating to Telephone Bills shall be Rs. Ten

lakhs, the Head of SSAs may take decision on the minimum amount (floor limit) of

outstanding for settlement of which the case can be referred to Lok Adalats (this relaxation is

not applicable for filing recovery suits in Civil Courts, where the floor limit for filing suits

will continue to be Rs.25000/-). The Head of SSA should, however, satisfy himself that the

cost involved in referring the matter to Lok Adalat and in pursuing the same thereafter, shall

not exceed the amount expected to be recovered from the defaulter.

All the Head of Circles are requested to bring these instructions to the notice of all concerned,

with instructions to initiate the process of settlement of defaulter cases (including Court

cases, wherever desired) through Lok Adalats with immediate effect. A monthly return

showing the progress on settlement of cases through Lok Adalats should be prescribed for all

the SSAs and the same after due compilation at the Circle level should be sent to the

Corporate Office through the monthly Sub Ledger in the following proforma.

Proforma

Statement on settlement of cases of defaulters through Lok Adalats or through out of

Court settlement, for the month _______________.

S.No

Name of SSA

Number of cases settled

Amount settled

Amount actually realized through recovery

Amount of legal expenses adjusted



84

Amount of Discount allowed (after) adjustment of legal expenses is r/o court cases settled

through Lok Adalats or through out of court settlement.

The above procedure of settlement of defaulter cases through Lok Adalats or through out of

Court settlement will apply mutatis mutandis to the defaulter cases under CMTS as well.

No. 2-11/96-TR/BSNL/VOL-III dated:- 25 .08.2006.

Refunds

Subject: TRAI‟s decision on Refund of Security Deposit after Disconnection of Telephone.

Further, to ensure speedy settlement of refund cases, (emphasizing strict observance of the

guidelines issued by the erstwhile DOT under No.2-46/94-TR dated 30.12.94 for refunding

Security Deposits to customers of closed telephones within sixty (60) days) the letter dated

23.4.03 had asked that this item of work be monitored at the Circle HQ by obtaining monthly

statements from SSAs. A consolidated monthly statement was also prescribed to be submitted

to this office by the Circles by the 15th of the following month.

Meanwhile, after receiving complaints from several aggrieved customers against various

service providers, the TRAI has now decided a time frame of 60 (sixty) days within which

the service providers shall effect refund of the security deposit after adjustment of dues, if

any, from the subscribers. The Authority has also decided that the service providers shall pay

an interest @ 10% per annum for the delayed period beyond 60 days. (so that BSNL does not

incur any expenditure on account of interest to be paid to (ex) customers for delayed refund

of Security Deposit.)

This item of work may also be closely monitored by the heads of SSAs as well as at the

Circle (HQ) on a fortnightly basis.

No. 2-4/2002-BSNL (TR), Dated: 12.09.2003

Under Enterprises services following services are available :

Voice & Mobility

EPABX

Voice VPN

ISDN(PRI/BRI)

Centrex

2G/3G Mobile

Blackberry Services

Enterprise Broadband

Wi-Max

Wi-Fi

http://bsnl.in/opencms/bsnl/BSNL/services/enterprises/epabx.html

http://bsnl.in/opencms/bsnl/BSNL/services/landline/vpn.html

http://bsnl.in/opencms/bsnl/BSNL/services/broadband/isdn.html

http://bsnl.in/opencms/bsnl/BSNL/services/enterprises/enterprises_centrex.html

http://bsnl.in/opencms/bsnl/BSNL/services/mobile/overview.html

http://bsnl.in/opencms/bsnl/BSNL/services/enterprises/blackberry.html

http://bsnl.in/opencms/bsnl/BSNL/services/mobile/wimax_overview.html

http://bsnl.in/opencms/bsnl/BSNL/services/enterprises/internet_wifi.html



85

EVDO

DSL/FTTH Broadband

IDC Services

Managed Colocation Services

ManagedHosting Services

Managed IT Services

Cloud Services (PCaaS)

Managed Services

Managed Network Services

Managed SaaS(Mail)

Internet Data Centre

WebCare Service

Data Services

Leased Circuit (DLC)

MPLS VPN

Internet Leased Line

VSAT

VPN Services

(Over BB,CDMA/3G)

Leased Submarine Cable

Other Services

Web Colocation

Fleet Tracking

v-Sangoshti Service

Video Surveillance

Web Hosting

USOF Project

DataOne Broadband Service

Broadband refers to a connection that has capacity to transmit large amount of data at high

speed. Presently a connection having download speeds of 256 kbps or more is classified as

broadband. When connected to the Internet such a connection allows surfing or downloading

much faster than a dial-up or any other narrowband connections.

What the customer needs in order to be able to use Broadband?

• BSNL's Bfone (Basic phone) connection

• Personal Computer with 10/100 Ethernet Port

• ADSL CPE (Customer Premise Equipment). This can be taken from BSNL at

nominal rental per month or may be outrightly purchased.

http://bsnl.in/opencms/bsnl/BSNL/services/mobile/evdo_postpaid.html

http://bsnl.in/opencms/bsnl/BSNL/services/broadband/bb_ftth.html

http://bsnl.in/opencms/bsnl/BSNL/services/enterprises/co-location.html

http://bsnl.in/opencms/bsnl/BSNL/services/enterprises/managedhosting.html

http://bsnl.in/opencms/bsnl/BSNL/services/enterprises/managedit.html

http://www.bsnlcloud.com/pages/Compute_as_a_Service.asp

http://bsnl.in/opencms/bsnl/BSNL/services/enterprises/mns.html

http://bsnl.in/opencms/bsnl/BSNL/services/enterprises/tariff_managed_saas.html

http://bsnl.in/opencms/bsnl/BSNL/services/enterprises/idc.html

http://bsnl.in/opencms/bsnl/BSNL/services/enterprises/leased.html

http://bsnl.in/opencms/bsnl/BSNL/services/enterprises/mplsvpn.html

http://bsnl.in/opencms/bsnl/BSNL/services/broadband/internet_tariff1.html

http://bsnl.in/opencms/bsnl/BSNL/services/enterprises/vsat.html

http://bsnl.in/opencms/bsnl/BSNL/services/broadband/vpn.html

http://bsnl.in/opencms/bsnl/BSNL/services/broadband/vpn.html

http://bsnl.in/opencms/bsnl/BSNL/services/enterprises/lease_submarine_cable.html

http://bsnl.in/opencms/bsnl/BSNL/services/enterprises/web-colocation.html

http://bsnl.in/opencms/bsnl/BSNL/services/enterprises/fleet_management.html

http://bsnl.in/opencms/bsnl/BSNL/services/enterprises/Vsangoshti_service.html

http://bsnl.in/opencms/bsnl/BSNL/services/enterprises/video_sur.html

http://bsnl.in/opencms/bsnl/BSNL/services/enterprises/web_hosting.html

http://bsnl.in/opencms/export/sites/default/BSNL/services/enterprises/pdf/USOFsupportedprojectinformationforwebpublishing.pdf

http://www.ebportal.bsnl.co.in/WebUserSpace.jsp



86

.

Services available through Broadband

• High speed Internet Access: This is the always-on Internet access service with

speed ranging from 256 kbps upto 24 Mbps .

• Bandwidth on Demand: This will facilitate customer to change bandwidth as

per his / her requirement. For example a customer with 256 kbps can change

to 1 Mbps during the video Conferencing session.

• Multicasting: This is to provide video multicast services for application in

distance education, telemedicine etc

• Dial VPN Service: This service allows remote users to access their private

network securely over the NIB-II infrastructure.

• Video and Audio Conferencing:

• Content based Services: Like Video on Demand, Interactive Gaming, Live and

time shifted TV

Broadband Tariff – Some Important Points

Demand Note to New Dataone Customers:

At the time of issue of Demand Note, following charges are to be collected:

a) Installation charges (As applicable)

b) Security Deposit of the Modem (If applicable)

c) Refundable Security Deposit for One month‟s rental as per the plan (As

applicable) subject to maximum of Rs.5000. No Security deposit is to be

collected for Home 250 & Home 500 plans

BROAD BAND POSTpaid Plan:

Initial and Other Charges

Initial and Other Charges

BSNL Broadband - Initial and other Charges

Installation charges Rs 250(If modem taken from BSNL/ Self arranged)

Security Deposit of Modem

(refundable) if Modem is taken on Rent

Rs 500

Shifting Charges Nil

Change of Plan Charges Nil



87

Modem Charges

Modem Type

Modem Type ADSL Basic(Non-Wifi)

ADSL WiFi VDSL WiFi

Modem Sale Price (one time

Charges) * Rs.1400 Rs.1500 Rs.3250

Monthly Rental if Modem is

taken on Rent Rs.70 Rs.110 Rs.150

* Inclusive of VAT/Sale Tax and AMC for five years

WiFi: ADSL / VDSL modems with WiFi are suitable for broadband access through wireless i.e.

within the home or office.

VDSL: VDSL (Very high Speed Digital Subscriber line) modems are used for accessing very high

speed Broadband of 16 Mbps and above.VDSL modem can be used upto a distance of 1 Km from

nearest BSNL Telephone Exchange

Modem installation charge Rs.250/- w.e.f. 15.8.2005. This charge is applicable for modem

purchased from BSNL/sourced from elsewhere/supplied free by BSNL.

Modem Charges

1. Modem Sale Price (One time) OR

2. Alternate to Purchase of Modem

(a) Monthly Rental

(b) Security Deposit (refundable) Rs 500

Registration Fees Rs 100 (It will be adjusted in first demand note)

Shifting Charges Nil (Withdrawn w.e.f. 15/07/05)

Change of Plan Charges Nil (Withdrawn w.e.f. 15/07/05)

DateOne Home Plan, Business Plan, Unlimited Home Plan and Business Plans are

available now.

Modem on Outright purchase:



88

Modem Type

Ports Type-I Type-II Type-III Type-IV

Ethernet One One Four Four

Wi-Fi - One - One

USB One - - -

W.E.F. 1-12-2006

Particulars Modem

Type –I Type-II Type-III Type-IV

Modem charges per month in Rs.

(Only applicable if the modem is

provided by BSNL)

60 90 60 90

Sale price of ADSL Modem Rs.

(applicable taxes extra)

1200 1800 1200 1800

(BSNL HQ No.111-45/2005-Coml dt. 14-11-2006)

Other Conditions

(a) For all the home plans, Dynamic IP addresses only will be given. Static IP

address will be given for all business plans free of cost as per BSNL Order dated

24.5.2007. In addition one static IP address is given @ 1500/- per month.

(b) For the DIAS customers, wishing to switch to ADSL Broadband services, the

transfer of Security Deposit to ADSL is permitted.

(c) Minimum period of hire for modem - three months for Home Plan – Rs.250 &

500 for other plans 1 month.

(d) Minimum rental for Broadband will be three months.

(e) Broadband Tariff-clarification order dated 4.6.2007 is given below:

Sl. No. Issue Comments

1. When a customer is on monthly

rent scheme for the Modem and

decides to opt for outright purchase

of modem from BSNL, what

amount should be charged

Option 1: If the customer wants to continue

with existing used modem, 50% of the

amount already paid as monthly rentals

should be adjusted in the sale price of

modem; or

Option 2: If the customer wants new

modem, full amount is to be taken from the

customer as per prevailing price and the old

modem is to be returned by the customer in

working condition.

All other terms and conditions will remain the same.



89

(BSNL HQNo.111-4/2005-Comml. dt. 4-6-2007

Note: All the tariff plans mentioned above are in addition to the normal rental/ usage charges

of the bfone.

Modem with cashback facility:

BSNL offers WiFi modem at Rs. 1500/- with FIVE years warranty support & 100%

Cashback BSNL has launched a very attractive scheme by offering BSNL WiFi Broadband

modem at the cost of Rs. 1500/- & with 100% cashback. Under the scheme, new Broadband

customer who subscribe under a Broadband plan with monthly charges of Rs. 700/- & above,

shall be able to purchase the Broadband modem from BSNL at Rs. 1500/-. Such customers,

shall be given Rs. 100/- per month as cashback for 15 months. BSNL is also offering

warranty support for the modem for FIVE years‟ period without any additional charges. The

above scheme is available till 31-03-2016



90

Special Broadband Package for Commercially Important Customers (CICs as per

BSNL HQ No. No. 111-11/2005-Comml Dated : 13th May, 2005)

(a) Bulk Booking - Any customer seeking 25 or more connections may be treated

as bulk booking. The installation charges @ Rs.500 (now Rs.250) per

connection may be waived off in case of bulk booking in same building or

location.

(b) Broadband connections at residence of employees of CICs booking bulk

connection - Though the telephones are in corporate/firm name and working at

residence of the employees, the „Home Plan‟ may be permitted on such

connections.

(c) Exemption from Security Deposit for CICs - The Security Deposit on bulk

connections may be exempted subject to an undertaking to be given by the

concerned CIC assuring payment of due charges within stipulated time.

Triple Play Services on Broadband – IPTV – Latest Tariff Circular dated 23.7.2007

The Services have already been launched at Pune and shall be launched at Kolkata and

Bangalore shortly. The following tariff shall be applicable in all the three cities,

Initial charges for IPTV:

OPTION-I (One Time Charges)

Sl. No. Item Charges (Rs./month)

1 Installation and Activation charges (Non-

Refundable)

889

2 Set Top Box (STB) (Sale-One Time) (Option-I) 3950**

OPTION-II (Monthly charges)

S. No. Item Charges (Rs./month)

1 Installation and Activation charges 889

2 SD for STB (Refundable) 1500

3 Fixed Monthly charges for STB 100#

Installation charges for bfone and broadband shall be extra as per existing rules.

** The franchisee shall directly provide the STB to the customer on one time sale basis



91

# The fixed monthly charges for STB will be applicable when the customer opts for not

purchasing the STB and is ready to pay monthly charges for the use of STB. In this

case, he has to pay a refundable SD of Rs.1500

(Service and other Taxes will be charged as applicable)

IPTV:

S.No. Service Charges /month (Rs.)

1 IPTV-Basic 150#

# The Service and other Taxes shall be extra

Video on Demand: The movies will be divided in a 4 categories. Charge per movie is as

follows.

S. No. Category Charges

1 Normal Rs.10

2 Semi Premium Rs.25

3 Premium Rs.80

4 Hollywood On actual basis (Decided by content

Provider)

Service Tax and Entertainment Tax : The Service Tax and other Taxes shall be as

applicable. Entertainment tax of Rs.45 per month or as applicable in the area shall be

chargeable over and above the charges prescribed.

Discounts: A discount of 20% on broadband and bfone monthly fixed charges shall be

offered to customers taking bfone+broadband +IIPTV together.

This order shall be effective from 23-7-2007. All other terms and conditions shall continue to

be applicable.

Tariff shall be reviewed after six months. Field units are requested to send the detailed review

proposal based on market trend and IPTV customers‟ statistics.

Tariff for VPN over broadband/FTTH/Wimax

Tariff for VPN over Broadband/FTTH/

A.Tariff for VPNoBB 256Kbps/512Kbps/1Mbps and 2Mbps only for e-Governance and other projects of Central /State Government:

Tariff Details:



92

Particulars VPNoBB

256

VPNoBB

512

VPNoBB

1Mbps

VPNoBB

2Mbps

Up and Down BW 256Kbps 512Kbps 1 Mbps 2Mbps

Fixed Monthly charges(In Rs.) 1200 2040 2880 3840

Annual Payment charges(In Rs..)=FMC*11 13200 22440 31680 42240

Fixed Static I. P. Charges P. A.. (In Rs.), If Required

1500 1500 1500 1500

Usage Unlimited Unlimited Unlimited Unlimited

Provision of free Fixed IP No No No No

Committed Data Rate Purely on best effort basis

B.Tariff for VPNoBB 256Kbps/512Kbps/1Mbps and 2Mbps only for General as well as Enterprise customers :

Particulars VPNoBB256 VPNoBB512 VPNoBB

1Mbps

VPNoBB

2Mbps

Up and Down BW 256Kbps 512Kbps 1 Mbps 2Mbps

Fixed Monthly charges( In Rs.) 2000 3400 4800 6400

Annual Payment charges(In Rs.)=FMC*11 22000 37400 52800 70400

Fixed Static IP charges P. A.( In Rs.),, if

Required 1500 1500 1500 1500

Usage Unlimited Unlimited Unlimited Unlimited

Provision of free Fixed IP No No No No

Committed data rate Purely on best effort basis

Terms and conditions :

The VPNoBB service will be treated as stand alone service for all category of customers

including e-Governance i.e it will not be mandatory to take BB plan with VPNoBB service.

However , customer may opt for Business BB plans, on payment basis , on some or all the

lines to access internet , if needed . The customer will be able to access either VPN or internet

at a time .

VPNoBB service will be provided only with BSNL Landline

This revision in Tariff of VPNoBB will be applicable only for new connections taken under new

projects and the tariff of existing connections may be revised after expiry of the

agreement/commtment period given by the customer.

Minimum hiring period for VPNoBB – One year

No downloading/uploading limits have been kept for those VPNoBB plans.

All charges are exclusive of Service Tax.

This tariff will be applicable with immediate effect.

Broadband internet Services on FTTH :

Tariff of Broadband Internet Service on FTTH

One time charges for FTTH Services

S. Particulars Tariff in Rupees



93

No.

1. Activation/Installation charges 500.00

2. ONT Security Deposit * 1000.00 (Refundable)#

3(A) ONT Charges (When taken on Rent) in Rs.

i) ONT Charges per month 150.00

ii) ONT Charges per annum 1800.00

3(B) ONT along with ADSL WiFi Modem charges

i) Rental per month 200.00

ii) Security deposit charges(refundable) 1500.00

4. Outright Purchase of ONT MRP. Charges in Rs. (Inclusive of VAT/Sales Tax & warranty/AMC

upto 5 years ) ##

a. ONT Configuration-A Type Rs. 12000

b. ONT Configuration-B Type Rs.14500

* Security Deposit: A refundable Security Deposit is to be taken for the ONT Type A or Type B which is to be refunded on return of the ONT in working condition. # 1. Security Deposit shall be Rs 500 if the subscriber Pays For plan Charges of 6 months in advance 2. in case of annual payment option security deposit is completely waived off ## Customers can use their own purchased ONT from market,subject to interoperability with BSNL OLT

Broadband plans on FTTH (Recurring charges): A. For All Broadband Plans

Any DSL Broadband plan (including combo plan) with FMC Rs. 375 and above is applicable on

FTTH .

Voice only facility over FTTH is available on any Landline connection subject to minimum FMC

commitment of Rs. 195/- and above. B. Click here for DSL Broadband Plans available on FTTH C. Exclusive Broadband Plans for FTTH Fibre Broadband Unlimited Plans

S.N.

Particulars

FiBro ULD

3999

FiBro ULD

5999

FiBro ULD

9999

FiBro ULD 16999

1 Bandwidth (Download Speed)

upto 10 Mbps

till 50GB, 512 kbps beyond

upto 20

Mbps till 100GB, 512

kbps beyond

upto 50 Mbps till

150GB, 1 Mbps beyond

upto 100 Mbps till

200GB, 2 Mbps beyond

2 Applicability All Users All Users All Users All Users

3 Fixed Monthly charges (Rs) 3999 5999 9999 16999

4 Annual payment option (Rs) [11XFMC]

43989 65989 109989 186989

5 Two Years payment option (Rs) [21XFMC]

83979 125979 209979 356979

6 Three Years payment option (Rs) 119970 179970 299970 509970

http://www.bsnl.in/opencms/bsnl/BSNL/services/broadband/new_BB_postpaid.html



94

[30XFMC]

7 Download/Upload limit (GB/month) Unlimited Unlimited Unlimited Unlimited

8 Free E mail IDs/Space (per E-mail

ID) 4/5MB 4/5MB 4/5MB 4/5MB

9 Static IP address (on request) One Free One Free One Free One Free

10 Security deposit (Rs.) One month FMC One month

FMC One month FMC One month FMC

11 Minimum hire period One month One month One month One month

a) Centrex Facilty on FTTH:

Size of Centrex Fixed Monthly Charges for Centrex facility per connection (Rs)

<=50 50/-

>50 Nil

All intra-centrex calls are free

b) Rent free incoming connections for Centrex group on FTTH to Corporate Customers /Multistory complex /Housing societies etc. may be provided for the use of Incoming calls and making calls within Centrex numbers only i.e. no outgoing calls out of Centrex subject to Fulfillment of following conditions :

Size of Centrex Rent Free incoming Connection

15-25 01

26-50 02

51-100 03

For every additional 100 Connections additional Connection in addition to above

D. Provision of 2 Mbps and above Leased Lines on FTTH , in areas which are non-feasible on UG

Cable and feasible on FTTH

Single Window Concept for providing bulk Broadband connections for e-governance

projects.

(BSNL HQ No.BSNL/BD/e-Governance/2004 dt. 12-4-2007)

MPLS-VPN Services

This would mean that corporates will have exclusive and highly secured private network

using Multi Protocol Label Switching technique. Wide Area Networks (WANs) not

required to be connected by leased lines anymore.

MPLS-VPN is a cutting edge technology, which offers “data” rates that can be increased

from 64 kbps to 155 Mbps as and when required. Security can be enhanced using Encryption

and firewall protection. IP sec tunneled VPNs can also be supported in this network.



95

Banks and financial institutions requiring absolute security can have the option of having

exclusive labeled path for transacting business using this network. The VPN can be accessed

through dial in via Internet. Additional nodes can be added quickly with minimum cost using

the highly scalable feature of MPLS-VPNs.

Managed services will be offered at economical rates to relieve this corporate houses of the

burden of having in-house technical manpower and investing on the costly equipment. Voice

over IP can also be provided. The users are free to have their Private IP addressing scheme

within their network. Web based network performance reports will be accessible to the users.

1. Tariff for MPLS based IP VPN Servicesiff - MPLS based IP-VPN Service

MPLS-VPN

A. Tariff of MPLS VPN and IP VPN Services in Rs. (w.e.f 1st October, 2013) :

Particular 64 Kbps 128 Kbps 192 Kbps 256 Kbps 384 Kbps 512 Kbps

Gold

For tariff and other commercial information please contact your nearest BSNL

Office/Commercial officer of your area/Enterprise Business unit of BSNL or Head of the SSA/Circle of your area.

Silver

Bronze

IP VPN

Particular 768 Kbps 1 Mbps 2 Mbps 8 Mbps 34 Mbps 45

Mbps

Gold

For tariff and other commercial information please contact your nearest BSNL Office/Commercial officer of your area/Enterprise Business unit of BSNL or Head of the

SSA/Circle of your area.

Silver

Bronze

IP VPN

Tariff for higher bandwidth i.e 100Mbps, STM1, 1 Gbps and 2.5Gbps

Particular 100mbps STM1 (155 Mbps) 1 Gbps 2.5Gbps

Gold

For tariff and other commercial information please contact your nearest BSNL Office/Commercial officer of your area/Enterprise Business unit of BSNL or Head of the


Silver

Bronze

IP VPN

Committed Data Rate in Bronze category - The bandwidth of Bronze category would be restricted

to 50% of bandwidth. However, the minimum B/W of 25% B/W will be committed to Bronze

customers

Shifting charges of MPLS VPN & IP VPN Port - Rs.2000/- per port.

Minimum hiring period for MPLS VPN and IP VPN ports - One year.

Upgradation of port to higher Bandwidth – No charges to be levied for upgradation to higher

bandwidth. The rent for the lower BW port to be adjusted on pro-rata basis.

Provision of last mile on R&G/ Special construction basis - The charges to be levied as per

prevalent R&G/ Special construction terms.



96

Local Lead charges : Included in Port Charges, if these are within Local Area of Telephone system

of a City/Town (Virtual Nodes).

All charges are exclusive of Service Tax. B. Tariff for Postpaid dial-up VPN Service from MPLS VPN customers(w.e.f 1st May, 2007):

Duration Based Plans:

Particulars Number of Dial-in Users

5 Users 25 Users 50 Users 100 Users 250 users

Security Deposit

(Rs.)


Office/Commercial officer of your area/Enterprise Business unit of BSNL or Head

of the SSA/Circle of your area.

Activation

charges(one time) Rs.

Monthly fixed charges(Rs.)

Monthly free usages (equivalent to Rs.)

Credit Limit (Rs.)

Usage Charges Rs. per hour)

PSTN ------------------do-------------

ISDN (64K)

Other Charges per User per month (Rs.)

CLI Restriction

Deactivation

------------------do-------------

Time of Day access

Restriction

Details of child

usages

Source NAP

restriction activation

Volume Based Plans:


5 Users 25 Users 50 Users 100 Users 250 users

Security Deposit

(Rs.)


Office/Commercial officer of your area/Enterprise Business unit of BSNL or Head

of the SSA/Circle of your area.

Activation

charges(one time) Rs.

Monthly fixed charges(Rs.)

Monthly free usages (equivalent to Rs.)

Credit Limit (Rs.)

Usage Charges (Rs. per MB)



97

PSTN ------------------do-------------

ISDN (64K)


CLI Restriction

Deactivation

------------------do-------------

Time of Day access

Restriction

Details of child

usages

Source NAP

restriction activation

Other terms and conditions :

Monthly Fixed charges are payable in advance;

Minimum 10 MPLS leased line ports should be in VPN before Postpaid dial-up facility is allowed;

Account will be deactivated once credit limit is crossed and fresh Action Charge will be payable ;

PSTN/ ISDN rentals and access charges will be extra;

Service Tax will be extra.

Tariffor Accessing MPLS

VTTTTTT

2. Tariff for Accessing MPLS Network Through CDMA Devises as backup links:TA Devices as back up Links

MPLS VPN

CDMA Device CDMA Access Annual charges payable in Advance(Amount in Rs.)#

First year Second year onwards

FWT/IFWT 8000 4000

NIC Card 10000 5000

EVDO Card* 15000 8000

EVDO Router* 21000 10000

EVDO Wi-Fi* 23000 10000

* Available bandwidth same as point-to-point leased line/ MPLS Port bandwidth of the main link up

to a maximum of 256 Kbps

# Sales tax and Service Tax shall be charged as applicable.

* The above tariff is applicable w.e.f. 3-8-2009

Tariff for Postpaid dial-up VPN Service for MPLS VPN customers

The competent authority has decided to introduce Postpaid Dial-up VPN service for MPLS

VPN customers w.e.f. 1st May, 2007 as per tariff plans given below:

http://www.bsnl.in/opencms/bsnl/BSNL/services/enterprises/mplsvpn.html



98


5

Users

25

Users

50

Users

100

Users

250

Users

Security Deposit (Rs.) 10,000 50,000 1,00,000 2,00,000 5,00,000

Activation charges (one time) Rs. 500 2,500 5,000 10,000 10,000

Monthly fixed charges (Rs.) 6,000 30,000 60,000 1,20,000 3,00,000

Monthly free usages (equivalent to

Rs.)

6,000 30,000 60,000 1,20,000 3,00,000

Credit Limit (Rs.) 10,000 50,000 1,00,000 2,00,000 5,00,000

Usage Charges (Rs. Per pour)

PSTN 16 16 14 12 10

ISDN (64K) 20 20 18 16 14


CLI Restriction Deactivation 10 10 10 10 10

Time of Day access Restriction 10 10 10 10 10

Details of child usages 5 5 5 5 5

Source NAP restriction activation 5 5 5 5 5



99

Volume Based Plans:


5

Users

25

Users

50

Users

100

Users

250

Users

Security Deposit (Rs.) 10,000 50,000 1,00,000 2,00,000 5,00,000

Activation charges (one time) Rs. 500 2,500 5,000 10,000 10,000

Monthly fixed charges (Rs.) 6,000 30,000 60,000 1,20,000 3,00,000

Monthly free usages (equivalent to

Rs.)

6,000 30,000 60,000 1,20,000 3,00,000

Credit Limit (Rs.) 10,000 50,000 1,00,000 2,00,000 5,00,000

Usage Charges (Rs. Per MB)

PSTN 1.00 1.00 0.80 0.70 0.60

ISDN (64K) 0.75 0.75 0.65 0.55 0.50


CLI Restriction Deactivation 10 10 10 10 10

Time of Day access Restriction 10 10 10 10 10

Details of child usages 5 5 5 5 5

Source NAP restriction activation 5 5 5 5 5

Other terms and conditions:

1. Monthly Fixed charges are payable in advance;

2. Minimum 10 MPLS leased line ports should be in VPN before Postpaid dial-up

facility is allowed;

3. Account will be deactivated once credit limit is crossed and fresh Activation charge

will be payable;

4. PSTN/ISDN rentals and access charges will be extra;

5. Service Tax will be extra

The above tariff is applicable with effect from 1st May, 2007

(BSNL HQ No.112-19/2005-Comml dt. 13th April, 2007)



100

TR Accounting - Accounting Entry Flow Diagram

A/c Entry

A/c Entry

A/c Entry for payment

A/c Entry

A A/c Entry

A/c Entry

A/c Entry

A/c Entry

A/c Entry

Demand Note

for Initial

Provision

Monthly / Bi-

monthly / Fort-nightly Bill Issue

Copy to TR /

Computer Cell

Bill cancelled

Bill paid by

Customer

Entry Cash

Book

Make S/Tax Payment

Generate

S/ Tax

received

Bill Master

Store

Sub-ledger

Preparation and

Plan

Entry for D/N

and for prompt

cash book entry

Customer pays

the D/N

Issued to

Customer

Bill written off

Disputed Bill

Final bill after closure

Dishonoured cheque

Supply Bill

Bill cancelled

Installment Granted and Paid

Adjustment against deposits

after closure



101

A/c Entry

The accounting of telephone bill payments and related activities are listed below:

o Payment accounting and printing of reconciled payment statements.

o Accounting of Cancellation, adjustments, write off and excess/ short payment.

o Unadjusted credits.

o Details of discount allowed in bills.

o Service Tax \ Surcharge Payment and accounting.

o Sub-ledger (Monthly Reconciliation of Sundry Debtors) Preparation of bill summary

analysis.

o B bill summary analysis.

o Printing of list of unpaid telephone numbers for disconnection (Ringing and

disconnection list)

o Printing of Head Post office collection summary, Bank collection summary etc.

o Cheque dishonour cases of Telephone bill payments.

o Reconciliation statement for trunk call, phonograms and overseas calls.

Payment accounting and issue of reconciled payment statements.

The payment of telephone bills at the cash counters of BSNL are accounted either in batch

mode or online accounting system. Under online accounting system, the payment is updated

instantly in the main server. The chances of unmatched items are almost nil. Wherever

online systems are not existing, the payments details are forwarded to the in-house computer

center on daily basis through electronic media. The In house Computer center updates the

payment in the main server through batch wise validation of payments. The un-accounted

payments are common wherever online system is not existing. That must be reconciled by TR

Wing quickly.

Post office/ DTO payments are updated on receipt of HO/DTO wise payment details from the

HPO/DTO concerned. PO\DTO payments are also updated in batch mode.

Similarly the payments made at the Bank counters are also updated in the same way as

explained above.

For the subscribers who have opted for ECS the payment is accounted on the pay-by-date by

preparing and forwarding a challan to the National Clearing Centre for clearance.

Adjustment against

voluntary deposits



102

Bill Summary and Sub ledger

The bill summary is a system generated report after issue of every bill. This facilitates for

issue of accounting JS. The bill summary contains the following information level wise, zone

wise and entire SSA wise.

Components of Bill Register Summary

No. of lines in the billing master

No. of lines billed

No. of lines not billed

Total no. of calls

Free calls

Net calls

Total no. of STD calls

Total no. of ISD calls

Total no. of local calls

Phonograms

Trunk Calls (Inland)

Trunk Calls(overseas)

Installation charges

shifting charges

Directory charges

Reconnection charges

Surcharge

Service Tax

Any other charges

Total amount billed

Adjustments

Amount payable (NET)

Call charges (slab-wise)

Break-up as per call charges, Rent etc; both Debit and Credit

Net amount payable.

The above are the debit items. The bill summary also indicates the annual rental deposit

collected, PCO collection, PCO commission payable, OYT rebate, taxable service value for

service tax purpose and the value of service tax exempted service. All these information are

required for accounting purpose.

Ledger (Monthly Accounts Receivable or Sundry Debtors Reconciliation)



103

Sub-ledger is the monthly statement of accounts of bills issued, payments received and

adjusted. This is a continuous statement which contains Opening and closing balance. This is

the fundamental record for Sundry Debtors Management.

The monthly accounts of Bills issued to the subscribers, Payments received, Bills adjusted

against various credits etc. are compiled in the form of sub Ledger Accounts by the in-house

Computer centre/TRAU and forwarded to the Circle office before 25th of the following

month. The circle office will compile the Sub Ledger received from all the SSAs and this has

to be sent to Corporate Office by 5th of the second following month.

The Statements in respect of the following services have since been finalized as per the

enclosed list and are to be sent to Corporate Office starting from the month of April 2003.

1. Telephones (Including ISDN, WLL (Fixed/ Mobile) and VCCs).

2. Other Services operators (Cellular, Radio-Paging, Basic/WLL and

NLD/ILD).

3. Telex.

4. Telephone Circuits.

5. Telegraph Circuits.

INDEX

List of Sub-Ledger Statements prescribed w.e.f. 1-4-2003

No. Service Section/Annex Particulars of SLR statement Page

A. Telephones Including ISDN, WLL & VCC

1. Section A Review of Sub-ledger Accounts for the month 1

2. --do-- Annex-I to Section A Statement of Average Revenue per DEL 2

3. --do-- Annex-II to Section A Data for Urban PCOs, Rural PCOs, VPTs and Rural DELs. 3-4

4. --do-- Annex-III to Section A Statement of Broadband service 5

5. --do-- Annex-IV to Section A Statement of ISDN services 6

6. --do-- Annex-V(i) to Section A Statement of Revenues from BSNL WLL (Fixed) 7

7. --do-- Annex-V(ii) to Section Statement of Revenues from BSNL WLL (Mobile) 8

8. --do-- Annex-VI to Section A Statement of Sale of ITC/ VCC Card 9

9. --do-- Section B Details of issue of bills and disconnections 10

10. --do-- Section C Details of cancellation of Bills 11

11. --do-- Section D Details of Amount of bills written off 12



104


12. --do-- Section E(i) Age wise and category wise details of outstanding 13

13. --do-- Section E(ii) Age wise and category wise details of amounts billed 14

14. --do-- Section F Statement of unadjusted credits 15

15. --do-- Section G Statement of collection efficiency 16

16. --do-- Section H DELETED 17

17. --do-- Section I Surcharge on delayed payment; due and recovered 18

18. --do-- Section J Service tax; due and recovered 19

19. --do-- Section K Statement of sales tax due & recovered 20

B. Services provided to Other Telecom Operators

1. i) Basic Operators Section A Revenues from other Basic Services Operators 21

ii) --do-- Section E Age wise o/s dues against other Basic Service Operators 22

2. i) Cellular Operators Section A Revenues from other Cellular Service Operators 23

ii) --do-- Section E Age wise o/s dues against other Cellular Operators 24

3. i) Radio paging Operators Section A Revenues from other Radio Paging Operators 25

ii) --do-- Section E Age wise o/s dues against Other Radio Paging Operators 26

4. i) NLD/ ILD operators Section A Statement of Sharing Charges from NLD/ ILD Operators 27

ii) --do-- Section E Age wise o/s dues against NLD/ILD Operators 28

C. Telex

1. --do-- Section A Review of Sub-ledger Accounts for the month 29

2. --do-- Annex-I to Section A Statement of average Revenue/DEL/month 30

3. --do-- Section B Not Prescribed 31

4. --do-- Section C Details of Cancellation of Bills 32

5. --do-- Section D Details of Amount of bills written off 33

6. --do-- Section E(i) Age wise and category wise details of outstanding dues 34

7. --do-- Section E(ii) Not Prescribed 35

8. --do-- Section F Statement of unadjusted credit 36

9. --do-- Section G Statement of collection efficiency 37

10. --do-- Section H Not Prescribed 38



D. Telephone Circuits




105



3. --do-- Section C DELETED 43

4. --do-- Section D DELETED 44

5. --do-- Section E(i) Age wise and category wise details of outstanding 45


7. --do-- Section F Not Prescribed 47

8. --do-- Section G Not Prescribed 48




D. Telegraph Circuits



3. --do-- Section C DELETED 54

4. --do-- Section D DELETED 55

5. --do-- Section E(i) Age wise and category wise details of outstanding dues 56


7. --do-- Section F Not Prescribed 58

8. --do-- Section G Not Prescribed 59




NOTES:

1. Excel worksheets containing the Revised SLR Formats follow.

The Sundry Debtors (sub ledger accounts) of Telephone rent & call charges broadly consists

of the following:

Opening balance: The closing balance of the previous month‟s sub ledger which

indicates the outstanding telephone bills (sundry debtors) at the beginning of the

month.

Amount Billed under various bills which is called amount Billed for: ABF will

include the amount for which bills are issued including supplementary bills,



106

Demand note payments for misc. charges like reconnection fee, advance rent for

safe custody period etc. and collection through Public Telephones in Telegraph

Offices.

Payments in Post offices/Divisional Office/Telegraph Office/Banks/ECS etc.

Amount cancelled

Amount adjusted against various credits and deposits

Amount written off

Write back of cheque dishonour

Closing Balance: - Bills outstanding at the end of the month.

Opening Balance:

The closing balance of the sub-ledger accounts of previous month, which

reflects the outstanding bills at the end of that month, duly reconciled with the Bill

Ledgers/Payment Ledger and outstanding Ledgers shall be the opening balance.

As the sub-ledgers are prepared with the help of the TR Packages, the periodical

outstandings, i.e. the outstandings more than one month, three months, more than a

year etc, (age wise analysis) can be generated at any point of time.

Amount Billed for:

The ABF includes the amount for which Bills are issued during the month,

including supplementary bills, which can be taken from the consolidation pages of

Bill registers / Bill summary statements generated by the TR Billing package at the

time of issue of any bill.

The misc. charges like reconnection fees, rent for safe custody period, one time

installation charges for accessories, rent in respect of telephone connection

disconnected for non-payment at the time of reconnection etc. are also accounted in

ABF of a particular month.

Similarly the day to day collection in respect of PCOs attached to Telegraph Offices

are furnished through PCO challans and sent along with daily list. The total

collections as arrived through the daily lists shall be included in the ABF.

Thus the total amount of ABF as arrived in the individual bill summary report shall

be the ABF for the unit as a whole through a sub ledger compilation process.

Payments and Adjustments:

All the Area office cash counter Payments are electronically transferred on day to

day basis to the accounting section of TR wing or to the in-house computer centre.



107

Wherever online payment systems are existing, the payment particulars are updated

in the respective Accounting Master directly.

The Payments received through post office/DTO/Banks/ECS are also electronically

transferred to Accounts Section. Wherever, the electronic transfer media is not

available, the vouchers are received on day to day basis from the respective

HPO/DTO/CTO/Bank. The Accounts Section of TR, the postal recovery section or

the data centre will be accounting these manual receipts through data entry for

updating the payment in batches. The periodical updation of payments received at

various places is updated in the Accounts Section through online or batch mode.

Similarly the list of amounts cancelled, adjusted and written off against any bill at AO (TR)

are forwarded to the billing centre through electronic media /floppies for adjusting and

reconciling the same with the ABF already raised. Wherever online systems are existing the

credit/debit adjustments are carried out at the online terminals of AOs (TR). While processing

the monthly sub ledgers all these adjustments carried out during the month are reconciled

with the amount billed for and exchange wise/ unit wise/ consolidated statements are

generated. These statements will help the AOs (TR) to reconcile their monthly inputs of

cancellation, adjustments, write-off and pass necessary journal entries for accounting

purpose. Similarly reconciled statements are also generated for Service Tax billed and

collected during the month, surcharge billed and collected during the month, discounts /

commission allowed during the month etc.

The payments against which the cheque is dishonoured, the entries made in the bill ledger

shall be written back and total payments written back shall agree with the amount entered in

the ledger of cheque dishonoured.

The bills outstanding at the end of the month shall be arrived for each exchange

outstanding ledgers and total outstanding for the unit shall be reconciled through the

sub ledger compilation process.

The sub ledger accounts in form ACE-103 shall then be prepared and sent to circle

office / Corporate Office.

After preparation of the sub ledger accounts an analysis of outstanding dues shall be

worked out. The total outstanding dues at the month end as per the bill

ledger/outstanding ledger shall be collected Exchange wise, showing year wise

break up of outstanding up to the previous financial year and month wise breakup

for the current financial year for analysis of outstanding bills. The total outstanding

arrived Exchange wise shall agree with the closing balance of the sub ledger

accounts for the month.

In brief, the components of Sub-ledger are:



108

1. OB

2. ABF

3. CHD

4. Payments

5. Excess raised

6. Excess cleared

7. Cancelled

8. W. off

9. Adjustment

10. CB

OB + ABF + CHD = 1

Payments – Excess raised + Excess cleared + Cancelled + W. off + adjusted = 2

1 – 2 = CB

Similar sub ledger accounts are prepared in respect of Telex-Rent and call charges, Circuits

& Guaranteed installations etc.

Sub ledger Account is prepared as under

Opening Balance XXXXX

Add

Amount Billed for XXXXX

Cheques Dishonoured XXXXX

Written back XXXXX

Subtotal XXXXX

Less

Payment Received XXXXX

Excess Cleared XXXXX

Excess Raised XXXXX

Cancellations XXXXX

Adjustments XXXXX

Written off XXXXX



109

Closing Balance XXXXX



110

Proforma / Check Points for Reconciliation of Sundry Debtors Telephone as per TB with

SLR

Amount (Hypothetical)

(i) Sundry Debtors Telephones as per TB 1,50,00,000

(ii) Add:- Service Tax collection – JS to transfer the

same from Sundry Debtors to S.T. Recoverable A/c

accounted in following month

(+) 20,00,000

(iii) Add:- Various Tele-Deposits initially credited to

Sundry Debtors A/c, transferred to Deposits A/c by

JS in following month

(+) 5,00,000

(iv) Add:- Circuit bill payments initially credited to

Sundry Debtors A/c, transferred to Sundry Debtors

Circuits A/c

(+) 10,00,000

(v) Add: - Cases of Direct Revenue items – such as ITC

sale proceeds, CellOne Bill / RCC Collection,

Telegraph Revenue etc. wrongly classified under

Sundry Debtors A/c – Correction JS passed in

following month.

(+) 2,00,000

(vi) Add:- Supplementary bill issued accounted in SLR;

but JS accounted in following month

(+) 1,00,000

(vii) Add/ Deduct: - Difference between provisional ABF

and Final ABF as per SLR. JS for difference

accounted in following month.

If Final ABF is more – Add

if final ABF is less – Deduct

(+) 5,00,000

(viii) Add: - Amount of excess payments received and

unadjusted credits as per control registers.

(+) 5,000

(ix) Less:- Post Office, Bank and other offline

collections for which P.O Cheque and Banker

Cheque yet to be received

(-) 43,00,000

(x) Less: - Cases of Bills cancelled, Write-off, O/S Bills

adjusted against deposits accounted in SLR but JS

accounted in following month

(-) 2,00,000

(xi) Less: - PO collection charges and service tax

thereon deducted by HPOs

(-) 10,000

(-) 1,200

(xii) NET Sundry Debtors after above adjustment should

normally agree with SLR Sundry Debtor

1,47,93,800

Note: 1. Where bills are not issued by billing package for Deptl. STD and Local PCOs, the

collection is to be accounted under Revenue Head directly.

2. In respect of cheque dishonour cases, if cheque dishonour is accounted in billing system as

well as bank book in the same month it will not create any difference. If the same is



111

accounted in different months it will create a difference. The same is to be identified and

necessary accounting is to be done.

3. Normally PCO commission is accounted at the time of issue of JS for accounting PCO

revenue. If it is not done in the same month and the commission is not accounted, it will

create a difference. This is to be identified and necessary accounting is to be done.

Leased Line Services

Types of Leased Lines

Tariff for High Speed Data Circuits (Below 2 Mbps)

Tariff for High Speed Data Circuits

Tariff for Local Lead (or End Links) to be Charged as

Installation and Testing Charges for modem and terminal equipments

Short Duration Charges

Charges for NTU for Data Circuits given on MLLN System

Telephone Voice Circuits (Speech)

Local Lead to Telephone Voice Circuits (Speech)

Part Time Telephone Voice Circuits to Press Subscribers

Facsimile Circuits

Leased Voice Band Data Circuits (up to 9.6 Kbps)

Multiparty Network

Telegraph Circuits to Non Press Subscribers

Telegraph Circuits to Press Parties

Ticker Connection

Circuits in Telegraph Network

Private Wires/Non Exchange Lines/Local Circuits (for both voice and Data

Transmission)

Misc. Charges for Telegraph/Tele-printer/Telephone Circuits

Time dependent Band Width

Managed Leased Line

Charges for Local leads and local circuits provided on special construction on Optical

Fiber Cable (OFC).

Leased Circuit

A leased circuit is a dedicated link provided between two fixed locations for exclusive use of

the customer. A leased circuit may be a speech circuit, a data circuit or a telegraph circuit.

Types of Leased Circuits:



112

1. Speech Circuits (Hot Line or P-Wire) - Local or Long distance circuits within two

locations in a city or between two different cities provided for the same applicant. The

Terminating equipment at both ends is telephone without dialing facility. Both way

signaling and speech is possible.

2. Data Circuits - Local or Long distance data circuits at different speeds viz. 2400 bps,

4800 bps, 9600 bps, 64 kbps, nx64 kbps and 2 mbps. Data Circuits are of different

types:

Point to Point Data Circuits - Local and Long Distance

3. Telegraph Circuits - Local and Long distance Tele-printer Circuits.

4. International Leased Circuits: Provided through VSNL.

Managed Leased Line Network (MLLN)

Leased Line services with flexible access bandwidth

The MLLN is a Managed Leased Line Network system which is proposed to provide Leased

line connectivity. With the State-of-the-art technology equipment, MLLN is designed mainly

for having effective control and monitor on the leased line so that the down time is very

much minimised and the circuit efficiency is increased thus achieving more customer

satisfaction. This mainly deals with data circuits ranging from 64 KBPs to 2048 KBPs.

Features of MLLN

Control, Manage the leased line network

Bandwidth management as per the customer demand

Pro-active maintenance, without waiting for customer to book a complaint.

Alternate routing in case of any route failure.

Generation of the periodic performance reports for self-analysis/customer.

Advantages to Customers:

Bandwidth management as per customer requirement (64 Kbps and nx 64 Kbps up to

to 2048 Kbps).

Proactive maintenance

Time dependent bandwidth

Billing aspects – Important Points



113

Charging Methodology of Leased Lines

Leased Circuits are classified under two categories viz., Long Distance Circuit and

Local Circuit. The chargeable distance is 1.25 times of radial distance.

o Leased Circuits between Two SDCA are called Long Distance Circuits. It has

three segments viz., Local leads at both ends and main circuit.

For example: Customer premises (A) to SDCC-1 - local lead 1

SDCC 1 to SDCC 2 - main circuit

SDCC 2 to customer premises B -- local lead 2

Every segement will be independent chargeable distances

o Local Circuit - Within SDCA: Chargeable distance will be from customer

premises (A) to the customer premises (B) including local leads.

In r/o Leased Circuits provided partly on existing lines & partly under new

construction Rent will be charged as per existing tariff for the existing portion of lines

plus capital cost (R&G) or special notes for the new construction.

(Refer BSNL – Lr. Dt. 22/1/04)

Tariff Applicable from 1st May 2005

(A) (i) High Speed Data Circuits – 2 Mbps and above Tariff

(BSNL Lr. Dt. 11/5/2005)

(ii) Tariff is given for Chargeable Distance 5 to 500 kms .

(iii) For Local leads 3 way charging principle applicable.

(iv) No additional charge for local lead if

Distance > 500 Kms

Capacity / Bandwidth is 45 Mbps and above

(v) When the circuit is provided on MLLN System NTU charge is

to be billed, if MLLN Modem is provided by BSNL

(vi) Modem rent Rs 10000/- per annum for 2Mbps V35/G703 type

and Rs.18000/- for 2Mbps Ethernet.

(vii) 25% Discount on Main Circuit between select cities is

allowed as per BSNL Lr. Dt. 17/5/2005. Discount under any

other prevalent scheme withdrawn. This discount will not be

applicable for ISPs and other Licensed Service Providers, e.g.,

BSOs, CMSPs, NLDOs and ILDOs.



114

(B) (i) High Speed Data Circuits below 2 Mbps rates given in

BSNL

Lr. Dt. 5/1/2006 – under two categories – viz., 64 Kbps circuits

classical and MLLN

(ii) Tariff for capacity ranging from 128 Kbps to 1 Mbps is arrived

at by multiplying the tariff for leased circuit of 64 Kbps by the

Co-efficient given in the tariff letter; subject to Maximum of

respective distance slabs of 2 Mbps rates.

(iii) Separate tariff given for Local Circuit / Local lead

a. 1 Km to 4 Km in r/o 64 Kbps Classical Circuit Local

Lead

b. 1 Km to 15 Km in r/o 64 Kbps MLLN Local Circuit

(iv) NTU charges Rs.3500/- for 64Kbps and Rs.5000/- for n*64

Kbps per annum.-(BSNL Lr Dt 5/01/2006)

(C) Time Dependent bandwidth:

Time dependent B/W (w.e.from 1.1.2002)

The MLLN system is capable of providing differential time dependent bandwidth on request.

Subject to network capability following parameters shall be considered while accepting the

requests of subscribers:

Minimum period: One month and in multiples thereof. In case demand for lesser duration,

the charges shall be levied for minimum period of one month.

Minimum time per day: 6 hours. In case of request for lesser time per day, the charges

shall be levied for minimum 6 hours per day.

Only B/W up gradation of B/W shall be allowed: The down gradation is not permitted. For

example a 512 kbps circuit may be allowed to become 1024 kbps for a minimum 6 hours

per day (other 18 hours it may remain as 512 kbps), but a 512 kbps circuit cannot be

downgraded to 128 kbps for any period in a day.

Tariff:

o Time dependent higher B/W charges per month:

{Difference in charges of two bandwidths per month} X 1.5(fixed) X hours per day

(minimum 6 hours)/ 24.

o harges for period more than one month but less than one year: In multiples of one

month.

o Charges for one year or more (at one time):

(Monthly charges as per (i.) above X number of months) less 15% as discount. The

period beyond 1 year shall be in multiples complete month only.

Illustrative list of Calculation of additional charges for time dependant differential

bandwidth

Existing

B/W

Annual

charges

Monthly

Charges

Required B/W

(kbps)

Annual

charge

Monthly

Charge

64 40646 3387 128 73163 6097



115

3387 128 73163 6097

3387 128 73163 6097

3387 128 73163 6097

128 73163 6097 256 126003 10500

6097 384 162584 13549

6097 512 195101 16258

256 126003 10500 384 162584 13549

10500 512 195101 16258

Required

Time Period

(months) chargeable

Required Duration(hrs) each day Chargeable

Charges (Rs.)

12 12 12 12 20729

3 3 4 6 3048

1 1 8 8 1355

1/2 1 6 6 1016

6 6 4 6 9907

3 3 12 12 16766

1/2 1 6 6 3811

1 1 6 6 1143

12 12 3 6 22025

(D) (i) Telephone Voice Circuits (Speech)

(ii) Facsimile Circuits - Press and Non Press

(iii) Leased Voice Band Data Circuits (upto 9.6 Kbps)

For the above circuits, charges as applicable for 64 Kbps classical

Circuit are to be billed. For Press Circuits no discount is permissible.

However lower of the new rates applicable as above or the existing

charges payable thereof will be applicable.

(E) (i) All Telegraph Circuits are to be billed



116

@ 80% of 64 Kbps Classical for 50 Bauds

@ 100% of 64 Kbps Classical for 75 Bauds

(ii) For Ticker Lines working for Press / New Agency (PTI/UNI

etc) 25% discount is allowed on above rates at E (i).

Points relating to Billing and Accounting Aspects

Circuits are billed annually in advance as per the annual billing cycle of SSA.

Now customer can opt for quarterly billing of circuits as per order dated 5.9.2001 and

18.11.2003

In respect of new customers opting for quarterly billing from 1st year itself,

undertaking for minimum period of hiring of the leased line for one year to be

obtained.

Since there is no integrated commercial and billing package for leased circuits,

monitoring of receipt of completed advice note is to be ensured through maintaining

of advice note registers. This will avoid non billing of circuits.

Accounting

JS to be issued for accounting ABF, Cancellation/adjustment if any in the respective

months.

Circuit bill collections initially credited to sundry debtors – telephones to be identified

and credit to be transferred to sundry debtors – circuit a/c to facilitate reconciliation of

sundry debtors a/c with sub ledger account.

Sub: Revision in Charging Methodology of Leased Lines - reg.

This is in continuation of DOT circular No. 4-2/99-R&C (Pt) dated 24-02-2000 wherein

guidelines for chargeable distance for the local leads, type and details of various circuits were

given.

A number of references have been received in BSNL Headquarters regarding charging

method and seeking its rationalization. Accordingly it is decided to modify the existing

method of charging of main circuits from LDCCA and LDCCB to SDCCA and

SDCCB respectively.

2. In view of the above, changes have been made regarding distance for the local

leads/main circuits. Accordingly Para 3 of the above circular is replaced as under:-



117

(i) The Chargeable distance will be 1.25 times of Radial distance.

(ii) Leased circuits within the same/Adjoining LDCA/ non-adjoining LDCAs

(except (iii) below) :-

Local leads will be restricted from subscriber premises to the SDCC on both the

sides. As such the reference point will be the SDCC for consideration of the

chargeable distance of local lead up to the customer premises. To elaborate

further, the method is as follows:

"Customer premises (A) to SDCC-1 as local lead-I + SDCC-1 to SDCC-2 as

channel (Main circuit) + SDCC-2 to customer premises (B) as local lead-II.

Every segment will be independent chargeable distance (Fig-I of Annexure-

A/1).

Note:-The main circuit shall be from SDCCA to SDCCB (Main Transmission

link). In case SDCC is co-located with LDCC the local lead will be from SDCC

(LDCC) to subscriber premises only.

(iii) Local Circuits/Leased circuits within the SDCA:- Such circuits will be

considered as local circuits only (Main circuit with no local leads) and

chargeable distance will be from customer premises (A) to the customer

premises (B) (i.e. end to end).(Fig. II of Annexure-A/1 attached).

(iv) Leased Circuits provided partly on existing lines & partly under new

construction:-

(a) For Local Circuits, rent will be charged as per existing tariff for the

existing portion of lines plus capital cost (R&G) or special rates (special

construction) for the new construction. (Ref. fig. III & IV of Annexure-

A/2 attached).

b) Similarly for long distance circuits, the local lead may also consist two

portions, say SDCC to Transmission Center on existing line and

Transmission Center to subscriber premises on special construction or

R&G. The rental will be charged accordingly.

c) For entire circuit (end to end) on R&G, there is no change in charging

methodology, generally applicable in case of Defense Authorities.



118

d) In cases where R&G lines are already billed from subscriber's premises

to Transmission Center or SDCC and additional main circuits are taken

by the subscriber, then no additional rental should be taken for that

existing R&G portion.

3. For clarity, a summary of various situations in which circuits may be provided is

given in Annexure-B.

4. The amendments shall be effective immediately for all new circuits and for existing

circuits from the next billing cycle due after 01-02-2004.

Encl: Annex - A, B & C

Annexure-A/1

(I) Leased Circuits in Same / Adjoining LDCAs / Non-Adjoining LDCAs

(Fig.I)

(LOCAL CHANNEL (LOCAL

LEAD OR OR MAIN LEAD OR

END LINK CIRCUITS END LINK

C.D.(KMs)) C.D.(KMs) C.D.(KMs))

CUST

OMER

PREM

ISES

(B)

CUSTOMER

PREMISES

(A)

SDCC 2

SDCC 1



119

(II) Leased Circuits within SDCA/

(a) If given on existing lines

(Fig.II)

CHANNELOR MAIN CIRCUITS C.D. (KMs)

Annexure-A/2

(b) (i) If given on partly new construction (Fig.III)

CD

"Y"

ON R&G

"X" CHARGEABLE DISTANCE (KMs)


Total rental charges will be = rental on capital for "Y" + rental for "X" as per circuits

CUST

OMER

PREM

ISES

(B)

CUSTOMER PREMISES

(A)

TRANS

MISSIO

N

CENTRE

TRANS

MISSIO

N

CENTRE

CUST

OMER

PREM

ISES

(B)

CUSTOMER PREMISES

(A)

TRANS

MISSION

CENTR

E

TRANS

MISSION

CENTR

E



120

ii) If given on partly new construction (Fig. IV)

CD CD

"Y" "Z"

ON R&G ON R&G

"X" C.D. IN KMs


Total rental charges will be = rental on capital for "Y" & "Z" + rental for "X" as per

circuits

(No.4-4/2003-R&C, dated 22nd January 2004)

Provision of bandwidth by BSNL for State Wide Area Network (SWAN)

Vide this office letter of even no. dated 20th Jan., 2005, it was decided that 90% discount is to

be offered on 2 Mbps links for SWAN project to State Government as specified in the above

order.

Now, in view of the revision of leased lines tariff issued vide Circular No.4-3/2005-R&C

dated 11th May, 2005, it has been decided by the competent authority to reduce the discount

CUST

OMER

PREM

ISES

(B)

CUSTOMER PREMISES

(A)

TRANS

MISSION

CENTR

E

TRANS

MISSION

CENTR

E



121

to 74% in place of 90% offered under the SWAN scheme for the e-governance projects to

State Government.

All other terms and conditions shall remain unchanged

(BSNL HQ No.112-42/2004-Comml. dt. 13-5-2005)

Provision of Bandwidth by BSNL for State Wide Area Network (SWAN)

Instructions on tariff and discount for implementation of SWAN Project were intimated vide

this office letter of even no. dated 20th Jan. 2005 and 13th May 2005.

1. In order to resolve various issues at the National Level, relating to the

operationalisation of the special package offered by BSNL to the implementing

States/UTs including Service Level Agreements with the States/UTs, Pricing of

leased line circuits of varying bandwidth etc. which may crop up frm time to time

within the implementing time period and to take a holistic view on all related matters,

Department of IT, with the approval of Competent Authority and with the

concurrence of the Department of Telecom, constituted a Working Group vide letter

No.1(3)/04-EGD dated 25th January, 2006.

2. Based on the recommendations made by the working Group on BSNL connectivity

Isues (WGBCI) on the issues related to SWAN project the competent authority has

decided as under:

a) Service level Agreement:- BSNL would sign SLA of 99% uptime on annual

basis for MLLN circuits and will provide „Letter of confidence‟ of 98% uptime

on annual basis for non-MLLN circuits. The formats have already been

prescribed vide NM cell Letter NO.1-27/2005-Datacom dated 19th April, 2006.

b) Provisioning of OFC on Local Lead:-BSNL would provide OFC without any

additional cost for those Pops, which have an aggreagated bandwidth of

minimum 10 Mbps (5x2Mbps), provided the State gives a commitment that it

will procure entire bandwidth from BSNL for a period of at least 5 years and

signs an MoU to this effect with BSNL. However, no discount shall be offered

for local leads/last mile provided on the OFC links, which will be charged as per

normal tariff.

c) For such connectivity on OFC, as specified in b) above, BSNL will provide the

required bandwidth up to the State Government premises up to the network

room and further termination of such bandwidths to their equipment will be the

responsibility of the States. In any case, BSNL provides the NTU only in the

cases where MLLN equipment is available and for all other cases, State has to

arrange their modems/NTUs.



122

d) Discount on Local Lead:-a discount of 30% will be applicable uniformly on the

total Local Lead charges payable by State Governmnets for SWAN networks.

Wherever, the State Governments are charging for ROW for allowing the cable

laying work by BSNL, the said discount shall not be offered. In such cases

discount of 74% on the main channel shall also not be applicable.

e) Re-instatement charges:-Wherever BSNL disinters the roads for cable laying

purpose, it would carry out necessary repairs of the raod to restore its original

condition or else pay restoration/repair charges as may be applicable.

f) Connectivity of bandwidth of other operators:

In addition to the existing bandwidth connectivity from BSNL at the SWAN

PoP, the Sate may procure bandwidth from an alternate bandwidth service

provider for SWAN scheme, only if the alternate bandwidth is available free of

cost against the free RoW (Right of Way) subject to the condition that the States

should connect first 2 Mbps from BSNL and only after that the free bandwidth

(which is available as on date to them) should be connected. State will inform

BSNL in writing before availing bandwidth in the above manner for SWAN

purpose. BSNL shall not be responsible for malfunctioning of the State‟s

network on account of termination of such bandwidths and no third party

obligation will be created on BSNL by virtue of termination of such bandwidths.


Provision of Bandwidth by BSNL for State Wide Area Network (SWAN) Project-

regarding

References are being received in this office from Deptt. Of IT, Govt. of India, regarding non-

implementation of circulars issued on the subject related to SWAN project. In this regard

necessary instructions have already been issued vide this office circulars of even number

dated 20-1-05, 13-5-07 and 29-1-07.

It is once again reiterated that State Govt. are CICs and very important for BSNL and

therefore all the discounts as envisaged in these circulars may be extended to State

Governments‟ for SWAN Project and compliance in this respect may be given to this office.


Installation and Testing charges for leased lines

Particulars Existing charges Revised charges

(i) For upgradation of

existing B/W

As applicable for new

connection

Nil

(ii) Modem owned by Nil Nil



123

subscriber

(iii) Modem owned by

subscriber and modem

is installed by BSNL

on the written request

of the customer

For 64 Kbps and above

=Rs.2000 per modem

a)For 64Kbps & Nx64

Kbps=Rs.500 per modem

b)For 2 Mbps =Rs.1000 per

modem

a)

(iv) For more than 2

Mbps B/W, provided

on special construction

or on R&G basis

Rs.10000 per equipment NIl

This will be effective from 1-9-2005.

(BSNL HQ No.4-3/2005 R&C dt. 1-9-2005)

2. The charging of Local lead and local circuits of 2 Mbps on 1 pair (2 wire) or 2 pair (4

wires) henceforth will be done at single rate only. The charging of the facility will be

based on the Bandwidth and not on 2W/4W basis.

3. The charging of Local lead and local circuits of bandwidth between more than 64

kbps & less than 2 Mbps on 1 pair (2 wire) or 2 pair (4 wire) will be done at single

rate only with effect from 1st May 2005.

(BSNL HQ No.4-3/2005-R&C (Pt.) dt. 31-1-2006)

Numbering scheme of Leased Circuits: An integrated numbering scheme of Leased circuits,

to be used for identifying, monitoring, complaints booking as well as billing of leased

circuits, is being defined herewith. This will have uniform applicability across the country

and supersede any existing numbering adopted locally.

1. Every leased circuit will have number as ABCD / JKL /XY / EFGH

Where ABCD = Originating SDCA code (without zero)

EFGH = Terminating SDCA code (without zero)

JKL = Circuit Number

XY =Circuit Type

For circuits within the same SDCA, ABCD = EFGH

For 3 digit code, D = # and H = #

For 2 digit code, C, D, = # and G, H = #

For 3 digit SDCA code, for JKL = 000 to 999, the circuit number will be

ABC# /JKL / XY/ EFGH



124

If the number of circuits of a particular type exceeds 999 in SDCA with 3 digit code (that is

JKL>999), value of D=* and the circuit number will become ABC/*JKL/XY/EFG

For 2 digit SDCA code, for JKL = 000 to 999, the circuit number will be

AB##/JKL/XY/EFGH

For the circuits falling between 1000 & 1999 in SDCA with 2 digit code (that is JKL=1000 to

1999), value of D =*&C =# and the circuit number will become AB#/*JKL/XY/EFGH

For the circuits falling between 2000 & 2999 in SDCA with 2 digit code (that is JKL = 2000

to 2999), value of C=*&D=*and the circuit number will become AB/**JKL/XY/EFGH

2. XY codes are allotted as follows:

1. Speech circuit (with Hot line relay set) 6. Speech circuit (on PAX)

2. Speech-cum-data circuit 7. Voice grade data circuit

3. VFT 8. 64 Kbps circuit

4. N x 64 kbps circuit 9. 2 Mbps circuit

5. 8 Mbps circuit 10. 34 Mbps circuit

11. 140 Mbps circuit 12. STM-1

It is to clarify that the originating SDCA will be the billing SDCA of the circuit and hence

“ABCD” will be the code of billing SDCA. The billing SDCA will allot the number to

Leased circuit and intimate it to the terminating SDCA. This will ensure unique number for

every leased circuit, which can be used by customer/service provider at both ends for all

purposes.

(BSNL HQ No.9-48/2001-ML dt. 7-8-2001)

It is clarified that henceforth the annual billing of leased circuits be regulated as follows:-

1st year Rent recovered in advance (before the provision of circuit) for 12 months

from date of installation.

2nd year Rent is to be charged for only the period from the 1st anniversary date of

installation up to conventional billing month fixed for billing of such (non

directory) items in the SSA.

3rd year Rental for one year as per conventional billing cycle.

It should however be ensured that billing and recoveries for leased circuits

are made prior to the expiry of the period for which rental has already

been recovered

(BSNL HQ No.2-2/2002-BSNL/TR dt. 8/12-11-2002)



125

It has been decided to delegate the powers according approval for leased circuits of speed

up to 2 Mbps to the Head of SSAs of SAG level subject to following conditions:

(a) The point to point leased circuits should originate and terminate within the limits of

SSA i.e. falling within the geographical region of SSA.

(b) It should form part of any network

(c) Circuit should be for the use of individuals (same party/organization at both the

ends) only and not for any service providers (private basic operators/cellular

operators/ISPs/Other DOT licensees).

(d) Copy of sanction memo for this leased circuit should be sent to the Head of the

circle for information.

(BSNL HQ No.112-8/2001-Coml. Dt. 26-9-2001)

The SSA Heads of SAG level may now sanction the point-to-point leased circuits of

bandwidth up to 2 Mbps, originating & terminating in different SSAs/Circles, for

Central/State Government organisations subject to an undertaking from them that the cct. will

not form part of any network which is not approved. It will be used by same party only i.e.

same organization at both the ends. The copy of the sanction memo for such ccts. should be

sent to the concerned CGM for their information.

(BSNL HQ No.112-8/2001-Comml dt. 7-2-2002)

The SSA Heads of SAG level may sanction the point-to-point leased circuits of bandwidth up

to 2 mbps, originating and terminating in different SSAs/Circles, for non government

organizations also subject to an undertaking from them that the cct. will not form part of any

network which is not approved and will be used by same party only i.e. same organization at

both the ends. The copy of the sanction memo for such ccts. should be sent to the concerned

CGM for their information.


Sub: - Charges & commercial conditions for local leads and local circuits provided on

special constructions on OFC (Previously known as Rent and guarantee cases)

To provide bandwidth on demand by the BSNL to the customers and to make the tariff

structure attractive & simple, the Board of Directors of BSNL has approved following

charges and guidelines for Special constructions for Local Leads and Local circuits on OFC

(Previously known as rent guarantee cases).

1. Planning Units in the circles/Metro Districts and other Major Districts are to make the

OF overlay network construction plans with a view to cover the potential demands of

all the commercial complexes in the cities, as a strategic plan.



126

2. Bandwidth demands of 64 kbps up to a distance of about 10 km and bandwidth

demands of above 64 kbps and up to 2 mbps up to a distance of 3 km or more as

technically feasible can be provided on copper pair using DSL modems. In such case,

there is no need for special OF construction and existing tariff can be continued. For

such bandwidths (64 kbps and 2 mbps) up to 3 km, if copper pair is not available due

to TNF reasons, the copper cable should be laid to clear the TNF areas as in the case

for DELs.

3. With the laying of the OF overlay networks progressively in different cities, the

length of additional OF cable to be laid after receiving specific demand from an

individual customer is expected to reduce. This is likely to reduce the time taken to

provide bandwidth to the customers since much of the distance would have been

covered by the strategically laid OF overlay network.

4. Radio solution should be provided for bandwidth wherever it is found technically

feasible. The advantage of radio solution is that it can be provided without much

delay and also it is easily re deployable. However, in the absence of any tender

finalized for supply of radio equipment, tariff for the radio solution cannot be

immediately worked out. Therefore all the circles are requested to finalize for the

supply of radio equipment.

5. A totally different approach is required in dealing with the high paying bandwidth

customers in today‟s competitive environment. The bandwidth customers should be

dealt with directly by suitably nominated/nodal officer of at least DGM/AGM level.

These officers should provide single window interaction for all such customers. These

officers should be totally accountable and empowered to handle with customers.

6. All the bandwidth demands to be provided as leased lines on existing infrastructure or

requiring special construction, may be made by the customers in the existing

proforma being used for leased lines. Any additional columns needed for information

required in case of special construction, such as commitment period, whether

customer is able to provide power plant and battery at his premises etc. may be added

in this proforma.

7. All customers with a demand for 2 MBPS and above should be handled by nodal

officer or an Accounts Manager, preferably the DGM (Marketing) or the DGM

(Commercial), in a single window fashion. This will avoid any delay in coordinating

between the field, commercial, planning, construction and account wings in

expediting the solution in an accountable way. All these wings should give their

inputs directly to the Accounts Manager as far as these accounts are concerned. The

Accounts Manager in turn will put forth any case, if needed, to the Head of the SSA

for approval.

8. All the necessary tariff details and commercial guidelines should be made available to

the customer across the counter in a nicely printed brochure & additional sheets



127

where necessary. On registration of the demand, the commercial officer shall

immediately issue the demand note for the annual rentals payable for the bandwidth

for the first year of usage, as per the bandwidth demanded and depending on whether

the customer premises at both ends are situated within the local area (0 to 5 km) or

beyond local area (5 to 10 km) from the nearest telephone exchange i.e. the local

telephone exchange which provided the telephone service to the customer.

9. In order to expedite the issuing of the demand note, the commercial officer may

assume that the chargeable distance of customer premises from the nearest telephone

exchange at the far end of the bandwidth link is in the range of 0 to 5 KM. The

demand note can be issued on the basis of this assumption and subject to the

condition, to be communicated to the customer in the demand note, that this will be

verified subsequently with the BSNL office at the other end and the revised demand

note shall be payable by the customer in case there is a correction needed due to the

fact that the distance of the customer premises from the nearest telephone exchange at

the other end in the range of 5 to 10 KM.



128

10. A simplified charging method for bandwidth provision for the OF local lead has been

worked out, taking into account the cost of construction of the OF local lead

(including the cost of equipment at both ends of the local lead). For a special

bandwidth demand, a single rate has been prescribed for the annual rental for the OF

local lead for all cases where the customer premises is situated with in the local area

(a radius of 0 to 5 KM) of the nearest telephone exchange/RLU/RSU serving the

customers and another single rate has been prescribed for the annual rental for the OF

local lead for all the cases where the customer premises is situated beyond the local

area i.e. radius of more than 5 km up to 10 KM of the nearest telephone

exchange/RLU/RSU serving the customer.

11. The details of the charges of the OF local lead (including the rental of equipment at

both ends of the local lead ) are as given below:

Annual rentals for OF local lead (All figures in Rs. Lakhs)

Bandwidth Distance 3 years

commitment

2 years

commitment

1 year

commitment

2 MB 3 to 5 KM 5 7 11

Exceeding 5 to 10 KM 12 16 27

8 MB 0 to 5 KM 6 8 14


34 MB 0 to 5 KM 7 9 15


140 MB/STM1 0 to 5 KM 12 15 24


12. The detailed commercial terms and conditions for bandwidth provision on special

construction as above are as mentioned in Annexure I

13. This is an internal circular. Separate brochure may be prepared for customer

information urgently.



129

Annexure I

Commercial Terms and conditions for Bandwidth Provision

S.N. Item Rules/procedures under the special construction scheme

1 Applicability

of the

provisions

These terms and conditions shall be made applicable for all the

cases of local leads (local leads of long distance circuits as well as

local circuits) for the length from the customer‟s premises to the

nearest telephone exchange/transmission centre from which the

bandwidth is being extended further through BSNL transmission

media.

The special construction scheme is only for last mile access for

provision of bandwidth using OF connectivity. All other special

construction works such as provision of EPABX etc. shall

continue to be done on existing Rent and Guarantee terms and

conditions being followed in BSNL until, reviewed.

2 Date of

applicability of

the provisions

To be introduced with effect from 1-10-2002 up to 30-9-2004. this

scheme shall be reviewed in July 2004 or earlier. [This scheme

will be applicable up to 30-9-2005 vide BSNL HQ No.103-

2/2004-Comml dt. 27-10-2004]

3 Single window

handling of

bandwidth

demands

One DGM/DE has already been nominated in each SSA/District as

nodal officer for coordinating Leased Circuits provision and

maintenance. This officer will function as the single window

contact person responsible for all bandwidth customers, except in

large SSAs where the SSA Head nominates separate Accounts

Managers.

4 Cost of

applications

form

Application form, which is same as leased circuit applicable form,

for all bandwidth requirements can be made available free of cost.

The application form can be made available at BSNL web site also

along with all the other application forms such as new phone

connection, shift etc.

5 Time limit for

communicating

the proposed

solution to the

customer

Customer shall be communicated about the proposed solution

charges payable, along with the demand note for the first year

rental charges immediately on receipt of filled in application

complete in all respects along with receipt for payment of

registration charges from the customer.

6 Estimate

preparation

charges

No estimates charges are leviable

7 Uptime

guarantee

The existing procedure (i.e. for a breakdown for a minimum of 7

days entitles the customer for a rental rebate for the period of



130

downtime) shall continue. However, special drive is to be made to

make all field units achieve an uptime of 99.9%

8 Forfeiting of the

registration

charges

In case the customer does not pay the renal for the first year within

30 days of the issue of the demand note for the same, the

registration charges paid by him will be forfeited.

10 Cost of OF

equipment

Terminal equipment are to be installed in pairs, and include DDF

and a set of spares. Cost of test instruments and spare shall be

borne by BSNL only.

Air conditioning equipment, Engine Alternator and Electrical

fittings at the customer premises shall be provided by the customer

only.

A discount will be given in the rentals if the power plant and

battery sets are provided by the customer at his premises as

below:-

Commitment

in years

2MB

Eqpt

8 MB

Eqpt

34 MB

Eqpt

140 MB

STM1 Eqpt.

1 year 10000 40000 40000 40000

2 year 10000 40000 40000 40000

3 year 10000 40000 40000 40000

11 Time limit for

providing the

bandwidth

An internal target of 3 months is to be fixed for all the field units

as the maximum time for providing the bandwidth. This is to be

monitored closely and the field units are to be made accountable

for any avoidable delay. After a period of six months of

satisfactory observation of implementation of schemes, the time

limit can be committed to the customers.

12 Commitment

period

The guarantee is replaced by commitment. The commitment

period shall be 1 year, 2 years or 3 years as per the choice of

customer.



131

13 Financial

security for

payment of

rental during

guarantee

period after the

first year

It is necessary to seek bank guarantee equal to one year‟s rental

with 2 years validity for 3 years commitment and 1 year validity

for two years commitment. In case of full payment of rent for the 3

years or 2 years commitment period, the bank guarantee is not

required. Alternatively, it is suggested that safe deposit receipt in

original for the required amount may be obtained from the

customer and kept in the custody of BSNL during the commitment

period.

14 Use of OF cable

laid and

equipment

installed for one

customer to

provide

bandwidth to

other customers

As the charges are now revised for bandwidth provision involving

special construction under the new commitment scheme, BSNL

shall retain the right to make use of the spare capacity available in

the OF cable as well as in the OF equipment specially constructed.

BSNL may also upgrade the specially constructed OF

infrastructure as and when required in order to meet any other

demand. This provision has to be fully used not only for reducing

the cost of provisioning but also for early provisioning of the

bandwidth. This provision may be made part of commercial

conditions indicated to the customer.

15 Surrender of

the bandwidth

before expiry of

the committed

period

The existing procedure to be continued i.e. rental for the un

expired period of the committed period is recovered from bank

guarantee/safe deposit receipt.

16 Agreement All the field units are to sign a written agreement with the

customer for all the cases of bandwidth provision on committed

usage. The proforma for the agreement will be a part of the

application itself.

17 Rental after the

expiry of

guaranteed

period

The rates applicable after the expiry of commitment period can be

kept open for the present. The customer should be intimated that

these charges will be reviewed after the commitment period for

considering the discounted rates.

[ After expiry of commitment period, normal rental may be

charged as per the prevailing rates vide BSNL HQ No.103-2/2004-

Comml dt. 27-10-2004]

18 Time limit for

commissioning

bandwidth

BSNL shall inform the customer in writing when it is ready in all

respects to extend the required bandwidth. If the customer is not

ready with his equipment by this time, a grace period of 15 days

shall be given to the customer from the date of his receipt of out

communication. Communications should therefore be sent by



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FAX & hand delivery. Beyond this date, the bandwidth shall be

deemed to have been commissioned and full rental shall be

chargeable to the customer with effect from such date.

(BSNL HQ NO.103-2/2003-Coml dt. 27-9-2002)

BROADBAND

IntInternet Tariff

Port Charges of Internet Leased Line Services Handsome discounts are available to the Enterprise Customers on the below mentioned card rates.Please contact local Enterprise Office of BSNL. Tariff for port charges of internet leased line service is given below :

Bandwidth

range

Annual Tariff for 1:1 ILL

(in Rs.)


(in Rs.)


(in Rs.)

64 Kbps to

155 Mbps


Office/Commercial officer of your area/Enterprise Business unit of BSNL or Head of the


The charges for intermediate bandwidths will be on proportionate basis.

Local lead charges shall be applicable in MTNL area on back-to-back payment basis.

The above charges also include local lead charges if local lead is provided on existing media within

the local telephone system area. If the customer is not located in the local telephone system area,

50% discount on local lead charges will be applicable for bandwidth of 2 Mbps & above.

There would not be any difference in tariff for ISP and Non-ISP categories.

The discount, including dicount to educational Institutions and loyalty discount, already

provided to the existing customers will not be applicable on the new tariff. However customers will

migrate to the revised tariff after the expiry of the commitment period. The Circles will have to

revise the discount on the new tariff to the existing customers..

The above mentioned tariff is applicable w.e.f. 01-04-2012.

The tariff of leased line internet ports of capacity STM-4, STM-16 (2.5G) and STM (10G) may be

determined by multiplying the tariff of Internet leased line of STM-1 by the coefficient specified

below w.e.f. 22-9-09

http://www.bsnl.in/opencms/bsnl/BSNL/services/broadband/internet_tariff_home.html



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Capacity Coefficient

STM-4 3.1

STM-16 (2.5G) 8.6

STM-64 (10 G) 26.7

Charges & Commercial conditions for Local Lead Circuits provided on Special

construction of OFC (previously known as R&G cases)

A reference is invited to this office circular no.103-2/2004-Comml dated 27th Sept. 2002

introducing aforementioned scheme and specifying the charges and conditions of special

construction. Subsequently vide letter no.103-2/2004-Comml dated 27th Oct. 2004 the

aforementioned scheme was made applicable up to 30-9-2005.

In continuation of above, the competent authority has decided to extend the applicability of

Special construction scheme up to 31-12-2007 on existing terms and conditions.


Charges for Local leads and Circuits Charges for Local leads and local circuits provided on special construction on Optical Fiber Cable(OFC). (with effect from 1.10.2002) To provide bandwidth on demand by the BSNL to the customers and to make the tariff structure attractive, BSNL provides Special Constructions of Local Leads and Local Circuits on OFC (Previously known as Rent and Guarantee Cases). The details of the charges of the OF local lead (including the rental of equipment at both ends of the local lead) are as given below:

Annual Rentals for OF local lead (All figures in Rs. Lakhs)

Bandwidth Distance 3 years Commitment 2 years Commitment I year Commitment

2MB 3-5 KM 5.00 7.00 11.00

>5-10KM 12.00 16.00 27.00

8MB 0-5 KM 6.00 8.00 14.00

>5-10 KM 13.00 17.00 30.00

34MB 0-5 KM 7.00 9.00 15.00

>5-10 KM 14.00 18.00 31.00

140 MB/STM1 0-5 KM 12.00 15.00 24.00

>5-10 KM 19.00 24.00 40.00

Discount in Rentals: If the power plants and the battery sets are provided by the customers at his premises. The following discount will be applicable(Rs.):

Commitment in years 2 MB Equipt. 8 MB Equipt 34 MB Equipt 140MB/STM 1 Equipt



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1 Year 10,000 40,000 40,000 40,000

2 Year 10,000 40,000 40,000 40,000

3 Year 10,000 40,000 40,000 40,000

Minimum Guarantee / Rent & Guarantee

The following facilities shall be charged at standard flat rates w.e.f.1.8.88, (which were

charged on R & G basis up to 31.7.88)

1. A telephone connection exceeding 10 k.m. of actual length beyond the local area

2. An external extension to a DEL or external connection to Private exchanges/ Private

Branch exchanges exceeding 5 k.m. of chargeable distance.

3. An external Private wire or NE line exceeding 5 k.m. of chargeable distance.

4. A P.C.O. extension exceeding 5 k.m. of actual length from P.C.O.

5. A Telex connection exceeding 5 k.m. of actual length beyond local area of telex

exchange.

6. Private exchange and Private Branch exchanges exceeding 1200 lines capacity.

(Para 1.3 & 2 of DOT lr.No. 4-31/86-R(pt) dt. 17.6.88)

However the minimum guarantee period shall be fixed as shown below.

1.1 The minimum guarantee period shall be three months in respect of the following

cases.

1. DEL from a Measured rate exchange within local area or within 10 kms

ADBLA.( The minimum guarantee period shall be two months in respect of

DEL from a flat rate Exchange within local area or within 10 kms of Actual

Distance Beyond Local Area)

2. Telegraph / Telephone circuits if provided utilising existing lines & wires.( one

year vide DOT Lr.No.106-7/94-PHC dt. 15-4-98)

2.2 The minimum guarantee period shall be one year in respect of the following services.

1. Internal extensions from DEL.

2. External extension from DEL within 5 kms of chargeable distance.

3. Internal connection provided from PX/PBX/PABX.

4. External connections from PX/PBX/PABX within 5 kms of CD.

5. Extensions to connections from PX/PBX/PABX.

6. Private wires/NE lines not exceeding 5 kms of chargeable distance.

7. Extensions from Long distance Public telephones within 5 kms of actual

distance from the P.T.

8. Telex connections within 5 kms of ADBLA.



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9. PBX/PABX Board of less than 100lines capacity.

2.3 The minimum guarantee period shall be three years in respect of the following:-

1. DEL beyond 10 kms ADBLA

2. External extensions / External connections from PBX /

3. Private wires , NE lines beyond 5 kms of chargeable distance.(One year vide

DOT Lr.No. 106-7/94-PHC, dt. 15-4-98)

4. Extensions, beyond 5 kms of actual distance from LDPT.

5. Telex connection beyond 5 kms of ADBLA.

In respect of the above cases the subscriber shall pay rent for one year in advance and

security for an amount equal to two years‟ rent shall be made in cash/ Bank

Guarantee.

2.4 The minimum guarantee period for PBX/PABX Boards of 100 lines capacity and above

shall be seven years.

2.5 The minimum guarantee period for those who want to use FAX on PSTN for

operating FAX service for public use shall be one year.

(DOT Lr.No.207-29/94- PHC dt. 4-3-1997)

Minimum guarantee period for modems for DATA circuits shall be one year.

3. The telephone/Telegraph Circuits/Cables for exclusive use of the subscriber when

provided on fresh construction, the rental calculated at the rate of 35% (Interest=15%,

Maintenance=5%, Depreciation=5% & Profit=10%) [BSNL HQ No.201-4/2002-

Regln.(Part) dt. 27-6-2002] of the actual capital cost calculated as indicated in para

4 below. Capital cost rent only (w.e.f. 1-4-1999) shall be charged and the party has to

furnish a guarantee for retaining the services for minimum period arrived at by

dividing the actual cost by annual rental (ignoring the profit margin).

3.1 In cases where actual capital cost is not available or the calculations are on the basis

of estimated capital cost, the capital cost calculated as indicated in para 4 below may

be escalated by 30% to cover unforeseen expenditure and escalation in cost during

execution of the work. However in such cases the parties should be informed that the

rental quoted is provisional and final rental will be fixed on completion of the work.

3.2 The final rental should be quoted to the party before commissioning the service. In

cases where the final rent could not be quoted before commissioning due to

unavoidable circumstances the same should be done within one year of

commissioning service.



136

3.3 The minimum period of guarantee for cables for the exclusive use of the subscriber,

shall be 10 years.

4. The capital cost mentioned in the previous paragraphs shall be arrived as shown

below:-

Cash =A

Stores =B

Freight % on „B‟ =C

Total (A+B+C) =D

Establishment % on D =E

Store keeping % on B =F

Total capital Cost =G (D+E+F)

5. For the purpose of calculating the minimum guarantee period capital cost shall be

cash + stores + Freight % on stores.

5.1 The overhead charges viz., freight, establishment and store keeping will be

calculated at the percentage rates prevailing in the year of construction.

5.2 In respect of circuits, rent at standard rates shall be collected after the minimum

guarantee period.

5.3 In respect of cables, rent at 10% of the capital cost shall be collected after the

minimum guarantee period.

6. Since provision for long distance single channel VHF system is for exclusive use of

the subscribers, the provision of para 1.3 of DOT Lr. No. 4-31/86-R(pt. I) dt. 17.6.88)

would not apply. The rental shall have to be calculated on capital cost basis.(DOT

Lr.No.4-11/91-R dt. 15-4-91.)

Installation of higher capacity system under R & G scheme:-

If the customer has asked for installation of higher capacity system under R&G scheme, the R

& G applicable charges on capital cost basis should be paid by the customer for the installed

capacity for the system and no additional bandwidth charges may be levied for the R&G

segment because in such cases, DTS is not only leasing equipment/fibre but actually leasing

total system bandwidth i.e. the total system bandwidth is at the disposal of the customer for

the R&G portion segment. However for the actual 2 Mbps streams going further from the

DTS Transmission Centre/Exchange, the bandwidth charges as per the TRAI Tariff which

were communicated vide R&C section Circular No.4-2/99 R&C dated 13-4-99 should be

levied excluding the distance of R&G portion.

(DTS No.111-2/2000-PHC dt. 16-6-2000)



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Permitting second subscriber for utilising the spare capacity of bandwidth or cable pair

provided under R&G terms to original party:-

In case „A‟ (original subscriber) has taken some leased line/bandwidth on R&G basis and

subsequently „B‟ (second subscriber) has desired to share a part of the leased line/bandwidth

with „A‟ at respective R&G locations, the following shall apply.

In such cases, the revised rental for original subscriber and the new rental for second

subscriber may be fixed as follows:-

For working out the rent on capital cost basis for the second subscriber, the proportionate cost

of the original leased line on R&G which has been utilized for giving the connection to the

second subscriber should be added to the actual additional expenditure that may be involved

in providing the connection to the second subscriber. The ARE shall be calculated on this

cost towards rental for the second subscriber. After the rent so quoted is accepted by the

second subscriber and the line has been provided to him, the revised rent for the first

subscriber should be recalculated. For this purpose the proportionate cost of the original

leased line which ahs been taken into account for calculating the rent on capital cost for the

second subscriber should be deducted from the capital cost of the line for the first subscriber

and the revised rent should be calculated, on the remainder (Original cost-proportionate cost

for the second subscriber). Such revised rental will be charged from the original subscriber

from the next quarter falling after the date of use of by the second subscriber.

The original period of guarantee for the first subscriber will remain unchanged and for second

subscriber the guarantee period will be arrived afresh subject to a minimum of un expired

period of original guarantee

(DOT No.813-7/99-LR(pt) dt. 25-4-2000)



138

Questions on Revenue Accounting

1. What is ABF?

2. What are the bill payment facilities available for BSNL customers?

3. What do you understand by on-line payment and off-line payment?

4. How the ABF is incorporated in the Trial Balance?

5. What is sub ledger?

6. Explain reasons for differences between the balances of sundry debtors in sub ledger

and Trial Balance?

7. What is the accounting treatment of Excess payment?

8. How the cancellation of Bills accounted in the sub ledger and Trial Balance?

9. How the service tax is accounted?

10. How the OYT Rebate is accounted?

Questions on ―TR Out standing Pursuit‖

1. What is the first action initiated for non payment of the bill?

2. Describe the stages for the outstanding pursuit of dues?

3. What is the Scope of LBM?

4. What is the constitution of the LBM?

5. What is HPC?

6. What is the scope of the HPC?

7. When and who can condone the prescribed reports before write off?

8. What are the powers delegated for write off?

9. Describe the discount scheme for realization of dues?.



139