BSNL employees plan indefinite strike as Modi govt gives priority to Reliance Jio

Agencies
November 29, 2018

New Delhi, Nov 29: Blaming Reliance Jiofor financial woes of the telecom sector, employee unions of BSNL on Wednesday alleged that the government was favouring the latest entrant over other firms and said they will go on an indefinite strike from December 3.

The employee unions claimed that the government has not allotted spectrum for 4G services to BSNL in order to prevent it from competing against Reliance Jio.

Reliance Jio did not comment on the allegations.

"As of now, the whole telecom industry is gripped with a crisis...All these have happened due to the predatory pricing of the Mukesh Ambani owned Reliance Jio. The whole game plane of Reliance Jio is to wipe out its competitors, which includes the state owned BSNL," BSNL unions said in a joint statement.

All Unions and Associations of BSNL (AUAB) alleged that with its huge financial muscle, Reliance Jio is offering services at 'below-cost' rates. It said that private telecom companies like Aircel, Tata Teleservices, Anil Ambani-owned Reliance Communications and Telenor have already closed their mobile service businesses.

It alleged that Reliance Jio will steeply raise call and data tariffs once the entire competition is wiped out.

"It will loot the people by steeply raising the call and data charges. It is a matter of deep concern that, Reliance Jio is being openly patronised by the Narendra Modigovernment," the statement said.

No immediate comments were received from the Prime Minister's Office. AUAB said the public sector firm has been demanding allotment of 4G spectrum but "the government has turned a deaf ear to this demand, with the ulterior motive of preventing the public sector company from putting up an effective competition to Reliance Jio".

All officers and workers of BSNL are going on an indefinite strike from December 3, 2018, the AUAB said.

"Demands of the strike include the immediate allotment of 4G spectrum to BSNL for rolling out its 4G service, implementation of the government rule in respect of payment of pension contribution by BSNL, wage revision of the employees and pension revision of the retirees, from January 1, 2017," the statement said.

It also alleged that whosoever tried to act against Reliance Jio had to pay the price, including former telecom secretary J S Deepak.

"JS Deepak wrote to the Trai demanding action on Reliance Jio, for adopting predatory pricing. As a result, JS Deepak was instantaneously shunted out of the DoT... This was a clear signal given by the Narendra Modi government, as to what would happen to any one who dares to speak against Rliance Jio," the unions alleged.

Deepak was named India's Ambassador to the World Trade Organisation (WTO) when he was abroad to attend the Mobile World Congress 2017 in Spain.

The unions said that BSNL was in a loss of more than Rs 8,800 crore in 2011-12 but due to the combined efforts taken by the employees and the management, the PSU posted an operating profit of Rs 672.57 crore in 2014-15.

"BSNL's improved performance is reflected in the expansion of it's customer base also. It must be remembered that all these achievements are made by BSNL without 4G technology and with only 2G and 3G technologies, while all the private companies are armed with 4G technology," the statement said.

Apart from the allotment of 4G spectrum, the AUAB is also demanding the implementation of the government's rule in the matter of BSNL's payment of pension contribution.

"It is atrocious that, the Narendra Modi government is violating it's own rule, and is fleecing a huge amount from BSNL every year, in the name of Pension Contribution. This is seriously affecting the financial health of the Company," the unions said.

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News Network
March 23,2020

New Delhi, Mar 23: The total number of COVID-19 cases in the country rose to 390 on Monday after 30 fresh cases were reported.

The figure includes 41 foreign nationals and the seven deaths reported so far.

Gujarat, Bihar and Maharahstra reported a death each on Sunday, while four fatalities were reported earlier from Karnataka, Delhi, Maharashtra and Punjab, the Union Health Ministry said.

The total number of active COVID-19 cases across the country now stands at 359, while 24 people have been cured/discharged/migrated.

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News Network
May 6,2020

New Delhi, May 6: Taking a cue from states, the Centre announced one of the steepest hikes in duties on petrol and diesel in the recent past, by raising it by Rs 10 and Rs 13 per litre, respectively, in a notification issued late on Tuesday.

Retail prices, however, will see no change as the price hike will be absorbed by oil marketing companies against the fall in crude prices.

Road and infrastructure cess was hiked by Rs 8 for petrol and diesel and the special additional excise duty (SAED) was hiked by Rs 2 per litre and Rs 5 per litre, respectively. While the road cess will only go into the Centre’s coffers, the hike on account of SAED will be passed on to states via devolution at 42 per cent. Hence, the states will get only Rs 0.84 per litre in case of petrol and Rs 2.1 in case of diesel.

The decision comes after several states increased the value added tax (VAT) on petrol and diesel making use of the lower price regime. The Delhi government on Tuesday increased VAT on petrol and diesel to 30 per cent each, from 27 and 16.75, respectively. As a result, the price of petrol in Delhi increased by Rs 1.67 to Rs 71.26 a litre and diesel by Rs 7.10 to Rs 69.29 in Delhi on Tuesday.

Amid falling international crude oil prices, the Centre introduced an enabling provision in March to raise excise duty on petrol and diesel by Rs 8 per litre in the Finance Act. The government had on March 14 raised excise duty on petrol and diesel by? 3 per litre each, which was to help raise an additional ?39,000 crore in revenue annually.

This duty hike included Rs 2 a litre increase in SAED and Rs 1 in road and infrastructure cess. It raised SAED to Rs 10 for petrol and Rs 4 for diesel. The limit has now been increased to Rs 18 a litre in case of petrol and Rs 12 in case of diesel by way of amendment of the Eighth Schedule of the Finance Act.

Economists said the move would impact retail inflation by over half a percentage point at least. “With lower consumption, there was loss of revenue for Centre and states, who earn Rs 6 trillion annually or Rs 50,000 crore monthly from fuel. Amid lockdown in April, the collection must have come down to just Rs 5,000 crore, and this will hold for May.

This means that Centre and states have lost 20 per cent of annual revenue from fuel. Hence, they have hiked duties to recover losses,” said Madan Sabnavis, chief economist, CARE Ratings. He added that the hike will impact inflation by at least 0.6-0.7 percentage points.

According to industry experts, an estimate of the additional government revenue cannot be made as the consumption of petrol and diesel has dropped to 40 per cent of what it was before the lockdown. The duty hike comes following a drop in international crude oil prices in April, owing to lower consumption figures globally. At 11.50 pm on Tuesday, Brent was priced at $30.67 a barrel, while West Texas Intermediate (WTI) crude was seen at $24.36 a barrel. On Monday, the Indian basket of crude oil was priced at $23.38 a barrel, after touching a 15-year low last month.

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News Network
May 13,2020

Riyadh, May 13: Saudi Arabia’s cabinet on Tuesday urged oil-producing nations not only to adhere to agreed cuts to production, but further reduce output to help restore balance in global oil markets, state news agency SPA reported.

In issuing the call to OPEC+, which includes members of the Organization of the Petroleum Exporting Countries plus Russia and other nations, ministers said the Kingdom is committed to supporting the stability of global oil markets.

After the meeting, acting Minister of Media Majed Al-Qasabi said that in addition to its commitment to the OPEC+ agreement, the Kingdom will voluntarily reduce output by an additional 1 million barrels a day in June. It will also try to implement additional cuts this month, with the consent of its customers, he added.

The cabinet said the Saudi initiatives aim to encourage other countries, whether they have signed up to the OPEC+ agreement or not, to adhere to its reduced rates and to cut output even further to help stabilize global oil markets.

During the cabinet meeting, which was conducted using video conferencing, King Salman also briefed ministers on his recent telephone conversation with US President Donald Trump. He said they affirmed the historical and strategic relationship between the two countries and their commitment to the continuation of joint efforts to enhance security and stability in the region.

Ministers were then updated on the latest developments in the corona virus crisis, including the steps being taken locally and internationally to control it and safeguard public health, the number of cases in the Kingdom and the care being provided to those who are infected. They also reviewed details of the active screening and testing programs in all parts of the country, which have helped to keep the number of deaths relatively low compared to global rates.

The cabinet praised the efforts being made by government officials to combat the pandemic, and stressed that citizens and expatriates must abide by the precautionary and preventive measures introduced to prevent the spread of the virus.

Ministers described the decision by Saudi Arabia to host the Pledging Event for the Humanitarian Crisis in Yemen 2020 on June 2 as an extension of the Kingdom’s humanitarian and development contribution, which reflects its pioneering role in supporting its neighbor.

The cabinet also welcomed the formation of the new government in Iraq and reiterated Saudi Arabia’s support for the nation and its readiness to work with the new administration to strengthen relations and enhance security and stability in the region.

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