NEW DELHI, INDIA: The cash-strapped telecommunications service provider Bharat Sanchar Nigam Limited (BSNL), which has about 60,000 strong BTS tower network, sees hope now that it has decided to tread the infrastructure-sharing path.

The state-owned telco spends more than Rs. 2,000 crore annually to keep these towers up and running. Now it aims to get half of this from the outsourcing agreements with private players.

The company's recent internal communique to its regional CGMs advocates to maximize revenue through territorial tower-renting opportunities in respect to its MoU with telcos such as Bharti Airtel, Reliance Communications, Aircel and Tata Teleservices.

The sources in the telecom department informed that such infrastructure-sharing deals would be initially for five-years term that can be extended. This prospect will facilitate service providers to operate frequencies assigned and take control over the base station equipment.

Speaking to CIOL, Anil Prakash, president, Telecom Users Group (TUG) India said that BSNL has taken a step in right direction.

"Infrastructure sharing has already been recommended by TRAI while it has been adopted by private telecos," Prakash said.

NK Goyal, president, CMAI and vice-chairman of ITU-APT India too welcomes the new move, and feels that the state-owned company could take some time to turnaround. "Tower sharing with private firms is a commendable decision," Goyal added.

The Ministry of Communications and IT puts hope in Rakesh Kumar Upadhyay who has been appointed as the chairman and managing director of BSNL in April 2011. Telecom Minister Kapil Sibal in May, 2011 had given six months' timeframe to BSNL to turnaround.