Framework issued for surplus asset transfer of 3 telecom PSUs to central entities

A high-level committee has outlined the framework for the transfer of surplus land and buildings of telecom PSUs BSNL, MTNL and ITI to central government organisations without auction.

The proposal was cleared at a meeting of the Committee of Secretaries in June, which also decided that any central government organisation keen on acquiring any such property would be required to submit their interest, along with stipulated approvals and a deposit (2% earnest money deposit) of the indicative value to register their claim.

This process needs to be completed within 90 days from the notification of the asset on the asset monetisation website.

Central government organisations will enjoy the right of first refusal, but after 90 days of notification, Bharat Sanchar Nigam, Mahanagar Telephone Nigam and ITI will be free to dispose of the property to any other non-government buyer.

"As per Government policy, surplus land/building assets of PSUs of DoT are being monetised. In a recent meeting of Committee of Secretaries chaired by Cabinet Secretary on June 12, 2025, it was decided that BSNL/MTNL/ITI may transfer their immovable assets to Central Government/Central Government organisations without auction," Telecom Secretary Neeraj Mittal said in a note circulated to secretaries of various ministries and departments.

The Department of Telecom (DoT) urged ministries to inform their departments and PSUs accordingly, noting "it has time-bound action to be initiated by them in case they wish to take their assets".

Further, the transfer of assets will be at market value fixed by specified valuation agencies or the circle rate/guideline value or ready reckoner rate, whichever is higher".

MTNL/BSNL/ITI will be valuation agencies for the value of up to ₹10 crore, CPWD for values between ₹10 crore and ₹100 crore. Where the value exceeds ₹100 crore, the National Land Monetisation Corporation will be the valuation agency.

In case of multiple government agencies expressing interest in the same property, preference will be given to central government organisations, the note dated July 4 said.

Shares of Mahanagar Telephone Nigam Limited ended 7.2% up at ₹52.09 apiece on the NSE on Monday, July 14. Additionally, ITI Limited's stock closed 1.2% up at ₹319.3 per share on the NSE.