The fall in revenue is despite the constant monitoring of the ministry in the mega PSU that came into existence after the department of telecom services was converted into a corporation in 2000.
So much so that ministry is constantly interacting with the PSU even on issues like what kind of promotional campaigns were needed or where the hoardings should be put up, highly placed sources said.
The average revenue per user has come down to Rs 530 from Rs 580 last year. "If the same trend continues the ARPU may fall to as low as Rs 450 and this will translate into revenue loss of Rs 6,500 crore in 2005-06," sources said.
One of the factors for the declining revenue is considered to be its inability to take timely and market friendly decisions, which a commercial organisation should take, sources in BSNL said.
Despite all such hurdles and fierce competition from the private and big telecom operators, BSNL has performed well and is still surviving.
BSNL is the only telecom operator, which has met virtually all targets for connecting the villages. On the freedom to take decisions, sources said it was nothing but a "mockery" of board-driven company.