In its fifth AGM held in New Delhi on Monday, the PSU decided to pay a total dividend of Rs 1,175 crore to the government, which consists of Rs 500 crore (Rs 5 billion) as dividend on equity share capital (Rs 200 crore as interim dividend and Rs 300 crore as final dividend) and Rs 675 crore (Rs 6.75 billion) as preference share capital, the PSU said.
BSNL is one of the largest contributors to the government of India by way of dividend payments this fiscal. Even in terms of payment of licence fee, spectrum charges and service tax, the PSU has been in the forefront.
It has paid close to Rs 3,000 crore (Rs 30 billion) towards service tax to the government in 2004-05, besides Rs 3,337 crore (Rs 33.37 billion) towards licence fee and spectrum charges, it said.
The PSU, which has over 4.5 crore (45 million) subscribers, also plans to add 60-70 million (600-700 million) mobile lines in a period of two years.
Another telecom PSU, MTNL has already paid about Rs 90 crore (Rs 900 million) dividend to the government for 2004-05.