To bag Indian Railways’ telecom accounts, Reliance Jio Infocomm has emerged as the lowest bidder, leaving behind Airtel and Vodafone. For more than six years now, the only telecom provider for 3.78 lakh mobile phone connections used by railway staff in the closed user group (CUG) across the country has been Airtel, for which the bill is footed by the government.
The tender for the business, which is a three-year contract, saw a four-way contest between Airtel, Jio, the Vodafone-Idea JV and state-run BSNL, reported IE. According to sources quoted in the report, the national transporter is used to paying nearly Rs 100 crore towards phone bills in the existing arrangement. Interestingly, the new prices offered by Jio brings down the total bill amount by about 30%, the report said. This means a saving of nearly Rs 30 crore!
The bids for this was opened earlier this month. Sources quoted in the report said that currently, the tender committee at Railway telecom PSU Railtel is reviewing the papers of the bidders and they further added that if no discrepancy is found, the railways will award the contract to the lowest bidder. Read More
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