Union Cabinet approved hiving off BSNL towers into a new company. This will help BSNL to realign its structure in the highly competitive telecom sector.<br/><br/>This will also help the public sector company to unlock its tower assets and improve its financial position. <br/><br/>The Telelcom Deportment will constitute an inter-ministerial group for working out capital structure and organizational structure of the new company.<br/> <br/>BSNL has about 64,500 towers across the country and more than 50 thousand tower sites have optical fiber cable connectivity. The company had started sharing its towers with other service providers from 2010 but it is yet to realize full potential of its market share. <br/><br/>The Cabinet also cleared financial assistance of Rs 627 crore to BSNL and MTNL for surrendering 800 MHz telecom spectrum in some circles. Government also gave its nod for providing one rank one pension facility for retired High Court judges. <br/><br/>Sources said a decision in this regard was taken during today's cabinet meeting. The Cabinet also cleared amendments to arbitration law for faster disposal of commercial disputes.