National Long Distance (NLD) service was opened to the private sector w.e.f. 13 August 2000. Indian registered companies having a net worth of Rs 2.5 crore and paid up equity of Rs 2.5 crore are eligible to apply. The total foreign equity in the applicant company must not exceed 74 per cent at any time during the entire licence period. Investment in the equity of the applicant company by an NRI/OCB/International funding agencies is counted towards its foreign equity. The entry fee of Rs 2.5 crore is to be submitted before signing the licence agreement. There is no restriction on number of operators. An NLD operator can carry inter-circle traffic in the country. The licence for NLDO is issued on nonexclusive basis, for a period of 20 years and is extendable by 10 years at one time. In addition to Bharat Sanchar Nigam Ltd (BSNL) nine more companies have signed licence agreement for National Long Distance Service. The competition resulted in lowering of tariff.