RailTel Corporation of India has formed a bandwidth leasing agreement with Sify. As per the deal, Sify will lease and sell RailTel's excess bandwidth capacity to telecom operators. The internet service provider will also use RailTel's optic fibre cable network to provide integrated end-to-end solutions to consumers and corporates over a common internet backbone infrastructure. The alliance willenable RailTel to earn revenues through better utilisation of its telecom network infrastructure. Meanwhile, RailTel is also negotiating with the power ministry and GAIL to combine their optic fibre networks. Consequently, they could merge to form a single NLD service operator to enter the commercial telecom space.