The MTNL connection is among the best options for residential users, especially in Mumbai. It does have it’s set of problems but it’s a winner because of the reliable uptime & delivering on promised speeds.
In many areas there is a several month long waiting list for new connections. However, if you apply for plans priced Rs.2399/month or above, they issue it within a week(legitimately). The process is accelerated if you have your own router.(The D LINK 502T is the standard issue router, can be purchased for about Rs.1500 independently).
The speed & reliability of the connection is very good. A serious issue which is becoming worse with time however is the overloaded DNS servers of MTNL. Most downtimes reported by users are actually just the MTNL DNS servers being overloaded. A solution to this is to use openDNS(opendns.com), or host your own DNS server(ntcanuck.com recommended).
When there is a genuine outage however, do not expect any assistance from the MTNL phone support(dial 1504). It is a service operated by and for the technically challenged. They will tell you to check a few basic settings, restart your modem, . restart your computer and then register a complaint. I suggest noting the complaint number carefully, and then aggressively pursuing local MTNL officials with the complaint number for a quick resolution.
The tarriff for Mumbai can be viewed here:
https://mumbai.mtnl.net.in/triband/htm/tariff.htm
It’s best to go for an unlimited plan if you download a lot of stuff from the internet.
Beware the night unlimited plan however; you need to power cycle(restart) the modem everyday at or after midnight to be eligible for the happy hours. If you don’t want to live or download by MTNL’s clock, they have unlimited download plans as well. 1Mbps unlimited is Rs.8000/mo. Overpriced indeed, but the connection is far more reliable than other offerings.(Tata has a 1mbps unlimited plan for Rs.4000/mo).
Happy surfing