Government to take action if telcos don’t pay up AGR dues as per SC judgment

This was stated in reply to a question in Lok Sabha on Wednesday by Minister of State for Communications Sanjay Dhotre.
Government to take action if telcos don’t pay up AGR dues as per SC judgment
Government to take action if telcos don’t pay up AGR dues as per SC judgment
Written by:

The government has directed the telecom service providers (TSPs) to make payments as per the Supreme Court judgment on AGR (Adjusted Gross Revenue) and in case of non-payment, action will be taken as per licence agreements.

This was stated in reply to a question in Lok Sabha on Wednesday by Minister of State for Communications Sanjay Dhotre.

Dhotre said that the government has directed the TSPs to make payments as per the Supreme Court judgement of October 24, 2019.

In case of non-payment of dues to the Department of Telecommunications (DoT), the government will take action as per the licence conditions of the TSPs.

In a reply to a related question, Dhotre said the Supreme Court had detached the public sector undertakings (PSUs) from the AGR judgement and directed them to seek relief from the appropriate forum.

PSUs such as GAIL, Oil India represented to DoT that the AGR judgement is not applicable to them and therefore they do not owe any dues.

The Minister reiterated that the government abides by the Supreme Court orders of February 14, 2020.

In another question related to stress in the telecom sector, the Minister said the government has given an option to the TSPs to defer the spectrum payment instalment for 2020-21 and 2021-22, either for one or both years.

Meanwhile, ahead of the Supreme Court hearing on March 17, the government on Wednesday asked Bharti Airtel, Vodafone Idea and other telecom companies to pay remaining AGR dues without further delay and submit their self-assessment papers, sources said.

One of the telecom companies which has paid full and final figure as per its self assessment said they will respond to the letter but any immediate payment is ruled out. 

The Department of Telecommunications (DoT) wrote to all telcos asking them to pay balance dues "without delay". The government has so far received Rs 25,896 crore from AGR payments.

DoT officials said telcos will be called to explain their self-assessment if their written explanation of the said calculation of the figure does not match up to DoT parameters. They have to pay the remaining statutory payments, said the source.

So far, Airtel has paid Rs 18,004 crore and said this is the full and final amount and Tatas had earlier paid Rs 2,197 crore saying it is the final amount but later paid another Rs 2,000 crore. Vodafone Idea has not submitted its self-assessment amount but has given Rs 3500 crore.

Airtel's dues are at Rs 35,500 crore, Vodafone Idea's Rs 53,000 crore and Tata's at over Rs 14,000 crore.

Related Stories

No stories found.
The News Minute
www.thenewsminute.com