AGR Must Be Properly Defined To Avoid Confusion In Telecom Sector

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AGR Must Be Defined

AGR dues have been troubling all the telecom operators in India. Since the supreme court directs the telcos to pay AGR dues assessed by DoT, all the telecom operators have been facing massive financial burden. Trai chairman RS Sharma states that after the verdict of the supreme court on AGR issues, DoT must create an environment that would attract investments in the future. Sharma also said that AGR must be clearly defined to avoid confusion and chaos in the telecom sector.

AGR Must Be Defined

Telecom operators earlier urges TRAI to set a uniform floor price which would be applicable in all type of plans and subscribers. Telcos justified their reason for a uniform floor price and stated that fixing a floor price would increase the revenue for telecom operators and attract investments in future. On the topic, RS Sharma noted that due process of consultation is being followed and Trai will come up with a decision regarding the matter.

Supreme court settled the AGR matter which was due from 15 years and asked telcos to pay AGR dues assessed by DoT. DoT AGR estimates included non-core items which burdened the telcos with license fees and spectrum usage charge dues worth Rs 1,47,000 crore. DoT has also raised similar estimates on non-telecom companies, and their dues stand around Rs 3 lakh crore.

Trai Chairman addressed the telecom operators at a digital roundtable organised by ET Telecom and Taipa and appreciated their efforts and services during the Covid-19 crisis. The digital roundtable conference also witnessed participation from Chairman of Bharti Infratel Akhil Gupta, Joint Secretary of DoT Hari Ranjan Rao and many more. As the entire nation is stuck at home, the demand for data and voice has been increased, and telecom operators are facing added pressure on their network towers. Despite facing burden, telecom operators are providing seamless services to its customers to ensure that they are connected with their loved ones in stressful times and use data for their work and entertainment purpose.

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