Govt unlikely to approve 2-year moratorium on spectrum payment, says report

The Ministry of Finance is unlikely to approve the telecom industry's demand for a two-year moratorium on payment for spectrum bought in previous auctions, reported the Business Standard, citing an official in the know. The government's decision comes as unpleasant news for the industry that is already suffering from severe monetary stress.

The development comes not long after the Supreme Court upheld the government’s definition of adjusted gross revenue (AGR) and directed telecom operators to pay up the pending licence fee and other charges that could amount to more than Rs 1.33 trillion.

Earlier, Vodafone-Idea had requested relief from the government from paying up its dues linked to the spectrum fees. This, in turn, the report said, had prompted the telecom department to consider giving all telecom companies a two-year moratorium for the payment of dues.