AGR dues: Public sector companies with telecom licence also asked to pay


Published On: Sunday, February 16, 2020 | By:

AGR dues: Public sector companies with telecom licence also asked to pay

In a blow to Bharti Airtel and Vodafone Idea, the Supreme Court on 14th Feb rejected their plea seeking a staggered option for paying dues linked to adjusted gross revenue (AGR). Vodafone Idea announced on 15th Feb that it would pay its AGR dues to the government in the next few days in line with the Supreme Court order. Now the public sector companies that hold telecom licence primarily for their own network also received a letter by DOT, issued following Friday’s Supreme Court order, to pay their dues immediately. Oil India has to pay Rs 48,000 crore as AGR dues.GAIL has been asked to pay Rs 1.72 trillion, nearly four times its net worth of ~44,092 crore, and nearly three times its revenue. Power Grid has been asked to shell out nearly ~22,170 crore. This is almost equivalent to its revenue and over three times its net profit. Thus the outgo from these companies could not only wipe out their surplus but create distress in other sectors also.

Source: Various sources

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