AGR WOES DISRUPT CATV, BROADBAND and DTH INDUSTRY
AGR WOES DISRUPT CATV, BROADBAND and DTH INDUSTRY
The Supreme Court choice is making bedlam in the telecom segment and pushing the telecom organizations to the verge of chapter 11. The suggestions and repercussions of this is extreme and calamitous over the environment. Aside from the telecom segment it will essentially affect the broadband part and the DTH division.
SC didn't give Vodafone Idea any help, and they need to pay ₹ 53,000 crore to the DoT as a component of its AGR contribution. Bharti Airtel paid ₹ 10,000 crore to the telecom office as the part measure of its balanced gross income (AGR) duty. Bharti Airtel's general AGR contribution as surveyed by the division of media communications (DoT) remain at ₹ 35,586 crore including permit expense and range use charge. Goodbye Teleservices, which had offered its versatile administrations business to Airtel, has duty of ₹ 13,800 crores. The organization has determined ₹ 2197 crore worth of duty as it were.
Up until this point, just Reliance Jio has completely satisfied its AGR obligations of ₹ 195 crore.
Division of Telecommunications has looked for ₹ 1.72 lakh crore in past statutory duty from state-possessed gas utility GAIL for IP-1 and IP-2 licenses just as Internet Service Provider (ISP) permit.
Spot is additionally looking for ₹ 1.25 lakh crore from PowerGrid which had both a national long-separation just as a web permit. PowerGrid says it has a balanced gross income (AGR) of ₹ 3,566 crore since 2006-07 and subsequent to adding punishment it comes to ₹ 22,168 crore.
Framework supplier classification I (IP-I) are those foundation suppliers who give resources, for example, dull fiber, option to proceed, conduit space and towers to the licensees of telecom administrations.
On the off chance that Vodafone closes down its activity it could push the opex and capex step up in the close term for Bharti Airtel and Reliance Jio. It is not yet clear how the area can recover from this and recapture its mood for what's to come.
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