DoT pushing Airtel\, VIL for partial AGR payment upfront

MUMBAI: The telecommunications department is pushing mobile phone operators like Bharti Airtel and Vodafone Idea to make some upfront payment towards their balance adjusted gross revenue (AGR) dues, before being allowed to stagger the rest over several years, senior officials said.

This comes after both Airtel and Vodafone Idea told the department that they are not in a position to immediately pay any more statutory dues than what they have already paid, officials and industry executives said.

The two sides – telcos and DoT – need to present a payment roadmap before the Supreme Court at its next hearing, which is scheduled on July 20.

Vodafone Idea and Airtel still need to pay about Rs 51,400 crore and Rs 25,980 crore worth of balance AGR dues, respectively, having paid nearly Rs 6,854 crore and Rs 18,004 crore so far.

"Both the telcos have informed the DoT that they have paid what they could and are not in a position to add to the upfront payments,” a government official told ET. “They have raised issues with DoT's calculations as well.”

DoT’s latest stance is in line with the Supreme Court’s observation in its previous hearing that the telcos need to make some upfront payment, to avail of a staggered mechanism. “Although the telcos have also told the top court that they can’t pay more, DoT won’t take any chances and will need to show they are doing their best to recover dues,” a second official told ET.