Vodafone Idea opts for 4 yr moratorium to clear AGR dues
Mumbai/IBNS: Vodafone Idea on October 20 announced that its board has opted for the four-year moratorium to clear Adjusted Gross Revenue (AGR) dues, according to media reports.
Starting October 2021, Vodafone Idea will clear the dues, spectrum payment, and finish by September 2025.
The debt-laden telecom company said in a stock exchange filing: “We wish to inform you that the Board of Directors of the Company has approved the exercise of the option of deferment of the Company’s spectrum auction installments for a period of 4 years (October 2021 to September 2025).”
With this, Vodafone Idea became the first telco to accept the Department of Telecommunications (DoT)’s four-year moratorium on AGR dues which is part of the telecom relief package announced on the Centre approved on September 15.
The telecom companies have been asked to decide and opt for the four-year moratorium for payment of dues by October 25. However, the companies have to pay interest on the dues during the moratorium period.
In addition, the government has also scrapped Spectrum Usage Charge (SUC) for airwaves acquired in future spectrum auctions.