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Reconsider demands made to PSUs, SC tells Telecom Department

Private telecom firms told to submit roadmap for payment of AGR dues
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Tribune News Service

New Delhi, June 11

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The Supreme Court on Thursday asked the Department of Telecommunications (DoT) to reconsider the demands raised against public sector undertakings (PSUs) on the basis of its 2019 judgment on adjusted gross revenue (AGR). The verdict couldn’t have been used for raising demands from the PSUs, a Bench headed by Justice Arun Mishra clarified.

The Bench asked private telecom companies to file affidavits explaining how they planned to pay their dues even as counsel for Vodafone, Airtel and others said their licences might get cancelled for non-payment within the agreed timeframe. The top court asked the telcos to provide a roadmap for payment of AGR dues along with timeline and security they could provide to guarantee the payment.

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The Bench posted the matter for further hearing on June 18. The private telecom companies wanted the DoT to allow staggered payment of AGR dues. The Centre has supported their plea for staggered payment. Asking them to pay the entire amount at once would adversely impact the telecom industry, Solicitor General Tushar Mehta said.

However, the Bench expressed reservations over their offer to make the payment in 20 years.

During the hearing, the court raised several questions over DoT’s AGR demand from PSUs.

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