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Telecom Firms Discuss AGR Dues with Minister Scindia in Meeting: ET Telecom

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In Short:

Telecom operators met with Communications Minister Jyotiraditya Scindia to discuss issues related to adjusted gross revenue (AGR) dues and errors in calculations. They requested to maintain existing agreements for licenses, stressing the need for regulatory certainty. Vodafone Idea highlighted the recomputation of AGR dues, which could provide significant relief, especially as it faces over Rs 70,000 crore in dues starting FY26. Bharti Airtel also has about Rs 44,000 crore in dues. Additionally, telcos urged the regulation of over-the-top (OTT) communication services, citing increased commercial traffic-related issues. This meeting was the third involving telecom leaders and the minister.


Telecom Leaders Seek Clarity on AGR Dues in Meeting with Minister

In a pivotal meeting held on Tuesday, Telecom operators met with **Communications Minister Jyotiraditya Scindia** to discuss pressing issues, notably the contentious topic of **Adjusted Gross Revenue (AGR)** dues and concerns over calculation mistakes. This meeting marks the third time in recent months that top telecom executives have convened with the minister.

Contractual Agreements in Focus

During the discussions, the operators emphasized the importance of maintaining the current contractual agreement between the government and telecom firms regarding license grants. One official, speaking on the condition of anonymity, mentioned, “The telcos expressed that while licenses can be transformed into authorization, the existing agreement must continue to ensure regulatory certainty.”

Regulating OTT Communication Players

The operators, including prominent figures such as **Akash Ambani** (Chairman of **Reliance Jio**), **Rajan Mittal** (Vice Chairman of **Bharti Enterprises**), and **Akshaya Moondra** (Managing Director of **Vodafone Idea**), reiterated their call for bringing **over-the-top (OTT)** communication services under regulatory management. They highlighted that much of the communication traffic, essential for curbing spam and phishing attempts, has now migrated to these platforms.

At this meeting, **Vodafone Idea** took the initiative in raising concerns regarding the recomputation of AGR dues, with other operators readily backing the appeal. The Minister reportedly assured the attendees that the **Department of Telecommunications (DoT)** would review the issue thoroughly.

Impact of Supreme Court Decisions

On Monday, Minister Scindia indicated that the DoT was evaluating the implications of the **Supreme Court’s** rejection of curative petitions from **Vodafone Idea** and **Bharti Airtel** concerning the recomputation of their AGR dues. Analysts warn that any potential relief could be a critical lifeline for **Vodafone Idea**, which currently faces over **Rs 70,000 crore** in AGR dues, with payments scheduled to begin in FY26. In comparison, **Bharti Airtel** is expected to negotiate around **Rs 44,000 crore**.

While **Reliance Jio** is not directly impacted by historical AGR dues, the company is nonetheless showing solidarity with its peers in seeking a resolution to the matter.

Engaging with Stakeholders

In addition to discussions with telecom leaders, Minister Scindia also engaged with original equipment manufacturers. These meetings are part of the MoU involving six advisory committees established by the DoT, which include a diverse range of representatives from various stakeholders in the communication ecosystem, such as telecom firms, vendors, and infrastructure providers.

As the landscape remains crucial to the Indian communication sector, these interactions aim to foster collaboration and create a more robust regulatory framework that supports both telecom operators and consumers alike.

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