Reliance Jio pays DoT Rs 10,792 crore towards 2016 auction payment

Reliance Jio (Jio) has paid the Department of Telecommunications (DoT) Rs 10,792 crore, utterly clearing its dues in direction of spectrum purchased within the 2016 auctions, an individual acquainted with the matter.

“Jio has paid Rs 10,792 crore to the DoT for airwaves bought in 2016. However, they have dues pending for spectrum bought in 2013 and some of 2010,” the individual stated.

Jio’s fee comes at a time when Airtel has accepted the federal government’s proposal of a four-year moratorium on spectrum and adjusted gross income (AGR) funds, a transfer that analysts estimate would assist India’s second largest telco save Rs 11,000 crore-Rs 11,500 crore in annual money flows which can be utilized for community growth and to purchase 5G spectrum.

Vodafone Idea (Vi), on its half, has opted for spectrum moratorium to date, which can give the cash-strapped telco cash-flow reduction of round Rs 60,000 crore.

“Jio has not yet confirmed whether it will opt for a spectrum moratorium for the remaining dues to the government yet,” stated one other trade govt.

Jio has until until October 29 to reply on availing the spectrum moratorium possibility.

The DoT letter follows from a reduction bundle introduced by the federal government in the course of September. It included the four-year moratorium on AGR and spectrum funds, sharply lowered BGs and the choice to transform statutory dues to authorities fairness.

However each Airtel and Vi have but to substantiate on fairness conversion and the latter has not responded on AGR dues as nicely. TGI