One-time 2G fee to result in Rs 20,000-crore Loss: Auspi

Telecoms dept's plans to impose a one-time charge on a prospective basis on telcos holding 2G airwaves would result in Rs 20 k cr loss to the exchequer.

NEW DELHI: The telecoms department's plans to impose a one-time charge on a prospective basis on telcos holding 2G airwaves in excess of 6.2 MHz would result in Rs 20,000 crore loss to the exchequer, warned the industry lobby representing telcos.

The Association of Unified Telecoms Service Providers or Auspi has demanded that communications ministry adhere by the decision taken by the Telecom Commission, the apex decision making body of the telecoms department.

In December 2011, the TC had cleared sector regulator Trai's suggestion that telcos be charged retrospectively for their 2G holdings beyond the 6.2 MHz limit. Trai had suggested that incumbents be charged Rs 4,572 crore for every MHz above 6.2 on a pan-India basis. Incumbents had threatened to go to court over this one-time fee as its implementation would have forced them to shell out over Rs 17,000 crore.

The Telecom Commission had ruled that incumbents pay either the administrated price set by Trai, or the price discovered in the 2010 sale of 3G airwaves, whichever was higher in that particular region. This would have increased the industry outgo to Rs 25,000 crore.

Last week, ET had reported that the DoT had dropped plans to impose a one-time charge retrospectively on telcos.
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