‘Falling telecom tariffs limit investment capacity’


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The decline in telecom operators’ revenues due to falling tariff impacts their capacity to invest, and this can also lead to delay in spectrum payment, the Rajya Sabha was informed on Friday.

“As of now, there is no delay in spectrum payment to the government, and all the deferred payment dues of 2012, 2013 and 2014 auctions have been realised by their respective due dates,” Telecom Minister Manoj Sinha said in a written reply in the Rajya Sabha.

“Telecom operators have witnessed falls in revenue due to falling tariff. The decline in revenue impacts their capacity to invest, and delay in spectrum payment can happen,” the Minister said.

The tariffs are set by regulator TRAI, he said. There has been no default in repayment of loans by telecom service providers so far, Sinha added.

Responding to another query, the Minister said as per the available information, the industry’s debt is almost ₹460,000 crore.


Written by Loknath Das