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DoT estimates Rs. 3,738 crore loss if it lowers annual spectrum fee as per TRAI


The division of Telecom has estimated that decreasing annual spectrum price as advisable through TRAI will result in the nationwide exchequer a minimal lack of Rs. 3,738 cores on renewal of the three licenses which are due to expire in 2014.

Ariel’s licenses in Delhi and Kolkata, Vodafone’s in Delhi, Mumbai and Kolkata and Loop cellular’s in Mumbai are to expire in 2014.

“through charging TRAI advisable reserve value and flat fee of SUC (spectrum usage cost) of 3 percent on AGR vies-a-vies the prevailing rate 6 pace…the loss in internet current price time period at 12.5 p.c discounting could be Rs. three,738 crores,” said an respectable supply.

While estimating the loss, Dot assumed that licenses of three operators would get spectrum at TRAI’s really useful price and the same quantum that they cling now.

The Telecom Regulatory Authority of India has really helpful implementing a uniform SUC of 3 paces from April 1, 2014 and holding the upper restrict of SUC slab at 5 p.c.

SUC, which is levied yearly by using the government as a percentage of income earned with the aid of mobile operators, varies from three-eight per cent.

While the advice may prove offering some aid to gamers comparable to Airtel, Vodafone, idea cellular, Reliance Communications, it should burden the holders of broadband wireless get right of entry to (BWA) spectrum like Reliance Jio Infocomm who are required to pay 1 per cent SUC at current.

Dot remains to be engaged on the quantity it’s going to acquire via increase USC on BWA players.

On Thursday, top executives of 4 telecom operators — Airtel, Vodafone, thought cellular and Union — approached the prime Minister’s place of job, member of Empowered group of Ministers on Telecom, department of Telecom and Tray Chairman searching for implementation of a uniform rate across the trade.

The executives demanded that the federal government implement a flat SUC throughout the business and if that’s not imaginable at existing, then to levy uniform cost of 1 per cent for the entire players deploying the4G know-how.

The Telecom fee could meet on December 31 to speak about SUC and its suggestion can be sent Empowered crew of Minister on telecom, headed by way of Finance Minister P Chidambaram.

It’s going to be for the Ego to maneuver the cabinet for a final choice on the SUC, sources said.