16-year term for spectrum pay

16-year term for spectrum pay”

The Telecom Commission has approved the extension of time period for the payment of spectrum bought in auctions by telcos to 16 years from the existing 10 years. This is being done by replacing the prime lending rate (PLR) with marginal cost of fund-based lending rate (MCLR) to calculate the interest owed by telecom operators for delayed payment of licence fee and spectrum usage charges, said a person with direct knowledge of the matter.

Official sources said that the TC made a decision to go ahead with key recommendations of the inter-ministerial group (IMG) that had been formed to give suggestions on providing relief to stressed telecom companies. The telecom industry's total debt stands at around Rs 4.60 lakh crore.

The cabinet will next vet these approvals, officials said.

Laying the groundwork for the ambitious new National Telecom Policy (NTP), the Telecom Commission, has defined the guiding principles for the policy, which include focus on the telecommunications sector as an enabler of economic growth, protection of consumer interest by ensuring affordability, quality of services, protection of data and privacy, a senior official at the Department of Telecommunications (DoT) said.

The replacement of PLR with MCLR was also recommended by the IMG to ease the financial stress of telecom firms. Since the entry of a new player Reliance Jio, the indutry's revenues has been on a declining trend with margins dipping and tariffs coming to a new low where voice calls are free and data is being offered at dirt cheap rates.

"Telecom Commission has approved IMG recommendation to extend spectrum payment period to 16 years from 10 years at present".

The commission also approved the installation of 2,817 mobile towers in the North East by BSNL with an outlay of about Rs 2,258 crore.

The IMG also okayed TRAI's recommendation to mandate that every building plan should have duct for telecom cable and the completion certificate be given only if it has been incorporated.

The highest decision making body of the sector, has sent one of the recommendations of relaxing cap on spectrum in a band to the Telecom Regulatory Authority of India (Trai) for their views.

The inter-ministerial panel has given nod to grant Rs 1,231 crore to the Telangana government for the roll-out of the second phase of Bharat Net project in the state along with its drinking water project Mission Bhagiratha.

Commenting on the developments, Rajan S. Mathews, Director General, Cellular Operators' Association of India (COAI) told IANS: "We appreciate the government for addressing our concerns".

"The move certainly helps the industry as it will improve the cash flow in the near term. It will ease the payment burden". Analysts say that the delayed payments will give "some reprieve" to the troubled telcos, though adding that "a significant relief would have been a reduction in the licence fee and/or the spectrum usage charge (SUC) that companies have to pay to the government".

Like this



30 September 2017
Jim Carrey claims he was extorted by ex-girlfriend's mother
Actor Jim Carrey is likely to face a trial over the death of his ex-girlfriend, Cathriona White .Carrey at Ms White's funeral. The couple was back together for much of that February but split up sometime after Valentine's Day, the filing claims.

30 September 2017
Meet Jessica Wall, Hugh Hefner's Final Pick for Playmate of the Month
In the short clip, a woman is heard saying "wonderful movie" while Hefner shuffles along, clutching a walking frame. But, one thing that Hefner was known for over the years, was his list of many girlfriends.

30 September 2017
Ohio's minimum wage to increase in 2018
An amendment passed by OH voter in November 2006 says Ohio's minimum wage increases each year by the rate of inflation. Premier Brian Pallister has said increasing the minimum wage to $15 per hour would stymie job growth.

30 September 2017
Three dead after SUV crashes into bear on Interstate 70
She was taken to a local hospital and then flown to Children's Hospital where she died just before 9:30 a.m. A 62-year-old woman from Carbondale was taken to Valley View Hospital with life threatening injuries.

30 September 2017
Rockies need 1 more win to clinch wild-card
Louis was eliminated from the wild-card derby on Thursday when it a dropped a 2-1, 11-inning decision against the Chicago Cubs. The Milwaukee Brewers , much like the Minnesota Twins, were not a team I expected to see making a push for October.

30 September 2017
DC appeals court won't revisit ruling blocking gun law
That famous decision enshrined the right of individuals to possess and carry firearms as part of the Second Amendment. The city had a month to decide if it wanted to appeal to the full court, a process known as "en banc".

30 September 2017
Goldman Sachs Cuts Rating On Invesco Ltd (IVZ)
Looking at some alternate time periods, the 12 month price index is 1.15717, the 24 month is 1.14268, and the 36 month is 0.93234. Hsbc Hldg Public Ltd reported 384,155 shares or 0.02% of all its holdings. 58 funds opened positions while 216 raised stakes.

30 September 2017
Texans avoid Titans WR Corey Davis due to injury
Strunk, a Houston native who lives in Waller, Texas, announced a $1 million donation August 29 to Watt's relief fund. Watt said Strunk was the first to donate such a big sum of money, and that's why he wants to thank her personally.

30 September 2017
James Webb Space Telescope Launch Delayed to 2019
Next, the JWST will be moved to the Redondo Beach facilities for integration with the spacecraft. When it launches, the James Webb Telescope will be the world's biggest space telescope.

30 September 2017
American convicted of supporting al Qaeda, aiding bomb attack
A federal jury in NY reached the verdict in the case against Muhanad Mahmoud Al Farekh, who's originally from Houston. President Barack Obama's administration ultimately chose to try for a capture and civilian prosecution instead.