Airtel chief Sunil Mittal complains about government levies, to hike tariffs

NEW DELHI: Complaining that 35% of a telco’s revenues end up with the government as levies, Airtel chief Sunil Mittal said the company has “run out of patience” and will start raising tariffs progressively, looking at a threshold of Rs 99 for entry customers against the existing Rs 79.

Airtel has announced a Rs 21,000-crore rights issue as it looks to reduce its Rs 1.6-lakh-crore debt pile-up. Mittal said tariff revisions are the need of the hour even as the government should look at a softer tax regime for the debt-laden industry, which offers one of the lowest tariffs in the world.

He said recent tariff changes by Airtel across some categories show that it has “run out of patience” and will be taking steps to shore the company’s finances.