Telecom companies on edge after government’s revenue estimate fails to add up

MUMBAI: Telecom operators and analysts said they were at a loss to understand the government’s budgetary estimates for the current and next financial years for the sector, saying the numbers don’t add up if the adjusted gross revenue (AGR) dues or part of the dues are not factored in.

They told ET that the upcoming spectrum auctions would generate Rs 40,000-50,000 crore as upfront revenue and, along with the licence fee of Rs 20,000-25,000 crore and spectrum usage charge, would fetch the government around Rs 75,000 crore, a far cry from the Rs 1.33 lakh crore budgeted for