Telecom sector urges sharp cut in licence fee ahead of Budget
New Delhi, Jan. 14 -- The telecom industry has urged the finance ministry to sharply cut licence fees and temporarily pause mandatory contributions to the Digital Bharat Nidhi in the upcoming Union Budget, saying the current regulatory levies are limiting its capacity to invest in next-generation networks.
According to recommendations submitted ahead of the Budget, the industry wants the licence fee, currently at 3% of adjusted gross revenue (AGR), to be between 0.5% and 1%, and the 5% AGR contribution to the Digital Bharat Nidhi to be temporarily halted.
"The License Fee, which is a combination of the License (3% of AGR) and Digital Bharat Nidhi Contribution (5% of AGR), is a huge financial burden for the Licensed Telcos," as per a submiss...
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