New Delhi: In the coming days, you may have to pay more for your mobile. It is believed that there can be an increase of at least 10% in voice services and data services. Actually, Airtel and Vodafone have to pay 10% of their adjusted gross revenue (AGR) in the next 7 months. This is the reason why companies can increase their tariffs. This thing has been revealed in the estimates of the industry.
The Supreme Court has ordered telecom operators to deposit 10 per cent of their outstanding AGR by 31 March 2021. They can deposit the remaining amount in 10 installments, which will start from March 31, 2022. Brokerage firm Jefferies estimates that Bharti Airtel will have to pay about Rs 2,600 crore and Vodafone up to Rs 5,000 crore by March.
In return, the average revenue per user (ARPU) will need to be increased by 10% and 27%. In the first quarter, ARPU was 157 crores for Airtel and 114 crores for Vodafone Idea.
Jefferies said, “Our view is that there may be at least a 10 percent increase in tariffs in the near future.” After the Supreme Court’s decision in the Adjusted Gross Revenue (AGR) case, analysts said that Vodafone Idea Ltd. (VIL) may face difficulties in returning the arrears.
Brokerage company Motilal Oswal Financial Services said that Vodafone Idea may have problems in making timely payments but this is not the case with Bharti Airtel.
The Supreme Court on Tuesday gave companies like Vodafone Idea, Bharti Airtel and Tata Teleservices ten years time to the Department of Telecommunications (DOT) to pay dues related to adjusted gross revenue. The court, in its judgment, refused to give 20 years time to the telecom companies for payment of arrears of estimated 1.6 lakh crore rupees in AGR head.
