Interest pushes up telcos' auction payout to Rs 3 lakh cr in 10 yrs

Interest rate, at 10% in earlier auctions was decreased to 9.3% in last bidding process in 2016

The current stress in the telecom industry has prompted the government to work out the math on the spectrum money that operators will have to pay over the next 10 years, inclusive of interest. An internal estimate done by the Department of Telecommunications (DoT) suggests around Rs 3 lakh crore should come from telcos till 2028-29 as deferred payments for the spectrum they have acquired in the recent auctions, a source told Business Standard.

While Rs 9,486 crore is expected as spectrum payment along with interest during the current financial year, the amount will increase to Rs 24,619 crore in