Lower tariff constrains telecom operators' capacity to invest: Govt

There has been no default in repayment of loans by telecom service providers, Manoj Sinha said

The decline in telecom operators' revenues due to falling tariff impacts their capacity to invest and this can also lead to delay in spectrum payment, the Rajya Sabha was informed on Friday.

"As of now, there is no delay in spectrum payment to the government and all the deferred payment dues of 2012, 2013 and 2014 auctions have been realised by their respective due dates," Telecom Minister Manoj Sinha said in a written reply in the Rajya Sabha.

"There is fall in revenue of telecom operators due to falling tariff. The decline in revenue impacts their capacity to invest and delay in spectrum payment can happen," the minister said.

 

The tariffs are set by regulator Trai, he said.

There has been no default in repayment of loans by telecom service providers so far, Sinha added.

Responding to another query, the minister said that as per the available information, the industry's debt is almost Rs 4,60,000 crore.