No case for differential treatment of PSUs on statutory dues matter, says COAI

As per the Cellular Operators Association of India (COAI), the adjusted gross revenue (AGR) formula being applied on mobile operators should be applicable on all other categories of telecom licences and there can be no differential treatment for relevant public sector undertakings (PSUs) in this regard.

Commenting on the development, Rajan Mathews, Director General, COAI, said, “The question is are you a telecom licensee and if you are then the terms of the licence apply. The court has looked at the terms of the licence, so that same principle then should be applied on every licensed agreement, including for relevant PSUs,”

The Department of Telecommunications (DoT) has estimated Rs 2.4 trillion in liability for non-telecom companies such as GAIL India Limited and PowerGrid.