The Supreme Court has registered the government’s appeal against Telecom Disputes Settlement and Appellate Tribunal (TDSAT’s) order that asked it to maintain parity between unified licence internet service providers (ISPs) and old licensees on licence fee issue.

The SC bench has posted the matter for final disposal in April 2021 and has stayed the refund of licence fee to some ISPs in pursuance of TDSAT order. The TDSAT on October 28, 2019, while setting aside the licence fee altogether had ordered that the UL-ISP shall be assessed in the same way as the ISPs holding licences under the old regime.

According to the TDSAT order, it was unfair to waive off the fees for old licensees for internet service, thus not requiring them to pay adjusted gross revenue at 8 per cent (till the time the old licences survive), while requiring the same to be done for new licences. TDSAT further noted that the requirement to consult the TRAI was necessary. It also noted that since TRAI at the relevant time in 2012 did not specifically recommend inclusion of internet service in the scope of AGR, the central government was restrained from including internet services in the AGR.