In a regulatory filing, Norway-based service provider, Telenor has stated that it has been allowed by the Indian government to offset Rs 16.6 billion against payment due for the spectrum acquired by it in the auction held in November 2012.
In the filing, operator has claimed that Telenor?s Indian subsidiary Telewings Communications Limited has been allowed to offset the entry fee of Rs 16.6 billion paid by Unitech Wireless in 2008 against the remaining installments for the spectrum acquired by the company.
Earlier, in October 2012, the Empowered Group of Ministers had allowed telecom companies to adjust payments made earlier for 2G licences cancelled by the Supreme Court in February 2012.
Uninor a joint venture between Unitech Wireless and Telenor had 22 telecom licences in India. However, these were cancelled by the apex court in 2012. Late, Telenor parted ways with Unitech Wireless and bid in the auction through a new entity – Telewings Communications. It has to pay Rs 40.182 billion for spectrum in six circles – Andhra Pradesh, Bihar, Gujarat, Maharashtra, Uttar Pradesh East and Uttar Pradesh West.
Telenor has claimed that it will save Rs 1.7 billion with reduced accrued interest following the lowering of licence debt. Further, these effects will be partly offset by a deferred tax expense of Rs 5.6 billion. The cash effects from the granted offset will occur regarding the remaining installments, scheduled for 2015-2024.
