Vodafone Claiming New Operators Paying Less Spectrum Fees

Vodafone, one of the largest GSM operators, had said that service providers like itself and Bharti pay the highest spectrum charges per MHz to Department of Telecom (DoT) compared to others
Vodafone’s Resident Director T V Ramachandran in a letter to DoT giving an example said that the rate per MHz per quarter for 7 circles

Bharti – Rs 1.71 crore
Vodafone – Rs 1.37 crore
Tata – Rs 0.27 crore
Reliance – Rs 0.22 crore

Rivals REPLIED TO IT by calling the allegation absurd and said Vodafone has compared payment of spectrum usage for seven circles including metros and it would be very misleading to compare these circles where the incumbents have been operating for many years and have revenues far exceeding players like Tata Teleservices and RCom and other new GSM players

RCOM said old operators like Vodafone have revenues far exceeding RCOM and they are paying fees as a percentage of adjusted gross revenue. In many circles, where RCOM has more revenues their spectrum fees to the government is higher than Vodafone.

Apart from this some of the dominant operators are said to be holding in excess of over 10 MHz of spectrum across circles beyond the contracted limit of 6.2 MHz, without paying for the difference. “This itself should fetch the government over Rs 20,000 crore on being charged at market price.

Mohammad Aamir

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