Pay Rs 13,613 crore as licence fee for 4 years: DoT to PowerGrid

PowerGrid holds NLD and Internet Service Provider (ISP) licences
State-run transmission utility Power Grid on Thursday said the Department of Telecommunications has raised a demand of Rs 13,613.66 crore as licence fee for years 2006-07 to 2009-10.

“Department of Telecommunication vide its revised Assessment order dated May 22, 2020 in respect of NLD (National Long Distance)licence for the FYs 2006-07 to 2009-10 has asked POWERGRID to pay Rs 13,613.66 crore on account of License Fee for the FYs 2006-07 to 2009-10, interest, penalty and interest on penalty," a regulatory filing by the company said.

The Supreme Court’s ruling in October last year led the DoT to demand Rs 1.47 trillion in unpaid dues on licence fees and spectrum usage charges from telecom companies such as Bharti Airtel and Vodafone Idea. Its demand related to a 14-year-old dispute regarding the definition of adjusted gross revenue (AGR), which the Supreme Court agreed should include all kinds of income generated by the telcos.

The DoT also raised a demand of over Rs 3 trillion from non-telecom PSUs such as GAIL, Oil India and PowerGrid for telecom licences these firms had primarily acquired for internal communication purposes. PowerGrid holds NLD and Internet Service Provider (ISP) licences.

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