An empowered group of ministers [EGoM] decided on Monday to refund licence fee of companies whose telecom licences have been cancelled but which have no criminal charges against them. The EGoM, headed by the finance minister P Chidambaram, also decided to recommend to the cabinet a one-time fee on existing telecom operators for spectrum they hold beyond 4.4 MHz.
The Supreme Court had cancelled 122 licences in February which were granted during the former telecom minister A Raja's regime.
Operators wishing not to pay the additional fee would be allowed to relinquish the excess spectrum beyond 4.4 MHz. The one-time fee would be imposed from the day the cabinet takes a decision on the matter.
Companies willing to retain excess spectrum will have the option of making staggered payments in yearly instalments, officials privy to the EGoM deliberations said. The government is likely to rake in about Rs 27,000 crore from the one-time fee, they added.
'If there is no case or no action is going on against telecom companies for no fault on their part [in obtaining licence in 2008], then the amount [licence fee of Rs 1,658 crore] will be refunded,' an official said. He said that the government will adjust this Rs 1,658 crore against the final price of spectrum that companies, whose licences were cancelled, will have to pay at the end of the November auction of airwaves.
The government has allowed the telecom companies impacted by apex court judgement to participate in auction if they are interested to continue their business.
The Supreme Court had cancelled 122 licences in February which were granted during the former telecom minister A Raja's regime.
Operators wishing not to pay the additional fee would be allowed to relinquish the excess spectrum beyond 4.4 MHz. The one-time fee would be imposed from the day the cabinet takes a decision on the matter.
Companies willing to retain excess spectrum will have the option of making staggered payments in yearly instalments, officials privy to the EGoM deliberations said. The government is likely to rake in about Rs 27,000 crore from the one-time fee, they added.
'If there is no case or no action is going on against telecom companies for no fault on their part [in obtaining licence in 2008], then the amount [licence fee of Rs 1,658 crore] will be refunded,' an official said. He said that the government will adjust this Rs 1,658 crore against the final price of spectrum that companies, whose licences were cancelled, will have to pay at the end of the November auction of airwaves.
The government has allowed the telecom companies impacted by apex court judgement to participate in auction if they are interested to continue their business.