The Department of Telecommunications (DoT) is not considering any fresh relief measures for Vodafone Idea with regard to its massive adjusted gross revenue (AGR) dues, Minister of State for Communications Chandra Sekhar Pemmasani said on Monday.
“We have recently converted a lot of their debt into equity. The government has done whatever we thought we could do. At this time, we do not have any discussion or plan to change anything other than what we have done,” Pemmasani stated.
Government Stake in Vodafone Idea
- In March 2025, the government acquired shares worth ₹36,950 crore against outstanding spectrum auction dues, becoming the single largest shareholder in Vodafone Idea.
- Earlier, in 2023, the Centre had already taken around 33% stake in the telco in lieu of statutory dues worth ₹16,000 crore.
Despite this, Vodafone Idea has told the Supreme Court that it will not be able to survive without further government support.
AGR Liability & Payment Schedule
- Vodafone Idea’s AGR liability stood at nearly ₹75,000 crore at the end of June 2025.
- The Supreme Court’s 2019 ruling had upheld the DoT’s definition of AGR, directing telcos to pay their full dues.
- Vodafone Idea must clear its dues in six equal instalments starting March 31, 2026, after the current moratorium ends.
Satcom Spectrum: Pricing Talks On
The minister also provided an update on spectrum allocation for satellite communication (satcom) players, including Elon Musk’s Starlink and Bharti Group-backed Eutelsat OneWeb.
- Discussions are ongoing regarding pricing of spectrum.
- Allocation will be made once pricing is finalised.
- Data sovereignty rules: Satcom players will not be allowed to host Indian data outside the country or provide services in foreign countries using an Indian gateway setup.
Key Takeaways
- No new AGR relief planned for Vodafone Idea.
- Govt is already the largest shareholder with stakes worth over ₹53,000 crore.
- AGR dues of ₹75,000 crore remain a burden, with repayments due from March 2026.
- Satcom players like Starlink and OneWeb await clarity on spectrum pricing.
Disclaimer: This news article is for informational purposes only and does not constitute financial or investment advice.
