Vodafone Idea Confirms AGR Dues Relief, Sets Rs 124 Cr Annual Payment Plan

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AuthorIshaan Verma|Published at:
Vodafone Idea Confirms AGR Dues Relief, Sets Rs 124 Cr Annual Payment Plan
Overview

Vodafone Idea has confirmed relief on its Adjusted Gross Revenue (AGR) dues. The company will pay Rs 124 crore annually for six years starting March 2026, followed by Rs 100 crore annually for four years from March 2032. A Department of Telecommunications committee will also reassess dues, offering a crucial lifeline to the debt-laden operator.

AGR Dues Rejigged

Vodafone Idea (Vi) confirmed on Friday that its Adjusted Gross Revenue (AGR) dues, spanning fiscal years 2006-07 through 2018-19, will remain frozen as of December 31, 2025. This development provides a structured path for addressing significant liabilities that have long burdened the telecom operator.

Payment Schedule Detailed

The telecommunications firm outlined a revised payment plan. It is now mandated to pay ₹124 crore annually over the next six years, commencing March 2026 through March 2031. Following this period, the company will owe ₹100 crore each year for four years, from March 2032 to March 2035. The remaining outstanding AGR dues are to be settled in equal annual installments spread across six years, from March 2036 to March 2041.

DoT Committee to Review

Adding to this relief, Vodafone Idea stated that the Department of Telecommunications (DoT) will constitute a committee tasked with reassessing the AGR dues. The decision rendered by this committee is set to be final, potentially offering further adjustments to the financial obligations.

Ongoing Financial Challenges

This reprieve comes as Vodafone Idea continues to grapple with severe financial strain. The company has been battling intense market competition, substantial AGR liabilities, and high debt levels, exacerbated by earlier changes in the definition of AGR. Persistent losses, a declining subscriber base, and limited capital for network upgrades have plagued Vi, while rivals aggressively pursue 4G and 5G rollouts.

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