Disconnected lines

Public sector telcos continue to lose ground

Although a bit late in the day, the government recently took steps to prevent the telecom sector from becoming a duopoly. After the relief package announced in September 2021 to grant a moratorium on unpaid statutory dues and cut in spectrum usage charges, the government is reportedly planning to return bank guarantees worth Rs 23,000 crore to telecom firms in connection with their dues on account of adjusted gross revenues. Telecom firms, including cash-strapped Vodafone Idea, have responded to the government steps by raising tariffs and announcing fresh fundraising with promoters’ participation. While the government has done well to provide