Reduction in SUC to bring much needed relief to telecom sector: Vodafone

Excelsior Correspondent
JAMMU, Apr 19: Harmonizing the available spectrum to offer additional quantum via auction is another progressive step by the Government (after spectrum trading and sharing), to maximize efficiency of this precious resource.
This was commented by Sunil Sood, MD and CEO, Vodafone India on the proposed spectrum harmonization.
He stated that with Digital India as the guiding vision and consumer demands evolving from voice to data, the telecom industry increasingly needs more of quality spectrum to be made available at reasonable prices. An efficient spectrum also directly results in providing customers with a superior network experience, he added.
Reduction in SUC from 5 per cent to 3 per cent of Adjusted Gross Revenues (AGR), as reported, will bring in much needed relief to the highly capital intensive telecom sector, Sood maintained.
Commenting on the reduction in SUC charges, Sunil Sood said “The telecom sector is severely debt laden (more than Rs 3 lakh crore at last count and growing). This reduction in SUC charges from 5 per cent to 3 per cent will free cash-flows which can be invested towards further enhancing network and customer experience. It is a positive step that benefits the industry and is also in line with the TRAI’s recommendation of having a uniform, minimal SUC charge for all spectrums across the industry”.

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