Reliance Jio pays Rs 30,791 crore for all spectrum acquired earlier than March 2021

Telecom Reliance Jio on Wednesday stated it has paid Rs 30,791 crore, together with accrued curiosity, to the Department of Telecom to clear all the spectrum funds liabilities that the corporate acquired earlier than March 2021 auctions.
The funds embrace the liabilities pertaining to the spectrum acquired in auctions of 12 months 2014, 2015, 2016, and the spectrum acquired within the 12 months 2021 via buying and selling of proper to make use of with Bharti Airtel Limited, the corporate stated.
“Reliance Jio Infocomm (RJIL)… has paid Rs 30,791 crore (including accrued interest) to the Department of Telecom towards prepayment of the entire deferred liabilities pertaining to spectrum acquired in auctions of year 2014, 2015, 2016 and the spectrum acquired in year 2021 through trading of right to use with Bharti Airtel,” the corporate stated in an announcement.
The firm had acquired 585.3 MHz spectrum via these auctions and buying and selling.
“The company estimates that the above prepayments will result in interest cost savings of around Rs 1,200 crore annually, at the current interest rates,” the assertion stated.
Reliance Jio has cleared all dues even after authorities has given choices to telecom operator of availing 4 years moratorium on all spectrum associated funds.
RJIL had executed the primary tranche of prepayment on the anniversary date within the month of October 2021 pertaining to spectrum acquired in public sale within the 12 months 2016.
Subsequent to Department of Telecom’s determination within the month of December 2021 offering the telcos the pliability to prepay their deferred spectrum liabilities on any date, RJIL has now pay as you go within the month of January 2022, all the deferred liabilities acquired in public sale within the 12 months 2014 and 2015 in addition to the spectrum acquired via buying and selling.
These liabilities have been due in annual instalments from monetary 12 months 2022-23 to 2034-2035 and carried rate of interest between 9.30 to 10 per cent every year with a median residual interval of greater than seven years.
Bharti Airtel final month paid Rs 15,519 crore to the Department of Telecom in the direction of prepayment of all the deferred liabilities pertaining to spectrum acquired in public sale of 12 months 2014.