In a major relief to Vodafone Idea, the Department of Telecommunications has pared the adjusted gross revenue (AGR) dues of the company by Rs 23,649 crore.
As per a stock exchange filing, the department has revised its AGR dues to Rs 64,046 crore as of December 2025. This is a significant cut from the earlier Rs 87,695 crore to be paid by the company.
“We now wish to submit that the DoT, vide its communication dated April 30, 2026, has informed that the committee formed for the purpose has finalised the AGR dues at Rs 64,046 crore as on December 31, 2025,” the company said in the exchange filing.
The revised amount will be paid starting FY32 till FY41 in two phases. During the first phase, from FY32 to FY35, the company will have to pay at least Rs 100 crore each year to the government.
In the second phase, the remaining dues will be paid in six equal annual instalments from FY36 to FY41, the company informed.
AGR dues are fees paid by telecom operators to the government for the spectrum used to operate. The dues are calculated by taking into account the revenue of the companies.
While telecom companies had argued that the dues should be calculated on the basis of their core telecom revenue, the government also included non-core revenue while arriving at the final amount. The government’s position was endorsed by the Supreme Court in a 2019 order.
The move had created a liquidity crisis for Vodafone Idea. However, the apex court allowed the government to reassess the dues as a part of the liabilities had been converted into equity in the company.
Vodafone Idea is the third-largest telecom operator in the country. Due to liquidity issues and slower expansion, the company has been losing subscribers to rivals Jio and Airtel.
