Weeks after the government announced a four-year spectrum dues payment moratorium to telecom companies, cash-starved Vodafone Idea on Wednesday said its board has approved the proposal.
The company in a regulatory filing said that its “Board of Directors has approved the exercise of the option of deferment of spectrum auction installments of the company for a period of four years (October 2021 to September 2025) as per notification issued by the department. of telecommunications”.
The government last week asked telcos like Bharti Airtel, Reliance Jio as well as Vodafone Idea to inform by October 29 whether they are willing to opt for the four-year outstanding moratorium period.
The option is part of the government’s reforms for the telecom sector, which it announced recently to bail out companies that are financially stressed.
The Telecom Ministry has given 90 days to operators to indicate whether they want to opt for converting the interest amount related to the moratorium period into equity.