Adjusted Gross Revenue (AGR)

Adjusted Gross Revenue (AGR) : Recently, Bharti Airtel formally requested the Department of Telecommunications (DoT) to convert its deferred Adjusted Gross Revenue (AGR) dues, estimated at approximately ₹40,000 crore, into equity.

• About AGR : A metric used to calculate the revenue telecom operators must share with the government through spectrum usage or licensing charges.

o Telecom operators must share a percentage of their AGR with the Department of Telecommunications.

• AGR Calculation & Dispute:

o The Department of Telecom includes all revenues, including non-telecom earnings like interest and asset sales, in AGR.

o Telecom companies argue AGR should only cover telecom service revenues.

o In October 2019, the Supreme Court upheld the government's view, expanding AGR to include all revenues, except termination fees and roaming charges.