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TRAI releases recommendations on AGR calculation

October 15, 2006
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TRAI has released its recommendations on calculation of telecom operators' adjusted gross revenue (AGR). The AGR will now include the interest calculated on refundable deposit from subscribers. Vendors' credit revenue from the rent of towers and dark fibres; payment received on behalf of third parties; sale of handsets or telecom equipment if bundled with telecom service; receipt on account of access deficit charge (ADC); and discounts and rebates given to customers will also be a part of it. The left-out items include revenue from discernible and standalone sale of handsets or telecom equipment not bundled with telecom service, income from dividend, capital gains on receipts from non-telecom activities, and gains from foreign exchange fluctuations and reversal of provisions.

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