Prime Minister Narendra Modi described the Cabinet decision on telecom as a "watershed moment", saying the reforms are a win-win for the sector and consumers as they will ensure sectoral growth and job opportunities.
In his reaction to another decision of the Cabinet for the auto and drone industry, he said, "Continuing the reform trajectory, the Cabinet has approved a PLI Scheme for the auto industry and drone industry. This will give an impetus to manufacturing and bring the sector at par with global trends as well as best practices."
The Union Cabinet on Wednesday approved a big-bang relief package for the stressed telecom sector that includes a four-year break for companies from paying statutory dues, permission to share scarce airwaves, change in the definition of revenue on which levies are paid and 100 per cent foreign investment through the automatic route.
Modi tweeted, "It is a watershed moment for the telecom sector, which plays a critical role in connecting and empowering our nation. Today's reforms approved by the Cabinet are a win-win for the sector and consumers. They ensure sectoral growth and job opportunities."
The measures, aimed at providing relief to companies such as Vodafone Idea that have to pay thousands of crores in unprovisioned past statutory dues, also include the scrapping of Spectrum Usage Charge (SUC) for airwaves acquired in future spectrum auctions.
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