New Delhi, April 13 -- The impact of higher fuel costs due to the conflict in West Asia, along with a delay in tariff increases that's limiting revenue growth, is expected to weigh on the financials of India's telecom companies in the near term, according to analysts. Mint analyzes how the mismatch between high costs and limited scope for charging customers is likely to put pressure on telecom operators.

Telecom operators rely on diesel-powered generators to ensure uninterrupted power supply to telecom towers, which form the backbone of mobile networks. With the blockade of the Strait of Hormuz, a key conduit for global oil supplies, constraints in procuring diesel, along with rising fuel prices, are expected to increase energy costs for...