The Telecommunications Bill of 2023, recently passed by Parliament, has received the President's assent, according to a PTI report. Widely hailed by industry bodies, telecom companies, and various organisations, as reported by TelecomTalk, the Telecom Bill of 2023 brings significant changes to India's century-old telecom law. The legislation was cleared by the Lok Sabha on December 20, and by Rajya Sabha on December 21. The new legislation is designed to create a more investor-friendly environment while upholding user protection.
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"The following Act of Parliament received the assent of the President on the 24th December, 2023 and is hereby published for general information...," the report quoted a gazette notification.
Government's Enhanced Powers
The Telecommunications Act grants expanded powers to the government, allowing interception of communications in the interest of national security. While prioritising user protection, the act strikes a delicate balance between security concerns and individual privacy.
Exclusions and Spectrum Allocation
Notably, the act excludes broadcasting and over-the-top services like WhatsApp and Telegram from its regulatory purview. On the spectrum allocation front, the legislation introduces rules and a non-auction route for assigning airwaves, particularly for satellite-based communication services.
National Security Measures
Addressing national security concerns, the government is empowered to take temporary control of telecom services, underscoring the legislation's commitment to safeguarding the nation's interests.
Superseding Outdated Laws
The new act supersedes the antiquated regulatory framework established by the Indian Telegraph Act of 1885, the Wireless Telegraphy Act of 1933, and the Telegraph Wires (Unlawful Possession) Act of 1950, bringing the telecom sector into the 21st century.
Structural Reforms and Simplified Licensing
The Telecommunications Act introduces structural reforms, simplifying the previously convoluted licensing system in the telecom sector. The report said over 100 types of licenses are replaced with a streamlined authorisation mechanism, focusing on providing telecommunication services, operating and expanding telecommunication networks, and possessing radio equipment.
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Cracking Down on Pesky Callers
To address the persistent issue of pesky callers, the act includes measures to prevent SIM card misuse. Impersonation and fraudulent acquisition of SIM cards are now punishable offenses, with penalties of imprisonment and fines of up to Rs 50 lakh.
Biometrics Data and Online Grievance Redressal
Telecom operators are now mandated to capture verifiable biometrics data when issuing new connections. The legislation also introduces a digital-by-design online grievance redressal mechanism, providing an efficient means of addressing user complaints.
Dispute Resolution and Consumer Protection
The act gives legislative backing to resolving disputes between consumers and telecoms through an online dispute resolution mechanism established by the center. Importantly, the proceedings do not affect consumer rights under the Consumer Protection Act of 2019.
Ensuring Continuity of Telecom Service
Addressing potential disruptions, the legislation includes provisions to ensure the continuity of telecom services in cases where operators are unable to provide services for legal, commercial, or technical reasons.
Spectrum Allocation for Satellite Broadband
A notable feature of the act is the provision for administrative (non-auction) allocation of spectrum for satellite broadband services, offering a streamlined approach to facilitate technological advancements.
State Government-Led Dispute Resolution and Penalties
Introducing a state government-led dispute resolution structure, the act involves district magistrates and district judges in deciding right-of-way issues related to telecom network rollouts. Additionally, penalties for damaging telecommunication networks have been set, with liable individuals facing compensation and fines up to Rs 50 lakh.
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Procurement of Telecom Equipment and Penalty Reduction
The government's procurement of telecom equipment from trusted sources is now governed by the Telecommunications Act, replacing the National Security Directive on the Telecommunication Sector. Notably, the act significantly reduces penalties for telecom operators to a cap of Rs 5 crore, down from the previous levels of Rs 50 crore at the telecom circle level and Rs 1,100 crore at the pan-India level.
Voluntary Disclosure for Legal Clarity
In a move to streamline legal processes, the act introduces a provision for telecom companies to voluntarily disclose lapses and correct mistakes by paying applicable penalties, providing a mechanism for legal clarity and transparency in the industry.
In another related news, President also gave assent to the three Criminal Code bills.
