Telecom Sector Faces Overhaul as Lok Sabha Approves Telecommunications Bill, 2023

In a significant move, the Lok Sabha has approved the Telecommunications Bill, 2023, signaling a comprehensive overhaul of the existing legal framework governing the sector. The new legislation is designed to replace the archaic Indian Telegraph Act of 1885, the Indian Wireless Telegraphy Act of 1933, and the Telegraph Wires (Unlawful Possession) Act of 1950.

Introduced by Union Minister Ashwini Vaishnaw on December 18, the bill received approval after a vote minutes following the introduction. The proposed legislation aims to amend and consolidate the laws pertaining to the development, expansion, and operation of telecommunication services, telecommunication networks, and the assignment of spectrum.

One of the key highlights of the Bill is its ambition to revamp the existing licensing system for telecom networks. Transitioning from the current complex system to an authorization framework, the Bill aims to streamline the process by consolidating more than 100 types of licenses, registrations, and permissions into a single authorization mechanism.

The legislation also empowers the government to reclaim unused spectrum and introduces provisions for sharing, trading, and leasing of spectrum. Entities will now have the option to surrender unused spectrum, although compensation from the government is not on the table.

However, a notable inclusion in the Bill is a provision for entities to conduct biometric authentication of their users as a measure to combat fraud. This specific aspect has raised concerns regarding user privacy.

Retaining certain provisions from the Telegraph Act, the Bill addresses interception or surveillance of telecommunications, granting the Union government the authority to take control of a telecom network in the event of a public emergency or safety concerns.

The passage of the Telecommunications Bill, 2023 is seen as a significant step in modernizing and streamlining the regulatory framework governing the telecommunications sector in India.