The government has tabled the Draft Indian Telecommunications Bill, 2023 in the Lok Sabha. The new bill amends and consolidates laws relating to the development, expansion and operation of telecommunication services and networks and the assignment of spectrum. It seeks to replace the Indian Telegraph Act, 1885, the Indian Wireless Telegraphy Act, 1933, and the Telegraph Wires (Unlawful Possession) Act, 1950.
According to the first schedule of the bill, spectrum for certain satellite-based services such as VSAT, GMPCS, NLD, ILD and mobile satellite service in L and S bands can be allocated outside of auctions through the administrative process. Further, the new bill seeks to keep OTT services outside the purview of the proposed law.
The tabling of the draft telecom bill is a cause of cheer for the industry. Telecom operators including Bharti Airtel and Vodafone Idea Limited (Vi) have welcomed the bill with Airtel opining that the bill would bring predictability in crucial areas relating to spectrum such as harmonisation, surrender of unused spectrum, and primary and secondary assignments. Further, the telco feels that the draft bill would usher in simplification in the telecom licensing regime and take the government’s intent of reforms started in September 2021 forward. Meanwhile, Vi has welcomed the rationalisation of penalties and the legal enforceability of RoW provisions, a long-standing request of the industry.
Among industry bodies, the Cellular Operators Association of India, the Internet and Mobile Association of India and the All India Fixed Internet Service Providers Association have also termed the bill as progressive.
Net, net, the draft telecom bill signifies a step in the right direction. While it will take time for the bill to become an act, the government has clearly set the tone for unlocking the next phase of India’s telecom revolution and ushering in advancements in the digital economy.
