Telecom Bill 2023: An overview of the sector and expert views

On Monday, Ashwini Vaishnaw, the Union minister of IT and telecom, introduced the telecom bill 2023 in the Lok Sabha. The legislation updates outmoded regulations and takes into account the rapidly changing digital landscape. The telecom bill 2023, put out by Ashwini Vaishnaw in the Lok Sabha, has received praise from the tech and telecom sectors. The bill provides a crucial response to the distribution of spectrum among satellite communication firms, or satcoms. To clear up any uncertainty, the government has stated that administratively allocating spectrum to satellite communication firms is a better method of providing spectrum for these services than auctioning it off. The satcom players desired this.

Under the bill, the Universal Service Obligation Fund (USOF) has been renamed as Digital Bharat Nidhi by the Indian government. The measure also states that standards and evaluations for telecom hardware, networks, infrastructure, and services will be set by the central government. Let's examine the opinions of the sector regarding the new telecom bill 2023.

Lt. Gen. AK Bhatt (Retd.), Director General, Indian Space Association (ISpA), said "It’s a historic day and we wholeheartedly welcome this progressive and most forward-looking decision by the government to table the Telecom bill taking the route of allocation of satellite spectrum administratively. This decision to allocate the satellite spectrum through a globally harmonized administrative method will pose a greater good for the nation and will spur growth in the nascent space sector, foster healthy competition, and ensure a level playing field for all stakeholders involved. The satellite-based communication networks have a huge potential that can transform India into a truly digital and developed economy. By allocating the spectrum by administrative method for satcom, India could align itself with international standards, promote global cooperation and also help drive innovation, create opportunities for startups, and strengthen the country's position in the global satellite market. This would also spur growth in all downstream sectors of space providing impetus to the space economy in India.”

Lt. Gen. Dr. S.P. Kochhar, Director General, COAI said, “COAI welcomes the Telecommunications Bill, 2023, tabled in the Parliament today. The Bill introduced by our progressive Telecom Minister Shri Ashwini Vaishnaw Ji, includes focus on creating robust telecom networks through a well-defined Chapter on Right of Way (RoW), including granting of RoW in a non-discriminatory manner and clarifying that this network shall not be considered for the purposes of tax, levy, cess, fees or duties on that property.

The Bill prevents coercive actions like sealing/shutdowns without due permission from the Central Government. Such positive measures will help connect Indians to a robust digital network across the length and breadth of the country.

We also appreciate the clarifications and specification of penalties. The Bill brings in the proportionality and nexus with the nature of the offense and will lead to a considered and rational approach to penalties. It is a progressive step designed to increase industry confidence and increase ease of doing business.

In the Bill, ‘license’ has been replaced by ‘authorization’, wherein it has been specified that authorization would be required to provide telecommunication services. This would simplify overall regulatory landscape for telecom services. Further, the Bill incorporates strict provisions in case of unlawful interception of messages or unauthorized access to the same, to help ensure national security.

The Bill also lays down that Internet shutdowns can be authorized only by the Central Government, which is objective and looks at ensuring continued, uninterrupted and seam less telecom connectivity to all.”

According to DIPA, "The bill's provisions will standardize pricing and Right of Way (RoW) norms and regulations throughout states. Additionally, they will deal with difficulties that have long plagued telecom infrastructure providers, such as fee caps, considered permission, and the placement of communication infrastructure on private property."

The fact that OTT (over-the-top) players are not covered by telecom regulations makes the tech and internet associations delighted. The government listened to the Internet and Mobile Association of India's (IAMAI) recommendation to exempt OTT from regulation. According to IAMAI, "the Bill introduced in the Lok Sabha now excludes email, internet-based communication services, broadcasting services, machine to machine communication services and over-the-top (OTT) communication services."