India to relax century-old telecom laws in order to attract investors through spectrum allocation rules.
India is planning to revamp its long-standing telecommunications law through the introduction of a new bill, as Prime Minister Narendra Modi aims to attract more investors to the sector. According to an anonymous source familiar with the matter, the government is considering replacing licensing with “authorization,” which would provide greater adaptability to technological advancements.
The proposed draft also contemplates a thorough overhaul of spectrum allocation rules to allow for resale, easy upgradeability, assignment, sharing, leasing and trading, the person said.
In addition, frequencies for satellite services are not auctioned. The bill excludes e-mail, Internet-based communications, broadcasts, machine-to-machine communications and over-the-top services such as Netflix.
Telecommunications Bill 2023 progressive, more digital connections, innovation: Industry
(PTI) The government’s proposed Telecom Bill 2023 will allot spectrum to satellite companies without auction, keep internet-based calling and messaging applications out of telecom rules and measures to protect infrastructure are progressive and will increase digital connectivity, industry bodies said. Monday.
The bill introduced by Union Telecom Minister Ashwini Vaishnaw proposes allocating spectrum to satellite telecom companies through administrative means without calling for auction bids.
AK Bhatt, Director General, Indian Space Federation, said that satellite-based communication networks have huge potential to transform India into a truly digital and advanced economy.
“By allocating frequencies through administrative means to satcoms, India could adapt to international standards, promote global cooperation and also promote innovation, create opportunities for start-ups and strengthen the country’s position in the global satellite market,” Bhatt said.
This would also spur growth in all the space downstream sectors, giving a boost to India’s space economy, he said.
SIA-India, whose members include Viasat, Inmarsat, SES, Hughes Communications, etc., said the bill follows international best practices in the allocation of satellite spectrum and lays strong emphasis on fair and transparent governance processes in line with global standards.
“SIA-India in its statement emphasized the importance of adopting methods that ensure maximum availability and adhere to established international standards. The association commends the Government of India for its progressive stance in spectrum management in the satellite communications industry,” SIA-India CEO Anil Prakash said.
Although the bill defines the transmission of messages through wired or wireless technologies as data traffic, according to official sources, the definition is in accordance with the old law.
Internet-based messaging and calling applications such as WhatsApp, Telegram and Google Meet are covered by the IT rules and not the telecom laws, according to the government’s business sharing rules.
The Internet and Mobile Association of India (IAMAI), a representative body for Internet-based companies, whose members include Google, WhatsApp, etc., considered the bill as email, Internet-based messaging services, broadcast services, machine-to-machine messaging services and Over. -Top communication services (OTT) are excluded from it.
“The time-tested distinction between entities controlling telecom spectrum (which are regulated) and companies using the spectrum should be maintained as it has been the foundation that has enabled innovation and deeper Internet penetration in India,” IAMAI said.
Experts and the US industry association ITI, which represents global technology companies, have interpreted the definition of messages under telecommunications rules differently.
Telecom expert and independent consultant Parag Kar said the bill is historic as it decisively resolves long-standing ambiguities related to spectrum allocation for key services such as satellite and backhaul.
However, he said in the revised version of the Telecommunications Law, there is a noticeable change in the approach to licensing Over-The-Top (OTT) services compared to the previous 2022 draft.
Previously, OTT was explicitly classified as “telecommunications services”, and the revised bill, on the other hand, opts for a more comprehensive approach, condensing OTT into a broader definition of telecommunications.
“Essentially, the proposed Draft Telecommunications Bill gives the Government of India (GOI) the discretion to classify OTT services as ‘telecommunications services’ if it so chooses. This is because OTT services are consistent in nature with the broad scope of the term ‘telecommunications’ as defined in the Bill,” Kar said.
ITI’s India country director Kumar Deep said the industry body welcomes the revised version of the 2023 Telecom Act as it clarifies the scope of the 2022 draft.
“While we are still reviewing the entire text, the current definition of telecom services seems quite broad. We expect the government to hear the current version of the bill and welcome the opportunity to provide additional feedback,” he said.
The bill proposes protective measures for telecommunication infrastructure and strengthens the smooth introduction of networks, especially fiber optic cables.
The center has proposed the exemption of telecommunication networks installed in any real estate from claims, encumbrances, liquidation or other similar things related to such real estate.
“The Telecom Bill 2023 tabled in Parliament today paves the way for robust telecom networks through a well-defined Right of Way (RoW) framework,” telecom industry body COAI said.
The bill proposes measures to protect the sudden removal of the property or changes to the mobile tower or network elements.
Digital Infrastructure Providers Association (DIPA) Director General TR Dua said the provisions of the Bill will bring uniformity in terms of rules and regulations regarding various entitlements and pricing in states.
He said the bill seeks to ensure continuity of authority and provide for the continuation of rules, guidelines and administrative orders issued under the existing system.
“Furthermore, the bill safeguards the digital infrastructure, as no public entity can take coercive action against the telecommunications network without the authorization of a state-authorized official, except in the event of a natural disaster or public emergency.”
“At the end of the day, it will certainly ease the business process and reduce the compliance burden, with the aim of creating a conducive business environment,” Dua said.