All You Need to Know About the Telecom Act Effective June 26

The Telecommunications Act 2023 came into effect on June 26. This new law replaces older ones to better align with modern technologies. Many countries like the US, UK, and Singapore have also updated their telecom laws to handle new innovations in the sector.

How the Act Was Created:

• The Department of Telecommunications (DoT) started working on this in July 2022.
• A draft Bill was shared for feedback in September 2022.
• During the consultation, 60 ministries, 35 associations, 89 companies (including seven telecom and internet service providers), and over 700 other entities responded.
• The Bill was introduced in the Lok Sabha on December 18, 2023, and passed by both the Lok Sabha and Rajya Sabha by December 21, 2023.
• It received the President’s approval on December 24, 2023, becoming the Telecommunications Act, 2023.

Why a New Law Was Needed:

• Telecommunications, its usage, and technologies have changed significantly.
• Old definitions and terms needed updating.
• There were no clear rules for how to allocate the spectrum, and the rules for the right of way were weak.
• The old regulations made it hard to do business, and the penalties for offences were ineffective.

What’s Next:

• The new Act has 11 chapters and 62 sections.
• It replaces the Indian Telegraph Act of 1885 and the Indian Wireless Act of 1933.
• New rules and regulations must be created within six months of a clause being notified.
• Rules are needed for 23 sections and 35 sub-sections, while 39 sections do not need rules.

Key Features of the Act:

• Simpler Regulatory Framework: Eliminates the license regime and introduces an authorization mechanism.
• Right of Way: Provides an effective right of way, including common ducts and access to public and private property.
• Spectrum Assignment: Clearly defines how spectrum will be assigned, either through auctions or administrative methods.
• Dispute Resolution: Establishes a two-tier dispute resolution system to reduce litigation before it reaches courts.
• National Security: Includes measures for national security and public safety, and allows temporary control of telecom networks during emergencies like natural disasters. Also provides a framework for blocking and interception.