Telecommunications Act 2023 | 13 Jul 2024

Source: BL

Why in News?

Recently, the central government notified certain sections of the Telecommunications Act, of 2023. 

• It aims to update and unify telecom laws, by replacing outdated laws like the Indian Telegraph Act of 1885, the Indian Wireless Telegraph Act, 1933 and  Telegraph Wires (Unlawful Possession) Act, 1950.

What are the Salient Features of the Telecommunications Act 2023?

• Definitions: The Act clearly defines its scope, thereby reducing uncertainties.
  • Messages sent through internet-based messaging service providers such as WhatsApp, Signal, and Telegram, as well as those that are encrypted (except Over-the-Top (OTT) services), are within the Act's ambit. 
• Right of Way (RoW) Framework: The Act provides an effective RoW framework, both on public and private property. 
  • The definition of public entities has been broadened to include government agencies, local bodies, and PPP projects like airports, seaports, and highways. 
  • Public entities shall be obligated to provide right of way except in special circumstances.  
• Common Ducts: In line with PM Gati Shakti's vision, the law provides for the Central Government to establish common ducts and cable corridors.
• National Security Measures: Section 20 (2) of the Act allows the government to stop the transmission of any message in the interest of public safety and during a public emergency. 
  • This majorly expands the number of government entities that may be able to intercept messages. 
• Digital Bharat Nidhi: With the new Act, the Universal Service Obligation Fund (USOF) will become Digital Bharat Nidhi, which can be used to fund research and development and pilot projects instead of just supporting the establishment of telecom services in rural areas.
  • The Act also provides a legal framework for Regulatory Sandbox to facilitate innovation and deployment of new technology.
• Protection of Users: Commercial messages sent without the user's consent may lead to the relevant operator facing a fine and being banned from providing services.
  • Establishing Do Not Disturb registers has been made mandatory for operators.
  • Having more than 9 SIM cards will attract fines up to Rs 2 lakh. The limit is being reduced to six for residents of Jammu and Kashmir and the Northeast.

What are the Merits and Demerits of the Telecommunications Act, 2023?

• Merits:
  • Navigates Different Communication Technologies: The Act is poised to navigate generations of communication technologies, including innovations like voice calls, messaging, video calls, wearables, and Industry 4.0.
    • The inseparable integration of computing and technologies like AI, IoT, and quantum computing is anticipated in the future of communication.
  • Promotion to R&D: Act will promote competition and mobilising resources for research and development and pilot projects under Digital Bharat Nidhi. 
  • Extensive Juridiction of Law: As per Act, the rules extend to the whole of India and any offence committed or contravention made outside India by any person, as provided in this Act.
  • Promotion of Verifiable User: Act mandates telecom operators use verifiable biometric identification (Aadhaar) for new SIMs/connections.
    • Prohibition on commercial messaging (by establishing Do Not Disturb registers) without the user's consent provided protection from spam.  
• Demerits:

  • Unrestricted Government Authority: The Act grants the government authorities extensive powers to intercept and disclose messages without the procedural safeguards recommended in the Anuradha Bhasin vs Union of India case.

  • Privacy and Security Risks: By requiring access to encrypted messages, the Act poses a serious threat to the security and privacy of communications. 

    • The Act requires telecom operators to use verifiable biometric identification (Aadhaar) for new SIMs/connections, raising concerns about individual privacy.
  • Grey Area of Messaging: Messages sent through Over-the-Top (OTT) services are not considered within the scope of the Act. Messaging OTTs will remain a grey area.
  • Reducing rate of Telecom Penetration in Rural Area by diverting fund of Universal Service Obligation Fund (USOF) for R&D and pilot projects instead of targeting establishment of telecom services in rural areas.