The Indian government is set to roll out a second wave of reforms aimed at fostering a more business-friendly environment in the country’s telecom sector, according to a report by FE. Led by Ashwini Vaishnaw, the Union IT and Telecom Minister of India, the reforms will focus on simplifying licensing processes, rationalizing penalties, and expediting spectrum approval for trials. The Department of Telecommunications (DoT) is also working on establishing a collaborative platform for academia, startups, telcos, and equipment makers to experiment with new use cases and innovative solutions.
As part of the reforms, the government plans to reduce penalties for non-compliance with unified license (UL) rules from INR 50 crore to INR 5 crore. This move is expected to ease the regulatory burden on telecom companies. Additionally, the government aims to accelerate the approval process for spectrum trials to facilitate faster innovation in the industry. The current eight-week waiting period for final approval from DoT for trial spectrum allocation is targeted for reduction.
The reforms are geared towards promoting a more agile and innovative telecom sector, enabling faster testing and deployment of new technologies. By streamlining processes and reducing regulatory barriers, the government hopes to support the growth of the telecom industry and contribute to the overall economic development. The last set of telecom sector reforms was introduced in 2021, focusing on addressing liquidity concerns, attracting foreign investment, and lightening the regulatory load on telecom operators.