Law Updates

Subject

Summary: The Bureau of Indian Standards (BIS) has notified five BIS medical device standards in 2026 covering microwave therapy apparatus, photodynamic therapy and diagnostic apparatus, home light therapy apparatus, and medical endoscopes and endotherapy apparatus. The standards were developed on 3 August 2026. The notification is dated 5 August 2026 and was published in the Gazette of India on 12 August 2026 under reference HQ-PUB013/1/2020-PUB-BIS (1584). For three revised standards, BIS has allowed the earlier editions to remain in force concurrently until 3 February 2027. The other two entries are shown as new standards with no earlier standard or withdrawal date listed. Manufacturers, importers, testing laboratories, product designers, quality control units, and buyers involved with the equipment listed above need to determine the relevant standard and evaluate the technical documentation during the transition. The notification sets and revokes the standards but does not itself indicate that BIS certification or the Standard Mark is mandatory. Notification at a Glance Particular Verified details Issuing authority Bureau of Indian Standards, Department of Consumer Affairs Date of establishment 3 August 2026 for all five standards Governing provision Rule 15(1) of the Bureau of Indian Standards Rules, 2018 Sector and products Medical electrical equipment; microwave therapy; photodynamic therapy and diagnosis; home light therapy; endoscopes and endotherapy devices Main stakeholders Manufacturers, importers, laboratories, designers, quality and regulatory teams, distributors and institutional purchasers connected with the listed equipment Core development Five standards established; three older editions scheduled for withdrawal Main transition date 3 February 2027 for the three superseded standards Nature of requirement Standard-establishment and withdrawal notification; compulsory certification is not expressly created by this notification Fees or penalties in this notification Not expressly specified The Regulatory Framework BIS is India's national standards body. The present notification was issued under Rule 15(1) of the Bureau of Indian Standards Rules, 2018. Rule 15 deals with the preparation, publication, revision, and withdrawal of Indian Standards. Schedule is the part of this notification that works: it mentions the new edition, its date of adoption, the previous edition, if any, and the date of its withdrawal. This notification should not be confused with a Quality Control Order (QCO). BIS guidance explains that product certification is generally voluntary. At the same time, the Central Government can make conformity and use of the Standard Mark compulsory through a QCO or another applicable legal instrument. No QCO, mandatory Standard Mark direction, license condition, certification scheme, enforcement provision, or penalty appears in this five-page notification. The listed standards draw on publications of the International Electrotechnical Commission (IEC) and the International Organization for Standardization (ISO). The Gazette identifies three IEC-based standards for medical electrical equipment and two ISO-based standards for endoscopes. The technical text of those standards is not reproduced in the notification, so clause-level product requirements must be checked against the complete standards themselves. Scope and Applicability The notification applies only to the five stated standards, not to all devices or all types of electrical medical equipment. Applicability depends on whether the product falls within the scope of any of the mentioned standards. Product or standard group Covered by this notification? Relevant condition Main review area Product or standard group Yes IS 13450 (Part 2/Sec 6): 2026 Basic safety and essential performance requirements in the complete standard Photodynamic therapy and photodynamic diagnosis equipment Yes IS 13450 (Part 2/Sec 75): 2026 Product classification, design and technical evidence against the new standard Photodynamic therapy and photodynamic diagnosis equipment Yes IS 13450 (Part 2/Sec 75): 2026 Scope fit and safety/performance evidence for home-use light therapy equipment Medical endoscopes and endotherapy devices Yes IS 15732 (Part 1): 2026 and/or IS 15732 (Part 4): 2026, depending on the issue assessed General requirements and maximum width of insertion portion Medical devices outside the titles and scopes listed above Not established by this notification Another Indian Standard or regulatory instrument may apply General requirements and maximum width of insertion portion The document does not mention any exemptions, risk classifications, turnovers, locations, or special considerations for MSMEs. In addition, it does not state that all manufacturers, importers, or distributors are obliged to make an application immediately. These considerations depend on the complete standard and the related medical device or BIS instrument. What Has Changed BIS established five standards on the same date. Three are revised editions with six months during which the old and new versions remain in force together. Two are listed without a predecessor. Compliance area Earlier position New position Relevant date Business meaning Microwave therapy equipment IS 13450 (Part 2/Sec 6): 2018, based on IEC 60601-2-6: 2012 IS 13450 (Part 2/Sec 6): 2026, based on IEC 60601-2-6:2012 with Amendments 1 and 2, consolidated and modified New edition established 3 August 2026; old edition withdrawn 3 February 2027 Review changes and plan migration before withdrawal Photodynamic therapy and diagnosis equipment No earlier standard listed IS 13450 (Part 2/Sec 75): 2026 Established 3 August 2026 Assess whether products fall within this newly listed section Home light therapy equipment No earlier standard listed IS 13450 (Part 2/Sec 83): 2026 Established 3 August 2026 Assess scope and align relevant technical records Endoscope general requirements IS 15732 (Part 1): 2018 / ISO 8600-1:2015 IS 13450 (Part 2/Sec 83): 2026 New edition established 3 August 2026; old edition withdrawn 3 February 2027 General requirements documentation may need updating Endoscope insertion-portion width IS 15732 (Part 4): 2021 / ISO 8600-4:2014 IS 15732 (Part 4): 2026 / ISO 8600-4:2023 New edition established 3 August 2026; old edition withdrawn 3 February 2027 Review the method and records used to determine maximum insertion width The notification does not provide a redline or clause-by-clause comparison. A business should not assume the changes are limited to the amended years shown in the titles. A proper gap review requires the complete old and new standards. Detailed Standard-Wise Analysis IS 13450 (Part 2/Sec 6): 2026 - Microwave Therapy Equipment This is the first revision of the Indian Standard that contains specific requirements for the basic safety and essential performance of microwave therapy equipment. BIS identifies it with IEC 60601-2-6:2012, Amendment 1:2016, and Amendment 2:2022, in consolidated form, with modifications. Indian Standards of 2018 and their revisions until 2026 will remain relevant until 3rd February 2027. For businesses using the 2018 standard, they can check for changes in the technical specifications between the two versions of the standard and identify which designs, tests, risks, and products will require modification. The notice provides no list of modified clauses and testing. IS 13450 (Part 2/Sec 75): 2026 - Photodynamic Therapy and Diagnosis Equipment This standard address particular requirements for the basic safety and essential performance of photodynamic therapy and photodynamic diagnosis equipment. It is identified with IEC 60601-2-75:2017 and Amendment 1:2023 in consolidated, modified form. The schedule has marked NA for both the earlier standard as well as the withdrawn date of the same. Based on the information provided, the BIS has not identified any predecessor that runs parallel to it. However, this is not conclusive evidence of the absence of any other general/collateral/product standard which may be applicable. IS 13450 (Part 2/Sec 83): 2026 - Home Light Therapy Equipment This new entry covers particular requirements for the basic safety and essential performance of home light therapy equipment. It is linked to IEC 60601-2-83:2019 and Amendment 1:2022 in consolidated, modified form. Unlike Section 75, the Gazette has no precedent for this standard and no withdrawal date. It would be best for manufacturers and importers to ensure that the product falls under the jurisdiction of Section 83 first. This is because the title alone must not determine whether equipment belongs to this category. IS 15732 (Part 1): 2026 - General Requirements for Endoscopes IS 15732 (Part 1): 2026 is the second revision of the general requirements standard for medical endoscopes and endotherapy devices. It adopts ISO 8600-1:2025. The earlier IS 15732 (Part 1): 2018, based on ISO 8600-1:2015, remains in force until 3 February 2027. The heading is rather broad and could influence product specifications and technical documentation across a range of endoscopes and endotherapy devices. The Gazette does not include the new technical provisions. Companies will have to obtain the complete 2026 standard in order to make an accurate comparison. IS 15732 (Part 4): 2026 - Maximum Width of the Insertion Portion IS 15732 (Part 4): 2026 is the second revision of the method for determining the maximum width of the insertion portion of medical endoscopes and endotherapy devices. It adopts ISO 8600-4:2023. The earlier 2021 Indian Standard, based on ISO 8600-4:2014, is scheduled to be withdrawn on 3 February 2027. All concerned teams, engineering, metrology, quality, and testing, should review whether the new procedure modifies any procedures, equipment, acceptance documentation, or product dimensions. Since no figures, tolerances, or procedures are provided in the notice, none should be derived from the title. Meaning of CSV, MOD, and Revision Labels The standard titles contain technical publication labels that help readers identify the source edition but do not replace the full Indian Standard. CSV means consolidated version. IEC explains that a CSV merges a publication and its amendments into a single document. MOD indicates that the Indian Standard is a modified adoption of the referenced international standard. Product teams should therefore use the Indian Standard and identify the national modifications rather than relying only on the IEC text. The first and second revisions identify the revision status of the Indian Standard. They do not, by themselves, describe which clauses changed. NA in the predecessor and withdrawal columns means the schedule lists no earlier standard for withdrawal for that entry. Implementation Timeline/Norms Event Date Affected standards Required or practical action Establishment of all five standards 3 August 2026 All five new standards Treat this as the formal establishment date recorded by BIS Notification date 5 August 2026 Entire notification Record the document date separately from establishment and publication Gazette publication 12 August 2026 Entire notification Use the official Gazette copy for the publication record Concurrent-validity period 3 August 2026 to 2 February 2027 Section 6, Part 1 and Part 4 revised standards Compare editions and plan transition where applicable Withdrawal of three earlier standards 3 February 2027 IS 13450 (Part 2/Sec 6):2018; IS 15732 (Part 1):2018; IS 15732 (Part 4):2021 Stop treating the withdrawn editions as current after the withdrawal date, subject to any separately applicable regulatory directions It is clear from The Gazette that February 3, 2027, is not mentioned as a universal certification deadline. These are just withdrawal dates of three identified standards. Any conversion requirement arising from a license, QCO, purchasing agreement, or medical device approval should be assessed according to the instrument that creates the requirement. Old vs. New Requirements The authenticated comparison is restricted to edition identification, international publication citation, and transfer date due to the absence of the technical content of the standards in the Gazette. Standard Older edition 2026 edition Verified transition Microwave therapy equipment IS 13450 (Part 2/Sec 6):2018; IEC 60601-2-6:2012 Includes IEC Amendments 1:2016 and 2:2022 in CSV form; MOD Concurrent until 3 February 2027 Endoscope general requirements IS 13450 (Part 2/Sec 6):2018; IEC 60601-2-6:2012 IS 15732 (Part 1):2026; ISO 8600-1:2025 Concurrent until 3 February 2027 Maximum insertion-portion width IS 15732 (Part 4):2021; ISO 8600-4:2014 IS 15732 (Part 4):2026; ISO 8600-4:2023 Concurrent until 3 February 2027 An old-versus-new comparison table cannot detail the technical differences between the two editions because access to both versions is unavailable. Does This Notification Make BIS Certification Mandatory? This notification does not impose any mandatory BIS certification. This notification issued by BIS is based on Rule 15(1). This rule involves both the establishment of new standards and the discontinuation of existing ones. There is nothing in this notification about the compulsory use of the standard mark. Neither is there any BIS license, conformity assessment scheme, nor any penalty. The BIS's formal guidance on QCO distinguishes between voluntary and mandatory certification through the QCO process. Hence, businesses are required to perform the second check with regard to any QCO, license condition, procurement requirement, regulatory requirement in connection with medical devices, or other legal document that may reference these standards. However, the impact depends on the instrument itself and is not implied by this notice. Impact on Businesses The direct impact on business will be to determine whether a listed standard is applicable and, for revised standards, whether existing technical data remain applicable when the older edition is phased out. Manufacturers and Product Designers Map each model and variant to the relevant standard instead of applying the notification to the entire product portfolio. Obtain the complete 2026 standard before changing product design, specifications, labels, or test plans. Compare old and new clauses for the three revised standards and document the effect on design inputs, risk controls, and verification evidence. For Sections 75 and 83, conduct a fresh scope assessment because no predecessor is listed. Importers, Distributors and Institutional Purchasers Ask suppliers which edition supports the product's technical evidence and whether transition work is planned. Review contracts, tender specifications, and purchase requirements that cite an older standard. Avoid describing the product as legally required to hold BIS certification solely because the standard appears in this notification. Laboratories and Quality Teams Confirm whether test methods, equipment, measurement procedures, and report templates align with the new edition. The two different editions need to be clearly separated during concurrent validation. Include the standard's number and year in the report to avoid confusion. MSMEs and Startups There is no specific transition period or exemption given for MSMEs and startups. Smaller business establishments will find it more challenging to meet standards, conduct gap assessments, and update technical files. Stakeholder Immediate impact Likely operational or cost effect Priority concern Manufacturers Standards mapping and edition comparison Engineering review and possible retesting Product scope and transition plan Importers Supplier evidence review Document updates and supplier coordination Product scope and transition plan Laboratories Method and capability assessment Document updates and supplier coordination Exact requirements of the new edition Purchasers Specification update Tender and contract revision Exact requirements of the new edition MSMEs and startups Applicability check Proportionately higher review cost Focus effort only on relevant products These cost effects are likely implications, not charges imposed by the Gazette. No testing fee, certification fee, or compliance cost is specified in the notification. Benefits for Businesses This amendment ensures companies have a well-defined history of the editions and transition period for three standards. Some possible advantages are: an updated Indian reference based on recent IEC or ISO publications; proper identification of standards belonging to new classes of products such as photodynamic therapy and light therapy equipment; and an opportunity to compare three obsolete editions before withdrawal. more consistent edition references in design, testing, procurement, and quality records; an opportunity to remove outdated specifications from contracts and technical files; and Better coordination among engineering, regulatory, quality, and purchasing teams. These are the practical advantages of proper standards management. The announcement will not ensure any certification, regulation, market access, product safety, or commercial success. Challenges and Cost Implications The main problem here is that the standards are included in the Gazette, but the technical information contained in them is not. A good assessment will require comparing the standards with earlier versions. Possible short-term cost issues might include engineering review, acquisition of standards, lab capability review, supplier coordination, document revision, and testing as necessary according to the gap assessment process. There might also be recurring costs due to the different controls required by the revised method. The quantity or rate cannot be given from this source. Two additional items will require careful consideration. In the absence of an older standard, teams may have to develop a scope and evidence map rather than rely on a migration file. At the same time, teams must determine if any other standards still apply. Risks and Consequences of Non-Compliance There is no punishment prescribed for non-compliance with the notification. Therefore, it would be incorrect to say that failure to meet the deadline of 3 February 2027 will result in a penalty or recall. However, practical risks may emerge if the company continues to reference the withdrawn standard in testing reports, tenders, contracts, and technical specifications. If other binding documents or licenses require the use of the existing Indian Standard, then the consequences of migration should be evaluated separately. Best Practices Maintain a controlled standards register with the exact part, section, year, establishment date, and withdrawal date. Assign an owner for each affected product family and record the scope decision. Obtain the full standards and use a traceable clause-comparison method for revised editions. Separate legal requirements from voluntary technical improvement and customer-specific requirements. Record which external instrument, if any, makes conformity or certification mandatory. Update supplier questionnaires, purchase specifications, and laboratory instructions with the correct edition year. Retain approval for each change to design, testing, or documentation. Common Mistakes or Risks to Avoid Treating the Gazette publication date as the date of establishment. Calling 3 February 2027 a universal certification deadline rather than a withdrawal date for three standards. Assuming “NA” means no other standard or regulation can apply. Using only the referenced IEC or ISO document without checking modifications in the Indian Standard. Claiming BIS certification is mandatory without locating the instrument that creates that duty. Describing technical changes without comparing the complete old and new standards. Applying one listed standard to all medical devices based only on a broad product description. Future Outlook The only confirmed future action in the notification is the withdrawal of three earlier standards on 3 February 2027. No future review, amendment, certification deadline, or additional phase is announced. Companies must keep an eye on BIS and relevant sectoral regulators for manuals, implementation guidance, QCOs, license directions, and any other notices. Monitoring is a practical suggestion and not an action to be taken in the future. What Businesses Should Do Next Priority Action Responsible team Relevant date Expected outcome 1 Identify products potentially covered by the five standards Responsible team Begin promptly Verified product-to-standard map 2 Obtain the complete applicable 2026 standards Responsible team Before technical comparison Authoritative technical source available 3 Compare old and new editions for Sections 6 and Parts 1 and 4 Engineering, quality and laboratory teams Before 3 February 2027 Documented gap assessment and migration plan 4 Conduct fresh scope reviews for Sections 75 and 83 Regulatory and engineering teams Begin promptly Recorded applicability decision 5 Check separately for QCOs, license terms, and sectoral obligations Legal and regulatory teams Before claiming mandatory status Correct legal basis for each obligation 6 Update specifications, reports, and supplier documents Quality, procurement and document-control teams In line with the verified transition plan Consistent edition references 7 Preserve evidence of decisions and approvals Document-control owner Ongoing Traceable standards-management record How Can Corpseed Help? Corpseed supports manufacturers, importers, and other businesses affected by the 2026 BIS medical-device standards update. The support is tailored to the product, applicable standard, and actual compliance requirements. 1. Checking Which BIS Standard Applies Corpseed can help determine whether the new standards cover a particular medical device. Review the product’s purpose, design, and technical features. Identify the relevant BIS standard. Check different models and product variants. Avoid applying an unrelated standard to the product. 2. Mapping Products to the Correct Standards A business may manufacture or import several devices. Each product must be assessed separately. Prepare a product-to-standard mapping. Separate covered products from products outside the notification. Identify the correct standard number, part, section, and year. Create a clear reference for regulatory and quality teams. 3. Comparing Old and New Standards Three earlier standards will remain valid only until 3 February 2027. Corpseed can support a structured comparison when the complete editions are available. Compare the old and revised standards. Identify changes affecting the product. Highlight possible gaps in existing technical records. Prepare a practical transition plan. Help teams prioritize actions before the older standard is withdrawn. 4. Reviewing Technical Documents and Test Reports Technical documents should mention the correct standard and edition. Review product specifications and technical files. Check test reports and supporting records. Identify outdated or incorrect standard references. Review whether available evidence supports the applicable standard. Suggest document updates where necessary. 5. Supporting Product Testing Testing should be arranged only after confirming that it is required and identifying the correct standard. Help determine whether additional testing may be needed. Identify the relevant testing scope. Support coordination with a suitable laboratory. Review whether test reports mention the correct standard and edition. Help organize testing records for future reference. 6. Checking BIS Certification and QCO Applicability The 2026 notification establishes and withdraws standards. It does not, by itself, make BIS certification compulsory. Corpseed can help businesses: Check whether a separate Quality Control Order applies. Review whether a BIS license or Standard Mark is required. Examine other applicable certification or regulatory conditions. Separate voluntary standards from mandatory requirements. Avoid unnecessary certification applications or unsupported compliance claims. 7. Planning the Transition and Ongoing Compliance Businesses using the three older standards should prepare for their withdrawal on 3 February 2027. Create a product-specific transition plan. Assign responsibilities to regulatory, quality, and technical teams. Update internal standards registers and compliance records. Review supplier and laboratory documents. Monitor relevant BIS and regulatory updates. Maintain clear records of compliance decisions and completed actions. A medical device regulatory consultant helps connect the correct product, technical standard, and legal requirement. Corpseed can support businesses dealing with microwave therapy equipment, photodynamic therapy and diagnostic equipment, home light therapy equipment, medical endoscopes, and endotherapy devices. Businesses may contact Corpseed for a document-specific assessment and practical support with medical-device compliance. Certification, approval, or a fixed regulatory result is not guaranteed.

Subject

Summary: On 10 August 2026, the Telecom Regulatory Authority of India (TRAI) issued a new direction on the use of 1601-series numbers, and this update matters a lot if your business makes service or transactional voice calls to customers. This is the kind of TRAI 1601 series compliance step that utilities, courier companies, and logistics providers cannot afford to ignore, because it directly affects how you are allowed to call your own customers. In simple words, TRAI wants every genuine business call to carry a recognisable, verified number, so that customers can trust the call is real and not a scam. If your company falls under electricity distribution, water supply, city gas distribution, LPG distribution, courier, express logistics, parcel delivery, or freight services, you are now part of the first group of businesses expected to move to this new numbering system. Missing the onboarding window, or using the number incorrectly, can create real business risk. This is exactly the kind of regulatory change where getting expert compliance support early can help you avoid delays and unnecessary back-and-forth with your telecom service provider. The TRAI Direction dated 10th August 2026 provides for the roll-out of the 1601 series of telephone numbers for service and transactional telephony from businesses that are not within the BFSI and Government Sectors, where the 1600 series is already available. Phase I of this process will include businesses such as utilities (Electricity, Water, City Gas and LPG Distribution) and Logistics & Courier Services. The numbers will be assigned directly to the entities themselves and not to any aggregators, only after TSPs verify and obtain an undertaking from the entities, and shall not be used for promotional calls. Key Highlights (Bullet Points) Below are the key highlights of this Direction that every business in the covered sectors should know: TRAI issued the Direction on the use of 1601-series numbers on 10 August 2026. This series is meant for service and transactional voice calls, not for promotional or marketing calls. It applies to sectors other than Banking, Financial Services & Insurance (BFSI) and Government entities, which already use the 1600-series. A separate series has been created so that important financial and government calls are not mixed up with calls from other industries. Phase-I of the rollout covers two sectors: Utilities and Logistics & Courier Services. Utilities under Phase-I include electricity distribution companies, water utilities, city gas distribution companies, and LPG distribution entities. Logistics and courier entities under Phase-I include courier companies, express logistics companies, parcel delivery providers, and freight and logistics service providers. The 1601-series numbers will be given directly to eligible entities, not to intermediaries or aggregators. Telecom Service Providers (TSPs) must verify eligibility before assigning any 1601-series number. Businesses must give TSPs an undertaking that the number will be used only for service and transactional voice calls. TSPs have been directed to complete migration and onboarding within 90 days from the date the order was issued. The main goal is to reduce impersonation fraud, where scamsters use ordinary 10-digit numbers to pretend they represent real businesses. The Regulatory Framework Regulator: Telecom Regulatory Authority of India (TRAI), under the Ministry of Communications. What was issued: A Direction on the use of 1601-series numbers for service and transactional voice calls, issued by TRAI. Numbering allotment: The 1601-series itself has been allotted by the Department of Telecommunications (DoT), and TRAI has now directed its phase-wise implementation. Background context: TRAI had earlier introduced the 1600-series for the BFSI (Banking, Financial Services & Insurance) sector and Government entities, for the same purpose: trusted, identifiable numbers for service and transactional calls. That rollout gave TRAI useful real-world experience, which is now being extended to other sectors through the new 1601-series. Purpose of the Direction: To create a separate, trusted numbering identity for businesses outside BFSI and Government, so that: Customers can tell a genuine business call apart from a fraud call. Financial and government-related calls are not mixed with calls from other industries. Impersonation by fraudsters using regular 10-digit mobile or landline numbers is reduced. Scope covered under Phase-I: Utilities: electricity distribution companies, water utilities, city gas distribution companies, LPG distribution entities, and other similar utility service providers. Logistics and courier services: courier companies, express logistics companies, parcel delivery service providers, and freight and logistics service providers engaged in delivering consignments. Who is not covered: BFSI entities and Government entities are excluded from this direction since they already operate under the existing 1600-series. What Has Changed? Before this Direction, utilities, courier, and logistics companies making service or transactional calls to customers generally used regular 10-digit numbers, which look no different from any personal or unknown number. This made it easier for fraudsters to impersonate them and harder for customers to know which calls were genuine. Aspect Before This Direction After the 1601-Series Direction Numbering used for service/transactional calls Regular 10-digit numbers Dedicated 1601-series numbers Verification of the caller No dedicated verification requirement for this purpose TSP must verify eligibility before assigning the number Who can hold the number Any number could be used by anyone, including aggregators Numbers are allotted only to eligible entities directly, not to aggregators or intermediaries Risk of impersonation High fraud calls look like real business calls Reduced 1601 numbers are recognisable and verified Use for promotional calls Not clearly restricted for this purpose Expressly barred 1601 numbers cannot be used for promotional voice calls Sector coverage No separate identity for utilities/courier/logistics Utilities and courier/logistics get their own dedicated series under Phase-I The core change is the shift from unverified, generic numbers to a dedicated, verified, and undertaking-backed numbering system exclusively for service and transactional calls. Implementation Timeline / Norms Effective date: The Direction was issued on 10 August 2026. Onboarding deadline for TSPs: Telecom Service Providers must complete migration and onboarding of eligible Phase-I entities within 90 days from the date of issue of the order. Applicability: Phase-I applies for now to organizations in the utilities sector and the logistics and courier sector. The Direction refers to it as a “phase-wise implementation,” and therefore it clearly signals that TRAI has plans to expand its scope in the future. However, no new sectors, timeframes, or phases have been named yet. Companies other than those operating in utilities and logistics/courier sectors can wait on this aspect. A note on the 90-day timeline: The 90-day period is an obligation placed on Telecom Service Providers, who must complete migration and onboarding of eligible Phase-I entities within this window. The Direction does not set out a separate statutory deadline for individual businesses; in practice, however, your actual migration will happen within whatever timeline your TSP follows to meet this obligation, which is why coordinating with your TSP early is worthwhile. A detailed, step-by-step compliance roadmap is set out later in this article. Why This Was Implemented? TRAI's objective behind this Direction rests on a few clear goals. Below are the main reasons this Direction was implemented: Consumer protection objective: Customers should be able to trust that a call claiming to be from their electricity board, gas supplier, or courier company is genuine. Fraud prevention objective: A large number of impersonation frauds happen because scamsters use normal-looking numbers to pretend to represent real businesses. A dedicated series makes such impersonation harder. Trust-building objective: A recognisable numbering identity increases customer confidence in voice-based communication from legitimate businesses. Sector-specific separation: Keeping BFSI and Government calls separate from other sectors' calls avoids confusion between highly sensitive financial communication and routine service updates like delivery notifications or utility alerts. Ease of doing business objective: A structured, verified process (through TSPs) gives eligible businesses a legitimate, recognised way to reach customers, which can improve customer response rates over time. Impact on Businesses Utilities (Electricity, Water, City Gas, LPG Distribution): It is common practice for utility companies to contact their customers regarding outages, bill payments, reading meters, and other service-related matters. In light of this Direction, it is anticipated that such calls will be made from numbers in the 1601 series. Courier and Logistics Companies: Delivery updates, pickup confirmations, and dispatch alerts are a daily part of courier and logistics operations. These businesses are expected to migrate their customer-facing call numbers to the 1601-series as their TSP completes onboarding, and must ensure the number is never used for promotional calling. Importers and Exporters (with logistics operations): Any importer or exporter that operates its own logistics or courier arm, or works closely with a delivery partner, should check whether their in-house calling operations fall within the scope of this Direction. Brand Owners and MSMEs: The smaller utility/logistics companies, which include MSMEs, will be subject to the same eligibility verification process as the big companies. It will be good for such companies to make early plans so that they do not find themselves in a rush during the 90-day process. Our MSME compliance services can come in handy here. Startups in Logistics-Tech or Utility-Tech: Startups offering delivery, courier aggregation, or utility-adjacent services should assess carefully whether they qualify as an "eligible entity" or as an "aggregator," since the Direction states numbers go directly to eligible entities and not to intermediaries or aggregators. Large Enterprises: Large utility and logistics companies with high call volumes should plan for a technical migration, since customer support systems, dialers, and IVRs may all be linked to the current numbers. Distributors, Retailers, and OEMs (in the covered sectors): Any distributor or OEM directly involved in utility distribution or logistics/courier delivery operations, and making service or transactional calls to end customers, should assess applicability. Below are the common impacts businesses across these sectors can expect: Common impacts across the board: Operational impact: Migrating call systems, IVRs, and customer databases to a new number. Documentation impact: Preparing eligibility proof and the required undertaking for the TSP. Compliance impact: Ensuring the 1601-series number is used strictly for service/transactional calls, not promotional calls. Customer communication impact: Informing customers about the new number so they recognise and trust it. How Businesses Will Achieve Compliance? Below are the steps businesses in the covered sectors should follow to comply with this Direction: Step 1: Confirm Applicability:  Check whether your business activity falls under the utilities or logistics/courier categories listed under Phase-I. Step 2: Approach Your Telecom Service Provider:  Reach out to your TSP to initiate the procedure for obtaining a 1601-series number. In case you require assistance in coordinating this with your telecom and DoT requirements, Corpseed’s TRAI and DoT compliance services can help you with this process. Step 3: Get the Eligibility Verification Done:  The TSP has to conduct verification of your eligibility before allocating the number, so get your business registration proof and sector-wise proof ready. Step 4: Submit the Undertaking: You will have to submit an undertaking to the TSP stating that the 1601-series number will be used only for the purpose of making service and transactional voice calls and will never be used for promotional calling. Step 5: Migrate Internal Call Systems: Update your IVR, customer care dialer, alert systems, and any automated calling platform to the new number. Step 6: Track the 90-Day Onboarding Window:  The 90-day window is the timeline TSPs have been given to complete migration and onboarding of eligible Phase-I entities. It is not a separate deadline imposed directly on your business. Still, since your own migration depends on your TSP's onboarding process, it makes sense to plan your internal timeline around this window rather than waiting until the last stage. Step 7: Train In-house Team Members:  Ensure that the customer service team, dispatch team, and billing team are well aware that the number can never be used for any promotional voice calls. Step 8: Documentation: Keep records of the eligibility form, undertaking provided, and correspondence with your TSP. Common Compliance Mistakes to Avoid Below are the common mistakes businesses should watch out for during this compliance process: Assuming intermediaries or aggregators can hold the number on behalf of the business (they cannot; it must go directly to the eligible entity). Using the 1601-series number for promotional or marketing calls, which is expressly not permitted. Delaying the TSP application, risking the migration deadline. Not training customer-facing teams on the new number and its correct use. Failing to keep proper documentation of the eligibility verification process. Start the TSP application and documentation process early. Since TSPs are working within a 90-day onboarding window from the order date, businesses that engage their TSP early are better placed to avoid last-minute bottlenecks with number allocation and internal system migration. Benefits for Businesses Below are the key benefits businesses can expect once they comply with this Direction: Increased customer trust: A verified, recognisable number improves the likelihood that customers answer and trust your calls. Lower risk of impersonation: The company is shielded against being mistaken for any fraudster that might use regular numbers. Compliance with regulations: Keeping up with the numbering policies set out by TRAI can ensure you won’t have any compliance problems in the future. Possibility of higher success rate: Having an identified number will likely increase the likelihood of answering the phone for notifications regarding deliveries, outages, or bill payment. Brand credibility: Being part of a TRAI-recognised, verified numbering system can reflect positively on your brand's reliability. Smoother customer communication: Customers can more easily distinguish real service updates from spam or fraud calls. Right Decision or Additional Burden? This Direction has clear upsides and clear operational demands, and a balanced view helps businesses plan realistically. Below are the Pros and Cons businesses should weigh: Pros: Establishes long-term customer trust due to verified numbering identity. Decreases the risk of reputation loss due to impersonation. Establishes a process for service communication that is structured and recognised by TRAI. Cons: Companies will have to spend time verifying their eligibility and getting the necessary documentation. Intra-company call systems, IVRs and customer databases will have to be migrated in time for TSP’s onboarding. Call aggregators or other intermediaries using numbers of utility or logistics firms may have to reconsider their business model, as numbers will be assigned to eligible firms only. Cost of compliance: As such, the Direction doesn’t stipulate the fee schedule; it will largely depend on internal migration efforts and work with TSP. Business preparation: Companies who have their documentation organised and an established relationship with their TSP will cope better than those who start the process late. Long-term impact: If adoption follows a path similar to the 1600-series in the BFSI and Government space, the 1601-series could become a widely used way for utilities, courier, and logistics companies to make service and transactional calls. The Direction itself does not state this as a future requirement it currently sets out only the Phase-I framework described above. Business Opportunities Created Below are the opportunities this Direction creates for businesses that comply early: Early-mover trust advantage: Businesses that migrate early can differentiate themselves as trustworthy, verified callers compared to competitors still using regular numbers. Improved customer engagement: Verified numbers may lead to better call pick-up rates, supporting delivery confirmations, billing communication, and service alerts. Technology upgrade opportunity: Migrating to the new number is a good moment to also modernise IVR systems, call analytics, and customer communication workflows. Compliance consulting opportunity: Businesses that need help navigating TSP coordination, documentation, and undertakings can engage professional compliance support to manage the process smoothly. Sector credibility: Being part of a recognised, verified numbering system can support broader brand positioning in tenders, partnerships, and customer-facing communication. Why Choose Corpseed? Navigating a new TRAI Direction, understanding eligibility, preparing the right documentation, and coordinating with your Telecom Service Provider within its 90-day onboarding window can be time-consuming if handled internally, especially alongside daily business operations. Corpseed works as an end-to-end regulatory compliance partner for businesses across India. Below is how Corpseed can help: Understanding the applicability of new telecom and regulatory directions like this one, including how it connects with existing obligations such as the TCCCPR framework. Preparing and organising documentation required for TSP verification. Coordinating the compliance process with relevant authorities and service providers through our TRAI and DoT compliance services. Ongoing regulatory tracking, so your business is not caught off guard by future phases or amendments. Pan-India support with a dedicated team for every client. A transparent, step-by-step process with clear timelines. Quick turnaround, so your business does not lose time on documentation delays. Instead of trying to interpret regulatory language and manage TSP coordination on your own, Corpseed's regulatory experts can guide your business through each step, reducing the risk of delays and documentation errors. Corpseed's Core Message Regulatory changes like the TRAI 1601-series Direction move fast, and the businesses that act early are the ones who avoid last-minute compliance pressure. Every delay in verification, documentation, or TSP coordination is a delay in protecting your business's credibility and your customers' trust. If your business operates in utilities, courier, or logistics, this is the right time to assess your applicability and start the compliance process, rather than waiting until the 90-day onboarding window is closing. Corpseed's regulatory consultants can help you understand your exact obligations under this Direction, prepare the required documentation, and guide you through the entire process smoothly. Talk to Corpseed's compliance experts today and take the first step toward smooth, hassle-free compliance. Conclusion TRAI's 1601-series Direction gives utilities, courier, and logistics businesses a verified way to make service and transactional calls, and it is worth acting on early rather than waiting for your TSP to reach out. If your business falls under Phase I, the practical next step is to start the eligibility and documentation process now. Corpseed's regulatory compliance experts can guide you through eligibility assessment, documentation, and coordination with your TSP. Contact Corpseed today to get started.

Subject

Summary: The Ministry of Heavy Industries issued the PM E-DRIVE Scheme Amendment 2026 on 10 August 2026. The amendment was published as S.O. 4424(E) in the Gazette of India. It changes selected parts of the PM Electric Drive Revolution in Innovative Vehicle Enhancement Scheme. The new notification raises the scheme outlay to ₹11,900 crore. It also increases the maximum number of registered electric two-wheelers eligible for support to 45,79,120. The total fund support for this segment is now ₹2,767 crore. The amendment matters to electric vehicle manufacturers , dealers, component suppliers, testing agencies, fleet businesses and buyers. It sets the scheme's terminal date to 31 March 2028. However, claims must be submitted to the Ministry of Heavy Industries or its Project Management Agency by 31 December 2027. Funding may also end earlier if the scheme or a sub-component runs out of money. This is an amendment, not a fresh scheme. Businesses must read it with the original notification, earlier amendments and operational guidelines. The official PM E-DRIVE notification page lists the main scheme documents. Notification at a Glance Particular Verified details Issuing authority Ministry of Heavy Industries, Government of India Document type Gazette notification amending an existing scheme Gazette number 4246, Part II, Section 3, Sub-section (ii) Publication date 10 August 2026 Effective date Date of publication in the Official Gazette Original scheme notification S.O. 4259(E), dated 29 September 2024 Total scheme outlay ₹11,900 crore Scheme period stated in the amendment 1 April 2024 to 31 March 2028 Main segment revised Registered electric two-wheelers Maximum supported e-2Ws 45,79,120 E-2W fund support ₹2,767 crore Maximum eligible e-2W ex-factory price ₹1.5 lakh Last date for submitting any claim 31 December 2027 Final date for payment by MHI/PMA 31 March 2028 Nature of the scheme Fund-limited, participation is voluntary, but scheme conditions bind participants claiming support The most important point is simple. The scheme may run until 31 March 2028, but support is not guaranteed until that date. A vehicle segment can close earlier when its funds or approved target are exhausted. The Regulatory Framework Issuing Authority and Its Role The Ministry of Heavy Industries, also called MHI, manages the PM E-DRIVE Scheme. It sets scheme conditions, approves eligible models, and oversees the payment of demand incentives. A demand incentive is financial support that helps reduce the effective price of an eligible electric vehicle. MHI may work through a Project Management Agency, or PMA. The PMA helps with applications, records, claim review and payment processing. The notification uses the term MHI/PMA when it fixes the last claim and payment dates. Original Scheme and Amendment History The original PM E-DRIVE Scheme was notified through S.O. 4259(E) on 29 September 2024. The government approved it to support electric mobility, charging infrastructure and the EV manufacturing system. The original Cabinet announcement described a ₹10,900 crore scheme over two years. There have been multiple amendments in this regard. The notification S.O. 3626(E) was issued on 7 August 2025, extending the period of the wider scheme till 31 March 2028. The amendment S.O. 1617(E) was made on 27 March 2026, addressing certain vehicle segments. The most recent amendment, S.O. 4424(E), makes changes to paragraph 5 of Annexure (i., the outlay tab) and to paragraph 46. The importance of this history is that the rules are not contained in a single notification. Legal Effect of the Amendment The changes apply from 10 August 2026, the date of publication in the Gazette. The notification substitutes or revises only the provisions it names. Other scheme conditions remain in effect unless another valid document changes them. The scheme is not a general ban or licence law. A business may choose not to seek the incentive. Once an Original Equipment Manufacturer, or OEM, enters the scheme and claims government support, it must comply with the scheme's conditions. Incorrect claims can lead to recovery and other consequences under the operational documents. Scope and Applicability Businesses and Stakeholders Covered The latest amendment directly affects the financial and time framework of the PM E-DRIVE Scheme. It is especially relevant to: Manufacturers of registered electric two-wheelers Approved EV dealers and distribution networks Battery and EV component suppliers Testing and certification agencies Fleet operators and corporate buyers Finance, leasing and insurance businesses linked to EV sales Compliance, legal, accounts and claim-management teams Buyers of eligible registered electric two-wheelers The amendment also confirms that the registered e-3W L5 component is closed. Businesses dealing in that category should not read the overall 2028 date as a reopening of L5 support. Vehicle Coverage The revised table deals with registered electric two-wheelers. The official scheme portal explains that eligible e-2Ws may include commercial, private and corporate-owned registered vehicles, subject to the scheme conditions. It also states that the incentive is intended for vehicles that use an advanced battery. Businesses should check the current approved-model list and operational instructions before promising an incentive to a buyer. The notification does not create a fresh incentive for every electric vehicle. It does not, by itself, approve a manufacturer, dealer or model. It also does not replace testing, certification, registration, localisation or claim requirements contained in the wider scheme documents. What Has Changed Under the PM E-DRIVE Scheme Amendment 2026? Revised Scheme Outlay and Duration The notification states that the PM E-DRIVE Scheme has an outlay of ₹11,900 crore. It says the scheme is being implemented from 1 April 2024 to 31 March 2028. The 1 April 2024 starting point includes the Electric Mobility Promotion Scheme 2024 (EMPS-2024). EMPS-2024 ran from 1 April 2024 to 30 September 2024. Its vehicle numbers and expenditure were brought into PM E-DRIVE. This means EMPS spending is included in the PM E-DRIVE outlay. It is not a separate extra amount added on top. Larger Registered E-2W Target The maximum number of registered electric two-wheelers eligible for support is now 45,79,120. This is a scheme ceiling, not a promise that every vehicle will receive support. A claim must still meet the applicable eligibility and process rules. Funding must also remain available. If the e-2W allocation finishes first, the component may close before the target date. Revised Electric Two-Wheeler Incentive The notification presents two incentive periods: Period Incentive rate Maximum per vehicle Financial year 2024-25 ₹5,000 per kWh ₹10,000 1 April 2025 to 31 March 2028 ₹2,500 per kWh ₹5,000 The current rate for the later period is ₹2,500 per kilowatt-hour, capped at ₹5,000 per vehicle. A kilowatt-hour, written as kWh, measures battery energy capacity. There is another limit. The incentive cannot exceed 15% of the eligible vehicle's ex-factory price. Therefore, the payable amount is limited to the lower of the kWh-based amount, the per-vehicle cap, and 15% of the ex-factory price. Maximum Ex-Factory Price An eligible registered e-2W must remain within the maximum ex-factory price of ₹1.5 lakh. Ex-factory price means the price at the factory gate before items such as registration, insurance and some on-road charges are added. Businesses should not confuse this with the customer’s on-road price. Pricing managers need to maintain proper documentation of how the ex-factory price was determined and how the incentive was passed down the distribution chain. Revised E-2W and Administrative Outlay The total MHI fund support for registered e-2Ws is ₹2,767 crore. The notification also provides ₹55 crore for administrative expenses. Administrative expenses are money used to run and manage the scheme. It is not an extra consumer incentive. The notification allows fungibility among administrative sub-heads. In simple terms, money may be reallocated among different administrative expense categories, subject to the scheme's overall administrative allocation. Fund-Limited Closure Rule Paragraph 46 now clearly states that the scheme is fund-limited. Total payment cannot exceed ₹11,900 crore. A sub-component may close if its available funds are exhausted before 31 March 2028. After closure, no further claims will be entertained. Businesses should therefore avoid treating the terminal date as a guaranteed sales window. Live fund availability, approved targets and official closure notices remain important. Registered E-3W L5 Closure E-3W L5 category sales registration target was met. The segment was closed off on December 26, 2025. MHI communicated this in an Office Memorandum dated December 23, 2025. This amendment confirms this. The extended deadline to 2028 does not reopen the L5 segment. L5 must be differentiated from other e-3W segments in any discussion regarding scheme availability. Implementation Timeline and Norms Event Date Business meaning EMPS-2024 period begins 1 April 2024 EMPS vehicle numbers and spending are later included in PM E-DRIVE EMPS-2024 period ends 30 September 2024 PM E-DRIVE follows the earlier promotion period EMPS-2024 period ends Original PM E-DRIVE notification 29 September 2024 Original scheme framework issued through S.O. 4259(E) Lower later-period e-2W incentive begins 1 April 2025 ₹2,500 per kWh, capped at ₹5,000, subject to the 15% rule Registered e-3W L5 closes 26 December 2025 Later L5 claims are not accepted under the closed component Latest amendment takes effect 10 August 2026 Revised outlay, e-2W table and claim rules apply Last date to submit any claim 31 December 2027 Claims must reach MHI/PMA by this date Scheme terminal and payment date 31 March 2028 MHI/PMA will make no payment after this date The three-month gap between the claim deadline and payment deadline gives time for review and processing. It does not promise payment for an incomplete or ineligible claim. Operational updates to the MHI portal will be necessary following the issuance of a new Gazette notification. Companies need to act on the Gazette notification before using the portal instructions. Any questions arising regarding sales or registration after the end date of the earlier segment must be clarified with MHI or the PMA before booking as a receivable. Why Was This Implemented? Faster Electric Vehicle Adoption The notification repeats three main scheme goals. The first is faster adoption of electric vehicles. An upfront demand incentive can reduce the effective buying price. A lower price can help more people and businesses consider an electric vehicle. Charging Infrastructure and Manufacturing Development The broader policy also supports the development of charging infrastructure and the EV manufacturing ecosystem as a whole. A vehicle subsidy is effective only if the buyer can easily charge their vehicle and obtain spare parts and service. The policy thus goes beyond just subsidizing a single vehicle purchase. Policy Consistency along with Budgetary Considerations This amendment ensures more time for implementation and a larger overall budget for the scheme. It still maintains a very clear financial cap on spending, which helps ensure consistency without guaranteeing endless government payouts. The lower e-2W subsidy rate post-1 April 2025 is another illustration of reducing incentives. In its notification, the government has indicated that the per-kWh subsidy will be revised as vehicle costs fall. Impact on Businesses Electric Two-Wheeler Manufacturers The larger supported vehicle ceiling creates a wider possible sales base. Manufacturers can plan products and dealer supply for a longer period. However, they must not count the entire target as assured demand. The lower per-vehicle cap places more pressure on product cost. An OEM may need to balance battery size, performance, ex-factory price and customer value. The ₹1.5 lakh price ceiling is especially important for premium models. Manufacturers also face claim timing risk. A vehicle may be sold, but the related claim can fail if the model, certificate, invoice, registration or supporting record does not meet the applicable rules. Dealers and Distributors Dealers are the main customer-facing link. They must explain the incentive carefully. They should not advertise the subsidy as guaranteed merely because a model appears eligible. Dealer invoices and customer records must match the OEM's claim data. The operational guidelines require that the incentive benefit be passed on to the customer through a reduced purchase price. Any mismatch may delay or weaken the claim. Battery and Component Suppliers An increase in e-2W beyond what is currently possible will drive greater demand for components such as batteries, motors, controllers, and chargers. The suppliers involved in the Phased Manufacturing Programme should have traceable documentation. Any change in supply or component specifications may affect vehicle compliance. MSMEs and Start-ups Smaller businesses may gain from a longer market window. They may supply parts, software, charging services, maintenance or fleet solutions. The burden can be heavier for them because they have smaller legal, testing and finance teams. A delayed claim may also affect cash flow more sharply. Clear internal ownership is therefore important. Buyers and Fleet Operators Eligible buyers may receive a lower effective vehicle price. Fleets may also gain from a wider choice of supported e-2Ws. However, the scheme is fund-limited. A buyer should confirm eligibility and the availability of incentives before completing the purchase. The final invoice should clearly show the benefit passed to the customer. How Businesses Will Achieve Compliance? The latest amendment mainly changes funding, targets and deadlines. It does not restate the entire compliance process. Existing duties come from the original scheme and operational guidelines. Confirm Business, Model and Vehicle Eligibility An OEM should first confirm that it is properly registered under the scheme. The relevant vehicle model or variant should have a valid PM E-DRIVE approval for the applicable period. As per the official guidelines on operational procedures, authorised testing agencies test eligible models. The eligible model should comply with the Central Motor Vehicles Rules and the automotive standards notified under the scheme. Control the Ex-Factory Price The eligible e-2W ex-factory price must not exceed ₹1.5 lakh. Pricing, finance, and sales teams should use a single approved price record. If a model's design or ex-factory price changes, the OEM should check whether fresh validation is required. A commercial change should not be made without checking its effect on the scheme certificate. Calculate and Pass on the Correct Incentive For the period between 1 April 2025 and 31 March 2028, the e-2W incentive is calculated at ₹2,500 per kWh. The cap for the vehicle is ₹5,000. The 15% ex-factory cap also applies. The incentive stated on the invoice must align with the approved calculation. The operational documentation states that the benefit should be delivered to the consumer as a reduced purchase cost. The same vehicle cannot be claimed twice. Maintain Complete Records Relevant records may include: OEM registration and approval documents Valid model eligibility certificate. Type-approval and testing records. Battery capacity and technical specifications Ex-factory price approval and revision history Dealer and customer invoices Vehicle identification and registration details. Proof that the incentive reached the customer Claim submission, acknowledgement and query records Board authorisation and authorised-signatory records Supplier and localisation evidence where applicable This list combines express operational records with sensible internal controls. The exact claim pack should follow the current portal and PMA instructions. Keep Certificates and Production Compliance Current The operational guidelines require approved EV models to undergo Conformity of Production testing for scheme eligibility parameters at least once a year. Conformity of Production means checking that vehicles made in regular production still match the approved model. OEMs should monitor certificate expiry and apply for revalidation in time. They should also report material product or supply-chain changes when required. A certificate should be valid when the applicable manufacturing, sale and registration events occur under current rules. Submit Claims Before the Final Date The legal deadline date is 31 December 2027. It would be risky to wait till the last minute. An erroneous entry, a glitch on the portal, or an error in the data might require correction. Businesses should set an earlier internal deadline. Accounts should reconcile vehicle sales, registrations, claims made, claims approved, and payment receipts. There should be an owner for each rejected or pending claim. Monitor Funds and Official Instructions The scheme can close early. Compliance teams should monitor: Gazette notifications MHI and PM E-DRIVE portal announcements PMA instructions Approved-model status Segment targets and fund position Claim windows and technical updates Sales teams should receive the same updates.  This prevents an old incentive message from being given to a customer after a component closes. Benefits for Businesses The PM E-DRIVE Scheme amendment 2026 offers several possible benefits: A longer policy period helps businesses plan products and investment. The higher e-2W ceiling creates room for more supported sales. Demand support can make eligible e-2Ws easier for buyers to afford. A clear outlay helps manufacturers understand the size of government support. Charging and manufacturing goals can strengthen the wider EV system. Clear claim and payment dates support better internal planning. Domestic component businesses may gain from higher vehicle production. Testing, software and compliance businesses may serve a growing formal market. These are opportunities, not guaranteed results. Actual value depends on eligibility, market demand, fund availability and correct execution. Challenges and Cost Implications The amendment also creates practical pressure. The later-period incentive is lower than the FY 2024-25 rate. Manufacturers may need to absorb more cost or ask buyers to pay more. The ₹1.5 lakh ex-factory ceiling limits the models that can qualify. Premium features may push a vehicle above this limit. Product and pricing decisions must therefore be linked. Compliance work also costs time and money. Testing, certification, record control, dealer training, portal filing and claim reconciliation need skilled people. Smaller businesses may find this harder. The fund-limited rule creates uncertainty. A company may plan sales until 2028, but a segment can close earlier. This makes careful cash-flow and inventory planning necessary. Is This a Right Decision or an Additional Burden? Why It Is a Reasonable Policy Decision The amendment gives the EV market more time and a larger financial base. It also sets clear limits. This can support electric mobility without allowing spending to remain open-ended. The higher e-2W ceiling matches the strong role of scooters and motorcycles in Indian travel. Electric two-wheelers can serve families, delivery workers, small firms and fleets. Supporting this segment can therefore have broad use. Why Businesses May Consider an Added Burden It requires strict control over model approvals, pricing, batteries, invoicing, registration, and claims. With a lower incentive, there may be less of a sales advantage as well, despite ongoing compliance efforts. Fund ceilings create burdens. A company cannot take the risk that all apparently eligible sales lead to approved claims. Balanced Assessment The policy orientation is justifiable because it ensures continuity and supports the large-vehicle sector. There is also assurance of the use of public money through ceiling amounts and deadlines. To businesses, the amendment brings both an advantage and an obligation. It is not difficult when there is early control of recordkeeping, certificates, dealerships, and claims. Otherwise, it can become expensive after a sale. Risks and Consequences Businesses Should Consider The latest notification expressly says that no further claim will be considered after a component closes. It also says no MHI/PMA payment will be made after 31 March 2028. The wider operational documents carry further risks. Wrong data, double claim, failure to pass on the incentive to the consumer, or model ineligibility may result in claim rejection or recovery. Major infringements may be punished more severely under the relevant scheme documents. Businesses can minimize their risks by: Using one controlled source for model and price data Training dealers before a new incentive period starts Matching invoice and registration information. Reviewing certificates every month. Reconciling claims and payments regularly Keeping a clear audit trail for every supported vehicle Escalating portal or eligibility doubts before sale Business Opportunities Created Affordable Electric Two-Wheelers The extended e-2W limit enables a larger market for affordable electric scooters and motorcycles. Manufacturers who can manage their costs within the ex-factory limit are likely to be at an advantage. EV Components and Battery Systems The increase in vehicles may necessitate more sophisticated batteries, battery management systems, electric motors, controls, electronics, and thermal systems. Suppliers that keep high-quality records will make better partners for the approved OEMs. Testing, Data and Compliance Services Assessments of models, certificates, production tests, and claims create a need for specialists. Software companies can develop solutions for dealer data management, document management, vehicle reconciliation, and deadline management. Charging, Fleet and Finance Services The wider PM E-DRIVE programme continues to support the EV ecosystem. Charging operators, fleet management companies, leasing firms, insurers, and lenders may benefit as more EVs are registered in the market. Regional Dealer and Service Networks The creation of more supported e-2Ws could drive demand even outside big cities. Firms could create networks for sales, repairs, battery services, and even spares. These would vary depending on customer demand and scheme eligibility. Recommended Action Plan for Businesses Check for Applicability: Verify Company name, Model number, Vehicle type, and sales period. Check for Approvals: OEM Registration, Model Approval, Tests, and Certificate Validity. Control on Pricing: ₹1.5 lakh is the cap on the ex-factory price and on incentive calculations. Train Dealers: Provide detailed instructions on Invoices, Customer papers, and scheme messages. Match Records: Match manufacturing records with sales, registration, and claim details. Establish an early deadline: Process claims well before 31st December 2027. Monitor Funding: Follow official notification, Portal instructions, and components. Keep Records for Review: Maintain all records in relation to each vehicle claimed. How Can Corpseed Help? Corpseed can support EV businesses that need clear, practical help with the new scheme position. Relevant EV regulatory compliance services may include: PM E-DRIVE Eligibility Assessment Check whether the business qualifies under the scheme. Review the eligibility of each EV model. Confirm the applicable incentive period and conditions. OEM Registration and Approval Support Assist with OEM registration under PM E-DRIVE. Prepare and review registration documents. Coordinate responses to regulatory queries. Vehicle Testing and Certification Coordinate with recognised vehicle-testing agencies. Review technical and battery-related information. Track certification, revalidation and approval status. Incentive and Pricing Review Check the applicable per-kWh incentive. Review the ₹1.5 lakh ex-factory price limit. Verify the per-vehicle and 15% incentive ceilings. Claim Documentation Support Prepare and organise claim documents. Check invoices, registrations and customer records. Review claims before submission to MHI or the PMA. Compliance Gap Assessment Identify missing approvals and expired certificates. Find errors in pricing, invoices and claim records. Recommend corrective actions before filing a claim. Ongoing Compliance and Deadline Monitoring Monitor Gazette notifications and scheme updates. Track claim, certificate, and payment deadlines. Help businesses maintain complete compliance records. Businesses seeking EV regulatory compliance services can consult Corpseed for an applicability review, documentation support, and a practical PM E-DRIVE compliance plan tailored to their vehicle category and operations.

Subject

Summary: The Ministry of Steel has revised the criteria for domestic status of the iron and steel products in regard to procurement by the Government of India. The new Notification G.S.R. 720(E) of August 7, 2026, has mandated that the Melt and Pour criterion will supersede the previous criteria of 50% Domestic Value Addition (DVA) for an extensive range of steel HS codes under the Domestically Manufactured Iron & Steel Products (DMI&SP) Policy-2025. If your organization supplies steel products to the various government departments, PSUs, and public procurement projects, then it would be affected by this change in the definition of "made in India" in regard to its goods. This regulatory change is of high importance as it changes the criteria for your product to comply with in order to be considered "made in India". Not adhering to the compliance criteria will disqualify your tender or bid, or you may face a penalty for misrepresentation. Business organizations failing to identify which criteria to comply with in respect to HS code or failing to revise their internal procedures may lose out on government contracts. This is where professional regulatory consulting services can help you out. In this article, we provide you with an overview of the change and what you need to do. Key Highlights Here are the key highlights of the Melt and Pour amendment to the DMI&SP Policy that every steel manufacturer and government supplier should know. The Ministry of Steel issued Notification G.S.R. 720(E) on August 7, 2026, amending Appendix-A of the Domestically Manufactured Iron & Steel Products (DMI&SP) Policy-2025. The original DMI&SP Policy-2025 was published earlier vide G.S.R. 904(E) dated December 17, 2025. For HS Codes 7301, 7302, 7303, and 7308 to 7326, the earlier requirement of "50% Domestic Value Addition" is now replaced with "Melt & Pour." "Melt & Pour" means the steel used to make these products must comply with the official melt-and-pour definition, and the entire product must be manufactured within India. A revised Appendix-A, listing 49 iron and steel product categories with their HS Codes and applicable condition, has been published along with the notification. Not all HS codes moved to Melt & Pour. HS Codes 7304, 7305, 7306, and 7307 (seamless tubes, welded pipes, and pipe fittings) continue to require 50% Domestic Value Addition. HS Codes 8605, 8606, and 8607 (railway/tramway coaches, goods wagons, and locomotive/rolling-stock parts) also remain under the 50% Domestic Value Addition condition. Appendix-A applies to iron and steel products that can only be procured from domestic sources under this policy, meaning imports are not permitted for these product categories under government tenders. All other provisions of the DMI&SP Policy-2025, apart from this specific change to Appendix-A, remain unchanged. The notification is signed by Abhijit Narendra, Joint Secretary, Ministry of Steel, under File No. 8(2)/2023-ID-I. This amendment affects steel manufacturers, fabricators, traders, EPC contractors, and any business that supplies iron and steel products for government projects, PSU tenders, or infrastructure contracts. The Regulatory Framework Understanding the regulatory framework behind the DMI&SP Policy and this Melt and Pour amendment helps businesses see exactly where this notification fits within India's steel procurement rules. Issuing Authority: Ministry of Steel, Government of India Notification: G.S.R. 720(E), dated August 7, 2026, published in the Gazette of India, Extraordinary, Part II, Section 3, Sub-section (i) Parent Policy: Domestically Manufactured Iron & Steel Products (DMI&SP) Policy-2025, originally notified vide G.S.R. 904(E) dated December 17, 2025 What the DMI&SP Policy Does: The DMI&SP Policy sets out which iron and steel products, when required for government procurement, must be sourced only from domestic (Indian) manufacturers. Appendix-A of this policy is the list of these products, identified by their HS Code, along with the "condition" that determines whether a product counts as domestically manufactured. Scope: This regulation covers iron and steel products classified under certain HS Codes for flat-rolled steel, bars and rods, wire, structural steel, tubes and pipes, containers, chains, springs, household articles of iron and steel, and specified parts of railway rolling stock. Industries Covered: Steel manufacturers, steel fabricators, structural steel suppliers, pipe and tube manufacturers, wire and rod producers, railway component suppliers, and any business bidding for government or PSU contracts involving these steel products. Purpose of Appendix-A: This is because the purchase of such items will be restricted to domestic purchases only, implying that government procurement officers will not import such items if there are other domestically compliant items in the market. What Has Changed? Here is exactly what has changed under the DMI&SP Policy Appendix-A, and how the new Melt and Pour condition compares with the earlier Domestic Value Addition requirement. Before this amendment, most products under Appendix-A had to meet a 50% Domestic Value Addition (DVA) condition to qualify as "domestically manufactured." This meant at least half the value of the product had to be added within India, even if some raw material or semi-finished input came from abroad. Under the new rule, for the HS Codes listed below, this value-addition-based test has been dropped in favour of a process-based test: Melt & Pour. Under Melt & Pour, the origin of the steel is decided by where the steel was actually melted and cast, not by how much value was added afterwards. The notification clarifies that the steel used must meet the melt-and-pour definition, and the finished product must be entirely made within the country. Previous Rule vs New Rule Aspect Previous Rule (Before Aug 7, 2026) New Rule (From Aug 7, 2026) Applicable Condition 50% Domestic Value Addition Melt & Pour Basis of Compliance Value of inputs added in India Where the steel was melted and cast, plus full domestic manufacturing HS Codes Affected 7301, 7302, 7303, 7308–7326 7301, 7302, 7303, 7308–7326 Codes Unaffected (still 50% DVA) 7304, 7305, 7306, 7307, 8605, 8606, 8607 7304, 7305, 7306, 7307, 8605, 8606, 8607 Governing Notification G.S.R. 904(E), dated December 17, 2025 G.S.R. 720(E), dated August 7, 2026 HS Codes Now Under "Melt & Pour" This condition now applies to a wide range of products, including: Flat-rolled iron/non-alloy steel and stainless-steel products (HS 7208–7212, 7219, 7220) Bars, rods, wires, angles, shapes and sections (HS 7213–7217, 7221–7223, 7227–7229) Alloy steel flat-rolled products (HS 7225, 7226) Sheet piling, welded structural sections (HS 7301) Rails and railway/tramway track construction material (HS 7302) Cast iron tubes, pipes and hollow pipes (HS 7303) Structures and parts of structures (HS 7308) Reservoirs, tanks, vats and containers (HS 7309–7311) Wire ropes, cables, barbed wire, fencing, chains, anchors (HS 7312–7316) General articles of iron and steel, springs, stoves, radiators, tableware, sanitary ware, and cast articles (HS 7317–7326) HS Codes That Remain Under "50% Domestic Value Addition" •    Seamless tubes, pipes and hollow profiles (HS 7304) •    Welded/riveted circular tubes and pipes over 406.4 mm diameter (HS 7305) •    Other tubes, pipes and hollow profiles (HS 7306) •    Tube and pipe fittings, such as connectors, couplings and elbows (HS 7307) •    Railway/tramway passenger coaches, not self-propelled (HS 8605) •    Railway/tramway goods vans and wagons, not self-propelled (HS 8606) •    Parts of railway/tramway locomotives or rolling stock, such as bogies, axles and forged wheels (HS 8607) Supplying steel to government tenders? Verify whether your primary mill source meets the new Melt & Pour criteria. [Schedule a Compliance Audit with Corpseed]. Implementation Timeline / Norms Below is the implementation timeline for the Melt and Pour DMI&SP Policy amendment, along with the compliance norms businesses need to follow going forward. Effective Date: The amendment takes effect from the date of publication in the Gazette of India, i.e., August 7, 2026. Relevance: The above-mentioned modified clause is applicable for procurement of goods made of iron & steel that come under the relevant HS codes where the policy on Direct Material and Steel Procurement ("DMI&SP Policy") is applicable, for example, Government Departments, PSU procurements, and projects where there is a need for "Make in India" compliance for steel. Action Required by Business: Suppliers/manufacturers dealing in relevant HS codes must review the compliance documents they currently hold and ensure whether their steel is molten/poured in India or not. Continuity of Other Provisions: The notification specifically states that all other provisions of the DMI&SP Policy-2025, including the rest of Appendix-A, remain unchanged. Businesses dealing in HS codes 7304–7307 and 8605–8607 continue to follow the 50% Domestic Value Addition requirement as before. Why Was This Implemented? Below are the likely reasons behind the government's move to replace Domestic Value Addition with the Melt and Pour standard for steel procurement. The notification itself does not spell out a detailed statement of objects and reasons. Still, the shift from a value-based test to a Melt & Pour standard reflects a broader intent commonly associated with domestic steel procurement policy: Stronger domestic manufacturing check: A Melt & Pour standard ties "Indian origin" directly to where the steel is actually produced, rather than to how much value is added in later processing stages. Support for India's primary steel industry: By anchoring the domestic-content test to the melting and casting stage, the policy aims to support demand for steel that is genuinely produced from Indian furnaces, not merely finished or assembled in India using imported steel. Simplification of compliance verification: A process-based test such as Melt & Pour can be easier to verify through mill certificates and production records compared to calculating value addition percentages across a supply chain. Alignment with public procurement priorities: The change fits within India's broader public procurement framework that gives preference to domestically manufactured goods in government purchases. Impact on Businesses Below are the benefits, risks, and operational effects this Melt and Pour compliance shift brings for different types of steel businesses. Manufacturers: Steel manufacturers producing goods under the affected HS codes must now demonstrate that their steel was melted and poured in India, and maintain supporting production records, rather than relying solely on value-addition calculations. Importers: The companies importing semi-finished steel or parts and completing processing in India will have to review whether their supply chain continues to remain "domestic" as per the Melt & Pour criterion because even further processing of melted steel imported from outside does not satisfy this requirement. Exporters: Although this regulation applies to the domestic government procurement process and not exportation, the exporters operating domestically within the relevant HS Codes will also have to pay attention to this difference. Brand Owners and OEMs: Companies that source finished steel products under their own brand for supply to government buyers must confirm their vendors' steel meets the Melt & Pour standard for the applicable HS codes. MSMEs and Startups: Fabricators and Manufacturers of Structural Products: Small fabricators and manufacturers of steel products for government contracts need to verify if the raw steel material they use comes from a mill that is melting and casting within India, as this will be a determining factor instead of added value. Large Enterprises: Larger integrated steel producers with in-house melting and casting facilities are likely to find this transition more straightforward, but must still update internal certification processes to reflect the new condition. Traders and Distributors: Trading businesses supplying listed steel products to government buyers need updated compliance declarations from their manufacturing sources to pass on accurate certification. Retailers: Businesses supplying iron and steel articles such as household hardware, sanitary ware, or general iron/steel goods (HS 7317–7326) to government institutions should confirm their supply chain's compliance status under Melt & Pour. Service Providers and EPC Contractors: Contractors executing government infrastructure projects that specify DMI&SP-compliant steel must ensure their material suppliers meet the applicable condition for each HS code used in the project, since a mix of "Melt & Pour" and "50% DVA" codes may apply within the same project. Operational, Legal, Financial and Documentation Impact: Some companies will have to renegotiate their contracts with vendors, change self-certification forms in tender documents, and in some cases re-examine sourcing relations involving imported semi-finished steel. How Businesses Will Achieve Compliance? Below is a step-by-step DMI&SP compliance roadmap to help steel manufacturers and suppliers align with the new Melt and Pour requirement. Identify Applicable HS Codes:  Map your products against the HS codes listed in the revised Appendix-A to determine whether the Melt & Pour condition or the 50% Domestic Value Addition condition applies. Review Supply Chain Origin:  Trace where the steel used in your product is melted and cast, not just where it is processed or assembled. Obtain Mill Certification:  Secure documentation from your steel supplier confirming melt-and-pour origin within India, where applicable. Update Vendor Declarations:  Revise self-certification formats used in government tenders to reflect the correct condition (Melt & Pour or 50% DVA) for each HS code supplied. Maintain Production Records:  Keep records that can demonstrate compliance if questioned during tender evaluation or audit. Segregate Sourcing for Mixed Portfolios:  If your business supplies products across both Melt & Pour and 50% DVA categories, maintain separate documentation trails for each. Review Ongoing Contracts:  Check whether existing government contracts or tenders in progress require updated compliance declarations under the amended Appendix-A. Train Procurement and Compliance Teams:  Ensure teams involved in tender submissions understand the distinction between the two conditions and apply the correct one per HS code. Common Mistakes to Avoid:  Applying the old 50% DVA logic to HS codes that have now moved to Melt & Pour; assuming imported semi-finished steel qualifies simply because further processing happens in India; and submitting outdated certification formats in tender bids. Since HS codes 7304-7307 and 8605-8607 remain on the 50% DVA standard, businesses handling a mixed product range should clearly separate their compliance approach by HS code rather than applying a single rule across their entire catalogue. Benefits for Businesses Below are the benefits businesses can gain by staying compliant with the Melt and Pour requirement under the DMI&SP Policy. Clearer Compliance Test: A process-based Melt & Pour standard can be more straightforward to demonstrate than calculating value addition percentages. Reduced Ambiguity in Tenders: Clearer domestic-origin criteria can reduce disputes during tender evaluation. Market Access: Businesses that genuinely melt and pour steel within India gain a clearer path to qualify for restricted government procurement categories. Support for Backward Integration: Companies with in-house melting and casting capacity may find themselves better positioned compared to those relying on imported semi-finished steel. Business Continuity: Staying updated on the correct condition for each HS code helps avoid last-minute disqualification from government tenders. Right Decision or Additional Burden? Below is a balanced look at whether the Melt and Pour rule works in favour of steel businesses or adds to their compliance burden. Advantages: The rule offers a more direct, verifiable link between "Made in India" claims and actual domestic steel production. For businesses with fully integrated Indian steel-making operations, this can simplify compliance since production records may be easier to maintain than detailed value-addition calculations across multiple supply chain stages. Issues: Firms that rely on imported semi-steel materials as their input, even if there is an appreciable value addition through fabrication and finishing done in India, could be denied the "domestic" status by virtue of this test. Compliance Costs: It takes both time and money to revise one’s documentation, certification process, and possibly supplier sources, especially for companies which have to switch their suppliers to satisfy the Melt & Pour criteria. Business Preparedness: Those firms which are buying their steel products directly from domestic mills equipped with full Melt & Pour facilities would probably adjust easily. Those relying on importing their required steel would take more effort to adapt. Long-Term Impact: Over time, this policy direction may encourage greater investment in domestic steel-melting capacity among businesses seeking continued access to government procurement contracts. Business Opportunities Created Below are the new business opportunities this DMI&SP Policy amendment opens up for domestic steel manufacturers and suppliers. Government Tenders: Businesses that can clearly demonstrate Melt & Pour compliance may find a more level playing field in bidding for government contracts requiring the affected HS codes. Domestic Manufacturing Expansion: The policy may create an incentive for businesses to invest in or partner with domestic melting and casting facilities. Supply Chain Realignment: Companies re-evaluating their sourcing strategy have an opportunity to build stronger relationships with compliant domestic steel producers. Compliance Consulting Demand: As businesses adjust documentation and sourcing to meet the new standard, there is growing need for expert guidance on correctly classifying products, verifying supplier compliance, and preparing tender-ready certification. Why Choose Corpseed? Below is why steel manufacturers and government suppliers across India rely on Corpseed for DMI&SP Policy and Melt-and-Pour compliance support. Understanding exactly which HS codes fall under Melt & Pour versus 50% Domestic Value Addition, and correctly documenting compliance for each, can be time-consuming for businesses focused on their core operations. Corpseed works with manufacturers, traders, and government suppliers to review product classifications against policy requirements, prepare accurate compliance documentation, and support certification and vendor declaration processes needed for tender submissions. Corpseed's team tracks regulatory notifications like this one as they are published, so businesses do not have to monitor gazette updates themselves. From identifying the correct HS code condition applicable to your product, to assisting with documentation and liaison where needed, Corpseed aims to reduce the compliance burden so businesses can focus on winning and executing government contracts rather than navigating paperwork. Support is available across India, with dedicated experts guiding the process from assessment through to submission. Corpseed's Core Message Below is why acting early on this steel policy compliance update can protect your government contract pipeline. Regulatory changes like the Melt & Pour amendment can directly affect your eligibility for government contracts if not handled correctly and on time. Misclassifying your product's compliance condition, or submitting outdated certification, can lead to bid rejection or disqualification during tender evaluation. If your business supplies iron and steel products under the HS codes affected by this notification, it is worth getting your compliance position reviewed before your next tender submission. Getting professional guidance early can help you avoid delays, reduce the risk of penalties for incorrect declarations, and keep your government contract pipeline moving smoothly. Talk to Corpseed's regulatory compliance experts today to review your steel product classification and ensure your DMI&SP Policy compliance is tender-ready.

Subject

Summary: An amendment to the Shops and Commercial Establishments Act has been notified by the Department of Labour and Employment of the Union Territory of Dadra and Nagar Haveli and Daman and Diu. The notification was issued on 15 July 2026 and published in the Official Gazette, Series II No. 26, dated 17 July 2026. The DNH & DD Shops and Establishments Amendment, 2026, proposes three main amendments. First, the Act will apply to all shops and establishments, not to various categories based on employee numbers. Secondly, registration and related functions would be handled through a centralized online portal. Lastly, shops and establishments throughout the Union Territory can operate round the clock, subject to worker safety regulations and government limitations. This document is still a draft. It was issued to collect comments from stakeholders. A shop owner should not treat every proposal in it as a rule that is already in force. Businesses should study the proposal, check the final Gazette, and prepare for possible changes. Notification at a Glance Particular Verified details Issuing authority UT Administration of Dadra and Nagar Haveli and Daman and Diu Department Department of Labour and Employment, Daman Document type Public notice with a draft amendment Regulation Gazette details Official Gazette, Series II No. 26 Reference number LE/LI/DMN/Reforms Act/427/2026/206 Notice date 15 July 2026 Gazette publication date 17 July 2026 Governing law Gujarat Shops and Establishments (Regulation of Employment and Conditions of Service) Act, 2019, as adapted to the Union Territory Area covered Dadra and Nagar Haveli and Daman and Diu Main stakeholders Shop owners, commercial establishments, employers, workers and compliance teams Main proposals Wider coverage, online registration, deemed registration in some cases, combined registration provisions and 24x7 opening Consultation period Comments may be sent within 30 days of the issue of the notice Proposed commencement From publication of the final Regulation in the Official Gazette, as stated in the draft commencement clause Legal status Draft published for stakeholder comments not presented here as final enacted law The date point needs care. The notice carries 15 July 2026, while the Gazette carries 17 July 2026. It asks for comments within 30 days of the “issue of this notice,” but does not explain which date must be used to count the period. A stakeholder planning to comment should confirm the deadline with the Labour Department and avoid waiting until the last day. The Existing Regulatory Framework The Gujarat Shops and Establishments Act, 2019 The draft seeks to amend the Gujarat Shops and Establishments (Regulation of Employment and Conditions of Service) Act, 2019, as adapted to Dadra and Nagar Haveli and Daman and Diu. This law deals with shops and other commercial establishments. It covers subjects such as registration, business hours and conditions of work. In simple words, a shops and establishments law sets basic rules for commercial workplaces. The legal definitions in the governing law still decide whether a business is covered. Application in Dadra and Nagar Haveli and Daman and Diu The 2019 Gujarat law has been adapted for this Union Territory. The proposal would amend that adapted law only within Dadra and Nagar Haveli and Daman and Diu. It is not a nationwide amendment. The draft uses “State Government,” so the final framework should make clear which UT authority exercises each power. Existing Registration Framework The comparison statement in the Gazette shows different treatment based on the number of workers. It states that most provisions apply to establishments with 20 or more workers, while Section 7 applies to establishments with fewer than 10 workers. Under Section 7, a smaller establishment gives an intimation and receives an intimation receipt. The wording for employee number contains an apparent gap and is discussed under “Drafting Issues” below. Existing Opening and Closing Hours The comparison table shows location-based hours. Certain municipal locations, highways, bus station premises, hospital premises, and petrol pumps may remain open 24 hours a day. Other areas have closed periods such as 2 a.m. to 6 a.m. or 11 p.m. to 6 a.m. The proposal would replace these groups with a single general rule while retaining the government's power to restrict hours. Scope and Applicability of the Draft Regulation Territorial Application The draft would apply only within Dadra and Nagar Haveli and Daman and Diu. Businesses and Establishments Covered The proposed Section 1(3) says that the Act shall apply to “all shops and establishments.” If this wording is retained in the final Regulation, worker count would no longer decide whether the Act applies. A very small shop could enter the same main legal framework as a larger establishment. Definitions and exemptions in the principal Act may still matter. The draft does not list every covered business type. Impact on Small Establishments Small establishments are likely to see the clearest change. The separate intimation system under Section 7 would be removed. The proposal instead places registration in the rewritten Section 6. A small employer may therefore receive a registration certificate rather than only an intimation receipt. A small business would still need correct details, self-certified documents and compliance with later rules on forms and fees. Existing and Newly Commencing Establishments The proposed Section 6 provides 60 days from the commencement or start of business, as applicable. A valid registration under the Goa, Daman and Diu Shops and Establishments Act, 1973 would continue until expiry. Certain OSH Code, municipal and panchayat registrations would receive deemed status. Special Categories Requiring Prior Approval Most certificates are proposed to be auto-generated through the online portal. The draft creates an exception for: Slaughterhouses Meat-processing units Meat-selling units Poultry farms Abattoirs These businesses would need prior approval. The draft does not identify the competent authority or approval procedure. What Has Changed Under the Draft Regulation? The proposal broadens coverage and consolidates several related processes into Section 6. It also removes location-based limits from the main opening-hours rule. Compliance area Existing position shown in the Gazette Proposed position Practical business meaning Applicability Different rules based on worker numbers Act would apply to all shops and establishments Small businesses may enter the full registration system Small establishments Intimation under Section 7 for fewer than ten workers Section 7 would be omitted Separate intimation route would end Registration Inspector registers and issues certificate Certificate normally auto-generated online Less manual approval for most businesses Other registrations No deemed-registration rule shown in existing Section 6 Certain OSH Code and local registrations recognised May reduce duplicate filings Changes in details Separate Section 9 Moved into Section 6 Online application and fresh certificate proposed Closure Separate Section 10 Moved into Section 6 Online notice within 30 days proposed Cancellation Separate Section 8 Moved into Section 6 Inspector keeps power to cancel fraudulent registration Certificate validity Valid until ownership or business nature changes Same basic validity wording No routine renewal period is stated in the draft Opening hours Depend on location General 24x7 opening proposed Wider choice of operating hours Penalty Section 7 shows a ₹5,000 fine for its contravention Section 6 proposes a ₹5,000 penalty Common penalty provision would apply to Section 6 breaches Amendment to Section 1: Application to All Establishments The proposed wording says the Act will apply to all shops and establishments. It removes the employee-number language from Section 1(3), although the reasons column mentions ten or more employees. Substitution of Section 6: Unified Registration Framework The new Section 6 would cover registration, changes, closure and cancellation. The prescribed application would include a self-declaration, self-certified documents, the fee, and basic details about the employer, manager, business, and workers. For most businesses, the certificate would be generated online. Omission of Sections 7 to 10 Sections 7 to 10 would be removed. Their subjects would not all disappear: changes, closure and cancellation would move into Section 6. Substitution of Section 35: Proposed 24x7 Operations Any shop or establishment may remain open 24 hours, subject to Sections 12, 14, 16 and 18, and to notified limits relating to traffic, health, safety, nuisance or law and order. Implementation Timeline and Compliance Norms Event or requirement Date or period Affected entity Action Public notice 15 July 2026 Stakeholders Review the proposal Gazette publication 17 July 2026 Public and businesses Note the consultation draft Stakeholder comments Within 30 days of issue of the notice Interested stakeholders Send comments to the named Labour authority Final commencement On publication as provided in the final Regulation Covered establishments Check the final Gazette before acting Registration Within 60 days from commencement or business start, as applicable Employer of a covered establishment Apply in the prescribed form Change in particulars Period to be prescribed Employer Apply online and pay prescribed fee Closure Within 30 days of business closure Employer Submit online closure intimation Stakeholder Consultation Period Comments may be sent to the Commissioner-cum-Secretary (Labour) at the address in the notice. Because the notice and Gazette show different dates, stakeholders should confirm the last date directly. Proposed Commencement The draft links commencement to Gazette publication. The July document is expressly a consultation draft and should not be confused with a final Regulation. Registration, Change and Closure Periods Registration is proposed within sixty days and closure reporting within thirty days. Amendment periods, forms, fees and detailed portal procedures would be prescribed later. Why Was the Amendment Proposed? The notice links the proposal with labour reform, easier compliance and changing business conditions in the Union Territory. Simpler Digital Registration An online certificate based on self-certified records may reduce the time required for routine approval. Less Duplicate Compliance Recognition of OSH Code and local registrations may reduce duplicate filing. Its value will depend on portal verification. One Place for Related Tasks Registration, changes, closure, and cancellation would be grouped in one section. This can make the law easier to follow because employers would not need to navigate several separate sections for related events. Flexible Business Hours The proposed 24x7 rule responds to businesses that serve customers beyond normal daytime hours. It also removes different time bands based mainly on location. Worker protections and government restrictions would remain important limits. Proposed Registration and Compliance Framework 1. Application and Self-Certified Records The prescribed application would contain employer, manager, establishment, business and worker details, supported by a self-declaration and self-certified documents. The applicant confirms a self-certified copy as true. False records or the concealment of material facts could lead to cancellation. 2. Deemed Registration Eligible OSH Code, municipal and panchayat registrations would be treated as registrations under this Act. The draft does not explain how a business will prove this deemed status on the portal. 3. Updating Registration Details For changes to details, the employer would apply online, pay the prescribed fee, and obtain a fresh certificate. Special categories would still need approval. 4. Closure and Cancellation Closure would be reported online within thirty days. The Inspector may also remove a business that has closed without reporting it. A registration obtained through false information, forged documents, hidden facts, or fraud may be cancelled, but the employer must first be given a hearing. 5. Validity and Penalty The certificate would remain valid until ownership or the nature of business changes. The draft proposes a ₹5,000 penalty for violating Section 6 or the rules made under it. It does not clearly explain whether the amount applies once, per breach, or in another manner. Proposed 24x7 Operation of Shops and Establishments Which Establishments May Remain Open? The proposed Section 35 uses broad language. It says any shop or establishment in the Union Territory may remain open 24 hours on any day of the week. This would replace the current location groups shown in the comparison table. Business Hours Are Not Employee Working Hours A shop can stay open by using different shifts. That does not mean one worker can be made to work all day or all night. The draft keeps Sections 12, 14, 16 and 18 in place for workers. Because the full text of those sections is not reproduced in this Gazette, their exact requirements should be checked in the principal Act. Government May Reduce Hours The 24x7 permission would not be absolute. A notified authority could reduce opening hours for a class of establishments, a mall, certain premises or an area. Reasons may include traffic, public health, public safety, public nuisance and law and order. Businesses should therefore watch later Gazette notifications even after any final amendment takes effect. Impact on Businesses Micro and Small Establishments Small shops may move from a lighter intimation route to registration. They must provide correct details, use the portal and report changes. Existing Registered Businesses Earlier Goa, Daman and Diu registrations may continue until expiry. Certain OSH Code and local registrations may receive deemed status, subject to the final law. Retail, Food and Service Businesses Longer hours can help customer-facing businesses but may increase staffing, power, security, and transport costs. Opening for 24 hours is a choice, not a duty. Logistics and Support Operations Logistics and support operations may benefit from extended hours, but other sector, safety, and labour rules will still apply. Stakeholder Immediate impact Possible cost or operational effect Priority concern Small shop Possible shift from intimation to registration Filing and record effort Confirm coverage and final rules Existing registrant Review current certificate Low if recognised Check validity and deemed status 24x7 operator More freedom to choose hours Staffing, safety and utility costs Protect workers and monitor restrictions Special approval business Cannot rely on auto-generation alone Approval time and documents Identify competent authority HR or compliance team More online records and updates Process and training needs Keep data accurate How Can Businesses Achieve Compliance? Because this is a draft, the first duty is to monitor, not assume, that the new process is already live. Check coverage: Decide whether the workplace falls within the legal meaning of a shop or establishment. Review current certificates: Record the law, authority, number, validity and expiry date for every registration. Look out for deemed status possibilities: Note down OSH code and municipal or panchayat registrations that might fall under deemed status. Ensure accurate information about your business: keep your employer, manager, address, activity, and number of workers up to date. Look out for the final Gazette: Get to know the exact terms of the law, the act's start date, forms, fees, and the online portal. File the application within the stipulated time: If it passes as a law and needs registration, file the application within sixty days from the start date. File amendments: File amendments within the time prescribed by the final law. Control working hours: If working overtime, ensure you have sufficient staffing and adequate worker protection. Inform regarding closure: Propose an online notice within thirty days of closure. Compliance Checklist for Businesses Compliance point Type Timing Responsible function Check applicability Recommended preparation Now and after final publication Owner or legal team Review existing registration Recommended preparation Before commencement Compliance team Submit online registration Proposed legal duty Within applicable 60-day period Employer Verify declaration accuracy Proposed legal duty and internal control Before every filing Employer and compliance team Update changed details Proposed legal duty Period to be prescribed Employer Follow worker protections Continuing legal control During all operating hours HR and operations Report closure Proposed legal duty Within 30 days of closure Employer Monitor Gazette notices Recommended control Ongoing Legal or compliance team Benefits for Businesses Faster routine registration: Most certificates would be generated through the online portal without prior approval. One digital record: Registration, changes and closure would use the same broad framework. Fewer duplicate registrations: Certain OSH Codes and local registrations would be recognised. Wider operating choice: Businesses could choose hours that match customer demand. Long certificate life: No routine renewal period is stated; validity continues until ownership or business nature changes. Reduced location differences: The same main 24x7 rule would apply across the Union Territory. These are possible benefits, not guaranteed savings. Other licences and labour duties may still apply. Challenges and Additional Compliance Burden Wider Coverage of Small Businesses Applying the Act to all establishments may place registration work on very small shops, even with auto-generation. Missing Process Details Forms, fees, amendment periods, and portal steps are left to later rules, so the full cost is not yet clear. Workforce Cost for Longer Hours Longer hours may require more shifts, managers, security personnel, and support staff. A business should open late only when the expected demand justifies the extra cost. The proposal gives a choice; it does not promise profit. Digital and Data Risks An online system works well only when it is stable and simple. Wrong entries can create future problems, especially because the Inspector may cancel registration obtained through false information or hidden facts. Is This the Right Decision or an Additional Burden? Why It May Be Business-Friendly This proposal strips away routine approval for almost all registration certificates. This proposal consolidates similar provisions while accepting some other forms of registration. This proposal also offers greater flexibility in terms of business operating hours. Why It May Add a Burden Small businesses can transition from the light hint system into the registration process. The business owner is expected to use the portal and ensure the information is up to date. Increased time for operations will lead to higher labor and operational costs. Balanced Assessment This policy is justified because of the trade-off between manual authorization and online self-declaration and registration. However, for the process to be fair, the rules must be straightforward, and the fees low. Additionally, there must be an effective portal, and the small businesses must be properly guided. The proposed policy can thus be regarded as both an opportunity and a matter of compliance. It cannot automatically be seen as a burden, because 24x7 operation is not mandatory. The burden will arise if the forms, fees, or portal processes are difficult for small-business employers. Business Opportunities Created Night Retailing and Food Services: Stores, eateries, and kitchen deliveries can stay open for longer hours. Last Mile Logistics: Longer business hours can help with late pickups and deliveries. Warehousing: Operators may plan more shifts and use space for longer periods. Hospitality and tourism: Visitors may get wider access to food, retail, and support services. Customer support: Service businesses may offer round-the-clock help where demand exists. Security and transportation: Additional night shifts may require secure locations and employee movement. HR and payroll systems: There may be a requirement for more detailed records regarding shifts, attendance, and payments. Regulatory support: Smaller firms may seek Shops and Establishment registration services. Drafting Issues and Areas Requiring Clarification "All Establishments" Vs Ten Or More Employees The clause suggested implies that the Act would apply to all shops and establishments. The reasons column mentions ten or more employees. Both clauses cannot be regarded as the same. The final draft must eliminate this confusion. Gap in Number of Workers in Existing Law The comparative statement includes the general provision for twenty or more workers and Section 7 for less than ten. There is no mention of 10 to 19 workers in the context above. Deemed Registration Process The proposal grants deemed registration but does not say whether a business must upload its existing certificate, obtain a portal number, or send an intimation. Forms, Fees and Time Periods The draft refers to prescribed forms, fees and a prescribed amendment period. Exact values and procedures are not stated. Ownership and Business Changes The certificate remains valid until ownership or the nature of business changes. The amendment provision also allows a fresh certificate upon change of particulars. The final rules should explain when an amendment is enough and when a completely new registration is needed. Competent Authority and Penalty The special approval authority is not named. The ₹5,000 penalty provision also does not explain how it applies to multiple or ongoing breaches. How Can Corpseed Help? Corpseed can support businesses preparing for the proposed framework through: Applicability assessment for shops and commercial establishments Review of existing registration certificates Assessment of possible deemed-registration status Shops and Establishments registration services Online application and document-filing support Assistance with changes in registration particulars Closure-intimation support Labour law compliance services and compliance-gap review Monitoring of the final Gazette and implementing rules Final forms and fees will depend on the rules as notified. Support can help businesses prepare accurate records. Corpseed's Core Message The firms operating in Dadra and Nagar Haveli and Daman and Diu should see the proposed document for 2026 as significant, but not yet law. What needs to be done is to review the current registration to identify any deficiencies, maintain accurate business and employee records, and track the latest Gazette. Corpseed helps employers interpret regulations, make online submissions, and register under the Shops and Establishments Act. Firms that the regulation may cover can obtain assistance with the document at hand. Key Takeaways The DNH and DD Shops and Establishments Amendment 2026 is a draft that has been published for stakeholder comments. It proposes to apply the Act to all shops and establishments in the Union Territory. Registration certificates would normally be generated through an online portal. Some OSH Code, municipal and panchayat registrations may receive deemed status. Registration would generally be required within sixty days under the proposed rule. Business closure must be reported within 30 days. Shops and establishments could remain open 24x7, but workers would remain protected by the Act. The government could restrict opening hours for safety, health, traffic, nuisance or law-and-order reasons. Businesses should wait for and review the final Gazette before treating the proposal as enforceable law.