On October 16, 2025, the Telecom Regulatory Authority of India (TRAI) introduced two major draft amendments aimed at improving regulatory compliance and transparency in the telecommunications sector. The proposed modifications pertain to:
- The Telecommunication Tariff (Seventy-Second Amendment) Order, 2025
- The Reporting System on Accounting Separation (Amendment) Regulations, 2025
These amendments seek to revise existing provisions regarding financial disincentives outlined in the Telecommunication Tariff Order, 1999, and the Reporting System on Accounting Separation Regulations, 2016.
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Key Proposals in the Draft Amendments
TRAI proposes instigating financial disincentives in a graded manner. This approach is aimed to ensure that telecom service providers constantly comply with regulatory provisions, promoting steady compliance across the industry.
The amendments also suggest revising the amounts related with financial disincentives. A ceiling on the total financial disincentive amount is proposed to maintain fairness and avoid excessive penalties, ensuring a balanced regulatory approach.
To promote timely compliance, the draft introduces provisions for imposing interest on delayed or non-payments of financial disincentives. This measure is designed to deter procrastination and ensure that penalties are settled quickly, promoting accountability within the telecom sector.
Stakeholder Engagement and Consultation Process
TRAI has made the draft amendments available on its official website for public review. Stakeholders, including telecom service providers, industry experts, and other interested parties, are invited to submit their written comments and suggestions by October 31, 2025. This open consultation process underscores TRAI's commitment to inclusive policymaking and transparency.
The proposed amendments by TRAI demonstrate a proactive step towards strengthening the regulatory framework governing India's telecommunications sector. By introducing graded financial disincentives, revising penalty amounts, and implementing interest on delayed payments, TRAI aims to boost compliance and promote a more transparent and accountable telecom environment. The ongoing consultation process reflects TRAI's dedication to engaging with stakeholders and refining policies that impact the industry and consumers alike.
This portion of the site is for informational purposes only. The content is not legal advice. The statements and opinions are the expression of author, not corpseed, and have not been evaluated by corpseed for accuracy, completeness, or changes in the law.
