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India's Telecom Reform - Indian Institute of Public Administration

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2<br />

Key Regulatory y Issues<br />

Convergence<br />

The NTP-99 also spoke <strong>of</strong> the convergence <strong>of</strong> communications<br />

technologies and the need to have a policy that<br />

could exploit it advantageously.<br />

On August 11, 2000, the government received the draft<br />

report <strong>of</strong> Sub-Group on Convergence. The group proposed<br />

a Convergence Law and suggested a common regulatory<br />

body for India for content and carriage, i.e., broadcasting<br />

and telecommunications. The report received a<br />

mixed response from sector players and experts. This was<br />

in part, because it did not, as it was perhaps not mandated<br />

to do so, deal with the large number <strong>of</strong> extremely contentious<br />

licensing issues that would result during the move to<br />

a converged policy environment in which carriage and<br />

content would be treated in an integrated manner.<br />

It was surprising to notice the relatively low pr<strong>of</strong>ile manner<br />

in which the Information Technology Act 2000 was<br />

passed. The Act gave legal sanctity to electronic transactions.<br />

It also created the <strong>of</strong>fice <strong>of</strong> Controller <strong>of</strong> Certification<br />

Authority (CCA) to regulate Certifying Authorities (CA)<br />

who would assign digital signatures and other instruments<br />

<strong>of</strong> authentication. The retiring Director <strong>of</strong> DoT’s Centre<br />

for Development <strong>of</strong> Telematics (C-DoT) was appointed<br />

as the first CCA.<br />

The Cabinet approved the Communications Convergence<br />

Bill 2001 drafted by the committee. It also approved the<br />

repeal <strong>of</strong> The <strong>Indian</strong> Telegraph Act 1885, The <strong>Indian</strong> Wire-<br />

less Telegraphy Act 1933, Telegraph Wire Unlawful Possession<br />

Act 1950, The Cable Television Networks (Regulation)<br />

Act 1995 and the <strong>Telecom</strong> Regulatory Authority <strong>of</strong><br />

India Act 1997. The Bill, ambitious in intent, was unprecedented<br />

in leaving no role for the government in licensing.<br />

However, experts criticised it for being too general and<br />

not dealing with transition arrangements as also with issues<br />

relating to economic regulation. (The Bill was introduced<br />

in Parliament and was also reviewed by a Parliamentary<br />

Committee, but lapsed with the dissolution <strong>of</strong> the 13 th<br />

Lok Sabha before it could be made into law).<br />

Related, indirectly at least, to the same issue <strong>of</strong> convergence,<br />

the government announced the merger <strong>of</strong> the Ministry<br />

<strong>of</strong> Information Technology (MoIT) and Ministry <strong>of</strong><br />

Communications (MoC) on December 22, 2001. The new<br />

entity is now called the Ministry <strong>of</strong> Communications and<br />

Information Technology (MoCIT). The merger, much<br />

discussed and debated, brought together MoC and MoIT.<br />

However, the Ministry <strong>of</strong> Information and Broadcasting<br />

was left out <strong>of</strong> this attempt at dealing with the convergence<br />

<strong>of</strong> communications technologies.<br />

Licensing and Regulation Post<br />

NTP-99<br />

Within months <strong>of</strong> the new team <strong>of</strong> members <strong>of</strong> TRAI<br />

taking <strong>of</strong>fice, a series <strong>of</strong> decisions were taken, many <strong>of</strong><br />

which seem to reflect the message, explicit or implicit, about<br />

the events that led to the dissolution <strong>of</strong> the previous body<br />

7

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