TRAI Initiates Pilot Project for Digital Consent Management

The Telecom Regulatory Authority of India (TRAI) has identified a significant rise in spam complaints from consumers against businesses they previously engaged with. Many of these businesses assert that they have obtained consent from consumers to send commercial communications. However, the validity of such consent is often questionable, as it is frequently gathered through unverifiable methods. To combat this issue, TRAI is implementing new regulations aimed at enhancing the verification process for consumer consent in commercial communications.

Challenges in Consent Verification

TRAI’s investigation reveals that many businesses claim to have explicit consent from consumers to send commercial messages, despite the consumers’ Do Not Disturb (DND) preferences. The Telecom Commercial Communications Customer Preference Regulations (TCCCPR) of 2018 allow entities to communicate with consumers if they have obtained this consent. However, the methods used to collect consent are often problematic. Many consumers report that their mobile numbers were acquired through deceptive practices or unauthorized data-sharing, making it difficult to verify the authenticity of the consent provided. This situation has led to a growing number of complaints, highlighting the need for a more robust system to ensure consumer protection.

Innovative Regulatory Measures

In response to the rising spam issue, TRAI has introduced several innovative measures to protect consumers. One significant change allows consumers to file complaints against unregistered telemarketers (UTMs) without needing to register for DND first. Additionally, TRAI has initiated large-scale disconnections of telecom resources misused for spamming activities. Despite these efforts, the verification of offline consent remains a significant hurdle. TRAI recognizes that a more effective solution is necessary to ensure that consumers are not subjected to unwanted commercial communications.

Digital Consent Registration Framework

To tackle the consent verification challenge, TRAI has proposed a digital consent registration framework. This framework allows businesses to obtain consent digitally and register it in a secure, interoperable digital consent registry maintained by Telecom Service Providers (TSPs). This system aims to simplify the verification process when businesses engage in commercial communications with consumers. However, for this framework to be effective, it is crucial to onboard the entities that send these communications. TRAI is taking steps to ensure that this onboarding process is streamlined and efficient.

Pilot Project with Banking Sector

To initiate the national rollout of the digital consent registration framework, TRAI has launched a Pilot Project in collaboration with the Reserve Bank of India (RBI). This pilot involves select banks and aims to validate the operational, technical, and regulatory aspects of the enhanced Consent Registration Function (CRF). Given the sensitivity of banking transactions and the prevalence of financial fraud through spam calls, the banking sector has been prioritized for this initial phase. The pilot operates under a Regulatory Sandbox framework, which will help lay the groundwork for scaling the digital consent ecosystem across various sectors. TRAI remains dedicated to protecting consumer interests and fostering trust in legitimate commercial communications as it moves forward with these initiatives.

Observer Voice is the one stop site for National, International news, Sports, Editor’s Choice, Art/culture contents, Quotes and much more. We also cover historical contents. Historical contents includes World History, Indian History, and what happened today. The website also covers Entertainment across the India and World.

Follow Us on Twitter, Instagram, Facebook, & LinkedIn