Notification/Circular No.: G.S.R. 905(E) dated October 21, 2026; G.S.R. 736(E) dated November 27, 2024
Applicable Act/Rule: Telecommunications Act, 2023 (No. 44 of 2023); Telecommunications (Regulatory Sandbox) Rules, 2026; Telecom Regulatory Authority of India Act, 1997 (No. 24 of 1997)
Applicable Section/Rule: Section 56(1) and clause (m) of sub-section (2) of Section 56 of the Telecommunications Act, 2023; provisions of the Telecommunications (Regulatory Sandbox) Rules, 2026 including Rules 1 to 6 (with a reference to Rule 12 for the portal)
Effective Period: From October 21, 2026
The Ministry of Communications (Department of Telecommunications) has issued the Telecommunications (Regulatory Sandbox) Rules, 2026 under Section 56(1) and clause (m) of sub-section (2) of Section 56 of the Telecommunications Act, 2023. The final rules follow the prior publication of draft rules in the Gazette via G.S.R. 736(E) dated November 27, 2024, and consideration of public comments.
The rules provide for creation of one or more regulatory sandboxes to facilitate innovation and technological development in telecommunications. The Central Government may, by order on the portal, establish a sandbox either suo motu after assessing necessity or on proposals submitted by applicants, including in response to requests for proposals. Eligible applicants include an authorized entity or company, society, partnership firm or other legal person duly incorporated, registered or formed under Indian law; an Indian citizen; or a research and development institution recognized by the Department of Science and Technology, Ministry of Science and Technology, Government of India. Proposals must be filed in the format and manner specified on the portal, supported by limited offline/laboratory test reports and any other test reports (including on a sponsored separate network, if any), any additional information sought by the Central Government, details of exemptions required for sandbox purposes under the Telecommunications Act and rules or the Telecom Regulatory Authority of India Act, 1997 and rules, and a non-refundable processing fee of ten thousand rupees. The Government may verify eligibility, call for information, and accept or reject proposals.
For each sandbox, the Central Government will specify on the portal the scope and objectives, the approved applicant(s) responsible for operation and management and their obligations, participant eligibility and obligations, and the telecom services, networks, equipment, processes, technologies, products or business models permitted for testing. It may also prescribe required risk analysis and mitigation, reporting expectations including test methodology and steps to ensure compliance with sandbox constraints and terms, the validity period, and an exit strategy. Exemptions from requirements under the Telecommunications Act and its rules or under the Telecom Regulatory Authority of India Act, 1997 and its rules may be specified for the sandbox validity period; however, any exemption from the applicability of provisions of the Telecom Regulatory Authority of India Act, 1997 will be specified only after prior consultation with the Telecom Regulatory Authority of India. A sandbox validity period shall not exceed twenty-four months, extendable once by up to twelve months if the Government considers it necessary, upon receiving an extension request from an approved applicant in the format and manner specified on the portal at least thirty days prior to the end of the validity period, with justification and objectives, or upon continuity under Rule 8.
Approved applicants must comply with the sandbox constraints and terms and ensure compliance by participants. They must establish mechanisms for onboarding participants based on the eligibility criteria; ensure participant adherence to sandbox terms; specify record-keeping of test parameters, control limits, test locations and outcomes; and monitor and evaluate tests within those parameters. When enrolling test users for testing of telecom services, networks, equipment, processes, technologies, products or business models, the approved applicant must ensure compliance with data protection and safety laws and other applicable laws, inform test users of the purpose and scope of testing, obtain prior consent, and ensure that no fee is charged to test users for their participation. Approved applicants must also provide the Central Government with information on sandbox participants and their exit from the sandbox.
Link: https://egazette.gov.in/WriteReadData/2026/277323.pdf
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