Data Protection Laws in India - New Changes Being Proposed in 2021

Data Protection Laws in India

PDP Bill or Personal Data Protection Bills

The bill was introduced in 2019 to bring about necessary additions and amendments to the Information Technology Act, 2000. There are many changes proposed, from heft penalties in case of non-compliance to broadening individual rights, the presence of a central data protection regulator, and bringing in non-Indian organizations within the gamut of non-compliance. The Joint Parliamentary Committee (JPC) has been given the responsibility to review the recommendations. It is likely to be discussed during the budget session of the Parliament in 2021.

Non-Personal Data or NPD

An NPD Committee was formed by the Ministry of Electronics and Information Technology for NPD governance. A separate framework for NPD governance has been recommended. In January 2021, a revised report released by the Committee and explained the varied NPD types threw light on the private and public rights and mentions data sharing mechanisms. 

The Fintech industry

The NITI Aayog in 2020 drafted a framework on the Data Empowerment and Protection Architecture (DEPA). It was done in consultation with industry players, including banks, fintech companies, and regulators. The concept was based on consent-based data sharing to empower individuals to have full control of their data. The financial sector and the NITI Aayog also plan to extend the framework to other sectors, including telecom and health being the foremost sectors.

Health data

The central government and the Ministry of Health and Family Welfare announced the National Digital Health Mission or NDHM announced in late 2019 about introducing the National Digital Health Ecosystem that talks of the country's interoperability of health systems. Following this, the Indian government announced a Health Data Management Policy in Dec 2020.

E-commerce Policy

A new e-commerce policy is being drafted. There is a proposal of a regulator being bought into the picture to control the entities and platforms. The draft covers different aspects like algorithms, sharing source codes, anti-piracy, cross-border data flow, etc. If reports are to be believed, the government is in the final stages of finalizing the draft for India's new e-commerce policy.


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