Telecom regulatory body wants companies to report serious AI failures to the regulator
TRAI had in 2023 recommended an independent AI regulator, but the government has not acted on it.
The Telecom Regulatory Authority of India (TRAI) has introduced draft guidelines that would require telecom companies to report serious AI failures to the regulator. Companies with licenses under the Telegraph Act, 1885, or approvals under the Telecommunications Act, 2023, are included in this proposal. These include AI systems they either use or plan to use in their networks and services.
TRAI recommends that critical and high-severity incidents, such as major malfunctions and repeated failures, should be reported to the regulator. This information could be used for advisories, risk assessments, and other lawful regulatory purposes. Companies would need to have board approval for an internal AI policy, file it within seven working days, and review it annually.
The policy should outline how AI systems are rated, who approves their use, how incidents are graded, human oversight measures, data handling, and complaint resolution processes. An AI Governance and Safety Committee would also be required, composed of members from network, IT, regulatory, and consumer affairs teams. Suppliers' details of AI components and audit and accountability clauses in supplier contracts must be obtained.
As India lacks specific AI legislation, TRAI's draft guidelines come in response to the Ministry of Electronics and Information Technology's expected consultation paper on AI regulation by the first week of November.
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