IAMAI terms draft data protection bill as industry-friendly; seeks clarity on implementation timelines

“On behalf of its members, the association has requested the government to provide clarifications regarding the DPDP so that once it is passed into an Act, there is better compliance by IAMAI members,” the association said in a statement.

In particular, it said, there are ambiguities over the timelines for implementing the various provisions of the Bill and mechanisms for obtaining verifiable parental consent to process the personal data of children.

“As the inclusion of specific timelines will provide a roadmap for the industry to better comply with the Bill, IAMAI has requested the government to clearly indicate reasonable timelines by which the various provisions of the DPDP will be implemented and to adopt a graded approach to prescribing such timelines,” IAMAI said.

The association has also urged the government to consider a flexible approach to obtaining parental consent, as prescriptive mandates “may have an adverse cascading impact on sectors that provide services to younger individuals”.

“IAMAI is confident that through consultation and collaboration, the final version of the law will help stakeholders who are invested in and committed to the digital ecosystem of India,” it said.

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IAMAI lauded the Digital Personal Data Protection Bill (DPDP), describing it as industry-friendly.
According to the association, the provisions mooted have struck the right balance between protecting the interests of the data principals while leaving enough room for tech startups to innovate and grow.

As per the feedback received from the majority of IAMAI members, the reconceptualisation of the data protection framework in the DPDP to balance innovation and economic growth with the interests of users will go a long way to assuage concerns of digital businesses and help make India a trillion-dollar digital economy by 2025.

IAMAI also applauded the more liberalised framework for cross-border data flows and the exclusion of non-personal data from the ambit of the DPDP Bill.

Further, it appreciated that the draft Bill imposed only financial penalties for non-compliance as opposed to both financial and criminal penalties.

“By following a deep and wide process of consultation, including that of a joint parliamentary committee, excluding non-essential provisions, by making a clear commitment that no Rules exceeding the provisions of the Act would be made, and yet protecting the interests of the state, citizens and the digital economy, this Bill has possibly set up new standards of law-making,” IAMAI president Subho Ray said.