Centre considers allowing private sector to apply for TRAI chairperson position

The upcoming Telecommunications Bill may bring about changes to the TRAI Act, 1997, which could allow for senior corporate executives to the take the role of chairperson of the Telecom Regulatory Authority of India (TRAI).

The Centre is planning a modification to the TRAI Act, 1997, which would establish certain criteria to permit senior corporate executives to take on the role of the chairperson of the Telecom Regulatory Authority of India (TRAI).

The move as part of the Centre's efforts to make important regulatory positions accessible to the private sector as reported by The Indian Express.

It has been suggested that the criteria for the post may include individuals from the private sector who have held board positions or been the chief executive officer with at least 30 years of professional experience.

“There is a proposal that a person who has never worked in the government can be appointed as the chairperson of TRAI if they have at least 30 years of professional experience at a senior level, such as a board member or chief executive officer,” an official told IE, requesting anonymity since the talks are currently private.

According to the government official, no appointments have been made from the private sector for the post yet. This is because the basic eligibility criteria has not been established yet.

“Besides, the changes being mulled also signal that TRAI has evolved as a regulator over the years and could now do well under a person from the private sector,” said sources.

As per the existing regulations, it is mandatory for a TRAI member to have served as Secretary or Additional Secretary to the Government of India, or in a similar capacity in the central or state government, for a minimum of three years. However, there are no specific guidelines laid out for the role of chairperson.

“While technically, the chairperson could have been appointed from the private sector, the government had so far stayed away from appointing such an individual due to obvious concerns of conflict of interest. But the changes being considered now signal the changing mindset of the Centre towards opening up key regulatory posts for individuals from the private sector,” said the official.

The idea comes following the government's recent move of appointing private sector individuals to lead important regulatory bodies. Just a few months ago, Madhabi Puri Buch became the first executive from the private sector to head the Securities and Exchange Board of India (SEBI) since its establishment over three decades ago.