CCI, MeitY to work together on competition and data protection issues

There will be a consultative approach to matters that fall within the domain of both the Digital Personal Data Protection (DPDP) Act, 2023, and the Competition Act, 2002.

 

This was decided on Thursday in a high-level meeting of representatives of the Competition Commission of India (CCI) and the Ministry of Electronics and Information Technology (Meity). 

 

The CCI said the idea behind this approach was to ensure harmony between data governance and competition principles in the light of  technological trends. 

 

The Standing Committee on Finance (of Parliament) had suggested in its report on the evolving role of the CCI in the digital landscape that the antitrust watchdog and the Ministry of Consumer Affairs should prioritise enhancing inter-regulatory harmony.

 

“This involves proactively collaborating with other sectoral regulators, such as the Data Protection Authority and Meity, to identify and address jurisdictional overlaps,” the parliamentary panel had said in its report tabled in the Lok Sabha on August 11.

 

The meeting on Thursday was attended by CCI Chairperson Ravneet Kaur and other members of the body, on one side, and Meity Secretary S Krishnan, on the other, to discuss the DPDP Act, and other matters such as the interface with the competition law.

 

The officials talked about the growth of the digital sector and the emerging challenges around data protection, competition, and consumer welfare. 

 

“The Chairperson (of the ) CCI reaffirmed CCI’s readiness to work closely with MeitY on areas of mutual interest, noting that constructive dialogue and regulatory coordination will help in fostering trust, innovation, and resilience in India’s digital economy,” a press statement issued by the CCI said. 

 

The DPDP Act was passed by Parliament in August 2023. Its purpose is to provide a framework to protect the digital rights and privacy of citizens while placing the onus of data protection of users on intermediaries. The administrative rules under the Act are, however, yet to be notified.

 

“In digital economies, data serves as the foundational resource driving innovation, efficiency, and value creation across sectors. However, the centrality of data also gives rise to competition and privacy concerns,” the CCI said. 

 

Ministry of Corporate Affairs Secretary Dipti Gaur Mukherjee had earlier told the Standing Committee on Finance that with multiple regulations and Acts -- with different ministries looking at them -- there could be overlaps, which needed to be ironed out. 

 

“We have foreign direct investment, consumer affairs, the DPDP Act and its set of rules, then we have, maybe the Securities and Exchange Board of India, also at certain places and then, we come into the picture in the competition thing,” Mukherjee had said in an oral response to the panel. 

 

The Standing Committee on Finance had recommended that effective coordination between the CCI and these other regulatory bodies was crucial in ensuring a comprehensive and coherent approach, avoiding regulatory chaos and meeting both competition and sectoral objectives.

 

The panel had also said that the CCI should holistically integrate consumer welfare into its enforcement, focusing on non-price parameters like data privacy and the quality of service, and should collaborate with the Data Protection Authority to address the interconnected implications of data usage on both competition and consumer protection.