TRAI introduces financial penalties for telecom firms over complaint handling delays

Telecom companies could face financial disincentives for mishandling consumer complaints and delaying performance reports under new rules issued by the Telecom Regulatory Authority of India (TRAI).

The Telecom Consumers Complaint Redressal (Fourth Amendment) Regulations, 2026, aim to improve grievance redressal through faster resolution, round-the-clock customer support and greater accountability.

Under the amended rules, complaint centres must operate 24 hours a day, seven days a week, replacing the existing 16-hour arrangement. Human assistance must be available for at least 16 hours daily, while AI agents and automated systems can be used under human supervision.

Consumers can now register complaints, file appeals and raise service requests through their telecom provider's mobile application, alongside existing channels such as websites and complaint centres.

The deadline for appealing against complaint disposal has been reduced from 30 days to 15 days. Appellate authorities must also communicate their decisions within 15 days of receiving an appeal.

Service providers must establish dedicated desks or helplines for persons with disabilities and ensure their digital platforms meet government accessibility guidelines.

To improve accountability, companies must conduct customer satisfaction surveys after resolving complaints and appeals. Results must be published quarterly on their websites. Grievance redressal reports and customer feedback must also be submitted to the company's CEO or board.

TRAI has established a Consumer Grievance Redressal Oversight Committee to review complaint-handling systems. The regulator can conduct audits and inspections and examine performance reports.

Financial disincentives may be imposed for violations of complaint redressal rules and delays or failures in submitting quarterly performance reports.

The amended regulations also cover internet service providers with more than 10,000 subscribers, removing the earlier alternative eligibility criterion based on annual turnover exceeding Rs 5 crore.