DPDP likely to offer consent framework instead of exact rules

Rules under the Digital Personal Data Protection (DPDP) Act may prescribe an umbrella framework for companies on consent management instead of issuing exact rules, sources in the know told ET. The rules may provide certain exemptions to schools, colleges, and universities on processing and obtaining parental consent, but edtech companies will not be out of the net.

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The executive rules under the Digital Personal Data Protection (DPDP) Act are likely to prescribe a set of larger umbrella guidelines and guiding frameworks for companies on consent management instead of issuing exact rules, according to people with knowledge of the matter. The rules are also likely to prescribe the use of a government-issued identity card-based age and consent management verification for now while leaving the scope for companies to develop their in-house age-verification systems, they said. “There will be broad prescriptions on the norms that institutions must follow while following parental consent guidelines, along with the different types of identity cards that can be used,” said one of the persons, who did not wish to be identified.

This is essential to ensure there is no business disruption for smaller entities while also ensuring that they follow the rules prescribed by the Act, according to the person. “The rules will need to be followed even by smaller organisations like schools and in some cases universities which deal with a lot of children’s data. These organisations may not always be willing to spend a lot to build a large infrastructure for consent management,” the person said.



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Gupta, Professor: Department of Finance and Business Economics, University of Delhi View Program Office Productivity Advanced Excel Course - Financial Calculations & Excel Made Easy By - Anirudh Saraf, Founder- Saraf A & Associates, Chartered Accountant View Program Marketing Performance Marketing for eCommerce Brands By - Zafer Mukeri, Founder- Inara Marketers View Program Finance A2Z Of Finance: Finance Beginner Course By - elearnmarkets, Financial Education by StockEdge View Program Finance A2Z Of Money By - elearnmarkets, Financial Education by StockEdge View Program Further, while the rules may provide certain exemptions to schools, colleges and universities on processing and obtaining parental consent for children’s data, they are unlikely to extend the benefits of the provision to ed-tech companies, said another person. Discover the stories of your interest Blockchain 5 Stories Cyber-safety 7 Stories Fintech 9 Stories E-comm 9 Stories ML 8 Stories Edtech 6 Stories The provisions of the DPDP Act , 2023 state that all users below the age of 18 will be considered children. Such users must obtain verifiable parental consent for using social media and a host of other services provided by internet intermediaries, as per the provisions.

In July, the electronics and information technology ministry held meetings with stakeholders including social media intermediaries and internet companies on how verifiable parental consent could be obtained. Some of the social media intermediaries and internet companies had sought clarifications from the government on whether they would be allowed to track children’s activity for advertisement purposes, people privy to the information had then told ET. Section 9 of the DPDP Act bars behavioural tracking of children on digital platforms and disallows targeted advertising for users below 18.

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