New Delhi: The Telecom Regulatory Authority of India (TRAI) has significantly strengthened the framework for resolving mobile customers’ complaints, making it more expensive for telecom companies to dismiss grievances incorrectly or handle them poorly.
Through the Telecom Consumers Protection (Fourth Amendment) Regulations, 2026 — the first major revision in nearly a decade — TRAI has introduced stricter penalties and clearer timelines to make the grievance redressal system more effective and consumer-centric.
Under the amended rules, service providers can be fined up to ₹20 lakh per service area every quarter for deficiencies in handling complaints and appeals. Specifically, a penalty of ₹1,000 will be imposed for each complaint wrongly dismissed, and ₹5,000 for each appeal handled improperly. TRAI had earlier proposed a higher maximum of ₹50 lakh in May, which has now been scaled down to ₹20 lakh.
Telecom operators will also be required to submit quarterly performance reports detailing the number of complaints received and their resolution status. Failure to file these reports will attract a fine of ₹5,000 per day for the first 15 days and ₹20,000 per day thereafter, capped at ₹10 lakh per circle in each case.
Interest will be charged on unpaid penalties at a rate of MCLR plus 2 per cent if the amount is not paid within 21 days.
Why the Rules Were Tightened
TRAI noted that the number of consumer complaints has been rising steadily, while the manner of lodging them has changed. Customers increasingly use mobile apps, chatbots and email instead of traditional phone calls or Interactive Voice Response Systems (IVRS).
In FY 2025-26, a total of 73,599 complaints were registered, significantly higher than 55,978 in FY 2024-25 and 44,733 in FY 2023-24. The original grievance redressal framework was introduced in 2012 and had been amended twice earlier.
Key Operational Changes
Every consumer complaint centre must now remain operational 24 hours a day. This can be achieved through human representatives, automated systems, AI agents, or a combination of these. However, human agents must be available for at least 16 hours every day. Consumers must be clearly informed whenever they are interacting with an AI agent.
Other important changes include:
- Periodic online or manual regulatory review and audit of service providers.
- Removal of the Advisory Committee level, which TRAI said was delaying the appeal process.
- Complaint-related data must now be retained for six months (earlier three months). Records of action taken and disposal of complaints or appeals must be preserved for one year for audit and review purposes.
- Consumers who are not satisfied with the response can now file an appeal with the Appellate Authority within 15 days (reduced from 30 days). The Appellate Authority must dispose of the appeal within 15 days.
- The head of the Appellate Authority, appointed by the service provider, must be a senior officer with at least five years of experience. This officer will be required to submit quarterly reports on complaints and appeals to the company’s Board or Chief Executive Officer to enhance accountability.
TRAI said the revised regulations aim to make the consumer grievance redressal mechanism more responsive, transparent and customer-focused while ensuring telecom companies handle complaints with greater diligence.
