DoT issues Guidelines on Captive non-public Network (CNPN) Licence

Jun 28, 2022 | by TeamLease RegTech Legal Research Team

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Industry Specific ComplianceThe Department of Telecommunications (DoT) on June 27, 2022 has issued the guidelines on Captive non-public Network (CNPN) Licence which was recommended by TRAI.

• Enterprises setting up CNPNs: To enable enterprises to establish CNPN, Government shall issue License under Section 4 of the Indian Telegraph Act, 1885. The broad guidelines for grant of CNPN license are detailed below.

(1) Eligibility:

(a) An applicant must be an Indian company registered under the Companies Act, 2013.

(b) The applicant shall be the occupant of the geographical area(s)/ property(ies) (either owned or leased) on which such Captive Non-Public Network(s) will be established.

(c) For seeking direct assignment of spectrum from the Government, the net worth of the applicant shall not be less than Rs 100 Cr.

(2) Scope of the License:

(a) CNPN Licensee may establish indoor/ within premise isolated Captive Non Public Network(s) for own use within the area of operations of license.

(b) CNPN licensee having operations at more than one location will require only one CNPN license. As and when the CNPN licensee decides to establish a new CNPN at another location, geo-coordinates of such location shall be updated on Saral Sanchar Portal before applying for spectrum.

• General conditions:

(a) The applicant shall submit the application for grant of CNPN license at online portal www.saralsanchar.gov.in. Specimen application form is at Annexure-I.

(b) The License shall be valid for 10 years. The Licensee may apply for renewal of the License, which shall be processed as per extant policy.

(c) A unique license number shall be issued to each CNPN licensee, which shall be used by CNPN licensee to apply for spectrum.

(d) CNPN licensee shall deploy network elements as per TEC standards, wherever mandatory, or as per relevant standards set by International Standardization bodies.

(e) CNPN licensee shall not connect its network to public networks in any manner. The public networks include but are not limited to PSTN, PLMN, GMPCS and Internet.

(f) All the network elements of CNPN, including core network, shall be established within the area of operation of the license.

(g) Licensee can connect its CNPNs established at multiple locations through leased lines obtained from the licensed TSPS.

(h) CNPN licensee shall follow the extant guidelines on FDI policy issued by the Government from time to time.

(i) If at any time, any averments made or information furnished for obtaining the license is found incorrect, the application and the license, if granted thereto on the basis of such application, may invite penalties and/or cancellation as may be deemed fit by the licensor.

• Fees:

(a) CNPN Licensee shall not be required to pay any Entry Fee and License Fee.

(b) Applicant will have to pay one-time non-refundable application processing fee of Rs. 50,000.

• Security conditions:

(a) CNPN licensee shall follow relevant network security conditions and instructions regarding the procurement of telecom equipment from trusted sources as issued by the Government from time to time.

(b) The licensor shall have a right to inspect CNPN, lawfully intercept, and ascertain its bonafide use.

*Disclaimer – Kindly find the detailed guidelines and Annexure 1 in the provided document.

[Notification No. 20-1333/2022/AS-I]


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