Parliament panel calls for Digital Competition Bill, e-commerce code

The Standing Committee on Finance has urged the government to finalise the Digital Competition Bill and expand its scope to cover virtual assistants and cloud services. The recommendation was made in the committee's Thirty-Seventh Report presented to Parliament on August 10, 2026. The committee wants a shift from reactive to proactive, ex-ante regulation of digital markets, saying the current framework is less effective in the fast-paced digital economy.

The committee also called for an E-commerce Code of Conduct mandating platform neutrality, algorithmic transparency, and non-discriminatory data access for smaller businesses. It sought changes to the proposed Systemically Significant Digital Enterprise (SSDE) framework and more resources for the Competition Commission of India (CCI). The government has accepted seven of eight recommendations but the committee rejected its response on protecting MSMEs.

MediaNama reports that the committee wants the CCI to develop capabilities in big data, algorithmic design, and AI. As of March 2024, only 113 of 195 sanctioned CCI posts were filled. The government said it is conducting a market study on thresholds and core digital services to create a balanced framework. A restructuring proposal involving 55 additional posts for the Digital Markets Division is under consideration.