Introduction to the DPDP Rules, 2025
In January 2025, the Government of India released the Draft Digital Personal Data Protection Rules, 2025 under the broader framework of the Digital Personal Data Protection Act, 2023 (DPDP Act). These rules aim to provide clarity and structure to how personal data is collected, processed, stored, and deleted in India’s fast-growing digital ecosystem. They are crucial for enabling operational enforcement of the Act while ensuring individual privacy and institutional accountability.
Background and Evolution of India’s Data Protection Framework
From Justice B.N. Srikrishna Committee to DPDP Act 2023
The need for data protection gained prominence after the Supreme Court’s Puttaswamy judgment in 2017 that recognized privacy as a fundamental right. This led to the formation of the Justice B.N. Srikrishna Committee in 2018. Subsequent draft bills were discussed in 2018 and 2021 before the Digital Personal Data Protection Act, 2023 was finally passed.
Need for Draft Rules in 2025
While the DPDP Act laid the legal foundation, it required detailed operational rules for enforcement. The Draft Rules of 2025 fill that gap by defining standards for consent, breach reporting, data retention, user rights, and grievance redressal mechanisms.
What Are the Digital Personal Data Protection (DPDP) Rules?
Legal Basis – Section 40 of the DPDP Act, 2023
Section 40 of the DPDP Act empowers the government to notify rules to implement the law. The 2025 draft rules exercise this power and are intended to guide all stakeholders in implementing digital data privacy protections.
Nature and Scope of the Draft Rules
The draft rules apply to Data Fiduciaries, Data Principals, Consent Managers, and the Data Protection Board of India. They define rights, responsibilities, penalties, exemptions, and procedures essential for a privacy-first digital environment.
Key Definitions and Terms Explained
Data Fiduciary
An entity (individual, company, or government body) that determines the purpose and means of processing personal data.
Data Principal
The person whose personal data is being processed. Individuals have specific rights over their data including access, correction, and erasure.
Consent Manager
A registered intermediary that helps individuals give, manage, or withdraw their consent for data processing.
Significant Data Fiduciary (SDF)
A large or sensitive data processor such as social media giants or digital payment platforms, subject to additional compliance requirements.
Grievance Redressal Mechanism
All data handlers must have systems to resolve user complaints related to data misuse, non-consensual processing, or access denial.
Major Provisions of the Draft Rules 2025
Consent Framework and Withdrawal Mechanism
- Consent must be free, specific, informed, and unambiguous.
- Users must be able to withdraw consent easily at any time.
Notice Format and Language Requirements
- Notices must be in clear, simple language.
- They must be distinct from terms and conditions, and clearly list the data purpose, usage, and redressal process.
Rules for Data Processing by Government Entities
- Public interest exemptions are allowed for government use but must remain proportionate and necessary.
Cross-border Data Transfer Guidelines
- Transfers are allowed to trusted countries approved by the government.
- A designated committee will help determine categories that require localization.
Data Retention and Erasure (with Obligations for Big Platforms)
Under the Draft Digital Personal Data Protection Rules, 2025, all Data Fiduciaries, including Significant Data Fiduciaries (SDFs)—such as large tech platforms, social media companies, and digital service providers—must adhere to strict guidelines on how long they retain personal data and when it must be deleted.
General Obligations
- Personal data must be retained only as long as necessary for its intended purpose.
- If the user remains inactive for three years, data must be deleted unless legally required to retain it.
- Individuals must be notified at least 48 hours before deletion, with options to download or transfer their data.
- Automated systems must be used to track and remove redundant or obsolete data.
Obligations for Significant Data Fiduciaries
- Maintain detailed audit trails of deletion processes.
- Conduct Data Protection Impact Assessments (DPIAs) for extended data retention.
- Ensure deletion systems are transparent, accountable, and secure.
These measures uphold the principles of data minimization, user control, and privacy by design.
Data Breach Notification
In case of a breach, affected users and the Data Protection Board must be notified. The breach report must include the type of data affected, extent of damage, and preventive steps taken.
Processing Children’s Data
Consent must be collected from parents or guardians for children below 18. Platforms are prohibited from profiling or tracking children’s behavior for advertising or analytics.
Role and Powers of the Data Protection Board (DPB)
Composition and Functioning
The Board consists of legal and technology experts appointed by the government to adjudicate data-related complaints and monitor compliance.
Complaint Handling and Penalties
The Board can conduct inquiries, issue warnings, impose penalties, suspend non-compliant entities, and resolve disputes between users and data fiduciaries.
Compliance Requirements for Data Fiduciaries
Grievance Resolution Timelines
Fiduciaries must acknowledge and resolve grievances within a reasonable timeframe.
Consent Manager Registration
Consent Managers must be registered Indian companies with a certain financial threshold and must provide an easy interface for users to manage their data rights.
Accessibility and User Interface Standards
Interfaces must be accessible, inclusive, and non-technical, supporting regional languages and user-friendly navigation.
Rights of Individuals Under the Draft Rules
Right to Access
Users can request details of data being held, shared, and the purpose of processing.
Right to Correction and Erasure
Inaccurate or outdated data must be corrected, and irrelevant data must be erased upon request.
Right to Grievance Redressal
Individuals can escalate issues to the Data Protection Board if their grievances are not resolved satisfactorily by the fiduciary.
Impact on Tech Companies and Startups
Operational and Legal Challenges
Compliance will require robust systems for consent management, data audits, and breach reporting, especially for larger platforms.
Opportunities for Digital Governance and Trust
Stronger privacy infrastructure may enhance user trust, boost innovation in privacy tech, and create new avenues for startups.
International Comparison and Best Practices
EU’s GDPR vs India’s DPDP Rules
- Both laws emphasize consent and privacy.
- GDPR is broader, covering all types of personal data; DPDP is focused on digital personal data.
- India’s rules offer a more localized, business-friendly approach.
Data Localization and Cross-Border Norms
India plans a hybrid model through a government committee, allowing selected cross-border transfers while safeguarding sensitive sectors.
Criticisms and Challenges of the 2025 Draft Rules
Ambiguity in Key Provisions
Definitions and timelines in some clauses remain unclear, which may complicate enforcement.
Concerns Around Surveillance and Exemptions
Government entities are given wide-ranging exemptions, which some experts fear may weaken the effectiveness of the privacy regime.
Relevance for UPSC/JKAS Exams
GS Paper 2: Governance, Rights, and Legal Frameworks
Topics like digital governance, fundamental rights, and institutional roles are directly connected.
GS Paper 3: Cybersecurity and IT Laws
Covers cyber laws, data protection, digital infrastructure, and emerging tech policy.
Potential Prelims and Mains Questions
- Define Data Fiduciary and Consent Manager.
- Compare India’s DPDP Rules with EU’s GDPR.
- Discuss the implications of data localization and privacy trade-offs.
- Analyze the constitutional position of data privacy in India.
Summary and Key Takeaways
- The Draft DPDP Rules, 2025 aim to protect digital personal data by enforcing the DPDP Act, 2023.
- They emphasize explicit consent, user rights, secure cross-border transfers, and robust grievance mechanisms.
- Large digital platforms face stricter obligations, especially regarding data retention, breach management, and impact assessments.
- For UPSC/JKAS aspirants, these rules provide a real-world case study in governance, cybersecurity, and regulatory law.
Frequently Asked Questions (FAQs)
Q1. What is the DPDP Act, 2023?
It is India’s first digital data privacy law regulating how personal data is processed by public and private entities.
Q2. Why were draft rules released in 2025?
To provide operational clarity and enforceability to the DPDP Act by detailing rights, procedures, and compliance obligations.
Q3. What is the role of the Data Protection Board?
It adjudicates disputes, enforces compliance, penalizes violations, and supervises Consent Managers and Fiduciaries.
Q4. How do the rules affect tech startups?
They increase compliance responsibility but also open up business opportunities in privacy-focused services.
Q5. What are important terms to remember for exams?
Data Fiduciary, Data Principal, Consent Manager, Data Protection Board, Significant Data Fiduciary, Data Breach, Consent Notice.
Q6. Is this law similar to GDPR?
It shares core principles with GDPR but is more flexible, India-specific, and focused on digital data alone.