India needs a Comprehensive AI Policy

Context: As of 2024, over 85 countries, including China, Canada, South Korea, European Union, African Union etc. have released National AI strategy documents for regulation of Artificial Intelligence. However India adopts a flexible – mission mode approach lacking a Comprehensive AI policy to address emerging challenges associated with AI.

India’s Current Approach to AI Governance

1. Background

  • AI’s rapid advancement brings ethical, legal, economic, and societal challenges, making AI governance a global priority.

  • India has chosen a mission-driven and flexible approach, rather than a legislative or rigidly strategic one.


2. Current Status

a. Absence of a National Strategy

  • No officially approved National AI Strategy or legislation specific to AI exists.

  • The NITI Aayog’s 2018 document titled “National Strategy for Artificial Intelligence” remains non-binding:

    • It lacks formal endorsement, an implementation plan, or dedicated budget.

b. Mission-Based Framework

  • India is currently pursuing the IndiaAI Mission which emphasizes:

    • Innovation and foundational models

    • Skill development

    • Trustworthy and safe AI ecosystems

  • Multiple initiatives are underway, but operate under a broader, non-legislative umbrella.

c. Expert Advisory Committee

  • A panel of experts is tasked with drafting governance recommendations.

  • However, there’s uncertainty over whether these will lead to official frameworks or remain as internal advisory mechanisms.


3. Analysis of India’s Approach

a. Strengths

  • Flexibility: India’s approach is adaptable to:

    • Rapid technological changes

    • Global shifts in AI governance

    • Evolving trade and geopolitical interests

    • Public sentiment and emerging risks

b. Gaps and Limitations

  • Lack of a Unified Vision:

    • No comprehensive articulation of India’s AI priorities, goals, or accountability mechanisms.

  • No Institutional Continuity:

    • AI efforts lack a constitutional or statutory mandate, making them ad hoc and potentially unsustainable.

  • Opaque Deployment in Key Sectors:

    • Sectors like healthcare, education, finance, and governance are adopting AI without adequate public transparency or impact assessments.

  • Societal Risks Unaddressed:

    • No mechanisms for civic dialogue or public oversight on:

      • Algorithmic bias

      • Data sourcing

      • Workforce displacement

  • Real-World Implications:

    • AI-generated misinformation has already led to real-life violence in India.

    • This highlights the urgent need for ethical safeguards and regulatory accountability.

What Can Be India’s Approach to AI Governance?

1. Global Models of AI and Data Governance

a. Centralised, Cross-Sectoral Model

  • Examples: EU’s GDPR, China’s PIPL.

  • Features:

    • Uniform regulations across all sectors.

    • Central oversight authority.

    • Emphasis on user rights, transparency, and data protection.

  • Relevance to India:

    • India’s Digital Personal Data Protection (DPDP) Act, 2023 mirrors this model.

    • DPDP could serve as a foundational framework for future AI-specific regulations.

b. Decentralised, Sector-Specific Model

  • Example: United States.

  • Features:

    • Regulations vary by industry (e.g., healthcare, finance).

    • Encourages innovation through less regulatory burden.

    • Involves multiple agencies with domain-specific expertise.

  • Applicability in India:

    • Could be useful for sectors with diverse AI maturity levels, but may lead to regulatory fragmentation.

c. Technology-Specific Legislation

  • Example: China’s approach to Generative AI and Deep Synthesis.

  • Features:

    • Laws targeted at specific AI technologies.

    • Controls on content generation, algorithm transparency, and platform accountability.

  • Learning for India:

    • Helps proactively address emerging risks, especially in areas like misinformation and deepfakes.


2. A Hybrid Framework: The Indian Way Forward

India could develop a hybrid model, balancing innovation with regulation, and tailored to its unique socio-economic context.

a. Build on DPDP Act, 2023

  • Use it as a central regulatory spine.

  • Ensure data privacy, consent, and accountability are extended to AI systems.

b. Sector-Specific Guidelines

  • Introduce domain-focused rules in sensitive sectors like:

    • Healthcare: Medical AI transparency and liability.

    • Finance: Algorithmic audits for risk and bias.

    • Governance: Ethical use in public services and surveillance.

c. Technology-Specific Rules

  • Create targeted rules for Generative AI, facial recognition, autonomous systems, etc.

  • Set norms for:

    • Content authenticity

    • Bias detection

    • Responsible development and deployment

d. Institutional and Ethical Oversight

  • Establish an AI Ethics and Oversight Authority to:

    • Monitor AI use cases.

    • Promote transparency and algorithmic audits.

    • Enable public consultation and civic engagement.

e. Promote Innovation and Indigenous Development

  • Create regulatory sandboxes to test new AI solutions.

  • Incentivise homegrown AI research and open models like those under the IndiaAI Mission.

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