Explained | Key provisions of the Post Office Bill

The Rajya Sabha passed the Post Office Bill, 2023 that seeks to replace the 125-year-old colonial-era Indian Post Office Act, 1898. 

The Post Office Bill, 2023 seeks to consolidate and amend the law relating to post offices in the country.

The Bill was introduced in Rajya Sabha in August during the Monsoon Session of Parliament.

It was passed through a voice vote on December 4.

What is the purpose of the new Bill?

• The Indian Post Office Act, 1898 was enacted 125 years ago with a view to govern the functioning of post offices in India. This Act primarily addresses mail services provided through the post office. 

• Over the years, services available through the post offices have diversified beyond mails. The post office network has become a vehicle for delivery of a variety of citizen centric services.

• Post offices are practically functioning like banking services and there are 26 crore accounts with Rs 17 lakh crore deposited in post office savings services.

• About 3 crore accounts have been opened under the Sukanya Samriddhi Yojana with Rs 1.41 lakh crore deposited in them.

• As many as 3.5 crore people are beneficiaries of the direct benefits transfer scheme courtesy of the post office network.

• As many as 1.6 lakh post offices have been connected with core banking and digital banking facilities and 434 post offices have processed more than 1.25 crore passport applications and 13,500 Post Office Aadhaar Seva Kendras have been opened.

• The Post Office Bill, 2023 addresses these changes and provides for a simple legislative framework to facilitate evolution of the post office into a network for delivery of citizen centric services.

Key provisions of the Bill:

i) The post office shall provide such services as the central government may by rules prescribe.

ii) The Director General of Postal Services shall make regulations in respect of activities necessary to provide those services and fix the charges for such services.

iii) The post office shall have the exclusive privilege of issuing postage stamps.

iv) The central government shall have power to give effect to the arrangements made with any foreign country or territory.

v) Every person shall be liable to pay charges for availing any service provided by the post office, and if such person refuses or neglects to pay any charge due to him it shall be recoverable as land revenue.

vi) The central government may prescribe the conditions for denoting the official mark on postal item to be used as prima facie evidence of the fact so denoted.

vii) The central government may, by notification, empower any officer to intercept, open or detain any item in the interest of the security of the State, friendly relations with foreign states, public order, emergency, or public safety or upon the occurrence of any contravention of any of the provisions of any law for the time being in force.

viii) The post office and officers of the post office shall be exempted from any liability by reason of any loss, mis-delivery, delay, or damage in course of any service provided by the post office except such liability as may be prescribed.

Concerns on interception provision

• One clause of the Bill drew significant opposition from some MPs for threatening people’s privacy by allowing a government-appointed officer to intercept, open or detain any item for national security and allied reasons.

• According to the proposed legislation, the central government may, by notification, empower any officer to intercept, open or detain any item in the interest of the security of the State, friendly relations with foreign states, public order, emergency or public safety, or upon the occurrence of any contravention of any of the provisions of any law for the time being in force.

• Replying to a discussion on the Bill in the Upper House, Union Minister Ashwini Vaishnaw stressed the provision for interception is needed for national security reasons.

• In a society which is as complex and diverse, and times which are as difficult as they are, it is very important that interception is done. This kind of a provision is kept for national security, he said.

• The minister said the proposed legislation entails provisions towards the expansion of India’s postal services network.