Jan Vishwas Bill 2.0 – UPSC Notes (Prelims + Mains)

Why in the News?

The Jan Vishwas (Amendment of Provisions) Bill, 2025 was introduced in the Lok Sabha (August 2025).

• It aims to promote decriminalisation, rationalisation of laws, and trust-based governance.
• This is the second Jan Vishwas Bill; the first (2023) decriminalised 183 provisions across 42 Acts.
• The Bill has been referred to a Lok Sabha Select Committee for examination.

About the Jan Vishwas Bill 2.0

Introduced: August 2025, Lok Sabha

Coverage: 16 Central Acts across 10 ministries/departments
Scope: 355 provisions proposed for change

• 288 decriminalised (technical/procedural defaults)
• 67 rationalised (ease of living)

Acts covered:

• RBI Act (1934)
• Drugs & Cosmetics Act (1940)
• Motor Vehicles Act (1988)
• Electricity Act (2003)
• Legal Metrology Act (2009)
• MSME Development Act (2006)
• Apprentice Act (1961)
• Others

Key Features of Jan Vishwas Bill 2.0

1. Decriminalisation

• Removes imprisonment clauses for minor defaults.
• Replaced with fines, warnings, or improvement notices.
• Example: Electricity Act → Jail terms removed; penalties range from ₹10,000 to ₹10 lakh.

2. First-time Offence Flexibility

• 76 offences: first-time violations get warning or improvement notice instead of criminal action.
• Covers offences like non-standard weights, minor Motor Vehicle Act violations.

3. Penalty Rationalisation

• Automatic 10% increase in penalties every 3 years for repeat offences.
• Removes need for frequent legislative changes.

4. Governance & Ease of Doing Business

• Builds on Jan Vishwas Act, 2023.
• Promotes entrepreneurial confidence and reduces harassment by over-criminalisation.

Why was the Bill Brought in?

1. Over-criminalisation in Laws

• India has 882 central laws; 370 contain criminal provisions for 7,305 offences (Vidhi Centre).
• Many offences are trivial/outdated (e.g., pet exercise rules).

2. Barriers to Business

• ORF Report (2022):

50% of 1,536 business laws carry jail terms.

• 37.8% of 69,233 compliances carry imprisonment clauses.
• Creates a fear-based business environment.

3. Judicial Pendency

• 3.6 crore criminal cases pending in district courts (Aug 2025).
• 2.3 crore cases older than 1 year.
• Minor cases clogging system delays serious trials.

4. Governance Reform Agenda

• PM Modi’s Independence Day 2025 speech → commitment to remove unnecessary laws.
• Supports ease of living + ease of doing business.

Relevance for UPSC

🔹 Prelims Pointers

• Year of Jan Vishwas Bill 2.0 → 2025
• Number of Acts amended → 16
• Number of provisions → 355 (288 decriminalised, 67 rationalised)
• Key feature: First-time offence → warning/improvement notice

🔹 Mains Pointers

GS Paper 3 – Economy

• Topic: Effects of Liberalisation on the Economy; Changes in Industrial Policy and their effects on Industrial Growth.

Possible Answer Points:

• Decriminalisation fosters entrepreneurial freedom → aligns with liberalisation.
• Reduces fear of prosecution for small businesses → boosts compliance.
• Addresses judicial backlog by removing trivial cases.
• Encourages trust-based governance → key aspect of ease of doing business.

Critical View:

• Risk of reduced deterrence for corporate offenders.
• Implementation and monitoring of “warnings” must be robust.

Conclusion

The Jan Vishwas Bill 2.0 is another major step towards trust-based governance, decriminalisation, and economic reforms. By reducing unnecessary criminal provisions, the Bill strengthens the ease of doing business framework and ensures courts are not overburdened with trivial cases. However, effective enforcement and safeguarding against misuse will determine its real impact.