Section 3: Recognition and promotion of e-sport

(1) The Central Government shall take steps as it considers necessary to recognise and register e-sports with the Authority or agency, as the case may be, as a legitimate form of competitive sport in India and to promote and develop e-sports.

(2) Without prejudice to the generality of sub-section (1), such steps may include –

(a) formation of guidelines and standards for the organisation and conduct of e-sports events;

(b) establishment of training academies, research centres and other institutions dedicated to advancement of e-sports;

(c) introduction of incentive schemes, awareness campaigns and public outreach programmes to encourage innovation and establishment of new enterprises to create e-sport technology platforms;

(d) coordination with State Governments and recognised sporting federations for integration of e-sports within broader sporting policy initiatives; and

(e) such other measures which are necessary to promote the sector, as may be prescribed.

Explained:

Section 3 of the Promotion and Regulation of Online Gaming Act, 2025 deals with the recognition and promotion of e-sports in India. The provision reflects the legislative distinction between legitimate competitive e-sports and prohibited online money gaming. The Act was enacted on 22 August 2025, and its provisions came into force from 1 May 2026.

Under Section 3(1), the Central Government is required to take necessary steps to recognise and register e-sports with the appropriate Authority or agency as a legitimate form of competitive sport and to promote and develop the e-sports sector.

Section 3(2) specifies several measures that may be adopted for this purpose. These include establishing guidelines and standards for e-sports events, setting up training academies and research centres, introducing incentive schemes and awareness programmes, encouraging innovation and new e-sports enterprises, and coordinating with State Governments and recognised sporting federations.

Important Judicial Decisions

There is no reported judgment specifically interpreting Section 3 of the 2025 Act as yet. However, earlier and recent Supreme Court decisions concerning online gaming provide important background.

In State of Tamil Nadu v. Junglee Games India Pvt. Ltd. & Ors. (2026), the Supreme Court considered the constitutional position of online gaming, betting and gambling. The Court held that while games of skill may receive constitutional protection, betting or wagering on a game of skill does not automatically receive such protection. The Court also recognised the State’s power to regulate or prohibit betting and gambling where the constitutional requirements are satisfied.

The Supreme Court ultimately upheld the challenged Tamil Nadu and Karnataka legislation and emphasised the significant public-order and social concerns associated with online money gaming.