(1)Any person seeking permission to establish a Regulatory Sandbox may make an application in such manner along with such fee as may be prescribed and shall indicate the need for regulatory sandbox and the proposed sandbox operator.
(2) The Authority shall seek the inputs and recommendations of the Sandbox Operator proposed in such application, on the feasibility and desirability of the proposed Regulatory Sandbox.
(3) The Authority shall, within 60 days from the date of any application under this section, either reject such application or permit to establish a Regulatory Sandbox.
(4) Where the Authority is of the opinion that it is feasible and desirable to permit the establishment of the proposed Regulatory Sandbox, it shall,-
(a) make an order in writing, indicating the need for such Regulatory Sandbox, with specific reference to the need to provide exemptions or modifications of any law for promoting the innovation in question subject to such conditions as it deem fit and the potential for such innovation to provide wider benefits to society, and;
(b) permit to establish a Regulatory Sandbox by notification under Section 13.
(5) Where the Authority is of the opinion that it is not feasible or desirable to set up the proposed Regulatory Sandbox as sought by the applicant, or such innovation does not require the relaxation or exemption from any law for its promotion, it shall reject the application through an order in writing.
(6) No order under sub-section (4) or sub-section (5) shall be issued by the Authority without giving the applicant an opportunity of being heard, and also holding a public consultation with concerned stakeholders in such manner as may be prescribed.