"It is an anti-consumer report" and failed to fulfill the democratic aspirations of a modern India... It is leaning towards a particular lobby," party spokesman Salman Khurshid told reporters.
He said that party Vice President Rahul Gandhi had flagged the issue of net neutrality in Parliament.
Noting that distinctions have been made between domestic and international calling applications, he said the attempt to bring in regulation was "not healthy and not acceptable".
The DoT panel on net neutrality has batted for an open and unregulated regime for several over the top (OTT) services but proposed regulating local and national calls over VoIP apps such as WhatsApp and Skype, a move that would result in consumers paying for them, possibly making them as expensive as calls made on mobile.
The government will formulate its final policy on net neutrality once the telecom regulator submits its recommendations.