RESTRICTED
WORLD TRADE S/GBT/W/1/Add.42
14February 1997
ORGANIZATION(97-0785)
Original: English Group onBasic Telecommunications
COMMUNICATION FROM THE PHILIPPINES
Draft Schedule onBasic Telecommunications
Thefollowing communication iscirculated attherequest ofthePhilippines tomembers ofthe
Group onBasic Telecommunications.
_______________
ThePhilippines hasrevised itsoffercontained indocument S/NGBT/W/12/Add.18/Rev.1 dated
18April 1996 andreserves itsright tomodify, reduce orwithdraw thisoffer, inwhole orinpart,
atanytimeprior totheconclusion ofthenegotiations oftheGroup onBasic Telecommunications.
ThePhilippines further reserves therighttomake technical changes totheofferandtocorrect
anyerrors, omissions andinaccuracies.
ThePhilippines shall confirm theoffer inaccordance withitsnational procedures forthe
ratification andentry intoforce ofnewcommitments.S/GBT/W/1/Add.42
Page2PHILIPPINES -DRAFT SCHEDULE ONBASIC TELECOMMUNICATIONS
Modes ofsupply: 1) Cross-border supply 2) Consumption abroad 3) Commercial presence 4) Presence ofnatural persons
Sector orSub-sector Limitations onMarket Access Limitations onNational Treatment Additional Commitments
Thefollowing services (a-g) are
offered onlyonafacilities
basis, forpublic use,using
either wired orwireless
technology except cable
television (CATV) andsatellite.
a. Voice telephone services
-Local services
-Tollservices
Domestic
International
b. Telegraph Services
c. Telex Services
d. Packet-switched data
transmission services
e. Circuit-switched data
transmission servicesLimitations listed inthehorizontal section
shall alsoapply.
(1) Unbound
(2) Unbound
(3) Entry issubject tothefollowing
requirements andconditions:
(i)Franchise from Congress ofthe
Philippines
(ii)Certificate ofPublic Convenience
andNecessity (CPCN) from the
National Telecommunications
CommissionLimitations listed inthehorizontal section
shall alsoapply.
(1) None
(2) None
(3)
(i)Thenumber ofnon-Filipino citizens
intheBoard ofDirectors ofan
entity shall beproportionate tothe
aggregate share offoreign capital
ofthatentity.
(ii)Allexecutives andmanagers must
becitizens ofthePhilippines.S/GBT/W/1/Add.42
Page3Modes ofsupply: 1) Cross-border supply 2) Consumption abroad 3) Commercial presence 4) Presence ofnatural persons
Sector orSub-sector Limitations onMarket Access Limitations onNational Treatment Additional Commitments
f. Facsimile services
g. Others
-Cellular Mobile
Telephone Service(iii)Foreign equity ispermitted upto
40%
(iv)Resale ofprivate leased lines isnot
allowed
(v)Callback, dialback andother
similar schemes which result inthe
same operation arenotauthorized.
(vi)Subject totheavailability and
efficient utilization ofradio
frequencies.
(4) Unbound (4) UnboundS/GBT/W/1/Add.42
Page4Modes ofsupply: 1) Cross-border supply 2) Consumption abroad 3) Commercial presence 4) Presence ofnatural persons
Sector orSub-sector Limitations onMarket Access Limitations onNational Treatment Additional Commitments
COMMUNICATION SERVICES
Thecommitments incommunication services areinaccordance withtheGeneral Agreement onTrade inServices anditsAnnex onTelecommunications. In
support ofmarket access commitments undertaken, thefollowing principles willform thebasis fortheregulatory framework inbasic telecommunications.
1. Competitive safeguard
Appropriate measures shall bemaintained forthepurpose ofpreventing suppliers from engaging inorcontinuing anti-competitive practices.
2. Interconnection
Inorder toachieve viable, efficient, reliable anduniversal telecommunications services, afairandreasonable interconnection offacilities ofauthorized public
network operators andother providers oftelecommunications services shall beprovided.
Interconnection shall beatanytechnically feasible point inthenetwork, under non-discriminatory terms andconditions, inatimely fashion, andonterms and
conditions thatarefair,transparent andreasonable.
Aservice supplier requesting interconnection withanother supplier willhave recourse after areasonable period oftime which hasbeen made publicly known
toanindependent domestic body, which maybearegulatory body referred toinparagraph 5below, toresolve disputes regarding appropriate terms,
conditions andrates forinterconnection within areasonable period oftime, totheextent thatthese have notbeen established previously.
3. Universal Service
Universal service obligations, asmaybedefined bytheappropriate Authority, shall beadministered inatransparent, non-discriminatory andcompetitively
neutral manner.
Authorized international gateway andmobile cellular telephone service providers arerequired bylawtoinstall asetnumber oflocal exchange lines in
designated areas.S/GBT/W/1/Add.42
Page5Modes ofsupply: 1) Cross-border supply 2) Consumption abroad 3) Commercial presence 4) Presence ofnatural persons
Sector orSub-sector Limitations onMarket Access Limitations onNational Treatment Additional Commitments
4. Public availability oflicensing criteria
Where alicense isrequired, thefollowing shall bemade publicly available:
(a)allthelicensing criteria andtheperiod oftime normally required toreach adecision concerning anapplication foralicense;
(b)theterms andconditions ofindividual licenses
Thereasons forthedenial ofalicense willbemade known totheapplicant upon request.
5. Independent regulators
Theregulatory body isseparate from, andnotaccountable to,anysupplier ofabasic telecommunications services. Thedecisions ofandtheprocedures used
byregulators shall beimpartial withrespect toallmarket participants.
Theregulation oftelecommunication suppliers shall relyprincipally onanadministrative process thatisstable, transparent andfair,giving dueemphasis to
technical, legal, economic andfinancial considerations, andwithdueregard totheobservance ofdueprocess atalltimes.
Anational consultative forum shall bemaintained toallow interaction among thetelecommunications industries, usergroups, andacademic andresearch
institutions onimportant issues inthefield ofcommunications.
6. Allocation anduseofscarce resources
Anyprocedures fortheallocation anduseofscarce resources which arefrequencies, numbers andrights ofway, willbecarried outinanobjective, timely,
transparent andnon-discriminatory manner. Thecurrent state ofallocated frequency bands willbemade publicly available, butdetailed identification of
frequencies allocated forspecific government usesisnotrequired.