Republic of the Philippines
HOUSE OF REPRESENTATIVES
Quezon City

NINETEENTH CONGRESS
First Regular Session

House BILL No. 516

Introduced by HONORABLE RAMON JOLO B. REVILLA III

EXPLANATORY NOTE.

This bill seeks to institutionalize a “roll-over data scheme” mandatory to all Internet
Service Providers.

The New Normal brought about the COVID-19 pandemic has brought more reliance on
the internet, online/virtual communications, and digital technology. From transactions, to
meetings, and even with the modalities of learning ~ all of theses activities are now heavily
dependent on internet connectivity. This transformation has brought to our attention the gaps and
weaknesses of our country’s internet infrastructure and capabilities. As such, it is imperative that
the government enact and implement policies to address this problem and provide interventions
that will improve the quality of services offered by Internet Service Providers (ISPs), and

telecommunication companies operating in our country

Through the roll-over data scheme, unused data allocation trom internet data packages or
promos will not expire but will instead carry over to succeeding months until the end of the
calendar year. if at the end of the year, there are still remaining unused data allocations, the same
will be converted to rebates which, in turn, may be used for future subscriptions, Subseribers will

definitely get the full value of money they spent for these packages and/or promos

This will prevent the scenario that subscribers will lose data allocation just because the
expiry date of the package and/or promo had already lapsed. This situation is quite unfortunate,
especially for the less fortunate who are forced to allocate their meager financial resources to

internet subscriptions.

In this view, immediate approval of this bill is earnestly sought

RAMON <f B. REVILLA IIL


Republic of the Philippines
HOUSE OF REPRESENTATIVES,
Quezon City

NINETEENTH CONGRESS
First Regular Session
~ 516

HOUSE BILL NO.

Introduced by HONORABLE RAMON JOLO B, REVILLA III

AN ACT
MANDATING AND INSTITUTIONALIZING ROLL OVER DATA ALLOCATION
SCHEME AND PROVIDING FOR PENALTIES

Be it enacted by the Senate and House of Representatives of the Philippines in Congress

assembled:
SECTION 1. Short Title. - This Act shall be known as the “Roll-Over Internet Act.”

SECTION 2. Declaration of Policy. ~ The State recognizes the vital role of information
and communications technology in nation bauilding. The State shall implement measures to
provide for regulations on internet services provided by internet service providers and ensure that

the interest and welfare of the people and the consuming public are protected and upheld.

SECTION 3. Definition of Terms. — For Purposes of this Act, the following items shall

have the following meaning

a) Data capping refers to the limit of bandwidth allocation an internet service

provider (ISP) is offering to its subscribers per day, week, or month;

b) Inverner Data Package tefers to the internet service packages, plans, or promos
offered by ISPs with maximum limits on the open access data volume an end
user may avail per set period of the package

c) Internet Service Provider refers to any service-based operator whose services
involve the combination of computer processing, information storage,
protocol conversion, and transmission to enable subscribers to access internet
content and services as well as multimedia services and its transmission of
data through digital subscriber line (DSL), fixed wireless broadband, cable
broadband, fiber-optic or fiber-to the-home (FTTH) and mobile data to enable


subscribers to access internet content and services, as well as multimedia
services;

4) Offer Duration refers to the length of time a subscriber or user is allowed to use
an internet data package service and promos.

e) Roll-Over Data Allocation refers to the unused internet data allocation per day,
week, or month, as the case may be, depending on the applicable Internet Data
Package, which shall be carried over to the following day, week, or month
until it is fully consumed: and,

f) Unlimited Internet Datu Package refers to an internet service package with no

data cap.
SECTION 4. Coverage. ~ All [SPs in the Philippines shall be covered by this Act.

SECTION 5. Roll-Over Data Allocation Scheme. — All ISPs are required to implement a

Roll-Over Data Allocation Scheme for their subscribers as follows:

a) For postpaid subscribers:

The rolled-over data allocation shall be prioritized to be consumed
in the preceding month, Provided, that the unused data every month
will be rolled-over and accumulated up until the last month of the year:
Provided further, that all unused data allocation for a year may be used
and converted as rebates, that may be used by subscribers as payment

for internet service in the succeeding year of subscription

b) For prepaid subscribers or users and postpaid subscribers who avail of internet
data package promo offers:

1) Unused data allocation shall be rolled-over provided that the
subscriber or user who renews the subscription right after the

lapse of the offer duration;

2) The unused data allocation of subscribers or users who fail to
renew their subscription shall be reduced by twenty percent
(20%) every day until the subscription is renewed: and,

3) If after five (5) days, the subscription is not renewed, all unused

data allocation shall be considered consumed.


SECTION 6, /:xemptions, — Subscribers who availed and shall avail of any unlimited

Internet data package with no data cap shall be exempted from this Act

SECTION 7. Penalties. - Any ISP who fails to comply with any of the provisions of this
Act, the following penalties shall be imposed:

a) A fine of fifty thousand pesos (P50,000.00) per violation per subscriber: and,
b) For repeated violations, aside from fine, revocation or cancellation of the license.
registration, or franchise of an ISP including the waiving of any pre-termination fees

of affected subscriber.

SECTION 8. /implementing Rules and Regulations. - Within sixty (60) days from the
effectivity of this Act, the Secretary of the Department of Information and Communications
Technology (DICT), in coordination with the National Telecommunications Commission (NTC)
and other concerned ayeneies, shall promulgate the rules and regulations and other issuances as

may be necessary to ensure the effective implementation of this Act,

SECTIOD

declared unconstitutional or invalid, the remaining parts or provisions not affected thereby shall

9. Separability Clause. -~ Should any part or provision of this Act shall be

remain in full force and effect.

SECTION 10, Repeuling Clause. — All laws, decrees, executive orders, issuances, rules

and regulations which may be inconsistent with any of the provisions of this Act are hereby

repealed, amended, or modified accordingly.

SECTION 11. /:ffectivity Clause. — This Act shall take effect fifteen (15) days after its

publication in the Official Gazette or in a newspaper of general circulation

Approved,