EIGHTEENTH CONGRESS OF THE) 
REPUBLIC OF THE PHILIPPINES ) 
Second Regular Session 
)
SENATE 
S. No. 1880
P
October
TIME
Introduced by Senator Manuel "Lito" M. Lapid
AN ACT
MANDATING AND INSTITUTIONALIZING ROLL-OVER DATA ALLOCATION 
SCHEME, PROVIDING FOR PENALTIES AND FOR OTHER PURPOSES
EXPLANATORY NOTE
The New Normal brought about by the COVID-19 pandemic Is characterized by 
ever more reliance of the people and businesses on the internet, online/virtual 
communication and digital technologies. From our shopping routines, to financial 
transactions and money transfers, to work meetings, and even to classes and other 
modalities of learning - all of these activities are now heavily dependent on internet 
connectivity. This transformation has brought to the fore the gaps and weaknesses of 
our country's internet infrastructure and capabilities. And we are literally lagging 
behind in this aspect/The Philippines currently sits 120th and 106th worldwide in terms 
of mobile internet speekJ and fixed broadband speed, respectively - we even rank way 
below our ASEAN neighbors Thailand, Vietnam, Laos, Malaysia and Singapore.
It is therefore imperative that the government enact and implement policies, 
measures and strategies to address this connectivity problem and provide 
interventions that will Improve our citizens' experience with the quality of services 
offered by Internet service providers (ISPs), and telecorrimunications companies 
operating in our country.


As one possible intervention towards this goal, this bill seeks to institutionalize 
a "roll-over data scheme" applicable to all ISPs. Through this scheme, unused data 
allocation from Internet data packages or promos will not expire but will Instead carry 
over to succeeding months until the end of the year. If at the end of the year, there 
are still remaining unused data allocations, the same will be converted into rebates 
which. In turn, may be used for future subscriptions. Subscribers will definitely get the 
full value of the money they have spent in paying for these packages and promo. This 
will prevent the common scenario wherein subscribers will lose megabytes (MB), if 
not gigabytes (GB), of data allocation 'just because the expiry date of the package or 
promo had already passed. This situation Is quite unfortunate In light of our current 
data-hungry, internet-based world, especially for the poor who are forced to allocate 
their meager financial resources for Internet subscriptions. To ensure strict compliance 
to the scheme, this measure also proposes the Imposition of penalties against non- 
compllant ISPs in the form of fines and even revocation of licenses and franchises in 
case of repeat offenders (three times or more).
In view of this, early passage of this bill is sought.
Senator


EIGHTEENTH CONGRESS OF THE) 
REPUBLIC OF THE PHILIPPINES ) 
Second Regular Session 
)
SENATE
S. No. 1880
P
October
TIME¥
Introduced by Senator Manuel "Uto" M. Lapld
AN ACT
MANDATING AND INSTITUTIONALIZING ROLL-OVER DATA ALLOCATION 
SCHEME, PROVIDING FOR PENALTIES AND FOR OTHER PURPOSES
Be, it enacted by the Senate and House of Representatives of the Philippines in 
Congress assembled:
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Section 1. Short Title. This Act shall be known as "‘Roll-Over Internet Act’.
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Sec. 2. Declaration of Policy. The State recognizes the vital role of information 
and communications technology in nation building. The State shall implement 
measures to provide for regulations on internet services offered by Internet service 
providers and ensure that the interest and welfare of its people and the consuming 
public are protected and upheld.
Sec. 3. Definition of Terms. As used in this Act:
a. Internet Service Provider (ISP) - refers to any service-based operators whose 
services is to combine computer processing, information storage, protocol 
conversion, and routing with transmission to enable subscribers to access 
internet content and services as well as multimedia services and its 
•transmission through digital subscriber line (DSL), fixed wireless broadband, 
cable broadband, fiber-optic or fiber-to-the-home (FTTH) and mobile data.


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b. Internet Data Package - refers to the internet service packages, plans or 
promos offered by ISPs with maximum limits on the data volume an end user 
may avail per day, week, or month.
c. Unlimited Internet Data Package- refers to internet service package with no 
data cap.
d. RoU-Over Data Allocation - refers to the unused internet data allocation per
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month which shall be carried over to the following month.
e. Data Capping- refers to the limit of bandwidth allocation an ISP is offering to 
its subscriber per day, week, or month.
Sec. 4. Coverage. All Internet Service Providers (ISPs) In the Philippines shall 
be covered by this Act.
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Sec. 5. RoH-Over Data Allocation Scheme. All Internet Service Providers (ISPs) 
are required to Irhplement a roll-over data system for their subscribers: Provided, That 
the rolled-over data allocation shall be prioritized to be consumed in the preceding 
month: Provided furtiier, that the unused data every month will be rolled-over and 
accumulated up until the last month of the year: Providedlastiy, that all unused data 
allocation for a year may be used and converted as rebates, .that may be used by the 
subsCTibers as payment for internet service in the succeeding year of subscription.
Sec. 6. Exemptions. Subsaibers who shall avail of any unlimited Internet data 
package shall be exempted from this Act.
Sec. 7. Penalties Any ISP who fails to comply with any of the provisions of this 
Act shall pay a fine of Three hundred thousand pesos (Php 300,000.00) for the first 
offense, and a fine of Five hundred thousand pesos (Php 500,000.00) for the second 
offense. In case of subsequent offense, a fine of One million pesos (Php 1,000,000.00)


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and the revocation of the ISP's license and franchise.
Sec. 8. Implementing Rules and Regulations (IRR). Within sixty (60) days from 
the effectivlty of this Act, the Secretary of the Department of Information and 
Communications Technology (DICT), in coordination with the National 
Telecomrnunications Commission (NTC) and other concerned agencies, shall 
promulgate the Implementing rules and regulations and other Issuances as may be 
necessary to ensure the effective implementation of this Act
Sec. 9. Separability Qause. Should any part or provision of this Act be declared 
unconstitutional or invalid, the remaining parts or provisions not affected thereby shall 
rerhain in full force and effect.
Sec. 10. Repealing Clause. — All laws, decrees, executive orders. Issuances, ’ 
rules and regulations which may be inconsistent with any of the provisions of this Act, 
are hereby deemed repealed, amended or modified accordingly.
Sec. 11. Effectivlty. — This Act shall take effect fifteen (15) days after its 
complete publication in the Official Gazette or In two (2) newspapers of general 
circulation.
Approved,