REPUBLIC OF THE PHILIPPINES 
HOUSE OF REPRESENTATIVES 
19th CONGRESS 
SECOND REGULAR SESSION 
HOUSE BILL NO.  __________ 
INTRODUCED BY HONORABLE EDUARDO ‘BRO. EDDIE’ C. VILLANUEVA 
EXPLANATORY NOTE 
Despite continued improvements, Internet in the Philippines continues to be 
slower, more expensive, and less accessible compared to peers in the region and around 
the world. In fact, the quality of Internet in the country is the second most expensive in the 
ASEAN region, and has continued to slide down the rankings of the Alliance for 
Affordable Internet's (A4AI) Affordability Drivers Index, even as Internet services in 
neighboring countries have gotten cheaper.' More than half of Philippine households (or 
825) also remain to have no internet connection according to the National ICT Household
Survey conducted by the Department of Information and Communications Technology.
The poor state of Internet connectivity has significantly affected the growth and 
global competitiveness of the Philippines' digital firms. According to World Bank's June 
2022 Philippine Economic Update, the number of digital firms in the country that use ICT 
for back-end systems for better productivity trail that of Vietnam, Malaysia, and 
Cambodia. Poor internet also exacerbated the learning loss experienced by Filipino 
learners during the pandemic.2 
These problems with Philippine Internet are rooted in the poor state of the country's 
Internet infrastructure — a product of a market where barriers to entry remain high and 
inefficiencies in network rollout continue to stunt the development of the digital 
infrastructure. 
Based on comparative 2016 and 2021 A4AI Affordability Report. 
2 October 1, 2021. Intl study notes worst 'learning loss' among poorest PH kids. Inquirer. Retrieved from
https://qlobalnation inquirer.net/199341/intl-study-notes-worst-learninq-loss-amonq-poorest-ph-kids (date last 
accessed: December 5, 2022
December 11, 2023
8:00 am
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With the COVID-19 pandemic thrusting socio-economic life in the digital age, it is 
high time to adopt a framework that will pull the country out of the analog era and away from 
outdated policy and regulations. Under these outdated rules, Filipinos have little to no 
access to the variety of Internet technologies and services available today. A change in 
the legal framework is necessary to empower different types of Internet service 
providers, and address what the World Bank has described as "market failures in the 
provision of digital infrastructure."3 
In this with this, this bill provides for an "open access" framework to improve 
competition and encourage a diversity of technologies and business models for Internet 
access and services. Open access will simplify the entry of industry players and empower 
even small service providers to build and operate their own networks, complementing 
existing infrastructure of network providers to reach almost half of the population living in 
the rural areas. 
As the world moves toward a digital future, this bill is an essential step for bringing all 
Filipinos online, and transforming the country into a truly connected, globally 
competitive economy. 
Thus, the immediate passage of this bill is earnestly sought. 
HON. EDUARDO ‘BRO. EDDIE’ C. VILLANUEVA 
3
From 
the 
World 
Bank's 
Philippine 
Digital 
Economy 
Report 
2020, 
https://documentsl.worldbank.orq/curated/en/796871601650398190/Ddf/Philippines-Digital-Economy-Report-2020-A-
Better-NormalUnder-COVID-19-Diaitalizina-the-Philippine-Economy-Now
2 


    REPUBLIC OF THE PHILIPPINES 
HOUSE OF REPRESENTATIVES 
19th CONGRESS 
SECOND REGULAR SESSION 
HOUSE BILL NO.  __________ 
INTRODUCED BY HONORABLE EDUARDO ‘BRO. EDDIE’ C. VILLANUEVA 
AN ACT 
PROMOTING OPEN ACCESS IN INTERNET SERVICES AND FOR OTHER 
PURPOSES 
Be it enacted by the Senate and House of Representatives of the Philippines in 
Congress assembled: 
CHAPTER 1 
Introductory Provisions 
SECTION 1. Short Title. — This Act shall be known as the "Open Access in Internet 
 Services Act". 
SEC. 2. Declaration of Policy. — It is the policy of the State to narrow the digital 
  divide in the country by encouraging the development of digital infrastructure, particularly 
 the Internet, as the foundation of the country's digital transformation. It shall promote the 
  construction and development of reliable, affordable, secure, open and accessible 
Internet networks, especially in the unserved and underserved areas. Moreover, the State 
  shall remove barriers to competition in the provision of Internet services and create an 
   entrepreneurial ecosystem where persons who wish to engage in the Internet service 
  industry can compete openly and freely in the spirit of fair competition and permission- 
  less innovation. The State shall promulgate policies that require Internet networks to 
  adhere to globally competitive standards for speed and quality. 
SEC. 3. Definition of Terms. — As used in this Act: 
(a) Basic telephone service refers to the local exchange telephone
service for residence and business establishments provided via the circuit
switched telephone network;
(b) Cellular Mobile Telephone Service (CMTS) refers to the wide area
mobile radio Telephone system with its own switch, base stations and
4
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transmission 
facilities 
capable 
of 
providing 
high-capacity 
mobile 
telecommunications by utilizing radio frequencies; 
(c) Content refers to, among others, texts, images, audios, videos, and 
animations that are carried over the Internet network; 
(d) International gateway or cable landing station refers to a segment of 
the Internet network that consists of any facility that provides an interface to 
send and receive Internet traffic between one country's domestic network 
facilities and those in another country; 
(e) Internet is a global network connecting computers and electronic 
devices that allows people to access and share information and 
communicate from anywhere   with an Internet service; 
(f) Internet access refers to the ability of individuals, households, and 
organizations to connect to the Internet using any connection method or 
technology; 
(g) Internet network refers to any and all types of facilities, equipment, or 
infrastructure for the construction, propagation, administration, operation, 
and/or maintenance of a network for Internet connectivity using any 
technologies, devices, and equipment, as well as their accessions and 
accessories. The Internet network is composed of various interconnected 
segments, which are interconnected in order to provide Internet service to 
the end user; 
(h) Internet service refers to a service that provides a means for accessing 
or using the Internet over any connection method or technology. Internet 
service can refer to the provision of: (1) Internet network service or (2) Internet 
access service;  
(i) Internet service provider (ISP) refers to any person, firm, 
partnership or corporation, government or private, engaged in the provision 
of Internet services. An ISP can provide an Internet network service and/or 
Internet access service; (j)    Passive infrastructure collectively refers to towers, 
poles, cable entrances, ducts, dark fiber, utility corridors, and any other non-
electronic infrastructure and facilities, either existing or to be deployed in the 
future, that may be used to support Internet services. Passive infrastructure is 
a component of the Internet network; and 
(k) Peering refers to a process where Internet networks connect directly and 
exchange traffic between their users, mostly on a settlement-free basis where 
neither ISP pays for the exchange. Peering can be done through an Internet 
exchange point (IXP). 
 
  
 
 
  
 
 


CHAPTER II 
  
Organization and Operation of the Internet Service Industry 
 
 SEC. 4. Scope. — This Act shall apply to any person or entity who participates in 
  the Internet service industry, including any person or entity whose business deals with 
 the provision of Internet network and Internet access services. Public 
  Telecommunications Entities (PTEs) that are principally engaged in the provision of basic 
 telephone services, such as an international carrier, inter-exchange carrier, local 
 exchange operator, and mobile radio or cellular mobile telephone service (CMTS) 
  provider, as defined in Republic Act No. 7925, otherwise known as the Public  
 Telecommunications Policy Act of the Philippines, and which also provide Internet 
  services, shall likewise be subject to the provisions of this Act with respect to the Internet 
  services they provide and the interconnection to their networks that they extend to  the 
    participants of the Internet service industry. 
 
 SEC. 5. Registration and Certification. — All segments of the Internet 
  network shall be competitive and open. Notwithstanding the provisions of this Act or any 
  other law, the following registration and certification shall apply to the Internet service 
    industry: 
 
  (a) All Internet service providers (ISP) shall be required to register with the National 
           Telecommunications Commission (NTC); 
 
  (b) ISPs who wish to offer Internet network services shall apply and submit their network 
         plans to the NTC who shall decide on the same within sixty (60) days from the receipt 
         of the application; 
 
    (c) Those who will operate an international cable landing station shall secure a 
           legislative franchise. 
 
  (d) Unless they will operate an international cable landing station, ISPs shall not be 
          required to secure a legislative franchise, Provisional Authority, or a Certificate of 
                     Public Convenience and Necessity or CPCN from the NTC in order to build, install, 
          operate, and render Internet network and Internet access services. However, if they 
          operate an international cable landing station, ISPs shall need to comply with the 
          requirements of this Act. 
 
  (e) ISPs shall be required to comply with globally accepted minimum information 
           security standards, as prescribed by the Department of Information and  
           Communications Technology (DICT). 
 
 
 
 


  
CHAPTER III 
  
Regulation of the Internet Service Industry 
 
  
SEC. 6. Open Access Approach to the Regulation of the Internet Service 
  Industry. — The DICT shall be principally responsible for the implementation of this Act, 
  including promulgating policies regarding the regulation of the Internet service industry. 
The National Telecommunications Commission (NTC) shall be responsible 
for implementing the said policies, maintaining the registry of ISPs, and handling the 
complaints for violations of this Act.  
 
SEC. 7. DICT’s Mandate for the Development of the Internet Service Industry. – 
The DICT shall:  
(a) Be responsible for policy and standard-setting that will promote the development and 
propagation of Internet services, especially in the underserved and unserved areas;  
(b) Coordinate with, and require the NTC to provide an efficient and speedy administrative 
process in the registration of ISPs, consistent with the provisions of Republic Act No. 
9485 or the Anti-Red Tape Act of 2007, as amended by Republic Act No. 11032 or the 
Ease of Doing Business and Efficient Government Service Delivery Act of 2018. It shall 
also require NTC to publish an updated database of registered ISPs annually, which 
shall include the exact location, ownership, technical specifications, and other relevant 
information about the ISP’s facility. This database may be made available to interested 
parties via a Freedom of Information request; 
(c) Develop a set of criteria for qualifying ISPs that will encourage the widest possible 
participation of as many industry players as possible who will build, operate, and offer 
Internet services in all segments of the network and to end users in different parts of 
the country; 
(d) Require the NTC to publish on its website an updated list of resources that can support 
the development of Internet networks and the National Radio Frequency Allocation 
Table (NRFAT) with the frequency assignments;  
(e) Adopt a technology-neutral framework that allows ISPs to use any technology for 
providing Internet service;  
(f) Mandate transparency in pricing and the publication of pricing information of ISPs to 
ensure fair trading within and between each Internet network segment to allow clear, 
comparative information on market prices and services;  
(g) Promote peering so that ISPs can connect to each other at the various segments and 
interfaces, preferably through a carrier-neutral Internet exchange point (IXP);  
(h) (h) Promulgate policies that will encourage distributed local solutions rather than 
centralized ones, encouraging services that are closer to the user;  
(i) Promulgate, together with the Philippine Competition Commission (PCC), rules 
promoting fair and open competition and defining and regulating entities with 
substantial market power.  
 
The PCC and the DICT shall ensure that the principles and policies enshrined under 
Republic Act No. 10667, otherwise known as the Philippine Competition Act, are strictly adhered 
to in the Internet services industry. The PCC and the NTC shall ensure that all industry players 
observe fair, reasonable, and nondiscriminatory treatment in all their dealings, and that barriers 
to entry are eliminated to make the industry highly competitive.  


To this end, within thirty (30) days from the effectivity of this Act, the PCC and the DICT 
shall enter into an agreement to foster and develop interagency cooperation mechanisms, 
including information-sharing tools, that guide them in the performance of their respective 
mandates, and in the promotion of fair competition in the Internet service industry; and  
 
(j) Promulgate, together with the Anti-Red Tape Authority (ARTA) and other relevant 
government agencies, rules, policies, and regulations that mandate the streamlining and fast-
tracking of the approval process by national government agencies, local government units, 
homeowners’ associations, and premises and estate management, such as building 
administrators and estate managers for permits, registrations, forms, certificates, requests or 
other requirements for the installation and deployment of Internet networks, including passive 
infrastructure for various types of networks, in accordance with the provisions of Republic Act 
No, 11032 also known as the Ease of Doing Business Act, or its amendments or future iterations.  
 
SEC. 8. Setting Performance Standards. - Within six (6) months from the effectivity of this 
Act, the DICT in coordination with the NTC, shall prescribe performance standards for ISPs, 
after public consultation and hearings. It shall review and at least once a year and as necessary 
upgrade performance standards imposed on the Internet service industry to ensure that 
performance standards, at a minimum, be at par with service levels established in regional 
Internet service performance indices and aligned with international best practices. Such 
standards shall take into account service availability, speed, packet loss, jitter, and latency.  
 
SEC. 9. Infrastructure Sharing, Right of Way, and Co-location. - Within one hundred 
eighty (180) days from the effectivity of this Act, the DICT, in coordination with the NTC, ARTA, 
the Department of Public Works and Highways (DPWH), and other relevant government 
agencies, and after consultation with stakeholders shall promulgate the necessary rules and 
regulations to ensure that passive infrastructure, whether existing or built in the future, necessary 
or capable of supporting Internet networks or services are:  
 
(a) capable of open access and available for co-location and co-use on an open, fair, and non-
discriminatory basis to any access seeker’s network facilities, in any segment, subject to the 
technical feasibility of the access seeker’s request and the network facility and infrastructure 
owner’s standard published offer terms, conditions, and rates;  
(b) built not only in the city centers, but most especially in the remote, unserved, and 
underserved areas in order for both existing and new players to extend Internet services 
throughout the country;  
(c) as far as possible, deployed together with roadworks, pipe-laying, and other infrastructure 
development by both government and private entities; and  
(d) proliferated in the most cost-efficient and timely manner through various means, including, 
encouraging the operation of independent entities that build and operate towers, dark fiber, 
and utility corridors, among other passive infrastructure that help facilitate Internet network 
deployment.  
 
For purposes of Internet services, the NTC shall, in case of a dispute arising from an 
infrastructure-sharing agreement:  
(1) mediate between an ISP and an infrastructure owner, and  
(2) serve as the primary enforcer of this provision.  


The DICT, in coordination with the PCC, shall ensure a level-playing field and price 
nondiscrimination among ISPs and network facility and infrastructure owners. The DICT, in 
coordination with the NTC, the Department of Housing and Urban Development (DHSUD) and 
other relevant agencies, shall promulgate the relevant rules and regulations to ensure that 
buildings, condominiums, villages, towns, and subdivisions are built with facilities, such as cable 
entrances, ducts, and risers, that allow nondiscriminatory access to multiple Internet service 
industry players to facilitate the provision of services.  
 
The DICT, in coordination with the NTC and relevant government agencies, shall also 
ensure the disaster resiliency and ease of recovery and restoration of passive infrastructure, 
such as towers, poles, and utility corridors, from the effects of disasters by strictly enforcing 
compliance with internationally-accepted engineering standards and best practices, and 
relevant engineering and/or building codes and codes of practice.  
 
CHAPTER IV 
Prohibited Acts 
 
SEC. 10. Prohibited Acts. - The following acts shall be prohibited:  
(a) Refusal to Plug and Play. Any ISP shall not refuse access to infrastructure to any other ISP, 
except for failure to pay open market fees for the access to the service. ISPs shall not impede 
the end-user’s right to access and distribute information and content, use and provide 
applications and services and use terminal equipment of their choice, regardless of the end 
user’s or provider’s location or the location, origin or destination of the information, content, 
application or service via their Internet service. For the avoidance of doubt, agreements between 
ISPs and end users on commercial and technical conditions and the characteristics of Internet 
access services such as price, data volume or speed, and any commercial practices conducted 
by Internet access service providers shall not limit the exercise of the rights of end users as 
provided under this Act. 
 (b) Throttling. An ISP shall treat all traffic equally when providing Internet access services without 
discrimination, restriction or interference, regardless of the sender and receiver, the content 
accessed or distributed, the applications or services used or provided, or the terminal equipment 
used.  
For this purpose, it shall be prohibited for an ISP to hinder or slow down services or applications 
or access to specific sites in the Internet, except where  
(1) access to such sites, services or applications are prohibited by law;  
(2) it is necessary to preserve the integrity and security of the network and service of the provider 
or the equipment of the end user: Provided, That if the breach of integrity or security is caused 
by the equipment of the end user, the provider has to notify the end user first and give the former 
sufficient time to rectify the situation; and (3) it is necessary to block the transmission of unwanted 
communications such as spam and child pornographic materials upon the complaint of the end 
user or the ISP; 


 (c) Refusal to Give Information. It shall be prohibited for any ISP, including PTEs with regard to 
its network and facilities, to refuse or fail to make available on a timely basis, to the other ISPs 
who interconnect with or get bandwidth from them, the technical information about their essential 
facilities or network facilities and commercially relevant information that are necessary for the 
efficient provision of services: and  
(d) Anti-competitive Cross-subsidization. ISPs shall maintain separate books of accounts 
between different Internet network segments to allow identification of costs and revenues for 
each segment. Any violation of this provision shall give rise to a presumption of anti-competitive 
cross-subsidization, which shall then be referred to the PCC for proper determination and action, 
in accordance with the provisions of the Philippine Competition Act. For the avoidance of doubt, 
nothing herein shall prevent interconnecting networks from charging the appropriate cost-based 
compensation for the use of interconnection facilities.  
SEC. 11. Administrative Penalties. - Any person who fails to comply with the provisions 
of this Act shall be imposed a penalty of at least fine of at least One hundred thousand pesos 
(PI00,000.00) for each day of default or violation, until full compliance with the provisions of this 
Act; Provided, that the maximum penalty under this provision shall not exceed Five million pesos 
(P5,000,000.00) for a single violation; Provided further, That if the ISP has a gross annual income 
of not more than Ten million pesos (P10,000,000.00), the penalty that may be imposed shall be 
equivalent to one percent (1 %) to two percent (2%) of its gross annual income. The NTC is 
hereby authorized and empowered to impose such fine, after due notice and hearing.  
SEC. 12. Adjustment for Inflation. - The fines imposed under this Act shall be adjusted 
by the NTC, year-on-year, considering the prevailing cost of money based on the current 
consumer price index, and subject to publication of such adjustments.  
 
CHAPTER V  
Rights of Internet Service Users and Responsibilities of Internet Service Providers 
 
SEC. 13. Rights of End Users. - Users of Internet services shall have the following basic 
rights:  
(a) To be entitled to Internet services which is non-discriminatory, reliable, and conforming with 
minimum standards set by the DICT and enforced by the NTC;  
(b) To be rendered Internet services within two (2) months from application for service;  
(c) Regular, timely and accurate billing, courteous and efficient service at business offices and 
online platforms, and by company personnel and contractors:  
(d) Timely correction of errors in billing and prepaid load credits and the immediate provision of 
rebates or refunds by the ISP without the need for demand by the user; and  


(e) Thorough and prompt investigation of, and action upon complaints. The ISP shall endeavor 
to allow complaints to be received by any means convenient to the end user, including voice 
calls, post, short messaging service (SMS), Instant messaging apps, and online communication, 
and shall keep a record of all complaints received and the action taken to address the complaints. 
Subject to the filing of a formal request to the ISP, a user may request the immediate termination 
of service without the imposition of fees or penalties, and with the refund of any fee or charge 
already paid by the user, should a data service provider not consistently comply with paragraphs 
(a), (d), and (e) of this Section or any other minimum performance standards set by the DICT as 
enforced by the NTC. ISPs shall also act on all consumer complaints regarding service 
interruption or other similar problems within one (1) day from the date the complaint;  
Provided, That if the concerned entity unreasonably fails to act within this period, except when 
the cause of such delay or failure is due to fortuitous events or causes beyond the control of the 
concerned entity, such concerned ISP shall reduce or refund, as the case may be, the 
corresponding bill of the consumer at an amount equivalent to the amount of the prepaid service 
or prescribed monthly bill divided by the number of days covered by the prepaid service or 
prescribed monthly bill and multiplied by the number of days the interruption occurred. The ISPs 
shall submit a quarterly report to the NTC detailing the service interruptions that occurred during 
the covered period, the complaints lodged before it and the actions taken on each complaint. 
Any dispute as to the propriety of the refund or deduction or penalty imposed in accordance with 
this Section shall be resolved by the NTC, upon appropriate complaint and subject to compliance 
with the due process of law.  
 
CHAPTER VI Final Provisions 
SEC. 14. Implementing Rules and Regulations. - Within sixty (60) days from the 
effectivity of this Act, the DICT, in coordination with the NTC and upon consultation with relevant 
stakeholders, shall promulgate the necessary rules and regulations for the effective 
implementation of this Act.  
SEC. 15. Separability Clause. - Should any provision herein be declared unconstitutional 
or invalid, the other provisions not affected shall remain in full force and effect.  
SEC. 16. Repealing Clause. - All laws, decrees, orders, rules and regulations or other 
issuances or parts inconsistent with the provisions of this Act are hereby repealed, amended or 
modified accordingly.  
SEC. 17. Effectivity. - This Act shall take effect fifteen (15) days after its publication in 
the Official Gazette or in two (2) newspapers of general circulation.  
 
Approved.