Republic of the Philippines 
House of Representatives 
Quezon City, Metro Manila 
Nineteenth Congress 
First Regular Session 
House Bill No. _______ 
INTRODUCED BY REPRESENTATIVE JURDIN JESUS M. ROMUALDO 
EXPLANATORY NOTE 
This is a refiled bill authored last Congress by Hon. Xavier Jesus D. Romualdo of the 
Lone District of Camiguin and this bill was transmitted to the Senate for appropriate action. 
The explanatory note of the bill last Congress is adopted here to form part of the 
explanatory note for this measure to emphasize the significance of this proposed policy, 
to wit: 
 
“The Public Telecommunications Policy Act of the Philippines (Republic Act No. 
7925) was enacted in 1995, when only 0.77% of Filipinos had access to the 
Internet1. Today, the Philippines has 67 million active users, which ranks 12th 
worldwide in terms of the total number of Internet users.2 However, despite the 
impressive raw numbers, we rank near the bottom in both Internet speed and cost 
tables. Mobile Internet speed is ranked 100th worldwide, while fixed broadband is 
83rd.3 In terms of cost, we are 85th.4 
This contradiction illustrates why there is a need to modernize and rationalize our 
telecommunications law to be more attuned with the current, as well as future, 
landscape. The importance of the Internet in today’s global economy cannot be 
overstated. We need to keep our laws up-to-date in order to foster an environment 
that allows Filipinos to be globally competitive. To achieve this, it is proposed that 
we adopt the following principles: (1.) technology neutrality; (2) universal access; 
and (3) Open Internet. To operationalize these, there is a need to reclassify internet 
access services as distinct from value-added services (VAS), strengthen the 
National Telecommunications Commission (NTC), and expand consumer 
protection. 
Technology Neutrality 
 
Technology neutrality means that the same regulatory principles should apply 
regardless of the technology used. Laws should not be drafted in technological 
silos. Technological neutrality is particularly important in view of the speed of 
1 Individuals using the Internet(% of population), available at: https://data.worldbank.or/Indicator?IT.NET.USER.ZS 
2 PH now has 12th highest  number of Internet users, available at:http://newsbytes.ph/2018/06/10/ph-now-has-
12th-highest-number-of-internet-users/ 
3 Speedtest Global in The Philippines: June 2018, available at:https:///yugatech.com/news/speedtest-global-index-
philippines/#sthash. WONMzBoy.dpbs#48qWovHbSk731D3.97 
4 Worldwide Broadband Price Comparison, available at:https:///www.cable.uk/broadband/deals/worldwide-price-
comparison/ 
July 26, 2022
4:47 pm
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technological innovation and development, and helps to insure that the law is able 
to accommodate future developments and does not quickly become dated. For this 
reason, the provisions of the proposed bill are purposely not over technical and 
are silent with respect to specific technologies (e.g. DSL, fiber, 4Gnetwork, etc.) 
 
Universal Access 
 
 
The Internet has become a pervasive and fundamental part of the daily lives of 
Filipinos. Its impact on both economic development and solving problems in areas 
such as health, education, basic financial services and agriculture is well 
documented. It continues to have the potential to propel societies, help business 
leaders develop innovative business models and assist governments in addressing 
critical policy concerns. Providing every Filipino with access to the Internet is 
therefore and important policy objective. Although our Internet penetration rate is 
above the global average, we still filed to crack the worldwide top 50 in Internet 
penetration rate.5 There remains plenty of room for improvement. 
 
The Public Telecommunications Act made basic telephone service a universal 
service obligation by Telco’s. Today, however, access to the Internet is arguably 
more important than basic landline services. The bill proposes that internet access 
service be made a universal service obligation as well, subject to fair and 
reasonable return on investment by Telco’s. Consistent with the bill’s technology 
neutrality approach, it is up to Telco’s to determine what type of internet service 
(e.g. fixed or mobile) will be provided to subscribers in order to satisfy its service 
obligation.  
 
Open Internet 
 
 
Openness or neutrality is a very significant characteristic of Internet. It works on 
the principle that all web traffic should be treated on an equitable, non-
discriminatory basis no matter it origin or the type of data transmitted. Basically, it 
allows for free and unrestricted access to online content. From an end-user’s 
perspective, it means that anyone from anywhere can access any website and 
express themselves freely without hindrances of whatever kind. Under this 
principle, Telco’s should not have the power to block certain websites or slow down 
internet speeds depending on how much content-providers pay for access to their 
networks. 
 
 
The principle of openness has created a free and vast global business 
environment that makes it possible for Filipinos to thrive in the digital age. Ensuring 
an open internet facilitates innovation, stimulates employment and increases 
economic growth. Internet connectivity is being fully utilized by our booming 
technology startup scene,6 which enables small commercial ventures to grow and 
compete with international corporations located in developed nations through the 
accessibility to the free and open Internet. A discriminatory (non-open) Internet 
threatens to thwart small and micro businesses and increase the digital divide.7 
 
The bill regulates the way that internet service providers (ISP) can deliver 
information to their customers by prohibiting certain activities that threaten 
openness, namely: 
 
 
(1) Blocking – ISPs cannot block legal content, applications, or services. 
                                                          
5 Top 50 Countries with the Highest Internet Penetration Rates, available at 
:https://www.interentworldstats.com/top25.htm 
6 The rising tech start-up scene in the Philippines, available at:https:www.bworldonline.com/the-rising-tech-start-
up-scene-in-the-philippines/ 
7 The Importance of Net Neutrality in the Emerging and Developing World, available 
at:http://old.gfem.or/node/8651 


(2) Throttling – ISPs cannot slow down or degrade internet service based on
content, application, or service accessed by the users.
(3) Paid Prioritization – ISP cannot accept payment to give content,
applications, or services more favorable access to users. Zero-rating, i.e., the
practice of not charging customers for data use on specific websites and
services by ISPs, will be allowed only if the ISP does not receive any
consideration, monetary or otherwise, from the practice.
The main concern of openness is the delivery of and access to information 
through Internet. The bill seeks to restrict the ability of ISPs to block out 
competition by restricting certain pipelines within the Internet. It does not affect 
the ISP’s ability to offer tiered pricing schemes depending on the plan availed 
of by the subscriber. 
Reclassifying Internet Access Services 
 Under the current framework, internet access service is only considered as a 
value-added service (VAS), over which the NTC has minimal regulatory 
authority. Reclassifying internet services not only reflects realities of the time – 
there are now 67 million internet users compared to 3 million fixed-line 
telephone subscribers – but it is necessary to impose access obligations, ensure 
affordability and quality services, and provide basis for the regulator to impose 
administrative sanctions. The fact that there is basically a duopoly in the 
country’s internet services further justify closer regulatory scrutiny of the internet 
service segment. 
 At the same time, true VAS need to be fully competitive. VAS, particularly 
software applications that utilize the Internet, are defined by abundance, not 
scarcity. To foster innovation, improve consumer choices, and support the 
country’s thriving startup ecosystem, it is important that the market for VAS be 
openly competitive and free from unnecessary bureaucracy.  
Strengthening the NTC 
 One of the main weaknesses of the NTC is its inability to impose meaningful 
sanctions to Telco’s. Currently, NTC still has to rely on the old Public Service 
Act, enacted in 1936, when levying administrative fines. The law limits the 
amount of administrative fines to Php 200 per day of each violation. The bill 
brings the range of fines imposable by the NTC at par with other commissions, 
such as the PCC. 
To improve transparency and accountability, NTC as a primary regulator must 
have the power to set minimum standards. This would provide an objective 
measure of an ISP’s performance. The standards must reflect the current 
status of technology and adapt with advances in the industry. 
Expanding Consumer Rights 
 It is important that users of telecommunications services be given the power to 
make informed choices and receive affordable and high quality services. The 
bill establishes norms and standards relating to consumer protection, 
institutionalizes complaints handling procedures, and prohibits certain unfair 
practices in the telecoms industry. The expanded consumer rights complement 
the new duties of service providers and expanded responsibilities of the NTC 
under this bill.” 


The bill last Congress was filed on November 5, 2019 and when it was consolidated 
with similar bills certain terminologies have been updated and ISPs referred to the 
original bill is now referred to the refiled bill as “data transmission industry participant” 
to include all the players in the industry and the refiled bill also mandates NTC to 
maximize the utilization of radio spectrum resources in the transmission of data is 
emphasized to be made available for the use of all registered data transmission 
industry participants. 
Industry data published and available at the datareportal.com last February 2022 
mentioned interesting figures: 
“As of January 2022, the population of the Philippines is reported at 111.8 million 
with 76.01 million internet users and internet penetration rate at 68.0 percent of the 
total population. Published data indicates that internet users in the Philippines could 
have expected internet connection at: 
Median mobile internet connection speed via cellular networks: 18.68 Mbps 
while Median fixed internet connection speed is at 46.44 Mbps. 
If social media users will be used as a benchmark of how many people are 
accessing their accounts and in need of internet, there were 92.05 million users 
reported in January 2022 or 82.4 percent of the total population while in 2021, it was 
around 88.95 million users. Among the social media platforms patronized by Philippine 
users are: Facebook with 83.85 million users from ages 13 and above, You Tube 56.5 
million users, Messenger with 55.15 million users from ages 13 and above, Instagram 
with 18.65 million users from ages 13 and above, while Tiktok had 35.96 million users 
from ages 18 and above. 
While mobile communications users reached 156.5 million connections with 
individuals and businesses having multiple accounts. 8 
With these early data from the first quarter of the year 2022, it is with more 
concern and urgency that we need to have a policy platform that will level the playing 
field and provide consumers better choices. Data transmission end-users deserve to 
have a reliable, effective, efficient, affordable and more choices in their data 
transmission requirements. Our local economy will continue to thrive if data 
transmission industry players will put up better services with very good reliable 
consistent signals not just in urbanized areas but expand to rural areas to attract more 
investors, create more employment and livelihood opportunities and generate 
revenues for the government. 
In view of the foregoing, the prompt approval of this bill is earnestly sought. 
8 Digital 2022:The Philippines, 15 February 2022 by Simon Kemp and available at datareportal.com 


Republic of the Philippines 
House of Representatives 
Quezon City, Metro Manila 
Nineteenth Congress 
First Regular Session 
House Bill No. _______ 
INTRODUCED BY REPRESENTATIVE JURDIN JESUS M. ROMUALDO 
AN ACT 
1 
PROMOTING OPEN ACCESS IN DATA TRANSMISSION AND PROVIDING 
2 
ADDITIONAL POWERS TO THE NATIONAL TELECOMMUNICATIONS 
3 
COMMISSION 
4 
5 
Be it enacted by the Senate and House of Representatives of the Philippines in Congress 
6 
assembled: 
7 
8 
CHAPTER I 
9 
INTRODUCTORY PROVISIONS 
10 
11 
SECTION 1. Short Title. – This Act shall be known as the “Open Access in Data 
12 
Transmission Act”. 
13 
SEC. 2. Declaration of Policy. – It is the policy of the State to narrow the digital divide 
14 
in the country encouraging the development of data transmission infrastructure and 
15 
removing any barrier to competition in data transmission services. Moreover, the State 
16 
shall implement measures to require data transmission service providers to adhere to 
17 
telecommunications standards suitable to the needs and aspirations of the nation and 
18 
ensure that internet users enjoy the best quality of data transmission service. The State 
19 
shall: 
20 
(a) Promote the construction and development of reliable, affordable, open and
21 
accessible data networks that transmit information at speed and quality
22 
comparable to the best in the world;
23 
(b) Create an entrepreneurial ecosystem where persons who wish to engage in the
24 
data transmission industry can compete openly and freely in the spirit of fair
25 
competition and permission-less innovation;
26 
(c) Encourage investments in the digital infrastructure development in the country;
27 
(d) Adopt and ensure open access in the regulation of the data transmission industry;
28 
(e) Protect the public interest as it is affected by its ability to access data networks;
29 
(f) Establish a strong and independent regulatory body and system to ensure and
30 
enhance fair competition in the data transmission industry;
31 
(g) Protect and promote the internet as an open platform enabling consumer choice,
32 
freedom of expression, end-user control, competition and the freedom to innovate
33 
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without permission, and thereby encouraging the development of advanced 
1 
telecommunications capabilities and the removal of barriers to the infrastructure 
2 
investment; 
3 
(h) Encourage infrastructure sharing and co-location in order to promote network 
4 
investment, eliminate the uneconomic duplication of infrastructure facilities, and 
5 
strengthen competition; and 
6 
(i) Ensure efficient and transparent management of the radio frequency spectrum, 
7 
especially those utilized in the delivery of data transmission services. 
8 
SEC. 3. Definition of Terms. – As used in this Act: 
9 
(a) Basic telephone service refers to the local exchange telephone service for 
10 
residence and business establishments provided via the circuit switched telephone 
11 
network; 
12 
(b) Cellular Mobile Telephone Service (CMTS) refers to the wide area mobile radio 
13 
telephone system with its own switch, base stations and transmission facilities 
14 
capable of providing high capacity mobile telecommunications by utilizing radio 
15 
frequencies; 
16 
(c) Content refers to, among others, texts, images, audios, videos, and animations 
17 
that are carried over the broadband/internet network; 
18 
(d) Core or Backbone Network refers to the main line including international 
19 
connection, that ties networks, delivers routes to exchange information among 
20 
various subnetworks, connects regional distribution networks and, in some 
21 
instances, provides connectivity to other peer networks; 
22 
(e) Data transmission refers to the process of sending digital or digitized analog signal 
23 
over a communication medium to one or more computing networks, 
24 
communication or electronic devices. It enables the transfer and communication 
25 
of devices in a point-to-point, point-to-multipoint and multipoint-to-multipoint 
26 
environments. The term data transmission includes the provision of Voice over 
27 
Internet Protocol (VoIP) services but does not include the provision of basic 
28 
telephone services; 
29 
(f) Data transmission industry participant refers to any person, firm, partnership or 
30 
corporation, government or private, engaged in the provision of data transmission 
31 
services to the public. This includes public telecommunications entities (PTEs) that 
32 
offer data transmission services as defined under Republic Act No. 7925, 
33 
otherwise known as the “Public Telecommunications Policy Act of the Philippines”; 
34 
(g) International gateway or landing refers to a segment of data transmission that 
35 
consists of any facility that provides an interface to send and receive data traffic 
36 
between one country’s domestic network facilities and those in another country; 
37 
(h) Last mile refers to the segment of data transmission network that connects end 
38 
users; 
39 
(i) Middle mile refers to the segment of data transmission network that links the last 
40 
mile network to the core or backbone network; 
41 
(j) Open access refers to the system of allowing the use of data transmission or 
42 
distribution systems and associated facilities subject to fair, reasonable, and 
43 
nondiscriminatory terms in a transparent market; 
44 
(k) Paid prioritization refers to the management of a data transmission network to 
45 
directly or indirectly favor some traffic over other traffic, through the use of 
46 
techniques such as traffic shaping, prioritization, resource reservation, zero-rating, 
47 
or other forms of preferential traffic management, either in exchange for 
48 
consideration (monetary or otherwise) from a third party, or to benefit an affiliated 
49 
entity; 
50 
(l) Voice over Internet Protocol (VoIP) service refers to the provision of voice 
51 
communication using Internet Protocol (IP) technology; and 
52 


(m)Passive infrastructure collectively refer to telecommunication towers, poles, cable 
1 
entrances, ducts, utility corridors, and any other non-electronic infrastructure and 
2 
facilities, either existing or to be deployed in the future, that may be used to support 
3 
data transmission. 
4 
 
5 
CHAPTER II 
6 
ORGANIZATION AND OPERATION OF THE DATA TRANSMISSION 
7 
INDUSTRY 
8 
 
9 
SEC. 4. Scope. – This Act applies to all persons who participate in the data 
10 
transmission industry. Any person or entity whose business deals substantially with the 
11 
transmission of data, including VoIP service provider, internet service providers (ISPs), 
12 
and data center service providers, shall be governed by the provisions of the Act. PTEs 
13 
that are principally engaged in the provision of basic telephone services, such as an 
14 
international carrier, interexchange carrier, local exchange operator, and mobile radio 
15 
services provider, as defined in Republic Act No. 7925, and which also provide data 
16 
transmission services, shall likewise be subject to the provisions of this Act with respect 
17 
to the data transmission services they provide and the interconnection to their networks 
18 
that they extend to data transmission industry participants. 
19 
 
20 
SEC. 5. Registration and Certification. – All segments of the data transmission 
21 
network shall be competitive and open. Notwithstanding the provisions of this Act or any 
22 
other law, the following registration and certification shall apply to data transmission: 
23 
(a) All data transmission industry participants shall be required to register with the 
24 
National Telecommunications Commission (NTC). The NTC shall promulgate 
25 
a speedy and expeditious administrative process for registration and shall, in 
26 
coordination with the Department of Information and Communications 
27 
Technology (DICT) for policy and standard-setting in the Information  and 
28 
Communications Technology (ICT) sector, and Philippine Competition 
29 
Commission (PCC) for the promotion of market competition, develop a set of 
30 
criteria for qualifying data transmission industry participants that will encourage 
31 
the widest possible participation of as many industry players as possible who 
32 
will offer data transmission services in all segments of the network and to end 
33 
users in different parts of the country. The qualification requirements for data 
34 
transmission industry participants shall also take national security concerns into 
35 
consideration particularly for facilities that interface directly with another 
36 
country’s domestic network. 
37 
(b) Those who will operate an international cable landing station shall secure a 
38 
legislative franchise. Those who will operate a nationwide backbone network 
39 
shall secure a permit from the NTC and submit its proposed route or rollout 
40 
plan, as well as the manner of construction of the backbone network, subject 
41 
to the approval of the NTC. 
42 
All other industry participants shall not be required to secure a legislative 
43 
franchise or a certificate of public convenience and necessity (CPCN) but must 
44 
meet the criteria set by the NTC and the DICT in registering as industry 
45 
participants in order to construct, operate, lease or own networks or facilities 
46 
except if it owns and operates an international cable landing station: Provided, 
47 
That an owner or operator of a cable landing station, not considered a public 
48 
utility, shall no longer be required to secure a CPCN. All industry participants 
49 
intending to be spectrum holders shall need to secure a permit from the NTC 
50 
and shall be allocated such spectrum in accordance with the provisions under 
51 
Section 7 of this Act. 
52 


c) Data transmission industry participants shall likewise be required to comply 
1 
with national and global best practices and standards on cybersecurity and 
2 
shall be subject to a network audit by the Cybersecurity Bureau of the DICT. 
3 
Data transmission industry participants shall, after three (3) years of operation, 
4 
be required to secure a cybersecurity certification from a third-party 
5 
organization based on  the prevailing International Organization for 
6 
Standardization (ISO) standards on information security management. 
7 
 
8 
CHAPTER III 
9 
REGULATION OF THE DATA TRANSMISSION INDUSTRY 
10 
 
11 
SEC. 6. Open Access Approach to Regulation of the Data Transmission 
12 
Industry. – The NTC shall ensure that the data transmission sector remains 
13 
open and accessible to all qualified participants. Specifically, it shall: 
14 
(a) Implement an efficient and speedy administrative process in the 
15 
authorization and registration of data transmission sector participants; 
16 
(b) Adopt a technology-neutral framework that allows data transmission 
17 
industry participants to use any available technology to provide service; 
18 
(c) Promote fair and open competition in accordance with the principles and 
19 
policies under the Philippine Competition Act and its implementing rules in 
20 
all segments of the data transmission network, allowing a wide variety of 
21 
physical networks and applications to interact in an open architecture; 
22 
(d) Mandate transparency in pricing and the publication of pricing information 
23 
to ensure fair trading within and between each data transmission segment 
24 
so as to allow clear, comparative information on market prices and services; 
25 
(e) Mandate interconnection so that data transmission industry participants can 
26 
connect to each other at the various segments and interfaces, such that 
27 
entities of any size may freely enter and exit the market, and dominance by 
28 
any single player or group of players is avoided; 
29 
(f) Promulgate policies that will encourage distributed local solutions rather 
30 
than centralized ones, encouraging services that are closer to the user; 
31 
(g) Publish the list of registered data transmission industry participants at least 
32 
a year; 
33 
(h) Promulgate, together with the PCC, rules defining and regulating entities 
34 
with substantial market power; 
35 
(i) Publish a Spectrum Management Framework to be developed together with 
36 
the DICT and the PCC; and 
37 
(j) Collect the necessary Supervision and Regulation Fee (SRF) and Spectrum 
38 
User Fee (SUF), and other relevant fees as provided by law. 
39 
SEC. 7. Spectrum Allocation, Recall, and Reallocation. – The NTC shall 
40 
maximize the allocation and assignment of finite radio spectrum resources 
41 
used in the transmission of data by ensuring that the spectrum is made 
42 
available for the use of all registered data transmission industry participants. 
43 
To this end: 
44 
(a) The procedure for radio spectrum assignment, joint use and recall shall be 
45 
made transparent to the public. All applications, including letter requests, 
46 
spectrum assignment, joint use, recall and reallocation shall be posted in 
47 
the NTC website and in a conspicuous place in the offices of the NTC for at 
48 
least three (3) consecutive months. The notice shall specifically indicate the 
49 
names of the applicants for spectrum assignment, joint use and recall, 
50 
including where the NTC itself is the proponent of any such action, the 
51 
affected spectrum, and the applicant’s or NTC’s reasons for the proposed 
52 


spectrum assignment, joint use and recall. The NTC shall not assign, recall 
1 
or allow co-use or joint use of any radio frequency band or bands without 
2 
conducting at least one (1) public hearing and allowing public comment for 
3 
a period of fifteen (15) days from the date of the public hearing, prior to 
4 
approval and/or disapproval of the same. This shall apply to all spectrum, 
5 
whether used for data transmission or not; 
6 
(b) All radio spectrums, radio frequency assignments, recalls, and joint use 
7 
decisions of the NTC shall be published in the NTC website and in a 
8 
conspicuous place in the offices of the NTC for at least three (3) consecutive 
9 
months. The recall of frequency for purpose of free public use shall be given 
10 
priority. 
11 
The immediate preceding paragraphs (a) and (b) herein shall not apply to 
12 
applications for frequency assignments for fixed point-to-point radio links, 
13 
Wi-Fi, and satellite networks; 
14 
(c) The NTC shall avoid the concentration of spectrum resources in the hands 
15 
of a few players and shall not assign, or allow joint use of radio spectrum in 
16 
a manner that establishes, promotes or perpetuates the dominance of 
17 
PTEs. Any entity who believes that any one or more of the NTC’s decisions 
18 
for the assignment of radio spectrum, whether past or present, which will 
19 
promote the dominance of any entity and hinder competition, may file a 
20 
complaint before the PCC to determine the dominance of a data 
21 
transmission industry participant and deal with anti-competitive conduct in 
22 
accordance with its mandate under Republic Act NO. 10667, otherwise 
23 
known as the “Philippine Competition Act”; 
24 
(d) The NTC shall promptly act on applications of data transmission industry 
25 
participants for permits to import equipment. Any application for a permit to 
26 
import equipment that is not acted on by the NTC within seven (7) days shall 
27 
be deemed approved; 
28 
(e) If the NTC finds, on its own initiative or upon complaint, that nay right, 
29 
license or radio spectrum assignment to any data transmission industry 
30 
participant or PTE is not being used, or is not being maximized by the user 
31 
thereof, or that the grantee has violated the provisions of this Act, it may, 
32 
motu propio or upon petition by any person, subject to due process, recall 
33 
the radio spectrum assignment of the data transmission industry participant 
34 
or PTE. The NTC shall, where required and appropriate, work with the data 
35 
transmission industry participant or PTE concerned to take appropriate 
36 
measures to minimize the impact of such recall on active users of services 
37 
utilizing the recalled spectrum. The foregoing notwithstanding, no frequency 
38 
shall be recalled within eighteen (18) months of the awarding of a 
39 
provisional authority or license or registration; and  
40 
(f) The NTC shall ensure that the allocation, reallocation, assignment, 
41 
reassignment, reclassification, joint use or co-use, and recall of spectrum 
42 
does not result in the concentration of spectrum resources which promote, 
43 
establish, or perpetuate the significant market power of PTEs or of only a 
44 
limited number of participants. In instances where the resulting assignment 
45 
of spectrum for mobile and point-to-multipoint networks will give an 
46 
assignee or entities it controls, jointly or singly, or under common control, 
47 
either by virtue of that request or in combination with other previous 
48 
requests by that party or its affiliates, fifteen percent (15%) or above of 
49 
assignable spectrum or a joint use of spectrum shall be required to serve 
50 
notice to the PCC and secure a no-objection notice form the PCC. The PCC 
51 
shall issue a non-objection notice within thirty (30) working days upon its 
52 
receipt of pertinent information necessary for the review and issuance of the 
53 


notice: Provided, That the PCC may once extend such period for an 
1 
additional fifteen (15) working days upon their notification of the NTC and 
2 
the concerned party or parties to a spectrum allocation, reallocation, 
3 
assignment, reassignment, reclassification, joint use or co-use, and recall. 
4 
 
5 
SEC. 8. Setting Performance Standards. – The NTC shall: 
6 
(a) Mandate that, within one (1) year from the effectivity of this Act, all last 
7 
mile providers shall provide a minimum download speed of 2 megabits 
8 
per second or as mandated by the National Broadband, whichever is 
9 
higher, for mobile broadband and for fixed wireless/broadband access; 
10 
(b) Prescribe performance standards after public consultation and hearings 
11 
within six (6) months from the effectivity of this Act; 
12 
(c) Regularly upgrade performance standards imposed on the data 
13 
transmission industry to ensure that performance standards shall, at a 
14 
minimum, be at par with service levels established in regional data 
15 
network performance indices and aligned with international best 
16 
practices. Such standards shall take into account speed, packet loss, 
17 
jitter and latency; 
18 
(d) Regularly review performance standards at least once a year and 
19 
publish new performance standards at least thirty (30) days before they 
20 
take effect. The publication of the results of the performance 
21 
measurements shall be done in an open data format and made 
22 
accessible to the general public; 
23 
(e) Any person, or the NTC itself, may, motu propio, file a petition to penalize 
24 
any data transmission industry participant for failure to deliver service 
25 
according to the NTC’s published performance standard and to require 
26 
rectification of such noncompliance; and 
27 
(f) Measure the performance of the data industry participants quarterly and 
28 
publish the results of its assessment in its website. 
29 
SEC. 9. Arms-length Transactions and Transparency. – The NTC shall: 
30 
(a) Publish and make available in print and online formats all aspects of 
31 
spectrum use information, including the National Radio Frequency 
32 
Allocation Table (NRFAT), indicating therein the purpose or use to which 
33 
each frequency band is allocated, and, for frequency bands allocated for 
34 
public use, the persons and/or entities to whom each particular 
35 
frequency is assigned. The NRFAT and updated radio spectrum use 
36 
information shall be made available on the NTC’s website and to any 
37 
person who requests the same, upon written request; and 
38 
(b) Promulgate rules requiring all data transmission industry participants to 
39 
file an annual report and include therein a fair and accurate statement 
40 
regarding their market prices and their services. The annual report shall 
41 
include all costs and charges relevant to the data transmission network 
42 
segment where the participants operate. The rates shall be made 
43 
available online, in print and in any other viable venue to the public. Any 
44 
person can file a complaint pertaining to these rates within thirty (30) 
45 
days of posting. Each player at each segment shall submit a copy of 
46 
their rates to the NTC and the PCC. The rates shall be published, 
47 
including a historical record, in a consolidated manner. The data 
48 
transmission industry participants shall keep a publicly accessible 
49 
archive of their rates. 
50 
 
51 


SEC. 10. Fair Competition. – The PCC and the NTC shall ensure that 
1 
the principles and policies enshrined under the Philippine Competition 
2 
Act are strictly adhered to in the data transmission industry. The PVV 
3 
and the NTC shall ensure that all industry players observe fair, 
4 
reasonable, and nondiscriminatory treatment in all their dealings, and 
5 
that barriers to entry are eliminated to make the industry highly 
6 
competitive. To this end, within thirty (30) days from the effectivity of this 
7 
Act, the PCC and the NTC shall enter into an agreement to foster and 
8 
develop interagency cooperation mechanisms, including information-
9 
sharing tools that will guide them in the performance of their respective 
10 
mandates, and in the promotion of fair competition in the data 
11 
transmission industry. 
12 
 
13 
SEC. 11. Technological Neutrality. – The NTC shall ensure that the 
14 
provisions of this Act apply, mutatis mutandis, to future technologies in 
15 
data transmission. 
16 
 
17 
SEC. 12. Infrastructure Sharing and Co-location. – The DICT and the 
18 
NTC shall promulgate policies, rules, and regulations to ensure that 
19 
passive infrastructure, whether existing or built in the future, necessary 
20 
or capable of supporting data transmission networks or services are: 
21 
(a) made mandatory for open access and made available for co-
22 
location and co-use by the owner of network facilities, equipment, 
23 
and infrastructure on an open, fair, and nondiscriminatory basis 
24 
to any access seeker’s network facilities, in any segment, subject 
25 
to the technical feasibility of the access seeker’s request and the 
26 
network facility and infrastructure owners’ standard published 
27 
offer terms, conditions, and rates: Provided, That the provision of 
28 
access to government-owned and operated facilities and support 
29 
infrastructure to access seekers for the purpose of offering data 
30 
transmission services shall be mandatory, unless special 
31 
circumstances, such as but not limited to national security 
32 
concerns, exist; 
33 
(b) built not only in the city centers, but most especially in the remote, 
34 
unserved, and underserved areas in order to extend data 
35 
transmission services by both this existing and new players 
36 
throughout the country; 
37 
(c) as far as possible, deployed together with roadworks, pipe-laying, 
38 
and other infrastructure development by both government and 
39 
private entities; and 
40 
(d) proliferated in the most cost-efficient and timely manner through 
41 
various means, including, encouraging the operation of 
42 
independent entities that build and operate towers, dark fiber, and 
43 
utility corridors, among other passive infrastructure that help 
44 
facilitate data transmission network deployment. 
45 
The DICT shall coordinate and issue a policy with other relevant 
46 
government agencies upon consultation with stakeholders to implement this 
47 
provision. For purposes of data transmission, the NTC shall, in case of a 
48 
dispute arising from an infrastructure sharing agreement: (1) mediate 
49 
between a data transmission industry participant and an infrastructure 
50 
owner, and (2) serve as the primary enforcer of this provision. 
51 


The DICT and the NTC shall promulgate policies, rules, and regulations to 
1 
ensure that buildings, condominiums, villages, towns, and subdivisions are 
2 
all built with facilities, such as cable entrances, ducts, and risers, that allow 
3 
nondiscriminatory access to multiple data transmission industry players in 
4 
order for them to provide service. They shall also promulgate policies, rules, 
5 
and guidelines that will ensure a level-playing field and price 
6 
nondiscrimination among data transmission industry participants and 
7 
network facility and infrastructure owners. 
8 
The DICT and NTC, in coordination with relevant government agencies, 
9 
shall also ensure the disaster resiliency and ease of recovery and 
10 
restoration of passive infrastructure, such as towers, poles, and utility 
11 
corridors, from the effects of disasters by strictly enforcing compliance with 
12 
internationally-accepted engineering standards and best practices, and 
13 
relevant engineering codes and codes of practice. 
14 
The DICT and the NTC shall maintain an updated database of data 
15 
transmission infrastructure, including passive infrastructure used to support 
16 
data transmission. The database, to be updated annually, shall include the 
17 
exact location, ownership, technical specifications, and other relevant 
18 
information about the facility. 
19 
 
20 
CHAPTER IV 
21 
PROHIBITED ACTS 
22 
 
23 
SEC. 13. Prohibited Act. – The following are prohibited: 
24 
(a) Refusal to Plug and Play. – Any data transmission industry participant, 
25 
insofar as such person is engaged, shall not refuse access to infrastructure 
26 
to any other data transmission industry participant, except for failure to pay 
27 
open market fees for the access to the service. 
28 
Data transmission industry participants shall not impede the end-user’s right 
29 
to access and distribute information and content, use and provide 
30 
applications and services and use terminal equipment of their choice, 
31 
regardless of the end user’s or provider’s location or the location, origin or 
32 
destination of the information, content, application or services via their data 
33 
transmission service. 
34 
Agreements between data transmission providers of data services and end 
35 
users on commercial and technical conditions and the characteristics of 
36 
data access services such as price, data volume or speed, and any 
37 
commercial practices conducted by providers of internet access services 
38 
shall not limit the exercise of the rights of end users laid down in in the 
39 
preceding paragraph; 
40 
(b) Paid Prioritization. – A data transmission industry participant shall not 
41 
engage in paid prioritization for monetary of other consideration except 
42 
when allowed by the NTC after such participant demonstrates that the 
43 
practice will provide significant public interest benefit and will not 
44 
disadvantage content and applications that are not prioritized or harm the 
45 
open nature of the internet; 
46 
(c) Throttling – A data transmission industry participant shall treat all traffic 
47 
equally when providing data access services without discrimination, 
48 


restriction or interference regardless of the sender and receiver, the content 
1 
accessed or distributed, the applications or services used or provided, or 
2 
the terminal equipment used. 
3 
It shall be prohibited for a data transmission industry participant to hinder or 
4 
slow down services or applications or access to specific sites in the internet 
5 
except where (1) access to such sites, services or applications are 
6 
prohibited by law; (2) it is necessary to preserve the integrity and security 
7 
of the network and service of the provider or the equipment of the end user: 
8 
Provided, That if the breach of integrity or security is caused by the 
9 
equipment of the end user, the provider has to notify the end user first and 
10 
give the former sufficient time to rectify the situation; and (3) it is necessary 
11 
to block the transmission of unwanted communications such as spam and 
12 
child pornographic materials upon the complaint of the end user or the data 
13 
transmission industry participant; 
14 
(d) Refusal to Give Information. – It shall be prohibited for any data 
15 
transmission industry participant, including PTE’s with regard to its network 
16 
and facilities, to refuse or fail to make available to suppliers of data 
17 
transmission services, on a timely basis, the technical information about its 
18 
essential facilities or network facilities and commercially relevant 
19 
information that are necessary for the efficient provision of their services; 
20 
and  
21 
(e) Anti-competitive Cross-subsidization. – The NTZC shall require 
22 
separate books of accounts between different data transmission segments 
23 
in order to allow identification of costs and revenues for each segment. Any 
24 
violation of this provision shall give rise to a presumption of anti-competitive 
25 
cross-subsidization, which shall then be referred to the Philippine 
26 
Competition Commission for proper determination and action, in 
27 
accordance with the provisions of Republic Act No. 106667. Nothing herein 
28 
shall prevent interconnecting networks from charging the appropriate cost-
29 
based compensation for the use of interconnection facilities. 
30 
SEC. 14. Administrative Penalties. – The NTC shall require data 
31 
transmission industry participants and PTEs providing data transmission 
32 
services to comply with prescribed performance standards and shall impose 
33 
penalties for failure to comply with such performance standards. 
34 
 
(a) Any data transmission industry participant who fails to comply 
35 
with the minimum service standards set by the NTC shall be imposed a 
36 
minimum penalty of a fine of not less than One hundred thousand pesos (P\ 
37 
100,000.00) but not more than Five million pesos (P\5,000,000.00) per day 
38 
for every day during which such default or violation continues, until the 
39 
participant fully complies: Provided, That if the data transmission industry 
40 
participant has a gross annual income not exceeding Ten million pesos, the 
41 
penalty that may be imposed shall be equivalent to one percent (1%) to two 
42 
percent (2%) of its gross annual income. The NTC is hereby authorized and 
43 
empowered to impose such fine, after due notice and hearing. 
44 
 
(b) An entity who fails to substantially comply with the NTC’s 
45 
performance standards for three (3) consecutive years shall, subject to due 
46 
process, be removed from the registry of registered data transmission 
47 
industry participants and shall be prohibited from rendering data 
48 
transmission services. 
49 


(c) Any data transmission industry participant who engages in the prohibited 
1 
Acts under Section 12 of this Act or fails to comply with the performance 
2 
standards set by the NTC shall suffer a minimum penalty of a fine of not 
3 
less than Three hundred thousand pesos (P\300,000.00) for every day that 
4 
the violation continues until the participant fully complies: Provided, That if 
5 
the data transmission industry participant has a gross annual income not 
6 
exceeding Ten million pesos (P\10,000,000.00), the penalty that may be 
7 
imposed shall be equivalent to one percent (1%) to two (2) percent of its 
8 
gross annual income. In cases of anti-competitive cross-subsidization, the 
9 
imposable penalties are those provided under Republic Act No. 10667. 
10 
(d) A data transmission industry participant violating any provision of this 
11 
Act shall forfeit all certificates, licenses, authorizations, rights, and awards 
12 
issued to it in relation to its participation in the data transmission industry. 
13 
(e) Any other violations not specifically penalized under the relevant 
14 
provisions of this Act shall be penalized by a fine of not less than Fifty 
15 
thousand pesos (P\50,000.00) and not more than Two million pesos 
16 
(P\2,000,000.00). 
17 
SEC. 15. Adjustment for Inflation. – The fines imposed under this Act 
18 
shall be adjusted by the NTC, year-on-year, considering the prevailing cost 
19 
of money based on the current consumer price index, and subject to 
20 
publication of such adjustments. 
21 
 
22 
CHAPTER V 
23 
RIGHTS OF DATA TRANSMISSION SERVICE USERS AND 
24 
RESPONSIBILITIES OF DATA TRANSMISSION SERVICE PROVIDERS 
25 
 
26 
SEC. 16. Rights of End Users. – The user of data transmission services 
27 
shall have the following basic rights: 
28 
(a) To be entitled to data transmission services which is nondiscriminatory, 
29 
reliable and conforming with minimum standards set by the NTC; 
30 
(b) To be rendered data transmission services within two (2) months from 
31 
application for service; 
32 
(c) Regular, timely and accurate billing, courteous and efficient service at 
33 
business offices and by company personnel; 
34 
(d) Timely correction of errors in billing and the immediate provision of 
35 
rebates or refunds by the data transmission service provider without the 
36 
need for demand by the user; and 
37 
(e) Thorough and prompt investigation of, and action upon complaints. The 
38 
data transmission service provider shall endeavor to allow complaints to be 
39 
received by any means convenient to the end user, including voice calls, 
40 
post, short messaging services (SMS), multi-media messages (MMS) and 
41 
online communication, and shall keep a record of all complaints received 
42 
and the action taken to address the complaints. 
43 
Subject to the filing of a formal request to the data service provider, a user 
44 
may request the immediate termination of service without the imposition of 
45 
fees or penalties, and with the refund of any fee or charge already paid by 
46 
the user, should a data service provider not consistently comply with 
47 


paragraphs (a), (d), and (e) of this section or any other minimum 
1 
performance standards set by the NTC. 
2 
 
3 
CHAPTER VI 
4 
FINAL PROVISIONS 
5 
 
6 
SEC. 17. Expedited Processing. – In all instances where a participant in 
7 
the data transmission industry shall require a form, certificate, or request 
8 
from any government agency or local government unit (LGU), there should 
9 
be no more than two (2) public officers involved in processing the form, 
10 
certificate, or request. 
11 
Processing fees and certifications required for the deployment of any 
12 
segment of data transmission networks shall be limited to those identified 
13 
by the DICT. The DICT shall coordinate with the concerned national 
14 
government agencies and LGUs, and conduct the necessary consultations 
15 
with civil society organizations and other stakeholder groups, for the 
16 
development of the implementing rules and policies to minimize the 
17 
administrative burden of permitting and certification processes. 
18 
SEC. 18. Implementing Rules and Regulations. – Within sixty (60) days 
19 
from the effectivity of this Act, the NTC shall promulgate the necessary rules 
20 
and regulations for its effective implementation. 
21 
SEC. 19. Joint Congressional Oversight Committee on Open Access 
22 
in Data Transmission. – There shall be created a Joint Congressional 
23 
Oversight 
Committee 
on 
Open 
Access 
in 
Data 
Transmission 
24 
(JCOCOCADT) 
which 
shall 
monitor 
and 
ensure 
the 
effective 
25 
implementation of this act. It shall determine weaknesses and loopholes in 
26 
the law, recommend the necessary remedial legislation or administrative 
27 
measures and perform such other duties and functions as may be 
28 
necessary to attain the objectives of this Act. 
29 
The JCOCOADT shall be composed of five (5) members from the Senate 
30 
and five (5) members from the House of Representatives, in addition to the 
31 
Chairperson of the Senate Committee on Science and Technology and the 
32 
Chairperson of the Committee on Information and Communication 
33 
Technology: Provided, That two (2) members of each chamber’s nominees 
34 
shall come from the ranks of the minority party/bloc. 
35 
The Chairperson of the Senate Committee on Science and Technology and 
36 
the Chairperson of the House of Representatives Committee on Information 
37 
and Communications Technology shall act as Co-Chairpersons of the 
38 
JCOCOADT. The ranking minority members nominated by both the Senate 
39 
and the House of Representatives shall act as Co-Vice Chairpersons. The 
40 
Secretariat of the JCOCOADT shall come from the existing Secretariat 
41 
personnel of the Committee on Science and Technology of the Senate and 
42 
the Committee on Information and Communications Technology of the 
43 
House of Representatives. The JCOCOADT shall have its own independent 
44 
counsel. 
45 
The JCOCOCADT shall exist for a period not exceeding five (5) years from 
46 
the effectivity of this Act. Thereafter, its oversight functions shall be 
47 
exercised by the Senate Committee on Science and Technology and the 
48 


House of Representatives Committee on Information and Communications 
1 
Technology, acting separately. 
2 
SEC. 20. Separability Clause. – Should any provision herein be declared 
3 
unconstitutional, the other provisions not affected shall remain in full force 
4 
and effect. 
5 
SEC. 21.Repealing Clause. – All laws, decrees, orders, rules and 
6 
regulations or other issuances or parts inconsistent with the provisions of 
7 
this Act are hereby repealed, amended, or modified accordingly. 
8 
 
9 
SEC 22. Effectivity. – This Act shall take effect fifteen (15) days after its 
10 
publication in the Official Gazette or in a newspaper of general circulation. 
11 
Approved. 
12 
 
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21 
 
22