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Republic of the Philippines 
HOUSE OF REPRESENTATIVES 
Quezon City 
Nineteenth Congress 
Second Regular Session 
HOUSE BILL NO. __________ 
__________________________________________________________________________ 
Introduced by Representative JOEY SARTE SALCEDA 
__________________________________________________________________________ 
AN ACT 
DEREGULATING SATELLITE-BASED TECHNOLOGIES, 
MANDATING RELEVANT AGENCIES TO PROMOTE THE 
DEVELOPMENT OF SATELLITE-BASED TECHNOLOGIES 
DEDICATED TO EDUCATION AND OTHER CIVIC CAUSES 
EXPLANATORY NOTE 
A quarter of a century after the Internet was introduced to the Philippines, 40% of Filipinos, 
52% of public schools, and 57% of households still do not have access to the internet. This is 
an alarming number, as the country relies heavily on internet-heavy industries such as the 
Business Process Outsourcing (BPO) sector and its affiliate industries for growth and high-
quality employment.  
Furthermore, the country’s average internet speed is one of the slowest in Asia and is the 
slowest in Southeast Asia. While the average ASEAN internet speed is 12.4 mbps, Philippine 
average speed is at 3.6 mbps1.  
Problems of developing traditional fiber-optics-based technologies are compounded by the fact 
that the country’s terrain is rugged in many regions, and that the country itself is divided into 
numerous islands, which makes the financial incentives for building internet facilities, which 
tend to be expensive and require long periods of use before returns are achieved, markedly less 
attractive in remote areas.  
In fact, much of the country’s underserved areas are in regions of Luzon island. In the Visayas, 
where major island groups may not be large enough to attract investment in internet 
infrastructure, internet use is at the lowest level in the country, at 34%. 
1 “Monthly Comparisons of Internet Speeds from around the World” (Speedtest Global Index) 
<https://www.speedtest.net/global-index> accessed July 8, 2020 
July 1, 2022
8:00 am
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Source: Social Weather Station. 2019. First Quarter 2019 Internet usage steady at 46% of 
adult Filipinos; DICT. 2017. National Broadband Plan 
Clearly, there is a need for alternatives to land-based internet infrastructure, given the country’s 
geographic characteristics.  
Satellite as a cheap, viable alternative 
Satellite-based broadband as one of the country’s modes for making Internet access more 
inclusive and more diffuse is an alternative that can be quickly and easily deployed. Because 
they do not rely on wire-based systems, satellite-based internet can service rural areas and even 
the most far-flung islands of the country. 
Satellite-based internet is also becoming more capable of delivering bandwidth similar to that 
of traditional, fiber-based systems. The specific requirements for connecting to satellite – 
setting up a hub and a network of so-called very small aperture terminals (VSATs), which 
could then be used to distribute bandwidth across end-users through cable or Wi-Fi – is ideal 
for public schools and community centers in remote or rural areas. 
In countries with similar geographic and socioeconomic issues around internet access 
inclusivity, satellite technology is already being used. In Japan, an archipelago like the 
Philippines, with its own rural areas far from usual metropolitan regions, mobile service 
provider SoftBank has deployed 460,000 Wi-Fi hotspots nationwide connected via satellite 
broadband. 
In Indonesia, a country with almost exactly the same geographic and socioeconomic concerns 
as ours, Bank Rakyat Indonesia has a nationwide deployment of 51,000 VSATs to connect its 
regional bank branches and ATMs. The bank launched its own satellite worth $200 million in 
2016. 


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In India, GSAT-3, known as EDUSAT, was launched as a satellite meant for distant classroom 
instruction, and is a dedicated "Educational Satellite" that enables two-way communication 
between the classroom and the hub that provides differentiated content (in as many as 400 
dialects and languages). 
The role of satellite technology in developing the digital economy, and satellite-based 
learning 
COVID-19 has made internet connectivity almost an essential part of the country’s economic 
continuity and recovery strategy. Without internet connectivity, the country’s work-from-home 
programs would fall flat.  
Even with internet connection, however, the country’s slow internet speeds and expensive 
internet costs are making work-from-home and distant-learning strategies difficult and costly 
to execute. In a country where enrollment is far from universal in many areas, despite public 
education being entirely free, the costs associated with connecting to the internet are an added 
burden to already-struggling families and can further dissuade students from enrolling during 
COVID-19.  
Although a vaccine will probably come before the country is able to develop satellite-based 
systems that could be rolled-out in schools and homes, COVID-19 has served as something of 
a stress test for the country’s internet connectivity and how the lack of it will impact our 
economic and developmental outcomes. We urgently need improvements in internet 
connectivity if we are to compete in a more digital world economy. 
Current policy 
According to the Department of Information and Communication Technology (DICT), there 
are 48 satellites ready to deliver bandwidth to the Philippines. However, current policy on the 
use of satellites, as codified in Executive Order No. 467 (1998), restricts the Access to 
International Fixed Satellite Systems to “enfranchised telecommunications entities duly authorized by 
the National Telecommunications Commission (NTC) to provide international telecommunications 
services,” and broadcast service providers. 
Although intended to break the monopoly of PHILCOMSAT in the 1990s, it has since become 
a barrier to other players, like Internet service providers, from accessing alternative 
connectivity solutions.  
Proposed changes 
Under this bill, access to satellite-based technology will be made more inclusive, and the 
regulatory framework will be made clearer. 
The Department of Information and Communication Technology (DICT) is more explicitly 
mandated to be the agency in-charge of regulating the use of satellite-based technologies 


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outside commercial telecommunications. This broadened mandate seeks to ensure that 
satellite-based systems are viewed from a lens broader than the understandably telco-centric 
view of the National Telecommunications Commission (NTC). It also allows a more 
developmental perspective to satellite-based systems. 
The bill also allows Internet service providers and value-added services (VAS) providers to 
build and operate their own network using satellite technology. This will broaden competition 
among ISPs, and eventually lower costs and improve benefits for the consumer.  
It also encourages government organizations, public and non-profit private educational 
institutions, volunteer organizations engaged in education, environmental management, 
climate change management, disaster preparedness and crisis response to own and operate 
satellite-based technology in order to aid and augment their activities. This will democratize 
internet access, and allow it to be used more broadly for civic causes, especially education.  
This bill also complements this author’s proposals for faster internet (HB 312), Schools of the 
Future (HB 311), Comprehensive Education Reform (HB 6247), and skills-based education 
(HB 6287).  
In view of the foregoing, the approval of this bill is urgently sought. 
JOEY SARTE SALCEDA 


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Republic of the Philippines 
HOUSE OF REPRESENTATIVES 
Quezon City 
Nineteenth Congress 
First Regular Session 
HOUSE BILL NO. __________ 
__________________________________________________________________________ 
Introduced by Representative JOEY SARTE SALCEDA 
__________________________________________________________________________ 
AN ACT  
DEREGULATING SATELLITE-BASED TECHNOLOGIES, 
MANDATING RELEVANT AGENCIES TO PROMOTE THE 
DEVELOPMENT OF SATELLITE-BASED TECHNOLOGIES 
DEDICATED TO EDUCATION AND OTHER CIVIC CAUSES 
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 “Satellite-Based Technologies 
Promotion Act”. 
SEC. 2. Declaration of Policy. – It shall be declared the policy of the State to promote broad 
and inclusive access to the internet and the availability of high-speed internet services, as well 
as the accessibility of affordable satellite-based technologies, as crucial for encouraging 
economic growth, opportunities for decent employment in the countryside, and improvements 
in educational outcomes. 
Towards these ends, the State shall deregulate access to satellite-based services and 
encourage their use in the countryside and by educational institutions and cause-oriented civic 
organizations. 
SEC. 3.  Definition of Terms. – As used in this Act; 
a) Internet service providers (ISPs) refer to organizations that provide services for
accessing, 
using, 
or 
participating 
in 
the 
internet, 
whether 
as
commercial, community-owned, non-profit, or private-owned organizations;
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b) Satellite-based technologies  refer to communications technologies that employ 
infrastructure and mechanisms with the ability to transmit and receive signals from 
earth and to retransmit those signals back with the use of a transponder which is an 
integrated receiver and transmitter of radio signals; 
c) Satellite Global Broadband Network (SGBN) refers to a global satellite network 
employing portable terminals such as the broadband global area network (BGAN) 
which makes available services such as high speed internet, phone, facsimile, short 
message texting, and streamlining services;  
d) Value-added service (VAS) providers refer to providers of non-core 
communications services, or, in general, all services beyond standard voice calls 
and facsimile transmissions; and 
e) Very-small-aperture terminal (VSAT) refers to a two-way satellite ground station 
with a dish antenna, typically not more than four (4) meters in diameter, and whose 
technical specifications the Department of Information and Communication 
Technology (DICT) may further define. 
 
SEC. 4. Additional Mandate to the Department of Information and Communications 
Technology (DICT). – To expand access to satellite-based technologies as an alternative 
connectivity solution for making distance-based learning more inclusive, the DICT shall: 
a) Pursue policies to secure necessary orbital slots for prospective Philippine satellites, 
especially those dedicated to education and missionary internet connectivity in the 
countryside; 
b) Work with relevant agencies to encourage the commercial development of 
technologies complementary to satellites-based technologies, especially those 
dedicated to education; 
c) In coordination with the Philippine Space Agency (PhilSA), issue rules and 
regulations on the development, use, and maintenance of satellite-based 
technology; 
d) Perform such other functions as may be relevant to its work as the principal policy 
and development agency for satellite based technology. 
 
SEC. 5. Policies on the Use of Satellite Technology. – The government shall promote the use 
of satellite services as a means of making education more inclusive and more technologically-
ready. 


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To promote the expansion of satellite-based networks, particularly in rural areas, and 
in areas with limited fixed or cellular mobile network connectivity, value-added service (VAS) 
providers and internet service providers (ISPs) shall be allowed to own and operate networks 
utilizing satellite global broadband network (SGBN) such as very small aperture terminals 
(VSATs), broadband global area network (BGAN) and other similar technologies without need 
of a franchise and a provisional authority or Certificate of Public Convenience and Necessity 
(CPCN) from the National Telecommunications Commission (NTC). VAS providers and ISPs 
shall, however, comply with existing policies requiring registration of VAS and ISP offerings 
and submission of their schedule of rates. 
The NTC shall comply with international regulations on the allocation and use of 
frequency for satellite services, and shall not re-allocate them to the detriment of users of 
VSAT, or other SGBN. It shall likewise ensure the availability of satellite frequencies for the 
use of VAS providers and ISPs. The NTC shall issue the rules and regulations necessary for 
the implementation of portions of this paragraph that require administrative and regulatory 
oversight. 
 
SEC. 6. Promotion of Satellite-based Technologies Among Education and Cause-oriented 
Civic Organizations. –  Government organizations, public and non-profit private educational 
institutions, volunteer organizations engaged in education, environmental management, 
climate change management, disaster preparedness and crisis response shall be allowed to own 
and operate satellite-based technology in order to aid and augment their activities. The NTC 
shall, within thirty (30) days upon the effectivity of this Act, establish an expeditious 
administrative process to allow such entities to apply for permits to import and or own such 
technology. The Anti-Red Tape Authority shall ensure that the procedures set forth by the NTC 
pursuant to this section, complies with Republic Act No. 9485, or the Anti-Red Tape Act of 
2007. 
 
SEC. 7. Implementing Rules and Regulations. Unless otherwise stated, the DICT shall, in 
coordination with the NTC, PhilSA and in consultation with relevant groups and sectors, issue 
the rules and regulations to implement this Act within ninety (90) days from the date of its 
effectivity. 
 


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SEC. 8. Separability Clause. – If for any reason, any part or provision of this Act is declared 
invalid or unconstitutional, any part or provision not affected thereby shall remain in full force 
and effect.  
 
SEC. 9. Repealing Clause. –  The provisions of Executive Order No. 467 (s. 1998) that are 
inconsistent with this Act are hereby repealed or modified accordingly. All other laws, decrees, 
rules and regulations inconsistent with the provisions of this Act are hereby repealed or 
amended accordingly. 
 
SEC. 10. Effectivity. –  This Act shall take effect fifteen (15) days after its publication in the 
Official Gazette or in a newspaper of general circulation.  
 
Approved,