Republic of the Philippines 
HOUSE OF REPRESENTATIVES 
Quezon City 
NINETEENTH CONGRESS 
First Regular Session 
HOUSE BILL NO. ____ 
Introduced by HON. LUIS RAYMUND “LRAY” F. VILLAFUERTE, JR. AND 
HON. BRIAN RAYMUND S. YAMSUAN 
EXPLANATORY NOTE 
Communication in the information age continues to be an effective tool for nation-
building. Mobile phones have become such a vital part of a Filipino's life that so rarely 
do you see a person without a phone on hand. Hence, the government must ensure 
that telecommunication services being provided to its citizens are affordable, 
accessible, and efficient.  
We have all heard horrendous stories of over-charges imposed on subscribers' bills; 
the slow network signal that has cut off an important call or two; the sudden loss of 
load credits that leave prepaid users wondering in contempt; and the spam text 
messages promoting certain products and job offerings. Telecommunications 
companies have time and again given its subscribers below-par services and have 
failed to ultimately deliver genuine improvement on their part. Further, this sector 
persists to be an oligopoly that the state is obliged to keep an eye on. 
This bill seeks to protect the interests of Filipino mobile service consumers by 
regulating prices, requiring proper detailed billing for both prepaid and postpaid 
subscriptions, full mobile number portability, and further service improvements 
In view of the foregoing, the immediate passage of this bill is earnestly sought. 
LUIS RAYMUND “LRAY” F. VILLAFUERTE, JR. 
BRIAN RAYMUND S. YAMSUAN 
May 9, 2023
8:00 am
7982


Republic of the Philippines 
HOUSE OF REPRESENTATIVES 
Quezon City 
NINETEENTH CONGRESS 
First Regular Session 
HOUSE BILL NO. ____ 
Introduced by HON. LUIS RAYMUND “LRAY” F. VILLAFUERTE, JR. AND 
HON. BRIAN RAYMUND S. YAMSUAN 
AN ACT 
PROTECTING THE RIGHTS OF MOBILE PHONE SUBSCRIBERS 
THROUGH ESTABLISHING THE MINIMUM STANDARDS IN THE QUALITY OF 
PHONE SERVICES, REGULATION OF PRICES, TRANSPARENCY IN BILLING 
AND OTHER SERVICE IMPROVEMENTS 
Be it enacted by the Senate and the House of Representatives of the Philippines in 
Congress assembled: 
SECTION 1. Short Title. – This Act shall be known as the “Mobile Subscribers 
Protection Act”.  
Sec. 2. Declaration of Policy. – It is hereby declared the policy of the State to protect 
the rights and interests of the consumers, promote their general welfare by enforcing 
strict but reasonable supervision and regulation of the telecommunications industry 
Towards this end, a minimum standard of service quality shall be set and regulation 
of prices being charged to subscribers shall be fixed. It Shall require Cellular Mobile 
Telecommunications 
(CMTS) 
providers 
to 
file 
petitions 
to 
the 
National 
Telecommunication Commission (NTC) whenever price adjustments on mobile phone 
service fees are proposed and Other service improvements imposed by the State. 
Sec. 3. Definition of Terms. – 
a.
NTC refers to the National Telecommunications Commission
b.
Mobile Phone Service Provider, Serco Provider or Telecommunication
Company – refers to any person, firm or partnership or corporation, government
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or private, granted a legislative franchise by Congress to provide cellular mobile 
telephone services to the general public, and issued certificates of public 
convenience and necessity (CPCN) by the NTC, Mobile Cellular Phone,  
c.  
Mobile Phone or Cellphone — refers to a mobile telecommunication device that 
uses a combination of radio transmission and conventional telephone switching 
to permit telephone communication to and from mobile users within a specified 
area or cell. 
d.  
Basic Mobile Phone Services — refers to short messaging service (SMS) or 
text misgiving end voice call services. 
e.  
Short Messaging Service (SMS) — refers to a service that allows short, 
alphanumeric messages to be sent to cellular phone display panels. 
 f.  
Supplemental Mobile Phone Services — refers to extended services offered by 
service providers to individual consumers, such as, but not limited to, 
multimedia messaging services (MMS), data download and subscription 
services for news, horoscopes, games recorded messages, logos, pictures, 
applications, etc.; alert services; browsing services such as wireless application 
protocol (WAP) and general packet radio services (GPRS); locator services, 
and prepaid subscriber-to-subscriber credit transfer services.  
g.  
Global System for Mobile Communications (GSM) — refers to the globally 
accepted defector standard for digital cellular communications, which was 
tasked to formulate specifications for a Pan European mobile cellular radio 
system operating at 90CMHz_ Modern GSM, however, uses frequency ranging 
from 1850 to 1990MHz and uses narrowband Time Division Multiple Access 
(TDMA) method_  
h.  
Third Generation Mobile Telephone Technology or 3G — refers to the group of 
International Telecommunications Union (ITU) standard access methods and 
protocols that provide for wide wireless network at higher bandwidths (higher 
than 2G) making ease of access to voice and data transmission. Current 
standard allows for 3G technology provided services involving the transmission 
of text, digitized voice, video and multimedia in cellular networks to be faster. 
i.  
Subscriber Identity Module (SIM) — refers to a pocket-sized card with 
embedded integrated circuits, which securely stores the key data identifying a 
mobile phone service subscriber, as well as subscription information, 
subscriber preferences and text messages. 


 
j.  
Prepaid Subscriber — refers to a subscriber who manually loads credits to 
his/her mobile cellular phone and is thus, not subjected to a periodical billing 
for mobile phone service usage. 
k.  
Postpaid Subscriber — refers to subscribers billed for mobile phone services 
after the lapse of a set period of time- 
l.  
Network Latency refers to the round-trip time it takes for data to travel from the 
source to the ultimate destination end a response jack to the source. 
m.  
Propagation Delay — refers to the time required for data to travel over networks 
from the source to the ultimate destination. 
n.  
Noise — refers to undesirable signals, in relation to communications, from 
natural to technological sources, which were added in the signals of 
communication systems. 
o.  
Advertisement — shall refer to the product or service information sent by mail 
or disseminated through commerce by print radio, television, outdoor public 
announcement or notice, or other media for the purpose of inducing directly or 
indirectly, the purchase of consumer products or services. 
 
Sec. 4. Establishment of Standards Regarding the Quality of Commercial Mobile 
Service. 
A.  
In General, the National Telecommunications Commission (NTC) shall 
establish such requirements as the NTC considers appropriate to ensure the 
Telecommunication Companies meet the minimum standards regarding the 
quality and performance of such service which shall include, but not limited to, 
standards regarding, 
a. 
Rate of completed/successful calls; 
b. 
The acceptable level of nose during calls; 
c. 
Network latency and propagation delay; d Data drops and unreceived 
data packets; 
e.  
Billing practices, 
 
Sec. 5. Price Regulation. 
A.  
All Mobile Phone Service providers shall charge a standard rate of fees for 
mobile phone services in accordance with the rates established by the NTC 
which shall be fair and reasonable and which provide for the economic viability 


 
of telecommunication entities and a fair return of their investments considering 
the prevailing cost of capital in the domestic and international markets. 
B.  
Mobile Phone Service Providers are hereby required to file' petitions with the 
NTC every time they intend to implement any changes in the market price 
ceilings of basic phone services. Affected and concerned parties may also file 
petitions with the NTC opposing such petitions to increase mobile service price 
ceilings, or asking for cancellation of franchise for violation of this act. 
 
Sec. 6. Prepaid Credit Expiration. 
A.  
Imposition of an expiration period on the validity of the unused prepaid call and 
text cards or electronic transfer are hereby prohibited. 
B.  
Forfeiture if load credits stored on an active prepaid phone account prepaid call 
and text card or electronic transfer is hereby prohibited. 
C.  
Mobile Phone Service providers are hereby required to refund the prepaid 
subscriber whose load credits were forfeited without valid cause. 
D.  
SIM cards shall only expire year after the loaded credit has been fully 
consumed. 
 
Sec. 7. Transparency. 
(A)  
Prepaid Load Credit Bill Breakdown 
Service Providers shall be required to furnish the subscribers with a detailed 
billing, at no cost to the subscriber, on the usage of their mobile cellular phone 
load credits, through a system created to track such usage, by either presenting 
their consumed prepaid card or load credit tracking numbers to designated 
business centers of the service providers within Seven (7) working days after 
the request of the subscriber. Further, in order to fully track and secure the 
usage of a prepaid subscribers' load credit, a monitoring system for mobile 
communications for prepaid load subscribers shall therefore be created for this 
purpose. 
 
Sec. 8. Protecting the Rights of Mobile Users. 
(A) 
Mobile Device Insurance 
a.  
Mobile Phone Carriers or Mobile Service Providers are hereby required 
to inform and offer insurance p and or packages to the subscriber upon 


 
purchase of mobile devices. An insurance policy form shall be filled Out 
and duly signed by the subscriber, which the carrier company shall then 
process and keep a record of. 
b.  
The insurance will cover the mechanical malfunction, loss and theft 
(including robbery, snatching and any other unlawful taking) of all kinds 
of mobile devices beyond the manufacturer's warranty coverage, 
including tablets and any other devices capable of making end receiving 
calls and text messages. The coverage shall be effective from the day 
the insurance policy is purchased. The coverage shall be sold and 
offered on a monthly, bi-annual or yearly basis, depending on the 
subscriber's choice of mode of payment, with the first month offered free. 
The coverage Shall also include cancellation policies that allow the 
subscriber to cancel the coverage at any given time during the 
subscriber's chosen insurance plan and at the subscriber's discretion, 
with no extra cost to the subscriber. 
c.  
Mobile Phone Carriers or Mobile Service Providers are given liberty to 
devise their insurance scheme, on their own accord or through 
partnership with an insurance company, with varying levels of coverage 
for the mobile device as deemed reasonable and marketable, and use 
the said levels as a leverage against other competing carriers, provided 
that the said schemes or levels of coverage adhere to the regulations 
prescribed by the NTC in coordination with the Insurance Commission 
d.  
Once the insurance claim of the subscriber has been approved and 
granted, the carrier company shall offer repair or replacement of the 
mobile phone depending on the circumstances per and on the level of 
coverage the subscriber as availed. 
 
(B)  
Privacy 
a.  
Service providers are prohibited from disclosing personal subscriber 
information and subscription data, such as history of calls and text 
messages, without the written and expressed approval of all part 'es 
involved or on the basis of a valid court order. 
b.  
Any person or individual with access to subscriber information and 
subscription data are prohibited to release any private information 


 
without the written and expressed approval of all parties involved or on 
the of a valid court order. 
c. 
Service providers are prohibited from using user information for other 
purposes, such as promotions and marketing schemes, without the 
permission of the subscriber. 
d.  
Any act violating the privacy of a subscriber, including those mentioned 
above, are subjected to concurring penalties as provided for under 
Section 11 of this Act. 
 
(C)  
Unsought Services/Promotions 
a.  
Unsolicited commercial advertisement which includes, but not limited to, 
the announcement of winners of prizes, raffles, draws, etc, or requesting 
subscriber action such as requiring return calls or text messages, or 
requiring other potentially detrimental actions from subscribers sent 
through SMS, recorded voice calls, or other supplementary mob e phone 
services, are hereby prohibited. 
b.  
Unless 
the 
subscriber 
has 
indicated 
willingness 
to 
receive 
advertisements and promotional messages, the service provider shall 
not allow companies or individuals access to the subscribers' mobile 
phone number for the purpose of advertising and promotion, 
c.  
Advertisements and promotional messages, once the subscriber 
indicates willingness to receive such shall only be sent or automated to 
be sent during business hours Unsolicited messages beyond the hours 
of seven (7) in the evening and before eight (d) in the morning are 
prohibited. This shall also include automated calls regarding, but not 
limited to, bill and usage reminders. 
d.  
Further, 
this 
prohibition 
shall 
include 
unsolicited 
commercial 
advertisements from the mobile phone service providers themselves. 
 
Sec. 9. System of Complaints. 
(A)  
Establishment of a Complaint System 
a.  
The NTC shall establish and administer a system that enables 
subscribers of a mobile service provider to register a complaint regarding 
the quality of performance of their service. 


 
b.  
The mobile service provider, likewise, shall establish and administer a 
system that enables subscribers to inquire and/or register a complaint 
regarding the service, the subscribers account or load credits or anything 
pertaining to the use of the mobile service provided, through all possible 
means of communication, such as, but not limited to, toll free numbers, 
physical and electronic mail, and social media accounts. 
 
(B)  
Toll-free number 
a.  
The complaint system to be established shall include a toll-free number 
for both landline and mobile phones, applicable to the mobile service 
provider, without a minimum load balance credit requirement, for the 
purpose of reporting a complaint. 
 
(C)  
Physical and Electronic Mail 
a.  
The system to be established shell include a mailing address for both 
physical and electronic mail applicable to the mobile service provider for 
the purpose of reporting a complaint. 
 
(D)  
Social Media Account and Other Forms Of online communication 
a.  
the complaint system to be established shall include social media 
accounts and/or other forms of online communication applicable to the 
mobile service provider for the purpose of providing a quick method of 
report complaint and/or engaging and assisting the subscriber regarding 
the complaint. 
 
(E)  
Submission of Reports 
a.  
The NTC shall maintain a record of each complaint made under the 
system established pursuant to this act;  
b.  
Every six (6) months, the N TC shall submit a report to the Congress 
regarding complaints received under the complaint system;  
c.  
Reports shall indicate the number of complaints received, during the 
period for which the report is made, regarding the service of the Public 
Telecommunications Entity for which a complaint is made to; and 


 
d.  
Reports shall indicate the types of complaints received during such 
period, including, but not limited to, complaints regarding dead spots, 
dropped calls, network busy signals, noise end improper billing 
practices, end the number of each type of com plaint received during 
such period. 
 
Sec. 10. Information Dissemination. 
A.  
The Philippine Information Agency (PIA) in coordination with the National 
Telecommunications Commission (NTC) shall ensure the proper and adequate 
information dissemination of the contents and benefits of this Act to the general 
public, especially to its intended beneficiaries. 
B.  
The NTC shall likewise, upon submission of the report to the Congress, make 
such report public through publication in at least two (2) newspapers of general 
circulation. 
C.  
The NTC will require each mobile service provider to include, in each 
subscriber's detailed bill for such service, a statement informing the subscriber 
that a complaint regarding the quality of their service may be registered with the 
Commission and provide the toll-free number and an address for mailing. 
D.  
The NTC shall take such other actions as may be appropriate to publicize the 
availability of the complaint system and other service improvements to the 
subscribers. 
 
Sec. 11. Penalties. 
A.  
Any person who gives false or misleading data or information or willfully or 
through gross negligence, conceals or falsifies a material fact, in any 
investigation, inquiry, study or other proceeding held pursuant to this Act, shall 
be punished with imprisonment of not less than six months but not more than 
one year, and with fine of not less than One Hundred Thousand Pesos 
(Php100,000.00) but not more than Five Hundred Thousand Pesos 
(Php500,000.00); Provided, however, that if the false or misleading data or 
information shall have been under oath, the maximum penalty shell be 
imposed. 
B.  
Any person, member of an organization or corporation of the service provider 
or private individual who releases private information including, but not limited 


 
to, history of calls and text messages, of a postpaid or prepaid subscriber 
without knowledge or permission of the subscriber, and for malicious use, 
pursuant to this Act, shall be punished with imprisonment of not less than six 
months but not more than one year, and with a fine of not less than One 
Hundred Thousand Pesos (Php100,000.00) but not more than Five Hundred 
Thousand pesos (Php500,000.00); Provided however, that if the false or 
misleading data or information shall have been under oath, the maximum 
penalty shall be imposed. 
C.  
If the offender is a corporation the penalties may range from the position a fine 
not less than One Million Pesos (Php 1,000,000.00) but not more than Ten 
Million Pesos (Php 10,000,000.00) and/or a suspension or revocation of its 
Legislative Franchise and other permits and licenses by NTC. The maximum 
penalties prescribed in paragraph (A) shall also be imposed on the members of 
its board and/or management as applicable.  
D.  
An alien violating this Act Shell, in addition to the penalty herein provided, be 
deported after service of sentence and shall not be permitted reentry into the 
Philippines. 
E.  
All monetary penalties shall directly accrue to the National. 
F.  
Treasury. 
 
Sec. 12. Separability Clause. if any provision or part hereof is held invalid or 
unconstitutional, the remainder of the law or the provision not otherwise affected shall 
remain valid and subsisting. 
 
Sec. 13. Repealing Clause. Any law, presidential decree or issuance, executive 
order, letter of instruction, administrative order, rule or regulation contrary to or 
inconsistent with the provisions of this Act is hereby repealed, modified or amended 
accordingly. 
 
Sec. 14. Effectivity Clause. This Act shall take effect in fifteen (15) days after 
publication in the Official Gazette or in one (1) newspaper of general circulation in the 
Philippines. 
 
Approved,