HOUSE F REPRESENTATIVES

SEVENTEENTH CONGRESS. RECEIVED

OF THE REPUBLIC OF THE PHILIPPINES ) 17 AUG 2016
7 e DATE:

First Regular Section

wate,

HOUSE OF REPRESENTATI

8052

House Bill No.

Introduced by Representative Vietor A. Yap

EXPLANATORY NOTE,

The National Telecommunications Commission (NTC) was created under Executive
Order No. 546 promulgated on July 23, 1979, and conferred with regulatory and quasi-judicial
functions taken over from the Board of Communications and the Telecommunications
Control Bureau, which were abolished in the same Order

Primarily, the NTC is the sole body that exercises jurisdiction over the supervision,
adjudication and control over all telecommunications services throughout the country. For
the effective enforcement of this responsibility, it adopts and promulgates such guidelines,
rules, and regulations relative to the establishment operation and maintenance of various
telecommunications facilities and services nationwide.

The National Telecommunications Commission has adopted a “hands off” since 1995
with the passage of Republic Act No. 7925 that effectively deregulated and privatized the
telecom industry. It is argued, that the “hands off” approach resulted in the Philippines
having one of the slowest Internet in Asia. NTC itself stated the saicl law as "reason why the
government has difficulty in regulating internet service today".

‘The present legislative framework however is no longer sufficient to meet the needs of
Filipino industries utilizing Information Communication Technology extensively, and neither
is it responsive to the needs of Filipino consumers. In view of this, this Bill expands the NTC's
powers and capacity to regulate Telecommunications Companies (Telcos) and other industry
related entities, ‘This will allow the NTC to ensure quality, safety,

ability security,
compatibility and inter-operability of Telco facilities and services while upholding consumer
welfare and a fair competitive market.

A vital concern is to place Quality of Service (QoS) Standards in place to ensure a fair
degree of consumer satisfaction and to maintain a level of service adequate for business and
commerce. The QoS shall serve as a common reference of acceptable levels of quality for
regulators, providers and consumers.


Another important addition to the NTC mandate under this bill is the power to review
and approve the interconnection of Telcos and Internet Service Providers. This strengthens
and encourages interconnection and interoperability of telecommunications and the Internet.
To this end, the bill provides necessary legal definitions and delineations to clarify and
establish an adequate legal regime for sound administration,

Finally, the proposed measure provides for an expanded NTC jurisdiction to cover
data services and networks once classified as Value-Added Services (VAS). This ultimately

allows the NTC to regulate and ensure quality Internet services.

In view of the foregoing, the immediate passage of this bill is earnestly sought

VIC fo AL YAP

Representative, 2nd Distriet of Tarlac



eeu a

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SEVENTEENTH CONGRESS, )
OF THE REPUBLIC OF THE PHILIPPINES. )

First Regular Section

Introduced by Representative Vietor A. Yap

AN ACT
EXPANDING THE COVERAGE AND STRENGTHENING THE POWERS OF THE
NATIONA\ *OMMUNICATIONS COMMISION AMENDING FOR THE PURPOSE,
REPUBLIC = ACT —- 7925, | OTHERWISE KNOWN AS “THE — PUBLIC
TELECOMMUNICATIONS ACT OF THE PHILIPPINES”

Be it enacted by the Senate and House of Representatives in Congress assembled:

SECTION 1. Amendments to Republic Act No, 7925 or the Public Telecommunications
Policy Act of the Philippines — Jurisdiction over the provision and regulation of internet and
information and communications technology services shall be vested with the National
‘Telecommunications Communications, in accordance with the succeeding provisions.
SEC. 2. Article I, Section 3, subparagraph (h) of the same Act is hereby amended to read as

follows:

troxx

h) Value-added service provider (VAS) ~ an entity, which relying on the

transmission, switching and local distribution facilities of the local exchange and inter-

exchange operators, overseas carriers, offers [enhanced services beyond those ordinarily
provided for such carriers] SERVICES THAT ARE OVER AND ABOY.
ERVICE OF A LECOMUNICATIONS SEGMENT, AND ARE NOT CORE
oRVICES OF OTHER TELECOMMUNICATIONS SEGMENT

XXX"

HE CORE

SEC. 3, Article IIL, Section 5 of the same Act is hereby amended to read as follows
"SEC. 5. Responsibilities of the National Telecommunications Commissions: The
National ‘Telecommunications Commission (Commission) shall be the principal

administrator of this Act and as such shall take the n

essary measures to implement the

policies and objectiv

set forth in this Act, Accordingly, in addition to its existing functions,

the Commission shall be responsible for the following:

a) Adopt an administrative process which would facilitate the entry of qualified

service providers and adopt a pricing policy which would generate sufficient returns to


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encourage them to provide basic telecommunications, NETWORK, AND INTERNET

services in unserved and underserved area

b) Mandate a fair and reasonable interconnection of facilities of authorized public
network operators and other providers of telecommunications, NETWORK, AND
INTERNET services in conformity with standards and specifications set by international
radio, telecommunications, NETWORK, AND INTERNET organizations to which the
Philippines is a signatory:

©) Mandate a fair and reasonable interconnection of facilities of authorized public
NETWORK, AND

vices through appropriate modalities of interconnection and at a

network operators and other providers of telecommun!

INTERNET set

sonable

and fair level of charges, which make provision for the

s-subsidy to unprofitable loc

to promote telephone, MOBILE. PHONE, NETWORK, AND

exchange serv

areas SO
BROADBAND densit;
NETWORK, AND INTE!

4) Foster fair and efficient market conduet through, but not limited to, the protection

and provide the most extensive access to basic telecommunications,

‘vices available at affordable rates to the public:

of telecommunications entities from unfair trade practices of other carriers:
©) Promote consumers welfare by facilitating access to telecommunications,

NETWORK, AND INTERNET services whose infrastructure and network must be geared

towards the needs of individual and business users, AND BY DEVELOPING AND
IMPLEMENTING STANDARDS, PLANS, POLICIES, PROGRAMS, MEASURES,
AND MECHANISMS, INCLUDING ARBITRATION, QUASI-JUDICIAL, AND
PROSECUTORIAL MECHANISMS, TO PROTECT THE WELFARE OF
CONSUMERS AND USERS OF TELECOMMUNIC. NETWORK, AND
INTERNET

10N:

HER?

. 4, Article III, Section 6 of the same Act is hereby amended to read as follows:

‘SEC. 6. Responsibilities of and Limitations to Department Powers, — The
Department of [Transportation and Communications (DOTC)| INFORMATION AND.
COMMUNICATIONS TECHNOLOGY (DICT) shall not exercise any power which will
tend to influence or effect a review or a modification of the Commission’s quasi-judicial
functions,

XXX

¢) the repr

entation and promotion of Philippine interests in international bodies,
and the negotiation of the nation’s rights and obligations in international
[telecommunications] INFORMATION —TECHNOLC COMMUNICATIONS,
NETWORK, AND INTERNET matters; and

d) the operation of a national consultative forum to facilitate interaction amongst the
[telecommunications industries] INFORMATION, COMMUNICATIONS, NETWORK,


1 AND INTERNET INDUSTRIES, user groups, academic and research institutions in the

2 airing and resolution of important issues in the field of [communications]
3 TELECOMMUNICATIONS AND

4 See new Section 9 shall be inserted between Sections 8 and 9 of the same Act which
5 shall read as follow:

SEC. 9, LOCAL INTE,

NE

VICE PROVIDER, ~ LOCAL INTERNE’

7 SERVICE PROVIDER SHALL:

8 (A) PROVIDE UNIVERSAL INTERNET CONNECTION SERVICE TO ALL
9 SUBSCRIBERS WHO APPLIED FOR SUCH SERVICE, WITHIN A REASONABLE
10 PERIOD AND AT SUCH STANDARDS AS MAY BE

un COMMISSION AND AT SUCH PROFIT MARGIN

12 PROVIDE A FAIR RE

13 (B) BE. PROTECTED FROM UNCOMPENSATED BYPASS OR
14 RLAPPING OPERATIONS OF OTHER TI “OMMUNICATION

15 IN NEED OF PHYSICAL LINKS OR CONNECTIONS TO ITS CU

16 THE AREA EXCEPT WHEN IT IS UNABLE TO PROVIDE, WITHIN A
wv REASONABLE PERIOD AND AT THE DESIRED STANDARD, THE
18 INTERCONNECTION ARRANGEMENTS REQUIRED BY SUCH ENTITIES;

19 (CQ) HAVE THE FIRST OPTION TO PROVIDE PUBLIC OR PRIVATE
20 NETWORK ACCESS OR INTERNET ACC OR ZONES IN THE AREA
21 COVERED BY ITS NETWORK;

22 (D) BE ENTITLED TO A FAIR AND EQUITABLE REVENUE SHARING
23 ARRANG NT WITH THE INTERNET EXCHANGE, INTERNET DATA
24 CENTER, INTERNET GATEWAY FACILITY, OR SUCH OTHER CARRIERS
25 CONNECTED TO ITS BASIC NETWORK: PROVIDED, THAT THE SERVIC

26 PROVIDES IS SOLELY DEPENDENT ON EXISTING NETWORKS BEING
27 OPERATED AND — MAINTAIN BY AT LEAST ONE OTHER

28 TELECOMMUNICATIONS ENTITY: PROVIDED, FURTHER, THAT A LOCAL

29 INTERNET SERVICE PROVIDER NEED NOT SECURE A FRANCHIS!

30 A CABLE TV FRANCHISE MAY PROVIDE LOCAL INTERNET
31 CONNECTION, NETWORK, OR DATA TRANSMISSION SERVICES WITHOUT A
32 PARATE FRANCHISE: PROVIDED, THAT THE OPERATION OF INTERNET

33 CONNECTION, NETWORK, OR DATA TRANSMISSION SE
34 CABLE TV FRANCHISE SHALL BE GOVERNED BY THIS A‘
35 RI ANT LAWS.

36 THE PROVISION OF INTERNET CONNECTION, NETWORK, OR DATA
37 TRANSMISSION SERVICES SHALL ALSO BE GOVERNED BY THE PUBLIC

VICE BY THE
AND OTHER



1 SERVICE ACT, AS AMENDED, AND OTHER RELEVANT LAWS GOVERNING

2 UTILITH

3 See. 6. Section 9 of the same Act is hereby renumbered as Section 10.

4 See. 7. A new Section II shall be inserted after the renumbered Section 10 of the same Act
5 which shall read as follows:

6 SEC. 1, ID NET EXCHANGE - THE NUMBER OF ENTY

7 AUTHORIZED TO PROVI INTERNET EXCHANGE SERVICES SHALL,
8 WE £ 1T IS ECONOMICALLY VIABLE, BE AT AST TWO (2) INTERNE’
9 ANG PROVIDED, THAT A LOCAL INTERNET SERVICE PROVIDER
10 SHALL NOT BE RESTRICTED FROM OPERATING ITS OWN INTERNET
a EXCHANGE SERVICE IF ITS VIABILITY IS) DEPENDENT THERETO:
12 PROVIDED, FURTHER, THAT SUCH INTERNET EXCHANGE SHALL HAVE
13 THE FOLLOWING OBLIGATIONS:

14 (A) IT SHALL INTERCONNECT WITH ALL OTHER INTERNE’
15 EXCHANGES IN THE SAME CATEGORY AND WITH ALL LOCAL INTERNET
16 SERVICE PROVIDERS AND OTHER TELECOMMUNICATIONS ENTITIES
Ww UPON APPLICATION AND WITHIN A REASONABLE PERIOD, AND UNDER
18 FAIR AND REASONABLE LEVEL CHARGES, IN ORDER THAT INTERNET AND
19 NETWORK SERVICES ARE MADE AVAILABLE;

20 (B) IT SHALL HAVE THE RIGHT TO ESTABLISH AND OPERATE

2 OWN NETWORK FACILITIES THROUGH WHICH INTERNATIONAL
22 NETWORKS OR INTERNATIONAL GATEWAY FACILITIES SHALL BE ABLE
23 TO COURSE THEIR MESSAGES OR SIGNALS; AND.

24 (©) IT SHALL COMPLY WITH INTERNATIONAL AND GENERIC
25 ENGINEERING REQUIRI TS AND STANDARDS OF OPERATION FOR
26 INTERNET EXCHAN'

27 See. 8. A new Section 12 shall be inserted after the new Section 11 of the same Act which

28 shall read as follows:

29 12, INTERNET DATA CENTER ~ THE NUMBER OF ENTIT!
30 AUTHORIZED TO PROVIDE INTERNET DATA CENTER SERVICES SHALL,
31 WHERE IT IS ECONOMICALLY VIABLE, BE AT LEAST TWO (2) INTERNET
32 DATA CENTERS: PROVIDED, THAT A LOCAL INTERNET SERVICE PROVIDER
33 OR CONTENT PROVIDER SHALL NOT BE RESTRICTED FROM OPE

34 ITS OWN INTERNET DATA CENTER IF ITS VIABI

35 THERETO: PROVIDED, FURTHER, THAT SUCH INTERNET DATA CENTER
36 SHALL HAVE THE FOLLOWING OBLIGATIO!

37 (A) IT SHALL INTERCONNECT WITH ALL OTHER INTERNET DATA

38 CENTERS IN THE SAME CATEGORY AND WITH ALL LOCAL INTERNET


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SERVICE PROVIDERS AND OTHER TELECOMMUNIC!
UPON APPLICATION AND WITHIN A RE,
UNDER FAIR AND REASONABL IN ORDER THAT
IN ‘WORK SERVICES ARE BLE;
HALL HAVE THE RIGHT TO ESTABISH AND OPERATE ITS OWN
TES THROUGH WHICH INTERNATIONAL NETWORKS OR
3 FACILITIES SHALL BE ABLE TO COURSE
THEIR MESSAG OR SIGNALS; AND

(«IT HALL COMPLY WITH INTERNATIONAL GENERIC
NGINEERING REQUIREMENTS AND STANDARDS OF OPERATION FOR
NETWORK AND DATA CENTERS,

"ATIONS ENTITIES
IME PERIOD, AND

T AND NE
(BITS

NETWORK FACILI

INTERNATIONA

TEWAY

ion 10 of the same Act is hereby renumbered as Section 13

Sec. 10. A new Section 14 shall be inserted after the renumbered Section 13 of the same Act

which shall read as follows:

13. INTERNET GATEWAY FACILITY. ~ ONLY IES WHICH
WILL PROVIDE INTERNET EXCHANGE SERVICES OR INTERNET DATA
CENTER SERVICES, AND CAN DEMONSTRABLY SHOW TECHNICAL AND
FINANCIAL CAPABILITY TO INSTALL AND OPERATE AN INTERNATIONAL
GATEWAY FACILITY, SHALL BE AUTHORIZED TO OPERATE AS AN
INTERNET GATEWAY FACILITY.

THE AUTHORIZED ENTITY SHALL BE REQUIRED TO PRODUCE A
FIRM CORRESPONDENT OR INTERCONNECTION RELATIONSHIPS WITH
MAJOR OVERS OMMUNICATIONS AUTHORITIES, CARRIERS,
GATEWAYS, NETWORKS, AND INTERNE
IN ONE (1) YEAR FROM THE GRANT OF THE AL
WAY FACILITY SHALL ALSO COMPLY WITH ITS
OBLIGATIONS TO PROVIDE INTERNET EXCHANGE SERVICES IN
UNSERVED OR UNDERSERVED AREAS WITHIN THREE (3) YEARS FROM THE
GRANT OF THE AUTHORITY AS REQUIRED BY EXISTING REGULATIONS:
PROVIDED, THAT SAID INTERNET SWAY FACILITY SHALL BE DE cD
TO HAVE COMPLIED WITH TE IN IN TE NT THAT IT
ALLOWS AN AFFILIATE T SUCH OBLIGATION AND
WHO COMPLIES T REWITH.

FAILURE TO COMPLY WITH THE ABOVE OBLIGATION SHALL BE A
CAUSE TO CANCEL ITS AUTHORITY OR PERMIT TO OPERATE AS AN

TEL

SER

PROVIDERS WI
THE INTERNET GA’

HORITY.

iAT

{ SAID OBLIGAT

REOF TO ASSUM

INTERNET GATEWAY FACILITY.

SEC. 11. A new Section 15 shall be inserted after the new Section 14 of the same Act which

shall read as follows:


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SE

. 15, CONTENT PROVIDER. ~ EXCEPT FOR BU!

‘SS PERMITS AND.
OTHER REGULATORY REQUIREMENTS, AS PROVIDED FOR BY THE
CONSUMER ACT OF AS AMENDED, AND OTHER
RELEVANT LAWS, AND PROVIDED THAT THE TRANSMISSION OF ITS
CONTENT IS SOLELY DEPENDENT ON EXISTING NETWORKS BEING
OPERATED AND = MAINTAINED BY AT LEAST ONE OTHER
TELECOMMUNICATION — ENTITY, A = CONTENT — PROVIDER FOR
COMMERCIAL OR NON-COMMERCIAL PURPOSES NEED NOT SECURE A
FRANCHISE, LIC! (RMIT TO OPERATE IN THE PHILIPPINES.

SUBJECT TO THE NATURE OF THE CONTENT THAT IS PROVIDED BY
THE CONTENT PROVIDER FOR COMMERCIAL PURPOSES, LAWS SUCH AS.
THE PAGCOR CHARTER, AS AMENDED, THE MTRCB CHARTER, AS
AMENDED, AND OHER RELEVANT LAWS, SHALL BE DEEMED APPLICABLE
TO THE CONTENT PROVIDER.

SEC. 12. Section 11 of the same Act is hereby renumbered as Section 16 and shall be

THE PHILIPPINE:

NSE, OR P

amended to read as follows:

EC. [11] 16. Value-added Service Provider (VAS). ~ [Provided that it does not put
up its own network] IF THE SERVICE OF THE VAS PROVIDER IS SOLELY
DEPENDENT ON EXISTING NETWORKS BEING OPERATED AND
MAINTAINED BY AT LEAST ONE OTHER TELECOMMUNICATIONS ENTITY, a

VAS provider need not secure a franchise. A VAS provider shall be allowed to competitively
olfer its services and/or expertise, and lease or rent telecommunications equipment and
facilities necessary to provide such specialized services, in the domestic and/or international
market in accordance with network compatibility.

Telecommunications entities. may provide VAS, subject to the additional
requirements that

(a) prior approval of the Commission is secured to ensure that such VAS offerings are

not cross-subsidized from the proceeds of their utility operations:

(b) other providers of VAS are not discriminated against in rates nor denied equitable

access to their facilities; and

(c) separate books of accounts are maintained for the VAS.
THE PROVISION OF HIGH

CONNECTION OR DATA TRANSMISSION Si

SEPARATE FROM NORMAL — INTERN

TRANSMISSION SERVIC

SERVICE.”

SEC. 13.1

SPEED OR HIG
Vv.
CONN

-VOLUME INTERNET
AS A SERVI
IN OR DATA
D AS A VALUE-ADDED

SHALL NOT BE CLASSIFI

The succeeding sections of the same Act are hereby renumbered accordingly.


1 SEC. 14, Article V, Section 19 of the same Act, as renumbered, is hereby amended to read as

2 follows:
3 “SEC.[14] 19. Customer Premises Equipment. — Telecommunications subscribers
4 AND NETWORK AND INTERNET USERS shall be allowed to use within their premises
5 terminal equipment, such as_ telephone, PABS, facsimile, SUBCRIBER
6 IDENTIFICATION MODULE (SIM) CARDS, data, record, message and other special
7 purpose or multi-function telecommunication terminal equipment intended for such
8 connection: Provided, That the equipment is type-approved by the Commission

9 UNLESS DESIGNED AND MANUFACTURED AS SUCH WITHOUT NEED
10 FOR A SPECIAL REQUEST BY A TELECOMMUNICATIONS ENTITY, NO
ay CUSTOMER PREMISES EQUIPMENT SHALL BE RESTRICTED FROM
12 INTERCONNECTING TO A NETWORK OR TO THE INTERNET, OR
13 INTEROPERABILITY WITH OTHER CUSTOMER PREM! ‘S UIPMENT,
14 NETWORK EQUIPMENT, DATA STORAGE EQUIPMENT, OR O' R DEVIC!

1s OR EQUIPMENT THAT MAY BE NORMALLY INTERCONNECTED WITH OR
16 MAY NORMALLY ENJOY INTEROPERABILITY WITH, AS APPLICABLE:
v7 PROVIDED, THAT IN THE COURSE OF NORMAL OPERATIONS SUCH
18 INTERCONNECTION OR INTEROPERABILITY SHALL NOT COMPROMISE
19 DATA OR NETWORK PRIVACY OR SECURITY.”

20 SEC. 15, Article VII of the same Act is hereby amended to read as follows:

21

22 ARTICLE VII

23 “RIGHTS OF [TELECOMMUNICATIONS USERS] SERVICE USERS AND

24 PONSIBILITIES OF SERVICE PROVIDERS
25 EC.[20] 25. Rights of End-U: The user of telecommunications, INTERNET,
26 WORK, OR DATA TRANSMISSION service shall have the following basic rights:

27 a) Entitlement of utility service which is nondiseriminatory, reliable and conforming
28 with minimum standards set by the Commission;

29 b) Right to be given the first single-line telephone, INTERNET OR NETWORK
30 connection or the first party-line connection within two (2) months of application for service,
31 against deposit; or within three (3) months after targeted commencement of service in the
32 barangay concerned per the original schedule of service expansion approved by the
3 Commission, whichever deadline comes later;

34 ©) Regular, timely and accurate billing, courteous and efficient service at utility
35 business offices and by utility company personnel; [and]

36 (D) TIMELY CORRECTION OF ERRORS IN. BILLING AND THE
37 IMMEDIATE PROVISION OF REBATES OR REFUNDS BY THE UTILITY

38 WITHOUT NEED FOR DEMAND BY THE USER; AND


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[(@] E) Thorough and prompt investigation of, and action upon complaints, The

utility shall endeavor to allow complaints to be re

cived [over the telephone] BY POST
AND OVER MEANS USING TELECOMMUNICATIONS FACILTIES OR THE
INTERNET, INCLUDING BUT NOT LIMITED TO VOICE CALLS, SHORT
MESSAGE SERVICE (SMS) ME 5, MULTIMEDIA MESSAGI
(MMS) MESSAGES OR E-MA\
complaints. RECEIVED AND THE ACTION TAKEN TO ADDRESS THE
COMPLAINTS.

SUBJECT TO TH

4» and shall keep record of all [written or phoned-in]

ILING OF A FORMAL REQU TO THE UTILITY, A
USER MAY REQUEST THE IMMEDIATE TERMINATION OF SERVICE
WITHOUT THE IMPOSITION OF OR PENALTIES, AND WITH THE
REFUND OF ANY FI UREADY PAID BY THE USER, SHOULD
A UTILITY NOT CONSISTENTLY COMPLY WITH PRECEDING PARAGRAPHS
(A), (D), (E), (F), OR ANY OTHER MINIMUM PERFORMANCE STANDARDS SI
BY THE COMMISSION.

TO STANDARDS §

SOR CHARG

SUBJECT
FEES OR PENALTIE
DEDUCTED FROM ANY FEES OR CHARGES ALREADY PAID BY THE USER,
SHOULD A USER REQUEST THE IMMEDIATE TERMINATION OF SERVICE:
PROVIDED, THAT:

() THE UT TO SHOW THAT THE REQUEST IS NOT
BASED ON NON-COMPLIANCE WITH PRECEDING PARAGRAPHS (A), (C), (D);
(E), OR ANY OTHER MINIMUM PERFORMANCE STANDARDS SET BY THE
COMMISSION; OR

ad TH! 'Y HAS EVIDENCE THAT THE NON-COMPLIANC
NOT RECURRED, IS_ NC 'URRING, NOR WILL RECUR IN THE F
OR

BY THE COMMISSION, REASONABLI

MAY BE IMPOSED BY THE UTILITY, OR MAY BE

LITY IS ABLE

UTIL

HAS
URE;

(HD) THE UTILITY HAS EVIDENCE THAT THE NON-COMPLIANCE WAS
DUE TO FACTORS BEYOND ITS CONTROL; OR

(IV) THE UTILITY HAS PROVIDED IMMEDIATE REFUND OR REBATE
TO THE USER UPON DETERMINATION OF THE NON-COMPLIANCE; OR

(Vv) THE IT HAS EXERTED ITS BE
EFFORTS TO RE! THE NON-COMPLIANCE AND RESTORE THE
SERVICE TO. AG IN THE UTILITY AND THE USER
WITHIN (7) DAYS OF THE REQUEST FOR IMMEDIATE TERMINATION:
PROVIDED, THAT THE UTILITY SHALL COMPLY WITH IMMEDIATE
TERMINATION OF SERVICE, WITHOUT THE IMPOSITION OF FEES OR
PENALTIES, AND REFUND ANY FEES OR CHARGES ALREADY PAID BY THE

'Y HAS EVIDENCE THA’

OLVE



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USER WITHOUT NEED FOR DEMAND SHOULD THE SERVIC
ORED WITHIN THE SEVEN (7) DAY PERIOD, WITHIN THREE (3) DAYS
RMINATION OF SERVICE.

NOT BE

SUBJECT TO STANDARDS SET BY THE COMMISSION, PENALTIES
MAY BE IMPOSED ON A UTILITY THAT IS UNABLE TO COMPLY WITH
PRECEEDING PARAGRAPH (B). THE COMMISSION MAY IMPOSE,
ADDITIONAL PENALTI UTILITY DOES NOT REFUND ANY
DEPOSIT, F OR CHARGES ALREADY PAID BY R WITHOUT
NEED FOR DEMAND WITHIN THREE (3) DAYS AF DE.
<D UPON BETW! R AND THE UTILITY.”

U:
THE

DLINE

EC.16. A new Section 26 shall be inserted afier the renumbered Section 25 of the same Act
read as follows:

SEC 26. QUALITY OF SERVICE AND NETWORK FAIR USE. ~ (A) NO
INTERNET SERVICE PROVIDER, INTERNET EXCHANGE, INTERNET DATA
CENTER, INTERNET GATEWAY FACILITY, TELE
ENTITY, OR PERSON PROVIDING INTERNET CONNECTION, NETWORK, OR
DATA TRANSMISSION SERVIC!

() FAIL TO PROVIDE A SERVICE, OR NETWORK SERVICES ON
REASONABLE, NON-DISCRIMINATORY TERMS
THAT ANY PERSON CAN OFFER OR PROVIDE CON
SERVICES TO OR OVER THE NETWORK IN A MANNER THAT IS AT LE.
EQUAL TO WHAT THE PROVIDER OR ITS AFFILIATES OFFER IN CONTENT,
APPLICATIONS, AND SERV! OF ANY SURCHARG

(I) REFUSE TO INTERCONNECT
FACILITIES OF ANOTHER PROVIDER OF NETWORK SERVICES ON
REASONABLE, AND NON-DISCRIMINATORY TERMS OR CONDITIO!

(IM) BLOCK, IMPAIR, DISCRIMINATE AGAINST, OR INTE] WITH
THE ABILITY OF ANY PERSON TO USE A NETWORK SERVICE TO ACCESS,
USE, SEND, RECEIVE OR OFFER LAWFUL CONTENT, APPLICATIONS OR
SERVICES OVER THE RNET;

(IV) IMPOSE A SURCHARGE OR OTHER CONSIDERATION FOR THE
PRIORITIZATION OR OFFER OF ENHANCED QUALITY OF SERVICE TO
DATA OR PROTOCOL OF A PARTICULAR TYPE, AND MUST PROVIDE EQUAL
QUALITY OF SERVICE DATA OR PROTOCOL OF THAT TYPE
REGARDLESS OF ORIGINS OR OWNERSHIP.

(B) NOTHING IN THIS SECTION SHALL BE CONSTRUED AS TO
AN INTERNET SERVICE PROVIDER, INTERNET EXCHANGE,
INTERNET DATA CENTER, INTERNET GATEWAY FACILITY,

‘OMMUNICATIONS

S SHAL!

AND CONDITIONS SUCH
', APPLICATIONS OR

'S FRE

FACILITIES WITH OTHER

VER

F

TO AL

PREV



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and regulations inconsistent with this

ENTITY OR PERSON PROVIDING INTERNET
(ION, NETWORK, OR DATA TRANSMISSION SERVICES
TAKING REASONABLE AND NON-DICRIMINATORY MEASURES:

(1) TO MANAGE THE FUNCTION OF A NETWORK ON A SYSTEM-WIDE,
BASIS, SUCH THAT THE MANAGEMENT FUNCTION DOES NOT E
THE DISCRIMINATION BETWEEN CONTENT, APPLICATION, OR
OFFERED BY THE PROVIDER OR USER;

(I) TO GIVE PRIORITY TO EMERGENCY COMMUNICATION

(IL) TO PR T A VIOLATION OF LAW OR TO COMPLY WITH AN
ORDER OF ‘OURT ENFORCING SUCH LAW;

(Iv) ) OFFER CONSUMER PROTECTION SERVICES SUCH AS
PARENTAL CONTROLS, WHEREIN USERS MAY REFUSE TO ENABLE SUCH
SERVICES, OR OPT-OUT; OR,

(VY) TO OFFER SPECIAL PROMOTIONAL PRICING OR OTHER
MARKETING INITIATIV

(©) AN INTERNET SERVICE PROVIDER, INTERNET EXCHANGE,
INTERNET DATA CENTER, INTERNET GATEWAY _ FACILITY,
TELECOMMUNICATIONS ENTITY, OR PERSON PROVIDING INTERN
CONNECTION, NETWORK, OR DATA TRANSMISSION SERVICES MAY
PROVIDE FOR DIFFERENT LEVELS OF AVAILABILITY, UPTIME OR OTHER
SERVICE QUALITY STANDARDS SET BY THE COMMISSION FOR SERVIC
USING PREPAID, POSTPAID, OR OTHER MEANS OF PAYMENT: PROVIDED,
THAT MINIMUM LEVELS OF AVAILABILITY, UPTIME, AND OTHER SERVICE
QUALITY STANDARDS SET BY THE COMMISSION SHALL NOT BE
DIFFERENT BETW S USING PREPAID, POSTPAID, OR OTE

FROM

IN SERVI

MEANS OF PAYMEN

. 17. Implementing Rules and Regulations, Within sixty (60) days from the approval of

this Act, the NTC and the DICT shall promulgate the rules and regulations to effectively implement

the provisions of this Act.

SEC. 18. Separability Clause. ~ Should any part of this Act be declared unconstitutional, the

validity of the remaining provisions hereof shall remain in full force and effect.

>. 19. Repeating Clause ~ The provisions of other laws, decr

's, executive orders, rules

Act are hereby repealed, amended or modified accordingly

SI

>. 20. Effectivity — This Act shall take effect fifieen (15) days after its publication in the

Official Gazette or in at least two (2) national newspapers in general circulation.

Approved,