R~=mitt7:~
MARCELlNO "MARCY' R. TEODORO
Chairman
Committee on Legislative Franchises
THE HONORABLE THE SPEAKER
HOUSE OF REPRESENTATIVES
QUEZON CITY
Page 2 of 2
Committee Report
Re. House BIll No. 4366, Franchise application of Telecommunications
Technology Solutions,
Ine.)
Authored by Hon GlOrgidi B. Aggabao




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stations, lines, cables or systems. as' in or are convenient or essential to efficiently
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carry out the purpose of this franchise.
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SEC. 2.
Manner of Operation of .Stetiane of Facilities. -
The stations or
facilities of the grantee shall be constructed and operated in a manner as will, at
most, result only in the minimum I interference on the wavelengths or frequencies of
existing stations or other stations which may be established by law, without in any
way diminishing its own right to use its selected wavelengths or frequencies and the
quality of transmission
or reception thereon as should maximize rendition
of its
services and/or the availability thereof.
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SEC.3. Authority of the National Telecommunications Commission. -
The
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grantee
shall secure from the National Telecommunications
Commission
(NTC),
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hereinafter referred to as the Commission, a Certificate of Public Convenience and
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Necessity or the appropriate permits and licenses for the construction,
installation
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and operation of its telecommunications
systems/facilities.
In issuing the certificate,
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the Commission
shall have the power to impose such conditions
relative to the
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construction,
operation,
maintenance,
or service level of the telecommunications
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system. The Commission shall have the authority to regulate the construction and
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operation
of
its telecommunications
systems.
The
grantee
shall
not
use
any
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frequency in the radio spectrum without having been authorized by the Commission.
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Such certificate shall state the areas covered and date the grantee shall commence
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the service. The Commission, however, shall not unreasonably withhold or delay the
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grant of any such authority, permits or licenses.
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SEC. 4. Ingress and Egress. - For the purpose of erecting and maintaining
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poles or other supports for said wires or other conductors for the purpose of laying
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and maintaining underground wires, cables or other conductors, it shall be lawful for
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the grantee, its successors or assigns, with the prior approval of the Department of
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Public Works and Highways (DPVVH) or the local government units concerned, as
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may be appropriate, to make excavations or lay conduits in any of the public places,
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highways,
streets, lanes, alleys, avenues, sidewalks or bridges of said province,
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(b) Operate continuously for two (2) years; and
(c) Commence operations within five (5) years from the effectivity of this Act.
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SEC. 9. Acceptance
and Compliance. - Acceptance
of this franchise shall be
given in writing within sixty (60) days from th(~effectivity of this Act. Upon giving such
acceptance,
the grantee
shall E~xercisethe privileges granted under this Act. Non-
acceptance
shall render the franchise void.
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SEC.
10.
Bond.
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The
grantee
shall
file
a
bond
with
the
National
Telecommunications
Commission
(NTC),
in
the
amount
that
the
NTC
shall
determine,
to guarantee compliance
with and fulfillment of the conditions which this
franchise
is granted. If, after five (5) years from the date of the approval of its permit
by the Commission,
the grantee
shall have fulfilled
the same, the bond shall be
cancelled
by the Commission.
Otherwise,
the bond shall be forfeited
in favor of the
government
and the franchise ipso facto revoked.
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SEC.
11. Right of Interconnection.
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The grantee
is hereby
authorized
to
connect
or demand
connection
of its telecommunications
systems
to any
other
telecommunications
systems
installed,
operated
and maintained
by any other duly
authorized
person or entity in the Philippines for the purpose of providing extended
and improved
telecommunications
services
to the public,
under
such terms
and
conditions
mutually agreed upon by the parties concerned
and the same shall be
subject to the review and modification of the Commission.
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SEC. 12. Gross Receipts. - The grantee, its successors or assigns, shall keep
a separate
account of the gross receipts of the business transacted
by it and shall
furnish the Commission
on Audit (COA) and the National Treasury
a copy of such
account
not later than the thirty-first
(3'1st) day of January
of each year for the
preceding twelve (12) months.
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SEC. 13. Books and Accounts. - The books and accounts of the grantee, its
successor or assigns, shall always be open to the inspection of the Commissioner
on
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SEC.
18. Equality
Cteuee.':
Any advantage,
favor,
privilege,
exemption,
or
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immunity
granted
under existing franchise,
or may hereafter
be granted,
shall ipso
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facto become part of previously
granted telecommunications
franchises
and shall be
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accorded
immediately
and
unconditionally
to
the
grantees
of
such
franchises:
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Provided,
however,
That the foregoing
shall neither apply to nor affect provisions
of
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telecommunications
franchises
concerning
territory covered by the franchise,
the life
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span of the franchise
or the type of service authorized
by the franchise.
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SEC. 19.
Separability
Clause. - If any of the sections or provisions
of this Act
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is held invalid, all other provisions
not affected thereby shall remain valid.
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SEC. 20. Repea/ability
and Non-exclusivity
Clause.
- This franchise
shall be
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subject to amendment,
alteration,
or repeal by the Congress of the Philippines
when
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the public interest so requires
and shall not be interpreted
as an exclusive
grant of
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the privileges herein provided for.
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SEC. 21. Effectivity
Clause. - This Act shall take effect fifteen (15) days from
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the date of its publication,
upon the initiative of the grantee, in at least two (2) papers
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of general circulation
in the Philippines.
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Approved,
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Reserves right to the President of the Philippines, in times of war, rebellion, public peril,
calamity,
emergency,
disaster
or disturbance
of peace
and order
or to temporarily
take
over
and operate
the stations
or facilities
of the grantee,
to temporarily
suspend
the operation
of
any station
or facility in the interest of public safety, security
and public welfare,
or to authorize
the temporary
use and operation
thereof by any agency
of the government.
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Requires
the submission
of annual
report to Congress
on its compliance
on the terms and
conditions
of the franchise
within
sixty (60) days from the end of each
year.
RELATED LAW:
.,
Republic
Act No. 7925 - Public Telecommunications
Policy Act of the Philippines