FIFTEENTH CONGRESS. )
REPUBLIC OF THE PHILIPPINES —)
FIRST REGULAR SESSION )

HOUSE OF REPRESENTATIVES

Introduced by Representative Rufus B. Rodriguez and
Representative Maximo B, Rodriguez, Jr.

House Bill No,.2858
EXPLANATORY

Telecommunications facilities are indispensable to the economic
development of the Philippines. By making the cost of telecommunications
services affordable of the public, a greater number of people can avail of the
advantages of modem technologies. For this purpose, the National
Telecommunications Commission is tasked to promote consumer's welfare by
facilitating access between telecommunications entities.

‘Access charge or interconnection charge ranges from fifteen (.15c)
centavos to thirty five (.35¢) centavos for short messaging service (SMS). With
the big volume of SMS sent daily, removing the interconnection charges in
every message sent will still allow the telecommunications companies to eam
substantial return on their investment. The same is true with mobile voice
services which approximately costs four pesos (P4.00) to six pesos (P6.00) per
minute as interconnection charge. With the removal of the interconnection
charge, a minute call will become very affordable to the public. Hence, this bill.

It is also a fact that by the billions of pesos earned annually by the
telecommunications companies the expenses incurred in setting up the
interconnection facilities have already been fully recouped.

As view of the foregoing, approval of this bill is earnestly sought.

RUFUS B. RODRIGUEZ
Y/}

MAXIMO B. RODRIGUEZ, JR.


FIFTEENTH CONGRESS )
REPUBLIC OF THE PHILIPPINES )
FIRST REGULAR SESSION )

HOUSE OF REPRESENTATIVES

Introduced by Representative Rufus B. Rodriguez and
Representative Maximo B. Rodriguez, Jr.

House Bill No,_ 2905

AN ACT
ABOLISHING THE INTERCONNECTION CHARGES IMPOSED BY
TELECOMMUNICATIONS COMPANIES, AMENDING FOR THE PURPOSE
REPUBLIC ACT NO. 7925, OTHERWISE KNOWN AS THE “PUBLIC
TELECOMMUNICATIONS POLICY ACT OF THE PHILIPPINES”

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

SECTION 1. Section 9 (a) of Republic Act No. 7925 is hereby amended
to read as follows:

“SEC. 9. Inter-Exchange Carrier. - The number of entities
allowed to provide inter-exchange national long distance services
may be limited but as a matter of policy, where it is economically
Viable, at least two (2) carriers, shall be authorized: Provided,
however, That a local exchange carrier shall not be restricted
from operating its own inter-exchange carrier service if its viability
is dependent thereto. Such inter-exchange carrier shall have the
following obligations:

) It shall interconnect with other networks in the same category and
with local exchange carriers or other telecommunications entities,
upon application and within a reasonable time period, in order that
domestic and international long distance services are made possible:
Provided, That no interconnection charges shall be imposed by any
of the telecommunication entities; and

20 0K XK

‘SEC. 2. This Act shall take effect fifteen (15) days after its publication in
at least two (2) national newspapers of general circulation.

Approved.