NINETEENTH CONGRESS OF THE 
REPUBLIC OF THE PHILIPPINES
First Regular Session
SENATE
Senate Bill No. 1383
of tl)f gorrretai-p
^enntc
•22 OCT T2 P2 35
RECEIVtD B\:
Introduced by Senator JUAN MIGUEL F. ZUBIRI
AN ACT
PROMOTING OPEN ACCESS IN INTERNET SERVICES AND FOR OTHER
PURPOSES
EXPLANATORY NOTE
Despite continued improvements, Internet in the Philippines continues to be 
slower, more expensive, and less accessible compared to peers in the region and around 
the world.
Philippine Internet is second-most expensive among members of the Association 
of South East Asian Nations (ASEAN) and has continued to slide down the rankings of the 
Alliance for Affordable Internet's (A4AI) Affordability Drivers Index, even as Internet 
services in neighboring countries have gotten cheaper.1 As a result of the poor and low- 
quality access to Internet among many, especially in the countryside Filipinos are the 
slowest adopter of e-commerce in Southeast Asia.2
The poor state of Internet connectivity has also negatively affected the growth 
and global competitiveness of the Philippines' digital firms: World Bank's June 2022 
Philippine Economic Update reports that the number of digital firms in the country that 
use ICT for back-end systems for better productivity trail those of Vietnam, Malaysia, and 
Cambodia.
These problems with Philippine Internet are rooted in the poor state of the 
country's Internet infrastructure - a product of a market where barriers to entry remain 
high and inefficiencies in network rollout continue to stunt the development of the digital 
infrastructure.
With the COVID-19 pandemic thrusting socio-economic life in the digital age, it is 
high time to adopt a framework that will pull the country out of the analog era and away 
from outdated policy and regulations. Under these outdated rules, Filipinos have little to 
no access to the variety of Internet technologies and services available today. A change 
in the legal framework is necessary to empower different types of Internet service 
providers, and address what the World Bank has described as "market failures in the 
provision of digital infrastructure."3
The legal framework proposed in this bill will improve competition and encourage 
a diversity of technologies and business models for Internet access and services. Open
1 Based on comparative 2016 and 2021A4AI Affordability Report, https://a4ai.org/affordabilitv-report/report/2Q21/ and 
https://a4ai.org/affordabilitv-report/report/2015/
2 Based on Google's e-Conomy SEA 2021 report, file:///D:/Files/Downloads/ os documents 12741 economy sea 2021 report.pdf
3 From the World Bank's Philippine Digital Economy Report 2020,
https://documentsl.worldbank.Org/curated/en/796871601650398190/pdf/Philippines-Digital-Economv-Report-2020-A-Better-Normal-Under-
COVID-19-Digitalizing-the-Philippine-Economv-Now.pdf


access will simplify the entry of industry players and empower even small service 
providers to build and operate their own networks, complementing existing infrastructure 
of network providers to reach almost half of the 58 million people living in the rural areas, 
or 29 million.
This bill proposes to:
o Provide for an expedited administrative process for the qualification and 
registration of Internet network and service providers;
o Encourage infrastructure sharing and efficient deployment of Internet 
infrastructure;
o Promote the rights of end users and provide protections and recourse to 
consumers; and
o Clarify responsibilities and powers of the Department of Information and 
Communications Technology (DICT) and National Telecommunications 
Commission (NTC), and empower them to fulfill the objectives of this bill.
As the world continues inexorably toward a digital future, this bill is an essential 
step for bringing all Filipinos online, and transforming the country into a truly connected, 
globally competitive economy.
In light of these, the swift passage of this bill is earnestly sought.
MIGUEL F. ZUBIRI


NINETEENTH CONGRESS OF THE 
REPUBLIC OF THE PHILIPPINES
First Regular Session
Senate
of tl)r fepnTtai,p
72 OCT 12 P2 35
SENATE
Senate Bill No. 1 R
RECEIVED Btr
■:)
Introduced by Senator JUAN MIGUEL F. ZUBIRI
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AN ACT
PROMOTING OPEN ACCESS IN INTERNET SERVICES AND FOR OTHER
PURPOSES
Be it enacted by the Senate and House of Representatives of the Phiiippines in 
Congress assembied:
CHAPTER I
Introductory Provisions
Section I. Short Tide. - This Act shall be known as the "Open Access in Internet 
Services Act".
Sec. 2. Deciaration ofPoiicy. - It is the policy of the State to narrow the digital divide 
in the country by encouraging the development of digital infrastructure, particularly the 
Internet, as the foundation of the country's digital transformation. It shall promote the 
construction and development of reliable, affordable, secure, open and accessible 
Internet networks, especially in the unserved and underserved areas. Moreover, the State 
shall remove barriers to competition in the provision of Internet services and create an 
entrepreneurial ecosystem where persons who wish to engage in the Internet service 
industry can compete openly and freely in the spirit of fair competition and permission­
less innovation. The State shall promulgate policies that require Internet networks to 
adhere to globally competitive standards for speed and quality.
SEC. 3. Definition of Terms. - As used in this Act:
(a) Basic teiephone service refers to the local exchange telephone service for 
residence and business establishments provided via the circuit switched telephone 
network;
(b) Ceiiuiar Mobiie Teiephone Service (CMTS) refers to the wide area mobile radio 
telephone system with its own switch, base stations and transmission facilities capable of 
providing high capacity mobile telecommunications by utilizing radio frequencies;
(c) Content refers to, among others, texts, images, audios, videos, and animations 
that are carried over the Internet network;
(d) Internationai gateway or cable landing station refers to a segment of the Internet 
network that consists of any facility that provides an interface to send and receive Internet 
traffic between one country's domestic network facilities and those in another country;
(e) Internet is a global network connecting computers and electronic devices that 
allows people to access and share information and communicate from anywhere with an 
Internet service;


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(f) Internet access refers to the ability of individuals, households, and organizations
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to connect to the Internet using any connection method or technology;
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(g) Internet network refers to any and 
all types of facilities, equipment, 
or
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infrastructure for the construction, propagation, administration, operation, and/or
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maintenance of a network for Internet connectivity using any technologies, devices, and
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equipment, as well as their accessions and accessories. The Internet network is composed
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of various interconnected segments, which are interconnected in order to provide Internet
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service to the end user;
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(h) Internet service refers to a service that provides a means for accessing or using
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the Internet over any connection method or technology. Internet service can refer to the
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provision of: (1) Internet network service or (2) Internet access service.
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(i) Internet service provider (ISP) refers 
to any person, firm, partnership or
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corporation, government or private, engaged in the provision of Internet services. An ISP
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can provide an Internet network service and/or Internet access service;
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(j) Passive infrastructure collectively refers to towers, poles, cable entrances, ducts,
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dark fiber, utility corridors, and any other non-electronic infrastructure and facilities,
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either existing or to be deployed in the future, that may be used to support Internet
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services. Passive infrastructure is a component of the Internet network; and
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(k) Peering refers to a process where Internet networks connect directly and exchange
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traffic between their users, mostly on a settlement-free basis where neither ISP pays for
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the exchange. Peering can be done through an Internet exchange point (IXP).
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CHAPTER II
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Organization and Operation of the Internet Service Industry
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Sec. 4. Scope. —This Act applies to any person or entity who participates in the Internet
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service industry. Any person or entity whose business deals with the provision of Internet
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network and Internet access services, shall be governed by the provisions of this Act.
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Public telecommunications entities (PTEs) that are principally engaged in the provision of
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basic telephone services, such as an international carrier, interexchange carrier, local
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exchange operator, and mobile radio or cellular mobile telephone service (CMTS)
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provider, as defined in the Public Telecommunications Policy Act of the Philippines or
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Republic Act No. 7925, and which also provide Internet services, shall likewise be subject
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to the provisions of this Act with respect to the Internet services they provide and the
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interconnection to their networks that they extend to the participants of the Internet
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service industry.
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Sec. 5. Registration and Certification. — All segments of the Internet network shall be
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competitive and open. Notwithstanding the provisions of this Act or any other law, the
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following registration and certification shall apply to the Internet service industry:
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(a) All Internet service providers (ISP) shall be required to register with the National
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Telecommunications Commission (NTC).
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(b)ISPs who wish to offer Internet network services shall apply and submit their
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network plans to the NTC who shall decide, using an administrative process, not
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more than sixty (60) days from the receipt of the application.
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(c) Those who will operate an international cable landing station shall secure a
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legislative franchise.
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(d) Unless they will operate an international cable landing station, ISPs shall not be
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required to secure a legislative franchise. Provisional Authority, or a Certificate of
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Public Convenience and Necessity or CPCN from the NTC in order to build, install,
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operate, and render Internet network and Internet access services. However, if
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they operate an international cable landing station, then they need to comply with
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the requirements of this Act.


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(e)ISPs shall be required to comply with globally accepted minimum information 
security standards, as prescribed by the Department of Information and 
Communications Technology (DICT).
CHAPTER III
Regulation of the Internet Service Industry
SEC. 6. Open Access Approach to the Regulation of the Internet Service Industry. — 
The DICT shall be principally responsible for promulgating policies that shall be the basis 
for the regulation of the Internet service industry. The NTC shall be charged with 
implementing the policies of the DICT, maintaining the registry of ISPs, and handling 
complaints for violations of this Act.
SEC 7. DICT's Mandate for the Development of the Internet Service Industry - The 
DICT shall:
(a) Be responsible for policy and standard-setting that will promote the development 
and propagation of Internet services, especially in the underserved and unserved areas;
(b) Require the NTC to provide for an efficient and speedy administrative process in 
the registration of ISPs and to publish an updated database of registered ISPs annually, 
which shall include the exact location, ownership, technical specifications, and other 
relevant information about the ISP's facility. This database may be made available to 
interested parties via a Freedom of Information request;
(c) Develop a set of criteria for qualifying ISPs that will encourage the widest possible 
participation of as many industry players as possible who will build, operate, and offer 
Internet services in all segments of the network and to end users in different parts of the 
country;
(d) Require the NTC to publish on its website an updated list of resources that can 
support the development of Internet networks, the National Radio Frequency Allocation 
Table (NRFAT) with the frequency assignments.
(e) Adopt a technology-neutral framework that allows ISPs to use any technology, 
whether existing today or available in the future, for providing Internet service;
(f) Mandate transparency in pricing and the publication of pricing information of ISPs 
to ensure fair trading within and between each Internet network segment so as to allow 
clear, comparative information on market prices and services;
(g) Promote peering so that ISPs can connect to each other at the various segments 
and interfaces, preferably through a carrier-neutral Internet exchange point (IXP);
(h) Promulgate policies that will encourage distributed local solutions rather than 
centralized ones, encouraging services that are closer to the user;
(i) Promulgate, together with the Philippine Competition Commission (PCC), rules 
promoting fair and open competition and defining and regulating entities with substantial 
market power. The PCC and the DICT shall ensure that the principles and policies 
enshrined under the Philippine Competition Act are strictly adhered to in the Internet 
services industry. The PCC and the NTC shall ensure that all industry players observe fair, 
reasonable, and nondiscriminatory treatment in all their dealings, and that barriers to 
entry are eliminated to make the industry highly competitive. To this end, within thirty 
(30) days from the effectivity of this Act, the PCC and the DICT shall enter into an 
agreement to foster and develop interagency cooperation mechanisms, including 
information-sharing tools, that guide them in the performance of their respective 
mandates, and in the promotion of fair competition in the Internet service industry.
(j) Promulgate, together with the Anti-Red Tape Authority (ARTA) and other relevant 
government agencies, rules, policies, and regulations that mandate the streamlining and 
fast-tracking of the approval process by national government agencies, local government 
units, homeowners'associations, and premises and estate management, such as building 
administrators and estate managers for permits, registrations, forms, certificates.


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requests or other requirements for the installation and deployment of Internet networks, 
including passive infrastructure for various types of networks, in accordance with the 
provisions of Republic Act No, 11032 also known as the Ease of Doing Business Act, or 
its amendments or future iterations.
Sec. 8. Setting Performance Standards. - The DICT, in coordination with the NTC, 
shall prescribe performance standards for ISPs, after public consultation and hearings 
within six (6) months from the effectivity of this Act. It shall review and at least once a 
year and as necessary upgrade performance standards imposed on the Internet service 
industry to ensure that performance standards, at a minimum, be at par with service 
levels established in regional Internet service performance indices and aligned with 
international best practices. Such standards shall take into account service availability, 
speed, 
packet 
loss, 
jitter, 
and 
latency.
Sec. 9. Infrastructure Sharing, Right of Way, and Co-location. — The DICT, in 
coordination with the NTC, ARTA, the Department of Public Works and Highways (DPWH), 
and other relevant government agencies, and after consultation with stakeholders, shall 
within one hundred eighty (180) days from the effectivity of this Act, promulgate policies, 
rules, and regulations to ensure that passive infrastructure, whether existing or built in 
the future, necessary or capable of supporting Internet networks or services are:
(a) made mandatory for open access and made available for co-location and co-use 
by the owner of network facilities, equipment, and infrastructure on an open, fair, and 
nondiscriminatory basis to any access seeker's network facilities, in any segment, subject 
to the technical feasibility of the access seeker's request and the network facility and 
infrastructure owner's standard published offer terms, conditions, and rates.
(b) built not only in the city centers, but most especially in the remote, unserved, and 
underserved areas in order for both existing and new players to extend Internet services 
throughout the country;
(c) as far as possible, deployed together with roadworks, pipe-laying, and other 
infrastructure development by both government and private entities; and
(d) proliferated in the most cost-efficient and timely manner through various means, 
including, encouraging the operation of independent entities that build and operate 
towers, dark fiber, and utility corridors, among other passive infrastructure that help 
facilitate Internet network deployment.
For purposes of Internet services, the NTC shall, in case of a dispute arising from an 
infrastructure-sharing agreement: (1) mediate between an ISP and an infrastructure 
owner, and (2) serve as the primary enforcer of this provision.
The DICT, in coordination with the PCC, shall ensure a level-playing field and price 
nondiscrimination among ISPs and network facility and infrastructure owners.
The DICT, in coordination with the NTC, shall promulgate policies, rules, and 
regulations to ensure that buildings, condominiums, villages, towns, and subdivisions are 
all built with facilities, such as cable entrances, ducts, and risers, that allow 
nondiscriminatory access to multiple Internet service industry players in order for them 
to provide service.
The DICT, in coordination with NTC and relevant government agencies, shall ensure 
the disaster resiliency and ease of recovery and restoration of passive infrastructure, such 
as towers, poles, and utility corridors, from the effects of disasters by strictly enforcing 
compliance with internationally-accepted engineering standards and best practices, and 
relevant engineering codes and codes of practice.


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CHAPTER IV 
Prohibited Acts
Sec. 10. Prohibited Acts. —The following acts are prohibited:
(a) Refusal to Plug and Play. - Any ISP, insofar as such person is so engaged, shall 
not refuse access to infrastructure to any other ISP, except for failure to pay open market 
fees for the access to the service. ISPs shall not impede the end-user's right to access 
and distribute information and content, use and provide appiications and services and 
use terminal equipment of their choice, regardless of the end user's or provider's location 
or the location, origin or destination of the information, content, application or service via 
their Internet service.
Agreements between ISPs and end users on commercial and technical conditions and 
the characteristics of Internet access services such as price, data volume or speed, and 
any commercial practices conducted by Internet access service providers shall not limit 
the exercise of the rights of end users laid down in the preceding paragraph;
(b) Throttling. —An ISP shall treat all traffic equally when providing Internet access 
services without discrimination, restriction or interference, regardless of the sender and 
receiver, the content accessed or distributed, the applications or services used or 
provided, or the terminal equipment used.
It shall be prohibited for an ISP to hinder or slow down services or applications or 
access to specific sites in the Internet except where (1) access to such sites, services or 
applications are prohibited by law; (2) it is necessary to preserve the integrity and security 
of the network and service of the provider or the equipment of the end user: Provided, 
That if the breach of integrity or security is caused by the equipment of the end user, the 
provider has to notify the end user first and give the former sufficient time to rectify the 
situation; and (3) it is necessary to block the transmission of unwanted communications 
such as spam and child pornographic materials upon the complaint of the end user or the 
ISP;
(c) Refusal to Give Information. — It shall be prohibited for any ISP, including PTEs 
with regard to its network and facilities, to refuse or fail to make available on a timely 
basis, to the other ISPs who interconnect with or get bandwidth from them, the technical 
information about their essential facilities or network facilities and commercially relevant 
information that are necessary for the efficient provision of services; and
(d) Anti-competitive Cross-subsidization. - ISPs shall maintain separate books of 
accounts between different Internet network segments in order to allow identification of 
costs and revenues for each segment. Any violation of this provision shall give rise to a 
presumption of anti-competitive cross-subsidization, which shall then be referred to the 
PCC for proper determination and action, in accordance with the provisions of Republic 
Act No. 10667 also known as the Philippine Competition Act. Nothing herein shall prevent 
interconnecting networks from charging the appropriate cost-based compensation for the 
use of interconnection facilities.
Sec. 11. Administrative Penalties. - Any person who fails to comply with the provisions 
of this Act shall be imposed a minimum penalty of a fine of not less than One hundred 
thousand pesos (P100,000.00) for every day during which such default or violation 
continues, until the participant fully complies: Provided, that the maximum penalty under 
this provision shall not exceed Five million pesos (P5,000,000.00) for a single violation; 
and provided further. That if the ISP has a gross annual income not exceeding Ten


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million pesos (P10,000,000.00), the penalty that may be imposed shall be equivalent to 
one percent (1%) to two percent (2%) of its gross annual income. The NTC is hereby 
authorized and empowered to impose such fine, after due notice and hearing.
Sec. 12. Adjustment for Inflation. - The fines imposed under this Act shall be adjusted 
by the NTC, year-on-year, considering the prevailing cost of money based on the current 
consumer price index, and subject to the publication of such adjustments.
CHAPTER V
Rights of Internet Service Users and Responsibilities of Internet Service
Providers
Sec. 13. Rights of End Users. -The user of Internet services shall have the following 
basic rights:
(a) To be entitled to Internet services which is nondiscriminatory, reliable, and 
conforming with minimum standards set by the DICT and enforced by the NTC;
(b) To be rendered Internet services within two (2) months from application for 
service;
(c) Regular, timely and accurate billing, courteous and efficient service at business 
offices and online platforms, and by company personnel and contractors;
(d) Timely correction of errors in billing and prepaid load credits and the immediate 
provision of rebates or refunds by the ISP without the need for demand by the user; and
(e) Thorough and prompt investigation of, and action upon complaints. The ISP shall 
endeavor to allow complaints to be received by any means convenient to the end user, 
including voice calls, post, short messaging service (SMS), Instant messaging apps, and 
online communication, and shall keep a record of all complaints received and the action 
taken to address the complaints.
Subject to the filing of a formal request to the ISP, a user may request the immediate 
termination of service without the imposition of fees or penalties, and with the refund of 
any fee or charge already paid by the user, should a data service provider not consistently 
comply with paragraphs (a), (d), and (e) of this section or any other minimum 
performance standards set by the DICT and enforced by the NTC.
CHAPTER VI 
Final Provisions
Sec. 14. Implementing Rules and Regulations. — Within sixty (60) days from the 
effectivity of this Act, the DICT, in coordination with the NTC, shall promulgate the 
necessary rules and regulations for its effective implementation.
Sec. 15. Separability Clause. - Should any provision herein be declared 
unconstitutional, the other provisions not affected shall remain in full force and effect.
Sec. 16. Repealing Clause. - All laws, decrees, orders, rules and regulations or other 
issuances or parts inconsistent with the provisions of this Act are hereby repealed, 
amended or modified accordingly.
Sec. 17. Effectivity. - This Act shall take effect fifteen (15) days after its publication 
in the Official Gazette or in a newspaper of general circulation.
Approved.