Senate urged to ensure Konektadong Pinoy bill has safeguards vs security risks, abuse

An advocacy group has urged Senate to ensure that new legislations not only promote competition but also guarantee the growth of the country's digital infrastructure, especially in far-flung areas.

CitizenWatch Philippines expressed concern on the proposed Konektadong Pinoy Bill, or Senate Bill 2699, saying the proposed measure has oversight gaps that could result in unintended negative outcome to Filipinos.

In a statement, CitizenWatch Philippines convenor Orlando Oxales said the bill, if enacted into law, will render the National Telecommunications Commission (NTC) a mere registrar and diminish its role to regulate telco operations in the country.

He said SB 2699 seeks to eliminate the requirement for a legislative franchise for the use of the country's radio frequency spectrum and will also weaken the regulatory oversight of the NTC, which is dangerous to the Philippines' national security.

Under the proposed measure, “data transmission industry participants shall not be required to secure a legislative franchise or a Certificate of Public Convenience and Necessity (CPCN) but must meet the criteria set by the NTC in registering as industry participants in order to construct, operate, lease or own networks or facilities.”

The bill also encourages sharing of infrastructure among telecom companies.

"As a result, there could be erosion of consumer protection, because it is the NTC's mandate to hold telecommunications providers accountable and compliant to standards that protect consumers. Operators could then result to cutting corners to maximize short-term gains, to the detriment of long-term quality and innovation," Oxales said.

He said new entrants might resort to aggressive pricing strategies to gain market share, which could force all players to cut costs and reduce investments in critical infrastructure thus leading to slower expansion especially in GIDAs areas where broadband services are most needed.

He further said new entrants should be obliged to serve GIDAs as the priority of their deployments, particularly if they are to be assigned valuable spectrum resources that require a franchise or allow the use of available frequencies that are compatible to existing transmission and broadband technologies.

CitizenWatch called on the Senate to work with industry experts in integrating adequate safeguards that would mitigate risks to all broadband users.

“Calibrating, rather than diminishing, the NTC's regulatory oversight, is essential. We have to ensure that our laws truly promote the safe and accelerated expansion of our digital infrastructure," it said.

In a press release last August, Senator Alan Peter Cayetano, author of the bill, said the proposed measure was a "landmark bill" that would pave the way for reliable, affordable, accessible internet connection across the country.

The bill is now on the Senate plenary for deliberations.

The Philippine Chamber of Telecommunications Operators earlier said opening the country’s data transmission sector may have adverse effects on national security and consumer protection. 

On the other hand, the National Economic and Development Authority (NEDA) expressed support for the Konektadong Pinoy bill. 

NEDA Secretary Arsenio Balisacan said the proposed measure “aims to reduce costs and expand access to high-quality internet services for all Filipinos, especially those in unserved and underserved areas.” —Mariel Celine Serquiña/AOL, GMA Integrated News