Title
PT&T Franchise Extension Act
Law
Republic Act No. 6970
Decision Date
Nov 15, 1990
Republic Act No. 6970 extends the franchise of PT&T to operate telecommunications systems in the Philippines for another 25 years, allowing them to provide various services and charge tolls and fees, while also requiring compliance with tax and ownership regulations.

Questions (Republic Act No. 6970)

RA 6970 grants Philippine Telegraph and Telephone Corporation (PT&T) a franchise to establish, install, maintain and operate wire and/or wireless telecommunications systems, lines, circuits and stations throughout the Philippines for public domestic and international communications.

PT&T is authorized to provide telecommunications facilities and services such as telegraph, telex, record, data, voice, and similar services; to receive and transmit messages, impressions, pictures, voice, and digital/analog signals; including communications between the Philippines and foreign countries.

The franchise covers establishing, installing, and operating telecommunications systems, lines, circuits, and stations 'throughout the Philippines.'

No. It expressly includes ships at sea, airplanes, and other conveyances.

PT&T may supply and/or lease facilities for the authorized communications and may charge and receive compensation therefor as tolls and charges.

The life of PT&T’s franchise is renewed for another twenty-five (25) years from the date of the effectivity of RA 6970.

Despite contrary provisions of RA 4161 (as amended by RA 5048), PT&T must pay franchise, income, and other taxes as provided for in Executive Order No. 72.

The franchise is subject to the Constitution, and to laws and regulations on public telecommunications utilities administered by the National Telecommunications Commission (and other applicable laws).

PT&T must comply with the enabling law implementing the constitutional mandate on democratization of ownership of all public utilities.

All other provisions, terms, and conditions in RA 4161 (as amended by RA 5048) not affected by RA 6970 are made integral parts of RA 6970.

The franchise is subject to amendment, alteration, or repeal by Congress when the common good so requires.

PT&T must submit an annual report under oath of its operations to the Congress of the Philippines.

RA 6970 takes effect fifteen (15) days from the date of its publication in at least two (2) newspapers of general circulation.

It means the franchise grant is valid only insofar as it complies with constitutional requirements (including ownership and related regulatory mandates), and cannot override constitutional limitations.

NTC administers the laws and regulations on public telecommunications utilities, which PT&T must comply with under the franchise.


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