QuestionsQuestions (Republic Act No. 10820)
RA 10820 renews the broadcasting franchise originally granted to Progressive Broadcasting Corporation under RA 7163, as amended by RA 8162, for another twenty-five (25) years from the effectivity of RA 10820.
The franchise authorizes the grantee to construct, install, establish, operate, and maintain radio and/or television broadcasting stations (including digital TV system) and related services and relay stations in the Philippines, including use of microwave, satellite, and other means, using new technologies.
It requires that the stations/facilities be operated so as to result at most in minimum interference on wavelengths/frequencies of existing or future stations, without diminishing the grantee’s own assigned privilege and the quality of transmission/reception.
No. The grantee must secure the appropriate permits and licenses from the National Telecommunications Commission (NTC) and may not use any frequency in the radio/TV spectrum without NTC authorization.
RA 10820 provides that the NTC shall not unreasonably withhold or delay the grant of authority.
The grantee must provide adequate public service time for government use on important public issues, maintain sound and balanced programming, assist in public information and education, conform to ethics of honest enterprise, and avoid broadcasting obscene/indecent content or deliberately false information/willful misrepresentation, and not incite/encourage/assist subversive or treasonable acts.
In times of war, rebellion, public peril, calamity, emergency, disaster, or disturbance of peace and order, the President may temporarily take over and operate the stations, temporarily suspend operations, or authorize temporary government use/operation of the stations, upon due compensation to the grantee.
RA 10820 declares that the radio spectrum is finite, part of the national patrimony, and its use is a privilege conferred by the State that may be withdrawn any time after due process.
It shall be deemed ipso facto revoked if the grantee fails to operate continuously for two (2) years.
The grantee must give written acceptance to Congress—through specified House and Senate committees—within sixty (60) days from the effectivity of the Act. Without acceptance, the franchise is void.
No. RA 10820 states the grantee shall not require any previous censorship of speech, play, act, or scene to be broadcast.
During any broadcast, the grantee must cut off from the air any speech/play/act/scene or other matter if it tends to incite treason, rebellion, or sedition, or is indecent or immoral. Willful failure to do so constitutes a valid cause for cancellation of the franchise.
The grantee must hold the national, provincial, city, and municipal governments free from claims or actions arising out of accidents or injuries (to property or persons) caused by the construction or operation of the grantee’s stations.
The grantee may not lease, transfer, grant usufruct of, sell, or assign the franchise/rights, nor merge, nor transfer controlling interest, without prior approval of Congress. Congress must be informed within sixty (60) days after completion of transactions, and failure to report renders the franchise ipso facto revoked. Any transferee must be subject to the same conditions and limitations.
It must offer at least thirty percent (30%) (or a higher percentage if later required by law) of its outstanding capital stock to Filipino citizens in any securities exchange in the Philippines within five (5) years from commencement of operations. If public offer is not applicable, it must use cooperatives/other public participation methods. Noncompliance renders the franchise ipso facto revoked.
The grantee must submit an annual report to Congress (through the Legislative Franchises and Public Services committees) on compliance and operations on or before April 30 of every year during the franchise term. A reportorial compliance certificate from Congress is required before any NTC application for permits/certificates is accepted.
Failure to submit the annual report is penalized with a fine of PHP 500.00 per working day of noncompliance, collected by the NTC from the delinquent grantee, separate from any NTC tab reportorial penalties.