QuestionsQuestions (Republic Act No. 10792)
RA 10792 renews the franchise for another twenty-five (25) years, counted from the effectivity of the Act, unless sooner cancelled.
It authorizes the grantee to construct/install/establish/operate/maintain wire and/or wireless telecommunications systems (mobile, cellular, paging, fiber optics, satellite, switches) and their value-added services, and/or to acquire/lease/operate/manage transmitting and receiving stations/lines/cables/systems throughout the Philippines.
The franchise is subject to the 1987 Philippine Constitution and applicable laws, rules, and regulations.
The grantee must operate so that it results at most in minimum interference on selected wavelengths/frequencies of existing or future lawful stations, without diminishing its own right to use its selected wavelengths/frequencies and the quality of transmission/reception.
The grantee must secure the proper NTC certificate/permits/licenses (e.g., Certificate of Public Convenience and Necessity where applicable). The NTC can impose conditions, regulate construction/operation, and authorize frequency use; it must not unreasonably withhold/delay authority.
No. The grantee cannot use any frequency in the radio spectrum without authorization from the NTC.
The grantee may excavate/lay conduits in public places with prior approval of the DPWH or the concerned local government unit (LGU).
After a 10-day notice, if it fails to repair/replace, DPWH or the LGU may repair and replace at double expense to be charged against the grantee.
It must not use facilities for obscene/indecent transmission or deliberately false information/willful misrepresentation or assist subversive/treasonable acts; it must provide basic/enhanced telephone service in covered cities/municipalities without discrimination, up to exchange capacity, with expansion when demand increases; and it must maintain/modify equipment to keep abreast with technology.
If expansion demand is less than the smallest viable local exchange determined by the NTC, the grantee is not obliged to furnish unless the applicant defrays actual installation expenses; the NTC may extend the time for furnishing.
Charges/rates for regulated telecommunications services require NTC approval. Rates must be unbundled/separable/distinct among services so regulated services do not subsidize unregulated ones.
During war, rebellion, public peril, calamity, emergency, disaster, or disturbance of peace and order: the President may temporarily take over/operate stations/facilities, temporarily suspend operations, or authorize temporary use/operation by government agencies, with due compensation.
Radio spectrum is finite national patrimony; use is a privilege conferred by the State and may be withdrawn any time after due process.
The franchise is deemed ipso facto revoked if the grantee fails to operate continuously for two (2) years.
The grantee must give written acceptance to Congress (through the House and Senate committees on legislative franchises/public services) within 60 days from effectivity. Upon acceptance, it may exercise the privileges; nonacceptance renders the franchise void.
The grantee may connect or demand connection of its systems to other duly authorized telecommunications systems for extended/improved services under mutually agreed terms/conditions, subject to NTC review and modification.
The grantee must keep separate accounts of gross receipts and furnish COA and the National Treasury a copy not later than January 31 of each year for the preceding 12 months.
Books/accounts must always be open to COA inspection. The grantee must submit two copies of quarterly reports on gross receipts, net profits, and general condition of business to COA.
The grantee must hold national/provincial/city/municipal governments free from claims/actions arising from accidents or injuries caused by construction or operation of its facilities.
No sale/lease/transfer/usufruct/assignment or merger or transfer of controlling interest without prior Congress approval, except to a subsidiary/affiliate with at least 60% Filipino voting stock ownership. Congress must be informed within 60 days after completion. Failure to report renders franchise ipso facto revoked; transferee remains subject to same conditions.