QuestionsQuestions (Republic Act No. 11003)
The franchise grants Beta Broadcasting System, Inc. the right to construct, install, establish, operate, and maintain commercial radio broadcasting stations in the Island of Luzon for twenty-five years, using microwave, satellite, terrestrial or any new radio system technology, subject to the Philippine Constitution and applicable laws.
The grantee must operate its stations so that it causes minimal interference with existing stations or other legally established stations, without diminishing the quality of its own transmissions or receptions.
The grantee must secure appropriate permits and licenses from the National Telecommunications Commission (NTC) and may not use any frequencies without NTC authorization.
The grantee must provide, free of charge, adequate public service time to enable government communication on important public issues and emergencies, provide sound and balanced programming, promote public participation, assist in public information and education, and avoid broadcasting obscene, indecent, or false information.
The grantee must comply with applicable labor standards under existing labor laws and regulations as promulgated by the Department of Labor and Employment, considering the nature of the broadcast industry.
The President may temporarily take over or operate the stations, temporarily suspend operations, or authorize government use of the stations during war, rebellion, public peril, calamity, or other emergencies, with due compensation to the grantee.
The franchise is valid for twenty-five (25) years from the effectivity of the Act unless revoked or cancelled earlier, and will be deemed revoked if the grantee fails to operate for two continuous years.
Nonacceptance of the franchise in writing within sixty (60) days from the effectivity of the Act renders the franchise void.
No, the grantee cannot sell, lease, transfer, grant usufruct, or assign the franchise or controlling interest without prior approval from Congress, and any transferee is bound by the same franchise conditions.
The grantee must offer at least thirty percent (30%) of its outstanding capital stock to Filipino citizens in any Philippine securities exchange within five years of operations to encourage public participation; failure to comply results in automatic revocation of the franchise.
A fine of five hundred pesos (₱500.00) per working day of noncompliance, collected by the NTC separately from other penalties, is imposed for failure to submit annual compliance reports.
The grantee shall not require previous censorship but must cut off any broadcast that incites treason, rebellion, sedition, or contains indecent or immoral language. Failure to comply may result in revocation of the franchise. The grantee is free from liability for unlawful content provided these conditions are met.
If any section is declared invalid, all other provisions not affected remain valid and effective.
No, the franchise is nonexclusive, subject to amendment or repeal by Congress when the public interest requires.
The grantee remains subject to all applicable taxes, duties, fees, and other government impositions under existing laws like the National Internal Revenue Code and Local Government Code.