Question & AnswerQ&A (Republic Act No. 11503)
The franchise is renewed for another twenty-five (25) years from the expiration date on August 9, 2021.
The grantee is authorized to construct, install, establish, operate, and maintain wire and/or wireless telecommunications services including mobile cellular, copper, fiber optics, satellite transmit and receive systems, and value-added services like transmission of voice, data, facsimile, audio, video, and information services.
The grantee must secure the certificate or appropriate permits and licenses from the National Telecommunications Commission (NTC).
No, the grantee shall not use any frequency in the radio spectrum without authorization from the NTC.
The grantee must repair and replace disturbed public property in a workmanlike manner in accordance with standards set by DPWH or the local government unit. Failure to do so within 10 days after notice will allow the authorities to repair it and charge the grantee double the cost.
The charges and rates for telecommunications services shall be subject to approval by the NTC, except for those declared or considered nonregulated services.
In times of war, rebellion, public peril, calamity, emergency, disaster, or disturbance of peace and order, the President may temporarily operate or suspend the facilities for public safety and welfare upon due compensation.
The failure to submit the annual report shall be penalized with a fine of One million pesos (P1,000,000.00) per working day once applicable, and a fine of Five hundred pesos (P500.00) per working day during the interim period.
No, sale, lease, transfer, grant of usufruct, or assignment of the franchise or controlling interest requires prior approval from Congress, and failure to report such changes within 60 days will cause the franchise to be ipso facto revoked.
The franchise is revoked if the grantee fails to operate continuously for two (2) years or fails to comply with the public offering/dispersal of ownership provisions within five (5) years.
The grantee is authorized to connect or demand connection of its telecommunications systems with other authorized systems in the Philippines to provide extended and improved services, subject to review by the NTC.
The grantee must create employment opportunities and accept on-the-job trainees, prioritizing residents of the location of the principal office, and comply with existing labor laws and standards.
Yes, radio, telecommunications, and electric communications equipment, machinery, and spare parts needed for the business are exempt from customs duties, tariffs, and other taxes.
The grantee must make at least thirty percent (30%) of its authorized capital stock available to the public through stock exchanges within five (5) years or apply other methods allowable by law; failure leads to franchise revocation.
The grantee must not use its stations for obscene or indecent transmission, dissemination of false information, or assistance in subversive or treasonable acts, and must operate facilities in a satisfactory manner.