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<div><img src="https://od2-image-api.abs-cbn.com/prod/editorImage/20201110-rolly-aftermath-catanduanes.telecoms-repair-GC-4699.jpg" style="width:950px" class="fr-fic fr-dib"/><span id="isPasted" style="color:rgb(65, 65, 65);letter-spacing:normal;orphans:2;text-align:left;text-indent:0px;text-transform:none;widows:2;word-spacing:0px;-webkit-text-stroke-width:0px;white-space:normal;background-color:rgb(255, 255, 255);text-decoration-thickness:initial;text-decoration-style:initial;text-decoration-color:initial;display:inline !important;float:none">Technicians repair a telecommunications tower in Barangay Buenavista, Bato, Catanduanes on November 10, 2020. George Calvelo, ABS-CBN News </div>MANILA - The National Economic and Development Authority is pushing for the removal of the requirement of a legislative franchise for telcos to improve internet service in the Philippines. In a statement, NEDA said it backs the Open Access in Data Transmission Bill, which seeks to reform the country&#x27;s laws on telecommunications and boost competition in the industry. NEDA said the bill aims to establish an open access policy, create a comprehensive spectrum management framework, and revamp the franchise and licensing regime for potential market players. &quot;Specifically, it promotes more competition in the telecommunications sector by removing the requirement of a legislative franchise for players seeking to build their networks,&quot; NEDA said. In a policy note, NEDA said securing a legislative franchise is costly and creates uncertainty for businesses which can deter investments. It also allows incumbent telco players to deny competitors access to essential network facilities. It said the legislative franchise requirement to build a network – from laying submarine cables, building cable landing stations, the national backbone, middle and last mile segments – effectively blocks entry in all segments of the digital infrastructure&quot;It has limited the entry of new players, and resulted in a lack of innovation, leading to both slow network expansion, poor service quality, and higher prices over the years.&quot;The Philippines is the only country in the world, and the only one in the ASEAN region, that requires a legislative franchise for the set-up of a telecommunications entity or a data transmission entity, NEDA noted.Other countries only require licenses and a modest licensing fee. Aside from scrapping the need for a legislative franchise, the bill also aims to rationalize access and use of the country’s scarce spectrum resources, NEDA said. <div><a href="https://news.abs-cbn.com/business/12/12/22/mandatory-interconnection-among-data-players-okd-by-house">House approves Open Access in Data Transmission Act on final reading</a></div><div><a href="https://news.abs-cbn.com/spotlight/multimedia/slideshow/07/09/21/abs-cbn-franchise-rejection-passed">The ironies: House swiftly OKs 85 franchises plus RBH 2 after rejecting ABS-CBN plea</a></div>

The Philippines is the only country in the world, and the only one in the ASEAN region, that requires a legislative franchise for telcos, NEDA said.

The Philippines is the only country in the world, and the only one in the ASEAN region, that requires a legislative franchise for telcos, NEDA said.

NEDA wants legislative franchise dropped for telcos

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NEDA wants legislative franchise dropped for telcos

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Published Feb 08, 2024 03:21 PM PHT

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