Influential telco group warns Konektadong Pinoy bill could hurt competition, security

February 3, 2025
5:39PM PHT

The Philippine Chamber of Telecommunications Operators (PCTO) is raising concerns over the Konektadong Pinoy bill, warning that it could undermine constitutional safeguards and disrupt fair competition in the telco industry.

While supporting efforts to expand internet access, PCTO argues that the bill bypasses the need for a congressional franchise, posing potential risks to national security and market stability.

The group also calls the measure redundant, saying the Amended Public Service Act (RA 11659) already provides a clear pathway for new telco players.

New law risks violating the Constitution

“We believe in fostering a competitive environment that encourages innovation and makes connectivity more accessible and affordable to Filipinos,” the PCTO said in a statement.

“Unfortunately, despite its good intentions, the Konektadong Pinoy bill disregards Constitutional provisions, undermines fair competition, and could stifle investment in the telecommunications sector. We hope to work with lawmakers towards reworking the bill into a version that will be a win-win for all,” it added.

Focus on underserved areas

PCTO believes that instead of pushing unnecessary competition in well-connected urban areas, the bill should require new players to prioritize underserved and remote areas to genuinely expand internet access.

“Data transmission providers should be required to build in GIDAs (geographically isolated and disadvantaged areas) instead of adding redundant builds in areas where connectivity is already strong. Such provision must be added to the bill to realize the spirit and intent of Konektadong Pinoy, which is to achieve connectivity for all,” the PCTO said.

Major concerns

  • The bill includes broadcast frequencies beyond its intended focus on data transmission, violating the “one bill, one subject” rule.
  • Unfair competition – New providers would be exempt from securing a congressional franchise and a Certificate of Public Convenience and Necessity (CPCN), creating an uneven playing field. 
  • Weakened government oversight – The bill loosens spectrum regulations, which could lead to unregulated use of public resources, increasing market instability.
  • Property rights and security risks – The access list provision could force property owners to allow telecom infrastructure, while the “dig once” policy increases the risk of sabotage and service disruptions. for collaborative discussions with lawmakers to revise the bill, ensuring a balanced, competitive, and sustainable telecom sector that benefits all Filipinos.
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