Duterte grants DITO Telecommunity a new 25-year franchise

By Prince Golez

President Rodrigo Duterte signed into law Republic Act No. (RA) 11537, renewing the franchise of DITO Telecommunity Corp. for another 25 years.

Signed on Tuesday, RA 11537 extends the franchise granted to DITO for another 25 years from its expiration on April 24, 2023.

The franchise shall be deemed revoked in the event the country’s third major telco fails to operate continuously for two years.

The law requires the telecommunications provider to apply for the renewal or extension of its franchise three years before its expiration which shall be reckoned from 15 days after the publication of the franchise in the Official Gazette or in a newspaper of general circulation.

DITO must also secure permits and licenses for the construction, installation and operation of its telecommunications systems or facilities from the National Telecommunications Commission (NTC), it said.

RA 11537 also directs the firm to provide mobile number portability and interconnect with the infrastructure, facilities, systems, or equipment of other telcos.

The new measure likewise requires DITO to submit an annual report on its compliance with the terms and conditions of the franchise and on its operations to Congress, through the Committee on Legislative Franchises of the House of Representatives and the Committee on Public Services of the Senate, on or before April 30 of every year during the term of its franchise.

The reportorial compliance certificate issued by Congress will be required before any application for permit or certificate is accepted by the NTC.

The grantee should also make a full report to the President and Congress any form of disclosure of any data or information, assistance, support, or cooperation made to a foreign government, its instrumentalities or agents, according to the law.

Failure to make such disclosure shall be ground for the revocation of the franchise.

DITO shall also submit the regular security audits of its network and facilities by the Department of Information and Communications Technology and the National Security Council among others, to Congress as part of its reportorial requirements.

Failure to submit the requisite annual report to Congress shall be penalized with a fine of P1 million per working day of noncompliance, RA 11537 said.

Source: Latest Politics News Today (Politics.com.ph)