Metering no longer top priority for PLDT

The current Philippine Long Distance Telephone Co. (PLDT) management is not too keen on pushing for the implementation of the controversial telephone metering system which is expected to provide only a "very modest" revenue contribution to the company.

Manuel Pangilinan, PLDT president and chief executive officer, pointed out that the so-called local measured service (LMS) will give the PLDT group a mere P400 million in additional revenue. PLDT posted a P46.4- billion consolidated revenue in 1999.

He noted that although LMS was a priority of the previous PLDT owners, they realized that there are many other more pressing matters that confront the company and which need immediate attention.

For instance, he said that PLDT is still in the process of completing the acquisition of Smart Communications Inc., consolidating its operations with those of the subsidiaries, looking for content providers, and improving its data and satellite services, among other things.

"Metering is an important one but is not an immediate concern so I think we'll probably look at it towards the middle of this year though if ever it happens, maybe it will be by the fourth quarter or even later," he explained.

Moreover, Pangilinan said that they will have to see what new proposals may be given to the government since the original plan, which was incidentally approved by the National Telecommunications Commission (NTC) in November 1997, was questioned by the Senate and is still undergoing scrutiny.

"We don't know what will happen after we present the new proposal... Congress might call us again, somebody might file a case in court...," he added.

Pangilinan also hinted that this might be the time yet for metering to be enforced considering the economic situation of the country.

Even with the current set-up where people only pay a fixed amount monthly for unlimited phone use, PLDT and the rest of the carriers are already suffering from lack of subscribers.

In fact, almost one million lines of PLDT remain unutilized due to poor customer uptake.

"This (metering) will obviously depend on the economic conditions. We see how the increase in oil prices has been met by the consumers and we don't want to be in that similar situation," he stressed.

Under LMS, landline subscribers will be given a call volume allocation per month in exchange for a fixed amount. Any excess usage will entail additional charges.

Although Digital Telecommunications Philippines Inc. (Digitel) as well as small private telephone firms in the provicnes are already using the system for several years now, LMS only got the public's attention after PLDT announced a decision to adopt it in April 1998.

But as a result of the Senate inquiry, the NTC temporarily suspended PLDT's provisional authority (PA) to enforce the scheme until the telephone giant is able to show a revised and more acceptable proposal.