Lawmaker says NTC plan on 3G frequency faces legal impediments

MANILA, Philippines - A ranking member of the House of Representatives expressed concern over a new process proposed to be undertaken by the National Telecommunication Commission (NTC) leading to an auction for the country’s last remaining 3G frequency.

Bacolod Rep. Monico Puentevella, senior vice chairman of the House committee on telecommunications and information technology, warned the NTC of the “legal impediments” in awarding the remaining 3G frequency under a new set of rules.”

Puentevella said the awarding of the last 3G frequency should comply with the law that was passed by Congress to make sure that the actions of the NTC will not prejudice millions of consumers who pay substantial fees in availing 3G services.” 

He cited the exercise of congressional oversight function and the welfare of consumers availing of 3G services when he wrote letters expressing his concerns to the NTC.

“The NTC should focus on solving the problem of missing prepaid loads, dropped calls, cellphone scams and runaway phone bills plaguing the consumers instead of beginning this illegal process seen as leading to a midnight award of the valuable 3G frequency just as elections are right around the corner,” he said.

“Instead of revenues promised to the government by those proposing the auction, it will only result in endless litigation that will further lock up the country’s last 3G frequency to the prejudice of the government and our consumers.”

“Under the new process, applicants will be evaluated differently from previous awardees. Other telcos will surely complain. This creates unfair competition. Worse, the new process will only result in higher spectrum user fees (SUF) that will surely be passed on to the consumers by the winning bidder. I will not stand for this,” said Puentevella.

 In 2005, the NTC awarded 3G frequencies to Smart Communications, Globe Telecom, Digitel Mobile Philippines , and Connectivity Unlimited Resources Enterprises (CURE). The awards were done under NTC rules issued in 2005 governing the selection process for the award of all of the country’s 3G frequencies.