‘Harsh’ penalties for cable operators hit
THE Federation of International Cable TV Associations of the Philippines (Fictap) has opposed the proposed “harsh” penalties from the National Telecommunications Commission (NTC) for cable television and internet operators.
Fictap National Chairman Estrellita Juliano-Tamano said on Wednesday that the proposed memorandum circular for the violations of NTC rules and regulations “did not consider the plight of cable TV and internet providers, composed of a large group of struggling micro, small and medium enterprises (MSMEs)” that are [ironically] considered “active government partners” in the national internet-for-all program.
She also said the new fines for violations ranging from P5,000 to P2 million are “prohibitive” and could “eliminate” cable and internet MSMEs, “leaving the field to the biggest industry players who could afford to pay.”
In addition, the cable operators’ chief said this would result in an “unwelcome duopoly” in the country’s telecommunications industry with a “death knell” for cable and internet MSMEs, and would also leave thousands of Filipinos jobless and result in millions of pesos in tax losses for the government.
Moreover, Juliano-Tamano said the NTC’s memorandum circular may not have undergone the required Regulatory Impact Assessment (RIA) that is cited in Republic Act 11032 or the Ease of Doing Business and Efficient Government Service Delivery Act of 2018 and called for the conduct of the RIA as required by law.
Representatives from the Fictap also raised the issue at the meeting with the NTC on May 15, but the group claimed “it was not satisfactorily addressed.”
NTC’s Memorandum Circular, which was made public on April 30, shows the penalties imposed on MSMEs under Rule IV, Section 11.
“The fines so imposed shall be paid to the Government of the Philippines through the NTC, and failure to pay the fines or comply with the order to refund in any case within the time specified in the order or decision of the NTC shall be deemed good and sufficient reason for the suspension of the certificate of said public service until payment shall be made or the order is complied with. Payment may also be enforced by appropriate action brought in a court of competent jurisdiction,” an excerpt from the memorandum circular states.