After facing pushback from the telecommunications industry, the National Telecommunications Commission (NTC) on Friday stood its ground on the P100,000 daily fines imposed on three major operators over ‘poor’ mobile broadband service.
In a statement, the regulator maintained that both the issuance of show-cause orders and the setting of service standards for telco operators are within its mandate and being carried out in accordance with due process.
While acknowledging concerns raised by the Philippine Chamber of Telecommunication Operators (PCTO), the NTC insisted that it was well within its authority to impose penalties to enforce compliance with service standards.
‘The issuance of show-cause orders is part of the process,’ NTC Deputy Commissioner Andres Castelar Jr. said. ‘It gives the concerned operators the opportunity to explain [their] side, present supporting evidence and respond to the Commission’s findings, including its position on the daily penalties, its basis, reckoning point and duration.’
The NTC also maintained that the telcos had been repeatedly notified of their identified service deficiencies and given opportunities to address them.
In an earlier statement, the regulator said it had imposed the fines after its September revalidation found that poor mobile broadband signals in certain areas remained unchanged ‘despite the opportunity afforded mobile network operators to undertake urgent corrective measures.’
The daily fines-slapped on Smart Communications Inc., Globe Telecom Inc. and DITO Telecommunity Corp.-began on Sept. 25 and will remain in place until the operators address the service deficiencies identified by the NTC.
All three telcos, however, said they received their respective show-cause orders only on Sept. 28.
Pointing this out, the PCTO said in a Sept. 30 statement that the three operators were not given ‘adequate notice and a meaningful opportunity to be heard, respond to, and contest the NTC’s findings.’
The chamber, which counts some of the Philippines’ largest telco players among its members, also questioned what it described as a lack of transparency surrounding the methodologies and parameters used by the NTC in its tests.