FinTech groups back “Konektadong Pinoy” bill
Private sector groups FinTech Alliance PH, Better Internet PH and other business organizations expressed support for the “Konektadong Pinoy” bill— seen to boost internet connectivity in the country—amid calls for amendments from big telecommunications players.
In a statement on Monday, the groups urged the immediate signing of the bill into law to beef up digital infrastructure in the country.
“With faster, more reliable internet, we unlock new opportunities for economic growth, education, financial inclusion, and innovation,” FinTech Alliance PH founding chair Lito Villanueva said.
Last Wednesday, Feb. 5, the Senate passed the bill on third and final reading. The Konektadong Pinoy bill is a measure authored and sponsored by Senator Alan Peter Cayetano.
The bill aims to ensure reliable, affordable and accessible internet connection, nationwide. It also seeks to that provide Filipinos with affordable internet access by encouraging the entry of more industry players who can develop critical infrastructure across the country.
According to the proposed act, the National Telecommunications Commission (NTC) must “ensure that the data transmission sector remains open and accessible to all qualified participants.”
The group earlier said this would allow “small players to further invest in infrastructure, especially in underserved areas where various hurdles hinder our efforts.”
In addition, FinTech Alliance said the proposed act would streamline regulations by simplifying the process for internet network and service providers.
Broad support
The bill garnered broad support, with 17 senators voting in favor and none voting against or abstaining during the plenary session on February 5.
Senators Grace Poe, Joel Villanueva and Majority Leader Francis Tolentino thanked Cayetano for his leadership in shepherding the passage of this landmark measure, according to a statement issued by Cayetano’s office.
The previous day, Cayetano, who chairs the Senate Committee on Science and Technology, reminded the chamber of the importance of aligning the Konektadong Pinoy Bill (Senate Bill No. 2699) with various Information and Communication Technology (ICT) laws to ensure faster and more accessible internet in the country.
“We won’t take the Konektadong Pinoy Bill in isolation because there’s the (need also to implement the) E-Governance Act, Creation of the Department of Information and Communications Technology (DICT), other ICT bills, and the master plan for the country’s digital highway,” Cayetano said during the bill’s period of amendments.
Cayetano welcomed the proposed amendments by Tolentino and Sen. Juan Miguel Zubiri to include a provision requiring the NTC to ensure that Data Transmission Industry Participants (DTIPs) provide continuous and uninterrupted service to agencies and institutions during national emergencies, disasters or calamities.
Jointly submitted by the Senate Committees on Science and Technology, Public Services and Finance on May 22, 2024, the Konektadong Pinoy bill primarily aims to make it easier for service providers to enter the market, thus fostering competition and offering consumers more affordable options for internet services.
The bill also seeks to ensure incoming service providers can access telecommunications infrastructure while setting standards to protect consumers. It also upholds users’ rights by providing quality service, requiring providers to meet minimum service standards.
Cayetano also welcomed other amendments such as prioritizing the installation of infrastructure in areas near educational institutions and offer students in public and private schools appropriate discounts as part of the DTIPs’ corporate social responsibility.
“We honor these concepts to provide connectivity to those who need it the most. If all of these different laws work, we hope to have free WiFi in the schools to help the students,” he said.
Opposition
As the bill moves forward, the Philippine Chamber of Telecommunications Operators (PCTO), whose members include industry leaders PLDT Inc. and Globe Telecom Inc., previously raised the need for some amendments. Otherwise, they said new regulations could hinder fair competition and even put national security at risk.
For one, PCTO said that exempting data transmission providers from “securing a congressional franchise and a Certificate of Public Convenience and Necessity creates an unequal regulatory environment, violating the principle of fair competition.”
