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July 19, 2016

Globe calls on DICT to enable the sector by getting rid of bureaucratic red tape

Globe Telecom welcomes DICT Secretary Rodolfo Salalima’s call for “good public service” from telco operators in the country. 



Globe said that it remains committed to its purpose of strengthening the nation through ICT by continuing investments in the sector. “Globe invests millions of dollars annually for network expansion and service improvements,” said Globe General Counsel Froilan Castelo. In terms of capital expenditures, the Philippines ranks second to China with almost 30% of telco revenues spent on CAPEX, the second highest in Asia.

“Further, Secretary Salalima’s proposed executive order to help rationalize the permitting process for telco infrastrusture, once in place, would be a respite from the difficulties we encounter in putting up cell sites and right-of-way issues for fiber optic cables,” added Castelo. The reduction of bureaucratic red tape was also presented by the company as a key measure that local government units can implement to help the sector, during the recently concluded Regional Competitiveness Summit, chaired by Guillermo Luz of the National Competitiveness Council of the Philippines. It is important for the government to play its role not only as a regulator but also as an enabler of the sector. If put into action, “this bodes well with what the public really wants, a better internet experience,” said Castelo.

Castelo also said that Globe will continue to roll out new network capacities using the spectrum assets it gained as a result of the joint buyout of SMC's telco assets. Reacting to the recent statement of the PCCI, Castelo clarified that the company is not hindering the PCC from doing its job. 

“We are not in any way blocking the PCC from performing its mandate. In fact, we repeatedly invited the PCC to exercise its plenary powers under Section 12 of the Competition Act to investigate the conduct and behavior of the companies on this transaction for possible violations of the Act. Globe has consistently relayed to the PCC its willingness to submit to this investigation, and Globe is confident that all its actions pertaining to this transaction are all legal and above-board as certified by its legal counsels,” he said.

All parties should abide by the provision of Memorandum Circular 16-002 and this includes the PCC who is expected to uphold its own rules and the Philippine Competition Act.

"Globe followed to the letter the rules of the PCC, and the same should be appreciated by the PCC,“ Castelo added.

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