Monday, 05 May 2025, 4:51 pm

    Telco seeks spectrum user fee elimination to help lower internet cost

    PLDT Inc. wireless unit Smart Communications on Thursday expressed support for a proposed legislation aimed at lowering internet costs and improving online accessibility.

    House Bill 10699, also known as the “Sana All May Internet Act,” proposes to eliminate the spectrum user fee (SUF) imposed against telecommunications companies. The proposal is meant to facilitate the nationwide expansion of Wi-Fi and telco infrastructure, ultimately leading to more affordable internet services.

    The SUF pertains to that imposed by the regulator, the National Telecommunications Commission (NTC), for the use of a particular frequency.

    “We welcome opportunities to work hand-in-hand with government in crafting policies and legislation that contribute to bridging the digital divide and making the benefits of the internet more accessible to Filipinos, such as the ‘Sana All May Internet Act’, which was recently approved by the House of Representatives on the third and final reading,” Roy D. Ibay, vice president and head of Regulatory at Smart, said.

    This develops in the wake of the signing into law of the value-added tax on digital services by President Ferdinand R. Marcos Jr. on Wednesday, making possible the collection of over P100 billion new tax revenue over the next five years.

    House Bill 10699 also promotes the acceleration of internet use in the country and the expansion of Wi-Fi technology and infrastructure in unserved and underserved areas so the poor and underprivileged have access to a reliable, accessible, and affordable connectivity.

    “We join the House in advocating for the adoption of a zero SUF policy, which is also in accordance with international best practices,” Ibay said.

    “It is hoped that the Senate will follow through and pass this measure immediately as such a policy will enable telcos to allocate resources toward enhancing their network and elevating broader internet access instead,” he added.

    Smart’s support for House Bill 10699 is aligned with the PLDT Group’s support for the government’s overall digitalization mission to expand reliable internet access nationwide, including to geographically isolated and disadvantaged areas (GIDAs) across the Philippines.

    As members of the Private Sector Advisory Council Digital Infrastructure pillar, PLDT and Smart recently reiterated their commitment to collaborate with industry stakeholders and government agencies such as the Department of Information and Communications Technology to improve digital access to GIDAs, and empower Filipinos through education and economic development.

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