‘Konektadong Pinoy’ bill to boost internet connectivity in PH, expert says

A telecommunications expert is optimistic that the landmark Konektadong Pinoy Act aimed at boosting broadband infrastructure and internet connectivity in the country will reach enactment before July.

Mary Grace Mirandilla-Santos, an independent researcher on information and communications technology and telecommunication policies, said stakeholders and advocacy groups are “very confident” about its enactment as President Ferdinand Marcos Jr. has certified as urgent the passage of the bill.  

“We are confident that the Senate and the House of Representatives will soon convene the bilateral conference. Hopefully, it can happen before June, before the elections even start. So after the bicameral conference, hopefully, it will get ratified. And who knows, perhaps in the next SONA (State of the Nation Address) of the President, we will have a Konektadong Pinoy (law),” she said in a recent interview with ANC Market Edge.  

The Senate passed Senate Bill No. 2699 or the Konektadong Pinoy Act on Feb. 5.  

Mirandilla-Santos highlighted the potential impact of this legislation on Filipinos and the country’s overall economic growth, saying it will remove the legislative franchise requirement for building internet infrastructure, and promote infrastructure sharing that is not found in any law in the country right now.    

“…In this case with Konektadong Pinoy, definitely, will have a framework for how infrastructure can be shared and essentially all of these things will help lower cost for the providers and lower the prices of internet services for consumers,” Mirandilla-Santos, an advocate of Better Internet PH, said.

She also addressed concerns raised by some industry players that the current framework could hinder fair competition and even put national security at risk. They particularly cited the exemption of data transmission providers from securing a congressional franchise, which they believe would create an unequal regulatory environment, violating the principle of fair competition.

“The Philippines is the only country in the world where a legislative franchise is still required as a first step to licensing a network operator so that’s like saying that all other countries are putting their national security at risk because no other countries in the world require a congressional franchise,” she added.

Mirandilla-Santos said national security is a matter that can be addressed by putting in place rigorous safeguards and internationally-accepted standards for example in cyber security, and also aligning policies in the regulatory environment with global best practice.

“In terms of fair competition, the Konektadong Pinoy bill does not discriminate whether you are a big or small player, (or) what technology you are using. It essentially will subject all players who are offering internet service to the same eligibility criteria so fair competition is definitely something that will be safeguarded in Konektadong Pinoy,” she said.

“In fact, the Philippine Competition Commission will play a major role in Konektadong Pinoy to ensure that there is fair trade competition,” she added.

Mirandilla-Santos, also author of Arangkada PH Broadband Policy Brief, further underscored the huge opportunities for small players not only in growing their business but also in participating in expanding the country’s digital infrastructure.

“There are several opportunities. One, new submarine cable projects are underway and the Konektadong Pinoy will empower local companies, including big and small players, to partner with these global submarine cable operators,” she said.

“Two, the hyperscale data centers –it is a market that is expected to be valued at $711 billion by 2030 and we are seeing the Philippines as the next destination. For this to happen, we need to make sure that we have reliable internet connectivity, not just in Metro Manila but throughout the country,” she added.

Mirandilla-Santos said the adoption of emerging and potentially disruptive technology such as artificial intelligence will further increase demand for data centers.

“Without the basic foundation of digital connectivity, then we won’t see the Philippines as taking advantage of that,” she said.

Meanwhile, Better Internet PH, together with key government agencies and internet stakeholders, is organizing a conference to discuss the crucial reforms and potential benefits of Konektadong Pinoy.

The event, dubbed “Konektadong Pinoy: A Pro-Filipino, Pro-Consumer, Pro-Competition Digital Connectivity Law”, will be held at 10 a.m. on March 28 at Malcolm Hall of the University of the Philippines College of Law Diliman, Quezon City.