bin picking-DICT releases draft rules for selection of third major telco

bin picking-DICT releases draft rules for selection of third major telco

MANILA – The Department of Information and Communications Technology (DICT) on Tuesday released the latest draft of the terms of reference (TOR) for the selection of the country's third major telecommunications player. 

The draft TOR discusses a selection process based on the highest committed level of service. This means that the company that promises to provide the best service to the widest number of subscribers and customers in the shortest time possible will be chosen as the new major player.

According to the document posted on the DICT website, the third telco will be selected based on the applicant's ability to serve as much of the Philippine population as possible, its minimum average broadband speed, and yearly capital and operational expenditures over a 5-year period. 

To be selected, an applicant should be able to cover 30 percent of the Philippine population, provide at least 5 Mbps speed and have P40 billion in its war chest. 

The draft TOR is being released ahead of the public consultation on Friday next week and as part of the DICT's market study. 

Acting DICT Secretary Eliseo Rio said the department has been working on the draft for some time now. 

"Two months na 'yan. Hindi namin mailabas-labas (It's been ready for two months. We had been unable to release it)," Rio said. 

He decided to release the draft after meeting with President Rodrigo Duterte at the National Information and Communications Technology Summit in Davao City last Friday.

Duterte wants no delay in third telco search: spokesman

Meanwhile, the National Telecommunications Commission is working on another draft to reflect the favored selection process of the Department of Finance (DOF), which is looking to auction frequencies and award the third telco contract to the highest bidder.

Rio said he is still confident the next player could be named before the end of 2018, but that they are unlikely to finalize the TOR before Duterte's State of the Nation Address in July.

The President had sought the entry of a third telco player in the country citing slow service from current firms in operation.

– with a report from Warren De Guzman, ABS-CBN News

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