CASE STUDIES

Case Study 01:

One telephone station is installed by the project office in each municipality in a
very remote province. In order to budget their funds for this project, the director
believes that they should expand the installation of the calling station to some
barangays. However, after hearing from their staff that the province is too
remote and has poor reception from all telecom providers, they decided to
stop.

Answer:
In accordance with Section 8 of the Act, if the resources are adequate for
the installation site, they may expand the installation of telephone stations
there. If they decide to seek a loan, they may also adjust this so that the
resources fit. This act qualifies for foreign loans under Section 11 so long as
it complies with Section 21 of Article 12 of the Constitution.

Case Study 02:

C1 was granted a franchise to establish radio stations and applied for a
Certificate of Public Convenience and Necessity (CPCN) to operate a cellular
mobile telephone system in Area A. However, C2 opposed and claimed that C1
was not qualified for systemwide telephone services and lacked the necessary
facilities. NTC had issued as a response that the public needs a second cellular
mobile telephone provider and finds the applicant’s financial, legal, and
technical capabilities to be sufficient. Hence, the NTC granted C1 provisional
authority to operate and maintain a Cellular Mobile Telephone System initially,
phase 1 only, in Area A on the condition that C1 and C2 shall enter into an
interconnection agreement for the provision of adequate interconnection
facilities, which C2 refuses.

Answer:
The NTC is the regulatory agency in charge of all telecommunications
firms. It has the authority to provide a provisional permit. It is important to
note that the NTC only granted a provisional authority for phase one of
the proposed plan, which can be canceled by the NTC at any time in
accordance with the law. C2 must interconnect as per RA 6849 section 5,
“all domestic telecommunications carriers or utilities…shall be
interconnected”, enabling the system to reach a wider audience and
better serve public interest and convenience.