MANILA — The National Telecommunications Commission (NTC) has defended its regulatory enforcement against the country’s major telecommunications providers, asserting that due process is being strictly observed following sharp pushback from an industry group over recent daily fines.
The commission earlier issued show-cause orders imposing a P100,000 daily penalty on Globe Telecom, Smart Communications, and DITO Telecommunity until they rectify identified mobile broadband deficiencies and satisfy quality-of-service standards under Memorandum Circular No. 001-01-2026.
In response, the Philippine Chamber of Telecommunication Operators (PCTO) voiced grave concern, claiming sanctions were levied before operators had a meaningful opportunity to contest findings.
The PCTO argued that the power to fine requires strict procedural safeguards. The group also criticized the NTC for failing to disclose its testing parameters and methodologies, warning that heavy fines and regulatory uncertainty threaten to divert capital from network expansion. It urged regulators to instead address structural barriers, such as burdensome local government permitting and high fees.
The NTC countered that the standards were established through public hearings where operators actively participated. The agency added that telcos were repeatedly notified of nationwide service shortcomings prior to the enforcement actions.
NTC Deputy Commissioner Castelar explained that the show-cause orders are a key element of due process, offering operators a formal venue to present evidence, explain their position, and address the daily penalties. The commission added that while operators may have other investment priorities, these do not relieve them of their statutory obligation to comply with service standards.
The NTC stated it will evaluate all formal operator submissions in accordance with applicable laws, reiterating its commitment to transparent, evidence-based enforcement aimed at delivering reliable mobile broadband service to the Filipino public.