The National Telecommunication Commission (NTC) has ordered Advanced Media Broadcasting System Inc., (AMBS), a company owned by businessman Manny Villar , to complete the construction of digital terrestrial television (DTT) network in Metro Manila in six months or until July this year, a few months before the country’s target analog shutoff in 2023.
NTC said that provisional authority (PA) may be subject to amendment, alteration, suspension, revocation or cancellation when public welfare, morals or national security so requires or when grantee operates beyond its authorization granted.
In two separate orders, NTC said it has sought policy guidance from the Department of Information Communication Technology, a legal opinion from the Department of Justice and the Office of the President prior to award of ABS-CBN Corp.’s previously held frequencies to AMBS which includes digital television broadcasting system using Channel 16 and analog frequencies for test broadcast using Channel 2.
These entities posed no objection on the assignment of the frequencies.
The assigning of the frequency temporarily shuts down the possibility of ABS CBN’s regaining the frequency.
In a 12-page order dated Jan. 5, 2022, NTC directed AMBS to comply and undertake the construction of digital television broadcast system within six months as part of the condition of the provisional authority (PA).
“Within six months from the receipt of this order commence the construction/installation of its station and finish the same within six months thereafter,” the NTC order said.
NTC also directed AMBS to secure permit for test broadcast within the year.
“It shall, within 10 days from the completion of the construction/installation of the station, submit a sworn statement of the installation/construction of the station and shall file the necessary application for permit to operate/test broadcast station,” the NTC order added.
Based on the AMBS application, the company’s proposed investment for the digital TV broadcast station is P28.5 million. AMBS is projected to generate gross revenues of P116 million on the fifth year of operation.
NTC also granted to AMBS the temporary assignment of analog channel 2 frequencies until the analog shut-off scheduled in 2023 to ensure service of both analog and digital TV signal services as the country transitions to full digital TV.
“The temporary assignment is for simulcast purposes only, and only until the analog shut-off scheduled in 2023. The temporary assignment was granted to ensure service to both analog and digital TV signal users as the country transition to full digital TV,” NTC said in a statement.
The NTC’s target full migration by next year will likely be postponed as this will depend on the decision of the next administration.
With the full implementation of DTT in the country by 2023, households without setup boxes, or a television with DTT tuner installed, could no longer use their television to watch free television channels.
Think tank Infrawatch Ph opposed the award of frequencies to Villar’s company and asked the latter to waive the award of the frequencies until the next administration.
“However, like in many instances in this administration, what is legally and procedurally sound is not necessarily correct nor acceptable to the public.
Parceling these frequencies leaves a bad taste in the mouth given that the Duterte administration is already in its final months, and it sure looks like an almost midnight deal with these media entities,” InfraWatch said.
“The way forward now is for the media entities to step back from the award and wait for a new government to provide fresh mandates on the ABS-CBN question,” Infrawatch Ph said.
NTC also awarded the other recalled frequencies of ABS-CBN to Swara Sug Media Corp. and Aliw Broadcasting Corp. for the rollout of DTT in Metro Manila using Channel 43 and Channel 23, respectively.
In September 2020, NTC has recalled all the radio, broadband and DTT frequencies and channels assigned to ABS-CBN Corp. after the network failed to get a congressional franchise.
The assigned frequencies revoked include five AM radio stations, 17 FM radio stations and 42 TV stations including DTT Channels 43 and 41 in Quezon City. NTC also recalled the 10 frequencies for digital terrestrial television broadcasting stations which are schedule for implementation.
The National Telecommunications Commission (NTC) had no specific personality or company in mind when they first sought the legal opinion of the Department of Justice (DOJ) and consulted with the Office of the Executive Secretary (OES) on allowing the use of “available and unused” telecommunication and media frequencies, Cabinet Secretary and acting presidential spokesman Karlo Nograles said yesterday.
Nograles made the statement, during an interview with CNN Philippines, when asked for confirmation that the NTC gave the Advance Broadcasting Media System Inc. of former senate president and business tycoon Manny Villar a “test broadcast” use the digital frequency of Channel 16 and analog frequency of Channel 2 in Metro Manila and Mega Manila areas.
The Channel 2 frequency were formerly used by ABS CBN before its franchise expired in 2020 that resulted to its shut down.
President Duterte, prior to its shut down, had been critical of ABS-CBN after its failure to air some of his pre-paid political advertisements, unpaid taxes ad alleged bias reporting.
Nograles said NTC has already released a corresponding statement to explain the issue but what Malacanang wants to tell the public is that “when NTC went to DOJ, it was purely asking a legal question”.
“No mention of any names, names of anyone, of private company or entity, it’s pure legal question asking for the legal opinion from DOJ regarding the authority to allocate unused frequencies and powers to issue provisional authority,” he added.
He said NTC also consulted the OES and sought guidance on the authority to assign available and unused frequencies but did not mention any name, company or entity during that time.
Nograles, reading a statement of NTC said the grant of permit to Advance Media was just a “temporary assignment is for simulcast purposes only, and only until the analog shut-off scheduled in 2023”.
Reports said the NTC granted the permit to the Advance media last January 6 without holding a public selection process.
Villar, an ally and supporter of President Duterte,. is a former senator and the father Duterte’s former Secretary of the Department of Public Works and Highways, Mark Villar.
