JUSTICE Secretary Menardo Guevarra on Monday contradicted Solicitor General Jose Calida as he stood pat on his position that broadcast entities may continue to operate while their application for franchise renewals remain pending with Congress.
“The DOJ stands by its position that there is sufficient equitable basis to allow broadcast entities to continue operating while the bills for the renewal of their franchise remains pending with Congress,” Guevarra said in a statement a day after Calida warned the the National Telecommunications Commission against granting provisional authorities to broadcast network ABS-CBN Corp. and its affiliate ABS-CBN Convergence Inc., to continue to operate despite the expiration of their franchises.
The franchise of ABS-CBN expired on May 4. ABS-CBN Convergence’s franchise expired on March 17.
ABS-CBN on Sunday said the NTC issued a memorandum on March 16 memo stating that all live permits to operate and maintain broadcast and pay-TV facilities that will expire during the enhanced community quarantine period will be automatically renewed. The memo also said licenses will be valid for 60 days from the end of the quarantine period after which, the stations will be given two months to file for renewal of their permit or license without penalties or surcharges.
Calida on Sunday said only Congress has the exclusive power to grant franchises to public utilities, such as broadcasting companies, in order to operate in the country under the 1987 Constitution. He said there is no law that gave the NTC or any other agency the power to grant franchises to broadcasting entities.
Calida in February filed a quo warranto petition asking the Supreme Court to revoke ABS-CBN’s franchise and that of its subsidiary for alleged violations of franchise provisions.
But Guevarra said while current laws provide that a person who wishes to operate a TV or radio station must first obtain a legislative franchise and thereafter a license to operate from the NTC, “there is no law that governs the rights and obligations of a person or entity who has already been granted a legislative franchise, and, has fully operated for many years, and has applied for renewal of its franchise.”
The DOJ chief said this is more so if the entity has also applied for a renewal of its franchise long before the expiration of said franchise, but for reasons not attributable to said person or entity, the legislature has not yet acted on its renewal.
“In several similar situations in the past, Congress allowed the status quo, without urging the NTC to issue a temporary or provisional permit, in consideration of the equities of the situation. The case of ‘associated communications’ does not apply because in that case the company did not even have an original franchise to begin with,” Guevarra said.
Further, he said that in the case of ABS-CBN, it has “already been granted a franchise and a license to operate, albeit subject to further deliberations for its renewal.”
Several senators said there is no reason the NTC cannot grant a provisional authority to ABS-CBN.
“I expect the NTC to allow ABS to operate until Congress decides with finality its franchise extension within this Congress,” said Senate president pro tempore Ralph Recto.
Senate minority leader Franklin Drilon said: “What power does the solicitor general have to contradict the body that acts as the repository of the sovereign power? The OSG cannot say that an act of the legislative or an agency of the executive branch is illegal. That is for the courts to decide,” Drilon said.
Sen. Panfilo Lacson reminded NTC that it earlier said it will be guided by a legal opinion from the justice department.
“While a franchise renewal or approval rests on the Congress by way of legislation, subject to the concurrence or veto by the President, an extension of the existing franchise by way of a joint or separate resolutions adopted by either or both houses of Congress has no existing jurisprudence as far as I know. That said, it is a good test case for the SC to rule on,” Lacson said.
Palawan Rep. Franz Alvarez, chair of the House committee on legislative franchises, said ABS-CBN must not be stopped from continuing its operations as only Congress has the power to approve or deny a franchise application.
“With the legal opinion of the Department of Justice (that the NTC can issue a provisional authority) and the authority given by the House of Representatives (to the NTC), there is no reason for ABS-CBN to discontinue or stop their operations,” he said.
Alvarez also maintained that the power of Congress to legislate, including the approval or denial or a franchise application, is “complete, full, and plenary.”
“A legislative franchise is a law and by deciding whether to grant or deny a franchise, it is passing a law and making policy. It should be allowed the courtesy to complete the exercise of its power,” he said.
“Consistent with precedents, the Committee enjoined the National Telecommunications Commission to allow ABS-CBN to operate until such time that the House of Representatives makes a decision on its application. This will give Congress sufficient time to assess the qualifications of the applicant and make a complete review of the positions of the different stakeholders,” Alvarez added. — With Raymond Africa and Wendell Vigilia