Republic Act No.

7925
An Act To Promote And Govern The Development Of Philippine Telecommunications An
d The delivery Of Public Telecommunications Services
Transitory Provision. All telecommunications services deregulated hereby and whi
ch are operating the effectivity of this act, may continue to have their rates a
nd tariffs approved by the commission until the end of the calendar year of the
effectivity of this Act.
APPROVED BY:
EDGRDO J. ANGARA President of the senate
JOSE DE VENECIA, JR Speaker of the House of Rep.
FIDEL V. RAMOS Pres. Of the Philippines
Approved date : March 1, 1995

9 Articles of Republic Act No. 7925

Article I. GENERAL PROVISIONS
Article II. POLICY AND OBJECTIVES
Article III. ADMINISTRATION
Article IV. TELECOMMUNICATIONS ENTITIES
Article V. OTHER SERVICES AND FACILITIES
Article VI. FRANCHISE RATES AND REVENUE DETERMIN
ATION
Article VII. RIGHTS OF TELECOMMUNICATIONS USERS
Article VIII. TELECOMMUNICATIONS DEVELOPM
ENT
Article IX. FINAL PROVISIONS

Article I. GENERAL PROVISIONS

Short title Public Telecommunications Policy Act Of The Phil
ippines
Following terms shall be used:
Telecommunications
Public Telecommunications
Broadcasting
Franchise
Local Exchange Operator
Inter-Exchange Carrier
International Carrie
ARTICLE II. POLICY AND OBJECTIVES
Developed and maintain a viable, efficient, reliable and universal telecommunica
tion infrastructure.
Improved and extend basic services to areas not yet served
Shall promote a fair, efficient and responsive market
Administered the RF spectrum in accordance with international agreements
Allocate spectrum to service providers who will use it efficiently and effective
ly.
The regulatory body shall developed tariff structure rates and tariff charges th
at are fair and reasonable.
Article III ADMINISTRATION
The NTC shall be the principal administration of this act and as such shall tak
e the necessary measures to implement the policies and objectives set for this a
ct.
 SPECIFIC FUNCTION OF NTC
Facilitate the entry of service providers
Ensure quality, safety, reliability, security compatibility and inter-operabilit
y of telecommunications.
Ensure conformity with international radio and telecommunications standards and
specifications.
Mandate a fair and reasonable interconnection of facilities
Investigate of complaints and exacting compliance with service standards .
ARTICLE IV TELECOMMUNICATIONS ENTITIES
A telecommunication Entity shall be authorized to operate in one or more of the
telecommunications categorized in this act provided that each category is cover
ed by its franchise.
CATEGORIES OF TELECOMMUNICTIONS ENTITIES
Local Exchange Operator
Inter-Exchange Carrier
International Carrier
Value Added Service Provider
Mobile Radio Services (Provider)
Radio Paging Services (Provider)
ARTICLE V. OTHER SERVICES AND FACILITIES
Terminal equipment such as telephone, PABX, facsimile, data, record, message and
other special purpose or multi-function telecommunication terminal equipment in
tended for such connection: Provided, That the equipment is type-approved by the
commission.
The Radio Frequency Spectrum allocation and assignment shall be subject to perio
dic review. The use thereof shall be subject to reasonable spectrum user fees.

ARTICLE VI. FRANCHISE, RATES ND REVENUE DETERMINTION

No person shall commence or conduct the business of being a public telecommunica
tions entity without first obtaining a franchise.
Certificate of Public Convenience and Necessity(CPCN) may impose such conditio
ns as to duration and termination of the privilege, concession, or standard or t
echnical aspects of the equipment , rates, services, not contrary to the terms o
f the franchise. In no case however, shall the CPCN be shorter than five (5) yea
rs, nor longer than the life of the franchise.
A CPCN expiring at the same time as the franchise shall be deemed to have been r
enewed for the same term if the franchise itself is also renewed or extended.
Rates and Tariffs The Commission shall establish fair return on their investment
s considering the prevailing cost of capital of domestic and international marke
ts .
ARTICLE VII. RIGHTS OF TELECOMMUNICTION USER
Right of End-User
Entitlement utility service which is non-discriminatory, reliable and c
onforming with the minimum standards set by the commission.
Right to be given the first single-line telephone connection or the first party
line connection within to months of application of service.
Regularly , timely and accurate billing, courteous and efficient service at util
ity business offices and by utility personnel.
Article VIII Telecommunications Developm
ent
Public ownership In compliance with the constitutional mandate to democratize o
wnership of public utilities, all telecommunication entities with regulated type
s of services shall make bona fide public offering through the stock exchanges
of at least (30%) of its aggregate common stocks within period of five(5) year
s from affectivity of this act.
Privatization of Existing Facilities. The Department shall, within three(3) years
from effectivity of this Act, shall privatize all telecommunications faciliti
es currently being planned under various bilateral funding equipment.

Article IX Final Provisions

Transitory Provision. All telecommunications services deregulated hereby and whi
ch are operating the effectivity of this act, may continue to have their rates a
nd tariffs approved by the commission until the end of the calendar year of the
effectivity of this Act.
APPROVED BY:
EDGRDO J. ANGARA President of the senate
JOSE DE VENECIA, JR Speaker of the House of Rep.
FIDEL V. RAMOS Pres. Of the Philippines
Approved date : March 1, 1995