MALACA~ANG MANILA

BY THE PRES.1DENT OF THE PHILIPPINES

j
1

EXECUTIVE ORDER NO. ~

THE COMMISSION ON INFORMATION COMMUNICATIONS TECHNOLOGY AND

bREATING

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promot~

REAS' Section 24, Article II (Declaration of Principles and State Pc:,licies) Constitution states that, 4~The..\'tate shall recognize the vital role (~f lion und illfi)r"ration in nat;un-blludiltg. ",' an enabling legal. policy and institutional environment to d(~velop,~

for the co ~ industries d firms, and the achievement of national development goals; W
higher ch

advance infonnation and communications technology (ICT) is a prerequisitc tinued growth of the Philippine economy. the competitiveness of local

the government recognizes that the development.oflCT will have aIce of S\lCCeSS sustainability if it is private sector-led. market-bllSedandf-enab and

govemmeJ

the Infom1ation Technology and Electronic Commerce C~ouncilleate pursuant to Executive Order No 264 dated July 12,2000 and amended~e (ITf'ECC),o by Execut' Order No 18 dated May 25, 2001, currently functions as tJ1C primary~d policy advisory body on development, promotion and applica~,ionof, planning nationallC and e.commerce initiatives; the creation of a Depar1mentof Information and Communi,::.ations TeChnO~g(DICT) which will more effectively coordinareand implement natiofial rCT rojects and other related initiatives is a priority of government, endo,'sed by ITECC, su ported by the pr,ivatesector and presently under con~ideration in Coni:;ress;
J
programs,

W REAS' as a transitory measure,the fomlatlon of a national body tha'tis not merely ad sory in nature, and which will have a more active role in streamlining, managIng, oordinating, and implementing the various ICT -related plans and pol~ciesof govenlme ~, will immediately address the urgent need to h~rmoniz;e and m21kethe~proa to ICT developm~nt more coherentand effiCIent; country's
.~

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iEREAS, IEREAS, ~

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Cabinet appropriate'

to be eftectlve ,\nd efficient, :;uch a. national body, headed by a

must be equipped with :;trong and clearly delined powers, tnat1pOwer .\llii resource~;

ra kel.i official, ~

REAS, the creation of s\lch an empowered national body is broadly y the priv4tte sector, which is keen to work closely with government to supported cncourage: ,CT-related business and investment, enhance the skills of the 'country's workforce,' ursue meaningful legal and reg\Jlatory refom1, continue to enhance 111e nation's in I rmatiotl infrastructure, and promote e-govemaJ1CC, consistent with PhiJippinc goals to co, pet~ in thc global ICT market; W
Section ~11,Chapter 10, Title III of the 1987 Administrativ(\ Code,I wl:t Prcsident with continuing authority to reorganize the bureaucracy; providestit'

No
the Republ

THEREFORE, 1, GLORIA MACAPAGAL-ARROYO, Presidellt of

tp ofthc

Philippines, by virtue ot'the power vested upon me by law, do hercby

order:

ion 1. Lreatio,', A new body to be known as thc Commission on 11 and Communications Tech~10Iogy, hereinafter rei'en'ed to :'lS the Inforl~~;~~is hereby created,and attached to the Office of the Pre~ident, ~, COmm1SSI~

See 2. Man~late. The .Commission, s,hall ~e the ,prtf}lary policy,. pl~mning, coordinati f ' Implementing, regulating, and admmlstra.uve enuty of the executive branch
r

of Govern ent that will promote, de,vclop, and regul.'te integrated and stratcg'ic rCT
systcm.c; an reliabl~ and cost~cfficient communication it~ mandat :

facilitics and services. In fulfillingI the Commission shall be guided by the following policies:

(a)

To ensurethe provision of strategic, reliable and cost-efficient int()rm..\tion and commlJnications technology (lCT) infrastructure, $ystems and resourcesas instt'umentsfor nation-building and global competitiv(~ncss; "Infonnation and Communications Technology" <:1CT) defined as tJ1e is tot.'\lity of electronic means to collect, stor~, process a.lld l>resent information to end-usersin support of their .,ctivities. It consists, .am011g others, of computer systcms, office systemsand consumer electIoJ'lics,as well as networked information infrastruct\.Jre,the components of which include th~ telephone system, the Internet.,fax machines and computers.

(b)

,.

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";

To ensure a policy and legal environment t11at promote a level ~'Ilaying will field, partnerships between the public and thc private sectors, s1:rategic alliances with foreign investors, balanced invcstments betweel) highgrowth and economically-depressed areas, and broader privatc, sector participation in ICT development;

~o~ ~, ~RtAS, ~REAS,

(0)

'1'0 foster and accelerate cOllve.rgenc~ ICT facilities such ~ tlut not of
limite.d tQ the development of networks,

(d)

To Cl1liure llniversal

access and high-speed

conn~,,'tivity

at fair and

re.\sonablc cost;
(e) To ensure the provision of tnionnation and communication set-'vices in
areas not adequately se.rved by the private se(,'tor; I

(1)

To foster the widespread use and application of emerging ICT; To establish a strong and eft'ect:iveregulatory system that will ensure consumer prot~ction and welfare and foster a healthy competitive envirorunent; To promote thc development of lCT expertise ill the country's ~lIman capital to enable Filipinos to compete in n t'ast-evolving informati1)nand comm1.mic.\tion age; ensure the growth of the ICT industries; To preserve the rights of individ~lals to privacy and confidentiality j;}ftheir personal information; '1'0enCO\lrage use 0""IC'I' in support of efforts tor the developmc,ntand the promotion of the country's arts and culture, history, education, 'public health and sat'ety,and other socio-civic purposes; To sustain the development of the nationwide postal systemas an integral ." component of the overall development ofICT In the country.

(8)

(h)

(i) (j)
(k)

The Commission shall be composed of the National and all other opcratin,g unit~: Computer: enter, Telecommunication5 Office (TELOF), and Communications, 'which isting in the Department of TransportA'ltion culTently directly s port Communications, including the Telecommunications Polic:y and Ice. The National Telecommunications Commi~sion and the Philippine Planning Postal Co ration shall be attached to the Commission
I

Set .011 (~mp(}."itu}n. 3.

Th I~ommission shall be headed by a Chairman with a Cabinet Rank. He ~hal1 be assistc ~y the Direct.or-G~neral o~ the National Computer C~I~ter(NC.C~,~nd ther
Telecommumcauons Ofllce (TELOF) who, In addition to the1f current ies, sha.l1concurrently serve as Commissioners, and ~hall perfOrTl1' such responsibi~ may be assigned by the Chaimlan. In addition, he shall be assisted by two lunctions additional ~,omrnis~ioners as may be provided in the structure and staffing plan to be Chief of

detcnnine
,...

pursuant to Section () hereot~

',.-' -

~II (I) 1'0

shall exerc(

Sec.
(a)

4. PO1i'er,f and Funcnon.~.

To carry out. its maol1ate, {.he ComJ11ission~e

tho following powers and functions: Fo1111ulate and recommend national policies and guidelines tha.t will promote ICT and the wider llse of the internet and other cyberspace infrastructures and exchanges of llniversal application, in cops~lmtioll with the private businoss sector, relevant civil society institution~, and other private and public entitios. ~ucha~ educational and training SI:1Ctors;
Initiate. harnlonize and coordinate all ICT plans to enSUrE! Uleir

(b)

consistency with national objectives and goals;

(c)

Establish and administer comprehensive and integrated progran1sfor l(~T at tile natiOt1al, regional, and local levels with dtle consideratipn to advanccs in convergence and other etnerging technologies; and fQTthis purpose, 1nay call on any agency, corporation or organization, whether public or private, whose development programs in TCT are an inte,gtalpart tilereot: to participate and as:)istin the preparation and implementation of such programs; Design, implement, and ensurethe protection of an integrawd govel'nment information and communications infrastructure development progrl\m tilat will coordInate all existing government entities, taking into account all their existing plans, programs, proposals, software and ha..tdware inventory, and the Installed systemsand programs;

(d)

"" (e)
Provide an integrating framework and oversee the identifical:i()n and prioritization of all e-govemment systemsand applications as provided for in the Government Infonnation Systems Plan; manage and/or adn,inistcr the e-Govemmont Jo'und, which shall be institutionalized and inclltded in the proposed annual national budget; Coordinate with concerned agencies, tl1e generntion of resource.~. both governmental and non-governmental, local, national and intemati<lrtal,as may be appropriate in and for the development, marketing, gro~rth and competitiveness of the Philippine ICT IndustIY; Develop and implement, in coordination with concerncd government agoncies, a comprehensive aCT application capability in the national government and detem1inethe personnel qualification and otl1crsta:ndards essential lo the integratcd and effective developlncnt and operation of government infonnation and communications infrastructure; Encourage and e5tablish guidelines for pnvate sc<;:tor funding of ICT projects for government agencies in order to fast-track said pro.iect~which

(f)

(g) ~

(h) !I

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'on

provide reasonable cost-recovery mechanisms for tile private .,ector, including but not limited to Buitd-Qperate-Transfer (BOT) mechanisms; (i)
coordination with the Department of Science and Technology, p,rovi4c strategic direction to government research and dev~lopment p.rograms in
ICT; ,

(j)

Est.1blish and prescribe rules and regulations for tllecstablishment, oper.\tion and maintenance of ICT facilities in areas not adequatelyserved by the private scctor, in consultation with the private businesssectQr~ civil society, and other private and public entities, such as educati<.nal and
training sectors;

(k)

Establish and prescribe rules and regulations tor tile operation and maintenance ot' a nationwide postal system that shall include mail processing, delivery services, and money order scrvices; Administer and enforce all laws, standards, rules, and regu,tations governing ICT, and in coordination with the Intellectual Property Office (IPO) ensure the protection of ICT .related intellectual property ri!~hts;

(1)

(111):1 In coordination wIth concerned agencies. ensl~re COnS\lmerprotection and welfare, and protect the rights of consumer and business users to privacy, security and confidentiality;

(n) (0)

Hannonize. synchroniZeand coordinate with appropriate agencies~Il ICT and e.commerce policies. plans and programs; Assist the Department of Trade and Industry in carrying out its tuJ1ctions related to the promotion of trade and investment opportunities in ICT

Services; (p)
hi coordination wit!, concerned agencies, proJl,otc strategic pal1J~ership and alliances among and between local and international ICT finns and institutions; R&D, education.u and training institutions; and techn91ogy providers, developers and manufacturers,to speed up industry growth. In coordination with concerned agencies, plaJl and/or implenlertt such activities as maybe appropriate and/or necessary to enhance the competitiveness of Philippine workers, firn1S, and small to n\edium enterprises in the global ICT market. In coordination with the Department of Education, fonuulate policies and initiatives with respect to IT education and the development, pro~otion and application of ICT In education. ::

(q)

(r)
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proposal

-[0 carry out the provisions or this Order, fund;; tor the neccssary 'pcnses for the operations of the Commission sha.ll come from available funds of the nati 1al hudget, and subsequent appropriations shall be inCOIlJorated in the blluget the Comn1issiont subject to cxisting accounting ..md auditing -laws. and

Se f un 9. f~unding.

proccdures

Se~
prescribcd~1

1 o. T,.a'J.~itory Provisions. In accomplishing the. provisions hercinthe following transitory provisions shall be complied with:
The NCC, TELOF and other ullits currently ~xisting in DOTC, which direc.tly support CommunicatiollS, ~tre herehy trans1C1Ted thc (~on'111i~siol1 to to ensure an effective and c.oordinated implementation of lCT policie.s, progr,\ms anl.1proJects.

(a)

(b)

All regular or pcrmallent employees who shall he affecteli by this exccutive ordcr shall not suffer any lo~s of seniority or rank or de.::rcase in
emolume\1ts.

ge ion 11. Repeal;ng

execulivc provisions

Clau.\'e. All presidcluiaJ acts, lctte.r.c; of i~struction, rder~, rules and regulations, l1r parts thereof, ",,'hich are inconsistent wit.h the of this Ex~cutive Order, are hereby rcpealerJ, amende,rJ or modified

acCOrding~

Sellon 12. Eff'ectiv;f)" T,his Or<ler shall take eftect immediately.

Dclt.'. in the City of I\1a~ila this IZU1 day of of Our 1-011 two fuousC:lndand four.

J~rl~I'1

, in tIle ye,ir

~
By Auth~tty oft.l1e Presldcnt:

Ch I

Q. L

AI.,HER 0 G. ROM Ul..0

Exec ivc Secretary

.
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