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NEWS UPDATES Asean Affairs             18  July 2011

Philippines orders Internet providers to publicize speed, reliability rates

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The Philippines National Telecommunications Commission has ordered telecom companies to disclose their minimum broadband speed as well as the service rates and reliability of their offers to consumers.

The NTC said the minimum service reliability should be 80 percent.

The service reliability is measured over a month and is derived by dividing the number of hours used in a month that is at or above the minimum connection speed into the number of hours used in a month.

At present, telcos disclose only the maximum speed of their broadband Internet connection services.

The NTC order aims to address the concerns raised by the Department of Trade and Industry and consumers about slow Internet connections that belie the ads and come-ons of telcos.

The regulator said the broadband service offers should specify the rates for a minimum speed and service reliability.

For example, a broadband service provider can offer P900 a month for 512 kilobytes per second minimum connection speed and 80 percent reliabiltiy, P1,000 for a minimum 512 kbps minimum and 85 percent reliability, or P1,000 for a minimum 1 megabytes per second and 80 percent reliability.

The NTC said subscribers should be properly informed of the broadband connection service offered to them.

The order also said service providers offering committed information rates should comply with NTC Memorandum Circular No. 12-19-2004 or the Service Performance Standards for Internet Access Services and Wired Telecommunication Services.

Under the circular, the bandwidth throughput for Internet access is up to 98.5 percent. For dial-up access, the telecoms are mandated to deliver at least 80 percent of committed information status and 99 percent for leased line access.

The order will take effect 15 days after publication in a newspaper of general circulation.


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