Philippine Lawmakers: DICT Must Collect P3.9B Telco Dues

Call for Telco Dues

The Congressional Policy and Budget Research Department (CPBRD) has called on the Philippines' Department of Information and Communications Technology (DICT) to collect P3.9 billion in outstanding charges and penalties from telecommunications companies. This revenue, if recovered, would support various government programmes.

The CPBRD, acting as a legislative think tank, noted that the National Telecommunications Commission (NTC) could raise this sum by recovering its collection backlog. This includes P21.8 million owed by providers operating with expired franchises, against whom administrative charges have been filed.

The Commission of Audit (COA) has also highlighted the necessity for the NTC to collect these funds from telcos with pending government cases.

Collection Challenges and Budget Impact

The CPBRD identified several factors hindering the collection of these dues. These include weak collection and follow-up mechanisms, the disadvantage of issuing annual statements of accounts, gaps in monitoring and enforcement, and delays in court rulings. The COA emphasised that the failure to promptly collect these receivables deprives the government of much-needed revenue.

If collected, these funds could significantly enhance the DICT's budget, enabling initiatives such as expanding digital penetration in rural areas through the installation of free WiFi sites.

Internal Budget Scrutiny

Beyond the telco dues, the CPBRD also scrutinised other DICT units for budget inefficiencies. The National Privacy Commission (NPC) was cited by the CPBRD for failing to effectively utilise its P119 million budget allocated for establishing a Compliance and Security Monitoring Command Center.

This centre, intended as a unified hub for security and compliance, faced disruptions, missed delivery timelines, and premature hiring of personnel, which the NPC did not resolve quickly.

Additionally, the Cybercrime Investigation and Coordinating Center (CICC) was directed to return P86.2 million to the Bureau of the Treasury in 2024, a move reported by the COA, indicating issues with procurement and implementation.

Funding Digital Infrastructure

The push to collect these outstanding dues comes as the DICT seeks congressional approval for its proposed 2027 budget of P12.53 billion. A substantial portion, P8.47 billion, is earmarked for infrastructure projects aimed at improving digital access across the Philippines.

The timely collection of the P3.9 billion from telcos, along with improved budget utilisation by its agencies, could directly bolster the DICT's capacity to fund these critical digital expansion efforts, thereby accelerating connectivity for businesses and citizens.