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NTC proposes framework for interconnection agreements

By Erwin Oliva
INQUIRER.net
First Posted 23:37:00 03/24/2008

Filed Under: Telecommunications Services, Internet

MANILA, Philippines--The National Telecommunications Commission (NTC) has proposed a framework that service providers can make use of when negotiating interconnection agreements with telecommunications firms.

The framework aims to address the difficulties often encountered by smaller Voice over Internet Protocol providers and other value-added service providers when dealing with dominant telecommunications firms, said NTC Deputy Commissioner Jorge Sarmiento.

In most cases, telecommunications companies have the "upper hand" in these negotiations, Sarmiento explained.

"In the face of increasing market concentration, deteriorating financial position of many nondominant service providers, and large differences in negotiating power between service providers, it is appropriate for the Commission to establish a framework to ensure that the market functions effectively," the draft guidelines state.

Under the law, interconnection is mandated, but the law also states that this should be accomplished through bilateral agreements, the NTC executive said.

"Our objective is to come out with a model access offer agreement for 'access seekers' who do not want to negotiate. They can just accept the standard agreement," Sarmiento said.

The proposed framework requires access providers to "treat access seekers on a nondiscriminatory basis in relation to the supply of an access service."

The guidelines have gone through an initial public hearing and the NTC has set April 4 as a deadline for comments from concerned sectors.



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