Group wants building code to forbid lease payments for digital infra installation

Laptop with Wi-Fi symbol

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MANILA, Philippines — Congress should pass a bill that would amend the National Building Code so that it would include a provision barring real estate developers from imposing lease payments on companies installing digital infrastructure, CitizenWatch Philippines said in a statement on Wednesday.

According to the consumer advocate group, the code, which was last amended in 1977, only exempts water and electric service providers from paying leases to developers for the installation of tubing or wiring.

Internet access should also be exempted as it has become a necessity at work or at home, especially with the advent of telecommuting, according to Kit Belmonte, a former Quezon City House representative who is a co-convenor of CitizenWatch.

“Individuals, communities, and societies can no longer function without going online. Connectivity and digital infrastructure are basic parts of living and working spaces, as are water and power,” Belmonte said.

“Telcos should be allowed to focus their resources on productive items that would improve their service, instead of burdening their operations with superfluous costs.”

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Other similar bills filed

According to Belmonte, there are two bills at the House of Representatives that seek to amend the National Building Code — House Bills No. 900 and 8534 filed by Tarlac Second District Rep. Christian Tell Yap and Albay Second District Rep. Joey Salceda, respectively.

Salceda’s bill seeks to amend Section 102 of the building code by inserting a sentence that makes communications and digital connectivity basic human rights, which means building developers should ensure that their designs are controlled to accommodate infrastructure related to the internet.

On the other hand, Yap proposes adding a section to the code that would make in-building telecommunication facilities mandatory for “dwelling buildings, commercial buildings, government and office buildings, public and private schools, and government and private hospitals.”

These bills are important, Belmonte said, as telecommunication companies continued to pay leases to building developers that install fiber optic cables.

These leases amount to around P200 million, which can affect the operations of telcos,  Yap said.

“These unconscionable leases translate into considerable operational expenses that are not matched by subscription fees. As a result, the windfall of property developers will cause deficits that could otherwise be invested by telcos, in expanding services, human resources, and new technologies,” he added.

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