MANILA, Philippines — Major telecommunications firms in the Philippines are challenging the National Telecommunications Commission (NTC) over daily fines levied against mobile service providers, arguing that the sanctions violate fundamental rights to due process.
The Philippine Chamber of Telecommunication Operators (PCTO) stated that the regulator did not give network providers sufficient time to review or contest the results of its recent network performance evaluation.
The NTC previously fined Globe Telecom Inc., Smart Communications Inc., and DITO Telecommunity Corporation ₱100,000 per day after a speed audit revealed no progress in previously identified dead zones and slow-signal areas. The daily penalties took effect upon the issuance of show-cause orders to each company and will remain active until the performance issues are resolved.
According to the PCTO, the regulator’s actions raise critical legal questions because the NTC failed to share its testing conditions, evaluation metrics, technical data, and underlying methodologies. The industry association asserted that without access to these details, companies are left unable to properly evaluate or dispute the findings.
The group further emphasized that while the NTC possesses regulatory enforcement powers, it lacks the legal authority to levy monetary fines without issuing prior notice and holding formal hearings.
“The Supreme Court has long held that the power to impose a fine is distinct from the NTC’s enforcement power and requires the procedural safeguards prescribed by law and the Constitution,” the PCTO said.
The association added that Memorandum Circular (MC) No. 001-01-2026, the regulation cited to justify the fines, merely outlines annual performance reviews rather than establishing comprehensive technical frameworks or audit parameters.
Warning against the continuous imposition of sanctions, the PCTO noted that fining operators drains financial capital that would otherwise be directed toward upgrading infrastructure and expanding connectivity across the country.
“PCTO supports accountability and better service for the Filipino people but enforcement must rest on clear and transparent standards, sound technical methodologies, and due process,” it said.
To truly address service quality, the organization urged the government to tackle systemic bottlenecks that hamper infrastructure rollouts, pointing to high administrative fees, red tape, and drawn-out permitting procedures at both local and national levels.
The PCTO represents the country’s primary telecommunications and broadband providers, including Globe, Smart, DITO, PLDT Inc., and Converge ICT Solutions Inc.