LGUs Urged to Rationalize Fees for Digital Infrastructure

Local government units (LGUs) in the Philippines are being urged to rationalize the fees imposed on telecommunications companies for digital infrastructure projects. This call, made by CitizenWatch Philippines, highlights that current fee practices counteract the goals of an executive order aimed at streamlining connectivity infrastructure permits. LGUs charge various fees for the construction of cell towers and other infrastructure, which add to the broadband service costs borne by consumers.

These fees, ranging widely across different cities and municipalities, include regulatory, inspection, audit, and numerous permit fees. Rationalizing these fees would allow telecom companies to allocate more resources towards improving and expanding broadband services, ultimately benefiting the local economy and constituents.

Executive Order 32, issued in July 2023, is designed to facilitate the construction of telecom infrastructure. However, the 2018 Mandanas Ruling gives LGUs financial autonomy, which complicates the strategic development of digital infrastructure.