The Philippine Chamber of Telecommunication Operators (PCTO) has questioned fines imposed by the National Telecommunications Commission (NTC) following network performance checks, saying operators were penalized before they had a meaningful opportunity to respond or challenge the findings.
The industry group warned that regulatory uncertainty and substantial penalties could divert resources and attention from network expansion and improvements needed to deliver better telecommunications services.
PCTO said fines were imposed upon receipt of show cause orders, which require operators to explain their position on the regulator’s findings. It said operators were not given adequate notice or an opportunity to be heard.
“This raises serious due process concerns,” PCTO said.
The group also questioned whether operators had enough information to verify the results of the NTC’s network tests.
“The NTC has also not sufficiently disclosed the methodologies, metrics, parameters, testing conditions, and other technical bases used to determine non-compliance,” it said.
PCTO said MC No. 001-01-2026 provides for annual performance audits, while detailed testing methods and parameters have yet to be established. It argued that penalties should be based on clearly defined standards applied consistently across operators.
For telecommunications companies, the concerns extend beyond the fines. PCTO urged the government to address varying local government permit requirements, lengthy approval processes, and high national and local regulatory fees, which it described as barriers to expanding connectivity.
The group acknowledged the NTC’s authority to investigate and undertake certain regulatory measures without a previous hearing. However, it argued that this does not give the commission blanket authority to impose punitive penalties without notice and an opportunity to respond.
Smart Communications, Inc. (Smart), meanwhile, said it would work with the NTC on concerns identified in its show cause order and validate the findings against its own network data and independent assessments.
Smart cited the Department of Information and Communications Technology’s Oplan Bantay Signal reports, which gave its network a “Good” overall performance rating in July and August 2026.
The company reported an August score of 80.2 and an average download speed of 52.13 Mbps, with all measured cities exceeding 15 Mbps.
Smart noted the recognition by global connectivity intelligence leader Ookla for delivering the Best Mobile Video Experience in the Philippines for the first half of 2026, with a Video Score of 72.82.
Smart said these benchmarks and the NTC findings would guide network improvements. PCTO said it remained ready to work with government agencies on service accountability, transparent standards, and infrastructure deployment.