MANILA, Philippines — Amid spying concerns, the Department of National Defense (DND) has given its stamp of approval to the installation of cell sites by a third telecommunication company partly owned by China inside military camps in the Philippines.
Defense Secretary Delfin Lorenzana confirmed before the appropriations committee of the House of Representatives, headed by Rep. Eric Go Yap, that he indeed “signed the contract recently” that was submitted to him by China-backed Dito Telecommunity Corp.
“I think this is just fair for Dito because they will be just providing signals or telco services in the provinces. They also want to be inside camps for security and protection,” Lorenzana told lawmakers yesterday as he defended the P209.1-billion proposed budget of the DND for 2021.
“When the contract reached my table, the Senate asked for a copy of the contract for them to scrutinize it,” the DND chief said, following vehement objections from opposition senators last year, when he decided to postpone the signing of the telco contract.
Cagayan de Oro Rep. Rufus Rodriguez raised security issues, like those raised by other lawmakers and even military officials themselves, who have expressed grave concerns and objections to Dito’s plan to install cell sites in their Armed Forces of the Philippines (AFP) subdivision in Taguig City.
“Can you imagine that there will be Chinese employees of Dito, who may be spies for China while we have a conflict especially in the West Philippine Sea, entering our camps?” Rodriguez asked.
Lorenzana nevertheless reiterated that he was given an assurance by the AFP that the military would “institute safeguards so that the security of our camps will be maintained.”
The defense chief also informed the Yap committee that Dito – the country’s third telco after Smart and Globe – would be allowed only in camps where the two other dominant network providers will have their cell site towers.
Dito is expected to break the country’s telco duopoly since it will be the third in the country after Smart Communications owned by tycoon Manny V. Pangilinan and Globe Telecom of the Ayala family.
Dito CME is the publicly listed holding company of Dito Telecommunity.
Dito Telecommunity is owned by Udenna (35 percent), Chelsea Logistics (25 percent) and China Telecom (40 percent).
Both Udenna and Chelsea Logistics are owned by Filipino-Chinese businessman Dennis Uy, a friend of President Duterte.
Last Aug. 24, the House plenary voted 240-7-7 to approve on third and final reading the measure that paved the way for a 25-year legislative franchise of Dito Telecommunity Corp.
In his fifth State of the Nation Address last July 27, Duterte called on top telcos Smart and Globe to improve their communication and internet services across the country or he might be forced to “expropriate” all their assets before the year ends.
Not a security risk
Dito gave assurance that it would not be a security risk following the go signal to build cell towers within military camps.
Dito chief administrative officer Adel Tamano said the firm is “first and foremost a Filipino-owned and managed company” that will always look after the interests of the Filipino people.
Tamano added that the memorandum of agreement inked with the AFP contained the same provisions signed by Globe and Smart, with the notable exception that provisions were added pertaining to commitments of Dito to national security.
“Dito Telecommunity guaranteed that its devices, equipment and structures shall not be used to obtain classified information from the Armed Forces,” he said.
“In response to the allegation that non-Filipino nationals will be provided access to military camps once the construction of these installations begin, let us make clear that the Armed Forces of the Philippines has in place stringent protocols that disallow foreign nationals from performing sensitive technical work within military camps,” he added.
This information, according to Tamano, has been confirmed by retired Maj. Gen. Rodolfo Santiago, Dito’s current chief technology officer who has served the AFP.
“May we further remind everyone that as part of the new major player selection process, we have submitted our cybersecurity plan during the bidding process to prove that our networks and facilities will not compromise national security and shall abide with the National Cybersecurity Plan,” Tamano said, noting that the plan has been accepted by the Department of Information and Communication Technology and the National Security Adviser.
Dito had earlier vowed to make available its network for commercial use by March next year or earlier.
By Jan. 7 next year, it will undergo a technical audit, where the government will check the new telco’s capacity to deliver on its first-year commitments of covering 37 percent of the population and provide 27 megabits per second minimum average internet speed.
“More than the other issues which have all been answered in our previous public statements, it may be more important to focus on the fact that Dito has committed to invest P250 billion to improve the Philippine telco industry and has continuously been providing much-needed investments and jobs for our countrymen, especially during this pandemic,” Tamano said.
“Let me reassure the Filipino public that we in Dito are steadfast in our commitment to provide world-class telecommunications services that the Filipino truly deserves, and are looking forward to March 2021 for our committed commercial launch,” he said. – Richmond Mercurio