Monopoly

Estrelita “Neng” Juliano-Tamano, the feisty chair of the Federation of International Cable Television and Telecommunications Association of the Philippines (FICTAP), is an important voice to be heard on the ABS-CBN franchise controversy. Yet, when she went to the Senate hearing on the matter, the senators did not seem interested in what she had to say.

That unfortunate hearing was widely criticized for being orchestrated by legislators nursing conflicts of interest on that issue. The discussion focused on peripheral and emotional issues rather than on the core policy concerns. Tamano, wife of a former senator, feels she did not get the speaking time she deserved. That hearing turned out to be a fan-fest for supporters of the beleaguered broadcast giant.

The FICTAP is nearly a solitary voice these days, marginalized in the mainstream media coverage of the franchise issue. Yet it was the position paper put in by the cable operators that caused the hearing of ABS-CBN franchise application in 2014 that caused postponement of congressional consideration of the matter.

Mainstream media coverage of the franchise issue focused on the tangential concerns such as claims of suppressing press freedom and job loss if the franchise is not renewed. In its 2014 position paper, the FICTAP raised three core points: the 100 percent Filipino ownership of mass media, the policy of “one-channel/one-franchise” and the free and unrestricted access to the “free-to-air” channel which is what the original ABS-CBN franchise covered.

The chair of the House franchise committee in 2014 ordered the broadcast giant to comment on the FICTAP position paper. ABS-CBN never did. This, says Tamano, is the real reason for the delay in deliberations on franchise renewal. It is not the fault of the House.

At yesterday’s Pandesal Forum, FICTAP notes with alarm that Section 1 of HB 4997, proposing renewal of the ABS-CBN franchise, adds the following phrase “where frequencies and/or television broadcasting, including digital television system.” The one-channel/one-franchise policy is completely obliterated. Using modern digital technologies, ABS-CBN may have any number of channels and completely dominate Philippine broadcast.

When communications technologies shifted from analog to digital, our policies did not adjust. New technologies enable franchise holders to splice their allocated bandwidth and create numerous channels.

Tamano notes that when the shift happened, the Japanese government recalled all the bandwidth it allocated to analog broadcast companies and allocated them the single channel for which they were awarded franchises. The reacquired bandwidth capacity was used to make Internet cheaper and more widely available to Japanese citizens.

Recall, too, that when San Miguel’s effort to build a third telco fell through, the company sold its allocated bandwidth to the two telco giants for about P70 billion. The current consideration of ABS-CBN’s franchise renewal will result in awarding the owner-oligarchs ample bandwidth space for free.

FICTAP says it will not oppose ABS-CBN’s franchise renewal if it sticks to the one-channel/one-franchise arrangement. But it will oppose an open-ended franchise that will only strengthen the oligarchy’s stranglehold over our broadcast industry.

The media giant, says FICTAP, is already victimizing the poor in other ways, such as selling them “black boxes” for digital TV at five times the market price and despite the fact that use of these devices are on a “test broadcast” basis. The original free-to-air franchise of the media giant prohibits it from charging anything for people to receive its content.

Political play

Today, the House committee on franchises will begin receiving position papers on the ABS-CBN franchise “renewal” question. The first paper it should receive is the giant broadcaster’s reply to the vital policy questions raised in 2014.

Already, according to the camp of Speaker Cayetano, the group of Rep. Lord Allan Jay Velasco exploited the issue in attempt to gather support for an aborted coup. Under the 15-21 term sharing formula, Velasco is supposed to rise to the speakership next October. But some pressing legislative concerns appear to be pushing a faction in the Lower Chamber toward  pushing for an earlier change in leadership.

In addition to the franchise issue, the Velasco-led faction tried hard to prevent public hearings on the matter of outstanding debts to the PSALM. These debts amount to over a hundred billion.

Cayetano allies wonder why Velasco chose to continue chairing the chamber’s energy committee instead of accepting a deputy speaker post offered by Cayetano. While the legislator from Marinduque chaired the energy committee, no discussion on the PSALM’s financial woes was tabled. Velasco has been accused of conflict of interest on this issue. Another committee, chaired by Rep. Mike Defensor, called a public hearing on the debts recently.

Also worthy of note, the PDP-Laban group, supportive of Velasco, has been shedding members the past weeks. A number of former PDP congressmen jumped ship to join the NUP and Lakas parties.

The NUP, Lakas, the NP and an alliance of party-list congressmen staunchly support Cayetano’s leadership of the House. In the event of an open factional break in the chamber, they will hold a majority of members.

While Cayetano’s public approval numbers have risen to unprecedented levels, to the satisfaction of members of the plenary, Velasco has been largely invisible. The latter is apparently relying on his friendship with Sara Duterte to pave the way for his rise to chamber leadership.

Many congressmen, however, are not enthused by the prospect of a Velasco speakership. He seems to lack the gravitas for the vital post. His work as legislator is underwhelming. He has little to say on the important issues facing the nation.