Globe calls on NTC to cancel RAO order

19 Jan 2010

Globe Telecom of the Philippines has asked the regulator, the National Telecommunications Commission (NTC), to cancel an order directing local telecom companies to show their pricing and terms for access services via a Reference Access Offer (RAO). The company is quoted as saying the directive ‘jeopardises competitiveness’ and ‘undermines public telecommunication entities’ right to a reasonable return on investment.’ The Ayala-owned group went on to note that ‘The RAO effectively allows parties seeking interconnection to sidestep bilateral negotiation [as mandated by law] by simply choosing from and accepting a set of predefined terms and conditions to interconnect.’ As such, Globe believes the order ‘has no basis in, and grossly violates the law.’

Philippines, Globe Telecom (incl. Innove)