Manila: President Ferdinand R. Marcos Jr. has signed into law a measure renewing the legislative franchise of state-owned media network International Broadcasting Corporation (IBC 13) for another 25 years. Republic Act (RA) 12311, inked by Marcos on Oct. 3, authorizes IBC-13 to construct, install, establish, operate, and maintain radio and television broadcasting stations anywhere in the country where frequencies or channels are still available, 'for commercial purposes and in the public interest.'
According to Philippines News Agency, the grantee must secure from the National Telecommunications Commission (NTC) the appropriate permits and licenses for the construction and operation of their stations or facilities. The NTC, on the other hand, must not 'unreasonably' withhold or delay the granting of permits and licenses. RA 12311 gives the NTC the authority to revoke or suspend, after due process, the permits or licenses of the grantee violating the provisions of the franchise. The NTC may also recommend to Congress the revocation of the franchise.
The franchise will be deemed ipso facto (by the fact itself) revoked in the event the grantee fails to operate continuously for two years. The law mandates IBC-13 to provide free and adequate public service time, which is reasonable and sufficient to enable the government, through the broadcasting stations or facilities, to reach the pertinent populations on important public issues and relay important public announcements and warnings concerning public emergencies and calamities, as necessity, urgency, or law may require. Public service time shall be equivalent to a maximum aggregate of 10 percent of paid commercials or advertisements, which shall be allocated based on the needs of the executive and legislative branches, the judiciary, Constitutional commissions, and international humanitarian organizations.
Under RA 12311, the Philippine President has the 'special right' to temporarily take over and operate the grantee's stations or facilities, 'in times of war, rebellion, public peril, calamity, emergency, disaster, or disturbance of peace and order.' The Philippine president can also suspend the operation of any station 'in the interest of public safety, security, and public welfare.'
The law further stipulates that the grantee shall not require any previous censorship of content to be broadcast from its stations, but if any content should constitute a violation of the law or infringement of a private right, the grantee shall be free from any liability, civil or criminal, for such content. However, during any broadcast, the grantee must cut off content that incites treason, rebellion, or sedition, or is indecent or immoral. Willful failure to comply will be considered a 'valid cause' for the cancellation of the franchise, according to the law.
The law also allows IBC-13 to create employment opportunities and accept on-the-job trainees in the franchise operations. The grantee is prohibited from selling, leasing, transferring, granting, or assigning the franchise to any person, firm, company, corporation, or other commercial or legal entity. It is also required to submit an annual report on their compliance with the terms and conditions of the franchise and its operations to Congress, through the Senate Committee on Public Services and the House Committee on Legislative Franchises on or before April 30 of every year during the term of its franchise.
Additionally, the grantee is directed to offer to Filipino citizens at least 30 percent of its outstanding capital stock, or a higher percentage, in any securities exchange in the Philippines within five years from the effectivity of the law. The annual report must include an update on the rollout, development, operation, or expansion of their business; audited financial statements; the latest GIS officially submitted to the SEC, if applicable; certification of the NTC on the status of its permits and operations; and an update on the dispersal of ownership and undertaking, if applicable. The reportorial compliance certificate issued by Congress will be required before any application for a permit or certificate is accepted by the NTC.
RA 12311 also states that any advantage, favor, privilege, exemption, or immunity granted under franchises, or which may hereafter be granted for radio and television broadcasting, upon prior review and approval of Congress, shall become part of this franchise and shall be accorded immediately and unconditionally to the grantee. RA 12311, which was made public on Wednesday, takes effect 15 days after its publication in the Official Gazette or in a newspaper of general circulation.