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Zero lease for broadband connectivity urged to spur digital economy

12:11 AM April 29, 2024

A digital advocacy network said the Philippines should lift the lease payments for the setup of internet connection, emphasizing that it will have positive impact to Filipino web users.

“Removing the lease fees for the broadband connectivity may lead to better telecommunications services for the public and will also improve the internet links in the country,” Digital Pinoys National Campaigner Ronald Gustilo said.

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“This will impact the lives of internet users in our country positively,” he said.

Gustilo also said that the government should order the lifting or regulation of the lease fees and incentivize telcos to expand coverage in underserved areas and invest in digital infrastructure.

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He cited that in Africa, their government has began to recognize the value of broadband connectivity to provide adequate internet connection to its entire population.

On the other hand, Singapore government has mandated that there would be no lease to be paid by the internet service providers.

Despite zero lease being accepted in the country, there are only 767 buildings or properties allowing zero lease and those tenants experience good telecommunications connectivity.

Meanwhile, central business districts such as Makati, Bonifacio Global City and Cebu have a low percentage of buildings that offer no leasing fees in which it is a crucial place to have such for uninterrupted businesses.

Earlier, Globe President and Chief Executive Officer Ernest Cu asked property developers to remove lease fees for the installation of telecommunications facilities, saying that the connectivity nowadays is as important as electricity and water supplies.

Cu explained that the leasing costs add burden to telco companies which would supposed to provide higher quality of services if such costs would be allotted for widening the scope of internet access.

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