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    NTC to leave fee-setting for
    new listing rule to stakeholders
     
    By Lenie Lectura
    Reporter
     

    THE National Telecommunications Commission (NTC) will let industry stakeholders propose the fee the regulator should charge handset manufacturers and suppliers for every mobile phone that will be registered with the commission.

    “In the revised draft that we are preparing, we did not indicate how much the sticker will cost. Rather, it will be up to the manufacturers and other groups to propose a fee which they think is fair, reasonable and acceptable,” said commissioner Ruel Canobas on Monday.

    The NTC has formed a technical working group (TWG) to come up with another draft memorandum circular on the registration of cellular phones offered for sale to bear NTC type-approved stickers.

    The TWG will be headed by director Edgardo Cabarios of the common- carrier authorization division. He will be assisted by NTC legal head Abigail Santillan.

    “As part of NTC’s continuing efforts to strengthen regulatory measures relating to the cell phone business and its related activities, a TWG was created. The TWG will assess the various position papers submitted by the different parties during the first public hearing in February,” said deputy commissioner Jorge Sarmiento.

    The TWG is expected to submit to the NTC chief its draft circular within the week.

    Early this year, the NTC proposed a regulation requiring stickers for every handset offered for sale in the market. Handset manufacturers and suppliers must register new and used units for P75 each, regardless of the make, type and model of the handset. This is on top of the existing P1,700 registration fee that manufacturers already pay the NTC for every handset set for release.

    The proposal, however, was opposed by mobile-phone firms, cellular- phone manufacturers and dealers.

    There are already two stickers located at the back of the handsets. The NTC’s 2001 circular, for instance, provides for the attachment of a tamper-proof sticker on each mobile phone. There is also a sticker for each cell phone with bluetooth capability.

    The industry stakeholders said the proposed P75-sticker fee is too high and the primary purpose of the draft circular does not address its purpose, partakes of a tax, and is a mere rehash of existing circulars issued by the NTC.

    Nokia and Sony Ericsson said in their respective position papers that the proposed imposition is burdensome to legitimate importers and sellers of mobile phones as it would ultimately be borne by the consumer, thus hindering the delivery of telecommunications services. Globe Telecom and Smart Communications Inc. said the planned regulation is a consumer burden, a rehash of existing circulars and tantamount to taxation.

    Globe head for regulatory affairs Froilan Castelo said grave doubts surround the actual implementation of the sticker registration.

    With only 12 regional NTC offices, Castelo said individuals who want to sell their cellphones will have to travel long distances to have their handsets registered. While this is a valid concern, the NTC said it will implement measures, such as “licensing and registration on wheels,” to see to it that individuals wishing to register their cellphones will not have to travel.

    The NTC said, however, that since the registration fee covers only the cost of regulation, then the imposition is not a tax. It said the proposed measure is not redundant and unnecessary, as it is aimed at enhancing existing NTC circulars.

    After the first public hearing, the NTC tried to revise the draft circular. The NTC agreed that the proposed P75-registration fee, if passed on to consumers, will increase the prices of the mobile phones. But the increase, it said, is minimal considering that the handset prices ranging from P3,000 per unit to tens of thousands of pesos. 

    “These concerns have been addressed in the second draft. The proposed sticker fee is P25 instead of P75 and that the new sticker replaces all other stickers required under existing rules,” said Cabarios.

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