THE Senate Committee on Public Services on Wednesday approved the franchise renewal application of DITO Telecommunity Corp.

The Senate panel approved House Bill No. 7332, which sought the renewal of the franchise of Mindanao Islamic Telephone Co. Inc., now known as DITO, for another 25 years.

The existing franchise is set to expire on April 24, 2023.

Senator Juan Miguel F. Zubiri during the committee hearing moved for the approval of DITO’s franchise renewal bid as well as the other applicants for franchise, after which Senator Grace Poe-Llamanzares, chair of the public services committee, congratulated the applicants.

“[DITO] in particular is approved on the committee level,” Ms. Poe said in a statement, adding that those of the other applicants are pending based on the submission of requested documents.

The telecommunications company, which is led by Davao City businessman Dennis A. Uy, launched its services on Monday in Metro Cebu and Metro Davao.

DITO Chief Administrative Officer Adel A. Tamano said a total of 22,748 individuals signed up for the company’s services but only 6,597 were qualified or have compatible phones in the proper areas.

As of March 9, up to 7,586 subscribers or SIM card purchases were recorded, he told the Senate committee hearing on Wednesday.

DITO Chief Technology Officer Rodolfo D. Santiago said he was confident of meeting the second-year commitment by July 2021.

“We are confident, Ma’am, that we can meet the population coverage required of us of 51%, because right now we’re nearing 45% population coverage,” he said in the hearing

“And that we are very aggressive in our five-year rollout, that would allow us to maintain the 55 mbps minimum average broadband speed,” he added.

The new telco player in February reported 37.48% coverage of the population, based on the audit conducted by R.G. Manabat & Co.

Edgardo V. Cabarios, deputy commissioner of the National Telecommunications Commission, said he expects DITO to “move faster” in the rollout and build more infrastructure to provide 55 mbps average speed once it has more users.

The House of Representatives approved on third and final reading the measure on Aug. 24, 2020.

President Rodrigo R. Duterte in July 2019 awarded a certificate of public convenience and necessity to DITO. — Vann Marlo Villegas