Being online is part of the everyday lives of many Filipinos, whether for work or education, procuring services, or leisure. Filipinos are, in fact, spending long hours daily online. The Philippines ranked third among the countries spending the most time using the internet, as We Are Social and Hootsuite’s Digital 2022 October Global Statshot Report recorded that Internet users aged 16-64 years old in the country spent an average of nine hours and 39 minutes per day.

Connection to the online world has increased because of the lockdown, but it would much liklely remain vital in various aspects of Filipinos’ lives moving forward. Hence, there is a need for accessible and reliable connectivity across the country. And this involves bolstering and expanding digital infrastructure.

Based on Ookla’s Speedtest Global Index, last month, the country’s mobile median download speed was at 22.54 Mbps. Though its rank lowered from August’s 82nd spot to 85th out of 139 countries. Meanwhile, the country’s median fixed broadband download speed was at 78.69 Mbps, and inched a spot down to 46th out of 181 countries. But the Philippines had seen some improvements in its download speed. The country’s median mobile and fixed broadband download speeds in September last year were at 17.16 Mbps (ranked 99th) and 45.85 Mbps (66th), respectively.

World Bank also noticed progress in improving the country’s digital connectivity, as per its Philippines Economic Update June 2022 Edition. But it also noted that there are still challenges.

“The quality of Internet service (indicated by average download speeds) improved in 2020 and 2021 due to network upgrades and increased infrastructure deployment. However, there is scope for further improvement, particularly in smaller urban centers, rural areas, and islands planned for accelerated tourism development,” World Bank said.

Among the challenges in accelerating digital infrastructure rollout in the country, according to World Bank, is the underinvestment in broadband infrastructure, which is rooted in decades of lacking competition and out-of-date legal, policy, and regulatory frameworks.

“The slow rate of rollout of telecommunications infrastructure has been in part due to barriers to competition and restrictions on foreign direct investments,” it noted.

Efficient digital spectrum management is also lacking, bringing about an uneven playing field for prospective newcomers.

Digital infrastructure expansion is hampered by investment and competition restrictions as well. “The requirement for congressional franchise limits the ability of new telcos and independent internet service providers to deploy infrastructure, access spectrum, and use distinct types of Internet technologies,” it said.

It also took note of the complex permitting for network equipment and the lacking policy on infrastructure sharing, which slow down the rollout of network.

For its key policy recommendations concerning digital infrastructure, therefore, World Bank suggests expanding pro-competition legislation for the shared deployment of network infrastructure and simplifying the permitting.

“The government has taken steps to promote market entry and simplify complex permitting processes for cell site construction and cable laying through the passage of the implementing rules and regulations of the Public Services Act amendment, the National Broadband Plan, and the Common tower and pole attachment policy. However, more can be done in terms of enacting regulations for passive infrastructure sharing (ducts for optical fiber) and regulations for active infrastructure sharing (mobile),” it said.

In addition, the government could promote investment in connectivity through an efficient allocation of spectrum to stimulate an improved mobile network expansion in rural areas and furthering public-private partnership models for infrastructure to draw private investment.

Policies that could enhance connectivity in the country were also pushed by the Philippine Chamber of Commerce and Industry (PCCI) and Better Internet PH to the 19th Congress.

The partnership seeks to champion the Open Access in Data Transmission Act, Rural Wired Development Act, Satellite Liberalization Act, and Spectrum Management Act.

“We have been laggards behind our ASEAN neighbors for the longest time in terms of better internet and we should prioritize legislation that will improve our overall connectivity,” PCCI President George T. Barcelon said in a statement in May.

Mr. Barcelon considered that better Internet would have “profound impacts” on various sectors, including the government, economy, tourism, and education, given that having such would induce more foreign direct investments.

“We want to update policies to make it easier for ISPs (internet service providers) to build digital infrastructure,” Better Internet PH Lead ICT Policy Analyst Grace Mirandilla-Santos added. “Technology will overtake regulation, therefore our policies should be future-proof.”

Meanwhile, back in March, the Department of Information and Communications Technology (DICT) shared its three-year investment plan of about P50 billion for the development of the country’s digital infrastructure.

“Most of the budget will go to the National Fiber Backbone and the Accelerated Fiber Build through the regional and provincial rings,” then-DICT Acting Secretary Emmanuel Rey R. Caintic was quoted in a BusinessWorld report.

“We are very optimistic that they will give us that budget,” he had said. “We have been advocating, evangelizing, and promoting this digital infrastructure for the past two to three years. I believe they have come to realize, especially with the pandemic, that all the more this digital infrastructure is the way to go and it is the right investment to be done by the government.” — Chelsey Keith P. Ignacio

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