Monday, July 24, 2017

NGCP offers use of fiber optic cables for broadband to DICT



Published June 27, 2017, 10:01 PM  By Myrna M. Velasco

Concessionaire-firm National Grid Corporation of the Philippines (NGCP) is offering to the Department of Information and Communications Technology (DICT) the fiber optic cables in the transmission network to be used in the country’s broadband program.
NGCP said it is now preparing “to formalize its agreement with DICT on the use of the grid operator’s fiber optic network for the national broadband program.”
Henry T. Sy Jr., president and chief executive officer of NGCP noted that they are in full support of “this program and its expedited implementation,” further emphasizing that “a well-connected nation, such as South Korea and Sweden, enables a fast-paced exchange of knowledge and information needed to further propel our country’s growth.”
He added “NGCP is pleased to be chosen by the government, through the DICT, to be its partner in the national broadband network project.”
The company had been previously flagged by the transmission asset owner that it needs prior consent before it can engage in a broadband business as stipulated in the Concession Agreement inked with the Power Sector Assets and Liabilities Management Corporation.
A statement from the company has been silent on how this issue was addressed, especially on the legally binding provisions set forth in the concession deal.
And if there would be additional investments or revenues entailed in this venture, NGCP may also need to maintain a separate account for such and make corresponding filings with the Energy Regulatory Commission.
NGCP said it has fiber optic cables stretching 6,154 kilometers or 160,779 fiber kilometers that may be utilized for the envisioned “Internet connectivity”being pushed by the Duterte administration.
It noted that DICT “can piggyback on NGCP’s existing network,” albeit admitting that “there is still a need for the government to provide last-mile connections and telecommunications-grade redundancies to deliver services to the end-users.”

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