Olongapo Telecom & Information Technology

Tuesday, March 04, 2008

PLDT junks PT&T request for changes in accord

PHILIPPINE Long Distance Telephone Co. (PLDT) on Thursday junked the request of Philippine Telephone & Telegraph Corp. (PT&T) to amend their interconnection agreement.

In a filing with the National Telecommunications Commission (NTC), Fernando M. Sobierra 3rd, PLDT legal counsel said there is no need to amend the interconnection agreement after the regulator issued a circular on interconnection of local exchange carriers in local calling areas.

In December 1995, PLDT and PT&T entered into an interconnection agreement, stating that PT&T shall pay PLDT a terminal fee of P500 per trunk per month as compensation.

PLDT said the reason why PT&T wants to amend their agreement is to prevent the latter’s payment of its dues.

“Basically, PT&T wants to amend paragraph 8.1.2 of the interconnection agreement in order to justify its non-payment of the transport charges as provided therein,” Sobierra said.

PLDT said the amount due from PT&T ending May last year reached P8.4 million, payment of which was due immediately.

“The said memorandum circular does not mean the cancellation of the monthly fixed charged billings by PLDT to PT&T considering that transport charge being collected by PLDT from PT&T represents the net charges for hauling calls between PLDT and PT&T beyond the point of interconnection or from tandem exchanges where the parties are interconnected and inward to the parties respective local network,” Sobierra said.

PLDT said that the rules and regulations issued by the NTC governing interconnection uphold the rights of carriers to remain viable in a healthy competitive environment.

“In this perspective, all interconnected players are mandated to share the cost of facilities not only at the [point of interconnection]. It has been the practice that carriers share the cost of the facilities and pay transport charges,” he said.

PLDT said it has the right to recover transport costs. “The concept of transport charge has been acceptable to industry players as evidenced by existing bilaterally negotiated interconnection agreements.
-- Darwin G. Amojelar

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