In a 23-page decision, the Court of Appeals upheld the National Telecommunications Commissions’ (NTC) awarding process and evaluation of 3G frequencies in 2005 and dismissed MTI’s appeal in claiming the last license, Express Telecommunications Co., Inc.
(Extelcom) said. A 3G license allows a firm to offer mobile broadband services to its users.
“Courts have afforded great respect to the interpretation by administrative agencies of their own rules and will defer to their dispositions unless there is an error of law or grave abuse of discretion which is not present here,” the decision read.
According to the decision penned by Associate Justice Mario L. Guarina III, NTC’s evaluation system that includes companies being assessed against 30 qualification points is “reasonable and made pursuant to its quasi-judicial powers,” as quoted in the statement. The decision further read that NTC can grant 3G frequencies through its own set of standards, Extelcom said.
The NTC adopted a point system wherein the applicants would need a minimum of 20 out of the 30 points in the evaluation.
MTI questioned NTC’s system of evaluation in court -- the very system that disqualified the firm in its claim for a 3G license. In addition, MTI also questioned NTC’s awarding of the fourth 3G license, saying it should have been the one granted that license.
In June last year, Extelcom was allowed by the Court of Appeals to intervene in the case filed by MTI for the claim on the fifth and last 3G license.
The NTC awarded the four 3G licenses to Smart Communications, Inc., Globe Telecom, Inc., Digital Telecommunications Philippines, Inc., and Connectivity Unlimited Resource Enterprises in 2005. Early last year, the NTC decided to bid out the last 3G slot, prompting another telco, Bayan Telecommunications, Inc. (Bayantel) to question it in court.
Bayantel also wants the last 3G slot and is opposing the auction as other players, who will be allowed to bid, already have 3G services. The minimum price was set at P65 million, with regulators seeking to maximize revenues.
