Globe, Aboitiz seek to institutionalize streamlined telco permitting via PSAC

Leading digital solutions platform Globe and diversified conglomerate Aboitiz Group have joined hands in urging the government to extend the streamlined procedure for obtaining permits, licenses, and certifications for telecom infrastructure.

At the recent ceremonial signing of the tower sale and leaseback agreement between Globe and Aboitiz-led Unity Digital Infrastructure, the leaders of both companies renewed their call to institutionalize the joint memorandum circular (JMC) of the Anti-Red Tape Authority (ARTA) as mandated under Republic Act No. 11032 amending Republic Act No. 9485 or the Anti Red Tape Act of 2007

The JMC, set to expire in September, calls for the adoption of simplified requirements and procedures that will reduce red tape and expedite business and non-business-related transactions in government.

The need for immediate action was underscored in a letter transmitted to President Ferdinand “Bongbong” Marcos Jr. by the Private Sector Advisory Council (PSAC) headed by Aboitiz Group President and CEO Sabin Aboitiz. PSAC was convened by Malacañang almost a year ago to facilitate closer public-private sector collaboration.

The Globe Group is a member of the advisory council, represented by its President and CEO Ernest Cu.

“I have to say that Sabin and I, at the PSAC, are working very hard to ensure that the JMC of the ARTA continues beyond September of this year. We constantly remind the President during every PSAC meeting,” said Cu.

Citing the importance of internet connectivity during the height of the global health pandemic, Cu earlier said the ARTA’s efforts to improve and streamline the permitting process paved the way for the completion of close to 4,500 Globe cell sites between 2020 and 2022, twice as fast as network builds from 2017 to 2019 and more efficiently than in previous years.

The positive outcome highlighted the importance of formalizing streamlined procedures. This is to guarantee that local government units (LGUs) will avoid imposing burdensome permit requirements, which has been the case in the past, and allow the MNOs and Towercos to roll out the network more efficiently and deliver connectivity more effectively to the Filipino people.

Meanwhile, in line with the government’s tower-sharing policy, Globe has entered into a contract with Unity, a collaboration between Aboitiz InfraCapital Inc. and Partners Group, for the sale of 447 cell towers worth P5.4 billion.

During the ceremonial signing event, Aboitiz said his Group remains committed to a more connected and digitally empowered Philippines.

“This is a thrilling day not just for our companies but for the future of digital infrastructure in the Philippines as we embark on this journey of cooperation, of innovation, and progress. We look forward to improving the lives of many, many more, one digital step at a time,” he said.

He added: “We draw a lot of inspiration from a larger purpose. Through the robust collaboration between the Private Sector Advisory Council and the government, we see actionable steps turned into reality.”

Globe has made substantial investments in network infrastructure over the past few years, culminating in a record spend of P101.4 billion in 2022. This was part of its commitment to delivering a #1stWorldNetwork to Filipinos nationwide. The company is now transitioning towards focusing on capital efficiency and optimization.