Osmeña junks plan of Globe, Digitel to build cell towers

Mayor Tomas Osmeña again rejected the applications of Globe Telecom and Digitel Mobile Philippines, Incorporated to build antenna towers for their cell sites in Banawa and along Gorordo Avenue.

Osmeña sent back to the City Council the copy of the resolution with the word “denied” because the sites where the antenna towers are to be installed are still subject to inspection by the City Hall personnel.

This means that the move of the two telecommunications companies to improve their signals to their subscribers will be delayed until Osmeña will approve their applications for special use permit.

The construction of two towers has already earned the consent of the city zoning board, prompting the City Council to approve the applications and send them to the mayor for approval.

Osmeña earlier said those companies that will not cooperate with the city will also not get cooperation from the city government.

The mayor said telecommunications companies should pay a franchise tax of 75 centavos for every P100 of their income in the city.

“I will no longer talk to them,” Osmeña said, referring to the officials of the telecommunications companies who insisted not to pay the franchise tax.

Globe officials had promised to meet the mayor last week to peacefully settle the latest issue involving their company that Osmeña said has failed to pay at least P24 million in franchise tax.

Although Globe officials insisted that the law excluded their company from paying franchise tax to local government units, they promised to give financial assistance to the city.

Osmeña also turned down Globe’s application for an antenna tower in Guadalupe two weeks ago.

In 2003, Globe paid the city over P35 million as a “compromise fee” in lieu of the payment for franchise tax while Smart also paid P3.78 million in “miscellaneous taxes.”

Osmeña and the Globe officials have executed a memorandum of agreement that the telecommunication company will give the city P10 million a year as financial assistance in lieu of the franchise tax.

The assistance will run throughout the term of Osmeña. — Rene U. Borromeo/LPM