DOTC in ‘exploratory talks’ with local telecoms for NBN project

Transportation and Communications officials are in “exploratory talks” with local telecommunications companies in an effort to attract private sector participation in the government’s national broadband network (NBN) project, which might be offered through public bidding after all in the wake of the disgraceful outcome of a negotiated contract with Chinese firm ZTE Corp.

DOTC Secretary Leandro Mendoza said a public bidding might be held next year in which private firms would be encouraged to participate.

He said that despite the cancellation of the DOTC deal with ZTE Corp., the Arroyo administration is determined to implement an NBN project to link more than 600 towns across the country.

“What we are looking for here are solutions to help governance. Because once all of our agencies become interconnected, the government will be more efficient and effective in providing public service,” Mendoza said.

Invited to the exploratory talks, which began on Oct.9, were officials from Philippine Long Distance Telephone Co., Globe Telecom, Bayan Telecommunications Corp. and Digital Telecommunications or Digitel.  

Mendoza said the talks focused on how the government could cut its staggering telecom expenses.

Technical and financial experts, as well as lawyers from the public and private sector, would be invited to another meeting next week.

Local telecommunications firms said they have the capability to provide a network backbone although they have yet to discuss details like technical specifications.

Mendoza said the DOTC has formed a technical working group to identify the telecommunication needs of the government and to see how the private sector can help satisfy those requirements.

The DOTC chief said they are still studying the proposals of the telecom firms.

He stressed that the establishment of a secure broadband network is mandated under the E-Commerce Law and is stipulated in the Medium-Term Philippine Development Plan for the period 2004-2010. The objective is also part of the digital infrastructure component of President Arroyo’s Ten-Point Agenda.

“When completed, the NBN project will link all the regions, provinces, municipalities in a seamless communication network that would provide immediate and  ready information that would accelerate economic development and ensure political stability,” Mendoza said.