A lawmaker has proposed granting ABS-CBN Corp. a new 25-year franchise, aiming to restore the broadcast giant’s role in delivering news and entertainment to millions of Filipinos.
On Tuesday, Albay Representative Joey Salceda filed House Bill 11252 at the House of Representatives, emphasizing that ABS-CBN had been cleared of alleged legal violations during the previous Congress.
“The Securities and Exchange Commission and the Bureau of Internal Revenue, during House deliberations on the ABS-CBN franchise in the previous Congress, certified that the franchise grantee did not violate ownership restrictions and did not have pending tax liabilities,” Salceda noted in his explanatory statement.
ABS-CBN ceased broadcast operations on May 5, 2020, following a cease-and-desist order from the National Telecommunications Commission (NTC). Just two months later, on July 10, 2020, the House Committee on Legislative Franchises denied the network’s application for franchise renewal, citing issues such as the dual citizenship of Chairman Emeritus Eugenio Lopez III, potential violations of foreign ownership restrictions, alleged labor and tax irregularities, and non-compliance with franchise terms.
The rejection of ABS-CBN’s franchise led to significant repercussions, including the loss of 11,000 jobs and a diminished access to reliable news sources, especially during the critical period of the Covid-19 pandemic.
“You will remember that I even warned against the franchise rejection on grounds that it will add to Covid-19 infections due to lack of information,” Salceda stated.
Highlighting the network’s importance, Salceda pointed out that ABS-CBN’s regional network played a vital role in delivering updates during disasters, with 36% of Filipinos relying on the channel for news and entertainment before its closure.
Salceda said the proposed bill aims to ensure fair competition in the media industry, which is essential for a well-informed public.
“I believe that the free market of ideas requires competition. A virtual monopoly will not do, as far as disseminating ideas and keeping the public informed is concerned,” he concluded.