Provisional franchise requires ABS-CBN to give gov't 10% of its ads 'in times of need'

ABS-CBN will be required to dedicate 10% of its paid advertisements to the government under the provisional franchise the House of Representatives is currently deliberating to grant the network, but only "in times of need."

The House on Wednesday consecutively approved in the committee level and on second reading House Bill 6732, seeking to grant ABS-CBN a provisional franchise until October 31, 2020.

Authored by Speaker Alan Peter Cayetano and seven other House leaders, the measure grants ABS-CBN the franchise to allow it to resume operations while Congress deliberates on the issues that surrounded the company's now-expired franchise and eventually decides whether or not to give it another 25-year franchise.

House Bill 6732 stipulates under Section 4 the responsibilities of ABS-CBN to the public, which includes providing "free of charge, adequate public service time" to allow the government "to reach the pertinent population/s... on important public issues and relay important public announcements and warnings concerning public emergencies and calamities as necessity, urgency or law require."

The measure defines "public service time" as "equivalent to 10% of the paid commercials or advertisements which shall be allocated based on need to the executive, legislative, judiciary, constitutional commissions and international humanitarian organizations duly recognized by statutes."

However, Deputy Speaker Dan Fernandez, one of the authors of the measure, clarified that this provision is "not absolute" and only for "times of disasters" and "emergency situations."

"There are certain situation na talagang need ng intervention ng national government, like this, kung merong COVID tapos may mga natural disaster or may ganitong situation. Siguro maganda naman na mag-intervene na tayo sa batas na ito para pagdating ng ganung calamity, hindi na tayo mangangapa at gagawa pa tayo ng batas," Fernandez said in a phone interview with reporters on Monday.

"Kumbaga parang social responsibility na rin ng mga network yung 10% na magagamit dito sa ganitong mga problema which should be allocated sa judiciary, international humanitarian organization, na nakikita natin na magbebenipisyo naman ang mga tao during national emergency situations," he added.

Fernandez said the application of the provision would still depend on the implementing rules and regulations to be crafted by the National Telecommunications Commission (NTC).

At the same time, he said this would also set a precedent to have other broadcast networks follow the same requirement of a "public service time."

"This will set a precedent na rin sa other channels. Hindi siya nakalagay specifically na with other channels but accordingly, after the approval of this bill, I think that will set a precedent that everybody will have to follow," Fernandez said.

Moreover, Fernandez said this provision does not mean that the government can dictate on ABS-CBN or on other channels.

"Ten percent lang yan, in times of need lang yan. Parang ngayon kasi nagkakaroon tayo ng interventions through Bayanihan Act. Ginagamit ng Presidente yung power na yun," he said.

"Itong mga private companies, ganun din naman, nagdo-donate din sila. Then we'll just put it in the law para at least alam na nila yung responsibility nila," he added.

ABS-CBN went off air on May 5 after NTC issued it a cease and desist order to stop its broadcast operations.

Its franchise expired on May 4. --KBK, GMA News