Globe Initiative to Eliminate Lease Fees for In-Building Telco Facilities

 

Globe is making significant progress in its initiative to eliminate lease fees for in-building telecom facilities, with increasing support from property owners and developers.

 

Progress and Support

“We have made some progress along these lines, getting a number of developers to already agree on this concept,” shared Ernest Cu, Globe President and CEO. “We’re just glad to report things are moving and moving in the right direction.”

Cu highlighted the disparity between telecom services and other utilities like water and power, which are typically provided without additional charges. The telecom sector, however, still faces leases, access fees to telco rooms, and other costs.

Impact on Connectivity

These unregulated fees inflate telco expenses and hinder efforts to expand connectivity, especially as more Filipinos rely on the internet for work, education, livelihood, and entertainment. Cu’s vision is to remove these obstacles, making telco services more affordable and accessible for all.

Collaborative Efforts

Globe is collaborating with real property developers and the government to prioritize connectivity by encouraging the removal of lease fees for in-building solutions. The company also supports legislative efforts to amend the outdated National Building Code, recognizing connectivity as a basic necessity. This would facilitate the removal of lease fees for infrastructure installation and ensure automatic allocation of space for telco cables and equipment in property projects.

Inspiration from Asia-Pacific

Globe’s zero lease initiative draws inspiration from successful implementations in other Asia-Pacific countries. For example, in Australia, property developers are responsible for arranging and financing pit and pipe infrastructure, ensuring telecom services are available when new properties are occupied.

In Singapore and Hong Kong, building owners and developers must provide space and access for telecom licensees without additional costs. This policy benefits both buildings and tenants, creating a win-win situation.

Commitment to Connectivity

Globe remains dedicated to promoting zero lease practices across the Philippines. By reducing barriers and lowering costs, Globe aims to enhance access to digital services for businesses and consumers, contributing to a more connected and competitive economy.

For more information about Globe, visit Globe.

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FAQs

1. What is Globe’s initiative regarding lease fees for in-building telco facilities?

• Globe is pushing to eliminate lease fees for in-building telecom facilities to reduce operational costs and improve connectivity.

2. How are property developers responding to Globe’s initiative?

• Many property developers are embracing the initiative, agreeing to remove lease fees for in-building telco facilities.

3. Why are lease fees a problem for telecom companies?

• Lease fees inflate telco expenses and hinder efforts to expand connectivity, making it harder to provide affordable services.

4. How is Globe working with the government on this issue?

• Globe is collaborating with the government to amend the National Building Code, recognizing connectivity as a basic necessity and facilitating the removal of lease fees.

5. What examples from other countries inspire Globe’s initiative?

• In Australia, property developers arrange and finance infrastructure for telecom services. In Singapore and Hong Kong, building owners provide space and access for telecom licensees without additional costs.