The NATCCO Network hails the passing into law of the landmark Konektadong Pinoy Bill, also known as the Open Access in Data Transmission Act. The act officially became law last August 24.
The KP Act allows new internet players to enter the Philippine market without needing a legislative franchise, a requirement critics considered outdated.
The law promotes open-access policies, encouraging infrastructure sharing and seeking to expand connectivity and accelerate broadband rollout, improve service affordability, and bridge digital divides—pivotal for education, commerce, and local governance especially in rural areas.
The National Confederation of Cooperatives (NATCCO Network) is a federation composed of 1,051 cooperatives providing financial and other services to more than 7 million members all over the Philippines.
Earlier on May 1, the NATCCO Network Board of Directors passed a resolution backing the bill’s passage, recognizing its potential to benefit cooperatives across the country.
In the resolution, NATCCO emphasized that enhanced connectivity would empower member cooperatives—especially in rural and underserved areas—to digitize operations, enable mobile transactions, and expand economic opportunities.
Services of cooperatives in many rural areas have lagged behind due to poor internet service.
Following the bill’s lapse into law, NATCCO reiterated its support, calling on the Department of Information and Communications Technology – the KP Law’s implementor - and other stakeholders to ensure the IRR upholds fair access principles, facilitates co-op-led broadband initiatives, and safeguards data security for end-users.
Internet connectivity is crucial to operations of credit cooperatives that provide financial services to members. With good internet connection, co-op members need not commute to their cooperative in order to transact, given the bad roads, poor transport, and cost. Strong internet also enables co-op branches to be interconnected for more efficient operations.
Thus, internet is key to financial inclusion.
The Philippines has long grappled with some of the slowest and most expensive internet services in Southeast Asia, often ranking poorly in both mobile and fixed broadband speed indices.
With the IRR process initiated, all eyes now turn to how effectively regulations will balance innovation, competition, security, and consumer protection.
As NATCCO aptly puts it, this law is more than policy—it’s a promise of connected communities, inclusive growth, and a digitally empowered future for every Filipino.
The Implementing Rules & Regulations, containing the specifications in the regulation and implementation of the law, will be drafted within 60 to 90 days.
Critics, mostly major telecom stakeholders, organized within groups like the Philippine Chamber of Telecommunications Operators (PCTO) and PAPTELCO, expressed reservations. Their concerns include potential gaps in regulatory oversight, cybersecurity vulnerabilities, and possible market destabilization.
Editors' note: This article appeared in the Manila Times and Philippine Daily Inquirer website. Click the links below.
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