Cable Television System or Community Antenna Television (CATV) is any facility, in

whole or in part, receive directly or indirectly over the air, and amplifier or otherwise
modifies (improves) the signals transmitting programs broadcast by one of more
television, satellite or radio stations and distributes such signals by wire or cable to
subscribing members of the public who pay for such service, but such term shall not
include: (1) any such facility that serves fewer than 50 subscribers, or (2) any such
facility that serves only the residents of one or more apartment dwellings under
common ownership, control or management, and commercial establishments
located on the premises or such apartment house, which may be subject to other
laws and regulations.

Each separate and distinct community or municipal entity constitutes a separate

cable television system, even if there is a single head-end and identical ownership
of facilities extending into several communities.

*A Certificate of Authority to operate a Cable Antenna Television System shall be

granted by the National Telecommunications Commission on a non-exclusive basis
and for a period not to exceed fifteen years, renewable for another similar period:
Provided, That shall certificate shall be e subject to the limitations that the authority
to operate shall not infringed on the television and broadcast market.

*Subject to the limitations and procedures prescribed by law, grantee is hereby

authorized to exercise the right of iminent domain for the efficient maintenance and
operation of Cable Antenna Television System.

*A special right is reserved to the President of the Philippines, in times of war,

rebellion , public peril or other national emergency or/and when public safety
requires to close the closure of any grantees Cable Antenna Television system or to
authorize the use or possession thereof by the government without compensation.

CABLE TV HEAD-END STATION

*The installation or construction of Cable TV head-end station shall be directly

supervised by a registered electronics and communication engineer, and no license
for the operation of the station shall be issued unless a certification by an ECE to
the effect that the station was constructed or installed in accordance with the
approved specifications, and that the construction or installation thereof was under
his direct supervision, is submitted and consequently duly verified by the NTC.

Construction permit shall be issued for a period of six months or for one year,
extension will be granted only upon showing of substantial accomplishments during
the term of the construction permit, unless the failure to accomplish substantial
result in the construction was due to reasons or evnts beyond the control of the
permittee. For this purpose, a construction shall refer only to the antenna and head-
end portion of a cable television broadcast system.
A station license for cable TV head-end station shall be issued for a period of one
year or more as the NTC may decide which in any case shall not exceed more than
three years. Application for renew a station license shall be filed on prescribed
forms thirty days before the date of application.

In order to fully evaluate the legal, financial and technical qualifications of CATV
applicant as well as the economic viability of the area being applied for, the NTC
limits the number of the proposed services area to two municipalities only per
application/petition except where the municipalities are too small and contiguous
that operating in only two areas would be a waste of resources.

For cable television operations with five hundred or more targeted subscribers in its
first year of operation, the minimum capital requirement shall not be less than one
million and five hundred thousand pesos.

As prescribed by the technical standards for Cable Television operation and in order
to be compatible for any value added services in the future, trunk cable should have
a minimum diameter of 0.5 inch.

The Secretariat and Broadcast Division of the NTC are directed to strictly observed
these requirements before accepting any applications/petition for CA

QUALIFICATIONS FOR THE OPERATION OF CATV

The operation of the Cable Antenna Television System in the Philippines shall be
open to all citizens of the Philippines or to corporations, cooperatives or associations
wholly-owned and managed by such citizens under a Certificate of Authority
granted by the National Telecommunications Commission (NTC).

Taxes to be Paid by a CATV Grantee

The grantee shall pay the income tax levied under title II of the National Internal
Revenue code as amended , and a franchise tax equivalent to three per centum of
all gross receipts, from business transacted under the Certificate of Authority.

Data REQUIRED FOR THE APPLICATION OF CATV

The application shall contain:

The name, mailing address and citizenship

Service area already defined
Television and radio broadcast station signal to be carried
The applicants legal and financial capabilities
 Technical, to include schedule of construction and commencement of
operation, financial and economic studies in support of application
Such other data as may be required by NTC

REQUIEREMENTS A CBLE TV HEAD-END STATION SHALL OBTAIN FROM THE NTC

The Cable Tv head-end station shall obtain the following from the Commission:

A permit to purchase and/or possess for locally acquired or imported

equipment
A construction permit prior to the construction and/or installation of a
Cable Tv head-end station; and
A station license, prior to the operation of a Cable TV head-end station.