Other ECE Related Rules and

Mandates
EXECUTIVE ORDER NO. 205, S. 1987

REGULATING THE OPERATION OF CABLE ANTENNA

TELEVISION (CATV) SYSTEMS IN THE PHILIPPINES, AND FOR
OTHER PURPOSES

Rationale

 for the protection of the public and the promotion of the

general welfare
 Regulate or prohibit monopolies in commercial mass media
EXECUTIVE ORDER NO. 205, S. 1987

REGULATING THE OPERATION OF CABLE ANTENNA

TELEVISION (CATV) SYSTEMS IN THE PHILIPPINES, AND FOR
OTHER PURPOSES

SECTION 1 The operation of Cable Antenna Television (CATV)

system in the Philippines shall be open to Filipino:
 citizens
 corporations,
 cooperative or associations
EXECUTIVE ORDER NO. 205, S. 1987

SECTION 2
Certificate of Authority - issued by National
Telecommunications Commission
 15 year period
 renewable for another similar period
 authority to operate shall not infringe on the television and
broadcast markets.
EXECUTIVE ORDER NO. 205, S. 1987
SECTION 3

 grantee is hereby authorized to exercise the right of eminent

domain for the efficient maintenance and operation of Cable
Television (CATV) System

SECTION 4

 special emergency right (in times of war, rebellion, public

peril or other national emergency and/or when public safety
require) is reserved to the President to cause the closure of
(CATV) system or the use or possession by the government
without compensation.
EXECUTIVE ORDER NO. 205, S. 1987
SECTION 5

 franchise tax is charged based from BIR code (3% of all gross
receipts from business transacted)

SECTION 6

 NTC as the implementing agency

EXECUTIVE ORDER NO. 205, S. 1987
SECTION 7

 Supersedes PD 1512 (June 11, 1978) and all laws, orders,

issuances and rules and regulations inconsistent with this E O

• PD 1512 - DECREE GRANTING AN EXCLUSIVE FRANCHISE

TO CONSTRUCT, OPERATE AND MAINTAIN A COMMUNITY
ANTENNA TELEVISION SYSTEM (CATV) IN THE PHILIPPINES
IN FAVOR OF SINING MAKULAY, INCORPORATED

• Sining Makulay Inc. (San Juan, MM) exclusive franchise

with a life term of 25 years was cut short by the advent of
the 1986 Revolution
EXECUTIVE ORDER NO. 205, S. 1987
• Upon President Corazon C. Aquinos assumption of power, she
issued E.O. No. 205 opening the CATV industry to all citizens
of the Philippines

SECTION 8

 Effectivity, 30June1987
EXECUTIVE ORDER NO. 436,S. 1997
PRESCRIBING POLICY GUIDELINES TO GOVERN THE
OPERATIONS OF CABLE TELEVISION IN THE PHILIPPINES

Rationale

 wider access to more sources of news, information,

education, sports events and entertainment programs other
than those provided for by mass media

 Support/supplement the services provided by television

broadcast facilities, local and overseas
EXECUTIVE ORDER NO. 436
Rationale

 urgent need to maximize the development of the cable

television industry and to provide incentives and afford
protection to investments

 Promote healthy competition

EXECUTIVE ORDER NO. 436,
Section 1

 The operation as a subscriber service undertaking with a

unique technology, shall be maintained separate and distinct
from telecommunications or broadcast television.

Section 2

 NTC – supervision and regulation agency

EXECUTIVE ORDER NO. 436,
Section 3

 Consistent with EO 205 section 1- grant of Cert of Authority

 CATV service may carry advertisements/paid segments for

which the operator may charge fees;

 Provided, that no operator shall infringe on broadcast

television markets by inserting advertisements in the
programs it carries or retransmits without the consent of the
program provider concerned. (consistent with EO 205 section
2)
EXECUTIVE ORDER NO. 436,
Section 4

 Local exchange operators and/or broadcasters, operators of

direct broadcast satellite service, multi-point distribution
service, television receive-only satellite program distribution
service and other systems of providers of video programming
shall not operate CATV systems or any form of service
involving the delivery television programs and signals, by
wire or cable or through the airwaves and other wireless
video signal transmission systems without specific permits,
licenses and/or authority to operate a CATV system
 EXECUTIVE ORDER NO. 436
Section 5

 The Commission (NTC) may grant an applicant an authority to

operate within the same franchise area covered by any
Provisional Authority or Certificate of Authority issued by the
Commission (two (2) years earlier) only upon the
Determination by the Commission that :
a) the prior cable television operator has not, without
sufficient justification, substantially complied with the
terms and condition of his authorization;
b) the service currently provided by the operator to its
subscriber is grossly inadequate; and
 EXECUTIVE ORDER NO. 436,
Section 5

c) the grant of the authority to the applicant will not result in

ruinous competition detrimental to the existing operator
and incompatible with the investment policies of the EO

Section 6

 operator may, with prior approval from the Commission, lease

or sub-lease any excess capacity of its cable television system
to a third party.
 EXECUTIVE ORDER NO. 436,
Section 7

 Receipt and distribution of encoded satellite program signals

shall be limited to the written authority granted by the
satellite programmer.

Section 8

 NTC as the implementing agency

 EXECUTIVE ORDER NO. 436,
Section 9

 Supersedes all laws, orders, issuances and rules and

regulations inconsistent with this EO

Section 10

 Effectivity, 09 September 1997

 PRESIDENTIAL DECREE NO. 1987
AN ACT CREATING THE VIDEOGRAM REGULATORY BOARD

Rationale

 unregulated circulation of videograms :videotapes, discs,

cassettes or any technical improvement or variation thereof,
have greatly prejudiced the operations of movie houses and
theaters, and
 have caused a sharp decline in theatrical attendance by at
least forty percent (40%) and
 PRESIDENTIAL DECREE NO. 1987
Rationale

 a tremendous drop in the collection of sales, contractor's

specific, amusement and other taxes, thereby resulting in
substantial losses estimated at P450 Million annually in
government revenues
 PRESIDENTIAL DECREE NO. 1987
Rationale

 videograms establishments collectively earn around P600

Million per annum from rentals, sales, and disposition of
videograms, and such earnings have not been subjected to tax,

 thereby depriving the Government of approximately P180

Million in taxes each year

 viability of the movie industry, particularly the more than

1,200 movie houses and theaters throughout the country, and
 PRESIDENTIAL DECREE NO. 1987
Rationale

 occasioned industry-wide displacement and unemployment

due to the shutdown of numerous movie houses and theaters;

 rampant and unregulated showing of obscene videogram

features constitutes a clear and present danger to the moral
and spiritual well-being of the youth,

 Promotion and observance of copyright laws

 PRESIDENTIAL DECREE NO. 1987
Section 1

 Creation of the BOARD – VRB, which is under the office of the

President shall regulate the:
importation, exportation, production, reproduction,
distribution, exhibition, showing, sale, lease or disposition
of videograms including, among others, videotapes, discs,
casettes or any technical improvement or variation thereof
in accordance with such rules and regulations it adopted
 PRESIDENTIAL DECREE NO. 1987
Section 3 Composition of the BOARD

 Chairman, Vice-Chairman and eighteen (18) members

 shall all be appointed by the President to serve for a term of
one (1) year, unless sooner removed by the President for any
cause;
 shall be eligible for reappointment after the expiration of their
term.
 If the Chairman or Vice-Chairman or any of the members fails
to complete his term, any person appointed to fill the vacancy
shall serve only for the unexpired portion of the term of the
Board member whom he succeeds.
 PRESIDENTIAL DECREE NO. 1987
Section 3
 Powers and Functions of the BOARD
(Refer to file)
• To supervise, regulate, grant, deny, or cancel permits
• Approve or disapprove, delete, objectionable portions from
and/or prohibit

Section 4
 Executive Officer - The Chairman of the board who is assisted
by an Executive Director
 PRESIDENTIAL DECREE NO. 1987
Section 5
 Compensation of the BOARD

Section 6
 Registration. - No person, whether natural or juridical, may
engage in the importation, exportation, production,
reproduction, exhibition, showing, sale, lease or disposition of
videograms unless such person is first registered with and
permitted by the BOARD to operate
 PRESIDENTIAL DECREE NO. 1987
Section 7 Reproduction of Cinematographic Art. –
 No person registered and permitted to engage in the
videogram industry can copy or reproduce any
cinematographic art without the written consent or approval
of the producer, importer or licensee

 Or be copied/reproduced within a period of six (6) months

after it is first released for theatrical exhibition, unless the
producer, importer or licensee agrees to a shorter period
 PRESIDENTIAL DECREE NO. 1987
Section 8 Sale, Lease or Disposition of Videograms. –

 No videogram shall be sold, leased or disposed of unless

registered with the BOARD

Section 9 Penalty–

 Violations of any or all of the provisions of Sections 3, 6, 7, 8

and 10 of this Decree

SECTION 10. Tax on Sale, Lease or Disposition of Videograms

 PRESIDENTIAL DECREE NO. 1987
SECTION 11

 Assistance in the Enforcement Functions of the BOARD

Section 12

 Organizational Pattern; Personnel.

SECTION 13. Applicability of Civil Service Law. –

 The BOARD and its officers and employees shall be subject to

the Civil Service Law, rules and regulations;
 PRESIDENTIAL DECREE NO. 1987
SECTION 14

 The Chairman of the Commission on Audit shall be the ex

officio Auditor of the BOARD, he may appoint a representative
who shall be the auditor of the BOARD,

Section 15 Transitory Provision. –

 All existing videogram establishments are given a period of

forty-five (45) to register and secure a permit form the BOARD
 PRESIDENTIAL DECREE NO. 1987
SECTION 16 - 20

 Appropriations
 Annual Reports
 Separability Clause
 Effectivity
 PRESIDENTIAL DECREE No. 1986
CREATING THE MOVIE AND TELEVISION REVIEW AND
CLASSIFICATION BOARD

Rationale

 movie and TV industry is on the brink of economic collapse

where remedial measures are necessary

 urgent need to rationalize the movie and television industry

vis-a- vis the body regulating and supervising its operations;
 PRESIDENTIAL DECREE No. 1986
Rationale

 a regulatory body must not only function in reviewing and

censoring films or television programs brought before it but
must also initiate the plans and cooperate with the industry to
improve and upgrade
 PRESIDENTIAL DECREE No. 1986
SECTION 1 - 3

 Creation of the Board

 Composition; Qualifications; Benefits.
 Powers and Functions

SECTION 4 Decision

 either approving or disapproving for a motion picture,

television program, still and other pictorial advertisement
submitted must be rendered within a period of ten (10) days
 PRESIDENTIAL DECREE No. 1986
SECTION 5

 Executive Officer - The Chairman of the board who is assisted

by an Executive Director (consistent with PD 1987 Section 4)

SECTION 6 - Examination and Review

 no person shall be allowed inside the screening room during

the examination and review
 PRESIDENTIAL DECREE No. 1986
SECTION 7 Unauthorized showing or exhibition

 It shall be unlawful to exhibit (print and non-print) any motion

picture, television program or publicity material, including
trailers, and stills for lobby displays in connection with motion
pictures, not duly authorized by the owner or his assignee and
passed by the BOARD

SECTION 8 - Posting or Display of Certificate or Label

 motion picture exhibitors shall post and/or display the
certificate or label of approval of the motion picture by the
BOARD, at conspicuous places.
 PRESIDENTIAL DECREE No. 1986
SECTION 9 Admission to Moviehouses or Theaters
 (Refer to file)

SECTION 10-15

 Definition of Terms
 Penalty
 Banning of Motion Pictures and Television Programs
 Inspection
 Manila Film Center – materials are subject for approval of the
BOARD
 Abolition of the Board of Review for Motion Pictures and
Television – created under RA 3060
 PRESIDENTIAL DECREE No. 1986
SECTION 16-24
 Organizational Pattern Personnel
 Applicability of Civil Service Law
 Commission on Audit
 Annual Report.
 Sinking Fund - all such fees and charges collected by the
BOARD shall be at immediate disposal of the BOARD for
operational and administrative expenses
 Assistance in the Enforcement Functions of the BOARD
 Repealing Clause
 Separability Clause
 Effectivity – similar to PD 1987, 05October 1985 + 15 days
after publication
Short quiz 4
• What is the significance of having
a repealing and separability clause
in every EO, PD and other laws?

• What is the most important

contribution of EO 205? Justify.

• Differentiate the function and/or

jurisdiction of VRB and MTRCB.
Short quiz 4
• List at least two (2) reasons why
the laws just discussed should be
issued and be passed into law (EO
205,EO 436, PD 1986 and PD 1987)
Assignment-points for
discussion next meeting
• Memorandum Circular (MC) No.19-11-94
• - MC NO. 2-05-88
• - MC NO. 4-08-88
• - MC NO. 5-14-88
• - MC NO. 2-4-90
• - MC NO. 7-13-90
• -MC NO. 9-14-90
• - MC NO. 6-31-91
• - MC NO. 10-8-91
• - MC NO. 11-8-91
• - MC NO. 18-10-92
• - MC NO. 3-3-96
• - MC NO. 14-7-2000