Philippine Telecommunications: UBS Access: More market-friendly KP Law implementation

研报英文原文证据摘录

Philippine Telecommunications: UBS Access: More market-friendly KP Law implementation

Global Research

16 July 2026ab

Philippine Telecommunications Equities

PhilippinesUBS Access: More market-friendly KP Law

implementation Telecommunications

John Te, CFA

Analyst

john.te@ubs.com

Policy risks could ease for incumbents +632-8784 8814

We hosted DICT Secretary Henry Aguda to discuss Konektadong Pinoy’s (KP) policy Navin Killa

intent and rollout. Appointed in 2025, Sec Aguda outlined a more market-oriented Analyst

stance than expected, with no plans to reclaim utilized spectrum, materially raise navin.killa@ubs.com

spectrum charges, or regulate infrastructure-sharing prices. He views government as a +852-2971 7594

mediator rather than a price setter. We continue to favor Converge, trading at 5x PE with

a 6% yield on a 30% payout.

Spectrum efficiency takes priority over higher fees

Sec Aguda’s immediate priorities are spectrum restacking and spectrum user fee (SUF)

reform. Completing defragmentation by 2026 could double effective network capacity

through contiguous spectrum blocks and commercialization of guard bands. He does

not plan to reclaim currently used mobile spectrum. Separately, he proposes replacing

the per-site SUF with a fixed fee to improve tower economics and densification. While

initially revenue-neutral, the revised framework may support longer-term government

revenues through future high-band and satellite spectrum auctions.

Shared infrastructure agenda targets lower-cost, faster network deployment

Mandatory sharing and collocation of towers, poles and conduits aim to reduce

duplicate capex and lower deployment costs. Sec Aguda supports open access for dark

fiber and IP transit, but opposes blanket active-fiber sharing. The dig-once policy would