The whole issue with Lozada and these Senate hearings all started with the government's idea of procuring a broadband network, with the goal to improve communication between government agencies. A National Broadband Network, according to DOTC, will save the government P27 billion in the 15-year span of the project, as well as reduce telephone expense.
But what is that P27 billion pesos compared to the hundreds of millions of US dollars to be paid to a foreign nation for a project which may be provided by a local company on a BOT (build-operate-transfer) contract, with no cash outlay for the Philippine government? Besides, how can we be sure that this broadband technology will not be obsolete in the near future, or is it even needed? If I am not mistaken, most government offices have internet connection already, even municipal halls in rural areas. Will that not be enough to provide connection within the government? Instead of resorting to such gargantuan measures like the ZTE deal, why not start with providing internet connection to all government offices, one sector or region at a time? It is something that local companies may provide and at lower costs. And the national government do not need to come up with one major contract but instead increase budget of LGU's or DOTC per region and they will have to take care of how they should do it. At least it is small-scale. We might not be sure of the results but at least we can be assured that the taxpayer's money that will be corrupted will not go to only a handful of people.
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(But really, I am not very familiar on how a national broadband network works. Can anyone brief me on this? Thank you!)
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