NUDHF Full Version - FINAL PDF

ISSN 2672-2828
NATIONAL URBAN
DEVELOPMENT
AND HOUSING
FRAMEWORK
2017-2022
National Urban Development and Housing Framework 2017-2022
All rights reserved © 2017

Housing and Land Use Regulatory Board (HLURB)
HLURB Building
Kalayaan Avenue corner Mayaman Street
Diliman, Quezon Avenue
Philippines 1101
www.hlurb.gov.ph
This publication was produced by the Housing and Land Use Regulatory Board
(HLURB) with technical assistance from UN-Habitat in partnership with the
Philippine Institute of Environmental Planners, and funding support from the
Government of Spain and Development Account Project. It is updated by the
HLURB in conjunction with the Philippine Development Plan (PDP) which is
prepared every six (6) years by the National Economic and Development Authority
(NEDA).
Cover Photo: ID 96018793 © Phuongphoto | Dreamstime.com
The mention or depiction of specific companies or of certain manufacturers’ products in the content,
via text or image, does not imply that they are endorsed or recommended by the Housing and
Land Use Regulatory Board, UN-Habitat, the Philippine Institute of Environmental Planners, or the
Government of Spain and Development Account Project.
ISSN 2672-2828
9 772672 282008
NATIONAL URBAN
DEVELOPMENT
AND HOUSING
FRAMEWORK
2017-2022
Manila, Philippines
2017
message housing and land use regulatory board
The Urban Development and Housing Act of 1992 (R.A. 7279) mandates
the Housing and Land Use Regulatory Board (HLURB) to formulate a
National Urban Development and Housing Framework under the direction
of the Housing and Urban Development Coordinating Council (HUDCC) in
coordination with all local government units and other concerned public
and private sectors.
In the formulation of this new NUDHF (2017-2022), several cross-cutting

concerns (e.g. climate change) were considered to make it more responsive
to the prevailing urbanization issues and development opportunities as well
as establishment of improved linkage or alignment to significant national
plans for better coherence to vertical and horizontal spatial and multi-
sectoral planning.
The creation of a Technical Working Group composed of representatives

from concerned line agencies as well as consultations with experts and
UN-Habitat peers made this framework more relevant to current and future
optimistic urban scenarios.
We express our appreciation of UN-Habitat and the Philippine Institute

of Environmental Planners for their unwavering technical support and of
the Government of Spain and the Development Account Project for their
financial support of this publication.
Attorney Lloyd Christopher A. Lao

Chief Executive Officer and Commissioner
Housing and Land Use Regulatory Board
N AT I O N A L U R B A N D E V E L O P M E N T A N D H O U S I N G F R A M E W O R K 2 0 1 7 - 2 0 2 2
message housing and urban development coordinating council
This latest revision of the National Urban Development and Housing

Framework (NUDHF) is very timely for the national and local governments,
urban planners and developers, and for all other sectors contributing to the
growth of the country. With the challenges brought by rapid urbanization
and as cities and municipalities progress and population grows, the need
for careful planning has become an imperative to ensure that we not only
make our cities sustainable, inclusive, and resilient, but that we also save
precious urban and agricultural lands by developing compact communities
and improving connectivity.
Envisioning better, greener, and smarter urban systems in a more inclusive

Philippines, the new NUDHF underscores the indispensability and
indivisibility of the different planning principles and strategies by integrating
design and governance, climate change adaptation, people's participation
and empowerment, protection and preservation of ecosystems, and other
equally important dimensions of housing and urban development. Hence,
the next challenge before us is cascading and integrating the NUDHF in the
plans and programs of all development players and partners.
Our appreciation goes to the Housing and Land Use Regulatory Board. With
collaboration and assistance from the different agencies, organizations,
and stakeholders, notably UN-Habitat and the Philippine Institute of
Environmental Planners, a framework was crafted to comprehensively guide
urban planning, governance and spatial management—a timely response to
Sustainable Development Goal 11 of making cities and human settlements
inclusive, safe, resilient, and sustainable and to the call of the New Urban
Agenda for transformative commitments.
Secretary Eduardo D. Del Rosario

Chairman
Housing and Urban Development Coordinating Council
message UN-Habitat Philippines
At a time when the Philippines is experiencing rapid urbanization with its

attendant opportunities and challenges, a guide for urban stakeholders,
particularly mayors, councilors, urban practitioners, investors, and
communities, to manage the pace, form, and direction of urban growth is
not only useful but critical and urgent. Thus, this updated National Urban
Development and Housing Framework (NUDHF) 2017–2023 could not have
come at a more opportune time.
We congratulate the Government of the Philippines, particularly the Housing

and Land Use Regulatory Board which led the review and update of the
NUDHF, for coming out with this latest version, the 4th since its initial 1993–
1998 edition. Key to the enhancement of the NUDHF is climate change. For
the first time, the framework recognizes and embraces climate resilience as a
bedrock for overall development, upon which spatial and sectoral strategies
can be based. This fully aligns with national goals and policies, particularly the
Philippine Development Plan 2016-2022 and the New Urban Agenda, as well
as global commitments to climate action.
This framework also draws inspiration and lessons from global experience
and international good practices mined from UN-Habitat’s global network of
urban experts. We commend the government for the comprehensive and
intensive process of consultations with national government agencies, local
governments, academe, urban practitioners, developers and investors as well
as non-government organizations and communities. We also acknowledge
and thank the Philippine Institute of Environmental Planners for providing
technical support in the drafting of this latest edition.
We hope this NUDHF will be useful as the government transitions into the
Department of Human Settlements and Urban Development working towards
a common vision based on core principles and values. At the local level, the
NUDHF can be an empowering tool for cities and local governments as they
lead their own development into a sustainable future for all their constituents.
We invite all urban stakeholders to take the government’s lead, and make full
use of the new NUDHF to guide our efforts towards a better urban future for
all.
UN-Habitat is honored to work with dedicated colleagues and partners in the

development of this NUDHF and remains committed to support the Philippine
government at all levels in building capacities of urban leaders to achieve
resilient, inclusive, safe, and sustainable cities and human settlements.
Christopher E. Rollo
Country Programme Manager
UN-Habitat Philippines
Photo ©UN-Habitat
List of Acronyms
ADB Asian Development Bank

ASEAN Association of Southeast Asian Nations
CDP Comprehensive Development Plan
CLUP Comprehensive Land Use Plan
DRR Disaster Risk Reduction
DRRM Disaster Risk Reduction and Management
GDP Gross Domestic Product
GHG Greenhouse Gas
Habitat III Third UN Conference on Housing and Sustainable Urban Development
HLURB Housing and Land Use Regulatory Board
HUDCC Housing and Urban Development Coordinating Council
ICT Information and Communications Technology
ISFs Informal Settler Families
LGU Local Government Unit
MSMEs Micro, Small, and Medium Enterprises
NEDA National Economic and Development Authority
NIPAS National Integrated Protected Areas System
NUDHF National Urban Development and Housing Framework
PCE Planned City Extension
PDP Philippine Development Plan
SDG Sustainable Development Goal
UDHA Urban Development and Housing Act of 1992
List of Figures
FIGURES
Figure 1. NUDHF Review Framework 6
Figure 2. Illustration of the Links between NUDHF and AmBisyon Natin 2040 15
Figure 3. Typologies of Neighborhood Units with Centers at Crossroads 22
Figure 4. Potential Open Space Network in Quezon City 22
Figure 5. Total Approved Investment in the Philippines, 2010–2013 47
Figure 6. Major River Basins Map 55
Figure 7. The Local Government Unit as the Spatial Focus of Urban Governance 59
Figure 8. Countries That Make Up the ASEAN Community, To Be Integrated by 2020 63
Figure 9. Populations of Provinces 105
Figure 10. Highly Urbanized Cities 107
Figure 11. Proposed Safe Operating Space for Nine Planetary Systems 110
Figure 12. Causal Chain of Environmental Change 112
Figure 13. Hierarchy of Settlements 114
Figure 14. Philippines’ Ecological Footprint and Biocapacity, 1961 - 2014 115
Figure 15. Change in Built-up Areas 1990, 2000, 2016 117
Figure 16. Climate Change Vulnerability Index, 2015 118
Figure 17. Congestion on Major Roads 127
Figure 18. Nationwide 2012 Emissions Inventory 127
Figure 19. Network of Roads and Ports 129
Figure 20. Paved National Roads 129
Figure 21. Length of Constructed Expressways in Kilometers 130
Figure 22. Roll-on/Roll-off Nautical Routes Around the Philippines 131
Figure 23. Philippine GDP, 1999–2013 145
Figure 24. Percent Distribution of GDP by Industrial Origin, 1999-2013 146
Figure 25. Employed Persons by Major Industry Group, 2004-2011 146
Figure 26. Philippine GDP Per Capita, 1999–2013 147
Figure 27. Regional GDP Per Capita 148
Figure 28. Average Household Income, Urban and Rural, 1991, 1994, 1997 and 2000 148
Figure 29. Average Household Expenditure, Urban and Rural, 1991, 1994, 1997 and 2000 148
Figure 30. Poverty Incidence Among Families 149
Figure 31. Employment Rates Across Regions 150
Figure 32. Income of LGUs by Source, 2005-2012 151
Figure 33. Expenditures of LGUs by Type, 2005-2012 151
Figure 34. Regional Internal Revenue Allotment 152
Figure 35. The General Urban Governance Framework 161
Figure 36. Government Decentralization Map 162
List of TABLES
TABLES
Table 1: Summary of Previous NUDHFs 4
Table 2: Coherence of the NUDHF Principles and the Philippine New Urban Agenda 14
Table 3: Spatial Division of Labor Among Government Units 52
Table 4: Examples of Managerial Responsibilities for Institutions at the Local Level 62
Table 5: Overview of NUDHF Strategies and Related Policies, Programs, and SDGs 65
Table 6: Population of Urban and Rural Areas at Mid-Year and Percentage Urban, 2014 101
Table 7: The 30 Largest Urban Agglomerations Ranked by Population Size, 2015 102
Table 8: Total Population of the Philippines, 2000-2015 104
Table 9: Average Annual Population Growth Rate, Philippines,
Censal Periods 2000-2010, 2010-2015 104
Table 10: Twenty Most Populous Cities, Philippines, 2015 106
Table 11: Urban-Rural Population Growth Rates, Philippines, 2007-2015 107
Table 12: Urbanization Levels, Philippines, 2007-2010 108
Table 13: Projected Population, by Age Group, Sex, and by Five-Calendar
Year Interval, Philippines: 2010–2045 109
Table 14: Parameters to Measure Boundaries and Current Status of the Earth’s Systems 111
Table 15: Philippine Road Network 128
Table 16: Airports in the Philippines 130
Table 17: Volume to Capacity Ratio of Key International Airports in the Philippines 131
Table 18: Allocation for Participatory Budgeting by Region, 2015 153
Table 19: Allocation for Participatory Budgeting by Agency, 2015 153
Table 20: Key Laws that Form the Philippine Urban Governance Framework 159
Table 21: Snapshot of Tradables and Potential Relation of ASEAN States
with the Philippines 165
List of BOXES
BOXES
Box 1: What is Walkability? 19
Box 2: Sample Map of Neighborhoods/Barangays/Units 21
Box 3: What is an Open Space? 23
Box 4: What is Water-sensitive Urban Planning and Design? 23
Box 5: What is Transit-oriented Development? 24
Box 6: The Case of Achieving Sustainable Urban Development in the Philippines 25
Box 7: Innovative Housing Programs 28
Box 8: Low-rent Units – A China Example 29
Box 9: Examples of Unused/Underused Government-owned Land 30
Box 10: Benefits of Land Pooling/Readjustment 31
Box 11: Local Shelter Planning 33
Box 12: What are Green Jobs? 44
Box 13: The New Markets Tax Credit Program – A U.S. Example 48
Box 14: Different Forms of Land-based Finance 51
Box 15: Land and Sea Use Dimension 54
Box 16: Functional Metropolitan Areas Outside of Metro Manila 58
Box 17: What is Integrated Ecosystems Management (IEM)? 112
Box 18: Climate Change Impacts 119
Box 19: Tropical Storm Ondoy 120
Box 20. Roads in the Philippines 128
Box 21. Urban Planning in the Philippines 134
Box 22. What is Governance? 158
CONTENTS
1 INTRODUCTION 3
1.1 RATIONALE 3
1.2 THE 2017-2022 NUDHF 3
1.2.1
POLICY REVIEW 3
1.2.2
UPDATING PROCESS 5
1.2.3
LEGAL BASES 7
1.2.4
POLICY ANCHORS 8
2 FRAMEWORK 12
2.1 VISION AND PRINCIPLES 12
2.1.1
VISION 12
2.1.2
KEY FRAMEWORK PRINCIPLES 12
2.2 STRATEGIES 15
2.2.1
POPULATION 15
2.2.2
URBAN PLANNING AND DESIGN 18
2.2.3
HOUSING 27
2.2.4 URBAN INFRASTRUCTURE AND BASIC SERVICES 34
2.2.5
URBAN ECONOMY AND FINANCE 38
2.2.6 PUBLIC ADMINISTRATION, URBAN GOVERNANCE
AND MANAGEMENT 50
2.2.7 PHILIPPINE URBAN DEVELOPMENT AND PROSPECTS
FOR INTEGRATION IN THE ASSOCIATION OF SOUTHEAST
ASIAN NATIONS (ASEAN) ECONOMIC COMMUNITY:
PRIORITY AREAS FOR INTERNATIONAL REGION LINKAGES 59
3 MAINSTREAMING AND HORIZONTAL INTEGRATION 64
3.1 POLICY AND PROGRAM RECOMMENDATIONS 64
3.2 COMMUNICATIONS AND ROLLOUT 99
3.3 MONITORING AND REVIEW 99
4 CONTEXT AND CRITIQUE: THE FILIPINO URBAN NARRATIVE 101
4.1 URBANIZATION TRENDS AND PROJECTIONS 101
4.1.1
GLOBAL TRENDS AND PROJECTIONS 101
4.1.2
URBANIZATION IN THE PHILIPPINES 103
4.2 THE URBAN SYSTEM IN THE NATURAL ENVIRONMENT 110
4.2.1
GLOBAL ENVIRONMENTAL CHANGE 110
4.2.2
URBAN ECOSYSTEMS 113
4.2.3 BIOCAPACITY AND ECOLOGICAL FOOTPRINT 115
4.2.4
LAND USE CHANGE 116
4.3 URBANIZATION, CLIMATE CHANGE AND RESILIENCE 117
4.3.1 GLOBAL AND PHILIPPINE CLIMATE CHANGE SCENARIO 117
4.3.2 CLIMATE CHANGE IMPACT AND VULNERABILITY:
THE PHILIPPINE CASE 120
4.3.3 CONTRIBUTIONS OF CITIES AND URBAN AREAS
TO CLIMATE CHANGE AND DISASTER RISKS 121
4.4 INEFFICIENCIES OF INFRASTRUCTURE AND BASIC SERVICES 122
4.4.1
WATER, SANITATION, HYGIENE (WASH) 122
4.4.2
ENERGY 123
4.4.3
DRAINAGE 124
4.4.4
WASTE MANAGEMENT 124
4.4.5 INFORMATION AND COMMUNICATIONS TECHNOLOGY 126
4.4.6
INTER- AND INTRA-SYSTEM LINKAGES 126
4.5 URBAN PLANNING AND DESIGN 134
4.5.1 PLANNING FOR CLIMATE CHANGE AND DISASTER RISK 134
4.5.2 SPATIAL EQUITY AND URBAN LAND EFFICIENCY 135
4.5.3
PLANNING FOR PUBLIC SPACE 136
4.5.4
URBAN SPRAWL 137
4.5.5
URBAN CONNECTIVITY AND MOBILITY 138
4.5.6
INSTITUTIONAL CAPACITY 139
4.6 URBAN SHELTER 140
4.6.1
HOUSING SUPPLY AND DEMAND 141
4.6.2
LAND TENURE 142
4.6.3 VULNERABILITY TO CLIMATE CHANGE AND
DISASTER IMPACTS 143
4.6.4 ACCESS TO RESOURCES FOR GOVERNMENT HOUSING 143
4.6.5
SETTLEMENT INTEGRATION 144
4.7 URBAN ECONOMY AND FINANCE 145
4.7.1
URBAN-BASED ECONOMIC ACTIVITIES 145
4.7.2
INCOME AND EXPENDITURE 147
4.7.3
URBAN POVERTY 147
4.7.4
LOCAL FINANCE 150
4.8 FILIPINO CULTURE AND HERITAGE 153
4.8.1 INTERACTION BETWEEN NATURAL SYSTEMS, SOCIAL
AND CULTURAL SYSTEMS 153
4.8.2 FILIPINO SOCIAL/CULTURAL DYNAMICS IN URBANIZATION 154
4.8.3 CULTURE AND SUSTAINABLE DEVELOPMENT 156
4.9 URBAN GOVERNANCE 157
4.9.1
URBAN LEGISLATION AND POLICY 157
4.9.2
VERTICAL AND HORIZONTAL LINKAGES 157
4.9.3
DECENTRALIZATION 158
4.9.4
URBAN LAND MANAGEMENT 158
4.9.5
TECHNICAL CAPACITY 161
4.9.6
LEADERSHIP AND GOOD GOVERNANCE 162
4.9.7 ASSERTION OF SOVEREIGNTY AND CULTURE 163
4.10
ASEAN INTEGRATION 164
User’s Guide
What is the National Urban Development and Housing Framework?

The National Urban Development and Housing Framework (NUDHF) is the development framework for urban
and urbanizable areas aimed at achieving the objectives of the Urban Development and Housing Act of 1992
(UDHA).
The NUDHF provides an overarching framework for urban development and housing, consisting of a vision,
policy statements and strategies, and encompassing core development sectors and spatial elements. It
is intended to guide the efforts of the Philippine government, private sector and other stakeholders in
improving the performance and efficiency of the country's urban systems.
Who prepares it?

The UDHA mandates the Housing and Land Use Regulatory Board (HLURB), under the direction of Housing
and Urban Development Coordinating Council (HUDCC), to formulate the NUDHF. This shall be done in
coordination with all LGUs and other concerned public and private sectors.
The NUDHF is seen as a dynamic framework that needs to be updated as often as necessary and as
warranted by existing and projected urban development trends locally and internationally. Customarily, it is
updated in conjunction with the Philippine Development Plan (PDP) which is prepared every six (6) years by
the National Economic and Development Authority (NEDA). It captures the urbanization and spatial policies
of the PDP and considers the New Urban Agenda, Sustainable Development Goals, the National Framework
for Physical Planning, and other overarching urban development frameworks.
Whom is it for?
The NUDHF is intended to be used primarily to guide the formulation and implementation of plans, programs
and activities of national government agencies and local government units. It provides the private sector,
academia, non-governmental organizations, civil service organization, people’s organizations, and other
stakeholders with information and possible avenues of collaboration.
How is it written?
The NUDHF is presented in four sections. Section 1 gives the overview, rationale, and basis for a national
urban policy in the Philippines. Section 2 details the framework itself, including the vision, principles, and
strategies towards sustainable urban development. Section 3 provides guidance on mainstreaming the
NUDHF into national, subnational, and local policies, plans and programs. It also contains a matrix of policy
and program implications and recommendations for each strategy presented. Section 4 contains the sectoral
and spatial analysis needed for crafting the framework.
2
introduction
INTRODUCTION
1.1 RATIONALE urbanization dynamics, economic growth,
and other development trends. Details are
The National Urban Development and Housing presented and highlighted in succeeding
Framework (NUDHF), first crafted in 1993, sections.
addresses the need for an overall framework
for urban policy and strategy, based on a
clear urban development vision. The NUDHF 1.2.1 Policy Review
contains a set of policy statements, strategies,
and implementation measures intended to Two complementary policy reviews were
guide public and private sector efforts towards conducted before and during the NUDHF
sustainable urban development and housing. updating process.
Since 1993, two updates (1999 and 2009) The first review involved an assessment of
have been formulated, leading up to this previous NUDHFs (1993-1998, 1999-2004,
current version. 2009-2016), relevant legislation, policies and
programs.
1.2 THE 2017-2022 NUDHF Table 1 provides a comparative summary

of previous NUDHFs, offering insights on
The NUDHF needed update as required by how the framework can be carried forward,
law, in light of new and emerging issues trends over time, as well emerging issues and
and challenges from climate change, new opportunities.
©UN-Habitat/Yen Flores
N AT I O N A L U R B A N D E V E L O P M E N T A N D H O U S I N G F R A M E W O R K 2 0 1 7 - 2 0 2 2 3
introduction
Table 1: Summary of Previous NUDHFs
NUDHF 1993-1998 NUDHF 1999-2004 NUDHF 2009-2016

Rapid population growth Higher birth rate in urban areas External drivers: globalization
factors, increased competition
from international markets, the
magnitude of foreign direct
Drivers of Urbanization
investments
Rural to urban migration Migration from rural areas as a Internal drivers include rapid
result of extreme rural poverty national and urban population
growth, skill levels of existing
supply of labor, the state of
physical infrastructure, fiscal and
institutional constraints, internal
access and linkages, etc.
Shift from agricultural to The reclassification as "urban"

industrial economy and other those rural areas with a population
urban based activities/services density that is relatively high
compared to traditional rural areas,
and increasing urban density
Urban development shall be The overall objective of urbanization The vision for urban development
carried out in a manner that should be to develop an urban in the Philippines is an urban
will realize the national vision structure that (i) facilitates economic system that: facilitates economic
Vision
of a self-reliant, prosperous production, (ii) develops and growth; develops and strengthens
and empowered citizenry strengthens local comparative local comparative advantages; and
towards a newly industrialized advantages, and (iii) provides all significantly improves the quality
country status urban residents with an improving of life of its residents
quality of life
Macro framework for urban Urban growth, integration, and Urban competitiveness
development metropolitanization
Poverty reduction
Role of urban areas in national Urban land resource management
development Housing affordability and delivery
Urban environmental management
Population distribution and Sustainable communities
Focus/Themes
migration government units Physical and social infrastructure

(LGU) capacity for urban Performance oriented governance
development Housing and regulations
Institutionalized participation Urbanization governance and

of concerned sectors (private management
sector, NGOs, people’s
organizations) in urban
development
Improved access and

availability of land for urban
development
4
introduction
The review notes that a framework of cities’ vulnerability to climate change or their
policies alone will not achieve success. What key role in mitigating its impacts. Nevertheless,
transforms them is the active cooperation of many interconnections between urban
all stakeholders concerned in implementation, development and climate change adaptation
such as government, NGOs and people’s and mitigation (CCA/M) strategies can be
organizations, communities, the private found across the framework.
sector, development partners, among
others. It recommends: an exploration of Strengthening Climate Change and Urban
ways to institutionalize discussions on urban Governance. There is a clear framework
development issues at the Cabinet level; on urban and climate change governance
the formal adoption of the framework institutionalized by the Local Government
by the Housing and Urban Development Code, the Urban Development and Housing
Coordinating Council (HUDCC); and Act, and the Climate Change Act, among
the formal adoption of the framework’s others. That said, policy gaps between climate
strategic recommendations and policies with change and urban development policies still
corresponding actions of the corresponding exist, exacerbated by narrow coordination
national government agency’s sectoral plans. mechanisms and the lack of resources and
capacities of stakeholders. The NUDHF will
The review also finds necessary a massive be effective in promoting better coordination
information and education campaign, from among key national agencies, LGUs, and other
regional and urban centers to barangays stakeholders in the urban governance process.
(villages). This reinforces and enhances the
role of the national government agencies, in Integrated approach to urban resilience. The
particular the role of the Housing and Land NUDHF advocates for an integrated approach
Use Regulatory Board (HLURB) in building on urban poverty and climate action,
LGUs’ capacities in development and land oriented towards the broad concept of urban
use planning, urban development, and resilience. Elements of resilience are evident
housing. Finally, the review underlines the in existing policies, and should be captured
need to harmonize the NUDHF with national and enhanced using the NUDHF as platform.
development plans and strategies. The NUDHF serves as a bridge to ensure
consistency and strengthen coordination
The second policy review examined the between national and local authorities
intersection of climate change policies, across development plans, providing security,
particularly the National Climate Change ecosystems protection, and prioritization of
Action Plan and Intended Nationally the most vulnerable communities.
Determined Contributions, and urban
development policies. It looked at gaps and The above assessments helped provide
opportunities for mainstreaming climate direction to this NUDHF, identifying key
change into the NUDHF. As part of a multilevel challenges as well as entry points for
governance process, the NUDHF facilitates enhancement, particularly in integrating
the coordination and ensures the coherence climate change into urban development
of climate change strategies, from the central policies and strategies.
authorities to the city level, while being
flexible and moldable to local realities.
1.2.2 Updating Process
A series of workshops, consultations, expert
Key findings:
group meetings and technical meetings were
National Climate Change Institutional held over a period of two years to formulate
Framework. The National Climate Change this updated NUDHF, using the review
Action Plan doesn’t address comprehensively framework presented in Figure 1.
introduction
Figure 1. NUDHF Review Framework
Document Review Consultations/Dialogue

• NUDHFs: 1993-1998, 1999-2004, 2009-2016 • National forum/scoping
• NFPP 2001-2030 • Regional consultations
• PDP • TWG meetings
• Habitat III country report • Bilateral meetings
• National Housing Summit • Expert Group Meeting
• Other related laws/policies
NUDHF
REVIEW
Global linkage Institutional Set-up

• National Urban Policy (NUP) Framework • HLURB as government lead
• State of World Cities Report 2015 and mandated agency
• State of Asian Cities Report • Technical Working Group
• New Urban Agenda and policy papers (HIII) • Partnership with UN-Habitat and PIEP
• Agenda 2030 / Sustainable Development Goals
This NUDHF, by constant evolution of the • Urban governments that are capable and
spaces and systems it encompasses, seeks to competent in addressing the various urban
usher in a new urban development paradigm, issues and concerns.
one that simultaneously enhances and departs
from previous policies. On the one hand, it It likewise supports these long-held goals:2
reinforces the government’s previous intended
outcomes of urban development1, as follows: • Increased national integration and cohesion
through well-defined and focused policies and
;
• Better quality of life for residents of cities/ strategies for urban development;
urban centers;
• Defined roles of urban areas/cities in
• Urban centers that are economic hubs and national development to attain rational,
major contributors to national productivity spatial, and economic growth;
and industrialization;
• Guided rural to urban migration to attain
• Urban communities that are socially and proper spatial arrangement of people and
environmentally healthy; their activities;
• Urban areas that are centers for • Improved government efficiency and
engagement in productive and income- capability to manage urban development;
generating activities;
• Institutionalized participation of concerned
• Cities that can house and deliver basic sectors (the private sector, non-governmental
services to its citizens, particularly the poor; organizations, people’s organizations, and
communities) in urban development;
• Urban centers that promote political
democratization through greater people's • Improved access and availability of land for
participation in decision-making; and urban uses, in particular for the housing needs
of the urban poor and other marginalized
groups;
1
Housing and Land Use Regulatiry Board, NUDHF, 1993-1998.
2
Ibid.
6
introduction
• Adequate, equitable, and efficient provision the HLURB, under the direction of HUDCC,
of urban services (transportation, sanitation, to formulate the NUDHF. This shall be done
health, etc.); and in coordination with all LGUs and other
concerned public and private sectors.3
• Protection of the natural environment and
community conservation. Recent legislation has also encouraged urban
stakeholders to update policies and devise
On the other hand, recognizing lessons from strategies in response to urban realities.
the past two decades, the 2017-2022 NUDHF The Climate Change Act of 2009 and its
moves forward with emphasis on making amending law seeks to build national and
urban spaces more inclusive, and creating local resilience to climate change-related
more open, connected, and collectively disasters and protect and advance the
resilient communities. It focuses on the role of people’s right to a healthy ecology. It compels
urbanization in creating equitable growth, and the government to stabilize greenhouse
it will describe and promote uniquely Filipino gas (GHG) concentrations at a level that
cities, municipalities, and urban areas. prevents dangerous human interference
with the climate system. This is to ensure
that food production is not threatened and
1.2.3 Legal Bases that economic development proceeds in a
sustainable manner.4
Different laws provide legal grounds for the
NUDHF. Art. II, Sec. 9 of the 1987 Philippine Meanwhile, the Disaster Risk Reduction
Constitution, which protects Filipinos’ right Management Act of 2010, in response to
to an improved quality of life, provides that: the country’s vulnerability to natural disasters
as well as climate change impacts, “provides
"The state shall promote a just and dynamic for the development of policies and plans
social order that will ensure the prosperity and the implementation of actions and
and independence of the nation and free the measures pertaining to all aspects of disaster
people from poverty through policies that risk reduction and management, including
provide adequate social services, promote full good governance, risk assessment and early
employment, a rising standard of living and an warning, knowledge building and awareness
improved quality of life for all." raising, reducing underlying risk factors, and
preparedness for effective response and early
Likewise, Art. XIII, Sec. 9 of the Constitution
recovery.” 5
guarantees the right to decent shelter:
Finally, Section 16 of the Local Government
“The State shall, by law and for the common
Code directs LGUs to exercise their powers
good, undertake, in cooperation with the
for efficient and effective governance and
private sector, a continuing program of
towards the promotion of the general
urban land reform and housing, which will
welfare. LGUs shall ensure and support the
make available at affordable cost, decent
“preservation and enrichment of culture,
housing and basic services to underprivileged
promote health and safety, enhance the
and homeless citizens in urban centers and
right of the people to a balanced ecology,
resettlement areas. It shall also promote
encourage and support the development
adequate employment opportunities to
of appropriate and self-reliant scientific and
such citizens. In the implementation of such
technological capabilities, improve public
program, the State shall respect the rights of
morals, enhance economic prosperity and
the small property owners."
social justice, promote full employment
More explicitly, the Urban Development among their residents, maintain peace
and Housing Act of 1992 (UDHA) mandates
3
Republic Act No. 7279 (1992): art. III, sec. 6.
4
Republic Act No. 9729 (2009).
5
Republic Act No. 10121(2010): sec. 4
introduction
SDG 11 aims to “make cities and human settlements

inclusive, safe, resilient and sustainable.”
and order, and preserve the comfort and Goal 4: Ensure inclusive and equitably quality
convenience of their inhabitants.”6 education and promote lifelong learning
opportunities for all.
It is within the power of local governments
to plan and implement strategies towards an Goal 5: Achieve gender equality and empower
inclusive, safe, resilient and sustainable urban all women and girls.
system. The NUDHF provides guidelines to
achieve this. Goal 6: Ensure availability and sustainable
management of water and sanitation for all.
1.2.4 Policy Anchors Goal 7: Ensure access to affordable, reliable,

sustainable and modern energy for all.
The government also anchors the NUDHF
on a number of relevant globally accepted Goal 8: Promote sustained, inclusive and
frameworks and national policies. sustainable economic growth, full and
productive employment and decent work
Among these are the Sustainable for all.
Development Goals (SDGs) adopted by
world leaders in September 2015, which Goal 9: Build resilient infrastructure, promote
officially came into force on January 1, 2016. inclusive and sustainable industrialization and
These SDGs set the course for a global effort foster innovation.
to end all forms of poverty, fight inequalities,
Goal 10: Reduce inequality within and among
and tackle climate change, while ensuring
countries.
that no one is left behind. Over the next 15
years, nations will ensure the implementation Goal 11: Make cities and human settlements
of development strategies that build economic inclusive, safe, resilient and sustainable.
growth and address a range of social needs,
including education, health, social protection, Goal 12: Ensure sustainable consumption and
and job opportunities, while tackling climate production patterns.
change and environmental protection.
Goal 13: Take urgent action to combat climate
The SDGs are as follows: change and its impacts.
Goal 1: End poverty in all its forms Goal 14: Conserve and sustainably use
everywhere. the oceans, seas and marine resources for
sustainable development.
Goal 2: End hunger, achieve food security and
improved nutrition and promote sustainable Goal 15: Protect, restore and promote
agriculture. sustainable use of terrestrial ecosystems,
sustainably manage forests, combat
Goal 3: Ensure healthy lives and promote desertification, and halt and reverse land
well-being for all at all ages. degradation and halt biodiversity loss.
6
Republic Act No. 7160 (1992):, sec. 16.
8
introduction
Goal 16: Promote peaceful and inclusive 11.3 By 2030, enhance inclusive and sustainable
societies for sustainable development, provide urbanization and capacity for participatory,
access to justice for all and build effective, integrated and sustainable human settlement
accountable and inclusive institutions at all planning and management in all countries.
levels.
11.4 Strengthen efforts to protect and safeguard the
Goal 17: Strengthen the means of world's cultural and natural heritage.
implementation and revitalize the Global
Partnership for Sustainable Development. 11.5 By 2030, significantly reduce the number of
deaths and the number of people affected and
One of the 17 SDGs refers directly to the substantially decrease the direct economic losses
sustainable development of cities and human relative to global gross domestic product caused
settlements. Specifically, SDG 11 aims to by disasters, including water-related disasters,
“make cities and human settlements with a focus on protecting the poor and people in
inclusive, safe, resilient and sustainable.” vulnerable situations.
Within this goal are targets that constitute
the built environment agenda, and ensures 11.6 By 2030, reduce the adverse per capita
that issues are addressed through the spatial environmental impact of cities, including by paying
lens. SDG 11 is transformational, targeting special attention to air quality and municipal and
the sequential progress required to achieve other waste management.
higher-level outcomes in other goals. It also
empowers cities as arenas of implementation, 11.7 By 2030, provide universal access to safe,
as well as local governments as the level inclusive and accessible, green and public spaces, in
closest to people. Moreover, with more than particular for women and children, older persons,
half of the world’s population now considered and persons with disabilities.
urban dwellers, cities will determine the
11.A Support positive economic, social and
success of the overarching goals of poverty
environmental links between urban, peri-urban and
eradication, equality, climate change action,
rural areas by strengthening national and regional
and ensuring healthy lives. Of the 17 SDGs,
development planning.
15 can be implemented only at the local level,
an important consideration for the Philippines, 11.B By 2020, substantially increase the number
which places local government units at the of cities and human settlements adopting and
forefront of development action. implementing integrated policies and plans towards
inclusion, resource efficiency, mitigation and
SDG 11 has the following targets that focus
adaptation to climate change, resilience to disasters,
on various themes and elements of sustainable
and develop and implement, in line with the Sendai
cities and communities. These also help
Framework for Disaster Risk Reduction 2015-2030,
to guide the country’s urban development
holistic disaster risk management at all levels.
actions at the national and local level:
11.C Support least developed countries, including
11.1 By 2030, ensure access for all to
through financial and technical assistance, in building
adequate, safe and affordable housing and
sustainable and resilient buildings utilizing local
basic services, and upgrade slums.
materials.
11.2 By 2030, provide access to safe,
Either by these specific targets or the overall goal,
affordable, accessible and sustainable
SDG 11 sets the stage for achieving many of the
transport systems for all, improving
other SDGs.7 This is especially for SDGs that involve
road safety, notably by expanding public
poverty alleviation, urban services and infrastructure,
transport, with special attention to the
urban action towards climate resilience, sustainable
needs of those in vulnerable situations,
consumption, and sustainable ecosystems, among
women, children, persons with disabilities
others. Links between the SDGs and the NUDHF
and older persons.
7
UN Chronicle, Vol. LI No. 4 2014 (2015), https://unchronicle.un.org/article/goal-11-cities-will-play-important-role-achieving-sdgs.
introduction
It can be exercised in every metropolis, city,

barangay, or town that is institutionally organized
as a local administrative unit with district,
municipal, or metropolitan character. It includes
the urban space as well as the rural or semi-rural
surroundings that form part of its territory.
The Philippine government recognizes that

achieving the aims of the New Urban Agenda
requires a national urban policy that effectively
establishes the connection between the dynamics
of urbanization, demographic dynamics, and
Photo @UN-Habitat
the overall process of national development. A

successful policy shall harness the benefits of
urbanization while responding to its challenges.
This is accomplished through the development
of a much broader, crosscutting vision of an
urban landscape, embracing urbanization across
physical space, bridging urban, peri-urban and
SUSTAINABLE strategies will be further identified in Section rural areas, and addressing challenges such as
DEVELOPMENT 3. integration of climate change through national
GOAL (SDG) 11, and local development policy frameworks.9
considered the
"urban" SDG,
The Philippines is also a party to the Third
envisions cities and United Nations Conference on Housing and The Philippines has formulated its Philippine
human settlements Sustainable Urban Development, Habitat New Urban Agenda (PhiNUA), carrying the
that are inclusive, III. Recognizing significant gaps in prevailing principles set forth at the global level, and placing
safe, resilient and the agenda in the local context.
sustainable.
urban development models across the
world, Habitat III introduced the New Urban
Agenda. The New Urban Agenda aims to The New Urban Agenda of the Philippines lays
address urban poverty and social exclusion, down the following action areas:
as well as to enhance and extend human
1. Urban Demography: Capturing the youth
rights perspectives in their application to
dividend, a more spatially balanced and
cities and human settlements. It encourages
interconnected development, and safeguards for
a shift in the predominant urban pattern to
the vulnerable and disadvantaged;
minimize socio-spatial injustices, enhance
equity, increase inclusion, broaden political 2. Land and Urban Planning: Effective regional
participation and ensure a decent life for all planning and development, planning for climate
inhabitants.8 change adaptation and disaster risk reduction,
and improving access to urban land;
Included in the New Urban Agenda is
The Right to the City, a new paradigm 3. Urban Environment: Climate change and
that “re-thinks cities and urbanization” disaster resiliency, urban environmental
and envisions the effective fulfillment of all infrastructure improvements, and developing
internationally agreed human rights, the green cities;
SDGs, and the commitments of the Habitat
Agenda. The Right to the City pertains to the 4. Urban Governance: Stronger sector leadership,
diversity of all inhabitants on the basis of their effective multilevel governance, improved local
common interests. It belongs to present and urban governance capacity, and participatory and
future generations; it is indivisible and not transparency mechanisms;
subject to exclusive use or appropriation.
8
United Nations, Habitat III Policy Paper 1 – Right to the City And Cities for All ( June 2016).
9
United Nations, Habitat III Policy Paper 3 – National Urban Policy (June 2016).
10
introduction
5. Urban Economy: Diversified local and Spearheaded by the National Economic and
housing finance, sustainable local economic Development Authority (NEDA), AmBisyon 2040
development, and urban economy envisions that by 2040, the Philippines will be “a
mainstreaming in development planning; prosperous, predominantly middle-class society
where there is equality of opportunities and poverty
6. Housing and Basic Services: Scaling up low- has been eradicated. It will be a society where
income and pro-poor housing; affordable, people live long and healthy lives with a higher
reliable and resilient basic services; and life expectancy at birth of 80 years. Longevity
shifting to an inclusive, low-carbon urban will be enhanced by the ability of individuals
transport system. and communities to withstand natural as well as
man-made shocks and disasters. With smarter
Sustainable urban development is also and more innovative people, the country in 2040
anchored on principles expressed in the 2001- is also envisioned to be a major player in the
2030 National Framework for Physical global knowledge economy, producing innovative
Planning (NFPP), which espouses growth products and processes that are used to make
with social equity. The NFPP advocates that high-quality goods and services at competitive
land use, physical, and related planning prices. The Philippines will be a high-trust, more
activities shall proceed within the context of caring, and peaceful society where human security
principles that support sustainable allocation is assured and the government enjoys the people’s
and use of land and water resources. These trust because it is clean, efficient, and service-
principles include the following: oriented. High trust will also prevail between the
private sector and the government, as well as
• food security;
between and among peoples. Overall, a high-
• environmental stability and trust society will facilitate official and business
ecological integrity; transactions, and smooth interpersonal relations.”
• rational urban development; The long-term vision serves as an anchor for

development planning for the next 25 years, part
• spatial integration; of which is the Philippine Development Plan
(PDP) 2017-2022, which focuses on the following
• equitable access to physical and themes:
natural resources;
• strengthening the social fabric;
• private-public sector partnership;
• reducing inequality in economic development;
• people empowerment;
• increasing potential growth;
• recognition of the rights of
indigenous people; and • enabling a supportive economic environment; and
• market orientation. • foundations for inclusive and sustainable

development.
The framework aims for the use of the
country’s land and other physical resources The above legislation, policies, and agreements
that yields the greatest economic benefit to set the tone for the NUDHF, and ensure the
both the present and future generations. alignment of urban-related strategies to the overall
development framework of the country, as well as
The government has also crafted AmBisyon of the global community.
Natin 2040, which represents the long-term
vision and aspirations of the Filipino people for
themselves and for the country. It describes
the kind of life that people want to live, and
how the country will be by 2040.10
10
AmBisyon Natin 2040 (2017) http://2040.neda.gov.ph/.
framework
FRAMEWORK
2.1 VISION AND PRINCIPLES technical assumptions, validated through
the participatory process undertaken in the
crafting of the framework.
2.1.1 Vision
The key principles will guide all actors as
The National Urban Development and Housing they implement common and differentiated
Framework (NUDHF) 2017-2022 adopts strategies at various levels of urban
the country’s vision of urban development, development work, towards the achievement
as articulated in the Philippine New Urban of the Vision. The principles and their major
Agenda: components are as follows:
Better, Greener, Smarter Urban Systems in

1. Urbanization as catalyst for
a More Inclusive Philippines
inclusive growth
Better Urban Systems are globally competitive, Urbanization:
economically vibrant, and livable. Greener
• Must drive and influence the creation and
Urban Systems are environmentally
transformation towards culturally, socially,
sustainable, climate resilient, and safe. Smarter
economically, and politically inclusive
Urban Systems are connected physically,
development.
spatially and digitally. An Inclusive Philippines
is equitable, participatory, and provides • Ensure citizenship and equal rights for
universal access to quality basic services. It all inhabitants, whether permanent or
safeguards children, women, the elderly, and transitional, with added focus on the right
persons with disabilities. It equalizes access to housing and urban services.
to livelihood opportunities and it enables
informal settler families (ISFs) to transform in
the metropolises, living their lives with more
pride and dignity.11
The Vision supports the aspirations of

Filipinos as stated in AmBisyon 2040 and is
aligned with the Philippine Development Plan
2017-2022.
2.1.2 Key Framework Principles

The NUDHF is founded on the following
key principles that guide sustainable
urban development and housing. These
are basic, fundamental rules culled from
internationally agreed principles, national
Photo @UN-Habitat
commitments, government mandates, and
11
New Philippine Urban Agenda (September 2016).
12
framework
• Must include women, those living in poverty 4. Urban spaces as platforms for social
or situations of environmental risk, informal and economic opportunity, cultural
economy workers, ethnic and religious groups, expression, and innovation
LGBT persons, persons with disabilities,
children, youth, elderly, migrants, and refugee These entail:
groups. • Provision of space for all inhabitants,
with mechanisms that promote and
2. Climate change resilience as a base for facilitate activity.
spatial and sectoral development
• Spaces that allow for shelter, decent
Resilience: work and secure livelihoods, including
formal and informal economic activities.
• Must enhance the ability of a locality and its
citizens to withstand impacts and shocks, to • Spaces that promote and support
rebuild or re-organize itself when necessary. tangible and intangible cultural assets
and creative practices and expression.
• Should be the foundation in planning and
decision-making: for spaces (neighborhoods, • Spaces that support and facilitate new
settlements, development areas, cities, technologies, organization models, and
municipalities, provinces, regions); and for social, economic, and physical facilities.
addressing sectoral/cross-sectoral challenges
(environmental, social, economic, infrastructure-
related, institutional, and inclusivity of cultural 5. People’s participation and
practices or expression). empowerment as foundation of urban
governance, facilitating sustainable
resource use, planning, management,
3. Spatially and sectorally integrated and finance
settlements within coherent and efficient
urban systems and forms This entails:
These entail: • Equal and substantive participation
of all stakeholders in the critique,
• Urban design that aids in the integration and implementation, and monitoring of
efficient functioning of urban elements, while urban development policies, legislation
ensuring social and economic inclusion. and actions.
• Efficient urban planning and design across • Involvement of marginalized sectors in
scales, from the smallest to the largest unit or decision-making for programs that affect
element of urban development. their quality of life, enabling socially
responsible private sector participation
• Physically, spatially, functionally connected and
and responsibility.
accessible systems, reflecting a coherent spatial
framework of the Philippines. • Support for the development of
human capacity, promoting integrated
• Urban systems that are capable of producing
governance and capacity building
desired results without wasting time or energy.
for government staff, and promoting
This includes biophysical, social, economic,
deliberative urban processes.
infrastructure-related, political and legislative
organization. • Embedded participatory and
sustainable urban development
• Cities as a focal point for fostering sustainable,
processes, structures and mechanisms.
climate resilient development, spatial integration
and urban-rural linkages.
framework
Table 2: Coherence of the NUDHF Principles and the Philippine New Urban Agenda
National Urban Development and

Philippine New Urban Agenda
Housing Framework Principles
1. Urban Demography: Capturing the • Urbanization as a catalyst for inclusive growth.

youth dividend, a more spatially balanced and
interconnected development, and safeguards for • Urban areas as accessible platforms for social
the vulnerable and disadvantaged. and economic opportunity, cultural expression, and
innovation.
• Spatially and thematically integrated settlements

within coherent and efficient urban systems and
forms across scales.
2. Land and Urban Planning: Effective regional • Spatially and thematically integrated settlements
planning and development, planning for climate within coherent and efficient urban systems and
change adaptation and disaster risk reduction forms across scales.
(DRR), and improving access to urban land.
• Resilience as a base for spatial structuring and
sectoral development.
3. Urban Environment: Climate and disaster • Resilience as a base for spatial structuring and
resilience, urban environmental infrastructure sectoral development.
improvements, and developing green cities.
4. Urban Governance: Stronger sector • People’s participation and empowerment as

leadership, effective multilevel governance, foundations of urban governance, facilitating
improved local governance capacity, and sustainable resource use, planning, management and
participatory and transparency mechanisms. finance.
5. Urban Economy: Diversified local and • Urbanization as a catalyst for inclusive growth.
housing finance, sustainable local economic
development, and urban economy mainstreaming • Urban areas as accessible platforms for social
in development planning. and economic opportunity, cultural expression, and
innovation.
6. Housing and Basic Services: Scaling up low- • Resilience as a base for spatial structuring and
income and pro-poor housing, affordable, reliable sectoral development.
and resilient basic services, and shifting to an
inclusive, low-carbon urban transport system. • Spatially and thematically integrated settlements
within coherent and efficient urban systems and
forms across scales.
14
framework
Figure 2. Illustration of the Links between NUDHF and AmBisyon Natin 2040
THE FRAMEWORK
6. Sustainable urban environment as a guide12, and contextualized for the Philippine

core development condition ensures: setting. The strategies respond to issues and
• protection of ecosystems and urban opportunities described in the Chapter 4:
biodiversity; Context and Critique.
• efficient, affordable, and clean energy; The strategies also inevitably raise policy and
program implications, which will be detailed in
• sustainable use of air, water, land, and Chapter 3: Mainstreaming.
resources in urban development; and
• sustainable production and consumption. 2.2.1 Population

The NUDHF principles are also made The Philippine population’s young
consistent with the Philippine New Urban demographic base results in a population
Agenda (Table 2). momentum that will continue to drive
population growth. As such, government
The key principles outlined in Table 2 are must establish the urban system as a
interpreted and expressed in more specific platform that maximizes the potential of the
terms as thematic strategies. Together, growing population in an increasingly urban
they are intended to realize the vision for Philippines.
sustainable urban development in the
Philippines. 2.2.1.1 Enforce a sound population
management policy that focuses on the
well-being of the family, especially women
2.2 STRATEGIES and youth
The NUDHF strategies are divided among Future population growth will depend on the
several themes or focus areas, following fertility rate among women of reproductive
suggested themes in the National Urban Policy age. Studies show that investments in human
12
UN-Habitat, National Urban Policy: Framework for a Rapid Diagnostic (2015).
framework
development not only directly promote 2.2.1.2 Transform the large youth
well-being but also create the necessary population into a demographic dividend or
conditions for the reduction in the demand for window of opportunity
children. Public investments should be made
in child education, such as: increasing school In 2015, there were more than 30 million
participation rates of low income families; Filipinos aged 10 to 24 years old. Comprising
child survival (addressing malnutrition); the almost a third of the Philippine population,
promotion of gender equality (providing this young age group’s potential must be
economic opportunities for poor women); developed.
and the integration of sexual and reproductive
health education in the elementary and A greater proportion of the gross domestic
secondary level curricula. product (GDP) should be invested in
education, including formal education and
The Philippines will benefit from the vocational-technical training, so that the youth
full implementation of the Responsible enters the workforce employable and globally
Parenthood and Reproductive Health Law competitive
(R.A. 10354), which assists couples to achieve
their fertility goals through safe, legal, and 2.2.1.3 Offer and implement better
affordable means consistent with their incentives for efficient urban densities
customs and religious beliefs. The Philippine
THE NUDHF Efficient densities in urban areas are essential
government should adopt population
ENDEAVORS to accommodate projected population
to confront the strategies that advocate the advantages
increases, address urban sprawl, and sustain
challenge of of a small family size, prevention of early
economic growth. Zoning regulations are
inefficient density marriages, and proper timing and spacing of
and unfettered an effective tool to encourage efficient
childbirths as part of responsible parenthood.
urbanization.
Photo @UN-Habitat
16
framework
densities, especially in prime urban areas, and Encroachment along roadways should be
regulate the nature, intensity, and direction prevented to control urban sprawl. Cities
of development. Performance-based zoning should consider resettlement sites in planning
as well as balanced housing in vertical their expansion areas or growth nodes.
developments can be considered.
Adverse flooding impacts are magnified
2.2.1.4 Support vulnerable sectors and
when city residents form highly dense
minimize displacement
settlements in flood-prone areas.
Urbanization should provide all members Floodplains have traditionally been used
of Philippine society opportunities for for settlements, in the Philippines as well
development. A culturally sensitive social mix as in other Asian cities such as Dhaka,
in urban areas that supports vulnerable sectors Ho Chi Minh, Jakarta, and Mumbai.
such as women, youth, indigenous peoples, A more efficient use of floodplains,
persons with disabilities, the poor, and however, is agricultural rather than
migrants, will contribute to inclusive growth. residential, although this strategy is
difficult to implement when floodplains
In order to prioritize these groups in urban have already been transformed into built
development and housing, displacement of up areas. In this case, local governments
informal households must be minimized. can prioritize the relocation of families
This can be done through onsite shelter from danger areas.
development, redevelopment and renewal of
blighted areas, planned city infill, and rental 2.2.1.6 Prioritize allocation of land for
housing for the poorest of the poor. utilities and critical infrastructure in an
archipelagic setting
Policies to support these strategies, such as
tax reform and the use of free patents, should National and local governments should be
be considered. These can help avoid loss of more proactive in identifying, acquiring,
shelter and livelihood, prevent formation safeguarding, and developing land for critical
of slums, and capitalize on the strengths infrastructure such as mass transportation,
of the sector. In addition, government roads and bridges, ports, airports, water
should develop policies supporting culturally distribution, power, and communications.
appropriate housing for indigenous peoples. Moreover, infrastructure planning should
consider both land and water uses, and aim to
2.2.1.5 Support preventive resettlement as
increase connectivity between islands. Doing
a spatial planning tool and a risk reduction
so would improve access to services, support
approach
inclusive mobility, and encourage sustainable
Preventive resettlement of households is an urban development in more areas in the
effective long-term DRRM strategy. Local country.
governments not only ensure the safety of
2.2.1.7 Develop the urban development
affected families living in danger areas, they
database
also recover the proper use of urban resources
such as esteros (estuaries or inlets), railroad Strategies and policies dealing with urban
tracks, landfills, garbage dumps, waterways development and housing need to be based
and easements, and public spaces. on evidence. Planning and managing cities
and urban areas require the use of updated,
Where resettlement of households is
valid, and reliable data.
unavoidable, such as cases where informal
settler families are located in danger areas Government should also consider including
or unsuitable sites, government must ensure internal migration in the local civil registry or
that the resettlement site has access to conducting a census of internal migration. At
livelihood or income opportunities, and that the local level, a barangay-based population
the resettlement site is complete with basic register can be established, supported by a
utilities such as power and water supply. city ordinance.
framework
2.2.2.1 Fully operationalize ridge-to-reef /

integrated ecosystems planning
The “ridge-to-reef” or integrated ecosystems

planning framework was adopted by the
Housing and Land Use Regulatory Board
(HLURB) for the Comprehensive Land Use
Plan (CLUP) Guidebooks (2013-2014). It
emphasizes the city or municipality as a part
of a greater ecosystem, and expands the
scope to include the latter in the planning
process instead of merely delineating land
uses within the administrative boundaries
of the city or municipality. Critical resources
such as upland, coastal, ancestral domain,
biodiversity areas, heritage, and urban are also
integrated, along with plans of agencies that
govern the management of these areas. This
Photo @Peter Fraginal
approach stems from an understanding of the

interrelationship between various uses within
the whole ecosystem to aid in objective-
setting, decision-making, and action planning.
Fully utilizing the ecosystem-based planning

approach necessitates an examination
PLANNING AND and possible reconfiguration of present
MANAGING cities governance mechanisms in order to facilitate
and urban areas Finally, the definition and measurement of coherent planning and design action within
require the use of urbanization, cities, and urban areas need to
updated, valid, and the identified ecosystem. This will be
reliable data.
be reviewed periodically, given the changing discussed further in 4.9, the chapter on Urban
Philippine and global contexts. Governance.
2.2.2.2 Strengthen the mainstreaming of

2.2.2 Urban Planning disaster risk reduction and management
and Design (DRRM) planning and climate change
action planning with spatial and sectoral
Planning and design are central to achieving development planning
sustainable urban development. In many
ways, planning addresses development issues The mainstreaming of DRRM and
such as inefficient density, transport and climate change action in the CLUP and
mobility, and, increasingly, urbanization as an Comprehensive Development Plan (CDP)
exacerbating factor of as well as a solution to needs to be ensured. Areas for improvement,
climate change impacts. harmonization, and rationalization must also
be identified where possible. This includes
Planning is a springboard for more detailed further highlighting and enhancing the
action at various scales, from streets and climate change action and DRR elements of
open spaces and down to blocks, plots, and the CLUP Guidebook, further enhancing the
building typologies. The following strategies Local Climate Change Action Plan (LCCAP)
encourage urban plans and designs that Guidebook, capacity building for planning
promote well-organized development offices, professionalization, and ethical
patterns, efficient density, low-carbon accountability in the planning process and
development, energy efficiency, mixed land documentation.
use, good connectivity, and social integration.
Doing so will give stakeholders knowledge
and guidance on innovative and appropriate
18
framework
technologies, especially in enhancing urban Intersection of Main Roads

resilience and sustainability. These may include
the following: creating and protecting green,
open spaces through proper land use and 200-100m walkable
urban design; efficient street layout that catchment radius
reduces distance for motorized vehicles and
promotes walkability; designing built-up areas Residential Area
to utilize renewable energy; retrofitting; and
indigenous knowledge systems and practices.
Transition Zone Mixed Use Activity Core -
transit stop, retail, barangay
2.2.2.3 Design barangays and hall, health center, central park
neighborhoods in terms of human or plaza
scale and walkability
Neighborhood Barangay Unit
The NUDHF proposes to return to human-
scaled proportions and design barangays in
terms of human scale and walkability, with
the necessary infrastructure and services
within walking distance of residents. This may
be incorporated in the local development 2.2.2.4 Promote adequate networks of
planning process following the CLUP public open spaces
Guidelines, specifically under the Special
Studies on Urban Design and Development. Open space transforms the principle of
inclusivity into a strategy for establishing
democratic, safe, and vibrant spaces
where people from all walks of life can
BOX 1: WHAT IS WALKABILITY? meet, exchange, and test ideas in a non-
Walkability is defined as “the extent to confrontational manner, as well as collaborate
which the built environment is friendly for the public good. Public spaces that are
to people moving on foot in an area. accessible prevent the breakup of cities into
Factors affecting walkability include, but private enclaves, and are generally easier to
are not limited to: street connectivity; police.
land use mix; residential density;
presence of trees and vegetation; safety; The NUDHF prioritizes the identification and
and frequency and variety of buildings, protection of open spaces as a first step in
entrances and other pleasing views along designing urban areas, with built-up spaces
street frontages.” planned around and in consideration of this
network. Local government units (LGUs) must
The common benchmark for walkability establish the primacy and connectivity of
is a 400 meter radius or a five minute public spaces, and provide resources for their
walk. The barangay or neighborhood development. This also includes locating and
unit becomes an organizing device with establishing public buildings in strategic areas,
a neighborhood/barangay center along and designing public spaces to support DRR
the principle routes of convergence, and climate change action – such as spaces in
where the highest concentrations of view of escape routes and evacuation plans.
activity where mixed use centers are best
located. Residents should be able to walk Along with revisiting land use legislation, the
to the barangay hall, local market/shops, government can provide incentives to allocate
health center or elementary school land and financing for the development
within a walking distance of 200-800 of parks, historical plazas, visual corridors,
meters. See upper-right diagram. walkable streets, and/or bikeable boulevards
and avenues. LGUs can also collaborate with
Source: The Urban Design Compendium private developers to create publicly accessible
networks of open spaces.
framework
Along with revisiting land use

legislation, government can provide
incentives to allocate land and
financing for the development
of parks, historical plazas, visual
corridors, walkable streets, and/or
bikeable boulevards and avenues.
Photo ©Peter Fraginal
20
framework
BOX 2: SAMPLE MAP OF NEIGHBORHOODS/BARANGAYS/UNITS

Black circles represent walkable neighborhoods (800 meters in diameter) with mixed use centers of activity
located at major intersections. These may also be used as criteria for establishing transit stops to connect
neighborhoods.
Red circles represent districts formed by groups of neighborhoods. Several districts comprise a city
or municipality.
Aside from improving accessibility, the barangay/neighborhood unit also improves urban design, reduces car
dependence, has health benefits and in terms of provision of basic services.
Within the urban development framework, Finally, placemaking can serve the design needs
a national open space network can link the of urban design and renewal, and provide
National Integrated Protected Areas System stakeholders with the opportunity to guide the
(NIPAS), heritage zones, urban agriculture evolution of their city or municipality. Inclusive,
areas, easements and buffer zones, and participatory planning methods can bring the
government infrastructure. The protection creation of public spaces down to the street
and maintenance of such zones in order level, according to the vision of the community.
to fully operationalize the open space It allows the community to participate in the
strategy will be discussed in 4.9, the Urban design, development, and maintenance of these
Governance chapter. public spaces, encouraging ownership.
framework
Figure 3. Typologies of Neighborhood Units with 2.2.2.5 Consider the water cycle in urban
Centers at Crossroads planning and design
The water cycle should be considered as a key

element at all levels of planning and design.
Plans must support watershed improvement.
Subsequently, they must include, where possible,
the development of alternative water sources
other than groundwater. In line with this,
the collection of rainwater and the recycling
of domestic water for domestic use must be
considered. Cities and municipalities must
ensure adequate domestic water supply without
encroaching on the recharge areas of adjacent
areas. Land developments must be reviewed
to ensure adequate water supply for the
communities being developed as well as adjacent
communities.
To supplement planning and zoning efforts,

water-sensitive urban design may also be
employed at the local level, to help reduce
water consumption. This may include: road
layout and streetscape using bio-retention
systems, infiltration trenches and systems, sand
filters, and porous paving; public open spaces
as sedimentation basins, constructed wetlands,
swales, buffer strips, lakes, and ponds; and water
reuse using rainwater tanks and aquifer storage
and recovery.
2.2.2.6 Promote compact development
Compact development entails the promotion of

efficient densities at all scales of urban planning,
which maintains the balance between urban
demand and resource availability. Areas with
efficient densities tend to cut back the cost of
Source: Urban Design Compendium, English Partnerships, 2007 public services such as police and emergency
response, infrastructure maintenance, school
transportation, water, sewage, etc. This will
Figure 4. Potential Open Space Network promote the holistic management of the urban
in Quezon City area and reduce urban sprawl.
Meanwhile, high density land use plans with low

street density capacity discourage mobility. Street
layout therefore should anticipate and allow
densification processes in the future, and should
have the capacity to absorb different building
types and functions over a long period of time
2.2.2.7 Promote mixed use development
Following the principle of spatial and sectoral

integration within coherent and efficient urban
22
framework
systems, local government and development

partners are urged to plan areas for mixed BOX 3: WHAT IS AN OPEN SPACE?
uses, and minimize highly specialized land
zoning. Mixing land uses allows for the The HLURB CLUP Guidelines define open space as a space
integration of complementary activities, and where permanent buildings shall not be allowed and which
supports compact development. Land use may only be used as forest, buffer/greenbelts, parks and
specialization to limit single function blocks or playgrounds, and similar uses.
neighborhoods is discouraged.
Following are examples of various open spaces in Quezon
Mixed use development also lowers public City: power transmission line, river/creek easements, parks,
service and business transaction costs, and arboretum, and memorial parks. The arrows in Figure 4
captures the benefits of economies of scale. represent possible links or paths between these spaces that
could help build a city’s open space network.
2.2.2.8 Promote social mix
Urban design at the local level should larger planning process. Integrating mobility and
maximize the use of spaces to promote social land use recognizes the value of accessible land
equality and spatial justice. Urban spaces, use patterns to improve transportation, while
including buildings and residential areas, reducing physical travel. Transport planning helps
should espouse social integration and diversity communities to focus on their ability to reach
of social groups as well as income. Diversity desired goods, services, and activities, rather than
and social inclusion should be encouraged on physical movement, thus reducing the adverse
consciously by local authorities and planners impacts of motorization on the quality of life and
especially in designing public spaces, including attractiveness of cities.
streets, markets, schools and universities,
parks and plazas, beaches, and water The NUDHF advocates the shift from car-oriented
front zones. to people-oriented mobility. A new hierarchy
of transportation and mobility is introduced,
The private sector should also be encouraged prioritizing pedestrians first, then non-motorized
to expand low-cost and socialized housing vehicles such as bicycles, followed by public
projects to be more inclusive, and culturally transport, commercial vehicles, taxis and single
and economically diverse. This can come occupancy vehicles.
in the form of incentives for mixed income
housing, a wider range of tenure options, or LGUs must plan their barangays and
urban design that promotes social interaction neighborhoods to reduce vehicular
rather than exclusion. dependence and prioritize walkability and mass
transportation. Roads need to complement
2.2.2.9 Integrate mobility and transport the urban structure. Transportation investment
planning in land use planning policies and programs must therefore be
coupled with land use policies and programs
While transport planning is a specialized form that prioritize the provision of efficient and
of planning, it should be integrated into a comfortable public transport.
BOX 4: WHAT IS WATER-SENSITIVE URBAN PLANNING

AND DESIGN?
Water-sensitive urban planning and design, sometimes called low-impact design or
sustainable urban drainage systems, is a “planning and engineering design approach
that integrates the urban water cycle, including storm water, ground water, and waste
water management and water supply, into urban design to minimize environmental
degradation and improve aesthetic and recreational appeal.”
Source: Urban Design Compendium, English Partnerships, 2007
framework
BOX 5: WHAT IS TRANSIT-

ORIENTED DEVELOPMENT? 2.2.2.10 Utilize adaptive reuse and urban
Transit-oriented development refers to the infill to optimize existing spaces and
creation of compact, walkable, mixed- structures in built-up areas
use communities centered on a mass
To ensure the preservation of heritage areas,
transportation system. Its components
the NUDHF encourages adaptive reuse for
include development of pedestrian and
existing structures, and urban infill or the use
cycling facilities connected to transport
of vacant lands or underutilized properties for
terminals and high-density, walkable
urban revitalization.
districts within a 10-minute walk circle
around the transport station. Adaptive reuse breathes new life to heritage
structures, so that they enrich the character of
Locally, this strategy can be pursued by
a city or municipality and can serve as centers
integrating transportation planning in the
of economic and cultural activity. While it
development of the CLUP when mapping
may have a higher development cost than
out a locality’s various land uses. This will
greenfield sites, it contributes to compact city
ensure efficient mobility and adequate
development and neighborhood revitalization.
accessibility, thereby reducing adverse
impacts of motorization on communities. 2.2.2.11 Promote planned urban expansion
as a means to control urban sprawl
Transit-oriented development has benefited
cities around the world. Among its Compact, mixed use development can be
benefits include: complemented and made more effective
by promoting planned urban expansion.
• Higher quality of life with better places
Anticipating urban growth, setting boundaries
to live, work, and play
to existing areas, and providing for rational
• Greater mobility with ease of moving expansion in selected areas will control urban
around sprawl and manage urban resources better.
It will also aid in food security, maintenance
• Increased mass transit ridership of protected areas, and the integration
and linkage of cities and municipalities in a
• Reduced traffic congestion, car coherent manner.
accidents, and injuries
• Reduced household spending on

transportation, resulting in more
affordable housing To ensure the
• Healthier lifestyle with more walking and preservation of
less stress
heritage areas,
the NUDHF
• Reduced incentive to sprawl
• Increased incentive for compact

development encourages
Transit-oriented development, which
creates dense, walkable communities
adaptive reuse for
with a lower need for driving and energy
consumption, can also mitigate the serious
existing structures,
and growing problem of climate change
and global energy security.
and urban infill.
24
WORKING ON
PLANNED CITY
EXTENSIONS
with the city
planning office of
Cagayan de Oro,
one of the ASUD
project's pilot cities.
Photo @UN-Habitat
BOX 6:
THE CASE OF ACHIEVING SUSTAINABLE URBAN DEVELOPMENT
IN THE PHILIPPINES
As cities and metropolitan areas are presently challenged with the complex problems of urban
development, UN-Habitat developed the Achieving Sustainable Urban Development Project to
effectively support countries in achieving sustainable urbanization. The program envisions the
development of innovative urban planning tools for physical and strategic urban planning with
particular attention to city extension approaches especially amongst fast-growing intermediate
cities. The Philippines has been selected as one of the five pilot countries globally, along with
Egypt, Mozambique, Rwanda, and Colombia.
ASUD Philippines was a three-year project that sought to strengthen the capacities of national
government agencies and cities in the Philippines by demonstrating innovative approaches
in achieving sustainable urban development. It was implemented in four pilot cities namely:
Iloilo, Silay, Zamboanga, and Cagayan de Oro. The cities were selected together with the key
national government partners based on agreed criteria such as: potential for national and local
government program funding to ensure sustained national support and investments in the
medium-term; key role in regional planning and development; level of political leadership and
commitment to the project; and local capacity and governance.
The project committed to deliver the following outputs:

• Improved planning and institutional capacities of the four pilot cities to enhance urban
designs and policies promoting sustainable and resilient urban development
• Enhanced technical capacities and developed “planned city extension” of four pilot cities
to demonstrate application of principles and tools on sustainable urban forms/designs.
Planning City Extensions

Innovations in concept and practice of urban planning have been tried with a number of
countries and cities; however, they have not necessarily impacted broadly on urban planning
as it is expected and pursued by national, local governments and even by urban planners
themselves. In order to further advance innovations, five principles are being promoted by UN-
Habitat under the ASUD:
• Adequate space for streets and an efficient street network. The street network
should occupy at least 30% of the land and at least 18 kilometers of street length
per square kilometer
• High density: at least 150 people per hectare or 15,000 people per square
kilometer
• Mixed land-use: at least 40% of floor space should be allocated for economic use.
• Social mix: promotes inclusiveness across all income groups and fosters cultural
diversity. The availability of houses in different price ranges and tenures in any
given neighborhood to accommodate different incomes
• Limited land-use specialization: this is to limit single function blocks or neighborhoods;

single function blocks should cover less than 10% of any neighborhood.
All of these five principles are integrated into the urban planning processes, with high
consideration of local or city context to achieve the desired urban form. The application of the
principles aims to develop urban areas over time that anticipates high density urban growth,
reduces urban sprawl, and maximizes land efficiency. The end result of the urban design also
expects to promote diversified, socially equal and thriving communities in economically viable
ways. Because of its compact and connected pattern, the outcome also encourages walkability
and reduces car dependency. And lastly, it provides a variety of lot sizes and housing types to
cater for the diverse housing needs of the community/city, at densities which can ultimately
support the provision of local services.
The City Extension Planning (PCE) approach was based on these principles and applied to the
four pilot cities. It specifically involved the preparation of plans for city extension areas identified
and defined by pilot cities. These plans are expected to guide the growth and development of
the identified areas, thus ensuring a sustainable and inclusive development of the cities. The
plans specifically entail the delineation of streets, blocks, lot parcels, as well as the designation
of public space and areas for private development and community facilities. The urban design is
complemented by an implementing strategy that details financing (incremental) and the needed
legal and local legislation support to enhance the sustainability of the PCE.
The table below illustrates some of the value added of the PCE process in comparison to
the old or business as usual urban planning practices of the pilot cities.
ASUD Principles Iloilo Silay Cagayan Zamboanga
Non- Non- Non- Non-

PCE PCE PCE PCE
PCE PCE PCE PCE
Street area (30%) 28% 30.1% 7.0% 21.30% 8.81% 19.88% 19.40 29
Street density
(18 km/square km.) 18.07 18.03 7.0 11.54 10.84 19.64 10.66 17
Public space (20%) 8% 17.1% - 18.82% 14% 21.95 - 31
Density
104 343 10 145 27 505 70 283
(150 persons/hectare)
26
framework
2.2.2.12 Extend capacity development by the Commission on Human Rights of the

programs and projects to integrate the Philippines on September 2011 stipulated the
reduction of greenhouse gas (GHG) conditions that constitute adequate housing.
emissions at the local planning level These are: security of tenure, availability
of basic services, affordability, habitability,
Urban planning and design must integrate accessibility, location, and cultural adequacy.13
low-emission development principles and
strategies. Building national and local The challenges in achieving the conditions
planners’ capacity to understand the GHG mentioned above under the mandate given to
mitigation options along with the adaptation the government has prompted the review of
elements of urban plans and designs are the government’s perspective on housing and
now more essential to ensure that people urban development. The NUDHF recognizes
will indeed live in economically, socially, and housing not merely as a standalone effort,
environmentally sustainable communities. but as an integral part of an overall urban
framework. Housing provides an entry point
In the formulation of local development through which integration of settlements and
plans such as the CLUP, Comprehensive urban systems can occur.
Development Plan (CDP), and LCCAP,
planners should consider energy efficiency The strategies will ensure access for all to
in both electricity use and transmission. adequate, safe, resilient, and affordable
Understanding the emission baseline of such housing and basic services, and upgrade
sectors at the national and local levels could slums14 with special attention to the needs
help improve practices in developing and of vulnerable populations. They will also:
managing buildings, public spaces, roads help in properly managing settlements in
and area connectivity. Integrating low- disaster-prone and vulnerable areas15; facilitate
emission considerations in urban development sustained funding for housing and access
will contribute not only in lowering GHG to land for poor/low income families; and
emissions, but also in the transition to a more support institutional structures such as local
cost-effective urban system that delivers socio- housing boards.
economic gains.
2.1.3.1 Develop inclusive,
integrated housing
2.2.3 Housing
Housing development should be culturally
The 1987 Constitution of the Philippines sensitive and must adhere to appropriate
mandates "the State...for the common good, standards and design. It should pay special
[to] undertake, in cooperation with the private attention to the needs of those in vulnerable
sector, a continuing program of urban land situations, including indigenous people,
reform and housing which will make available, persons with disabilities, elderly, ISFs,
at affordable cost, decent housing and basic internally displaced population from disaster
services to underprivileged and homeless stricken or internal conflict areas, women,
citizens in urban centers and resettlement and children, among others. Mixed income
areas." The Philippines, by ratifying the housing is encouraged to promote inclusive
International Covenant on Economic, Social communities.
and Cultural Rights has also committed to
progressively achieve the full realization of Settlements, including those developed under
the right to adequate housing. The Advisory government resettlement programs, should
on the Right to Adequate Housing and have access to basic social services, facilities
Humane Treatment of Informal Settlers issued and infrastructure; and safe, affordable,
and sustainable transport systems that link
them to employment centers and livelihood
13
Habitat III, Philippine National Report (October 2016).
14
SDG 11 target and Habitat III, Philippine National Report (May 2016).
15
Asian Development Bank, Philippine Urban Assessment (2014).
framework
BOX 7: INNOVATIVE HOUSING PROGRAMS

In lieu of National Housing Authority programs, informal settlers living in Metro Manila's danger zones
may opt to avail of High Density Housing, a financing program of the Social Housing Finance Corporation
(SHFC) for organized communities eligible for in-city, near-city, or near-site housing relocation. Overall,
however, the Community Mortgage Program (CMP) remains SHFC's banner program for low-income
and pro-poor housing and is anchored on the principle of self-help. Before they can avail the benefits of
Community Mortgage Program, beneficiaries must first organize and register as homeowners’ associations
under the HLURB (R.A. 9904). As a financing mortgage program for underprivileged citizens, CMP caters
to members of organized and legally registered community groups to help them secure tenure on the
land they occupy by purchasing it or purchasing land in another area for them to live in. The program also
finances basic services and the incremental build-up of members’ houses.
The Localized Community Mortgage Program (LCMP) is another SHFC financing program. It enables local
governments to avail of an Omnibus Commitment Line, up to a maximum of PHP 50 million, in order for
them to implement priority socialized housing projects. Loans under both the CMP and LCMP are payable
over a period of 25 years, at an annual rate of 6%. Through the NHA and SHFC programs, a total of
736,537 (49%) of low-income households and ISFs have been assisted by the Philippine government from
1996 to 2013 (Habitat III, Philippine National Report, May 2016). CMP beneficiaries, however, call for
reducing high transaction costs, as well as for speeding up processing of requisite permits.
opportunities. The Housing and Urban percentile can only afford less than PHP 1,000
Development Coordinating Council (HUDCC) for housing while the next two percentiles,
or future coordination of the Department of 32% and 30%, can only afford PHP 1,000-
Housing and Urban Development with the 1,999 and PHP 2,000-3,999, respectively.
Department of Transportation, Department of
Public Works and Highways, and Department The NUDHF encourages the improvement
of Education should more closely examine and expansion of housing finance programs,
housing needs, with and coordinate programs especially those that focus on community-
to ensure connectivity of the urban poor to based planning and self-help such as the
centers of activity and opportunity. Community Mortgage Program.
2.2.3.2 Improve affordability of housing More importantly, improving affordability

programs and projects through housing finance must be coupled
with initiatives to increase families’ capacity
The Family Income and Expenditure Survey16 to pay. This means introducing and fully
indicates that during the first semester of integrating sustainable livelihood and
2015, a family of five needed at least PHP employment into the housing process, and
6,365 on the average every month to meet looking at economic development as a
the family’s basic food needs, and at least function of shelter delivery. Operationally,
PHP 9,140 on the average every month to this translates to the implementation of an
meet both basic food and non-food needs, integrated housing strategy requiring the
including housing. As indicated in the Family collaboration of shelter, economic and social
Income and Expenditure Survey of 2012, of welfare agencies beyond their current or
the total 1.5 million renters across the country, traditional mandates.
about 20% that comprise the lowest income
16
Philippine Statistics Authority, Family Income and Expenditure Survey (2015).
28
framework
2.2.3.3 Promote resilient housing amendment is the inclusion of vertical housing

developments in socialized housing compliance.
In the Philippines, the challenge of meeting It must be noted that these are minimum
current and future housing demand is requirements, and developers may opt to
aggravated by the need to address climate increase the percentages.
change and natural hazards that pose risks to
households. Resilience is a paramount action 2.2.3.5 Update appropriate housing unit size
needed to protect investments in housing and requirements based on local context
ensure sustainability.
Minimum standards are currently implemented
Where the poorest are often most vulnerable, for lot area, floor area, and level of completion
housing finance, security of tenure, and of housing units.17 While economical in the use
insurance can guarantee household and of limited space, these have also been criticized
community resilience. as inadequate to provide livable, healthy,
and safe housing. Local governments and
Climate resilient and affordable housing developers are encouraged to further assess the
can also be achieved through appropriate needs of end users with regard to their space
housing standards or building codes and requirements, without income discrimination
affordable technologies and innovations, as and considering various factors such as location,
well as through retrofitting of existing housing culture, economic linkages, and livelihood
structures based on climate change and opportunities, among others. People-centered
disaster risk assessments. planning processes can address this gap, and
allow stakeholders to determine appropriate
Local climate change action plans and unit sizes.
disaster risk management plans must consider
resilience at the household level and be made
consistent with the local shelter plan, in order
to ensure that other key shelter development BOX 8: LOW-RENT UNITS –
aspects such as affordability and shelter
A CHINA EXAMPLE
finance are taken into account and planned
accordingly. Some jurisdictions have regulations that require developers
to produce a certain percentage of smaller sized units in
2.2.3.4 Enforce the balanced housing each development. In 2007, the State Council of China
provision of the Urban Development and deemed that at least 70% of the land to be used for
Housing Act of 1992 (UDHA) construction of urban housing should be designated for
residential purposes for low-rent units, and smaller units
Republic Act No. 10884, which amends the of less than 90 m2. This is a move aimed at providing
UDHA, requires owners and developers of adequate housing for the urban poor, against the backdrop
proposed subdivision and condominium of surging housing prices. In addition, a low-rent housing
projects to develop an area for socialized guarantee policy took effect on December 1, 2007, to help
housing equivalent to at least 15% of the the ten million low-income urban families, whose living
total subdivision area or total subdivision space was less than 10 m2 per person, accounting for 5.5%
project cost, and at least 5% of condominium of the nation’s combined households.
area or project cost. Significant in this
17
Minimum lot area. For single detached houses, the minimum lot area requirement for socialized housing under BP 220 is 64 square meters.
Under PD 957, the minimum lot area requirement for single detached is 72 square meters for economic housing; 100 square meters for medium
cost housing and 130 square meters for open market housing.
Minimum Floor Area. For the shelter component, the minimum floor area for single detached socialized housing under BP 220 is 18 square me-
ters, while for PD 957 it is 22 square meters for economic housing, 30 square meters for medium cost housing and 42 square meters for open
market housing.
Level of completion. Under PD 957, economic, medium cost and open market housing require a complete house based on submitted plan spec-
ifications for all types (single detached, duplex, and row house). Under BP 220, socialized housing allows a shell house with doors and windows
to enclose the unit, no enclosures for living areas except for the toilet and bath. This allows the socialized housing buyer to upgrade his house at
his own affordability pace.
framework
The NUDHF recommends this approach

BOX 9: EXAMPLES OF UNUSED/UNDERUSED to increase people’s access to spaces
for housing security as well as social
GOVERNMENT-OWNED LAND and economic opportunity. It will also
Current initiatives can be improved by requiring private aid in creating settlements that are
developers to construct affordable and mixed income integrated and coherent, with appropriate
housing in lands they purchase from the government. The infrastructure and rational planning.
proposed sale of Camp Aguinaldo, strategically located
next to the Santolan Metro Rail Transit (MRT) station, c. Land banking
would be a great demonstration. The redevelopment of the Land banking refers to the acquisition
Quezon City Central Business District also remains to be of land at values based on existing use
an opportunity if the city requires mixed-income housing in advance of actual need, to promote
on site. The proposed Clark Green City of the Bases planned development, redevelopment,
Conversion and Development Authority (BCDA) could and socialized housing programs.19 It can
likewise provide an entirely new model for the country by also be used to contain land speculation,
creating inclusive housing developments. redistribute land to the poor, and finance
infrastructure investments.20
d. Land cost adjustment for

affordable housing
2.2.3.6 Make land available and accessible
Housing can be made more affordable,
for housing
particularly in peripheral areas, by providing
There are several ways to increase the supply land at lower than market cost in return
and reduce the cost of urban land, thereby for an agreement to produce lower cost
addressing physical and artificial shortage of housing or more small-sized affordable
land for development. units. Ideally, low-income housing should
be mixed with middle-income housing
a. Unlocking unused or underused to create a more diverse community and
government-owned land to enable households to upgrade their
housing within the community, such as
Malacañang has directed the concerned
through long-term land banking and lower-
government agencies and government-
cost leasing of government land.
owned and -controlled corporations to
submit an inventory of their idle lands, and e. Reduce land speculation through
identify the sites in these lands that can fiscal measures21
be used for socialized housing. Housing
programs will then be implemented Rapid housing price increase due to land
through public-private partnerships. speculation restricts access of lower-income
groups to housing. While government
b. Land pooling/readjustment interventions in housing markets should be
approached with caution, imposing fiscal
Land pooling or readjustment combines
measures may help reduce speculation.
small land parcels into a larger land
area for efficient subdivision and Key measures could include: (i) increasing
development. Once improvements such as tariffs imposed for idle land, to encourage
infrastructure or public spaces are made, owners to develop their lands; (ii) adjusting
the reconfigured land is returned to the capital gains taxes on the sale of land
owners who usually receive smaller, but and property to curb rapid increases in
significantly more valuable, plots.18 the cost of property; (iii) imposing higher
18
World Bank Institute, Innovative Land Tool Series, “Sustainable Urban Land Use Planning” (Oct.-Dec. 2015).
19
Housing and Urban Development Coordinating Council, Implementing Guidelines for the Acquisition, Valuation, Disposition and Utilization of
Lands for Socialized Housing (1993),
http://www.hudcc.gov.ph/sites/default/files/styles/large/public/document/Acquisition%20Valuation%20Disposition.pdf.
20
UN-Habitat, Enabling Shelter Strategies: Design and Implementation Guide for Policymakers (2011).
21
30
framework
interest rates for property loans, which will and other actors, in particular NGOs and the
have the same effect; and (iv) reducing private sector, is an essential element of the
inheritance tax for properties intended for enabling approach.23
socialized housing.
2.2.3.7 Promote alternative forms BOX 10: BENEFITS OF LAND POOLING/

of tenure READJUSTMENT
The NUDHF recognizes the value of providing • No Displacement: Landowners can remain on the land;
security of tenure for urban settlers, both there is no need for compensation for resettlement
formal and informal. As policy reforms move (no compensation if there is no displacement pursuant
toward improving land management and land to the policy on relocation).
valuation, rights-based instruments or other
forms of secure tenure instruments – such • Home Owners Association as sanctioned by HLURB
as usufruct, other lease variants, and right under Republic Act. No. 9904: individual landowners
to occupy or build – are now recognized must agree for the land pooling/readjustment scheme to
as collateral substitutes. Rights-based work; here is less outright coercion than with eminent
instruments offer a less costly approach to domain or takings.
providing secure tenure to segments of society
unable to secure freehold titles, particularly • Political/Community Acceptance: because displacement
the urban poor.22 and compensation issues are minimized, land pooling/
readjustment can be appealing to various constituencies.
2.2.3.8 Promote local shelter planning to
encourage broad-based participation and • No Large Government Outlay: scarce public resources
ensure implementation of housing and land do not have to be spent on infrastructure improvements.
strategies Rather, the increase in land values after the project and
sale of some of the serviced plots covers initial costs.
Citizen participation and localized capacity
serve as foundations for effective and efficient • Increased Future Revenues: higher value and more
shelter provision. Empowering communities intensive land uses can increase local property tax
also increases accountability and transparency in revenues over time consistent with the Comprehensive
the implementation and monitoring of housing Land Use Plan (CLUP) and Zoning of the LGU.
strategies.
• Orderly Development: land pooling/readjustment brings
Local shelter planning enables LGUs to development to land on the urban fringe in an orderly
determine housing needs, conduct inventory way with a unified process of planning, servicing, and
of resources, identify priority housing subdivision.
programs and projects, and initiate necessary
• Environmental Benefits: land reconfiguration often
partnerships for housing projects.
results in improved shape of land parcels, better road
Communities must be involved and access, and provision of open space.
empowered in realizing their housing
• International Experience: A number of countries such
goals. Community-based or people’s plans
as Germany, Japan, and South Korea have used land
encourage wider and deeper participation
pooling/readjustment for many decades. This knowledge
from all urban stakeholders. This also includes
can be transferred to places where the practice is not
incorporating indigenous knowledge systems
widely adopted.
and practices in the planning process,
including climate change action and DRRM.
Effective cooperation between government
22
23
Erhard Berner, “Learning from informal markets: Innovative approaches to land and housing provision,” Development in Practice 11, no. 2
(May 2001): 292-307.
framework
The NUDHF recognizes the

value of providing security of
tenure for urban settlers, both
formal and informal.
Photo ©UN-Habitat
32
framework
BOX 11: LOCAL SHELTER PLANNING

The Local Shelter Planning Manual developed and updated by the HUDCC is a useful and detailed planning
tool that can benefit LGUs in addressing their shelter needs. It is a detailed and step by step manual that
supports local planning initiatives and promotes the participation of the broad duty bearers and claim holders.
Updated by the HUDCC in 2016 and with technical assistance from the UN-Habitat, the Local Shelter
Planning Manual is a relevant tool for data gathering, situational analysis, goals and objective setting and
strategy formulation. The manual also elaborates the importance of monitoring and evaluation of housing
programs and projects. To cater to the complexity of housing issues, the manual adheres to key principles
such as local decision making and empowerment, rights-based approaches, inclusive participation, capacity
development, sustainability and resilience, among others, as strong foundations in developing local
shelter plans.
With the housing needs of 5.5 million at the national scale (HUDCC estimate, 2016), the manual is a
powerful tool in capacitating the LGUs to address the chronic housing issues.
2.2.3.9 Operationalize the National year leases with options to purchase at any
Informal Settlements Upgrading Strategy time, or usufruct arrangements;
The National Informal Settlements Upgrading • Adopting market-based approaches to
Strategy includes directions of change housing finance and production;
and reform that can be pursued by the
government. • Microfinance and community finance as
alternatives in the provision of housing and
The directions are as follows:24 infrastructure for informal settlements;
• Upgrading informal settlements within • Enabling local governments to lead urban
an urban renewal/regeneration framework, renewal efforts, including partnerships; and
urban development and housing to occur
guided by long–term spatial planning • Public access to alpha listing of housing
and guidelines by the national or local beneficiaries, to enable quick action
governments; especially from government and private
entities engaged in urban poor housing.
• Demonstrating model schemes that
exhibit improved housing construction, There is a need for strict implementation and
integrating CCA and DRR; monitoring of housing programs and projects,
as well as sanctions for agencies remiss in
• Targeted resettlement of households implementing their mandates. Imposition of
actually living in danger zones as opposed sanctions shall be in accordance with existing
to blanket resettlement of ISFs; laws and policies, as applicable.
• Rationalized and effectively targeted
capital subsidies;
• Rights-based alternatives for informal

settlers living on government property such
as land lease under renewable 25- to 50-
24
Housing and Urban Development Coordinating Council, National Informal Settlements Upgrading Strategy (2014).
framework
urban system. Implementing programs and

initiatives on watershed protection can
Mobilizing resources,
serve to secure water availability through a
collaborative, multi-stakeholder approach
including those from the

to managing water quality and quantity by
various means throughout the watershed,
private sector, would allow

from the upstream areas all the way to the
mouth of the river and the ocean that it
government flexibility
drains into.
b. Promote and support innovative

in developing and water and sanitation technologies
implementing high capital Cost-efficient, alternative technologies

in water and sanitation, including water
outlay infrastructure recycling should be supported. This entails

investment in research, prototyping, and
projects. fully developing technologies, especially

localized solutions.
c. Support financing for climate and

disaster-resilient water and sanitation
infrastructure
Identifying financing sources for
infrastructure projects is one of the crucial
2.2.4 Urban Infrastructure and responsibilities of national and local
Basic Services governments.
For a system to thrive, it must be structured Mobilizing resources, including those from
so that all components perform efficiently, the private sector, would allow government
and are functionally linked to achieve overall flexibility in developing and implementing
productivity while maintaining capacity. high capital outlay infrastructure projects.
Philippine urban systems are disjointed and Replicating and improving on the successes
inconsistent, in part due to weaknesses in of privately managed water utilities will
infrastructure. These include limited water further strengthen resilience of urban
supply, underutilized energy sources, the water infrastructure.
stark absence of open spaces, gaps in waste
management, and the lack of transport d. Strengthen local government
integration, among others. The NUDHF capacity on water and sanitation
outlines strategies to address these issues. governance
Capacity building programs should
2.2.4.1 Water and sanitation be in place for national, regional, and
local water and sanitation personnel,
a. Streamline policies and improve
in critical areas like: coordination with
the regulatory framework to
national governmental agencies and other
ensure sustainable water security in
government entities; planning, project
urban areas
development, and decision-making;
Water and sanitation infrastructure must budgeting; and private sector engagement.
be harmonized with legislation, policies,
and organizational development plans. In partnership with the academia,
Simplifying the regulatory framework from technical, professional, and managerial
the approval of water and sanitation plans courses should be in place to develop
to maintenance will enable proponents highly qualified individuals that can be
to protect, explore, develop, and expand assigned to management and technical
water and sanitation services for the larger positions for regulating and maintaining
34
framework
water and sanitation infrastructure. identification of land use requirements

Alternative learning platforms should be for renewable energy investments.
explored through facilitating the public's
access to learning opportunities such as b. Streamline procedures for the
online courses and the creation of research development of renewable energy
and innovation laboratories in partnership projects, to improve ease of doing
with academia and civil society. business
This requires reducing the requirement and
2.2.4.2 Energy (sustainable/renewable) processing time, revisiting investment and
business application procedures, adjusting
LGUs have a central role in addressing climate
them to ease start-up and operations costs,
change by implementing low-emission
and therefore boosting the number of
development strategies. This can be achieved
domestic and foreign investments in the
by consciously taking into consideration GHG
sector.
emissions in their development processes. A
primary focus would be the energy sector, c. Promote energy efficiency
where policy measures and programs based
on low-emission development strategies can LGUs can also adopt measures that
help communities shift to more sustainable promote more efficient energy
technologies and projects. consumption, for instance in work
areas, public buildings and settlement
a. Increase energy sourcing from sites. Energy efficiency should be
low-carbon and other clean energy considered in settlements planning,
technologies building design and construction, and
transportation.
The government should adopt measures
that promote a better energy mix, d. Explore and implement technology
INFRASTRUCTURE
thereby increasing energy sourcing research and funding mechanisms that
ISSUES include from low-carbon and other clean support small-scale renewable energy
limited water energy technologies. Identifying and projects
supply, underutilized mapping renewable energy resources
energy sources, It is necessary to develop appropriate
the stark absence
then become a key technical concern
of open spaces, for LGUs. With technical support, technology and financing in support of
gaps in waste local governments can pursue proper renewable energy for use by micro, small
management, and
the lack of transport
integration.
framework
and medium enterprises (MSMEs) and sound analyses of population growth and
cooperatives, as well as housing and infrastructure demand, climate change,
settlements development. This will help and disaster risk. In addition, it is necessary
reduce the demand for fossil fuel and to ensure sustainable financial investment
empower communities to produce, supply, by designing and implementing long-term
and manage renewable energy. drainage infrastructure projects.
Encouraging development of alternative c. Ensure use of local climate change

domestic power sources, to augment and disaster risks projections in
existing supply sourced from the grid, is also designing drainage networks and
imperative. related infrastructure
2.2.4.3 Drainage The Philippine Atmospheric, Geophysical

and Astronomical Services Administration
a. Build a comprehensive database of (PAGASA) 2020 and 2050 climate
drainage and waterways projections must be considered in all
drainage planning through constant
It is necessary to conduct a comprehensive coordination between the government and
mapping of natural waterways, drainage, the private sector.
and sewerage systems, including
waterways that have been built over.
Mapping natural waterways would assist 2.2.4.4 Waste management
planners in identifying blue and green
spaces for land use planning, as well as In line with the principle of spatially and
urban renewal and systems-upgrading thematically integrated settlements within
programs. coherent and efficient urban systems, the
following are key strategies to consider in
b. Improve public investment in establishing comprehensive and efficient solid
infrastructure for drainage networks and liquid waste management systems.
There is a need to improve public a. Encourage community-based waste

investment in infrastructure for drainage management programs
networks, sewerage systems, and water
As successful waste management is about
treatment plants, taking into consideration
influencing human behavior to respect
rules and to protect the environment
and the community’s welfare, local
governments will benefit most from
Successful waste community-based solid waste management

programs in accordance with applicable
management is about legislation and policies. This could also

involve providing incentives to community
influencing human stakeholders for using Material Recovery

Facilities, or for limiting garbage volume at
behavior to respect source. This is possible through advocacy

and education. Cities should also explore
rules and to protect the and develop composting and vermiculture

as waste byproducts, which can be used
environment and the for urban agriculture.
community’s welfare.
Meanwhile, citizens should be able to
review or reject proposals for industrial,
commercial, or residential projects that may
affect water systems.
36
framework
infrastructure and services, particularly

in urban waste management as well as
biosolid management for agriculture.
Coordinated site planning for sanitary
landfills is cost-efficient and effective given
land constraints in urban areas.
2.2.4.5 Information and

Communications Technology
The use of information and communications

technology (ICT), including social networking,
must be explored to further enhance the
transparency and accountability of urban
governance mechanisms, and to support an
integrated and efficient urban system. ICT
Photo @UN-Habitat
applications should also be considered in

improving urban data collection, retrieval, and
analysis.25 Actions that can be taken to this
end include:
a. Open up Investments in ICT

IMPROVING PUBLIC The NUDHF recommends a review of
INVESTMENT in b. Adopt modern technology and competition laws to open up investments
infrastructure for systems in monitoring solid waste in the telecommunications sector and
drainage networks,
management programs allow more service providers. This will
sewerage systems,
and water treatment The government must welcome the use address constraints arising from the current
plants is critical. of better technology to make waste duopoly26 set-up, which has hindered the
management more efficient, for instance entry of alternative service providers.
in monitoring of waste disposal activity,
scheduling, and volume tracking. Cities b. Establish a national broadband
are also encouraged to invest in alternative network infrastructure
green filtration systems and natural A national broadband network
filters to cleanse waterways, which can infrastructure would enhance public access
be part of the spatial strategy and urban to state services and global information
design – as in the case of endemic grass- that is free and open. Allowing the
wetland species used for gray waste government to establish its own broadband
water treatment systems in riverfront network in order to provide free public
development. This also complements Internet access is not in direct competition
resilience measures, and raises public to services offered by the private sector.
appreciation for better and more Rather, it will supplement areas that have
appropriate infrastructure systems. not yet been penetrated. Internet access
will no longer be a luxury for the few, but a
c. Develop inter-LGU coordinated basic right of citizens. It will also encourage
waste management plans for efficient greater community participation through
regional mobilization of resources. communication and connectivity.
Metropolitanization and similar
aggrupations can act as catalysts
in maximizing resources for public
25
UN-Habitat Philippines, Habitat III: The Philippines National Report (Manila,2016),117.
26
A duopoly is market capture of only two corporations essentially controlling service quality and pricing.
framework
The development of urban transportation

infrastructure must be anchored in three key
performance indicators:
The NUDHF advocates an • Efficiency: in transportation, this can be
integrated urban economy, measured in three ways - time, energy,

and cost.
one that incorporates • Sustainability: for transport development,
sustainable growth sustainability has three components –

environmental, economic, and social.
strategies as generally • Resilience: a resilient transport system is
suggested the CLUP

an absolute requirement for the protection
of communities.
guidelines. To ensure the best quality of life of the

community, as well as to enhance the
competitiveness of cities, there are three
requirements:
1. Improve the linkage between land use

c. Ensure access to government-owned and transportation systems.
data, including geospatial data, in
order to improve planning and ensure 2. Maintain a balance between
transparency and accountability in transportation-related energy use and
government services clean air.
The Internet is an equalizing tool for big
3. Encourage alternative modes of
data analysis and geospatial services,
transportation that enhance energy
which aids planners and decision-
efficiency, while providing high levels of
makers in crafting better development
mobility and safety.
strategies and recommendations. Online
government transactions and services Government should also facilitate inter-LGU
at the national and sub-national levels agreements for mass transit and freight
are also encouraged, along with full movement, particularly in anticipation of
implementation of open data policies to stepped-up trade in an economically unified
expedite the release of information in the Association of Southeast Asian Nations
public domain. (ASEAN) region. Infrastructure for the
movement of goods and people from key
d. Utilize ICT in the development
port cities throughout Mindanao, onwards
of smart cities and improvement of
to the Visayas and Luzon, is critical. Such
services to support transport and
regional interconnectivity should contemplate
disaster planning.
intermodal seamlessness—particularly for
GPS-enabled public transport utilities allow marine vessels and aircraft.
efficient monitoring and route planning.
Humanitarian logistics planning would
benefit from a connected city with real- 2.2.5 Urban Economy
time data access. and Finance
2.2.4.6 Ensure efficient and safe urban Urban economic growth and development aim
transportation infrastructure in support of to improve the quality of life of all people and
enhanced mobility contribute to national and local sustainable
development. It must be inclusive and
recognize the right of all to decent work and
38
framework
productive economic opportunities, including The NUDHF advocates an integrated urban

the informal economy. economy—one that incorporates sustainable
growth strategies as generally suggested in
The national government should promote an the Comprehensive Land Use Plan (CLUP)
enabling environment for local governments guidelines.
to have access to significant sources of tax
and non-tax revenues to achieve revenue To this end, systems-based economic models
sufficiency and diversity. A viable, strong, can be adopted to enhance forward and
and responsible fiscal position can fuel a backward economic linkages between and
municipality’s ability to deliver services to among key cities or metropolitan areas, and
its constituents and implement appropriate smaller cities and municipalities. Practical
strategies to achieve economic development. applications for the economy would be
The government must establish a framework value chain development of local economic
that enables LGUs to augment their financial activities, or cluster-based industrial
resources and access revenue-raising development approaches, which necessarily
instruments like borrowing, public–private influences urban form.
partnerships, and land-based financing
mechanisms. Looking at the economy from a systems
perspective should also lead to appropriate
interventions that enhance linkages and
ECONOMY: support economic growth areas, including:
focused improvement of the workforce to
support key industries as well as MSMEs;
2.2.5.1 Promote connectivity of economic better sourcing of production materials for
activities manufacturing; improvement of production
and distribution systems; and better transport-
The government should strive for balanced land use integration.
economic development that connects
progressive and lagging/depressed areas of 2.2.5.2 Provide key infrastructure
the country, while recognizing the strategic to support economic growth and
advantages and core competencies of urban development
centers and their role in overall national and
regional development. Adequate public investment in infrastructure
development is a key to facilitate vibrant
“Address the job and skill mismatch problem by

promoting better coordination between employers,
academe, and the government, and by strengthening
both public and private sector labor market
information and exchange institutions, especially at
the local levels.”
framework
businesses and communities in order to

move goods, services, and people, as well as
enhance connectivity and interconnectivity.
The provision of infrastructure within the

city is necessary to its efficient and equitable
functioning. Infrastructure development
is a necessary condition to make cities
competitive. Physical infrastructure needs to
be in place to provide basic urban services
such as electricity, water, communication,
and waste management facilities. Roads and
bridges, airports, and seaports should promote
connectivity in the movement of people,
goods, and services. Social infrastructure

and social services such as schools, hospitals,
shops, public transportation, police and
fire stations, and recreational facilities are
necessary to address the needs of all people
towards creating sustainable communities.
Promoting private sector investments,

partnerships, and new alliances is also
necessary. With a low level of investment e) Strengthening the capacity of local MICRO, SMALL,
at only 7% of GDP, the creation of an AND MEDIUM
governments to promote, manage and enterprises are a
investment-friendly and enabling environment monitor public-private partnerships; key economic
that would attract new investors is necessary growth area.
in order to encourage the private sector f) Building investors' trust by encouraging
to invest in local infrastructure and work local governments to improve their fiscal
in partnership with national and local performance; and
governments.
g) Maintaining peace and order.
Strategies to make cities competitive areas for
investment include:
2.2.5.3 Enhance competitiveness of the
a) Allowing easy access to land market workforce
information for new investors/locators in
identified growth centers or town centers, Maintaining and expanding a competitive
as delineated in the CLUP; workforce is key for a healthy economy. Main
challenges in urban economic development
b) Creating a special unit, such as an are: assisting cities in generating more
Investment Promotion Office within jobs and productive work opportunities;
the local government unit, to focus on enhancing existing jobs and livelihoods;
economic and investment promotion; and ensuring that all citizens have access to
income earning opportunities, all of which
c) Simplifying and streamlining rules and depend on the health of urban economies
regulations to decrease the time needed and inclusive processes. The Philippine Labor
to process business registration, as well as and Employment Plan 2011-2016 aimed
business entry and exit; at Inclusive Growth Through Decent and
Productive Work outlined the strategies
d) Providing appropriate and targeted to achieve these. Strategies to decrease
investment incentives; unemployment and enhance the employability
of the members of the workforce include the
following:
40
framework
a. Expanding of the Technical and one million unemployed persons are

Vocational Education and Training college graduates, it is essential for the
Commission on Higher Education (CHED)
Along with LGUs, the Technical Education to make an assessment of the existing
and Skills Development Authority (TESDA) curriculum and develop the appropriate
may implement community-based Technical courses that respond to current demand
and Vocational Education and Training for labor, as well as provide the foundation
programs, where the skills of the members for development goals.
of the labor force can be upgraded or
retooled. TESDA can also partner with the c. Enhance the Alternative Learning
private sector, considering the demand for System
labor in their particular enterprises.
The scope and coverage of the Department
b. Address Job and Skill Mismatch of Education Alternative Learning System
mode may be enhanced to build the
Address the job and skill mismatch problem capabilities and productive capacities
by promoting better coordination between especially of out of school youth and
employers, academia, and the government, adults who did not complete their basic
and by strengthening both public and education, in order to enhance their
private sector labor market information human capital and enable them to become
exchange and institutions, especially at the gainfully employed.
local levels.27
d. Implement the Philippine
Beyond matching educational qualifications Qualifications Framework
with the current demand for labor,
CITIZENS’ ACCESS
education programs should promote core The full implementation of the Philippine
to income earning Qualifications Framework will benefit
opportunities competencies, critical skills, and creativity
depends on the to support the economic and development various sectors and stakeholders of
health of urban thrusts and strategies of the country and education and training, particularly in:
economies and
inclusive processes.
local governments. Given that about
27
Department of Labor and Employment, Philippine Labor and Employment Plan 2011-2016 (Manila, 2011).
framework
• Encouraging lifelong learning of a. Strictly implement environmental laws

individuals; pertaining to operations of manufacturing
firms, especially in urban areas where
• Providing employers specific training manufacturing wastes and pollution
standards and qualifications that are directly affect a greater number of people
aligned to industry standards; and degrade already-stressed natural
ecosystems;
• Ensuring that training and educational
institutions adhere to specific standards b. Review existing technical, vocational,
and are accountable for achieving the and tertiary education curriculum to
same; and determine their compatibility with the
demand for manufacturing activities;
• Providing the government with common
standards, taxonomy and typology of c. Establish and strengthen rural-
qualifications as bases for granting urban linkages and value chains for
approvals to stakeholders.28 manufacturing activities; and
d. Apply innovative zoning to support the MISMATCH

2.2.5.4 Strengthen key economic sectors growth of the industry, while ensuring BETWEEN
EDUCATION and
environmental sustainability. This can industry demands,
A resilient and sustainable local economy include performance-based zoning diminishing raw
should be diversified and have a wide range of using energy, sustainable design, and materials for
business ranging from micro to small, medium handicrafts, and
environmental quality parameters within
and large enterprises. Local entrepreneurship environmental
special economic zones. degradation
and sustainable livelihoods should also
are some of the
characterize the local economy, including the challenges of the
informal economy. manufacturing
sector.
Manufacturing
Gross value added from manufacturing

amounted to about PHP 2 trillion from 2008
to 2013. Food manufacturing contributed
less than half (44%) of gross value added
for the sector. The other high contributors
to gross value of manufacturing included
the production of: radio, television and
communication equipment; petroleum
and other fuel products; and chemical
and chemical products. Nonetheless,
issues and concerns continue to pervade
the enhancement of the manufacturing
sector, including the lack of qualified
skilled manpower due to incompatibility of
educational qualifications with demand in
industrial firms, diminishing raw materials for
handicrafts manufacturing, and environmental
degradation due to manufacturing activities.
The following strategies may enhance the

manufacturing sector:
28
Executive Order No. 83, Series of 2012.
42
framework
Tourism
The number of tourist arrivals in the country

increased from 1.8 million in 2001 to 4.7
million in 2013, or at an average annual
ICT has become and will
growth rate of 8.5%. Total visitor receipts
likewise increased from USD 1,723 million in
continue to be an integral
2001 to USD 4,398 in 2013, at an average
growth rate of 11.7% per year. Despite
part of the day-to-day life
relatively high growth rates, the figures
are still way below the overall target of the
of every Filipino across all
Department of Tourism (DOT). The tourism
industry identifies several challenges,
levels of society.
including: the need to increase tourist arrivals
and receipts and improve tourism product
offerings; the lack of infrastructure in and
capacity of areas identified as venues for
meetings, incentives, conferencing, and Business Process Outsourcing
exhibitions; and the limited capacity of key
cities to simultaneously hold big international ICT has become and will continue to be an
events. integral part of the day-to-day life of every
Filipino across all levels of society. A key focus
Strategies to address this include the of the Philippine Digital Strategy 2011-2015
following: is the continued growth of the IT/business
process outsourcing industry and extending
a. Critically assess existing tourism assets, the benefits outside Metro Manila and Metro
including the costs and benefits of Cebu, so as to fast-track national development
investing in tourism infrastructure; and provide opportunities for investment and
jobs to other regions in the country. It also
b. Increase accessibility and connectivity provides a mechanism to enable MSMEs to
of existing and potential tourism develop their capacity to use the Internet as a
areas through physical infrastructure market expansion tool. Through public-private
development, especially airports, seaports, partnerships and investments in research and
roads and bridges, terminals, and other development, business incubation facilities
transportation facilities; will be encouraged. Lastly, this element will
focus on enabling other industry sectors in the
c. Build capacities of LGUs to optimize the
effective use of ICT for efficiency, innovation
strategic position of cities as transit hubs,
and competitiveness. The need to be prepared
and provide suitable facilities and amenities
and take on higher paying business process
such as accommodation, resort hotels,
outsourcing activities is a key concern if
lodging houses, and affordable sleeping
the intention is to increase compensation
quarters, as well as services that include
of workers. This, however, would require
well-trained tourist guides;
necessary skills. Another identified issue is
d. Improve telecommunications compliance of business process outsourcing
infrastructure and services to enable better establishments with existing labor laws,
marketing of tourism sites, i.e. through e.g., payment of appropriate wage rates for
social media; and workers under night shifts.
e. Provide strict guidelines for the

development of tourism areas, based on
environmental impact assessments, cost-
benefit and related economic analyses, and
centered on cultural acceptability.
framework
The following are strategies to address the

needs of the business process outsourcing BOX 12: WHAT ARE GREEN JOBS?
industry:
Green jobs include jobs that help to
a. Implement the Philippine Digital protect ecosystems and biodiversity,
Strategy developed by the ICT sector. This reduce energy, materials and water
includes “Broadband Internet access and consumption through high efficiency
integration of ICT in curriculum across strategies, decarbonize the economy, and
all levels of our education system will be minimize or altogether avoid generation
a priority to ensure that the shortfall of of all forms of waste and pollution. Green
a skilled workforce will be addressed, jobs are decent jobs that are productive,
thereby ensuring that our global respect the rights of workers, deliver a fair
leadership, particularly in the Business income, provide security in the workplace
Process Outsourcing /Knowledge Process and social protection for families, and
Outsourcing /Creative Process Outsourcing promote social dialogue. (Republic Act no.
sectors, will be sustained”; 10771, An Act Promoting the Creation
of Green Jobs, Granting Incentives and
b. Training more members of the workforce Appropriating Funds Therefor)
to take on higher paying business process
outsourcing activities such as software
publishing and motion picture, television, sources. More aggressive actions on designating
and video programs, among others; urban production areas could likewise be
explored and initiated in cities and towns, as
c. Encouraging students to take relevant rapid urbanization takes place.
courses to address the needs of business
process outsourcing; and/or elective 2.2.5.5 Support MSMEs
subjects in foreign language; and
In 2013, there were 915,726 establishments
d. Strict implementation of labor laws. in the Philippines. About 99.57% (911,768 ) of
them were MSMEs, and the remaining 3,847
or 0.4% were large enterprises. Most of the
Urban Agriculture MSMEs (89.63% ) were micro enterprises,
followed by small (9.5%), and medium (0.44%)
Urban areas and cities are highly vulnerable
enterprises.
to disruptions in food production from other
areas. As such, it is imperative to support Most of the MSMEs (46.13%) were in wholesale
rural agricultural development to ensure and retail trade, and repair of motor vehicles
sustained production of the country's basic and motorcycle industries. The rest were
agricultural and fisheries commodities, engaged in accommodation and food services;
coupled with the promotion of urban manufacturing; information and communication,
agriculture. Promoting urban agriculture financial and insurance; human health and social
would aid in ensuring food security in cities, work services; among others.29
noting that consumption is considerably the
highest in urban areas. MSMEs generated about 4,879,179 jobs in
2016, which constituted 63.3% of the total
Various programs and initiatives could employment generated by all the establishments
be launched to engage urban dwellers in the Philippines.
to maximize open and green spaces for
production by planting vegetables, fruits, and Therefore, it is imperative to strengthen support
other food crops. Where spaces are limited, for current programs for MSME development
rooftop gardens, vertical gardens, and small focusing on funding and equipment provision,
area gardening could help production of food ease of doing business, capacity-building,
Department of Trade and Industry, MSME Statistics, https://www.dti.gov.ph/dti/index.php/2014-04-02-03-40-26/news-room/179-workshopon-

29
market-access-for-MSMe-set.
44
framework
product design and development, and industry for trade, as well as with manufacturing
prioritization. firms, for the provision of raw materials
or intermediate goods for processing. It is
Strategies to increase and sustain the also necessary to maximize benefits from
productivity and income of operators of free trade agreements such as those with
MSMEs are the following: the European Union and the U.S., which
provide tariff reductions and greater access
Capability building of MSME operators
to their markets.
The government may provide assistance
Organization of micro and small
to MSMEs, especially the micro and
enterprises
small enterprises in the form of business
training on entrepreneurship, product It would be advantageous for operators or
development, market matching and owners of micro and small enterprises to
development, and organization building. organize into associations or cooperatives
in order to link with potential markets for
Provision of access to financial sources
products. These organizations may also
In addition, providing access to finance serve as conduits for support services from
can also help MSMEs expand business the government or other organizations. A
operations, particularly micro-enterprises. possible measure includes the promotion
The government may open a special loan of shared service facilities, which
window to provide financial assistance could provide MSMEs with machinery,
to MSMEs. Another strategy to enhance equipment,skills, and knowledge under
access to finance is through the provision a shared system. This would serve to
of non-collateral loans. Inspiring examples enhance MSMEs development by focusing
would be those of the Grameen Bank on increasing competitiveness through the
model in Bangladesh, and the CARD SME application of quality and productive tools,
Bank in the Philippines. as well as targeted marketing approaches.
Linking MSMEs with the market

2.2.5.6 Provide support to the
It is essential to link with the potential informal sector IN 2013, 99.57% of
market for products of MSMES. This establishments were
There were 10.4 million informal sector MSMEs, majority of
entails looking at the potential tie-ups
operators based on the 2008 Informal which were micro
with huge wholesale and retail stores enterprises.
Photo @UN-Habitat
framework
Sector Survey of the Philippines. Of these, Strategies aimed to mainstream the informal
9.1 million were self-employed, while 1.3 sector focus on the following:
million were employers in family-operated
farms or businesses. Informal sector operators a. Inclusion in the business operations
were mostly in agriculture (48%) and recognition system, at least at the
services (45%), and the rest (7%) in industry. barangay level;
Those in services were predominantly in:
wholesale and retail trade; repair of motor b. Organization of informal sector
vehicles, motorcycles and personal and operators to serve as a participatory
household goods; and transport, storage and mechanism for government support and
communications. Most of the informal sector other forms of engagement;
operators were in Calabarzon, Central Luzon,
c. Expansion of microfinance and
and Western Visayas.
entrepreneurship support; and
An enabling environment that recognizes and
d. Provision of support for those who
THE INFORMAL supports the working poor in the informal
intend to transition from the informal to
SECTOR—with economy as legitimate actors in the economic
agriculture 48%, formal sector.
development process should be promoted.
services 45%, and
the rest 7%—is Urban economic growth and development
intrinsic to everyday should enable, not destroy, informal 2.2.5.7 Promote and support green
community life. livelihoods. industries
Taking a proactive stance on urban resilience,

the government now also recognizes certain
advantages that a changing climate brings.
This includes a more active pursuit of a
green economy. The Green Jobs Act of 2016
espouses a low-carbon and resource-efficient
economy, which will result in “the generation
of green jobs and in improved human well-
being and social equity, while significantly
reducing environmental risks and ecological
scarcities.”30
Urban economy must be aligned with and

further expand on such goals. This can be
done by providing incentives to business
enterprises that generate and sustain green
jobs, goods and services, and technologies,
or engage in low-emission development.
Local governments can also prioritize green
industries in land use allocation and urban
design, by incorporating performance
standards for business enterprises in the CLUP
Photo @UN-Habitat
and Zoning Ordinance.
The renewable energy sector carries great

potential, as it addresses sustainability issues
by tapping resources that have limited
30
46
framework
impact on the environment, and leads to the e. Maintaining a healthy peaceful and
creation of green jobs for sustainable work. orderly situation in the area.
Women in particular have the potential to be
trained as photovoltaic31 technicians in green
industries. This upgrades skills, improves their LOCAL FINANCE
livelihoods and their families’ well-being, while
contributing to the production of renewable LGUs are largely dependent on tax revenues to
sources. 32 meet their financial requirements. From 2005
to 2013, 88% of the total income of LGUs
2.2.5.8 Increase investments came from Internal Revenue Allotment (IRA).
Only 7% of total income were from operating
Total investment in the Philippines from both and miscellaneous revenues. For the same
local and foreign sources amounted to period, income from tax revenues increased at
PhP 2,742 billion from 2010 to 2013. Of an annual average growth rate of 9%. Income
these, 64% and 36% were from Filipino and from operating and miscellaneous revenues
foreign investors, respectively. The biggest grew at a higher rate of 12%. About three-
shares in total investment were for electricity, fourths of the total income was spent by the
gas, steam and air conditioning supply (31%), LGUs for personal services and maintenance
manufacturing (29%), and real estate (18%). and other operating expenses.
This level of investment in the Philippines is
considered low, which approximates only 7% The dependence of LGUs on their share in
of the country’s GDP. taxation or IRA poses a financial constraint
to finance development projects identified in
The crucial role of more investments in driving their local development plans.
sustainable economic growth cannot be
overemphasized. The creation of a responsive Local finance systems comprise the following
and investment-friendly environment that four key components: expenditures, revenues,
would attract new investors is necessary to fiscal management, and borrowing. The
enhance the private sector to engage in new relative strength or weakness of these
business ventures. Strategies to make cities components determines whether a local
competitive areas for investment include: government is able to deliver public goods
a. Making land available for new investors/

locators in identified growth centers or Figure 5. Total Approved Investment in
town centers, as delineated in the CLUP; the Philippines, 2010–2013
b. Creation of a special unit such as 800,000.0
an Investment Promotion Office within
700,000.0
the local government unit to focus on
Total Approved Investment
economic promotion; 600,000.0

(in million pesos)
500,000.0
c. Simplification and streamlining of rules
400,000.0
and regulations to decrease time period
to process business registration, as well as 300,000.0
business entry and exit; 200,000.0
100,000.0
d. Provision of incentives for new investors;
and 0.0
2010 2011 2012 2013
YEAR
Source: Philippine Statistics Authority
31
Photovoltaic – method for generating electric power by using solar cells to gather energy from the sun into a flow of electrons.
32
United Nations Development Programme, Human Development Report 2015: Work for Human Development (New York, 2015).
framework
BOX 13: THE NEW MARKETS TAX CREDIT PROGRAM – A U.S. EXAMPLE
The U.S. implements the New Markets Tax Credit Program. It incentivizes community development and
economic growth through the use of tax credits that attract private investment to distressed communities,
by permitting individual and corporate investors to receive a tax credit against their federal income tax
in exchange for making equity investments in specialized financial intermediaries called Community
Development Entities. Through the New Markets Tax Credit Program, the Community Development
Institutions Fund under the Department of Treasury allocates tax credit authority to Community Development
Entities through a competitive application process. Community Development Entities are financial
intermediaries through which private capital flows from an investor to a qualified business located in a low-
income community. They use their authority to offer tax credits to investors in exchange for equity in the
Community Development Entity. Using the capital from these equity investments, Community Development
Entities can make loans and investments to businesses operating in low-income communities on better rates
and terms and more flexible features than the market.
The New Markets Tax Credit Program has supported a wide range of businesses including manufacturing,
food, retail, housing, health, technology, energy, education, and childcare. Communities benefit from the
jobs associated with these investments, as well as greater access to community facilities and commercial
goods and services. Since 2003, the New Markets Tax Credit Program has created or retained an estimated
197,585 jobs. It has also supported the construction of 32.4 million square feet of manufacturing space,
74.8 million square feet of office space, and 57.5 million square feet of retail space. In addition, as these
communities develop, they become even more attractive to investors, catalyzing a ripple effect that spurs
further investments .and revitalization.
and services to meet the basic needs and On Revenues:

preferences of its population, as well as its
ability to influence and provide strategies While the Local Government Code and
towards sustainable urban economic growth relevant laws have devolved the authority
and development. to collect local taxes, to set rates, and to
control assessments of tax bases to local
Strategies to increase revenue generation and governments, local governments can
improve the financial capability of the LGUs further improve their knowledge on how to
are presented below. understand, value, and develop strategies to
expand and improve their tax and revenue
On Expenditures: base.
2.2.5.9 Improve expenditure efficiency 2.2.5.11 Improve the tax collection system
and structure
Strengthened or improved incentives of local
officials can improve expenditure efficiency Measures to improve tax collection system by
through performance-based grants or through LGUs may include preparing and maintaining
cooperative agreements like consolidating a good database on real properties, and
delivery of services or sharing infrastructure. aggressive information on the need of paying
Responsive budgeting, which links planning real property taxes and online services and
and budgeting within the same cycle, must outsourcing on tax collection services.
continuously be promoted and implemented.
2.2.5.12 Update land valuation system as
2.2.5.10 Promote transparency basis for real property taxation
Promote transparency in financial transactions Updating the land values of real properties
that allow auditing of local budgets and is another measure to increase tax collection
financial transactions. among LGUs. Updating the market values
48
framework
would require a comprehensive database of of infrastructure and other services. The

real property taxpayers and GIS-enabled real partnerships come in various forms to include
property maps or cadastral maps. the build-operate-transfer (BOT) scheme and
its variations, and joint venture agreements
2.2.5.13 Implement idle lands tax between the government (national and/
or local) with private entities, among other
Income from the imposition of idle lands modalities, in the implementation of key
tax may significantly add to the coffers of infrastructure projects of the government.
LGUs. The idle lands tax is an additional
imposition of 5% on the assessed value of A key strategy to enhance PPP in the planning
lands considered as idle.33 The objectives of and implementation of government projects
this special levy are to promote efficient and is the removal of bureaucratic red tape to
optimum utilization of land for the overall hasten the process of approval of proposed
benefit of society, and to prevent the practice projects. In addition, “progressive” LGUs
of speculative holding of land. It also serves may be encouraged to implement income-
as a regulatory device to influence the pattern generating projects such as public market,
and direction of development in accordance convention centers, parking buildings through
with the desired urban form. It is inevitable the modalities of PPP.
to strictly impose idle lands tax and special
assessment tax and appropriate sanctions On Fiscal Management:
based on applicable laws.
Adopt modern financial management tools
2.2.5.14 Adopt and implement land-based to enable cities to manage and budget for
financing mechanisms capital asset costs efficiently, maintain asset
inventories and adopt modern asset valuation
LGUs can use a host of land-based practices. Sound monitoring arrangements
revenue-generating mechanisms to meet to track key financial metrics and encourage
expenditures and direct spatial growth. Land soundness and transparency in accounting
value capture tools enable local officials should be in place and allow regular and
to mobilize for public benefit all or part timely audits.
of the increases in land value that result
from community investments rather than
the actions of landowners. An example of
this mechanism is the benefit levy, which
is a special levy on taxable real property
that benefited—in the form of increased
land values—from the implementation of
government projects, whether these are new
LGUs can use a host of
constructions or improvements on existing
ones. The imposition of this tax will allow local
land-based revenue-generating
governments to recover some of the cost of
the project.
mechanisms to meet
2.2.5.15 Enhance public-private
expenditures and direct spatial
partnerships
growth.
Public-private partnerships (PPPs) encompass
a range of possible relationships among
public and private entities in the context
33
Republic Act No. 7160 (1991), sec. 236-239.
framework
Photo @UN-Habitat
THE BALANCED 2.2.5.16 Institutionalize participatory On Borrowings:

HOUSING budgeting
DEVELOPMENT
2.2.5.17 Develop and strengthen a robust
REQUIREMENT
that developers Grassroots participatory budgeting process local government debt market
contribute 20% of (formerly called bottom-up budgeting or
a subdivision’s area BUB) is an approach to budget proposal Support credit guarantees or other credit
or cost equivalent to enhancements to facilitate favorable
preparation of national line agencies. It
socialized housing
takes into consideration the development borrowing by national and local government
is one type of
developer exaction. needs of cities and municipalities based on to close financing gaps for infrastructure and
Such requirements consultations with the basic sector and other strategic priority programs.
can be leveraged
civil society organizations, and as identified in
for planned
city extension their respective local poverty reduction action
implementation. plans. This is a strategy to ensure the inclusion 2.2.6 Public Administration, Urban
of the development needs as identified in the Governance and Management
budget proposal of participating government
line agencies. Urban governance serves, in some respects,
to tie in all the preceding strategies towards
The allocation for bottom-up budgeting sustainable urban development and housing.
amounted to PHP 20.9 billion in the fiscal Because it is expected that many users of
year of 2015. Of this amount, Regions VII and the NUDHF will be elected and appointed
VIII got the highest allocation (9.1% each), government officials or other similarly-
followed by Region IV-A and Region V, and placed decision makers, it is important to
Region III (8% each). Regions that obtained point out that the NUDHF is a particularly
the lowest proportion were NCR and the well-informed reference regarding current
ARMM (1% each). urban development and housing-related
issues in the Philippines. The framework
The BUB may also serve as another source should be consulted for specific concerns
of funds for local projects should the new voiced by a wide spectrum of stakeholders,
national leadership decide to continue so that decisions can hopefully be crafted
this initiative.
50
framework
that are responsive to problems cited and While this framework can only describe and
aspirations declared. suggest in broad strokes what should be
done in terms of government actions within a
The NUDHF emphasizes that inclusive, limited, foreseeable period, it has been written
informed, fair, consistent and timely urban to provide the users enough material to direct
governance and management are essential towards more in-depth investigation at finer
for the success of Philippine urban systems. scales of planning and implementation.
The rule of law and the availability of
high-quality information, as implemented
by officials, government professional 2.2.6.1 Harmonize legal frameworks and
staff, and technical personnel makes the administrative hierarchies to improve
difference between a dynamic, safe city policy implementation, government
and one that is unpredictable and less service administration, and development
stable. Moreover, comprehensive and timely opportunities
legal and administrative support shall be
necessary to prioritize approaches to city- Government administers the national territory
building, which can be seen for example in simultaneously at different scales. This NUDHF
the implementation of relevant legislation, guides the development and administration of
along with mainstreaming of the sustainable that same territory, with or without the help
development knowledge in educational of various non-governmental partners. Hence,
curricula, consistent with the principles of government always falls back on some sort of
resilience and integration. basic hierarchy, which has physical and legal
BOX 14: DIFFERENT FORMS OF LAND-BASED FINANCE

Real property taxes should link public revenues with the increasing value of land in the Planned City
Extension (PCE) approach. It is important for LGUs to work with provinces to ensure that real property
tax ordinances are adequate to enable land value sharing. Additionally, accurate valuation and successful
administration resulting in good coverage and collection ratios will be important for the real property tax to
serve its function.
Idle land tax is an additional property tax that can be used to discourage speculation in the PCE area and
encourage the productive use of land.
Developer exactions are one-time contributions from developers (in the form of money, land, or
improvements) required for building permissions. The Balanced Housing Development Requirement that
developers contribute 20% of a subdivision’s area or cost equivalent to socialized housing is one type of
developer exaction. Such requirements can be leveraged for PCE implementation.
Special levies (sometimes called betterment levies) can be used to charge landowners directly for some of
the costs of public improvements that will raise the value of their land. Section 240 of the Local Government
Code specifies that up to 60% of project costs can be charged to benefiting properties, to be paid in
installments over a 5–10 year period.
Land leases and sales of publicly owned land allow for the LGU to generate revenue in a large lump sum
(sale) or in relationship with value over time (lease) to pay for public improvements. Reliable valuation is
necessary for leasing. Open public auction is the best technique for ensuring transparency and maximizing
revenue generation of sales.
These instruments hold potential for successful PCE implementation and financial feasibility.
More related publications on http://www.gltn.net/index.php/land-tools/themes/land-based-financing
framework
Table 3: Spatial Division of Labor Among Government Units
General Category of Basis in Law or Legitimate State/

Specifically Named Entity
Government Unit Sub-state Policy or Jurisprudence
1. Non-political entities [i] HUDCC and HLURB E.O. 648, E.O. 90, R.A. 7279,
for planning or related E.O. 72, M.C. 54, E.O. 124,
purposes that guide or
influence development in [ii] NEDA E.O.230 of 1987, Memo. Order 222
of 1994 [Execom]
a spatial context
[iii] MMDA R.A.7924
[iv] DPWH E.O.124 of 1987
[v] LRA (under DOJ) E.O.292 of 197; M.C.30 Sept. 1998
[vi] DA E.O 116 of 1987
[vii] DAR R.A.6657 of 1988, E.O.129-A, 1987
2. Political or quasi- [i] LGU (Province, HUC, City, Municipality, R.A.7160

political spatial Barangay)
entities (with electoral
representation) that have [ii] Congressional District 1987 Constitution
territorial jurisdiction [iii] ARMM R.A.9054, 1987 Constitution
[iv] CAR E.O.220 of 1987
3. Spatial regions that [i] AFP 1987 Constitution

have special significance,
unique value, or need [ii] BCDA R.A.7227 of 1992, 7917 of 1995,
special institutional 9400 of 2007
oversight [iii] LLDA R.A.4859
[iv] PRRC E.O.54 of 1999
[v] Intramuros Administration P.D.1616 of 1979
[vi] PEZA R.A.7916 of 1995, R.A. 8748 of 1999
4. Utility agencies that [i] MWSS R.A.6234 of 1971

use space for technical
connectivity or mobility [ii] LWUA P.D.198 of 1973
[iii] NWRB P.D.424 of 1974, E.O.124-A of 1987
[iv] DOE R.A.7638 of 1992
5. Regulatory agencies [i] HUDCC and attached agencies E.O. 90 of 1986 + various others
that govern aspects of
private sector and civil [ii] DILG R.A.6975 of 1990, E.O.262 of 1987
society activity in space
[iii] DENR E.O.192 of 1987
[iv] NCIP R.A.8371 of 1997
[v] NIA R.A.3601 of 1963, P.D.552 of 1974,
P.D.1702 of 1980
6. Land-related financing [i] BSP B.P.61 of 1980, P.D.1801 of 1981
[ii] LBP R.A.3844 of 1963
[iii] DBP E.O.81 of 1986, R.A.8523 of 1988
[iv] SHFC R.A.7835 of 1994
52
framework
presence throughout the archipelago. Proper • National Government Agency and LGU.
urban development requires the decision- As a general rule, the national government
maker to have a good understanding of which agency shall prevail only to the minimum
parts of government have responsibility over degree of justifiable intervention, providing
which segments of the state’s physical space. as well that the LGU constituents are
consulted or informed beforehand,
It is inevitable that some overlap takes except in emergencies when reasonable
place in implementing policy, administering action must be taken to save lives and
government services, and extending prevent catastrophe (e.g. evacuation from
development opportunities. This is not natural disaster). Examples might include
necessarily to be avoided, as some degree of occasional jurisdictional conflicts between
redundancy is always necessary as a back-up the Metropolitan Manila Development
in case of (1) failure or suspension of local Authority (MMDA) and Metro Manila LGUs
authority due to civil strife or election-related over traffic or planning-related matters,
disputes, compelling national government to or between the Philippine Economic
take over, (2) natural calamities that prevent or Zone Authority (PEZA) and LGUs over the
destroy the capability of local and proximate activities of commercial locators and their
GOVERNMENT forces to respond adequately, and, conversely, associates. In such cases, rational and
ADMINISTERS the (3) failure or delay of national government non-confrontational methods are best
national territory due to acute political or technical problems employed for conflict resolution.
simultaneously at in the capital region, thus compelling local
different scales. This
NUDHF guides the governments to sustain basic politico- • Cluster of LGUs and Single LGU. Again,
development and administrative functions. Nevertheless, since the majority is expected to prevail in this
administration of the passage of the Local Government Code, case, provided that the cluster itself has
that same territory, there has been a strong impetus towards legal personality, or some other basis in law
with or without
the help of various empowering LGUs to self-govern. Hence, this to push for a development decision or a
non-governmental framework suggests the following protocol for development veto. The Local Government
partners. such cases: Code recognizes and encourages LGU
associations, especially for the common
welfare.
• LGU and Peer (Same Level) LGU.

This matter should be settled amicably
between LGUs; otherwise it will have to be
referred for arbitration to the appropriate
government agency (e.g. Department
of Environment and Natural Resources
[DENR] and Department of Justice [DOJ]
for boundary disputes, or Department of
Interior and Local Government [DILG] for
spillovers of nuisance). As a last resort,
LGUs may settle the case in court.
• LGU and Subordinate LGU. Normally,

the hierarchy should be respected here,
with the umbrella, or encompassing entity
prevailing. However, inability to resolve or
address disputes fairly or the persistence of
a legitimate grievance may be raised by the
lesser entity with DILG or the appropriate
Photo @Ormoc LGU
executive agency. As a last resort, LGUs

may settle the case in court.
• National Government Agency or LGU

and Extra-Territorial Entity. In unusual or
framework
BOX 15: LAND AND SEA USE DIMENSION

There have been instances of neighboring countries' fishing fleets that have fished in Philippine waters,
or agents that have extracted natural resources under circumstances that place local communities at a
disadvantage. In other cases, non-stage groups have historically been known to occupy small areas of
Philippine territory (e.g. 2013 siege of Zamboanga in Mindanao). Such cases, which have a land and sea use
dimension, must be referred to the appropriate national agency, including, at the highest level, the Office of
the President and the Department of Foreign Affairs, and so on.
rare cases, issues of urban governance may LGUs in acquiring technologies for improved
include either a foreign group, corporation, knowledge management.
or occupying force.
• National Law and National Law, with 2.2.6.3 Clarify, review and update
Different Implementing Entities. In a few institutional mandates
cases, conflicts may inadvertently arise
when new laws fail to revise or account for The HUDCC, along with its Key Shelter
overlapping provisions from old laws. Agencies (KSAs), must broaden its scope to
coordinate urban development management,
in order to meet the objectives and goals
outlined in the updated NUDHF. In the
The National Building Code (P.D.1096 of 1977) clearly places absence of budget control and resource
responsibility for appointing building officials with the allocation powers, however, HUDCC
DPWH. However, the Local Government Code designates is inherently weak as the coordinative
the Municipal/City Engineer as the Building Official, thus mechanism at the national level, and
introducing a potential, if not actual, conflict in appointing presents a strong case for the formation of a
authority. Such matters should be referred to the courts, or Department of Human Settlements and Urban
compared against past jurisprudence or resolution. Development. The proposed Department of
Human Settlements and Urban Development34
is a positive move toward a Cabinet level
department. This will provide a clearer
• National government and global mandate, not only on housing, but more
agreements and commitments consistent importantly on urban development.
with international agreement signed/
ratified by the Philippine government.
2.2.6.4 Formalize LGU associations,
functional clusters, or other supra-local
2.2.6.2 Institutionalize the review, administrative authorities/arrangement
monitoring and evaluation of urban
In rapidly urbanizing cities and regions,
development policies, plans, and programs
it is sometimes necessary to reconfigure
Both national and local government must present governance structures or form new
conduct a continuous review of legislation, administrative arrangements, especially where
policies and programs on urban development two or more adjacent LGUs have grown to
and housing. This requires output and form a physically agglomerated mass, to
outcome monitoring and ground validation, as address the cross-border problems such as
well as employing quantitative and qualitative traffic, flooding, crime, and garbage in the de
assessments. Support must be given to facto metropolis. This administrative solution
can either be the result of consensus from
34
“A new approach to the housing problem,” Business Mirror, December 15, 2015, www.businessmirror.com.ph.
54
framework
LGU peers, or legislated. The intention is to managed) so that they perform their
plan urban growth in a manner that generates functions. Public spaces should cater to
sustained benefits for all. collective political, democratic expression
as an input to urban governance. Social
In the context of disaster risk reduction and inclusion is enhanced through community
for climate change action, the watershed/ participation especially of vulnerable groups.
river basin area can be the basis of functional Public spaces facilitate this interaction,
clustering. extending community participation even
to action planning, housing decisions and
2.2.6.5 Manage public spaces as venues for neighborhood connectivity.35
participatory governance
Placemaking, the “deliberate re-shaping
As aligned with strategies under Planning of the built environment to facilitate social
and Design, Infrastructure, and following the interaction and improve quality of life”,36
principle of inclusivity, urban management also should be further explored by local
should ensure that public spaces are well-
maintained (i.e. adequately funded and
Figure 6. Major River Basins Map
2017-2022
35
Philippine New Urban Agenda (October 2016).
36
Ibid.
framework
collaboration between private and public

As both an overarching idea and a hands-on approach for sector organizations. Partnership is enabled
improving a neighborhood, city, or region, placemaking through Build-Operate-and-Transfer Law,37 as
inspires people to collectively reimagine and reinvent public well as through the Government Procurement
spaces as the heart of every community. Intertwined with Reform Act of 2002,38 among other relevant
placemaking is the goal of supporting local governments legislation. A significant part of governance in
in creating and promoting socially inclusive, integrated, this respect is to ensure that a relatively stable
connected, environmentally sustainable, and safe streets and secure investment environment exists
and public spaces, especially for the most vulnerable. in the LGU, so that businessmen become
Towards this, the agenda of placemaking – to create quality willing to risk their funds in anticipation of
public spaces that contribute to people’s health, happiness, reasonable returns.
and wellbeing – should be more vigorously pursued.
(Philippine New Urban Agenda, October 2016) But while the private sector, consisting
essentially of better-capitalized business
entities, has the capacity to leverage large
amounts of funds and well-educated human
resources in order to solve developmental
problems, the government nevertheless has
governments to encourage a more inclusive
to ensure that not all areas are given over
urban design process.
to profit-driven motives. For instance, the
2.2.6.6 Operationalize People-Public- UDHA contains a balanced housing provision
Private Partnerships that requires private developers to allocate
a minimum of 20% of subdivisions for
Formal government cannot take on the socialized housing (i.e. low-cost housing for
complex tasks of nation-building alone. In the poorest).
order to build and respond comprehensively
to the needs of the populace, the private Simultaneously, civil society groups,
sector and civil society should be co-opted collectively also called the non-profit sector,
as partners at the local, sub-national, and largely consisting of NGOs and people’s
national levels. Consistent with the strategies organizations, are likewise essential in order to
on economic development, people-public- fill gaps in development. They are sometimes
private partnerships should be part of able to obtain substantial funds from donors
the governance mechanism, to promote for civic projects such as the construction
sustainable economic activity, encourage of community wells, refuges, clinics,
continuous research and technology transfer neighborhood sports facilities, bicycle paths,
to the community, and strengthen transparent plant nurseries, etc. They may initiate and
Various environmental groups organize yearly

tree-plantings, coastal and river cleanups, and
similar activities that cumulatively benefit the
urban environment.
37
38
56
framework
sustain various programs to assist the youth, implementation, and monitoring and
the elderly, indigenous peoples, and other vital evaluation; (b) project planning, development
sectors. NGOs and the like, however, not only and management; (c) planning-programming-
compensate for the shortcomings of formal budgeting linkage, and (d) public financial
government or the private sector; they also management, among other concerns.
point out new and alternative directions for
development. For instance, a sustained global Sending the staff of concerned LGUs to formal
civil society lobby has been largely responsible education (graduate studies) and advanced
for the gains of anti-smoking campaigns in training (if applicable) may capacitate them to
every country, while in the Philippines, various perform more tasks to address the changing
environmental groups organize yearly tree- needs of the times. At the national level,
plantings, coastal and river cleanups, and technical staff must be continuously trained in
similar activities that cumulatively benefit the policy, program development and knowledge
urban environment. management.
2.2.6.7 Ensure urban safety and security 2.2.6.10 Strengthen local/decentralized

governance mechanisms as the core of
Man-made hazards, risks, and crime, usually urban governance and management
solved using police presence and emergency
response, can also be addressed through Maintaining the decentralized governance
greater community participation and structure will allow local governments to
awareness of safety and security issues. Better assume accountability and responsibility for
urban planning and urban design will also pursuing general welfare, delivering services
provide tangible solutions to urban risks, from to the community, and achieving sustainable
the household and street level up to citywide urban development, all of which fall within
safety and security measures. the jurisdiction of an LGU.39
2.2.6.8 Enforce delineation and protection This entails policy reforms to address
of special areas such as protected areas, structural deficiencies, improve local
prime agriculture areas, key biodiversity financial management, and sustain capacity
areas, critical habitats, heritage areas, development programs. Vertical and
ancestral domains horizontal integration will facilitate and
encourage actions consistent with LGU plans
Consistent with the strategy on urban and higher-level plans and programs.
planning and design, government must clearly
delineate, map, and protect special areas such 2.2.6.11 Ensure ethical and effective local
as critical habitats, and prime agricultural and leadership for safe, resilient, sustainable,
heritage areas. Enforcing protection helps and inclusive cities
government and stakeholders in managing
urban growth within the bounds of the Government leaders should be competent,
ecosystem. It will also benefit the urban ethical, and able to demonstrate innovative
system by helping achieve food security, and effective urban governance. They must
increase biodiversity, and contribute to climate adhere to applicable codes of conduct and
change action and disaster risk reduction. emulate good practices. Local chief executives
should be accountable for developing and
2.2.6.9 Capacitate the staff at all levels of implementing plans, considering their power
government to implement laws and public policies.
It is essential to build capacities of LGU staff National government should further

in the following aspects: (a) plan preparation, enhance its programs to incentivize good
Every parcel of land and municipal waters, except for exclusive reservations of the national government, e.g. special economic zones and
39
military bases.
framework
BOX 16: FUNCTIONAL METROPOLITAN AREAS OUTSIDE OF METRO MANILA

In the Philippines, only Metropolitan Manila, consisting of 17 Local Government Units, has historically
been created by official declaration (Presidential Decree 824 of 1975). There have been, however, several
other viable Regional Development Councils that function as planning and policy advisory bodies,
especially under the guidance of NEDA offices, and have evolved into some form of metropolitan body.
Examples are the following, including composition:
Metropolitan LGU Composition Approximate Approximate

Area Land Area (sq.km.) Population
(2015)
Metro Angeles Angeles, Bacolor, Mabalacat, Porac, 596 1,132,933
San Fernando
Metro Bacolod Bacolod, Silay, Talisay 857 791,019
Metro Baguio Baguio, La Trinidad, Itogon, Sablan, 1,094 611,316
Tuba, Tublay
Metro Batangas Batangas City, Bauan, San Pascual 386 486,595
Metro Cagayan Cagayan de Oro City, Alubijid, 1,690 1,376,343
de Oro Claveria, El Salvador City, Gitagum,
Jasaan, Laguindingan, Opol,
Tagoloan, Villanueva, Baungon,
Libona, Malitbog, Manolo Fortich,
Sumilao, Talakag
Metro Cebu Cebu City, Carcar, Compostela, 1,163 2,849,213
Consolacion, Cordova, Danao,
Lapu-Lapu, Liloan, Mandaue,
Minglanilla, Naga, San Fernando,
Talisay
Metro Dagupan Calasiao, Mangaldan, Dagupan 134 372,756
Metro Davao Davao City, Digos, Panabo, Island 4,041 2,516,216
Garden City of Samal, Santa Cruz,
Carmen, Tagum
Metro Iloilo- Iloilo City, Guimaras Province, 1,105 946,146
Guimaras Leganes, Oton, Pavia, San Miguel,
Santa Barbara.
Metro Naga Naga, Bombon, Bula, Calabanga, 1,242 799,955
Camaligan, Canaman, Gainza,
Magarao, Milaor, Minalabac,
Ocampo, Pamplona, Pasacao, Pili,
San Fernando
Metro Olongapo Olongapo, Subic 472 337,811
Source: https://web.archive.org/web/20131004221432/http://www.neda.gov.ph/devpulse/pdf_files/Devpulse%20factsheet%20
-%20Aug%2030%20issue.pdf
https://ipfs.io/ipfs/QmXoypizjW3WknFiJnKLwHCnL72vedxjQkDDP1mXWo6uco/wiki/List_of_metropolitan_areas_in_the_Philippines.
html#cite_note-metro-1
58
framework
Figure 7. The Local Government Unit as the

Spatial Focus of Urban Governance
HLURB DILG DENR DSWD DPWH DOTr
LGU
Other LGUs and
Groupings of LGUs or
BRGY BRGY Metropolitan / Regional
Government
BRGY
governance, and provide technical support 2.2.7 Philippine Urban Development

and advice, continuing professional leadership and Prospects for Integration
development. If well-meaning leadership is
in the Association of Southeast
properly guided by technical support and the
advice, urban governance can be expected to Asian Nations (ASEAN) Economic
contribute to the improvement of Philippine Community: Priority Areas for
cities and municipalities. International Region Linkages
2.2.6.12 Improve coordination and The opening and integration of ASEAN markets
collaboration among agencies concerned can be seen as a call to wider inclusiveness and
with urban development and housing integration, consistent with the principles of this
framework.
While there is already a higher level of
coordination than in past years, agencies such In order to capture the opportunities related to
as HUDCC and Key Shelter Agencies, DENR, ASEAN integration, the NUDHF proposes the
Department of Agriculture (DA), Department following broad strategies, for implementation in
of Agrarian Reform (DAR), National urban areas and urbanizing rural areas, and with
Commission on Indigenous Peoples (NCIP), which local plans should resonate.
DOJ and PEZA, will need closer engagement.
One significant step to do this is to begin
constructing and unifying essential databases 2.2.7.1 Focus investment climate
on land and land-based resources, among improvements, geospatial preparations,
other possible actions that tackle problematic as well as social and health safeguards in
areas such as informal settlements, lands still strategic nodes of trade
subject to agrarian reform, mining areas vs.
It is important to identify areas that may become
indigenous peoples’ claims, disputed lands
strategic nodes for trade and interaction in the
and waters. Possible restructuring of shelter
foreseeable ASEAN Economic Community. Due
agencies must be seriously considered, such
to either proximity or accumulated infrastructure
as the creation of the Department of Human
and experience, the following cities or clusters of
Settlements and Urban Development.
framework
cities should figure in any plans for setting up for seaborne access to ports in Indonesia,
ASEAN supply chains: specifically on the islands of Sulawesi and the
Moluccas. There is also potential for forming
Metropolitan Manila and key ports regular linkage with other ports in Indonesia.
around Manila Bay
Due to the presence of relatively substantial 2.2.7.2 Invest in post-production facilities

port facilities, quarantine, customs functions such as waste management and support
and adjacency to strong markets, Metro services for locators
Manila is likely to remain a major trading
center of the Philippines, with respect to An expected magnification of the market
ASEAN imports and exports. Some collateral which allows for more throughput of material
simultaneous trading, warehousing, or wealth all around ASEAN is also likely to result
secondary markets, however, may be formally in heavier environmental and social impacts.
established as a network in other coastal The byproducts of highly-urbanized, consumer
settlements. Major candidates include the societies throughout Asia will necessitate
naval port in Kawit, Cavite, as well as the the provision of more Materials Recovery
small port in Mariveles, Bataan. Facilities and Sanitary Landfills, at least in the
Philippines. IT-related refuse should also be
Metro Cebu and key ports in intercepted for extraction of precious metals
adjacent islands and other recyclables. This may be done in
key cities throughout the archipelago, or may
As another major port that already has even be planned as a specialized function
substantial infrastructure in place, Cebu for Special Economic Zones servicing (and
City is likely to play a major role in trade charging fees for) the entire ASEAN.
with other ASEAN countries, especially as
air transportation more quickly accesses In similar manner, the designation of certain
other major cities abroad like Singapore and cities as key production areas or transshipment
Bangkok. nodes will likely cause the growth of many
urban support services. One important
Puerto Princesa and subordinate government-regulated activity here is the
ports in Palawan provision of safe and affordable housing
for blue-collar workers as well as high-end
Puerto Princesa uniquely has coastlines on housing for expatriates and foreign workers
both the western and eastern side of Palawan who will need Internet connectivity and, along
Island, although the exposed western side is with other residents, areas for shopping and
not yet developed for a full-service port. This recreation.
is one area for strategic trade access—a good
opportunity to assert civilian presence through While most of these facilities are a normal
economic activities. part of urban development concerns, they
will need to be planned more carefully and
Zamboanga City and Isabela City, Basilan integrated more seamlessly, if the Philippines is
to become an attractive location of choice for
Due to their proximity to Malaysian ports (e.g.
investors and significant economic activities
in Sandakan and Kota Kinabalu), these urban
serving ASEAN. The failure to provide basic
areas can be further developed or redeveloped
utilities (e.g. reliable water and electricity
to link to the terrestrial and nautical highways
connections) and services (hospitals, police
that eventually link Malaysia to Singapore and
stations, schools, parks) at acceptable
mainland Southeast Asia.
international standards will prevent or delay
General Santos City the accession of the Philippines to a truly
integrated pan-Southeast Asian community.
Already a bustling fishing and cargo port,
this city is the most logical proximate choice
60
framework
National government
should further enhance its
programs to incentivize
good governance, and
provide technical support
and advice, continuing
professional leadership
development.
framework
Table 4: Examples of Managerial Responsibilities

for Institutions at the Local Level
Growth Sector or Affirmative or Spatial Expression Negative or Spatial Expression

Aspect Supportive Acts Preventive Acts
1. Social Educate all citizens; Schools, low-cost Punish criminality Warning signs, no
protect minorities and the housing, facilities and drugs; enclaves/ghettos,
poor; provide housing for special needs, discourage public space
more functioning unsociable behavior
public closed-circuit (e.g. offensive and
television (CCTV) boisterous speech;
cameras that enable unjust segregation
tanods/police to along religious or
respond quickly ethnic lines)
2. Economic Promote sustainable Markets, zones for Prevent monopolies Free passage in
business; create jobs for investment; safe and price ports and highways
most people central business information blocks;
districts (CBDs), dismantle cartels.
warehouses
3.Institutional/ Build effective Government Eliminate corruption Reliable public

Financial government facilities; complexes; outposts in bureaucracy service signage;
build emergency shelters no areas that
seem unserved by
government
4. Physical Provide and regularly Roads, all utilities, Ban certain Clean and safe
maintain infrastructure bridges, IT web materials, fence off built-up areas
hazard sites
5. Environmental Maintain integrity of air, A beautiful and clean Mitigate pollution; Sanitary landfills;
water, and land environment reduce garbage less blight/ smog
6. Transport Provide mass transit Bus rapid transits Prevent traffic Traffic devices
(BRTs) or trains run
7. Heritage Identify and preserve Iconic monuments, Violations in Clear view corridors
heritage sites old tourist sites heritage sites and approaches
should be penalized
8. Water Security Build dams, pipe systems, Dams, filtration, Clamp down on Efficient water use
and water retention and sewers, irrigation water wastage technologies
storage facilities
* Special Non-government agencies Built structures and Remove conflicting Climate change
Concerns/ and LGUs are frontrunners reliable groups for land/water uses and action/DRRM
Others for climate change action 24/7 climate change address unprepared prepared sites
and DRRM action and DRRM sites (need
response assistance)
Promote and focus
building flagship projects Executed flagship
projects with high
quality workmanship
62
framework
Figure 8. Countries That Make Up the ASEAN Community, To Be Integrated by 2020
Source: ID 40294386 © Parradii Kaewpensri | Dreamstime.com
2.2.7.3 Improve in-city internal systems • Utilities. Reliable and affordable power
and other infrastructure necessary for generation is a must for round-the-clock
integration commercial transactions. Also, potable
water and sewerage management systems
Integration will mean being able to raise are essential for the urban centers that are
urban living standards to comparable linked across Southeast Asia.
levels with the current best of Southeast
Asia. In terms of efficiency and safety, • Transportation. Air transport for
Singaporean and Malaysian urban areas could passengers and freight will be quite
be considered comparable in their living important and necessary for the rapid
standards to developed, western countries. To movement of raw materials and finished
plan for and implement infrastructure similar products. Some standardization of
to what the best of Southeast Asia currently identification, packaging, and quality
has, one would have to design for both local control across ASEAN should be expected.
and national scales, which include:
• Offices for Quality Control and
• A safe, secure, and affordable ICT ASEAN Harmonization. This is a possible
backbone or appropriate Internet institutional add-on feature, pursuant to
infrastructure for the whole archipelago. stipulations in the integration documents
The hardware for this always has spatial to harmonize several items: agriculture
anchors in specific physical sites, and and aquaculture product safety, harmful
requires trained personnel to manage. substance controls, labeling, database
standards, rules for investment, etc.
MAINSTREAMING
AND HORIZONTAL
INTEGRATION
Photo @Tagum City Government
It is important for the achievement of the 3.1 POLICY AND PROGRAM

NUDHF vision that its principles and strategies RECOMMENDATIONS
are absorbed by and integrated into the plans
and programs of the government and its The NUDHF will substantively guide the
partners in development. development of policies concerning urban
development and housing, and provide inputs
HLURB sees the NUDHF as the main guiding to policies of related sectors. The strategies
framework or legal basis in land use planning, presented in the previous chapter bring to fore
real estate management, and other related necessary policy and program enhancements,
HLURB mandates. It will also serve as a guide updates or amendments, which can be
for the review of CLUP, particularly how applied at different levels of government.
the framework’s principles and strategies These will enrich ongoing actions and provide
are reflected in the plans of cities and support for the achievement of the country’s
municipalities. Furthermore, it will serve as vision for sustainable urban development.
a main reference document in the conduct
of technical assistance and training for local Table 5 shows the overview of NUDHF
government. strategies with corresponding policy
and program implications, as well as the
Given the foregoing principles and their framework principles and the Sustainable
corresponding strategies, this chapter now Development Goals (SDGs) that they intend to
discusses implications for long-term policy achieve.
reform.
64
Mainstreaming and horizontal integration
Table 5: Overview of NUDHF Strategies and Related Policies, Programs, and SDGs
Potential Policy and Program Key Framework Principles

Strategy SDGs
Implications (see Chapter 2.1.2)
Urban Planning and Design
Fully operationalize 1. Use and implementation of 3. Spatially and sectorally

ridge-to-reef/ Housing and Land Use Regulatory integrated settlements
integrated Board (HLURB) Guidelines within coherent and efficient
ecosystems planning including Implementing Rules urban systems and forms
and Regulations (IRRs) on Batas
Pambansa 220 (BP 220) and 6. Sustainable urban
Presidential Decree 957 (PD environment as a core
957) Subdivision Guidelines, development condition
Farmlot Guidelines, and Industrial
and Commercial Guidelines to
consider ecosystems and climate
and disaster resilience.
2. Consideration of the ridge-to-reef

planning/integrated watershed
planning approach in regional,
provincial, and other special plans.
3. Requirement for barangays to

consider the larger ecosystem in
barangay-level plans.
4. Updating of planning/landscape
architecture/urban design/
engineering curricula to include
ridge-to-reef planning/integrated
watershed planning.
5. Enforcement of the protection

of special areas such as protected
areas, prime agriculture areas, key
biodiversity areas, critical habitats,
heritage areas, and ancestral
domains.
Strengthen the 1. Review and updating of the 2. Climate change resilience

mainstreaming National Climate Change Action as a base for spatial and
of disaster risk Plan (NCCAP), taking into full sectoral development
reduction and consideration the spatial context
management of climate change.
(DRRM) planning
and climate change 2. Continuous enhancement of
action planning with Local Climate Change Adaptation
spatial and sectoral Plan (LCCAP) guides for local
development government units (LGUs) to
planning integrate climate change and
disaster risk reduction (DRR)
concerns.
MAINSTREAMING AND HORIZONTAL INTEGRATION

Strategy SDGs
Design barangays 1. Inclusion of the physical structure 1. Urbanization as catalyst

and neighborhoods of the barangay unit in the Local for inclusive growth
in terms of human Government Code.
scale and walkability 3. Spatially and sectorally
2. Barangay-level plans to include integrated settlements
physical structure. within coherent and efficient
urban systems and forms
3. Inclusion of barangay-
level walkability in HLURB 5. People’s participation
Comprehensive Land Use Plan and empowerment as
(CLUP) guidebooks, as well as the foundation of urban
consideration of human scale governance, facilitating
urban design by the physical sustainable resource use,
design. planning, management, and
finance
4. Updating of planning/urban
design/architecture/engineering
curricula to include the barangay
unit, form based codes and
transect zoning.
Promote adequate 1. Establishment of a network 2. Climate change resilience

networks of public of open spaces that includes as a base for spatial and
open spaces considerations of the National sectoral development
Integrated Protected Areas System
(NIPAS) and environmentally 3. Spatially and sectorally
critical areas, where applicable. integrated settlements
within coherent and efficient
2. Requirement of LGUs by the Local urban systems and forms
Government Code to plan
and provide public open space 4. Urban spaces as platforms
networks. for social and economic
opportunity, cultural
3. Inclusion in HLURB CLUP expression, and innovation
guidebooks of open space
networks in the social and 6. Sustainable urban
infrastructure sectors. environment as a core
development condition
4. Provision of parks and urban
agriculture, and conversion of
easements into green corridors
and green streets, in the BP
220 and PD 957 Subdivision
Guidelines, HLURB Farmlot
Guidelines, and Industrial and
Commercial Guidelines.
66

Strategy SDGs
Consider the water 1. Enforcement, review, and 2. Climate change resilience
cycle in urban updating of the following if as a base for spatial and
planning and design necessary: sectoral development
• Climate Change Act
• Disaster Risk Reduction and 3. Spatially and sectorally
Management Act integrated settlements
• Ecological Solid Waste within coherent and efficient
Management Act urban systems and forms
• Clean Water Act
• Environmental Code
• National Building Code
• Sanitation Codes
2. Inclusion of water-sensitive urban

planning and design in HLURB
CLUP guidebooks.
3. Updating of planning/
landscape architecture/urban
design/engineering curricula to
include open space networks,
sustainability and water sensitive
urban design.
Promote compact 1. Updating of the CLUP and 1. Urbanization as catalyst

development, mixed Comprehensive Development for inclusive growth
land use, and social Plan (CDP) guidebooks to ensure
mix inclusion of planning approaches 2. Climate change resilience
related to compact development, as a base for spatial and
mixed land use, and social mix. sectoral development
3. Spatially and sectorally

integrated settlements
4. Urban spaces as platforms

for social and economic
expression, and innovation
5. People’s participation
and empowerment as
foundation of urban
governance, facilitating
sustainable resource use,
planning, management, and
finance
6. Sustainable urban
environment as a core

Strategy SDGs
Integrate mobility 1. Integration of transport planning 1. Urbanization as catalyst
and transport in CLUP and CDP guidebooks. for inclusive growth
planning in land use
planning 2. Harmonization of policies of 2. Climate change resilience
NEDA, DOTr, DPWH, DILG, as a base for spatial and
HLURB, HUDCC, MMDA, and sectoral development
other relevant agencies relative to
mobility and land use planning: 3. Spatially and sectorally
• Prioritization of the pedestrian integrated settlements
rather than the vehicle within coherent and efficient
• Consideration of land use, urban systems and forms
circulation, connection, and
barangay/district units 4. Urban spaces as platforms
• Abandoning of the boundary for social and economic
system, issuing individual opportunity, cultural
franchises instead; the expression, and innovation
determination of the routes
by the government and the out
and empowerment as
bidding of these to new
foundation of urban
franchises or existing franchises
who will abide by the new
operations
• Ceasing of the office of the
finance
mayor being the issuer of
tricycle permits 6. Sustainable urban
3. Updating of the BP 220 and
PD 957 Subdivision Guidelines,
HLURB Farmlot Guidelines,
and Industrial and Commercial
Guidelines to integrate mobility
and land use.
4. Updating of the National Building

Code to:
• prioritize pedestrians: parking
locations/entrances/service
entrances should not be at the
main road
• reduce parking capacities at
buildings in areas served by
public transport
• integrate pedestrian walkways
in buildings
• integrate land use/circulation
5. Updating of planning/landscape
architecture /urban design/
engineering curricula to include
land use/circulation integration.
68

Strategy SDGs
Utilize adaptive 1. Updating of CLUP and CDP 1. Urbanization as catalyst
reuse and urban guidebooks to include adaptive for inclusive growth
infill to optimize reuse and urban infill.
existing spaces and 3. Spatially and sectorally
structures in built-up 2. Reviewing and updating of the integrated settlements
areas following if necessary: BP 220 and within coherent and efficient
PD 957 Subdivision Guidelines, urban systems and forms
HLURB Farmlot Guidelines,
Industrial and Commercial 4. Urban spaces as platforms
Guidelines. for social and economic
3. Updating of incentives of expression, and innovation
national agencies (e.g. DILG,
National Commission for Culture
and the Arts [NCCA]) for LGUs
incorporating adaptive reuse and
urban infill.
4. Drafting of adaptive reuse

guidelines for heritage sites by the
NCCA/National Historical Institute
(NHI)
5. Reviewing and updating of

the National Building Code
and Structural Code to include
adaptive reuse guidelines.
6. Updating of the planning/

landscape architecture/urban
design/engineering curricula to
include adaptive reuse and urban
infill.

Strategy SDGs
Promote planned 1. Inclusion In the NEDA guidelines 1. Urbanization as catalyst
urban expansion as of a requirement for provincial for inclusive growth
a means to control local governments to designate
urban sprawl urban growth management 2. Climate change resilience
policies to strengthen physical as a base for spatial and
aspect of the Provincial sectoral development
Development and Physical
Framework Plan. 3. Spatially and sectorally
2. Inclusion of the full concept of within coherent and efficient
planned urban expansion in the urban systems and forms
HLURB Development Control
Guide. 4. Urban spaces as platforms
3. Updating of the public opportunity, cultural
administration/planning/landscape expression, and innovation
architecture/urban design/
engineering curricula to include 5. People’s participation
growth management policies. and empowerment as
foundation of urban
finance
Extend capacity 1. Ensuring by national housing and 2. Climate change resilience

development planning agencies of required as a base for spatial and
programs and manpower and financial resources sectoral development
projects to integrate in providing capacity building
the reduction of programs for placemaking for 3. Spatially and sectorally
GHG emissions at LGUs. integrated settlements
the local planning within coherent and efficient
level – CLUP, CDP 2. Financial and institutional support urban systems and forms
and LCCAP for innovation hubs to operate.
and empowerment as
foundation of urban
finance
70

Strategy SDGs
Housing
Develop inclusive, 1. Review of the Urban 1. Urbanization as catalyst
integrated housing Development and Housing Act for inclusive growth
for possible enhancements and/
or amendments in keeping with 3. Spatially and sectorally
current and emerging housing integrated settlements
concerns. within coherent and efficient
2. Updating of the CLUP and
CDP guidelines to emphasize 4. Urban spaces as platforms
implementation of inclusive for social and economic
and integrated housing, as opportunity, cultural
well as socially inclusive and expression, and innovation
interconnected cities with
improved mobility. 5. People’s participation
and empowerment as
3. Review of building standards. foundation of urban
finance
Operationalize the 1. Update of the Implementing 1. Urbanization as catalyst

National Informal Rules and Regulations of the for inclusive growth
Settlements Urban Development and Housing
Upgrading Strategy Act (UDHA IRR) for resettlement. 3. Spatially and sectorally
2. Strengthening of mandates of within coherent and efficient
Key Shelter Agencies through urban systems and forms
national legislation.
3. Development of information, and empowerment as
education, and communication foundation of urban
(IEC) initiatives on family/ governance, facilitating
household options for tenurial sustainable resource use,
instruments. planning, management, and
finance
4. Development of clear government
policy on cost recovery, especially
for post-disaster housing and
resettlement projects.

Strategy SDGs
Improve affordability 1. Review of the HUDCC template 1. Urbanization as catalyst
of housing programs on affordability analysis in the Local for inclusive growth
and projects Shelter Plan (LSP).
2. Update of the Comprehensive and integrated settlements
Integrated Shelter Financing Act to within coherent and efficient
consider the following: urban systems and forms
• Low-cost public rental or
ownership housing 5. People’s participation
• Mortgage revenue bonds (MRBs) and empowerment as
• MRBs for rent or ownership foundation of urban
• LGU/private sector partnership for governance, facilitating
public rental housing sustainable resource use,
finance
Promote resilient 1. Update of the National Building 1. Urbanization as catalyst

housing Code and Structural Code to for inclusive growth
include climate change adaptive
design and construction methods, 2. Climate change resilience
tools and material. as a base for spatial and
sectoral development


and empowerment as
foundation of urban
finance
72

Strategy SDGs
Enforce balanced Development of guidelines for 1. Urbanization as catalyst
housing provision of compliance to the 15% and 5% for inclusive growth
the UDHA socialized housing requirement.
Update appropriate Inclusion of updated standards for 1. Urbanization as catalyst

housing unit size housing unit size in the National for inclusive growth
requirements based Building Code and Structural
on local context Code. 2. Climate change resilience
as a base for spatial and


and empowerment as
foundation of urban
finance

Strategy SDGs
Make land available 1. Adoption of land banking by Key 1. Urbanization as catalyst
and accessible for Shelter Agencies and LGUs for for inclusive growth
housing socialized housing.
2. Inventory of available government integrated settlements
lands for socialized housing, within coherent and efficient
e.g. foreclosed properties. urban systems and forms
3. Enforcement of idle land tax. 4. Urban spaces as platforms

4. Provision of policy and technical opportunity, cultural
guidance on land pooling/ expression, and innovation
readjustment, betterment levies,
land value sharing, and other land 6. Sustainable urban
management approaches. environment as a core
Promote local 1. Enhancement of national and 1. Urbanization as catalyst

shelter planning to local institutional capacity in for inclusive growth
encourage broad- urban planning and management,
based participation as well as LSP preparation and 2. Climate change resilience
and ensure implementation. as a base for spatial and
implementation of sectoral development
housing and land 2. Ensuring that the LSP is consistent
strategies with the mandated plans of the 3. Spatially and sectorally
local government (CLUP, CDP). integrated settlements
3. Use of the LSP as a venue to urban systems and forms
expand housing concepts and
options within an overall shelter 4. Urban spaces as platforms
frame of government, including for social and economic
the following: opportunity, cultural
• long-term lease expression, and innovation
• public rental housing
• housing to informal settlers as 5. People’s participation
well as to underserved, low and empowerment as
salaried employees or tax-payers foundation of urban
living marginally just above the governance, facilitating
official poverty line. sustainable resource use,
finance
74

Strategy SDGs
INFRASTRUCTURE
Water and Sanitation
Streamline policies 1. Updating of policies to shorten 2. Climate change resilience
and improve the water permit application as a base for spatial and
the regulatory process. Review of the permit sectoral development
framework to ensure requirements of the National
sustainable water Water Resources Board (NWRB) 3. Spatially and sectorally
security in urban and Metropolitan Water integrated settlements
areas Reclamation District Board within coherent and efficient
(MWRDB) from the Department urban systems and forms
of Environment and Natural
Resources (DENR), Laguna 6. Sustainable urban
Lake Development Authority environment as a core
(LLDA), LGUs, etc. to improve development condition
government clearance and permit
processes. Review of guidelines
for allowing private sector water
concessionaires using ground
water resources.
2. Enforcement, review, and update

of the CLUP guidelines to reflect
focus on the following:
• delineating contested boundaries

of watersheds for conservation
management, including
consolidating the regulatory
jurisdictions of different national
government agencies, regional
agencies, and provincial and local
government units;
• delineating local water concession
zones in the context of watershed
areas;
• review of water utility projects
in accordance with watershed
management plans.

Strategy SDGs
Promote and support 1. Increase in budget allocations 2. Climate change resilience
innovative water for research and development, as a base for spatial and
and sanitation and technology transfers for sectoral development
technologies the Department of Science and
Technology (DOST) and NWRB (as 3. Spatially and sectorally
per Water Code). integrated settlements
2. Development of incentives for urban systems and forms
innovation through intellectual
property patent support and/ 6. Sustainable urban
or grants, and through the environment as a core
Commission on Higher Education development condition
(CHED) and DOST.
3. Establishment of open database

management and development
of monitoring and evaluation
systems for water and sanitation
should be led by DOST and the
Department of Information and
Communications Technology
(DICT).
Support financing 1. Development of policy that 2. Climate change resilience

for climate and enables the Public-Private as a base for spatial and
disaster-resilient Partnership Center to support sectoral development
water and sanitation local governments in developing
infrastructure metropolitan or regional proposals 3. Spatially and sectorally
for public-private partnerships in integrated settlements
water and sanitation; localization within coherent and efficient
of public-private partnership urban systems and forms
project feasibility studies to
support local initiatives. 6. Sustainable urban
2. Requirement of a comprehensive development condition
city/municipal infrastructure
and service improvement plan
in the CLUP and CDP as a
basis for funding and support
from provincial and national
government.
3. Provision of credit facilities for

climate and disaster resilient
infrastructure projects by the
People’s Survival Fund (PSF),
Landbank, Development Bank of
the Philippines (DBP), Department
of Finance (DOF), and other
government financial institutions
including local development
funding organizations.
76

Strategy SDGs
Strengthen local 1. Localizing infrastructure 2. Climate change resilience
government improvement and service provision as a base for spatial and
capacity on water through community contracts sectoral development
and sanitation and self-help development
governance projects should be led by the 5. People’s participation
Department of Social Welfare and empowerment as
and Development (DSWD) and foundation of urban
Bottom-up Budgeting (BUB)/ governance, facilitating
Assistance to Disadvantaged sustainable resource use,
Municipalities (ADM). planning, management, and
finance
2. Provision of capacity building
programs and alternative learning
platforms for DILG’s Salintubig
Program.
ENERGY
Increase energy 1.Development of locational criteria 2. Climate change resilience
sourcing from and guidelines for local renewable as a base for spatial and
low-carbon and energy investments plans and sectoral development
other clean energy assistance to LGUs in energy land
technologies use suitability identification by the 6. Sustainable urban
Department of Energy (DOE) and environment as a core
HLURB. development condition
Streamline 1. Review of legislation on 2. Climate change resilience

procedures for ownership and competition. as a base for spatial and
development of sectoral development
renewable energy 2. Review of business processes and
projects, to improve development of incentives by the 5. People’s participation
ease of doing Department of Trade and Industry and empowerment as
business (DTI), Securities and Exchange foundation of urban
Commission (SEC), DENR, governance, facilitating
DOE, National Commission on sustainable resource use,
Indigenous Peoples (NCIP), HLURB planning, management, and
finance

Strategy SDGs
Promote energy Enforcement, review, and update of 2. Climate change resilience
efficiency the following if necessary: as a base for spatial and
• Renewable Energy Act sectoral development
• Biofuels Act
• Green Jobs Act 5. People’s participation
• Local and international green and empowerment as
building standards foundation of urban
• DOE Program on energy efficiency governance, facilitating
finance
Explore and 1. Exploration and implementation 2. Climate change resilience

implement of research and funding as a base for spatial and
technology research mechanisms by the PSF, Landbank, sectoral development
and funding DBP, DOF, and other government
mechanisms that financial institutions, and local 5. People’s participation
support small-scale development funds. and empowerment as
renewable energy foundation of urban
projects 2. Development of capacity governance, facilitating
development programs by DOST sustainable resource use,
for micro, small, and medium planning, management, and
enterprises (MSMEs), cooperatives, finance
people’s organizations, etc.
DRAINAGE
Improve public 1. Improvement of the National 2. Climate change resilience
investment in Mapping and Resource as a base for spatial and
infrastructure for Information Authority (NAMRIA)’s sectoral development
drainage networks capacity for comprehensive
mapping of natural waterways. 3. Spatially and sectorally
2. Public-private partnerships and within coherent and efficient
DPWH to focus on financing urban systems and forms
drainage projects.
78

Strategy SDGs
Select and finance BUB/Assistance to Disadvantaged 3. Spatially and sectorally
infrastructure Municipalities (ADM) to localize integrated settlements
development infrastructure improvement within coherent and efficient
through community- and service provision through urban systems and forms
driven budgeting community contracts and self-help
processes for development projects. 5. People’s participation
drainage projects and empowerment as
foundation of urban
finance
Ensure use of local Enhancement of technical assistance 2. Climate change resilience

climate change and capacity development programs as a base for spatial and
projections and to enable LGUs to access the sectoral development
disaster risks in PSF for drainage-related climate
designing drainage change projects by the Philippine 3. Spatially and sectorally
networks and related Atmospheric, Geophysical and integrated settlements
infrastructure Astronomical Services (PAGASA), within coherent and efficient
Climate Change Commission (CCC), urban systems and forms
and other national government
agencies (NGAs). 4. Urban spaces as platforms
WASTE MANAGEMENT
Encourage 1. Establishment of multi-agency 2. Climate change resilience
community based cluster coordination committees as a base for spatial and
waste management for community-based solid waste sectoral development
programs management programs.
2. Possible amendment to and empowerment as
the Ecological Solid Waste foundation of urban
Management Act to include governance, facilitating
permanent budget allocation sustainable resource use,
for MRFs and review provisions planning, management, and
classifying toxic domestic wastes. finance
3. Review of the Environmental 6. Sustainable urban

Impact Assessment (EIA) system to environment as a core
strengthen financing mechanisms development condition
for community-led environmental
monitoring.

Strategy SDGs
Develop inter-LGU 1. Amendments to the Ecological 2. Climate change resilience
coordinated waste Solid Waste Management Act as a base for spatial and
management plans to allow common solid waste sectoral development
for efficient regional management facilities among
mobilization of clustered LGUs. 3. Spatially and sectorally
resources; Adapt integrated settlements
modern technology 2. National support to LGUs in within coherent and efficient
and systems in developing Local Solid Waste urban systems and forms
monitoring waste Management Plans (LSWMPs)
management and site suitability analysis for 5. People’s participation
programs potential sanitary landfills. and empowerment as
foundation of urban
finance
INFORMATION AND COMMUNICATIONS TECHNOLOGY (ICT)

Open up Investments 1. Review of rules on foreign direct 3. Spatially and sectorally
in ICT investments in ICT. integrated settlements
2. Enforcement of the Philippine urban systems and forms
Competition Act.
Establish a national Update of locational guidelines for 3. Spatially and sectorally

broadband network utility site planning by the DICT integrated settlements
infrastructure with HLURB. within coherent and efficient
and empowerment as
foundation of urban
finance
80

Strategy SDGs
Encourage Development of IEC program by 3. Spatially and sectorally
community DICT. integrated settlements
participation through within coherent and efficient
communication and urban systems and forms
connectivity
and empowerment as
foundation of urban
finance
Ensure access to Strengthening of data.gov.ph 3. Spatially and sectorally

government-owned by DICT, National Mapping and integrated settlements
data, including Resource Information Authority within coherent and efficient
geospatial data (NAMRIA), DILG, HLURB, Philippines urban systems and forms
Statistics Authority (PSA), DOST,
PAGASA, and DENR. 5. People’s participation
and empowerment as
foundation of urban
finance

Strategy SDGs
TRANSPORTATION
Promote efficient 1. Crafting of a Local Public 1. Urbanization as catalyst
urban transportation Transport Route Plan for inclusive growth
infrastructure (consolidation of operators) under
DOTr. 2. Climate change resilience
2. Public utility vehicle (PUV) sectoral development
Modernization Program (including
bus rapid transit and jeepney 3. Spatially and sectorally
modernization). integrated settlements
3. Review and update of the CLUP urban systems and forms
and CDP guidebooks as necessary.
and empowerment as
foundation of urban
finance
82

Strategy SDGs
URBAN ECONOMY AND FINANCE
ECONOMY
Promote connectivity 1. Technical guidance on adopting 1. Urbanization as catalyst
of economic network/system models for for inclusive growth
activities economic activity (to reflect rural-
urban integration). 2. Climate change resilience
2. Review and update of the CLUP, sectoral development
CDP, Provincial Development and
Physical Framework Plan (PDPFP), 3. Spatially and sectorally
and Regional Development Plan. integrated settlements

and empowerment as
foundation of urban
finance

Strategy SDGs
Provide key Coordination among the DPWH, 1. Urbanization as catalyst
infrastructure to DOTr, HLURB, and HUDCC in the for inclusive growth
support economic provision of key infrastructure.
growth and 2. Climate change resilience
development as a base for spatial and


and empowerment as
foundation of urban
finance
84

Strategy SDGs
Enhance 1. Enforcement, review, and update 1. Urbanization as catalyst
competitiveness of of the following as necessary: for inclusive growth
the workforce
• Labor Code 2. Climate change resilience
• Green Jobs Act as a base for spatial and
• Philippine Labor and Employment sectoral development
Plan
2. Department of Labor and integrated settlements
Employment (DOLE): within coherent and efficient
• Assessment of the Philippine labor
market 4. Urban spaces as platforms
• Employment profile for social and economic
• Matching jobs with educational opportunity, cultural
qualifications expression, and innovation
• Assessment of the curricular
offerings vis-à-vis the labor market 5. People’s participation
• Skills requirement for job and empowerment as
opportunities foundation of urban
3. Adoption of a program sustainable resource use,
monitoring and evaluation system. planning, management, and
finance
4. Adoption of the Philippine
Qualifications Framework. 6. Sustainable urban

Strategy SDGs
Strengthen key 1. Increase of technical capacity 1. Urbanization as catalyst
economic sectors for needed focus on one of the for inclusive growth
CLUP’s Special Area Studies: green
growth, including value chain 2. Climate change resilience
assessment and planning. as a base for spatial and
2. Review, development, and
localization of guidelines, the 3. Spatially and sectorally
Climate Change Act, and the integrated settlements
DRRM Act. within coherent and efficient
3. Establishment of enterprise
innovation centers. 4. Urban spaces as platforms
4. Strengthening of the International opportunity, cultural
Organization for Standardization expression, and innovation
(ISO) certification.
5. Enforcement of the Green Jobs and empowerment as
Act. foundation of urban
finance
Support micro, 1. Enforce, review, and update of 1. Urbanization as catalyst

small, and medium the following as necessary: for inclusive growth
enterprises (MSMEs)
• Magna Carta for MSME 4. Urban spaces as platforms
• Barangay Micro Business for social and economic
Enterprise Act opportunity, cultural
• MSME Development Plan expression, and innovation
• Go Negosyo Act
2. Implementation and and empowerment as
enhancement of lending/ foundation of urban
microfinance programs by the governance, facilitating
Cooperative Development sustainable resource use,
Authority (CDA) and DTI, planning, management, and
e.g. Pondo sa Pagbabago at finance
Pag-asenso Program.
86

Strategy SDGs
Provide support to 1. Review of business registration 1. Urbanization as catalyst
the informal sector systems at the barangay level to for inclusive growth
integrate informal.
2. Climate change resilience
2. Exploration of mechanisms as a base for spatial and
to enable organization of and sectoral development
engagement with informal sector
operators by the CDA and DTI. 3. Spatially and sectorally

and empowerment as
foundation of urban
finance

Strategy SDGs
Promote and support 1. Enforcement of the Green Jobs 1. Urbanization as catalyst
green industries Act. for inclusive growth
2. Review of the CLUP (i.e. Green 2. Climate change resilience

Growth) and CDP guidelines, and as a base for spatial and
other national and subnational sectoral development
guidelines to ensure integration
of low-emission and resource- 3. Spatially and sectorally
efficient economic and industrial integrated settlements
development principles and within coherent and efficient
actions, as well as the provision urban systems and forms
of assistance with the transition
from informal to formal sector. 4. Urban spaces as platforms
and empowerment as
foundation of urban
finance
Increase investments Review of fiscal incentives as well 1. Urbanization as catalyst

as other types of incentives for for inclusive growth
new investors at the national and
local levels. 3. Spatially and sectorally

and empowerment as
foundation of urban
finance
88

Strategy SDGs
Improve expenditure 1. Update of the Department of 4. Urban spaces as platforms
efficiency Finance (DOF)–Bureau of Local for social and economic
Government Finance Manuals: opportunity, cultural
• Local Public Financial
Management Tools for the 5. People’s participation
Electronic Statement of Receipts and empowerment as
and Expenditures foundation of urban
• Local Treasury Operations governance, facilitating
Manual sustainable resource use,
2. Provision of capacity finance
development/training to LGUs
(conducted by DOF and/or the
Local Government Academy
[LGA]).
3. Strengthening of capacity
development on CLUP-CDP-Local
Development Investment Program
process/cycle.
Promote 1. Capacity development for 4. Urban spaces as platforms

transparency in Commission on Audit. for social and economic
financial transactions opportunity, cultural
that allow auditing 2. Capacity development for the expression, and innovation
of local budgets and establishment of local budget and
financial transactions information systems that promote 5. People’s participation
transparency. and empowerment as
foundation of urban
. governance, facilitating
finance
Improve the tax 1. Inclusion of tax mapping in 4. Urban spaces as platforms

collection system technical assistance/capacity for social and economic
and structure development for local GIS. opportunity, cultural
2. Review and update of the Tax
Code and Local Government 5. People’s participation
Code (LGC). and empowerment as
foundation of urban
finance

Strategy SDGs
Update land 1. Update of the DOF–Bureau 3. Spatially and sectorally
valuation system of Local Government Finance integrated settlements
as basis for real Manuals: within coherent and efficient
property taxation urban systems and forms
• Manual on Real Property
Appraisal and Assessment 4. Urban spaces as platforms
Operations for social and economic
• Philippine Valuation Standards opportunity, cultural
Manual expression, and innovation
2.Provision of capacity development/ 5. People’s participation

training for LGUs (conducted by and empowerment as
DOF and/or the Local Government foundation of urban
Academy [LGA]). governance, facilitating
finance
Implement idle 1. Strict imposition of the idle land 3. Spatially and sectorally
land tax tax and special assessment tax and integrated settlements
appropriate sanctions based on within coherent and efficient
applicable laws. urban systems and forms
2. Review and update of the Local 4. Urban spaces as platforms
Tax Code and LGC. for social and economic
3. Capacity development/training opportunity, cultural
for LGUs (conducted by DOF and expression, and innovation
LGA).
4. Update of DOF–Bureau of Local and empowerment as
Government Finance Manuals: foundation of urban
• Manual on Real Property sustainable resource use,
Appraisal and Assessment planning, management, and
Operations finance
• Philippine Valuation Standards
Manual
Implement a benefit 1. Update of DOF–Bureau of Local 3. Spatially and sectorally
levy or special Government Finance Manuals: integrated settlements
assessment within coherent and efficient
• Manual on Real Property urban systems and forms
Appraisal and Assessment
Operations 4. Urban spaces as platforms
• Philippine Valuation Standards for social and economic
Manual opportunity, cultural
2. Full implementation, expansion,
and enhancement of Chapter 5. People’s participation
5 of the LGC (Special Levies on and empowerment as
Real Property). foundation of urban
3. Capacity development/training sustainable resource use,
for LGUs (conducted by DOF and planning, management, and
LGA). finance
90

Strategy SDGs
Enhance public- Support for local governments 4. Urban spaces as platforms
private partnerships in developing metropolitan or for social and economic
regional proposals for public-private opportunity, cultural
partnerships in water and sanitation expression, and innovation
by the Puplic-Private Partnerships
Center. Localization of public-private 5. People’s participation
partnerships project feasibility and empowerment as
studies to support local initiatives. foundation of urban
finance
Institutionalize Inclusion of participatory budgeting 4. Urban spaces as platforms

participatory (formerly bottom-up budgeting) in for social and economic
budgeting the General Appropriations Act, opportunity, cultural
e.g. BUB; Assistance expression, and innovation
to Disadvantaged
Municipalities (ADM). 5. People’s participation
and empowerment as
DILG and Department of Budget foundation of urban
and Management (DBM). governance, facilitating
finance
Develop and Revisiting and promoting Local 4. Urban spaces as platforms

strengthen a robust Government Code provisions on for social and economic
local government credit facilities for infrastructure and opportunity, cultural
debt market other local development projects. expression, and innovation
Capacity development for LGUs 5. People’s participation

to consider credit lines, local and empowerment as
government bonds, and securities foundation of urban
to fund development and livelihood governance, facilitating
projects under the LDIP. sustainable resource use,
finance

Strategy SDGs
GOVERNANCE
Harmonize legal 1. Development and implementation 1. Urbanization as catalyst
frameworks and of policies to address practitioner- for inclusive growth
administrative perceived gaps between regional
and provincial, as well as between 2. Climate change resilience
hierarchies to provincial and city/municipal plans
improve policy of government. as a base for spatial and
implementation, sectoral development
government service 2. Reconciling of policies with
administration, development plans of NGAs (e.g. 3. Spatially and sectorally
NHA, MMDA, DPWH, etc.), linking integrated settlements
and development local, metropolitan/regional, and
opportunities within coherent and efficient
national goals for development of
Filipino human settlements, and urban systems and forms
provision of adequate housing for
all. 4. Urban spaces as platforms
3. Provision of multilevel capacity opportunity, cultural
building to address gaps in planning expression, and innovation
and administration.
and empowerment as
foundation of urban
finance
Institutionalize the 1. Database improvement, capacity 2. Climate change resilience

review, monitoring, development, LGC, etc. as a base for spatial and
and evaluation of sectoral development
urban development 2. Implementation of policies
policies, plans, and to prevent post-electoral 3. Spatially and sectorally
programs unreasonable or politically- integrated settlements
motivated program and project within coherent and efficient
closure or derailment, and to urban systems and forms
ensure continuity of programs
(e.g. inter-political party 5. People’s participation
agreements that guarantee and empowerment as
respect for, and the continuity of foundation of urban
ongoing projects in Bataan). governance, facilitating
3. Penalties for unjustified non- planning, management, and
continuation of project. finance
4. Review of planning approaches

and paradigms.
92

Strategy SDGs
Clarify, review, and 1. Establishment and funding of 4. Urban spaces as platforms
update institutional mechanisms for the dissemination for social and economic
mandates and implementation of the NUDHF. opportunity, cultural
2. Establishment of special expression, and innovation
institutional mechanisms for
selected priority areas (e.g. 5. People’s participation
housing). These implementing and empowerment as
organizations should be able foundation of urban
to detect, correct, and build up governance, facilitating
processes for housing, land use,
and territorial management, based sustainable resource use,
on the five principles guiding this planning, management, and
report. finance
3. Passage of a law to create a unified

housing and land development
agency under the executive branch
of government i.e. Department of
Human Settlements and Urban
Development.
Formalize LGU 1. Possible expansion of Metropolitan 1. Urbanization as catalyst

associations, Manila Development Authority for inclusive growth
functional clusters, (MMDA)’s scope from Metro Manila
to Mega Manila. 2. Climate change resilience
or other supra-
local administrative 2. Creation of a metropolitan urban as a base for spatial and
authorities/ development authority to regulate sectoral development
arrangements proposed or soon-to-be-formalized
metropolitan authorities, as well 3. Spatially and sectorally
as to supervise metropolitan integrated settlements
governance. within coherent and efficient
3. Possible creation of development urban systems and forms
authorities or LGU alliances
encompassing bioregions i.e. 4. Urban spaces as platforms
watershed or river basins, to for social and economic
improve planning and management opportunity, cultural
capability of LGUs under the ridge- expression, and innovation
to-reef approach.
and empowerment as
foundation of urban
finance

Strategy SDGs
Manage public 1. Securement of funding for the 1. Urbanization as catalyst
spaces as venues purchase of public spaces, and for inclusive growth
for participatory for police power to correct spatial
injustices and imbalances from 2. Climate change resilience
governance prior unregulated private sector
development. as a base for spatial and
2. Acceleration of reforms in the
property administration and 3. Spatially and sectorally
valuation system. integrated settlements
3. Reflection of controls over land
and water use in consistently- urban systems and forms
implemented zoning ordinances
with much fewer exemptions, and 4. Urban spaces as platforms
more stakeholder consultation for social and economic
beforehand. opportunity, cultural
4. Continuation of reforms already
achieved under the 2nd Land 5. People’s participation
Administration and Management and empowerment as
Project (LAMP2) (DENR, DOJ, DOF, foundation of urban
etc.) by the Land Administration governance, facilitating
and Management, including sustainable resource use,
Public Space Prioritization, in planning, management, and
order to: finance
• determine with reasonable
finality the location, quality, 6. Sustainable urban
and measurements of land- environment as a core
based resources, along with development condition
comprehensive titling of all
parcels;
• invigorate a relatively slow and
non-inclusive property market;
and
• integrate with other major
projects such as the on-going
national Cadastral Survey
Program (DENR A.O. 2001-23).
5. Implementation of protocol for

land use rationalization: issuance
of titles only to those land uses
and real estate developments that
comply with the National Building
Code. However, this latter will
require close coordination between
the Land Regulation Authority and
LGUs.
6. The institution of a policy to

recover all legal easements and to
prosecute perpetrators of illegal
occupation, including public
officials. Corresponding retributive
levies may be imposed for violators
of the National Building Code (e.g.
for encroachments on right-of-way
areas or legal setbacks).
94

Strategy SDGs
Operationalize Review, full implementation and/ 1. Urbanization as catalyst
people-public-private or enhancement of provisions in for inclusive growth
partnerships the LGC pertaining to broad-based
participation (i.e. local development 2. Climate change resilience
council). as a base for spatial and


and empowerment as
foundation of urban
finance
Ensure urban safety 1. Mainstreaming and implementation 2. Climate change resilience

and security through risk assessment and as a base for spatial and
response in local development sectoral development
planning (CLUP, CDP).
2. Capacity development for local 3. Spatially and sectorally

planners. integrated settlements
and empowerment as
foundation of urban
finance

Strategy SDGs
Enforce delineation 1. Monitoring of CLUP and zoning 2. Climate change resilience
and protection of ordinance implementation. as a base for spatial and
special areas such sectoral development
as protected areas, 2. Update of database and policies
prime agriculture on National Integrated Protected 3. Spatially and sectorally
areas, Areas System (NIPAS) and similar integrated settlements
key biodiversity areas for protection. within coherent and efficient
areas, critical urban systems and forms
habitats, heritage 3. Passage of the National Land Use
areas, and ancestral Act. 6. Sustainable urban
domains environment as a core
Capacitate the Policy and program development, as 5. People’s participation

staff at all levels of well as knowledge management. and empowerment as
government foundation of urban
finance
Strengthen local Review of the LGC, including 5. People’s participation

/ decentralized federalism, considering implications and empowerment as
governance on governance. foundation of urban
mechanisms as governance, facilitating
the core of urban sustainable resource use,
governance and planning, management, and
management finance
96

Strategy SDGs
Ensure ethical 1. Enforcement, review and update 5. People’s participation
and effective local of (as necessary): and empowerment as
leadership for safe, foundation of urban
resilient, sustainable, • Code of Conduct and Ethical governance, facilitating
and inclusive cities Standards for Public Officials and sustainable resource use,
Employees of the Republic of the planning, management, and
Philippines finance
• The Code of Good Governance for
the Professions
• PRC Code of Good Governance
for the Professions in the
Philippines
• Seal of Good Local Governance
2. Institution of strict policies to

place or share accountability of
local officials and professional
workers (e.g. technical specialists)
for any violations of urban
governance. Review LGC,
including federalism, considering
implications on governance.
Improve coordination 1. Continuous rationalization and 5. People’s participation

and collaboration reduction, whenever feasible, of and empowerment as
among agencies the number of plans required of foundation of urban
concerned with LGUs by various laws. governance, facilitating
urban development sustainable resource use,
and housing 2. Review and update of the LGC, planning, management, and
to include more specific guidelines finance
on Local Development Councils,
zoning and betterment levies,
as well as other tools, especially
those that promote proper land
management.
3. Revision of terminologies by
authorized bodies: the Philippine
urban system articulates
itself, standard definitions for
“medium” and “small” cities
should be explored, and made
consistent with UN definitions, if it
is practical to do so.
Photo @Tagum City Government
ADDITIONAL POLICY AND PROGRAM impact on alleviating poverty, even if less

IMPLICATIONS RELATIVE TO ASEAN efficient from a macro-perspective. To this
end, leaders of cities and municipalities need
INTEGRATION
to inventory their productive assets and decide
how foreign competition should be allowed
Consequences of Openness, Resetting to coexist with local startup and small-scale
Economic Targets, and Cities’ Roles enterprises
in Integration
The Philippines has quickly acceded to the Production Preparations: Policies for
ASEAN Integration by lowering 99% of its Resource Bases and Logistics Nodes
tariffs and promoting foreign investment.
The country’s economic managers and, by As part of ASEAN Integration, Filipino planners
extension, commercial and taxation regulators will have to coordinate among themselves and
at the local level, however, need to consider with their assigned foreign counterparts to
the consequences of the rapid removal of rationalize policies for roles in the value chains
tariffs. Clearly, the government (e.g. Bureau of and value webs that have already begun to
Customs and Bureau of Immigration) will lose form because of the economic community.
revenues, at least in the short run, and it is up For example, common agreement should
to the various decision-makers to monitor and be reached on which sites are best suited as
make sure that government and the economy sources of raw materials, and which are best
as a whole recoup these losses. This may be suited for manufacturing and packaging/
done through the prudent handling of new distribution.
trade opportunities presented by markets
In relation to this, decision-makers should shift
opening in ASEAN neighbors abroad, as well
and widen their perspectives to appreciate
as through the collection of appropriate and
Philippine resource areas as potential material
reasonable fees and taxes from foreign locators
sources for other member-states to draw
in the Philippines.
from, subject to the fair and sustainable
Some key industries that build on Filipino pricing and quality controls. Reciprocally,
comparative advantage may still need indirect the food-basket areas and extraction fields
protection of some kind, especially if they are of other countries are potential sources for
located in sensitive areas. Also necessary is the Philippines needs, subject to fair trade and
protection of economic activities that serve the formalities of commercial exchange.
grassroots development and have a direct For instance, traditional agricultural areas in
98
Central Luzon and the Southern Tagalog may 2. Formulation of an action plan in
have to service a wider Filipino and foreign coordination with the NUDHF Technical
population, as will marine extraction areas in Working Group, identifying responsibilities
the Visayas and eastern seaboard. Conversely, of government agencies in the
the rice-growing areas of Vietnam, Thailand, implementation of the strategies.
and Cambodia may be tapped for Philippine
consumers. 3. Formulation of a communications plan and
support to capacity development of HLURB
In order to enhance trade, good logistics central and regional offices, Key Shelter
planning is required, along with construction Agencies, subnational offices, and other
of facilities like: (1) 24/7 intermodal stakeholders.
transportation facilities or retrofitting of
existing airports and seaports with rail, truck, 4. Integration of applicable and appropriate
and bus facilities; (2) construction of secure, policies and strategies identified in the
all-weather warehousing facilities, and (3) NUDHF in the formulation of CLUPs and
establishment of one-stop-shop type support ZOs.
services for permits, customs, and other
legalities. Some attention will also have to be 5. Development of an urban management
given to the modes of transport available, and database.
their accessibility to potential businesses as
6. Strengthening of the policy development
well as the general public. and land use planning group, especially to
conduct research, policy development, and
Policies for Property Rights, training.
Responsibilities and Zoning
Existing land administration and management 7. Updating of current policies and legislation.
regulations as well as zoning will have to
be revisited to ensure that entry of foreign
firms that would like to build on and use 3.3 MONITORING AND REVIEW
local land and municipal waters shall be
A results-based monitoring plan should be
facilitated; provided however, that there is
developed based on the strategies from
no compromise of local public welfare and
Section 3, which are to be translated into
national territorial rights. To this end, policies
action plans for desired results by concerned
will be needed between and among LGU
agencies, and which ultimately help shape
partners as well as at the metropolitan and
policy and program recommendations. The
national levels to standardize effective and
plan should articulate the methodology of
balanced locational practices for foreign
monitoring and review and the resources
investors and joint venture partly-Filipino
needed to carry out monitoring, and
companies. Policies for regulation, inspection,
can include: activities and institutional
quarantine, and quality control may also
roles regarding monitoring and review; a
have to be enhanced, and one possible
monitoring framework with which to track
innovation is to require a portion of large-scale
the progress of efforts made towards meeting
investments to be devoted to housing, at least
desired results or objectives; and a guideline
factory housing for all the rank-and-file as well
or manual for operationalizing the monitoring
as the officers of the incoming firms.
and review framework.
National monitoring will be led by HUDCC

3.2 COMMUNICATIONS and the NEDA (aligned with the Philippine
AND ROLLOUT Development Plan monitoring and reporting).
HUDCC and NEDA have to establish what gets
The following strategies will ensure that the monitored, when, and by whom. An option
NUDHF is fully realized: to be considered would be the alignment of
monitoring with regular National Land Use
1. Promotion of the NUDHF in fora and
Committee project monitoring.
orientations with provincial and regional
land use committees.
Subnational, plan-based monitoring will • Validation Tools — to verify the accuracy of

be led by HLURB (province, LGU), where both quantitative and qualitative data gathered
monitoring for the NUDHF will be integrated during monitoring, and to confirm consistency in
in the monitoring and review of local and results
subregional physical plans and based on the
timeframe of these plans. • Data Management
Monitoring and review requires sectoral • Schedule or intervals of data collection

agencies to include adherence to the NUDHF
of their sector in the monitoring of their • Data source/s of each indicator
programs and projects. It may be determined
• Methods for data collection (e.g., field
by agencies based on their existing monitoring
visits, surveys, data collection from existing
framework, or may be enhanced as needed.
databases, and other relevant data sources)
The following are components that may be
• Parties responsible for data collection
considered for inclusion in the results-based
monitoring framework: • How can the data be stored and who will
have access (will there be levels of access?)
• Roles and Responsibilities — While
national monitoring will be led by HUDCC and • Reporting on monitoring data — Reporting
NEDA, and subnational monitoring by HLURB, should include monitoring data as well as an
the framework has to further specify the roles analysis or review of the information gathered
and responsibilities of all concerned agencies, during monitoring to determine not only whether
offices, departments, teams, and even activities and outcomes are producing desired
individuals in monitoring and review, as well results, but also to identify any adjustments that
as any institutional arrangements between need to be made in both areas. A reporting
or among them, at a level of detail that can template has to be developed to define the scope
show who monitors what. of the data to be reported, including factors that
expedite, contribute to, or impede the fulfillment
• Indicators — Using indicators, monitoring
of targets.
has to be done for both process, to ensure
that commitments and tasks agreed on are • Frequency of reporting and in what manner it
being carried out by the concerned agencies, will be done have to be agreed on.
and outcomes, to see whether objectives
are being met. Measurement of what gets • Feedback mechanism — Gather perceptions,
monitored, baselines where available, and responses, reactions, and other inputs from
measurable targets have to be agreed on in both actors of the NUDHF strategies and action
the development of indicators points as well as recipients or beneficiaries of
the outputs. Feedback can inform the progress
• Process Indicators of the NUDHF strategies and action, especially
Include the conduct of activities carried in identifying adjustments that may need to be
out by concerned agencies in the made or gaps and emerging challenges that need
fulfillment of their commitments and/or to be addressed. A feedback mechanism also
agreed tasks and responsibilities promotes a participatory and consultative process.
• Outcome Indicators References:
Include results or effects that may Planning for Climate Change: A Strategic, Values-based
be ascribed to in whole or in part to Approach for Urban Planners. UN-Habitat. 2014
Handbook on Planning, Monitoring and Evaluating for
strategies and/or action points agreed Development Results. UNDP. 2009.
on in implementing the framework and
achieving the framework’s objectives
100
CONTEXT AND CRITIQUE:
THE FILIPINO URBAN
NARRATIVE
4.1 URBANIZATION TRENDS AND Some decades ago, many of the largest
PROJECTIONS urban agglomerations were located in
the more developed regions of the world.
Today, however, many large cities and urban
4.1.1 Global Trends and Projection agglomerations are found in the global South.
The fastest growing urban agglomerations
More people in the world today live in urban are medium-sized cities and cities with less
areas than in rural areas: about 54% of than 1 million inhabitants in Asia and Africa.
the world’s population are urban dwellers, Agglomerations of 500,000 to 1 million
according to 2014 data.40 Asia is home inhabitants account for 26 of the 43 fastest-
to 53% of the world’s urban population, growing cities in the world. Another 16 are
followed by Europe (14%) and Latin America medium-sized cities of 1 million to 5 million
and the Caribbean (13%). All regions of the inhabitants.41
world, including the more developed and less
developed regions, are expected to sustain
their pace of urbanization in the coming
decades. It is in Asia and Africa, however,
where urbanization will be fastest. By 2050, Table 6: Population of Urban and Rural Areas at
Asia and Africa will be about 64% and 56% Mid-Year (thousands) and Percentage Urban, 2014
urban, respectively.
The world’s urban population has expanded Major area, region, country or area Urban Rural Total % Urban
since 1950 from 746 million urban residents WORLD 3,880,128 3,363,656 7,243,784 53.6
to 3.9 billion in 2014. It is expected to reach More developed regions 980,403 275,828 1,256,231 78
6.3 billion in 2050, with 90% of the increase Less developed regions 2,899,725 3,087,828 5,987,553 48.4
taking place in the urban areas of Asia and Least developed countries 283,855 635,275 919,129 30.9
Africa. Less developed regions, excluding least 2,615,870 2,452,553 5,068,424 51.6
developed countries
Nearly half of the world’s urban residents Less developed regions, excluding China 2,115,652 2,446,901 4,562,552 46.4
live in small settlements of less than 500,000 High-income countries 1,035,404 256,311 1,291,715 80.2
persons. This debunks the notion that Middle-income countries 2,555,840 2,484,859 5,040,699 50.7
urban residents live in megacities, or urban Upper-middle-income countries 1,541,090 920,812 2,461,902 62.6
agglomerations with more than 10 million Lower-middle-income countries 1,014,751 1,564,047 2,578,798 39.3
inhabitants. In fact, only around one in eight Low-income countries 268,441 616,562 885,003 30.3
urban residents live in the 28 megacities of

the world.
40
United Nations, World Urbanization Prospects - The 2014 Revision (New York, 2014).
41
Ibid.
CONTEXT AND CRITIQUE: THE FILIPINO URBAN NARRATIVE
Harnessing the benefits of this continuing and rapid urbanization is a challenge for the world’s
cities, especially in the lower and middle income countries in Asia and Africa where urbanization
is expected to occur fastest.
Table 7: The 30 Largest Urban Agglomerations Ranked by Population Size, 2015

42
Rank order Country or area Urban Agglomeration Population (millions)
1 Japan Tokyo 38
2 India Delhi 25.70
3 China Shanghai 23.74
4 Brazil São Paulo 21.07
5 India Mumbai (Bombay) 21.04
6 Mexico Mexico City 21
7 China Beijing 20.38
8 Japan Kinki M.M.A. (Osaka) 20.24
9 Egypt Al-Qahirah (Cairo) 18.77
10 United States New York-Newark 18.59
11 Bangladesh Dhaka 17.60
12 Pakistan Karachi 16.62
13 Argentina Buenos Aires 15.18
14 India Kolkata (Calcutta) 14.86
15 Turkey Istanbul 14.16
16 China Chongqing 13.33
17 Nigeria Lagos 13.12
18 Philippines Manila 12.95
19 Brazil Rio de Janeiro 12.90
20 China Guangzhou, Guang dong 12.46
21 United States Los Angeles-Long Beach-Santa 12.31
Ana
22 Russian Federation Democratic Moskva (Moscow) 12.17
23 Republic of the Congo Kinshasa 11.59
24 China Tianjin 11.21
25 France Paris 10.84
26 China Shenzhen 10.75
27 Indonesia Jakarta 10.32
28 United Kingdom London 10.31
29 India Bangalore 10.09
30 Peru Lima 9.90
42
United Nations, Department of Economic and Social Affairs, Population Division, World Urbanization Prospects: The 2014 Revision (2014).
102
The pace and scope of urbanization in Asia and the educational levels and, in some cases, traditional
Pacific is unprecedented. The urban population family norms. These two groups comprise a large
in the Asia and Pacific region is expected to reach proportion of the urban under-employed and
50% by 2018.43 Between 1980 and 2010, the unemployed in Asia and the Pacific.46
region’s cities grew by around one billion people.
Projections by the UN Population Division indicate In primary cities in many developing countries,
that by 2040, cities in Asia and the Pacific will add the provision of housing, basic services and
another one billion to the population. infrastructure has not kept pace with the
burgeoning urban population. Many primary cities
Asia is home to 17 of the world’s megacities; three are characterized by serious infrastructure and
of them—Tokyo, Delhi, and Shanghai—are the service shortfalls, few opportunities for economic
world’s largest. By 2030, the region is projected growth, and rising urban poverty. Since future
to have no less than 22 megacities.44 Megacities urban growth will largely be in secondary cities, it is
are now giving way to the emergence of mega- essential that these are planned to avoid the same
urban regions that encompass cities, towns, situation. Addressing services and infrastructure
barangays, and rural areas, connected by planned backlog, and providing opportunities in small and
or unplanned urban corridors. medium cities will help harness their potential, and
help achieve sustainable development in the context
In spite of the presence of these large of the urban-rural continuum.47
agglomerations, only a little over 10% of the urban
population in Asia and the Pacific region live in
megacities. The urban population in Asia and the 4.1.2 Urbanization in the Philippines
Pacific is predominantly located in medium-sized
and small cities, and it is in these cities where urban
transition is unfolding.45 4.1.2.1 Archipelagic Philippines
Urbanization in the region is accompanied by The Philippines has a total land area of
economic growth, including the generation of approximately 343,448.32 km2, comprising at
employment and creation of a large middle class least 7,641 islands.48 Bounded on the north by
in the past two decades, especially in North, the Balintang Channel; on the south by the Sulu
Northeast, and Southeast Asia. The economic and Celebes Seas; on the east by the Philippine Sea
structure has shifted in favor of the fast-growing and Pacific Ocean; and on the west by the West
industry and services sectors, which have generated Philippine Sea, the Philippine archipelago is one of
employment for Asians. the largest island groups in the world, with three
major divisions:
It is apparent, however, that the benefits of
economic progress have reached the population • Luzon - 147,947.63 km2
disproportionately. While hundreds of millions of
persons have been lifted out of poverty and a two • Visayas - 59,873.84 km2
billion-strong urban middle class has emerged,
• Mindanao - 135,626.85 km2
large urban slum populations and hefty populations
of the poor in Asia remain. Stark examples of such The country has multilevel administrative
disparity are found in urban areas, where rights subdivisions, comprising 18 regions, 81 provinces,
such as adequate shelter, safe neighborhoods, 145 cities, 1,489 municipalities, and 42,036
clean water and sanitation, health care, transport barangays.49
and access to modern energy systems, or even
a legally defined address, are still inaccessible to The Philippines has a 36,289 km coastline, the fifth
some. Women and youth face additional barriers longest in the world. About 60% of the population
to finding employment because of their lower
43
UN-Habitat and UNESCAP, State of Asian and Pacific Cities 2015 (2015).
44
UN-Habitat, National Urban Policy.
45
UN-Habitat and UNESCAP, State of Asian and Pacific Cities 2015 (2015).
46
Ibid.
47
UN-Habitat, National Urban Policy.
48
CNN Philippines, “More islands, more fun in PH,” February 20, 2016, http://cnnphilippines.com/videos/2016/02/20/More-islands-more-fun-in-
PH.html.
49
The Philippine Government, Regional and Provincial Summary - Number of Provinces, Cities, Municipalities and Barangays (2018) http://www.
dilg.gov.ph/facts-and-figures/Number-of-Provinces-Cities-Municipalities-and-
Barangays-by-Region/32.
live in 832 coastal cities and municipalities and depend on the marine and coastal resources for
sustenance and livelihood. The archipelagic nature of the Philippines, however, makes it highly vulnerable
to the impacts of climate change. It also presents a challenge in the integration of infrastructure and
delivery of basic services.50
4.1.2.2 Population and urbanization trends and projections
Population Growth
The total population of the Philippines is 100,981,437 as of August 1, 2015.51 The nation grew by 8.64 million
between 2010 and 2015, and by 24.47 million between 2000 and 2015.52
Table 8: Total Population of the Philippines, 2000-2015 53
Census Year Census Reference Date Population

2000 May 1, 2000 76,504,077
2010 May 1, 2010 92,335,113
2015 August 1, 2015 100,981,437
The average annual growth rate for the period of 2010 to 2015 is 1.72%. This population growth rate is
slower than the 1.9% growth rate for 2000 to 2010.
Table 9: Average Annual Population Growth Rate, Philippines,

Censal Periods 2000-2010, 2010-2015 53
Annual Population Growth

Reference Rate
Period (in percent)
2010-2015 1.72
2000-2010 1.9
Over the years, the Philippines has made real progress in slowing its population growth rate, from 2.36% in
1995 to 2000 to 2.04% in 2000 to 2007. The Philippine population growth rate of 1.72%, however, is still
one of the fastest in the world. It is higher than the regional growth rates in Asia (0.98%), Oceania (1.45%),
Latin America and the Caribbean (1.05%), North America (0.45%), and Europe (0.06%). Only African
countries are growing faster than the Philippines, at 2.53%.54
The country’s population density increased to 338 persons per km2 according to the PSA’s 2015 population
census. This is an increase from 308 persons per km2 in 2010 and 255 persons per km2 in 2000.55
50
51
Philippine Statistics Authority, 2015 Census of Population, ( 2015).
52
The 2000, 2010, and 2015 censuses of Philippine population by the Philippine Statistics Authority.
53
Ibid.
54
United Nations, Department of Economic and Social Affairs, Population Division,World Population Prospects: The 2015 Revision – Key Findings
and Advance Tables (New York, 2015).
55
Philippine Statistics Authority, “Philippine population density increases from 255 to 338 persons per square kilometer,” last modified
September 1, 2016, https://psa.gov.ph/content/philippine-population-density-based-2015-census-population.
104
Figure 9. Populations of Provinces
2017-2022
Urban Population Growth and Urbanization Level
Of the 18 administrative regions in the Philippines, Region IV-A (CALABARZON) has the biggest
population at 14.41 million persons. It is followed by the National Capital Region (NCR), with 12.88
million persons, and Region III (Central Luzon), with 11.22 million persons. The combined population of
these three contiguous regions account for 38.1% of the Philippine population in 2015.56
The urban primacy of Metro Manila is sustained; 12,877,253 persons reside in the NCR, which is classified
as 100% urban.
Sixteen of the 20 most populous cities in the Philippines can be classified as small cities of 500,000 to
1 million residents. The census data show the emergence of secondary cities, where much of the urban
growth has happened in the last 10 years.
56
Philippine Statistics Authority, 2015 Census of Population (2015).
The four biggest cities, Quezon City, Manila, Davao and Caloocan, are medium-sized cities with 1 million
to 5 million inhabitants.
The combined population of these 20 biggest cities is 18,682,481 persons, or 18.5% of the total
Philippine population as of 2015.
Table 10: Twenty Most Populous Cities, Philippines, 2015 57
Rank Name Region Pop. Rank Name Region Pop.

1 Quezon City National Capital 2,936,116 11 Parañaque National Capital 665,822
Region Region
2 Manila National Capital 1,780,148 12 Dasmariñas Calabarzon 659,019
Region
3 Davao City Davao Region 1,632,991 13 Valenzuela National Capital 620,422
Region
4 Caloocan National Capital 1,583,978 14 Bacoor Calabarzon 600,609
Region
5 Cebu City Central Visayas 922,611 15 General Soccsksargen 594,446
Santos
6 Zamboanga Zamboanga 861,799 16 Las Piñas National Capital 588,894
City Peninsula Region
7 Taguig National Capital 804,915 17 Makati National Capital 582,602
Region Region
8 Antipolo Calabarzon 776,386 18 San Jose Central Luzon 574,089
del Monte
9 Pasig National Capital 755,300 19 Bacolod Negros Island 561,875
Region Region
10 Cagayan de Northern Mind- 675,950 20 Muntinlupa National Capital 504,50
Oro anao Region
Urban areas in the Philippines have been growing faster than the rural areas since 2007. From 2007 to
2010, the population in urban areas grew at an average of 3.59% per year, while that of the rural areas
declined at -0.33%. From 2010 to 2015, both urban and rural areas grew in population size, with urban
areas increasing slightly faster at 1.82%, compared to the rural areas at 1.77%.
Urban population change is driven by natural increase, migration to urban areas, and reclassification of
rural to urban areas. These factors need to be addressed in building a sustainable urban development
framework.
57
Ibid.
106
Figure 10. Highly Urbanized Cities
2017-2022
Table 11: Urban-Rural Population Growth Rates, Philippines, 2007-2015 58

Census Population Population Change Growth Rate
Year Urban Rural Total Urban Rural Urban Rural
2000 36,756,881 39,747,196 76,504,077
2007 37,579,591 50,984,862 88,564,453 822,710 11,237,666 0.32% 3.56%

2010 41,855,571 50,479,542 92,335,113 4,275,980 (505,320) 3.59% -0.33%
2015 45,842,660 55,138,777 100,981,437 3,987,089 4,659,235 1.82% 1.77%
As of 2010, the Philippine urbanization level (measured as the proportion of the population living in
urban areas59) is estimated at 45.3% or 41.2 million out of the country’s 92.3 million total population.60
The Philippines’ urbanization level is at 44.4%, according to UN Population Division estimates as of
58
Various Censuses of Population, Philippine Statistics Authority.
59
The Philippine Statistics Authority (http://nap.psa.gov.ph/pressreleases/2004/30Jan04_urban.asp) defines “urban areas” as those that fall under
any the following categories:
• If a barangay has a population size of 5,000 or more, then a barangay is considered urban, or
• If a barangay has at least one establishment with a minimum of 100 employees, a barangay is considered urban, or
• If a barangay has 5 or more establishments with a minimum of 10 employees, and 5 or more facilities within the two-kilometer radius
from the barangay hall, then a barangay is considered urban
This was a departure from the old definition that considered population density, street pattern, and presence of establishments and facilities for basic
services. A review of the criteria revealed that some of these were no longer applicable. Population data after 2004 adhere to the new definition.
60
UNESCAP estimated that around 66% of the country’s 2010 population lived in urban areas.
2015.61 The Asian Development Bank (ADB) Young men and women have been moving
had a higher estimate in 2014: 60.4% of from the periphery to the center in search
the Philippine population are urban dwellers. of employment. As the national government
According to the ADB, the urban population jumpstarted decentralization by building
has been growing at a faster rate as people industrial centers in the administrative
migrate from rural to urban areas in search of regions of the country, the rural working age
better employment opportunities.62 populations flocked to major urban centers
within the region.
Census data from 1970 to 2010 show that
urbanization in the country has increased Urban areas and cities in the Philippines are
steadily. The change in the definition of an centers of economic growth, accounting for
urban area in 2007 adjusted the urbanization 75% to 80% of the country’s gross domestic
level at 42.2%, but urbanization has advanced product (GDP) since 2000. Metro Manila
since then. By 2020, more than 70% of the alone contributes nearly a third of total GDP.
country’s estimated 108 million population will The services sector makes up over half of
be urban, according to the UN Economic and GDP. Services, trade, and communications are
Social Commission for Asia and the Pacific.63 the fastest-growing subsectors in the urban
areas.65 Economic opportunities make cities
This corroborates the observation of a and urban areas more attractive and desirable
continuing urbanward movement of rural to the youth sector.
residents,64 especially to large urban centers.
Table 12: Urbanization Levels, Philippines, 2007-2010

Urbanization Level
Censal Year Total Population Urban Population
(Percent)
1970 36,684,486 11,677,820 31.8
1980 48,098,460 18,042,045 37.5
1990 60,697,994 28,500,544 47
2000 76,504,077 36,739,849 48
2007 88,564,453 37,579,591 42.4
2010 92,335,113 41,855,591 45.3
Source of Data: Philippine Statistics Authority (PSA) New definition
61
United Nations, World Urbanization Pprospects – The 2014 Rrevision (New York, 2014).
62
63
Philippine Statistics Authority population projection 2010-2040 using 1.9 average growth rate (2000-2010).
64
Rachel H. Racelis and Paula Monina G. Collado, “The Manila MUR: Continuing Magnet for Migrants,” in Mega-Urban Regions in Asia and the
Pacific, Urban Dynamics in a Global Era, ed.Gavin Jones and Mike Douglass (National University of Singapore Press, 2008).
65
108
Population Projections
In the year 2045, the Philippine population from 11.6% in 2010 to 6.7% in 2045, a 42%
is projected to increase to 142 million,66 reduction in 35 years.
adding roughly 50 million persons between
2010 and 2045. The population will In the meantime, the working age population,
continue to increase even if the average or those aged 15 to 64 years, will expand
annual growth rate is projected to decline from 62% in 2010 to 67.5% in 2045. Women
from 1.7% for the period of 2010 to 2015 in the childbearing ages of 15-49 years, who
to 0.65% in 2040 to 2045.67 comprised 25.7% of the 2010 population, will
account for 24.9% in 2045.
The proportion of children aged 0 to 14
years, while still hefty, is projected to In 2010, the population aged 60 years and
decrease. In 2010, one of three Filipinos over comprised 6.7% of the total population.
were in this age group. By 2045, it is This older age group will increase to about a
expected to go down to one in five persons. tenth of the total population in 2025 and to
The absolute number of children in the same one-sixth in 2045. The proportion of those
group is projected to decline from 31.3 aged 65 and over is projected to increase from
million on 2010 to 30 million in 2045. 4.3% in 2010 to 6.5% in 2025 and to 11.4%
in 2045.
Moreover, the percentage of children under
five years of age is estimated to decrease,
Table 13: Projected Population, by Age Group, Sex, and by Five-Calendar Year Interval,
Philippines: 2010 - 2045 (Medium Assumption) 68
Age/Sex 2010 2015 2020 2025 2030 2035 2040 2045
Both Sexes
0-4 10,767,800 11,327,300 11,475,800 11,360,700 11,043,800 10,622,300 10,119,600 9,523,800
5-9 10,355,000 10,671,000 11,233,600 11,385,600 11,273,500 10,957,600 10,536,100 10,032,000
10-14 10,212,600 10,283,900 10,601,800 11,162,300 11,312,500 11,197,900 10,878,500 10,452,700
15-19 9,736,800 10,136,900 10,208,500 10,524,400 11,081,200 11,226,900 11,107,500 10,783,000
20-24 8,435,900 9,643,400 10,045,400 10,117,800 10,431,700 10,984,500 11,126,500 11,002,600
25-29 7,447,800 8,332,500 9,540,100 9,944,300 10,017,200 10,329,300 10,878,000 11,015,900
30-34 6,794,800 7,342,000 8,229,200 9,435,800 9,841,200 9,915,000 10,225,000 10,770,500
35-39 6,033,400 6,685,300 7,238,600 8,127,400 9,333,700 9,741,900 9,819,000 10,129,900
40-44 5,489,400 5,916,400 6,573,800 7,133,600 8,024,400 9,231,100 9,645,000 9,727,500
45-49 4,695,800 5,351,200 5,787,300 6,449,500 7,015,500 7,909,000 9,115,500 9,536,800
50-54 3,907,500 4,530,000 5,185,800 5,630,000 6,295,500 6,868,200 7,762,300 8,967,600
55-59 2,996,800 3,703,100 4,319,200 4,970,900 5,421,200 6,087,100 6,665,000 7,557,100
60-64 2,235,700 2,765,500 3,444,600 4,045,700 4,685,300 5,138,100 5,798,700 6,378,200
65-69 1,502,400 1,978,400 2,472,300 3,109,600 3,684,300 4,301,200 4,750,400 5,396,600
70-74 1,146,200 1,249,200 1,667,600 2,110,400 2,686,400 3,217,800 3,795,000 4,230,200
75-79 709,400 870,200 966,600 1,313,000 1,688,800 2,183,300 2,652,700 3,170,100
80+ 667,800 776,000 957,700 1,138,400 1,501,300 1,992,700 2,657,400 3,420,600
All ages 93,135,100 101,562,300 109,947,900 117,959,400 125,337,500 131,903,900 137,532,200 142,095,100
66
The Philippine Statistics Authority, “A 142 Million Philippine Population by 2045?”, last modified July 28, 2014,
https://psa.gov.ph/content/142-million-Philippine-population-2045.
67
Ibid.
68
Philippine Statistics Authority, ”Highlights of the 2010 Census-Based Population Projections,” last modified August 9,
2016, https://psa.gov.ph/content/highlights-2010-census-based-population-projections.
4.2 THE URBAN SYSTEM IN THE Convention on Climate Change (UNFCCC),

NATURAL ENVIRONMENT the UN Convention on Biological Diversity
(CBD), and the UN Convention to Combat
Desertification. Agenda 21, a blueprint for
4.2.1 Global Environmental Change sustainable development, was adopted at the
end of the Summit.
In 1972, the first UN Conference on the Human
Environment, also known as the Stockholm The Earth Summit brought together world
Conference highlighted the importance of leaders to discuss and to engage collectively in
the environment in the global agenda. It international efforts to promote environmental
also introduced the international nature of protection and sustainable development.
environment and development. This was Over the past decades, progress has been
reinforced in the 1983 World Commission made to address global environment issues on
on Environment and Development, also land, water and air. Among the most recent
known as the Brundtland Commission. The achievements are the adoption in 2015 of the
Commission defined sustainable development Sendai Framework for Disaster Risk Reduction
as “development that meets the needs of the and Management, the SDGs, and the Paris
present without compromising the ability of Agreement to the UNFCCC.
future generations to meet their own needs.”69
Nonetheless, global environmental challenges
In 1992, the United Nations Conference have increased and are expected to increase
on Environment and Development, also considerably in the succeeding decades under
known as the Earth Summit or Rio Summit, a business as usual (BAU) scenario. These
launched landmark multilateral environmental challenges will be further exacerbated by
agreements such as the UN Framework socio-economic trends such as population
growth, rising middle class and urbanization70
which are the same trends faced by the
Figure 11. Proposed Safe Operating Space for Nine country.
Planetary Systems 72
Rockstrom, et al. (2009) identified and

quantified nine interlinked planetary
boundaries that must not be breached to
ensure “a safe operating space for humanity.”
Scientists argue that human activities have
caused unacceptable environmental changes
that could mean disastrous consequences
for humanity. Figure 11 shows that the
boundaries for biodiversity loss, climate
change and nitrogen release have already
been exceeded. Table 14 shows the
parameters for measuring the boundaries and
current status of these earth systems 71
The green shade represents the proposed safe operating space for nine
planetary systems. The red wedges represent an estimate of the current
position for each variable.
69
Most frequently quoted definition from Our Common Future, also known as the Brundtland Report.
70
Global Environment Facility (GEF) Secretariat, GEF 2020: Strategy for the GEF (2015).
71
Rockstrom, J. et al., “A safe operating space for humanity,”in Nature – International Journal of Science, no. 461 (2009): 472-475.
72
Ibid.
110
Table 14: Parameters to Measure Boundaries and Current Status of the Earth’s Systems 73
Under a BAU scenario compounded by oceans, and freshwater (Figure 12). Such
underlying socio-economic trends mentioned degradation will continue unless interventions
above and indirect and direct drivers of are made at various stages in the causal chain.
environmental change, degradation is These interventions should particularly address
foreseeable, specifically in the environmental upstream indirect drivers such as the demand
state of the atmosphere, biodiversity, land, for food production, buildings, energy,
transportation, etc., which are high in urban
areas.
73
Ibid.
Figure 12. Causal Chain of Environmental Change 74
As a country situated in the tropics and in the Pacific Rim of Fire, the Philippines is endowed
with highly diverse, unique, and valuable environment and natural resources that provide many
ecosystems services benefiting its citizens. The complex and dynamic natures of ecosystems—
mountain and forest, agriculture, inland wetlands, urban, coastal, and marine—require adaptive
and integrated ecosystems management (IEM) approaches that can be carried out under
existing national policy and legislative frameworks and programs, taking into consideration
national and local contexts. These same services, however, are also threatened by man-made
and natural hazards.
BOX 17: WHAT IS INTEGRATED ECOSYSTEMS MANAGEMENT (IEM)?

IEM is defined as “coordinated and governance-oriented planning, implementation, monitoring
and evaluation in a selected ecosystem such as a watershed, sub-watershed, a legally or
administratively defined protected area or watershed reservation, an ancestral domain covered by
a Certificate of Ancestral Domain Title (CADT) or Certificate of Ancestral Domain Claim (CADC),
a key biodiversity area (KBA) or an identified area within a KBA (such as the dominant location
and distribution of vulnerable, irreplaceable, or trigger species), island or group of islands, or a
political unit that coincides with unique ecological processes, for the purpose of reducing the
overall threats to the sound, healthy, and sustainable functioning of ecological processes within
an ecosystem.” Under an IEM approach, vertical (from ridge to reef) and horizontal (across
sectors, political units, and institutions) integration are critical in meeting a common vision of
Description was jointly prepared by the EcoGov 2 Project and DENR-FASPO and reviewed by DENR technical bureaus,
field staff, World Bank staff, among others.
74
Global Environment Facility (GEF) Secretariat, GEF 2020: Strategy for the GEF (2015).
112
4.2.2 Urban Ecosystems

Urban ecosystems are the intersection and trade, manufacturing, and technology. The
overlay of the natural environment, the PDP identifies three metropolitan centers:80
built environment and the socio-economic Metro Manila, the National Capital Region
environment.75 They are dynamic and have and seat of national government; Metro
similar interactions and behaviors as natural Cebu, a central location in the Visayas
ecosystems, albeit affected by culture, and the second largest urban center with
personal behavior, politics, economics and extensive domestic and international links;
social organization. and Metro Davao, a major international
gateway and Mindanao’s center for
Ecosystems, within or outside of urban commerce, education, health, and services.
boundaries, provide ecosystem services.76 Cagayan de Oro is poised to become the
These include moderation of the urban fourth metropolitan center by 2025 based
microclimate and improvement of air on its projected population and role as a
quality, opportunities for recreation, major gateway, trans-shipment hub, and
and improvement of health. Peri-urban center for education.
ecosystems may help to moderate extreme
climatic events such as flooding and • Regional Centers are regional markets and
enhance water quality and quantity via service centers for several provinces, with
watersheds. Distant ecosystems may provide markets that are large enough to support a
food, medicines, and timber.77 These range of services and investments. Regional
benefits help build resilience of human centers have the most direct linkages to
settlements. metropolitan centers, and can serve as
regional administrative centers, international
Taken together and organized, urban gateways, and tourism hubs. Cities like
ecosystems can take the form of functional Laoag, Batangas, Legazpi, Tacloban, Iloilo,
areas, regions, or clusters. The most General Santos, and Tagum are considered
common functional areas in the Philippines regional centers.
are cities78 and municipalities. These, along
with metropolitan and megapolitan areas, • Sub-regional Centers are large settlements
provincial capital cities/municipalities, and that serve as market catchments of regional
inter-LGU clusters, are considered centers of centers. They also connect to and serve
consumption and production. as service centers of smaller provincial
and local centers. As they grow, these
The Philippine Development Plan (PDP)79 sub-regional centers tend to merge with
defines the country’s network of settlements adjacent regional centers to form even
as follows: larger metropolitan areas as those formed
by the NCR, CALABARZON, and Central
• Metropolitan centers are economic Luzon.
centers of the three main island groups.
They function as hubs for innovation and The rapid growth of cities also led to the
advanced services, culture and tourism, creation of highly urbanized cities (HUCs), or
education and research, transportation and those with at least 200,000 population.
75
United Nations, Habitat III Issue Paper: Urban Ecosystems and Resource Management (2015).
76
Benefits people obtain from ecosystems, delineated into four categories: supporting services (e.g. habitat for species and genetic resources);
provisioning services (e.g. food and medical resources); regulating services (e.g. regulation of local climate and of extreme events); and cultural
services (e.g. recreation and tourism).
77
United Nations, Habitat III Issue Paper: Urban Ecosystems and Resource Management (2015).
78
Further classified as highly urbanized, independent component, and component cities.
79
http://pdp.neda.gov.ph/wp-content/uploads/2017/01/Chapter-03.pdf.
80
Reduced from previously identified 12: Greater Metro Manila, Metro Batangas, Metro Angeles, Metro Olongapo, Metro Dagupan, Metro
Baguio, Metro Naga, Metro Naga, Metro Iloilo, Metro Cebu, Metro Bacolod, Metro Cagayan de Oro, and Metro Davao.
Figure 13. Hierarchy of Settlements
2017-2022
The PDP also espouses the National Spatial Strategy (NSS), which “seeks to build on the efficiencies
and maximize the benefits of scale and agglomeration economies.”
The NSS takes its cue from National Capital Region’s downward growth trend, the fast growth
of regional centers, and their periphery. The government is positioning these areas to be large
markets and labor force magnets. This calls to attention the need for better urban management of
emerging cities and urban growth areas in the country.
114
4.2.3 Biocapacity and is an area’s ability to produce the food and fiber
Ecological Footprint it needs. A system’s ecological footprint, or the
productive area required to provide the resources
Sustainability implies that there are limits needed to satisfy consumption and capital
that nature imposes on human activity. This demands, and to absorb its waste, is also a major
applies especially in the use and distribution of consideration in sustainable development.
resources, an inevitable result of the creation
and development of urban areas. Figure 14 shows trends in biocapacity and
ecological footprint. It indicates that the
Sustainable urbanization requires that each Philippines is experiencing a biocapacity deficit,
urban area contributes to the enhancement of wherein the footprint is in excess of the capacity.
the biological capacity or biocapacity,81 which The productive area includes infrastructure.82
Figure 14. Philippines’ Ecological Footprint and Biocapacity, 1961 - 2014
81
An endowment of natural capital in the territorial habitat, which has a Biological Capacity or the biocapacity, with applications of human
(endosomatic) and exosomatic energy and stocks of materials, to produce volumes of material biomass on a sustainable basis (i.e. while
keeping its capacity intact) that are valuable directly and indirectly to meet the consumption and capital maintenance and new formation
needs of human society.
82
Global Footprint Network, A Measure of Resilience: 2012 Report on the Ecological Footprint of the Philippines (California, 2012).
Photo @Ormoc CPDO/DRRMO
4.2.4 Land Use Change preferred by developers. However, conversion

of agricultural lands to residential and built-
Most Philippine cities and urban areas began up areas permanently reduces biocapacity,
along coastal areas. They were either Spanish and the development itself creates demand,
or American colonial settlements of a finite size causing further depletion of biocapacity.
for efficient governance. After the war, with
the building of roads and the affordability of
suburban settlements, many inner city residents
moved from the urban core to the newer Issues and Opportunities
suburbs. This caused many of these inner cities
to fall into urban decay. There is a need to:
This can be observed in Metro Manila, with the 1. Address the consequences of human
rise of the suburbs of Makati, Quezon City, and activity on the environment, particularly
Mandaluyong in the 1960s. In the 1980s, Metro the role of urbanization and urban
Manila further expanded to northern Quezon development in global environmental
City, Caloocan, Pasig, Parañaque, Las Piñas, and change.
Alabang. This practice prevails today, wherein
extensive peri-urban development is evident in 2. Examine the network of urban
many cities as a result of rapid urbanization. ecosystems in the country and how they
This uncontrolled expansion is called urban can develop in a sustainable manner,
sprawl. Recent satellite images have shown equally driving growth as well as reducing
that Metro Manila and Angeles could merge if ecological footprint and preserving
left unchecked and agricultural land is lost to biocapacity.
unmanaged urban development.
3. Take advantage of spatial trends borne
Smaller cities are experiencing urban sprawl, of economic growth. This must be done
as agricultural land is rapidly being converted in order to spread the benefits of regional
into residential developments. Greenfields agglomeration. Spatial and economic
are cheaper than brownfield sites and thus strategies need to be aligned to ensure
116
that smaller, outlying areas benefit from Figure 15. Change in Built-up Areas
rapid urbanization of and innovation within 1990, 2000, 2016
nearby growth hubs. Infrastructure and
urban services, shelter and settlements
planning are pre-requisites of urban
expansion and integration.
4. Demonstrate sustainability through

the creative combination of the built and
the unbuilt environment, or urban form.
Urban form is not a passive outcome of
development activities. It refers to the way
future population and related activities are
actively organized and distributed over the
territory to ensure safe and sustainable
environments for human habitation.83
4.3 URBANIZATION, CLIMATE

CHANGE AND RESILIENCE
4.3.1 Global and Philippine Climate

Change Scenario
The Philippines is highly vulnerable to the
impacts of climate change. It is ranked highest
in the world in terms of vulnerability to
tropical cyclones.84 The Global Climate Risk
Index of 2015 ranked the Philippines third
among countries most affected by weather-
related loss events (e.g. storms, floods, heat
waves, etc.) in 2013, due to destruction
brought about by Typhoon Haiyan. For the
period from 1994 to 2013, the Philippines
was the fifth most affected, with Honduras,
Myanmar, Haiti, and Nicaragua ranking first to
fourth.
Likewise, the Climate Change Vulnerability

Index (CCVI) 2015 ranked the Philippines
as the eighth most vulnerable country
(categorized as “extreme” risk) in terms of
impact of climate change. Figure 16 shows
the CCVI 2015 issued by Maplecroft.85
83
Serote, Ernesto, Property, Patrimony & Territory: Foundations of Land Use Planning in the Philippines (Quezon City, 2004).
84
Housing and Urban Development Coordinating Council, Developing a National Informal Settlements Upgrading Strategy for the Philippines (2014).
85
“World: Climate Change Vulnerability Index 2015,” last modified October 29, 2014, http://reliefweb.int/map/world/world-climate-change-
vulnerability-index-2015.
Figure 16. Climate Change Vulnerability Index, 2015 87
More recently, the Philippines had the highest sea level rise compared to global averages in
the last 110 years. The Philippine sea level rise at 60 cm was three times the global average of
19 cm from 1901 to 2015 brought about by rising sea temperatures, according to a report
by the World Meteorological Office (WMO) during the December 2015 UN Climate Change
Conference of Parties 21 (CoP21) in Paris, France. 86 In the future, the Philippines, along with
other countries in the Western Pacific, may experience more destructive typhoons, higher storm
surges, and stronger wind speeds than predicted globally as a result of the fast rising ocean
temperature. 87
86
“PH sea levels: highest rise in the world”, http://kickerdaily.com/ph-sea-levels-the-highest-rise-in-the-world/. Accessed 16 February 2016.
87
The International Panel for Climate Change (IPCC) estimated that global sea level rise by the next century (2100) would be around 21’ (6.4 m)
as a result of melting of glacial ice surface from rising temperatures.
118
Photo ID 35118242 © Hrlumanog | Dreamstime.com
The global projections of future climate

patterns are largely based on computer-
BOX 18: CLIMATE CHANGE IMPACTS based models of the climate system. These
models incorporate the important factors
Climate change manifests in the form of rising
and processes of the atmosphere and the
temperature, variability of precipitation, increase
oceans, including the expected growth in
and intensity of typhoons, and sea level rise. Along
greenhouse gases from socio-economic
with these come the risks of more droughts,
scenarios for the coming decades. The
heat waves, floods and inundation, rain-induced
International Panel for Climate Change
landslides and subsidence, storm surges, increased
(IPCC) examined the published results
wind speed, saline intrusion, coral bleaching, forest
from many different models. Based on the
and grassland fires and more frequently recurring
evidence, it is estimated that by 2100: 88
extreme weather events. All these have impacts on
the economy, environment, and communities. • The increase of global mean surface
temperature by the end of the 21st century
Continued emission of greenhouse gases will
(2081–2100) relative to 1986–2005 is likely
cause further warming and long-lasting changes in
to be 0.3°C to 1.7°C under RCP 2.6, 1.1°C
all components of the climate system, increasing
to 2.6°C under RCP 4.5, 1.4°C to 3.1°C
the likelihood of severe, pervasive, and irreversible
under RCP 6.0 and 2.6°C to 4.8°C under
impacts for people and ecosystems. Limiting
RCP 8.5.
climate change would require substantial and
sustained reductions in greenhouse gas emissions • It is virtually certain that there will
which, together with adaptation, can limit climate be more frequent hot and fewer cold
change risks. temperature extremes over most land
areas, as global mean surface temperature
increases. It is very likely that heat waves
88
IPCC, Climate Change 2014: Synthesis Report (Geneva, 2014).
will occur with a higher frequency and In the Philippines, the annual mean
longer duration. temperature is expected to increase, ranging
from 1.3°C-2.5°C (RCP 4.5) to 2.5°C-4.1°C
• The sea level rise will likely be in the (RCP 8.5) by the end of the 21st century.
ranges of 0.26 to 0.55 m for RCP 2.6, Meanwhile, seasonal mean rainfall is
and of 0.45 to 0.82 m for RCP 8.5 projected to exceed 40% of historical value.
(medium confidence). By the end of the This means that the driest possible rainfall
21st century, it is very likely that sea level change under the RCP 8.5 could reach beyond
will rise in more than about 95% of the 40% reduction in many areas, particularly in
ocean area. About 70% of the coastlines Mindanao, and the wettest possible change
worldwide are projected to experience could exceed 40% increase in rainfall,
a sea level change within ±20% of the particularly over Luzon, wester section
global mean. of Visayas, and some parts of Mindanao.
Tropical cycles are also projected to increase
• The oceans will become more acidic. in intensity, consistent with the trend. Lastly,
Philippine sea level has risen by as much as
• It is very likely that there will be more 7 mm per year and is expected to continue
precipitation at higher latitudes and less rising. By the end of the century, sea level rise
precipitation in most subtropical land areas. will be approximately 20 cm under RCP 8.5.89
while in many mid-latitude wet regions,
mean precipitation will likely increase under
the RCP 8.5 scenario. 4.3.2 Climate Change Impact and
• Extreme precipitation events over most Vulnerability: The Philippine Case
of the mid-latitude land masses and over Changes in temperature, weather patterns,
wet tropical regions will very likely become and sea level rise will have an impact on the
more intense and more frequent country’s natural and human resources.
• The global ocean will continue to warm Due to its geographic location, the Philippines
during the 21st century, with the strongest is highly vulnerable to the impacts of climate
warming projected for the surface change, while its metropolitan centers are
in tropical and Northern Hemisphere increasingly vulnerable to the threats of
subtropical regions.
BOX 19: TROPICAL STORM ONDOY

Tropical Storm Ondoy (international name Ketsana) hit the Philippines on 26 September 2009, causing
widespread flooding, especially in Metro Manila. Ondoy was quickly followed by typhoon Pepeng
(international name Parma). Ondoy brought powerful winds with gusts of up to 230 kilometers per hour,
followed by an extended period of heavy rains, with cumulative rainfall amounts exceeding 1,000 millimeters
in some areas. Ondoy and Pepeng resulted in large numbers of affected persons and casualties. Nearly 4.9
million families nationwide were affected, of which 56%, or 1.4 million persons, lived in Metro Manila.*
Three years later, in August 2012, Metro Manila was engulfed in floodwaters as monsoon rains swelled rivers
and creeks and overwhelmed drainage canals already clogged from indiscriminate trash and debris disposal.
Source: World Bank,“Executive Summary,”in Philippines–Typhoons Ondoy and Pepeng: Post-Disaster Needs Assessment I, (Washing-
ton D.C., 2011), http://documents.worldbank.org/curated/en/2011/01/15115760/ Philippines-typhoons-ondoy-pepeng-post-disas-
ter-needs-assessment-vol-1-3-executive-summary.
89
PAGASA, Observed Climate Trends and Projected Climate Change in the Philippines (Philippines, 2018).
90
United Nations, Department of Economic and Social Affairs, Population Division. World Urbanization Prospects: The 2011 Revision (New York, 2012).
120
natural disasters. Aside from its effects on Climate change and natural disasters will also
communities and the economy, climate impact climate-sensitive sectors of the Philippine
change will exacerbate the degradation of economy, especially agriculture, fisheries, and
the natural resources base due to overuse, water resource management. Any increase in
inadequate livelihood opportunities in temperature, along with changes in precipitation
resource-dependent communities, urban patterns and hydrological regimes, will heighten
settlements built along the coast, and high the country’s existing vulnerabilities and cut short
population densities in coastal towns exposed economic growth if no action is done.
to natural disasters.
From 1990 to 2008, the annual direct damage
Metro Manila, for instance, with its dense cost of natural disasters in the Philippines from
and rapidly growing population of 12.88 varied between 0.7% and 1% of GDP.94 In
million inhabitants, has a high exposure to 2011, the Philippine economy lost PHP 59.2
tropical storms, floods, and earthquakes. The billion due to typhoons, floods and landslides,
metropolis sits on a floodplain of three rivers: according to NEDA estimates. Meanwhile, the
Marikina, Napindan and Pasig rivers, making World Bank estimated that the country suffered
its residents vulnerable to flooding.92 at least USD 18.6 billion or PHP 799 billion
in economic damage and other losses due to
In urban areas, permanent structures have climate-related disasters over the period from
been built on the river easements, and 2009 to 2014.95 The country’s economy is
settlements have spread in floodplains, susceptible to climate change impacts; 85% of
mangrove areas, waterways, and geologically the country’s GDP is sourced from areas exposed
unstable areas such as sandbars and river to climate change risks.96
islets. In many cases, built-up areas in river
and coastal floodplains would not have posed Climate change-induced economic losses are
a problem had there been an effective city particularly high in urban and peri-urban areas.
drainage system. That is not the case for many This is largely because of the increasing fragility
cities. Creeks are often built over to pave the of urban ecosystems and the low adaptive
way for residential and commercial projects. capacity of communities. As the growth in
The demands of rapid urbanization and urban population continues and urban densities
economic surge were met with indiscriminate increase, so will the climate and disaster risks and
construction of structures over waterways. vulnerabilities to high-risk urban communities
Storm water had to find its way to the bay and vulnerable groups, especially among
or sea through residential areas, sometimes informal settlers and urban poor.
flooding them.
Natural disasters put human lives at severe 4.3.3 Contributions of Cities and
risk. The World Bank estimated that around Urban Areas to Climate Change and
10,000 people were killed due to Typhoons
Disaster Risks
Yolanda, Ondoy, Pepeng, and Sendong.91
Climate-related disaster is a “fundamental The Philippines was ranked 39th in the world
threat” to the country, affecting the poor in 2005 in terms of overall greenhouse gas
more than any other group.92 These disasters (GHG) emissions, with about 142 million tons of
may even push those who are previously not carbon dioxide equivalent (MtCO2e), excluding
poor into poverty. 93
91
World Bank, “Climate Change, A Fundamental Threat to Development” (2014).
92
Ibid.
93
ibid.
94
Asian Development Bank, Country Partnership Strategy: Philippines (2011–2016) (Manila, 2011), https://www.adb.org/documents/Philippines country-
partnership-strategy-2011-2016.
95
PhilStar Global, “WB: Climate change cost PHL US$ 18.6 billion” (2014).
96
Climate Change Commission and Global Green Growth Initiative, Project Proposal for Ecotown Scale-up (Phase 2): Climate Resilient Green Growth
Planning at the Provincial Level, (2015): p.2.
97
World Bank, A Strategic Approach to Climate Change in the Philippines (Washington D.C., 2010).
emissions due to land use change.97 The 4.4 INEFFICIENCIES OF

power and transport sectors account for INFRASTRUCTURE AND BASIC
36% and 32% of total energy carbon
SERVICES
dioxide emissions, respectively. GHG emission
reduction priorities should be in these sectors, For a system to thrive, it must be structured
based on the trend in emission growth, policy so as to establish functional links and facilities
conditions affecting primary energy supply that enhance its productivity and biocapacity.
and demand, and estimated abatement costs. It must also be responsive to climate change
policies. Philippine urban development has
The transport sector, which includes 3.5 been marked with gaps within this system,
million registered motorcycles and tricycles, which need to be addressed with urgency and
releases 10 million tons of carbon dioxide and clarity.
consumes close to $3 billion worth of fuel
per year. The introduction of new transport
technologies, such as e-jeepneys, is an option 4.4.1 Water, Sanitation,
to mitigate transport emissions.98
Hygiene (WASH)
Issues and Opportunities
The government’s monitoring data
1. The economic, social, and physical indicate that:
impact of climate-related impacts and
• Only 36% of the country’s river systems
disasters to the country, our people and
are classified as sources of public water
local communities, especially the poor, are
supply.
devastating.
• 58% of groundwater sampled is
2. For the country to survive, it needs to
contaminated with coliform and needs
develop ecologically stable and resilient
treatment.
communities.99 Enhancing the climate
resilience of the economy and the adaptive • 31% of illness monitored for a five-year
capacity of the populations is crucial for period were caused by waterborne sources.
• Many areas experience water supply
3. Urban development must actively shortage during the dry season.
support efforts to increase the adaptive
capacity of communities. Cities and • Urban water coverage decreased from
municipalities need to exhibit within the 95% in 1990 to 87% in 2004.100
built environment actions intended to
reduce vulnerability and arrest climate Access to a household water service
change-induced losses. connection is also limited. Based on
data uploaded by water utilities in 1,445
participating cities and municipalities out of
The introduction of new transport technologies, such

as e-jeepneys, is an option to mitigate transport
emissions.
98
Asian Development Bank, Republic of the Philippines National Urban Assessment (2014).
99
Alexis Lapiz, “Communities of Resilience: Convergence Initiative,“PowerPoint presentation, Communities of Resilience: Convergence Forum
for Tagum-Libuganon River Basin, March 10-11, 2016.
100
United Nations, Habitat III: The Philippines National Report (2016): p.46.
122
a total 1,634 local government units, there

are: 4,719 Level III systems, 5,079 Level II
systems101, and 13,044 Level I systems.102 The
Autonomous Region in Muslim Mindanao
(ARMM) has the least number of Level III
systems103 at 18. Also, LGU-run water utilities
have the most number of water service
management providers in the Philippines.104
The assessment of the current water and

sanitation situation in the Philippines is limited
due to inadequate data. The Philippines,
however, has already achieved 92% coverage
for drinking water, as targeted by The
Millennium Development Goals (MDGs),
according to a report by the ADB.105 Also, the
Photo ©Ormoc CPDO/DRRMO

report highlighted a wide disparity in access
between urban and rural areas: 61% in urban
areas compared to only 25% in rural areas.106
In terms of sanitation, only 5% of households

are connected to a sewerage network,
according to most estimates. Problems
include:
• lack of policies and effective governance

and regulation; 4.4.2 Energy
The Philippines aims for a 70% reduction
• low levels of awareness and political will
in greenhouse gas (GHG, CO2e) emissions
for improving sanitation;
by 2030, relative to its BAU scenario from
• inadequate funds for financing 2000 to 2030. Reduction of emissions
infrastructure; and will come from energy, transport, waste,
forestry and industry sectors.108 Mitigating
• lack of sanitation capacity.107 these emissions would tap the potential
for sustainable and renewable energy (RE)
Increasing urbanization may further strain resources in the country that is underutilized
the inadequate water and sanitation and undervalued. Fortunately, the country
infrastructure, and lead to a spread of has diverse RE resources from hydropower,
preventable waterborne and sanitation-related geothermal, biomass, solar, wind, and ocean.
diseases.
The following legislation and policies support
the utilization of such resources:
101
Stand-alone water points (e.g., hand pumps, shallow wells, rainwater collectors).
102
Piped water with a communal water points (e.g. bore wells, spring systems).
103
Piped water supply with a private water point (e.g., a household service connection).
104
Government of the Philippines, National Water Survey, accessed May 22, 2016, http://listahangtubig.cloudapp.net/.
105
The WHO–UNICEF JMP for Water Supply and Sanitation is the official United Nations mechanism tasked with monitoring progress toward
achieving Millennium Development Goal (MDG) 7, or halving the proportion of the population without access to water and basic sanitation.
WHO/UNICEF JMP, accessed May 2016, http://www.wssinfo.org/.
106
Asian Development Bank, Philippines: Water Supply and Sanitation Sector Assessment, Strategy, and Road Map, (Mandaluyong City,, 2013).
107
Government of the Philippines, Philippine Sustainable Sanitation Roadmap (Manila, 2007); and Government of the Philippines, Philippine
Sustainable Sanitation Plan (Manila, 2010).
108
Government of the Philippines, “Intended Nationally Determined Contributions,” communicated to the United Nations Framework Conven-
tion on Climate Change in October 2015.
• R.A. 7156: An Act Granting Incentives to of sprawling settlements, and more recently
Mini-Hydro-Electric Power Developers and the effects of climate change, including
for Other Purposes stronger and increased rainfall. Service
coverage expansions in the past 30 years
• Rules and Regulations Implementing R.A. have been overtaken by rapid urbanization
7156 and population growth, with increased
deterioration and degradation of receiving
• E.O. 462: Enabling Private Sector waters.109 Although some subdivisions have
Participation in the Exploration, good drainage systems, outflows towards
Development, Utilization and the main drainage systems do not have
Commercialization of Ocean, Solar and proper linkages.
Wind Resources for Power Generation and
other Energy Uses Worse, some residential and commercial
developments actually cover natural
• Department Circular No. 98-03-005: drainage ways like rivers and creeks. Informal
Rules and Regulations Implementing settlements that restrict the flow of water
E.O. 462 in river systems also add to the inefficiency
and lack of sewerage and drainage systems
• E.O. 232: Amending E.O. 462, Series of
in urban areas. This exposes informal settler
1997, Enabling Private Sector Participation
families (ISFs) to high risk of flooding,
in the Exploration, Development, Utilization
pollution, and environmental illnesses.
and Commercialization of Ocean, Solar and
Wind Resources for Power Generation and
other Energy Uses
4.4.4 Waste Management
• R.A. 9003: Ecological Solid Waste Improper solid waste disposal as a pervasive
Management Act of 2000 urban problem is being addressed through
the Ecological Solid Waste Management
• R.A. 9367: Biofuels Act of 2006
Act of 2000 (R.A. 9003). This law mandates
• R.A. 9513: Renewable Energy Act of the nationwide adoption of a systematic,
2008 comprehensive and ecological solid waste
management program, and compels all
• R.A. 10771: Philippine Green Jobs Act local governments to install infrastructure
of 2016 and facilities that will promote solid waste
reduction, reuse, and recycling.110 Due
to its enactment, most cities in Metro
4.4.3 Drainage Manila developed their own solid waste
management systems, while sharing the
The country’s drainage system typically carries use and management of sanitary landfills
both storm water and waste water, and in San Mateo, Rizal Province, and Payatas,
discharges these into rivers, creeks, or other Quezon City.111
open bodies of water.
R.A. 9003 has not been fully implemented—
Drainage systems are either concrete lined or local governments continue to encounter
open earth canals. Although new townships, barriers to implementing and managing
subdivisions, and planned unit developments material recovery facilities and installing
invest heavily on drainage infrastructure, sanitary landfills.112 Merely finding locations
these are not enough to augment the needs for these facilities is difficult with limited space
109
Department of Health, Sustainable Sanitation Road Map (2010).
110
111
UN-Habitat, Habitat III: The Philippines National Report (2016).
112
UN-Habitat, Habitat III: The Philippines National Report (2015).
124
Photo ©UN-Habitat
UNTREATED
DOMESTIC AND
in urban areas, and developing and managing National Capital Region, only a few cities INDUSTRIAL
WATER waste
them is financially and technically challenging. have sewerage systems, that serve less than pollute and
The law also fails to address toxic wastes from 3% to 5% of the service area population. contaminate rivers
residential areas. Nationwide, less than 5% of households are and waterways,
connected to a sewerage system. “Domestic and have made
Meanwhile, untreated domestic and industrial urban communities,
wastewater largely goes untreated into particularly those
water waste pollute and contaminate rivers groundwater or public canals and drainage in the metropolitan
and waterways, and have made urban systems, and eventually into rivers and other areas, highly prone
communities, particularly those in the water bodies, thus exposing the majority of to diarrhea, cholera,
metropolitan areas, highly prone to diarrhea, skin diseases, and
the population to raw sewage.”113 other waterborne
cholera, skin diseases, and other waterborne diseases.
diseases. Ground water pollution has caused It is not surprising that up to 58% of
environmental illnesses that put highly groundwater for drinking is contaminated
vulnerable populations at risk, especially those with coliform bacteria.114 Data from the
who live near or above waterways. Environmental Management Bureau of
the Philippines shows that out of the 127
In the National Capital Region, the freshwater bodies sampled, only 47% were
Metropolitan Waterworks and Sewerage found to have good water quality. On the
System through its two concessionaires other hand, 40% had fair water quality, while
established investment plans for sewerage 13% showed poor water quality.115
and wastewater treatment. But outside the
113
Asian Development Bank, Philippines: Water Supply and Sanitation Sector Assessment, Strategy, and Road Map,. (Mandaluyong City, 2013).
114
World Bank, Philippines Environmental Monitor (Manila, 2007).
115
Greenpeace,The State of Water in the Philippines (Manila, 2007).
4.4.5 Information and 4.4.6 Inter- and Intra-System

Communications Technology linkages
Information and communications technology 4.4.6.1 Transportation challenges in
(ICT) is important to many aspects of the Philippine urban centers
Philippine urban system. It is necessary in
government’s discharge of regular functions. Inadequate and ineffective transportation
Its stability, or lack thereof, drives the growth planning in urban areas have led to
of the business process outsourcing) industry, congestion, high incidence of road traffic-
and other private enterprises. Overseas Filipino related accidents, negative environmental
workers rely on ICT to communicate with impacts, energy use, loss of public space, and
their families and send remittances. urban sprawl. Traffic has become a major
issue of Philippine cities and municipalities,
In a study by Statista, Internet penetration particularly Metro Manila and secondary
rate in the Philippines is at 44%. in 2016, metro regions such as Metro Cebu and Metro
29.9 million people were estimated to own Angeles. Without intervention, traffic may
smartphones that access the Internet through cost the economy PHP 6 billion a day, traffic
data services. This number is expected to demand will increase by 13% by 2030, and
increase to 39.2 million by 2019. transport costs may increase.117
While the sector shows a lot of potential Most urban centers experience congestion
growth and development, it is beset by on major thoroughfares. Although location
dropped calls, slow Internet speeds and dependent, congestion can be attributed to
intermittent disconnections. Privatization several causes:
has improved service over the years, yet the
Philippines has the second slowest average • inefficient and inadequate public
download speed at 3.64 Megabits per second transport system, with limited service
(Mbps), outranking only Afghanistan in a coverage areas;
study of consumer Internet speeds of 22 Asian
• slow transportation infrastructure
countries in May 2015. Aside from being one
development due to underinvestment and
of the slowest, it is also the most expensive at
lack of proper maintenance;
USD 18.19 per Mbps, placing it at 161st out
of 202 countries globally.116 • urban sprawl and inaccessible land use,
increasing the need for private vehicle trips;
In legislative hearings and National
Telecommunications Commission • prevalence of on-street parking, thereby
investigations, Internet service providers reducing road capacity;
and telecommunication corporations
attributed this poor service to geography. • traffic signals that are outdated and do
The Philippines’ being an archipelago not meet the needs anymore; and
implies high private investment costs for
constructing new broadband towers or • traffic signs that do not conform to
adding fiber optic cables undersea. standards and are placed inappropriately.118
Another challenge to urban transportation

is the high incidence of road traffic-related
accidents. This is mostly attributed to poor
116
GMA News Online, “LIST: Philippines ranks 21st of 22 Asian countries in Internet download speed,” last modified May 19, 2015, http://
www.gmanetwork.com/news/story/489762/scitech/technology/list-Philippines-ranks-21st-of-22-asian-countries-in-internet-download-speed#st-
hash.RpmCguGh.dpuf.
117
Japan International Cooperation Agency, Transport Infrastructure Development for Metro Manila and its Surrounding Areas.
118
Government of the Philippines, Philippine Transport Infrastructure Development Framework Plan (2014).
126
Figure 17. Congestion on about 70% of the total imported fuel, with
Major Roads road transport accounting for about 80% of
the demand.120
Increase in traffic volume has necessitated the

acquisition of more space for transportation
infrastructure. Acquisition of right-of-way for
road projects has been the subject of debates
on how to balance protection of the natural
environment with progress. More traffic
encourages less social interactions and less
street activities. People tend to walk and cycle
less when traffic is high.
Due to increasing population in the urban

areas and the inadequate housing choices in
cities, urban sprawl has become prevalent.
This phenomenon increases the need for
mobility and consequently increases the rate
of motorization.
4.4.6.2 Inter-city linkages

The development of cities requires inter-
connectivity between rural and urban areas,
enabling movement and access to goods and
services.
Figure 18. Nationwide 2012 Emissions Inventory

infrastructure and the use of indigenous/illegal
modes of transportation such as habal-habal
(motorcycle taxi), particularly in areas where
availability of transport is limited due to Mobile 69%
inaccessible land uses.
Due to increasing motorization, air pollutant

emissions from mobile sources has become
a serious concern for the environment.
Transport accounts for 69% of total air
pollutants.119 Tricycles, jeepneys, and buses Area 22%
contribute a large portion of carbon dioxide
emissions. It is estimated that about 10
million tons of carbon emissions come from
registered motorcycles and tricycles. Moreover, Stationary 9%
according to the ADB Country Operations
Business Report of 2014, transport consumes
119
Environmental Management Bureau of the Department of Environment and Natural Resources, Emissions Inventory (2012).
120
Ibid.
BOX 20. ROADS IN THE PHILIPPINES

Roads in the Philippines are usually classified according to the government entities administering them. They
are classified as national roads, provincial roads, city roads, municipal roads, and barangay roads. National
roads are either primary or secondary. Primary roads, also known as arterial roads, are continuous roads that
form part of the main trunk system leading to either primary centers such as major cities and airports or all
roads connecting to the primary centers.
Roads
Roads are the most dominant transportation infrastructure, linking cities in the Philippines. They
carry 98% of passengers and 58% of cargo traffic.
Based on 2012 data from the Department of Public Works and Highways (DPWH), local roads
(i.e., provincial, city, municipal, and barangay) dominate the national network.
In 2014, DPWH reported that 29,160 km (93.34% of total length) of national roads have been
paved, projected to improve travel time and reduce vehicle operating costs of users. Moreover,
the total length of expressways linking key growth centers has increased from 280 km in 2010
to 385 km in 2014.
Table 15: Philippine Road Network121

% of total road
Road Classification Total Length (km)
network
National Roads 31,597.68 14.69%
- National Primary 16,056.47 7.47%
- National Secondary 15,541.21 7.23%
Provincial Roads 31,233.23 14.52%
City Roads 14,739.39 6.85%
Municipal Roads 15,816 7.35%
Barangay Roads 121,702 56.58%
TOTAL 215,088.29 100%
The Department of Public Works and Highways reported

that 29,160 km of national roads have been
paved, projected to improve travel time and reduce
vehicle operating costs of users
121
Department of Public Works and Highways, 2012.
128
Figure 19. Network of Roads and Ports 122
2017-2022
Figure 20. Paved National Roads
Source: Department of Public Works and Highways, Annual Report (2014)
122
Department of Public Works and Highways, Annual Report (2014).
Despite considerable progress in the development of national roads, these still need to be
linked, through local roads, to existing ports and airports or roll-on/roll-off nautical transport
facilities.
Figure 21. Length of Constructed Expressways in Kilometers 125
Source: Department of Public Works and Highways, Annual Report (2014)
Airports
As of 2015, the Philippines has 85 airports under different categories, according to the Civil
Aviation Authority of the Philippines.123 Overall, key airports are operating over its design
capacity, including international airports.
Table 16: Airports in the Philippines124
Classification Number
International Airport 10
Principal Class 1 15
Principal Class 2 19
Community 41
123
According to the Civil Aviation Authority of the Philippines, airport categories are: 1) International airports are airports capable of handling
international flights; 2) Principal airports or domestic airports are those which serve domestic destinations only;There are two types under this
categories – Class 1 principal airports, of serving jet aircraft with a capacity of at least 100 seats; and Class 2 principal airports, which serve pro-
peller aircrafts with a capacity of at least 19 seats; 3) Community airports are primarily for general aviation.
124
Civil Aviation Authority of the Philippines.
125
Department of Public Works and Highways,Annual Report (2014).
130
Table 17. Volume to Capacity Ratio of Key International

Airports in the Philippines
Figure 22. Roll-on/Roll-off Nautical Routes Around the Philippines
Source: Linking the Philippine Islands Through Highways of the

Sea, Center for Research and Communication, 2008
Water Transport 4.4.6.3 Institutional priorities affecting

connectivity and urban mobility
Despite the archipelagic configuration of Connectivity and mobility in urban areas in the
the Philippines, water transport only serves Philippines are narrowly focused on vehicular
a minuscule share of inter-island accessibility transport, with minimal consideration for
and intra-island mobility. It carried 22.39 pedestrian movement. Typical vehicle types are
million passengers (1.22% share of total) and buses, mini-buses, vans, jeepneys, motorized
55.99 million passengers in 2014. It carried tricycles, and non-motorized tricycles, with
a sizable portion of cargo throughput with taxis operating mainly in highly urbanized
18.76 million metric tons of freight (42% cities. The routes for buses, mini-buses, vans,
of total) and increased to 214.813 million and jeepneys are determined and controlled
metric tons of cargo in 2014. One of the by the Land Transportation Commission,
improvements was the establishment of the while those for motorized and non-motorized
Strong Republic Nautical Highway Roll-on/ tricycles are under the local government units
Roll-off nautical system (Figure 22), which (LGUs). Partly because of this fragmented
serves as the “moving bridges” between system of management, the mix of vehicle
islands. According to the 2015 Philippine types can cause major traffic problems. There
Ports Authority Annual Report, “Despite is often no system of transport terminals,
the impact of competition posed by airlines parking, and coordinated traffic signs.
offering budget fares, the sea traveling public
has apparently responded positively to the Because of the high priority given to vehicular
government’s domestic tourism programs movement, most transport projects are
SOME PARTS encouraging leisure inter-island roll-on/roll-off
of overpasses like infrastructure-oriented. Many cities as well
stairs encroach on nautical travel to heavily promoted tourism as national government have constructed
sidewalks, resulting sites such as Batangas, Boracay, Coron and flyovers at busy intersections, but these
in pedestrians being other tourist destinations.” only transfer the traffic congestion to
forced to walk on
the road space.
Photo ©Dreamstime.com | Akarat Phasura
132
another place. Cities have also constructed Issues and Opportunities

pedestrian overpasses, but these are often 1. Water supply is a critical basic service;
built after the roads and sidewalks have been increasing the urban water coverage is a
completed. Thus, some parts of overpasses must. Alternative sources of sustainable
like stairs encroach on sidewalks, resulting in water supply should also be explored, in
pedestrians being forced to walk on the road view of current and projected need, and
space. cities’ sensitivity to climate change impacts.
Public transportation is traditionally operated 2. Water, sanitation and hygiene (WASH)
by the private sector and regulated by programs are a key element in addressing
national agencies. Only public motorized climate-induced hazards, before and after
2- and 3-wheelers are regulated by the local the onset of disasters.
government. Because of this, cities may have
limited control in managing and implementing 3. Supporting renewable energy
an integrated public transport plan and policy development addresses two issues on
framework to ensure socially inclusive mobility. sustainability: first is the conservation
of the natural environment by tapping
Transport planning and management is resources that have limited to zero impact
overseen largely by the Department of on the environment; second is the creation
Transportation and its attached agencies. It of green jobs for sustainable work.
also undertakes transport planning at the
metropolitan level or large urban centers such 4. Drainage systems need to be improved
as Metro Manila or Metro Cebu. Resources in light of increasing urbanization and the
and data such as modal split, travel patterns, anticipated impacts of climate change.
congestion areas, etc., are thus available
mainly in the context of these projects. 5. Waste management programs need to
Transport issues are a consequence not only confront the issue of resource availability,
of the fragmentation of national and local especially land for sanitary landfills, and
government plans and programs, but of technical and financial capacity of LGUs to
the lack of capacity of LGUs to manage and maintain waste facilities.
finance transport planning and management
initiatives. This will be further discussed in 6. More appropriate infrastructure,
Section 4.5.5. urban design and strict enforcement of
Traffic remains to be a problem in areas such

as Metro Manila and other highly urbanized
cities, and it is aggravated by the fragmentation
of national and local government plans and
programs—a consequence of the LGU’s
insufficient capacity to finance and manage
local projects
BOX 21. URBAN PLANNING IN THE PHILIPPINES

Urban planning in the Philippines occurs at various levels: national, regional, provincial and municipal/city
government levels. The national, regional, and provincial levels have high-level policy plans that increase
in detail to guide the municipal/city plans. The Local Government Code mandates local governments “to
prepare their Comprehensive Land Use Plans enacted through zoning ordinances, which shall be the primary
and dominant bases for the future use of the land resources.“
The basic planning instrument to guide urban planning of local government units is the CLUP.
regulations are needed to address the Urban planning and design cannot be
effects of sewage, untreated effluents, and separated. The latter is a product of the urban
possibly convert them into a resource. planning process, with planning being more
macro in terms of land use patterns or spatial
7. Improvements in Information planning, and urban design more detailed in
Communication Technology (ICT) must providing information such as street design,
consider the current restrictive structure block sizes and typical plot configuration,
of the industry, as well as the archipelagic drainage plans, density of public spaces
nature of the country. against commercial and private lots, building
typologies and designs, circulation and
8. There is an urgent need to expand mobility plan, floor area ratio, layout of parks
the view of transportation, to include and other public spaces, and so on.
pedestrian and not just vehicular
movement. This may require rethinking or The CLUP Guidebook 2013-2014 series has
re-orienting transportation infrastructure elaborated on urban design as a concept
towards a more pedestrian focus. that “draws together the fields of planning
and transportation policy, architectural
9. Transportation strategies must ensure design, development economics, landscape
inter-area linkages that consider the and engineering. It considers environmental
country’s archipelagic structure. responsibility, social equity, and economic
viability to create livable places of beauty and
10. Government must harmonize
unique identity.” Design seeks to realize the
and integrate transport planning and
vision for an area by making the public realm
management in the context of overall
more organized, aesthetically pleasing, and
urban development.
functional. It is the science of “place-making”
which enhances the value of a city and
improves the quality of life of its people.
4.5 URBAN PLANNING AND DESIGN
Planning and design are indispensable in the
pursuit of sustainable urbanization. They 4.5.1 Planning for Climate Change
translate the vision and values of people and Disaster Risk
into spatial considerations that promote
economic, environmental, cultural and social Climate change and natural disasters have
development of communities. The continuous shown the effect of the lack of well-informed
and rapid urbanization of the Philippines, urban plans and designs in many areas of the
which brings forth challenges as well as country. There is an acknowledged need to
opportunities, demands that the national, sub- update planning principles, processes, and
national, and local governments undertake tools to promote resilient urban development.
informed and strategic urban planning.
134
National government has made significant While private developments, gated or

efforts in recent years throughout the masterplanned communities, display forward-
country to promote disaster risk reduction looking design principles such as high
and management (DRRM) and climate density and mixed land uses, they remain
change actions. The Philippine government disconnected from the larger urban fabric.
has adopted legislation and policies that
strengthen the enforcement of DRRM (R.A. This inadequacy and exclusivity have
10121) and climate change adaptation (R.A. decreased the ability of urban planning
9729). LGUs have also been directed to to transform urban activity into positive
incorporate such measures in their CLUPs, outcomes for the larger population, and has
Zoning Ordinances, and CDPs, and many of instead resulted in problems such as urban
them have started to do so. sprawl, land speculation, social segregation,
congestion, informality, increasing greenhouse
While many LGUs have started to comply, gases (GHG) emissions, encroachment of
spurred by a continuing series of disasters prime agricultural and fragile lands, high
over the past couple of years, implementation cost of urban infrastructure and services,
of these plans is generally weak. This is ineffective property taxation and land
more evident when it comes to urban valuation practices, declining density of public
resilience. Seemingly, there is little buy-in and spaces, and the issues on connectivity.126
knowledge of the urban systems among the
LGUs and local planners. Many LGUs lack Current urban policies are unable to address
the technical capacity for analyzing hazard the interests and needs of most vulnerable WHILE PRIVATE
and risk information and translating these groups such as youth, women, children, older DEVELOPMENTS
persons, the poor, the landless, slum dwellers, may display high
into land use plans and urban designs. The density and mixed
CLUP Guidebook 2013-2014 series that was migrant workers, persons with disabilities, land uses, they
released by HLURB, which includes a segment indigenous peoples, and minority groups. remain disconnected
on urban design, was relatively new for the from the larger
urban fabric.
LGUs to embrace. There is a growing need
for LGUs to view urban planning and design
under the lens of resilience.
4.5.2 Spatial Equity and Urban

Land Efficiency
With proper urban planning and design, cities
and municipalities can benefit from urban
land efficiency. For instance, the concept
of compact cities, with elements like mixed
land use, efficient density, connectivity, and
diversity, is becoming popular and more
acceptable among urban planners, LGUs,
the academe, and Key Shelter Agencies.

However, the knowledge, tools, policies, and
institutional coordination that gave focus on
the urban systems remain inadequate.
The HLURB, with technical support from Philippine Institute of Environmental Planners (PIEP) and UN-Habitat, initiated a series of stakeholder
126
consultations in Visayas, Mindanao and Manila/Luzon in 2016 to facilitate a participatory national review process of the National Urban Develop-
ment and Housing Framework (NUDHF).
According to the Housing and Urban 4.5.3 Planning for Public Space
Development Coordinating Council (HUDCC),
“urban households with limited or no access In the colonial past, plazas were every
to basic services, security of tenure, and community’s space for social participation and
affordable housing, have reached 3.6 million.” civic action. The local government maintained
plazas, typically situated at the center between
Therefore, there is a need to develop a political administrative office, a market place,
appropriate and adequate planning measures the principalia residences, and a center of
to prepare cities and municipalities for highly worship.
complex urban transformation processes.
At the turn of the 20th century, shifting colonial
The government and the private sector planning paradigms from Spanish to American
continuously seek urban form solutions that brought about changes to the spatial pattern.
will meet the conditions of sustainability and Plazas as public spaces evolved into grand parks
enable the built environment to function in a and monuments.
more productive and equitable manner. The
HLURB through its CLUP guidebooks promotes For much of the 21st century, development of
urban designs that support mixed land uses. public space has been relegated to the private
The Habitat III: Philippine New Urban Agenda real estate developer. What was previously the
(2016-2036), under the Land and Urban sole responsibility of the executive government
Planning Section,127 also strongly advocates in place making became the domain of the
addressing urban sprawl and maximizing the private investor.
benefits of urban agglomeration, connectivity,
public spaces and integrated transport The emergence of gated communities is also
planning. increasingly fragmenting urban public space.128
Under Sec. 31 of P.D. 1216 (Defining "Open

Space" in Residential Subdivisions), 30% of
the gross area for open space is reserved for
parks, playgrounds, and recreational use. P.D.
953 (Requiring the Planting of Trees in Certain
Places and Penalizing Unauthorized Cutting,
Destruction, Damaging and Injuring of Certain
There is a need to develop Trees, Plants and Vegetation) also provides for
the creation and conservation of urban forests
appropriate and adequate in private lands.
planning measures to prepare The escalating exclusivity of public spaces is

not an isolated case in gated communities. It is
cities and municipalities also prevalent in open coastlines where private

resorts with foreshore leases ban the mooring
for highly complex urban of small boats by fisher folk like catamarans or
bancas on their front lot beaches; legally, no
transformation processes one has the right to ban what is already for
public use.
Meanwhile, the malls and commercial areas

have become the new centers of community
and social interaction, solidifying privately
owned “public” spaces.
127
The Housing and Urban Development Coordinating Council, Habitat III: The Philippine New Urban Agenda (2016).
128
UN-Habitat, The State of Asian and Pacific Cities (New York, 2015).
136
Creating public spaces is often de-prioritized “historical, anthropological, archaeological,

in spatial development thrusts and strategies, artistic geographic areas and settings that
since these land uses are perceived to be are culturally significant to the country, as
negative investments that do not produce declared by the National Museum and/or the
monetary revenue. National Historical Institute.”
The creation of public spaces, however, has The Water Code mandates that “1) the banks
intrinsic values of social and environmental of rivers and streams and the shores of the
importance. Residents of cities with dedicated seas and lakes throughout their entire length
public parks and walkable or bikeable road within a zone of three (3) meters in urban
networks are healthier and happier than those areas, twenty (20) meters in agricultural
from urban areas that do not have access to areas, and forty (40) meters in forest areas,
these basic amenities.129 Also, open green along their margins, are subject to easements
spaces are considered to be effective carbon of public use in the interest of recreation,
sinks and flood mitigation measures, and navigation, floatage, fishing and salvage.”
essentially used as emergency evacuation
sites. The Urban Agriculture Act, passed in 2013,
tasks LGUs to formulate policy on the practice
Public spaces such as parks, barangay plazas, of urban farming to utilize unused spaces
walkways, urban forests, or open coastlines and idle lands. This entails integrating urban
not only function as vital greenbelts that agriculture in zoning and/or other local
become buffers and corridors between policies.
conflicting land uses (e.g. industrial and
residential zones), but also serve as places Aside from the infrastructure mandated by the
of interest that become centers of social Local Government Code, LGUs are mandated
interaction and mobility. to provide parks and other public assembly
areas, greenbelts, inter-municipal waterworks,
The National Integrated Protected Areas drainage and sewerage, and flood control and
System (NIPAS) Act of 1992 states that “the irrigation systems.
use and enjoyment of these protected areas
must be consistent with the principles of
biodiversity and sustainable development.”130 4.5.4 Urban Sprawl
The NIPAS includes environmentally critical
areas, national parks, networks of protected In rural areas, peri-urban expansions
areas for agriculture and agro-industrial sometimes encroach on agricultural lands and
development, and river basins/watersheds, environmentally-sensitive areas such as river
ecologically fragile lands, mineral lands basins, watersheds, coastlines or disaster-
including exhausted, mudflats/inland waters/ prone areas. The increasing number of real
inter-tidal flat/estuaries/coastal area/zone, estate developments is an indicator of rapid
geohazard prone areas/flood plain/flood prone urban or peri-urban expansion, which is
areas, forestlands, and foreshore land. largely dictated by private land owners and
private developers.
Meanwhile, the National Cultural Heritage
Act of 2009131 provides for the “protection Without proper consideration of transport
and conservation of the national cultural links and social integration, the result is urban
heritage, strengthening the national sprawl, segregation, and connectivity issues
commission for culture and the arts and its (e.g. long commutes between residences
affiliated cultural agencies and for other and urban centers where public services and
purposes.” The law defines heritage zones as livelihood opportunities are concentrated).
129
129 Ruth F. Hunter et al.,“The Impact of Interventions to Promote Physical Activity in Urban Green Space: A Systematic Review and Recom-
mendations for Future Research”Social Science & Medicine 124, (January 2015), pp. 246–256.
130
Republic Act No. 7586 (1992): Sec. 2.
131
The loss of prime agricultural lands is a related a network in strategic plans. While the spatial
consequence, pushing food production areas strategies that are presented in the CLUP
farther away and increasing food prices. present the proposed road network plan, it
often only follows the wider framework set by
The basic planning instruments to guide urban national agencies, or, if proposed by the LGU,
expansion and contain urban sprawl are the is not guaranteed to be implemented due to
CLUP, Zoning Ordinance, and the CDP, which budget constraints or politics.
all LGUs are mandated by law to prepare and
regularly update. The challenge is how to Comprehensive urban transport plans that
empower and capacitate the public sector to feature an integrated land use and transport
promote and regulate urban expansion that is approach are also perceived to be too
more inclusive and sustainable. complicated and costly to be undertaken by
most LGUs. These have been conducted only
for highly urbanized cities like those in Metro
4.5.5 Urban Connectivity and Manila, Metro Cebu, Iloilo City, and Metro
Mobility Davao.
The Comprehensive Land Use Plan (CLUP) and LGUs have limited capacity not only for
the Comprehensive Development Plan (CDP) transport planning and management, but also
set the physical and sectoral strategic plan urban design, which would help transform
for local transport, respectively. The scope of strategies into built form. While compact
transport, which is under the infrastructure development, densification and mixed-use
UBAN SPRAWL sector, is often limited to roads, and, when development are already promoted through
can result in long zoning, accessibility on ground is often still
commutes between
applicable, sea and airport facilities. Only a
residences and limited number of cities have transport and de-prioritized, if not disregarded. As a result,
urban centers where traffic management plans. Transport planning congestion is more prominent in the urban
public services is often fragmented and not approached as core areas, and non-motorized transport
and livelihoods are
concentrated.
Photo ©Dreamstime.com | Edwin Verin
138
infrastructure such as sidewalks, if not urban issues, and the influence of private
lacking, are often encroached upon by sector development.
vehicles, vendors, illegal construction, or other
obstructions. The CLUP guidebooks have sought to
improve the capacities of LGUs in urban
With connectivity and mobility issues as a planning, and promote a better understanding
consequence of fragmented systems and and appreciation of urban systems and
insufficient local capacity, government innovative approaches. The guide also
agencies like DOTr, LTFRB and DILG are took the opportunity to promote urban
initiating joint efforts to empower LGUs in design principles such as inclusivity, heritage
planning and managing route plans within conservation, connectivity, working with
their territories. How effectively these are nature, mixed land uses and forms, among
integrated into CLUPs and CDPs remains to be others.
seen.
1. Urban plans and designs will help
4.5.6 Institutional Capacity determine cities and municipalities’
The challenges of urbanization place immense capacity to adapt to climate change and
pressure on LGUs, which often lack the prepare for disasters. Urban planning and
institutional and technical capacity to adopt design can directly contribute to climate
a sustainable and strategic urban planning change adaptation and mitigation, through
approach. land and water use and protection, urban
forms, specific area development, building
The enactment of the Local Government designs and even choices of materials and
Code in 1991 expanded the role of LGUs inputs for development.
to include local development planning
and provision of urban services. However, 2. There is a need to develop appropriate
broadening the scope of responsibility did not and adequate planning measures to
automatically translate to the financial and prepare cities and towns for highly complex
technical resources needed to perform such urban transformation processes that meet
responsibilities. Long-term urban development the conditions of sustainability, and enable
visions are also compromised because of the built environment to function in a more
unpredictable political cycles that affect productive and equitable manner.
continuity of plans and programs. This leads
3. Planning and design must target urban
to planning approaches that are short-sighted,
activities that have led to persistent urban
reactive, and parochial.
problems like inadequate and expensive
Meanwhile, institutional frameworks “at housing, urban blight, urban sprawl, car
the macro level are lacking a strong national dependency, segregation and exclusion.
agency to assume the urban mandate.” Many LGUs and other stakeholders should
institutions are involved in activities related explore the development of more compact,
to urban development and management, open, walkable, connected, and integrated
without much coordination, integration and settlements that aim to solve such
focus, and overlapping roles, responsibilities, problems.
and programs.132 This further weakens LGUs’
4. The physical scope of planning needs to
urban planning capacity, which is already
be reviewed to acknowledge and optimize
outweighed by the rapidly forming, complex
various spatial structures and functional
regions, such as the metropolitan area,
132
Asian Development Bank, Philippines Urban Sector Assessment, Strategy and Road Map (2012).
WHILE OFFICIAL watershed, and others beyond the usual involving the in-city or near-city relocation
DATA indicate administrative and political jurisdiction. of 104,000 ISFs residing in the danger areas
that 20% of the of Metro Manila. Over a period of five years
7.5 million urban 5. A fundamental shift in planning
households fall
using a PHP 50 billion fund from the national
below the poverty approaches—from development led by the government, NHA's in-city relocation entails
income line, this market and private sector to one that is the construction of two- to five-story low-
indicator alone does steered by the public sector—is necessary. rise buildings in its own properties or those
not capture the dire
situation of informal
of participating local governments. A parallel
6. It is vital that the government addresses program is the near-city resettlement which
settlers.
the central issue of planning at the local develops sites located in the periphery
level, specifically: outdated approaches; of Metro Manila for cases where in-city
lack of a sufficient planning database relocation is not feasible. Priority beneficiaries
and tools for analysis; plan continuity and to be relocated under the program are
implementation; and monitoring. These those living along the 3 m easement of
would require technical and financial eight waterways in Metro Manila in order
investments. to implement a Metro Manila flood control
project spearheaded by the Department of
Interior and Local Government (DILG) through
4.6 URBAN SHELTER an inter-agency committee.
Ongoing National Housing Authority (NHA) In the Philippines, urban population growth
and Social Housing Finance Corporation outpaces service delivery. Affordable shelter
programs directly provide either secure tenure and land markets have not kept pace with
and basic services or financial assistance rapid urban growth as more than 40% of
to eligible informal settler families (ISFs), urban families have to live in makeshift
including those living in Metro Manila’s dwellings in informal settlements. While
danger zones. Since 2011, the NHA has official data indicate that only about 20% of
been at the forefront of a housing program
140
the 7.5 million urban households fall below capacities—particularly at the local level—to
the poverty income line,133 this indicator alone plan and implement large-scale programs
does not capture the dire situation of informal critical to urban renewal, slum upgrading, and
settlers. new site development, according to a study by
the National Informal Settlements Upgrading
Many of the urban poor living in informal Strategy. This concurs with Asian Development
settlements suffer from: lack of access to safe Bank’s findings on the capacity of LGUs. Also,
water supply and sanitation as well as proper full decentralization of functions of LGUs
solid waste disposal; poor-quality housing; has not yet taken place, and many national
insecure tenure; and high risks to public agencies are still engaged in what should be
health. Moreover, complicated legal processes local concerns, including shelter.137
prevent them from obtaining legal titles to
their places of residence.134 HUDCC estimates The private sector, on the other hand, focuses
that as of 2016, ISFs total 1.4 million their resources on the delivery of housing for
nationwide, 38.85% (544,000) of which are the higher-end of the market, and for those
in the National Capital Region (NCR). with access to formal finance.138
Informal settlements are also more exposed to The demand for urban land in the Philippines
risk, as they are located in dangerous locations far outstrips supply. Access to affordable,
such as along railroad tracks, creeks, and well-located, and suitable urban land has
riverbanks. been severely constrained by unclear and
inconsistent land use policies, weak land
Greater Metro Manila, the largest administration infrastructure, highly politicized
metropolitan region in the country, hosts 33 land and tax system, an inadequate agrarian
million people; other large urban areas include land reform program, and a deficient housing
Metro Cebu and Davao City. Overall, there development program.139 A tedious, complex
are about 326 cities and urban municipalities. regulation system and inefficient land
Because the country is an archipelago, registration process compromise and distort
nearly all of these urban centers are along or the urban land market, drive up land costs,
near the coast, and a huge segment of the and create an “artificial shortage of urban
population as well as economic and social land.” This exacerbates the high cost of land,
infrastructure is therefore exposed to risks feeds speculation, and makes housing even
associated with climate change..135 more unaffordable.140
This limited access to land and dysfunctional

4.6.1 Housing Supply and Demand land markets result in poorly located low-
income housing areas often too far from
With a large housing deficit and a mandate employment and livelihood opportunities, or
weakened by a lack of commensurate in the spread of informal settlements in public
resource allocation powers, HUDCC has lands or unoccupied but otherwise high-risk
primarily concerned itself with administration areas. The unclear and highly bureaucratic
and delivery of housing.136 Housing supply land administration, management and
has been seriously hampered by inadequate conversion processes excessively burden the
technical, financial, and managerial urban poor seeking to regularize land tenure.
133
Monthly poverty threshold for a family of 5 is P8,022 as of 2015 (Official Gazette, July 2015).
134
Asian Development Bank, Philippines National Urban Assessment (2014).
135
Asian Development Bank, Philippines Urban Sector Assessment, Strategy and Road Map (2012).
136
Ibid.
137
Ibid.
138
Housing and Urban Development Coordinating Council, Developing a National Informal Settlements Upgrading Strategy for the Philippines
(2014).
139
UN-Habitat, Habitat III: The Philippine National Report (2016).
140
Ibid.
Indirect housing subsidies, which distort less than 10% of the estimated average
housing prices and consumer decisions, annual housing need of 926,077.143
create disincentives for the private sector to
participate actively in socialized housing. There The housing problem is serious and is a largely
is limited financing available for low-income urban phenomenon. The need for housing is
and pro-poor housing production.141 estimated to reach about 5.56 million housing
units in 2016.
On the demand side, the major constraints to
securing decent, affordable housing are: To address the housing deficit effectively
would require innovative and high-density
• limited ability of low income and urban housing strategies.144 The high urbanization
poor to pay for housing; rate implies that more people need access to
dwindling urban land. This contributes to the
• physical and administrative difficulties escalating cost brought about by increased
encountered by the urban poor in competition for various urban uses other than
accessing credit for housing and livelihood housing.
opportunities;
• where microfinance is available, it is often 4.6.2 Land Tenure

uncollateralized, short-term, and carries
significantly higher interest rates.142 Land tenure has been an issue in the
Philippines for centuries. The nation’s land
For the minimum wage earners, the Pag-IBIG titling system has resulted in a massive
Fund introduced the Affordable Housing amount of untenured, unclaimed, unimproved
Loan Program. The Affordable Housing and/or disputed land. They also set the
Loan Program offers subsidized interest stage for the tangle of legal disputes that
rates of 4.5% to 6.5%, depending on the continue to beset the nation today, and the
borrower’s income and the amount of the proliferation of informal settlements.
loan. The maximum loanable amount under
this program is PHP 750,000. Since its Formulation of official state policy on ISFs only
implementation, about 27,000 members have began after the 1987 Constitution. In 1992,
availed of the program. the Urban Development Housing Act (UDHA)
was passed, reinforced in 1994 by R.A. 7835
All told, the government's accomplishments or the Comprehensive and Integrated Shelter
have led to increased access to housing and Financing Act. R.A. 7835, at the national level,
basic services for the poorest 30% of the total put the onus of dealing with informal settlers
population. However, it still lags considerably mainly on the NHA and the HUDCC.145
behind the total socialized housing need. For
the period of 2011 to 2015, the Key Shelter Twenty-nine years after the passage of the
Agencies under the umbrella of HUDCC have 1987 Constitution and 25 years after the
provided direct housing assistance to 842,677 passage of UDHA and other related laws and
households. This translates to a yearly average programs such as R.A. 7835, Community
of 168,535 households assisted per year Mortgage Program and its variant Localized
(during the period 2011-2015), constituting Community Mortgage Program, the housing
141
Idem.
142
Ibid.
143
Housing and Urban Development Coordinating Council, Developing a National Informal Settlements Upgrading Strategy for the Philippines
(2014).
144
NEDA, 2017-2022 Philippine Development Plan.
145
Lila Ramos Shahani, Rappler, “Manila’s biggest challenge” (3 April 2012), https://www.rappler.com/thought-leaders/3305-manila-s-biggest-
challenge.
142
problem persists. It has gotten more

complicated in the government’s attempt
to provide housing for all segments of the
population and its desire to involve the private
Photo ID 42575480 © Jun Pinzon | Dreamstime.com

sector as provided in the UDHA. Continued
urbanization compounds the housing
problem; the push of poverty and the pull of
employment into urban centers drives most
migrants to where their families or friends
are, which are generally in existing informal
settlements due to affordable rents.146
4.6.3 Vulnerability to Climate

Change and Disaster Impacts
ISFs are some of the most vulnerable urban
populations, due to the impact of climate
change and disasters. Such vulnerability relates
to the fact that most informal settlements
are not planned, and houses are not properly MOST INFORMAL
SETTLEMENTS are
constructed. They are often located on There are some innovative projects but none not planned and
relatively inexpensive but hazardous lands has so far been able to create the scale are often located on
such as flood plains, steep slopes, and needed to adequately narrow the housing relatively inexpensive
garbage dumps; or are close to electricity but hazardous lands
demand and supply gap posed by rapid such as flood plains,
transmission lines that are prone to flooding, urbanization. steep slopes, and
landslides, and other disasters. They are also garbage dumps.
often along esteros, rivers, creeks, and coastal From 1996 to 2013, a total of 1,645,604
areas, which are more exposed to climate or 91,422 housing units per year148 were
change impacts. provided, which represents roughly 10% of
the estimated housing need. This perpetuates
Their economic status and reduced access to the formation of informal settlements in
basic services also make them more sensitive: Metro Manila and other urban metropolis
they are likely to suffer greater losses than around the country, as ISF are unable to
those in higher income classes. Insecure access the formal housing system due to low
tenure, coupled with socio-spatial exclusion, affordability levels.
reduces their capacity to engage with formal
methods of receiving information and financial The total housing need of 6 million up to
assistance to cope with disasters.147 2030 requires a total budget of PHP 2.7
trillion or an annual budget of PHP 180
billion149 per year. If housing were allocated
4.6.4 Access to Resources for just 5% of the total annual budget similar to
Government Housing other countries, that translates to PHP 135
billion, which would be adequate to supply
The housing problem is further worsened by the 100,000 units required by the National
the lack of funding. The budget allocation is Informal Settlement Upgrading Strategy
inadequate for the construction of 5.5 million (budgeted at PHP 45 billion) and an additional
units currently needed across the Philippines. 300,000 units annually for qualified housing
beneficiaries.
146
As gathered in the NUDHF regional consultations conducted in Mindanao, Visayas and Luzon, 2016.
147
148
149
Computation based on current P450k per MRB socialized housing unit.
Lack of resources, mainly income, results in a

lopsided urban form: many urban areas exhibit a clear
divide between high-end enclaves and the informal
settlements at the fringes.
In 2016, the budget allocation for housing Issues and Opportunities

was only PHP 13 billion.150 The intentions for
ISFs through the National Informal Settlement 1. LGUs need to increase technical,
Upgrading Strategy may not be realized if no financial, and managerial capacities in
funds are allocated annually until 2025. order to successfully plan and implement
large-scale programs for housing, urban
As population swells in urban centers, the renewal, slum upgrading, and new site
competition for finite urban land intensifies. development.
This pushes land values to prices that are
too expensive (from PHP 20,000 to PHP 2. Insufficient land use policies, weak land
90,000 per m2, depending on location) for administration, politicized land and tax
housing within the affordability levels of the systems, and inadequate agrarian land
underprivileged and homeless. reform program and housing development
programs impede the delivery of affordable
housing and must be resolved immediately.
4.6.5 Settlement Integration
3. Successful housing programs depend
Lack of resources, mainly income, results in a not only on the supply but also on the
lopsided urban form: many urban areas exhibit ability of low-income and poor households
a clear divide between high-end enclaves to shoulder the cost of housing. This
and the informal settlements at the fringes. means providing families with wider
Housing development becomes more uneven channels to access housing options and,
with the prevalence of offsite resettlement equally important, livelihood opportunities
for informal settlers, many of whom remain that can increase household income and
socially and economically embedded in their support their housing goals.
places of origin. While government now
promotes in-city resettlement, existing offsite 4. Urban development and housing
resettlement continues to strain families’ strategies must support efforts to increase
meager resources. It also creates tension the capacity of urban poor to adapt to
within the urban fabric, stretching the limits of climate change and disaster impacts.
transportation and social infrastructure.
150
Government of the Philippines, General Appropriations Act for 2016.
144
5. Government must aim for more Despite such economic dominance, many
adequate housing budget, or otherwise cities are confronted by the inability to absorb
manage the values of land and related the pressures of urbanization. They are unable
resources in order to secure the necessary to provide adequate urban infrastructure,
requirements for urban poor housing and housing, and urban services. They are
basic services. incapable of translating economic gains
into efficient expenditures for the benefit of
6. Housing needs to be acknowledged growing urban populations. 152
as part of a larger urban ecosystem that
includes not only the housing structure
but also related economic activity, 4.7.1 Urban-based Economic
transportation and infrastructure, social Activities
and cultural integration, and overall quality
of life. The Philippines’ GDP increased at an average
annual growth rate of 10% and 5% from
1999 to 2013 at current and constant
4.7 URBAN ECONOMY prices, respectively. The urban-based sectors
AND FINANCE dominated the economy as evidenced by the
54% average share to GDP of the service,
Sustainability dictates that the use of resources and 33% for the industry sectors, respectively.
in each functional region must manifest in While this trend conforms to the sectoral
an equitable distribution of goods, so that structure of the world economy for middle-
every household in the community is able to income countries by the World Bank, there
provide for its immediate and future needs. was no significant structural transformation in
This entails the participation of households the Philippine economy in the last 15 years.
in economic activities that generate their
income, which consequently provides them
with a more significant access to the system.
However, realities in urban areas have and Figure 23. Philippine GDP, 1999–2013
continue to challenge this ideal. (at Current Prices and 2000 Constant Prices)153
Urban areas, particularly cities, have indeed
helped propel the development of the
urban economy, which in turn spurs overall
economic growth. The National Capital
Region currently contributes 36% of the
country’s GDP. While this has decreased
from 50% 20 years ago, the urbanization of
adjacent cities like Antipolo, Lucena, Angeles,
and Olongapo have led to the creation of a
larger urban agglomeration that, together
with the National Capital Region, now
accounts for 63% of the GDP. The other 27%
are produced by urban centers in the Visayas
and Mindanao, while the remaining 10%
comes from the combined share of the Ilocos,
Cagayan Valley, Cordilleras, and Mimaropa
regions. 151
151
152
Ibid.
153
Philippine Statistics Authority.
The service sector comprised more than half the average share in employment for the period
of 2003 to 2013, followed by agriculture at 34% and industry at 15%. The service sector
absorbed the excess labor from agriculture, in the absence of a strong secondary sector.
Nonetheless, most of those employed in the service sector are in low paying or low-skilled jobs,
such as small retail trade and public transportation. There has been no significant increase in
productivity in the service sector.154
Figure 24. Percent Distribution of GDP by Industrial Origin, 1999-2013

(at Current Prices and 2000 Constant Prices) 155
Figure 25. Employed Persons by Major Industry Group, 2004-2011156
154
World Bank, Philippine Development Report : Creating More and Better Jobs (Washington, DC, 2013).
155
156
Ibid.
146
The agriculture sector also exhibited very low 2013, with an average annual growth rate
productivity with its scanty share of 13% of 8%. At constant prices, it increased from
to GDP, despite comprising one-third of the PHP 48,085 in 1999 to PHP 141,063 in 2013,
country’s employment. registering a low annual growth rate of 3%.
On the other hand, 1,456 establishments The difference between urban and rural
were engaged in Business Process Outsourcing income and expenditure is wide, with urban
activities in 2012, employing 455,643 households earning and spending more
persons.157 Eight-three percent of the jobs than twice than those in the rural areas.
were in call centers (voice). The rest were in In 2000, urban households earned PHP
data processing and computer programming 204,977 compared with PHP 85,373 by rural
activities, information technology and households. Urban households spent
computer service activities, among others. PHP 164,794, compared with only PHP
Total compensation from Business Process 72,953 by rural households.
Outsourcing activities amounted to PHP
161.9 billion, equivalent to an average
annual compensation of PHP 355,521. 4.7.3 Urban Poverty
Seventy-eight percent came from call center
activities (voice). However, software publishing Poverty incidence in the Philippines was at
employees received the highest average 21% in 2015. Mindanao exhibited the highest
compensation of PHP 651,080, followed by poverty incidence at 34%, followed by Visayas
computer programming (PHP 575,477) and at 29%, and Luzon at 13%. Poverty incidence
computer consultancy and computer facilities in the National Capital Region is low at 4%,
management (PHP 488,247). and higher at 16% outside the National
Capital Region in Luzon.
Decreasing poverty incidence in urban areas is

4.7.2 Income and Expenditure
evident, indicating improved performance of
GDP per capita at current prices increased the urban system. However, a large segment
from PHP 42,253 in 1999 to PHP 117,612 in of the urban population sits just above the
poverty line and is extremely vulnerable to
Figure 26. Philippine GDP Per Capita, 1999–2013 158
157
Philippine Statistics Authority, Annual Survey of Philippine Business and Industry (2012).
158
Ibid.
Figure 27. Regional GDP Per Capita

2017-2022
Figure 28. Average Household Figure 29. Average Household

Income, Urban and Rural, 1991, Expenditure, Urban and Rural,
1994, 1997 and 2000159 1991, 1994, 1997 and 2000160
159
The Philippine Statistics Authority, Annual Survey of Philippine Business and Industry (2012).
160
Ibid.
161
Asian Development Bank. Republic of the Philippines National Urban Assessment (2014).
162
148
slipping back into poverty because of loss of employment, prolonged illness, natural
disasters, and other factors.161
While an improvement from previous years, unemployment in the Philippines remains

to be the highest in the Association of Southeast Asian Nations (ASEAN) region, at
6.3% in 2015. It is the highest in highly urbanized regions—particularly Metro Manila
and the two regions extending from it to the north and to the south.
Figure 30. Poverty Incidence Among Families162
2017-2022
The highest incidences of unemployment in the country are seen among males, workers with
higher educational attainment, and the youth.
Underemployment, meanwhile, poses a bigger problem. In 2015, the underemployment rate stood
at 18.5%, one-third of which were laborers or unskilled workers. Underemployment is highest
in the agriculture-based regions and in regions more vulnerable to climate change due to their
geographic locations. This high rate effectively compromises gains made in poverty reduction.
The combined unemployment and underemployment account for the persistence of poverty, which
has continued to affect about 25% of the Filipino population in the past three years.
161
Asian Development Bank. Republic of the Philippines National Urban Assessment (2014).
162
Figure 31. Employment Rates Across Regions
2017-2022
According to the Housing and Urban 4.7.4 Local Finance

Development Coordinating Council (HUDCC),
the poorest sectors in cities—the three bottom 4.7.4.1 Internal revenue
deciles of income distribution—comprise a
Local government units (LGUs) are largely
large segment of informal settler families
dependent on tax revenues to meet their
(ISFs). While the more urbanized regions and
financial requirements. From 2005 to 2013,
provinces such as Metro Manila, Bulacan,
88% of the total income of LGUS came from
Pampanga, Cavite, Laguna, and Rizal have
Internal Revenue Allotment. Only 7% of
much lower poverty incidences—ranging
their total income came from operating and
from 3.1% to 7.6% compared to 34.1% to
miscellaneous revenues. For the same period
46.9% in the predominantly rural regions of
covered, income from tax revenues increased
Mindanao—the multiplicity of vulnerabilities
at an annual average growth rate of 9%.
and deprivation affecting millions of ISFs in
these cities make them more vulnerable. The Income from operating and miscellaneous
absolute number of poor families in the highly revenues grew at a higher rate of 12%.
urbanized cities of the Philippines will likely About three-fourths of the total income was
continue to increase in the future. Hence, spent by the LGUs for personal services and
the locus of poverty will generally move to maintenance and other operating expenses.
the cities, a process that has been called the
“urbanization of poverty.”163
163
Housing and Urban Development Coordinating Council, Developing a National Informal Settlements Upgrading Strategy for the Philippines,
(2014).
150
Figure 32. Income of LGUs by and one under the Department of Health.
Source, 2005-2012 The Metro Rail Transit (MRT) Line 7 Project
worth PHP 68.30 billion under the DOTr was
awarded under the Build-Operate-Transfer
Law. The Metro Manila Skyway Project Stage
3, worth PHP 37.43 billion, under the Toll
Regulatory Board was under a joint venture
agreement.
Only two projects were executed through

public-private partnerships by LGUs: the
Tanauan City Public Market Redevelopment
Project by the city government of Tanauan;
and the Baggao Water Supply Project by the
municipal government of Baggao, Cagayan.
In addition, 39 various projects are still in the
pipeline.
4.7.4.3 Grassroots budgeting

Grassroots participatory budgeting process is
an approach to budget proposal preparation
Figure 33. Expenditures of LGUs by of national line agencies, taking into
Type, 2005-2012 consideration the development needs of
cities/municipalities based in consultation
with the basic sector and other civil society
organizations, and as identified in their
respective local poverty reduction action plans.
This is a strategy to ensure the inclusion of the
development needs as identified in the budget
proposal of participating government line
agencies.
The allocation for bottom-up budgeting

amounted to PHP 20.9 billion in fiscal year
2015. Of this amount, Regions VII and VIII got
the highest allocation (9.1% each), followed
by Region IV-A and Region V, and Region III
(8% each). Regions that obtained the lowest
proportion were the National Capital Region
and the Autonomous Region in Muslim
Mindanao (1% each).
4.7.4.2 Private sector participation
As of May 2016, 12 projects worth a total Table 19 shows that among agencies of
of PHP 197.74 billion have been awarded to the government, the DILG got the highest
private entities for implementation. These allocation (27%), followed by the Local
include six projects under the Department Government Support Fund and Department
of Transportation (DOTr), three under the of Social Welfare and Development (DSWD)
Department of Public Works and Highways, (13% each), the Department of Health and
two under the Department of Education, the Department of Education (7.1% each).
Figure 34. Regional Internal Revenue Allotment
2017-2022
The rest of the agencies involved were income, which consequently provides
allocated about less than 1% to 2% of the them with a more significant access
total allocation. to the system. Economic growth, as a
precondition for poverty reduction, should
Issues and Opportunities be inclusive.
1. The government should strive for 3. The government should provide a
balanced economic development through responsive and investment-friendly
appropriate strategies to promote environment. The participation of both
forward and backward linkages between the public and private sectors is necessary
progressive and lagging/depressed due to the limited public resources for
regions/areas of the country, while economic development.
recognizing the strategic advantages and
core competencies of urban centers and 4. There is a need to diversify local
their role in overall national and regional economies and have a wide range of
development. business ranging from micro to small,
medium and large enterprises. Local
2. The concept of sustainability dictates entrepreneurship and sustainable
that the use of resources in each functional livelihoods should also characterize the
region must manifest in an equitable local economy, including the informal
distribution of goods, so that every economy.
household in the community is able to
provide for its immediate and future needs. 5. Mixed use urban development is key in
This entails the participation of households promoting local economic development.
in economic activities that generate their
152
6. Adequate public investment in Table 18: Allocation for Participatory Budgeting

infrastructure development is key by Region, 2015164
to facilitate vibrant businesses and
communities in order to move goods,
services, and people, as well as enhance
connectivity and interconnectivity.
7. Maintaining and expanding a

competitive workforce is key to a healthy
economy.
8. Economic development should consider

the protection of the environment.
4.8 FILIPINO CULTURE AND

HERITAGE
Urbanization presents particular challenges for
Filipino culture and heritage. The Philippines is
one of the most culturally diverse countries in
the world, with one estimate identifying 126
ethno-linguistic groups in the archipelago,166
while another identifying 77 major ethno-
linguistic groups, with 244 subgroups. 167
This diversity is the product of a cultural
evolution driven by a geography defined by
islands and mountain ranges, yet constantly Table 19: Allocation for Participatory Budgeting
enriched by periodic migrations within and by Agency, 2015 (At Current Prices and 2000
into the archipelago. However, the processes Constant Prices) 165
of colonization, nation-building, globalization,
and urbanization have both served to
homogenize that diversity, while creating new
pressures to assert that diversity.
4.8.1 Interaction between

Natural Systems, Social, and
Cultural Systems
Social and cultural systems are transformed
by, and in turn transform, natural systems.
Social and cultural systems may reflect a
community's adaptation to a particular
environment, and an attempt to render
that environment more suitable to that
community's needs. Moreover, the
community may develop as part of that
164
General Appropriations Act Fiscal Year 2015.
165
General Appropriations Act Fiscal Year 2015.
166
Robert B. Fox and Elizabeth Flory, The Filipino People (1974). Available at http://ncca.gov.ph/about-culture-and-arts/culture-profile/e-books/.
167
Jesus T. Peralta, Glimpses: Peoples of the Philippines (2000). Available at http://ncca.gov.ph/about-culture-and-arts/culture-profile/e-books/.
culture a body of symbols and meanings regions during holidays, and those employed
for the interaction between itself and the in the city support family members in the
environment. Over time, however, different provinces. Most retain their ethno-linguistic
factors—environmental, social, political, identity even as they learn the language and
cultural, or economic—may transform the practices of the dominant group in that city.
community, leading cultural and social systems On the other hand, the dominant group can
to evolve in response to these new factors. both react to migrants by a process of "other-
Such transformations, however, may prove ing," or be enriched by cultural exchanges
incompatible with the natural environment, between groups. Urbanization thus can serve
requiring the intensive use of resources to as a process of cultural exchange for migrants
manage the impact of human activity. and residents, but can also result in division
and conflict.
The settlement of the Marikina-Pasig river
system, for instance, was likely driven not The Philippine city, however, finds itself not
only by its nature as a verdant river valley. It only at the crossroads of Filipinos, but also at
was likely also driven by rich biodiversity of a the intersection of a global political economy.
varied landscape, with fields and mangroves, The flow of capital across borders finds its way
forested mountains to the northeast, an ocean to the Philippines in growth industries, such
to the west, and a freshwater lake to the east. as business process outsourcing, leisure and
The area was also linked by bodies of water to tourism, and real estate development. Urban
communities throughout the archipelago and areas are evolving into 24-hour, round-the-
the world. With a diversity of products from clock organisms, linked by data and fiber to
the mountains, mangroves, the bay, and the economies half a world away. Global trade has
lake, the community thus developed a culture ensured a growing community of expatriates
rooted in both agriculture, forestry, fishery, in urban areas, while expatriate Filipinos
and trade. It was constantly under the threat support the economy with their remittances to
of natural disasters, but periodic monsoon their relatives.
storms and volcanic eruptions also served to
drive the ecological diversity of the area while With intense exposure through media to
shaping a culture both resilient and adaptive. cultural and social forms from across the
world, Philippine urban areas are fully
Over time, in the wake of colonization, integrated into the global economy. But while
urbanization and globalization, the area global cultural exchanges can be an enriching
evolved into the political and economic process, it also can be homogenizing when
center for the archipelago, and transformed a faced by particular cultures that dominate
landscape and the people's social and cultural the global political economy. Furthermore,
systems to one now ill-suited to its natural globalization may create an urban culture
systems. In fact, these same natural systems that has much more in common with other
are now seen as constraints to the expansion cities in the world, than with that of its own
of the metropolis. And this is a pattern that is hinterland, creating yet another fracture line
now being replicated throughout the country. for social conflict.
With their place at crossroads, the governance

4.8.2 Filipino Social/Cultural of urban areas requires the management
Dynamics in Urbanization of cultural diversity to conserve and protect
cultural identity, as members of various
The process of urban migration brings the ethno-linguistic groups, and as members of
breadth of Philippine cultural diversity into its the Filipino nation itself. Cities are thus at
key cities. Ethno-linguistic groups from across the forefront of crafting a national identity,
the archipelago find their way into urban and are at the heart of the process of state-
centers for trade, education, and employment, building. This mandate emanates from the
with many individuals maintaining substantial Constitution itself, which enshrines the
ties to their home regions. Migrants to the preservation and enrichment of the Philippine
cities travel back and forth to their home culture.168 Our laws see culture as integral to
154
Photo ID 50862260 © Jack Malipan | Dreamstime.com
our national identity,169 and to that end, that other in complex ways in a co-evolutionary
the State is mandated to "protect, preserve, process.” 171
conserve, and promote the nation's cultural
heritage, its property and histories, and Traditional cultural practices may be instructive
the ethnicity of local communities... [in] a in moving away from a carbon-intensive
balanced atmosphere where the historic past and toward a more sustainable economy,
coexists in harmony with modern society."170 for instance. Crop rotation and the use of
different plant varieties may allow for less
use of industrial pesticides and fertilizer.
4.8.3 Culture and Sustainable Traditional building designs utilize shade,
Development cross ventilation, and passive cooling to make
structures comfortable even without air-
The conservation of culture draws value conditioning. Communities are designed in a
not only for its role in the process of state- manner that do not rely on the combustion
building, but also in exploring its relationship engine for mobility.
with the environment, and developing a
framework for sustainability. Finally, in an era of rapid social and cultural
change, the conservation and stewardship
As noted by the United Nations Educational, of culture provides a source of stability for a
Scientific and Cultural Organization (UNESCO): community, a means of communicating shared
“At a more fundamental level, cultural values and preserving a sense of dignity.
heritage is inherently relevant to the debate
on sustainable development because it reflects Issues and Opportunities
and symbolizes the mutual adaptation over 1. Critically, in nurturing a national
time between humans and their environments identity, Philippine cities must strive to
and how people relate to the earth and to preserve cultural heritage,172 in both
the cosmos. It also reflects and symbolizes its intangible173 and tangible forms. Of
people’s attitudes to and beliefs in other forms the latter, built heritage174 in particular
of life, their relationships to other human is of crucial importance. Built heritage
communities and within their own, and what provides the setting or the context in which
they value in order to sustain and improve other aspects of cultural heritage can be
their quality of life. Seen from this angle, the taught, transmitted, and valued through
cultural heritage demonstrates the inextricable the generations. However, urban areas
link between cultural and biological diversity, are precisely caught in that challenge of
which, rather than existing in separate and finding a balance between the "historic
parallel realms, interact with and affect each past" and "modern society."
Social and cultural systems are transformed by, and in

turn transform, natural systems. Social and cultural
systems may reflect a community's adaptation to a
particular environment.
168
The Philippine Constitution, Article XIV, Sections 14, 15, 16 and 17.
169
The Law Creating the National Commission for Culture and the Arts, Republic Act No. 7356, Section 3.
170
Republic Act No. 10066 (2009): Sec. 2.
171
UNESCO, “Cultural Heritage and Sustainable Development: A Rationale for Engagement,” accessed on July 30, 2018,
http://www.unesco.org/new/fileadmin/MULTIMEDIA/HQ/CLT/images/HeritageENG.pdf.
172
Republic Act No. 10066 (2009):sec.3(l). "Cultural heritage" shall refer to the totality of cultural property preserved and developed through
time and passed on to posterity.
156
2. Pressures from accommodating more 4.9.1 Urban Legislation and Policy

people and generating economic activity
often trump the process of finding one's While there are many laws and policies that
identity. But it is here where traditional apply to urban areas in varying degrees, a few
cultural practices may be instructive—in of the more commonly employed are cited
moving away from a carbon-intensive and here, including their relative strengths and
toward a more sustainable economy and weaknesses.
overall urban development.
Numerous issues plague the full
3. Governance of urban areas requires implementation of laws and policies, including
the management of cultural diversity to overlapping mandates, lack of resources
conserve and protect cultural identity, for implementation, and translation to
as members of various ethno-linguistic local policies and programs. Specifically,
groups, and as members of the Filipino the Local Government Code may need
nation itself. Cities are thus at the forefront to be reformed, with emphasis on: (1)
of crafting a national identity, and are at strengthening, rationalizing, and obligating
the heart of the process of state-building. the actions of Local Development Councils;
(2) making zoning more appropriate to new
urban problems; and (3) facilitating the use of
4.9 URBAN GOVERNANCE betterment levies and other tools to generate
revenue out of effectively implemented
Governance is the manner and actions by planned land uses.
which a government exercises its authority.
Since the 1980s, the concept has expanded Clarification of status for the Autonomous
beyond the traditional dominant role of Region in Muslim Mindanao, and a possible
government to areas where NGOs and civil Bangsamoro Autonomous Region. The failed
society groups partner with the establishment, bid to pass the Bangsamoro Basic Law during
or take on quasi-governmental roles, as well the last administration promises to be a
as where private investors may contract with resurgent territorial issue. The whole politico-
government under public-private partnerships economic package will probably have to be
to speed up infrastructure and service revisited and reworked, in order to plan for
provision. investments in key urban areas of southern
and western Mindanao (e.g. Cotabato City),
The government recognizes and continues as well as to rationalize trade linkages with
to address the central issues of the urban bordering Malaysia and Indonesia. Planning
governance, especially at the local level. The for these areas may or may not hinge on
complex requirements of a rapidly growing a proposed shift to a federal system of
population, and consideration of multi-faceted government.
issues like climate change and disasters
demand an updated, more appropriate 4.9.2 Vertical and Horizontal
approach to governance, which may be Linkages
currently lacking.
Figure 35 illustrates the general urban
governance framework. The number of
institutions involved, with overlapping
mandates, often results in inefficient vertical-
horizontal institutional coordination for
173
Idem, sec. 3(x).
"Intangible cultural heritage" shall refer to the practices, representations, expressions, knowledge, and skills, as well as the instruments, objects,
and artifacts associated therewith, that communities, groups, and individuals recognize as part of their cultural heritage, such as: (1) oral tradi-
tions, languages, and expressions; (2) performing arts; (3) social practices, rituals, and festive events; (4) knowledge and practices concerning
nature and the universe; and (5) traditional craftsmanship.
174
Ibid, sec. 3(f). "Built heritage" shall refer to architectural and engineering structures such as, but not limited to, bridges, government
buildings, houses of ancestry, traditional dwellings, quartels, train stations, lighthouses, small ports, educational, technological, and industrial
complexes, and their settings, and landscapes with notable historical and cultural significance.
planning, implementation, and operation of Although the decentralization process can

infrastructure and service. 175 be deemed a success, the lack of effective
urban governance mechanisms, particularly
Sectoral and area-based planning are for regional-scale infrastructure projects
incongruent. While local priorities are area- involving inter-jurisdictional cooperation, has
based, national priorities are sector-based. resulted in negative impacts on economic
Large, strategic projects identified by LGUs competitiveness, the environment, and the
often have little chance of being implemented delivery of reliable, affordable, and resilient
because they have no access to national urban services.76
funds that get allocated through the sectoral
departments or agencies. Critical problems are Decentralization has also become a burden
trans-boundary, but programs and projects for urban planning, with more than 1,500
aimed at them reckon with a fragmented independent planning units, not counting
implementation structure, composed of the number of barangays that also demand
politically independent cities. Coordinated development planning. With each LGU
implementation has been less than desirable having its local chief executive, the risk of
even in delineated metropolitan areas. incongruent or conflicting development
directions is heightened. The Housing and
Land Use Regulatory Board (HLURB) and DILG
4.9.3 Decentralization are often constrained from imposing regularity
and harmonization with higher level plans due
The two-decades-long promulgation of the to lack of technical and financial resources.
Local Government Code continues to show
that LGUs alone may be able to handle In order to properly and efficiently govern the
many, but not always all, the responsibilities Philippine territory, and in particular, urban
and duties that result from decentralization. space, it is necessary to have physical presence
Even if they could do so, in some cases, it is of government units wherever there are
still more practical to either work together substantial communities of citizens. In most
formally with adjacent, peer LGUs, or to allow cases, this presence essentially consists of two
better-equipped national government agency cooperative entities: first, a local government
intervention where economies of scale might that is representative of the majority of the
be more efficient. community and responsible for the welfare,
protection, and development of all citizens
within its jurisdiction; and second, appropriate
satellites or branches of national government
BOX 22. WHAT IS GOVERNANCE? agencies that extend nationwide programs,
UN-Habitat has a similar definition of governance: urban projects, assistance, and services to the LGU
governance consists of the “many ways that institutions and its constituents.
and individuals organize the day-to-day management
of a city, and the processes used for realizing the short
term and long-term agenda of a city’s development…it is 4.9.4 Urban Land Management
the software that enables urban hardware to function.”
(Habitat III: The Philippine National Report, October 2016) LGUs are tasked with the proper management
of land resources for public interest, with
land use planning and zoning as the primary
modes of intervention. Most LGUs, however,
do not intervene with land markets and are
largely limited to reviewing and approving
175
UN-Habitat, Habitat III: Philippine National Report (2016).
176
Ibid.
158
Table 20: Key Laws that Form the Philippine Urban Governance Framework
Does not contemplate

P.D. 1096 of Codifies all basic Expand and enhance for
newer materials and
1977 building regulations Green Building, etc.
technologies
B.P.220 of Economic and Short text, could benefit Revisit and refine to detail
1982 socialized housing from elaboration on definitions
defined, etc. dimension range, cost,
and affordability, presently
pegged at “30% of
household income, as set
by the National Economic
and Development
Authority” (Section 2)
P.D.957 of Regulates subdivision Does not yet comprehend Enhance/expand to regulate

1976 building and specifies recent advancement boom in condominium
visitorial powers for in condominium development and add
inspectors construction and is not mechanisms for more inclusive
particularly pro-poor or costing, or options for
inclusive in design or cost donation/ government buy-in,
or socialized components.
R.A.7160 of Decentralizes power Has a one-size-fits-all Consider federal or

1991 to LGUs and sets approach and causes metropolitan forms, plus LGU
guidelines. Elevates LGUs to compete; as well qualifications for upgrade;
local authority as it is vague in some Department of the Interior
planning terms and Local Government
training should emphasize
urban governance
R.A.7279 of Provides a roadmap May make private sector Expand in response to

1992 and rules for housing owners uneasy. complex urban poor issues
the poor
R.A.7835 of Unifies housing May be narrowly Rationalize vs. potential non-

1994 finance under the concerned with government financing
Social Housing Finance government financing
Corporation
R.A.9003 of Requires solid waste May not be practical for Revise based on progress of
2000 management systems, poorer, less technical implementation. Propose
especially for cities LGUs alternative methods that are
more acceptable, affordable,
and implementable by LGUs
R.A. 9729 of Consistent in language Requires much climate Clarify amount/level of climate
2009 and structure change-related work change mainstreaming
with international from LGUs, when broader needed, as this may vary
frameworks on climate scientific studies may not depending on spatial level and
change yet be ready location.
R.A.10066 of Unifies laws on Does not rationalize Strengthen mechanisms for

2009 heritage conservation, strongly some items like aiding the conservation and
even in cities urban vistas rehabilitation of landscapes
and seascapes
R.A. 10121 of Good integration of Does not yet comprehend May be refined more to
2010 disaster risk reduction the quick and massive specify interface mechanisms
and management external humanitarian with external aid and
at all levels of assistance interface, and accountabilities for donated
government, and civil society interventions funds
sets up mechanisms and funds
for humanitarian
assistance
land development projects when these are laws that safeguard the rights of the poor and
proposed by private land owners and/or vulnerable groups. The problem, however, is
developers. their implementation on the ground, because
of the lack of personnel and the difficulties
Land administration—including titling, inherent to an archipelagic country. To address
registration, and transfers—remains a national this situation, these agencies have devolved
government function performed by different some of their functions or have entered into
agencies. The classification of alienable and “co-management” agreements with LGUs.
disposable lands and public lands is under
the Department of Environment and Natural Because of the LGUs’ limited level of
Resources. Other national agencies such as the involvement in land management, many
Department of Agriculture, the Department of them have not developed the capacity
of Agrarian Reform, the Department of for it and rely primarily on the action of the
Trade and Industry, and the Department of national agencies. This has resulted in the
Transportation all have land management- lack of innovative urban land development
related functions. These agencies have approaches, such as the pooling of individually
established frameworks backed up by national owned properties for the provision of
160
Figure 35. The General Urban Governance Framework
socialized housing or the revitalization of Given the situation, much of the actual
blighted downtown areas. development tends to be driven by the private
sector. Most cities abet this because of the
The Philippines has been trying to improve additional revenue that they derive from it,
its overall system of land management without realizing that such development may
and administration through the Land be creating other and more serious kinds of
Administration and Management Program. problems.
This has largely focused on streamlining
processes of concerned national agencies,
particularly on updating the titling of 4.9.5 Technical Capacity
properties. A follow-up program is being
prepared, focusing on LGUs and land A capacity needs assessment conducted
information in relation to real estate taxation. indicated an overall weakness for
It is not yet clear whether this program will development planning, management,
cover other aspects of land management at and enforcement. This can be traced to
the local level. lingering, unaddressed policy issues affecting
institutional structures, inter-governmental
The overlapping land administration functions and multilevel governance relationships,
and gaps in land information have also management and technical capacity, as well as
resulted in land use conflicts, especially unmet public and private financing needs.177
of indigenous peoples’ territories vis-à-vis
expanding urban areas, and illegal titling of While many LGUs have initiated significant
protected areas. improvements in their management systems,
177
UN-Habitat, Habitat III: Philippine National Report (2016).
Figure 36. Government Decentralization Map
National Government: Regional or Metro Decentralized Single Local

Government Governments or Clusters
• To handle massive development.
projects; complex finance • To handle common resource • To partner with peers for circuit-
• To control areas where national areas (water, electricity, etc.) or pool- type (e.g. tourist)
security is vital • To address cross-LGU problems endeavours
• To correct entangled LGU such as traffic, solid waste
problems at local level • To assist/guide in case of disaster
or inter-LGU issues
most do not maintain regularly-updated over longer periods of time, in order to

management data bases, and continue to be successfully enforce public policy.
challenged in employing planning instruments
to guide urban development, namely the While agencies such as the DILG try to
Comprehensive Land Use Plan The (CLUP), the incentivize LGU development through
Zoning Ordinance, and the Comprehensive common reporting systems and the “Seal
Development Plan (CDP). of Good Local Governance,”179 these
mechanisms cannot fully communicate the
The clamor for capacity-building continues actual conditions on the ground. Ground
to be echoed by stakeholders—especially validation is necessary to see if development
practitioners in the Visayas and Mindanao, has reached the most marginalized citizens, as
where basic methods of planning and well as the most remote areas. Simultaneously,
urban management need more extensive good governance on the ground is expected
dissemination.178 Only concrete results and to manifest the principle of participation and
outcomes on the ground will testify to the empowerment of stakeholders, who logically
effectiveness of such training. have the greatest interest in sustaining
administrative reforms and innovations.
4.9.6 Leadership and Increasingly, the need to ensure public safety

Good Governance and security has become more apparent. It is
the task of the leaders to ensure that every
In some cases, the scaling up and replication citizen is reasonably able to live, work, and
of successful urban plans and programs are play free from insecurities, as well as physical,
constrained by changes in administration, sociological, and psychological harms that
especially when opposing or different may hinder personal growth and healthy
political parties succeed each other. Long- interaction in the urban environment. While
term plans and even staff are dropped and the government should neither be totalitarian
replaced by new ones, compromising the full in monitoring its citizens nor overprotective,
implementation of programs. its benevolent and corrective presence should
be evident enough to discourage injustice,
In this aspect, LGUs must rely on good especially by agents from among its own
leadership and a reliable government ranks.
machinery to bring about stability, social
inclusiveness, and fair distribution of resources
178
NUDHF stakeholder consultations, 2016.
This has six assessment criteria: (i) good financial housekeeping (formerly from the Seal of Good Housekeeping); (ii) disaster preparedness; (iii)
179
social protection; (iv) business friendliness and competitiveness; (v) peace and order; and (vi) environmental management.
162
4.9.7 Assertion of Sovereignty

and Culture
In recent years, due to shifts in international
geopolitics and the reality of neighboring
countries’ growing urban populations’
demand for land and water resources, the
issue of territorial ownership has come to the
fore, even for the archipelagic Philippines.
Palawan and the Kalayaan islands and
Zambales are currently the most immediately
affected by international territorial disputes.

Human settlements—especially cities, with
their expanding populations—are thus not
only engines of growth, but are potentially
bastions of dynamic civilian presence,
particularly in the frontier provinces. If
managed properly, they become signifiers of
sovereignty and can be planned, designed,
and managed to express a unique Filipino framework of laws. When working CITIES, WITH
THEIR EXPANDING
identity over all lands and territorial waters. As through and with the government, one has
POPULATIONS, are
part of urban development policy, it may be to always heed the enabling environment not only engines
practical for sociopolitical reasons to look into created by law—as well as the constraints, of growth, but are
strengthening civilian presence and developing overlaps, and gaps in national laws, local potentially bastions
of dynamic civilian
core infrastructure in those areas, along ordinances, and agency policies that should
presence.
with other frontier area LGUs, namely Sulu, sooner or later be reconciled, revised, or
Mindoro, Batangas, Bataan, La Union, Ilocos repealed. Narrow interpretation of the
Sur, and Ilocos Norte. law may sometimes constrict action or
promote “turfing” between and among
That is not to say however, that there is national government agencies and LGUs.
no more internal spatio-political dissent, Instead, the strategy should be one of
but rather that such internal contestations complementarity and constructive overlap,
between LGUs can be resolved technically in situations where people “fall between
and politically over time, and would better be the cracks,” or where problems straddle
subordinated to larger pan-territorial concerns, jurisdictional boundaries, such as traffic
like resilience to adverse effects of climate and crime.
change, effectiveness of fine-tuned territorial
control, and core-periphery economic linkages 2. Decentralization is ideal for solving
—with all these issues finding their most many, but not all urban challenges.
diverse and intense manifestation in Philippine While decentralization shall continue as a
cities. Some particular governance issues are dominant paradigm in the Philippines for
more pertinent to specific macro-regions, achieving sustainable and inclusive cities,
like Luzon, the Visayas, or Mindanao, but it must be complemented by selective
nevertheless, strong, reliable, transparent, aggrupation, and “recentralization”
accountable, and pro-poor government measures where obviously necessary,
should be consistently present in all parts of whether these are formal metropolitan
the archipelago. areas or more loosely associated mutual-aid
groups that come together to face natural
disasters or cross-border problems like
flooding, traffic, urban crimes, and waste
1. Effective urban governance must management.
be based on a sturdy and consistent
3. Good urban governance may mean that 4.10 THE ASSOCIATION OF

the national leaders shall have to intervene SOUTHEAST ASIAN NATIONS
forcefully but surgically in LGUs where
(ASEAN) INTEGRATION
growth has spiraled out of control, or
where basic public welfare needs are not Pursuant to the Declaration of ASEAN
being addressed. Concord II signed in Bali, Indonesia on
October 7, 2003, the member states of the
4. Everyday safety, mutual respect for ASEAN committed to the establishment
fellow citizens’ rights, and human security of the ASEAN Community, including the
reflect good governance. Excellent urban ASEAN Economic Community by 2020,180
governance will ensure safety and the as an international common-market and
protection of human rights for all of the geospatial region that would promote the
residents of a city, as well as transients who shared interests of its members, and constitute
are visiting and engaging in business or a coherent production base able to provide
tourism, among other purposes. competitively to both ASEAN and the global
community. This followed logically from the
5. The government and its partners, when
1992 Treaty creating the ASEAN Free Trade
exerting the right amount of regulation
Area, as well as other prior agreements.
—neither too authoritarian nor too
libertarian—enable growth by providing Although ASEAN members have not delivered
a safe, predictable, and democratic milieu specifically on all politico-administrative
where constituents can express their and legal changes committed by 2015, the
creativity, practice entrepreneurship, and initial year of integration, they have made
engage sociably with most fellow citizens. significant advances in promoting common
understanding and mass appreciation that the
6. Resilient cities and municipalities are
respective nations’ interests are indeed served
the result of forward-looking governments
by the proposed community.181 As for its own
that anticipate natural and man-made
commitments, the Philippines substantially
disasters, and thus make possible resilient
brought down all tariffs to 0%, per Executive
spatial structuring, including forms of
Order 850 of 2009, except for a very short
agglomeration that build joint durability.
list of “sensitive” products that include some
7. Inclusive settlements can be designed types of rice and sugar, which still need a level
by governments to ensure adequate of government trade regulation.182
public space, free access to information,
Still somewhat distant from the achievements
sociocultural balance, and safety. Such
and degree of system-interoperability of its
inclusiveness is not accidental; it is
predecessor, the European Union, the ASEAN
promoted, protected, and especially
Community shall continue to emulate some
manifested in public spaces and in
functional aspects of the former, in order to
egalitarian access. These are the marks of
adopt best practices from successful inter-state
government action to ensure spatial justice
rapprochement elsewhere in the world.
and to discourage segregation that blocks
gregarious, enriching interaction. It is in this light that the Philippines must
consider what structural and procedural
changes it must undertake in its established
system, in order to ease the transition to
a common market that will most probably
provide significant economic returns.
180
The ASEAN Secretariat, The ASEAN Economic Community Blueprint (Jakarta, 2008).
181
Basu Das Sanchita, Menon Jayant, Severino Rodolfo, and Lal Shrestha ed., The ASEAN Economic Community: A Work in Progress (2013).
182
Medalla, 2012.
164
Although ASEAN Integration prioritizes reforms in trade

policy and legal safeguards to promote economic
networking first, spatial preparations that manifest as
physical changes in key cities will also take place in the
next half decade.
Table 21: Snapshot of Tradables and Potential Relation of
ASEAN States with the Philippines183
ASEAN Natural, Built, or Human Possible Relation to

Prime Commodities
Member State Endowments the Philippines
Brunei employer of skilled

petroleum, natural gas highly educated workforce
Darussalam labor
tourism, garments, rice, mineral reserves and high importer of skilled

Cambodia
corn, construction tourism potential labor, mineral source
petroleum, natural gas, large labor force, much agricultural supplier,

Indonesia
rubber, palm oil, textiles land area importer of labor
mining reserves, water importer of skilled

Laos mining, timber, vegetables
infrastructure labor; agri supplier
rubber, petroleum,
high standard of physical employer of skilled
Malaysia palm oil, natural gas,
and IT infrastructure labor
pharmaceuticals
Myanmar wood products, rice, beans agricultural raw materials importer of products
electronics, sugarcane,
Philippines bananas, coconuts, English-speaking workers *
garments
IT, advanced financial and
Singapore highly-educated workforce employer of skilled labor
managerial services
Thailand tourism, rice, textiles central location agricultural supplier
Vietnam rice, coffee, food processing long coastline agricultural supplier
The Central Intelligence Agency, “CIA World Factbook,” accessed on March 18, 2016, https://www.cia.gov/library/publications/the-
183
world-factbook/.
will be occupying in relation to its neighboring

states. At least three pre-existing regional
assemblages are likely to lead as sub-
regional zones of productivity and/or closer
socioeconomic linkage: the Indonesia-
Malaysia-Singapore Growth Triangle, the
Indonesia-Malaysia-Thailand Growth Triangle,
and the Brunei Darussalam-Indonesia-
Malaysia-Philippines East Asia Growth Area.
Of these three, the Brunei Darussalam-
Indonesia-Malaysia-Philippines East Asia
Growth Area is geographically the Philippines’
closest land linkage to its ASEAN neighbors,
Photo ©Cagayan de Oro CIO/Rhoel Chavez Condeza
even if the area of envisioned growth is still

peripheral and remote from the respective
states’ capitals. Hence, the Philippines
has historically acquired less investments,
especially because of the ongoing separatist
insurgency, sporadic terrorist activity, and
a latent territorial claim against Malaysia in
the Brunei Darussalam-Indonesia-Malaysia-
Philippines East Asia Growth Area sub-region.
Nevertheless, because of its proximity to
inter-island linkages of the other states and its
historic importance as a center of seaborne
trade, this area’s potential remains immense,
as long as the peace and order issues are
resolved.
Apart from the abovementioned region, the

PHILIPPINE CITIES, Philippines has strategic interests in the West
ESPECIALLY ALONG
COASTLINES and Philippine Sea, not only because this is a much
flatlands, must Although the source documents for ASEAN used sea route for international trade with
be well-managed
Integration unequivocally prioritize reforms in partners such as Japan, China, and South
gateways and Korea, but also because it is the most direct
physical links to the trade policy and legal safeguards to promote
common market of economic networking first, it may be inferred route to access ASEAN countries such as
the ASEAN. implicitly that some spatial preparations that Vietnam, Cambodia, and Thailand, by sea or
manifest as physical changes in key cities by air, duly noting that at least two of those
will also take place in the next half decade. countries continue to provide the rice supplies
While urban development and housing are for the Philippines.
not emphasized on the “to-do” list (the
One unexplored potential is the Philippines’
2009 Roadmap, and other documents) for
location on the northeastern rim of the ASEAN
ASEAN integration, any astute planner can
area, giving it relatively unrestricted access
readily foresee that some urgent actions are
to fishing grounds and insular trade partners
needed on the ground. Urban development
in the Pacific. There may be an opportunity
with a view towards facilitating trade must be
here for certain cities to act as transshipment
considered.
and intermediate manufacturing areas for
It is important to appreciate beforehand the goods that cross between the western and
regional-spatial context that the Philippines eastern hemispheres, or that come in from
several smaller Pacific states en route to the
166
rest of Southeast Asia, to include both ASEAN 4. The net gains, losses, and dominant
members, and East Timor. directions of the flow of goods, services
and information will depend much on the
Issues and Opportunities “soft” component of cities. Apart from
the necessary infrastructure preparations,
1. The opening and integration of
this includes other elements such as
ASEAN markets can be seen as a call for
skilled workers, industrial culture, and
wider inclusiveness and integration.
government’s ability to sustain an investor/
2. The multi-faceted participation of locator-friendly operating environment
the Philippines in a unified ASEAN regional in the physical and administrative senses.
market should be welcomed in so far At the same time, the influx of foreign
as it: (1) fosters inclusive development workers, with their own knowledge,
by allowing mobility of goods, peoples, skills, habits, and needs, will become a
and ideas; (2) promotes resilience by governance issue that must be prepared
encouraging learning about disaster- for at both the national and local levels.
response and best practices in building
5. Any integration into a wider, more
back better; (3) integrates urban systems
complex market requires corresponding
across a pan-regional and international
infrastructure and institutional
scale; (4) enhances the accessibility of
modifications, reforms, and investments
urban areas as platforms, at least for
by the government. The full benefits of
trade; and (5) supports participation
integration to a wider market cannot be
and empowerment in general. Any
enjoyed unless sufficient preparations are
governmental initiatives of the Philippines
made, especially for large-scale, high-
to engage ASEAN productively should
risk, and agglomerative projects that only
also be monitored by the concerned
the government might initially invest in,
agencies and stakeholders, in order to take
because of foreseeable merit.
advantage of developmental opportunities
that present themselves. 6. Infrastructure as well as institutional
reform will be needed, especially to remove
3. The Philippine cities, especially along
what the ASEAN Integration commentaries
coastlines and flatlands, must be well-
call “non-trade” barriers, which include
managed gateways and physical links to
cost of doing business (e.g. raised by
the common market of ASEAN. Regional
corruption and lack of technological
economic integration contemplated in
capability), and lack of transparency,
the ASEAN Concords and other related
reliability, and accountability in dealing
documents obviously takes place in
with institutions.
markets that are at least monitored, if not
lightly regulated by state agencies. In this 7. Environmental integrity and the
regard, it is certain that selected Philippine resilience of the cultural fabric remain
cities, which may or may not currently be just as important as worth protection,
vibrant markets, will absorb the bulk of even as the Philippines opens up to the
import/export transactions and knowledge flood of goods, services, and ideas from
exchange. Hence, it is important to plan its Southeast Asian neighbors. Planning
for and implement support infrastructure should not just prepare for economic
in these cities, as well as means for sharing impacts, but for social and institutional
and spill-over of the benefits to cities and integration down the line.
municipalities in the hinterland.
Photo: ID 96018793 © Phuongphoto | Dreamstime.com
National Urban Development and Housing Framework, 2017-2022
WWW.HLURB.GOV.PH

NUDHF Full Version - FINAL PDF

Uploaded by

Copyright:

Available Formats

NUDHF Full Version - FINAL PDF

Uploaded by

Document Information

Original Title

Copyright

Available Formats

Share this document

Share or Embed Document

Sharing Options

Did you find this document useful?

Is this content inappropriate?

Copyright:

Available Formats

NUDHF Full Version - FINAL PDF

Uploaded by

Copyright:

Available Formats

ISSN 2672-2828

All rights reserved © 2017

Cover Photo: ID 96018793 © Phuongphoto | Dreamstime.com

In the formulation of this new NUDHF (2017-2022), several cross-cutting

The creation of a Technical Working Group composed of representatives

We express our appreciation of UN-Habitat and the Philippine Institute

Attorney Lloyd Christopher A. Lao

This latest revision of the National Urban Development and Housing

Envisioning better, greener, and smarter urban systems in a more inclusive

Secretary Eduardo D. Del Rosario

At a time when the Philippines is experiencing rapid urbanization with its

We congratulate the Government of the Philippines, particularly the Housing

UN-Habitat is honored to work with dedicated colleagues and partners in the

ADB Asian Development Bank

What is the National Urban Development and Housing Framework?

Who prepares it?

1.2 THE 2017-2022 NUDHF Table 1 provides a comparative summary

NUDHF 1993-1998 NUDHF 1999-2004 NUDHF 2009-2016

Shift from agricultural to The reclassification as "urban"

migration government units Physical and social infrastructure

Institutionalized participation Urbanization governance and

Improved access and

Figure 1. NUDHF Review Framework

Document Review Consultations/Dialogue

Global linkage Institutional Set-up

SDG 11 aims to “make cities and human settlements

1.2.4 Policy Anchors Goal 7: Ensure access to affordable, reliable,

It can be exercised in every metropolis, city,

The Philippine government recognizes that

the overall process of national development. A

• rational urban development; The long-term vision serves as an anchor for

• market orientation. • foundations for inclusive and sustainable

Better, Greener, Smarter Urban Systems in

The Vision supports the aspirations of

2.1.2 Key Framework Principles

commitments, government mandates, and

National Urban Development and

1. Urban Demography: Capturing the • Urbanization as a catalyst for inclusive growth.

• Spatially and thematically integrated settlements

4. Urban Governance: Stronger sector • People’s participation and empowerment as

6. Sustainable urban environment as a guide12, and contextualized for the Philippine

• sustainable production and consumption. 2.2.1 Population

2.2.2.1 Fully operationalize ridge-to-reef /

The “ridge-to-reef” or integrated ecosystems

approach stems from an understanding of the

Fully utilizing the ecosystem-based planning

2.2.2.2 Strengthen the mainstreaming of

technologies, especially in enhancing urban Intersection of Main Roads

Along with revisiting land use

BOX 2: SAMPLE MAP OF NEIGHBORHOODS/BARANGAYS/UNITS

The water cycle should be considered as a key

To supplement planning and zoning efforts,

2.2.2.6 Promote compact development

Compact development entails the promotion of

Meanwhile, high density land use plans with low

2.2.2.7 Promote mixed use development

Following the principle of spatial and sectoral

systems, local government and development

2.2.2.8 Promote social mix