2017 CALABARZON REGIONAL DEVELOPMENT REPORT

Foreword

HON. HERMILANDO I. MANDANAS RDC Chairperson

The Regional Development Report (RDR) is prepared annually to report the socio-economic performance of Calabarzon. It reports the performance of the economic, infrastructure, social, environment and governance sectors vis-à-vis the Regional Development Plan 2017-2022 targets as well as with the previous year. The development outcomes attained from the implementation of policies, programs and projects by the regional line agencies, state universities and colleges, local government units and civil society organizations in Calabarzon all contributed to our goal of laying a solid foundation for a more inclusive growth, a high trust society and a globally competitive knowledge economy.

The sectoral performance was measured based on the results matrices of the Plan wherein the development outcomes were assessed. The impacts of strategic programs and projects were also highlighted, and the challenges were identified for appropriate development interventions and on how to move forward.

The preparation of the RDR was initiated by the NEDA Region IV-A and supported by all the development actors in the Region. The RDR was reviewed and endorsed by the RDC sectoral committees.

The 2017 Calabarzon Regional Development Report will guide us in shaping the development of our region towards AMBISYON 2040 through our collective sense of Malasakit, Pagbabago at Patuloy na Pag-unlad.

2017 Regional Development Report i

TABLE OF CONTENTS

Page No. Foreword i

Table of Contents iii

List of Tables v

List of Figures vii

List of Acronyms ix

Executive Summary xiii

Chapter 1: Facilitating Transition, Implementing Change 1

Chapter 2: Global and Regional Trends and Prospects 3

Chapter 3: Overlay of Economic Growth, Demographic Trends and 7 Physical Characteristics

Chapter 4: Regional Development Plan 2017-2022 Framework and 9 Headline Targets

Chapter 5: Ensuring People-Centered, Clean and Efficient Governance 11

Chapter 6: Pursuing Swift and Fair Administration of Justice 17

Chapter 7: Promoting Philippine Culture and Values 21

Chapter 8: Expanding Economic Opportunities in Agriculture, Forestry 25 and Fisheries

Chapter 9: Expanding Economic Opportunities in Industry and Services through 31 Trabaho at Negosyo

Chapter 10: Accelerating Human Capital Development 41

Chapter 11: Reducing Vulnerability of Individual and Families 47

Chapter 12: Building Safe and Secure Communities 53

Chapter 13: Reaching for the Demographic Dividend 57

Chapter 14: Vigorously Advancing Science, Technology and Innovation 63

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Chapter 15: Ensuring Sound Macroeconomic Policy 69

Chapter 16: Leveling the Playing Field 79

Chapter 17: Attaining Just and Lasting Peace 83

Chapter 18: Ensuring Regional Security, Public Order and Safety 87

Chapter 19: Accelerating Infrastructure Development 91

Chapter 20: Ensuring Ecological Integrity, Clean and Healthy Environment 101

Chapter 21: Plan Implementation and Monitoring 105

Credits 107

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LIST OF TABLES B Y C H A P T E R

No. Title Page No.

5.1 Ranking of Calabarzon LGUs in the 2017 CMCI (included in the 13 Top 10) 5.2 Calabarzon LGUs Conferred with 2017 SGLG 14 7.1 Recommendations to Support the Promotion of Philippine Culture 24 and Values 8.1 Yield of Major Commodities 26 8.2 Volume of Production Increased 27 8.3 Growth in Volume of Production of Fisheries Increased 28 9.1 Gross Value Added in Industry and Services Sectors 32 9.2 Calabarzon GRDP By Industrial Origin, 2016 – 2017 (at constant prices) 33 9.3 Calabarzon GRDP By Industrial Origin, 2016 – 2017 34 (percent distribution) 9.4 Calabarzon GRDP By Industrial Origin, 2016 – 2017 (growth rates) 35 9.5 Calabarzon Results Matrix for 2017-2022, Total Investments, Employment 35 and Export Sales Data 9.6 Approved Investments in Million Pesos by Province, 2016 – 2017 36 9.7 Number of Ecozones by Province as of November 2017 36 9.8 Direct Employment by Province, 2016 – 2017 36 9.9 Export Sales by Province, 2016 – 2017 37 9.10 Target and Actual Tourism Data, Calabarzon, 2016 – 2017 38 9.11 Access to Economic Opportunities, Calabarzon, 2016 – 2017 38 11.1 Planned Strategies to Reduce Vulnerability of Individuals and Families 50

11.2 Supplemental Strategies to Reduce Vulnerability of Individuals 51 and Families 12.1 Strategies to Build Safe and Secure Communities 56 15.1 GRDP Growth Rate and Targets, Calabarzon, 2011-2016 69 15.2 GRDP at (2000 prices) Calabarzon 2013-2017 69

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15.3 Per Capita GRDP (at 2000 prices) Philippines, NCR and Calabarzon, 71 2013-2016 15.4 Labor Force Participation Rate, Calabarzon, 2015 – 2016 71 15.5 Employment, Unemployment and Underemployment Rate Calabarzon, 72 2015 – 2016 15.6 Inflation Rate, Calabarzon, 2016 – 2017 72 15.7 Number of Offices by Type of Bank, 2015 – 2017 72 15.8 Number of Banks in Calabarzon, by Type and by Province, 2016 – 2017 73 15.9 Bank Density Ratio in Calabarzon, 2016 – 2017 73 15.10 Number of Bank ATMs in Calabarzon, 2012-2017 73 15.11 Number of Microfinance-Oriented Banking Offices, 2016 – 2017 74 15.12 Number of Registered Cooperatives in Calabarzon, 2014 – 2017 74 15.13 Revenue Type, Targets, Accomplishments, 2015 – 2017 75 16.1 Supplemental Strategies in Leveling the Playing Field 81 19.1 Throughput of Batangas and Lucena Ports in 2016 – 2017 94 19.2 Number of Powered-up Sites with Free WIFI Internet Access and PoP 97 in Calabarzon, 2017

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LIST OF FIGURES B Y C H A P T E R

No. Title Page No.

1.1 The RDP Within the Context of the Long-Term Development Plan 1 4.1 The Development Framework 9 5.1 Strategic Framework to Ensure People-centered, Clean and Efficient 11 Governance 6.1 Strategic Framework to Pursue Swift and Fair Administration of Justice 17 7.1 Strategic Framework to Promote Philippine Culture and Values 21 8.1 Strategic Framework to Expand Economic Opportunities in Agriculture, 25 Forestry and Fisheries 9.1 Strategic Framework to Expand Economic Opportunities in 31 Industry and Services 10.1 Strategic Framework to Accelerate Human Capital Development 41 11.1 Strategic Framework to Reduce Vulnerability of Individuals and Families 47 12.1 Strategic Framework to Build Safe and Secure Communities 53 13.1 Strategic Framework to Reach for the Demographic Dividend 57 14.1 Strategic Framework to Advance Science, Technology and Innovation 63 15.1 Strategic Framework to Ensure Sound Macroeconomic Policy 70 16.1 Strategic Framework to Level the Playing Field 79 17.1 Strategic Framework to Attain Just and Lasting Peace 83 18.1 Strategic Framework to Ensure National Security, Public Order and Safety 87 18.2 Comparative Crime Volume in Calabarzon, 2016 - 2017 88 18.3 Calabarzon Provincial Distribution of Crime Volume, 2017 89 19.1 Strategic Framework to Accelerate Infrastructure Development 91 19.2 Proportion of Households and Sitios with Electric Connections in 96 Calabarzon, 2017 20.1 Strategic Framework to Ensure Ecological Integrity, Clean and 101 Healthy Environment

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LIST OF ACRONYMS

4Ps Pantawid Pamilyang Pilipino Program ACPP Accelerated Coconut Planting/Replanting Program AFF Agriculture, Fishery and Forestry AFP Armed Forces of the Philippines AFF Agriculture, Fishery and Forestry APIS Annual Poverty Indicators Survey ASEAN Association of South East Asian Nations ATM Automated Teller Machine BADAC Barangay Anti-Drug Abuse Council BLT Build-Lease-Transfer BOD Biochemical Oxygen Demand BPLS Business Permit and Licensing System BPO Business Process Outsourcing BSP Bangko Sentral ng Pilipinas BUB Bottom-Up-Budgeting CARP Comprehensive Agrarian Reform Program CCA Climate Change Adaptation CDF Controlled Disposal Facilities CFP Coconut Fertilization Project CLUP Comprehensive Land Use Plan CMCI Cities and Municipalities Competitiveness Index COD Center of Development COE Center of Excellence CPI Consumer Price Index CPP Communist Party of the Philippines CSFI Congressional Spouses Foundation Inc. CSO Civil Service Organization DAO Department Administrative Order

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DRR Disaster Risk Reduction DRRM Disaster Risk Reduction and Management DRRMO Disaster Risk Reduction and Management Office EO Executive Order FOROC Field Office Resource Operation Center GAD Gender and Development GDP Gross Domestic Product GIDA Geographically Isolated and Disadvantaged Area GRDP Gross Regional Domestic Product GVA Gross Value Added HEI Higher Education Institutions HFEP Health Facilities Enhancement Program HIV Human Immunodeficiency Virus HVCC High Value Commercial Crops ICT Information Communication Technology IEC Information and Education Campaign IPs Indigenous Peoples IPG Investment Promotion Group IPR Intellectual Property Right IR Inflation Rate IT-BPM Information Technology and Business Process Management LCE Local Chief Executive LGU Local Government Unit MASA MASID Mamamayang Ayaw Sa Anomalya, Mamamayang Ayaw sa Ilegal na Droga MPN Most Probable Number MRF Materials Recovery Facility MSEZ Manufacturing Special Economic Zone MSME Micro, Small and Medium Enterprise x 2017 Regional Development Report

MSR Manila South Road NC National Certificate NCI Non-Crop Insurance NCR National Capital Region NDF National Democratic Front NDRRMC National Disaster Risk Reduction and Management Council NER National Enrolment Ratio NGA National Government Agency NGO National Government Organization NGP National Greening Program NIPAS National Integrated Protected Areas System NPA New People’s Army OD Open Dumpsite OF Overseas Filipino OFW Overseas Filipino Worker PA Protected Area PAMANA Payapa at Masaganang Pamayanan PAMB Protected Area Management Board PDPFP Provincial Development and Physical Framework Plan PGENRO Provincial Government Environment and Natural Resources Office PEZA Philippine Economic Zone Authority PNP Philippine National Police PPAN Philippine Plan of Action for Nutrition PPP Public-Private Partnership PSIP Public-Private Partnership School Infrastructure Project PWD Persons with Disabilities RDC Regional Development Council RDR Regional Development Report RLA Regional Line Agency

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ROLL-IT Roads Leveraging Linkages for Industry and Trade SDG Sustainable Development Goal SETUP Small Enterprise Technology Upgrading Program SGLG Seal of Good Local Governance SHS Senior High School SOLCOM Southern Luzon Command SPES Special Program for the Employment of Students SPMS Anti-Red Tape Act SUC State University and College SWM Solid Waste Management TB Tuberculosis TIP Term Insurance Packages TUPAD Tulong Panghanap Buhay sa Ating Disadvantaged/Displaced Workers TVET Technical Vocational Education and Training TVPL Taal Volcano Protected Landscape TWG Technical Working Group WQMA Water Quality Management Area WSP Water Service Providers

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EXECUTIVE SUMMARY

The 6.7 percent growth of the regional economy highlights the performance of Calabarzon in the first year of the Duterte Administration. The attainment of the targeted economic growth and the improvement over the previous year’s growth of 4.8 percent are indicators of good plan implementation.

The Industry Sector which accounts for 61.9 percent of the regional economy grew by 7.7 percent, an improvement of four percentage points from the previous year’s performance. This remarkable improvement can be attributed to the robust performance of the manufacturing and construction subsectors.

The Services Sector which contributed 33.0 percent to the Gross Regional Domestic Product (GRDP) grew by 6.0 percent, slower than the 7.3 percent growth in 2016 due to the decelerated growth of services related to transportation, storage, communication, finance and real estate.

However, the Agriculture, Hunting, Fishery and Forestry Sector which comprised 5.1 percent of the regional economy posted a negative growth of 0.6 percent from the previous year’s modest growth of 3.4 percent. The decline in the performance of the sector can be attributed to unfavorable weather conditions, climate change and Bird Flu virus.

With the growing economy, employment indicators also improved. Employment rate at 93.0 percent is higher by 0.2 percentage points from 2016, while, underemployment rate was reduced to 14 percent.

Despite rapid industrialization, high per capita GRDP of PHP 99,328, which is the second highest among the regions, and a relatively low poverty incidence of 9.1 percent, there are still pockets of poverty particularly in the agricultural production areas.

With a good start in this planning period and the Build, Build, Build Program of the government, the growth momentum of Calabarzon is expected to continue as regional connectivity improves and access to the ASEAN market increases.

2017 Regional Development Report: EXECUTIVE SUMMARY xiii

Chapter 1 Facilitating Transition, Implementing Change

The Long View

The Calabarzon Regional Development Plan (RDP) 2017-2022 is supportive to the Philippine Development Plan (PDP) and is anchored on the country’s long-term vision or Ambisyon Natin 2040 and the vision of Calabarzon Region:

AmBisyon Natin 2040. “The country is a prosperous middle class society where no one is poor. People live long and healthy lives and are smart and innovative. The Philippines is a high-trust society where families thrive in vibrant, culturally diverse and resilient communities”.

RPFP 2017-2046. “Calabarzon: A region of vibrant economic diversity and vitality with progressive, well-planned town clusters inhabited by God-loving people enjoying globally competitive, balanced and resilient ecosytems.”

The Calabarzon RDP 2017-2022 is the first set among the four plans that is crafted based on Ambisyon 2040. It aims to lay down the foundation for inclusive growth, a high trust and resilient society, and a globally competitive knowledge economy.

Continuity of initiatives for each year is important to be able to achieve the objectives and expected outcomes in the RDP. The Regional Development Report (RDR) is prepared to monitor the implementation of the RDP based on results matrices containing outcome indicators with annual targets for the six-year planning period. The results of the RDR would show the region’s achievements in relation to the RDP development targets.

Figure 1.1. The RDP within the context of the Long-Term Development Plan

Chapter 1: FACILITATING TRANSITION, IMPLEMENTING CHANGE 1

The following strategic actions shall be pursued in the next 25 years:

Towards building a prosperous, pre-dominantly middle class society where no one is poor  Create conditions for the growth of enterprises that generate high-quality jobs and services at competitive prices  Give priority to enterprises in sectors that produce goods and services for domestic and global markets  Convergence efforts to Geographically Isolated and Disadvantaged Areas and other areas with similar conditions  Prioritize the following sectors with great potential in achieving the long-term vision: a) Housing and urban development b) Manufacturing c) Transport and communications d) Education services e) Financial services f) Health services g) Tourism-related services h) Agriculture development i) Countryside development

Towards Promoting a long and healthy life  Reduce infant mortality rate through quality maternal health and child care  Promote reproductive health and family planning programs  Implement programs to eradicate malnutrition  Establish facilities to encourage healthy life style  Promote protection and efficient management of environment and natural resources

Towards becoming smarter and more innovative people  Equip citizens with knowledge and skills necessary to occupy productivity jobs while remaining adaptable to the changing needs of the economy  Continue the K to 12 Program which provides the foundation of a smarter society  Provide strong intellectual property rights framework to encourage Filipinos to generate innovative products and ideas  Implement a mature Research and Development Program

Towards building a high-trust society  Deliver efficiently the public goods and services by a professional bureaucracy including at the local level  Promote competition and inclusiveness in the political system through major political and electoral reforms  Pursue peace agenda that accompanies a long-term development agenda for armed-conflict areas  Create social and cultural awareness to develop in every Filipino a deep appreciation of the Filipino nation.

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Chapter 2 Global and Regional Trends and Prospects

Calabarzon remains one of the best investment destinations in the country with its large population size, abundance of agricultural produce and raw materials, proximity to the National Capital Region and hub of manufacturing industries. Due to its strategic location, the Region serves as a gateway from the South. Economic, social and environmental dimensions of development in domestic and international arena are essential considerations in prioritizing government programs and projects that will contribute to attainment of development outcomes identified in the RDP.

Economic Expansion of the regional economy is expected with the likely acceleration of the manufacturing industries and services sector. The Region’s continuous investment promotion and enhancement of enabling environment will significantly attract additional investments to its major industries such as automotive, electronics and business process outsourcing (BPO). Encouraging the expansion of industrial parks and development of economic zones in other areas of the Region such as Batangas and Quezon will reinforce the rate of economic growth. Industry-academic linkage will minimize job skills mismatch and industry-agriculture cooperative linkage through market matching for food item needs in the industrial zones will be beneficial to the farmers and workers in the industries and will call for increase and programmed agriculture production. Reaffirming cooperation and partnership between the Association of Southeast Asian Nations (ASEAN) and other countries such as United States, Australia, Russia, China and Canada will create more opportunities for economic activities. ASEAN’s initiative to start policy dialogue and regional economic integration with the European Union can result to greater market access. Capitalizing these opportunities through direct and indirect participation in the global value chain will require greater productivity and improved competitiveness of the Region’s micro, small and medium enterprises (MSMEs) and local suppliers. Government spending will continue to increase with the completion and implementation of infrastructure projects under the Build, Build, Build Program. This will also boost the Region’s construction subsector. Construction of new roads to close the gaps between national and local roads, completion of bypass roads, construction of roads along the Pacific Coast, and implementation of road projects under convergence programs will provide more opportunities in investments, connectivity and public service delivery. Improvement of international and inter-regional connectivity which includes improvement in internet connectivity and transportation is being given priority. Batangas Port is being improved for domestic and international cargo shipping which will attract more clients particularly from Calabarzon industries. Furthermore, completion and enhancement of expressways and roads networks will enhance access to the port contributing to cost efficiency. Exploring airport development in the region is expected to expand available logistics option.

Chapter 2: GLOBAL AND REGIONAL TRENDS AND PROSPECTS 3

Increasing popularity of ecotourism including agri-farm ecotourism contributed to increased number of domestic and foreign tourists in the Region. Taking advantage of this, numerous tourism plans are for completion particularly in the Quezon Province which are likely to contribute to further growth of the tourism sector and enhancing economic activities in the local areas upon implementation. Political The proposal of shifting the country’s government system to a federal government had been apparent since the start of the current administration’s term. The shift is expected to address the growing economic disparity among regions in the country. Recommended changes in the 30-year-old constitution include expansion of the legislative chambers, longer terms of elected officials and greater fiscal autonomy of local governments. Both Houses of Congress had already started discussions on the possible change in the constitution. Change in the system of government will result to challenges that need to be addressed at the onset. The Region is also positioning itself as a possible site of the proposed new National Government Center (NGC) to decongest Metro Manila and expand development. Lucena City and its adjacent municipalities are being eyed as the possible location of the NGC. Recognizing this potential, a private company had prepared a proposal in developing Metro Lucena for the NGC. Insurgency has been a challenge in implementing development projects in the Region. In some areas, completion of development projects are delayed due to problems encountered with the rebel groups. These challenges can be permanently addressed upon the maturity on the mindset of every citizen to fully support peace and embrace the idea that peace and development go together.

Social and Demographic With the largest population and highest proportion of the youth labor force in the country, the Region will greatly benefit from this demographic dividend. The Region’s capacity to provide manpower to the growing industries will be stable in the coming years which will also be advantageous in attracting more investments. Intensified implementation of government programs in education and the presence of top universities and international research institutions will significantly improve the Region’s human capital. Taking advantage of the Universal Access to Quality Tertiary Education will be beneficial in improving the Region’s human capital. Stronger partnership of the academe and industry will contribute in the provision of manpower skills necessary for the industries to address the persistent challenge on job skills mismatch. Continuous in-migration to the Region due to higher employment opportunities will pose a continuous challenge in reducing the unemployment and underemployment rates. The number of Overseas Filipinos (OFs) is expected to increase in the coming years despite the moratorium on the deployment of OFs in some Middle East countries. Numerous opportunities are opening in other countries due to the emerging industries and forging of new economic partnership of the Philippines.

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Technological The growing middle class had driven information consumption and technological innovation. The Internet of Things (IoT) will continue to dominate development and operations in different sectors of the economy. IoT enables processes and activities to be more efficient and effective resulting to better products and service delivery. The education system and government processes had also relied in IoT. The availability of affordable mobile devices like smartphones and tablets had contributed to the increasing demand of internet connection. Development of different applications accessible through mobile devices is likely to continue due to growing number of users. Easy access and efficiency in use contributed to popularity of mobile applications in the areas like transportation, retail industry and banking. Consequently, enhancing telecommunication in the Region remains a challenge to keep-up with emerging technologies and take advantage of the benefits it can bring. The rise of artificial intelligence (AI) will bring both challenges and opportunities in the regional economy. AI is an area of computer science that facilitates creation of intelligent machines working and reacting like humans. Its application contributes to better efficiency in numerous operations particularly in the manufacturing industries. Effective penetration in the global value chain will enhance access of industries even MSMEs to new technologies. Continuous studies are conducted to create better quality of AI and to expand its application in other areas and sectors. While efficiency is ensured, the use of AI can affect the number of employment available. For instance, the business process outsourcing, one of the biggest sector employer, will encounter problems on decreasing employment if automated answering machines will be applied.

Environmental Drastic impacts from disasters brought about by climate change remains unavoidable. Directly affected, the agriculture and fisheries sector remains vulnerable to typhoons and prolong dry spells resulting to lower productivity. Recognizing this, more efficient and effective government interventions are explored to mitigate impacts of climate and disaster risks. Measures to increase resiliency in the infrastructure and energy sectors were also explored. Emerging cases on damage and depletion to natural resources will re-strengthen pursuit to sustainable development. Damages to natural areas of tourist destinations in the country will increase awareness on the importance of harnessing economic opportunities while protecting the natural habitat and resources. Rehabilitation of major tourist destinations in the country will divert tourists to popular beach areas in the Region. While capitalizing the opportunities the situation will bring, ensuring protection of tourist destinations in the Region will be attended.

Chapter 2: GLOBAL AND REGIONAL TRENDS AND PROSPECTS 5

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Chapter 3 Overlay of Economic Growth, Demographic Trends and Physical Characteristics

The distribution of population over a geographical location reflects the economic structure of the region. Regions with established and large cities coupled with the increasing population tend to develop at a faster rate. To maximize the opportunities of increasing population and economic activities, the Calabarzon RDP 2017-2022 adopts the National Spatial Strategy (NSS) which provides the basis for policies to complement population and economic growth involving the core strategies of: regional agglomeration, connectivity and vulnerability reduction. Regional agglomeration promotes concentration and maximizing the benefits of scale and agglomeration of economies, while connectivity aims to connect production areas to settlement and market areas. Vulnerability reduction is about ensuring the safety of the population to various hazards and control settlements in hazard prone areas.

Population and Economic Growth

Based on the 2015 Census, the Calabarzon Region had the biggest population among the regions at 14,414,774 and accounts for 14.3 percent of the country’s total population. With an average annual growth of 2.58 percent the population is expected to double by 2042. The region’s population growth rate is faster than the Philippines and the NCR.

The high population growth is due to in-migration, high birth rate and increasing life expectancies. In-migration is mainly due to movement of people from other regions to work in the urban and industrial centers of Calabarzon. The attraction of jobs and proximity to Metro Manila is reflected in the high population of the three provinces closest to Metro Manila. Cavite has the biggest population with 3.68 million, followed by Laguna with 3.04 million, Rizal with 2.88 million. The population concentrations tend to move towards the highly urbanizing and industrializing areas of the Region, particularly Cavite, Laguna and Rizal. Calabarzon is a catch basin for Metro Manila’s population and serves as the “bedroom community” for Metro Manila’s working population.

Strategy

In achieving the development goals of the Region, the Centers, Corridors and Wedges (CCW) Approach was adopted where various settlements in the Region were grouped according to their economic activities. The CCW Approach aims to spur development from east to west and strengthen the north to south access corridors. It links the urban and rural population through the interplay of economic opportunities thereby providing more income and employment opportunities for the people.

Chapter 3: OVERLAY OF ECONOMIC GROWTH, DEMOGRAPHIC 7 TRENDS AND PHYSICAL CHARACTERISTICS

Moving Forward

Agglomeration and urban efficiency

The Region’s major growth centers are faced with the following urban challenges: traffic congestion in major roads, lack of mass transit system, encroachment into hazard prone areas due to in-migration, exposure to natural hazards, increasing demand for water and energy and pollution and waste management issues. These challenges must be addressed in a sustainable manner and will require innovative and “out of the box” solutions.

Regional connectivity

The Calabarzon Region will continue to substantially contribute to the country’s economy. While majority of the projects in the region focus on easing traffic congestion and promoting interregional connectivity, the development of other regions should also be promoted to ensure growth complementation. Implementation of infrastructure projects that will improve inter-regional connectivity and other projects that will promote the growth of the industries at the regional centers, corridors and wedges should be pursued.

Vulnerability reduction

Since Calabarzon has a big population, vulnerability reduction measures are necessary to protect the people, establishments and settlements, especially in the highly urbanized areas. Implementation of disaster resilient projects and vulnerability reduction measures are necessary to minimize the effects of man-made and natural hazards.

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Chapter 4 Regional Development Plan 2017-2022 Framework and Headline Targets

The Calabarzon RDP adopts the same development framework of the PDP for the next six years. The RDP 2017-2022 is the first medium-term plan to implement the AmBisyon Natin 2040 and the Regional Physical Framework Plan (RPFP) 2017-2046. For this medium-term, the goal is to lay down a solid foundation for more inclusive growth, a high-trust society and a globally competitive knowledge economy. This goal shall be achieved through the strategy of “Malasakit at Pagbabago tungo sa Patuloy na Pag-unlad”.

Figure 4.1. The Development Framework

Enhancing the social fabric

To regain the people’s trust, the Region shall continue implementing the “Malasakit” strategies which started in 2017. The DILG awarded 35 Calabarzon Local Government Units (LGUs) with the Seal of Good Local Governance (SGLG) which symbolizes integrity and good performance of the LGUs. On the country's cultural diversity and its value, integration of the cultural component in the local development plans is currently being developed. There is also a notable increase in the establishment of culture and arts councils and organizations at the local level in 2017.

Chapter 4: REGIONAL DEVELOPMENT PLAN 2017-2022 FRAMEWORK 9 AND HEADLINE TARGETS

Reducing inequality

Reducing inequality is addressed by expanding the economic opportunities and increasing access to these opportunities, particularly to those that lag behind so that the ordinary Filipino can feel the “Pagbabago”. In the agriculture, forestry and fisheries sector, 1,012 beneficiaries received assistance to increase their access to economic opportunities. The areas were identified on poverty alleviation and the RDC has enjoined its members to adopt the convergence approach to ensure immediate results. A noteworthy accomplishment is the ongoing development of a Tourism Development Master Plan for the Polilio Group of Islands (POGI), REINA (Real, Infanta and Gen. Nakar) and ALQUEREZ (Alabat, Quezon and Perez) in the Province of Quezon as well as the proposed Polilio Island Circumferential Road. Island development economy is being implemented in POGI to achieve a comprehensive development in the municipalities of the island. Increasing potential growth

It is imperative that growth is accelerated and sustained (“Patuloy na Pag-unlad”). One strategy is to graduate to a knowledge economy. As of 2017, 586 establishments have adopted new technologies provided by the DOST. Other technologies are being developed and introduced to improve business processes in the Region.

Enabling and supportive economic environment

Growth will be supported by a stable macroeconomy by putting in place a strategic trade and fiscal policy and enhancing access to financial services. The tax system will be made more efficient, equitable and globally competitive. At the same time, a national competition policy will be formulated and implemented to ensure a level playing field. The continuous efforts of the government and the private sector in sustaining economic growth by generating more investments and quality employment in the Region will be sustained. The Region had a remarkable growth of 6.7 percent in 2017 compared with its 4.8 percent growth in 2016.

Improving CMCI and Transport Master Plan

The improvement of Cities and Municipalities Competitiveness Index (CMCI) and the implementation of the transport master plan will attract investors and will improve the economic environment of Calabarzon. Foundations for sustainable development

In accordance with the Calabarzon Spatial Strategy, the RDP shall ensure that the physical environment will be characterized by a balanced and strategic development of infrastructure while ensuring that there is ecological integrity, clean and healthy environment and resilient against disasters. A notable accomplishment is the 192 flood control projects undertaken by the DPWH in 2017 to mitigate potential disasters. On public order and safety, there is a decrease in criminality by 2.39 percent from 2016, and 30 conflict-affected barangays were cleared from insurgency providing a peaceful and sustainable environment for growth.

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Chapter 5 Ensuring People-Centered, Clean and Efficient Governance

This Chapter highlights the gains and strategies towards gaining people’s trust in the government. It examines how the outcomes on engaging and empowering citizens as well as seamless service delivery were achieved and why the outcomes on enhancing administrative governance and strengthening the civil service were not attained.

Figure 5.1. Strategic Framework to Ensure People-centered, Clean, and Efficient Governance

Chapter 5: ENSURING PEOPLE-CENTERED, CLEAN AND EFFICIENT GOVERNANCE 11

Accomplishments

On empowering and engaging with citizenry

Full Disclosure Policy

Executive Order No. 2 series of 2016, “Operationalizing in the Executive Branch the people’s constitutional right to information and the state policies to full public disclosure and transparency in the public service” ensured transparency in government transactions. All of the LGUs are compliant to the Full Disclosure Policy (FDP) portal posting, and posting in conspicuous places. Compliance to the FDP is one of the indicators to the SGLG.

Likewise, institutionalization of the feedback and response mechanism through Hotline 8888 empowered the citizens. Citizen’s feedback on local government service delivery was also devised. All the identified cities (19) and municipalities (3) were surveyed. The strong collaboration with the Learning Research Institution as interviewers contributed to the success of the survey.

Civil Society Organizations Participation to the LDC

All of the LGUs have civil society organizations (CSO) representation in the Local Development Councils. With the campaign against anti-illegal drugs and anti-corruption by the current administration as two of its banner projects, 4,011 or 100 percent of the barangays have organized Mamamayang Ayaw Sa Anomalya, Mamamayang Ayaw sa Ilegal na Droga (MASA MASID) teams. The MASA MASID Project promotes community involvement in addressing issues such as corruption, illegal drugs, and criminality, among others.

On improving seamless service delivery

Cities and Municipalities Competitiveness Index

Calabarzon was the most awarded Region in the 2016 and 2017 CMCI Rankings, garnering 18 out of 55 awards in 2016 and 23 of 75 awards in 2017.

In 2017, 77 LGUs moved up in ranking, 57 have gone down in their rankings, 5 retained, while 3 LGUs changed their classification.

Since 2016, 100 percent of the LGUs were enrolled to the CMCI. The performance of the Region in the CMCI rankings is attributed to the initiatives of the Regional Competitiveness Council. The Council created a technical working group to assist and guide the LGUs in filling out the data capture sheets. Likewise, the RDC institutionalized the Provincial Competitiveness Councils to replicate the RCC at the provincial level.

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Table 5.1. Ranking of Calabarzon LGUs in the 2017 CMCI (included in the Top 10)1 Provinces Ranking Rizal 1st Cavite 3rd Laguna 5th Batangas 8th Quezon 14th

Component Cities Antipolo City, Rizal 1st Bacoor City, Cavite 6th Binan City, Laguna 7th Imus City, Cavite 8th Dasmarinas City, Cavite 10th

1st to 2nd Class Municipalities Cainta, Rizal 1st Taytay, Rizal 2nd Angono, Rizal 3rd Rodriguez, Rizal 6th Carmona, Cavite 8th San Mateo, Rizal 9th Binangonan, Rizal 10th Source: NCC

Streamlined Business Permit and Licensing System (BPLS)

Sixteen LGUs were validated with streamlined Business Permit and Licensing System in 2017, which is lower than the 26 LGUs that were validated in 2016. In addition, 16 LGUs were capacitated on e-BPLS, exceeding the target of 13 LGUs.

Anti-Red Tape Act Report Card Survey

In 2017, 75 percent or 35 out of the 47 government agencies with frontline service have a passing mark on the Report Card Survey, while 100 percent of the validated agencies (8) were fully complying with the Citizen’s Charter. However, no regional line agency was conferred with the CSC Seal of Excellence.

Seal of Good Local Governance

The SGLG measures the LGUs’ integrity and good performance by improving governance reforms and sustained local development. For 2017, the “4+1” was implemented as an assessment criteria. The LGU needs to pass four core areas, namely, Financial Administration, Disaster Preparedness, Social Protection, and Peace and Order, and at least one essential area. Despite the extensive requirements for the SGLG, there have been an

1 National Competitiveness Council. Retrieved from http://cmcindex.org.ph/pages/rankings/

Chapter 5: ENSURING PEOPLE-CENTERED, CLEAN AND EFFICIENT GOVERNANCE 13 improvement in the number of LGUs conferred the Seal, from 17 in 2016 to 35 in 2017. The increase in number was attributed to the strong buy-in of other partner agencies and civil society organizations for stronger implementation of respective PPAs to the LGUs.

Table 5.2. Calabarzon LGUs conferred with 2017 SGLG2 Provinces Laguna Quezon Rizal

Municipalities Batangas (Bauan and Malvar) Cavite ( Carmona, Kawit, Magallanes, Maragondon, Naic, Rosario & Silang) Laguna ( Kalayaan, Nagcarlan & Pagsanjan) Quezon ( Gumaca, Mauban, Mulanay, Pagbilao, Panukulan, San Antonio & Unisan) Rizal ( Angono, Binangonan, Tanay & Taytay)

Cities Batangas City, Batangas Cavite ( Bacoor, Dasmariñas, & Imus) Laguna ( Biñan, Calamba, San Pedro & Santa Rosa) Antipolo City, Rizal Source: DILG Region IV-A

On strengthening civil service

All public institutions complied with the Strategic Performance Management System (SPMS) as a way to measure the performance of the civil servants. The SPMS is a prerequisite of the public offices for the Performance-Based Bonus. The CSC conducted various trainings for the government’s workforce to maintain their competence. Likewise, the CSC assisted government agencies and LGUs through the Program to Institutionalize Meritocracy and Excellence in Human Resource Management.

Moving Forward

Majority of the targets of the governance sector were met. Institutionalization of some processes such as FDP, CSOs participation in the development process, and LGUs’ CMCI participation were vital in achieving the goals of the sector. However, there are some indicators that need to improve in terms of its strategies.

2 Department of the Interior and Local Government. Retrieved from http://www.dilg.gov.ph/issuances/mc/2017-Seal-of-Good-Local-GovernancePagkilala-sa-Katapatan-at- Kahusayan-ng-Pamahalaang-Lokal/2494

14 2017 Regional Development Report

Recommendations

Challenges Recommended Strategies Implementing Agencies Persistence of corruption • Intensify anti-corruption efforts Ombudsman, COA in bureaucracy / Low • Institutionalize Citizen Participatory impact of anti-corruption Audits efforts Lack of whole-of- • Enhance coordinating systems All agencies government approach to programs Poor access to • Continue investment on ICT infra All agencies technology in remote and other technologies areas Administrative burden in • Establish/improve e-payment DOF payment of government platform systems services

Chapter 5: ENSURING PEOPLE-CENTERED, CLEAN AND EFFICIENT GOVERNANCE 15

16 2017 Regional Development Report

Chapter 6 Pursuing Swift and Fair Administration of Justice

This Chapter discusses the reforms in the justice sector that must be sustained and intensified. Improvement towards the attainment for a swift and fair administration of justice is crucial in gaining back trust of the people towards the sector and the government. For 2017, the justice sector needs to catch up to reach its targets.

Figure 6.1 Strategic Framework to Pursue Swift and Fair Administration of Justice

Chapter 6: PURSUING SWIFT AND FAIR ADMINISTRATION OF JUSTICE 17

Accomplishments

On enhancing civil, criminal, commercial and administrative justice systems

Harmonization of the Procedures within the Justice System

The Uniform Manual on Time Allowance and Service of Sentence was launched in 2017 by the Department of Justice and the Department of the Interior and Local Government to be used by the Bureau of Jail Management and Penology, and the Bureau of Corrections. This initiative aimed to use uniform correction procedure. This will also decongest the jails and prisons.

Improve Timeliness of Justice Delivery

The DOJ-NPS launched its Case Decongestion Project to clear backlogs in preliminary investigation. In 2017, the judiciary deployed Case Decongestion Officers to highly congested trial courts.

Continuous interventions such as the Alternative Dispute Resolution facilitated speedy disposition of some cases.

On improving sector efficiency and accountability

People’s Access to Adequate Legal Aid

According to Section 2 of the A.M. No. 17-03-09 or the Community Legal Aid Service Rule issued by the Supreme Court, “lawyers are obliged to render pro bono services to those otherwise would be denied access to adequate legal services.” beginning with those who passed the 2017 Bar Examinations. This rule increases the people’s access to adequate legal aid.

Jail Decongestion

Despite the War on Drugs campaign of the current administration, the congestion rate of the jails in Calabarzon Region decreased. The increasing number of qualified inmates released on-time, and the order of the Supreme Court to the Regional Trial Courts to hear, try and decide newly-filed cases under the Comprehensive Dangerous Drugs Act plus the additional facilities constructed to decongest the jails all contributed to decreasing congestion. However, the congestion rate is high 949 percent or .44sqm per inmate which is far from the standard of 4.7sqm area per inmate.

18 2017 Regional Development Report

Improve Correction Reforms

Barangay-based Therapeutic Community Approach was conducted in jails for a responsive and timely care to cater especially to drug surrenderers. Inmates were also provided with educational services and trainings as they prepare to be reintegrated back to society.

Strengthen Victim Assistance

The Public Attorney’s Office (PAO) issued a Memorandum Order No. 20 series of 2017 which reconstituted the Victims Assistance Unit (VAUs) at the PAO-Central Office, Regional and District Offices. The said VAUs were responsible in assisting victims and witnesses in the preparation and filing of necessary documents relative to cases and claims.3

Moving Forward

There are improvements in the justice sector that took place in 2017. This must be sustained and further enhanced. However, some subsectors still needs reforms in order to provide a swift and fair administration of justice.

Recommendations Challenges Recommended Strategies Implementing Agencies Heavy caseload and  Review and amend existing SC, DOJ, DILG, BJMP, PAO, congestion in jails and prisons penal laws PPA  Streamline processes in the justice sector  Construction of additional jail facilities.  Sustain and strengthen offender rehabilitation programs.  Enhance Alternative Dispute Resolution. Fragmented institutional and  Institutionalize the Regional NEDA, DOJ legal framework of the justice Justice Sector Coordinating system Council.  Streamline investigation and prosecutorial process.  Review and harmonize the institutional and legal framework in the justice system.

3 Public Attorney’s Office. Retrieved from: http://www.pao.gov.ph/UserFiles/Public_Attorney's_Office/file/Memorandum%20Order%20No_%20020%20S eries%20of%202017.pdf

Chapter 6: PURSUING SWIFT AND FAIR ADMINISTRATION OF JUSTICE 19

20 2017 Regional Development Report

Chapter 7 Promoting Philippine Culture and Values

This Chapter presents the critical role of culture in enhancing the social fabric and regaining people’s trust through Malasakit. For 2017, the focus is on consolidating data and initiatives on culture development and promotion, hence report on accomplishments is limited. However, these initial activities serve as building blocks for the major strategies identified for the sector.

Figure 7.1. Strategic Framework to Promote Philippine Culture and Values

Chapter 7: PROMOTING PHILIPPINE CULTURE AND VALUES 21

Accomplishments

Philippine culture and values promoted

The integration of culture in various local development plans is essential in ensuring that culture is given importance and developed. However, in the Provincial Development and Physical Framework Plans, the discussion on the culture is only in passing under the tourism sector. Moreso, the discussion is limited to its economic contributions. A mainstreaming framework or guidelines on the integration of culture in various development plans needs to be developed to ensure consistency, and a holistic integration of culture’s components into the plan strategies, programs, and projects Our diverse cultures valued

The importance of cultural mapping was emphasized in the Plan. The conduct of cultural mapping can pave the way to harnessing tourism and economic potentials of a locality while ensuring its cultural roots are being recognized. The municipalities of Taal and Calatagan in Batangas and Mauban in Quezon have already conducted cultural mapping. To date, there is an ongoing initiative on cultural mapping in San Juan, Batangas. Thus, exceeding the regional target. However, it was noted that the cultural mapping process differs between local governments as not all may have consulted or adopted NCCA’s process. On the festivities and celebrations, Batangas and Cavite province has conducted a total of 55 festivities.

NCCA has not established a School of Living Tradition (SLT) in the region. A set of guidelines is being followed by NCCA in establishing SLT thatinclude coordination and collaboration with the local government units. Despite the absence of SLT, some schools such as the Philippine High School for the Arts, Batangas Province High School for the Arts and Enrique Zobel Technical Training Center integrates and offers programs on culture and arts. There is still no culture bearer identified in the region.

The establishment of cultural centers, hubs and other facilities is also identified as an avenue for discussion and appreciation of culture. The NCCA has targeted the establishment of two facilities anually for the country. Despite the lack of regional data, NCCA encouraged LGUs to submit proposals on setting up of such facilities given their availability of funds. Further, LGUs should be oriented on the facilities such as museum, centers, complex, libraries and other infrastructures that may be eligible for funding.

Pagkamalikhain values of creative excellence advanced

There was an increase in the number of culture and arts council and organizations at the local level as a result of the DILG Memorandum Circular (MC) 2017-133 revising the previous MC 2002-81 on the creation of Culture and Arts Council. Despite this, only few LGUs in the region submitted their accomplishments on the creation or strengthening of culture and arts councils.

The National Historical Commission of the Philippines reported only four marked personage and institution in 2017. These include the marking of Licerio Geronimo in Rizal, Liberators Guerilla in Cavite, San Ezekiel Moreno in Cavite and Emilio Jacinto. The region did not meet

22 2017 Regional Development Report its target on increased number of cultural sites. As cultural mapping will progress, it is expected that additional cultural sites will be identified, studied, and proposed by the LGUs.

Cultural activities are evident in the region. Such activities include celebration of national events, art exhibits, workshops and symposia, and competitions. The region has exceeded its target with 41 activities conducted by the local governments.

Culture-sensitive public governance

The Region has exceeded its target in establishing formal agreements for inter-agency support. The Regional Development Council created a Sub-Committee on Culture under its Sectoral Committee on Social Development (SCSD). The Sub-Committee on Culture aims to provide a venue for discussion of policies, programs, issues and concerns relative to the culture sector. The Sub-Committee is composed of members from the regional line agencies, academe, local government units, and civil society organizations. To further strengthen the inclusion of culture in regional development, the NCCA was confirmed as member of the SCSD and a regular guest of the RDC. Another initiative is the partnership between the Provincial Government of Batangas and the Enrique Zobel Foundation, Inc. in strengthening the culture-related programs and projects in the province.

There was an increase in the number of local government units with offices on culture and arts. These offices, however, are mostly under the tourism offices of the LGUs due to absence of legal basis in the creation of new plantilla positions.

For the regional line agencies, Civil Service Commission partnered with the Council for the Restoration of Filipino Values, a civil society organization, through CSC Announcement No. 40 Series of 2013 in strengthening patriotism, integrity, excellence and spirituality among instrumentalities of government. The Values Restoration Program aimed to equip the government officials and employees on the core values such as love of God, respect for authority, integrity, accountability, power of influence and selfless love and service to people. Government agencies in the region have undertaken the program as cascaded by their central offices. The trained personnel are expected to conduct regular orientations in their respective offices based on the training modules provided Moving Forward

The inclusion of culture in planning is happening now at the national and regional level. However, there is no implementation and monitoring system established particularly at the local level on the various culture related programs and projects. With the inclusion of tourism, culture and arts in the DILG’s 2017 Guidelines for the SGLG, this may lead to increased participation of more local government units in advocating and implementing programs and projects on culture. The enhanced SGLG guidelines included indicators on the presence of a council for the promotion of culture and the arts, budget appropriated for the conservation and preservation of cultural properties, and the availability of cultural property inventory. The proposal on the creation of Department of Culture is being reviewed by various stakeholders. The proposed Department will ensure integration of culture in development planning and will oversee implementation and monitoring of culture programs and projects. The draft legislation is being discussed within the Executive branch. The proposed Chapter 7: PROMOTING PHILIPPINE CULTURE AND VALUES 23 department will provide for the institutionalization of NCCA regional offices and culture offices at the local government units which will serve as an arm in implementing and monitoring culture programs and initiatives. The gap on the statistical data on culture is also evident in the region. With this, the Philippine Statistics Authority has adopted the Philippine Cultural Statistics Framework developed by NCCA. The said framework can be basis for the region in organizing cultural statistics, providing conceptual foundation which will aid in the production and dissemination of cultural data, supporting research component in policymaking, measuring the impact of culture and arts, and providing uniform measurable indicators essential for development planning. The Sub-Committee on culture has also set forth activities in line with the sector’s objectives in the RDP. These activities include the conduct of orientation on culture among members and stakeholders, trainings on cultural mapping, conduct of culture summit, facilitating the establishment of local culture and arts council, and continuous programs on advocating culture promotion, preservation and conservation through different media. During the 1st meeting of the newly created RDC Sub-Committee on Culture, it was agreed to promote and adopt NCCA’s process on cultural mapping to standardize and ensure the quality of outputs across local governments. Recommendations

As the integration of culture continues to be highlighted, the recommendations in Table 7.1 may be considered.

Table 7.1. Recommendations to Support the Promotion of Philippine Culture and Values Challenges Recommended Strategies Implementing Agencies Providing social protection and Create a registry for artists and NCCA, LGUs human resource development cultural workers to artists and cultural workers Capacitating local planners to Mainstream culture in development NCCA, LGUs design, formulate and execute planning; conduct capacity building culture-related plans and activities for integration of culture in programs plans and programs Establishing monitoring Conduct data audit in cultural NCCA, LGUs mechanisms to gather agencies actionable data for culture

24 2017 Regional Development Report

Chapter 8 Expanding Economic Opportunities In Agriculture, Forestry and Fisheries

The Chapter highlights the performance of the agriculture, forestry and fisheries (AFF) sector in the region and its contribution to the PDP and RDP 2017-2022 objectives of promoting inclusive development and meeting the country’s food security needs.

In Calabarzon, the AFF sector remains an important growth driver as it provides employment in the Region’s workforce and raw materials in the Region’s industry sector. The sector remains driven by the livestock and poultry subsector with the Calabarzon Region as the top producer of chicken eggs and second biggest producer of hogs and chicken in the country.

Inclusive growth in Calabarzon will be achieved by reducing inequality in the AFF sector through expanded economic opportunities and increased access to economic opportunities as described by the Strategic Framework in Figure 8.1.

Figure 8.1. Strategic Framework to Expand Economic Opportunities in Agriculture, Forestry, and Fisheries

Chapter 8: EXPANDING ECONOMIC OPPORTUNITIES IN AGRICULTURE, 25 FORESTRY & FISHERIES

Accomplishments

AFF sector posted a negative growth. The 2017 gross value added (GVA) of the AFF sector posted a negative 0.6 percent growth compared to the positive 3.4 percent growth in 2016 and the target 2.0 to 3.5 percent growth for 2017 was not attained. The AFF sector’s contribution to the gross regional domestic product declined from 5.5 percent in 2016 to 5.1 percent in 2017. Nonetheless, the Region remains to be the second major contributor to the total GVA in AFF of the country at 10 percent share.

The typhoons and prolonged rainy season during the second semester of 2017 pulled down the production in crops and fisheries. Hence, in spite of the increase in production of livestock and poultry sub-sectors, AFF GVA declined.

Crops subsector performance generally slowed down due to prolonged dry season in the first semester and typhoons in the second semester. The performance of the crops subsector was affected by the decline in yield of yellow corn, mango and cassava due to weather disturbances resulting to delayed planting and shifting to other crops (Table 8.1). Similarly vegetable production was reduced by 4.32 percent from 302,900 metric tons in 2016 to 289,800 metric tons in 2017 due to the prolonged dry season in the first semester and prolonged rainy season in the second semester.

On the other hand, the yield of palay, banana, pineapple and cacao increased but not sufficient to meet the target for 2017. Palay production was affected by the typhoons that hit the Region especially during the second semester of 2017. Banana production was affected by shift to other crops such as cacao and coconut while pineapple production was affected by the small fruits harvested. The increase in cacao production is not enough to meet the target for 2017 because the results of the initiatives to expand production areas and rehabilitate old trees are not yet evident until three to five years.

Table 8.1. Yield of Major Commodities (metric tons/hectare) 2017 Change (%) Commodity Baseline (2016) Target Actual Target Actual a. Palay 3.5 3.64 3.53 -3.02 0.86 b. White Corn 1.7 1.96 1.7 -13.27 0.00 c. Yellow Corn 3.8 4 3.66 -8.50 -3.68 d. Banana 4.1 4.24 4.2 -0.94 2.44 e. Coconut 3.1 3.13 3.2 2.24 3.23 f. Pineapple 22.7 23.38 23.2 -0.77 2.20 g. Mango 3.6 3.8 3 -21.05 -16.67 h. Sugarcane 60.9 Increasing 63.6 4.43 i. Cassava 6.9 9.75 6.6 -32.31 -4.35 j. Coffee 0.2 0.3 0.2 -33.33 0.00 k. Cacao 0.04 0.14 0.05 -64.29 25.00 Source: DA Region IV-A

Meanwhile, coconut yield continue to increase by 3.23 percent from 3.1 metric tons per hectare in 2016 to 3.2 metric tons per hectare in 2017 that is also equivalent to 2.24 percent

26 2017 Regional Development Report higher than the target of 3.13 metric tons per hectare for 2017. The increase in production is brought about by the government’s continued support in intensive coconut fertilization and rehabilitation. The strengthened coordination and partnership of LGUs and other regional line agencies (RLAs) in the conduct of trainings, and the strict implementation of Republic Act 10593 or the amended RA10593 known as the Coconut Preservation Act of 1995 contributed to the sustained growth.

Livestock and Poultry subsector sustained its positive growth. The hog and goat production increased by 1.81 and 0.53 percent, respectively with the increased demand for pork by hotels, restaurants and institutions and the shift in preference from chicken to other meats due to bird flu scare during the second quarter of 2017. The beginning stocks for hogs also increased as mortality decreased with the improved quality of breeder stocks and strict implementation of bio security measures. Goat production increased as more farmers became interested in raising goats using imported breeds.

Despite the Bird Flu scare during the second quarter of 2017, growth in the poultry subsector remained positive with the chicken and chicken egg production posting a 0.06 and 3.36 percent growth, respectively. The upgrading of poultry houses from conventional to tunnel ventilation system and the sustained demand of Calabarzon and the National Capital Region contributed to continued growth of the subsector. The effective Disease Management Program and strong collaboration with the private sector helped in addressing the bird flu.

Table 8.2. Volume of Production Increased ('000 MT, cumulative) 2017 Change (%) Indicator Baseline (2016) Target Actual `16-`17 a. Hog 365.10 Increasing 371.70 1.81 b. Goat 3.80 Increasing 3.82 0.53 c. Chicken 328.40 Increasing 328.60 0.06 d. Chicken Egg 140.30 Increasing 145.02 3.36 Source: DA Region IV-A

Municipal fisheries leaped to a positive growth, but commercial fisheries and aquaculture remained sluggish. Municipal fisheries production grew by 5.79 percent which is 3.79 percentage points higher than the target. The distribution of gillnets fishtrap, other fishing paraphernalia, lesser occurrence of strong typhoons and mangrove rehabilitation contributed to the increased catch. There were about 750,000 magroves propagules given to LGUs for installation.

Commercial fisheries and aquaculture production continued to contract at -5.87 and -1.21 percent, respectively. Commercial fisheries production declined due to weather disturbances while aquaculture production declined due to limited supply of good quality fingerlings and overstocking. The strengthened implementation of the Republic Act No. 10654, or the amendment of the Philippine Fisheries Code of 1998 which aims to prevent, deter and eliminate illegal, unreported and unregulated fishing have likewise affected commercial fishing.

Chapter 8: EXPANDING ECONOMIC OPPORTUNITIES IN AGRICULTURE, 27 FORESTRY & FISHERIES

Table 8.3. Growth in Volume of Production of Fisheries Increased (%) 2017 Indicator Baseline (2016) Target Actual a. Commercial -20.14 1 -5.87 b. Municipal -23.78 0.02 5.79 c. Aquaculture -0.63 0.03 -1.21 Source: BFAR Region IV-A

Technical support services to the AFF sector were strengthened. The number of group beneficiaries provided with agriculture and fishery machineries increased by 103.62 percent from 497 in 2016 to 1,012 in 2017 which is 29.08 percent more than the target. The technical supports were on farm mechanization, post-harvest interventions and livelihood projects for marginal fisherfolks.

The number of AFF-enterprises provided with technical support services increased from 446 to 940 AFF-enterprise or about 110.76 percent that is 160 more than the target of 780 AFF- enterprise. Also, the number of beneficiaries provided with extension services increased from 6,793 to 6,827 that is 11.46 percent more than the target.

The share of small farmers and fisherfolk with agricultural insurance to total number of farmers and fisherfolk increased from 7.96 percent in 2016 to 8.06 percent in 2017. This is a result of the government’s effort to extend crop insurance to farmers and fisherfolk. The free insurance program covers farmers and fishermen who are registered in the government’s Registry System for Basic Sector in Agriculture to help them cope with the ill effects of climate change on farm production.

Moving Forward

With the contraction of the AFF Sector in 2017, government interventions must be intensified in order to realize the plan targets and expand economic opportunities.

Recommendations

Challenges Recommended Strategies Implementing Agencies Limited budget allocation Increase in the budget allocation of the BFAR, DA to promote production of commodities by which the Region has commodities with comparative advantage will be prioritized. comparative advantage Budgetary allocation for livestock, poultry, aquaculture and lowland vegetables as the major champion commodities of the Region need to be increased. The development of the cattle industry in the Region should also be prioritized as it is a potential commodity based on the Department of Agriculture‟s value-chain analyses.

28 2017 Regional Development Report

Challenges Recommended Strategies Implementing Agencies Limited budget allocation With the decline in AFF employment, to promote production of there is a need to strengthen farm commodities with mechanization to achieve the targets of comparative advantage the AFF sector and become less dependent on labor.

Farm mechanization will allow farmers to Declining and ageing DA increase their productivity and become farmers and fisherfolk more efficient and competitive in achieving food security and increase farmer‟s income. The introduction of new technological tools and farm mechanization will encourage the youth to venture into agriculture Private sector involvement Private sector investment in AFF BFAR, DA, DOST in AFF to promote technologies and logistics facilities (e.g., technology transfer warehouse, cold storage facilities) needs to be encouraged to boost production and improve post-harvest processing.

Increased investments on technologies BFAR, DA, DOST and facilities will support the value chain development and improve the competitiveness of the AFF sector. Low competitiveness of Expand the market of agriculture and BFAR, DA, DTI AFF products fisheries adhering to global safety and quality standards.

Promotion of the halal industry has to be DTI, DA increased to maximize the benefits of the Association of Southeast Asian Nations (ASEAN) integration as most ASEAN- member countries are halal market.

Clustering of production through contract DA farming should be encouraged to allow for more value-adding and to ensure availability of raw material for processing.

Market connectivity through Food Lane BFAR, DA, DTI and TienDA must be strengthened. Food lane aims to ensure efficient delivery of agri-fishery commodities and reduce postharvest losses and transportation cost by eliminating additional fees and unnecessary check points. TienDA is a version of “farmer‟s market” which provides a venue for farmers and fishers to directly sell their produce, and for consumers to be able to access these products at its farm gate price.

Chapter 8: EXPANDING ECONOMIC OPPORTUNITIES IN AGRICULTURE, 29 FORESTRY & FISHERIES

Challenges Recommended Strategies Implementing Agencies Implementation of Reinforce the implementation of the BFAR, LGUs sustainable fisheries following: (a) complete delineation, management delimitation, and zoning of municipal waters to ensure that municipal fisherfolk are given preferential use and exclusive access to resources (mapped and zoned accordingly into production and protection areas to ensure fisheries sustainability); (b) strengthen law enforcement and management of coastal and marine areas particularly against illegal, unreported, and unregulated fishing activities; (c) rationalize the identification of marine protected areas and other networks to ensure the continued supply of seafood, underpin ecotourism, and enhance climate resilience; and (d) regulate fishery structures such as fish pens and cages in inland bodies of water. Vulnerability to climate Strongly undertake the following DA, NIA and disaster risks activities: (a) establishment of small and communal irrigation systems especially those using harvesting technologies; (b) promotion of effective and efficient technologies to cushion the impact of El Niño (e.g. water saving and management, stress-resistant varieties and solar-powered irrigation); and (c) construction of more climate resilient farm structures.

Identification of vulnerable areas for a DA more effective targeting mechanism to cover some 25 percent of the total number of farmers in the country estimated at 10 million. In 2017, the PCIC paid PHP1.9 billion worth of insurance claims to around 175,000 affected farmers that is 25.83 percent higher than the PHP1.51 billion it paid to farmers in 2016.

30 2017 Regional Development Report

Chapter 9 Expanding Economic Opportunities in Industry and Services through Trabaho at Negosyo

This Chapter presents the Calabarzon Region as the industrial powerhouse of the country with 30.6 percent share of the country’s Gross Domestic Product, leading the NCR and Region III since 2015. The Industry Sectors’ accelerated growth from 3.6 percent in 2016 to 7.7 percent in 2017 was due to the fast growth of manufacturing and construction. It remains as the economic driver of the Region and accounts for 61.9 percent of the region’s economy

On the other hand, the services sector slowed down from 7.3 percent growth in 2016 to 6.0 percent in 2017 as transportation, storage and communication, trade and repair of motor vehicles, motorcycles, personal and household goods, financial intermediation, real estate, renting & business activities and other services posted slower performance.

Overall, Calabarzon is an attractive place for investments to local and foreign investors because of diverse investment opportunities, stable financial and government efficiency.

Sustaining the competitiveness of the industry sector in the local and global market and to reduce inequality in economic opportunities as shown in the Figure 9.1 would require expanding the access of MSMEs, Cooperatives and OFs to economic opportunities. This requirement includes increasing local and foreign investment promotion, strengthening of linkages & partnerships between private and government, implementation of Progressive Accreditation System, and academe involvement in consumer advocacy initiatives and campaign.

Figure 9.1 Strategic Framework to Expand Economic Opportunities in Industry and Services

Chapter 9: EXPANDING ECONOMIC OPPORTUNITIES IN INDUSTRY AND SERVICES 31

Accomplishments

Economic Opportunities in Industry and Services (I&S) Expanded

Industry Sector doubled previous year’s growth. The industry sector doubled its growth from 3.6 percent in 2016 to 7.7 percent in 2017 with a gross value added of PHP 901.44 Billion. The manufacturing sub-sector led the 7.7 percent growth of the industry accounting for 53.5 percent of the total industry GVA. Other sub-sector also contributed to the growth of the industry such as the construction which grew from 1.0 percent in 2016 to 15.9 percent in 2017 mostly due to residential construction. Growth in construction also resulted from the vast public infrastructure projects through the implementation of “Build, Build, Build” program. The mining and quarrying sub-sector also contributed which recovered from -1.8 percent in 2016 to 1.0 percent in 2017. While, the electricity, gas and water supply sub-sector also contributed to the growth of the industry, its performance slowed down from 6.7 percent in 2016 to 3.4 percent.

Table 9.1 Gross Value Added in Industry and Services Sectors Baseline 2017 Indicators (2016) Variance Value Target Actual GVA in industry increased 3.6 5.0-7.0 7.7 4.1 GVA in services increased 7.3 7.0 6.0 (1.3) Manufacturing GVA as a 53.2 Increasing 53.5 0.3 proportion of GRDP increased Source: PSA Region IV-A

Manufacturing led the Region’s economy. Manufacturing accounted for 53.5 percent of the Region’s economy amounting to PHP 779.30 Billion. The Region remains as the home of most of the automotive assemblers in the country such as Hyundai, Honda, Isuzu, Mitsubishi, Nissan, and Toyota. Moreover, concentration of electronics exports was also in the Region particularly in the provinces of Laguna and Cavite when together accounted for almost 60 percent of the total country’s electronics export.

Unmet target and slow growth for Services Sector. The services sector slowed down from 7.3 percent in 2016 to 6.0 percent in 2017 resulting to failure to meet the target of 7.0 percent In spite of the performance of public administration & defense, the compulsory social security sub-sector from 7.4 percent in 2016 to 8.0 percent in 2017 due to government salary standardization, it was not able to compensate for the slow growth of the other sub-sectors.

32 2017 Regional Development Report

Table 9.2 Calabarzon Gross Regional Domestic Product By Industrial Origin, 2016 – 2017 (at constant 2000 prices) INDUSTRY/YEAR 2016 2017 Variance

I. AGRICULTURE, HUNTING, 74,622,793 74,145,281 (477,513)

FORESTRY & FISHING a. Agriculture and Forestry 57,277,196 57,735,333 458,138 b. Fishing 17,345,598 16,409,948 (935,650)

II. INDUSTRY SECTOR 836,700,049 901,436,149 64,736,100

a. Mining and Quarrying 2,648,823 2,676,401 27,578

b. Manufacturing 726,067,511 779,303,425 53,235,914

c. Construction 62,483,768 72,408,093 9,924,325

d. Electricity, Gas and Water Supply 45,499,947 47,048,230 1,548,283

III. SERVICE SECTOR 453,413,752 480,506,702 27,092,950 a. Transportation, Storage & 91,486,723 94,912,896 3,426,172 Communication b. Trade and Repair of Motor Vehicles, 103,733,090 108,001,510 4,268,420 Motorcycles, Personal and Household Goods c. Financial Intermediation 52,572,153 56,476,093 3,903,941 d. Real Estate, Renting & Business 121,736,010 130,188,194 8,452,185 Activities e. Public Administration & Defense; 16,447,111 17,764,440 1,317,329 Compulsory Social Security f. Other Services 67,438,665 73,163,568 5,724,904

GROSS DOMESTIC PRODUCT 1,364,736,594 1,456,088,132 91,351,538 Source: PSA Region IV-A

Chapter 9: EXPANDING ECONOMIC OPPORTUNITIES IN INDUSTRY AND SERVICES 33

Table 9.3 Calabarzon Gross Regional Domestic Product By Industrial Origin, 2016 – 2017 (percent distribution at constant 2000 prices – in % unit) INDUSTRY/YEAR 2016 2017

I. AGRICULTURE, HUNTING, FORESTRY & FISHING 5.5 5.1 a. Agriculture and Forestry 4.2 4.0 b. Fishing 1.3 1.1

II INDUSTRY SECTOR 61.3 61.9

a. Mining and Quarrying 0.2 0.2

b. Manufacturing 53.2 53.5

c. Construction 4.6 5.0

d. Electricity, Gas and Water Supply 3.3 3.2

III SERVICE SECTOR 33.2 33.0

a. Transportation, Storage & Communication 6.7 6.5 b. Trade and Repair of Motor Vehicles, 7.6 7.4 Motorcycles, Personal and

Household Goods

c. Financial Intermediation 3.9 3.9

d. Real Estate, Renting & Business Activities 8.9 8.9 e. Public Administration & Defense; 1.2 1.2 Compulsory Social Security

f. Other Services 4.9 5.0

GROSS DOMESTIC PRODUCT 100.0 100.0 Source: PSA Region IV-A

Decreased local and foreign investment. Despite the DTI-Board Of Investments’’ (BOI) report that the Calabarzon is the number one destination for BOI-registered investments with PHP 294.6 billion or 48 percent share of the total approved investments, the Region’s total approved investments for 2017 achieved only 83.72 percent of the target investments amounting to PHP 83.43 Million. Investments declined by 12.55 percent as investors opted to adopt a wait and see attitude on the leadership and policy directions of the new administration particularly on the implementation of Tax Reform for Acceleration and Inclusion (TRAIN) 2 law of which holiday incentives for PEZA locators were still being deliberated. Despite decrease in investments in PEZA areas, the Province of Quezon tripled its investments due to declaration of Mauban, Quezon as a Special Economic Zone. Nevertheless, the Batangas Province has the highest investments due to the Province’s initiative to promote their area for investment by conducting Development Summit with a theme “Rich Batangas”. Other contributing factors are: opening and extensive promotion of Light Industry & Science Park IV in Malvar, Batangas, promotion of new tourism sights and industry access to Batangas Port.

34 2017 Regional Development Report

Table 9.4 Calabarzon Gross Regional Domestic Product By Industrial Origin, 2016 – 2017 (growth rates at constant 2000 prices – in % unit) INDUSTRY/YEAR 15-16 16-17 Variance

I. AGRICULTURE, HUNTING, FORESTRY & FISHING 3.4 -0.6 -4.0 a. Agriculture and Forestry 4.6 0.8 -3.8 b. Fishing -0.3 -5.4 -5.1

II INDUSTRY SECTOR 3.6 7.7 4.1

a. Mining and Quarrying -1.8 1.0 2.8

b. Manufacturing 3.7 7.3 3.6

c. Construction 1.0 15.9 14.9

d. Electricity, Gas and Water Supply 6.7 3.4 -3.3

III SERVICE SECTOR 7.3 6.0 -1.3

a. Transportation, Storage & Communication 6.6 3.7 -2.9 b. Trade and Repair of Motor Vehicles, 6.1 4.1 -2.0 Motorcycles, Personal and

Household Goods

c. Financial Intermediation 8.4 7.4 -1.0

d. Real Estate, Renting & Business Activities 7.2 6.9 -0.3 e. Public Administration & Defense; 7.4 8.0 0.6 Compulsory Social Security

f. Other Services 9.3 8.5 -0.8

GROSS DOMESTIC PRODUCT 4.8 6.7 1.9 Source: PSA Region IV-A

Table 9.5 Calabarzon Results Matrix for 2017-2022, Total Investments, Employment and Export Sales Data Baseline 2017 Percent Indicators (2016) Variance Change (%) Value Target Actual Total approved investments 5% increase 79,460.77 69,484.88 -9,975.89 -12.55 increased (PhP M) (83,433.8) Number of employment increased from industrial 5% increase park/economic zone and IT 464,267 491,234 26,967. 5.81 (487,480) parks/BPO industrial parks developed- Public 5% increase Exports increased (US$ M) 23,996.50 26,217 2,220.82 9.25 (25,196.33) Source: PEZA

Chapter 9: EXPANDING ECONOMIC OPPORTUNITIES IN INDUSTRY AND SERVICES 35

Table 9.6 Approved Investments in Million Pesos by Province, 2016 to 2017 Province 2016 2017 Growth Rate (%) Batangas 19,493.992 33,684.086 72.79 Cavite 27,549.014 4,186.971 -84.80 Laguna 28,296.585 19,306.942 -31.77 Quezon 3,491.067 11,355.931 225.29 Rizal 630.112 950.945 50.92 TOTAL 79,460.770 69,484.875 -12.55

Source: PEZA

Increased direct employment. Industrial park/economic zones increased their direct employment by 5.81 percent with a total of 26,967 persons employed, surpassing the target for 2017. The Provinces of Laguna and Quezon generated the most and least number of employment, respectively, as the two provinces have also the most and least number of ecozones.

Table 9.7 Number of Ecozones by Province as of November 2017 Type / Province Cavite Laguna Batangas Rizal Quezon Total Operating Ecozones

Manufacturing 11 14 10 - - 35 IT Parks / Centers 3 5 3 3 - 14

Agro-Industrial 1 - - - 1 2

Tourism - - 1 1 - 2

Medical Tourism Parks/Centers - - 1 - - 1 Establishing / Proclaimed Ecozones

Manufacturing 2 - 3 - - 5 IT Parks / Centers 3 5 - 1 - 9

Agro-Industrial - 1 1 - - 2

Tourism 2 1 - - - 3 TOTAL 22 26 19 5 1 73 Source: PEZA

Table 9.8 Direct Employment by Province, 2016 to 2017 Province 2016 2017 Growth Rate (%) Batangas 98,643 109,004 10.50 Cavite 155,713 159,216 2.25 Laguna 204,511 215,935 5.59 Quezon 2,042 2,043 0.05 Rizal 3,358 5,036 49.97 TOTAL 464,267 491,234 5.81 Source: DOLE Region IV-A

Increased export sales. The amount of exports also increased by US$ 2.22 Billion or 9.25 percent achieving 104 percent of the target at $26.22 Billion. Laguna province was the top exporter with $15.70 Million particularly due to automotive and electronics industry.

36 2017 Regional Development Report

Table 9.9 Export Sales by Province, 2016 to 2017 (US$ Million) Province 2016 2017 Growth Rate (%) Batangas 4,208.801 4,612.379 9.59 Cavite 6,622.946 5,782.223 -12.69 Laguna 13,071.924 15,702.863 20.13 Quezon 64.093 76.258 18.98 Rizal 28.737 43.598 51.71 TOTAL 23,996.501 26,217.321 9.25 Source: DTI Region IV-A

The robust performance in employment and exports reflect stable operation of locators in the economic zones. This could also be attributed on PEZA’s efficient & effective management of incentives, active support and participation of private developer associations to PEZA programs and projects e.g. PHILEA through provision of initiatives to policy recommendations.

Visitors and accredited tourism establishments increased. The number of same day visitors reached 28,052,398 in 2017, an increase of 7.71 percent from 2016 while overnight tourist slightly increased by 0.71 percent. Targets for overall same day visitors and overnight tourists were exceeded by 27.23 percent and 17.15 percent respectively. The increase in number of tourists was due to additional tourism activities and attractions with continuous support and promotion of the tourism officers.

The number of accredited tourism establishments also grew by 26.87 percent as a result of campaign for DOT accreditation in coordination with the LGUs. The DOT target on accredited establishments exceeded the target. However, the number of rooms from DOT accredited establishments declined by 51 percent due to non-renewal of 23 star rated hotels and resorts under the National Accommodation Standards Accreditation. The on-line system for renewal may have affected the accreditation of establishments as it was down on December 6, 2017 wherein some accommodations have pending applications and have no access. The DOT emailed all establishments informing them to submit documents, but few complied before the year ended. Accommodations accredited this year are NOT star-rated and have generic accreditations as "Resort and Hotel”.

The targeted number of employees employed by DOT accredited establishments was met with an increase of 18.52 percent due to the Industry Manpower Skills Development.

Chapter 9: EXPANDING ECONOMIC OPPORTUNITIES IN INDUSTRY AND SERVICES 37

Table 9.10 Target and Actual Tourism Data, Calabarzon, 2016-2017 2016 2017 2017 Indicator Growth Rate Baseline Target Actual (%) Same day visitors ('000) 26,043 22,048 28,052 7.71 Number of overnight visitors increased 5,095 4,380 5,131 0.71 („000) Number of accredited tourism establishments 227 211 288 26.87 Number of rooms from DOT accredited accommodation establishments 3,847 3,300 1,885 (51.00) Number of employees employed by DOT accredited establishments 5,934 5,000 7,033 18.52 Source: DOT Region IV-A

Consumer access to safe and quality goods & services ensured. The number of consumer awareness and advocacy initiatives undertaken increased by 15 percent in 2017. The increase is attributed to the involvement of schools in consumer advocacy program and interagency collaboration among SUCs and DepEd. The percentage of consumer complaints resolved reached to 92 percent or an increase of 15 percent from 2016. The number of firms/customers provided with testing and calibration services also increased from 1,011 in 2016 to 1,175 in 2017, more than the targeted five percent increase. The growth was due to testing and calibration services provided by DOST through Community Empowerment through Science and Technology Program and enhanced promotional activities for Regional Standards & Testing Laboratory (RSTL) services. Productivity, efficiency and resiliency improved. The number of small-enterprise technology upgrading program (SETUP) beneficiaries increased from 55 in 2016 to 61 in 2017; one percent higher than the regional target. This was due to enhanced promotion of activities for SETUP and an increase in the Innovation Support System Fund from 69.5M to 93.464M. Other contributing factors are the implementation of industry value chain approach; innovation eco-system and development of Innovation Niche Center. Table 9.11 Access to Economic Opportunities, Calabarzon: 2016-2017

2016 2017 2017 Indicator Baseline Target Actual Growth Rate (%) Consumer access to safe & quality goods & services Number of consumer awareness and 200 200 230 15.00 advocacy initiatives undertaken Percentage of consumer complaints resolved within prescribed time - 80% 80% 92% 15.00 mediation (10 days), arbitration (20 days) Number of clients (firms) / customers 5% provided with testing and calibration 1,011 1,175 10.91 increase services increased Access to production networks

Number of negosyo centers established 23 36 37 60.87 Number of negosyo centers maintained 12 35 35 191.67 Source: DTI and DOST Region IV-A

38 2017 Regional Development Report

Access to Economic Opportunities in I&S for MSMEs, Cooperatives and OFs increased

Access to finance improved. The number of credit cooperatives in the Region increased from 18 in 2016 to 32 in 2017 as these cooperatives are the easiest to operate. Thus, many individuals are interested to apply / establish a credit cooperative. In addition, the increase of interest in establishing a credit cooperative can be attributed to the internal revenue laws & other tax laws where cooperatives are not subject to taxes & fees imposed as transactions are purely with members only.

Negosyo Centers established and maintained increased. Negosyo Centers promote ease of doing business, facilitate access to grants and other forms of financial assistance. They also provide Shared Service Facilities and support for MSMEs through management guidance, improvement of the working conditions of MSMEs; market access and linkaging services for entrepreneurs. The number of Negosyo Centers maintained increased from 12 in 2016 to 35 in 2017 due to sufficient funds and collaboration with the LGUs. The DTI has already established 37 Negosyo Centers and maintained 35 centers in 2017.

Moving Forward

The Industry and Services sector may face some challenges in the future due to the impact of the TRAIN law. Nevertheless, positive performance of the sector is anticipated.

Recommendations

The following are the recommendations for CY 2018 to 2022 to ensure continuous growth and achievement of the sectors targets based on the RDP.

Implementing Challenges Recommended Strategies Agencies Ensure consistent increase in local  Strengthen promotional activities PEZA, DTI, IPG and foreign investments locally and abroad  Encourage reinforcement of linkages and partnerships between private and government sector Increase in competitiveness,  Utilize and implement Progressive DOT innovativeness and resilience Accreditation System (PAS), an accreditation campaign issued by the DOT with DILG through a Joint Memoramdun Circular

Chapter 9: EXPANDING ECONOMIC OPPORTUNITIES IN INDUSTRY AND SERVICES 39

Implementing Challenges Recommended Strategies Agencies Increase volume of tourist arrivals in  Promote and utilize new potential DOT, LGUs the the Region due to: tourist destinations

 diversion of tourists from Boracay to other parts of the region  higher number of Chinese tourists arrivals resulting from the improving government relationship of the Philippines and China

Increase consumer access to safe &  Strengthen partnership program with DOST, CHED, quality goods & services private sectors and academe in SUCs, HEIs, consumer advocacy initiatives and NGOs campaign  Sustain promotion of DOST testing and calibration services and OneLab referral system to ensure conformity on global standards and competitiveness

Improve region‟s Industry & Services  Increase DOST Small Enterprise productivity, efficiency and resiliency Technology Upgrading Program fund DOST, RDC, to avoid backlog / pending DBM implementation of project proposals

Increase access to economic  Establish Negosyo Centers in all cities DTI, CDA, DOLE, opportunities in Industry & Services and municipalities in Calabarzon to DOST for MSMEs, cooperatives and helps the MSMEs to access the overseas filipinos production networks  Provide technical assistance to credit cooperatives and Overseas Filipinos in developing into a business  Continue government support in mainstreaming cooperative development  Strengthen value chain approach to link the suppliers and producers to the market

40 2017 Regional Development Report

Chapter 10 Accelerating Human Capital Development

This Chapter highlights the annual performance of the social sector in terms of nutrition and health, education and employment (Figure 10.1). The facilitating and hindering factors in meeting the targets are discussed and the strategies are added to address the challenges.

Figure 10.1 Strategic Framework to Accelerate Human Capital Development

Chapter 10: ACCELERATING HUMAN CAPITAL DEVELOPMENT 41

Accomplishments

Nutrition and health for all improved

Child health outcomes improved slightly. Infant, neonatal, and under-five mortality rates decreased and stayed within targets. Infant and under-five mortality rates slightly improved in 2017 at 9 and 13 deaths per 1,000 live births, respectively. Positive performance on neonatal mortality rate was also recorded at only 6 deaths per 1,000 live births in 2017. The progress in reducing mortality rates can be attributed to improved service delivery of basic health services, intensified advocacy campaign on availability of services and good health-seeking behaviour.

Maternal mortality substantially improved. Maternal mortality rate reduced significantly in 2017 at 54 deaths from 68 deaths per 100,000 live births in 2016. This is well within the updated and slightly lower 2017 target of 70 deaths per 100,000 live births. According to the Department of Health (DOH) Region IV-A, the new target is based on the Sustainable Development Goals (SDG) targets at the national level and the foreseen increase in the number of reported deaths as a result of improved reporting system. The facilitating factors on child health mentioned earlier also contributed to improved maternal mortality, in particular, improved facilities in birthing facilities and hospitals and a functional health referral system.

Target on immunization of 1 year old children not achieved. Immunization is vital in achieving the SDG target of ending preventable deaths of newborns and children under 5 years of age. In 2017, the Region was only able to attain 61 percent of 1 year old fully immunized children which is 34 percent lower than the target. The target was not achieved due to the late delivery of supplies and materials.

Malaria-free Region sustained. The Region has no reported cases on malaria mortality. This can be attributed to the increase in the budget allocation for prevention and control of vector- borne diseases, strengthened surveillance for both human cases and vectors of the disease.

Tuberculosis incidence slightly increased but target still attained. Tuberculosis Incidence (TB) incidence increased from 318 in 2016 to 327 in 2017 but still within the target of 350 per 100,000 population. The increase in TB cases may be due to improved methodology in detecting TB cases and computing for incidence and some patients not continuing their medication. The DOH National Tuberculosis Prevalence Survey in 2016 reveals that the significant risk factors associated with TB are: a) age; b) urban dwelling; c) previous TB treatment; d) self-reported diabetes mellitus; e) lower socioeconomic status; f) absence of health insurance; g) sex; and h) smoking.

HIV cases continue to rise. The cases of new HIV infections significantly increased from 1,290 in 2016 to 1,807 in 2017. The increase can be attributed to the Region’s proximity to Metro Manila where HIV incidence is high, low knowledge on HIV and AIDS, unprotected sex, increase in the number of treatment hubs and satellite testing centers where cases are recorded, and increased awareness on HIV testing.

42 2017 Regional Development Report

Health manpower to population ratio improved but still below the standard. The ratio of medical doctors and midwives to population are not within the standard. The ratio of medical doctors to population slightly improved in 2017 at 1:42,004 from 1:56,052 in 2016 but still far from the standard of 1:20,000. Similarly, the ratio of midwife to population at 1:8,420 is below the standard of 1:5,000. Only the ratio of nurses to population improved from 1:20,206 in 2016 to 1:18,188 in 2017 and met the standard of 1:20,000.

Target on drug cases who completed treatment not met. A higher number of drug abuse cases or drug users who completed treatment is consistent with the SDG target of strengthening the prevention and treatment of substance abuse, including narcotic drug abuse and harmful use of alcohol. The region recorded 84 percent of drug cases or users who completed treatment but fell short of meeting the 90 percent target in 2017. This may be due to fewer patients being admitted to the DOH Treatment and Rehabilitation Center due to delays in the implementation of Community-Based, Screening, Assessment and Referral of drug surrenderees by the LGUs.

Target on births attended by skilled health personnel and births delivered in health facilities attained. There was a slight increase in the proportion of births attended by skilled health personnel from 91 percent in 2016 to 93 in 2017, thereby attaining the target of 93 percent. Similarly, the proportion of births delivered in health facilities increased from 88 percent in 2016 to 90 in 2017, thereby meeting the target.

Regional Health Insurance Program Coverage increased. The Region achieved 100 percent of the health insurance program covered due to the increased awareness of the program among members and non-members and increased sponsorship of private sectors and enrolment of kasambahays and drivers under formal sector.

Lifelong opportunities for all4

Completion rates increased. The completion rate in elementary level generally improved and exceeded the target which imply better retention or reduced drop-out rates. Meanwhile, the completion rate for junior high school (JHS) decreased and was below the target. In 2017, elementary completion rate was at 99.1 percent while completion rate for JHS was at 85.81 percent.

Certificate rate of Technical-Vocational Education and Training (TVET) improved. The certificate rate of TVET graduates increased from 88 percent in 2016 to 91 percent in 2017.

Income-earning ability increased

Employment rate consistently increased. The employment rate consistently increased from 93.9 percent in October 2016 to 94.3 percent in the same period in 2017 due to accelerated growth in the services sector and employment-generating projects of the government. The Region’s labor force also slightly increased partly because of job facilitation activities of the government and the academe that have encouraged graduates to seek immediate employment.

4 Release of official data from DepEd’s Enhanced Basic Education Information System is scheduled on the 3rd quarter of 2018.

Chapter 10: ACCELERATING HUMAN CAPITAL DEVELOPMENT 43

Beneficiaries of job facilitation and scholarships

Beneficiaries of the Special Program for Employment of Students (SPES) increased. In 2017, the Region was able to provide bridging employment assistance to 13, 670 students under SPES, surpassing the target of 11,125. The increase in the number of SPES beneficiaries was facilitated by close coordination between LGUs and the Public Employment Service Offices and shorter program implementation period by LGUs. .

Beneficiaries of Government Internship Program (GIP) increased. The Government Internship Program or GIP seeks to provide opportunities and engage young workers to serve the general public in government agencies/entities projects and programs at the national and local level. The Region was able to assist 937 beneficiaries under the GIP in 2017 and exceeded the target of 403 beneficiaries. The increase was due to the close coordination of DOLE with LGUs in the implementation of the program and the provision of additional funds from partners.

Beneficiaries of Jobstart increased. The Jobstart Philippines Program, which started in 2016, seeks to enhance the knowledge and skills acquired by jobseekers in formal education or technical training to enable them to become more responsive to the demands of the labor market. A total of 499 youth beneficiaries were assisted through the Jobstart Program which is 199 higher than the target. The increase in the number of beneficiaries was due to the continuing fund from 2016, funding assistance from the Asian Development Bank, and internship pledges from private employers. In addition, a total of 222 youth were placed in wage employment.

Beneficiaries of Private Education Student Financial Assistance (PESFA) Program increased but target not attained. The number of PESFA beneficiaries increased from 1,081 in 2016 to 1,274 in 2017 but the target of 1,349 was not attained. The target number of enrolees based on approved slots was not met, particularly in the province of Quezon, due to some changes in the qualifications and programs implemented.

Beneficiaries of Training for Work Scholarship Program (TWSP) increased. The total number of TWSP beneficiaries increased from 21,694 in 2016 to 38, 371 in 2017, thereby attaining the target. The increase in budget allocation contributed to the increase in the number of beneficiaries.

Beneficiaries of Employment Facilitation (EF) Track increased. In 2017, there was a total of 26,672 beneficiaries under the Employment Facilitation Track which exceeded the target of only 11,697.

Jobseekers referred for placement through the Public Employment Service reduced but attained target. To enhance the capability of program partners on employment facilitation services, capacity building activities were conducted for Public Employment Service Offices (PESOs) managers and staff. The Region recorded a total of 291,832 jobseekers referred for placement with 80.32 placement rate or 234,386 applicants placed due to the strong linkage of PESOs with private employers and jobseekers.

Individuals reached through the Labor Market Information (LMI) increased. The number of individuals reached through the LMI significantly improved in 2017 at 1,141,480

44 2017 Regional Development Report as against its target of 425,800 due to the increased awareness on availability and value of LMI and PhilJobNet kiosks established in PESOs, DOLE offices and some LGUs.

Moving Forward

Several challenges need to be addressed to accelerate human capital development in the Region. In 2017, targets for the following indicators were not achieved: a) target on immunization of 1 year old children not achieved; b) number of HIVcases; c) ratio of doctors and midwives to population; d) target on drug cases who completed treatment; and e) beneficiaries of PESFA program. . To ensure the achievement of regional targets, there is a need to implement strategies or mechanisms to improve the delivery of programs for human capital development.

Recommendations

Challenges Recommended Strategies Implementing Agencies

Low number of  Ensure timely delivery of medical DOH immunized 1 year old supplies and materials children  Intensify advocacy campaign on immunization Increasing number of  Intensify advocacy on sex education in DOH, LGUs, DepEd, HIV cases schools and communities CHED, TESDA  Conduct orientation seminars on HIV/AIDS in both public and private schools  Harmonize modules on Youth-for-Youth and Usap Tayo  Roll-out harmonized Youth-for-Youth and Usap Tayo modules in basic education  Establishment of Local AIDS Councils Ratio of doctors and  Increase in national health budget DOH midwives to population  Intensive hiring and training of health still below the standard personnel Decreasing number of  Ensure full implementation of the DOH, LGUs drug users who Community-Based, Screening, completed treatment Assessment and Referral of drug surrenderees by LGUs  Intensify awareness campaign on drug rehabilitation

Chapter 10: ACCELERATING HUMAN CAPITAL DEVELOPMENT 45

Aside from the recommendations cited above, among the prospects for improvement of health and nutrition in the Region are the following: a) local government initiatives on first 1000 days program; b) full implementation of EO No. 12 on Zero Unmet Needs for Family Planning and EO No. 26 for smoke free environments; c) Philhealth’s thrust to reduce out- of-pocket health expenditures of both the formal and informal sectors; and d) implementation of different plans on health and nutrition (e.g. Philippine Plan of Action for Nutrition, Philippine Population Management Program Directional Plan, Philippine Strategic TB Elimination Plan Phase 1, AIDS Medium Term Plan, and the National Strategic Plan for the Control and Elimination of Malaria in the Philippines.

The employability of SHS students, especially graduates of the TVL track, should be monitored and studied for enhancement of the SHS curriculum including the work immersion program. Further, there is still a gap in the number of SHS buildings, furniture, equipment and learning materials that needs to be met immediately to ensure quality education. Higher education also needs to prepare for the first batch of SHS graduates who will be subjected to the new curriculum and may need bridging programs for students with different tracks. Thus, coordination between agencies such as DepEd, TESDA, CHED needs to be strengthened to ensure a smooth transition in the education system of the country that is consistent with the Philippine Qualifications Framework.

Further, the implementation of R.A. 10931 “Universal Access to Quality Tertiary Education” is a big government undertaking which will require strong coordination between education agencies, SUCs, and LUCs to facilitate smooth implementation. Advocacy and information campaigns on RA 10931 and recent education policies should also be conducted to ensure accurate information and supporting policies to be in place.

There are several prospects to further increase income-earning ability and employability of jobseekers which include: a) continuous advocacy on PESO institutionalization; b) facilitation of school-to-work transition by job placement offices and school-based PESOs; c) conduct of capacity-building activities on Basic Employment Services Trainings for new PESO managers and capacity development trainings for non-active PESOs; d) conduct of like-skills training for students prior to deployment in immersion program or on-the-job trainings; e) strengthening coordination with TESDA in implementing the nationwide rollout of the JobStart program; f) timely transfer of the GIP funds; a g) utilization of quad media especially social media for the publication and dissemination of latest Labor Market Information and client specific Information, Education and Communication materials; and h) strengthening coordination with industries to come up with a localized Labor Market Information System.

46 2017 Regional Development Report

Chapter 11 Reducing Vulnerability of Individual and Families

This Chapter discusses the performance of the Region in the implementation of poverty alleviation and social protection programs with the aim of reducing the vulnerability of individuals and families towards building socioeconomic resilient Filipinos in 2022.

Figure 11.1. Strategic Framework to Reduce Vulnerability of Individuals and Families

Chapter 11: REDUCING VULNERABILITY OF INDIVIDUAL AND FAMILIES 47

Accomplishments

Mitigating risks faced by vulnerable groups

Poor households provided with conditional cash grants decreased. Pantawid Pamilyang Pilipino Program (4Ps) is one of the cash transfer programs of the government which aims to contribute in improving the living condition of the poor. In 2017, the beneficiaries covered by 4Ps slightly decreased to 315,366 from 316,164 in 2016. The decrease is due to the decrease in eligible households as they are now classified as non-poor or because their children have finished college. There are also households that voluntarily exited the program and households with grants temporary on-hold due to grievance cases.

Assisted child laborers, and their families, increased. The Strategic Helpdesk for Information, Education, Livelihood and other Developmental Interventions (SHIELD) which aims to eliminate child labor in the country was pilot tested in the Municipality of Catanauan, Quezon and other areas in the country with high number of children working in deep-sea fishing, mining, quarrying and agriculture, among others5. SHIELD has contributed to the increased number of assisted victims of child laborers from 24 in 2016 to 205 in 2017. On the same note, the number of families with child laborers provided with livelihood assistance increased from 55 in 2016 to 112 in 2017 through convergence programs of government and non-government organizations.

Number of indigent senior citizens covered by social pension increased. The number of indigent senior citizens covered by social pension surpassed the target and almost doubled from 85,639 in 2016 to 159,999 in 2017. This was facilitated by the continuous provision of technical assistance to City/Municipal Social Welfare and Development Office and Office for Senior Citizens Affairs on the implementation of social pension, and continuous funding.

All LGUs in the Region are compliant to 1 percent budget allocation for persons with disabilities and senior citizens. The compliance of LGUs in the minimum budget allocation may indicate that programs and projects intended to address the needs of the elderly and persons with disabilities were being implemented.

Universal health coverage increased. The proportion of population covered by PhilHealth increased by 9 percentage points from 81 percent in 2016 to 90 percent in 2017 with the massive information campaigns such as Alamin at Gamitin Program and the conduct of various fora encouraging enrolment. However, the percentage of out-of-pocket expenditure increased by 7.55 percentage points from 43 percent in 2016 to 50.55 percent in 2017. Inadequate medical supplies in government hospitals may explain the increase as well as the preference of other patients for private health care.

Area distributed under Comprehensive Agrarian Reform Program increased but not in the desired pace. In 2017, additional 1,577 hectares, or 42 percent of the target 3,788 hectares, was distributed. The target was not met because of issues in land reform process and multiple policies. On the other hand, Agrarian Reform Beneficiaries were provided with basic support services such as trainings and access to credit facilities.

5 https://www.dswd.gov.ph/dswd-to-launch-shield-program-to-help-curb-child-labor/

48 2017 Regional Development Report

Managing economic risk

Registration of Overseas Filipino Workers’ (OFWs) increased. The number of OFWs registered with OWWA almost tripled from 544,609 in 2016 to 1.3 million in 2017. However, only 28.06 percent are active members. The increasing number of inactive members may be attributed to the implementation of Balik Manggawa (BM) Online Processing System since not all BM were able to renew their OWWA membership6. On the other hand, 100 percent of active OWWA members are covered by social security.

Repatriated OFWs provided assistance increased. The number of distressed and undocumented OFWs provided social welfare services increased from 759 in 2016 to 955 in 2017 due to the increased OFWs returnees and improved coordination or referral system among government agencies. The DOLE-National Reintegration Center for OFWs provided livelihood assistance to 305 women OFWs through Balik Pinay! Balik Hanapbuhay! And provided Financial Awareness Seminar and Small Business Management training to 423 OFWs and their families.

Social insurance coverage for workers increased7. In 2017, the Government Service Insurance System has covered all the 169,266 government employees in the region and has granted 100 percent of emergency loan application. The emergency loan application was made easy through GSIS kiosks located in all GSIS branches, selected government offices and malls.

Dealing with hazards and human-induced shocks

Deaths and missing persons due to natural hazards and human-induced disasters increased. There was a slight increase in the number of deaths due to natural disasters from 17 cases in 2016 to 20 cases in 2017, this may be attributed to the increased occurrences of natural disasters. Deaths and missing persons due to human induced disasters also increased to 64 cases and 12 cases, respectively, because of vehicular accidents. On the other hand, 100 percent of disaster affected households were assisted to early recovery, 48,566 households were provided emergency shelter assistance and 11,850 beneficiaries provided with emergency employment through Tulong Panghanapbuhay sa Ating Disadvantaged/Displaced Workers.

Moving Forward

Despite the significant achievements of the Region in reducing vulnerability of individual and families towards building a socioeconomic resiliency, several challenges still need to be addressed, such as: 1) pockets of high poverty incidence in remote and isolated areas; 2) risk of graduating 4Ps beneficiaries to fall into poverty; 3) high prevalence of child labor; 4) high out-of-pocket health expenditures; 5) slow implementation of CARP; 6) lack of data on the

6 https://www.philippine-embassy.org.sg/labor/overseas-employment-certificate-oec/frequently-asked- questions-faqs/

7 Only for public sector

Chapter 11: REDUCING VULNERABILITY OF INDIVIDUAL AND FAMILIES 49 workers in the informal economy provided with assistance; 7) decreasing active OFWs membership in OWWA; 8) increasing number of distressed OFWs; and 9) increasing intensity of natural disasters.

Following are the RDP strategies for 2018 and beyond which aims to accelerate the reduction of vulnerability among individuals and families:

Table 11.1. Planned Strategies to Reduce Vulnerability of Individuals and Families Challenges Planned Strategies Implementing Agencies To mitigate risks faced by vulnerable groups  Pockets of high  Continuous implementation of the DSWD, DOLE poverty program 2018 and beyond. incidence in the region  High prevalence  Continue the implementation of DSWD, DOLE of child labor SHIELD and encourage other LGUs to replicate the program  Re-activation of the Calabarzon Child Labor Committee  Improve sharing of existing profile/database for efficient targeting of prospective child laborers and proper administration of interventions  Enjoin all LGUs to activate their Barangay Child Protection Council as mandated by law to strictly monitor the movement/activities of the children under their locality  Slow  Streamline the legal procedures in DAR implementation DAR of CARP  Increase issuance of certificate of land ownership award (CLOA)  Implement programs to help farmers retain the CLOA and stay in their farm To manage economic risks  Increasing  Provision of psychosocial support DOLE, OWWA number of prior to administration of intervention distressed OFW  Decreasing  Conduct information caravan and OWWA number of active membership promotion OWWA  Ensure presence of Pilipino members Community Mobilizers to help disseminate importance of membership in OWWA

50 2017 Regional Development Report

Challenges Planned Strategies Implementing Agencies To deal with natural hazards  Increasing  Strengthen community OCD, DILG, LGUs intensity of preparedness, awareness on natural disasters different local hazards, and community participation in drills and pre-emptive evacuation.  Implement disaster adaptation and mitigation programs and projects

Recommendations

To supplement and address the gaps of the existing programs, projects and activities on reducing the vulnerability of individuals and families, the following strategies are recommended for implementation of concerned agencies:

Table 11.2. Supplemental Strategies to Reduce Vulnerability of Individuals and Families Implementing Challenges Recommended Strategies Agencies

To mitigate risks faced by vulnerable groups  Pockets of high  Expand coverage of 4Ps to include DSWD, DOLE poverty incidence in newly identified poor households the region  Continuous implementation of the program 2018 and beyond

 Graduating household  Formulate and implement a DSWD beneficiaries of 4Ps transition program for graduating still at risk of falling to 4Ps beneficiaries in partnership with poverty other concerned agencies to ensure that beneficiaries have the permanent means to stay out of poverty

 High prevalence of  Strict monitoring, reporting, and fast DSWD, DOLE child labor response on child labor cases

 Out-of pocket health  Strictly implement and monitor the PhilHealth expenditure remains No Balance Billing Policy high  LGUs to ensure sufficient medical supplies, buffer stocks, and standby funds in government hospitals

Chapter 11: REDUCING VULNERABILITY OF INDIVIDUAL AND FAMILIES 51

Implementing Challenges Recommended Strategies Agencies To manage economic risks  Increasing number of  Assist the establishment of formal OWWA, DSWD, distressed OFW OF support groups to help DOLE vulnerable OFWs Improve coordination among concerned agencies  Lack of data on the  Formulate and implement an DOLE, DTI workers from informal integrated approach for the economy transitioning of workers from the  Insufficient informal to the formal economy support/assistance to based on the International Labor workers in informal Organization Recommendation economy No. 204

52 2017 Regional Development Report

Chapter 12 Building Safe and Secure Communities

This Chapter presents the performance of the housing sector in terms of creating a safe and secure community through the provision of direct and indirect housing assistance.

Figure 12.1 Strategic Framework to Build Safe and Secure Communities

Chapter 12: BUILDING SAFE AND SECURE COMMUNITIES 53

Accomplishments

Direct Housing Assistance

In 2017, direct housing assistance provided in the Region includes resettlement of informal settler families (ISFs), mortgage financing and end-user home financing, and housing for personnel of the Armed Forces of the Philippines (AFP), Philippine National Police (PNP), Bureau of Jail Management and Penology (BJMP) and the Bureau of Fire Protection (BFP).

Target of ISFs resettled not met. Of the targeted 4,806 units to be constructed for the regular program of resettlement of ISFs only 1,775 units (or 36.93 percent of the target) were completed due to delayed submission of requirements from the local government units. In terms of resettlement of ISFs pursuant to the Supreme Court Mandamus on the Rehabilitation of Manila Bay in 2011, the National Housing Authority is still finalizing the Community Based Initiative Approach Terms of Reference, hence, there is no agency accomplishment yet for 2017.

AFP/PNP/BJMP/BFP housing target met. One hundred percent of the 1,123 targeted units were completed and ready for occupancy of the beneficiaries.

Approved Community Mortgage Program loan applications declined. Approved loan applications decreased from 2,891 in 2016 to 1,023 in 2017 which is due to the low number of projects approved by the Social Housing Finance Corporation (SHFC) Board during the transition period of its management wherein there was also a delay in the appointment of new Board members.

End-user financing increased. Compared to 2016, end-user financing increased from 7,932 to 10,265 or 29.41 percent. This may be attributed to the shortened processing time, lesser requirements and lower interest rate.

Indirect Housing Assistance

Indirect housing assistance includes provision of guaranty cover to investment and credits to housing, issuance of license to sell, provision of technical assistance for the preparation of Comprehensive Land Use Plans (CLUPs) and securitization of housing loan receivables.

New guaranty enrolment decreased. New Guaranty Enrolment decreased by 1.29 percent from 8,015 in 2016 to 7,912 in 2017. The decline may be attributed to decline in market demand.

On the other hand, a total of 14,218 units, mostly under the socialized housing loans granted by HDMF, were guaranteed under the Abot-Kaya Pabahay Program in 2017.

LGUs provided CLUP assistance increased. LGUs provided with technical assistance in the preparation of CLUPs increased from 18 in 2016 to 35 in 2017. More local government units have been encouraged to complete their CLUP with its inclusion as an indicator in the Seal of Good Local Governance in 2017 and 2018.

54 2017 Regional Development Report

Housing loan receivables secured amounted to PHP679.9 million8. The surge in new housing development projects and competitive market rate contributed to the increase in the application for the Housing Loan Receivables Purchase Program. In turn, this increased the liquidity of the housing sector with the housing loan receivables secured.

Moving Forward

The Housing Sector has to urgently address the challenges which constrain it from meeting its targets for resettlement of ISFs and closing the gap on housing needs especially for low- income households. At the national level, several issues also negatively affect the performance of the sector at the regional level, these include low appropriated budget of shelter agencies and mismatch in housing demand and supply.

In the case of Calabarzon, accurate and updated data on the housing sector is a fundamental issue that needs to be resolved immediately to facilitate better targeting and profiling of beneficiaries, oversight monitoring of housing sector backlog and accomplishments, and addressing major implementation issues. Further, HUDCC’s supervision of and coordination with key housing agencies need to be strengthened to review and harmonize programs and projects to achieve housing targets.

For specific challenges to the sector, the following strategies are proposed to expand access to affordable, adequate, safe and secure shelter.

8 No data submission for 2016 accomplishment and 2017 target

Chapter 12: BUILDING SAFE AND SECURE COMMUNITIES 55

Recommendations

Table 12.1. Strategies to Build Safe and Secure Communities Challenges Recommended Strategies Implementing Agency Low accomplishment due  Initiate early orientation and regular coordination HUDCC, NHA, to delays in the submission with LGUs to ensure timely submission of the LGUs of requirements and requirements. processing of documents  LGUs to identify lands and other resources and funds needed for housing especially for low-income and hazard-exposed households in local development and investment plans  Streamline requirements for mass housing projects and fast track procurement, whenever possible Low number of approved  Develop new modalities that would address the HUDCC, SHFC, Community Mortgage shelter needs of ISFs and within the financial LGUs Program projects and loan capacity of low-income households applications  Strengthen partnership with LGUs to ensure that CMP programs are consistent with LGU priorities and initiatives  Strong LGU involvement in the resettlements of ISFs that will be affected by major government infrastructure projects such as the rehabilitation of the Philippine National Railways  Improve appraisal of property Lack of profile of ISFs and  Provide continuous budget allocation for profiling HUDCC, LGUs limited locally funded and relocation of ISFs in waterways and highly programs and projects hazard-prone areas  Intensify provision of technical assistance on the formulation of Local Shelter Plans for all cities and rapidly urbanizing municipalities.  Strengthen prior coordination of concerned NGAs with the LGUs  Include approved and accomplishments of the Local Shelter Plan for cities and rapidly urbanizing municipalities in LGU assessments such as the SGLG.  Adopt the National Urban Development and Housing Framework 2017-2022 and National Resettlement Framework by including supportive policies, programs, and projects in sectoral plans and local development and investment plans  Strengthen Water Quality Management Area bodies to monitor and provide assistance to resolve issues on ISF

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Chapter 13 Reaching for the Demographic Dividend

This Chapter highlights the 2017 performance of the Region in terms of accelerating demographic transition and maximizing gains from the demographic dividend. The priority measures are reducing mortality and fertility rates and improving human capital of the youth.

Figure 13.1 Strategic Framework to Reach for the Demographic Dividend

Chapter 13: REACHING FOR THE DEMOGRAPHIC DIVIDEND 57

Accomplishments

Fertility rates reduced

Total fertility rate in the Region slightly decreased from an average of 2.7 births per woman in 2013 to 2.6 in 2017. The recorded fertility rate in 2017 was also lower than the target fertility rate of 2.9. The increasing adoption of modern family planning may have contributed to the decrease in fertility rate, along with increased awareness, education, as well as changes in lifestyle and preference.

More families are adopting the use of modern contraceptives as observed by the increase in its prevalence rate of 25 percent in 2016 to 36 percent in 2017. The 11 percentage points increase in adoption of modern family planning method can be attributed to the growing awareness on the benefits and effectiveness of moden contraceptives and better availability of information and services. Moreover, the issuance of Executive Order 12 on Attaining and Sustaining Zero Unmeet Need for Family Planning on January 2017 facilitated the exceeding of the 30 percent prevalence rate target for 2017.

On the other hand, the proportion of women of reproductive age with unmet need for family planning increased from 17.8 percent in 2013 to 20.1 percent in 2017. Based from the National Demographic and Health Survey, women who want to stop childbearing or to space next birth but are not using any contraceptive method are considered to have an unmet need for family planning. The increase in women with unmet need for family planning may indicate problems on harmonizing FP demand and supply, especially among rural health units. The increase can also be due to the improved local data collection and reporting system institued with the implementation of EO 12. The Department of Health (DOH) reported the problem of stockouts in some local government units, mainly due to issues on procurement and logistics, resulting to increased number of women that needed FP commodities but were unable to avail these.

Based on the 2017 National Demographic and Health Survey, the proportion of adolescents who have begun childbearing increased to 9.2 percent from 8.1 percent in 2013, mostly coming from poor households. This is consistent with the data showing that the average sexual debut is becoming younger for both male (17 years old) and female (18 years old). In the 2013 Young Adult Fertility and Sexuality (YAFS) survey, adolescents identified their peers as preferred source of information about sexulaity which may put them at greater risks especially if their peers are not knowleagable.

Quality of human capital improved

Mortality rate for children under five years old was stable at 13 percent, although a slight increase was observed in 2016. The recorded mortality rate was below the 25 percent target, indicating the positive perfomance of health and nutrition sector, particularly in the provision of necessary health services. However, despite the low mortality rate of children under five years old, there is still high prevalence of stunting among children. In 2015, the region recorded 27.7 percent of stunted children under five years old, an increase from 25.2 in 2013. On the other hand, a growing number of overweight and obese have been observed among adults (aged 20 years old and above) in the region. As of 2015, 25.8 percent of adults are

58 2017 Regional Development Report considered overweight and 8.4 percent are obese, higher than the national average of 24.2 and 6.9 percent for overweight and obese, respectively. The possible causes of malnutrition among adults are unhealthy diet and sedentary lifestyle.

Elementary completion rate increased from 95.5 percent to 99.1 percent, exceeding the target of 96.3 percent. The positive performance can be attributed to the increase in education resources such as learning materials and teachers for primary education. On the contrary, the number of secondary students (Junior High School) completing the school year declined from 86.5 percent in 2016 to 85.81 in 2017 and was not able to meet its target of 88.27 percent. This reflects the growing challenge of high teacher to pupil ratio, inadequate facilities, and low level of competency and readiness of primary education learners to complete secondary education.

Based on preliminary data, around 68 percent of the Technical Vocational and Livelihood (TVL) SHS graduates passed TESDA’s National Certificate (NC) and around 19 percent have been given job offers facilitated in part by their immersion in establishments. The number of SHS NC passers are expected to increase with government’s support to applicants for the certification.

Youth unemployment reduced

In 2014, Calabarzon has the highest share of the youth population in the country with13 percent of the national total youth population, followed by NCR (12%) and Central Luzon (11%). About 15.6 percent of these youth are unemployed9, lower than the previous year and NCR unemployment rates of 17.1 and 18.4 percent, respectively. The decline may be attributed to the postive effects on the income-earning ability of the youth through different government interventions and job facilitation activities. Among these are the Special Program for Employment of Students (SPES), Governement Internship Program (GIP), the Jobstart Philippines Program, and the various job matching and facilitation services by local Public Employment Service Offices. However, it is also important to note that the youth unemployment rate in the Region is still higher than the national unemployment rate of 12.6 percent.

Moving forward

Calabarzon, being the most populous region at 14.4 million and having a 14 percent share in the youth labor force population10 of the country, can benefit the most out of the demographic dividend. With the influx of in-migrants and population momentum, the working population has been growing steadily at an average rate of 3.45 percent, outpacing the growth of the dependent population. To be able to absorb the continuous supply of labor force, more job opportunities need to be created in multiple industries, improve skills and job readiness of students and job seekers to match the industry requirements, and enhance and monitor the effectiveness of job facilitation services.

9 From the 2015 Yearbook of Labor Statistics (YLS)

10 Labor force population from the 15-30 age group

Chapter 13: REACHING FOR THE DEMOGRAPHIC DIVIDEND 59

On education, the completion of secondary school buildings, provision of adequate facilities and equipment, and hiring and training of teachers for secondary education needs to be fast tracked to ensure that Senior High School (SHS) graduates are well prepared for employment or higher education following the new curriculum. Other supporting programs such as the SHS Voucher Program, Universal Access to Quality Tertiary Education, other scholarship programs as well as job-facilitation activities also need to be sustained to develop the region’s human capital.

Recommendations

Challenges Recommended Strategies Implementing Agencies Increasing unmet need  Intensify mechanisms on DOH, PoPCom, LGUs for family planning implementation of zero unmet need for FP: - Intensive community-based demand generation for appropriate logistics planning - Improve referral system and activities - Capacitate and mobilize LGUs to implement the RPRH - Provision of adequate modern FP commodities and services Communication and advocacy campaigns on the benefits of FP and available products and services  Streamline, fast track, and decentralize procurement of FP commodities Increasing cases of  Intensive implementation of RPRH Law DOH, PoPCom, DepEd, teenage pregnancy  Intensive information, education and LGUs advocacy activities on sexuality and values formation using technology and social media  Establish more teen centers and kiosks with Information and Service Delivery Network in strategic LGUs and schools, and training of more peer counselors  Enhance and roll-out of DepEd Curriculum on Sex Education (CSE) to ensure that proper and age appropriate information on sex education is provided to students in both public and private schools  Actively engage parents on explaining sexuality to their children through programs by national agencies, LGUs, or schools  Expand and sustain the 60 2017 Regional Development Report

Challenges Recommended Strategies Implementing Agencies implementation of Adolescent and Youth Health Program (AYHP) and and Learning Package on Parent Education on Adolescent Health and Development (LPPEAHD) High prevalence of  Improving services and expanding NNC, LGUs stunting and wasting coverage for antenatal care, birthing, 0- among children under 5, and 6-23 months, such as: five years of age - Infant and Young Child Feeding (IYCF) - First 1000 Days (F1K) - Micronutrient supplementation for pregnant and lactating women and low birth weight infants

Increasing overweight  Promoting healthy lifestyle through NNC, LGUs and obesity among adults policies, programs and activities, such as: - adoption of policy on health menu options by LGUs - enforce smoking cessation especially in public areas facilitating and monitoring of healthy lifestyle of government employees as compliance to CSC Memorandum Circular - Utilizing social media to advocate healthy lifestyle and provide information on nutrition and health programs High youth  Stengthening and monitoring DOLE, DepEd, CHED, unemployment employment facilitation services such SUCs as job fairs and skills enrichment trainings  Provision of continuous career guidance services for students and provide enabling policies and financial resources to increase the number of full-pledged and permanent school guidance counselors  Implement the Youth Employability Framework developed by DOLE Region IV-A  Implement and expand programs on youth leadership and apprenticeship

Chapter 13: REACHING FOR THE DEMOGRAPHIC DIVIDEND 61

62 2017 Regional Development Report

Chapter 14 Vigorously Advancing Science, Technology, and Innovation

This Chapter assesses Calabarzon’s performance in promoting science, technology, and innovation (STI) in the region.

Four subsector outcomes are monitored11: 1) STI in the agriculture, industry, and services sectors improved; 2) investments in technology-based start-ups, enterprises, and spin-offs increased; 3) creative capacity for knowledge and technology generation, acquisition, and adoption enhanced; and 4) open collaboration among actors in the STI ecosystem strengthened (See Figure 14.1).

Figure 14.1 Strategic Framework to Advance Science, Technology and Innovation

11 Information on the accomplishments on this chapter are limited due to non-availability of some of baseline data for 2016, targets and actual data for 2017 from CHED, IPOPHIL and DOST, and segregated data from the state universities and colleges (SUCs).

Chapter 14: VIGOROUSLY ADVANCING SCIENCE, TECHNOLOGY, AND INNOVATION 63

Accomplishments

Technology adoption promoted and accelerated

STI utilization in the agriculture, industry, and services sectors increased

Research and Development

The government’s Research and Development (R&D) investment in agriculture, aquatic and natural resources increased by 20 percent from an estimated PHP 161.66 Million in 2016 to PHP 193.57 Million in 201712. This was due to the increase in R&D grant-in-aid to state universities and colleges (SUCs), and to R&D institutions based in Calabarzon.

In terms of R&D project proposals, there were 49 R&D project proposals evaluated and endorsed in 2017, of which 27 were on agriculture, one was on aquatic and marine, four were on health, eight were on industry, six were on energy, and six were on Disaster Risk Reduction and Management (DRRM).

On the other hand, 116 R&D projects were implemented in 2017: 57 on agriculture; 22 on aquatic and marine; eight on health; 12 on industry; 13 on energy; and four on DRRM.

In addition, 52 in-house R&D projects were conducted in 2017 from proposals prepared by government agencies and state universities and colleges.

Technology

There were 2,826 science and technology (S&T) interventions provided to stakeholders in 2017. These interventions include Innovation Support System Fund, Small & Medium Enterprise Technology Upgrading Program (SETUP) and Grants-in-Aid Community-based Projects (GIA-CBP); innovative and roll out projects; trainings, technology forum and clinics; consultancy; testing and calibration services; packaging and labelling assistance.

In addition, eight innovation centers13, one technology innovation incubator and one R&D center were also established in 2017. This includes food innovation centers in Batangas State University (BatStateU), Cavite State University (CavSU) and University of the Philippines Los Banos; fabrication laboratory in CavSU; the Center for Hazard and Environment Resource Mapping in Los Banos; and the Calabarzon Food Solutions Hub in Laguna State Polytechnic University in Sta. Cruz, Laguna.

Promotional activities on S&T interventions increased from 341 in 2016 to 1,039 in 2017. The promotional activities were launched through news articles published at the local, regional and national levels, TV and radio press releases and conferences in partnership with

12 Data source is PCARRD

13 Innovation centers will be established through collaboration, linkages, convergence, resource sharing with other national government agencies and the academe.

64 2017 Regional Development Report private and public media practitioners. Social media tools such as Facebook and Twitter, among others were also widely employed to engage local and international audience.

In 2017, there were 51 technologies promoted and 44 technologies adopted that are commercial-ready and publicly-funded R&D of DOST, academe and other government agencies. These promotional and marketing activities include technology transfer day, technology fora, regional S&T week exhibits, promotional brochures, S&T caravan, among others.

Adopters of new technology likewise increased in 2017 with 586 establishments using SETUP technology on food processing equipment, printing machines, information systems, among others. As a result, the adopters were able to commercialize 17 products in 2017 in partnership with other agencies such as DOST-Technology Application and Promotion Institute and DOST-PCAARRD.

Investments in STI-based start-ups, enterprises, and spin-offs increased

There were 99 MSMEs provided with financing assistance in 2017 through Innovation Support System Fund via SETUP and GIA-CBP (higher than the 2017 target of 92). Moreover, MSMEs assisted through trainings increased from 1,002 in 2016 to 1,035 in 2017 (higher from 2017 target of 353) because of the enhanced delivery of quality programs and services14 for both rural and urban areas in the region. Similarly, 71 MSMEs were assisted through DOST consultancy services such as Manufacturing Productivity Extension Program, Cleaner Production, Energy Audit, Food Safety Training, and Biogas Technology. Lastly, there were 62 MSMEs assisted in 2017 on packaging and labelling design.

The assistance provided to MSMEs contributed to the increase in jobs generated from 2,534 in 2016 to 2,866 in 2017 (also higher than 2017 target of 2,500).

Innovation stimulated

Creative capacity for knowledge and technology generation, acquisition, and adoption enhanced

Calabarzon is tenth15 among the 17 regions in terms of a total of 42 filed for intellectual property on trademark and copyright. However, it should be noted that no patent applications on utility model, invention, and industrial design originated from Calabarzon in the first semester of 2017.

On the other hand, in terms of youth involvement in S&T, there were 74,745 enrolees in high school under Science, Technology, Engineering, Agriculture, and Mathematics (STEM). There are no graduates yet in STEM in high school in 2017.

14 SETUP, GIA-CBP, Community Empowerment through Science and Technology, etc.

15 Based from statistics of the Intellectual Property Field Operations Unit for the first semester of 2017

Chapter 14: VIGOROUSLY ADVANCING SCIENCE, TECHNOLOGY, AND INNOVATION 65

Open collaboration among actors in the STI ecosystem strengthened

In 2017, there were 559 collaborations forged between higher education institutions (HEIs) and industries in the areas of internship training and wide involvement of faculty researchers and extension workers.

On the other hand, there were 247 collaborations made between HEIs and the national government agencies and local government units. Examples of these collaborations are the farmer's satisfaction survey on communal irrigation system and national irrigation system in the Provinces of Batangas and Cavite by BatStateU and National Irrigation Administration; and the Establishment of Southern Luzon Hub for Technopreneurship and Innovation by BatStateU and Commission on Higher Education.

In addition, there were 20 collaborative R&D projects16 implemented in 2017. These projects are in the agriculture, industry and energy and DRRM sectors which include multi- commodity heat pump dryer-cooler, carrageenan plant growth promoter, high capacity tissue culture growth chamber, 21st Century Learning Environment, Tsunami Early Warning System, among others.

Furthermore, there were 27 international collaborations established in 2017. This was brought about by several international networking initiatives of DOST and with their foreign counterparts. Collaborations were established in the areas of food safety, food processing, 3D printing, robotics, among others, to promote learning capacities and culture for organizational transformation, and enhanced research capability in line with the ASEAN Integration and cultural diversification.

Stakeholder collaboration in the STI ecosystem is primarily built on the following factors: trust and dynamic leadership of the office; enhanced faculty involvement on extension programs and projects; proven credibility to deliver commissioned researches; and continuous efforts to develop a productive research culture in the university.

All collaborations in the S&T ecosystem are responsive and aligned with the Calabarzon Regional R&D Agenda.

16 R&D projects implemented with DOST only.

66 2017 Regional Development Report

Recommendations

The following are the recommended strategies to achieve the subsector outcomes of the STI sector.

Implementing Challenges Recommended Strategies Agencies Low number of technology adopters,  Better promotion of the DOST, CHED, technologies adopted and adoption/utilization and commercialization DepEd, SUCs commercialized of technologies from publicly-funded R&D  Conduct more S&T promotional activities  Better promotion of innovative financing mechanisms and private sector investments in S&T  Wider distribution of tools that will provide an easy access to science and technology information to MSMEs, LGUs, farmers, cooperatives, academe, government agencies, non-government organizations and Overseas Filipinos (e.g. HENYO kiosks)  Strengthen support mechanisms for startups, MSMEs and industries through the provision of S&T interventions

Low number of IP applications in the  Intensify IP awareness, education and IPOPHL region information initiative campaign for MSMEs in the region through basic orientation seminars, one-on-one consultations/IP cliniquing, patent drafting seminars, and capability building seminar/workshops  Strengthen the implementation of the Trademark Incentive Project called "Juana Make A Mark" to engage the MSMEs in brand developing and IP protection

Decreasing number of workers and  Better implementation of Republic Act DOST, CHED, manpower in STI sector 8439 or the Magna Carta for Scientists, DepEd, SUCs Engineers, Researchers and other S&T Personnel in the Government by granting more incentives to S&T workers and professionals  Strengthen DOST‟s Balik Scientist Program  Promote DOST‟s Science for Change Program in the region

Chapter 14: VIGOROUSLY ADVANCING SCIENCE, TECHNOLOGY, AND INNOVATION 67

Implementing Challenges Recommended Strategies Agencies Low number of STI facilities in the  Continually pursue upgrading of important DOST, DICT region STI facilities

ICT infrastructure still not at par with  Strengthen ICT infrastructure DOST, DICT other Asian countries Low number of collaborations  Strengthen linkage and partnership SUCs, between local research institutions between research institutions and government and industries; and collaborations technology adopters agencies with foreign institutions  Encourage increase submission of R&D proposals for local and external funding  Continuous capability building on research and extension  Implement more collaborative and in- house R&D projects.

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Chapter 15 Ensuring Sound Macroeconomic Policy This Chapter discusses the sustained economic growth of Calabarzon despite of the uncertainties of the global economy, domestic challenges, and impacts of natural disasters. In 2017, the economy accelerated to 6.7 percent (Table 15.1). The Calabarzon’s GRDP amounted to PHP 1.46 trillion compared to PHP 1.36 trillion in 2016 (Table 15.2).

The Region’s economy has been growing at an annual average of 6 percent since 2012. This is the result of the continuous efforts of the government in sustaining economic growth by generating more investments and quality employment. Thus, the Region remains the second biggest contributor to the national economy next to NCR, with a percentage share of 16.8 percent.

Table 15.1. GRDP Growth Rate and Targets, Calabarzon, 2011-2016 (in percent) 2011 2012 2013 2014 2015 2016 2017 GRDP Target - 7.0 5.5-6.5 5.7-6.7 6.2-7.2 6.6-7.6 5.2-6.8 Actual 1.7 7.3 6.7 5.1 5.8 4.8 6.7 AFF Target 1.2 2.5 2.7-3.7 2.9-3.9 3.0-4.0 3.2-4.2 2.0-3.5 Actual 1.2 2.5 3.7 -1.2 2.6 3.4 -0.6 Industry Target 0.1 6.9 4.5-5.5 4.7-5.7 5.1-6.1 5.5-6.5 5.0-7.0 Actual 0.1 7.3 6.3 6.5 5.7 3.6 7.7 Services Target 4.9 8.0 8.0-9.0 8.2-9.2 8.7-9.7 9.0-10.0 6.0-7.6 Actual 4.9 8.1 7.9 3.8 6.7 7.3 6.0 Source: PSA Region IV-A, Calabarzon Regional Development Plan (RDP) 2017-2022

Table 15.2. Gross Regional Domestic Product at constant 2000 prices, Calabarzon, 2013- 2017 (in Php ‘000) Indicators 2013 2014 2015 2016 2017 GRDP 1,170,574,623 1,230,372,013 1,302,297,272 1,364,951,206 1,456,088,132 AFF 71,173,016 70,299,391 72,134,407 74,588,701 74,145,281 Industry 717,601,114 764,007,392 807,516,677 837,489,176 901,436,149 Services 381,800,493 396,065,230 422,646,188 452,873,329 480,506,702 Source: PSA Region IV-A

Chapter 15: ENSURING SOUND MACROECONOMIC POLICY 69

Figure 15.1. Strategic Framework to Ensure Sound Macroeconomic Policy

Accomplishments

The 6.7 percent growth of Calabarzon’s economy in 2017 was higher than 4.8 percent posted in 2016. The Region’s growth is within the plan target of 5.2 to 6.8 percent.

The Region remains to be the primary industrial powerhouse of the country having the largest share of more than a third of the country’s total industrial output. In 2017, the Industry sector recorded a 7.7 percent growth, faster than 3.6 percent in 2016. The growth, which was double of the 2016 level, pushed the overall economy’s acceleration in 2017. High growth was achieved due to the performance of the export and foreign markets which fueled the manufacturing sub-sector. This is the result of the continuous efforts of the government in sustaining economic growth by generating more investments and quality employment. Furthermore, increased public spending boosted the growth of the construction sub-sector under the Build, Build, Build Program.

The Services sector grew by 6.0 percent in 2017, slower than the 7.3 percent in 2016. A major contributing factor was the slow performance of miscellaneous services, which includes the business processes outsourcing industry.

The Agriculture, Forestry, and Fisheries sector decelerated to a negative 0.6 percent from 3.4 percent growth in 2016. The effect brought by typhoons, climate change and the Avian Influenza, significantly affected the growth of the sector. Fisheries sub-sector, continued to contract particularly in commercial and aquaculture fisheries. Despite the negative growth, the region is the 2nd largest (from 3rd in 2016) contributor to the national output at 10 percent.

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Per Capita GRDP

The Region’s per capita GRDP amounted to Php 99,328 in 2017, which is 20 percent higher than the national average. Among the regions, Calabarzon has the second highest per capita GRDP. The per capita GRDP grew by 4.75 percent from 2017 to 2016 (Table 15.3) and at an average of 4.01 percent from 2013 to 2017. Low unemployment and available quality jobs in the Region contributed to higher GRDP per capita.

Table 15.3. Per Capita GRDP at constant 2000 prices, Philippines, NCR, and Calabarzon, 2013-2016 (in PHP) Indicators 2013 2014 2015 2016 2017 Philippines 68,746 71,741 74,833 78,712 82,592 NCR 195,013 202,904 218,987 232,836 244,453 Calabarzon 84,657 86,644 92,184 94,826 99,328 Source: PSA Region IV-A

Labor and Employment

Calabarzon has the largest labor force with 9,787,000, comprising 14 percent of the country’s total labor force. However, the Region’s labor force participation rate decreased from 64.2 percent in 2016 to 63.7 percent in 2017 (Table 15.4). The decrease can be attributed to the effects of the implementation of the K to 12 Program as more children ages 15 and up are still in high school and the increase in the number of individuals who can go to college. This is evident in the increasing number of graduates from Higher Education Institutions (discussed in Chapter 10).

Table 15.4 Labor Force Participation Rate, Calabarzon, 2015 and 2016 Indicators 2015 2016 2017 Population 15 years and above („000) 8,576 9,341 9,787 Labor force participation rate (%) 64.5 64.2 63.7 Source: PSA Region IV-A

Employment rate in the Region grew by 0.2 percentage points from 92.8 percent in 2016 while underemployment rate declined by 1.5 percentage points (Table 15.5). These figures indicate an improvement in the employment situation in the Region brought by the creation of more jobs as a result of the growing services sector which is able to absorb the local manpower.

The increase in the base pay of civilian government employees and allowances of the military and uniformed personnel, as well as the filling-up and creation of positions in government, i.e. Department of Education, contributed to the performance of the services sector. This is in line with the government’s commitment for a dependable and timely delivery of public services.

Chapter 15: ENSURING SOUND MACROECONOMIC POLICY 71

Table 15.5 Employment, Unemployment and Underemployment Rate, Calabarzon, 2015 and 2016 (in percent) 2015 2016 2017 Indicators Target Actual Target Actual Target Actual Employment rate 93.9-94.1 92.0 93.9-94.1 92.8 91-93% 93% Unemployment rate 8.6-9.4 8.0 8.6-9.4 7.2 7-9% 7% Underemployment rate <17.5 18.2 <17.5 15.5 17.5% 14% Source: PSA Region IV-A, Annual Labor and Employment Estimates for 2017

Infrastructure

The Region’s infrastructure program is one of the driving forces of economic activities. The completion of major projects such as Daang Hari–SLEX Link/Muntinlupa-Cavite Expressway, Cavitex, STAR Tollway Stage II, and San Juan and Calatagan Ports improved the transport of goods and mobility of the people.

Inflation

Calabarzon experienced lower inflation in 2017 with 2.9 percent compared to 2016 with 3.2 percent (Table 15.6). Inflation rate is still lower than the national rate of 3.3 percent and NCR with 4.6 percent.

Table 15.6 Inflation Rate, Calabarzon, 2016 and 2017 Indicator Baseline (2016) Target (2017) Actual (2017) Change Inflation rate 3.2% Below 5% 2.9% 0.3% PSA Region IV-A

On Poverty

Poverty incidence among population in 2015, reduced to a single digit at 9.1 percent. However, there are existing pockets of poverty in the Region, especially in production areas who rely heavily in agriculture production.

Financial Resiliency and Inclusion

Financial resiliency and inclusion is another indicator of a sound macroeconomic policy. It is the delivery of financial services at an affordable to all sectors of the society especially the disadvantaged and marginalized groups. These financial services must be readily available and meet the needs of the people, regardless of their status.

Banking System

In 2017, Calabarzon had a total of 1,737 operating bank offices consisting of 709 universal and commercial banks, 508 thrift banks, and 520 rural and cooperative banks (Table 15.7).

Table 15.7 Number of Offices by Type of Bank: 2015-2017 Area/Type of Bank 2015 2016 2017 Calabarzon 1,621 1,665 1,737 Universal & Commercial Banks 659 682 709 Thrift Banks 436 467 508 Rural & Cooperative Banks 526 516 520 Source: BSP-Supervisory Data Center 72 2017 Regional Development Report

Universal and commercial banks account for 40.82 percent of the banks in Calabarzon followed by rural and cooperative banks at 29.94 percent. The continuous increase in the number of banks could be attributed to the high population, rapid urbanization and increasing number of industries in the Region. The province of Laguna had the most number of operating banks in 2017 (Table 15.8).

Table 15.8 Number of Banks in Calabarzon, by Type & by Province, 2016 and 2017 Number of Number of Thrift Number of Rural & Universal & Total Province Banks Cooperative Banks Commercial Banks 2016 2017 2016 2017 2016 2017 2016 2017 Batangas 141 147 135 150 107 100 383 397 Cavite 187 191 118 130 51 51 356 372 Laguna 188 193 107 112 160 165 455 470 Quezon 54 59 38 43 132 136 224 238 Rizal 112 119 69 73 66 68 247 260 Calabarzon 682 709 467 508 516 520 1,665 1,737 Source: BSP-Supervisory Data Center

Bank density ratio refers to the number of banks per city/municipality. In 2017, Calabarzon’s bank density was 12 with Rizal Province having the highest bank density of 19 banks and Quezon with the lowest at 6 banks.

Table 15.9 Bank Density Ratio in Calabarzon, 2016 and 2017 Number of Cities & Number of Banks Bank Density Ratio Provinces Municipalities 2016 2017 2016 2017 Cavite 23 356 372 15 16 Laguna 30 455 470 15 16 Batangas 34 383 397 11 12 Rizal 14 247 260 18 19 Quezon 41 224 238 5 6 Calabarzon 142 1,665 1,737 12 12 Source: BSP-Supervisory Data Center

The number of automated teller machines (ATMs) increased by 6.14 percent from 2,848 in 2016 to 3,023 in 2017 (Table 15.10).

Table 15.10 Number of ATMs in Calabarzon, 2012-2017 Type of Bank 2012 2013 2014 2015 2016 2017 Calabarzon 1,748 2,107 2,254 2,566 2,848 3,023 Onsite 938 1,113 1,192 1,301 1,421 1,483 Universal and 734 860 913 978 1076 1,135 Commercial Banks Thrift Banks 167 194 207 248 269 272 Rural and Cooperative 37 59 72 75 76 76 Banks Offsite 810 994 1,062 1,265 1,427 1,540 Universal and 720 878 936 1,099 1,250 1,358 Commercial Banks Thrift Banks 89 115 125 161 167 169 Rural and Cooperative 1 1 1 5 10 13 Banks Source: BSP-Supervisory Data Center

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The continuous increase in the number of installed ATMs showed the efforts of the banks to make banking services more accessible and available for the clients to withdraw cash, pay bills, transfer funds and do other banking transactions any day and any time.

Microfinance Services and Cooperatives

Microfinance and cooperatives were available for those who do not have access to formal financial institutions. These are affordable alternative financial services to low income groups.

Microfinance-oriented banks increased from 109 in 2016 to 113 in 2017 (Table 15.11). This can be attributed to the initiative of financial institutions to address the concern on accessibility to financial options. The Province of Quezon had the most number of microfinance banks while the Province of Cavite has no operating microfinance bank in 2017.

Table 15.11 Number of Microfinance-Oriented Banking Offices, 2016 and 2017 Number of Microfinance Oriented Banking Offices Province 2016 2017 Calabarzon 109 113 Cavite 0 0 Laguna 30 31 Batangas 7 7 Rizal 19 21 Quezon 53 54 Source: BSP-Supervisory Data Center

There were a total of 125 registered cooperatives in 2017, all of which are primary cooperatives (Table 15.12). Majority of the cooperatives are agriculture type followed by credit type of cooperative.

Number of cooperatives significantly increased from 2016 to 2017 by 60.26 percent. This can be attributed to the high demand on agriculture, credit, and transport cooperatives.

Table 15.12 Number of Registered Cooperatives in Calabarzon, 2014-2017 TYPE 2014 2015 2016 2017 Primary Cooperatives Advocacy 0 0 0 0 Agrarian 1 1 2 0 Agriculture 4 7 9 35 Consumers 15 20 18 19 Credit 23 18 19 32 Dairy 0 1 0 0 Fishermen 0 0 0 0 Housing 0 0 0 0 Health Service 0 0 0 0

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Continuation of Table 15.12 Number of Registered Cooperatives in Calabarzon, 2014-2017 TYPE 2014 2015 2016 2017 Labor Service 3 3 0 0 Marketing 1 12 9 5 Multipurpose 33 13 0 0 Producers 9 10 9 10 Service 0 0 0 1 Transport 14 6 7 22 Water Service 1 1 1 1 Workers 0 1 2 0 Sub-total 104 93 76 125

Secondary Cooperative Bank 0 0 0 0 Federation 0 0 2 0 Union 0 1 0 0 Sub-total 0 1 2 0

Grand Total 104 94 78 125 Source: CDA-Calamba Extension Office

Local Government Resource Mobilization

LGUs continuously increase their efforts to generate more revenue. To improve revenue collection, capability building and financial education were provided to the LGUs.

Majority of the income of the LGUs come from real property tax (Table 15.13). Although targets for real property tax and business tax were not achieved, revenues have increased in 2017. This can be attributed to the continuous improvement of business processes and tax collection.

Table 15.13 Revenue Type, Targets, Accomplishments (in million pesos), 2015-2017 2015 2016 2017 Revenue Type Target Actual Target Actual Target Actual Real Property Tax 12,397.8 12,462.8 15,276.37 12,813.3 15,107.45 15,061.96 Business Tax 9,289.2 9,674 10,453.67 10,402.2 18,881.38 12,336.76 Fees and Charges 3,077.3 3,300.3 3,243.89 3,655.1 3,937.68 4,238.02 Economic Enterprises 1,976.1 2,020 2,115.1 2,062.2 1,934.88 2,070.83 Source: BLGF Region IV-A

Moving Forward

The Region is expected to sustain its economic growth, despite the slow growth of the AFF sector, because of the continued acceleration of the industry and services sectors. The Build, Build, Build Program will continue to make a significant contribution to the construction industry and once projects are completed, increase the region’s attraction as investment area.

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The high population in the Region can be translated to more supply of manpower. In 2016, around 65 percent of the Region’s population are those that are aged 15 years and above and this available manpower can attract more investments.

Domestic demand may pick up as household consumption will likely improve, following the implementation of the tax reform package. Households are also seen to benefit from expanded employment opportunities from the Build, Build, Build Program.. Government consumption is also set to expand, following higher salaries of government personnel in line with the third tranche of the Salary Standardization Law.

Efficient mobilization of financial resources and improvement of financial inclusion mechanism will help microfinance institutions to continuously provide affordable and sufficient financial services to low income population. Enhancing and strengthening LGU resource mobilization, on the other hand, will give opportunity for more development programs and projects in the Region.

In spite of economic growth, Calabarzon is still facing the challenge of the existence of pockets of poverty particularly in the geographically isolated areas and those in the agriculture and fisheries sector. The need to increase agricultural labor productivity and expand economic opportunities in this sector has to be addressed.

Recommendations

The following should be considered to sustain economic growth and attain inclusive growth:

Implementing Challenges Recommendations Agencies Contraction of AFF  Intensive provision of agricultural subsidies on DA agricultural inputs  Continued support to farm mechanization program  Boost private sector involvement in AFF to promote technology transfer  Improve market opportunities Continued  Reinforce implementation of sustainable BFAR contraction of fisheries management Fishing sub-sector High population and  Development of ecozones, especially in Quezon PEZA, LGUs employment demand Province to provide local jobs, push economic growth in the province and in the Region  Continue attracting foreign direct investments though investment missions and promotions

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Implementing Challenges Recommendations Agencies Pockets of poverty  Accelerate cash assistance to the bottom 50 DSWD percent of families to lessen the possible, though short-term, inflationary impact of the tax reform package  Continued implementation of poverty alleviation programs like Pantawid Pamilyang Pilipino Program, livelihood and employment generation programs  convergence of agencies‟ programs and services to less disadvantaged municipalities with poverty incidence higher than the national level Inefficient transport  Intensive implementation of the Calabarzon DPWH, DICT network and ICT Traffic Management Plan and the completion of infrastructure infrastructure projects like expressways, by- pass roads, railways, and the DOT-DPWH convergence projects will hasten movement of goods and services within and outside the region  Continued implementation of the Build, Build, Build Program  Advocate on the improvement of ICT services to enhance virtual connectivity of local governments, businesses and people Resource  Improve government processes and BLGF, LGUs mobilization transactions to reduce cost of doing business  Conduct of capacity building efforts and technical assistance to enable find other channels of revenue

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Chapter 16 Leveling the Playing Field

This Chapter presents the improvement in the investment climate of the region by developing the competitiveness of firms and LGUs. It highlights the performance of the region in terms of LGU and market competitiveness using the available indicators and data at the regional level. Strategies identified in the RDP and the PDP are reiterated and other strategies are proposed to advance competitiveness and competition policy, programs, and activities in Calabarzon.

Figure 16.1 Strategic Framework to Level the Playing Field

Chapter 16: LEVELING THE PLAYING FIELD 79

Assessment

LGU Competitiveness

More local governments ranked higher in the 2017 CMCI. Overall, 54 percent of LGUs in the region improved in ranking while 40 percent decreased in ranking. Calabarzon maintained 100 percent coverage of its cities and municipalities in 2016 and received 23 out of the 75 awards, from 18 in 2016. Batangas province had the highest number of cities and municipalities with an increase in ranking at 22 while 12 out of 14 municipalities in Rizal increased in ranking and 2 had no change in ranking. While Quezon province had the most number of LGUs with decrease in ranking at 22, a significant number of its LGUs (17) also improved in ranking.

Rizal remained the most competitive province while Cavite, Laguna, and Batangas ranked 3rd, 5th, and 8th respectively. Antipolo topped the component cities, the municipalities of Cainta, Taytay, and Angono ranked 1st, 2nd, and 3rd for 1st to 2nd class municipalities, while Taal and Pagsanjan ranked 4th and 5th for 3rd to 6th class municipalities.

Several LGUs in the region also topped the key indicators or pillars of CMCI on economic dynamism, government efficiency, infrastructure and resiliency. The most notable local governments are General Trias City which is a consistent top performer in the economic pillar in the past two years; Cainta, Rizal which has topped economic dynamism, government efficiency, resiliency, and ranked second on infrastructure for 1st to 2nd class municipalities; Taytay, Rizal which ranked first on infrastructure, second on economic dynamism, and third on government efficiency, also for 1st to 2nd class municipalities; and Antipolo City which topped infrastructure and ranked third on government efficiency for component cities.

This implies that more LGUs have recognized the value of improving their competitiveness to attract more investments into their areas, ensure the delivery of basic services and productivity despite exposure to natural hazards. However, there were some local governments which ranked very high in 2016 but plunged in 2017.

More LGUs conferred with the Seal of Good Local Governance (SGLG) and with validated Business Permit Licensing System (BPLS). The SGLG was introduced in 2014 to raise the bar and sustain good local governance and provide incentives to performing LGUs. For 2017, there was an increase to 35 passers from only 17 in the previous year. These are the provinces of Laguna, Quezon, and Rizal, 23 municipalities, and nine cities. This was achieved through the strong support of local chief executives, partner agencies, non- government and civil society groups.

As one the requirements for SGLG, 16 LGUs in the region had validated BPLS in 2017. However, this is lower than the 26 LGUs with validated BPLS in 2016. With the increasing number of indicators and rigorous assessment, the challenge is to sustain and increase the number of SGLG conferred LGUs in the region.

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Market Competitiveness

Exports increased but investments in the region dipped. For 2017, exports increased by around 9 percent to US$ 26,217 million. This was due to the stable operation of economic zone locators, effective management of incentives by PEZA, and improved worldwide economy and demand for manufactured products from the country. The support and strengthened partnerships between PEZA, private developer associations, and other government agencies also contributed to the increase in exports. However, total approved investments decreased by 12 percent to PhP 6,9848.86 million due to hesitation of investors with the change in administration.

Moving Forward

Despite the gains and initial steps towards developing more competitive local government units and a competitive market, there are still major institutional and regulatory challenges at the national level that needs to be addressed before competition policies and programs can be pushed at the regional and local level. These include unnecessary regulatory burden, barriers to entry of firms in the market, and lack of competitive neutrality concerning GOCCs, among others (See Chapter 16 of Socioeconomic Report, NEDA).

Recommendations

At the regional level, the following strategies are needed to promote a higher level of competitiveness and market competition:

Table 16.1. Supplemental Strategies in Leveling the Playing Field Challenges Recommended Strategies Implementing Agencies Sustain and improve ranking  Technical assistance and Fund Regional and Provincial of more LGUs in the CMCI. support from regional line agencies Competitiveness for lagging or LGUs with lesser Committees/Councils technical and financial capacity (RCC/PCC) There is a need to improve performance on the  Regular monitoring and feedback governance and infrastructure  Closer coordination between local pillar as well as the new pillar and national government on priority on resiliency to natural programs and projects disasters and other shocks.

Chapter 16: LEVELING THE PLAYING FIELD 81

Challenges Recommended Strategies Implementing Agencies Unnecessary LGU  Tap the assistance of the National RCC, NCC, DTI, DILG, regulations or ordinances Competitiveness Council, which LGUs which impede the ease of leads Project Repeal, to capacitate doing business, tend to the RCC and local governments to discourage the participation determine policies that might of new players and existing discourage competitiveness and firms to expand their business competition at the local level  DILG Memorandum enjoining the participation of local governments in the region in reviewing potentially anti-competitiveness policies

No data collected on the  Develop a monitoring mechanism at DTI Regional and Central extent of participation of the regional level for these Offices MSMEs in corporate and indicators to determine if there is global value chains, limited market competition on proportion of small scale specific economic sectors, identify industries to total industries, areas where MSMEs can link to and level of consumer higher value markets and supply awareness and satisfaction of chains, and protection of consumer quality of goods and services. rights  Targeted and sustainable programs and capacity building on product development, market linkage, technology adoption, and financing for MSMEs Low public awareness on the  Intensify and expand information PCC, Department of competition law/policy and campaigns in different Justice-Office for capacity of government to communication platforms Competition enforce  Develop communications plans for different stakeholders on the basic concepts, importance, and facets of market competition in the country, as well as enhance compliance with the law.  Trainings and orientations to strengthen the capacity of agencies and the judiciary at the regional and local level to effectively enforce the Philippine Competition Act and other competition-related laws/policies.

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Chapter 17 Attaining Just and Lasting Peace

This Chapter discusses the generally peaceful environment in the Region in 2017 despite the termination of the peace negotiations with rebel groups towards the latter part of the year. Other paths to peace were taken, mainly collaborative efforts among stakeholders to protect the Region against any form of threats as well as address root causes of conflict.

Moving forward, Calabarzon will continue to pursue linkages among stakeholders, encouraging support from LGUs, government agencies, private sector, civil society organizations, non-government organizations and security and law enforcement agencies in the promotion of peace and security in the Region as well as in the delivery of basic social services.

Strategic Framework

Figure17.1 Strategic Framework to Attain Just and Lasting Peace

The framework in “Attaining Just and Lasting Peace,” was patterned after Philippine Development Plan 2017-2022. Two intermediate outcomes are identified, the first outcome is to have peace agreements with all internal armed conflict groups successfully negotiated and implemented. The second outcome is on protecting and developing communities in conflict- affected and conflict-vulnerable communities.

Chapter 17: ATTAINING JUST AND LASTING PEACE 83

Accomplishment

Thirty conflict-affected barangays were cleared from insurgency through the successful implementation of their Community Support Program or CSP. This surpassed the target of clearing 23 conflict-affected barangays.

The CSP is a participative approach to fighting insurgency by involving the community and other stakeholders in resolving root-causes of conflict. The program supports the development of disaster and conflict resiliency in Geographically Isolated and Disadvantaged Areas and other conflict-affected areas. Through the program, the support of the private sector in implementing projects was achieved. The concerted efforts among government agencies against criminality, drugs, insurgency and natural/ man-made disasters were critical in sustaining the peace and security in the Region.

Due to fear of possible retaliation from their comrades, only six rebels surrendered to the government in 2017. Out of 6, 2 former rebels availed of the local integration programs that support families of former rebels who wish to return to mainstream society. Moreover, only 8 firearms out of their target of 25 were surrendered. There is a need to further advocate government programs that support reintegration of former-rebels to society to encourage more rebels to surrender to the government.

In support to the development of conflict affected areas and to address root causes of conflict, the Region continues to implement the PAyapa at MAsaganang PamanayaNAn or PAMANA, a program for peacebuilding offered to conflict-affected areas to improve their quality of life. In 2017, 100 percent of provinces in the Region with communities affected by and vulnerable to armed conflict were equipped with tools and processes for conflict- sensitive, peace-promoting and gender-responsive planning and programming. All affected municipalities in Quezon province have undergone the Conflict-Sensitive Peace Promoting Program training through the PAMANA-DILG Pilar 1 Capacity Building for LGUs and the Mainstreaming Peace and Development in Local Governance Training.

On land issues, a total of 1,066 farmers from different towns in Quezon Province have received individual land titles covering a total of 1,577.14 hectares through the Comprehensive Agrarian Reform Program of the Department of Agrarian Reform program. The beneficiaries are from the towns of San Narciso, San Andres, San Francisco, Buenavista and Mulanay in Quezon Province among others.

Moving Forward

The Region will continue to promote peace by addressing root causes of conflict and supporting the plans of the national government on sustaining efforts in enhancing education programs designed to inculcate the values of peace, tolerance, respect, commitment to the rule of law, democracy, social justice, human rights, and freedom. Conflict sensitive and peace promoting programs and projects will be pursued to promote development in conflict- affected areas and Conflict-Sensitive Peace Promoting Program training will be conducted for all PAMANA LGUs in 2018.

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Furthermore, collaboration among all sectors of society will be pursued to ensure peace as well as protection from any kind of security threat. The Region will support convergence efforts among stakeholders for a more streamlined and efficient approach in the delivery of services and resolving local issues in the community.

Recommendations

The following should be pursued in support to the abovementioned strategies:

Implementing Challenges Recommended Strategies Agencies Sector Outcome: Peace agreements successfully negotiated & implemented • Termination of the peace • Pursue other paths to peace AFP, LGUs negotiation between the through peace education government and the CPP-NPA- NDF • Rebels unable to surrender due to • Conduct information drive & AFP, LGUs fear of retaliation from comrades peace education in • Unmet target on number of communities surrendered firearms increased • Solicit active support from LGUs in peace promoting activities • Create policies on surrendered firearms

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Chapter 18 Ensuring National Security, Public Order, And Safety

This Chapter highlights the improvement in the security, public order and safety in the Region with the notable reduction in crime volume and index crime rate in 2017. The decrease in crime volume could be attributed to the current administration’s intensified campaign against illegal drugs and all forms of criminality. The support of all stakeholders including the mobilization of local communities in the fight against lawlessness and criminality likewise contributed to improving public order and safety.

Strategic Framework

Figure 18.1 Strategic Framework to Ensure National Security, Public Order, and Safety

In order to attain national security, public order and safety, four intermediate outcomes will have to be realized. The first is to uphold and protect the territorial integrity and sovereignty of the country; second, is to reduce all forms of criminality; third is ensure public safety, and the last outcome is to protect the welfare and well-being of all Filipinos overseas.

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Accomplishment

Crime Volume

There was a notable decrease in the total crime volume, from the 61,966 reported in 2016 to 60,488 in 2017, a decrease of 2.39 percent. Out of the 60,488 total crime volume, 47,388 or 78.34 percent are crime incidents from PNP Blotter, while 864 or 1.43 percent are cases from other law enforcement agencies and 12,236 or 20.23 percent are crime incidents being handled by barangays.

Figure 18.2. Comparative Crime Volume in Calabarzon, 2016 and 2017

Source: PNP Region IV-A

Cavite has the highest share of crime volume among provinces in the Region with 38 percent or 16,661 crimes. The presence of criminal gangs and its big population of 3.68 million based on 2015 census may have contributed to the high incidence of crimes in the Province. Cavite is followed by Laguna with 8,836 or 20 percent, Batangas with 8,590 or 19 percent, Quezon with 7,669 or 17 percent and Rizal with 5,632 or 13 percent.

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Figure 18.3. Calabarzon Provincial Distribution of Crime Volume, 2017

Source: PNP Region IV-A

Index Crime

Index crime volume declined from 15,074 in 2015 to 11,796 in 2017, a decrease of 21.7 percent surpassing the target of 13,064. Subsequently, index crime rate decreased from 9.07 percent in 2015 to 6.96 percent in 2017. The reduction in crime volume and the intensified efforts of law enforcement agencies to solve crimes led to the improvement in the crime solution efficiency rate from 56 percent in 2015 to 68 percent in 2017.

The number of homicide victims was reduced from 283 in 2015 to 222 in 2017. There was also a decrease in the number of murder cases from 1,445 in 2015 to 1,377 in 2017. Many of the murder cases were perpetrated by motorcycle riding suspect. In October 2017, the PNP started collating the data on the crimes committed by motorcycle riding suspects as it prepares to stop the modus.

The reduction of index crime can be attributed to the active support of the community through the Community Mobilization Program. The Program mobilizes communities to act as a local defense system against lawlessness and all forms of criminality. As part of the program, a total of 23,446 lectures and dialogues were conducted to develop the trust and confidence of the community with the police and solicit community support and assistance in the over-all policing effort.

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Illegal Drugs Infiltration

On illegal drugs, 697 barangays were declared drug free in 2017 exceeding the target of 613 barangays. Moreover, all cities and municipalities in the Region have active Anti-Drug Abuse Councils.

Initiatives in support of the campaign against criminality include the implementation of PNP Anti-Illegal Drugs Campaign Plan and the Project Double Barrel. The Project Double Barrel involves the conduct of house visitations to appeal to suspected illegal drug personalities to turn away from the illegal drug trade and encouragement to drug offenders to voluntarily submit themselves for drug clearing and rehabilitation. These interventions are among the contributing factors in the reduction in the total crime volume in Calabarzon. In August 2017, PNP Region IV-A was awarded by the President for their outstanding accomplishment in the implementation of the Project Double Barrel.

Police to Population Ratio

The police to population ratio slightly improved from 1:1,174 in 2015 to 1:171 in 2017. This is still below the target of 1,093 police to population ratio in 2017 and below the national standard of 1:500.

Moving Forward

The fast growth of the population and the rapid industrialization the Region are the challenges in ensuring security, public order and safety as these conditions have been observed to result to higher crime volume and crime rates. Based on the 2015 population census, Region IV-A had the biggest population with 14.41 million, followed by the National Capital Region with 12.88 million. The population in Calabarzon is expected to increase with a growth rate of 2.58 based on the 2010 to 2015 population.

Recommendations

The increase in the base pay of police officers may attract more qualified applicants allowing the Region to achieve its supplemental requirement for police officers.

Implementing Challenges Recommended Strategies Agencies Sector Outcome: Public safety ensured • Low police to population ratio • Increase quota of number of law PNP • Crime associated with increasing enforcers recruited and trained population • Threat from terrorism • Intensified intelligence and Security Agencies coordination among security agencies • Arising cases of motorcycle riding • Collect data on crimes perpetrated PNP suspect by motorcycle-riding suspects

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Chapter 19 Accelerating Infrastructure Development This Chapter presents the role of infrastructure in the development of Calabarzon. In support to the national government’s Build-Build-Build Program, the Region has expanded its efforts on infrastructure development through convergence efforts with the different implementing agencies, private sector and with other regions in Luzon. High impact projects to address inter/intra-regional connectivity and infrastructure backlogs are being developed and prioritized for future funding and implementation. Project development and monitoring activities were jointly coordinated to harmonize the prioritization and implementation of major programs and projects (P/Ps).

Figure 19.1 Strategic Framework to Accelerate infrastructure Development

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Accomplishments

Increase spending on public infrastructure

Spending on infrastructure development increased. The region achieved its target of increasing infrastructure spending from 4.6 percent share in 2016 (PhP62.48 Billion) to 5.0 percent share (PhP72.41 Billion) in 2017 of the Gross Regional Development Product (GRDP). Among the infrastructure agencies in the region, increase in the 2017 budget of DPWH (4.75%) was registered. In terms of growth, the construction sub-sector achieved a double digit increase from a minimal 1.0 percent growth in 2015-2016 to 15.9 percent growth in 2016-2017. This significant growth can be attributed to the front-loading of infrastructure projects in the first year of the Duterte Administration through its Build, Build, Build Program.

Linkage of planning, programming and budgeting in the region was enhanced. The RDC approved the Regional Development Investment Program (RDIP) 2017-2022 which translates the strategies of the RDP 2017-2022 into viable P/Ps. The RDIP will facilitate the programming of budget for priority P/Ps in the region. A total of PhP308.572 billion infrastructure projects were prioritized in the RDIP 2017-2022. These projects were considered in the proposed FY 2019 budget proposals of regional offices of the DPWH, NIA and PPA. The RDC conducted two investment fora in 2017 participated by 69 LGUs, 32 RLAs, 3 government financial institutions and 3 cooperatives. The fora resulted in the inclusion of 1,015 LGU projects in the 2018 budget of the government agencies. Likewise, a total of 78 LGU projects were included in the proposed FY 2017 budget of the government agencies. The infrastructure projects include construction of farm-to-market roads, training centers, slaughter houses, school buildings and classrooms, evacuation centers and ER 1-94 projects, among others. A series of project development trainings for the LGUs were conducted prior to the forum to ensure the readiness of project proposals for funding of the government agencies. Private sector participation encouraged. The engagement of private sector in the implementation of infrastructure projects was advocated through the launching of the Local Public-Private Partnership for the People or P4. The PPP Center and DILG are promoting P4 to encourage LGUs to venture into development projects in partnership with the private sector. The projects eligible for PPP implementation are mostly infrastructure projects. At present, the Tanauan Public Market Redevelopment Project is an ongoing LGU PPP project approved by NEDA Board in the region. Infrastructure development plans formulated and implemented. Major P/Ps are being lined up for inclusion in the ongoing Philippine Transportation System Master Plan and Philippine Water Supply and Sanitation Master Plan to address transportation connectivity and water resource management issues. Major projects proposed in the transportation master plan are the Luzon Pacific Highway, San Juan International Airport, Cavite-Corregidor Island-Bataan-Mariveles Mega Bridge and Quezon-Bicol Expressway, among others. The inclusion of these nfrastructure projects in the infrastructure plans will facilitate project approval for feasibility study and implementation.

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Government administrative systems and project implementation improved. Capacity building activities on project proposal and feasibility study preparations were conducted particularly for the local government units to ensure the quality of project at entry for their subsequent inclusion in the local investment programs and budgets. In complementation, capacity building in procurement is also being promoted.

Implement strategic infrastructure and ensure asset preservation

Transport

Construction, improvement and rehabilitation of road infrastructures increased. The length of national roads increased from 2,517.30 kilometers in 2016 to 2,542.32 kilometers in 2017 or an increase of 25.02 kilometers. The increase in road length was due to the conversion local roads into national road such as the completed Quezon Eco-Tourism Road. A total of 154.27 kilometers of national roads were constructed, improved and rehabilitated in 2017. The percentage of national roads in good condition decreased from 50.25 percent in 2016 to 48.82 percent in 2017 due to the delayed restoration of roads by utility companies after the removal of the RROW obstructions. There are 21 ongoing bypass/ diversion roads under construction. The construction of Lipa City Diversion Road started in 2017 and is expected to be completed by October 2018. The length of permanent bridges along national roads increased from 18,547 lineal meters in 2016 to 18,575 lineal meters in 2017 or a minimal increase of 28 lineal meters. The 2017 accomplishment also fell short of the 18,823 lineal meters target for the year due to RROW issues. A total of 841.82 lineal meters of bridges were widened, while 54 bridges were retrofitted/ rehabilitated in 2017 as against the target of 129 bridges for retrofitting / rehabilitation for year. The non-rehabilitation of the other bridges can be attributed to the late release of funds for project implementation. Convergence programs of agencies promoted. Other road infrastructure accomplishments include convergence programs of national agencies such as construction/improvement of 14.73 kilometers of tourism roads under the DOT-DPWH Convergence Program and construction of 30.24 kilometers of farm-to-market roads under the DA-DPWH partnership. Eight projects were approved under the DTI-DPWH Roads Leveraging Linkages of Industry and Trade or ROLL –IT in 2017. A total of 27 were implemented under the KALSADA Program of the DILG in partnership with LGUs. Traffic management measures implemented. The Calabarzon Traffic Management Plan 2017-2022 was approved by the RDC in December 2017 for implementation. The RDC Sectoral Committee on Infrastructure Development regularly discussed the updates on traffic management initiatives which were provided by the Traffic Management Technical Working Group. The removal of obstructive trees and utility poles along the road right-of-way of national roads was one the major concerns identified through coordination meetings and monitoring activities with the utility providers and the different regional line agencies. Other traffic management initiatives implemented include conduct of deputation seminars for traffic

Chapter 19: ACCELERATING INFRASTRUCURE DEVELOPMENT 93 enforcers, advocacy on public transport services guidelines, road widening, construction of bypass/diversion roads and flyover, and ban of tricycles along national roads, among others. Port facilities improved to ensure seamless RoRo network. Rehabilitation and repair projects in three different ports in Batangas (Bauan, Nasugbu and Batangas) were completed in 2017 to enhance port operations and services. These include repair of port lighting system including solar powered lighting systems, repair of public comfort rooms and port police headquarters. Utilization of existing ports optimized. Existing ports in Batangas and Quezon Provinces are important transport facilities that connect Calabarzon to island regions of MIMAROPA and Western Visayas. These port facilities are vital mode of transport for tourism, manufacturing and agriculture-based industries. The Batangas Port located in Batangas Province and the Lucena Port located in Quezon Province are the largest ports in the region. Batangas Port is the only international port for container shipments in the Region.

The non-containerized cargo increased by 9.17 percent while the containerized cargo throughput increased by 25.56 percent in 2017; targets were achieved. The actual non- containerized cargo throughput in 2017 was 2.65 percent higher than the target while the containerized cargoes was 6.43 percent higher than the 2017 target.

The number of passengers using Batangas and Quezon Ports increased by 11.01 percent in 2017 and was 7.35 percent higher than the target. This increase can be attributed to the deployment of fast, modern and new RoRo and fastcraft vessels and the favourable response of the public to the promotion of ecotourism programs encouraging inter-island RoRo travel. The number of vehicles which landed in Batangas Port increased in 2017 by 15.65 percent and higher than the 2017 target. The increase in the number of vehicles passing through the Batangas Port can be attributed to additional routes of RoRo vessels and availability of good berthing facilities.

Table 19.1. Throughput of Batangas and Lucena Ports in 2016 and 2017 Indicator 2016 2017 Growth Target Variance Rate (%) Non-containerized cargo 25,896,467 28,272,003 9.17 27,542,197 729,806 throughput (MT) Containerized cargoes 157,319 197,534 25.56 185,601 11,933 (TEU) Number of passengers 7,831,396 8,693,410 11.01 8,098,271 595,139 Number of vehicles 47,189 54,574 15.65 48,989 5,585 Source: PPA – PMO Batangas and MarQuez

Existing airports improved. The Calabarzon Region has eight airports and airstrips, of which, two are being operated by the CAAP, 4 are private airstrips and 2 are military bases. The Jomalig and Alabat Airports which are being operated by CAAP do not cater to commercial flights. The private airstrips cater to chartered flights particularly to transport passengers to tourism destinations. The military bases are located in Cavite City and Lipa City.

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Major improvements are being undertaken in Sangley Airport which includes the construction of fire station buildings and administration building, and asphalt overlay of airport runway. The Sangley Airport was also proposed for development to become a domestic airport.

There are also efforts to convert the Sangley Point in Cavite City into an international logistics hub. The logistics hub is envisioned to become a modern container port and airport complex. Water Resources

Adequate irrigation system to agricultural lands provided to increase the total irrigated area. The new areas and restored areas for irrigation in 2017 was lower than the previous year. In 2016, there were 597 hectares of newly-irrigated lands compared to 328 new irrigated areas in 2017. This fell short of NIA’s 825 irrigated areas for 2017. The same reduction was also observed in the total number of restored areas. In 2016, there were 507 hectares restored areas compared to 202 hectares restored areas in 2017, and which also fell short of its target of 279 hectares for the year.

Even if the targets for new and restored areas were not met, the length of canal linings increased from 28.64 kilometers in 2016 to 37.74 kilometers in 2017 due to the construction of various irrigation projects particularly in Quezon. The two major ongoing projects in Quezon and Batangas are the the Quipot and Macalelon Irrigation Projects.

Despite the decreasing trend in irrigable lands, the cropping intensity has increased from 147% in 2016 to 151% in 2017 due to the rehabilitation of 83 irrigation systems and construction of 18 new small irrigation systems in the region. There ratio of actual irrigated area to the total potential irrigable area has almost remained the same in 2016 (62.32) and 2017 (63.10) despite the rapid conversion of irrigated land to industrial/commercial areas.

Flood control initiatives continued. There were 192 flood control projects undertaken by the DPWH in 2017 which include construction and repair of dikes, seawalls, river control, revetment, drainage mains, waterways and other flood control structures to mitigate flooding. Power and Energy

Rural electrification continued. Rural electrification is an important strategy of the government towards attainment of rural development. Provision of electric services to rural areas will contribute to improved quality of life, greater access to services and better infrastructure of the marginalized sectors including farmers and fisherfolks. The Region’s countryside was served by five electric cooperatives, namely: First Laguna Cooperative in Laguna; Batangas Electric Cooperatives I and II in Batangas and Quezon Electric Cooperatives I and II in Quezon.

In 2017, the proportion of sitios served with electric connection increased to 92.53 percent while the proportion of households served declined by 2.94 percent (Figure 19.2). Despite higher accomplishment in 2017, the targets for the number of sitios and household served were not met. This performance can be attributed to inclement weather and difficulty in

Chapter 19: ACCELERATING INFRASTRUCURE DEVELOPMENT 95 reaching remote areas that hindered installation of electrical lines and transport of materials for the installation.

Fewer households served with electric connections can also be attributed to additional temporary houses established in the rural areas. These structures were considered in the survey yet electric connections cannot be provided immediately due to their eligibility for connection.

Figure 19.2. Proportion of Households and Sitios with Electric Connections Against Potentials in Calabarzon, 2017.

96.14 2.94% Households with electric connections 93.31 97.30

91.86 0.73% Sitios with electric connections 92.53 94.17

88.00 90.00 92.00 94.00 96.00 98.00 2016 2017 Target Growth Rate In Percent

Source: NEA

Promotion of green energy intensified. The Department of Energy (DOE) with the National Renewable Energy Board initiated the development of guidelines for the implementation of the Green Energy Option (GEOP) through conduct of nationwide public consultations. The GEOP is provided under the Renewable Energy Act of 2008 that promotes development, utilization and commercialization of renewable energy resources. It will provide a mechanism for end-users to have options in choosing renewable energy resources as their source of energy. The final guidelines will be released in 2018 after considering the solicited comments for the final draft.

Energy Sector resilience sought. Energy supply is vulnerable to natural and human-induced hazards. Recognizing this, DOE formulated an Energy Resiliency Policy to mitigate adverse effects brought about by disasters. The policy shall apply to all energy industry participants in the energy resource, renewable energy, power, oil and energy utilization. The energy industry participants are enjoined to prepare and implement their respective Resiliency Compliance Plan which will contain adaptation measures including engineering and non-engineering options.

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Information and Communications Technology

Additional facilities established to improve internet access. With our digital environment, the internet of things (IoT) became an important component in government and industry operations leading to better and faster service delivery.

The number of powered-up sites with free wifi internet access in the Region significantly increased in 2017 by 260.71 percent. This can be attributed to the enactment of Republic Act 10929 entitled “An Act Establishing the Free Internet Access Program in Public Places in the Country”. Provision of funds through the Act had also contributed to the significant increase. On the other hand, the number of Point of Presence (PoP) established in 2017 was the same in 2016. PoPs are essential network elements where equipment that route, store or transmit internet data are housed. Only one PoP was targeted in 2017.

Table 19.2. Number of powered-up sites with free wifi internet access and PoP established in Calabarzon, 2017. Indicator 2016 2017 Growth Rate (%) Target Number of powered-up sites with free wifi 28 101 260.71 101 internet access Number of Point of Presence established 1 1 0.00 1 Source: DICT – Luzon Cluster 2

Social Infrastructure Convergence in implementing social infrastructure program continued. The DepEd and DPWH continue to implement the National School Building Program. A total of 330 school buildings for the secondary and senior high schools were constructed under the Basic Education Facilities Fund amounting to PHP5.80 billion. Likewise, the DOH continued its partnership with the DPWH in the construction of health facilities of the LGUs. A total of 19 health facilities and 179 school-based Barangay Health Stations (BHS) were constructed in 2017. Improvement and repair of 17 BHS and Health Centers, 10 Rural Health Units and 8 District Hospitals were also completed in 2017. Social infrastructure in rural areas prioritized and deficit addressed. The number of established BHS increased from 21 in 2016 to 78 in 2017. Likewise, the number of RHUs established increased from 9 in 2016 to 24 in 2017. Hospital bed to population ratio has improved from 1:1309 in 2016 to 1:1153 in 2017 which surpassed the target of 1:200 ratio. Proper waste management promoted. A total of 31 open and controlled dumpsites were closed and rehabilitated in 2017, surpassing its target of 8 dumpsites. The number of sanitary landfills increased from 23 in 2016 to 26 in 2017. Technical and financial assistance were provided for safe closure and rehabilitation. Clustering of LGUs in the development of sanitary landfill is yet to be institutionalized.

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Intensify infrastructure-related research and development The infrastructure R&D initiatives in 2017 include the conduct of impact evaluation study of three completed projects in the region, namely, Batangas Port Development Project Phase II, Marikina-Infanta Road and Laguna de Bay Institutional Strengthening and_Community_Participation.

Moving Forward

Increase in infrastructure spending Increase infrastructure spending will continue with the increased budgets of the different regional line agencies in 2018 and 2019. The Duterte Administration is looking forward to increase the infrastructure spending to 7 percent of our GDP at the end of the plan period. The recent budget policy of the government to shift from obligation-based to annual cash- based appropriations will also contribute to the efficient delivery of programs and projects. Thus, agencies must improve their capacities in project development, procurement and implementation to fully utilized their annual budgets. Implementation of strategic infrastructures and preservation of assets Transport

Land Transport. Improvement and widening of roads and bridges to at least four lanes will be implemented. New roads will be constructed to close gaps in the national and local road network. Continued implementation of bypass and diversion road projects is expected to mitigate traffic congestion in urban centers, namely, the Lopez Diversion Road, Gumaca Diversion Road and Pagbilao Bypass Road in Quezon Province. The construction of Quezon-Roma Point Bridge will be started. The said bridge which will connect the island municipalities of Alabat, Perez and Quezon to the mainland in Lopez, Quezon. Inter and intra-regional connections will also be improved by the implementation of road projects along the pacific coast such as the General Nakar-Umiray-Dingalan Road and Mauban-Atimonan Road. The said road projects are included in the proposed Luzon Pacific Highway. Convergence program will be continued to enhance road infrastructures such as DOT-DPWH Convergence Program, DTI-DPWH ROLL-IT, DA-DPWH farm-to-market road (FMR) projects and FMR projects under the Philippine Rural Development Project. Advocacy on the implementation of priority projects in the Calabarzon Traffic Management Plan will continue. Coordination with different regional agencies involved in traffic management and LGUs will be intensified to implement programs, projects, rules and regulations to mitigate traffic problems. Water Transport. A new passenger terminal building with modern facilities will be constructed in Batangas Port to cater the increasing number of passengers of the port. The Philippine Ports Authority was instructed by the RDC to expedite the construction of the new passenger terminal building.

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Air Transport. A total of 11 projects in Sangley Airport will be implemented in 2018. The projects include asphalt overlay of runway, construction of hangars, runway markings, upgrading of electrical system and provision of air navigational facilities. Water Resources

Water Supply and Irrigation. The New Centennial Water Resource Project (KALIWA Dam) will provide additional water supply for Metro Manila. The completion of Quipot Irrigation Project will irrigate 2,800 hectares of agricultural land in Quezon (Tiaong, Candelaria and Sariaya) and Batangas (Rosario and San Juan) while the Macalelon Irrigation Project will irrigate 830 hectares in Macalelon, Quezon. Energy

Electrification. Rural electrification will be continued to cover the remaining sitios with no electric connections. The implementation of Task Force Kapatid (TFK) of the National Electrification Administration will be implemented to expedite restoration of electricity supply after calamity. The TKF is a group of volunteers from electric cooperatives and private distribution utilities. The electric cooperatives will prepare vulnerability and resiliency plans to mitigate impacts of disasters. ICT Infrastructure

ICT Plan. The ICT Plan aims to improve the region’s competitiveness in ICT by providing world-class ICT infrastructure, expanding deployment of ICT infrastructure, and improving backbone services and access to technology. Development of third telecommunication company by the LGUs will be promoted.

Social Infrastructure

Education. Construction of new school buildings for the K-12 Program will continue to improve classroom to pupil ratio in the region. Close coordination with the DepEd and DPWH will be ensured to prevent any delay in project implementation. Health. A total of 180 school-based ongoing BHS projects and 13 health facilities of the LGUs under the Health Facilities Enhancement Program are expected to be completed. LGUs will be encouraged to allocate revolving fund for the operations and maintenance for the completed health facilities projects. Solid Waste Management. Clustering of sanitary landfill facility among LGUs will be encouraged for efficiency. Rehabilitation and closure of existing open dump sites will be continued to conform with R.A. 9003. Conduct infrastructure-related research and development Completion of the three impact evaluation studies of Batangas Port Development Project Phase II, Marikina-Infanta Road and Laguna de Bay Institutional Strengthening and Community Participation Project. New projects for impact evaluation study will be proposed in 2019. Research areas for the transportation system, water resource and security, flood control, power generation, ICT and social infrastructures will be encouraged.

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Recommendations The following supplemental strategies are recommended to accelerate infrastructure development:

Implementing Challenges Recommendations Agencies Slow progress in the removal of  Intensify coordination and DPWH, DENR LTO road obstructions monitoring of the removal of and DILG obstructions by the concerned agencies and entities  promote protection of RROW by the LGUs Traffic congestion along major  Harmonize traffic management LTO, LTFRB, DILG highways and city centers plans and traffic regulations among implementing agencies and LGUs Accessibility in port facilities  Enhance port facilities to serve PPA, Marina the need of passengers especially the persons with disabilities and special needs Project feasibility study  Allocate funds for FS of priority All Regional Line projects Agencies Delays in irrigation projects  Monitor implementation of action NIA plan of the problem-solving sessions conducted Rapid conversion of irrigation  Strict implementation on the LGUs, HLURB areas/agricultural lands to policy on land conversion of industrial/commercial areas agricultural lands Slow internet connectivity  Encourage third TelCo players DICT, DILG, LGUs through the LGUs Slow progress in the  Local project monitoring DepEd, DPWH and implementation of school building committees to conduct regular LGUs projects under the K-12 Program monitoring Insufficient revolving funds for  LGUs to allocate revolving funds DOH, LGUs completed health facilities under for the operation and the HFEP maintenance of health facilities under HFEP  DILG and LGU to conduct regular monitoring Limited number of sanitary landfills  Encourage clustering of LGUs in DENR, DILG, LGUs the development of sanitary landfills

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Chapter 20 Ensuring Ecological Integrity, Clean and Healthy Environment This Chapter discusses the 2017 performance of the environment sector particularly on sustaining the biodiversity, improving environmental quality and increasing resilience of ecosystems.

Figure 20.1 Strategic Framework to Ensure Ecological Integrity, Clean and Healthy Environment

Chapter 20: ENSURING ECOLOGICAL INTEGRITY, CLEAN 101 AND HEALTHY ENVIRONMENT

Accomplishments

Sustain biodiversity and functioning of ecosystem services

Forestland rehabilitated and mangrove area increased

The 5,511hectares of denuded and degraded forestland were rehabilitated exceeding the target area of 3,583 hectares while the mangrove area increased by 71 hectares which is also the targeted increase in area. These achievements were gained due to the concerted efforts of the implementing agencies.

Terrestrial, inland water, and coastal and marine areas effectively managed

One hundred percent of the terrestrial protected area was managed with the presence of functional Protected Area Management Board and strong support from LGUs while 3,961 hectares of degraded coral reefs were rehabilitated which is 45.41% increase of the 2,724 hectares accomplished in 2016. The coral reefs rehabilitation can be attributed to strengthened partnership with LGUs and progressive training of DENR personnel and other stakeholders.

In addition, 12 hectares of inland wetland were effectively managed exceeding the target of 6 hectares and surpassing the 2016 accomplishment of 8 hectares. The number of caves with high conservation value increased from 5 in 2016 to 8 in 2017 with the operationalization of the Regional Cave Council.

Improve environmental quality

Air quality monitoring stations increased

The number of air quality monitoring stations increased from 2 in 2016 to 4 in 2017. Two operational stations are located in Cavite City and Santa Rosa City while the other two stations which are in partial operation are located in Biñan City and Antipolo City.

Water quality of priority rivers decreased while the target water quality standard for Manila Bay was not achieved

The Class C target water standard for Imus, Ylang-Ylang, Rio Grande, Cañas, Iyam Dumacaa Rivers was not achieved. For Rio Grande and Iyam Dumacaa Rivers, the water quality decreased from class C in 2015 to failed class C water in 2017.

For Manila Bay, the target is class SB water standard but this was not attained in all of the 13 water quality stations along the Bay. Class SB water refers to water suitable for swimming and bathing.

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The degradation of the rivers and Manila Bay is evident in the presence of high fecal coliform caused by domestic wastes coming from residential areas especially from informal settlers near shorelines.

Water quality of Laguna de Bay sustained

Water quality of Laguna de Bay was maintained as the BOD level in the lake is 4 milligram per liter which is within the standard of less than 7 mg/l. The demolition of 3,267 hectares of fishpens and fishcages and planting of seedlings in 92.72 hectares in Laguna Lake basin contributed to keeping the lake’s quality within target. The target of 800 hectares of fishpens and fishcages demolished were greatly exceeded.

The strengthened Laguna Lake water regulations, provision of Continuing Education Program for pollution control officers, maintenance of nurseries, and strengthened partnerships with local and international partners helped in achieving the targets. Capacity building trainings, acquisition of equipment and tree planting activities likewise contributed to the attainment of targets.

Solid waste management improved

Solid waste management improved as reflected by the increase in solid waste diversion rate and percentage of LGUs’compliant to RA 9003 or the Ecological Solid Waste Management Act. The solid waste diversion rate increased from 46 percent in 2016 to 48 percent in 2017 while LGUs’ compliant to RA 9003 increased from 16 percent in 2016 to 84 percent in 2017, greatly exceeding the target of 21 percent.

LGUs’compliance to RA 9003 led to the closure and rehabilitation of 23 open dumpsites and controlled facilities, establishment of 3 sanitary landfills and approval of 10-year Solid Waste Management Plans of 29 Calabarzon LGUs.

The improvements in solid waste management were brought by the provision of technical assistance on preparation of SWM Plans, seminars, financial assistance for safe closure and rehabilitation of open dumpsite or controlled dump facility, and close monitoring of compliance of LGUs.

Increase adaptive capacities and resilience of ecosystems

LGUs with institutionalized and fully operational DRRM Office and established evacuation centers

In compliance with RA 10121 or the Philippine Disaster Risk Reduction and Management Act of 2010 and inclusion of operational DRRM Office and evacuation centers as indicators and major criteria of Seal of Good Local Governance and Gawad Kalasag, 86 out of 147 Calabarzon LGUs were able to have fully operational DRRM Office and 145 evacuation centers established in 2017.

Chapter 20: ENSURING ECOLOGICAL INTEGRITY, CLEAN 103 AND HEALTHY ENVIRONMENT

Casualties due to disasters and meteorological events still unavoidable

In 2017, 84 casualties due to natural disasters and meteorological events, environmental hazards, and human-induced events were reported. Casualties of natural disasters are still unavoidable because of families living in vulnerable and hazard-prone areas, and families refusing to evacuate during disasters.

Recommendations

The following are the challenges and recommendations for the environment sector for the year 2020.

Implementing Challenges Recommended Strategies Agencies Sector Outcome: Sustaining biodiversity & functioning of ecosystem services Address potential effects of climate Increase 2020 and beyond targets for DENR change to our environmental forestland rehabilitation and areas resources planted with mangrove Sector Outcome: Improving environmental quality

Fully operate all four air quality Repair of air quality EMB monitoring stations and provide monitoring stations data to RM Address low water quality of Treat domestic waste water from EMB, DOH priority rivers and Manila Bay as upland & coastal areas evident by the presence of high fecal coliform Continue to implement WQMAs‟ Action Plan & Manila Bay revised Operational Plan for the Manila Bay Coastal Strategy Address low water quality of Implement Adopt-Estero, Rivers & EMB priority rivers and Manila Bay due Beach to the presence of high fecal Coordinate w/ DOH, DOT, DPWH, coliform LGUs & DILG Sustain or improve the water Establish sub-WQMA LLDA quality of Laguna Lake encourage more tree planting activities

Remaining 16% of LGUs to comply Continue to monitor & provide EMB, DILG, NSWMC with RA 9003 technical assistance to LGUs Increase solid waste develop more recycling wastes diversion rate technologies

Close & rehabilitate open dump Intensify promotion of use of existing sites & controlled dump facilities recycling technologies coordinate w/ DILG

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Chapter 21 Regional Development Plan 2017-2022 Implementation and Monitoring

This Chapter presents the implementation of the RDP 2017-2022 which will be spearheaded by the RDC in coordination with the RLAs, GOCCs, SUCs, LGUs, private sector and civil society organizations. The RDC shall conduct annual budget reviews to ensure that P/Ps prioritized in the RDIP are being funded by the implementing agencies. Convergence efforts of agencies will be highly encouraged and community outreach programs will be organized.

The RPMC and LPMCs shall conduct regular monitoring of ongoing P/Ps to ensure their efficient and effective implementation and address project issues on a timely manner. Implementing agencies will be required to submit quarterly project progress reports to the RPMCs and LPMCs, and encourage their active participation in monitoring and problem-solving activities.

The RDC Investment Promotion Group will continue to promote the potentials of the region. It will be proactive in attending to in-bound investment missions and in conducting out-bound investment missions.

The annual assessment of the sectoral outcomes and targets of the RDP shall be conducted in coordination with various development actors in the Region, both from the government and private sector. The assessment will be highlighted in the RDR.

To promote the implementation of the RDP, support activities shall be conducted such as advocacy through meetings, fora, caravan, and multimedia (print, website, radio, tv and social media), and dissemination of reading materials to stakeholders and citizens which primarily aim to provide awareness on improving the quality of life of Filipinos towards a Matatag, Panatag at Maginhawang Pamumuhay.

Chapter 21: REGIONAL DEVELOPMENT PLAN 2017-2022 105 IMPLEMENTATION AND MONITORING

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Credits

BatStateU Batangas State University BFAR Bureau of Fisheries and Aquatic Resources BLGF Bureau of Local Government and Finance BJMP Bureau of Jail Management and Penology BSP Bangko Sentral ng Pilipinas CAAP Civil Aviation Authority of the Philippines

CDA Cooperative Development Authority CHED Commission on Higher Education COA Commission on Audit CSC Civil Service Commission CvSU Cavite State University DA Department of Agriculture DAR Department of Agrarian Reform DBM Department of Budget and Management DBP Development Bank of the Philippines DENR Department of Environment and Natural Resources DENR-EMB Environment Management Bureau DepEd Department of Education DICT Department of Communications and Information Technology DILG Department of Interior and Local Government DOE Department of Energy DOH Department of Health DOH-CHD Center for Health Development DOJ-PPA Department of Justice – Parole and Probation Administration DOLE Department of Labor and Employment DOST Department of Science and Technology DOT Department of Tourism

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DOTr Department of Transportation DPWH Department of Public Works and Highways DSWD Department of Social Welfare and Development DTI Department of Trade and Industry FNRI DOST-Food Nutrition Research Institute HDMF Home Development Mutual Fund HGC Home Guaranty Corporation HLURB Housing and Land Use Regulatory Board IBPAP IT and Business Process Association of the Philippines LBP Landbank of the Philippines LLDA Laguna Lake Development Authority LSPU Laguna State Polytechnic University LWUA Local Water Utilities Administration NCCA National Commission for Culture and the Arts NCIP National Commission on Indigenous Peoples NEA National Electrification Administration NEDA National Economic and Development Authority NHA National Housing Authority NHMFC National Home Mortgage Finance Corporation NIA National Irrigation Administration NWRB National Water Resource Board OCD Office of Civil Defense OPAPP Office of the Presidential Adviser on the Peace Process OWWA Overseas Workers Welfare Administration PCA Philippine Coconut Authority PDEA Philippine Drug Enforcement Agency PEZA Philippine Economic Zone Authority PHIC Philippine Health Insurance Corporation PNP Philippine National Police

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POPCOM Commission on Population PPA Philippine Ports Authority (Batangas and Marquez) PSA Philippine Statistics Authority SHFC Social Housing Finance Corporation SLSU Southern Luzon State University SOLCOM AFP – Southern Luzon Command TESDA Technical Education and Skills Development Authority URS University of Rizal System

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