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Philippines: Strategies for sorting right-of-way issues

Solutions include good data, planning, community engagement, and legal recourse

Senior Assistant Editor

6 MIN READ

Towering high-rises above Manila’s skyline. Beyond the bustling Pasig River banks are the glimmering spires of Bonifacio Global City (BGC) and Makati, as well as low-rise residential areas, with an untold number of "informal settlers".

Towering high-rises above Manila’s skyline. Beyond the bustling Pasig River banks are the glimmering spires of Bonifacio Global City (BGC) and Makati, as well as low-rise residential areas, with an untold number of "informal settlers".

Jay Near | Pexels

(Last of 3 parts)

Manila: Funding big-ticket infrastructure projects have drawn billions of dollars from both local and foreign investors.

The construction industry is on fire: Between 2024 and 2026, the Philippines has approved a substantial portfolio of projects in key sectors.

The industry as a whole expanded by 10.7 per cent in real terms in 2024. Key drivers: money poured into infrastructure bankrolled by both government and private sectors.

As of December 26, 2024, the Philippines granted "green lane" access to 141 renewable energy projects, valued at $70 billion (Php4.13 trillion), as per Department of Energy (DoE) data.

Also Read: Philippines: Can Manila fix its right-of-way (ROW) woes? Yes, smoother transport even in an overcrowded capital is possible, here's how

International collaborations

In Asia, the Philippines is among the top recipients of public-private partnership (PPP) investments in transportation and energy.

Between May and December 2024, the DoE issued Certificates of Energy Projects of National Significance (CEPNS) for 91 renewable energy projects, totaling 17.6 GW in capacity.

In January 2025, the Philippines' Department of Energy (DoE) and UAE's Masdar agreed to develop renewable energy projects worth $15 billion, aiming to provide up to 1 GW of clean power by 2030, with plans to scale up to 10 GW by 2035.

Mega-infrastructure projects

After decades of neglect, infrastructure is getting huge makeover.

These include the 36-km Manila Subway ($8.5 billion), the $1.54-billion 22.8-km MRT-7 (Metro Rail Transit Line 7), the 43.6-km $2.6-billion Laguna Lakeshore Expressway, and the 32.6-km $1-billion Manila Skyway-4.

The Asian nation is also advancing two significant transport projects: the $15.2-billion North–South Commuter Railway (NSCR) and the $4.4-billion Bataan–Cavite Interlink Bridge.

Also Read: Philippines: Big-ticket projects hit speed bumps with 'right of way' (ROW) jams

Revolution in public transport

On paper, there's only one outcome once they're completed: A revolution in public transportation.

With the decades of under-investment in infrastructure in the rear-view mirror, and amidst the usual noise of tribal bickerings, there's a collective focus on a long-term development vision.

But the right-of-way (ROW) issue?

It’s the ultimate drag — like a never-ending roadblock at the party that just won’t move.

Why?

It's a combination of legal, social, and bureaucratic challenges.

Here's how to solve it, and it involves a complex web of social engineering, financial strategy and legal solutions:

Negotiation and mediation

Engaging in open dialogue with stakeholders, local government units, property owners, urban planners and residents affected is often the most efficient way to resolve ROW disputes.

Negotiation allows for mutually beneficial agreements without resorting to litigation. Mediation, facilitated by a neutral third party, can also help in reaching amicable settlements. These approaches are less adversarial and can preserve good relations between parties.

As per UN Habitat, there are 500,000 informal settler families (ISFs) living in slums and high-risk areas in Metro Manila in 2023 (out of the total 3.7 million ISFs in the Philippines).

There's a huge mismatch: huge tracts of land remain idle in the mineral-rich country.

Also Read: Philippines’ infrastructure leap: Bridging islands, cutting time, 9 things going right

Planning, documentation

This is a tough one, but there's no substitute for it. In the case of Manila, planning not only involves preparing engineering plans, but also the relocation of "informal settlers" in a site with "basic facilities".

Thorough documentation of the necessity for the right-of-way, including evidence and an assessment of the impact on its use, is crucial. This one requires thorough homework on the part of urban planners.

Not all of the 500,000 informal settler families (ISF) need to be relocated immediately. A carefuly laid-out strategy to resettle those involved in ROW issues would be an era-defining start.

Good data and planning would help ensure that the proposed easement causes minimal disruption and complies with legal requirements. This preparation can expedite the resolution process and provide a clear basis for moving ahead, especially with energy and traffic-easing infrastructure projects.

500,000

Estimated number of informal settler families (ISFs) living in slums and high-risk areas in Metro Manila (Source: UN Habitat)

Legal recourse

If negotiations fail, property owners may seek legal intervention. Filing a petition in court to establish the easement of right of way is a formal process where the petitioner must demonstrate compliance with the requisites set forth in the Civil Code. This takes time. The court will assess factors such as the necessity of the easement, least prejudice to the servient estate, and the payment of proper indemnity.

Adherence to legal procedures

Strict compliance with the procedures outlined in Republic Act No. 10752 is essential, especially for government infrastructure projects.

This includes conducting a thorough appraisal of the property, offering just compensation based on fair market value, and following due process in cases of expropriation. Adhering to these procedures helps in minimising disputes and ensures the rights of property owners are respected.

Also Read: Philippines: Big-ticket projects hit speed bumps with 'right of way' (ROW) jams

Community engagement and public consultation

Involving the community and conducting public consultations can preempt potential disputes by addressing concerns and incorporating feedback into project planning.

This participatory approach fosters transparency and trust, which are vital in gaining public support for infrastructure projects.

Use wealth fund | create an endowment fund

Brutalising the "squatters" without knowing who and how many they are just compounds the problem. It's a throwback to decades of tyranny and solves nothing.

There are two ways to address ROW issues involving informal settlers in Manila by leveraging a wealth fund or endowment fund:

#1. Housing and relocation fund

This is doable, has been done in various countries, but requires a strong resolve and careful planning.

A portion of a sovereign wealth fund (Maharlika Investment Corp) or a new endowment fund (to be created by an Act of Congress or by Executive Order) can bankroll a sustainable housing and relocation programme.

Instead of forced evictions, which gives Manila bad press before the world, without solving the root, the government can finance affordable housing projects in designated areas close to public transport, thus providing them with livable alternatives near their workplaces. This prevents re-occupation of ROW areas and ensures long-term urban planning solutions.

Transparent, reliable data are like sunshine. It's the best form of disinfectant, and the key to resolving ROW involving ISFs.

#2. Land acquisition and compensation scheme

The fund can be used to purchase or develop alternative land (or build land already owned by government) for ISFs, coupled with cash incentives or livelihood support for voluntary relocation.

By offering fair compensation and job opportunities, resistance to relocation decreases, and ROW clearance becomes smoother. A well-managed land banking system could also prevent future ROW disputes.

Public-private partnership (PPP) for housing

Then, there are a number of ways Public-Private Partnerships (PPP) that can be used to relocate informal settlers within Metro Manila:

Mixed-use social housing projects

The government can partner with private developers to build affordable housing on government-owned or private land. In exchange, developers can include commercial spaces or market-rate housing to make the project profitable. This ensures informal settlers get decent homes while investors see returns.

Infrastructure-for-housing swap

This has been done in telecommunications in the past, specifically under under former President Fidel Ramos, i.e. match profitable areas with impoverished areas where no operator wants to invest for phone services. The result: a revolution in telecommunications reaching the farthest islands. Today, private firms involved in major infrastructure projects (e.g., roads, railways) can fund and develop resettlement communities as part of their PPP agreements. In return, they get expedited ROW clearance and possibly tax incentives. This creates a win-win solution where development isn’t stalled, and informal settlers are properly relocated.

Build-Operate-Transfer (BOT) housing hodel

Under this setup, private entities finance, build, and manage low-cost housing communities, with land acquisition facilitated by local and national governments, for a set period before transferring ownership to the government or residents.

This model ensures quality housing, as private firms are incentivized to maintain and operate the community efficiently until the transfer period ends.

By integrating PPPs into relocation efforts, informal settlers get dignified housing, while the private sector benefits from strategic investments and government support.

Takeaways:

These approaches ensure ROW issues are resolved effectively, humanely, and in the best way possible. But this requires hard work and a buy-in from sectors involved.

It avoids the brutalisation of informal settlers (bad for Philippines overall) — while facilitating urban regeneration, and promoting national development.

These approaches require a data-driven approach, a fresh policy resolve, and "whole-of-nation" strategy similar to the anti-communist insurgency/separatism program that has brought notable peace dividends and remarkable socio-economic results.

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