Comments and Suggestions on the World Bank Groups Country Partnership Strategy for the Philippines for the Fiscal Years 2015-2018 25 November 2014 Bro. Richard Michael Fernando, SJ Hall Ateneo de Naga University Outline of the Talk of Rolan Jon G. Bulao, Chairperson and Economics assistant professor of the Social Sciences Department, during the Panel Discussion on the WBG CPS for the Philippines I. CRITICAL REFORMS, PROGRAMS OR PROJECTS IN THE BICOL REGION 1. TRANSPORTATION AND INFRASTRUCTURE a. Upgrading of the Philippine National Railways (PNR) b. Upgrading and development of the Naga Airport Notes: • Bus fare is almost twice the regular fare in PNR train • Freight charges on goods transported from Bicol to Manila or Manila to Bicol also much higher than what could be charged by the PNR train • Airfare in Manila-Naga flights about 50% more expensive than airfare in Manila-Legazpi flights due to absence of economies of scale (short runway + Mt. Isarog) • No night flights in Naga Airport limits options by Bicolanos and tourists • Development of these facilities would lower transport costs of both human and goods which would help increase labor mobility and productivity as well as reduce inflationary pressures. Direct beneficiaries are the middle- and low-income groups in Camarines provinces and even the rest of Bicol and Eastern Visayas if the PNR line would be extended to Matnog • Lead implementing and coordinating agencies could be the DOTC, CAAP, and PNR 2. AGRICULTURE MODERNIZATION WITH SUPPORT SERVICES a. land reform b. crop insurance c. research-based farming Notes: • A land reform program that would take advantage of land productivity is of great necessity. To this end, we need the right incentives for both the land owners and their tenants. • Workers in the agriculture sector remain among the poorest and most vulnerable. Farmers and fishermen poverty incidences in Bicol are 37% and 45.6%, respectively, fishermen poverty rate above the national rate • Farmers and fishermen should be directly targeted by an insurance company, the BFAR, or the Land Bank of the Philippines for insurance against risks of calamities. • PH Rice Research Institute studies reveal per hectare farming in the country is more productive that either Thailand or Vietnam. Challenge is to optimize the use of arable lands • Research also shows there if we are to optimize the use of our agricultural lands, proper crops should be planted in the right soil at the right time • Lead implementing and coordinating agencies could be the PRRI, LBP, BFAR, DA, GSIS, DAR, DTI, and DOST. 3. DISASTER PREPAREDNESS a. build evacuation centers that are different and independent from public school buildings or classrooms b. permanent settlement ban in volcano permanent danger zones and in coastal areas identified to be prone to storm surges Notes: • Poverty incidence among Bicol children at 51.1%, way above the national rate • Using public school classrooms as evacuation centers adversely affect both women and children. Classes are disturbed and evacuees are not comfortable. Evacuees are prone to diseases. • In the long run, human capital formation is affected—poor delivery of basic education and health care • A good number of the so-called “middle class” can easily fall below the poverty threshold if they are exposed to external shocks such as calamities and other disasters • Not a modest amount of public funds is used in evacuating affected residents in volcano and coastal danger zones. Every time, there is an imminent volcanic eruption or a typhoon, government resources and efforts will have to be mobilized. • In order to save for the longer term, permanently imposing a ban on settling in such hazardous areas should be strictly implemented by government. This will not only save the government financial resources. More importantly, lives will be saved. • Lead implementing and coordinating agencies could be DPWH, DOST, PHIVOLCS, PAGASA, DepEd, DILG, and the LGUs II. RISKS TO ACHIEVING THESE AND HOW TO MANAGE THEM Transportation 1. Non-inclusion of the budgets for the PNR and Naga Airport in the General Appropriations Act 2. Poor soil quality in some areas traversed by PNR tracks 3. Opposition by land owners to the development project of the Naga Airport There should be stakeholders consultation and greater lobbying on the part of the residents so risks and issued would be addressed and the proposed development of these facilities be implemented Agricultural Modernization and support services 1. “Rushed” agrarian reform program by Congress since election year is fast approaching 2. Challenge to inform and change “tried and tested” practices of farmers 3. Where to get the funding for the farmers and fishermen insurance Involvement of CSOs, farmers, DA, DAR, NEDA, and other stakeholders in the formulation of a realistic, more equitable, and more effective agrarian reform program. Research institutes and the academe need to partner in the information campaign for farmers and fishermen. The DA, GSIS, SSS, DOF, and BIR should coordinate to carefully plan and implement a truly responsive insurance program for the farmers and fishermen. Disaster Preparedness 1. Limited funds for constructing new buildings 2. Resistance from residents who would be asked to permanently live the danger zones LGU must commit to financing the construction of an evacuation building for every building financed by the NG. LGUs along with relevant NGAs must conduct information campaign and consultations prior to mandatory and permanent evacuation. Private sector help may also be needed. III. HOW WBG AND/OR THE ACADEME CAN CONTRIBUTE IN ACHIEVING THESE MILESTONES WBG, in partnership with the academe like the ADNU, may provide technical assistance especially to the PHL NGAs and LGUs concerned so they are more capable of realizing these proposed programs or projects. More of such assistance would also be needed to equip farmers and fishermen with the skills and tools needed to get out of the poverty trap. WBG may also provide additional capital for the insurance agency that would cater to the farmers and fishermen. Private sector may also initiate fundraising drives to help build more evacuation centers in priority areas—those usually worst-hit by calamities such as flooding and volcanic eruption. The WBG and the academe may also partner in informing residents living in danger zones about the advantages of permanently leaving such areas so the government agencies concerned will no longer have difficulty convincing the affected residents to leave.
Posted on: Fri, 28 Nov 2014 01:51:16 +0000
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