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2016 CALABARZON

Regional Development Report

Regional Development Council IV-A


i
2016 CALABARZON
REGIONAL DEVELOPMENT
R E P O RT
Foreword

HON. HERMILANDO I. MANDANAS


RDC Chairperson

The 2016 Regional Development Report is an annual assessment of the socio-


economic performance of the Region based on the targets of the Regional
Development Plan 2011-2016. It highlights the performance of the key sectors
namely macroeconomy, industry and services, agriculture and fisheries,
infrastructure, financial, social, peace and security, governance and
environment. It also includes challenges and prospects of each sector.

The RDC Secretariat, the National Economic and Development Authority


Region IV-A, led the preparation of the 2016 RDR by coordinating with the
regional line agencies (RLAs), local government units (LGUs), state colleges
and universities (SUCs) and civil society organizations (CSOs). The RDR was
reviewed and endorsed by the RDC sectoral committees.

The results of assessment and challenges and prospects in each sector will guide
the planning and policy direction, and programming of projects in the region.
The RLAs, LGUs, SUCs and development partners are encouraged to consider
the RDR in their development planning initiatives for 2017-2022.

2016 Regional Development Report i


TA B L E O F C O N T E N T S
Page No.
Foreword i

Table of Contents ii

List of Tables iii

List of Figures vii

List of Acronyms ix

Executive Summary xiii

Chapter I: Pursuit of Inclusive Growth 1

Chapter II: Macroeconomy 5

Chapter III: Competitive Industry and Services Sector 11

Chapter IV: Competitive and Sustainable Agriculture and Fisheries Sector 23

Chapter V: Accelerating Infrastructure Development 33

Chapter VI: Towards a Resilient and Inclusive Financial System 43

Chapter VII: Good Governance and Rule of Law 53

Chapter VIII: Social Development 57

Chapter IX: Peace and Security 73

Chapter X: Conservation, Protection and Rehabilitation of the Environment and 79


Natural Resources

Credit 90

2016 Regional Development Report ii


L I S T O F TA B L E S
No. Title Page No.

1.1 Gross Regional Domestic Product Growth Rate, Calabarzon, 2011-2016, 1


(in percent)
1.2 Poverty Incidence Among Population by Province, Calabarzon, 2
2009-2015 (in percent)
1.3 Employment, Unemployment and Underemployment Rate, Calabarzon, 3
2011-2016 (in percent)
2.1 Gross Regional Domestic Product at constant 2000 prices, 5
Calabarzon, 2013-2016 (in PhP „000)
2.2 GRDP Growth Rate and Targets, Calabarzon, 2011-2016 (in percent) 6
2.3 Per Capita GRDP at constant 2000 prices, Philippines, NCR, and 6
Calabarzon, 2013-2016 (in PhP)
2.4 Labor Force Participation Rate, Calabarzon, 2015-2016 7
2.5 Employment, Unemployment and Underemployment Rate, 7
Calabarzon, 2015-2016 (in percent)
2.6 Labor Productivity by Sector, Calabarzon, 2013-2015 (in PhP) 8
3.1 Gross value added of the industry sector (at constant prices), 11
Calabarzon: 2015 to 2016
3.2 Gross value added in the services sector (at constant prices), Calabarzon: 12
2015 to 2016
3.3 Employment generated in industry and services sectors, Calabarzon; 13
2014 to 2016
3.4 Percent distribution of employed persons by sector and region, 2016 14
3.5 Public Employment Service and Labor Market Information Programs: 15
2015 to 2016
3.6 Employment generated from MSMEs‟ assisted by DTI and DOST: 2014 16
to 2016
3.7 Intellectual Property Rights applications and registrations, Calabarzon: 17
2013 to 2016
3.8 Business Name Registration by Province, Calabarzon: 2015 to 2016 17
3.9 Number of operating economic zones and industry locators by province, 18
Calabarzon: 2015 to 2016

2016 Regional Development Report iii


No. Title Page No.
3.10 Table 3.10. Merchandise Exports, Total Approved Investments and 19
Domestic Sales in Calabarzon: 2012 to 2016
3.11 Target and Actual Tourism Data, Calabarzon, 2015-2016 20
3.12 Protection of Consumer Welfare, Calabarzon: 2012 to 2016 21
4.1 Gross Regional Domestic Product in Agriculture, Hunting, Fishery and 23
Forestry Sector, Calabarzon: 2015 to 2016 (at constant 2000 prices)
4.2 Value of Production in Agriculture, Hunting, Fishery and Forestry 24
Sector, Calabarzon: 2015 to 2016 (at constant 2000 prices)
4.3 Rice Self-Sufficiency Ratio in Calabarzon (in percent), 2015 to 2016 24
4.4 Average Inflation Rates among basic commodities (in percent), 25
Calabarzon
4.5 Rice and Corn Volume of Production (in metric ton), Calabarzon: 2015 25
to 2016
4.6 Table 4.6. Rice and Corn Area Harvested (in hectare), Calabarzon: 2015 26
to 2016
4.7 Table 4.7. Rice and Corn Yield (in metric ton/hectare), Calabarzon: 2015 26
to 2016
4.8 High Value Crops Volume of Production (in metric ton), Calabarzon: 27
2015 to 2016
4.9 Area Planted/Harvested of High Value Crops (in hectare), Calabarzon: 28
2015 to 2016
4.10 Yield of Selected High Value Crops (in metric ton/hectare), 28
Calabarzon: 2015 to 2016
4.11 Volume of Livestock Production (in metric ton), Calabarzon: 2015 to 28
2016
4.12 Volume of Poultry Production (in metric ton), Calabarzon: 2015 to 2016 29
4.13 Volume of Fisheries Production (in metric ton), Calabarzon: 2015 to 30
2016
4.14 Number of Employed in Agriculture (in thousand persons), 30
Calabarzon: 2015 to 2016
4.15 Amount of Insurances Offered (in PhP Million), Calabarzon: 2015 to 31
2016
4.16 Number of Farmers who availed the Crop Insurance, Calabarzon: 2015 to 31
2016

2016 Regional Development Report iv


No. Title Page No.
5.1 Throughput of Batangas and Lucena Ports in 2015 and 2016 35
5.2 Status of Household Electrification Regionwide, 2015 and 2016 36
5.3 Status of Electrification by Province, 2015 and 2016 36
5.4 Status of Water Supply, 2016 37
5.5 Number of Government and Private Hospitals, Authorized Bed Capacity, 38
2015
5.6 Social Welfare Facilities, 2016 39
6.1 Number of Offices by Type of Bank, Calabarzon: 2012-2016 43
6.2 Number of Banks in Calabarzon by Type, by Province, 2014-2016 44
6.3 Bank Density Ratio in Calabarzon, 2014-2016 45
6.4 Number of ATMs, 2012-2016 46
6.5 Number of ATMs in Calabarzon by Type, by Province, 2014-2016 46
6.6 Loan Portfolio of Banks in Calabarzon by Province (in million pesos), 47
2014-2016
6.7 Deposit Liabilities of Banks in Calabarzon by Province (in million 48
pesos), 2014-2016
6.8 Number of Registered Cooperatives in Calabarzon, 2014-2016 49
6.9 Total Cooperative Assets, 2015-2016 49
6.10 Compliance to Mandatory Reports 50
6.11 Number of Microfinance-Oriented Banking Offices 2015-2016 50
6.12 Microfinance Statistics, 2015-2016 50
6.13 Revenue Type, Targets, Accomplishments (in million pesos), 2015-2016 51
7.1 Ranking of Calabarzon LGUs in the 2016 CMCI (included in Top 10) 53
8.1 Mortality Ratios in Calabarzon, 2015-2016 58
8.2 Health Manpower to Population Ratio in Calabarzon, 2015-2016 58
8.3 Net enrolment, Completion and Cohort Survival Rates for Basic 63
Education
8.4 COE Programs, COD Programs, and Number of Graduates in Higher 65
Education
9.1 Calabarzon Total Crime Volume, 2012-2016 76

2016 Regional Development Report v


No. Title Page No.
10.1 Management o82f Forest Resources and Protected Areas in Calabarzon, 79
2012-2016
10.2 Secured Land85 Tenure in Agricultural A&D and Residential Lands, 80
2012-2016
10.3 Solid Waste Management in Calabarzon, 2012-2016 82
10.4 Hazardous Waste Management Monitoring in Calabarzon, 2015-2016 83
10.5 Water Quality and Management of Laguna de Bay, 2012-2016 84
10.6 Water Quality of Iyam-Dumacaan River, 2015-2016 85
10.7 Water Quality of Priority Rivers with BOD Level Not Within the Water 85
Criteria in Calabarzon, 2015-2016
10.8 Water Quality of Bathing Beaches in Calabarzon, 2013-2016 86
10.9 Air Quality With Potential to Pollute Air in Calabarzon, 2015-2016 88

2016 Regional Development Report vi


LIST OF FIGURES
No. Title Page No.

2.1 Inflation Rates, Philippines and Calabarzon, 2015-2016 8


2.2 Monthly inflation rates, Calabarzon, 2015-2016 9
3.1 Employment generated and growth rate in economic zones, 2012 to 2016 15
3.2 Consumer Price Index, Calabarzon: 2013 to 2016 18
5.1 Paved National Roads in Calabarzon, 2015 and 2016 33
5.2 Calabarzon National Road Condition, 2015 and 2016 34
6.1 Total Number of Banking Offices by Type of Bank, Calabarzon, 2016 44
6.2 Number of Banking Offices by Province, Calabarzon: 2014-2016 45
6.3 Number of ATMs in Calabarzon by Province, 2014-2016 46
6.4 Loan Portfolio of Banks in Calabarzon by Province (in Million Pesos), 47
2014-2016
6.5 Deposit Liabilities of Banks in Calabarzon by Province (in Millions) 2014- 48
2016
8.1 TB Case Detection and Success Rates in Calabarzon 59
8.2 Nutrition Data in Calabarzon, 2015-2016 60
8.3 Other Health and Nutrition Indicators in Calabarzon, 2015-2016 61
8.4 Contraceptive Prevalence Rate, Access to Safe Water and Sanitary Toilets 62
8.5 Net Enrolment Ratio (NER) of Kindergarten, Elementary and Secondary 62
SY 2014-2015 and SY 2015-2016
8.6 Number of Persons Assessed and Certified and Certification Rate 64
8.7 HHs covered by CCT 66
8.8 Youth provided with bridging employment assistance 67
8.9 Vulnerable workers provided with emergency employment 67
8.10 Workers in the informal sector provided with emergency employment 68
Workers in the informal sector provided with emergency employment 68
8.11
under BUB
8.12 Number of indeigent senior citizens covered by social pension 69
8.13 No. of hectares of land distributed under CARP 69

2016 Regional Development Report vii


No. Title Page No.

9.1 CPP-NPA-NDF Capability, Southern Luzon and Bicol Regions, 2012 to 73


2016
9.2 Number of Violent Incidents, Southern Luzon and Bicol Regions, 74
2012 to 2016
9.3 Calabarzon Total Crime Volume, 2012 to 2016 75
9.4 Calabarzon Index Crime Volume, 2012-2016 76
9.5 Calabarzon Crime Clearance Efficiency and Crime Solution Efficiency, 77
2012-2016

2016 Regional Development Report viii


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
AHFF Agriculture, Hunting, Fishery and Forestry
APIS Annual Poverty Indicators Survey
ASEAN Association of South East Asian Nation
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 DENR Administrative Order

2016 Regional Development Report ix


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

2016 Regional Development Report x


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 People with Disabilities
RDC Regional Development Council
RDR Regional Development Report
RLA Regional Line Agency

2016 Regional Development Report xi


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 Tail Volcano Protected Landscape
TWG Technical Working Group
WQMA Water Quality Management Area
WSP Water Service Providers

2016 Regional Development Report xii


EXECUTIVE SUMMARY

The Calabarzon Region‟s economy in 2016 recorded its lowest growth of GRDP at 4.8
percent during the entire planning period due to the substantial decline in the manufacturing
sub-sector which accounts for more than 50 percent of the regional economy. Deceleration in
the Region‟s GRDP growth started in 2013.

However, in spite of the slower growth, the poverty incidence in terms of population in 2015
was reduced to 9.1 percent, making the Region with the second lowest in poverty incidence
among regions in the country.

Almost all of the provinces have shown improvement in poverty situation except for Cavite
Province from 2012-2015. Cavite Province increased its poverty incidence from 3.4 percent
to 6.8 percent due to the resettlement of informal settlers from other areas and lower income
migrants. Batangas Province had the most reduction of poverty incidence from 19 percent to
9.3 percent.

The industry sector which comprises 61.4 percent of the regional economy slowed down its
growth from 5.7 percent to 3.7 per cent in 2016. The slower growth was due to the decline in
manufacturing, construction and mining sub-sectors. Among the industry sub-sectors, only
the electricity, gas and water supply posted higher growth in 2016.

The services sector which comprises 33.2 percent of the regional economy, grew from 6.7
percent to 7.2 percent. Real estate, renting and business activities sub-sector which comprised
26.9 percent of the services sector contributed the biggest share.

The agriculture, hunting, fishery and forestry sector‟s 3.4 percent growth in Gross Value
Added (GVA) was mainly driven by the agriculture and forestry sub-sectors.

The employment rate grew to 92.8 percent or an improvement of 0.8 percent from 2015 due
to the growing services sector which absorbed local manpower. Both unemployment rate and
underemployment rate declined by 0.8 percent and 2.7 percent, respectively.

With the continuous growth and development of Calabarzon as a major industrial region next
to the National Capital Region and contributor to country‟s total output, the challenges in the
industry particularly in the manufacturing sub-sector should be addressed in the succeeding
Regional Development Plan 2017-2022 to improve its performance.

After six years, Calabarzon‟s economy from 2011 to 2016 attained an average growth rate of
5.23 percent driven primarily by the industry sector. However, the growth was not sustained
as characterized by a decelerating trend in the last four years.

2016 Regional Development Report: EXECUTIVE SUMMARY xiii


CHAPTER 1
IN PURSUIT OF INCLUSIVE GROWTH

In pursuit of inclusive growth, three major plan outcomes were set out in the past Regional
Development Plan 2011-2016 which were: 1) high, sustained, and inclusive economic
growth; 2) provision of equal access to development opportunities; and 3) delivery of social
safety nets. This chapter discusses Calabarzon‟s performance in the achievement of inclusive
growth in 2016 as well as the Region‟s general performance in the previous medium-term.

Assessment

High, sustained, and inclusive economic growth

In the past medium-term1, the lowest GRDP growth at 4.8 percent was recorded in 2016 due
to the decline in the manufacturing sub-sector which accounts for more than 50 percent of the
regional economy.

Since 2012, the growth in the Region‟s economy has not been sustained, characterized by
yearly fluctuations with some years with high and increased positive growth followed by
lower growth in the succeeding years. While high GRDP growth was not consistent, other
economic indicators targets on poverty and employment improved and some targets are met.

Table 1.1. Gross Regional Domestic Product Growth Rate, Calabarzon, 2011-2016,
(in percent)
2011 2012 2013 2014 2015 2016
GRDP 1.7 7.3 6.7 5.1 5.8 4.8
AHFF 1.2 2.5 3.7 (1.2) 2.6 3.4
Industry 0.1 7.3 6.3 6.5 5.7 3.7
Services 4.9 8.1 7.9 3.8 6.7 7.2
Source: Philippine Statistics Authority (PSA)

Modest improvements in the economy resulted to moderate reduction in poverty2. According


to the latest poverty data in 2015, poverty incidence among population declined by 1.8
percentage points from 10.9 percent in 2012 to 9.1 percent in 2015, making Calabarzon the
second region with the lowest poverty incidence among regions and below the national
average of 21.6. The Region was able to meet its end of plan target to reduce poverty by 10.5
percent (Table 1.2). The effects of economic growth in previous years may have contributed
to reduction in poverty. Aside from being difficult to collect, poverty data is not collected
annually since it may take more than a year for significant changes in poverty to happen.
Thus, it may not be proper to associate the economic growth of an exact year to
poverty reduction.

1
Excluding 2011 when structural and other economic reforms by the previous administration of Pres. Benigno
Aquino were still newly implemented and were yet to have an effect.
2
PSA poverty data is every three years

Chapter 1: IN PURSUIT OF INCLUSIVE GROWTH 1


Despite the positive overall regional economic performance in 2015, poverty only declined
by 30 percent from 2009 level and disparity of poverty between provinces exists. Quezon
remains to have the highest poverty incidence at 22.7 percent while Cavite‟s poverty
incidence worsened from 3.4 percent in 2012 to 6.8 percent in 2015 due to resettlement of
informal settlers from nearby areas and low income migrants. Among provinces, Rizal and
Laguna have the lowest poverty rate at 5.4 percent. Poverty in Batangas reduced significantly
but remains high in island and remote areas in the province.

Taking a closer look, pro-poor growth remains to be elusive as shown by the data on
subsistence or extreme poverty incidence among population which only reduced by 0.54
percentage points from 2.88 percent in 2009 to 2.34 percent in 2015 and severity of poverty
among the poor which only reduced by a mere 0.1 percentage points in the past six years
from 0.5 percent (2009) to 0.4 percent (2015). Likewise, income gap has not improved.

The small area estimates on poverty also show that poverty remains high and concentrated in
certain areas in the province of Quezon and Batangas which are predominantly agriculture
and fisheries based and are geographically isolated and disadvantaged areas (GIDAs) where
employment and livelihood opportunities are limited and typically have less access to
public services.

Table 1.2. Poverty Incidence Among Population by Province, Calabarzon, 2009-2015


(in percent)
PROVINCE 2009 2012 2015
Among Population
PHILIPPINES 26.3 25.2 21.6
Region IV-A 11.9 10.9 9.1
Target 13.9 12.4 (MDG) 10.5
Variance +2 +1.5 +1.4
Province
Batangas 17.1 19.0 9.3
Cavite 3.2 3.4 6.8
Laguna 8.4 6.4 5.4
Quezon 29.8 27.5 22.7
Rizal 8.6 6.1 5.4
Source: PSA

The employment in the Region improved to 92.8 percent in 2016 from 92 percent in 2015,
bringing down unemployment to 7.2 percent, the lowest in the past six years.
Underemployment also decreased to 15.5 percent in 2016 from 18.2 in the previous year and
is the lowest in the medium-term. (Table 1.3)

The improved employment rate can be attributed to expanded job opportunities in the fast
growing services sector and the presence of many operating economic zones in the Region.
Although the target on underemployment has been met, the Region was not able to meet its
high target on reducing unemployment to 6.1 percent which can be attributed mainly to the
continued increase of the working age population albeit slower job creation. The issues on
employability of some of the labor force and mismatch contribute to the slow improvement
on unemployment level.

Chapter 1: IN PURSUIT OF INCLUSIVE GROWTH 2


Table 1.3. Employment, Unemployment and Underemployment Rate, Calabarzon, 2011-
2016 (in percent)
2011 2012 2013 2014 2015 2016
Employment
Target - - 93.9-94.1 93.9-94.1 93.9-94.1 93.9-94.1
Actual 90.3 91.1 90.8 92.0 92.0 92.8
Variance - - -3.1 -1.9 -1.9 -1.1
Unemployment
Target 9.7 8.9 8.6-9.4 8.6-9.4 8.6-9.4 8.6-9.4
Actual 9.7 8.9 9.2 8.0 8.0 7.2
Variance - - -0.6 +0.6 +0.6 +1.4
Underemployment
Target 17.9 17.9 <17.5 <17.5 <17.5 <17.5
Actual 17.9 17.9 17.9 18.7 18.2 15.5
Variance - - -0.4 -1.2 -0.7 +2
Source: PSA, Calabarzon Regional Development Plan (RDP) 2017-2022

Provision of equal access to development opportunities

On health, the Region still faces high maternal, infant, and child mortality due to poor service
delivery networks, weak local implementation, and limited trained health manpower. There is
also an increasing prevalence of underweight children and over nutrition among population
which also indicates inequality and need for more accessible and quality health services,
especially at the local level. For basic education (i.e., kindergarten, elementary, junior high
school), the desired level of participation, in terms of net enrolment, was not met in 2016.
The cost of education is one of top reasons cited on non attendance to school.

On a positive note, completion and cohort survival rates in all levels improved which was
facilitated by government and non-government support on education materials, feeding
programs and child protection policies.

Delivery of social safety nets

Social protection coverage in the Region also showed improvement in 2016. There was
increase in the number of senior citizens with social pension, 100 percent health insurance
coverage, and increase in youth and vulnerable workers provided with emergency and
bridging employment.

Furthermore, the Pantawid Pamilyang Pilipino Program (4Ps) has started to show some
positive outcomes in the Region as the number of poor households and others with children
who graduated from college are no longer eligible. The challenge now is to provide transition
programs to ensure that these families have the capability not to fall back to poverty.

Challenges and Opportunities

High poverty incidence in GIDAs and rural areas, and in the agriculture and fisheries sector
remains as one of the major challenges in the Region. Since most of these families are
engaged in small-scale and traditional farming and fishing, they continue to be among the
poorest and most vulnerable sector to natural and economic shocks. Thus, to make growth
inclusive, there is a need to build and sustain their knowledge and capacity to implement
Chapter 1: IN PURSUIT OF INCLUSIVE GROWTH 3
climate-proof agriculture practices, increase value-adding of agriculture products and to link
ready small producers to larger market players.

The Regional Development Council (RDC) Anti-Poverty Convergence Technical Working


Group was created to facilitate convergence of public and private efforts to fast track poverty
alleviation in 35 priority areas with the highest poverty incidence in the Region and in areas
with indigenous people. A public investment forum was conducted with these municipalities
wherein the specific needs and potentials of each were translated into projects submitted to
national government agencies for consideration and funding.

There is also a need for better implementation and coordination, continuous capacity building
of personnel, and convergence of public and private resources to improve the delivery of
basic services particularly on health and livelihood for vulnerable populations and in remote
or isolated areas.

Sustaining high employment level and keeping underemployment low is another major
challenge of the Region given its large working age population and being a preferred
destination for in-migration. To compete with external job seekers, graduates in the Region
should be more prepared for skills requirements by industries in Calabarzon. Thus, stronger
academe and industry partnerships are needed. In this regard, the RDC‟s Special Committee
on Academe-Industry Linkages provides a venue for education institutions and industries to
discuss and establish areas for collaboration to ensure an adequate supply of relevant and job-
ready local graduates and to help address job-skills mismatch.

The role of government agencies and local governments in employment generation and
facilitation is also important in keeping employment high. Strong and relevant K to 12 tracks,
alternative learning for out of school youths, expansion and promotion of accessible skills
upgrading, and an innovative and technology based environment are needed to ensure high
employability of the labor force into in-demand industries.

Chapter 1: IN PURSUIT OF INCLUSIVE GROWTH 4


CHAPTER 2
MACROECONOMY
This chapter discusses the economic output and growth, labor and employment, and inflation,
in the region for 2016. This chapter also discusses the challenges and prospects for the
region‟s overall economic performance.

Assessment

Gross Regional Domestic Product (GRDP)

Calabarzon‟s share to the gross domestic product (GDP) decreased from 17.1 percent in 2015
to 16.8 percent in 2016 because of slower growth compared to other top regions contributing
to the GDP which are NCR and Central Luzon which grew at 7.5 percent and 9.5 percent,
respectively. Nonetheless, the region remained to be the second biggest contributor to the
national economy, next to NCR with 36.6 percent.

For 2016, Calabarzon‟s GRDP amounted to PhP1.36 trillion with the bulk coming from the
industry sector with PhP837 billion, comprising 61 percent of the region‟s total output.
Service and Agriculture, Fisheries, and Forestry (AFF) sectors contributed PhP 453 billion
(33percent) and PhP 75 billion (6 percent), respectively (Table 2.1).

Table 2.1. Gross Regional Domestic Product at constant 2000 prices, Calabarzon, 2013-
2016 (in PhP „000)
Indicators 2013 2014 2015 2016
GRDP 1,170,574,623 1,230,372,013 1,302,297,272 1,364,951,206
AFF 71,173,016 70,299,391 72,134,407 74,588,701
Industry 717,601,114 764,007,392 807,516,677 837,489,176
Services 381,800,493 396,065,230 422,646,188 452,873,329
Source: PSA

The GRDP in 2016 decelerated at 4.8 percent from 5.8 percent last year. While the Region‟s
economy has been growing at an annual average of 5.9 percent from 2012 to 2016, the actual
GRDP growth rate fell below the targeted growth rates since 2014. Actual growth rates of the
services sector also fell short of targets since 2013 and the industry sector experienced a
significant slowdown in 2015 (Table 2.2). High GRDP growth was not sustained due to
heavy reliance on export and foreign markets and unfavourable weather and climate change
that affected the industry, services, and agricultural output.

In the past six years, the lowest growth was recorded in 2016, lower than 2014 when the
agriculture and fisheries sector contracted to 1.2 percent. Because the manufacturing sub-
sector accounts for more than 50 percent of the regional economy, its slower growth had a
large impact on the region‟s GDP.

On a positive note, the services and AFF sector posted higher growth rates at 7.2 percent and
3.4 percent, respectively (Table 2.2). The services sector benefitted from continued
investments in the region which generated jobs and kept employment in the region within
target. The “recovery” of the agriculture, fisheries and forestry sector was driven primarily by

Chapter 2: MACROECONOMY 5
the high growth in livestock and poultry catering to high demand, thus meeting its target
growth rate for 2016. However, growth for crops and fisheries production remained slow. In
particular, fisheries contracted to 0.6 percent in 2016, but lower than the 6.6 percent
contraction in 2015.

Table 2.2. GRDP Growth Rate and Targets, Calabarzon, 2011-2016 (in percent)
2011 2012 2013 2014 2015 2016
GRDP
Target - 7.0 5.5-6.5 5.7-6.7 6.2-7.2 6.6-7.6
Actual 1.7 7.3 6.7 5.1 5.8 4.8
AFF
Target 1.2 2.5 2.7-3.7 2.9-3.9 3.0-4.0 3.2-4.2
Actual 1.2 2.5 3.7 -1.2 2.6 3.4
Industry
Target 0.1 6.9 4.5-5.5 4.7-5.7 5.1-6.1 5.5-6.5
Actual 0.1 7.3 6.3 6.5 5.7 3.7
Services
Target 4.9 8.0 8.0-9.0 8.2-9.2 8.7-9.7 9.0-10.0
Actual 4.9 8.1 7.9 3.8 6.7 7.2
Source: PSA, Calabarzon RDP 2017-2022

Per Capita GRDP

The Region‟s per capita GRDP amounted to PhP 94,826 in 2016, which is 20.5 percent
higher than the national average. Among the regions, Calabarzon has the second highest per
capita GRDP. The per capita GRDP has grown by 2.9 percent from 2015 to 2016 (Table 2.3).
The Region‟s per capita GRDP grew at an average of 3.9 percent from 2013 to 2016,
indicating that the growth rate for this year is lower than the average growth rate in the past
three years.

Table 2.3. Per Capita GRDP at constant 2000 prices, Philippines, NCR, and
Calabarzon, 2013-2016 (in PhP)
Indicators 2013 2014 2015 2016
Philippines 68,746 71,741 74,833 78,712
NCR 195,013 202,904 18,987 232,836
Calabarzon 84,657 86,644 92,184 94,826
Source: PSA

Labor and Employment

Calabarzon has the largest labor force with 9,341,000, comprising 14 percent of the country‟s
total labor force. However, the Region‟s labor force participation rate decreased from 64.5
percent in 2015 to 64.2 percent in 2016 (Table 2.4). 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 now go to college. This
is evident in the increasing number of graduates from Higher Education Institutions (HEIs)
(discussed in Chapter 8).

Chapter 2: MACROECONOMY 6
Table 2.4. Labor Force Participation Rate, Calabarzon, 2015-2016
Indicators 2015 2016
Population 15 years and above („000) 8,576 9,341
Labor force participation rate (%) 64.5 64.2
Source: PSA

Employment rate in the Region grew by 0.8 percentage points from 92 percent in 2015 while
both unemployment and underemployment rates declined by 0.8 and 2.7 percentage points,
respectively (Table 2.5). 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. However, the Region‟s high target on
employment was not met due to increasing number of graduates and in-migrants who have
longer school to work or work to work transition.

Table 2.5. Employment, Unemployment and Underemployment Rate, Calabarzon,


2015-2016 (in percent)
2015 2016
Indicators
Target Actual Target Actual
Employment rate 93.9-94.1 92.0 93.9-94.1 92.8
Unemployment rate 8.6-9.4 8.0 8.6-9.4 7.2
Underemployment rate <17.5 18.2 <17.5 15.5
Source: PSA and Department of Labor and Employment

Labor Productivity

The workers in the industry sector remained to be the most productive with labor productivity
at PhP 605,255 per person, followed by services sector and agriculture, forestry and fisheries
at PhP 137,091, and PhP 111,143 per person, respectively (Table 2.6). Labor productivity in
the industry sector is five times more than AFF, and more than quadruple the services sector.

Services employ 3.5 million people, followed by industry with 1.5 million, and AFF sector
with only 728,000 in 2015. The AFF sector has always faced the challenge of low
employment since agricultural-related jobs are not attractive particularly to the young
population. On the contrary, services sector employed the bulk of the labor force since
services are mostly labor-intensive.

The high labor productivity in industry is primarily due to its highly-mechanized and
technologically advanced production. In addition, industry also produces high value products
such as electronics, automotive, and chemicals. Although the services sector has the most
employed persons, its productivity is lower than industry because most (19%) of its labor
force are in the wholesale and retail trading, and repair of motor vehicles and motorcycles
which are both labor-intensive and with less value compared to industry outputs.

The AFF sector has the lowest labor productivity as agricultural production is not
mechanized, thus, requiring more manpower with little value of production. Moreover,
agricultural products are less resilient to climate change and are more susceptible to losses.

Chapter 2: MACROECONOMY 7
Table 2.6. Labor Productivity by Sector, Calabarzon, 2013-2015 (in PhP)*
Growth Rate Growth Rate
Indicators 2013 2014 2015
13-14 14-15
Calabarzon 241,754 0.3 241,420 5.7 256,386
AFF 106,546 (7.9) 96,964 16.2 111,143
Industry 570,430 2.1 574,432 3.5 605,255
Services 130,933 (0.7) 130,294 4.9 137,091
Source: PSA
*Note: Latest available data on labor productivity at the regional level

Inflation

Since 2015, the region has experienced stable inflation rate (IR) at 0.9 despite the average
consumer price indices (CPI) increasing from last year at PhP 139.7 to PhP 140.9 in 2016.
This was remarkably lower than the national inflation rate at 1.8 (Figure 1). Thus, prices were
more stabilized in Calabarzon compared to other regions.

Figure 2.1. Inflation Rates, Philippines and Calabarzon, 2015-2016


2.0
1.8

1.5
1.4

1.0 Calabarzon
0.9
Philippines
0.9
0.5

0.0
2015 2016

Notably, IRs were higher for the second half of 2016, the same with CPIs (Figure 2). This
was not observed in 2015 where higher IRs were established in the first half while CPIs
remained almost the same all year. The second half of 2016 marks the transition of the
government to a new administration which might have contributed to the weakened
value of peso.

Chapter 2: MACROECONOMY 8
Figure 2.2. Monthly inflation rates, Calabarzon, 2015-2016
2.5

2.0

1.5

1.0 2015
0.5 2016

0.0
Jan Feb Mar Apr May June July Aug Sept Oct Nov Dec
-0.5

-1.0

Challenges and Prospects

The Region is expected to sustain its economic performance despite the deceleration in
industry sector because of gradual acceleration of AFF sector and continued acceleration of
the services sector. Investments are expected to increase particularly in infrastructures, and
real estate and renting, as aligned with the current administration‟s “Build! Build! Build!”
program and private sector investments to industry and AFF. Recommendations in the
industry studies and the investment promotion group will call for more investments in the
region. This will also generate more jobs and keep the employment rate within target.

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 and skilled manpower can attract more investments. Stabilized prices, as shown
by low inflation rates, also propel consumer spending which attributed to the expansion of
the GRDP.

In spite of economic growth, Calabarzon is still facing the challenge of inclusive growth,
especially the AFF sector. The need to increase agricultural labor productivity and expand
economic opportunities in this sector has to be addressed.

Chapter 2: MACROECONOMY 9
Chapter 2: MACROECONOMY 10
CHAPTER 3
COM P ETIT IVE IN DUS TRY AND
SERVI CES SE CTO R
This chapter highlights the 2016 performance of the industry and services sectors in support
of the targets and strategies in the updated RDP 2011-2016.

Assessment

The industry and services sectors remained the dominant contributors to the Calabarzon
economy. The industry sector comprised about 61.4 percent while the services sector
comprised about 33.2 percent of the regional economy. Services sector‟s contribution in 2016
was higher by about one percent compared in 2015.

Competitive and Innovative Industry and Services Sectors

Growth

Industry sector further decelerated. The industry sector further decelerated in 2016 at 3.7
percent growth compared to 6.5 percent in 2014 and 5.7 percent in 2015. This can be
attributed to slower growth of the manufacturing and construction subsectors and the
contraction in the mining and quarrying subsector. Consequently, the regional target growth
was not achieved. The industry sector contributed about PhP837.49 Billion to the GRDP.

While the manufacturing subsector grew by 3.6 percent in 2016, it was lower compared to 5.5
percent growth in 2015 and considerably lower compared to 7.1 percent growth in 2014. As
the top contributor to the industry sector at 86.6 percent share, it affected the overall
performance of the sector in 2016. The manufacturing subsector experienced slower growth
in the 4th quarter of 2016 due to continuous depreciation of Philippine peso that increased
input costs particularly for imported raw materials (Valencia, 2016). Similarly, construction
subsector decelerated from 7.2 percent in 2015 to 3.6 percent in 2016 which can be the
impact of election bans in 2016 resulting to limited construction activities especially for the
public sector. On the other hand, mining and quarrying contracted from a positive growth of
17.9 percent in 2015 to negative 1.8 percent in 2016 due to lower production of non-metallic
minerals. Among the industry subsectors, only the electricity, gas and water supply posted
faster growth in 2016.

Table 3.1. Gross value added of the industry sector (at constant prices), Calabarzon:
2015 to 2016
GRDP (in ‘000) Growth rate (in %)
Sub-sector
2015 2016 2014 2015 2016
Industry 807,516,677 837,489,176 6.5 5.7 3.7
Mining and Quarrying 2,696,475 2,648,823 8.9 17.9 (1.8)
Manufacturing 700,331,220 725,607,545 7.1 5.5 3.6
Construction 61,850,848 63,409,009 2.1 7.2 2.5
Electricity, Gas and Water Supply 42,638,135 45,823,800 2.5 6.8 7.5
Source: PSA Region IV-A

Chapter 3: COMPETITIVE INDUSTRY AND SERVICES SECTOR 11


Services sector continued to accelerate. The services sector further accelerated in 2016 at 7.2
percent compared to 3.7 percent growth in 2014 and 6.7 percent growth in 2015 due to faster
growth of five subsectors. This resulted to the achievement of regional target of higher
growth in 2016 relative to 2015. Its total contribution to the GRDP was about PhP452.87
Billion which is equivalent to 33.2 percent share.

Among the six subsectors, it was real estate, renting and business activities that contributed to
the growth of the services sector. It comprised 26.9 percent of the services sector accelerated
from 6.9 percent in 2015 to 7.2 percent in 2016. Business process outsourcing (BPO) which
is highly concentrated in Rizal, Cavite and Laguna contributed to the acceleration of this
subsector. Further expansion of new and existing BPO companies increased demand for
office space while remittances from overseas Filipinos continued to fuel demand for
residential space added to the stellar growth of real estate, renting and business activities .

Other services had the fastest growth at 9.6 percent in 2016 due to higher professional
services registered. This subsector is comprised of education, health and social work, hotels
and restaurants, sewage and refuse disposal sanitation and similar activities, and recreational,
cultural and sporting activities.

Public administration and defense and compulsory social security grew by 7.5 percent due to
the implementation of Executive Order 201 series of 2016 increasing the based pay of
government employees and uniform and military personnel. Moreover, numerous positions
were filled-up, upgraded and reclassified. On the other hand, financial intermediation
accelerated at 8.3 percent due to sustained growth of bank lending especially for
production activities.

Table 3.2. Gross value added in the services sector (at constant prices), Calabarzon: 2015
to 2016
Growth rate
GRDP (in ‘000)
Sub-sector (in %)
2015 2016 2014 2015 2016
Services 422,646,188 452,873,329 3.7 6.7 7.2
Transportation, Storage and 85,785,427 91,199,987 6.6 5.9 6.3
Communication
Trade and Repair of Motor Vehicles, 97,792,624 103,374,841 1.0 6.9 5.7
Motorcycles, Personal and Household
Goods
Financial Intermediation 48,481,969 52,484,475 7.8 6.0 8.3
Real Estate, Renting and Business 113,590,706 121,776,273 3.2 6.7 7.2
Activities
Public Administration and Defense; 15,320,766 16,465,693 4.0 0.8 7.5
Compulsory Social Security
Other Services 61,674,696 67,572,061 2.2 9.7 9.6
Source: PSA Region IV-A

Employment Generated

Employment significantly increased. Employment in the industry and services sectors


significantly increased in 2016 at 17.42 percent growth and 15.02 percent growth,
Chapter 3: COMPETITIVE INDUSTRY AND SERVICES SECTOR 12
respectively, compared to 0.53 percent growth and 1.94 percent growth in 2015. Employment
increase in the industry sector was due to the considerable employment growth in 2016 of
mining and quarrying, and construction subsectors from a decline in 2015 and increased
employment in manufacturing subsector which comprised 16.8 percent of the total
employment. While the GVA of construction subsector decelerated in 2016 due to election
bans on government projects, the said subsector still recorded a positive growth in 2016 that
contributed to increase in employment. The last quarter of 2016 may have also contributed to
the increase in employment through hiring of people for new constructions. The Philippine
Statistics Agency considered people employed if the person do any work even for one hour
during the reference period for pay or profit. On the other hand, employment on mining and
quarrying increased due to start of operations of new approved mining tenements.
Development stage of mining operations requires more labor.

Table 3.3. Employment generated in industry and services sectors, Calabarzon; 2014 to 2016
Actual (‘000) Growth Rate (%)
Sector
2014 2015 2016 2014 2015 2016
Industry 1,330 1,337 1,565 5.64 0.53 17.42
Mining and Quarrying 5.10 5.09 6.50 5.37 (0.20) 27.70
Manufacturing 902.17 905.10 957.10 5.86 0.32 5.75
Construction 402.66 401.72 578.40 6.61 (0.23) 43.98
Electricity, Gas, Steam and Air 15.29 15.26 15.30 5.23 (0.20) 0.26
Conditioning Supply
Water Supply, Sewerage, Waste 10.19 10.17 8.20 5.27 (0.20) (19.37)
Management and Remediation
Activities
Services 3,043 3,102 3,568 4.39 1.94 15.02
Wholesale and Retail Trade; 968.43 971.24 1,168.30 3.10 0.29 20.29
Repair of Motor vehicles and
Motorcycles
Transportation and Storage 407.76 427.14 501.60 2.70 4.75 17.43
Accommodation and Food 310.92 300.02 332.20 8.84 (3.51) 10.73
Service Activities
Information and Communication 56.07 71.19 72.60 (10.93) 26.97 1.98
Financial and Insurance Activities 86.65 81.36 87.00 27.82 (6.11) 6.93
Real Estate Activities 45.87 45.77 59.50 5.25 (0.22) 30.00
Professional, Scientific and 35.68 35.60 45.30 5.28 (0.22) 27.25
Technical Activities
Administrative and Support 183.49 208.49 258.00 8.27 13.62 23.75
Service Activities
Public Administration and 239.56 244.08 245.80 3.07 1.89 0.70
Defense; Compulsory Social
Security
Education 163.10 167.81 179.40 12.14 2.89 6.91
Human Health and Social Work 71.36 81.36 83.70 (1.75) 14.01 2.88
Activities
Arts, Entertainment and 81.55 86.45 79.60 (0.92) 6.01 (7.92)
Recreation
Other Service Activities 331.30 350.87 455.00 2.60 (10.60) 29.68
Source: PSA Region IV-A

Chapter 3: COMPETITIVE INDUSTRY AND SERVICES SECTOR 13


On the other hand, significant increase in the services sector can be attributed to its robust
growth of the services sector in 2016. Majority of its subsectors significantly increased
employment in 2016. Higher employment rate can also be attributed to the conduct of
National and Local elections in May of 2016. On the other hand, employment on arts,
entertainment and recreation subsector decline in 2016.

Among the regions in the country, Calabarzon remained on top in terms of employment in
industry sector while it ranked second in terms of employment in the services sector. For the
industry sector, majority of employed people were in manufacturing and construction
subsectors while in services sector, majority were employed in the wholesale and retail trade,
repair of motor vehicles and motorcycles and transportation and storage subsectors. The
services sector employed the most number of people in the region followed by the
industry sector.

Table 3.4. Percent distribution of employed persons by sector and region, 2016
2016
Regions
Industry (‘000) Services (‘000)
National Capital Region 1,011.05 4,201.37
Cordillera Administrative Region 108.65 321.35
Ilocos Region 51.68 1,071.29
Cagayan Valley 148.20 579.48
Central Luzon 990.59 2,735.07
Calabarzon 1,564.05 3,566.04
Mimaropa 170.22 535.69
Bicol Region 368.23 1,121.01
Western Visayas 417.00 1,687.23
Central Visayas 627.32 1,665.32
Eastern Visayas 248.84 850.34
Zamboanga Peninsula 172.45 683.62
Northern Mindanao 276.59 998.14
Davao Region 300.43 1,020.27
SOCCSKSARGEN 215.01 863.78
Caraga 166.22 523.64
ARMM 51.30 347.72
Source: PSA Region IV-A

Significant increase in the number of employed people in industry and services sectors can
also be attributed to the increased number of qualified jobseekers referred for placement
through Public Employment Service Office and institutions reached in Labor Market
Information Program of the Department of Labor and Employment. Qualified jobseekers
referred for placement increased by 5.95 percent in 2016 and with 36,255 difference from the
2016 target. While the individuals reached in Labor Market Program declined by 33.45
percent in 2016, the number of institutions reached significantly increased by 298.61 percent.
Targets for both indicators, however, were achieved in 2016.

Chapter 3: COMPETITIVE INDUSTRY AND SERVICES SECTOR 14


Table 3.5. Public Employment Service and Labor Market Information Programs: 2015
to 2016
Targets Accomplishments Growth
Programs Rate
2015 2016 2015 2016
Public Employment Service
Qualified jobseekers referred 276,459 276,459 295,151 312,714 5.95
for placement
Labor Market Information
Individuals reached 334,945 425,800 795,614 529,490 (33.45)
Institutions reached 2,890 3,500 9,503 37,880 298.61
Source: DOLE Region IV-A

Employment in economic zones located in Calabarzon comprised 8.98 percent of the total
employment in the region in 2016. It increased by 1.53 percent or an additional of 7,059
workers which can be attributed to the additional number of operational economic zones in
2016. However, the slowdown in generated employment can be attributed to the significant
decline in total approved investments in Calabarzon economic zones. This is a significant
decline in the rate of growth from a high of 10.72 percent in 2014 to 1.53 percent in 2016.

Figure 3.1. Employment generated and growth rate in economic zones, 2012
to 2016
500,000 12

400,000 10.72 10
9.92
8
Number

Percent
300,000 8.21
6
200,000
4
100,000 2
3.10
0 1.53 0
2012 2013 2014 2015 2016
Year
Actual Growth Rate

Source of data: Philippine Economic Zone Authority

Employment generated from micro, small and medium enterprises‟ (MSMEs) assisted by the
Department of Trade and Industry (DTI) Region IV-A and Department of Science and
Technology (DOST) Region IV-A increased by 8.76 percent and 17.48 percent in 2016,
respectively. While rate of growth accelerated from DTI-assisted MSMEs, DOST-assisted
MSMEs decelerated due to the number of graduated and terminated Small Enterprise
Technology Upgrading Program (SETUP) projects. SETUP is one of DOST‟s flagship
programs that aims to support and sustain the growth of MSMEs. In addition, technology
interventions involved mechanization of some processes that will not require additional labor.
Both DTI and DOST achieved its target number of employment generated from their assisted

Chapter 3: COMPETITIVE INDUSTRY AND SERVICES SECTOR 15


MSMEs from 2013 to 2014 due to continued increase in the number of MSMEs assisted by
both government agencies.

Table 3.6. Employment generated from MSMEs‟ assisted by DTI and DOST: 2014 to 2016
DTI DOST
Year Growth Growth
Target Actual Target Actual
Rate Rate
2013 22,000 20,690 88 113
2014 22,647 26,460 27.89 89 1,016 799.12
2015 24,911 28,080 6.12 106 2,157 112.30
2016 28,000 30,540 8.76 2,500 2,534 17.48
Source: Department of Trade and Industry Region IV-A and Department of Science and Technology
Region IV-A

Intellectual Property Rights

Intellectual Property Rights applications and registrations increased. Intellectual Property


Rights is important to foster innovation and the latter is vital in achieving competitiveness
and enhancing growth. Without this, businesses will not reap the full benefits of their unique
ideas and inventions and thereby, will lose interest on research and development
(International Trade Administration, 2016). While IPR protects businesses to reap the
benefits of their inventions, it also protects consumers to safe and guaranteed products (US
Chamber of Commerce, 2009).

The region has IPR applications for patents, utility model and industrial design. An industrial
design is the ornamental or aesthetic aspect of an article. It may consist of three-dimensional
design applied to a wide variety of products of industry and handicraft. A patent is an
exclusive right granted in development or improvement of product or process. It gives the
inventor the sole right to exclude others from making, using or selling the invention. On the
other hand, a utility model is designed to protect innovations that are not sufficiently
inventive to meet the inventive threshold required for standard patents application (IPOPHIL,
n.d.).

Among the three IPR applications, industrial design has the most number of applications and
grants in 2016 followed by utility model. Higher application and registration was recorded for
utility model and industrial design in 2016 compared in 2015. The case was different for
patent with fewer applications in 2016 compared in 2015 but with higher registrations. Patent
registration doubled in 2016 despite fewer applications.

In terms of rate of success in approving grants and registrations, utility model has the highest
rate at about 63.64 percent while patents has the lowest rate at 10.26 percent. This can be
attributed to the difficulty in demonstrating an invention is patentable. To classify in a patent
application, the invention should be a novelty, has an inventive step and has industrial
applicability. Rate of success was higher to patents and utility model in 2016 while it was
lower to industrial design. Patent application was 7.15 percent lower while industrial design
application was 78 percent higher in 2016 compared to 2015. Increasing number of IPR
applications and registrations shows the region‟s efforts in improving competitiveness
through innovation and invention.

Chapter 3: COMPETITIVE INDUSTRY AND SERVICES SECTOR 16


Table 3.7. Intellectual Property Rights applications and registrations, Calabarzon: 2013
to 2016
Applications Grants/Registrations Percent Registered
Year Utility Industrial Utility Industrial Utility Industrial
Patents Patents Patents
Model Design Model Design Model Design
2013 39 48 126 6 37 68 15.38 77.08 53.97
2014 39 65 120 5 36 41 12.82 55.38 34.17
2015 42 48 50 2 30 48 4.76 62.50 96.00
2016 39 55 89 4 35 54 10.26 63.64 60.67
Source: Intellectual Property Office of the Philippines

Business Climate

Business climate improved. Business climate is a general economic environment that


influences the enterprises to expand operations and to invest in a particular location. It is
comprised of government‟s attitude towards businesses and their activities, public policies
and inflation rate, among others.

Business registration is an indicator of business climate. Approved business names registered


in Calabarzon increased by 7.25 percent in 2016. Among the Calabarzon provinces, Cavite
has the most number of registered business names in 2016 while Quezon has the least number
of name registrations. On the other hand, rate of growth in business name registration was
highest in Batangas with 15.28 percent while lowest in Rizal with lesser name registrations in
2016 compared in 2015. However, it can be noted that the target number of business name
registrations was achieved in all provinces including the regional level.

Increase in the number of business name registrations can be attributed to the establishment
of Negosyo Centers across the region. A total of 23 negosyo centers were established in
Calabarzon in 2016. Negosyo centers aim to facilitate ease of doing business and access to
services of MSMEs. Establishment of negosyo centers can potentially increase not only the
number of business names registered but the number of business registered as well.

Table 3.8. Business Name Registration by Province, Calabarzon: 2015 to 2016


2015 2016 Growth
Area
Target Actual Target Actual Rate (%)
Batangas 13,576 11,179 11,000 12,887 15.28
Cavite 15,764 18,418 15,000 20,125 9.27
Laguna 16,331 15,725 17,000 17,167 9.17
Quezon 6,176 5,041 5,000 5,370 6.53
Rizal 13,795 12,645 12,000 12,024 (4.91)
Calabarzon 65,642 63,008 60,000 67,573 7.25
Source: DTI Region IV-A

Consumer Price Index

The Consumer Price Index (CPI) is a measure of changes in the price level of a market basket
of consumer goods and services purchased by an ordinary household. It is used to determine
the inflation rate. CPI of key industry and services continued to increase from 2013 to 2016.
Rate of increase in CPI of food products was notable compared to CPI of non-alcoholic

Chapter 3: COMPETITIVE INDUSTRY AND SERVICES SECTOR 17


beverages. Based on 2016 Regional Economic Development Report of Bangko Sentral ng
Pilipinas, increase in CPI of food products can be attributed to weather-related supply
disruptions and seasonal demand (e.g. surge of demand during holiday seasons). Changes in
CPI, in general, can be attributed to the volatility of oil prices.

Figure 3.2. Consumer Price Index, Calabarzon: 2013 to 2016


170.0
160.0
150.0
Food
140.0
CPI

130.0 Non-alcoholic
beverages
120.0
All items
110.0
100.0
2013 2014 2015 2016
Year

Source of data: PSA Region IV-A

Regional Productivity

Number of operating economic zones increased. Economic zones significantly provide


employment and growth in the region. From a total of 48 economic zones in the region,
additional five economic zones operated in 2016. Three manufacturing special economic
zones (MSEZ), one IT center and one IT park were established in 2016. Likewise, the
number of industry locators increased from 1,794 in 2015 to 1,884 in 2016. MSEZ remained
with the most number comprising 66 percent of the total economic zones located in
Calabarzon. Majority of this are located in Laguna, Cavite and Batangas. Other types of
economic zones operating in Calabarzon include medical tourism park, tourism economic
zones and agro-industrial economic zones. Among the provinces, Laguna has the most
number of operating economic zones with a total of 19 while Quezon has only one operating
economic zone.

Table 3.9. Number of operating economic zones and industry locators by province,
Calabarzon: 2015 to 2016
2015 2016
Province Operating Industry Operating Industry
economic zones locators economic zones locators
Batangas 14 273 15 305
Cavite 11 680 14 704
Laguna 19 837 19 870
Quezon 1 1 1 1
Rizal 3 3 4 4
TOTAL 48 1,794 53 1,884
Source: PEZA
Chapter 3: COMPETITIVE INDUSTRY AND SERVICES SECTOR 18
While merchandise exports from economic zones significantly increased in 2016, total
approved investments significantly declined. Merchandise exports increased by 3.96 percent
in 2016 which was higher than its 0.44 percent growth in 2015. This can be attributed to the
significant increase in merchandise exports of economic zones located in Laguna province.
On the other hand, total approved investments declined considerably at 25.27 percent in 2016
which can be attributed to the significant decline in total approved investments of economic
zones located in Batangas and Laguna. Investors were hesitant to expand and bring
investments due to changes in priority policies, programs and projects of the new
administration. Thus, the target for merchandise exports in 2016 was achieved while target
for total approved investments was not.

Domestic sales from MSMEs also declined at 2.73 percent in 2016 compared to its growth of
8.69 percent in 2015. Consequently, target in 2016 was not achieved.

Table 3.10. Merchandise Exports, Total Approved Investments and Domestic Sales in
Calabarzon: 2012 to 2016
Indicator 2012 2013 2014 2015 2016
TARGET
Merchandise Exports (US$ M) Increasing Increasing Increasing Increasing
Total Approved Investments
Increasing Increasing Increasing Increasing
(PhP M)
Domestic Sales (PhP M) 811 915 1,000 1,100
VALUE
Merchandise Exports (US$ M) 21,761.90 22,864.78 22,890.39 22,990.77 23,901.67
Total Approved Investments
120,371.84 80,900.14 103,849.50 106,326.89 79,460.77
(PhP M)
Domestic Sales (PhP M) 719.34 850 978 1,063 1,034
GROWTH RATE
Merchandise Exports (US$ M) (0.83) 5.07 0.11 0.44 3.96
Total Approved Investments
6.66 (32.79) 28.37 2.39 (25.27)
(PhP M)
Domestic Sales (PhP M) 8.72 18.16 15.06 8.69 (2.73)
Source: PEZA and DTI Region IV-A

Tourism

Tourist arrivals increased. The Calabarzon region offers numerous options that tourists can
definitely enjoy. These range from health and wellness, sun and beaches, ecotourism, sports
tourism, cuisine, and history and culture, among others. Each province comprising the
Calabarzon region boasts of unique and strong attributes as tourist destination.

Same day tourist arrivals increased by 20.49 percent in 2016 while overnight tourists
increased by 17.98 percent in 2016. The increase in number of tourists in 2016 was due to
social media exposure of new destinations and continuous improvement of facilities and
services in the region, e.g. road improvements that made traveling easier and faster. It can
also be attributed to increased submission of Statistical Data Report of tourism establishments
and local government units. Targets for overall same day tourist arrivals and overnight
tourists were met in 2016.
Chapter 3: COMPETITIVE INDUSTRY AND SERVICES SECTOR 19
Foreign tourists comprised 1.79 percent of same day tourists and 5.05 percent of overnight
tourists. Majority of foreign tourists came from Korea, Japan, China, USA and India. Foreign
same day tourist arrivals and foreign overnight tourists declined by 0.94 percent and 39.75
percent, respectively, in 2016. Decline in overnight tourists particularly in Cavite and
Batangas can be attributed to LGUs‟ and tourism establishments‟ incomplete submission of
data and limited marketing strategies in tourism travel expos and selling missions. In
addition, lower booking for company outings were observed. Consequently, targets on
foreign same day arrivals and overnight tourists were not met in 2016.

Accredited tourism enterprises increased by 18.85 percent while DOT-accredited


accommodation establishments increased by 20.67 percent. Likewise, employees in DOT-
accredited establishments increased by 5.08 percent.

Table 3.11. Target and Actual Tourism Data, Calabarzon, 2015-2016


Growth
2015 2016
Indicator Rate
Target Actual Target Actual 2016
Same day arrivals 21,613,300 21,829,430 26,042,637 20.49
Domestic 21,142,633 increasing 25,576,382 20.97
Foreign 470,667 increasing 466,255 (0.94)
Overnight tourists increasing 4,318,625 4,350,000 5,095,059 17.98
Domestic increasing 3,888,788 increasing 4,835,870 24.35
Foreign increasing 426,833 increasing 257, 147 (39.75)
Overseas Filipinos increasing 3,004 increasing 2,084 (30.63)
Accredited tourism enterprises increasing 191 increasing 227 18.85
Rooms from DOT-accredited
increasing 3,188 increasing 3,847 20.67
accommodation establishments
Employees in DOT-accredited
increasing 4,786 increasing 5,029 5.08
establishments
Source: Department of Tourism Region IV-A

Protection of Consumer Welfare

Consumer welfare improved. Level of consumer awareness and satisfaction of quality goods
and services declined in 2016 and fell short of the regional target. On the other hand,
monitoring of adherence to Price Act was intensified. The number of monitored firms
significantly increased from 1,502 in 2015 to 6,186 in 2016. Out of these monitored firms, six
were found violating but all were properly penalized. Ninety-three percent of the consumer
complaints were resolved within the prescribed time of mediation. This is 13 percent higher
than the regional target.

Chapter 3: COMPETITIVE INDUSTRY AND SERVICES SECTOR 20


Table 3.12. Protection of Consumer Welfare, Calabarzon: 2012 to 2016
2013 2014 2015 2016
Item
Target Actual Target Actual Target Actual Target Actual
Level of consumer
awareness and
55% 56% 60% 57% 67% 62% 62% 61%
satisfaction of quality
goods and services
Adherence to Price Act
Number of firms
1300 1109 1300 1420 1300 1502 5200 6186
monitored
Number of firms found
none 0 none 0 none 0 none 6
violating
Proportion of violating
100% n/a 100% n/a 100% n/a 100% 100%
firms penalized
Acts expeditiously on all kinds of consumer complaints
Percentage of consumer
complaints resolved
82% 81% 82% 85% 82% 82% 80% 93%
within the prescribed
time of mediation
Source: DTI Region IV-A

Challenges and Prospects

Calabarzon‟s industry and services sector is expected to have faster growth in 2017 due to
numerous infrastructure projects approved and started in 2016. The current administration‟s
policy pronouncements and pursuit of better environment for business activities, business
people will have the confidence to expand operations and investments.

The ASEAN economic community established in 2015 provides opportunities for numerous
industries located in the region. The economic community will bring greater access to market
through direct and indirect participation to the global value chain and improved export
competitiveness through greater access to competitively priced inputs and new technologies.
In addition, the peso depreciation in 2016 posed a challenge in the region‟s export oriented
industries as it resulted to higher production costs. The region‟s MSMEs and local suppliers
will play a significant role to address this challenge by taking advantage of the opportunities
brought by the ASEAN economic community cooperation. Participation in the global value
chain in terms of productivity and competitiveness among MSMEs in the ASEAN is
important to achieve increase in production and sales.

The Investment Promotion Group (IPG) is the region‟s institutional mechanism that promotes
investment, trade and cultural exchange. The implementation of the priority investment
promotion activities will boost local and foreign investments that will contribute to
accelerated regional growth.

In addition, the Philippine Economic Zone Authority‟s (PEZA) current thrust is to intensify
countryside development through increase number of economic zones in the regions. PEZA
aims to have at least two economic zones in every region and ultimately, one economic zone
in every city. This could provide opportunities to fast track economic zone developments in

Chapter 3: COMPETITIVE INDUSTRY AND SERVICES SECTOR 21


the province of Quezon and Batangas. However, continued disagreement on tax incentives
between PEZA and local government units posed a challenge.

Information technology and business process management (IT-BPM) is one of the priority
industries in the region. Four out of the ten identified next wave cities are in Calabarzon
region as part of the next wave cities for IT-BPM industry. With the emerging subsectors of
the IT-BPM industry, the region can take advantage of these opportunities by attracting these
types of investments in the region.

However, the challenge is to provide the available human capital equipped with the necessary
skills for IT-BPM. The IT-BPM has subsectors such as contact center and business process
outsourcing, global in-house centers, IT services, healthcare information management, and
animation and game development.

Tourism industry is expected to significantly grow due to increasing participation of tourism


establishments and LGUs in travel and trade expos and selling missions locally and abroad,
aggressive promotion and marketing, timely submission of tourism reports, strengthening
partnership between tourism industry players and LGUs, and compliance to standards.

On the other hand, the implementation of the progress accreditation system, a new policy,
and the ASEAN accreditation standards, there is a need to develop capacity to keep up with
these changes and for tourism establishments to pass the standards.

Chapter 3: COMPETITIVE INDUSTRY AND SERVICES SECTOR 22


CHAPTER 4
COMPETITIVE AND SUSTAINABLE
AG RI CU LT U RE AN D F I SH E RI ES SE C TO R
The chapter presents the performance of the agriculture, hunting, fishery, and forestry
(AHFF) sector in Calabarzon in 2016. The AHFF contributes about 5.5 percent of the
regional economy. The sector remained competitive in 2016 posting a positive growth despite
challenges brought by climatic changes. The livestock and poultry sub-sector remains the
strength of the Region as the top producer of chicken egg and the second major producer of
chicken and hog in the country.

Assessment

Gross Value Added in AHFF increased. The gross value added (GVA) in AHFF grew by 3.4
percent from PhP72.13 billion in 2015 to PhP74.59 billion in 2016. The growth performance
enabled the sector to achieve the target of increasing the GVA by 0.8 percentage points. The
growth in the AHFF sector was mainly driven by the agriculture and forestry sub-sectors
(Table 4.1).

Table 4.1. Gross Regional Domestic Product in Agriculture, Hunting, Fishery and Forestry
Sector, Calabarzon: 2015 to 2016 (at constant 2000 prices)
Value (PhP billion) Growth Rate (%)
Item
2015 2016 14-15 15-16
Agriculture, Hunting, Fishery and Forestry 72.13 74.59 2.6 3.4
a) Agriculture and Forestry 54.74 57.30 5.9 4.7
b) Fishing 17.39 17.29 (6.6) (0.6)
Gross Regional Domestic Product 1,303.72 1364.95 5.8 4.8
Source: 2014-2016 Gross Regional Domestic Product and PSA

The high demand for livestock and poultry, and the favorable weather condition and
expansion in areas planted for crops resulted to the positive growth. However, the hot
weather condition affected the stocking density in freshwater pens and cages and resulted to
lesser emergence of school of fish in commercial fishing grounds which contributed to the
decline in performance of the fisheries sub-sector.

More than half of the value of production in AHFF or 58.68 percent is contributed by the
livestock and poultry sub-sectors while 19.39 percent is contributed by the crops sub-sector.
All three subsectors posted substantial growth resulting to positive performance of the AHFF
sector in 2016 despite the decline in fisheries sub-sector (Table 4.2).

Chapter 4: COMPETITIVE AND SUSTAINABLE AGRICULTURE AND FISHERIES SECTOR 23


Table 4.2. Value of Production in Agriculture, Hunting, Fishery and Forestry Sector,
Calabarzon: 2015 to 2016 (at constant 2000 prices)
Target Actual (PhP million) Growth Rate (%)
Sub-sector
2016 2015 2016 `14-`15 `15-`16
Crops increasing 15,719.57 16,056.83 (0.8) 2.1
Livestock increasing 21,662.64 23,373.26 6.6 7.9
Poultry increasing 24,522.31 25,215.80 8.5 2.8
Fisheries increasing 18,239.95 18,161.05 (6.5) (0.4)
Source: Regional Agricultural Production Accounts and PSA

Rice self-sufficiency slightly reduced. In 2016, the rice self-sufficiency ratio is down by 0.2
percentage points from 16.2 percent in 2015 to 16.0 percent in 2016. The ratio is 5.96
percentage points off from the 2016 target of maintaining its 2015 level at 22 percent
(Table 4.3).

Rice self-sufficiency is reached when total regional production can meet the total regional
requirements for rice as food, seeds, processing, feeds, and adequate buffer stock for at least
15 days. The Department of Agriculture (DA) computes for the estimated requirements or
demand based on the population and the average per capita rice consumption of 119
kilograms per year.

The average annual population growth in Calabarzon from 2010 to 2015 is 1.7 percent while
the average annual growth rate in palay production in Calabarzon from 2011 to 2016 is 0.8
percent. With the above-cited growth trends, population will continue to considerably
outgrow palay production in Calabarzon.

Table 4.3. Rice Self-Sufficiency Ratio in Calabarzon (in percent), 2015 to 2016
Change
Target Actual (in percentage
Item points)
2015 2016 2015 2016 `15-`16
Rice Self-Sufficiency
22.0 22.0 16.2 16.0 (0.2)
Ratio
Source: Department of Agriculture Region IV-A

Inflation went down. Inflation rates of basic food commodities went down, except for corn,
meat and vegetables which resulted from the tighter food supply caused by weather-related
shortfalls and rising domestic pump prices triggered by increasing international oil prices
(Bangko Sentral ng Pilipinas, 2016).

In terms of achieving the target inflation rate, meat and fish commodities remains closest but
still short by 1.0 percentage points to the three to five percent target for 2016.

Chapter 4: COMPETITIVE AND SUSTAINABLE AGRICULTURE AND FISHERIES SECTOR 24


Table 4.4. Average Inflation Rates among basic commodities (in percent), Calabarzon
Target Actual Change (% points)
Commodity
2015 2016 2015 2016 `15-`16
Rice 3-5 3-5 3.2 (1.3) (4.5)
Corn 3-5 3-5 1.9 10.8 8.9
Meat 3-5 3-5 1.0 2.0 1.0
Fish 3-5 3-5 3.8 2.0 (1.8)
Milk, cheese & eggs 3-5 3-5 3.1 0.3 (2.8)
Fruits 3-5 3-5 11.8 1.4 (10.4)
Vegetables 3-5 3-5 1.0 12.2 11.2
Source: PSA

Subsector Performance

Grains production increased. Palay production increased by 3.6 percent from 392,907 metric
tons in 2015 to 407,124 metric tons in 2016 (Table 4.5) due to the increase in the harvested
area by 3.3 percent from 113,066 hectares in 2015 to 116,768 hectares in 2016 (Table 4.6).
The early onset of the rainy season resulted to a 12.4 percent increase in area harvested for
rainfed palay in the Region from 27,972 hectares in 2015 to 31,435 hectares in 2016.

The average palay yield also contributed to increased production as yield increased from 3.48
metric tons per hectare in 2015 to 3.49 metric ton per hectare. However, the 0.3 percent from
the 2015 level was still short by 23.0 percent from the 2016 target yield of 4.53 metric ton per
hectare. The prolonged wet weather during the main crop harvest months of October to
December resulted to the standing palay crops to reach the point when it could no longer
support its own weight. Thus, rice stems eventually collapsed which delayed maturity and
hindered further development of planted rice crops (National Food Authority, 2016).

For the Region‟s 2016 corn production, a notable 49.4 percent increase was observed (Table
4.5). Production of white corn increased by 21.5 percent while production of yellow corn
increased by 67.3 percent. The increase in corn production is the result of increased harvested
area due to sufficient water supply during planting season, availability of financial assistance
from private financiers, use of hybrid seeds and increased fertilizer application. The
increment in area harvested for corn is reflected by the 20.2 percent increase from 29,185
hectares in 2015 to 35,084 hectares in 2016 (Table 4.6). However, despite increased corn
output in 2016, white corn yield and yellow corn yield are short of their 2016 targets by 16.4
percent and 26.4 percent, respectively (Table 4.7).

Table 4.5. Rice and Corn Volume of Production (in metric ton), Calabarzon: 2015 to 2016
Growth Rate (%)
Commodity 2015 2016
`14-`15 `15-`16
Palay 392,907 407,124 (3.1) 3.6
Corn 64,823 96,821 (12.8) 49.4
White Corn 25,402 30,867 (17.9) 21.5
Yellow Corn 39,421 65,954 (9.2) 67.3
Source: CountrySTAT Philippines and PSA

Chapter 4: COMPETITIVE AND SUSTAINABLE AGRICULTURE AND FISHERIES SECTOR 25


Table 4.6. Rice and Corn Area Harvested (in hectare), Calabarzon: 2015 to 2016
Commodity 2015 2016 Growth Rate (%)
Palay 113,066 116,768 3.3
Irrigated Palay 85,094 85,333 0.3
Rainfed Palay 27,972 31,435 12.4
Corn 29,185 35,084 20.2
White Corn 15,956 17,744 11.2
Yellow Corn 13,229 17,340 31.1
Source: CountrySTAT Philippines and PSA

Table 4.7. Rice and Corn Yield (in metric ton/hectare), Calabarzon: 2015 to 2016
Target Actual Growth Rate (%)
Commodity
2015 2016 2015 2016 `14-`15 `15-`16
Palay 4.48 4.53 3.48 3.49 - 10.1
White Corn 2.00 2.08 1.59 1.74 (5.4) 9.4
Yellow Corn 4.46 5.16 2.98 3.80 10.8 27.5
Source: PSA

High Value Crops

Banana
Banana production in the Region was up by 16.0 percent. Despite the 1.0 percent decline in
area planted from 27,375 hectares in 2015 to 27,095 hectares in 2016, the increase in yield
was enough to increase production from 96,307 metric tons in 2015 to 111,736 metric tons in
2016. The average yield of bananas at 4.12 metric tons/hectare is 17.1 percent above 2015
level but remains 84.0 percent short of 2016 target yield of 25.83 metric tons/hectare.

Pineapple
Pineapple production was up by 4.3 percent. Expansion in areas planted with pineapples
increased by 3.1 percent from 3,953 hectares in 2015 to 4,075.8 hectares in 2016. The
pineapple yield likewise increased by 1.2 percent from 22.43 metric tons/hectare in 2015 to
22.70 metric tons/hectare in 2016. However, the resulting yield is approximately half of the
targeted 45.66 metric tons/hectare for 2016.

Mango
Mango production declined by 14.5 percent as the effects of Typhoon Glenda are still felt.
The frequent change in temperature also caused stress to mangoes resulting to decline in
production. Similarly, there was a 0.2 percent drop in the areas planted for mango. The
mango yield is 3.62 metric tons/hectare, 14.5 percent lower than the 4.23 metric tons/hectare
in 2015. The resulting yield is 27.9 percent short of the targeted yield of 5.02 metric
tons/hectare for 2016.

Sugarcane
Sugarcane production was up by 17.4 percent due to favorable weather conditions. However,
areas planted with sugarcane in the Region were reduced by 8.6 percent from 29,885 hectares
in 2015 to 27,305 hectares in 2016. The sugarcane yield increased by 28.5 percent from 52.83
metric tons/hectare to 67.90 metric tons/hectare. However, it remains short by 4.6 percent of
the targeted 71.2 metric tons/hectare for 2016.

Chapter 4: COMPETITIVE AND SUSTAINABLE AGRICULTURE AND FISHERIES SECTOR 26


Coconut
Coconut production was up by 10 percent. There was also an increase of 8.1 percent in the
areas planted with coconut. The increase in production and area planted resulted to an
average yield of 3.13 metric tons/hectare that is 1.9 percent higher from 3.07 metric
tons/hectare in 2015. The resulting yield is 251.4 percent above its 2016 target yield of 0.89
metric tons/hectare.

The increase in coconut production is a result of the intensified programs of the Philippine
Coconut Authority on the Accelerated Coconut Planting/Replanting Program (ACPP) and
Coconut Fertilization Project (CFP). The ACPP includes participatory coconut planting,
coconut seedling dispersal and modified participatory coconut planting while the CFP
includes salt fertilization and application of coconut coir-based organic fertilizer.

Coffee
Coffee production posted a positive growth of about 24.0 percent while areas planted also
increased by 0.5 percent from 13,409 hectares in 2015 to 13,472 hectares in 2016. The coffee
yield of 0.21 metric tons/hectare is 23.1 percent above the 2015 level but 76.2 percent short
of targeted yield for 2016.

Cacao
Cacao production increased by 23.4 percent with a 30.4 percent expansion in the areas
planted with cacao from 336 hectares in 2015 to 438 hectares in 2016. The resulting average
cacao yield is 0.04 metric tons/hectare that is short by 94.4 percent of the target yield of 0.70
metric tons/hectare for 2016.

The increase in both coffee and cacao production can be attributed to the massive promotion
of cacao and coffee production in the Region by the DA and the Department of Trade
and Industry.

Table 4.8. High Value Crops Volume of Production (in metric ton), Calabarzon: 2015
to 2016
Growth Rate (%)
Commodity 2015 2016
`14-`15 `15-`16
Banana 96,307 111,736 (7.7) 16.0
Mango 59,041 50,465 (0.7) (14.5)
Pineapple 88,660 92,514 3.8 4.3
Coconut 1,379,298 1,517,414 (0.1) 10.0
Coffee 2,272 2,818 (51.6) 24.0
Cacao 14 17 (32.0) 23.4
Sugarcanea 1,578,731 1,854,037 17.4
Source: a Sugar Regulatory Administration
CountrySTAT Philippines and PSA

Chapter 4: COMPETITIVE AND SUSTAINABLE AGRICULTURE AND FISHERIES SECTOR 27


Table 4.9. Area Planted/Harvested of High Value Crops (in hectare), Calabarzon: 2015
to 2016
Commodity 2015 2016 Growth Rate (%)
Banana 27,375 27,095 (1.0)
Mango 13,972 13,950 (0.2)
Pineapple 3,953 4,076 3.1
Coconut 448,905 485,208 8.1
Coffee 13,409 13,472 0.5
Cacao 336 438 30.4
Sugarcane 29,885 27,305 (8.6)
Source: CountrySTAT Philippines and PSA

Table 4.10. Yield of Selected High Value Crops (in metric ton/hectare), Calabarzon:
2015 to 2016*
Target Actual Growth Rate (%)
Commodity
2015 2016 2015 2016 `14-`15 `15-`16
Banana 25.11 25.83 3.52 4.12 (3.3) 17.1
Mango 4.88 5.02 4.23 3.62 1.0 (14.5)
Pineapple 44.38 45.66 22.43 22.70 (1.0) 1.2
Coconut 0.86 0.89 3.07 3.13 0.3 1.9
Coffee 0.87 0.88 0.17 0.21 (51.4) 23.1
Cacao 0.62 0.70 0.04 0.04 (33.3) (2.4)
Sugarcane 66.90 71.20 52.83 67.90 28.5
*derived by dividing the production with area planted/harvested

Livestock and Poultry grew. The livestock industry was able to achieve its target of
increasing production in 2016 except for carabao production which declined by 2.9 percent
from 7,491 metric tons in 2015 to 7,277 metric tons in 2016. This was due to lesser
disposition because of the lack of replacement brought by low birth rate and lower beginning
inventory.

Hog production is the top performer with an increase of 8.5 percent from its 2015 level
(Table 4.11). The increase in production is attributed to high demand during the election
campaign and higher prices offered by traders which encouraged raisers to dispose
more stocks.

Table 4.11. Volume of Livestock Production (in metric ton), Calabarzon: 2015 to 2016
Growth Rate (%)
Commodity 2015 2016
`14-`15 `15-`16
Hog 336,349 365,056 6.6 8.5
Carabao 7,491 7,277 6.8 (2.9)
Cattle 28,051 28,655 7.3 2.2
Goat 3,671 3,797 3.0 3.4
Source: CountrySTAT Philippines and PSA

Cattle and goat production grew by 2.2 percent and 3.4 percent, respectively. The increase in
both cattle and goat output is due to election-related activities and Ramadan festivities (Padin,
Chapter 4: COMPETITIVE AND SUSTAINABLE AGRICULTURE AND FISHERIES SECTOR 28
2016). The Region is the second largest contributor in cattle production accounting for 10.6
percent of the country‟s total cattle production.

The poultry industry was able to achieve its target of increasing production except for duck
production which declined by 3.0 percent from 602 metric tons in 2015 to 584 metric tons in
2016. Fewer disposals due to building up of stocks in backyard farms for egg production and
decline in hatched birds due to extreme hot weather during the first semester contributed to
the decline in duck production.

Duck egg production increased by 11.9 percent due to sustained demand from processors of
salted eggs. Similarly, chicken and chicken egg production increased by 2.1 and 4.7 percent,
respectively (Table 4.12). The positive performance is brought about by producers upgrading
poultry houses from conventional to tunnel ventilated farms resulting to improved farm
performance. Sustained vaccination programs of the government also contributed to the better
performance in poultry production.

The Region is the top producer of chicken egg in the country and accounts for 30.4 percent of
the country‟s total egg production. It is also the second largest chicken producer accounting
for 19.6 percent of the country‟s total chicken production.

Table 4.12. Volume of Poultry Production (in metric ton), Calabarzon: 2015 to 2016
Growth Rate (%)
Commodity 2015 2016
`14-`15 `15-`16
Chicken 321,670 328,430 7.7 2.1
Chicken Egg 133,962 140,274 11 4.7
Duck 602 584 (9.5) (3.0)
Duck Egg 2,099 2,349 (0.1) 11.9
Source: CountrySTAT Philippines and PSA

Fisheries production declined. Fisheries production declined with the municipal fishery
posting the biggest drop at 23.8 percent from 138,034 metric tons in 2015 to 105,216 metric
tons in 2016 (Table 4.13). The decline on municipal fisheries is attributed to less fishing
activities due to prolonged hot weather conditions, rough seas and typhoons experienced in
the coastal areas toward the end of 2016. Also, the incidence of knife fish infestation in the
Laguna de Bay contributed to the decline in fish production. In response, the Laguna Lake
Development Authority (LLDA) is procuring knife fish from the different municipalities
around the Laguna de Bay region. In 2016, the LLDA has already procured a total of 33,598
metric tons of knife fish amounting to PhP611,960.

Commercial fisheries also declined by 20.1 percent as affected by the hot sea water
temperature brought by the El Niño phenomenon experienced during the first semester of
2016 resulting to less species caught.

Aquaculture fisheries experienced high mortality and slow growth of species due to dry spell
experienced during the second quarter to fourth quarter of 2016. This resulted to a decline of
0.6 percent from 174,132 metric tons in 2015 to 173,029 metric tons in 2016. Seaweed farms
were affected by ice-ice disease and epiphytes resulting to scarcity of planting materials. In
addition, Typhoon Karen on the last quarter washed out most seaweed farms. The low
buying price offered by seaweed traders all year round likewise resulted to less
aquafarms in operations.
Chapter 4: COMPETITIVE AND SUSTAINABLE AGRICULTURE AND FISHERIES SECTOR 29
Table 4.13. Volume of Fisheries Production (in metric ton), Calabarzon: 2015 to 2016
Growth Rate (%)
Commodity 2015 2016
`14-`15 `15-`16
Commercial 66,357 52,995 (3.0) (20.1)
Municipal 138,034 105,216 (5.1) (23.8)
Aquaculture 174,132 173,029 (2.0) (0.6)
Source: CountrySTAT Philippines and PSA

Employment decreased. The employment in AHFF sector declined by 14.3 percent from
646,000 in 2015 to 554,000 in 2016 (Table 4.14). The decline is attributed to the El Niño
phenomena which persisted until the first semester of 2016. Moreover, the 2016 election
could have encouraged agricultural workers to engage in election-related jobs
(Caraballo, 2017).

Table 4.14. Number of Employed in Agriculture (in thousand persons), Calabarzon:


2015 to 2016
Growth Rate (%)
Item 2015 2016
`14-`15 `15-`16
Total Employment 5,085 5,687 (0.2) 11.8
Employment in Agriculture 646 554 (10.8) (14.3)
Source: CountrySTAT Philippines and PSA

Insurance availment increased. The total amount of crop insurance offered in 2016 was
PhP97.70 million or 12.2 percent more than the 2015 level (Table 4.15). However, the
amount remains short by about 94.2 percent of the target PhP1,689.26 million. The insurance
covers palay, corn, high value crops, livestock, fisheries, non-crop and life term packages.

Similarly, the total number of beneficiary farmers increased by 3.98 percent from 43,640 in
2015 to 45,378 in 2016 or 28.0 percent more than the targeted number of 35,440 famers
(Table 4.16). The continued coordination of the Philippine Crop Insurance Corporation with
partner farmer organizations and implementing agencies such as DA, Department of Agrarian
Reform and Philippine Coconut Authority contributed to the increase in number of
farmer beneficiaries.

Rice, corn and high value crops insurance covers the cost of production inputs and an
additional amount to cover portion of the value of the expected yield of standing crops
planted in the farmland described in the insurance. Livestock insurance package covers death
due to accidents, and/or diseases, and/or other covered risks affecting cattle, carabao, horse,
swine, goat, sheep, poultry, and game fowls and animals. The cost of production inputs for
fisheries, the value of the fish farmer/fisherfolk/grower‟s own labor and those of the members
of his own household, including the value of labor of hired workers are covered under the
fisheries insurance program.

Agricultural assets such as machineries, equipment, transportation facilities and other related
infrastructures directly or indirectly used in the pursuit of agricultural activities including
production and processing, marketing, storage and distribution of goods and services are also
covered under the Non-crop Agricultural Asset Insurance. Also, there are several credit and

Chapter 4: COMPETITIVE AND SUSTAINABLE AGRICULTURE AND FISHERIES SECTOR 30


life term insurance that covers death or dismemberment or disablement of agricultural
producers, fisherfolk and other stakeholders due to accident.

Table 4.15. Amount of Insurances Offered (in PhP Million), Calabarzon: 2015 to 2016
Target Actual Growth Rate (%)
Item
2016 2015 2016 `15-`16
Palay 720.95 23.58 29.79 26.35
Corn 83.17 5.55 4.29 (22.70)
HVCC 38.04 34.25 39.06 14.04
Livestock 39.72 19.45 21.74 11.77
Non-crop insurance (NCI) 260.15 0.94 1.25 32.98
Term insurance packages (TIP) 540.67 0.14 0.16 14.29
Fisheries 6.58 3.20 1.41 (55.88)
TOTAL 1,689.28 87.11 97.70 12.16
Source: Philippine Crop Insurance Corporation Region IV

Table 4.16. Number of Farmers who availed the Crop Insurance, Calabarzon: 2015 to 2016
Target Actual Growth Rate (%)
Item
2016 2015 2016 `15-`16
Palay 21,419 8,381 10,732 28.05
Corn 1,553 1,757 1,025 (41.66)
HVCC 888 19,111 18,526 (3.06)
Livestock 823 10,293 11,659 13.27
Non-crop insurance (NCI) 888 1,573 1,814 15.32
Term insurance packages 9,267 2,248 1,302 (42.08)
(TIP)
Fisheries 602 277 320 15.52
TOTAL 35,440 43,640 45,378 3.98
Source: PCIC Region IV

Challenges and Prospects

The AHFF sector in the Region is mainly driven by the livestock and poultry sub-sector. As
such, the sector will remain competitive as the Region remains a major producer of livestock
and poultry products in the country.

However, the vulnerability of the sector to climatic conditions discourages investment and
engagement of producers. Productivity in the AHFF has been adversely affected by severe
weather and the periodic occurrence of the El Niño and La Niña phenomena brought about by
climate change. Long term changes in the patterns of temperature and precipitation, that are
part of climate change, shifts production seasons, pest and disease patterns, and modify the
set of feasible crops affecting production, prices, incomes and ultimately, livelihoods and
lives (Rudinas, 2013). Relatedly, employment in the AHFF sector continues to decline from
2011 to 2016 at an annual average of 5.4 percent in the number of persons employed in
the sector.

Hence, to sustain growth and productivity in the AHFF sector, development interventions
should be focused on value adding, processing of agricultural output and marketing system.
Chapter 4: COMPETITIVE AND SUSTAINABLE AGRICULTURE AND FISHERIES SECTOR 31
Special attention should be given to linking and promoting local agricultural and fishery
products and encouraging producers, especially the youth, to think of agricultural farming as
a profitable job.

It is also essential for the AHFF sector to embrace technology to sustainably use resources
and adapt to climate change. Solar-powered irrigation, water harvesting and bio-gas are some
of the technologies that can be utilized in agricultural production. Utilizing technology that
will convert water and heat from the sun into more effective input in production will
contribute to food production and environmental protection. Farmers and fisherfolks should
utilize climate change adaptation technologies such as planting of new crop varieties
developed to withstand certain adverse effects of climate change (e.g. drought-tolerant,
submergence-tolerant, early-maturing crops).

Providing our farmers and fisherfolks easy access to credit and financing, with a minimal
interest, will allow them to keep up with technology and move out of the traditional
subsistence farming. Credit and other risk management tools include insurance and
government subsidies so farmers can be motivated to pursue innovations that have potentials
to set off modernization and industrialization of agricultural initiatives (Dar, 2017).

Lastly, in line with the ASEAN integration, forming cooperatives will strengthen farmers and
fisherfolks as they will have one singular voice. Promoting cooperativism among farmers and
fisherfolk will boost cooperation to improve farm productivity and marketing of agricultural
products. More so, financial assistance and credit without collateral are easily tapped through
a cooperative.

Chapter 4: COMPETITIVE AND SUSTAINABLE AGRICULTURE AND FISHERIES SECTOR 32


CHAPTER 5

INFRASTRUCTURE DEVELOPMENT

This chapter discusses the infrastructure development in terms of its quality, adequacy and
accessibility of infrastructure facilities and services. It highlights the performance of the
transportation, water resources, energy and social infrastructure sub-sectors.

Assessment

Land Transport

Roads

For 2016, the total length of roads increased by 9.90 kilometers. The total length of national
roads as of December 2016 was 2,517.66 kilometers. Existing roads were improved and
rehabilitated resulting to an increase in the paved roads ratio from 94 percent to 97 percent of
the total national road network (Figure 5.1). The remaining 3 percent of unpaved roads are
located in Quezon Province with a length of 87.66 kilometers.

Figure 5.1. Paved National Roads in Calabarzon, 2015 and 2016

Paved Road, 2015 Paved Road, 2016


Paved Unpaved Paved Unpaved
3%

6%

94% 97%

Source of data: Department of Public Works and Highways Region IV-A

National roads in good condition increased from 42.75 percent (1,072.05 kms.) to 50.03
percent (1,259.69kms) of the total road length (Figure 5.2)

Chapter 5: ACCELERATING INFRASTRUCTURE DEVELOPMENT 33


Figure 5.2 Calabarzon National Road Condition, 2015 and 2016

2015 2016
5.60% Good
4.53%
5.23%
8.03%
Fair

11.78%
13.17% 42.75% Poor

50.03%
Bad
28.01%
30.82%
No assessment

Source of data: DPWH Region IV-A

New road projects were completed in 2016, such as, the tourism roads funded under the
DOT-DPWH Convergence Program. The projects completed under the program were the
following: a) concreting of Maragondon-Alfonso Road in Cavite; b) construction of
Atimonan-Mauban Road Real Section; and c) opening of the San Nicolas-Sta. Teresita-
Alitagtag, Batangas Section of the Taal Circumferential Road. Continuing projects include
Lobo-Malabrigo-San Juan Road and Taal Circumferential Road.
Road widening projects along primary roads, construction of bypasses, diversion roads and
underpass were implemented to alleviate traffic congestion. The underpass along the Manila
South Road (MSR) underpass at Lucena-Tayabas intersection and construction of missing
gaps to connect Cavite and Batangas via General Aguinaldo-Magallanes-Nasugbu, Lopez
Bypass Road and Gumaca Bypass Road are ongoing.
Bridges

The total length of permanent bridges has increased from 18,275.17 lineal meters in 2015 to
18,494.80 lineal meters in 2016. The additional bridge length of 219.63 lineal meters
surpassed the targeted bridge length of 17,611 lineal meters. The number of permanent
bridges increased from 646 to 649.

Water Transport

Water transport links the island municipalities and other regions to Calabarzon. It is a vital
mode of transport that enables tourism and exchange of goods in the region.

The two major ports in Calabarzon are the Batangas Port and the Lucena Port. The Batangas
Port is a major gateway for shipment of goods and agricultural products to the nearby islands
of Mindoro, Romblon in MIMAROPA Region and Caticlan in Western Visayas Region. It
also operates as a domestic passenger sea travel port and international container terminal port.
Meanwhile, Lucena Port serves passengers and cargos to Marinduque, and Romblon
Provinces in MIMAROPA Region and Masbate Province in Bicol Region.

Chapter 5: ACCELERATING INFRASTRUCTURE DEVELOPMENT 34


The overall throughput performance of Batangas Port in terms of passenger traffic and cargo
increased in 2016 compared from the previous year (Table 5.1). Passenger traffic for inbound
(disembarked) and outbound (embarked) increased by 12.6 percent and 6.9 percent,
respectively. Cargo traffic in break-bulk (MT) also increased by 55.9 percent, while rolling
cargo (units) increased by 10.3 percent. This is a manifestation of continuous reliance of the
sea-travelling public on ro-ro vessels, fast craft, and motorized bancas as primary modes of
transport for inter-island connectivity. However, number of shipcalls declined by 15.8 percent
as a result of cancellation of trips due to strong southwest monsoon winds, strong
undercurrent water conditions, gale warnings and shift from small to large vessels due to
increasing number of passengers.

Lucena Port has maintained its upward momentum posting significant increase in inbound
and outbound passenger traffic, shipcalls and both break-bulk and rolling cargos. The surge is
mainly due to increased shipment of commodities and the result of the government's eco-
tourism programs encouraging leisure inter-island travel to tourist destinations.

Table 5.1. Throughput of Batangas and Lucena Ports in 2015 and 2016
Batangas Lucena
Particulars Change Change
2015 2016 2015 2016 (%)
(%)
Passenger
Embarked 3,041,272 3,251,808 6.9 227,497 327,552 44.0
Disembarked 3,321,186 3,739,319 12.6 325,861 421,861 29.5
Shipcalls 39,994 33,681 -15.8 4,606 6,007 54.1
Cargo
Break-bulk (MT) 95,443 1,239,811 55.9 207,974 249,257 19.9
Rolling (Units) 515,730 568,608 10.3 66,497 82,236 23.7
Source: Philippine Ports Authority Project Management Office Batangas and MarQuez

Aside from the two major ports, there are still 26 ports in the region that support the
economic activities in the island municipalities of Quezon and Batangas. Five ports are under
the Philippine Ports Authority port system located in the province of Batangas (Ports of
Bauan, Lobo, San Juan, Calatagan and Nasugbu). The remaining 21 ports (Ports of
Atimonan, Alabat, Bordeos, Calauag, Cotta, General Luna, Gumaca, Jomalig, Mabini,
Mauban, Mulanay, Padre Burgos, Panukalan, Patnanungan, Perez, Polillo, Real, San Andres,
Tingloy, Unisan) are under the administration of the local government units.

Electrification

The number of energized households in the Region increased from 95.40 percent in 2015 to
96.67 percent in 2016. This can be attributed to the government‟s commitment to
continuously improve the reliability, availability and resiliency of energy infrastructure and
facilities in the aim to alleviate poverty issues.

Chapter 5: ACCELERATING INFRASTRUCTURE DEVELOPMENT 35


Table 5.2. Status of Household Electrification Regionwide, 2015 and 2016
Item 2015 2016
HH Population Projected 3,432,898 3,509,353
Served 3,274,849 3,392,611
Unserved 158,049 116,742
HH Electrification Level 95.40% 96.67%
Source: Department of Energy

Among the provinces, Batangas registered the highest electrification level in 2016 at 98.14
percent followed by Cavite and Laguna at 97.81 percent and 96.59 percent, respectively.
Rizal had the lowest electrification level at 94.80 percent but nonetheless, all provinces
maintained an upward trend in electrification. Table 5.3 shows the status of household
electrification by province in 2015 to 2016.

Table 5.3. Status of Electrification by Province, 2015 and 2016


HH
HH Population Served Unserved Electrification
Province Level (%)
2015 2016 2015 2016 2015 2016 2015 2016
Cavite 879,074 898,782 856,950 879,123 22,124 19,659 97.48 97.81
Rizal 693,894 707,081 651,344 670,311 42,550 36,770 93.87 94.80
Laguna 767,077 783,706 737,816 756,974 29,261 26,732 96.19 96.59
Batangas 620,913 641,161 586,687 629,264 34,226 11,897 94.49 98.14
Quezon 471,940 478,623 442,052 456,939 29,888 21,684 93.67 95.47
Source: DOE

Irrigation

The total irrigated area in the region increased from 57,306 to 60,926 hectares. The target
area of 60,566 hectares was surpassed primarily due to the ratoon3 area exceeding the target,
the irrigation sector developed by 0.82 percent from 56.54 percent to 57.36 percent with
Quezon province having the highest area developed with 67.82 percent or 968 ha.
Development is still focused in Quezon as the 3rd and 4th districts of the province have high
potential for agriculture. The Lopez Small Reservoir Irrigation Project being implemented in
Lopez, Quezon has a potential area of 1,500 hectares.

Under the 2016 program of NIA, a total of 211 hectares were newly irrigated, 322 hectares
was restored; 0.45 km. canal was constructed, 17.14 km. of canal lining for irrigation was
opened and 44 irrigation structures were constructed.

Palay yield in the region was able to reach its target of 4.50 mt/ha. and it was expected that
the palay yield for 2016 would be higher than 0.04 mt/ha as most of the previous irrigation
projects were expected to be completed by 2016.

3
Ratoon is a sprout or shoot from the root of the crop which leaves the roots and lower parts of the plants uncut
to give the ratoon or the stubble crop. www.dictionary.com

Chapter 5: ACCELERATING INFRASTRUCTURE DEVELOPMENT 36


Water Supply

The water supply in the Region currently comes from three different types of sources: 5 from
surface water; 65 from springs and 1,048 from wells. The Region has a total of 733,367
service connections to these water sources. Cavite Province has the highest service
connections amounting to 239,122 as it has several urban centers and a tourist destinations.
Related to this, Cavite Province has also the highest average production per month at
5,755,495 m3/month sufficiently supplementing its service connections

Table 5.4. Status of Water Supply, 2016


Ave. Ave.
Service
Province Surface Wells Springs Production Consumption
Conn.
m3/month m3/month
Batangas - 487 2 5,596,943 181,212 22.64
Cavite - 326 8 5,755,495 239,132 18.47
Laguna - 135 6 5,392,992 191,245 20.9
Quezon 5 67 49 2,304,798 83,273 20.78
Rizal - 33 1,206,916 38,505 21.43
Total 5 1,048 65 20,257,144 733,367 104.22
Source: Local Water Utilities Administration Water Data Bank

Batangas Province has the highest average consumption per month at 22.64 m 3/month. This
can be attributed to the various industries located in the province as well as the
numerous tourist destinations.

The amendment of the 1976 Water Code of the Philippines makes it more responsive to the
changing needs of the country. The amendment is currently being reviewed by the Office of
the Senate President. The NWRB was also able to pursue initial works for a groundwater
management plan for Cavite and to construct three monitoring wells in Bacoor, Cavite.

Social Infrastructure

To ensure the delivery of basic social services to the public, the government continued to
pour in huge investments on education, health and social protection facilities. Various social
infrastructure assets were constructed in 2015 and 2016 and these included the construction
of school buildings/classrooms, day care centers, senior citizen centers, rural/barangay health
units and government hospitals.

School Buildings

The number of school buildings in the region increased with the completion of the Public-
Private Partnership (PPP) School Infrastructure Project (PSIP) Phase 1 in 2016. The PSIP
Phase 1 is a PhP 16.28 Billion project which involved the design, construction, maintenance
and financing of 9,300 classrooms in one and two-story buildings in Regions I,III and IV-A
under Build-Lease-and Transfer (BLT) scheme.

Chapter 5: ACCELERATING INFRASTRUCTURE DEVELOPMENT 37


In 2015, a total of 4,217 PSIP classrooms were constructed. Though the project was expected
to be completed in 2015, unforeseen factors such as weather disturbance, logistical issues,
underperforming subcontractors and security concerns, moved project completion to 2016. A
total of 4,255 classrooms were built in Calabarzon. Quezon had the highest share with 1,598
classrooms, followed by Laguna (902), Cavite (728), Batangas (701) and Rizal (326).

The full implementation of the K to 12 program started a significant reform in the educational
system as the Program covers kindergarten and 12 years of basic education. In 2015, a total
of 1,946 SHS buildings were constructed. This further increased to 2,313 SHS buildings in
2015. The increased number of SHS buildings were primarily attributable to the ongoing
implementation of the K to 12 program. The construction of additional school buildings will
continue to meet the demands of the additional two years in senior high school (SHS).

Health Facilities

As of 2015, there were 264 DOH registered hospitals in the region comprised of 67
government and 197 private hospitals. The province of Batangas has the highest number of
hospitals and biggest number of bed capacity. In terms of services offered, these hospitals
are categorized as first level and primary care hospitals.

The Regional Hospital of Calabarzon is located in Batangas City while the Provincial
Hospital of Cavite, Laguna, Batangas, Rizal and Quezon are situated in the
municipalities/cities of Trece Martirez, Sta Cruz, Lemery, Morong and Lucena, respectively.
Other health facilities available are Drug Rehabilitation Center and Women Children Crisis
Center both located in Laguna.

Table 5.5. Number of Government and Private Hospitals, Authorized Bed Capacity, 2015
Government Private
Provinces Level of Services
No. Bed Capacity No. Bed Capacity
Cavite 13 314 41 817 Primary Care/ Level 1
Laguna 15 512 41 722 Primary Care/ Level 1
Batangas 12 120 55 2,213 Primary Care/ Level 1
Rizal 10 294 29 714 Primary Care/ Level 1
Quezon 17 420 21 952 Primary Care/ Level 1
CALABARZON 67 1,660 197 5,418
Source: Department of Health- Center for Health Development Region IV-A

The Health Facilities Enhancement Program (HFEP) include construction, repair,


rehabilitation and renovation of rural health units and barangay health stations. The region
has a total of 24 projects in 2015 and 45 projects in 2016. The total projects costs of HFEP
Projects in 2015 and 2016 amounted to P218 millions and P251 millions, respectively.
A number of hospital equipment were provided s eparately. In 2016, a budget of
P379 millions was allocated for the hospital equipment alone to make the completed
HFEP projects operational.

Project implementation delays were encountered due to the following factors: a) difficulty in
acquiring permits and licenses from the LGUs and other concerned agencies; b) compliance
to construction specifications and standards; and c) delayed release of budget for the project.

Chapter 5: ACCELERATING INFRASTRUCTURE DEVELOPMENT 38


Social Services Facilities

There were five existing social welfare facilities in the Region operated by the Department of
Social Welfare and Development (Table 5.6). Among the five facilities, the Field Office
Resource Operation Center (FOROC) serves as warehouse of food packs for families affected
by disaster. However, the facility is located in the vicinity of the west valley fault. The
DSWD IV-A plans to transfer the FOROC from its existing location to Dasmariñas, Cavite.

Table 5.6. Social Welfare Facilities, 2016


Name of
Description
Facilities/Location
Bahay Tuluyan ng mga A residential institution established to provide care, protection and
Bata (Home for Girls rehabilitation to girls ages 5 to 17 years old who are victims of sexual
Bagong Bayan, abuse (rape, incest, acts of lasciviousness, sexual exploitation,
Dasmariñas, Cavite abandonment, negligence and physical abuse and maltreatment)
The Regional Heaven An alternative form of family care providing 24 hour group living on
Agriculture Compound, temporary basis to disadvantaged abused women and their qualified
Rosario, Batangas dependent whose needs cannot be adequately met by their own families
and relative over a period of time. It was established in 1997 with the
partnership with the Congressional Spouses Foundation Inc. (CSFI)
National Training Provides protection and parental care to CICL. To enable the CICLs
Schools for Boys who cannot undergo rehabilitation in the community to benefit from an
Barangay Sampaloc, intensive treatment of their deviant behavior and anti-social attitudes in
Tanay, Rizal a residential setting and prepare him for successful adjustment with his
family and community after discharge.
Haven for the Elderly A residential facility that provides care to senior citizens ages 60 years
Barangay Sampaloc, old and above, both male and female who are abandoned, neglected
Tanay, Rizal and needy. It has a bed capacity of 300 and was established September
30, 1969.
Field Office Resource This serves as the resource operation center of DSWD -
Operations Center CALABARZON during disaster and has 30,000 family food packs as
Barangay San Jose, stockpile at any given time .
GMA, Cavite

The DSWD has also implemented their so called “need-responsive sub-projects”. Most of the
projects that are identified by the community are farm-to-market roads, school building,
health centers and water systems. The participation of the LGUs and concern agencies is very
significant to make the project sustainable.

Challenges and Prospects

Roads

The region has to address the worsening traffic congestion in major roads and urban centers.
The implementation of the railway projects such as the PNR South Rail (commuter and long
haul), SLEX TR4, CALA Expressway, traffic management, road widening, bypasses and
diversion roads projects in the region will help address traffic problems. The LGUs will be
capacitated in traffic management through the assistance of concerned regional agencies.

Chapter 5: ACCELERATING INFRASTRUCTURE DEVELOPMENT 39


Safety concerns along the highways still need to be addressed such as the following: a)
immediate removal of obstructive utility posts and trees along road right-of-way; b)
installation of road signs and lighting; c) provision of proper drainage system to prevent
flooding; d) and preservation of structural integrity of roads and bridges.

To address the safety concerns, upgraded highway design will be applied by incorporating all
features such as paved shoulders, drainage, sidewalks, and bike lanes if feasible. Safety
features will be provided particularly on the identified block spots. Construction of slope
protection will be done along primary roads with medium to very high level of risk to
typhoons and geophysical disasters.

It is expected to intensify the expansion and improvement of access to tourism sites,


industrial and ecozones, and remote areas through the implementation of the DOT-DPWH
Convergence Program, DTI-DPWH ROLL-IT Program and farm-to-market road projects of
various regional line agencies.

Water Transport

The challenges in water transport particularly Batangas Port are sustainability of container
productivity and increase in number of ship calls especially on container vessels. Land
acquisition for the Batangas Port Phase III is ongoing.

Energy

To fuel rapid industrialization and agricultural development, the government continuously


explore and develop alternative energy resources, particularly the use of indigenous sources
of energy like renewable energy, fossil fuels and alternative fuels while at the same time take
steps to lessen carbon footprint and behold environmental responsibility.

On the challenges of natural and man-made disasters, the government is also planning to
make our energy facilities and infrastructures designed to adapt to the effects of climate
change, specifically on its resiliency to disasters.

Irrigation

The difficulties in right-of-way and permit acquisitions led to the delayed completion of
irrigation projects. Another issue that may affect irrigation in the future is the quarrying
activities in the river beds that could damage the existing irrigation facilities in the region.

In 2017, it is expected that two of the major irrigation projects will be completed in the
region. These projects are the Quipot (69 percent completed) and Macalelon (78.8 percent
completed). The small reservoir irrigation projects will also help increase irrigated area
coverage, yield performance of palay and income levels of farmers. The projects are expected
to greatly benefit Quezon province which has the highest potential of agricultural land
for irrigation.

Water Supply

The Listahang Tubig or Water Register Project by the NWRB will help in facilitating
improvement in water regulation and water service delivery through access to information of

Chapter 5: ACCELERATING INFRASTRUCTURE DEVELOPMENT 40


participating water service providers (WSP). Once the WSPs are re-oriented, full
functionality of the project will be achieved.

Social Infrastructure

The perennial challenge under the social infrastructures is its limited presence in rural and
GIDA communities. Infant and maternal mortality rates and low literacy rates are evident due
to lack of health and educational facilities in the remote communities. Other issues include
limited access to health services, limited pool of qualified teachers and poor sanitary
condition of the underprivileged.

Since the devolution of power to LGUs, priority of the LCEs is a determining factor to
support the construction of social infrastructures especially during change in administration
Issues on fund appropriation and non-compliance to the enabling laws, standards and
practices seemed to have continued to beset the region.

Likewise, the challenge for the social infrastructure is to be able to provide enough
infrastructure facilities to service the continuously growing population in Calabarzon. The
proper interventions for the relocation sites should also be addressed considering that the
region is now experiencing an alarming trend of in-migration where the receiving LGUs see
it as a challenge to properly allocate and manage their funds to ensure the delivery of basic
social services to the relocatees.

In the coming years, the demand for social infrastructure will continue to increase due to the
continued implementation of the various priority projects of the government. The continuing
implementation of the K to 12 Program would entail additional school buildings/classrooms
to meet the demand for the added years of education. The ongoing implementation of HFEP
will continue to further serve the target stakeholders and provide them the best social
services possible.

Also, the government is becoming more and more proactive to collaborate with NGOs, civic
societies and the private sectors. With this collaboration, additional support and investments
are generated from them to provide quality social infrastructure facilities.

Convergence efforts should be pursued among government agencies to ensure efficient


implementation of government services including social protection programs. More
specifically, convergence on social infrastructure programs of the DepEd, DOH, DPWH,
DSWD and other agencies and stakeholders must be strengthened to ensure that the target
beneficiaries get full benefits of these programs especially those who belong to the
marginalized sector, the IPs, people with disabilities (PWDs).

Chapter 5: ACCELERATING INFRASTRUCTURE DEVELOPMENT 41


Chapter 5: ACCELERATING INFRASTRUCTURE DEVELOPMENT 42
CHAPTER 6
TOW ARDS RE SILIENT AN D IN CLUSIVE
F I N A N C I A L S YS T E M

This chapter presents Calabarzon‟s 2016 performance in the banking system, microfinance
services and cooperatives development. It also presents the local government‟s efforts in
resource mobilization.

Assessment

Banking System

Financial inclusion is the delivery of financial services at affordable costs to all sectors of
society especially the disadvantaged and marginalized group. These financial services must
meet the specific needs of users without discrimination and must be readily available.

Calabarzon continues to show significant improvements in its banking system as shown by


statistics on the number of banks, bank density ratio, number of automated teller machines
(ATMs), amount of deposit liabilities and loan portfolio of banks.

As of 2016, Calabarzon had a total of 1,665 banks consisting of 682 universal and
commercial banks, 467 thrift banks, and 516 rural and cooperative banks (Table 6.1). Forty-
four new banking offices started their operations in 2016 of which 23 are universal and
commercial banks and 31 are thrift banks.

Table 6.1. Number of Offices by Type of Bank, Calabarzon: 2012-2016


2016 Percentage
Area/Type of Bank 2012 2013 2014 2015 2016
Share (%)
Calabarzon 1,406 1,509 1,566 1,621 1,665 100
Universal and Commercial Banks 553 584 627 659 682 41
Thrift Banks 317 382 395 436 467 28
Rural and Cooperative Banks 536 543 544 526 516 31
Source: Supervisory Data Center, Supervision and Examination Sector

Universal and commercial banks account for 41 percent of the banks, followed by rural and
cooperative banks with 31 percent and thrift banks with 28 percent (Figure 6.1). The
continuous increase in the number of banks could be attributed to the high population, rapid
urbanization and increasing number of manufacturing and other industries in the Region. On
the other hand, the decline in the number of rural and cooperative banks could be the result of
mergers and consolidation of banks to sustain operations.

Chapter 6: TOWARDS A RESILIENT AND INCLUSIVE FINANCIAL SYSTEM 43


Figure 6.1. Total Number of Banking Offices by Type of Bank, Calabarzon, 2016

Number of Banking Offices by type of Bank

Universal & Commercial


Banks
31%
41% Thrift Banks

Rural & Cooperative Banks


28%

From 2015 to 2016, the province of Quezon had the highest percentage increase (6 percent)
in the total number of banks followed by Batangas (4 percent) and Rizal (4 percent). The
increase could be attributed to increase in population density, and increase in highly
urbanized and viable hubs for business. Network expansion in these areas is indicative of
banks‟ initiatives to support inclusive growth by providing access to finance for all Filipinos,
regardless of their socio-economic status.

Table 6.2. Number of Banks in Calabarzon by Type, by Province, 2014-2016


Number of Number of Rural
Number of Thrift `15-`16
Universal & & Cooperative Total
Province Banks Change
Commercial Banks Banks
(%)
2014 2015 2016 2014 2015 2016 2014 2015 2016 2014 2015 2016
Batangas 126 134 141 104 115 135 121 121 107 351 370 383 4
Cavite 174 178 187 112 123 118 57 53 51 343 354 356 1
Laguna 179 188 188 95 104 107 159 157 160 433 449 455 1
Quezon 51 53 54 23 26 38 135 132 132 209 211 224 6
Rizal 97 106 112 61 68 69 72 63 66 230 237 247 4
Regional
627 659 682 395 436 467 544 526 516 1,566 1,621 1,665 3
Total
Source: Supervisory Data Center, Supervision and Examination Sector

All five provinces in the Region continue to register increases in the number of banking
offices from 2014 to 2016 (Figure 6.2). In 2016, Laguna had the most number of banks with
455 banks followed by Batangas with 383 banks and Cavite with 356 banks.

Chapter 6: TOWARDS A RESILIENT AND INCLUSIVE FINANCIAL SYSTEM 44


Figure 6.2. Number of Banking Offices by Province, Calabarzon: 2014-2016
500
450
400
350
300
2014
250
2015
200
2016
150
100
50
0
Batangas Cavite Laguna Quezon Rizal

Bank density ratio refers to the number of banks per city/municipality. In 2016, Calabarzon‟s
bank density ratio increased to 12 as compared to 2014 and 2015 (Table 6.3). This means that
there are 12 banks servicing each city/municipality in Calabarzon. The increase in bank
density ratio means easier access to banking services. Rizal had the highest bank density ratio
with 18 banks servicing each city/municipality while Quezon had the least bank density ratio
of 5 banks servicing each city/municipality.

Table 6.3. Bank Density Ratio in Calabarzon, 2014-2016


Number of Number of Banks Bank Density Ratio
Province Cities &
2014 2015 2016 2014 2015 2016
Municipalities
Cavite 23 343 354 356 15 15 15
Laguna 30 433 449 455 14 15 15
Batangas 34 351 370 383 10 11 11
Rizal 14 230 237 247 16 17 18
Quezon 41 209 211 224 5 5 5
Calabarzon 142 1,566 1,621 1,665 11 11 12
Source: Supervisory Data Center, Bangko Sentral ng Pilipinas

Banks focused on expanding their market reach through the establishment of branches and
the use of financial technology to boost deposit-taking and lending activities. Automated
teller machines (ATMs) were installed 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.

In 2016, 282 additional ATMs were installed in the Region which brings the total number of
ATMs to 2,848 as compared to 2,566 ATMs in 2015 (Table 6.4). This represents an 11
percent increase in the total number of ATMs from 2015 to 2016.

Chapter 6: TOWARDS A RESILIENT AND INCLUSIVE FINANCIAL SYSTEM 45


Table 6.4. Number of ATMs, 2012-2016
`15-`16
Type of Bank 2012 2013 2014 2015 2016
Change (%)
Calabarzon 1,748 2,107 2,254 2,566 2,848 11
Onsite 938 1,113 1,192 1,301 1,421 9
Universal and
734 860 913 978 1076 10
Commercial Banks
Thrift Banks 167 194 207 248 269 8
Rural and Cooperative
37 59 72 75 76 1
Banks
Offsite 810 994 1,062 1,265 1,427 13
Universal and
720 878 936 1,099 1,250 14
Commercial Banks
Thrift Banks 89 115 125 161 167 4
Rural and Cooperative
1 1 1 5 10 100
Banks
Source: Supervisory Data Center, Supervision and Examination Sector

The provinces of Laguna, Cavite and Batangas recorded the most number of ATMs in the
Region (Table 6.5). These provinces also register the highest percentage increase in the
number of ATMs from 2015 to 2016: Batangas (13%), Cavite (13%) and Laguna (10%) and
Rizal (10%).

Table 6.5. Number of ATMs in Calabarzon by Type, by Province, 2014-2016


Number of ATMs Number of ATMs `15-`16
Total
Province on-site off-site Change
2014 2015 2016 2014 2015 2016 2014 2015 2016 (%)
Batangas 231 257 275 166 193 233 397 450 508 13
Cavite 311 332 360 316 394 457 627 726 817 13
Laguna 347 378 416 354 414 454 701 792 870 10
Quezon 105 112 119 54 62 69 159 174 188 8
Rizal 198 222 251 172 202 214 370 424 465 10
Regional
1,192 1,301 1,421 1,062 1,265 1,427 2,254 2,566 2,848 11
Total
Source: Supervisory Data Center, Supervision and Examination Sector

Figure 6.3. Number of ATMs in Calabarzon by Province, 2014-2016


1000
900
800
700
600
2014
500
2015
400
2016
300
200
100
0
Batangas Cavite Laguna Quezon Rizal

Chapter 6: TOWARDS A RESILIENT AND INCLUSIVE FINANCIAL SYSTEM 46


The financial industry also displayed strong support to the funding needs of their clients by
extending loans. From 2015 to 2016, Calabarzon posted a 22 percent increase in bank loans
and receivables amounting to PhP 25.816 billion (Table 6.6). All provinces recorded more
than 10 percent increase in bank loans and receivables with Rizal Province topping all
provinces with 40% increase in loans.

Table 6.6. Loan Portfolio of Banks in Calabarzon by Province (in million pesos), 2014-2016
Loans and Receivables `15-`16
`15-`16
Province Amount of
2014 2015 2016 Change (%)
Increase
Batangas 24,031.734 27,641.003 32,116.925 4,475.922 16
Cavite 20,462.871 23,598.259 28,397.469 4,799.210 20
Laguna 32,226.333 34,772.251 42,157.073 7,384.822 21
Quezon 13,207.566 14,932.286 17,461.789 2,529.503 17
Rizal 17,547.193 16,749.478 23,376.862 6,627.384 40
Regional
107,475.697 117,693.277 143,510.118 25,816.841 22
Total
Source: Supervisory Data Center, Supervision and Examination Sector

Figure 6.4. Loan Portfolio of Banks in Calabarzon by Province (in Million Pesos),
2014-2016
45,000.000
40,000.000
35,000.000
30,000.000
25,000.000 2014

20,000.000 2015

15,000.000 2016
10,000.000
5,000.000
0.000
Batangas Cavite Laguna Quezon Rizal

Deposit liabilities are the money that the people and companies put in banks. Banks in turn
put these deposits in more profitable investments to earn more. Banks continued to be a major
source of fund for the production sectors which in turn generate jobs. Calabarzon posted an
18 percent increase in deposit liabilities amounting to PhP 110.337 billion from 2015 to 2016.

Cavite had the highest deposits in 2016 with PhP 216.262 billion and the highest increase in
deposit liabilities at 28 percent or PhP 47,689.607 million. The increase in deposit liabilities
indicates that the people trust the banking system. It also means that banks‟ marketing
strategies are effective in attracting people to deposit their money in banks.

Chapter 6: TOWARDS A RESILIENT AND INCLUSIVE FINANCIAL SYSTEM 47


Table 6.7. Deposit Liabilities of Banks in Calabarzon by Province (in million pesos),
2014-2016
Deposit Liabilities `15-`16
`15-`16
Province Amount of
2014 2015 2016 Change (%)
Increase
Batangas 104,208.243 123,900.901 136,720.262 12,819.361 10
Cavite 144,383.003 168,572.396 216,262.003 47,689.607 28
Laguna 152,842.262 174,745.560 198,693.758 23,948.198 14
Quezon 46,464.554 54,312.197 62,117.787 7,805.59 14
Rizal 87,286.031 99,387.830 117,462.974 18,075.144 18
Regional
535,184.094 620,918.883 731,256.783 110,337.90 18
Total
Source: Supervisory Data Center, Supervision and Examination Sector

Figure 6.5. Deposit Liabilities of Banks in Calabarzon by Province (in Millions)


2014- 2016
250,000.000

200,000.000

150,000.000
2014
2015
100,000.000
2016

50,000.000

0.000
Batangas Cavite Laguna Quezon Rizal

Microfinance Services and Cooperatives

Microfinance institutions and cooperatives offer affordable alternative financial services to


low income groups who that afford the services provided by the formal lending institutions.

As of December 31, 2016, there were 2,219 cooperatives in the region of which 2,192 are
primary cooperatives and 27 are secondary cooperatives. Majority of the registered primary
cooperatives are under the multipurpose type of cooperatives, while the secondary are under
federation type of cooperatives. Laguna is the province with the highest number of registered
cooperatives followed by Batangas.

The number of registered cooperatives declined by 15.05 percent in 2016 due to the
difficulties in attaining Certificate of Tax Exemption as there are requirements needed to be
submitted by cooperatives to the Bureau of Internal Revenue. In addition, some cooperatives
did not have enough funds to sustain their operation.
Chapter 6: TOWARDS A RESILIENT AND INCLUSIVE FINANCIAL SYSTEM 48
Table 6.8. Number of Registered Cooperatives in Calabarzon, 2014-2016
Type 2014 2015 2016
Primary Cooperatives
Advocacy 0 0 3
Agrarian 1 1 1
Agriculture 0 0 7
Consumers 15 20 18
Credit 23 18 18
Dairy 0 1 0
Fishermen 0 0 0
Housing 0 0 0
Health Service 0 0 0
Labor Service 3 2 0
Marketing 1 12 9
Multipurpose 34 15 0
Producers 12 15 11
Service 0 0 0
Transport 14 6 7
Water Service 1 1 1
Workers 0 1 2
Sub-total 104 92 77

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

Grand Total 104 93 79


Source: Cooperative Development Authority-Calamba Extension Office

Cooperative assets grew by 5.42 percent from 2015 to 2016 (Table 6.9). The increase
in assets was the result of good governance and management being implemented in
the cooperatives.

Table 6.9. Total Cooperative Assets, 2015-2016


Cooperative Assets Based on 2015 2016
Partially Submitted and Encoded
Audited Financial Statements 10,544,724,899.74 11,117,265,719.27
(Calabarzon only)
Source: CDA-Calamba Extension Office

Compliance of cooperatives to mandatory reports increased but still did not meet the 2016
target. Despite the series of compliance review trainings conducted by CDA, there were still
some cooperatives that were not able to comply with the mandatory reports. CDA is still in
the process of reviewing the reasons for non-compliance.

Chapter 6: TOWARDS A RESILIENT AND INCLUSIVE FINANCIAL SYSTEM 49


Table 6.10. Compliance to Mandatory Reports
Monitoring of 2014 2015 2016
compliance of
cooperatives to 1,118 1,063 1,142
mandatory reports
Source: CDA-Calamba Extension Office

Microfinance-oriented banks increased from 249 in 2015 to 278 in 2016 (Table 6.11). The
province of Cavite had the most number of microfinance banks followed by Rizal. This
shows that financial institutions are taking appropriate actions to address the concern on
accessibility to financial options.

A total of PhP7.889 billion and PhP9.846 billion loans were extended to more than one
million borrowers in 2015 and 2016, respectively (Table 6.12). Outstanding loans increased
in 2016 which can be attributed to increase in expenditures. Despite the increase in
expenditures, the savings component still increased in 2016.

Table 6.11. Number of Microfinance-Oriented Banking Offices 2015-2016


Number of Microfinance Oriented
Banking Offices Change
Item
(%)
2015 2016
Calabarzon 249 278 11.6
Cavite 68 70 2.9
Laguna 47 51 8.5
Batangas 59 66 11.9
Rizal 56 68 21.4
Quezon 19 23 21.1
Source: BSP

Table 6.12. Microfinance Statistics, 2015-2016


Item 2015 2016
Amount of loans outstanding (in million pesos) 7,889.08 9,846.56
Number of borrowers 1,070,179 1,288,983
Savings Component (in million pesos) 3,291.29 4,342.69
Source: BSP

Local Government Resource Mobilization

LGUs continuously enhance and strengthen their resource mobilization to generate more
revenue channels aside from Internal Revenue Allotment. Resource mobilization is critical to
finance LGU initiated development programs and projects.

Majority of the income of the LGUs come from real property tax. Total real property tax
collected in 2016 amounted to PhP12.813 billion followed by business tax amounting to
PhP10.402 billion (Table 6.13).

Chapter 6: TOWARDS A RESILIENT AND INCLUSIVE FINANCIAL SYSTEM 50


Table 6.13. Revenue Type, Targets, Accomplishments (in million pesos), 2015-2016
2015 2016
Revenue Type
Target Actual Target Actual % attained
Real Property Tax 12,397.8 12,462.8 15,276.37 12,813.3 83.88
Business Tax 9,289.2 9,674 10,453.67 10,402.2 99.51
Fees and Charges 3,077.3 3,300.3 3,243.89 3,655.1 112.68
Economic Enterprises 1,976.1 2,020 2,115.1 2,062.2 97.50
Source: Bureau of Local Government Finance

Although revenues have increased, the targets for real property tax, business tax and
economic enterprises were not achieved. Real property tax increased by 2.81 percent,
business tax by 7.53 percent, fees and charges by 10.75 percent and economic
enterprises by 2.09 percent. The increase can be traced from the continuous
improvement of business processes and tax collection.

Challenges and Prospects


Although Calabarzon‟s financial system in 2016 has improved, financial inclusiveness has
still so much room for improvement. The following concerns still need to be addressed: a)
limitation on access points and increasing concentration in urban centers which discourage
capital market participation and access to business financing among the marginalized sectors
and rural communities; b) stringent requirements by banks which discourage micro, small
and medium enterprises and the informal sector in availing financial services; and c) need to
improve mobilization of financial resources into viable investment and savings mechanisms.

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. The following should be undertaken:
1) intensification of micro-insurance and micro lending services; 2) provision of incentives
like tax exemption to attract investors and increase fund source; and 3) enhancing the role of
cooperatives as providers of investment packages.

Enhancing and strengthening LGU resource mobilization, on the other hand, will give
opportunity for more development programs and projects in the region. Resource
mobilization can be enhanced through: 1) improving government processes and transactions
to reduce cost of doing business; 2) updating of local revenue code; 3) using modern
technology to facilitate business transactions; and 4) implementing capacity building efforts
and technical assistance to enable LGUs to find other channels of revenue.

The BSP through its sound leadership will continue its advocacies on financial inclusion,
financial literacy as well as consumer education and protection. To expand access points for
financial services, innovative channels are continuously being explored. The private sector is
encouraged to provide financial products and services that are responsive to the needs of the
underserved and unbanked areas of the country.

Chapter 6: TOWARDS A RESILIENT AND INCLUSIVE FINANCIAL SYSTEM 51


Chapter 6: TOWARDS A RESILIENT AND INCLUSIVE FINANCIAL SYSTEM 52
CHAPTER 7
GOOD GOVERNANCE AND RULE OF L AW
This chapter assesses the performance of government agencies in improving the delivery of
public services towards reaching the targets indicated in the Plan.

Assessment

Cities and Municipalities Competitiveness Index

In 2016, all LGUs in Calabarzon participated in the Cities and Municipalities


Competitiveness Index (CMCI). From its initial implementation in 2013, the LGUs
participating in the CMCI increased from 26 in 2013, 61 in 2014, 100 in 2015 and 147 or all
in 20164. More LGUs participated in the CMCI through the years because the CMCI
provided LGUs additional ways to showcase their capabilities in initiating a business-friendly
environment.

Table 7.1 shows the most competitive LGUs in Calabarzon in 2016. The most competitive
LGUs are assumed to be more attractive to future investors, as they demonstrate a more
vibrant economy and offer more job opportunities.

Table 7.1. Ranking of Calabarzon LGUs in the 2016 CMCI (included in Top 10)
LGU Rank
Provinces
Rizal 1st
Cavite 2nd
Laguna 4th
Batangas 9th
Quezon 34th
Component Cities
Bacoor City, Cavite 4th
Antipolo City, Rizal 6th
Imus City, Cavite 8th
San Pedro City, Laguna 10th
1st and 2nd Class Municipalities
Cainta, Rizal 1st
Taytay, Rizal 2nd
General Trias, Cavite 3rd
Angono, Rizal 6th
Rodriguez, Rizal 9th
3 to 6th Class Municipalities
rd

Infanta, Quezon 1st


Pagsanjan, Laguna 4th

In 2015, many Calabarzon LGUs landed in the top 10 in either the Economic Dynamism
Pillar, Infrastructure Pillar or both. In addition, two 1st to 2nd class municipalities landed in

4
CMCI 2016 LGU Rankings: http://www.competitive.org.ph/cmcindex/pages/rankings/index.PhP.

Chapter 7: GOOD GOVERNANCE AND RULE OF LAW 53


the top 10 for all pillars. These are the municipalities of Cainta and Taytay both in the
province of Rizal.

Top ranking LGUs reported that investments have increased in their areas as a result of the
CMCI. An example is the City of Gen. Trias wherein Purefoods will expand its processing
plant worth PhP 8 billion, Robinsons availed of its tax holiday, and Unilever will soon to
follow. Likewise, Taytay, Rizal have reported increased visitors from nearby areas, new
investments in infrastructures, expansion of business establishments, housing facilities,
construction of warehouses for its garment industry, and recipient of numerous awards (i.e.
Galing Pook, GAD Best Implementer, Seal of Good Local Governance, etc.). In addition,
Infanta, Quezon boosted its tourism industry and investment for the development of
commercial port.

Streamlined Business Permit and Licensing System

The number of LGUs with streamlined Business Permit and Licensing System has increased
from 123 in 2015 to 138 in 2016. All LGUs were using the unified form. However, most of
the LGUs were non-compliant in terms of number of steps, number of signatories and
processing time (for renewal). The LGUs were set to undergo orientation and trainings to
capacitate them in formulating action plans/strategies for streamlining BPLS.

Seal of Good Local Governance Award

The Seal of Good Local Governance (SGLG) encourages and challenges all LGUs to
improve their performances and service deliveries on Financial Administration, Disaster
Preparedness and Social Protection, among others. For 2016, 17 LGUs in Calabarzon were
conferred with the SGLG awards. The three Provinces of Batangas, Laguna and Rizal, the
Cities of Bacoor and Imus in Cavite, San Pedro in Laguna, and Batangas City, and the
municipalities of Malvar, San Jose and Taal in Batangas; Carmona and Ternate in Cavite;
Los Baños in Laguna; Gumaca and San Antonio in Quezon; and Angono and Tanay in
Rizal were given the Seal of Good Local Governance.

With the more extensive requirements for the SGLG, there are fewer LGUs awarded with the
Seal compared to 26 LGUs in 2015. This presents the high standard of the SGLG and
connotes that LGUs awarded with the SGLG are very competent.

The LGUs conferred with the SGLG were awarded with the Performance Challenge Fund.

Full Disclosure Policy Portal Posting

The number of LGUs that are fully compliant with the Full Disclosure Policy Portal Posting
have been increasing from 89 percent in 2013, 93 percent in 2014, and 96 percent in 2015.
However, the rate declined to 88 percent in 2016 due to a system failure that led to the
accidental deletion of uploaded documents during the last quarter of 2016. The DILG -
Bureau of Local Government Supervision has now installed a mechanism to store the data
uploaded. The posting of documents in the Portal is one of the requirements in order to avail
of loans and to be conferred of the SGLG.

Chapter 7: GOOD GOVERNANCE AND RULE OF LAW 54


Strategic Performance Management System

For 2016, all regional line agencies (RLAs) were compliant with the Strategic Performance
Management System (SPMS). This is a seven percent increase compared to the previous
year. Likewise, agencies with functional SPMS increased to 94 percent this year from 89
percent in 2015, as a result of the effective advocacies and monitoring activities of the Civil
Service Commission. The SPMS is a tool in ensuring that the employees‟ performances are
aligned to the objectives and priorities of the organizations.

Anti-Red Tape Act

In 2015 compliance of RLAs to the Anti Red Tape Act (ARTA) showed that 24 RLAs got
excellent rating, 68 good, 7 acceptable, 1 failed, and 0 outstanding. In 2016, the CSC shifted
its target to LGUs, local water districts, state universities, and some branches of Landbank.
Out of the total 128 agencies surveyed, 2 received excellent ratings, 1 outstanding, 91 good,
and 4 acceptable. Thirty agencies were subjected to intervention such as the Service Delivery
Excellence Program to ensure delivery of excellent service to the public. The CSC continues
to advocate for the compliance of the RLAs to the ARTA to ensure better public service.

Plan Formulation

All the provinces in the Region have duly-endorsed Sanguniang Panlalawigan Disaster
Risk Reduction and Climate Change Adaptation - Enhanced Provincial Development
and Physical Framework Plans (DRR/CCA-PDPFP) since 2016. These PDPFPs outline the
long-term plans of the provinces towards achieving the desired development, sustainability
and resiliency.

On the other hand, reports show that in 2016, only 34 LGUs have approved Comprehensive
Land Use Plan (CLUPs), while 7 have are for approval by the Sanggunian, 15 are for
deliberation, and 4 for public hearing. Twenty LGUs need assistance in their CLUP
preparation and 48 LGUs are for monitoring.

Likewise, there were only 9 cities and 23 municipalities with Comprehensive


Development Plans.

Mainstreaming Gender and Development

For the last three years, the Region has been pursuing the mainstreaming of Gender and
Development (GAD). From 2014 to 2016, all Calabarzon LGUs have submitted their GAD
Plans and Budgets including their GAD accomplishment reports for 20165. This simply
shows the compliance of the LGUs to the implementation of the Magna Carta of Women.

Same as last year, all LGUs have designated GAD Focal Point System. Moreover, 58 percent
or a total of 86 of the Calabarzon LGUs have formulated GAD Codes in 2016. These include
5 Provinces, 13 cities, and 68 municipalities.

5
Department of the Interior and Local Government (DILG) Region IV-A Annual Report 2016.
Chapter 7: GOOD GOVERNANCE AND RULE OF LAW 55
Lupon Tagapamayapa Incentives and Awards

The Lupon Tagapamayapa Incentives and Awards recognizes the barangays with exemplary
performance in settling disputes at the grassroots level6. Each winner receives PhP 50,000.00
cash prize that will be utilized for development projects of the barangays relative to the
implementation of the Katarungang Pambarangay. The following were the 2016 winners for
the four categories:

• Barangay Marketview, Lucena City - Highly Urbanized City


• Barangay Mamatid, Cabuyao City, Laguna - Component City
• Barangay Cagsiay 1, Mauban, Quezon - 1st to 3rd Class Municipality
• Barangay Bataan, Sampaloc, Quezon - 4th to 6th Class Municipality

Drug Rehabilitation Interventions

The number of the rehabilitation interventions increased from 19,096 in 2015 to 29,536 in
2016. Likewise, the number of compliant clients under supervision, increased from 2,387 in
2015 to 2,769 in 2016. The increase was attributed to influx of referrals from the courts and
the Board of Pardons and Parole. The continuous interventions for the rehabilitation of clients
were extended by the dedicated and conscientious probation officers that despite lack of
officers, they continuously went out of their way to help these clients become productive and
law abiding citizens of the community.

However, the jail population increased from 14,545 in 2015 to 18,947 in 2016. The number
of drug-related inmates likewise increased from 8,107 in 2015 to 12,318 in 2016. This
increase is attributed to the Oplan double barrel and Operation Tokhang by the law
enforcement agencies.

Challenges and Prospects

The continuous improvement of the competitiveness ranking of the LGUs in Calabarzon


boosts the business-friendly environment in the Region. This attracts more investments and
businesses to locate and establish their enterprises that will eventually generate employment
opportunities. The rewards and incentives program of the government encourages the LGUs
to improve their services. Implementation of the Business Processing and Licensing System
will also improve efficiency and reduce cost of doing business.

However, improving the ranking and performance of the lagging LGUs, especially for
GIDAs, has to be pursued. Infrastructure and ICT connectivity must be put in place.
Likewise, advocacies and monitoring of anti-corruption efforts must be intensified.
Implementation of efforts which promotes transparency, accountability and efficiency up to
the barangay level should be improved. In addition, the implementation of anti-drug
campaign of the government congests the jail facilities as well as other peace and order issues
in the region must be addressed to facilitate a safe environment for the whole region and its
economy. It should be implemented in all provinces of Calabarzon.

6
Ibid.

Chapter 7: GOOD GOVERNANCE AND RULE OF LAW 56


CHAPTER 8
SOCIAL DEVELOPMENT
This chapter shows the social development accomplishments of the Region vis-à-vis its
targets from 2015 to 2016 on the following three sub-sectors: a) Health and Nutrition; b)
Education and Training; and c) Social Protection and Welfare. The facilitating and hindering
factors in the achievement of the regional targets were also discussed.

Assessment

Health and Nutrition

The Region achieved the targets on the following indicators: a) births attended by health
professionals; b) births delivered in health facilities; c) infant mortality ratio; d) under five
mortality ratio; e) tuberculosis (TB) case detection; f) TB success rate; g) malaria mortality;
h) malaria morbidity; i) regional health insurance coverage; and j) percentage of household
with access to safe water. The positive performance can be attributed to the improvement in
health facilities, implementation of new health programs, improvement in the service delivery
of basic health services, intensified health and nutrition advocacy campaigns, capacity
development for front liners, and increase in budget for TB control and vector-borne diseases.

Despite the positive performance of the Region in 10 out of 18 health targets, the Region fell
short on many of its targets particularly on the following indicators: a) maternal mortality
ratio; b) medical doctors to population ratio; c) nurses to population ratio; d) midwives to
population ratio; e) Human Immunodeficiency Virus (HIV) prevalence rate; f) contraceptive
prevalence rate; g) percent of one year old fully immunized children; and h) percentage of
households with sanitary toilets. The primary reasons for the non-attainment of targets were
due to insufficient health manpower, proximity of the Region to Metro Manila where HIV
cases are high, lack of counsellors on family planning, low availment of health and nutrition
interventions, limited knowledge on proper health and nutrition among mothers during
pregnancy, and lack of indispensable nutrition specific programs and projects, and limited
fund allocations.

Maternal and Child Mortality

Maternal mortality ratio slightly improved in 2016 at 63 deaths per 100,000 live births (Table
8.1). However, the Region is still far behind its target of 52 deaths per 100,000 live births.
Non-achievement of the target on maternal mortality can be attributed to weak coordination
among program implementers, poor service delivery networks and limited trained manpower.
At the local level, the low prioritization and lack of policies addressing maternal mortality
also contributed to the poor performance.

In terms of births attended by health professionals and proportion of births delivered in health
facilities, the Region posted positive performance with an increase of 3 percentage points
from 88 percent in 2015 to 91 percent in 2016 and 4 percentage points from 84 percent in
2015 and 88 percent in 2016 (Table 8.1). The positive performance can be attributed to
increase in advocacy activities for clients, conduct of pregnancy tracking, implementation of
Basic Emergency Maternal Obstetrics and Newborn Care Program in health facilities, and
improvement of health facilities through Health Facility Enhancement Program.
Chapter 8: SOCIAL DEVELOPMENT 57
Infant mortality rate increased from 9 infant deaths per 1,000 live births in 2015 to 10 infant
deaths in 2016. Despite a slight increase, the Region met its end of plan target on infant
mortality rate which is 22 infant deaths per 1,000 live births in 2016. On under-five mortality
rate, the Region recorded 13 deaths per 1,000 live births both in 2015 and 2016 and achieved
its end of plan target (Table 8.1). The attainment of the target on infant mortality and under-
five mortality can be attributed to improved service delivery of basic health services and its
intensified advocacy campaign.

Table 8.1. Mortality Ratios in Calabarzon, 2015-2016


2015 2016
Item
Target Actual Target Actual
Maternal Mortality Ratio
30 76 52 63
(per 100,000 live births)
Infant Mortality Ratio
25 9 22 10
(per 1,000 live births)
Under Five Mortality Ratio
25 13 25 13
(per 1,000 live births)
Source: DOH Region IV-A

Health Manpower

The provision of quality health services can be attributed to the increasing number of health
manpower in the Region. Although the end of plan targets for health manpower to population
were not attained, health manpower to population ratio significantly improved from 2015 to
2016. There have been significant increases in the number of medical doctors to population
such that the ratio decreased from 1:84,624 in 2015 to 1:56,052 in 2016 and the nurses to
population ratio also increased significantly and almost achieved its target ratio of 1:20,000.
The midwives to population ratio also improved from 1:12,542 in 2015 to 1:8,042 in 2016
(Table 8.2). However, challenges in hiring still arise such as low takers for doctor positions,
restrictions on the number of hired local LGU personnel as mandated by law, and
limited budget.

Table 8.2. Health Manpower to Population Ratio in Calabarzon, 2015-2016


2015 2016
Item
Target Actual Target Actual
Medical Doctors 1:20,000 1:84,624 1:20,000 1:56,052
Nurses 1:20,000 1:32,867 1:20,000 1:20,206
Midwife 1:5,000 1:12,542 1:5,000 1:8,042
Source: DOH Region IV-A

Chapter 8: SOCIAL DEVELOPMENT 58


Communicable and Non-communicable Diseases

In terms of communicable diseases, the Region posted increases on HIV and TB cases. The
number of HIV cases in the Region increased from 1,267 cases in 2015 to 1,426 cases in
2016 (Figure 8.1). The increase in cases can be attributed to the region‟s proximity to Metro
Manila, and the existence of ports that is associated with HIV cases. In 2016, the Region
achieved a TB case detection rate of 97 percent, exceeding the target of 90 percent. The
Region also attained the end of plan target of 90 percent on TB success rate in 2016
(Figure 8.1).

DOH Region IV-A attributes the increase in reported incidence as a positive result of
increased awareness on HIV testing. As compared to previous years, there was lower
awareness and advocacy regarding the existence of HIV testing facilities and clinics in
nearby areas and also inadequate equipment for testing.

Among the factors that contributed to the success rate of TB cases include intensified case
finding activities especially in vulnerable population, capability building for front liners on
TB control and prevention, shortened and enhanced treatment course regimen, increased
funding for TB control including purchase of TB drugs and partnerships with other
organizations in prevention and control.

Figure 8.1. TB Case Detection and Success Rates in Calabarzon


98%
97%
96%
96%

94%

92% 91%
90% 90% 90% 90% 90%
90%

88%

86%
2015 TB case 2016 TB case 2015 TB success rate 2016 TB success rate
detection detection
Target Actual

Source of data: DOH Region IV-A

Calabarzon has no reported cases on malaria mortality and malaria morbidity. According to
DOH Region IV-A, Cavite and Batangas provinces are declared Malaria-free. The success
was due to increase in the budget allocated for prevention and control of vector-borne
diseases, strengthened surveillance for both human cases and vectors of the disease and
partnerships with private medical providers. Meanwhile, sustained efforts are needed to
ensure the elimination of Malaria in Laguna, Quezon and Rizal provinces in the next
five years to be declared Malaria-free.

Chapter 8: SOCIAL DEVELOPMENT 59


Nutrition

The Region posted a slight decrease in the prevalence of underweight and severely
underweight preschool children from 5.12 percent in 2015 to 4.90 percent in 2016. However,
the Region did not achieve its target on decreasing underweight and severely underweight
children (Figure 8.2). According to the FNRI-DOST Updating Survey in 2015, the hindering
factors include low knowledge on proper health and nutrition among mothers during
pregnancy, poor caring capacity of mothers as manifested by poor infant and young
child feeding practice and poor implementation and low availment of health and
nutrition interventions for women during pregnancy.

On the other hand, there is an increasing prevalence of over-nutrition in the Region. There
was an increase of 2.14 percent from 2.16 percent prevalence in 2015 to 4.30 percent
prevalence in 2016 . Thus, the end of plan target of 1 percent over-nutrition was not attained
(Figure 8.2). Based on the FNRI-DOST Updating Survey (2015), over-nutrition in the Region
resulted from the high prevalence of bottle-feeding (55.2 percent) among infants, unhealthy
lifestyles due to rapid rise of fast food chains and convenience stores and physical
inactivity of people in the region.

In Calabarzon, the proportion of households with per capita intake below 100 percent dietary
energy intake is at 31 percent. This can be attributed to the lack of indispensable nutrition
specific programs including key projects that are capable of delivering planned nutrition
outcomes as stipulated in the Philippine Plan of Action for Nutrition (PPAN). Other
contributing factors include poverty, disaster vulnerability of some areas and high percentage
of food insecure households in the Region.

Figure 8.2. Nutrition Data in Calabarzon, 2015-2016


6.00%
5.12%
4.90%
5.00% 4.30%
4.48%
4.11%
4.00%

3.00%
2.16%
1.60%
2.00%
1.00%

1.00%

0.00%
2015 Underweight 2016 Underweight 2015 Prevalence of 2016 Prevalence of
and severely and severely over-nutrition over-nutrition
underweight underweight
Target Actual

Source of data: National Nutrition Council Region IV-A

Chapter 8: SOCIAL DEVELOPMENT 60


Other health and nutrition concerns

The Region did not meet its universal target on one year old fully immunized children and the
number of fully immunized children decreased from 65 percent in 2015 to 62 percent in 2016
(Figure 8.3). The late delivery of supplies and materials was cited as the primary reason for
lower coverage.

On the other hand, the Region was able to attain its 100 percent target on health insurance
coverage due to increase in funding allotted for health insurance of indigents.

Figure 8.3. Other Health and Nutrition Indicators in Calabarzon, 2015-2016


120.00%
100% 100% 100% 95% 100%
100.00% 62%

80.00%
65% 61%
60.00%

40.00%

20.00%

0.00%
2015 Health Insurance 2016 Health Insurance 2015 Percent of 1yr 2016 Percent of 1yr
Program Coverage Program Coverage old fully immunized old fully immunized
Target Actual

Source of data: DOH Region IV-A

The contraceptive prevalence rate increased from 25 percent in 2015 to 28 percent in 2016.
Despite an increase of 3 percentage points, the Region failed to reach its end of plan target of
36.10 percent (Figure 8.4). Failure to meet the target was due to inadequate number of
counsellors on family planning, delayed delivery of family planning commodities resulting to
stock-outs in the health centers, and problems on recording and reporting of the target client
list in health centers.

Households with sanitary toilets increased from 2015 to 2016 by 11 percentage points and
exceeded the end of plan target (Figure 8.4). Meanwhile, the number of households with
access to safe water increased from 60 percent in 2015 to 97 percent in 2016. Despite the
improvements, there is a still a need to improve data recording and reporting to validate
the results of environmental health indicators.

Chapter 8: SOCIAL DEVELOPMENT 61


Figure 8.4. Contraceptive Prevalence Rate, Access to Safe Water and Sanitary Toilets
120.00%
97%
100.00% 90% 90% 90% 90%

80.00%
60% 66%
55%
60.00%
34% 36%
40.00% 25% 25%

20.00%

0.00%
2015 2016 2015 HH with 2016 HH with 2015 HH with 2016 HH with
Contraceptive Contraceptive acces to safe acces to safe sanitary toilets sanitary toilets
Prevalence Prevalence water water

Target Actual

Source of data: DOH Region IV-A

Education and Training Services

Basic Education

The completion and cohort survival rates in all levels improved and exceeded the targets
which indicate better retention and reduced drop-out rates. However, enrolment data for SY
2015-2016, showed that the desired level of participation rate was not met.

Figure 8.5. Net Enrolment Ratio (NER) of Kindergarten, Elementary and Secondary
SY 2014-2015 and SY 2015-2016
100.00% 100.00% 100.00% 98.10% 100.00%
93.90%
95.00% 91.91%
90.00% 87.70%
85.00%
80.00% 76.96% 77.83%
75.00% 70.68%
70.00% 68.33%
65.00%
60.00% 55.20%
55.00%
50.00%
Kinder 15-16 Elem 14-15 15-16 Secon 15-16
SY 14-15 14-15
Actual Target

Source of data: Department of Education Region IV-A

The basic education fell short of its target for the SY 2015-2016 in terms of net enrolment.
The secondary level recorded the highest deficit at 32.5 percent while the elementary showed

Chapter 8: SOCIAL DEVELOPMENT 62


the lowest at 20.27 percent. Despite posting the highest (Net Enrolment Ratio) NER, the
biggest NER decline from SY 2014 to 2015 to SY 2015 to 2016 was recorded in elementary
at 14.08 percent. In Kindergarten, the ratio only decreased by 6.28 percentage points.

According to the 2016 Annual Poverty Indicators Survey (APIS), the top reason for children
not attending school in the Philippines among population 6-24 years old is early marriage and
family matters (42.3 percent). Such finding may require more effective teaching of Values
and Sex Education in the basic curriculum as well as strengthened guidance counseling
support for students with family problems. Other reasons cited were high cost of education
(20.2 percent) and lack of personal interest (19.7 percent). Families also migrate to other
location in search for jobs resulting to incomplete schooling of their children.

With the issues in school attendance cited in the 2016 APIS, some interventions were
implemented to augment the gap in the basic education sector and address the causes of non-
attendance to school. Among the prominent programs are the Alternative Learning System
for the out of school youth which aims to bring back the school drop-outs to school and the
conditional cash transfers or Pantawid Pamilyang Pilipino Program (4Ps) that is intended to
support education expenses of families. The possible effect of the 4Ps on the improved
completion rates for elementary and secondary levels in SY 2015-2016 by 12.53 and 4.59
percent, respectively, needs to be verified.

Table 8.3. Net enrolment, Completion and Cohort Survival Rates for Basic Education
SY 2014-2015 SY 2015-2016
Indicators
Accomplishment Target Accomplishment Target
Net enrolment rate in
76.96% 100.00% 70.68% increasing
kindergarten increased
Net enrolment rate in
91.91% 98.10% 77.83% 100.00%
elementary increased
Net enrolment rate in
68.33% 87.70% 55.20% 93.30%
secondary increased
Completion rate in
82.25% 81.10% 94.78% 82.50%
elementary increased
Completion rate in secondary
80.20% 75.30% 84.79% 75.50%
increased
Cohort survival rate in
84.79% 84.70% 95.26% 86.80%
elementary increased
Cohort survival rate in
82.67% 83.00% 86.35% 83.90%
secondary increased
Source: DepEd Region IV-A

Cohort survival rate in elementary surpassed its target by 8.46 percentage points and
improved by 10.47 percentage points during the same period. The secondary level, on the
other hand, also showed an increase of 3.68 percentage points from SY 2014-2015. The
improvement in student retention and completion can be attributed to existing DepEd Special
Curricular Programs and child protection policies including the Anti-Bullying Act of 2013,
feeding programs in partnership with LGUs and NGOs, and distribution of school supplies
and materials.

Chapter 8: SOCIAL DEVELOPMENT 63


Technical Vocational Education and Training

The Region performed well in terms of Technical Vocational Education and Training
(TVET) as it exceeded its targets on enrolment, graduates, persons assessed, persons
certified, and certification rate.

In 2016, TVET enrolment and graduation rate surpassed its target by 16.27 percentage points
and 27.96 percent points, respectively. Compared to 2015, the enrolment and graduation rates
improved by 8,457 and 22,552. The increase in the number of enrollees and graduates was
attributed to the effective implementation of programs and projects providing student
assistance and scholarships such as Private Education Student Financial Assistance, Training
for Work Scholarship, and Special Training for Employment Program, among others.

Figure 8.6. Number of Persons Assessed and Certified and Certification Rate
250000.00 100%

98%
200000.00 96%

94%
150000.00
92% Persons Assessed

90% Persons Certified


100000.00 Certifcation Rate
88%

50000.00 86%

84%

0.00 82%
2015 2016

Source of data: Technical Education and Skills Development Authority Region IV-A

The number of persons assessed under TVET also exceeded its 2016 target by 20 percentage
points and showed improvement compared to 2015 with an increase of 35,047 assessed
persons. The increase in the number of persons assessed indicates the growing recognition
and need of public and the industries on the importance of skilled workers‟ competence.
Various industries provide premium to employees and applicants who undertake TVET
assessment and certification. TESDA also imposed a mandatory assessment for all TechVoc
providers, contributing to the increase in the number of persons assessed.

Of the 204,289 individuals assessed, 88.4 percent passed the certification. While the 2016
certified individuals exceeded its target for the year of 85 percent, this is slightly lower than
the 2015 figure of 88.8 percent which can be due in part to the higher number of persons
assessed.

Higher Education

From the target of 55,660, the Region was able to achieve a total of 72,480 graduates; thus
exceeding its targets. This is also 10,607 higher than the graduates of the previous year.

Chapter 8: SOCIAL DEVELOPMENT 64


Majority of the graduates are from the fields of business administration, education science
and technology, and information technology-related discipline. On the other hand, few
graduated from fine and applied arts, and law and jurisprudence.

The Region improved its performance in higher education in terms of program certification,
masteral (MA) and doctoral graduates (PhD). Program accreditation, a quality assurance
mechanism to ensure that HEIs continuously improve, exceeded its target by 18 percent. In
2016, a total of 637 programs were accredited which increased by 26.4 percent from 469
programs in 2015. Moreover, Center of Excellence programs and Center of Development
programs also surpassed the 2016 target and showed an increase of 4 and 7 programs from
2015, respectively.

Table 8.4. COE Programs, COD Programs, and Number of Graduates in Higher Education
2015 2016
Indicators
Accomplishment Target Accomplishment Target
Center of Excellence (COE)
14 5 18 11
Programs
Center of Development (COD)
12 5 19 10
Programs
Higher education faculty with MA 2,211 2,211 7,748 7,586
Higher education faculty with
1,958 1,958 2,223 1,983
PhD
Higher education graduates
61,873 54,660 72,480 55,660
increased
Source: Commission on Higher Education Region IV-A

The grants included in the K to 12 Transition Program and other financial assistance offered
by CHED to HEIs may have contributed to the increase of the HEIs‟ accredited programs. An
increasing number of HEIs also included enhancement and accreditation of their programs in
their strategic plans and budget, recognizing the competitive and internationalization trends in
higher education.

The substantial rise in the number of MA graduates of 5,537 in 2016 was facilitated by
various graduate scholarships and other forms of assistance offered. Progress in faculty
development in terms of PhD attainment also increased by 12 percent to 2,223 in 2016 from
1,958 in 2015. This was encouraged by inclusion of post-graduate achievements in the
development programs of various academic institutions.

Social Protection and Welfare

Social protection expanded

The Region‟s poverty incidence declined from 11.9 percent in 2009 to 9.1 percent in 2015.
The decline in poverty incidence maybe attributed to the improvement in the overall
economic performance of the Region wherein the „transient poor‟ households or the
households that live just below the poverty threshold were able to cross the poverty line
because some household members might be able to find jobs or engage in business activities.

Chapter 8: SOCIAL DEVELOPMENT 65


Improvement in the living conditions particularly of the poorest households in the Region
because of the implementation of various social protection programs are yet to be ascertained.
Some programs that are expected to contribute in improving the living conditions of the poor
are: Pantawid Pamilyang Pilipino Program (4Ps) which provides conditional cash grants to
poor households, Special Program for the Employment of Students (SPES) under the
Bridging Employment Assistance Program for the Youth, assistance to child laborers,
Overseas Filipino Workers (OFW) and vulnerable workers, and social pension for poor
senior citizens.

In 2016, the target areas covered by 4Ps remained at 100 percent. However the number of
poor households covered by 4Ps decreased slightly by 3.7 percent from 328,256 in 2015 to
316,033 in 2016 (Figure 8.7) since some of the former beneficiaries of the program are now
classified as non-poor and some families were no longer eligible as their children have
finished college. The slight decline is also due to the DSWD moratorium on the approval of
encoded registration which means that no additional beneficiaries were included.
Furthermore, 100 percent of 4Ps beneficiaries were covered by the Philippine Health
Insurance Corporation.

Figure 8.7 HHs covered by CCT


340,000

335,000 333,795

330,000 328,256

323,765
Number

325,000

320,000 Targets
316,033 Actual
315,000

310,000

305,000
2015 2016
Year

Source of data: Department of Social Welfare and Development Region IV-A

Only 55 child laborers were assisted in 2016, which is relatively low compared to 1,636 child
laborers assisted in 2015. This may be attributed to the implementation of Child Labor
Program.

Overseas Filipinos (OFs) are among the most vulnerable since they are exposed to
exploitation. Thus, it is important that they are socially secured. However, in 2016, the
number of OFs covered by social security decreased from 100 percent in 2015 to 94 percent,
as some OFs became in-active or have stop paying membership contribution. Despite the
decrease in membership contribution, OWWA continues to provide social protection services
to both active and non-active members. The number of distressed OFs assisted decreased

Chapter 8: SOCIAL DEVELOPMENT 66


from 303 in 2015 to 41 in 2016 which may be due to poor information dissemination of
OFWs services at the local level, vigilance and better preparedness of OFs.

The youth beneficiary of Special Program for Employment of Students (SPES) decreased
slightly from 13,525 in 2015 to 13,221 in 2016, but is still above the target (Figure 8.8).
There was also an increase in fund allocation of local government units.

Figure 8.8. Youth provided with bridging employment assistance


13,800
13,600 13,525
13,400 13,221
13,200
13,000 12,874
Number

12,800
Targets
12,600 12,481
12,400 Actual
12,200
12,000
11,800
2015 2016
Year

Source of data: DOLE IV-A

The number of vulnerable workers provided with emergency employment surpassed targets
and more than tripled from 8,801 in 2015 to 31,261 in 2016 (Figure 8.9). The same is true for
workers enrolled in various social protection programs which increased significantly from
4,489 to 38,232. This may be attributed to the on-time submission of concerned LGUs of the
requirements for Tulong Panghanap Buhay sa Ating Disadvantaged/Displaced
Workers or TUPAD.

Figure 8.9. Vulnerable workers provided with emergency employment


35,000 31,261
30,000
25,000 21,478
Number

20,000
15,000 Targets
10,000 8,801 Actual

5,000 2,402
-
2015 2016
Year

Source of data: DOLE IV-A

Chapter 8: SOCIAL DEVELOPMENT 67


On the other hand, the number of workers in the informal sector provided with emergency
employment or livelihood assistance also increased from 5,992 to 6,971 (Figure 8.10) due
strengthened advocacy of the LGUs, Civil Society Organizations, and government agencies.

Figure 8.10. Workers in the informal sector provided with emergency employment
8,000
6,918 6,971
7,000
5,992
6,000
5,000 4,457
Number

4,000
Targets
3,000
Actual
2,000
1,000
-
2015 2016
Year

Source of data: DOLE IV-A

In contrast, the number of workers in the informal sector provided with emergency
employment and/or income augmentation under Bottom-Up-Budgeting (BUB) decreased
from 4,147 to 1,894 and the target was not met (Figure 8.11), due to the poor compliance of
the concerned LGUs on some of the requirements under the BUB. The Region failed to
utilize 100 percent of the BUB funds mostly due to political and environmental issues,
internal conflicts, and unliquidated grants.

Figure 8.11. Workers in the informal sector provided with emergency employment
under BUB
4500 4147
4072
4000
3500
3000
Number

2500 2232
1894
2000 Targets
1500 Actual
1000
500
0
2015 2016
Year

Source of data: DOLE IV-A

Chapter 8: SOCIAL DEVELOPMENT 68


The number of indigent senior citizens covered by social pension increased by 14.4 percent
from 72,285 in 2015 to 82,661 in 2016 (Figure 8.12) due to strengthened partnership and
better coordination with the LGUs. Despite the increase in the number of beneficiary senior
citizens, there are still issues related to out-of-date payrolls such as presence of deceased
beneficiaries, misspelled names, and lack of address of beneficiaries that needs to be
addressed to make the system for efficient.

Figure 8.12. Number of indeigent senior citizens covered by social pension


90,000.0 82,661
80,000.0 72,285
70,000.0
60,938
60,000.0 52,500
Number

50,000.0
40,000.0 Targets
30,000.0 Actual
20,000.0
10,000.0
-
2015 2016
Year

Source of data: DSWD IV-A

Access to Asset Reform

The number of hectares of land distributed under the Comprehensive Agrarian Reform
Program continuous to increase but not in a desirable pace. The Region was not able to meet
the target number of hectares to be distributed in 2016 having able to distribute only 2,116
hectares out of its total target of 4,799 hectares (Figure 8.13).

Figure 8.13. No. of hectares of land distributed under CARP


7,000
6,209
6,000
4,799
5,000
Number

4,000 3,566

3,000 Targets
2,116
2,000 Actual

1,000
-
2015 2016
Year

Source of data: Department of Agrarian Reform Region IV-A

Chapter 8: SOCIAL DEVELOPMENT 69


The land distribution process remains to be a hindrance in the achievement of targets. The
process of land distribution goes through four milestones, specifically: 1) claim preparation
and documentation; 2) survey; 3) valuation; and 4) Emancipation Patents and Certificate of
Land Ownership distribution.

Challenges and Prospects

Poor maternal and child health continue to be major development challenges of the Region.
Meeting the targets calls for more effective and innovative ways such that quality, reliable
and affordable health services are readily available for vulnerable populations and in remote
or isolated areas. There is also a need to identify mechanisms and strategies to improve
national, subnational, and local program implementation to maximize the increased budget
for health. The prevalence of under-nutrition, over-nutrition and HIV cases also needs
to be addressed before it worsens.

There are several prospects for improvement of health and nutrition status in the Region
which include increasing national health budget, intensive hiring and training of health
manpower, local government initiatives on first 1000 days program, implementation of
Executive Order (EO) No. 12 on Zero Unmet Needs for Family Planning, implementation of
the PPAN 2017-2022, active involvement of the private sector in addressing development
gaps, and established coordination between LGUs and government agencies.

To ensure that Calabarzon will achieve the sustainable development goals on health and
nutrition, the capability of front line officers in the delivery of health and nutrition services
needs to be continuously enhanced. There is also a need for sufficient fund allocations by the
national and local governments for the implementation of various health and nutrition
programs and projects. Since health is a devolved function to local governments, strong
political will is crucial in the improvement of health and nutrition services through the
formulation of ordinances regarding the implementation, monitoring and evaluation of
national and local health programs and projects. Furthermore, proper identification of gender
issues on health and nutrition can help in the provision of appropriate interventions towards
reducing inequalities.

Despite the negative performance of some of the health and nutrition indicators from 2015 to
2016, Calabarzon is not far from attaining the targets of the sustainable development goals
(SDGs) numbers 2 and 3 (i.e., maternal mortality, infant mortality, under-five mortality,
regional health coverage and ending the epidemics of HIV, TB, Malaria and other neglected
tropical diseases) since the Region‟s actual accomplishments in 2016 are within the targets
set in the SDGs. The challenge therefore is on how to sustain these accomplishments.

Aside from ALS and government subsidies, the declining level of access in basic education
highlights the need to guide parents and the importance of livelihood support especially to
poor rural families. The Region‟s 40 percent average passing rate in licensure exams for the
last three years also point out the need to improve the quality of education through enhancing
teaching methodologies, stringent monitoring of educational institutions, and strengthened
quality assurance mechanism.

The signing of the Free Higher Education Act will improve access to tertiary education in
SUCs. Higher education will also continue to benefit from the CHED K to 12 Transition
Program through its institutional grants and scholarships that can result to more accredited

Chapter 8: SOCIAL DEVELOPMENT 70


HEI programs and increase the number of post-graduate graduates in the priority fields of
Science, Technology, Engineering, Agriculture and Fisheries, and Mathematics. Furthermore,
the growing recognition of industries and academic institutions of the National Certificate
(NC), will further boost the demand and graduates of TVET.

In addition to the cash grant, the provision of rice subsidy to 4Ps beneficiaries will help
strengthen the delivery of social services in the Region. However, the presence of armed
conflict areas remains to be one of the challenges to the implementation of social protection.
Other identified challenges are the poor implementation, monitoring and liquidation of
projects at the local level.

Chapter 8: SOCIAL DEVELOPMENT 71


Chapter 8: SOCIAL DEVELOPMENT 72
CHAPTER 9
PEACE AND SECURITY
This chapter presents the peace and security situation in Calabarzon Region in 2016 and
compares it with the previous years.

Assessment

Calabarzon‟s peace and security situation remained stable in 2016. Insurgency related
problems and crime incidents were addressed by the proper authorities. The Armed Forces of
the Philippines (AFP) reported a decrease in the number of barangays affected by insurgency
and a decline in the capability of rebel groups in terms of manpower and firearms. The
incidents of theft, robbery and carnapping decreased contributing to the significant drop of
index crime volume in 2016 as reported by the Calabarzon Philippine National Police (PNP).
The current administration‟s campaign against criminality and the convergence efforts of
all stakeholders to promote peace and security has resulted to a safer environment
conducive to growth and development.

Armed Conflict

Calabarzon is still faced by insurgencies. The Region‟s mountains are favorable in concealing
rebel group activities. The Quezon-Bicol Zone has rugged terrain and thick vegetated areas
which can conceal insurgents during combat operations.

The Southern Luzon Command (SOLCOM) of the AFP is responsible in securing


Calabarzon. The Communist Party of the Philippines-New People‟s Army-National
Democratic Front (CPP-NPA-NDF or CNN) still is the main threat group.

The SOLCOM reported a decreasing trend in the CPP-NPA-NDF or CNN capability from
2012 to 2016, in terms of manpower, firearms, and affected barangays. This is due to the
continuous efforts of the government in addressing insurgency. The SOLCOM‟s operational
approaches include: a) sustained military operations; b) support to the peace process; c)
support to nation-building; and d) support to law enforcement.

Figure 9.1. CPP-NPA-NDF Capability, Southern Luzon and Bicol Regions, 2012 to 2016
800
700
600
500
MANPOWER
400
FIREARMS
300
AFFECTED BRGYS
200
100
0
2012 2013 2014 2015 2016
Source of data: Southern Luzon Command
Chapter 9: PEACE AND SECURITY 73
All provinces of the Region were declared as Conflict Manageable and Ready for Further
Development. This was achieved through full collaboration and cooperation of LGUs and
law enforcement and security agencies. Quezon province was declared as such on 8
September 2016 through a memorandum of undertaking signed by the Provincial
Government of Quezon, AFP and PNP. This is a major accomplishment that would promote
peace and development in Quezon which has long been troubled by insurgencies.

Likewise, the number of violent incidents from 2012 to 2016 generally decreased. The
mutually agreed ceasefires by the government and rebel groups contributed to the decline in
rebel group activities. The government and the communist rebel groups agreed indefinite
ceasefires in August 2016. There were 34 rebel group activities recorded in Luzon area prior
to ceasefire which decreased to four during the implementation of nationwide ceasefire.

Figure 9.2. Number of Violent Incidents, Southern Luzon and Bicol Regions, 2012 to 2016
140

120
85
100
79 76
80 74
47
BRPC
60 STRPC

40
35 37
20
19
15 14
0
2012 2013 2014 2015 2016

Source: Southern Luzon Command

The identified factors contributing to the existence of insurgency are issues in agrarian
reform, land conversion, ancestral domain, and coco levy. The insurgents capitalize on poor
infrastructures in rural areas, persistence of illiteracy in the countryside, incidences of
injustice, and absence or poor delivery of government basic services to advance their gains.

Vast agricultural lands in Quezon-Bicol Zone are still owned by landlords. This is being
exploited by rebel groups to gain support from local farmers. Insurgents grab agricultural
land from land owners and give it to its tenants, through this, “Utang na Loob” system is
established between insurgents and locals in the area. The Region showed progress on
Comprehensive Agrarian Reform Program (CARP) but was not able to meet its target on land
distribution with 88 percent already distributed to agrarian reform beneficiaries as of 2015.
Institutional barriers were identified as the main obstacle to the timely distribution of land.

Conflict affected areas in the Region are contiguous municipalities at the southern tip of
Quezon province which have poverty incidence greater than 20 percent. Delivery of
government services in conflict affected areas is not enough due to poor road network

Chapter 9: PEACE AND SECURITY 74


conditions and security issues. Bureaucratic related issues also hamper the effective delivery
of basic social services. Procurement issues such as lack of LGU counterpart fund is one of
the challenges encountered by DSWD in providing access to improved safe water supply to
more households.

Internal Stability

Crime volume increased from 2012 to 2016. A significant increase could be seen from 19,894
in 2012 to 35,878 in 2013 when traffic related incidents were included in crime volume
statistics in 2013.

Figure 9.3. Calabarzon Total Crime Volume, 2012 to 2016

Total Crime Volume

CY 2012 CY 2013 CY 2014 CY 2015 CY 2016

48,558
46,848
44,625

35,878

19,894

Source: Philippine National Police

Theft, robbery and carnapping decreased from 2013 to 2016. Index crimes decreased from
15,074 in 2015 to 12,920 in 2016. Non-index crimes increased in the same period as PNP
intensified their anti-crime operations and launched their campaign against illegal drugs.
However, murder increased in the same period from 1,445 in 2015 to 1,533 in 2016 due to
incidents related to illegal drugs.

On crimes against persons the Region recorded an average of 6,394 incidents per year from
2014 to 2016. On prevalent crimes, physical injuries recorded the highest with 10,045 or 23
percent of the total index crime in 2014 to 2016. On crimes against property, there were
7,226 robberies and 12,648 thefts or 28.94 percent of the total index crime, respectively.

Chapter 9: PEACE AND SECURITY 75


Table 9.1. Calabarzon Total Crime Volume, 2012-2016
Types of Crime CY 2014 CY 2015 CY 2016 Total
Crime Against Person 6,589 6,612 5,981 19,182
Murder 1,415 1,445 1,533 4,393
Homicide 241 283 232 756
Physical Injury 3,543 3,490 3,012 10,045
Rape 1,390 1,394 1,204 3,988
Crimes Against Property 9,116 8,462 6,939 24,517
Robbery 2,778 2,518 1,930 7,226
Theft 4,493 4,298 3,857 12,648
Carnapping 1,824 1,619 1,152 4,595
Cattle Rustling 21 27 0 48
Index Crime Volume 15,705 15,074 12,920 43,699
Violation of Special Laws 12,109 13,279 14,040 39,428
Traffic Incidents 12,250 13,741 16,084 42,075
Other Non-Index Crimes 4,561 4,754 4,474 13,789
Non-Index Crimes 28,920 31,774 35,638 96,332
Total Crime Volume 44,625 46,848 48,558 140,031
Source: Philippine National Police

Cavite province had the highest index crime volume from 2012 to 2016 followed by the
province of Laguna. In 2016 there was a drop on index crime in all the provinces of the
Region. Most of the crime statistics were recorded from city police stations of the Region.

Figure 9.4. Calabarzon Index Crime Volume, 2012-2016


INDEX CRIME
5000
4500
4000
3500
3000
2500
2000
1500
1000
500
0
Batangas Cavite Laguna Quezon Rizal
2012 2013 2014 2015 2016

Source: Philippine National Police

The Region‟s crime clearance efficiency rose to 67.38 percent in 2016 and there is an upward
trend in crime solution efficiency since 2013.

Chapter 9: PEACE AND SECURITY 76


Figure 9.5. Calabarzon Crime Clearance Efficiency and Crime Solution Efficiency,
2012-2016
80.00%

66.22% 67.38%
70.00%

60.00% 54.34% 55.77%


50.26%
48.01%
50.00% 44.47%
39.94%
40.00% 34.15% CCE
31.37%
CSE
30.00%

20.00%

10.00%

0.00%
CY 2012 CY 2013 CY 2014 CY 2015 CY 2016

Source: Philippine National Police

Drugs Infiltration

The current administration‟s campaign against illegal drugs aims to create a safe environment
for the people. PDEA Region IV-A certified six towns in Calabarzon as being “drug-
cleared” as of November 2016. These are: San Luis in Batangas; Luisiana, Cavinti, and
Magdalena in Laguna; and Plaridel and Pitogo in Quezon. This certification means that
municipalities have complied with the requirements of the Dangerous Drugs Board
Regulations No. 2 Series of 2007 on the parameters for declaring Drug-cleared barangays
including the revitalization and activation of the Barangay Action Plan and Barangay Anti-
Drug Abuse Council.

PDEA Region IV-A also arrested 237 drug-personalities in 2016 exceeding its target of 156.
There were 169 high value targets which exceeded its target of 81. These were accomplished
despite the challenge of lack of funds and limited personnel.

Despite the accomplishments against illegal drugs, there were issues on lack of rehabilitation
centers, different approaches and understanding on community-based rehabilitation and lack
of coordination among concerned agencies.

To address these issues, the Calabarzon Regional Development Council created the Regional
Taskforce on Drug Rehabilitation and the Technical Working Group (TWG) on Anti-Illegal
Drug Campaign. The Taskforce formulated a convergence mechanism to be used by the
regional agencies and the local government units. On the other hand, the TWG, chaired by
PDEA Region IV-A and composed of various agencies, formulated an action plan that will
minimize drug related influences in barangays, promote drug-free workplace in government
and private establishments and restrict movement of illegal drugs among provinces and
adjacent regions. The TWG on Anti-Illegal Drugs Campaign was reorganized into an
oversight committee on drugs to be consistent with Executive Order No. 15, series of 2017.

Chapter 9: PEACE AND SECURITY 77


DILG Region IV-A also launched on November 10, 2016 the Mamamayang Ayaw Sa
Anomalya, Mamamayang Ayaw sa Ilegal na Droga or the MASA MASID, a barangay-based
anti-criminality, anti-corruption, and anti-illegal drugs program which encourages multi-
sectoral partnership to intensify the spirit of volunteerism at the community level. The
barangays and law enforcement agencies pledged their support to reactivate the BADAC and
promote close linkages among each other.

Challenges and Prospects

The peace and security situation in the Region is seen to continually improve in the coming
years. The current administration‟s tough stance against criminality in addition to its support
to the peace process has created a more productive business climate and an environment
conducive to development and progress.

The civilian and military officials in the region are closely working together to support the
national government in attaining just and lasting peace and accelerating development. It will
continue to pursue peace agreements with the CPP/NPA/NDF and other rebel groups and
address root causes of insecurity by protecting and developing areas affected by conflict.
Some of the strategies identified to address root causes of insecurity are as follows:

 Fast track land distribution through CARP


 Enhance delivery of basic services by involving stakeholders from public and private
sector through PAyapa at MAsaganang PamanayaNAn (PAMANA). The PAMANA is
a program for peacebuilding offered to conflict-affected areas to improve the
quality of life in these areas
 Construct farm to market roads, bridges, and infrastructures connecting adjacent regions
to enhance economic activity in conflict-affected areas
 Mainstream peace and public safety education and building a constituency supportive of
the peace process with the Communists
 Collaboration of efforts between the civilian and military
 Convergence of efforts in accelerating development.

To support law enforcement, recruitment of police officers will be intensified and


collaborations among stakeholders in the war against illegal drugs will be further
strengthened. Calabarzon will also take advantage of current technologies such as installation
of closed-circuit televisions to curb crime and aid in crime investigations.

The Region already started adopting measures to strengthen its cyber security. Hostile groups
use social media to spread their propaganda. Hacking and similar activities also pose as threat
to data and information in the internet. Technology and safety procedures among others will
be implemented to block and prevent cyber security threats.

The Region will also address the issue on jail congestion and incorporate programs to
rehabilitate convicts and prevent repeat offenders. The Yakap Bayan for drug surrenders is
recommended for implementation in all provinces in Calabarzon. Moreover, recognizing the
value of human rights, it will be integrated into law enforcement such as by sustaining human
rights officer in law enforcement agencies.

Chapter 9: PEACE AND SECURITY 78


CHAPTER 10
C O N S E R VAT I O N , P R O T E C T I O N A N D
R E H A B I L I TAT I O N O F T H E
E N V I R O N M E N T A N D N AT U R A L
RESOURCES
This chapter discusses the elements of the environment in the region, such as forest, land and
water bodies. The prospects of environment and natural resources in the region are discussed
at the end of the chapter.

Assessment

Forest Cover

Calabarzon forest cover has increased by 95,406 hectares or 26.13 percent from 269,656
hectares in 2012 to 365,062 hectares in 2016 through the National Greening Program 7. The
Region had rehabilitated and reforested 21,130 hectares forest land area in 2016 due to the
provision of timely adequate financial and human resources support. A total of 25,359,557
seedlings have been planted in the NGP areas with expected 85 percent survival rate.

Table 10.1. Management of Forest Resources and Protected Areas in Calabarzon, 2012-2016
Indicators 2012 2013 2014 2015 2016
Open and denuded forest land area 10,700 29,087 23,180 22,009 21,130
reforested reduced (ha)
Forestland with forest cover
increased (ha) 269,656 298,743 321,923 343,932 365,062
Timber poaching hotspots 6 6 0 0 0
Mangrove area rehabilitated (ha) - 1,000 823 2,741 420
Number of coastal area with
- 11 14 62 58
biodiversity conserved
Terrestrial Protected Areas (PAs) 100% 100% 100% 100% 100%
Marine PAs (LGU designated) 4% 2% 2% 2% 4%
Percentage of critical habitats
- 0 0 36% 42%
effectively and equitably managed
by LGUs
Area of degraded coral reefs in
- 2,724 2,724 8,000 2,724
NIPAs marine PA rehabilitated
(ha)
Percentage of classified caves - - 43% 36% 42%
effectively managed by LGUs

7
EO 26 known as “National Greening Program” by former President Benigno Aquino was ended in 2016 that
seeks to reforest 102,560 hectares of open, denuded and unproductive forestlands in development of new
plantations and sustainable management of established plantations, as well as protection of existing forest
plantations. Hence, by virtue of EO 193 and DENR Administrative Order No. 2016-20, the coverage of NGP
expanded to cover the remaining unproductive open and denuded forestlands, extending up to 2028.

Chapter 10: CONSERVATION, PROTECTION AND REHABILITATION OF THE ENVIRONMENT 79


AND NATURAL RESOURCES
The Province of Quezon has planted the highest number with 17,876,830 seedlings in 16,356
hectares while the Province of Cavite has only planted 883,000 seedlings in 590 hectares
as it has the least available plantable open and denuded areas.

The total mangrove area rehabilitated significantly decreased from 2,741 hectares in 2015 to
420 hectares in 2016 due to lack of plantable area. The Region has achieved 132.34 percent
of its target reforested mangrove area of 3,766 hectares in 2016.

A total of 116,586 hectares have been reforested which is 113.67 percent of the targeted
102,560 hectares to be reforested by the end of 2016 as more participants from the NGOs,
LGUs and CSOs were encouraged to participate in the NGP. Although forest cover has been
increasing in the past years, ensuring the growth and survival of planted seedlings remains to
be a challenge.

The Region maintained 100 percent of its terrestrial protected areas while the marine
protected areas increased by 2 percent in 2015. Although, the 12 percent target of marine
protected areas was not achieved, partnerships among the stakeholders implementing coastal
management activities such as the DENR, DA, NCIP and LGUs were established. The LGUs
also recognized their role in environment and natural resources management through
formulation of local policies and provision of budget for projects that will support effective
management of coastal and marine protected areas.

Land Tenure

In 2016, 1,532 beneficiaries were given land titles in public alienable and disposal
agricultural lands while 2,969 beneficiaries were given land titles in residential areas. The
number of beneficiaries has been decreasing from 2012 to 2016 as the Region nears the
completion of distribution by 2015. Achievement of the target was made possible with the
harmonization of land administration, distribution and management related policies.
Adequate financial and institutional support were also provided particularly in development
of Sustainable Land Management projects within land degradation hotspots.

Table 10.2. Secured Land Tenure in Agricultural A&D and Residential Lands, 2012-2016
2012 2013 2014 2015 2016
Indicators
Baseline Target Target Actual Target Actual Target Actual
Number of
beneficiaries with
secured land tenure in
6,906 6,389 5,683 5,812 3,980 5,803 1,500 1,532
public agricultural
A&D lands completed
by 2015
Number of
beneficiaries with
6,257 2,747 3,909 3,980 2,883
secured land tenure in 3,911 4,097 2,969
residential lands zoned
as residential areas
Source: Department of Environment and Natural Resources Region IV-A

Chapter 10: CONSERVATION, PROTECTION AND REHABILITATION OF THE ENVIRONMENT 80


AND NATURAL RESOURCES
Disaster Risk Reduction Management

In December 2016, Typhoon Nina with an international name Nock-Ten, entered the
Philippine Area of Responsibility and made landfall over the Philippines eight times of which
four is in Calabarzon specifically in San Andres, Quezon, Verde Island, Batangas, Tingloy,
Batangas and Calatagan, Batangas. A total of 202,847 people in seven cities and 69
municipalities were affected with 4 dead, 4 injured and 18 missing recorded casualties. The
total damages and losses were estimated at PhP 1.287 billion with 62 percent in the Province
of Quezon and 37 percent in the Province of Batangas. Damages and losses are mainly on
infrastructure facilities and agricultural and livelihood activities amounting to PhP 681
million and PhP 606 million, respectively.

The Rehabilitation and Recovery Plan for Typhoon Nina was endorsed to the NDRRMC and
agency central offices for funding on 07 March 2017. The estimated total investment
requirement is PhP 2.572 billion for rehabilitation and recovery. About 45 percent or PhP
1.176 billion will be used to improve DRR-CCA resiliency of damaged public infrastructure
and utilities while PhP 961 million will be used in the provision of seedlings, farm
equipment, fingerlings, boats, and emergency employment, among others, PhP 302 million
will be for housing rehabilitation and PhP 133 million will be for provision of social services.

As the Region is vulnerable to geological and hydro meteorological hazards, capacity


building for LGUs, RLAs and other stakeholders were conducted specifically on contingency
plan formulation, incident command system ladderized courses, collapsed structure search
and rescue training and community based DRRM including PWDs, media practitioners, and
private sector. A quarterly earthquake drill was also conducted to minimize future damages
and losses and establish disaster preparedness.

Waste Management

The Region consistently decreased the volume of garbage disposed in landfills from 2012-
2016. In Table 10.4, the solid waste diversion rate increased to 60 percent in 2016 from the
diversion rate of 33 percent in 2012. Moreover, the number of LGUs compliance to RA 9003
“Ecological Solid Waste Management Act” consistently increased from 2012 to 2016. Out of
142 LGUs, 92.96 percent LGUs have a 10-year Solid Waste Management (SWM) Plan. The
LGUs were able to prioritize strategies that will help reduce waste and improve solid waste
management by strictly implementing the RA 9003.

Although the number of LGUs with SWM Plans increased from 28 LGUs in 2015 to 132
LGUs in 2016, only 51 LGUs have approved SWM Plan as Waste Analysis and
Characterization Study should be finished prior to SWM Plan formulation.

In terms of closure and rehabilitation of open dumpsites/controlled dump facilities, the


Region still has 8 open dumpsites (OD) including controlled disposal facilities (CDF) and 23
sanitary landfills in 2016. Though, the Region‟s only target is to close and rehabilitate 5 open
dumpsites/controlled dump facilities per year, a decreasing trend from 2015 to 2016 of
monitored OD and CDF signifies improvement and closeness to the goal of the Region to
close all ODs and CDFs by 2022. However, achievement of this goal still depends on the
implementation of the concerned LGUs.

Chapter 10: CONSERVATION, PROTECTION AND REHABILITATION OF THE ENVIRONMENT 81


AND NATURAL RESOURCES
Furthermore, increased in the MRF being monitored signifies achievement of continues
reduction of waste in the Region of which the DENR-EMB monitored 54 MRF in 2016 from
30 MRF in 2013. Increase in MRFs is important as it is where recyclables and other items
that have resale potential are delivered and sorted, ready for conversion into new products.
MRFs lessen the amount of garbage being brought to landfills.

Despite the improvement in waste reduction, reduction of household wastes is a major


challenge due to fast urbanization, increasing population and insufficient
implementation of wastes segregation.

Table 10.3. Solid Waste Management in Calabarzon, 2012-2016


Indicators 2012 2013 2014 2015 2016

Reduced volume of
garbage disposed in decreasing decreasing decreasing decreasing decreasing
landfills

Waste generation reduced decreasing decreasing decreasing decreasing decreasing

Solid Waste Diversion


33% 40% 43% 50% 60%
Rate
Number of LGUs
increasing increasing increasing increasing 23
compliance to RA 9003
132 LGUs
Solid Waste Management submitted but
1 2 6 28
Plan only 51 were
approved
Closure and rehabilitation
of open
5 5 5 32 15
dumpsites/controlled
dump facilities
LGUs with approved 10-
1 2 6 28 132
year SWM Plan
Monitoring of Materials
Recovery Facilities - 59 64 - 54
(MRF) increased
Open Dumpsite (OD)
38 39 41
monitored
Controlled Dump 46* 8*
Facilities (CDF) 45 49 43
monitored
SLF Monitored 16 16 19 20 23
Monitoring of MRF
- 43 increasing increasing 46
composting increased
Source: DENR-EMB Region IV-A
*includes OD and CDF

On hazardous waste monitoring, the Region has exceeded its target of monitored industries
under chemical control order, generators and transporters of hazardous waste, treatment
storage disposal facilities and healthcare wastes generators in 2016. This reflects that

Chapter 10: CONSERVATION, PROTECTION AND REHABILITATION OF THE ENVIRONMENT 82


AND NATURAL RESOURCES
industry wastes are regulated in the Region as implementing agencies intensify
monitoring of industries.

Table 10.4. Hazardous Waste Management Monitoring in Calabarzon, 2015-2016


2015 2016
Indicators
Target Actual Target Actual
Industries monitored under chemicals control
order (CCO) for mercury, cyanide, asbestos, 10 10 10 212
PCBs, lead
Generators with hazardous waste monitored 150 240 200 1,794
Treatment storage disposal (TSD) facilities
monitored 30 30 30 44
Transporters of hazardous waste monitored 20 20 20 53
Healthcare waste generators monitored 50 50 50 345
Source: DENR-EMB Region IV-A

Water Bodies

The Calabarzon Region is home to numerous lakes and rivers, including the largest lake in
the country. It is also surrounded by bodies of water in the east, west and southern area.
Protection and conservation of water resources are monitored to ensure water resources are in
acceptable levels to support the production of industries and meet the demand of households
in the region.

Laguna de Bay

Laguna de Bay is classified as Class C or fit for aquaculture operators, but not for contact
recreation such as swimming (Class B) based on its biochemical oxygen demand (BOD)
level. The average BOD of the lake was recorded at 2 mg/L which is within the target of less
than 7 mg/L.

As part of the River Rehabilitation Program, 12 clean-up activities were conducted in 2016
for the improvement of the water quality of the Laguna de Bay Basin. Although it decreased
from 19 clean-up activities in 2015, the LLDA still exceeded its target to conduct 3 clean-up
activities for 2016. A total of 140.52 tons of solid wastes was collected from several clean-
ups conducted in partnership with different stakeholders such as LGUs and private sectors.
LLDA partnership with the manila Water and Laguna Water in the construction of septage
and sewerage treatment facilities also helped to address the water pollution originating from
the domestic sources.

While the waterways can be cleared from solid wastes, there is a need to address the root
cause of water pollution from domestic sources.

On the other hand, under the Adopt-a-River Program, the targeted five rivers per year was
achieved in 2016 as the City of Muntinlupa and the Municipalities of San Pedro, Siniloan,
Bay and Los Baños, Laguna signified their intentions through a Memorandum of Agreement
to co-manage the water systems. However, sustainability of the project remains as an issue as

Chapter 10: CONSERVATION, PROTECTION AND REHABILITATION OF THE ENVIRONMENT 83


AND NATURAL RESOURCES
funding by the partner LGUs and industries which must be regarded since LLDA could only
provide technical assistance and monitor the program.

The Region has 36 water quality monitoring stations in the Lake and its tributaries of which 9
are specifically in the lake and 27 are in the tributary rivers.

Table 10.5. Water Quality and Management of Laguna de Bay, 2012-2016


2012 2013 2014 2015 2016
Indicators
Baseline Target Target Actual Target Actual Target Actual
Sustain average BOD
level of Laguna Lake 1.67 2 3 4.67 <7
2
within standard of
>7mg/L
No. of Monitoring -
636 613 853 664 469
Conducted
Number of structures
2 63 114 98 125 65
demolished
Area demolished
100 1,302 119 192 750 236.56
increased (ha)
Number of river
adopted under the
5 0 1 0 5 5
Adopt-a-River
Program
Number of Clean-up 5 14 15 19 3 12
Source: DENR-EMB Region IV-A

On the number of structures demolished, a decrease of 60 aqua structures in 2016 reflects


decreased hectare / area in the Laguna Lake with illegal fishpen and fishcages. Thus, signifies
improvement on the regulation and implementation of government policies.

Taal Lake

The Taal Lake is no longer part of the monitoring of the DENR-EMB Region IV-A effective
2015 as it is already a protected area with its own governing management. It is now under the
Taal Volcano Protected Landscape-Protected Area Management Board (TVPL-PAMB). The
DENR-EMB Region IV-A is now monitoring the Iyam–Dumacaan River in Lucena City.

Iyam-Dumaan River

The Iyam-Dumaan River is classified as Class C per water quality data collected in 2015 and
2016 which is intended beneficial for fishery water propagation and growth of fish and other
aquatic resources and agriculture, irrigation and livestock watering.

Chapter 10: CONSERVATION, PROTECTION AND REHABILITATION OF THE ENVIRONMENT 84


AND NATURAL RESOURCES
Table 10.6. Water Quality of Iyam-Dumacaan River, 2015-2016
Total Fecal
Year BOD Chlorides DO pH Phosphate TSS
Coliform Coliform
2015 6.00 - 6.93 7.03 0.43 12.58 124959.01 59994.92
2016 18.72 606.25 4.98 7.84 0.53 18.54 485241.18 171376.88
DENR
5,000
Class C Min. 5 200
<7mg/L 350 6.5-9.0 0.05 mg/L 80mg/L MPN/100
water mg/L MPN/10mL
mL
criteria
Source: DENR-EMB Region IV-A

For 2015 and 2016, the DENR-EMB conducted water quality sampling only in which in
Table 10.7, its water quality deteriorated in 2016 as its BOD increased to 18.72 mg/L from
6.00 mg/L in 2015 which exceeds the standard for Class C water of <7mg/L.

Rivers and Watershed

The water quality of major rivers in the Region improved in 2016 in terms of BOD levels
(Table 10.8) as a result of extensive conduct of information education campaign, multi-
sectoral clean-up activities, adapt-an-estero program, regular monitoring of industries and
operationalization of LGUs Water Quality Management Area (WQMA) 8. All these resulted
to increased awareness and participation in protecting the environment.

Table 10.7. Water Quality of Priority Rivers with BOD Level Not Within the Water Criteria
in Calabarzon, 2015-2016
2015 2016
Indicators
Target Actual Target Actual

Imus River (8 sampling stations) 9.29 11.98 8.82 7.125


Ylang-Ylang River (5 sampling
92.08 119.31 87.48 117.3
stations)
5% BOD 5% BOD
Rio Grande (5 sampling stations) 7.436 5.5
reduced reduced
Cañas River (6 sampling stations 5% BOD 5% BOD
6.214 3.16
reduced reduced
Source: DENR-EMB Region IV-A

The Calabarzon Environmental Summit in June 2016 showcased LGUs breakthroughs and
innovations in environmental protection and it is a testimony to the Region‟s efforts on solid
wastes, water and air quality management. Recognizing the efforts of the LGUs and
industries in implementing good practices in solid waste management and environmental
protection provides motivation to raise environmental consciousness and solicit support and
participation among the stakeholders.

8
Water Quality Management Area (WQMA) aims to rehabilitate, protect and preserve the water quality of the rivers to
sustain their economic and public health benefits through stakeholder collaboration.

Chapter 10: CONSERVATION, PROTECTION AND REHABILITATION OF THE ENVIRONMENT 85


AND NATURAL RESOURCES
Table 10.8. Water Quality of Bathing Beaches in Calabarzon, 2013-2016
Variance
2013 2014 2015 2016
2013 & 2016
Indicators
Fecal Total Fecal Total Fecal Total
Total Coliform Fecal Coliform Total Coliform Fecal Coliform
Coliform Coliform Coliform Coliform Coliform Coliform
Cavite

Bacoor Beach 26,113 15,493 50,638 28,851 112,446 57,259 16,971 7,251 9,142 8,242

Lido Beach 3,242 1,212 2,696 1,382 2,090 1,362 4,549 1,184 -1,307 28

Villamar Beach 5,672 1,326 1,183 500 1,908 903 5,125 697 547 629

San Isidro 18,017 4,030 14,304 6,240 58,348 37,354 56,897 15,854 -38,880 -11,824

Celebrity 13,911 4,144 27,780 14,670 83,766 67,528 46,749 27,425 -32,838 -23,281

Garden Coast 1,112 408 3,086 1,426 1,616 1,038 2,895 871 -1,783 -463

Costa Eugenia 3,491 1,226 3,800 1,224 2,336 1,611 7,164 3,667 -3,673 -2,442

Villa Criselda 2,238 1,269 2,113 597 2,988 1,715 5,800 3,938 -3,562 -2,669

Antonio‟s
843 389 503 307 312 193 887 583 -44 -194
Hideaway

Daloroy‟s Beach
381 156 789 233 210 111 505 176 -124 -20
Resort
Batangas
Laiya Beach

Laiya Coco
1,701 921 400 152 158 32 43 15 1,658 906
Grove Beach
86
Variance
2013 2014 2015 2016
2013 & 2016
Indicators
Fecal Total Fecal Total Fecal Total
Total Coliform Fecal Coliform Total Coliform Fecal Coliform
Coliform Coliform Coliform Coliform Coliform Coliform

Kabayan Beach
19,256 11,546 730 152 346 53 76 32 19,180 11,514
Resort

Eastern Beach
2,682 1,427 1,496 501 20 5 59 24 2,622 1,403
Resort

Virgin Beach
371 293 207 38 19 5 32 8 339 285
Resort

Blue Coral
Beach Resort 1,822 543 614 437 83 37 58 20 1,763 523

La Luz Beach
261 165 478 310 85 21 74 28 186 137
Resort

Lemery Beach
Labrisa 18,550 5,150 10,906 2,863 255 74 529 221 18,021 4,929
Leonor 3,674 920 16,176 8,696 387 80 630 207 3,043 713
CLM 7,638 3,738 17,800 2,108 112 30 332 157 7,305 3,580
Nasugbu Beach

Bucana 35,630 28,930 36,150 27,990 1,691 1,058 1,476 536 34,154 28,394
Johndell Beach 22,006 12,518 27,304 21,054 1,367 220 2,455 866 19,551 11,652
Vito Suns 45,753 16,050 22,342 13,032 1,225 369 6,526 3,226 39,227 12,824
Source: DENR-EMB Region IV-A
87
However, maintenance of the water quality of the Priority Rivers are still at risk due to solid
waste from informal settlers and other establishments such as backyard piggeries. Informal
settlements, without proper septage tanks or sewage system are the main sources of pollution
of rivers. Resettlement plans by the LGUs, supported by adequate financing and strict
implementation is crucial to move settlements away from the river side to reduce pollution
and clear the river systems from domestic waste.

In terms of Maintenance of water quality of bathing beaches in Calabarzon particularly in the


Provinces of Cavite and Batangas, the DENR-EMB follows the DAO No. 34 (Class SB)
standards of which the Total Coliform should be at 1000 MPN/100mL while the Fecal
Coliform should be at 200 MPN/100mL.

Though, the water quality of the bathing beaches in Calabarzon failed to meet the Class SB
standards, the water qualities of most bathing beaches especially in the Province of Batangas
improved in 2016 compared from 2013 due to continuous coordination of EMB to the resort
owners. With this, the resort owners made their own initiatives to improve the water quality
of the beaches.

Air Quality

Air pollution comes from methane emitted from open dumpsites, exhaust gas from vehicles
and waste from industries.

In order to improve air quality, the 2,185 industries with potential to pollute the air were
monitored in 2016.

Table 10.9. Air Quality With Potential to Pollute Air in Calabarzon, 2015-2016
Baseline 2015 2016
Indicators
Year Value Target Actual Target Actual
Industries monitored 2012 900 1,300 1,336 1,400 2,185
increased
Number of private emission 2012 38 38 49 38 60
testing centers monitored
Inventory conducted on 2012 1 1 1 1 1
greenhouse gases (GHG)
emission sources
Source: DENR-EMB Region IV-A

Challenges and Prospects

The major environmental issues facing the region are ensuring the growth and survival of
planted seedlings, reduction of wastes, particularly on domestic or household wastes,
maintenance of water quality within standards and disaster risk reduction. Strategic
interventions are identified to address each of the challenges.

Chapter 10: CONSERVATION, PROTECTION AND REHABILITATION OF THE ENVIRONMENT 88


AND NATURAL RESOURCES
Challenge on Ensuring the Growth and Survival of Planted Seedlings

Sustainability of active participation of partners and maintaining at least 85 percent survival


rate of planted seedlings should be monitored by expanding and strengthening the
partnerships with the NGAs, LGUs, SUCs, and CSOs through convergence approach and
adoption of ridge to reef approach.

Challenge on Reduction of Wastes

Though the industry wastes are regulated, the Region has difficulty in the reduction of
household wastes. Thus, could be mitigated through:
 intensifying IEC and coordination to LGU
 encouraging LGUs to strictly enforce local ordinances on wastes segregation
 achieve 100% SWM Plan Approval by and implementation by the LGUs through:
o coordinating with PGENRO and conduct of trainings on Wastes Analysis and
Characterization Study
o provision of assistance on preparation of 10 Year SWM Plan
 have additional sanitary landfills and MRFs
 promote waste to energy project as an alternative technology

Challenge on Maintenance of Water Quality Within Standards

Maintenance of water quality within the Class Standards remains an immense challenge to
the Region as it affects the health of the people and their livelihood. The strategies are:
 resolve massive fish kills in Laguna Lake due to insufficiency in oxygen which is the
effect of overcrowding and decreasing bathymetry of the lake by:
o dredging the lake to increase its depth
o delineation of fishpen to a strategic location
o reduction of fishpen areas to avoid overcrowding and enable poor fisherfolk to
utilize open spaces of the lake for their livelihood
 sustain efforts in the implementation programs such as clean-up activities and adopt-
a-river program
 strengthen IEC to develop environmental awareness culture and discipline
 sustain strict implementation of WQMA action plans
 penalize non-compliance of industries

Challenge on Disaster Risk Reduction

Disaster risk reduction should have zero casualty target by institutionalizing DRRMOs in all
municipalities and cities, strengthening close coordination with LCEs to encourage them to
include DRRM in their priorities, conduct capacity building for LCEs, hiring of personnel in
DRRMOs, training and provision of equipment.

Chapter 10: CONSERVATION, PROTECTION AND REHABILITATION OF THE ENVIRONMENT 89


AND NATURAL RESOURCES
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
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
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
DPWH Department of Public Works and Highways
DSWD Department of Social Welfare and Development

2016 Regional Development Report 90


DTI Department of Trade and Industry
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
NEDA National Economic and Development Authority
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
PNP Philippine National Police
PPA Philippine Ports Authority (Batangas and Marquez)
PSA Philippine Statistics Authority
SLSU Southern Luzon State University
TESDA Technical Education and Skills Development Authority
URS University of Rizal System

2016 Regional Development Report 91


Writers
In Pursuit of Inclusive Growth Theresa Jane G. Cajarte

Macroeconomy Aprille M. Suyat

Competitive Industry and Services Sectors Jennylyn P. Jucutan


Elisa I. Pandela

Competitive and Sustainable Agriculture and Revy Ann Grace Z. Jolongbayan


Fisheries Sector Nelson J. Aman, Jr.

Accelerating Infrastructure Development Engr. Josephine D. Hapil


Richard P. Engasa
Ray Michael Kevin H. Abuso
Haze Berlene P. Puno

Towards a Resilient and Inclusive Financial System Luningning D. Llames


Armina O. Espiritu

Good Governance and the Rule of Law Alvin Caezar V. Olanday


Benjamin Jose G. Bautista

Social Development Donna Riza P. Ronquillo


Jamie Angeli A. Gutierrez
Angela R. Llamas

Peace and Security Marlon T. Natividad

Conservation, Protection and Rehabilitation of the Laurece Francia R. Tanyag


Environment and Natural Resources Engr. Alan T. Del Socorro

SECTOR COORDINATORS Donald James D. Gawe


Marcelo Cesar R. Palacio
Agnes D. Daantos

EDITORS Engr. Josephine D. Hapil


Jennylyn P. Jucutan

ADMINISTRATIVE SUPPORT Arlita E. Lopez


Marilyn G. Cantor
Fria Shiela M. Bugarin

OVERALL COORDINATOR Valter L. Morada

MANAGEMENT RD Luis G. Banua


ARD Gina T. Gacusan

2016 Regional Development Report 92


NEDA Regional Office IV-A (CALABARZON)
2560 4/F Marcelita Building, Barangay Real
Calamba City, Laguna
(049) 545-7756/(049) 576-0148
rdc.calabarzon@gmail.com
http://calabarzon.neda.gov.ph/

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