The Private Sector Advisory Council (PSAC) is recommending the establishment of a right-of-way (ROW) office under the Office of the President to streamline the land acquisition process—a major cause of delay for the government’s big-ticket infrastructure projects.
The PSAC, through its Infrastructure Sector led by Aboitiz Equity Ventures Chief Executive Officer Sabin Aboitiz, cited the ROW process as the biggest hurdle in the country’s infrastructure development.
It pointed out that lengthy legal disputes, court backlogs, and bureaucratic inefficiencies often delay this tedious process.
In a meeting with President Ferdinand “Bongbong” Marcos Jr., the advisory group said creating a standalone office to oversee this perennial issue will help accelerate the completion of projects under the administration’s “Build Better More” initiative.
The proposed office is expected to resolve conflicts in ROW execution alongside relevant government agencies.
In particular, it will assign dedicated lawyers to each priority industry, which includes transportation, energy, telecommunications, and water.
Marcos, for his part, agreed on the need for a dedicated office to address the infrastructure backlog once and for all.
“The ROW Office, certainly I think that we have to do it. We have to do something as this is something that always comes up and the main reason why we are always delayed and we have added cost,” he said.
The Metro Manila Subway Project, which was initially slated for partial operations by 2028, is now expected to open for commuters in 2032.
The Department of Transportation (DOTr) earlier said this project is now delayed due to ROW issues.
Other railway projects, such as the North-South Commuter Railway (NSCR) and LRT-1 Cavite Extension, also face similar challenges—prompting further delays.
PSAC noted that ROW are made even more complicated by limited government funding.
As such, the council recommended that a portion of the Motor Vehicle Users Charge (MVUC)—the tax collected upon vehicle registration—be utilized in land purchases.
It added that a multi-year obligation allocation is more appropriate to ensure continuous funding for ROW concerns instead of relying on annual budget cycles.
In response, Marcos said the funding requirements for ROW can be included in the proposed ROW Act. The bill is currently awaiting approval from the Senate.
Pending further developments, the DOTr has adopted “out-of-the-box solutions” for those affected by ROW.
Transportation Secretary Vince Dizon told PSAC that the agency currently grants interim rental subsidies to informal sectors that the infrastructure projects would displace.
Under this policy, each family will get ₱7,000 monthly for the next 18 months to support their temporary relocation.
While this is ongoing, the government will prepare a housing project where they can relocate permanently.
Dizon said this subsidy system has been rolled out for the Malolos-Clark railway project, which will affect 2,500 families of informal settlers.