The poorest who need housing the most are left out in the 4PH Program

Photo by Rappler

 

Urban poor groups, on the eve of President Marcos Jr.’s second State of the Nation Address (SONA), criticized the administration’s social housing program for its being “overly dependent” on private developers and “downright discriminatory” against the poorest of the poor.

 

Declared as the administration’s flagship program, the Pambansang Pabahay Para sa Pilipino (4PH) aims to produce one million “affordable” housing each year to address the cumulative housing backlog of some 6.8 million.

 

But leaders of urban poor organizations in a joint statement declared: “The program is neither affordable nor equitable for the poorest among the homeless Filipinos. Pagkatapos ng anim na taon, maaring nagkabahay ang mga naka-aangat pero ang mahihirap ay hindi,” stated the groups.

 

The urban poor network explained that under this private-led housing development program, only the lower to middle-income families can avail of the ₱1.1 - ₱1.5 million housing loan from Pag-ibig as the poorest of poor, estimated to be 1.7 million of the 6 million beneficiaries, cannot afford a monthly amortization of at least ₱4,000.

 

Housing loans under 4PH is significantly higher than the current loanable amount of up to ₱750,000 for socialized housing under Pag-ibig, with a monthly amortization of ₱2,445/month available for minimum wage earners and low-income families.

 

But informal settler families (ISFs) live under vulnerable conditions of unemployment and underemployment as most of them work in the informal economy with irregular income, the groups said.

 

The ₱4,000 estimated monthly amortization the groups said was based on the 1% interest rate which is the only cost that will be assumed by the government. Pag-ibig imposes a 3% interest rate for socialized housing loans but under the 4PH, only 1% shall be paid by the applicant. The rest of the costs in building the units will be assumed by private developers but which shall also be charged to household beneficiaries through Pag-ibig.

 

But because the proposed housing design is high rise, the urban poor leaders said additional costs for the maintenance and operations of said buildings like elevators and other amenities shall be borne collectively and may incur additional monthly dues of ₱2,000 per household. This would mean a family’s total monthly expenditure for housing at ₱6,000.

 

“Records would show, however, that even for existing NHA projects, only 22% of informal settlers are able to meet the monthly amortization of ₱300. ₱6,000 is twenty times higher than the current NHA cost, making the 4PH an impossible dream house for the poorest of the poor. Hindi pa nagsisimula ang proyekto ay disqualified na ang mahihirap,” said the group.

 

Alternatives

 

Citing a dire need to address the burgeoning housing crisis, the urban poor leaders said they are willing to work with the government with an alternative mechanism that they would like to propose.

 

These include a major proposal for the government to make land acquisition and site development for socialized housing a grant to drive down the cost further and make the program more affordable for the poorest of the poor.

 

The groups also want the framework of “People’s Plan” adopted by the government through the enactment of the People’s Plan bill filed in Congress to ensure that ISFs are not merely treated as “market” in the socialized housing industry but as major partner and participants for realizing the social objective of eliminating homelessness in the country.

 

It is in the People’s Plan, they said, that a flexible housing program can be formulated democratically which may include, among others, lower cost and mixed-use development of the housing estates.

 

Lastly, the groups are also opposed to extending the NHA Charter because of the agency’s failure to solve the housing problem for decades and the recent creation of DHSUD. As an alternative, they propose that the housing projects under the NHA be distributed free for the beneficiaries in the same way lands were condoned for agrarian reform beneficiaries (ARBs) in the rural areas.

 

“Kung ang ARBs sa kanayunan ay nabigyan ng Pangulo ng condonation at emancipation sa kanilang mga utang, maari din itong gawin para sa mga ISFs ng kalunsuran,” the group concluded.

23 July 2023

Urban Poor Leaders Network

For more info you may contact:

 Ver Estorosas

Alyansa ng Maralitang Pilipino

09423690337

 

Rodel Rubias

HOA Resettlement Alliance

0928 729 6269

 

Jonathan Chua

Laban ng Maralitang Sektor

09610230159

 

Nestor Yaranon

Kilos Maralita

09239770681

 

Vicente Barlos

President

Alliance Peoples Organization in  Lupang Arenda (APOLA)

09437091266

 

Jonjon Elago

President, ULAP-Confed

09218202998