Disaster Risk Mitigation and Adaptation in the Philippines: Assessment and Recommendations

2015/FMP/SEM1/016 Session: 6 Disaster Risk Mitigation and Adaptation in the Philippines: Assessment and Recommendations Submitted by: GIZ-RFPI Asia Seminar on Disaster Risk Finance APEC Roadmap for Resilient Economies Bacolod, Philippines 29-30 April 2015

Disaster Risk Mitigation and Adaptation in the Philippines: Assessment and Recommendations Jimmy Loro Senior Advisor, GIZ RFPI/RIICE APEC Roadmap for Resilient Economies Conference, Bacolod, Negros Occidental, Philippines 29/04/2015 company presentation Page 1

Outline: Background Disaster Risk Reduction and Management (DRRM) Act and Related Policies Disaster Risk Finance DRRM Initiatives DRRM and DRF during Typhoon Haiyan DRRM Assessments and Proposals Page 2

Background Page 3

Background Page 4

Disaster Risk Reduction and Management (DRRM) Act and Related Policies National Government Policy Pre-Disaster Post Disaster Prevention Preparedness Mitigation Response Recovery and Rehabilitation RA 9729: The Philippines Climate Change Act RA 7586: National Integrated Protected Areas System RA 10121: The Philippine Disaster Risk Reduction and Management Act of 2010 RA 7160: Local Government Code of 1991 RA 8371: Indigenous Peoples Rights Act RA 6657: Comprehensive Agrarian Reform Program RA 7279: Urban Development and Housing Act of 1992 RA 6541: National Building Code of the Philippines RA 8550: Fisheries Code Page 5

Disaster Risk Finance Pre-Disaster Post Disaster National Government Prevention Preparedness Mitigation Response Recovery and Rehabilitation Budget Support National Disaster Risk Reduction and Management Fund National Disaster Risk Reduction and Management Fund RA 10174: Peoples Survival Fund Act General Appropriation s Act (GAA) General Appropriation s Act (GAA) Disaster Management Assistance Fund (DMAF) Priority Development Assistance Fund (PDAF) Page 6

Disaster Risk Reduction and Management (DRRM) Act and Related Policies Pre-Disaster Post Disaster National Government Prevention Preparedness Mitigation Response Recovery and Rehabilitation Initiatives DENR Geohazard Mapping and Assessment Program Mines and Geosciences http://gdis.denr.gov.ph/mgbvi ewer/ Revised Implementing Rules and Regulations of the New Building code Coordination and mainstreaming among national agencies on disaster preparedness and response through the National Disaster Risk Reduction and Management Plan Disaster Management Trainings Regulatory Framework on Microinsuranc e Roadmap to Financial Literacy -- Regional Microinsuranc e Advocacy National Government Agencies response during natural calamities of significant proportions (2 nd line of response) Page 7

Disaster Risk Reduction and Management (DRRM) Act and Related Policies Pre-Disaster Post Disaster National Government Prevention Preparedness Mitigation Response Recovery and Rehabilitation Initiatives Local Government Units Policy DOST Project NOAH Flood Maps http://noah.dost.gov.ph/ MI Product development Prevention Preparedness Mitigation Response Recovery and Rehabilitation Community Land Use an Planning RA 7160: Local Government Code of 1991 LGUs communitybased disaster management of own area (1 st line of response) Page 8

Disaster Risk Reduction and Management (DRRM) Act and Related Policies Pre-Disaster Post Disaster National Government Prevention Preparedness Mitigation Response Recovery and Rehabilitation Budget Support Initiatives National Disaster Risk Reduction and Management Fund 70% of the LGU Calamity fund (5% of IRA) used for disaster preparedness trainings, purchase of equipment, repair of related public infra General Appropriations Act (GAA) Donor community 30% of LGU Calamity Fund (5% of IRA) allocated for response Priority Development Assistance Fund (PDAF) Page 9

DRRM and DRF During Super Typhoon Haiyan Budget call for started in December 2012 2013 Budget implementation 70% of Calamity Fund available/used for DRRM Trainings Jan-Oct 2013 7 November LGU 30% Calamity Fund fully spent Typhoon Haiyan/Yolanda made landfall on 7 November LGUs, as first line of defense, severely affected National Government response Budget approved by President Aquino Office of the Presidential Assistant on Rehabilitation and Reconstruction created December 2013 Page 10

DRRM and DRF During Super Typhoon Haiyan Budget call for started in December 2012 2013 Budget implementation 70% of Calamity Fund available/used for DRRM Trainings Jan-Oct 2013 7 November LGU 30% Calamity Fund fully spent Typhoon Haiyan/Yolanda made landfall on 7 November LGUs, as first line of defense, severely affected National Government response Budget approved by President Aquino Office of the Presidential Assistant on Rehabilitation and Reconstruction created December 2013 Microinsurance provided quick pay-outs of Php532 million to 111,000 claims until July Page 11

DRRM and DRF During Super Typhoon Haiyan approved budget "irrelevant" to LGU needs Public vetting by OPARR on priority projects January Significant demand for infra, social services, resettlement LGU funds not enough despite budget realignments OPARR Plan finalized December Microinsurance provided quick pay-outs of Php532 million to 111,000 claims until July Page 12

DRRM and DRF During Super Typhoon Haiyan Budget call for started in December 2012 2013 Budget implementation 70% of Calamity Fund used for DRRM Trainings Jan-Oct 2013 7 November Budget approved by President Aquino Typhoon Haiyan/Yolanda made landfall on 7 November 30% Calamity Fund activated, used Office of the Presidential Assistant on Rehabilitation and Reconstruction created December 2013 approved budget "irrelevant" to LGU needs Public vetting by OPARR on priority projects January Significant demand for infra, social services, resettlement Budget reallignment by LGUs OPARR Plan finalized December Microinsurance provided quick pay-outs of Php532 million to 111,000 claims until July Page 13

DRRM and DRF During Super Typhoon Haiyan Budget call for started in December 2012 2013 Budget implementation 70% of Calamity Fund used for DRRM Trainings 7 November Budget approved by President Aquino approved budget "irrelevant" to Typhoon Haiyan/Yolanda Office of the Presidential LGU needs Significant demand LACK made landfall on 7 OF Assistant on Rehabilitation ACCESS Public vetting by for infra, social TO November and Reconstruction created 30% Calamity Fund OPARR on priority services, resettlement activated, used projects Budget reallignment by LGUs January December Jan-Oct 2013 2013 FINANCE IN MSMEs OPARR Plan finalized December Microinsurance provided quick pay-outs of Php532 million to 111,000 claims until July Page 14

DRRM and DRF During Super Typhoon Haiyan Budget call for started in December 2012 2013 Budget implementation 70% of Calamity Fund used for DRRM Trainings Jan-Oct 2013 7 November Budget approved by President Aquino Typhoon Haiyan/Yolanda made landfall on 7 November 30% Calamity Fund activated, used Office of the Presidential Assistant on Rehabilitation and Reconstruction created December 2013 approved budget "irrelevant" to LGU needs Public vetting by OPARR on priority projects January Significant demand for infra, social services, resettlement Budget reallignment by LGUs OPARR Plan finalized December Market Disruption = Delay in normalization Microinsurance provided quick pay-outs of Php532 million to 111,000 claims until July Page 15

Key Points: Assessments Significant risk on sustained economic development in highly at risk areas Effective implementation of Community Land Use Development Plans (CLUDPs) is overcome by private owners and their decisions over use of lands Public finance is spent for all damages, including those caused by private infrastructures built on high risk areas Policies on land use and development has not reflected new norm Existing supply and value chains are not climate smart, and are continuously exposed to NatCat risks Page 16

Key Points: Proposals Need for a climate and NatCat-proof National Land Use Act Strengthened use of Community Land Use Development Plans (CLUDPs) in LGU Land Administration Expanded use of Geo-Hazard Maps as: basis and foundation for CLUDPs basis for Municipal Development Plans basis in designing activities for the 70% of LGU Calamity Fund additional basis of environmental studies for the issuance of Environmental Compliance Certificates (ECC) additional basis for real property taxation Page 17

Key Points: Proposals Expanded use of Geo-Hazard Maps as: Comparatively higher taxes on commercial establishments built on high risk areas Preparation and yearly updating of community-based worst case scenario planning and DRRM budgeting to focus on: Infra audit: location, modeling on possible damages due to specific NatCats, and cost projections (refit, repair, rebuild) Worst NatCat-based LGU planning for the Calamity Fund (70% for preparation; 30% for response) Intervention-specific fund release by National Government to LGUs, after NatCat event, using models, LGU plans and actual scenarios Page 18

Key Points: Proposals Mass evac scenario-building, planning, and random drills Strengthening electronic information collection, access/sharing and archiving Use of latest technologies (ex. Remote Sensing) for DRRM assessment and response Adoption of Climate Smart technologies for supply and value chains, to include worst case scenarios assessment, planning and simulation of Climate Smart supply and value chain models particularly to support local DRRM response creation of logistics master plan during severe NatCat scenarios Climate and NatCat-proofed logistics mechanism needed Page 19

Key Points: Proposals Development of NatCat products for various levels Macro (Nat l Govt), Meso (LGU) and household access to DRF instruments (insurance pools; micro/insurance) Page 20

Thank you for your attention Jimmy Loro Senior Adviser - Lead Expert GIZ Regulatory Framework Promotions of Pro-Poor Insurance Markets in Asia/ Remote Sensing-Based Information and Insurance for Crops in Emerging Economies (RIICE) Deutsche Gesellschaft fur Internationale Zusammenarbeit (GIZ) GmbH German Development Cooperation GIZ- RFPI Asia Insurance Commission Complex 1071 UN Avenue, Ermita, Manila 1000 Philippines T: (02) 353.1044-45 M: 091988410734 F: (02) 353.1045 E: jimmy.loro@giz.de I: www.giz.de/philippines Page 21