THE Department of Human Settlements and Urban Development (DHSUD) and Habitat for Humanity have identified Mandaue City as their pilot local government unit (LGU) for the countrywide implementation of the inclusive green housing microfinance program for low-income families.
This program gives low-income families access to credit to buy climate-resilient homes.
Rowena Dineros, OIC director for Public Housing and Settlements Service of the DHSUD, said they picked Mandaue City as the pilot LGU because of the City’s already strong adoption of green initiatives in its area.
In March this year, the Mandaue City Council approved an ordinance giving tax incentives to those who construct buildings that contribute to the reduction of greenhouse gas emissions and help minimize the impact of buildings on health and the environment.
Ordinance 163-2023, an amendment to City Ordinance 13-2015-1047 known as the “green building ordinance” enacted in 2015, was approved on its third and final reading on March 31.
The City also has a 500-unit socialized housing development project in Barangay Tipolo pegged as a green project.
“Mandaue is the ‘greenspot’ in the industry because they have been one of the early adopters. It’s a great foundation to start with,” Jessan Catre, Philippine country director of Habitat for Humanity-Terwilliger Center, said in an interview during the “Building a ‘Greenclusive’ Construction Industry” forum on June 24.
“With the mayor’s intent that green is inclusive, we look at Mandaue as a perfect area where national policies would be tested,” added Catre.
Catre believes having a local chief executive who is a believer in inclusive and green initiatives is critical in the fast adoption and roll-out of inclusive green microfinance programs, especially among low-income families.
Mandaue City currently suffers a 14,000 housing backlog.
“We will map out the areas where the green microfinance will be tested. We don’t want to go wide immediately. We will work with the Mandaue LGU and the concerned government agencies,” Catre said, adding that Habitat for Humanity also has a lot of partner microfinance institutions.
(Housing backlogs)
Nationwide, the country logs 6.4 million housing backlogs, of which 3.7 million come from the country’s lowest-income segment.
Green and inclusive finance focuses on all instruments, products and services that address climate change: mitigation and adaptation; solutions for waste, water and sanitation management; land management and ecosystem conservation; organic farming; access to clean and reliable energy; and energy efficiency.
It also applies housing microfinance practices with housing microfinance innovations.
Affordability remains a major block for many Filipinos to own houses, especially those considered climate-resilient ones.
This is the reason, DHSUD, according to Dineros, advocates for a public-private-partnership program for green and inclusive home microfinancing that targets informal settlers.
“Going green is not expensive... We can adopt ways and strategies to bring down the cost within their means. We can devise ways such as updating the housing microfinance product manual that sets the process and requirements for every household (on how) to avail themselves of this green technology under the microfinance program,” she said.
Dineros said green development involve projects that reduce the use of carbon footprints and make use of resources that promote sustainability and energy efficiency.
“These green technologies, I believe, should be available to all households in the country,” she added.
“Design should be for all,” Catre added.
“(This is) because right now professional architectural, interior design and engineering are usually for high and middle-income homeowners. Design is very important to be resilient and green. Services like these should also be made available to low-income homeowners,” Catre explained.
The forum was organized by key stakeholders in the region’s construction industry including the Cebu Contractors Association, Habitat for Humanity’s Terwilliger Center for Innovation in Shelter, DHSUD, Philippine Institute of Interior Designers-Cebu Chapter and the United Architects of the Philippines-Cebu Chapter. (KOC)