A new law will speed up crucial infrastructure projects and ensure fair compensation for landowners. I, thus, welcome President Ferdinand Marcos Jr.’s signing of Republic Act No. 10752, or the Right-of-Way (ARROW) Act, into law.
Another game-changer after the North-South Commuter Railway, the legislation is designed to streamline the government’s acquisition of private land for public use. This process has historically been fraught with delays, disputes and legal challenges. We need a comprehensive law to reform existing regulations.
The ARROW Act represents a significant overhaul of right-of-way (ROW) acquisition policies. For years, infrastructure projects, from highways to power lines, have been stalled by complex land negotiations, litigation and disputes over property valuation.
With the new law in place, we have a clearer, more efficient framework that balances the public’s need for infrastructure development with the private property rights of citizens. It applies to a wide range of national government projects and public service facilities, including electricity, water, telecommunications and transportation.
It also introduces key reforms to prevent project delays and ensure a more transparent and equitable process.
Before any land acquisition can begin, the new law requires implementing agencies to create a Right-of-Way Action Plan (RAP). The plan serves as a proactive measure, ensuring agencies have a comprehensive understanding of a project’s impact and are prepared to provide fair compensation and relocation. The plan must include a detailed census of affected people, an inventory of their assets, estimated costs and a clear implementation schedule.
The law also addresses the long-standing issue of property valuation in which land compensation is based on the standardized system established by the Real Property Valuation and Assessment Reform Act (RA 12001).
This ensures landowners receive a fair price for their property through a transparent valuation system. If an approved schedule of market values is not yet available, the offer will be based on the Bureau of Internal Revenue’s (BIR) zonal valuation and the assessed value of improvements. The law outlines specific documentation requirements to ensure legitimate claims for untitled lands are recognized.
The ARROW Act amends the process for eminent domain, which is the government’s right to take private property for public use with just compensation. To prevent delays in expropriation proceedings, implementing agencies should deposit 15 percent of the land’s market value with the court when filing a complaint.
The deposit includes 100 percent of the replacement cost for improvements and 15 percent of the market value of crops and trees, providing immediate and substantial compensation to affected landowners.
The law takes a firm stance against legal obstacles designed to halt progress. It prohibits lower courts from issuing temporary restraining orders (TROs) on government infrastructure projects, a measure that directly addresses one of the most common causes of project delays. The prohibition ensures that critical public works can proceed without being held up by protracted legal battles.
For informal settlers, the law mandates better coordination between the Department of Human Settlement and Urban Development (DHSUD) and local government units (LGUs) in establishing and developing resettlement sites. This ensures that displaced residents have a structured and dignified path to relocation.
The new law extends its reach to private entities and holds them accountable for violations, with their officers potentially facing civil or criminal penalties. For public-private partnership (PPP) projects, ROW acquisition will be in accordance with the PPP Code of the Philippines of 2023 and its implementing rules and regulations.
The ARROW Act represents a significant step forward in modernizing and streamlining the process of infrastructure development. By expanding the number of government agencies involved in preparing the implementing rules and regulations, the law ensures a more coordinated approach to land acquisition.
The inclusion of key agencies, such as the Department of Agriculture, Department of the Interior and Local Government and Department of Environment and Natural Resources, will lead to a more holistic framework. It institutionalizes reforms that will prevent legal disputes and cost overruns while protecting the rights of landowners.
The law provides a clearer and more transparent process for balancing the government’s need to build essential public infrastructure with the protection of private property rights. This, in turn, will help facilitate crucial economic and social progress for the nation.