July 22, 2025
Written By. Severo C. Madrona Jr.
As the Philippines faces another typhoon season, the urgency to strengthen disaster risk reduction (DRR) efforts is clear. The country’s vulnerability to natural disasters, worsened by climate change, highlights the need for proactive and inclusive strategies. While Republic Act No. 10121 or the Philippine Disaster Risk Reduction and Management Act of 2010 provides a solid foundation for disaster management, enhancing the law to foster meaningful public-private partnerships (PPPs) is essential. The private sector’s resources, innovation, and expertise can complement government efforts, but the current framework lacks sufficient incentives and guidance.
The 2024 Asia-Pacific Ministerial Conference on Disaster Risk Reduction (APMCDRR) emphasized PPPs' vital role in climate-resilient infrastructure. DEPDev (formerly NEDA) Secretary Arsenio Balisacan noted that limited fiscal space, worsened by the pandemic, necessitates stronger PPP frameworks to fund disaster-resilient projects. While PPPs largely focus on connectivity, significant initiatives in water supply, flood control, and irrigation are underway. President Ferdinand R. Marcos Jr. stressed that sustained funding and pre-disaster planning are critical to building resilient communities.
Addressing Gaps in Private Sector Involvement
A key weakness of Republic Act No. 10121 is its lack of actionable mechanisms to integrate the private sector into disaster resilience efforts. While the law promotes a “comprehensive, integrated, and proactive” approach to disaster management, it does not clearly define how businesses can contribute beyond post-disaster recovery. As a result, private sector participation is often limited to donations and relief, leaving prevention, preparedness, and mitigation underutilized. Amending the law to actively encourage private sector investment is crucial, not merely as a philanthropic act, but as a strategic approach to safeguarding business operations and supporting the communities they rely on.
Section 2 should be amended to explicitly prioritize public-private partnerships (PPPs) as a cornerstone of disaster risk reduction. This would emphasize their role in developing climate-resilient infrastructure, preparedness programs, and innovative risk financing mechanisms, strengthening the foundation for collaboration.
Similarly, Section 6 should mandate the creation of a National PPP Framework for Disaster Risk Reduction. This framework would define roles, responsibilities, and risk-sharing mechanisms for private sector engagement, while identifying priority areas such as water systems, flood control, and early warning technologies. Clear guidelines would enable meaningful and impactful private sector participation.
Expanding Resilience Through Local and Financial Innovations
Section 13 should be revised to expand the private sector’s role beyond post-disaster relief. An accreditation system for businesses actively participating in disaster risk reduction (DRR) could incentivize companies to adopt disaster-prone communities, fund preparedness projects, or provide technical expertise for mitigation efforts.
At the local level, Section 21 offers an opportunity to strengthen PPPs. Allowing local government units (LGUs) to allocate resources for PPP projects would encourage collaboration on initiatives like climate-resilient infrastructure and capacity-building programs, enhancing disaster preparedness while maximizing resource use.
Risk financing is another critical area of reform. Innovative solutions, such as catastrophe bonds, parametric insurance, and disaster resilience funds, could help distribute financial risks and ensure a faster recovery. For example, businesses could invest in catastrophe bonds for immediate payouts after disasters or partner with the government to create affordable insurance products for vulnerable communities and small businesses.
Aligning Disaster Resilience with Climate Change Adaptation
Another crucial reform is integrating climate change adaptation into the law. As disasters grow more frequent and severe, existing infrastructure often fails to withstand these evolving risks. Section 6 should mandate climate-resilient designs for all DRR projects under public-private partnerships (PPPs) to ensure investments are future-proof. Encouraging private sector participation in innovative infrastructure, such as renewable energy-powered evacuation centers and sustainable water systems, would align the law with the demands of a changing climate.
A Shared Responsibility for Resilience
The 2024 APMCDRR emphasized the importance of pre-disaster planning for faster and cost-effective recovery, aligning with the Philippine government’s push for infrastructure resilience. Amending Republic Act No. 10121 to incentivize public-private partnerships (PPPs) is vital for protecting communities and businesses. Tax incentives, public recognition, and streamlined approvals can encourage private sector involvement. A National Disaster Resilience Fund, co-funded by the public and private sectors, could support large-scale projects such as flood control and early warning systems.
Strengthening the law is both a moral and strategic necessity. By incentivizing private investment, establishing a clear PPP framework, and integrating climate adaptation, the Philippines can build a proactive disaster risk reduction strategy that saves lives, protects livelihoods, and ensures resilience for the future.
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Severo C Madrona Jr is a Professional Lecturer at the Department of Commercial Law, RVR College of Business, De La Salle University. With a public policy and business development background, he writes about strategic leadership, labor economics, and fiscal policy.