New era for Philippine infrastructure: How ARROW Act is transforming ‘right-of-way' law
Manila: Yes, the culture of kickbacks (affectionately known as 'tongpats') here runs so deep, it might as well have its own hymn book.
Corruption afflicts not just the legislative, or executive, but also the judiciary. Fact: The Philippine Ombudsman actively investigates cases of officials taking bribes to "fix" cases.
A study conducted by PIDS estimates that corruption results in staggering economic and opportunity losses, estimated at between ₱700 billion to ₱1.4 trillion ($23.8 billion) annually, through systematic pilferage of Filipino taxpayers' money.
But even the hardest-habits-to-break can meet their match – in law.
Here’s the plot twist: while headlines were busy buzzing about the lingering flood-control and infra scams involving top officials, the Philippines quietly made history.
Now, legal reforms here — alongside millennials entering voting age — are stepping in to unlock the country’s full potential.
HIGHLIGHTS
New ARROW Act (Republic Act No. 12289) sets legal certainty and accountability, with special rules for foreign-assisted projects
New law to speed up infrastructure projects by facilitating easier acquisition of right-of-way (ROW) sites
New law expands which government agencies help implement the law, making oversight stronger.
For a good part of the last century, projects in the Philippines to boost connectivity and mobility, both essential to growth and jobs, get typically stuck in courts — through so-called temporary restraining orders (TROs) — pushing back project timelines, driving cost overruns and investor frustration.
Enter the ARROW Act (Republic Act No. 12289) — signed in September.
It's already shaping up to be one of the most consequential development laws in years.
This modernises the law for the 21st century, as typified by the Corinthian Gardens ROW drama in Manila.
If the law lives up to the hype, Filipinos won’t just read about it in headlines; they’ll feel it in their daily commutes, internet speeds, and water taps for decades.
This landmark reform set to transform how it builds just about everything — roads, railways, airports, water systems, broadband networks, you name it.
President Ferdinand R. Marcos Jr. signed Republic Act No. 12289, better known as the Accelerated and Reformed Right-of-Way (ARROW) Act.
RA 12289 isn’t just another bureaucratic update.
It’s a game-changer for infrastructure, economic growth, and the daily lives of millions of Filipinos — ushering in a future where vital projects get built faster, fairer, and with greater certainty.
For years, slow and complicated right-of-way (ROW) acquisition has been a major bottleneck for infrastructure projects in the Philippines.
Local courts can delay projects of national significance through an endless string of “temporary” restraining orders (TROs), in a sort of permanent temporary-ness.
Delays in securing land and compensating property owners have stalled rail lines, highways, telecommunications expansions, and utilities — costing time, money, and jobs, as local media reported.
While this creates jobs for lawyers and judges and their cohorts, it kills job creation for everyone else.
The ARROW Act modernises the Philippines’ ROW regime by fixing outdated rules and expanding the scope of earlier law (RA 10752), originally passed in 2016.
The law streamlines the legal process for acquiring land needed for national infrastructure — from highways and bridges to train systems and broadband networks. It removes procedural delays that have held up big projects for years, as per the Philippine News Agency (PIA).
Under the ARROW Act, property owners are guaranteed:
Offers based on updated market values using a national valuation schedule.
Compensation for improvements, structures, crops, and trees.
Payments tied to clearer rules rather than outdated formulas.
This means fairness and less disagreement over how much landowners should be paid.
New infrastructure isn’t just government-built anymore.
The law now covers private entities that provide public services — including electricity, water, telecommunications, airports, seaports, and irrigation systems — as long as they have the legal authority to operate, according to the Philippine Senate.
The ARROW Act holds private companies legally accountable if they violate ROW rules — including civil and criminal penalties. It also expands which government agencies help implement the law, making oversight stronger.
5. Special rules for foreign-assisted projects
For projects funded by international partners, the new law ensures that foreign funding rules take priority if they differ from Philippine practice — making global infrastructure collaborations easier and smoother.
The original Right-of-Way Act was narrow in scope and often trapped projects in legal gridlock.
Under ARROW:
The definition of what counts as a “public infrastructure project” is broader.
Compensation rules are standardised and transparent.
Government and private sector partnerships are included.
Dispute resolution and acquisition procedures are faster and more predictable, potentially unlocking them from court TROs.
Information sharing and transparency requirements are strengthened.
ARROW Act (Republic Act No. 12289 modernises the law for the 21st century — where connectivity, mobility, job creation, not endless court-issued TROs, are essential to growth.
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