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Are Philippine Cities Ready to Become Smart Cities?

Technical Report · September 2024


DOI: 10.13140/RG.2.2.28265.92002

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Are Philippine Cities Ready to Become
Smart Cities?

Tatum P. Ramos
Pauline Joy M. Lorenzo
Jenica A. Ancheta
Marife M. Ballesteros
Research Paper Series No. 2023-02

Are Philippine Cities Ready


to Become Smart Cities?

Tatum P. Ramos, Pauline Joy M. Lorenzo,


Jenica A. Ancheta, and Marife M. Ballesteros

Philippine Institute for Development Studies


Surian sa mga Pag-aaral Pangkaunlaran ng Pilipinas
Copyright 2023

Published by
Philippine Institute for Development Studies

Printed in the Philippines. Some rights reserved.

The views expressed in this paper are those of the authors and do not necessarily
reflect the views of any individual or organization.

Please address all inquiries to:

Philippine Institute for Development Studies


18th Floor, Three Cyberpod Centris - North Tower
EDSA corner Quezon Avenue, 1100 Quezon City
Telephone: (63-2) 8877-4000
Fax: (63-2) 8877-4099
E-mail: [email protected]
Website: https://www.pids.gov.ph

This research paper is under the Creative Commons Attribution Noncommercial


License. It shall not be used for commercial purposes. Anyone can use, reuse,
distribute, and build upon this material as long as proper attribution is made.

ISSN 1908-3297
ISSN 2508-0830 (electronic)
RP 06-23-600

Editorial and production team:


Sheila V. Siar, Gizelle G. Manuel, Wenilyn M. Asuncion, and Maryam P. Tubio
Table of Contents

List of tables, figures, and annexes v


List of acronyms vii
Acknowledgment xi
Abstract xiii
Introduction 1
Understanding the smart city concept 4
Working definition 9
Review of literature: Enablers, barriers, and pathways 11
to smart city development
Enablers, barriers, and pathways 11
The cases of Zaragoza, Abu Dhabi, and Busan 17
Methodology 23
Relevant initiatives of NGAs in the Philippines 27
Infrastructure phase 29
Data phase 32
Service phase 33
Overview of smart city initiatives in the Philippines 34
Metro Manila 34
Metro Clark 40
Metro Cebu 42
Metro Davao 43
Other HUCs 46
Other non-HUCs 49
Additional areas 52
Missing link 52
Initiatives in selected sites and interview themes 53
Definition 53
Motivations 55
Enablers 60
Challenges 67
Pathways 70
Recommendations 74
Conclusion 77
What drives Philippine LGUs toward the 77
implementation of smart city initiatives?
What is the extent of smart city development 79
among Philippine cities?
How can the Philippine government facilitate 80
the development of smart cities?
Recommendations 81
References 87
Annexes 109
The Authors 145

iv
List of Tables, Figures, and Annexes

Table
1 Smart City Index rankings (2019–2021) 18
2 Profiles of selected cities in the Philippines 24

Figure
1 Estimated impact of smart city applications on indicators 2
of quality of life
2 Unified definition of smart city 5
3 ASEAN Smart Cities Framework 7
4 Working definition of “smart city” 9
5 Interviewees 25
6 DOST framework for smart sustainable communities 28
and cities
7 Most frequently used words to describe smart cities 54

Annex
1 Cauayan City initiatives’ alignment with working definition 109
2 Cauayan City initiatives’ administrative details 114
3 Tuguegarao City initiatives’ alignment with 121
working definition
4 Tuguegarao City initiatives’ administrative details 122
5 San Fernando City initiatives’ alignment with 123
working definition
6 San Fernando City initiatives’ administrative details 125
7 Malabon City initiatives’ alignment with 127
working definition
8 Malabon City initiatives’ administrative details 128
9 Mandaue City initiatives’ alignment with 129
working definition
10 Mandaue City initiatives’ administrative details 131
11 Tagum City initiatives’ alignment with working definition 134
12 Tagum City initiatives’ administrative details 137
13 Summary of themes for motivations for smart 139
city engagements

v
14 Summary of themes for enablers based on 140
interview response
15 Summary of themes for challenges from interviews 141
16 Summary of themes for pathways for smart city 142
initiatives from interviews
17 Summary of themes for recommendations based on 143
interview responses

vi
List of Acronyms

3D three dimensional
4G fourth generation
ADMU Ateneo de Manila University
AI artificial intelligence
ARTA Anti-Red Tape Act
ASEAN Association of Southeast Asian Nations
ATM automated teller machine
BERDE Building for Ecologically Responsive
Design Excellence
BPS Bureau of Philippines Standards
CBP Central Business Portal
CCTV closed-circuit television
COA Commission on Audit
COVID-19 coronavirus disease 2019
CRADLE Collaborative Research and Development to
Leverage Philippine Economy
CSR corporate social responsibility
DAP Development Academy of the Philippines
DBP Development Bank of the Philippines
DENR-EMB Department of Environment and Natural
Resources-Environment Management Bureau
DICT Department of Information
and Communications Technology
DILG Department of the Interior and Local Government
DLPC Davao Light and Power Company
DOST-PCIEERD Department of Science and
Technology-Philippine Council for Industry,
Energy, and Emerging Technology Research
and Development
DOTr Department of Transportation
eBOMS Electronic Budget Operations
and Monitoring System

vii
EO Executive Order
FOI Freedom of Information
GIS geographic information system
GODDESS Good Governance through Data Science
and Decision Support System
GSM global system for mobile communications
HUC highly urbanized city
IBPAP Information Technology and Business Process
Association of the Philippines
iBPLS Integrated Business Permits and Licensing System
ICT information and communications technology
ID identity documents
IMD Institute for Management Development
IoT Internet of Things
IP internet protocol
ISO International Organization for Standardization
IT information technology
IT-BPM information technology and business
process management
JICA Japan International Cooperation Agency
LAN local area network
LANDBANK Land Bank of the Philippines
LED light-emitting diode
LGU local government unit
LPC Leechiu Property Consultants
LTE long-term evolution
MOA memorandum of agreement
MCDCB Metro Cebu Development
and Coordinating Board
NBP National Broadband Program
NGAs national government agencies
NPC National Privacy Commission
P2P point-to-point

viii
PCOO Presidential Communications Operations Office
PDP Philippine Development Plan
PhilHealth Philippine Health Insurance Corporation
PHIVOLCS Philippine Institute of Volcanology
and Seismology
PHLPost Philippine Postal Corporation
PHP Philippine peso
PNS Philippine National Standard
PPP public-private partnership
PSA Philippine Statistics Authority
PSSCC Public Safety and Security Command Center
QR quick response
RA Republic Act
SME small and medium enterprise
SPARTA Smarter Philippines through Data Analytics
Research and Development, Training
and Adoption
SRP South Road Properties
STI science, technology, and innovations
Tech4ED Technology for Education, Employment,
Entrepreneurs, and Economic Development
TKC Tanod Kontra COVID
TORCH Taguig Online Resources and Community Hub
UAE United Arab Emirates
UP University of the Philippines

ix
Acknowledgment

The authors are grateful to all those who contributed to the successful
completion of this study. They acknowledge the anonymous reviewer
who helped ensure clarity and organization of the paper. They also
appreciate the participation of various national government agencies,
local government units, development organizations, and businesses
in the information gathering and discussions conducted. Finally, they
would like to thank Philippine Institute for Development Studies staff
who provided administrative and technical support.

xi
Abstract

Smart city development is recognized as a potential solution to


urbanization issues. This study examines Philippine cities’ readiness for
smart city development by answering three policy questions: (1) What
drives Philippine local government units toward implementing smart
city initiatives; (2) What is the extent of smart city development among
Philippine cities; and (3) How can the Philippine government facilitate
the development of smart cities? A desk review of smart city initiatives
in some Philippine cities was carried out, and interviews were conducted
with local government units, national government agencies, businesses,
and development organizations. It finds that the Philippines has started to
tread the path toward building smart cities, and some cities already exhibit
readiness. However, additional pathways to smart city development
must be paved. There is a need to address funding, data management,
and sustainability challenges. Addressing the challenges not only requires
actions at the local level but also demands additional support from the
national government in developing policies and standards to improve
data flow, promoting technology- and innovation-powered cities, and
ensuring transparency and accountability in the implementation of smart
city initiatives.

xiii
Introduction

Smart city development has the potential to solve many urbanization


issues. Given the persistent and glaring challenges faced in urban areas,
this idea warrants a discussion. More so for the Philippine urban scene,
where numerous problems have persisted over time despite its potential
for development.
Based on the 2015 Census of Population (PSA 2019), most
Filipinos reside in the country’s urban areas. While the population size
in the country’s urban areas allows local government units (LGUs) to
leverage human capital, it can also bring about governance issues. Some
reviews on the country’s urbanization progress revealed limited benefits,
such as expensive, inefficient, and slow business transactions; costly
telecommunication services; unreliable and costly access to electricity
and water; traffic issues; and weak innovation (see Baker et al. 2017).
The situation has become more challenging with climate change and
the recent coronavirus disease 2019 (COVID-19) pandemic. Persisting
urbanization challenges, which have become more apparent with the
onslaught of disasters and the pandemic, require innovative solutions,
such as smart city development.
Some studies have provided estimates and evidence on the
impact of smart city initiatives. Peng (2019) assessed the impact on
urban competitiveness (i.e., economic, sustainable development,
and livability) through regression using 2017 data from 294 Chinese
prefecture-level cities. She showed that (1) information economy is
positively associated with economic competitiveness and sustainable
development competitiveness, (2) development of a network society
is positively associated with economic and livability competitiveness,
(3) development of an online government is positively associated
with economic competitiveness, and (4) development of digital life is
positively associated with sustainable competitiveness.
Another study on the impact of smart city initiatives was conducted
by Wu et al. (2020), who tested the impact of smart city initiatives in
90 prefecture-level cities in China on health-related variables using
difference-in-difference and propensity score matching methods. Wu et
al. (2020) showed that building smart cities is positively associated with
(1) enhanced health status, (2) enhanced health status through a reduction
Are Philippine Cities Ready to Become Smart Cities?

in the utilization of outpatient services, and (3) enhanced health status


through an increase in the use of inpatient services.
Woetzel et al. (2018) provided estimates on the impact of smart
city applications on quality of life dimensions (Figure 1). More specifically,
they estimated the capacity to enhance baseline metrics by 2025 with
various technologies based on research papers, industry reports,
publicly available case studies, and McKinsey case studies and data sets.

Figure 1. Estimated impact of smart city applications on indicators of quality


of life

Commute time
T15–20%
Time spent interacting with
Disease burden health care and government
T8–15% T45–65%

Time and
GHG emissions Health convenience Fatalities
T10–15% T8–10%
Water
Crime incidents
consumption
T30–40%
T20–30% Environmental
quality Safety Emergency
Unrecycled
response time
waste
T20–35%
T10–20%
Social
connectedness and Cost of
civic participation living
Citizens feel connected to …
Jobs Citizen expenditures
… their local community
S15 percentage points Formal T1–3%
… their local employment
government S1–3%
S25 percentage
points

GHG = greenhouse gas


Source: Lifted in full from Woetzel et al. (2018)

2
Introduction

Generally, positive estimates are apparent in their quality of life


dimensions. Their study also provided insights on potential issues such as
disruptions in some industries due to higher expectations on products and
services, higher need for data protection and security, and large-scale
commitments to frequently advancing technology.
Overall, the findings of the cited studies are insights to consider
in determining whether to implement smart city initiatives.
The numerous potential benefits of smart city development seem
to attract LGUs in the Philippines. Some LGUs have already attempted
to address urban challenges with smart city solutions. Some (e.g., city
governments of Manila, Cebu, Davao) have also participated in the
Association of Southeast Asian Nations (ASEAN) Smart Cities Network
(Ludher et al. 2018). While such steps have been taken, there is uncertainty
about the fate of these initiatives. Aspiring smart cities should be capable
of undergoing the development required; otherwise, efforts may be
premature and not worthwhile. The uncertainty on this capacity can be
related to the lack of studies determining whether Philippine cities are
prepared for smart city development.
This study aims to fill the literature gap by understanding the
concept of smart cities in the context of Philippine cities and answering
three policy questions:
1. What drives Philippine cities toward implementing smart
city initiatives?
2. What is the extent of smart city development among
Philippine cities?
3. How can the Philippine government facilitate the development
of smart cities?

Determining the motivations and enablers is important to validate


the expectations of LGUs from smart city initiatives, ensuring that
efforts are targeted to achieve what are believed to be possible outcomes
of smart city development. Meanwhile, knowing the extent of smart
city development would prove that cities can employ such initiatives.
Furthermore, identifying challenges faced in implementing the
initiatives would help provide recommendations on how the Philippine
government can move forward in smart city development.

3
Are Philippine Cities Ready to Become Smart Cities?

Understanding the Smart City Concept

Discussions on smart cities have increased over time. Based on


Stübinger and Schneider’s (2020) systematic review of 200 Google Scholar
publications, there was already initial smart city research in the 1970s
following the Los Angeles Community Analysis Bureau’s production
of data reports on housing quality and demographics using infrared
aerial photography and cluster analysis. Stübinger and Schneider (2020)
observed that the number of articles on smart cities had an exponential
growth following the first Smart City Expo World Congress in 2011. They
noted that there had been around 200,000 articles published each year.
In the Philippines, the term “smart city” has been used by some
LGUs in describing their policies and activities. “Smart city”, as used
by the LGUs, evokes a utopia—a local sphere with numerous positive
developments that will significantly benefit the constituents. As much
as constituents would want to live in such an ideal city, a disconnect
comes with the vagueness of smart city elements and pathways. The
term “smart city” has been defined internationally and even domestically;
nevertheless, the variety of definitions adds to the complexity of the
concept, and further discussion is needed to tease out its elements with
the Philippine context in mind.
The Bureau of Philippines Standards (BPS 2020, p.2), as reflected
in the Philippine National Standard (PNS) ISO 37122:2020, has adopted
the International Organization for Standardization (ISO) definition of a
smart city—that is, “city that increases the pace at which it provides social,
economic, and environmental sustainability outcomes and responds to
challenges such as climate change, rapid population growth, and political
and economic instability by fundamentally improving how it engages
society, applies collaborative leadership methods, works across disciplines
and city systems, and uses data information and modern technologies to
deliver better services and quality of life to those in the city (residents,
businesses, visitors), now and for the foreseeable future, without unfair
disadvantage of others or degradation of the natural environment”.1

1
PNS ISO 37122:2020 classifies smart city indicators into the following categories: (1) economy,
(2) education, (3) energy, (4) environment and climate change, (5) finance, (6) governance, (7) health,
(8) housing, (9) population and social conditions, (10) recreation, (11) safety, (12) solid waste,
(13) sport and culture, (14) telecommunication, (15) transportation, (16) urban/local agriculture
and food security, (17) urban planning, (18) wastewater, (19) water, and (20) reporting and record
maintenance (BPS 2020).

4
Understanding the Smart City Concept

While the “smart city” term is already defined in the PNS, a


working definition is created for this research, categorizing keywords
with existing literature as references to understand the concept further
in the context of the Philippines. C onstructing a working definition of
a “smart city” requires a review of existing definitions, such as that
of Ramaprasad et al. (2017). The unified definition provided by
Ramaprasad et al. (2017) is a reasonable starting point, as it is
straightforward and flexible enough to be validated and modified
if necessary (Figure 2). Made up of 25,200 potential elements, the
unified definition was derived using an ontology, in which greater
than 36 definitions were deconstructed and assessed (Ramaprasad et
al. 2017). It is altered in this research based on a review of international
and domestic definitions.

Figure 2. Unified definition of smart city


Smart City
Structure Functions Focus Semiotics Stakeholders Outcomes
Architecture [to] Sense [+] Cultural Data Citizens Sustainability
[+]

[by/from/to]

[for]
Infrastructure Monitor Economic Information Professionals Quality of life
Systems Process Demographic Knowledge Communities Equity
Services Translate Environmental Institutions Livability
Policies Communicate Political Businesses Resilience
Processes Social Governments
Personnel Technological
Infrastructural
Illustrative Components (total components = 7*5*8*3*6*5 = 25,200):
Source: Lifted to
Architecture in sense
full from Ramaprasad
economic et al. (2017)
information by/from citizens for QoL.
Systems to process environmental data by governments for livability.
Policies to communicate technological knowledge by professionals for resilience.
Processes to translate political information to citizens for sustainability.
Glossary:
Smart: Capable
Reviewed of intelligent sense and response
definitions reflect through semiotics.
that an innovative and
Structure: The structure required to manage the semiotics.
technology-powered
Architecture: The overallsystem is to
architecture suitable
manage theforsemiotics.
handling data, information,
Infrastructure: The physical and virtual infrastructure to manage the semiotics.
and/or knowledge in an aspiring smart city. The Department of Science
Systems: The computer, social, and paper based systems to manage the semiotics.
andServices:
Technology-Philippine
The computer, social, and Council for services
paper based Industry, Energy,
to manage and Emerging
the semiotics.
Policies: The policies on managing the semiotics.
Technology
Processes: The Research
processes to and Development
manage the semiotics. (DOST-PCIEERD n.d.-a, p.4)
defines
People:smart
The peoplecity responsible
as “an ecosystem
for managingcomprised
the semiotics.of people, organizations
Function: The functions required to manage the semiotics.
andSense:
businesses,
To sense thepolicies, laws, and processes integrated together to
semiotic elements.
create desired
Monitor: To monitor outcomes…
the semioticTheelementscityover
is time.
adaptive, responsive, relevant,
Process: To process the semiotic elements.
andTranslate:
integrates technology
To translate to into
the semiotics accelerate, facilitate, and transform this
action/control.
Communicate:
ecosystem.” To communicate
Several other the semiotic
papers also elements.
emphasize technology’s importance
Focus: The focus of intelligent sense and response -- smartness.
in Cultural:
a smartCultural
city (see Namofand
dynamics Pardo 2011; Albino et al. 2015; Elgazzar and
the city.
Economic: Economic dynamics of the city.
Demographic: Demographic dynamics of the city.
Environmental: Environmental dynamics of the city. 5
Political: Political dynamics of the city.
Social: Social dynamics of the city.
Technological: Technological dynamics of the city.
Infrastructural: Infrastructural dynamics of the city.
Are Philippine Cities Ready to Become Smart Cities?

El-Gazzar 2017; Ludher et al. 2018; McKinsey Global Institute 2018;


DICT 2019a; Sánchez-Corcuera 2019; Yoon et al. 2020).
Meanwhile, the definition of a smart city in the ASEAN Smart
Cities Framework has an innovation aspect: “A smart city in ASEAN
harnesses technological and digital solutions as well as innovative
non-technological means to address urban challenges, continuously
improving people’s lives and creating new opportunities” (Ludher et
al. 2018, p.12). The importance of technology and innovation in
implementing smart city initiatives makes these themes inseparable
from the system.
Reviewed definitions of smart cities are not specific to the
functions of the innovative and technology-enabled system. The general
thought derived from other definitions is that usage of the system
would help people (see Albino et al. 2015; Elgazzar and El-Gazzar 2017;
Ramaprasad et al. 2017; Ludher et al. 2018; McKinsey Global Institute 2018;
DICT 2019a; Sánchez-Corcuera 2019; Yoon et al. 2020).
Since utilization covers the functions provided in the unified
definition of Ramaprasad et al. (2017) and technologies will not be able
to inform policymakers and implementers on the optimal solutions
to urban problems without data, information, and/or knowledge, the
corresponding terms shall be included in the working definition for
this research.
In terms of concentration, Ludher et al. (2018) identified focus
domains (i.e., built infrastructure, quality environment, industry and
innovation, safety and security, health and well-being, and civic and
social), as reflected in the ASEAN Smart Cities Framework (Figure 3).
Those domains are similar to the themes found in other literature,
such as the identified focus areas of Ramaprasad et al. (2017) and
the smart city action fields of Yoon et al. (2020). They are consistent
with the 2017–2022 Overall Strategic Framework of the Philippine
Development Plan (PDP). Consequently, keywords under “focus” in the
working definition shall be patterned from the ASEAN Smart Cities
Framework’s development focus areas.
Stakeholders are very crucial to the process of building smart
cities, as they cannot be taken away from the equation. The importance
of stakeholders, including businesses, organizations, and people, is
apparent in the smart city definition from DOST-PCIEERD (n.d.-a).

6
Understanding the Smart City Concept

Figure 3. ASEAN Smart Cities Framework


SMART CITY
STRATEGIC
OUTCOMES
High Quality
of Life

Competitive Sustainable
Economy Environment

Integrated Master Planning and Development URBAN


SYSTEMS
Dynamic and Adaptive Urban Governance

DEVELOPMENT
FOCUS
AREAS

Civic and Social Health and Well-being Safety and Security


Social Cohesion Housing and Home Resource Security
Culture and Heritage Healthcare Cybersecurity
Tourism Education
Public Safety,
Public and Municipal City Surveillance, and
Services Governance Crime Prevention

Quality Environment Built Infrastructure Industry and Innovation


Clean Environment Utilities Business and
Resource Access Mobility and Transportation Entrepreneurship
and Management Trade and Commerce
Building and Construction
Urban Resilience Upskilling
Technology Incubation
Research

ENABLERS
Digital Infrastructure and Applications Partnership and Funding

ASEAN = Association of Southeast Asian Nations


Source: Lifted in full from Ludher et al. (2018)

The significance of people in creating smart cities is also evident in


several other reviewed literature (see Nam and Pardo 2011; Albino et al. 2015;
Ramaprasad et al. 2017; Ludher et al. 2018; Sánchez-Corcuera 2019). Reviewed
literature on enablers to be presented in succeeding discussions also
reflect the value of stakeholder engagement in smart city development.
According to literature, smart city initiatives can lead to innovation,
sustainability, and efficiency. Yoon et al. (2020) found innovation,
sustainability, and efficiency to have high coverage in their review of
Asian smart city models. Toli and Murtagh (2020) also found efficiency
as an objective in their analyses of smart city definitions. Meanwhile,
sustainability as an outcome was mentioned in the papers of Elgazzar and
El-Gazzar (2017), Ramaprasad et al. (2017), Ludher et al. (2018),
and Toli and Murtagh (2020). Thus, innovation, sustainability, and
efficiency concepts were considered in formulating the working
definition of smart city.

7
Are Philippine Cities Ready to Become Smart Cities?

Other potential outcomes include competitiveness, inclusiveness,


and economic growth, which are found in related literature. The
definitions of smart sustainable city from Kondepudi (2014) and
DOST-PCIEERD (n.d.-a) include enhanced competitiveness as an outcome.
Additionally, the proposed definition by Toli and Murtagh (2020)
highlights the availability of economic growth opportunities in smart
cities. Furthermore, the inclusion of equity in the unified definition
from Ramaprasad et al. (2017) can be connected to inclusiveness.
Inclusiveness, as well as economic growth and competitiveness, is an
important goal among Asian countries. Yoon et al. (2020) highlighted the
higher coverage of the three outcomes in Asian smart city models than
non-Asian smart city models. The great relevance of competitiveness,
inclusiveness, and economic growth to the context results in the need to
capture such concepts in the working definition.
Likewise, related literature shows smart city initiatives can
enhance quality of life, resilience, and governance. Numerous papers
have discussed the enhanced quality of life as an outcome (Ramaprasad et
al. 2017; McKinsey Global Institute 2018; Toli and Murtagh 2020;
and Yoon et al. 2020). Furthermore, the Department of Information
and Communications Technology (DICT 2019a) emphasizes the
improvements that smart cities can bring to citizens’ welfare and
well-being. The emphasis on quality of life is understandable, as the
smart city concept heavily involves addressing the needs of people.
Meanwhile, in terms of governance, Toli and Murtagh (2020) found
some smart city definitions that cover the objective. Aside from
governance and quality of life, resilience is included in the smart city
unified definition by Ramaprasad et al. (2017). However, Yoon et al. (2020)
noted the lack of discussion on resilience in the Asian smart city models
they reviewed. Their finding is surprising, given that many Asian
countries are still developing and are prone to disasters. The Philippines,
in particular, should be observant of the impact of smart city initiatives
on resilience, given the shocks that it should be able to absorb. Given
the information, improving quality of life, governance, and resilience
should be considered in formulating the working definition.
Outcomes of smart city initiatives can be grouped into three
categories as provided in the ASEAN Smart Cities Framework presented
by Ludher et al. (2018): (1) high quality of life, (2) competitive economy,

8
Understanding the Smart City Concept

and (3) sustainable environment. The Venn diagram shown in Figure 3


is open to subthemes that may arise from merging the two or three
categories. It gives the idea that the outcomes of smart city initiatives
are not necessarily exclusive of each other.

Working definition
Given the structure, functions, focus, semiotics, stakeholders, and
outcomes based on the literature reviewed, a working definition
is formulated in this research. The unified definition presented by
Ramaprasad et al. (2017) was altered based on a review of local and
international definitions of “smart city”. Alterations to the unified
definition were made following the review, leading to the working
definition in Figure 4. The working definition defines “smart city” as
a technology and innovation-powered system that senses, monitors,
processes, translates, and communicates industry and innovation,
built infrastructure, quality environment, safety and security, health
and well-being, and civic and social data, information, and knowledge
by, from, or to people and institutions for sustainable environment,
competitive economy, and high quality of life (Figure 4).

Figure 4. Working definition of “smart city”


Smart City
Structure Functions Focus Semiotics Stakeholders Outcomes
Technology Sense Civic and social Data People High quality of life
[by/from/to]
[+]

[+]

[for]
[to]

and Monitor Health and well-being Information Institutions Competitive


innovation- Process Safety and security Knowledge economy
powered Translate
system Communicate Quality environment Sustainable
Built infrastructure environment
Industry and innovation
Source: Authors’ compilation based on reviewed literature

Along with the working definition, smart city development phases


can add another layer to the analysis of the initiatives being conducted
by aspiring smart cities. World Bank (2021) describes the three smart
city development phases as follows:
1. The infrastructure phase comprises technological and
physical infrastructure such as geospatial information, ICT,

9
Are Philippine Cities Ready to Become Smart Cities?

and city infrastructure. Smart city infrastructure is generally


software, including ICT (communication infrastructure);
however, the development requires urban hardware
(e.g., construction of buildings). Geospatial information
infrastructure is usually used to converge cyberspace and
real space.
2. The data phase comprises data sharing and the Internet of
Things (IoT). The emphasis here is on data collection through
various sensors and the sharing and use of produced data.
Under this phase, a common open platform for related tasks
and functions should be constructed aside from developing
individual functions and service intelligence.
3. The service phase, the completion stage of a smart city,
comprises city innovation, algorithm, and service. Algorithms
and services include city services using algorithms that crunch
and analyze data, while city innovation relates to social
environments and institutions that enable new services and
ideas to solve urban issues. In this phase, cities already share
information like organisms, and the future city wherein there
is urban transformation can be envisioned.

Initiatives may be implemented randomly across the smart city


development phases, but the succession of phases from infrastructure
to data to service as in the order enumerated by the World Bank (2021)
is the most logical, given that the preceding phase(s) facilitate the
development of succeeding phase(s). For instance, data collection and
sharing would be difficult to implement if the city or municipality does
not have the infrastructure to speed up the process. Service-oriented
initiatives might not properly address constituents’ needs without
sufficient data. Given potential limitations that may occur with the
random implementation of initiatives across the phases, attention should
not only be given to the existence of initiatives within each phase but also
to the succession of the phases.

10
Review of Literature: Enablers, Barriers, and Pathways to
Smart City Development

Enablers, barriers, and pathways

Enablers
In building smart cities, LGUs should assess the readiness of their
respective cities to carry out related activities in terms of the presence of
enablers. Enablers are catalysts for implementing smart city initiatives,
similar to inputs in a theory of change. They may be necessary or
sufficient to implement the initiatives successfully. Since there are not
many pieces of evidence, distinguishing between necessary and sufficient
enablers is challenging. Nevertheless, this study attempts to make an
initial distinction based on related literature and analysis.2
One enabler mentioned in related literature is having a vision
of what a city can become through smart city initiatives. For instance,
Woetzel et al. (2018) regard a leap of imagination as a requirement for
smart cities, where vision is a guide and enthusiasm is the fuel for the
initial step. Jayasena et al. (2019) also emphasized vision and goals as
key enablers by reviewing 52 literature projects, websites, conference
proceedings, and other reports. Based on literature and analysis, vision
is considered a necessary enabler. The current vagueness of the term
“smart city” requires government units to clearly define what relevant
initiatives can do for the constituents and why efforts to have smart
cities should be exerted. At the end of the day, LGUs with a vision of
smart transformation are one step closer to becoming smart cities.
Population as an enabler was also explored, although there is a
lack of literature on the matter. Nevertheless, McKinsey Global Institute
(2018) described archetypes of cities in Southeast Asia as follows:
1. Agile seedbeds have less than a million population, enabling
a fast implementation of pilots and scaleups of smart
city applications.

2
The term “enablers” is used instead of “drivers”, which was the term used by Jayasena et al. (2019),
Veselitskaya et al. (2019), and Tan and Taeihagh (2020). This is to prevent confusion with the
word “drivers” in terms of motivations of aspiring smart cities to initiate efforts related to smart
city development.

11
Are Philippine Cities Ready to Become Smart Cities?

2. Emerging champions are midsized, with limited financial


capacity to suffice the required large-scale investment and with
infrastructure that can benefit from more integrative solutions.
3. Prime movers are Southeast Asia’s biggest primary cities
with large inefficiencies and exhausted social and physical
infrastructure systems, wherein smart city initiatives, even at
modest levels of adoption, are easily feasible.
4. Smart city sandboxes are cities with numerous smart
applications that capture each urban life domain and with
integrated and strong high-speed communication networks.

The discussion does not necessarily discriminate in terms of the


capacities of cities to successfully implement smart city initiatives, given
their population size. Although population is not an enabler, it would
have to be considered in implementing smart city initiatives because of
its potential implications.
Economic status appears to influence smart city development.
According to Woetzel et al. (2018), income influences the pace at which
aspiring smart cities transform. Among the 50 cities whose deployment
of smart city initiatives they assessed, richer cities generally had a faster
pace of transformation. Meanwhile, Tan and Taeihagh (2020) noted
stability in economic progress as an enabler based on their systematic
review of 56 studies. Despite these findings, being a wealthy city should
not be considered necessary in implementing smart city initiatives,
especially when LGUs have good stakeholder management.
Related literature shows LGUs can leverage their engagements
to become smart cities, including financing. Jayasena et al. (2019)
emphasized the importance of considering stakeholders to be engaged
in governance. Tan and Taeihagh (2020) added that knowledge transfer
and participation from the private sector are enablers of smart city
development. Engagements with stakeholders also open opportunities in
terms of financing relevant projects. In the study of Woetzel et al. (2018),
the government owned 70 percent of the assessed smart city applications.
However, they added that 60 percent of the initial investment could come
from the private sector. Veselitskaya et al. (2019), who looked at four city
cases, also highlighted public-private partnerships (PPPs) as an enabler
of smart city development. Aside from private sector partnerships,

12
Review of Literature

LGUs aiming to build smart cities should be closely in touch with their
constituents to acquire an in-depth knowledge of the latter’s needs.
Meanwhile, Woetzel et al. (2018) emphasized that becoming a smart city
requires having the capacity to respond to people’s needs. The importance
of good stakeholder engagement based on the reviewed literature makes
the enabler necessary for building smart cities.
The presence of technology infrastructure in smart city aspirants
is also a key enabler. Tan and Taeihagh (2020) identified technology
and infrastructure readiness as an enabler of smart city development.
Woetzel et al. (2018) even refer to the technology base as the building
blocks required before deploying smart city applications. The base includes
numerous smartphones and other sensors connected through fast
communication networks and open data platforms (Woetzel et al. 2018).
The following are smart city indicators according to PNS ISO 37122:2020:
(1) number of available digital learning devices for every 1,000 students;
(2) average information technology infrastructure downtime;
(3) percentage of population able to access fast broadband connection;
(4) percentage of area under dead spot, white zone, or without
telecommunication connectivity; and (5) percentage of area with internet
connection provided by the LGU (BPS 2020). Technology infrastructure
is at the heart of smart cities, as depicted in the related literature,
making it a necessary enabler to becoming a smart city.
Regulations are also enablers in implementing smart city initiatives.
Hence, the regulatory environment should be strong to build the trust
and confidence of investors and constituents (Tan and Taeihagh 2020).
Furthermore, given the expected abundance of data derived from
smart city initiatives, data security and protection policies must be
implemented before deploying the activities. It must be emphasized
that data protection and security will not only prevent abuses of data
usage but also encourage constituents to participate in data provision.
The potential benefits of establishing regulations, such as data protection
and security, turn the policies into necessary enablers of smart
city development.
Human capital is another necessary enabler of smart city
initiatives. Despite being technologically inclined, smart cities will
not run without the right people. PNS ISO 37122:2020 even has the
following relevant smart city indicators: (1) percentage of the labor force

13
Are Philippine Cities Ready to Become Smart Cities?

in the ICT sector and (2) percentage of the labor force in research and
development and education sectors (BPS 2020). Hence, governments
must tap people who are technically knowledgeable and competent
(Tan and Taeihagh 2020).
However, Woetzel et al. (2018) argued that while new roles (e.g., data
science team, analytics unit, chief digital officer) have been created to
implement the initiatives, the government’s efforts must be diffused in
all government aspects. The authors discussed further that municipal
agencies are not exempt from understanding, directing, and monitoring
the programs, even if the agencies depend on external providers to
install and operate new systems. They added that the city government
has to implement its own intelligent solutions while supervising the
development of the ecosystem. Human capital is therefore needed, even
within the LGU organizational structure. Overall, LGUs should work on
developing internal human capital suitable for smart city development.

Barriers
Barriers are problems or issues that cities must overcome to implement
and sustain smart city initiatives. Cities lacking necessary enablers are
expected to run into such barriers. Indeed, many identified obstacles
to smart city development relate to the lack of the enablers mentioned
earlier. For instance, Tan and Taeihagh (2020) cited the lack of the
following as obstacles: citizen participation, human capital, regulatory
safeguards and governance frameworks for smart cities, readiness of
technology-related infrastructure, and funds. Meanwhile, Jayasena et
al. (2019) cited the lack of the following as barriers: established
relationships between stakeholders, organization in funding structures,
capital, competency and knowledge, and technology. Additionally,
Veselitskaya et al. (2019) cited the lack of information security as an
obstacle. Identifying the abovementioned barriers also emphasizes the
roles of the characteristics as enablers of smart city development.
Other barriers have also been identified in related literature.
Veselitskaya et al. (2019) noted conflict of interest as an additional
barrier. Since different groups might have different takes on relevant
projects, the success of smart city initiatives may depend on the power
dynamics. Thus, stakeholder engagement must be strengthened by

14
Review of Literature

LGUs to reduce uncertainty. Meanwhile, Jayasena et al. (2019) identified


political uncertainties as barriers, implying the need for sustainability
mechanisms in aspiring smart cities. In addition to other obstacles,
Tan and Taeihagh (2020) noted that fragmented authority, insufficient
investment in basic infrastructure, lack of constituents’ knowledge and
understanding of technology, environmental concerns, and inclusivity
are also barriers. Given the barrier of fragmented authority, a central
authority and strong stakeholder engagement are thus essential
(Tan and Taeihagh 2020). The tagging of insufficient investment in
basic infrastructure as an obstacle implies that the foundation has to be
in place to support the adoption of smart city tools.
Meanwhile, the inclusion of insufficiency in constituents’ knowledge
and understanding of technology emphasizes that information
dissemination to the public should be considered as a step in implementing
smart city initiatives. Regarding environmental concerns as barriers,
Tan and Taeihagh (2020) explained that smart city development leads
people to migrate from rural to urban places, which can lead to abrupt
ecological stress on the environment. Meanwhile, identifying the lack of
inclusivity as a barrier implies that smart cities should not only address
the needs of select people but all individuals. The identified additional
obstacles should be considered to help prevent disruptions in smart
city developments.

Pathways
Similar to activities in a theory of change, good pathways facilitate the
transformation of inputs into outputs and outcomes. These steps support
smart city development. Necessary enablers may become involved in
the pathways because of the need to retain these inputs to achieve the
intended outcomes of smart city initiatives. The Philippine government
may gain insights into the appropriate steps and measures to implement
its smart city initiatives by reviewing the experiences of international
implementers. There should be an in-depth review of the pathways
taken by other successful cities; however, the lack of empirical studies
on the impact of smart city initiatives on individual cities is an obstacle.
Nevertheless, a review of the limited research has been conducted to
unravel potential pathways taken to attain smart city development.

15
Are Philippine Cities Ready to Become Smart Cities?

A holistic approach is one pathway to consider. As Woetzel et


al. (2018) pointed out, the positive consequences of initiatives can multiply
when typical infrastructure systems and complementary policies
accompany highly technological tools. Platforms should be supported by
the domestic administrative and political leadership and institutionalized
in local policies (see Noori et al. 2020). The holistic approach ensures
that other government efforts complement smart city initiatives.
Improving data sharing is also a notable pathway. The importance
of implementing an open data policy is reflected by the following
PNS ISO 37122:2020 smart city indicators: (1) percentage of service
contracts on the provision of city services with policy on open data
and (2) yearly online visits to municipal open data platform for each
population size of 100,000 (see BPS 2020). In open data-related
initiatives, the public is given the opportunity to take part in smart city
building through the use of available data.
The value of involving constituents in smart city development has
also been recognized in various cases. Noori et al.’s (2020) research on
Masdar City, Barcelona Smart City, Amsterdam Smart City, and Smart
Dubai noted that some of these cases’ initial projects have cultivated
an innovative environment and included steps to involve constituents
and ensure their gains. Meanwhile, Kubina et al. (2021), who looked
at smart city cases in Europe and North America, maintained that the
latter’s success in models and standards is greatly due to its bottom-up
approach. Other aspiring smart cities can similarly give recognition to
their constituents’ role in smart city development.
Applications to improve public services should be designed for
public use. Woetzel et al. (2018) even regard applications and public
usage as the second and third layers, respectively, on top of the
technological base layer to operationalize smart cities. Furthermore,
creating applications for public usage is a necessary pathway to becoming
smart cities, given the targeted outcome of high quality of life.
Greenfield, brownfield, and pilot projects have been implemented
by some aspiring smart cities. Greenfield projects aim to construct smart
cities from scratch, and they are not built within established cities to
avoid getting caught up in previously generated urban planning errors
(Woetzel et al. 2018). Meanwhile, some brownfield projects are located
in formerly developed plots (McNulty n.d.).

16
Review of Literature

Regardless of where smart city initiatives are implemented, pilot


projects should be carried out initially, especially because there is not
much evidence on the impacts of such initiatives. There are pilot projects
that have served as lighthouse projects. Noori et al. (2020) reported that
some LGUs have honed lighthouse projects to reflect their brand, gain
investments, and pave roads to smart city development. They added
that data-driven experiments and living labs have been supported by
collaborations among stakeholders (e.g., government, constituents,
academe, industry). Aspiring smart cities may choose to implement
projects suitable to their respective contexts.

The cases of Zaragoza, Abu Dhabi, and Busan


International cities of Zaragoza (Spain), Abu Dhabi (United Arab
Emirates [UAE]), and Busan (South Korea) were selected from the
Smart City Index to learn from their smart city journeys.3 From 2019
to 2021, these three cities ranked higher than the City of Manila, the
only Philippine city in the index. These cities have also consistently
improved their rankings throughout the period, an achievement not
attained by Manila (Table 1). The higher ranking and consistent
performance of Zaragoza, Abu Dhabi, and Busan from 2019 to 2021
relative to Manila reflect the potential of the city cases to provide insights
on options that LGUs can consider in moving closer to becoming smart
cities. The Zaragoza, Abu Dhabi, and Busan cases have similarities and
differences in the elements they employ in their smart city initiatives.
This section relays insights on these cases in terms of enablers, pathways,
and extent of smart city development based on available online resources.
The aim is to provide an idea of the possible way forward for Philippine
LGUs in their smart city development journeys.

3
The Smart City Index was used as a reference in selecting international cities whose experiences
are highlighted in this research. The smart city definition used in the index has similar themes
with the working definition. According to Professor Arturo Bris of the Institute for Management
Development (IMD) World Competitiveness Center, Professor Cheong Koon Hean of the Lee Kuan
Yew Centre for Innovative Cities, and Bruno Lanvin of the IMD Smart City Observatory, a “smart city”
in the context of the Smart City Index is “an urban setting that applies technology to enhance the
benefits and diminish the shortcomings of urbanization for its citizens” (IMD and SUTD 2021, p.3).
For the index, 120 residents were surveyed on issues relevant to structural and technological pillars
in 5 key areas: (1) governance, (2) opportunities, (3) activities, (4) mobility, and (5) health and safety.
Ratings for the Smart City Index are based on perception scores relative to the peers of a city within
respective groups created based on United Nations Development Index scores. Smart City Index
2021, in particular, ranks 118 cities based on weighted perception scores from the last 3 years of
the survey (IMD and SUTD 2021).

17
Are Philippine Cities Ready to Become Smart Cities?

Table 1. Smart City Index rankings (2019–2021)

City 2019 2020 2021


Zaragoza 49 48 15
Abu Dhabi 56 42 28
Busan 50 46 37
Manila 94 104 102
Source: IMD and SUTD (2019, 2020, 2021)

Enablers
Having a vision is recognized as an enabler to the smart city development
of Zaragoza. When the city established the vision for a knowledge-based
society and digital district in the early 2000s, it started implementing
smart city initiatives (Glasco 2018). According to Former Zaragoza
Mayor Juan Alberto Belloch Julbe, technological innovation was
promoted as the key to developing the economy, entrepreneurship,
and municipal administration (Zaragoza Ayuntamiento n.d.). He added
that Zaragoza’s achievements include enhancing telecommunication
networks and developing electronic administration and open data policy
(Zaragoza Ayuntamiento n.d.). Thus, having a vision can clarify the
targets of smart city initiatives to be implemented.
Stakeholder engagement is also seen as an enabler of smart city
development. Abu Dhabi has collaborated with Singapore to get ideas
from some Singaporean companies on how to solve some smart city
challenges (Geronimo 2021). In addition, Abu Dhabi’s Masdar City
has signed an agreement with Huawei to use the company’s IoT
platform to develop applications to improve constituents’ health-related
decisionmaking (Noori et al. 2020). The project team of Masdar also
engaged the British architectural company Foster + Partners to concretize
the planned carbon-neutral neighborhood (Flint 2020). In the case of
Zaragoza, the local government tapped the Zaragoza Knowledge City
Foundation because of the latter’s engagement with the financial sector,
academe, and companies (Zaragoza Ayuntamiento n.d.). Furthermore, it
worked with ABB for a cloud-based energy management platform (ABB 2019).
Zaragoza has also engaged the Regional Government of Aragon to
develop integrated information systems (Zaragoza Ayuntamiento n.d.).

18
Review of Literature

In Busan’s case, third-party developers were able to access municipal


data, making way for public sector innovation (GSMA 2012).
These examples reflect the importance these governments place
on partnerships.
Private and public stakeholders have supported the financing of smart
city initiatives. For instance, Zaragoza has developed the Crowdsourcing
ZGZ so that urban planners can solicit funds from constituents for
citizen-centric urban proposals while the city matches every Euro
(Glasco 2018). The planners’ proposals are approved for minimum
viable product development once a threshold is reached (Glasco 2018).
Zaragoza also had a public tender, giving a maintenance and energy
efficiency contract to the Spanish company IMESA (ABB 2019).
For Abu Dhabi’s Masdar City, seed money was put in by the provincial
capital (Flint 2020). Additionally, a public investment company facilitates
financial transactions in smart city initiatives in the Masdar smart city
project of Abu Dhabi. Mubadala C ompany, an investment firm from
the regional government, provides and funds ICT infrastructures
through outsourcing or its institutions (Noori et al. 2020). Hence,
stakeholder engagement also paves the way to generate additional
financial sources for smart city efforts.
Some cities, such as Abu Dhabi, have effectively branded
themselves as smart city promoters. Noori et al. (2020) noted that
Abu Dhabi likes to brand itself (e.g., by holding the Sustainability
Week, whose participants include experts, youth, and policymakers)
to increase investments and stretch its smart city development path.
Abu Dhabi’s Masdar City was converted into a smart city project from
an eco-centered one when smart city as a competitive urban policy
became a trend (Noori et al. 2020). However, some activities in relation
to the development of Masdar City have fallen short of expectations.
Noori et al. (2020) mentioned that the Mubadala Company initially
relayed that a certain amount of funds would be set aside for Abu Dhabi’s
Masdar project, but a portion of the budget went to other projects.
Regardless of the potential pitfalls, branding should still be considered
an enabler because of its ability to attract investments.
Data protection is important in smart city development. Some
cities have implemented relevant initiatives and policies aside from
existing institutionalized national laws on data security in their

19
Are Philippine Cities Ready to Become Smart Cities?

respective countries. Spain issued the Organic Law 3/2018 on the


Protection of Personal Data and Guarantee of Digital Rights, requiring
the appointment of a data protection officer within some entities and
mandating the Agencia Española de Protección de Datos as the central
regulatory authority (Lopez and Lapetra 2021). The importance
Zaragoza places on data protection is evident in the webpage it allots to
enumerating the areas and activities in which data are being collected
from constituents and the corresponding manner in which the data
are handled, including the duration in which the data will be kept
(see Ayuntamiento de Zaragoza 2021). Meanwhile, the UAE does not
have a comprehensive data protection law, but it does have laws related
to privacy, like the ICT Health Law, whose provisions include the
exclusive processing and management of health service-related data
within the UAE (DLA Piper 2021). South Korea also has the Personal
Information Protection Act 2011, regarded as one of the strictest data
protection laws worldwide and has provisions on sanctions and
a requirement of getting consent for some cases of data collection
(Kwang and Minchae 2021). The South Korean law was considered
in formulating Busan Metropolitan City’s guidelines on personal
information processing and handling (Busan Metropolitan City n.d.-a).
The guidelines have provisions on the assignment of a chief privacy
officer, duration of data retention, data destruction, and subject rights
(Busan Metropolitan City n.d.-a). Based on these cases, data protection
policies at the local level are worthy of being considered enablers of
smart city development.

Pathways
The example cities value research and development with various
stakeholders. For instance, research and development in Abu Dhabi’s
Masdar are supported by the Masdar Institute of Science and
Technology, which partnered with the Massachusetts Institute of
Technology and was eventually merged with Khalifa University
(Noori et al. 2020). Masdar also has the Honeywell Masdar Innovation
Center to generate innovative smart applications (Noori et al. 2020).
Meanwhile, Zaragoza has established the Etopia Center of Arts and
Technology, an innovation hub for entrepreneurs, technologists, and
artists; Open Urban Lab, a research and development center promoting

20
Review of Literature

co-creation; business incubators; and 100ideasZGZ, an innovation and


civic ecosystem enabling citizen participation in the city’s development
(Glasco 2018). It has also collaborated with the University of Zaragoza
in its smart city development agenda (Zaragoza Ayuntamiento n.d.).
Building partnerships with the academe and creating innovation hubs are
pathways taken by some international cities.
Aside from the typical brownfield projects, the cities have also
implemented greenfield and pilot projects. Abu Dhabi’s Masdar City, an
investment zone and live-work community completely run by renewable
energy, is an example of a greenfield project (Woetzel et al. 2018).
Some of Abu Dhabi’s initiatives include a driverless electric vehicle
in Masdar City (Flint 2020). Meanwhile, Zaragoza has worked on the
Valdespartera, a community with a centralized control and monitoring
system facilitating decisionmaking through real-time data and remote
equipment management (AVEVA 2020). Meanwhile, an example of a
pilot project is the Busan Eco Delta City, developed to serve as a testbed
for South Korea’s adoption of various technologies and cultivation of
an innovation ecosystem (Busan Metropolitan City n.d.-b). Lee (2020)
noted that aspiring residents were encouraged to apply: 18 households
would be selected among the applicants, while 36 would be drawn
through a lottery by the Ministry of Land, Infrastructure and Transport,
and Korea Water Resources. The author added that they would undergo a
training program for one year before their move and that the initiatives
include robots that collect waste, smart wearable bands monitoring
residents’ health and workout plans, and smart homes and unmanned
stores. There would be two model units available that visitors can view
(Lee 2020). Meanwhile, Abu Dhabi, in collaboration with Technology
Strategies Middle East, deployed the Zayed Smart City project in the
Corniche area, wherein Cumulocity IoT was utilized for the following
use cases: swimming pool monitoring, water storage tank monitoring,
waste management, smart parking, street lighting, palm tree weevil
detection, water metering, structural health monitoring, asset tracking
and logistics monitoring, and air quality monitoring (SmartCitiesWorld
News Team 2018). Aspiring smart cities can select the types of projects
suitable to their contexts.
Inclusivity is also targeted in some smart city initiatives. Busan
has been developing barrier-free spaces for people with disabilities by

21
Are Philippine Cities Ready to Become Smart Cities?

setting up digital kiosks at its biggest subway and train station. The
kiosks interpret sign languages and relay routes customized for the
user’s disability (Park 2021). Busan’s example sets a reminder that a smart
city should cater to all constituents.
The development of applications and platforms has also been
observed. Abu Dhabi has rolled out a smart cities virtualization
application, enabling it to monitor whether street lighting and public
transport are operating well (Spencer 2020). Additionally, Abu Dhabi
partnered with Huawei to develop applications to enhance sustainability,
productivity, and health to improve the decisionmaking skills of
constituents (Noori et al. 2020). For Zaragoza’s Valdespartera, a common
data capture infrastructure was set up, sending information to the
Sustainable Urban Centre, a unified control center to facilitate monitoring
of compliance with environmental requirements (AVEVA 2020). It
also has the System Platform acting as an industrial operating system
that enables data connectivity, security, communication, deployment,
and configuration through an integrated single software development
environment (AVEVA 2020). Valdespartera’s industrial systems are
shown on desktops and video walls to allow remote supervision of
operations (AVEVA 2020). Aspiring smart cities can develop various
applications and platforms to realize targeted outcomes.

Extent
The reviewed literature on Zaragoza, Abu Dhabi, and Busan show
a mix of smart city initiatives in the infrastructure and data phases.
Specifically for Zaragoza, many initiatives are in the infrastructure
and data phases. Initiatives within the infrastructure phase involve
telecommunication networks and Valdespartera’s desktops and video walls.
Zaragoza’s initiatives in the data phase include integrated information
systems, a webpage relaying data collection and management details,
and Valdespartera’s common data capture infrastructure and system
platform. Service phase initiatives of Zaragoza include the cloud-based
energy management platform and centralized control and monitoring
system. For Abu Dhabi, most initiatives are already in the service
phase. These involve the Masdar Innovation Center and applications
that enhance constituents’ decisionmaking. Some initiatives belong to

22
Methodology

the infrastructure phase, including Masdar’s use of renewable energy


to run the community and the IoT platform supporting application
development. Meanwhile, several initiatives of Busan are in the service
phase. Examples include Busan Eco Delta City’s robot-collecting waste,
smart wearable bands for health management, and digital kiosks for
persons with disabilities. Busan also has initiatives in the data phase,
such as the third-party developers’ open access to municipal data and
Busan Metropolitan City’s personal information process and handling
guidelines. Although the information in the reviewed literature is
limited, Zaragoza’s apparent initiatives in all three phases could have
influenced its higher ranking in the Smart City Index 2021 compared
with the other cities. Among the reviewed literature, there is a lack
of information on the initiatives of Abu Dhabi in the data phase and
Busan in the infrastructure phase. Additionally, Zaragoza has been able
to relay its outputs comprehensively. In some of its strategic plans for
smart city development, Zaragoza was able to specify its accomplished
smart city initiatives (Zaragoza Ayuntamiento n.d.). Zaragoza’s extensive
initiatives, backed up by documentation, make it one of the international
cities to look out for.

Methodology

A desk review of smart city efforts in some Philippine cities was


conducted. This was complemented by interviews with LGUs from
selected cities in the country and other stakeholders, including
national government agencies (NGAs), businesses, and development
organizations. Responses of LGUs are assessed relative to the views
of other stakeholders and the contents of shared documents and
online references.
Table 2 presents the profiles of selected cities for this study.
Before interviews with LGUs, a desk review was conducted to
initially identify cities with high implementation levels. Cities with
high implementation levels are regarded as already implementing
numerous smart city initiatives. Cities initially identified to have high
implementation levels, as well as those that did not appear to reach
the same levels based on the desk review, were included in the selection.

23
Are Philippine Cities Ready to Become Smart Cities?

Two of the cities selected (i.e., Mandaue and Malabon) are highly
urbanized (HUCs). Mandaue and Malabon are in the First Income
Class and have population sizes of 364,116 and 380,522, respectively.
Meanwhile, the cities of San Fernando in Pampanga and Tagum in
Davao del Norte are also in the First Income Class but are non-HUCs
(i.e., with population sizes of 354,666 and 296,202, respectively).
Non-HUCs in the Third Income Class were also selected (Cauayan in
Isabela and Tuguegarao in Cagayan), with population sizes of 143,403 and
166,334, respectively.

Table 2. Profiles of selected cities in the Philippines

City HUC Income Class Population


Mandaue City Yes 1st 364,116
Malabon City Yes 1st 380,522
San Fernando City No 1st 354,666
Tagum City No 1st 296,202
Cauayan City No 3rd 143,403
Tuguegarao City No 3rd 166,334

HUC = highly urbanized city; LGU = local government unit; PSA = Philippine Statistics Authority
Notes:
(1) The categorization of LGUs as HUC is as of 2020.
(2) The population is based on the 2020 Census of the PSA.
(3) Cities in gray rows have a high level of implementation based on desk reviews conducted
before interviews.
Sources: PSA (2021a) for LGU categorization as HUC; PSA (2021b–h) for income class and
population figures

LGUs in the selected cities were interviewed. Officials interviewed


for each chosen site vary depending on availability and point persons
identified through the snowball sampling method. The snowball
sampling method was adopted because LGUs are expected to have
different offices and policy implementation approaches. The set
of interviewees per selected site may include the mayor’s office,

24
Methodology

Sangguniang Panlungsod (city council), and other officials with potential


involvement in implementing smart city initiatives (e.g., City Planning
and Development Department, Management Information System
Section). Topics discussed include the following: (1) definition of “smart
city”, (2) smart city development phase in which LGU implements smart
city initiatives, (3) enablers of smart city development, (4) addressing
financial requirements for smart city development, (5) expected influence
of Mandanas-Garcia Supreme Court Ruling on financing, (5) challenges
and potential solutions, and (6) implementation pathways to support
smart city development. In addition to analyzing the interviews with
LGUs, the contents of relevant LGU documents and online references
were reviewed.
Some private sector stakeholders involved in smart city
initiatives were also interviewed (Figure 5), including 4 development
organizations and 7 businesses. Interviewed development organizations
are supporting smart city development’s infrastructure and data phase
through networking, financing, and providing service and technical
support. Those involved in the infrastructure phase help capacitate
LGUs and even link them to businesses that can provide infrastructure
technology involving focus areas of quality environment. In contrast,
those in the data phase provide data-relevant technology involving
safety, security, and built infrastructure.

Figure 5. Interviewees

Interviewees

5 National 6 Local 4
Government Government Development 7 Businesses
Agencies Units Organizations

Source: Authors’ illustration

25
Are Philippine Cities Ready to Become Smart Cities?

In the mean time, interviewed businesses are involved in the


infrastructure and service phases. Their activities include providing
service, technical support, networking, financing, consultancy, and
manufacturing. Those engaged in the infrastructure phase donate
and provide infrastructure technology related to focus areas of built
infrastructure, quality environment, and industry and innovation.
In contrast, those involved in the service phase provide technology
that focuses on safety and security. Topics discussed with interviewed
private stakeholders include their definition of “smart city”, smart
city initiatives they support, reasons for engaging with LGUs on
smart city initiatives, support for smart city initiatives, challenges
encountered in engagement with LGUs, implementation pathways
government can take to gain more private sector participation in smart
city initiatives, and lessons learned from supporting the development
and implementation of smart city initiatives.
Meanwhile, some NGAs with potential involvement in smart
city development were also interviewed (Figure 5). Topics discussed
with interviewed NGAs include their definition of “smart city”, smart
city development phase they are involved in, enablers of smart city
development, challenges to smart city development, and implementation
pathways to support smart city development. Interviewed NGAs include
the Department of the Interior and Local Government (DILG), DICT,
DOST-PCIEERD, Public-Private Partnership (PPP) Center, and National
Privacy Commission (NPC). The research includes NGAs because their
mandates reflect their potential influence on building smart cities. For
instance, the DILG (2013) is tasked with providing support in supervision
over local governments. Meanwhile, the DICT (n.d.-a) is in charge of
planning, promoting, and developing the national ICT agenda according
to Republic Act (RA) 10844. The DOST-PCIEERD (n.d.-b) is the main
agency that creates plans, policies, and programs and implements
strategies in energy, industry, and emerging technology sectors via
science and technology activities. In addition, the PPP Center (n.d.-a)
facilitates the implementation of PPP projects and programs. Meanwhile,
the NPC (n.d.) is mandated to carry out RA 10173 or the Data Privacy
Act of 2012. The discussion provides insights into the relevance of the
interviewed NGAs in smart city development.

26
Relevant Initiatives of NGAs in the Philippines

Findings based on interviews and contents of shared documents


and online references are used to assess the readiness of Philippine cities
for smart city development. They address the policy questions on drivers,
the extent of smart city development in the cities whose LGUs were
interviewed, and the pathways the Philippine government can take to
facilitate the development.

Relevant Initiatives of NGAs in the Philippines

The Philippine government has programs and policies that can


support smart city development in the country. Their programs can be
integrated with the infrastructure, data, and service phases of smart city
development and in the preparation of LGUs in implementing relevant
initiatives. This section shall present NGA programs/activities based
on the smart city development phase they are most aligned with. Such
a presentation is expected to help LGUs gain insights on which
agencies they can approach and which programs/activities they
can tap depending on initiatives they plan to implement or are
already implementing.
The DOST-PCIEERD (n.d.-a) has developed a framework for
smart sustainable communities and cities (Figure 6). It emphasizes
that a smarter city has the following goals: (1) economic development,
(2) quality of life, (3) public safety, (4) mobility, (5) health and wellness,
(6) sustainability, and (7) government efficiency. DOST’s smarter
city approach is targeted to attain the following: (1) collaboration
among stakeholders, (2) transferability in technological approaches
and tools, (3) integration of technologies of public organizations and
local governments, (4) openness in data, and (5) shared vision/human
centric. The roles of DOST in developing smart sustainable cities and
communities have been identified as advancing data use and sharing,
encouraging partnerships, and financing research. Hence, it promotes
the conduct of a gap assessment and priority setting. The following
are the themes for smart city indicators for sustainable development
of communities: (1) economic opportunity; (2) education;
(3) environmental quality; (4) waste and wastewater; (5) energy;
(6) finance; (7) governance; (8) health and living recreation; (9) safety,
security, and resilience; (10) infrastructure; (11) transportation and
mobility; (12) urban planning; and (13) empowerment and inclusion.
27
Figure 6. DOST framework for smart sustainable communities and cities

Local Government Unit Laws/Regulations Stakeholders

Collaborative
Institutions
Industry Land

Science, Technology,
Energy Water, Energy, and Power

Transferable
and Innovation
Emerging technologies Agriculture

Resources
(AI, IoT, space Human Resources
technology) SMARTER CITY Financial Resources
e-Health Educational
e-commerce, retail
Smart farming, SMEs
Transportation, delivery

Integrated
Services

Economy Education Energy Environment Health Finance Transportation Governance Infrastructure

Sports and Recreation Urban Planning Water and Safety, Security Empowerment Population and Telecommunications

Open
Waste water and Resilience /Inclusion Housing

DOST = Department of Science and Technology; AI = artificial intelligence; IoT = Internet of Things; SMEs = small and medium enterprises
Source: DOST-PCIEERD (n.d.-a)
Relevant Initiatives of NGAs in the Philippines

Although this framework helps guide smart city initiatives, some aspects
can still be improved. In particular, the principle of accountability is not
emphasized in the framework. A smart city not only collects data from
various stakeholders but also provides data to stakeholders who can make
use of the data to contribute to smart city development. If constituents
know the capability of a smart city, they are also likely to demand
access to data, increasing public accountability. Another opportunity
for improvement is in promoting the framework, as LGUs’ use of the
framework in adopting smart city initiatives has not been evident,
suggesting they are unaware of its existence.
Activities of the PPP Center can also support smart city
development. Given its expertise in public-private partnerships, the
center can potentially guide LGUs with smart city PPP projects, which
are common in international cities. The PPP Center has reliable
recording and data-sharing practices. The agency maintains an online
record of local PPP projects, detailing information such as brief project
description, project cost, and private proponent (see PPP Center n.d.-b).
However, identifying which projects are smart city initiatives is
not possible using the center’s records. Nevertheless, it is notable
that the PPP Center’s basis for prioritizing projects is enclosed in the
Public-Private Partnership Governing Board Guidelines on the Identification,
Selection, and Prioritization of PPP Projects (see PPP Center n.d.-c).
Using a multicriteria analysis, the PPP Center considers the following
elements in evaluating projects: institutional readiness of the implementing
agency, appropriate risk sharing, manageable life cycle costs, and
market acceptability (see PPP Center n.d.-c). Furthermore, PPP Center
places some projects under the Project Development and Monitoring
Facility, a revolving fund for preinvestment activities, such as feasibility
studies (Camus 2021). Although the center does not offer a specialized
track for smart city initiatives under the PPP mode, it can still support
aspiring smart cities in developing their projects.

Infrastructure phase
Within the infrastructure phase, the DOST has the potential to
support smart city initiatives. The DOST-PCIEERD has been accepting
proposals, such as those under its Convergence of Emerging

29
Are Philippine Cities Ready to Become Smart Cities?

Technologies/Sectors Towards Industry 4.0 and Smarter Cities and


Communities in the Philippines projects (DOST-PCIEERD n.d.-c).
These projects include sensors and actuators for intelligent factories,
5G product and application development, space technology applications
in public services, and sustainability through innovation in cities
(DOST-PCIEERD n.d.-c). The DOST also has the Collaborative
Research and Development to Leverage Philippine Economy (CRADLE)
program, wherein Philippine businesses collaborate with research and
development institutions and/or the academe for product and operations
development (DOST 2021). Under the CRADLE program, businesses
must commit to adopting the technology and shell in at least 20 percent
of the cost (DOST 2021). Although there is a lack of studies subjecting
the mentioned programs to assessments, the DOST initiatives can help
strengthen the foundations of smart city development because of the
technologies that can be developed through these projects or programs.
The DICT can also help in the infrastructure phase through
the National Broadband Program (NBP). The NBP aims to provide
consistent broadband capacity in the Philippines while cutting internet
subscription costs (DICT 2020a). Government agencies’ access to
relatively affordable internet service would be at PHP 50 per megabit per
second (Mbps) of bandwidth each month (DICT 2020a). Priority is given
to inaccessible and remote areas regarded as unprofitable by the private
sector (DICT 2020a). Given connectivity’s importance in deploying and
using smart city tools, the DICT’s success in implementing the NBP will
support smart city development. However, the NBP has encountered
issues, including delays in the rollout, said to be caused mainly by civil
work roadblocks (Romero 2022). Additionally, in 2020, the program
reportedly had problems getting funding for the succeeding years
(C amus 2020). Former Senator Panfilo Lacson also observed that the
DICT was not getting sufficient funding despite the savings that could
be generated through the NBP (Ping Lacson 2020). Hence, the financial
issues related to the NBP must be addressed for the program to facilitate
smart city development.
Another program that can potentially support smart city initiatives
within the infrastructure phase is the DICT’s Free Wi-Fi for All project.
The DICT has been implementing the Free Wi-Fi for All program to
increase access of Filipinos to the internet (DICT n.d.-b). The project

30
Relevant Initiatives of NGAs in the Philippines

is supported by RA 10929 or the Free Internet Access in Public Places


Act, which provides for free internet service in public areas (e.g., public
transport terminals, public hospitals) across the country, with the DICT
as the lead implementing agency. The law also mandates the agency to
ensure that each user has a minimum internet speed of 2 Mbps or as
prescribed by the NBP, whichever is higher. However, the Free Wi-Fi
for All has been criticized for its poor implementation (Marcelo 2022).
For instance, only 11,618 sites were built out of the targeted 34,442 free
Wi-Fi sites by the end of 2021, according to the accomplishment report
of the DICT Program Management Office, as noted by the Commission
on Audit (COA) (Marcelo 2022). The COA also observed that out of the
reported sites built, only 6,658 were proven to exist as of April 13, 2022
(Marcelo 2022). According to the DICT Program Management Office,
the low accomplishment was caused by technical issues with the project’s
network architecture, problems getting permits and memorandums of
agreement, and procurement delays (Marcelo 2022). The DICT’s Free
Wi-Fi for All can address the lack of connectivity among constituents,
but the program’s challenges still need to be resolved.
Countryside development has also been a target of the DICT
through its Digital Cities Program. The DICT has launched the Digital
Cities Program in collaboration with the Leechiu Property Consultants
and Information Technology and Business Process Association of
the Philippines (IBPAP) to support countryside digital jobs growth
(DICT 2021a). Selected cities for the program are tagged as having a
high potential for transformation into digital cities and are expected
to have an increase in domestically available information technology
and business process management (IT-BPM) jobs (Dela Cruz 2020).
Interventions under the program include stakeholders and design
thinking workshops and strategic planning to support countryside
cities in developing 5-year ICT industry roadmaps (DICT 2021a). As of
July 2021, around 9 cities successfully completed their 5-year roadmaps
(Abadilla 2021). According to Undersecretary Emmanuel Rey Caintic,
program interventions would include connectivity enhancement
support from the DICT (Dela Cruz 2020). The Digital Cities Program,
with its comprehensive approach to countryside development, can
help build smart cities.

31
Are Philippine Cities Ready to Become Smart Cities?

Data phase
A secure data flow has been made possible within the data phase by
implementing RA 10173 or the Data Privacy Act of 2012. This law
sets out the policy of the state, ensuring free-flowing information for
development while safeguarding privacy. It also has provisions on data
subjects’ rights and penalties for unauthorized personal information
processing. RA 10173 established the NPC, whose mandates include
engaging with government agencies and the private sector to design
policies and plans to improve personal information security and monitor
compliance with data protection standards. The NPC also has statistics
on breach notifications. Through RA 10173, the NPC has the capacity
to ensure data protection; however, issues have been raised regarding
the law’s implementation. In 2020, it was reported that there was a lack
of penalties imposed in the form of imprisonment or fines on violators
since the NPC was established (Damazo-Santos 2020).
Emphasis on data sharing accompanies the policy to protect data.
Hence, the government has implemented the Freedom of Information
(FOI) Program under Executive Order (EO) 2 (s. 2016). This policy
provides that each Filipino should have access to public and official
records; information; government research data; and papers and
documents on official acts, decisions, or transactions. The Presidential
Communications Operations Office (PCOO) serves as the coordinator
for the FOI Program (FOI Philippines n.d.). Under the program,
Filipino citizens may request information on government operations
and transactions as long as they do not pertain to privacy and national
security matters. The FOI Program offers an open data mechanism
consistent with the smart city concept. However, its implementation
has been criticized. For instance, the Philippine Center for Investigative
Journalism reported the following issues: (1) unsatisfactory results
that were supposed to address requests, (2) delayed feedback from
government offices, and (3) numerous denied requests (Perez 2020).
Various platforms can be tapped to gain access to data. The platform
OpenStat, managed by the PSA, increases access to PSA-gathered data
(PSA 2021i). The datasets are divided into the following domains:
(1) environment and multidomain statistics, (2) economic statistics, and
(3) demographic and social statistics (PSA 2021j). The DICT (n.d.-c)

32
Relevant Initiatives of NGAs in the Philippines

also has a platform called Open Data Philippines, which aims to


increase access to datasets from government agencies. It divides datasets
according to the following sectors: (1) agriculture and food security;
(2) arts, culture, and heritage; (3) banking and finance; (4) business and
entrepreneurship; (5) defense and national security; (6) education and
training; (7) energy; (8) environment and natural resources; (9) foreign
affairs; (10) health; (11) housing and urban development; (12) labor and
employment; (13) law enforcement and justice; (14) local government;
(15) national governance; (16) public infrastructure; (17) science and
technology; (18) special concerns; (19) transportation; and (20) travel
and tourism (DICT n.d.-d). Cited issues on the Open Data Philippines
include the lack of information management capacity, digital divide,
and lack of appreciation from some government agencies (Pacis 2017).
The available platforms are expected to support the FOI policy of
the government.
Capacity building to enhance data management is also being
supported by the government. The DOST-PCIEERD, in collaboration
with the Development Academy of the Philippines (DAP) and PCOO,
has been implementing the Smarter Philippines through Data Analytics
Research and Development, Training and Adoption (SPARTA) to train
30,000 Filipinos on data management (DOST-PCIEERD 2020a). The
DOST-PCIEERD has also been implementing the Good Governance
through Data Science and Decision Support System (GODDESS)
Program to fund data science research and development projects that
could enhance the operations of LGUs and NGAs (DOST-PCIEERD 2021).
The capacity-building programs of the DOST-PCIEERD can ensure the
availability of human capital to support smart city building.

Service phase
RA 11032, or the Ease of Doing Business and Efficient Government
Service Delivery Act of 2018 (Anti-Red Tape Act [ARTA]), supports the
service phase of smart city development. ARTA mandates NGAs and
LGUs to reengineer their respective procedures and systems in accordance
with its provisions, including a zero-contact policy. In consultation with
the NPC, the DICT is likewise mandated to develop the Central Business
Portal (CBP), a central application system for business-related clearances,

33
Are Philippine Cities Ready to Become Smart Cities?

permits, licenses, or authorizations issued by LGUs. Meanwhile, Joint


Memorandum Circular 1 (s. 2016) of the DILG, Department of Trade
and Industry, and DICT encourages LGUs to computerize and automate
their business permit process and use electronic and online mechanisms
for efficient business processing. The policies can encourage LGUs to
implement smart city initiatives because of their potential to ensure
ease of doing business and efficient government service delivery.
Medina-Guce et al.’s (2019) assessment of the implementation of the
ARTA shows a positive impact of implementing ARTA on government
efficiency and client satisfaction in frontline service delivery. They
further noted that “success is most observed when (a) there are
agency-level initiatives that translate the ARTA standards into policies
and programs that promote efficiency among respective agencies
and offices, and (b) there is significant leadership and management
support for ARTA-related programs that translate into prioritization
of outcomes achievement and technology and resource allocation into
the programs” (pp. 6–7).

Overview of Smart City Initiatives in the Philippines

Many cities in the Philippines have been using smart city tools, and
some are in the process of planning and/or establishing agreements with
stakeholders. Smart city development phases to which the initiatives
belong have been highlighted in this section to provide insights into
the development within the specified areas. Initiatives are also presented
in terms of their alignment with the working definition. However, it
must be noted that the reviews of the smart initiatives in this section
are mainly based on online references.

Metro Manila

Infrastructure phase
Aspiring smart cities in Metro Manila place a high value on connectivity.
Infrastructures, such as the internet, have been set up to process and
communicate data and information by, from, and to the people and
institutions to attain a high quality of life. According to Mayor Mar-Len
Abigail Binay, 25 barangays in Makati City are equipped with a fiber

34
Overview of Smart City Initiatives in the Philippines

optic cable loop, enabling residents to access free Wi-Fi service during
particular periods of the day (Manila Bulletin 2020). The project on the
fiber optic loop was a collaboration with Neo Tech Asia Distribution
Inc. and Converge Information and Communications Technology
Solutions Inc. (Mocon-Ciriaco 2017). In addition, Makati City has also
been working on improving cellular bandwidths through mobile signal
boosters (Marasigan 2019). Free Wi-Fi is provided to constituents in
particular areas of San Juan City, made possible by the Google Station
deployed by Smart Communications Inc. (L.S. Marasigan 2019).
Meanwhile, San Juan City partnered with Globe Telecom to create
Wi-Fi zones in some public areas and barangays (Marquez 2019). It also
established free Wi-Fi, in cooperation with the DICT, in specific areas of
the city (Umali 2019). Additionally, Smart Communications has been
providing free Wi-Fi to residents of Las Piñas, Mandaluyong, Malabon,
Parañaque, and San Juan through their Smart Barangay Connect
Program, aided by PLDT’s fiber infrastructure (see Barrientos 2021
and Mercurio 2021). Meanwhile, Pasig City teamed up with Globe
Telecom to deploy its KonekTayo WiFi buses, which serve as
hotspots to particular areas at designated periods of the day at a price
(Aglipay 2020). The experiences in increasing constituents’ access to the
internet reflect the potential role of other stakeholders even in the early
phases of building a smart city.
Initiatives involving smart city-related infrastructures in Metro
Manila include deploying tools that sense, monitor, process, translate, and
communicate quality environment and mobility data and information
by, from, and to the people and institutions for a sustainable
environment and high-quality life. This was demonstrated in Manila
City’s engagement with Rotary International, United States Agency
for International Development, community groups, and government
agencies for the Sta. Ana Public Market Wastewater Treatment Plant,
which facilitated maintenance and operation, resulting in reduced
wastewater treatment costs (Gambrill n.d.). Meanwhile, Pasig City has
a project on solar-powered citywide mass alert sirens (The Good News
Pilipinas Team 2018). The City of Pasig was also a collaborator in the
Philippine Postal Corporation’s (PHLPost) “Green Delivery” electric
vehicles, which conduct deliveries (Quadra-Balibay 2020). Pasig City
has also collaborated with the Ateneo de Manila University (ADMU)

35
Are Philippine Cities Ready to Become Smart Cities?

to access green technologies and infrared radiation cameras on drones


(Coastal Cities at Risk in the Philippines 2019). Meanwhile, the New
Manila Bay-City of Pearl, a smart city project designed by Hong Kong
architectural company Ho & Partners Architects Engineers & Development
Consultants Limited, is envisioned to use solar and tidal energy and
to have a driverless railway system, water taxis, and a smart grid
powered by artificial intelligence to monitor energy production,
consumption, and transportation (Seow 2017). On the other hand,
Valenzuela City established a solar power farm (Olandres 2015),
while Makati City has been eyeing to shift to electric-powered/hybrid
vehicles (Marasigan 2019). The discussions in this section show that the
attainment of a quality environment is on the agenda of some Metro
Manila LGUs.

Data phase
Some LGUs in Metro Manila have been attempting to increase the
ability of their respective constituents to communicate with them.
This has been done by deploying various platforms that process,
translate, and communicate civic and social and safety and security data,
information, and knowledge from the people to attain a high quality
of life. For instance, the Makatizen App enables constituents to be
informed and relays issues such as emergencies and crimes (Lalu 2019).
Meanwhile, with the help of local tech company Senti AI and Google
Philippines, Manila City established a Google Forms-powered complaints
desk, in which constituents’ complaints are submitted, collected, processed
through natural language processing, and sent to appropriate departments
(Newsbytes.PH 2020). Furthermore, Pasig City used a Seattle-based
developers’ online platform for an online survey, leveraging machine
learning to analyze the respondents’ approval or disapproval
of LGU-formulated statements on open streets (Ranada 2020).
LGUs’ efforts to boost communication with constituents reflect their
understanding of smart cities’ people-centric concept.
Safety and security are the focus themes of some smart city
initiatives in Metro Manila. The smart city tools sense, monitor, process,
translate, and communicate safety and security data and information by,
from, and to the people and institutions to attain a high quality of life.

36
Overview of Smart City Initiatives in the Philippines

For instance, smart city technologies were piloted in Caloocan City in


collaboration with Iveda, whose technologies (e.g., facial recognition
and license plate recognition) can trigger actions without physical
human intervention (Smart Cities World Forums 2019). Meanwhile,
Makati City has the Command Center Vans with telecommunication
equipment connected to the mainframe of the LGU, enabling governance
continuity even when disruptions occur due to disasters. The city
also plans to allow the delivery of live images from the body cameras
of law enforcers to the LGU’s command centers (Marasigan 2019).
Additionally, Makati City has installed closed-circuit television (CCTV)
cameras as part of its disaster risk reduction and management (Cepeda 2020).
Meanwhile, smart city initiatives of Pasig City include a computer-aided
dispatch project where incident reports are sent in real time to emergency
services, an emergency network global system for mobile communications
(GSM) for emergency cellular calls and text messages during calamities,
and a flood awareness simulation tool where scenarios and information
about flood-prone areas can be generated (The Good News Pilipinas
Team 2018). Meanwhile, Quezon City has an Emergency Operations
Center, a monitoring system for issues related to emergencies and security
(Koh 2017). In the City of Taguig, the Taguig Weather Monitoring
System was set up to give real-time information and updates on
phenomena such as disasters, storms, and weather conditions using
cameras and analytics (Caliwan 2020). Furthermore, Mandaluyong
City and PLDT deployed Smart SOS Dispatch solutions and
CCTVs (Valencia 2018). Marikina City, meanwhile, plans to establish
a camera surveillance system and a command center with access to
a computer-aided dispatch system, as well as acquire digital radio
handsets, internet protocol (IP) cameras, teleconference endpoint,
one-key emergency button devices, and digital information display from
China International Telecommunication Construction Corporation.
This was according to the DILG, the city’s partner in implementing
the Safe Philippines Project (Arevalo and Santos 2019). Meanwhile,
Manila City has planned to improve its command center by incorporating
a cloud-based system (ASEAN 2018). In addition, Pasay City intends
to have CCTVs in some areas of the city (Villanueva 2008). The cases
discussed in this section show the importance LGUs in Metro place in
safety and security.

37
Are Philippine Cities Ready to Become Smart Cities?

Service phase
In some cities, some identity documents (IDs) and platforms are being
used in government transactions. These IDs and platforms process,
translate, and communicate civic and social-related data and information
by, from, and to the people and institutions to attain a high quality of life
and a competitive economy. Manila City has provided IDs to some
constituents to allow cashless distributions and payments (PayMaya n.d.).
Allowances and benefits can be stored via the IDs, which can then be
used to buy from merchants and mobile Kadiwa shops, transfer money,
purchase mobile phone loads, and pay bills (PayMaya n.d.). Meanwhile,
Manila City’s Go Manila Online Services processes licenses, permits,
health certificates, birth certificates, and community tax certificates
(City of Manila 2020). On the other hand, Makati City launched the
Makatizen Universal Card System in 2017 with iBayad Online Ventures
Inc. and G-xchange as partners (Mocon-Ciriaco 2017). It also partnered
with Globe Telecom in providing Makatizen Cards to some constituents
(Manila Bulletin 2020). The Makatizen Card is used to distribute
financial assistance to constituents (Lucas 2020). Additionally, the ID is
used in payments, money transfers, and receipt of stipends and salaries
(Gonzales 2020). Furthermore, the Makatizen Card enables paperless
government transactions and functions as an updated census, given the
personal data stored in it (Marasigan 2019). Pasay City also introduced
the Electronic Mamamayan ID, a city ID that can also be used in
contact tracing, commerce, and as an e-wallet to distribute financial aid
(Nazario 2021). It was also used to establish a cloud server-enabled citizen
registration management system containing information and data of
registered citizens (Nazario 2021). Other government agencies can
access these data during emergency crises for more efficient responses
(Nazario 2021). Thus, some LGUs in Metro Manila make government
transactions easier through IDs and platforms.
Online and mobile payment platforms for constituents have also
been deployed and used in some Metro Manila cities. In Caloocan City,
payments of quarterly business tax and real property tax via mobile
devices or computers can be made through the Link.BizPortal of the Land
Bank of the Philippines (LANDBANK 2020). Navotas City has a similar
engagement with LANDBANK through the Link.BizPortal, wherein it
can monitor relevant collections each day in real time (LANDBANK 2021).

38
Overview of Smart City Initiatives in the Philippines

In collaboration with NeoConverge, the digital arm of Smart and


PLDT, Makati City deployed the Makatizen App (Manila Bulletin 2020).
The application, in conjunction with the Makatizen Card, has been
used in receiving financial assistance from the LGU (Lucas 2020).
Meanwhile, Manila and Parañaque partnered with Multisys Technologies
Corporation for the Go Manila Online Services, which enable real
property tax payments, and the Electronic and Online Payment
Collection System of Parañaque to facilitate cashless, contactless, and
paperless transactions with the LGU (see City of Manila 2020 and
Business World 2021). Quezon City also enabled government-related
payments through a mobile and online platform (Koh 2017). The City
of San Juan has a mobile and web application, allowing the constituents
to pay real property tax online and on mobile (City of San Juan Local
Government System 2020). Additionally, Marikina City has engaged
with Bayad Center to allow bills payment via modes that include smart
city applications (Inquirer 2020). Lastly, Valenzuela City has an online
application system to process business permit applications from filing
to payment (Tuquero 2019). These platforms are expected to facilitate
payment transactions.
Health and well-being are the focus of some smart city platforms
in Metro Manila. These platforms sense, monitor, process, and
communicate health and well-being data, information, and knowledge
by, from, and to the people and institutions to attain a high quality of life.
Manila City has planned to create tutorial applications where teachers
can guide their students in their lessons (ASEAN 2018). Taguig also
launched the Taguig Online Resources and Community Hub (TORCH)
to prepare its residents for the new normal (Nazario 2020). TORCH
introduces teacher training, an online resource hub for seniors, an
open campus for professionals, resources to help businesses adjust, and
government information portals (Nazario 2020). Meanwhile, some
LGUs have been deploying COVID-19-related platforms. For instance,
all cities in Metro Manila have an online platform for COVID-19 vaccine
registration (CNN PH 2021). Quezon City has launched new digital tools,
such as the Tanod Kontra COVID (TKC) information system and the
KyusiPass (QCPass), to enhance the efficiency of tracking and containing
the virus (Junio 2021). In addition, Navotas City developed an online
application to track the response of the LGU to the ongoing COVID-19

39
Are Philippine Cities Ready to Become Smart Cities?

pandemic (e.g., notifying constituents of COVID-19 test results, deploying


to or from isolation facilities) (David 2020a). Additionally, the Makatizen
App allows constituents to make appointments at barangay health
centers, determine how many patients are in line, and be notified
when it is their turn to transact (Cepeda 2020). Hence, smart city
platforms can help increase the constituents’ quality of life.
Businesses can gain from smart city initiatives by adopting
platforms that can sense, monitor, process, translate, and communicate
industry and innovation data and information by, from, and to people
and institutions to attain a competitive economy. As in previous
examples, private sector companies have collaborated with LGUs to
implement smart city initiatives, providing them with a potential
source of additional income. They also benefit from the online platforms
that facilitate government transactions and payment settlements.
Aside from such gains, businesses have become direct beneficiaries of
smart city projects. For instance, the City of Navotas partnered with
Grab Philippines to onboard businesses and drivers on Grab-related
applications (Speed Magazine 2020). Furthermore, Valenzuela City
collaborated with Grab Philippines to create a mapping system using
local data, increasing the efficiency and accuracy of deliveries through
the Grab application (Malaya 2019). Given the potential advantages
of smart city initiatives to businesses, companies should include
collaborating with aspiring smart cities in their agenda.

Metro Clark

Infrastructure phase
Meanwhile, building connectivity infrastructure is high on the agenda
of some aspiring smart cities in Metro Clark. These infrastructures
help process and communicate data and information by, from, and to
the people and institutions to attain a high quality of life. According
to Gilbert David, assistant network administrator of Angeles City’s
Information and Communications Technology Division, internet
connection and network equipment in the city hall have been enhanced
to increase the efficiency of online payment, while networks of
installed data cabinets were consolidated to build a centralized server
(Carbungco 2020). Meanwhile, Mabalacat City engaged the DICT and

40
Overview of Smart City Initiatives in the Philippines

Metro Clark Information and Communications Technology to install


free Wi-Fi in key areas, such as the city hall, through a project called
“Pipol Konek” (Navales 2018). Additionally, San Fernando City tapped
Smart Communications to provide free fiber-powered Wi-Fi through
Google Station (Smart Communications 2019a). These examples showcase
the value Metro Clark cities put on the internet as an important
component of building smart cities.

Service phase
Platforms with civic and social focus are being promoted in some cities.
These platforms process and translate data and information by, from,
and to the people and institutions to attain a high quality of life. Angeles
City has implemented online services for collecting real property taxes,
issuing occupational and business permits, health, community tax, and
birth certificates and licenses (City of Angeles 2020). The city has also
established a system where constituents can make cashless payments
in public transportation and markets (Gunio 2020). It also intends to
deploy kiosks in each barangay for paying basic traffic fines and real
property and business taxes (Gunio 2020). These platforms cater to
constituents wanting faster payment options in their government
transactions. San Fernando City has continuously boosted its online
business permit application system since 2017 (Flora 2021). Likewise,
it deployed electronic queuing systems in city government offices to
centralize public transactions (Flora 2021). Aside from improving public
services, these efforts to ease the process of doing business also contribute
to bolstering economic development.
Safety, security, and health are key themes in some smart city
initiatives under the service phase. These initiatives can help sense,
monitor, process, translate, and communicate data, information, and
knowledge by, from, and to the people and institutions to attain a
high quality of life. For instance, San Fernando City intends to equip
its command and control center with light-emitting diode boards for
traffic safety, cable for voice facilities for easy collaboration with other
government offices, a computer-aided dispatch system, and a video
management system (Tecson 2018). Meanwhile, Angeles City is eyeing
to expand its Emergency Disaster Command Center (Gunio 2020).

41
Are Philippine Cities Ready to Become Smart Cities?

Some other smart city initiatives of the city focus on health, such as
implementing StaySafe.PH mobile application for COVID-19 contact
tracing (Dharmaraj 2020a). Safety, security, and health are the focus
areas of some Metro Clark LGUs in their smart city initiatives.

Metro Cebu

Data phase
Cebu City has been recognized for its smart city development initiatives
in the data phase category. For instance, the Cebu Business Application
and Online Analytics project was recognized at the 2018 Digital Cities
Philippines Awards Night as a world-class ICT system (Dagooc 2018).
Another is its GeoHazard Mapping Information System for better
disaster preparedness and management (Dagooc 2018). These recognized
efforts are in line with smart cities’ function to sense, monitor, process,
translate, and communicate safety and security and industry and
innovation-related data, information, and knowledge by, from, and to
the people and institutions to attain a high quality of life, competitive
economy, and sustainable environment.
Meanwhile, some smart city plans highlight visualization involving
sensing, monitoring, processing, translating, and communicating data
and information. For instance, Cebu City plans to leverage a centralized
geographic information system (GIS) and develop 3D context models in
implementing projects (Bhattacharya 2018). Such programs could pave
the way for creating a digital twin.4

Service phase
Safety and security and quality environment are themes being exhibited
by some smart city initiatives under the service phase in Metro Cebu.
For example, Mandaue City installed a CCTV system and implemented
the Guardian Emergency Response System, an application enabling
a one-touch key to relay incidents and get assistance in times of
emergency (SunStar Cebu 2019). Likewise, Cebu City intends to install

4
There are various interpretations on the term “digital twin”, but “it is generally believed that the
‘Digital Twin’ is a simulation process that makes full use of physical models, sensors, historical data
of operation, etc. to integrate information of multi-discipline, multi-physical quantities, multi-scale,
and multi-probability” (Deren et al. 2021, p.1).

42
Overview of Smart City Initiatives in the Philippines

higher-resolution CCTV cameras (ASEAN 2018). Meanwhile, Naga


City promotes circular economy technology (see Neola 2021). These
projects reflect the value these cities place on the smart city focus areas
and the need to sense, process, translate, and communicate data and
information from the people and institutions to achieve a high quality
of life and a sustainable environment.

Metro Davao

Infrastructure phase
Some cities in Metro Davao have been laying the foundation for
implementing smart city initiatives through infrastructures that
can help in processing and communicating industry and innovation
data and information by, from, and to the people and institutions to
attain a high quality of life and competitive economy. For instance,
Davao City has installed Wi-Fi in key areas, such as the local airport
(The Economist 2017). The city is also connected through fiber optics deployed
by telecommunication companies, including the PLDT (Llemit 2020).
Meanwhile, the underground cabling project is a joint initiative of
the Davao City LGU, Davao Light and Power Company (DLPC),
and other utilities (Francisco 2018). The first phase, which covered the
removal of underground cables along the downtown area surrounding
LGU buildings, was completed in 2017 (Francisco 2018). According to
a DLPC official, 6 circuit kilometers (km) of overhead lines, costing
PHP 1 billion, will be installed as part of the project’s second phase
(Francisco 2018). In Tagum City, point-to-point internet towers have
been deployed (Aglosolos n.d.). The City’s Center of Justice Building
also has the Technology for Education, Employment, Entrepreneurs, and
Economic Development (Tech4ED), which is a facility providing
access to ICT-enabled services and relevant content (see Tagum City
Information Office 2018a). Launched in 2018, the project, a collaboration
between DICT and Tagum City’s Public Education and Employment
Services Office, is envisioned to facilitate technology empowerment in
entrepreneurship, employment, economic development, and education
(see BusinessWorld 2018; Tagum City Information Office 2018a). These
projects show the priority some Metro Davao cities place on increasing
internet and technology access.

43
Are Philippine Cities Ready to Become Smart Cities?

Some infrastructure-related initiatives by aspiring smart cities


focus on mobility. For instance, the City of Davao has been working
on the High-Priority Bus System, which will be complemented by an
improved traffic signalization and management center (Burgos 2019).
According to Department of Transportation (DOTr) Secretary Arthur
Tugade, 626 km of the road network will be covered in the system
(Dela Cruz 2021). The DOTr, Land Transportation Franchising and
Regulatory Board, and Land Transportation Office are involved
inthe capacity building for the planning, regulating, implementing,
and monitoring (DOTr 2019). The project is financed by the Asian
Development Bank, with GHD Pty Ltd. as a consultant (Davao City
Government n.d.-a). The PHP 18.66 billion official development
assistance for the project is allotted for public transport system
improvement, program institutional capacity strengthening, and
social development program (DOTr 2019). The National Economic
and Development Authority-Investment Coordination Committee
approved the project in 2019 (DOTr 2019). According to DOTr Secretary
Tugade, the project will be completed in the third quarter of 2023
(Dela Cruz 2021).
Quality environment is also a focus of some initiatives
involving infrastructure. These projects can process and translate
quality environmental data and information to attain a sustainable
environment. For example, the Davao City LGU uses a technology
that converts used cooking oil to biodiesel fuel (Carillo 2017). The
technology was acquired through a collaboration with the Japanese
government, the Japan International Cooperation Agency (JICA), the
Shinozaki Transport Warehouse Co. Ltd., and technology manufacturer
Biomass Japan Inc. (Carillo 2017).

Service phase
Some Metro Davao cities value safety and security as reflected in their
initiatives that sense, process, and communicate safety and security
data and information by, from, and to the people and institutions
to attain a high quality of life. For instance, Davao City LGU has the
Public Safety and Security Command Center (PSSCC), which oversees
safety and security-related activities (Ludher et al. 2018). It utilizes
GIS-mapped data, a CCTV surveillance system, traffic cameras and

44
Overview of Smart City Initiatives in the Philippines

signalization systems, and Interpol’s I-24/7 database (Ludher et al. 2018).


The PSSCC has deployed 190 surveillance cameras (DAP 2020), likely
to be linked to the city’s centralized dashboard (The Economist 2017).
Davao City also plans to install additional CCTVs to capture key facilities
and each intersection in the city (ASEAN 2018). Likewise, the city has
partnered with IBM to develop a centralized operations dashboard
where information from various city agencies is incorporated and
processed in real time, enhancing responses in disasters and emergencies
(Madrazo-Sta. Romana 2012). According to the DILG, Davao City’s
Converged Command and Control Center project has reached 2 of
the 5 implementation phases (Chavez 2021). These included installing
additional CCTVs, fiber optic cables, underground cables, and digital
infrastructure deployment (Chavez 2021). Another smart city initiative
is the Davao City Disaster Radio, which went on air in 2020 to give
information on LGU activities, particularly disaster preparedness
(Davao City Government 2020). The plan is to involve the entire
Davao region through a partnership with Region XI governors, with
some governors already signing a manifesto to express their support
for the radio (Davao City Government 2020). The Armed Forces of
the Philippines has also signed a memorandum of agreement (MOA)
with the LGU to help relay disaster preparedness-related information
(Davao City Government 2020). Davao City also has the Central 911,
which allows constituents to connect to the nearest emergency
responders (Davao City Government 2018a). The LGU collaborated
with the DLPC initially in 1997 for the Davao City Street Lighting
Project to build light poles that can be located through GIS (DAP 2020).
An engagement was also made with the DLPC for the Emergency
Computer-Aided Dispatch for Central 911, which was launched in 2002
(CHMI 2021). An application developed by Auspex enables Central 911
staff to locate emergencies through GPS (Suarez 2018). The C entral 911
also has an integrated public alert warning system to facilitate
communication during emergencies (Cantalejo 2013). The city has also
partnered with Sun Cellular, Smart Communications, Globe Telecom, and
PLDT to enable mobile access of constituents to Central 911 (DAP 2020).
In Davao City, public utility vehicle drivers are issued identification cards
with QR codes to track traffic violations easily (Canedo 2018). According
to Davao City Transportation and Traffic Management Office head

45
Are Philippine Cities Ready to Become Smart Cities?

Dionisio Abude, around 19,000 identification cards have been released, and
drivers without IDs would be apprehended starting in 2018 (Canedo 2018).
Because of the COVID-19 pandemic, some cities in Metro Davao
have implemented smart city initiatives using technologies that can help
sense, monitor, process, and communicate health and well-being data,
information, and knowledge by, from, and to the people and institutions
to attain a high quality of life. The City of Davao uses QR codes to notify
its constituents of contract tracing protocols and personalized status
(e.g., suspected COVID-19 carriers) (Miranda 2021). It also launched
the Safe Davao QR, a platform for travel passes and contact tracing
(Davao City Government n.d.-b). As part of its plan to develop an
integrated COVID-19 vaccination database, the LGU has been importing
data on the vaccinated into a system, according to Former Mayor Sara
Duterte-Carpio (Llemit 2021). These initiatives are useful, especially in
emergency situations.
Some initiatives under the service phase in Metro Davao
focus on industry and innovation. These initiatives help process and
communicate industry and innovation data and information by, from,
and to institutions to attain a competitive economy. The Davao City
LGU partnered with data technology firm Fusionex International to
launch the Electronic Halal Hub Trade Facilitation Platform for products
of Mindanao small and medium enterprises (Padillo 2020). The LGU
has also enabled online business permit applications (Davao City
Government 2018b). Hijo Resources Corporation in Tagum City also
plans to establish Hijo Central. According to Rosanna Tuason-Fores
of Hijo Resources Corporation, the initiative is envisioned as a smart
city—a hub for biotech, agritech, and foodtech (Alama 2019). She
added that a platform would be in place to link farmers to the market
directly (Alama 2019). Hijo Central would also feature a food innovation
hub (Perez 2019). A project like Hijo Central can be a pilot area for
implementing smart city initiatives.

Other HUCs
Some HUCs are increasingly incorporating digital aspects into
their development plans. For instance, General Santos, Iligan, Puerto
Princesa, and Zamboanga launched their 5-year digital city roadmaps
in 2021 (Balinbin 2021). These roadmaps, which are part of the Digital

46
Overview of Smart City Initiatives in the Philippines

Cities Program, aim to improve the readiness of nonmetro localities


for the digital economy. In addition, General Santos City was recognized
by the Digital Governance Awards for its use of GIS in assessing climate
and disaster risk in its Comprehensive Land Use Plan (DICT 2019b). Other
cities are also working on establishing their cities as innovation hubs.
Iloilo, for instance, crafted the “Innovate Iloilo” roadmap, which
focuses on using science, technology, and innovations (STI) to improve
governance (Santiagudo 2019). Meanwhile, Bacolod’s TriCity ICT
Caravan program aims to spur the growth of its IT-BPM sector
(Nicavera 2020). These efforts show the growing commitment of HUCs
to become smarter cities.

Infrastructure phase
Some of the remaining HUCs have implemented projects to improve
connectivity in their areas, increasing the potential to process and
communicate data and information by, from, and to the people and
institutions to attain a high quality of life. In 2020, Baguio City
signed an MOA with the DICT to establish a broadband network
and accelerate the implementation of its Free Wi-Fi in Public Spaces
Program (DICT 2020b). In partnership with the DICT, Lucena City also
launched more free Wi-Fi sites as the city transitions to the new normal
(DICT 2020c). Meanwhile, the PLDT expanded the coverage of its fiber
and wireless networks and fiber-to-the-home infrastructure in Puerto
Princesa and expanded its Smart Barangay Connect to General Santos
City, Cagayan de Oro City, and Iligan City (Smart Communications 2021).
Also, in partnership with the PLDT and Smart, free Wi-Fi via Google
Station will be deployed in Iloilo City (Lena 2019). Additionally, Bacolod
City met with Converge ICT Solutions in 2021 to discuss plans to
provide fast fiber internet service for its citizens (Guadalquiver 2021).
These efforts to increase connectivity in these areas show the importance
of building the necessary tools or infrastructure to enable smart city
technologies to flourish.
ICT platforms, such as Tech4ED, are also being deployed in different
cities and municipalities. Aside from being a conduit for government
services, the Tech4ED centers are also portals for information,
communication, technology, nonformal education, skills training,
telehealth, job markets, and business services (see DICT n.d.-e.;

47
Are Philippine Cities Ready to Become Smart Cities?

PSA n.d.). Other notable digital hub projects of HUCs to enhance


the digital skills of its citizens are Butuan City’s DigiBayanihan and
DICT’s digital hub in Zamboanga City (DICT 2020d; EIFL n.d.). These
initiatives not only enable more efficient delivery of services but also
empower citizens to be more digitally literate.

Data phase
Some of the initiatives under the data phase relate to the sensing,
monitoring, processing, translating, and communicating safety, security,
and quality environment data and information to attain a high quality of
life and sustainable environment. For instance, the Philippine Institute
of Volcanology and Seismology (PHIVOLCS) signed an MOA with
eight cities5 to implement the GeoRiskPH (USAID 2021). This initiative
will use platforms to collect and process hazard data and risk information
for more efficient disaster risk management (USAID 2021). Meanwhile,
the DOST and ADMU piloted smart groundwater monitoring systems
to improve resource management in certain water-critical cities in the
country (DOST-PCIEERD 2020b). Most cities included in the pilot areas
are HUCs, including some Metro Manila cities, Iloilo City, Zamboanga
City, and Cagayan de Oro City. Since the Philippines is a tropical country
and part of the Pacific Ring of Fire, initiatives to manage climate-related
impacts are important.

Service phase
HUCs also have civic and social initiatives using service phase tools
that process and translate data and information by, from, and to the
people and institutions to attain a high quality of life. For example,
Iloilo City has the City Serve portal and mobile app to ease transactions
and make government services more accessible (Lena 2018). Meanwhile,
the Digital Governance Awards recognized Baguio City’s Electronic
Budget Operations and Monitoring System (eBOMS) and Cagayan de Oro
City’s electronic budget system as world-class ICT systems (DICT 2019b).

5
The eight cities are Batangas City, Cagayan de Oro City, General Santos City, Iloilo City, Legazpi City,
Puerto Princesa City, Tagbilaran City, and Zamboanga City. Five out of these eight cities are HUCs.

48
Overview of Smart City Initiatives in the Philippines

In response to the pandemic, other HUCs such as Iloilo, Tacloban,


and Zamboanga also implemented contact tracing apps and online vaccine
registration platforms (Burgos 2020; APEC 2021; City of Zamboanga 2021).
These efforts address issues on health and well-being by helping in
sensing, monitoring, processing, and communicating data, information,
and knowledge by, from, and to the people and institutions to attain a
high quality of life. The different COVID-response apps can also be used
to improve the healthcare systems of the cities.
Other HUCs also focus on safety and security through initiatives
that can be categorized under the service phase. In 2021, Baguio City
inaugurated its Smart City Command Center (Agoot 2021). Partnering
with Cisco Systems, Inc., the command center will use the Smart City
System, the country’s first single smart city platform (Daroya 2021).
Components of this include an integrated communication platform, a
video management system with video analytics, computer-aided dispatch,
and GIS (Amadora 2020). The project will be implemented in three phases.
Aside from this, Baguio City has invested in other technologies for
digital governance, crowd density monitoring, and real-time weather
prediction (Dharmaraj 2020b). Meanwhile, Puerto Princesa City
invested in a smart lighting system to address road accidents and street
crimes due to inadequate lighting facilities (Abad 2019). The lighting
system is also envisioned to address issues with power interruptions in the
city (Abad 2019). Cagayan de Oro City and General Santos City are also
working on completing their traffic light and signalization system with
CCTV in their respective cities (see CDODev 2018; MindaNews 2021).
Additionally, as part of Baguio’s smart city system, the city plans to
invest in a Smart Mobility System using artificial intelligence for traffic
management and contactless apprehension (See 2021).

Other non-HUCs
Many non-HUCs have also started crafting their digital city roadmaps.
For instance, Balanga, Batangas, Legazpi, and Tuguegarao launched their
digital city roadmaps in 2021 (Balinbin 2021). These were made possible
through the Digital Cities, a program of the DICT in cooperation
with the IBPAP and Leechiu Property Consultants (DICT 2021a) to

49
Are Philippine Cities Ready to Become Smart Cities?

foster development beyond the metro areas by helping identified cities6


prepare for the digital economy (DICT 2021a). Given these initiatives,
more areas are expected to develop into smart cities.

Infrastructure phase
Compared with their HUC counterparts, most non-HUCs in Metro
Clark,7 Cebu,8 and Davao9 have reported fewer smart city initiatives
except for some cities like San Fernando. Most of them only cited
enhancing internet connectivity and using online platforms for different
services, but not much on implementing smart initiatives specific to their
cities. A roadmap study for sustainable urban development in Metro
Cebu was done by the Metro Cebu Development and Coordinating
Board (MCDCB) in partnership with JICA in 2015. Some of the proposed
projects that can be regarded as smart city initiatives are the development
of rail-based public transport services to connect the different cities
and municipalities in Metro Cebu; the Smart South Road Properties
(SRP) Development, which is an IT-concentrated business center;
and the Unified Management System of Energy Supply and Demand
project (JICA 2015). However, an online search for updates on the
projects yielded only the Smart SRP Development, mostly concentrated
in Cebu City, which is in the works as of 2021. It may also be the case
that online resources on smart city initiatives in non-HUCs in
metropolitan areas are scarce. However, it is important to note that
these results are not definitive, given that only a quick online search
was done.
Meanwhile, as of November 2021, the Free Wi-Fi program of the
DICT has already put up 11,475 free Wi-Fi facilities across the country
(Rita 2021). Given the importance of internet connectivity in making

6
The 25 cities included in the Digital Cities Program are: Balanga City, Batangas City, Cabanatuan
City, Dagupan City, General Santos City, Iligan City, Iriga City, Laguna Cluster (Calamba, Los Baños,
and San Pablo), Laoag City, Legazpi City, Malolos City, Metro Cavite (Bacoor, General Trias, and
Imus), Metro Rizal (Antipolo, Cainta, and Taytay), Olongapo City, Puerto Princesa City, Roxas City,
San Fernando City (La Union), San Fernando City (Pampanga), San Jose Del Monte City, Tacloban
City, Tagbilaran City, Tarlac City, Tuguegarao City, Urdaneta City, and Zamboanga City (IBPAP 2020).
7
Non-HUCs in Metro Clark and their income classes: Mabalacat City (3rd) and San Fernando City (1st)
8
Non-HUCs in Metro Cebu and their income classes: Carcar City (5th), Danao City (3rd), Naga City
(5th), and Talisay City (3rd)
9
Non-HUCs in Metro Davao and their income classes: Digos City (2nd), Panabo City (3rd), Samal
City (4th), and Tagum City (1st)

50
Overview of Smart City Initiatives in the Philippines

the government’s response to the pandemic efficient, the program’s


implementation was accelerated, especially providing connections to
geographically isolated and disadvantaged cities and municipalities
(DICT 2021b). However, in a study by the ADB and Thinking Machines,
there is still a huge disparity between the internet speed of the wealthiest
and poorest cities (Sy et al. 2021). The average internet speed in the
wealthiest cities is 21 Mbps faster than in the poorest cities (Sy et al. 2021).
Although increasing internet coverage is essential in bridging the digital
divide among regions, the quality of the internet is also as important
for it to be effective.
Another effort of the government to further bridge the digital
and education divide across regions in the country is the Tech4ED
project of the DICT, which aims to improve citizens’ access to different
information resources and services. As of 2020, there were already
4,544 Tech4ED centers across 81 provinces (PCOO 2021).

Service phase
To improve service delivery, some initiatives under the service phase
can help sense, monitor, process, translate, and communicate civic and
social, as well as health and well-being data, information, and knowledge
by, from, and to the people and institutions to attain a high quality of life.
Implementing the Integrated Business Permits and Licensing System
(iBPLS) Project and CBP of the DICT has necessitated LGUs to digitize
their systems. As of November 2020, 159 LGUs have already been
supplied with the iBPLS-cloud system (PCOO 2021). Several cities are also
utilizing online applications for their COVID response efforts. The use
of digital-based initiatives has become more critical due to the nature of
the issue. Contactless measures are recommended to prevent the further
spread of the virus. While some LGUs developed their own contact
tracing applications, some opted to adopt existing applications such as
the StaySafe.ph application launched by the Philippine government.
According to a DILG official, around 700 LGUs already use the StaySafe.ph
application as of March 2021 (DILG 2021). While creating their own
contact tracing applications is a commendable initiative, the government,
in this case, is advocating for the LGUs to adopt the StaySafe.ph app
for easier overall tracking (DILG 2021) instead. The need to unify the
systems of LGUs is preferable for the pandemic to be managed more

51
Are Philippine Cities Ready to Become Smart Cities?

effectively (DILG 2021). To achieve this, the government is also working


on integrating the existing systems of LGUs (DILG 2021). The importance
of having interoperable systems is highlighted here.

Additional areas
Additional areas are notable in a Google search for smart plans and/or
implemented smart actions in the Philippines. These involve initiatives
under the infrastructure and service phases. For instance, Cauayan
City, despite not being in a metropolitan area, has been making waves
in terms of implementing smart city initiatives. PLDT has rolled
out a fiber-powered fixed broadband network in the city, and Smart
has enabled 4G or long-term evolution (LTE) mobile data services
(Smart Communications 2019b). In addition, the city has an IoT-based
aquaponics, whose stakeholders include Isabela State University and
Singapore’s Temasek Polytechnic; synchronized clocks; LED screens near
farms for weather updates; and a “Cauayan City Connect!” application
for cashless payments, feedback, updates, emergency hotlines, and maps
(Poon and Shiyuan 2019). Cauayan City also planned to install kiosks
for government-related payments (MultiSys n.d.). Meanwhile, in the
Municipality of Carmona, there is a plan to use solar power for electricity
and develop a bus rapid transit, according to the SM Development
Corporation President Jose Mari Banzon (Municipality of Carmona 2021).
In addition, New Clark City, a smart city project expected to address
issues in Metro Manila’s urban infrastructure, is planned to have an
energy management and storage system and a district cooling system
(Mouton 2021). The smart plans and actions of the areas encourage
further reviews on the sites.

Missing link
The overview of smart city initiatives provides an idea of the various
efforts exerted across the smart city development phases. Many initiatives
are under the infrastructure phase. LGUs appear to know the importance
of increasing access to the internet as part of the activities under this
phase. Their efforts also reflect the desire to break away from the limited
connectivity in the country that prevents cities and municipalities
from taking advantage of technologies. Infrastructures for sustainable
development also exist, including mobility and environmentally
useful technologies.
52
Initiatives in Selected Sites and Interview Themes

Many initiatives are also under the service phase. Numerous civic
and social initiatives involve deploying platforms to enable e-government
transactions. Health and well-being are also the focus of some initiatives,
such as those used for COVID-19 contact tracing and monitoring of
related efforts. Meanwhile, initiatives under the service phase include
the development of command and control centers for safety and security.
There are fewer initiatives under the data phase, and most have
a civic and social focus. Examples of these initiatives include feedback
platforms and safety and security applications that serve as avenues to
report emergencies or crimes. Suppose the reviewed online resources
mimic the reality of the status of the data phase in the Philippines;
in that case, these initiatives appear insufficient, given that smartness
relies heavily on data.
The smart city initiatives of some LGUs in the Philippines are
noteworthy, but the relayed information is potentially lacking. The
extent of smart city development in some cities might not be adequately
represented because of search limitations. Furthermore, the progress of
the mentioned smart city initiatives should be validated with the LGUs
to update these findings. A more in-depth review of the experiences
of cities would also create an opportunity to determine suitable pathways
for implementing smart city initiatives and addressing challenges. The
lack of research on the drivers and extent of smart city development
in the Philippines and the appropriate ways to implement smart city
initiatives makes it challenging to gauge Philippine cities’ readiness for
smart city development. Hence, the next section discusses an assessment
of enablers, barriers, and pathways for smart city development in
the country.

Initiatives in Selected Sites and Interview Themes10

Definition
A word frequency query was conducted using NVivo11 to find the top
100 descriptive words the respondents mentioned concerning the
definition of a smart city (Figure 7). The top 10 descriptive words were:
development, digital, sustainable, right, safe, quality, public, efficient,

10
See Annexes 1 to 12. Note that some quotes in this section have been translated to English.

53
Are Philippine Cities Ready to Become Smart Cities?

local, and national. Development and digital were used more than
200 times across all participants.
Based on the interviews, the country still has no universal definition
of smart city. Definitions by NGAs were adopted from different local
and international development frameworks. However, most of these
frameworks have different focus areas, leading to definition variations.
Moreover, every NGA has its unique mandate influencing how it
participates in project implementation at the national level. As shared
by a representative of the DILG, “…for the DILG, we are espousing the
digitalization, resiliency, urban governance among our cities… We do
not have an official tagline or definition for the smart [city].”

Figure 7. Most frequently used words to describe smart cities

IoT = Internet of Things


Source: Authors’ illustration

54
Initiatives in Selected Sites and Interview Themes

Meanwhile, LGUs usually define smart cities as the efficient use


of technology to improve service delivery, public safety, sustainable
development, and the environment. For them, the overall outcome of
developing smart cities is to enhance the quality of life of their people.
The Cauayan City LGU shared that LGUs do not realize yet that they
are already implementing smart initiatives in their city, implying the
need to increase the understanding of LGUs on the smart city framework
and how their initiatives can be incorporated into that framework.
The LGU also emphasized the idea that being highly urbanized,
metropolitan, or rich is not a requirement for smart city development.
Moreover, various key performance indicators and frameworks are
readily available for LGUs. One respondent pointed out that initiatives
do not have to be grand, highly complex, and technical to be considered
smart city initiatives. The important aspect of it is that this technology
was able to address the needs of the people.
For private partners interviewed in this study, they defined a smart
city as taking advantage of technology to ensure economic growth and
a sustainable environment. Interviewed development organizations
described their role as “making cities future-ready” by efficiently using
available technology to address specific issues.
Moreover, they noticed that the level of readiness for smart city
development varies across national agencies and LGUs. One respondent
from the development organization pointed out the need to harmonize
various smart city initiatives to avoid duplications, given that different
stakeholders have visions or priorities in developing these projects.

Motivations
Annex 13 describes the various motivations of LGUs for initiating
smart city projects. Most responses can be categorized into providing
high quality of life, addressing public issues, supporting informed
decisionmaking, supporting development and sustainability, and
replicating best practices, corporate social responsibility (CSR), and
business prosperity. Hence, the focus of these initiatives reflects the
motivations of the proponents.
Under the civic and social focus, the Cauayan City LGU has been
implementing the Juan Time Campaign of the DOST, which promotes
using the Philippine Standard Time, setting one common time across
the country, and providing weather updates (see DOST 2015).

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Are Philippine Cities Ready to Become Smart Cities?

Under health and well-being focus, Tuguegarao launched the


MyCure System in partnership with the DOST to facilitate online
medical consultations.
San Fernando City in Pampanga has installed a command and
control center and an online business registration facility for safety and
security and built infrastructure. According to former Mayor Edwin
Santiago, the PHP 220 million financing for the command and control
center, inaugurated in 2020, came from the LGU’s 2018 savings and
contributions from the business sector (Arcellaz 2020). Under this project,
110 bullet cameras and 26 video walls were installed. In Tagum City, smart
solar-powered street lighting was installed. Also, for safety and security,
a command center in Tuguegarao City has been established as a real-time
monitoring center with CCTV and is operated by the Philippine
National Police and Bureau of Fire Protection (see Tuguegarao City
Government 2021a). Another initiative under this focus is Cauayan City’s
deployment of drones to keep constituents safe, capture criminals, and
implement lockdown restrictions. For instance, Barangay Cabaruan (2020)
started using drones in 2019. Three drones were also deployed in Cauayan
to monitor constituents during the COVID-19 lockdown (Visaya 2020).
Another project focusing on safety and security is the traffic management
system in Mandaue, which uses CCTV cameras and sensors the city
obtained in the 1990s (see Talisic and Sotto 2018). Furthermore, Mandaue
entered a proof of concept agreement with Dyna-Tech and HUALU
e-cloud to develop a no-contact apprehension system (Palaubsanon 2019).
Under the focus on quality environment and built infrastructure,
Tagum City uses Euro 4-compliant heavy equipment and vehicles to
reduce greenhouse gas emissions.11 Meanwhile, for the quality environment
and industry and innovation focus, the Cauayan City LGU, in
partnership with the Temasek Polytechnic University and Isabela State
University, created an IoT-based aquaponic system, and 160 households
in Sitio Manalpaac were given livelihood assistance. In San Fernando
City, an initiative under quality environment is the installation of solar
panels to serve as an additional energy source.
When asked about their motivations for implementing smart city
projects, most LGUs said they want to improve their service delivery,

11
Euro 4 is a European emission standard on the use of clean vehicle fuel with low benzene and
sulfur contents (BusinessMirror 2022).

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Initiatives in Selected Sites and Interview Themes

sustain the environment, and develop a competitive economy/business


to enhance the quality of life of their constituents. This is aligned with
how they define smart cities. For them, improved service delivery can be
as complex as using high-tech equipment like sensors, high-definition
CCTV cameras, and drones. It can also be as simple as providing timely
weather reports for farmers. Some LGUs wanted to showcase that even
nonurbanized agricultural cities can develop into smart cities.
To uphold the Ease of Doing Business policy and alignment
with the Local Government Code, LGUs use technologies to improve
service delivery, such as digitalizing construction and business permit
applications and encouraging contactless transactions for PhilHealth
claims and tuition fee payments. Provision of these services to their
constituents can eventually improve the quality of life in terms
of health and well-being, public safety, competitive economy, and
sustainable environment.
Numerous initiatives aligned with the policy on ease of doing
business exist. For example, the Cauayan City App, developed through
a partnership with the Multisys Technologies Corporation, enables
transactions related to e-government, e-bills, e-commerce, e-services,
and e-wallet. The second version of the app was launched in 2019. The
Cauayan City Identification Card, a product of a collaboration with
GCash, also went through different versions. From being a simple ID
card in 2014, it became ATM-enabled in 2015 and Mastercard-enabled
in 2018. So far, about 5,000 IDs have been distributed by the Cauayan
LGU, and kiosk machines have been deployed to facilitate bills
payment. Meanwhile, smart city initiatives of Malabon City include
the GIS-complemented computerization of tax collection data and
transactions in revenue-generating departments (Melican 2013). It was
financed through an internal budget of PHP 3.8 million, including the
software license fee, equipment deployment and setup, and training
(Melican 2013). Malabon partnered with IB Solutions IBS Worldwide
Corporation in 2020 to facilitate online transaction payments (Lim 2020).
Meanwhile, in Mandaue, an electronic business permit and licensing
system was developed in partnership with the DICT in 2021 (see SunStar
Cebu 2021; Mandaue City Government and DICT n.d.). According
to Business Permit and Licensing Office head August Lizer Malate,
the official business permits would be issued with security stickers and

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Are Philippine Cities Ready to Become Smart Cities?

QR codes for authenticity validation (see SunStar Cebu 2021). Meanwhile,


Tagum City uses LED walls, television, radio, print, and social media to
disseminate information.
Most LGUs believe that their smart city initiatives will help them
plan and respond to the needs of their people, as these initiatives allow
them to collect and analyze data and, consequently, make informed
decisions, especially in times of disaster and pandemic. Likewise, most
LGUs decided to engage in smart city initiatives while exploring ways
to address challenges such as disaster risk response, public safety,
transportation, and traffic management. Further, the COVID-19
pandemic made them realize the importance of using technology to
collect the necessary information to make informed decisions.
LGUs also shared that they wanted to capitalize on the available
resources to promote better life in their cities. For example, the
“Transformative Mindanao” concept was launched to revolutionize
agriculture in Tagum and throughout Mindanao. The LGU is also
keen to make itself a “cleaner” city by establishing infrastructure for
e-vehicles. Meanwhile, San Fernando City focused on providing fiber
connectivity for better service delivery, while Mandaue City initiated
projects focused on renewable energy in far-flung areas and promoted
recycling to produce alternative fuel sources for construction businesses.
LGUs exposed to the success of smart cities abroad have also been
motivated to learn more about smart cities and how they can be applied
in their hometowns.
Meanwhile, most partners from the business and development
organizations pointed to CSR as the main driver for engaging in smart
city initiatives with LGUs. Some private partners interviewed for this
study provided free technical assistance, while some shared company
assets for free, especially during disasters and for COVID-19 response.
Some private partners also find engaging in smart city initiatives an
opportunity to maintain good working relationships with their city
and clients.
Business partners highlighted the importance of protecting their
clients and the community for business prosperity. They see engagements
in smart city initiatives with LGUs as opportunities to become good
corporate citizens and serve the underserved. Also, some business

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Initiatives in Selected Sites and Interview Themes

partners noted that “[whatever is] good for the people or city [is also]
good for business.”
On the other hand, development organizations assist LGUs in
addressing pressing issues in their respective areas in line with their
objectives. For example, an organization assisted in addressing waste
management issues of an LGU by tapping an international technology
SME. Some development organizations also assisted an LGU in modeling
their city roads using their technology. Another development organization
supported an LGU on its ICT-related projects to help the business sector.
Meanwhile, another organization worked with the academe to establish
an innovation hub to ensure that startups were supported and to address
Sustainable Development Goal (SDG) 8 on decent work and economic
growth. Finally, one organization supported an LGU to ensure that
development would not compromise the environment.
NGAs’ participation in smart city initiatives is mainly driven
by their mandates to ensure that public issues are addressed at the
national level. Some of the problems highlighted include (1) achieving
SDGs (DOST-PCIEERD); (2) upholding the Data Privacy Act (NPC);
(3) ensuring cybersecurity (DICT); (4) establishing better internet
connectivity and provision of free Wi-Fi access and other ICT-related
assistance in COVID-19 response (DICT); (5) improving the processing
of business requirements and licensing (DILG); (6) alignment of
proposed infrastructure projects in existing national and regional
development plans and resiliency measures like addressing climate
change and disaster risk reduction measures (PPP Center).
NGAs also highlighted LGUs’ interest in pursuing smart city
initiatives. As observed by a representative from DOST-PCIEERD, local
governments also aspire to be innovative and be the first to introduce
smart city initiatives usually to address challenges in their localities.
NGAs also value the importance of learning best practices here and
abroad to guide the country’s implementation of smart city initiatives.
Participation in different smart city-related organizations not only
helps design a policy blueprint for Philippine cities to adopt but also
increases access to opportunities for funding assistance through grants.
Respondents also noted the importance of increasing connections
or networks locally and globally and improving the monitoring and
evaluation of different national programs.

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Are Philippine Cities Ready to Become Smart Cities?

Apart from LGUs, the interest of stakeholders in implementing


smart city initiatives is evident, and some examples provide insights
into their motivations. For instance, Tagum has a waste-to-energy plant
project under the PPP Center (PPP Center n.d.-d). The project costs
PHP 757.61 million, with Global Green International Energy Philippines
Inc. as the private sector proponent (PPP Center n.d.-d). Likewise,
Hijo Resources Corporation’s Hijo Central, the proposed biotech,
agritech, and foodtech hub, is also expected to contribute to Tagum’s
smart city development. Meanwhile, Mandaue LGU’s smart initiatives
include the APEC Low Carbon Model Town Project, the use of solid
waste management technologies, and the installation of fiber broadband
connections. For the APEC Low Carbon Model Town Project, a
feasibility study was published by ALMEC Corporation in collaboration
with Ernst & Young Advisory Co. Ltd. and Michi Creative City
Designers Inc. in 2017 (ALMEC Corporation et al. 2017). Some of the
activities under this project are developing the Green Building Program,
solid waste management technologies, and modeling urban heat islands.
The LGU has invested in the project through its Annual Investment
Program (AIP). The Green Building Ordinance of Mandaue City also
supports the initiative. In line with the environmental agenda of Mandaue,
the Department of Environment and Natural Resources-Environment
Management Bureau (DENR-EMB 2021) signed an MOA supporting
the donation of 13 units of rotary drum composter, biodegradable
waste shredder, and solar-powered 4G network camera. Financed
by Vivant Foundation, bike repair stations were also installed in
Mandaue City (Sagarino 2021). A tripartite MOA with Vivant
Foundation and Mandaue Chamber of Commerce and Industry was
signed in 2021 to support the installation (Sagarino 2021). Lastly, the
LGU partnered with Converge to deploy fiber broadband services
to improve connectivity (Diangson 2021).

Enablers
This section describes the enabling factors for implementing smart city
initiatives successfully from the respondents’ perspective. Identified key
enabling factors include partnerships with other agencies, compliance
with existing policies and guidelines, certifications, having an ICT
department or staff, having smart city champions, access to technology,
and existing infrastructures (see Annex 14).

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Initiatives in Selected Sites and Interview Themes

Partnerships
For LGUs, one of the main enabling factors is their engagement with
other agencies. Partnerships with the private sector and NGAs allow
LGUs to learn from them and utilize their technology, systems, and
even funding to implement smart city projects to improve service
delivery. This was reiterated by one of the respondents interviewed:

“I think partnership, partnership, partnership plays a very,


very important role, whether it be partnerships with the
academe or the private sector. But it is very important to get
everybody on board, and you will eventually get a lot of solutions
providers also that would want to partner with you. That will
make it sustainable.” – Interview with Cauayan City LGU

Meanwhile, private partners’ emphasis on strong partnerships


with LGUs is the main enabler for developing smart city initiatives.
They perceive LGUs as their biggest stakeholder; hence, the success of
any smart city project relies on the willingness of LGUs.
At the national level, NGAs see the importance of a multisectoral
approach in implementing smart city initiatives. For them, partnering
with other NGAs and international organizations is an important
source of funding support. They also see the major role of universities
as training grounds to develop smart people for smart cities. Hence,
they understand that a strong linkage with the academe is essential to
the success of smart city projects.
Finally, constant stakeholder communication builds trust,
strengthens partnerships, and ensures that initiatives are not duplicated.
If information is available, development organizations and business
partners can easily identify which priority areas they can focus on,
thus helping prospective partners develop project proposals. Examples
are the availability of feasibility studies or even city development plans
that can guide partners in identifying projects with LGUs.
Examples of initiatives explored through partnerships include
the Cauayan City LGU’s project with PLDT to install fiber optics in
the city (Cabuenas 2019). Cauayan City also has an e-charging station and
had an e-tricycle prototypes parade made possible through a collaboration
with stakeholders such as the DOST, which provided financial support,

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Are Philippine Cities Ready to Become Smart Cities?

Isabela State University, the University of the Philippines (UP) Diliman,


and private manufacturers and sellers of e-tricycles and e-bikes
(Almirol 2017). Two chargers have already been installed for e-tricycles
(UP EEEI n.d.). E-scooters equipped with an application for control
and global positioning systems for tracking were also launched in a
turnover ceremony in 2020 (Pinas 2020). For the project, an MOA
was made with the DOST, Isabela State University, UP Electrical and
Electronics Engineering Institute, and FILGENIUS (Pinas 2020).
Seven e-scooters were turned over to the Cauayan City LGU
(Munchang 2020). In addition to the e-scooters, the LGU has a hybrid
electric road train with four air-conditioned interlinked cabins for
200 passengers, which was designed by the DOST’s Metals Industry
Research and Development Center and launched and turned over in 2019
(Domingo 2019).
Cauayan City also has the Cauayan City Care COVID-19 Consult,
a telemedicine project developed and operated by the Isabela
State University in collaboration with the LGU, DOST, Commission
on Higher Education, and Dynamic Outsource Solutions Inc.
(Domingo 2021). In addition, the Cauayan City LGU launched a
digital twin, a 3D map of the city converted from drone photos and
equipped with AI for disaster damage estimation (Yun Xuan 2021).
The digital twin was built in 2020 by the Singaporean startup company
Graffiquo (Tan 2021). According to the LGU drone team head
Cornelius Dalog II, 0.5 square kilometers of waterfronts were captured
in two days by his team, and 3D landscape models were then created
with the help of Graffiquo (Graffiquo 2020). The Tuguegarao City LGU
has also been working on developing a digital twin with the support
of the Cauayan City LGU (Yun Xuan 2021).

Technical and funding support


The availability of funding opportunities for smart cities from
national agencies like DOST-PCIEERD opened opportunities for
LGUs to benchmark with the best practices from successful smart
cities abroad. Aside from funding support, NGAs such as the DICT,
DOST-PCIEERD, and PPP Center also provide technical support to the
LGUs through consultations.

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Initiatives in Selected Sites and Interview Themes

Some of Cauayan City’s initiatives were made possible through


support from the public and the private sector. These include the
PATURO, which consists of a data hub linked to a visualization platform
to derive insights into the transport network (DOST-PCIEERD 2020c).
Launched in 2020, the project is financed by the DOST-PCIEERD and
conducted in partnership with the Asian Institute of Management,
Isabela State University, and the LGU (The Manila Times 2020). Another
initiative is the deployment of RxBox to geographically isolated and
disadvantaged areas (Dig 2021). RxBox, a device for measuring heart
rate, oxygen saturation, and temperature, was donated by Ionics
EMS Inc. to DOST (Dig 2021).
Several initiatives were facilitated through internal budgets and
loans. For example, the fiber optic cabling in San Fernando under the
Smart City Phase II Program was given a PHP 100-million allotment in
the LGU’s 2021 AIP, made possible through a loan from LANDBANK.
For Tagum, the Revenue Administration and Mobilization Program,
an automated and integrated management system, was financed through
a loan from the Development Bank of the Philippines (DBP). Tagum
also has the Traffic Signalization Project, which includes installing traffic
lights in priority junctions (Tagum City Information Office 2018b) and
traffic surveillance cameras to monitor traffic violations. This project
was contracted out to the Traffic Supplies & Construction Corporation
and was financed through a loan from the DBP. Meanwhile, Malabon
LGU allocated an internal budget of around PHP 9.99 million in 2017 to
install CCTV cameras for emergency monitoring (see Malabon City
Bids and Awards Committee 2017). On the other hand, Mandaue
invested at least PHP 79 million in 2013 to install digital clocks and
high-definition cameras along 13 major intersections. The city
also planned to install additional traffic lights costing PHP 5 million
(Talisic and Sotto 2018). Another initiative in Mandaue is the
development of a purok database system, which received a budget of
PHP 12 million from the LGU’s 2021 AIP.

Compliance with existing policies and guidelines


National policies, laws (e.g., Local Government Code), and
guidelines nudge LGUs to engage in smart city projects to improve

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service delivery. Many LGUs mentioned that RA 11032 led them to


automate their transactions for business and construction permit
applications and renewals. These policies and guidelines also allowed
more LGUs to streamline their processes and use online platforms,
such as telemedicine, online matriculation payment processing, and
authenticating legal documents. Some LGUs even assign people to
monitor new guidelines they can apply to serve their constituents
better. Through local ordinances and policies, LGUs can ensure private
partners deliver their responsibilities in PPP initiatives, especially in
massive infrastructure projects. Moreover, local executive orders and
ordinances ensure public compliance with smart city projects. In
Cauayan City, some resolutions have been issued from 2005 to 2019
to facilitate the installation of cell sites, expansion of cellular network
systems, and provision of Wi-Fi services by a telecommunications
company. Through a resolution, the LGU also set up a water quality testing
laboratory in partnership with the DOST and Isabela State University.

Seeking certifications
Compliance with certifications like those of the ISO and Building
for Ecologically Responsive Design Excellence (BERDE) encouraged
LGUs to apply smart city initiatives in their governance. Seeking
ISO certification led them to think of ways to digitize and streamline
their processes. On the other hand, BERDE certification ensures that
infrastructure projects do not compromise the environment.

Assigned ICT department or staff


LGUs with a designated ICT department or personnel can lead to
better utilization of ICT technology and systems to improve service
delivery. These ICT personnel not only keep LGUs up to date with
technological advancements but can also advocate the use of available
technologies to improve their services. Hence, continued capacity
building of these trained personnel or departments is also seen as
necessary for the success and sustainability of the projects.
Private partners are encouraged to engage with LGUs if the latter
have digitized data or when feasibility studies were conducted. Private
partners can see a potential cost reduction when these systems are
already in place in their prospective LGU partners.

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Initiatives in Selected Sites and Interview Themes

Smart city champions at the LGU level


Having smart city champions, especially local executives, is an important
success factor in LGUs’ smart city engagements. These leaders or
staff see the value and advocate using the available technologies to
address issues in their localities. Without vision, will, and commitment,
LGUs may not be open to engaging with business partners or simply
disapprove projects branded as smart cities.
Private partners perceive that if the LGU leaders are smart city
champions, the likelihood of implementing smart city-related projects
is high. These champions understand the importance of data and
technology to serve their people better. They also recognize the business
sector’s role in helping them achieve their vision for their city.
The business sector is more likely to partner with LGU leaders
who are willing and committed to implement smart city initiatives.
An interviewee from the private sector shared that development appears
to be faster if there are leaders who push for progress and appreciate
new methods and technologies.
Likewise, collaboration between LGUs and businesses is essential
for strong working relationships, with both delivering their roles as
expected. Alignment of their objectives is also important to establish this
strong working relationship.
Development organizations also see smart city champions at
the LGU level as enablers of successful smart city initiatives. As cited
by one respondent, it is important that LGUs have a genuine interest
in implementing smart city projects and relayed an example wherein
cooperation was ignited because the mayor shared a common interest
with the organization in pursuing a smart city initiative.

Accessibility to technology
Access to a wide variety of technology allows LGUs to explore various
communication methods with their constituents. Existing ICT
infrastructure also gives LGUs leverage, especially when engaging
with private partners for implementing projects. Most interviewed
LGUs have the basic ICT requirements like different equipment
and internet connections to run these specific systems. Most of these
initiatives were from projects in partnership with the private sector
and national agencies.

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Numerous ICT infrastructure initiatives were identified by


reviewing online resources and documents. For instance, in Cauayan
City, the LGU distributed Wi-Fi routers to 65 barangays as early as
2014. Another project is the Barangay Centralized Wi-Fi Network
equipped with extranet, internet, local area network (LAN) messenger,
5-gigahertz radio signal, and high sector antenna, enabling messaging
and file sharing between and among 65 barangays and the LGU
(DICT et al. 2020). Tuguegarao City also has smart initiatives such
as the Free Direct Internet from Globe Business, which facilitates
connections among offices using video applications, voice, and data
(Amojelar 2019). In San Fernando City, the LGU has provided free
Wi-Fi in 9 Early Childhood Care and Development Centers. Initiatives
in Malabon City include upgrading 101 cell sites and installing 6 new
ones for 4G connection (see Globe 2021). In Tagum City, the LGU
installed an Integrated Systems Digital Network and Private Automatic
Branch Exchange for its trunkline to facilitate communications made
possible through an internal budget and a loan.
The availability of digitized data also entices private partners
and NGAs to engage with LGUs since they can readily use or import
existing databases to their systems or applications. Some LGUs are
already working on the digitization of data. One initiative in Cauayan
is the creation of QR Codes for constituents of Barangay Cabaruan
which, according to the 2020 Census, has a population size of 8,244
(see PSA 2021k). Additionally, as part of Cauayan’s COVID-19 contact
tracing effort, QR Codes were used with the help of Nspire Inc. and
AJ Enterprises (Dig 2020). A smarter early warning system for dengue
has also been implemented using information mapping. Malabon City
LGU developed a contact tracing application with QR code technology
and integrated it into the City Health Monitoring System (David 2020b).
Meanwhile, through the Tuguegarao Government Portal,
citizens can access online government services such as travel pass
application, checkpoint registration, QR card application for residents
and nonresidents, online payment, and vaccination registration
(Tuguegarao City Government 2021b).
LGUs with ICT staff or departments are more able to implement
smart city projects and attract partners from the private sector and
NGAs. Also, joint ventures among LGUs, private partners, and the

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Initiatives in Selected Sites and Interview Themes

academe increase LGUs’ access to the available technology or systems.


The private sector serves as a technology purveyor and provides the
necessary technology to LGUs to implement relevant smart city projects.
Other enablers identified by respondents are the use of
international standards, the geophysical characteristics of LGUs, and
the presence of potential clients in target areas.

Challenges
When asked about the challenges or issues in implementing smart
city initiatives, respondents cited the lack of interoperability and
operational costs as the topmost issues. Annex 15 describes the common
themes raised by respondents during the interviews.
One of the most cited challenges was the lack of funding for these
initiatives, particularly in setting up the necessary ICT infrastructure.
While most interviewed LGUs have existing basic ICT infrastructure,
the fast-paced technological growth requires these LGUs to upgrade
their systems continuously, which can be very costly. According to
a respondent from an LGU, different service providers for COVID
dashboards have approached them. However, they find these
predeveloped systems expensive. Some smart city development-related
upgrades requiring huge budgets include hardware, faster and more
reliable internet connectivity using fiber optics, early warning systems,
communication devices, sensors, and CCTV cameras. Aside from these
hardware requirements, training and hiring competent staff to maintain
and manage these systems were also costly for LGUs to implement alone.
The private partners also consider the lack of infrastructure challenging
since most systems require fast and reliable internet, physical space and
buildings, and trained people to operate, manage, and maintain them.
The lack of funding led some LGUs to rely heavily on partnerships
to finance their initiatives. Some LGUs, however, noted their
reliance on private partners for funding resulted in some initiatives
not materializing. Moreover, respondents see the lack of network
connections with other private sector entities from which LGUs can
explore partnerships and seek funding support. One NGA mentioned
that this has led to vendor-driven developments of cities.
The second most cited challenge was the lack of system
interoperability. According to LGUs, most systems work in silos,

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Are Philippine Cities Ready to Become Smart Cities?

with each project or initiative having its unique data collection and
storage method. This often makes data collation tedious, especially
during a disaster or pandemic. The differences in systems are a result
of conflicting priorities of requesting offices and service providers.
Despite this, some LGUs have started working on the integration of their
systems for interoffice transactions.
While efforts to collect data exist, the lack thereof remains
challenging for the respondents. Private partners and NGAs pointed
out that data cleaning and merging datasets are problematic because
it entails more time and resources. Moreover, there is an issue with
data reliability. An LGU shared that when their planning office needs
information about household listing for their activities, these can be
derived from different offices like social services and health. However,
there is still a need to verify this due to duplication and inconsistencies.
The public uptake of these smart city initiatives is also challenging,
especially for LGUs. Many LGUs pointed out that the public’s ability to
adapt to technological innovations remains a constant but manageable
issue. LGUs reckoned that the public needs a certain amount of time
to understand the purpose of the initiatives and learn the ropes. Some
private partners and NGAs cited this challenge, but the reason was more
in the context of a lack of public trust in how the data collected will be
used and stored. The level of uptake among LGU offices is also at risk.
Some LGU staff are having difficulty adopting technologies intended to
improve certain initiatives, including those related to real tax payment
services, delivery of social services, and contact tracing.
In relation to social acceptance, digital divide was also among
the issues cited by respondents. At the individual level, digital literacy
was seen to influence social acceptance. Examples relate to experiences
implementing online payment services, telemedicine, and contact tracing,
which many target participants failed to utilize due to a lack of necessary
devices and basic skills to verify their accounts electronically. NGAs
are beginning to see the uneven development of the cities because of
the differences in priorities, financial capability, and access to technology.
Another issue that respondents mentioned was regarding policies
and standards. While there are existing policies, some respondents
shared that some are not implemented properly. Meanwhile, NGAs

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Initiatives in Selected Sites and Interview Themes

like the PPP Center and NPC highlighted the role of a national or
even regional framework integrating initiatives. Specifically, the NPC
underlined the need for a data sharing guideline. At the same time, the
PPP Center wanted a framework that would ensure interconnectivity
and interoperability among smart cities and their initiatives. Some
LGUs also need such a regional or national framework or guidelines
to help them plan and prioritize projects. An LGU raised the difficulty
in coming up with an action plan given only discussions of smart city
initiatives in meetings.
The different interpretations of the Data Privacy Act pose
issues. The NPC shared that from the perspective of the LGUs, the
cybersecurity and data privacy policies prevent them from collecting
more data. LGUs become protective over their data, which can become
an issue at the national level, where certain information (e.g., contact
tracing data during the COVID pandemic) needs to be consolidated.
Another issue cited by most respondents was the change in
administration. This is a particular concern for some private partners
who perceive that leadership changes mean changes in priorities. This
could threaten existing projects, especially those not institutionalized
yet by an ordinance. Some LGUs also recognize this issue since
implementation and funding support for smart city initiatives rely
heavily on the priorities the incumbent leaders set. On the national
level, some NGAs noticed that leadership changes could redirect the
priorities of LGUs, threatening the sustainability of existing projects.
This would mean the need to engage them again in smart city initiatives
implemented at the national level.
The pandemic also posed issues, according to some LGUs and
private partners. The movement restrictions delayed the implementation
of many projects, particularly on the infrastructure side.
The private partners saw bureaucratic processes, such as securing
permits and other requirements from different offices, as additional
costs. Some business partners mentioned that the time it takes for these
requirements imposes additional project costs. One participant shared
that the business sector deems some regulations as a hoop since they
cannot see the relevance of such policies in their infrastructure projects.
Other concerns mentioned were lack of coordination between
stakeholders, duplication of some initiatives, environmental issues,

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lack of monitoring or accountability in certain projects, population


growth, security threats, and weather.

Pathways
When asked about the pathways to smart city development, respondents
cited the following: engagement in PPPs with formalized agreements,
capacity building, awards or incentive schemes, implementing pilot
projects, and establishing regional hubs (see Annex 16).

Formalized agreements
Partnerships with different agencies were considered one of the
pathways to implementing smart city initiatives successfully. LGUs have
been engaging with the business sector, development organizations,
state universities, and national agencies to augment funds and access
technology or systems, equipment, and training for them to implement
initiatives. The DICT and other telcos provide support for implementing
business permits and licensing systems. A local ICT company supports
its city in developing an app-based emergency reporting system that
connects to some response teams, including volunteer groups. Initiatives
involving huge infrastructure investments were materializing with the
help of business partners. With the impending implementation of
the Mandanas-Garcia Supreme Court Ruling, LGUs are expected to
collaborate with private partners to address the additional tasks the
policy entails. This was seconded by the PPP Center, which relayed
in an interview the expectation that LGUs will engage more in PPP to
diversify the manner in which they deliver services.
Some LGUs shared that their partnership allows them to touch
base with international agencies where they can also seek assistance
through grants. One development organization deemed partnership
as one way to address financial concerns in implementing smart city
initiatives, sharing that it spreads funding across LGUs.
Formalized agreements often strengthen these partnerships. Most
of the respondents mentioned that MOAs are prerequisites for an
initiative to take place. Ordinance issuance was also seen to ensure that
projects would continue despite changes in leadership at the LGU level.
Ordinances will also ensure that projects will be considered in budget

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Initiatives in Selected Sites and Interview Themes

allocations at the local level. While these do not guarantee the success
of the smart city initiatives, it provides the private partners and even
LGUs a sense of security and commitment to the project, which is a
foundation of a good partnership. These documents also help provide
assurance that donated funds from international organizations would
be used accordingly in the proposed smart city projects.
The usual partnership process can come from the barangays,
LGU departments, or private partners. They usually present their proposal
to the local council for approval and endorsement. Once a proposal
has been endorsed, the agreements between project stakeholders will
occur through MOA or issuance of ordinances or policies. While
most proposals came from private partners, initiatives from LGU
departments like ICT and planning offices were common.
There are numerous examples of engagements with formalized
agreements. San Fernando’s free fiber-powered Wi-Fi in the city hall
and old public market is a donation made possible through an MOA
with Smart in 2019 (SunStar Pampanga 2019a). San Fernando also
has an online platform for business permit transactions, payment of
business taxes (see Arcellaz 2022), and an option to deliver business
permits (SunStar Pampanga 2019b). For the delivery of permits,
Resolution 2018-024 was issued for an MOA with 2Go Express Inc.
according to Business License and Permit Division Chief Joseph Garcia
(SunStar Pampanga 2019b). Meanwhile, Mandaue has its Guardian
Emergency Response System, consisting of a free mobile application for
reporting incidents or requesting assistance and software for dispatch
and deployment (SunStar Cebu 2018). An MOA was signed with the
software developer Sugbotek Inc. for the adoption (SunStar Cebu 2018).
Additionally, Cauayan City’s waste-to-energy plant that generates energy
using waste products from Cagayan Valley is supported by an MOA
with Clean World Sustainable Solutions Inc. and other Metro Cauayan
and Isabela LGUs (Domingo 2016).

Capacity building
Aside from partnerships, respondents highlighted the importance of
capacity building in implementing smart city projects. Tagum City LGU
highlighted the importance of capacity building for the departments,

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Are Philippine Cities Ready to Become Smart Cities?

not just the leaders, to ensure that a specific group of people will operate
and maintain the systems.

“I see to it that (they are) capacitated… provided with the


necessary trainings, and experience, and exposure. The heads
of offices, the bureaucrats, and see to it that logistically we
are provided (with) the necessary equipment, mobility, and
hardware computer.”– Interview with Tagum City LGU

Capacity building for the public can also be done through constant
training, like the initiatives of some cities to support their SMEs. Some
LGUs have initiatives called the Technology Ecosystem Development
(TED) Plan and the Business Intelligence Research and Development
Center (BIRD-C) in partnership with local universities to attract
investors. Tuguegarao City LGU has also been capacitating its local
talent through a digital literacy training program.
NGAs acknowledged the importance of capacity building and
shared some of their initiatives. For example, the NPC conducts summits
and training for nongovernment organizations, business process
outsourcing companies, LGUs, and technology organizations about
the Data Privacy Act. They also partner with DAP to develop training
courses for this. The DOST-PCIEERD has collaborated with DAP for
SPARTA, which offers human resource development courses. The
DOST-PCIEERD also has the GODDESS initiative to provide funding
for capstone projects from SPARTA. The main objective is to encourage
students, universities, public servants, and researchers to collaborate
and create solutions for public issues locally.

Incentive codes and awards schemes


According to some LGUs, incentivizing projects is one way to entice
engagement from private partners within their cities. For example,
the Tuguegarao City LGU shared that they recently amended their
incentives code to attract ICT investments. The Cauayan City LGU also
has investment webpages to announce investment opportunities and
incentive packages (see Cauayan City 2019). NGAs like the NPC, DILG,
and DOST-PCIEERD also see potential in this strategy to encourage
partnerships between LGUs and the private sector.

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Initiatives in Selected Sites and Interview Themes

Implementing pilot projects


Engaging in pilot projects is another pathway, according to respondents.
For LGUs, this pathway enables them to access technology or system
for free. Cauayan City LGU, for example, positions itself as a city lab to
partners, inviting the private and public sectors to test their innovations
in the city.
On the other hand, partners use this pathway to enhance their
products or technology further. Some implement pilot projects and
gather more experience and insights from there. Others use the LGU
and public feedback to improve their products further. Their pilot
projects with their partner LGUs serve as proof of concept, which they
can use to market their technology.

Establishing smart city regional hubs or innovation hubs


For some LGUs, establishing regional hubs is an effective pathway for
smart city initiatives. Through these hubs, they can learn from the best
practices of their neighboring LGUs in terms of smart city initiatives,
and duplication of efforts is avoided. LGUs and partners value the
importance of establishing innovation hubs wherein they can develop
people and technology through partnerships with universities,
consequently creating jobs and sustaining smart city initiatives.
Development organizations and NGAs see this as a strategy to promote
regional development, providing frameworks to scale initiatives to
other cities nationwide. These innovation hubs can also provide avenues
wherein the growth of startups is encouraged through technical and
funding support.

Development of customized systems


Most interviewed LGUs noted that their initiatives were borne out
of specific issues their city faces and sometimes brought about by
partnerships. Hence, these initiatives can be supply-driven, wherein
technology innovators and producers create or customize their products
or solutions for LGUs and NGAs, or demand-driven, wherein LGUs
can specifically seek assistance and support from NGAs and private
partners through formal channels.

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Are Philippine Cities Ready to Become Smart Cities?

Other pathways cited by the respondents were compliance with


required certifications and policies related to permits and licensing, and
application for funding through local or international grants or loans.

Recommendations
Participants were also asked about the strategies they would recommend
addressing challenges to smart city development. Annex 17 describes the
different recommendations from the interviews.

LGU-level recommendations

Information dissemination and feedback. Engaging the public and LGU


staff is important for the successful implementation of smart city
initiatives. According to the LGUs, they need people to grasp why
they must comply with new policies or use certain applications. Some
interviewees shared there has been some resistance among LGU staff
during their ISO certification due to additional work required and
among the public when there is new technology to be used. But after
increasing understanding and appreciation of the reason behind those
initiatives, uptake was hastened.
Information is shared through public meetings, publication
material, and social media platforms. Aside from official emails and
hotlines, social media platforms were important in getting public
feedback due to their accessibility. Many LGUs collect feedback from
the public through their official websites, social media pages, and even
emails to improve their service delivery. LGUs also constantly seek
ways to address the digital divide by providing equipment and reliable
and accessible internet connections.
Private partners observed that good public engagement facilitates
the smooth implementation of smart city initiatives, especially in
projects involving infrastructure and public participation. One private
partner shared that the information drive launched by its partner LGU
to explain their project was quite helpful.
Partnership through formal agreements and ordinances. Respondents
also highlighted the importance of establishing strong partnerships,
especially with local universities, in capacitating the people required

74
Initiatives in Selected Sites and Interview Themes

to operate and sustain smart city projects. Volunteer organizations also


ensure a prompt response, especially during accidents, fire, and disaster,
as shared by an LGU respondent. Moreover, local partnerships provide
context-specific solutions to public concerns. International partnerships
also play an important role in developing smart cities in the country,
and different NGAs and private partners can facilitate these.
Since partnerships are important in implementing smart city
initiatives, these relationships must be secured and formalized. MOAs
and contracts are considered legal and binding documents between
different stakeholders. However, it is usually timebound and needs
renewal. Many LGUs shared that issuing ordinances will ensure that
the initiatives will be funded and sustained in the future. One of the
participants pointed out that an ordinance is considered permanent
compared to executive orders, which are only effective during the
incumbent leader’s term. From the perspective of some private partners,
MOAs and other forms of agreements ensure the commitment of LGUs
to the projects.
Capacity building. With the fast-paced technological development,
continued capacity building is essential. LGUs reiterated that they
need to identify a group of trained staff to operate and maintain these
systems. Hence, many opt to institutionalize their ICT and planning
departments and continue to seek training opportunities for continued
capacity development. LGUs also ensure that MOAs and contracts
have provisions on technology transfer and development of staff.
Develop smart city champions. Aside from technical capacity building,
the smart city concept should also be imbibed among the LGUs. Many
private partners highlighted the importance of smart city champions
at the LGU level since it will open opportunities to engage with them.
A business partner reiterated that “(t)here should be a mutual intent to
do a smart city project,” or the initiative will not prosper.
Consolidate systems or projects. LGUs are starting to look for ways
to integrate systems and avoid duplication of existing initiatives. This
will help them use their available resources and information, enabling
informed decisionmaking and policymaking. One example is the case
of Malabon City LGU, where a centralized database for social and
health services is made available through a Malabon ID system. Some
LGUs disclosed that they are also exploring options to integrate their

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Are Philippine Cities Ready to Become Smart Cities?

data systems in planning and financial management by establishing an


ICT office.
Seek grants or loans. Considering the huge budgetary requirement
to implement smart city projects, many LGUs and even private partners
considered seeking grants and loans to augment funds for their initiatives.
They usually apply for grants from international organizations and local
funding agencies.

National-level solutions

Creation of a national roadmap or agenda. NGAs and private partners see


the importance of developing a regional roadmap and national policies
and guidelines to guide LGUs and private partners on what projects to
prioritize. This will also ensure that proposed projects are aligned with
the national development goals and prevent duplication. A national
guideline will also standardize data collection and create a standard
index where the development of cities can be assessed at the national
level. Moreover, national policies crafted using the best practices in
the country will allow cities to learn from other cities.
Improve monitoring and evaluation. Different stakeholders identified
establishing better monitoring and evaluation of smart city initiatives
as important, especially since some services will be devolved to them
due to the Mandanas-Garcia Supreme Court Ruling. To this end, the
DOST-PCIEERD highlighted the importance of having a national
standard index that can help integrate smart city solutions and data at
higher governance levels.
Provide grants and loans. NGAs should continue their existing
programs that assist startups and LGUs to engage in projects that help
address local issues. NGAs also play an important role in connecting
these LGUs and startups to funding agencies abroad to encourage
the continued development of smart city initiatives at the city level.
Inevitably, this will encourage local research and development of
technology and innovation.
Other solutions to specific challenges mentioned by respondents
were the following: incentivize smart city innovators and those who
will engage in implementing smart city projects; support research and
development to keep up with the fast-paced technological development;

76
Conclusion

implementation of big projects by phases, especially projects involving


infrastructure developments; and creation of wireless internet
connection nationwide.

Conclusion

There is a lack of studies on whether Philippine cities are capable of


undergoing the development required for smart city development.
There is also a lack of literature on the experiences of Philippine
cities toward becoming smart. This study enriches the literature by
determining the drivers and extent of smart city development in the
Philippines. Determining motivations and enablers is intended to
validate the expectations of LGUs from smart city initiatives, ensuring
that efforts are targeted to achieve what are believed to be possible
outcomes of smart city development. Providing insights on the extent
of smart city development supports the idea that cities are capable of
employing such initiatives. Finally, recommendations about the roles
of national and local governments in addressing challenges are provided
to facilitate the development.
This study shows that the Philippines has started to tread the
path toward building smart cities, and some Philippine cities exhibit
preparedness for smart city development. The potential of having
smart cities in the Philippines is apparent as interviews, even those in
cities initially thought not to have a high level of implementation, have
shown the motivation of both the public and private sectors to
implement smart city initiatives. To take the discussion up a notch,
LGUs have already implemented smart city initiatives. The Philippines,
however, should have an operational strategic framework to ensure
that smart cities are built up with coherence so that the initial phases
of development will provide the building blocks for the next initiatives.

What drives Philippine LGUs toward the implementation of smart


city initiatives?
In addressing the first policy question, motivations and enablers of
smart city development were identified based on insights into the cases
of interviewed LGUs. LGUs were generally found to be motivated by

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Are Philippine Cities Ready to Become Smart Cities?

the expected outcomes of smart city initiatives, and they have identified
enablers aligned with those from reviewed literature.
The outcomes based on reviewed literature appear to be the
motivations of stakeholders of smart city initiatives. The motivations
of LGUs were consistent with the three outcomes (i.e., high quality of
life, competitive economy, and sustainable environment) captured in
the working definition. LGUs’ desire to address pressing urban challenges
has encouraged them to implement smart city initiatives. Motivation
among LGUs to help each other adopt smart tools was also seen in
some cases, potentially paving the way for development at a wider scale.
Meanwhile, stakeholders aside from LGUs are also motivated to support
smart city development, as evidenced by their involvement in numerous
initiatives. NGAs and development organizations participate in such
initiatives because of their respective mandates and objectives, and
businesses provide support as part of their corporate social responsibility
and to help foster a good economic environment. The alignment
of motivations reflects the potential of aspiring smart cities to
become successful.
Enablers of smart city development were identified during the
interviews. Within LGUs, the presence of smart city champions, ICT
department/staff, digitized data, and ICT infrastructure facilitate
the adoption of smart city initiatives in cities. Smart city champions
are leaders or staff who see the value and advocate using available
technology to address the issues their city is facing. Leaders who are
willing and committed to implement smart city initiatives help attract
some partners. Government policies also encourage involvement.
Additionally, stakeholder engagement is identified as an enabler
in interviews with LGUs, as in reviewed literature and cases of
international cities. In terms of financial sources, however, while cases of
international cities and reviewed literature reflect high importance
on PPP-enabled financing, more emphasis has been placed on getting
financial support from international organizations and/or local funding
agencies. Based on online resources and documents from the LGUs,
financing from the internal budget is also a frequent mode used. There
are also some biddings carried out. Insights regarding the enablers reflect
potential actions that aspiring smart cities can take.

78
Conclusion

What is the extent of smart city development among Philippine cities?


In terms of extent, numerous smart city initiatives have already been
implemented by cities in the Philippines across the infrastructure,
data, and service phases of smart city development, and they are
supported by NGA efforts. In the selected cities, there are generally
more initiatives in the infrastructure phase. Initiatives include the
installation of fiber optics and the provision of free Wi-Fi. Within
the infrastructure phase, NGAs play an important role, providing
support in increasing access to necessary infrastructure, including the
internet, and implementing relevant programs such as the NBP. In
the data phase, there are initiatives such as the development of data
systems. Expected to support initiatives within the phase are policies
under the Data Privacy Act and EO 2 (s. 2016) on which the FOI is
based. Meanwhile, initiatives in the service phase include platforms
enabling electronic transactions. Such initiatives within the phase are
supported by policies, including those under the Ease of Doing Business
and Efficient Government Service Delivery Act of 2018 (RA 11032).
The discussions on the extent of smart city development signify that
efforts at the local level are complemented by policies issued at the
national level. The cases, however, lack a logical succession of phases
from infrastructure to data to service. In some cases, numerous initiatives
are under the infrastructure and service phases, while the data phase
falls behind. This raises the question of whether the services offered
are evidence-based and properly address constituents’ needs.
Additional insights on the extent of smart city development in
terms of relevant initiatives of interviewed LGUs were derived using
the working definition. Generally, cities focus more on built
infrastructure and civic and social domains. The main targets of efforts
across the LGUs are to provide their constituents with a high quality
of life. There are also generally more initiatives involving institutions,
data, and information, while people and knowledge fall short in their
respective categories of stakeholders and semiotics, respectively. The
findings reflect similarities in the elements of smart city development
adopted by the LGUs. They also reveal the factors that can still be
explored in the journey to becoming smart cities.

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Are Philippine Cities Ready to Become Smart Cities?

How can the Philippine government facilitate the development of


smart cities?
The path to becoming smart cities comes with challenges, risks, and
disadvantages, which have to be addressed by the government. Issues
have been established in this study; nevertheless, the government has the
capacity to address the problems and facilitate smart city development.
Challenges encountered by interviewees in relation to smart city
development include the lack of funding and infrastructure, especially
considering that setting up ICT infrastructure and continuously upgrading
systems require investments. Meanwhile, similar to some insights from
reviewed literature, some interviewees find changes in administration
or political uncertainty as a concern. Some private sector stakeholders
relate changes in leadership to changes in priorities, threatening existing
projects, especially those not yet institutionalized by an ordinance.
Some interviewees think policies and standards to guide the
implementation of smart city initiatives are still insufficient. It should
be noted, nevertheless, that many of the interviewees did not mention
using the PNS ISO 37122:2020 and the DOST Framework for Smart
Sustainable Communities and Cities as references. The identified issue
on policies and standards can be linked to another identified challenge:
the lack of interoperability of data systems. In relation to data, some
private sector partners and NGAs cited a lack of public trust in data
management as the reason for the slow public uptake of smart city
initiatives. Meanwhile, LGUs attributed slow uptake to the adjusting
period for understanding and learning. Finally, low digital literacy was
seen in some cases.
Although only a few interviewees associate risks and disadvantages
with smart city development, these are nevertheless critical areas of
concern. Issues concerning data privacy will become more prominent
as smart city development increases, given the reliance of such growth
on data availability. An interviewee also raised that technology might be
used for political interests. There are other concerns about some smart
city initiatives in the Philippines not mentioned during the interviews.
This focus on smart city initiatives involving reclamation, such as those
in Dumaguete and Manila. As with other reclamation projects, areas of
concern include the potential environmental degradation and negative
implications of such projects on the livelihood of fishermen. However,
studies on estimating the net benefits or losses from implementing

80
Recommendations

reclamation projects for smart city development are lacking. Overall,


the Philippine government should be on the lookout for pitfalls,
given the risks and potential disadvantages associated with smart
city development.
At the local level, identified pathways can help address some
of the issues. For instance, LGUs have been conducting information
dissemination activities to increase awareness of relevant projects,
and feedback mechanisms have been made available. Likewise, there
have been attempts to improve the digital literacy of LGU staff and
constituents. Capacity building is carried out to increase human capital
that would support smart city development. Pilot projects are being
implemented, given foreseen benefits both in the public and private
sectors. Meanwhile, ordinances, resolutions, and/or MOAs help ensure
the sustainability of smart city initiatives and partnerships. There are
also regional/innovation hubs being developed. Aspiring smart cities
should assess whether they can also take such pathways.
NGAs, through their policies and programs, have the capacity
to complement efforts at the local level in addressing the issues and
supporting smart city development. Support from the NGAs has
been mostly concentrated in the infrastructure and data phases. The
PPP Center has been supporting some smart city initiatives under the
PPP mode. The DICT facilitates connectivity, while the DOST-PCIEERD
helps in capacity building for the development of technologies.
Additionally, the NPC promotes and monitors data privacy. In the
service phase, DILG and DICT support the implementation of the law
on ease of doing business and efficient government service delivery.
Furthermore, it is evident that despite some NGAs not having an
established definition of “smart city”, their programs and activities still
support smart city initiatives. However, while government efforts are
notable, additional pathways discussed in the following section can be
taken to support the building of smart cities further.

Recommendations

Increasing the readiness of Philippine cities for smart city development


will involve various government offices. The presence of enablers
and already existing smart city initiatives have signified preparedness

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Are Philippine Cities Ready to Become Smart Cities?

for such a development; however, there are unaddressed gaps in the


smart city agenda in the Philippines. The national government can
help address the gaps by providing additional support in developing
policies and standards to improve data flow, promoting technology
and innovation-powered cities, and ensuring transparency and
accountability in implementing smart city initiatives.
The Philippines should consider branding its cities as smart. The
lack of consensus on the definition of “smart city” is enough reason
for the national and local governments to clarify the brand well and
the outcomes that can result from implementing smart city initiatives.
Aside from “smart city”, the terms associated with similar initiatives
include “digital city” and “intelligent city”. The rising number of articles
on smart city should be one ground for deciding whether to shift the
term used, provided that the involved initiatives can be categorized as
smart. Establishing a brand for technology and innovation-powered
Philippine cities can unlock opportunities to gain additional investments
for government projects. The brand should be echoed by complementary
policies to reflect the commitment to realizing the vision.
Should the Philippines decide to pursue applicable branding
initiatives as smart, special roles can be given to the DOST-PCIEERD
and DILG to establish a good brand. The DOST-PCIEERD may take
the lead, given its mandate. It can enhance the DOST Framework for
Smart Sustainable Communities and Cities and leverage its experience
in linking smart city stakeholders with LGUs to implement additional
support strategies. Meanwhile, the DILG can promote and monitor the
adoption of the framework and gauge smart city development among
Philippine cities based on smart city indicators under PNS ISO 37122:2020.
Information dissemination campaigns should be held at the national level
to increase the understanding of the smart city concept and vision. The
campaigns should also serve as venues for the government to increase
people’s participation in building smart cities, an aspect seemingly
lacking in some initiatives. This can help improve public uptake of
initiatives to be implemented. Furthermore, the DILG can implement an
accreditation system following the PNS and the framework to incentivize
cities to adopt the smart city concept. The DILG can then be equipped
with data and evidence when showcasing Philippine cities.

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Recommendations

The vision should be accompanied by a plan on how the outcomes


will be attained. Likewise, the logical succession of the phases of smart
city development should be incorporated into the plan. The infrastructure
phase should come first, followed by the data phase and the service
phase. Veering away from this succession could eventually bring rise to
challenges, such as failure to address constituents’ needs properly and
losing out on opportunities to engage with stakeholders who require
particular developments in preceding phases of smart city development.
Furthermore, issues among the initiatives within each phase at the
national level (e.g., NBP, Free Wi-Fi for All Project) should be resolved
to increase the facilitation of smart city development.
The identified enablers can serve as indicators of readiness for
smart city development. While PNS ISO 37122:2020 already provides
smart city indicators, measures reflecting cities’ readiness for smart
city development will provide insights into the capacity of LGUs to
implement smart city initiatives. Based on the discussed enablers,
indicators of the readiness for smart city development can include the
following: (1) the presence of smart city champions; (2) the presence
of ICT departments or personnel; (3) the number of completed
projects supported by ordinances, resolutions, and/or MOAs involving
businesses, development organizations, and/or NGAs; (4) the number of
constituents with access to the internet; and (5) availability of digitized
data. These suggested indicators are expected to help LGUs prepare for
smart city development. The DOST-PCIEERD can also use them in
assessing aspiring partner LGUs.
No smart city is going to be built without partnerships. Stakeholder
engagement is valued not only by aspiring smart cities in the Philippines
but also those in other countries. LGUs should build relationships
with the public and private sectors. These sectors include the academe,
development organizations, businesses, other LGUs, the national
government, and constituents. LGUs should know what technologies
are available and the support services offered at the national level. LGUs
can even pilot the implementation of initiatives through engagements
to see which ones are worthwhile to utilize at a wider scale in the
long term.
Accountability is one of the themes that can enhance the DOST
Framework for Smart Sustainable Communities and Cities. The agenda

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Are Philippine Cities Ready to Become Smart Cities?

in developing a smart city should include increasing the capacity of


people and institutions to monitor progress in government projects,
given the availability of technologies and data. Smart city development
comes with a responsibility among LGUs to be transparent to their
constituents. LGUs should not only collect data from the people but
also provide data to them. Such data sharing can generate innovation
that would not have otherwise been developed. The DILG can mandate
LGUs to provide nonconfidential data involving their projects on a
platform easily accessible by their constituents.
The DICT and NPC can issue policies and standards on developing
data repositories and application programming interfaces for aspiring
smart cities. Aspiring smart cities are not required to be equipped with
only one technology to address all urbanization challenges to meet their
objectives and ensure interoperability. However, they need technologies
to transfer data into common but secure data repositories to enable
faster, evidence-based decisionmaking. Following relevant standards
will allow LGUs to efficiently use data in policy decisions while assuring
respective constituents that the data provided are securely managed.
Risk mitigation strategies should be laid out in the framework
of smart cities. The assurance from the government that it will not
dismiss the potential negative impacts of smart city projects on the
environment and livelihood must be ensured. For instance, the PPP
Center can provide guidance in the conduct of feasibility studies and
cost-benefit analyses for PPP projects. Meanwhile, given the emphasis
of the DOST Framework for Smart Sustainable Communities and Cities
on the importance of data and evidence in smart city development,
ways of ensuring data protection should be discussed. Given NPC’s
mandate and expertise, the agency can guide in ensuring data privacy
in smart city projects, including those involving private sector partners.
The presence of a comprehensive approach to data protection and its
proper implementation in smart cities will encourage constituents to
take on their roles to provide data to the government and its partners
willingly. Furthermore, similar to some international city governments,
LGUs in the Philippines should be transparent in handling data for
various involved activities.
Smart cities are not meant to stand alone but are built and
maintained by numerous stakeholders besides LGUs and NGAs. The

84
Recommendations

constituents should have venues to raise concerns, ideas, and feedback.


After all, their needs are at the core of what smart cities should address.
LGUs can work with the DOST-PCIEERD in conducting a gap assessment
of technologies and needs, and the academe can be involved in addressing
the gap. Support of development organizations in capacitating LGUs
should be sought. Available technologies offered by businesses should
also be assessed on their potential contribution to smart city development
and relevant costs.
In terms of financing, LGUs can work on expanding the range of
options. The conduct of PPP smart city projects should be explored more
as an additional option, given the emphasis placed on its potential in the
reviewed literature and cases of international cities. LGUs can work with
the PPP Center to build their capacity to implement PPP projects and
conduct feasibility studies. Ultimately, engagements with stakeholders in
smart city initiatives, including those implemented by the private sector,
should be supported by ordinances, resolutions, and/or MOAs to help
ensure sustainability.
Smart cities have the potential to address urban challenges, but the
findings of this study show the amount of work needed to be carried
out before the Philippines can establish these cities. Although LGUs can
already implement smart city initiatives, participation from government
offices at the national level is essential. The national government must
guide and support LGUs in addressing the challenges to smart city
development to ensure that the potential of smart city initiatives will not
be limited.

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108
Annexes
Annex 1. Cauayan City initiatives’ alignment with working definition

Initiative Description Phase Function Focus Area Semiotics Stakeholders Outcomes


E-tricycle • E-tricycle • Infrastructure • Process • Built • Data • Institutions • Sustainable
prototypes and prototypes; some • Translate infrastructure • Information environment
Charging in models with solar • Quality
Minutes station panel on roof environment
• Charging station
Hybrid electric • 4 air-conditioned • Infrastructure • Process • Built • Data • Institutions • Sustainable
road train interlinked cabins • Translate infrastructure • Information environment
for maximum of • Quality
200 passengers environment
E-scooter project • E-scooters with • Infrastructure • Process • Built • Data • People • Sustainable
app for control • Sense infrastructure • Information • Institutions environment
and global • Quality
positioning system environment
for tracking
PATURO: Platform • Data hub • Data • Sense • Built • Data • People • Sustainable
for Assessment • Smart Index • Monitor infrastructure • Information • Institutions environment
and Tracking of • Sandbox • Process • Knowledge
Urbanization- • Communicate
Related
Opportunities
Wi-Fi routers • Wi-Fi routers • Infrastructure • Process • Built • Data • People • High quality
for free • Communicate infrastructure • Information • Institutions of life
Fiber optics • Installation of • Infrastructure • Process • Built • Data • People • High quality
fiber optics • Communicate infrastructure • Information • Institutions of life
Annex 1 (continued)

Initiative Description Phase Function Focus Area Semiotics Stakeholders Outcomes


Cell sites and • Installation of • Infrastructure • Process • Built • Data • People • High quality
cellular network cell sites and/or • Communicate infrastructure • Information • Institutions of life
system expansion of cellular
network system
• 4G/LTE
Wi-Fi • Obtainment of • Infrastructure • Process • Built • Data • People • High quality
Wi-Fi services • Communicate infrastructure • Information • Institutions of life

Barangay • Enables messaging • Infrastructure • Process • Built • Data • Institutions • Competitive


centralized Wi-Fi and file sharing • Communicate infrastructure • Information economy
network from LGU to
barangay, barangay
to barangay, and
barangay to LGU
via 5Ghz radio
signal and high
sector antenna
• Extranet
• LAN Messenger
QR code for • Intended for • Data • Sense • Civic and • Data • People • High quality
barangay household profiling • Process social • Information • Institutions of life
constituents that can be used Communicate
for relief assistance
distribution
Cauayan City App • Enables transactions • Service • Process • Civic and • Data • People • High quality
related to • Translate social • Information • Institutions of life
e-government,
e-bills, e-commerce,
e-services, and
e-wallet
Annex 1 (continued)

Initiative Description Phase Function Focus Area Semiotics Stakeholders Outcomes


Cauayan City • Version 1 - simple ID • Service • Process • Civic and • Data • People • High quality
Identification • Version 2 - ATM-enabled • Translate social • Information • Institutions of life
Card • Version 3 - Mastercard- • Communicate
enabled
Juan Time • Synchronization of time • Infrastructure • Communicate • Civic and • Data • Institutions • Competitive
campaign across devices social • Information economy
• Provides weather
updates
Kiosk machines • Payment of bills at • Service • Process • Civic and • Data • People • High quality
kiosk machines • Translate social • Information • Institutions of life
Police drones • To keep constituents • Service • Sense • Safety and • Data • People • High quality
safe, capture criminals, • Process security • Information • Insitutions of life
and implement • Communicate
lockdown restrictions
Digital Twin • From drone photos • Data • Sense • Safety and • Data • People • High quality
to 3D map of the • Monitor security • Information • Institutions of life
landscape • Process • Knowledge • Sustainable
• AI for damage Communicate environment
estimation
Waste-to-energy • Generate energy using • Infrastructure • Process • Quality • Data • Institutions • Sustainable
plant waste products from • Translate environment • Information environment
Cagayan Valley
Annex 1 (continued)

Initiative Description Phase Function Focus Area Semiotics Stakeholders Outcomes


Aquaponics • IoT-based • Infrastructure • Sense • Quality • Data • Institutions • Competitive
aquaponics with • Monitor environment • Information economy
integrated sensors • Process • Industry and • Knowledge • Quality
monitoring innovation environment
dissolved oxygen,
humidity, water
level, and
temperature
Investment • Presents investment • Data • Communicate • Industry and • Data • Institutions • Competitive
website opportunities and innovation • Information economy
incentive package
Water quality • Tests the quality of • Infrastructure • Sense • Health and • Data • Institutions • High quality
testing laboratory water • Process well-being • Information of life
• Communicate • Knowledge • Sustainable
environment
No QR Code, • Requirement to • Service • Sense • Health and • Data • People • High quality
No Entry Policy register for unique • Monitor well-being • Information • Institutions of life
QR code to facilitate • Process • Knowledge
contact tracing • Communicate
RxBox • Measures heart rate, • Infrastructure • Sense • Health and • Data • People • High quality
oxygen saturation, • Process well-being • Information • Institutions of life
temperature, etc. • Communicate • Knowledge
• Distributed to
geographically
isolated and
disadvantaged areas
Annex 1 (continued)

Initiative Description Phase Function Focus Area Semiotics Stakeholders Outcomes


Cauayan City Care • Telemedicine • Infrastructure • Process • Health and • Data • People • High
COVID-19 Consult • Communicate well-being • Information • Institutions quality of
life
Smarter Dengue • Dengue vector • Service • Monitor • Health and • Data • People • High
Early Warning surveillance • Process well-being • Information • Institutions quality of
System • Smarter Dengue Early • Communicate • Knowledge life
Warning System App
• Disease mapping on
3D model using AI
• Dengue information
mapping
4G = fourth generation; LTE = long-term evolution; LGU = local government unit; IoT = Internet of Things; 3D = three dimensional; AI = artificial intelligence;
LAN = local area network; Ghz = gigahertz; QR = quick response; ATM = automated teller machine; COVID-19 = coronavirus disease 2019
Source: Authors’ summary based on documents from interviewees and/or online resources
Annex 2. Cauayan City initiatives’ administrative details

Initiative Partner Finance Timeline Output Ordinance/Resolution/


Memorandum
E-tricycle prototypes • DOST • Commercial viability • 2017: Launch • 2 installed
and Charging in • Isabela State University supported through of e-charging chargers
Minutes station • University of the financial aid from station and
Philippines Diliman DOST parade of
• DOST-PCIEERD prototype
• Electronics Industries models for
Association of the e-trikes
Philippines Inc.
• Manufacturers and sellers
of e-trikes and e-bikes

Hybrid electric road train • DOST-Metals Industry • From DOST • 2019: Launch • 560 catered
Research and and turnover passengers
Development Center ceremony (students,
senior citizens,
PWDs, and
frontliners)
E-scooter project • DOST • From DOST • 2020: Launch • 7 e-scooters • MOA with
• Isabela State University and turnover DOST, Isabela
• University of the ceremony State University,
• Philippines-Electrical UP-Electrical
and Electronics and Electronics
Engineering Institute Engineering
• Filgenius Institute, and
Filgenius
PATURO: Platform for • DOST-PCIEERD • From DOST-PCIEERD • 2020: Launch
Assessment and Tracking • Asian Institute of
of Urbanization-Related Management
Opportunities • Isabela State University
Annex 2 (continued)

Initiative Partner Finance Timeline Output Ordinance/Resolution/


Memorandum
Wi-Fi routers • 2014: • 65 barangays
Distribution to equipped with
65 barangays free Wi-Fi routers

Fiber optics • PLDT Inc. • 2017: Installed


fiber optics

Cell sites and cellular • Smart • 2005–2019: • Resolutions 2005-2-049,


network system Communications Inc. Approval of 2005-2-104, 2012-4-005,
resolutions 2012-4-006, 2012-4-102,
on installation 2019-7-162, 2019-7-163,
of cell sites 2019-7-164, 2019-7-165,
and/or and 2019-7-166
expansion of
cellular network
system
Wi-Fi • Smart • 2019: Approval • Resolution 2019-6-070
Communications Inc. of resolution

Barangay centralized • 65 barangays


Wi-Fi network equipped with
communication
network and
internet
QR code for barangay • Barangay Cabaruan
constituents constituents with
QR codes
- Population
of 8,244
Annex 2 (continued)

Initiative Partner Finance Timeline Output Ordinance/Resolution/


Memorandum
Cauayan City App • Multisys Technologies • 2014: Launch of • Total downloads
Corporation 1st version from App Store as of
• 2019: Launch of November 10, 2020:
2nd version - China: 3,179
- Philippines: 832
- US: 89
- Japan: 74
- Singapore: 79
• Total downloads
from Play Store as of
November 10, 2020:
- Philippines: 18,224
- Saudi Arabia: 126
- US: 98
- Canada: 66
- Taiwan: 37
- India: 22
- South Korea: 20
- Italy: 18
- Japan: 16
- Brazil: 13
Annex 2 (continued)
Initiative Partner Finance Timeline Output Ordinance/Resolution/
Memorandum
Cauayan City • GCash • 2014: Launch of • 5,000 IDs
Identification Card Version 1 distributed to
• 2015: Launch of government
Version 2 employees and
• 2018: Launch of constituents
Version 3

Juan Time Campaign • DOST • From DOST • 2014: Launch • 65 LEDs for
Juan Time
and disaster
information
distributed
Kiosk machines
Police drones • 2019: Barangay • 3 drones
Cabauran deployed for
Police became monitoring of
equipped with constituents
drones during
lockdown
Annex 2 (continued)

Initiative Partner Finance Timeline Output Ordinance/Resolution/


Memorandum
Digital Twin • Graffiquo • Donated by Graffiquo • 2020: • Captured
• United Cities Asia Integrated in 2 days:
digital twin 0.5 square
system kilometer
was created of waterfronts
• 3D landscape
models
• Estimated
7,724 families
for evacuation,
PHP 22 million
damages to
crops, and PHP
550 million
damages to
infrastructure
Waste-to-energy plant • Other Metro Cauayan • 2019: Launch • MOA with other
and Isabela LGUs and MOA Metro Cauayan
• Clean World signing and Isabela LGUs,
Sustainable Solutions and Clean World
Inc. Sustainable
Solutions Inc.
Aquaponics • Temasek Polytechnic • 2019: Launch • 160 households
University and turnover in Sitio
• Isabela State ceremony Manalpaac
University given livelihood
assistance
Annex 2 (continued)

Initiative Partner Finance Timeline Output Ordinance/Resolution/


Memorandum
Investment website
Water quality • DOST • 2017: • Resolution
testing laboratory • Isabela State Resolution 2017-6-122: Resolution
University approved authorizing the
Honorable City Mayor
Bernard Faustino
Dy to enter into a
memorandum of
agreement with the
DOST and Isabela
State University for
the establishment of
a water quality testing
laboratory in support to
smarter cities

No QR Code, • Nspire Inc.


No Entry Policy • AJ Enterprises
Annex 2 (continued)

Initiative Partner Finance Timeline Output Ordinance/Resolution/


Memorandum
RxBox • DOST • Donated by Ionics • 2015: Turnover
• Ionics EMS Inc. EMS Inc.

Cauayan City Care • Isabela State • 2021: Launch


COVID-19 Consult University
• DOST
• CHED
• Dynamic Outsource
Solutions Inc.

Smarter Dengue Early


Warning System

DOST = Department of Science and Technology; PCIEERD = Philippine Council for Industry, Energy and Emerging Technology Research and Development; PWDs = persons
with disability; MOA = memorandum of agreement; ID = identity document; LED = light emitting diode; 3D = three dimensional; PHP = Philippine peso; CHED = Commission
on Higher Education; UP = University of the Philippines
Source: Authors’ summary based on documents from interviewees and/or online resources
Annex 3. Tuguegarao City initiatives’ alignment with working definition

Initiative Description Phase Function Focus Area Semiotics Stakeholders Outcomes


Digital Twin • Conversion of drone • Data • Sense • Safety and • Data • People • High quality
photos to 3D model • Monitor security • Information • Institutions of life
• Process • Knowledge • Sustainable
• Communicate environment
Command • Real-time • Data • Sense • Safety and • Data • People • High quality
center monitoring center • Process security • Information • Institutions of life
• CCTV • Communicate
Free direct • Direct internet • Infrastructure • Process • Built • Data • Institutions • High quality
internet enabling connection • Communicate infrastructure • Information of life
between offices for
video application,
voice, and data
needs
Tuguegarao • Online government • Service • Sense • Civic and • Data • People • High quality
Government services (travel • Monitor social • Information • Institutions of life
Portal pass application, • Process • Knowledge
checkpoint • Translate
registration, QR card • Communicate
for nonresidents,
online payment and
QR for residents
and nonresidents,
and vaccination
registration)
MyCure • Online medical • Infrastructure • Process • Health and • Data • People • High quality
System consultations • Communicate well-being • Information • Institutions of life
3D = three dimensional; CCTV = closed-circuit television; QR = quick response
Source: Authors’ summary based on documents from interviewees and/or online resources
Annex 4. Tuguegarao City initiatives’ administrative details

Ordinance/Resolution/
Initiative Partner Finance Timeline Output
Memorandum
Digital Twin • Cauayan City LGU
Command center • Philippine National Police
• Bureau of Fire Protection

Free direct internet • Globe Business • From Globe


Business
Tuguegarao Government Portal
MyCure System • DOST

LGU = local government unit; DOST = Department of Science and Technology


Source: Authors’ summary based on documents from interviewees and/or online resources
Annex 5. San Fernando City initiatives’ alignment with working definition

Initiative Description Phase Function Focus Area Semiotics Stakeholders Outcomes


Command and • Telemetry for • Service • Sense • Built • Data • People • High quality
control center flood monitoring • Process infrastructure • Information • Institutions of life
• LED information • Translate • Safety and • Knowledge
board • Communicate security
• Communication
tower
• 360-degree
thermal camera
• Video analytics
• License plate
recognition
• Facial recognition
• Body cameras
• Public address
system
Free Wi-Fi in • Fiber-powered • Infrastructure • Process • Built • Data • People • High quality
city hall and old Wi-Fi in city hall • Communicate infrastructure • Information • Institutions of life
public market and old public
market
Free Wi-Fi in • Wi-Fi for selected • Infrastructure • Process • Built • Data • People • High quality
public schools public schools • Communicate infrastructure • Information • Institutions of life

Smart City • Integration of • Infrastructure • Sense • Built • Data • People • High quality
Phase II CCTV features • Process infrastructure • Information • Institutions of life
Program • Fiber optic cabling • Communicate • Safety and
• Other security
improvements
in infrastructure
and equipment
Annex 5 (continued)
Initiative Description Phase Function Focus Area Semiotics Stakeholders Outcomes
Solar panels • Renewable • Infrastructure • Sense • Quality • Data • Institutions • Sustainable
energy source • Process environment • Information environment
Online business • Online platform • Service • Process • Civic and • Data • People • Competitive
transactions for business permit • Communicate social • Information • Institutions economy
transactions
and payment of
business taxes
• Option for delivery
of business permits
Integrated/ • Development • Infrastructure • Process • Civic and • Data • Institutions • High quality
centralized of applications • Communicate social • Information of life
systems for and integrated/
interoffice centralized systems
transactions to expand linkage
of interoffice
transactions
• Unified barangay
business clearance
• Barangay building
clearance
LED = light emitting diode; CCTV = closed-circuit television
Source: Authors’ summary based on documents from interviewees and/or online resources
Annex 6. San Fernando City initiatives’ administrative details

Initiative Partner Finance Timeline Output Ordinance/Resolution/


Memorandum
Command and • PHP 220 million • 2020: • 110 bullet cameras
control center from 2018 LGU Inauguration • 15 pan-tilt-zoom
savings and cameras
business sector • Additional 115 CCTV
• Additional 3 LED
boards
• Additional 10
workstations
• Additional 26 video
walls
Free Wi-Fi in city hall • Smart • Donation • 2019: Signing • MOA with Smart
and old public market Communications, from Smart of MOA Communications Inc.
Inc. Communications
Inc.
Free Wi-Fi in • 9 Early Childhood
public schools Care and
Development Centers
Smart City Phase II • Land Bank of the • Loan from Land • 2021:
Program technologies Philippines Bank of the Allotment
Philippines in Annual
• 2021 Annual Investment
Investment Program
Program: PHP 100
Million
Solar panels
Annex 6 (continued)

Initiative Partner Finance Timeline Output Ordinance/Resolution/


Memorandum
Online business • 2Go Express Inc. • 2018: Signing • Issuance of 11 new • MOA with 2Go Express
transactions of MOA business permits Inc. under Resolution
• Renewal of 2018-024
3 business permits
Integrated/centralized • Implementation of
systems for interoffice Unified Barangay
transactions Business/Building
Clearance:
Renewal - 4,532
applicants; New - 745
• 2 systems developed
for the linking of some
government units
• In-house development
of online application
of building clearance:
10% completion - data
gathering stage
PHP = Philippine peso; LGU = local government unit; LED = light emitting diode; CCTV = closed-circuit television; MOA = memorandum of agreement
Source: Authors’ summary based on documents from interviewees and/or online resources
Annex 7. Malabon City initiatives’ alignment with working definition

Initiative Description Phase Function Focus Area Semiotics Stakeholders Outcomes


CCTV cameras • CCTV cameras • Data • Sense • Safety and • Data • People • High quality
for emergency • Process security • Information • Institutions of life
monitoring and • Communicate
response
Mobile • 4G • Infrastructure • Process • Built • Data • People • High quality
connectivity • Communicate infrastructure • Information • Institutions of life
Free Wi-Fi • Under Smart • Infrastructure • Process • Built • Data • People • High quality
Barangay Connect • Communicate infrastructure • Information • Institutions of life
Program aided
by PLDT's fiber
infrastructure
Contact tracing • Application with • Service • Sense • Health and • Data • People • High quality
app QR code technology • Monitor well-being • Information • Institutions of life
integrated into City • Process • Knowledge
Health monitoring • Communicate
system
Computerization • Computerization in • Service • Process • Civic and • Data • People • High quality
of tax collection revenue-generating • Communicate social • Information • Institutions of life
data and departments • Knowledge
transactions • GIS
Online payment • Online payment • Service • Process • Civic and • Data • People • High quality
services system services for • Translate social • Information • Institutions of life
government • Communicate
transactions
CCTV = closed-circuit television; 4G = fourth generation; QR = quick response; GIS = geographic information system
Source: Authors’ summary based on documents from interviewees and/or online resources
Annex 8. Malabon City initiatives’ administrative details

Initiative Partner Finance Timeline Output Ordinance/Resolution/


Memorandum
CCTV cameras • PHP 9,985,000.00: • 2017: Bid
internal budget opening

Mobile connectivity • Globe • 6 new cell sites


• 101 upgraded
sites
Free Wi-Fi • Smart Communications • From Smart
Inc. Communications Inc.
• PLDT Inc.
Contact tracing app
Computerization of • PHP 3.8 million:
tax collection data internal budget
and transactions
Online payment • IB Solutions IBS • 2020: Contract
services system Worldwide Corporation with IB Solutions
IBS Worldwide
Corporation
signed
PHP = Philippine peso; CCTV = closed-circuit television;
Source: Authors’ summary based on documents from interviewees and/or online resources
Annex 9. Mandaue City initiatives’ alignment with working definition

Initiative Description Phase Function Focus Area Semiotics Stakeholders Outcomes


Guardian • Mobile application • Service • Process • Safety and • Data • People • High quality
Emergency for reporting • Communicate security • Information • Institutions of life
Response of incidents
System or requesting
assistance
• Software for
dispatch and
deployment
Traffic • Traffic lights • Data • Sense • Safety and • Data • People • High quality
management • Digital clocks • Process security • Information • Institutions of life
system • CCTV and • Translate • Built
high-definition • Communicate infrastructure
cameras
• LED streetlights
Internet • Fiber broadband • Infrastructure • Process • Built • Data • People • High quality
connection • Communicate infrastructure • Information • Institutions of life
Electronic • Online processing • Service • Sense • Civic and • Data • People • Competitive
business of business • Process social • Information • Institutions economy
permit and permits with • Communicate
licensing QR code and a
system security sticker
Annex 9 (continued)

Initiative Description Phase Function Focus Area Semiotics Stakeholders Outcomes


Purok • Database per • Data • Communicate • Civic and • Data • People • High quality
database purok to address social • Information • Institutions of life
system pandemic
Low carbon • Green Building • Infrastructure • Sense • Quality • Data • People • Sustainable
city Program • Monitor environment • Information • Institutions environment
• Solid waste • Process • Knowledge
management • Translate
technologies • Communicate
• Modeling of
Urban Heat
Islands in
Philippine Cities
(Project GUHeat)
• Biodegradable
waste shredder
• Rotary drum
composter
CCTV = closed-circuit television; LED = light emitting diode; QR = quick response
Source: Authors’ summary based on documents from interviewees and/or online resources
Annex 10. Mandaue City initiatives’ administrative details

Initiative Partner Finance Timeline Output Ordinance/Resolution/


Memorandum
Guardian • Sugbotek Inc. • Free application provided • 2018: Signing of MOA • MOA with Sugbotek Inc.
Emergency by Sugbotek Inc.
Response
System
Traffic • Dyna-Tech • Internal budget • 1990s: Obtained CCTV • 13 major • Ordinance 14-2016-1110: An
management • HUALU E-Cloud - PHP 79 million for cameras and sensors intersections ordinance authorizing no
system traffic equipment • 2013: Installed with digital contact apprehension for
with high-definition high-definition cameras clocks and traffic violations in the City
cameras and digital and digital clocks high-definition of Mandaue
clocks in all of the • 2016: Approval of cameras • Proof of Concept
city’s 13 major ordinance on no contact Agreement with Dyna-Tech
intersections apprehension and HUALU E-cloud to
- PHP 5 million for • 2019: Signing of Proof of assess the transportation
traffic lights Concept Agreement with system
• Total budget for street Dyna-Tech and
lighting in 2021 Annual HUALU E-cloud
Investment Program • 2021: Budget for street
- MOOE: PHP 13,706,005 lighting allotted in Annual
Investment Program
Annex 10 (continued)

Initiative Partner Finance Timeline Output Ordinance/Resolution/


Memorandum
Internet • Converge • 2021: Installation
Electronic • DICT • 2021: Launch
business
permit and
licensing
system
Purok • Total budget for • 2021: Budget for Purok
Database Purok Database Database System in
System System in Response to Response to the Pandemic
the Pandemic allotted in Annual
- (General Fund) Investment Program
capital outlay:
PHP 12 million
Annex 10 (continued)
Initiative Partner Finance Timeline Output Ordinance/Resolution/
Memorandum
Low carbon • APEC • Total budget for Climate • 2015: Approval of green • BERDE • Ordinance 13-2015-1047:
city • ALMEC Corporation Change Adaption and building ordinance certification The Green Building
• Ernst & Young Environment Protection in • 2017: Publication of final • 5 barangays Ordinance of Mandaue City
Advisory Co. Ltd. 2021 Annual Investment report on APEC LCMT with • MOA with DENR-EMB
• Michi Creative City Program Project Phase 6: Feasibility recyclables • Tripartite MOA with Vivant
Designers Inc. - (General Fund) MOOE: study for Mandaue City storage and Foundation and Mandaue
• Guun PHP 500,000 • 2021: Budget for climate composting Chamber of Commerce
• Cafe-i • Total budget for Solid change adaption and facility and Industry
• University of Waste Management environment protection • 13 units of
the Philippines Activities allotted in Annual rotary drum
Training Center for - (General Fund) MOOE: Investment Program composter,
Applied Geodesy PHP 9,500,000 • 2021: Budget for solid biodegradable
and Photogrammetry • Total budget for solid waste management waste
• DENR-EMB waste management activities allotted in shredder,
• Philippine Green initiatives Annual Investment solar-powered
Building Council - Expenditures in 2018: Program 4G network
• Vivant Foundation PHP 286,629,222.50 • 2021: DENR-EMB donated camera kit
• Mandaue Chamber - Budget in 2019: biodegradable waste • 1 bike repair
of Commerce and PHP 301,894,036.25 shredder and rotary station
Industry • Biodegradable waste drum composter
shredder and rotary • 2021: Signing of tripartite
drum composter from MOA with Vivant
DENR-EMB Foundation and Mandaue
• Bike stations financed by Chamber of Commerce
Vivant Foundation and Industry for the bike
repair stations
MOA = memorandum of agreement; MOOE = maintenance and other operating expenses; PHP = Philippine peso; APEC = Asia-Pacific Economic Cooperation;
DENR-EMB = Department of Environment and Natural Resources-Environmental Management Bureau; CCTV = closed-circuit television; DICT = Department of Information
and Communications Technology; LCMT = Low Carbon Model Town; 4G = fourth generation
Source: Authors’ summary based on documents from interviewees and/or online resources
Annex 11. Tagum City initiatives’ alignment with working definition

Initiative Description Phase Function Focus Area Semiotics Stakeholders Outcomes


Revenue • Automated and integrated • Infrastructure • Process • Civic and • Data • People • High quality
Administration management system • Communicate social • Information • Institutions of life
and Mobilization - Real Property Tax • Competitive
Program Administration System economy
- Electronic Business
Permit
and License System
- Other revenue
generating system
- Economic
Enterprise System
- Integrated Financial
Management System
- Human Resource and
Management System
- Executive System
- Other Systems -
Document Tracking
System Web-based
• Customizable for issuance
of electronic official
receipts
• GIS
Integrated Systems • IP telephones and a • Infrastructure • Process • Civic and • Data • People • High quality
Digital Network and centralized trunkline • Translate social • Information • Institutions of life
Private Automatic • Communicate
Branch Exchange
for City Trunkline
Services
Annex 11 (continued)

Initiative Description Phase Function Focus Area Semiotics Stakeholders Outcomes


Use of quad media • Television • Data • Process • Civic and • Data • People High quality
• Radio • Communicate social • Information • Institutions of life
• Print media
• Social media
LED walls • LED walls for information • Data • Process • Civic and • Data • People High quality
dissemination • Communicate social • Information • Institutions of life
Traffic signalization • Installation of traffic lights • Data • Sense • Built • Data • People High quality
system and in priority junctions • Process infrastructure • Information • Institutions of life
no contact • Traffic surveillance • Translate • Safety and
apprehension cameras • Communicate security
• Monitoring of traffic
violations using figures
and summaries of traffic
violations (beating the
red light, counterflowing,
obstruction to pedestrian
crossing, obstruction
to double yellow
lane, illegal parking,
disregarding traffic signal,
loading/unloading, illegal
U-turn, obstruction to
yellow box, obstruction
to right lane, driving on
sidewalk) in various areas
Annex 11 (continued)

Initiative Description Phase Function Focus Area Semiotics Stakeholders Outcomes


Smart street • Solar-powered • Infrastructure • Sense • Built • Data • Institutions • Sustainable
lighting streetlights along • Process infrastructure • Information environment
barangay roads • Translate • Safety and
security
Internet • P2P Internet Tower • Infrastructure • Process • Built • Data • People • High quality
• Communicate infrastructure • Information • Institutions of life
EURO • Equipment and • Infrastructure • Process • Built • Data • Institutions • High quality
4-compliant vehicles for reduced • Translate infrastructure • Information of life
heavy equipment greenhouse • Quality Sustainable
and vehicles gas emissions environment environment
Tagum City • Transformation of • Infrastructure • Process • Quality • Data • Institutions • Sustainable
Waste-to-Energy waste to energy • Translate environment • Information environment
Plant Project
e-Center • Station for • Infrastructure • Process • Industry and • Data • People • Competitive
technology • Communicate innovation • Information • Institutions economy
empowerment
• Computers
• Internet service
GIS = geographic information system; IP = internet protocol; LED = light-emitting diode; P2P = point-to-point
Source: Authors’ summary based on documents from interviewees and/or online resources
Annex 12. Tagum City initiatives’ administrative details
Initiative Partner Finance Timeline Output Ordinance/Resolution/
Memorandum
Revenue • DBP • Loan from DBP: • Under bidding process
Administration PHP 90 million • Target Implementation:
and Mobilization pesos 2022 Q1
Program
Integrated Systems • Loan • 2016: Implementation • Still operating
Digital Network and • One-time investment: • Monthly record of
Private Automatic PHP 24 million callers, numbers,
Branch Exchange • Additional and purpose
for City Trunkline PHP 6 million for
Services improvement of the
command and
control center
Use of quad media • Internal budget • 2014: Implementation
LED walls • Operational in 2
areas in city hall
• Record details of
announcements
posted
Traffic signalization • DBP • Loan from DBP: • 2018: Phase I • 10 intersections
system and • Traffic PHP 60 million implementation covered by system
no contact Supplies and • Design and • 2020: Phase II • Traffic surveillance
apprehension Construction build scheme implementation monthly reports
Corporation
Annex 12 (continued)

Initiative Partner Finance Timeline Output Ordinance/Resolution/


Memorandum
Smart street lighting • 1st Phase (13 units): • 2021 and onwards:
PHP 60,000 implementation
• For 2022, the
Electrification
Program has
proposed amount
of PHP 226,040,000
in AIP
Internet • DepEd • Financed by Special
Education Fund
EURO 4-compliant heavy • DBP • Loan from DBP • 2021 onwards: • EURO 4-compliant
equipment and vehicles • PHP 26,537,777.77: Implementation heavy equipment
Heavy equipment
of City Engineer’s
Office
• PHP 27,588,298.32:
Sanitary Landfill
Heavy Equipment
Tagum City • Global Green • PHP 757.61 million • Under
Waste-to-Energy International preconstruction
Plant Project Energy
Philippines
Inc.
e-Center • DICT • 2018: Launch
DBP = Development Bank of the Philippines; PHP = Philippine peso; DICT = Department of Information and Communications Technology; Q = quarter; LED = light-emitting
diode; AIP = Annual Implementation Plan; DepEd = Department of Education
Source: Authors’ summary based on documents from interviewees and/or online resources
Annex 13. Summary of themes for motivations for smart city engagements

Motivations

High quality Address public issues


Address public issues Replicate best CSR
CSR

of life Competitive economy


Competitive economy
practices

DRRM
DRRM

Others

Increase
Increase connections Increase t...
Sustainable environment
Sustainanble environment
Others
Others
O technology
connections engagement
Sustainability
Sustainability
S Business pros...
Business
prosperity
Capitalize on
Capitalize on resources

resources Increased enabling


Increased Enabli...
power of technology

Improved service delivery


Improved service delivery Support development efforts
Support development efforts
Informed
Informed decision making

decision making

CSR = corporate social responsibility; DRRM = disaster risk reduction and management
Source: Authors­­’ illustration
Annex 14. Summary of themes for enablers based on interview responses
Enablers
Others SC Champions
Partnership Others SC Champions

Compliance with existing policies and guidelines


Compliance with existing policies and guidelines Assigned ICT Department
Access to Existing
Existinginf...
Assigned ICT Department infrastructure
technology

Available digitized data


Available digitized data

SC = smart city; ICT = information and communications technology


Source: Authors­­’ illustration
Annex 15. Summary of themes for challenges from interviews
Challenges

Lack of available infrastructure Lack of policies No SC champion Lack of


or standards interoperability

Lack of social acceptance


Lack of social acceptance
Lack of
Lack of connections Lack of
off Cybersecur...
Cybersecurity
transparency
Others connections

Change in
Bureaucratic process
Operation Cost
Operation cost administration
Digital divide
Digital divide

Reliance
Reliance on on
partners
partners

SC = smart city
Source: Authors­­’ illustration
Annex 16. Summary of themes for pathways for smart city initiatives from interviews

Pathways

PPPs
PPPs Others
Others Awards or
incentive codes

Capacity building

Information dissemination SC belt or Complian...


Compliance
with
innovation required
certifications
hubs and
policies

Pilot projects

PPPs = public-private partnerships; SC = smart city


Source: Authors­­’ illustration
Annex 17. Summary of themes for recommendations based on interview responses

Recommendations
LGU level National level
Formalize partnerships Capacity Building Creation of roadmap or ... M&E Tools
Formalize partnerships Creation of M&E tools
Capacity building roadmap
or agenda

Creation of standardized
national guidelines

Apply for ...


Consolidate Apply
systems for Others
or projects
grants Set
Set budget
budget Incentivize
Incentivize b...

or loans businesses
to invest in
Information dissemination and feedback ICT
Information dissemination and feedback

Tech
Tech R&DR&D
Buildwireles...
Build
wireless
infrastructure

M&E = monitoring and evaluation; R&D = research and development; ICT = information and communications technology
Source: Authors­­
The Authors

Tatum P. Ramos is a supervising research specialist at the


Philippine Institute for Development Studies (PIDS). She earned her
master’s degree in Public Policy with specialization in management and
leadership at the Lee Kuan Yew School of Public Policy, National
University of Singapore. Her area of interest is urban development. She
has coauthored publications on housing.
Pauline Joy M. Lorenzo is a senior research specialist at PIDS.
She has a bachelor’s degree in Sociology and is currently finishing her
master’s in Medical Anthropology at UP Manila. Her research interests
are in public health, implementation research, and social sector issues
using qualitative research methods.
Jenica A. Ancheta is a research specialist at PIDS. She earned
her degree in AB Economics at the Ateneo de Manila University. She
has provided research assistance in the areas of agrarian reform, social
protection, housing, and energy.
Marife M. Ballesteros is the vice president of the PIDS. She has
a PhD in Social Sciences from the University of Nijmegen, Netherlands.
Her areas of specialization are development economics and housing
and urban development issues.

145
Smart city development is recognized as a potential solution to urbanization
issues. This study examines Philippine cities’ readiness for smart city
development by answering three policy questions: (1) What drives Philippine
local government units toward implementing smart city initiatives; (2) What is the
extent of smart city development among Philippine cities; and (3) How can the
Philippine government facilitate the development of smart cities? A desk review
of smart city initiatives in some Philippine cities was carried out, and interviews
were conducted with local government units, national government agencies,
businesses, and development organizations. It finds that the Philippines has
started to tread the path toward building smart cities, and some cities already
exhibit readiness. However, additional pathways to smart city development must
be paved. There is a need to address funding, data management, and
sustainability challenges. Addressing the challenges not only requires actions at
the local level but also demands additional support from the national government
in developing policies and standards to improve data flow, promoting
technology- and innovation-powered cities, and ensuring transparency and
accountability in the implementation of smart city initiatives.

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