Unnecessary costs due to red tape in the housing sector is estimated to have hit P142 billion in 2017.
Jeremiah Belgica, director-general of the Anti-Red Tape Authority quoted a study done by the Development Academy of the Philippines (DAP) which said the amount represents the regulatory costs borne by the private sector and the government in the form of unnecessary permits in the system as well as the transportation and the time spent to process those permits.
Belgica said the duplicitous requirements have an equivalent cost or additional payments on the part of the private sector.
Based on figures from the Housing and Urban Development Coordinating Council, there are 27 offices that handle housing. Stakeholders have to submit 373 documents and secure 78 permits which require 146 signatures.
That assumes there are 200,000 housing units produced yearly.
Housing is just of the 20 sectors covered by the DAP study.
In contrast, the estimated red tape costs in the chemical sector is estimated at P1.8 billion in 2017.
The DAP study said businesses under the chemical industry have to deal with 27 regulatory agencies.