Many housing units have no water or electricity, and the government did not secure firm commitments from utility providers before building, leaving residents without essential services.

Why It Matters

Recommended Actions

• Ensure the feasibility and availability of water and electricity supplies prior to the land development and/or housing construction by involving the local water districts and electric cooperatives as parties to the housing contracts with definite duties and obligations stated therein;

Original Audit Finding Excerpt

"We have noted that there are housing projects without water supply. Interview with housing beneficiaries revealed that they resorted to buying water for their use and consumption from sources outside of the housing project. Interview with concerned personnel from NHA and LGUs revealed that local water districts are facing technical difficulties with regards to the provision of water supply. It can be gleaned that the Authority started construction without concrete assurance from the local water districts for the supply of potable water. Though utility companies issued certifications as to the availability of water or electricity, they are not legally committed to perform such obligations for they are not included nor parties to the housing contracts. The concerned LGUs did not ensure the provision of these basic services pursuant to Section 21 of RA No. 7279 or the UDHA."

Source Document