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Do NGO Self-RegulationMechanisms Work?(The Philippine Context)

By: Fely I. SoledadFormer Executive DirectPhilippine Council for NG

Certification (PCNC)

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RAISE STANDARDS OF PRACT1. Higher number of NGOs with improvof performance after PCNC certifica

2. Raising the bar and making NGOs aw

3. Evaluation/Certification is based on

standards in six areas (purpose,

governance, administration, financisystem, program operations, netwo

4. Sharing of best practices among N

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Challenge:-We have raised the standards

terms of setting the bar but b

themselves, some NGOs have

difficulty reaching the standard

Response:-handholding

-peer review and assistance

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PREVENT INAPPROPRIATGOVERNMENT REGULATIO

-Attempts by government to regu- Executive Order 671 (supersed

by Executive Order 720)

- 3 house bills in Congress

-But these were successfully prev(for the meantime) thru:

- support of different sectors

- advocacy

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Challenge:-Some politicians eye NGOs/

foundations either as suspect (ofdubious motives) or prospect for t

own interests-More bills in Congress are to be

expectedResponse:-vigilance & advocacy

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-public at large: we cannot say yet

-local donors (mostly corporate):-require PCNC certification for assura

-for tax deductibility

-foreign donors(some):

-for due diligence

-government:

-requirement for qualification as doneinstitution (deductibility of donations

exemption from donors tax)

-plus factor for inclusion in local spec

BUILD PUBLIC TRUST?

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Challenge:-complicated universe

-number of NGOs involved in scams &

scandals (mostly founded by

politicians or their relatives-indifference of some donors/funding

agencies towards NGO accountability

/due diligence-Response:-vigilance & advocacy

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ALTERNATIVES TO SELF-REGULATIONgovernment regulation?

-politicians have used NGOs for their o

self-interest

-corruption in government-related

institutions has been rife

independent monitoring bodies?-expensive

-may not have the appropriate contex

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peer review?-an NGO review may need specia

e.g. PCNC has volunteer evaluato

PICPA to look into financial mana

systems

-re standards, peer-to-peer may bquestionable if the one reviewing

not have the best practice-may be difficult to prevent in-bre

or in-fighting (competition or turfi

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LEARNINGS FROM THE PRIVSECTORBeing market-driven

-not depending on grants

Improving your position based your image and productivity

Creating / maintaining your nic

Coming up with higher quantityquality of outputs

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CONCLUSION(From PCNCs Perspective)

Despite the challenges, self-reguis the way to go (in a democra

society where peoples' participa

freedom, and responsibility a

respected and promoted).

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Thank you.