The government plans to award seven infrastructure projects under the public private partnership scheme by June, despite the postponement of several projects.
“The DOJ [Department of Justice) and DOTC [Department of Transportation and Communication] have worked hard to bring the procurement process very close to completion. The PPP Center is ready to help the DOJ and DOTC make the final push to complete the process by June 30,” PPP Center executive director Andre Palacios said.
The Justice Department moved the bid submission for the regional prisons project from March 22 to April 20.
The Transportation Department also rescheduled the bid submission for the five regional airport projects and the Davao seaport project from March 28 to an unspecified date. The auctions of these projects are now in the advanced stage of the bidding process.
Palacios, however, expressed concern over the postponement. “We are mindful that postponement in procurement will mean delay in delivery of public services. Four factors together strongly justify completing the bidding for the DOJ and DOTC projects,” he said.
“First, the projects were properly reviewed and approved in 2014. Second, they have been going through a fair, transparent and credible procurement process for over a year now. Third, the government has complied with all legal requirements and has spent valuable resources to develop, approve and procure the projects,” Palacios said.
“Fourth, there is genuine competition among serious bidders, both local and foreign, which will produce the best deal for government,” he said.
Palacios cited the need to award these PPP projects so that the construction of better public infrastructure would commence in the next administration.
“Bilibid inmates live in overcrowded, dehumanizing conditions. They urgently need facilities conducive to their reformation. A modern seaport in Davao will allow Mindanao farm products to reach the global market. Further, in a few years, air passengers will experience NAIA-type congestion in Iloilo, Bacolod, Bohol, Davao and Laguindingan airports. Expansion of these regional airports is necessary to avoid the expected congestion,” he said.
PPP projects are not covered by the election ban, which will cover March 25 to May 8 this year.
The Commission on Elections en banc confirmed this in a resolution on Jan. 19, 2016.
The government has awarded 12 projects worth P217.42 billion since 2010.
These projects were the P2.01-billion Daang Hari-Slex Link Road, P16.28-billion PPP for School Infrastructure project phase 1, P15.52-billion NAIA Expressway (phase II), P5.69-billion Modernization of the Philippine Orthopedic Center, P1.72-billion Automatic Fare Collection System, P17.52-billion Mactan-Cebu International Airport Passenger Terminal Building, P64.9-billion LRT Line 1 Cavite Extension, P2.5-billion Southwest Integrated Transport project, P55.53-billion Cavite Laguna Expressway, P4-billion South Integrated Transport System project and P24.4-billion Bulacan Bulk Water Supply project.
Some P556.56 billion worth of infrastructure projects were under procurement. These include the P108-billion five regional airports, P18.99-billion Davao Sasa Port Modernization, P50.18-billion Regional Prison Facilities through PPP, P122.80-billion Laguna Lakeshore Expressway Dike, P298-million Road Transport Information Technology Infrastructure project phase II, P1.59-billion Civil Registry System Information Technology project phase II, P18.72-billion New Centennial Water Source-Kaliwa Dam, P65.09-billion LRT Line 6 and the P170.70-billion North-South Railway south line.
The PPP Center earlier said infrastructure projects implemented under the PPP program contributed about 0.07 percent to the economy from 2010 to 2015.
The agency said that of the P2.7 trillion private construction value from 2010 to 2015, PPP projects contributed more than P28 billion. This is equivalent to 0.07 percent of the gross domestic produce from 2010 through 2015. GDP is the amount of final goods and services produced in the country.