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Philippines
Monday, March 31, 2025
26.9 C
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Monday, March 31, 2025

Gov’t seeks solutions to address decades-long infrastructure deficit

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Transportation Secretary Vince Dizon recognized that the Philippines has a “big problem” in transport infrastructure development, but remains optimistic about finding solutions.

This recognition follows a Philippine Institute for Development Studies (PIDS) report highlighting the country’s continued lag behind Southeast Asian neighbors.

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Authored by PIDS Senior Research Fellow Dr. Kris Francisco, the study titled, “Transport Infrastructure in the Philippines: From Plans to Actual Allocation,” highlights critical gaps in railways, ports, and airport efficiency, hindering economic growth and regional competitiveness.

The report emphasizes the urgency of reforms and increased investment, particularly addressing the country’s inefficient air transport and underdeveloped railway network, which has the lowest density in the region.

Distribution of DOTr budget by transport subsector (Source: GAA)

The Philippines has a railway density indicator of only 1.52 kilometer per square kilometer, the lowest in the region. While multiple railway projects are in the pipeline, much work remains to meet growing demands.

In response to the PIDS study, Dizon acknowledged the Philippines’ infrastructure deficit, stating, “The first step to solving a problem is acknowledging that there is a problem, right? And there is a big problem.”

“I agree with that study. And like I said, you don’t even need a study to tell you that. We are a laggard, but there are solutions.

They’re already being built,” he added.

Dizon said that addressing the Philippines’ infrastructure problems will take decades, adding, “But all we have to do while were here is do our job.”

The Transportation chief pledged to expedite big-ticket transportation infrastructure projects to improve the country’s transport system.

“Our objective is simple: speed up and fix our transportation systems to make them safe,” Dizon said.

The agency’s mega infrastructure projects in the pipeline are the New Cebu International Container Port, Manila Bay-Pasig River-Laguna Lake Ferry River System Project.

Meanwhile, railways projects include the Metro Manila Subway, North-South Commuter Railway (NSCR), MRT-7, LRT-1 Cavite Extension, Unified Grand Central Station and MRT-3 Rehabilitation. In the pipeline are Mindanao Railway Project, MRT-4 and PNR South Long Haul.

Under the road sector, the DOTr is pushing for the expansion of the active transport program and EDSA Busway Project. The agency also continues to push for the Public Transport Modernization Program (PTMP).

Meanwhile, the PIDS study said that the Philippines boasts the highest number of ports in ASEAN, attributed to its archipelagic geography. However, the quality of ports remains a concern.

“Several studies have revealed the weaknesses of Philippine ports, raising issues such as the lack of port facilities, lesser capacity, as well as the unfortunate combination of high prices for port services albeit underdeveloped ports,” Francisco explained. These factors make the country’s ports less competitive compared to regional counterparts.

The study further acknowledges the government’s efforts to prioritize infrastructure development across various Philippine Development Plans (PDP). The PDP 2023–2028 sets ambitious targets for annual public infrastructure spending, ranging from 5 to 6 percent of GDP, focusing on modernizing and expanding transport systems, addressing mobility issues, and collaborating with private and multilateral partners.

Budget allocations for the Department of Transportation (DOTr) have consistently favored the rail transport program. However, the study notes uncertainty over whether these funds have been used to expand the railway network or simply maintain operations. Similarly, the Department of Public Works and Highways (DPWH) has prioritized programs such as flood management and asset preservation, but integrating funding data with project specifics remains a challenge.

Despite the abovementioned hurdles, the report outlines promising initiatives, including airport upgrades, new railway projects, and plans to enhance port facilities. It emphasizes the importance of allocating resources to improve the quality and adequacy of transport infrastructure to resolve gaps and stay competitive with ASEAN neighbors. Creating a comprehensive infrastructure database would also improve planning and help optimize government spending and project execution.

As the Philippines bridges the infrastructure gap, strategic investments and comprehensive planning will be essential in shaping the country’s future growth and regional standing, Francisco concluded.

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