PPP Code enactment to bolster infrastructure projects, solons say

MANILA, Philippines — The enactment of the Public-Private Partnership (PPP) Code of the Philippines will be a big boost to infrastructure projects, according to two lawmakers, as the new law assures the presence of a system to guide both the government and the private sector.

In a statement on Wednesday, Surigao del Sur 1st District Rep. Romeo Momo said that the PPP Code presents a “new dawn” in the relationship between the private and public sectors because it reduces confusion in infrastructure projects as implementers would have a guideline to go back to.

Additionally, Momo — who chairs the House Committee on Public Works and Highways — said that the code would also ensure that officials can be held accountable in case of wrongdoing or other issues within PPP projects.

“The passing of the PPP Code is a new dawn in our commitment to strengthen the relationship between the public and the private sectors. It shows our government’s dedication to improving the country’s infrastructure as it would pave the way for sustainable development and bolster the private sector’s indispensable role in bringing much-needed services to the people,” he said.

“This is the right step forward as we can now work on and ensure that there is an exact system in place and at the same time, be able to hold our officials and staff accountable in our PPP projects,” he added.

Albay 2nd District Rep. Joey Salceda said that the law makes the PPP framework transparent, therefore helping the government bridge the huge infrastructure investment gap in the country.

“The PPP code moves towards a rules-based, transparent, and efficient PPP framework that will help cover the P23 trillion infrastructure investment gap of the country,” Salceda, chairperson of the House committee on ways and means, said.

“This measure also makes the PPP framework as open as possible. We expressly empowered any and all government agencies and instrumentalities to undertake PPPs. We raised the threshold for NEDA-ICC approval to P15 billion, and for local government units whose PPPs do not require any national government undertaking, the sky is the limit,” he added.

The law, which was signed by President Ferdinand Marcos Jr. on Tuesday, will also make the PPP selection process more competitive, according to Salceda.

“We have also established clearer timelines and simpler, more competitive process for solicited proposals. The winning bid is the most responsive bid, and that is clearly defined in the Code as well,” he noted.

The PPP Code, or Republic Act No. 11966, was signed by President Marcos while he was in isolation after he contracted COVID-19.  According to the Presidential Communications Office, the law will “establish a stable and predictable environment for collaboration between the public and private sectors to address the gaps in the infrastructure systems and also free up much-needed resources to enable the government to pursue other equally important projects and initiatives.”

The bill containing the new law was ratified by both the Senate and the House last September 27.

READ: PPP bill nears enactment as Congress ratifies bicam report