Ejercito wants higher funding for priority rail projects amid budget cuts

Sen. Joseph Victor “JV” Ejercito during one of the hearings of the Senate finance panel in September 2024. Senate Public Relations and Information Bureau

MANILA, Philippines — In view of looming budget cuts, Senate Senior Deputy Majority Leader JV Ejercito has asked his colleagues to increase the allocation for priority railway projects in the proposed 2025 budget.

In a statement on Friday, Ejercito, in particular, mentioned the Philippine National Railways (PNR) South Long-Haul Project, Mindanao Railway Project, and Manila Rail Transit (MRT) Line 4 Project — railways which are deemed necessary for national growth and economic progress.

According to Ejercito, these rail projects are crucial to improving connectivity and reducing traffic congestion, but they have yet to receive adequate funding in both the executive-submitted National Expenditure Program (NEP) and Congress-amended General Appropriations Bill (GAB).

“Through our recommendation and the support of Senator Grace Poe, our Chairperson of the Senate Committee on Finance, we were able to introduce additional funding to the department’s budget,” Ejercito, sponsor of the Department of Transportation (DOTr) budget, said during the deliberations of the agency’s allocations on Thursday night.

“There is an immediate need to fund the aforementioned items to prevent loss of jobs and sustain the operational requirements of the project management offices,” he added.

Under the 2025 NEP, the DOTr sought for a P180.89 billion budget for 2025, higher by 144.35 percent compared to the current year’s allocation.  Transportation Secretary Jaime Bautsita said this increase is aimed at funding big-ticket infrastructure projects in railways and airports, to improve mobility and connectivity across the country.

Bautista also said last August 2024, when the House of Representatives was deliberating the DOTr budget, that 74 percent of their budget or P133.34 billion would go to capital outlays.

READ: DOTr eyes P180-B budget for 2025 for big projects 

The 2025 DOTr budget however was decreased to P106.86 billion — a 42 percent decrease from the original budget in the 2025 NEP, which Ejercito believes would be detrimental since a bigger budget will bode well for the country as it would translate to more jobs — therefore stimulating the entire economy.

READ: San Miguel seals P100-billion loan deal for MRT 7 project 

“I would like to take this opportunity to appeal to my dear colleagues to support us. In the long term, this will stimulate our economy and create more job opportunities for our countrymen,” he said.

“This cut derails the effort of the government to develop the sector. It also has great implications especially on the ongoing construction of priority railway projects,” he added.