Highways has decided to create a technical working group (TWG) to consolidate all the bills seeking to institutionalize and strengthen the Public-Private Partnership (PPP) Program.
In a statement, Laban ng Demokratikong Pilipino Rep. Celso L. Lobregat of Zambonga, the panel chairman, said the next six years would be the “Golden Age” of public infrastructure, which will only become possible with the passage of legislation on the PPP.
Lobregrat said the TWG seeks to harmonize House Bills (HB) 163, 348, 1346 and 1944, which all seek to institutionalize and strengthen the PPP; HB 778, creating the PPP Authority; HB 1944, authorizing PPPs; and HB 2727, encouraging more PPP projects and creating the PPP Guaranty Fund.
Liberal Party (LP) Rep. Feliciano O. Belmonte Jr. of Quezon City, who authored HB 163, said his bill seeks to encourage and strengthen private- sector participation in government infrastructure projects.
Belmonte added the landmark build-operate-transfer (BOT) law, which was amended by Republic Act 7718 in 1994, has paved the way for a “significant increase” in private investment in infrastructure projects.
However, he said there’s still need to further amend the law to make it more responsive to the current economic environment.
Deputy Speaker and LP Rep. Romero S. Quimbo of Marikina, author of HB 348, said his proposal eyes measures to strengthen the PPP, such as prohibiting the issuance by courts of temporary restraining orders and preliminary mandatory injunction against all PPP projects, except the Supreme Court, but with a validity period of only six months; prohibiting regulatory bodies from entering into any PPP contract that they regulate; and requiring public disclosure of PPP contracts.
Quimbo also proposed the expansion of the PPP coverage by including joint-venture and operation and maintenance contracts; removal of the 50-percent cap on government participation, except for joint-venture projects; and increase in the threshold amount of PPP projects to be approved by the approving bodies.
National Unity Party Rep. Romeo Acop of Antipolo City, who authored HB 1346, said his proposal wants to strengthen the PPP by addressing various issues relating to the legal framework of the law on instituting ample protection to the investments infused by the private sector and on the responsibilities of the participating institutions involved in the project cycle.
He noted the program’s momentum has slowed because of the legal and procedural problems in the implementation of the projects, as well as corruption and abuse of discretion on the part of public officials of concerned agencies involved in the transactions.
HB 778, authored by Nationalist People’s Coalition Rep. Joey S. Salceda of Albay, seeks to establish PPP Authority, which will serve as the policy-making body of the government for BOT, private-sector participation, or PPP projects.
Under Salceda’s proposal all national and local projects must be submitted to the BOT Authority or PPP Authority for approval, except those that require national government guarantee or undertaking, in which case the project shall be recommended by the BOT Board to the President for approval.
