The government is finalizing an executive order that will speed up the processing of documentary requirements for infrastructure flagship projects (IFPs), the National Economic and Development Authority said Wednesday.
NEDA Undersecretary for investment programming Joseph Capuno said in a presentation during the Pilipinas Conference 2023 the upcoming order would simplify the requirements and clearances needed by implementing agencies for priority infrastructure projects.
“The EO will ensure the automatic approval of any pending application or request, provided all conditions and payments have been fully complied with. Currently, it is still being finalized by the Office of the President,” Capuno said.
Capuno said the processing period for PPP projects averaged only 40 days under the Marcos administration—half of the prescribed maximum working-day processing period—highlighting the effectiveness of the reforms and showcasing government institutions’ commitment to driving the administration’s socioeconomic agenda.
“Expedited processes have allowed us to already approve five PPP projects, including the Ninoy Aquino International Airport, the Tarlac-Pangasinan-La Union Expressway Extension, and the newly approved Dialysis Renal Center for the Baguio General Hospital and Medical Center. As we move forward, the private sector remains our steady partner in realizing the completion of these high-impact projects,” Capuno said.
There are 197 IFPs under the administration’s Build-Better-More Program amounting to about P8.7 trillion or $156.4 billion.
NEDA, the lead monitoring agency for IFPs, reported that one of the 197 IFPs—the Samar Pacific Coastal Road Project by the Department of Public Works and Highways, was completed.
Meanwhile, PPP Center executive director Ma. Cynthia Hernandez discussed the significant reforms of the proposed PPP Code during the Philippine Infrastructure Summit 2023 held at the Sheraton Manila Hotel on Wednesday.
Hernandez said the proposed PPP Code would further strengthen the government’s PPP Program by consolidating all legal frameworks and creating a unified system that will further enhance private sector participation.
The proposed PPP Code, which now awaits signature of the President, will address the fragmented legal frameworks for PPPs. The law aims to ensure that the country’s PPP projects are of high quality and are able to mitigate risks during implementation.
Some of these key reforms include the updating of project approval thresholds for Build-Operate-Transfer (BOT) projects, which was last set 29 years ago, while allowing the NEDA Investment Coordination Committee to review, evaluate and update these threshold amounts.
Another reform would be to uphold and retain local autonomy while providing mechanisms to ensure harmonized investment programming between LGUs and the national government.
Unsolicited proposals are allowed in the list of PPP projects even without the new concept or technology requirement, subject to reimbursement of the government’s development costs.
Once signed into law, the PPP Code will likewise strengthen the enabling institutions for PPPs. In particular, the PPP Center will be institutionalized with additional powers and functions in order to work towards a more efficient and effective performance of its mandate.
Through the PPP Code, the use of the Project Development and Monitoring Facility (PDMF) will also be strengthened, and its scope of services expanded to include additional technical assistance to PPP projects as may be required or contemplated under applicable laws, rules and regulations, and other issuances, subject to the approval of the PPP Governing Board.
The law will also institutionalize the PPP Risk Management Fund (RMF) which is a facility created for the payment of contingent liabilities arising from PPPs, she said.
The Code is expected to further strengthen the partnership between the public and private sectors, recognizing the private sector’s indispensable role in nation-building and sustainable development.