DPWH Urged to Engage Foreign, PSE-Listed Firms for Major Infrastructure Projects

A lawmaker on Monday urged the government to tap reputable foreign and top-tier local contractors for major flood control, hospital, and school infrastructure projects under the Department of Public Works and Highways (DPWH). This move is expected to help prevent project delays, substandard work, and alleged “ghost” projects. Manila Rep. Rolando V. Valeriano stated that large-scale projects, including flood mitigation works, public hospitals, and packaged school buildings, should be awarded to contractors with established track records and strong financial standing. Mr. Valeriano proposed prioritizing reputable foreign firms and Philippine Stock Exchange (PSE)-listed property developers that possess at least P20 billion in assets, favorable debt-to-equity ratios, and no fraud findings from the Securities and Exchange Commission (SEC). For funding, he cited potential sources such as loans from foreign lenders like the Japan International Cooperation Agency (JICA), Korea International Cooperation Agency (KOICA), Asian Development Bank (ADB), and World Bank. He also mentioned public-private partnerships (PPPs) and proposed “Paaralan at Ospital Bonds” (School and Hospital Bonds). “Foreign contractors and PSE-traded property developers will not risk their reputations on ghost projects, delayed projects, and substandard projects,” the lawmaker said in Filipino. Furthermore, Mr. Valeriano called for higher standards in the design and specifications of school buildings, hospitals, river dikes, seawalls, and underground and above-ground retarding basins.