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Bill filed vs overpricing of infra projects

Bill filed vs overpricing of infra projects – BusinessWorld Online


      
      
      
      
      








Men are working on a construction project in Manila. — PHILIPPINE STAR/RYAN BALDEMOR

A PHILIPPINE senator has filed a bill seeking to prevent overpricing and ensure transparency for Public Works infrastructure projects.

Senate Bill No. 1467, filed by Senator Francis G. Escudero, proposes a Detailed Unit Price Analysis (DUPA) system that would ensure that appropriations for government projects reflect actual market costs and are backed by technical documents.

The proposed measure will also require a detailed breakdown of labor, equipment, materials, and other expenses before it can be included in the national spending plan.

“The cost of a project cannot be simply estimated. There must be a basis, there must be details, and there must be accountability,” he said.

“When the price of every nail, cement, and service is clear, government spending becomes more honest. The people can see better where every peso goes,” Mr. Escudero added.

The bill also proposes the creation of a national reference manual, containing criteria and methodologies for preparing and updating DUPAs.

It also mandates capacity-building programs for engineers, budget officers, and auditors.

“By establishing this uniform and transparent method of estimating appropriations, this measure can deter unscrupulous budget practices, promote fiscal discipline, create fiscal space for other priority programs and projects and provide a technical and financial safeguards against corrupt and inefficiencies in public spending,” he said.

The proposed measure also imposes perpetual disqualification from holding public office for public officials who falsify data under the system.

Infrastructure projects under the Public Works department have been under investigation due to anomalies in funding allocated for flood control projects, where lawmakers and Public Works officials have allegedly siphoned off billions. — Adrian H. Halili

CEDTyClea





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