DPWH sees savings of P60 billion from cutting cost of materials – BusinessWorld Online
THE Department of Public Works and Highways (DPWH) said it expects to generate savings of about P60 billion from construction materials, which it found to be overpriced in the course of conducting the flood control corruption investigation.
“This is probably the single biggest reform in DPWH… For decades, there have been significant price differences, but we really need to address this. Once we lower the prices, we will be able to minimize corruption,” Public Works and Highways Secretary Vivencio B. Dizon said at a briefing on Monday.
The DPWH will focus on bringing down the cost of cement, asphalt, steel, gravel, sand, and other aggregates, Mr. Dizon said.
“We will adjust the prices to market level. If the private sector can build roads at those prices, why can’t the government?,” he said.
The DPWH said it found overpricing of construction materials in Mimaropa, Central Luzon, and the National Capital Region.
Separately, the DPWH said it signed a memorandum of agreement with Philippine Space Agency (PhilSA) to tap satellite technology in monitoring infrastructure projects.
Under this collaboration, PhilSa satellite imagery, sensors and artificial intelligence will help monitor the progress of infrastructure projects.
“This initiative aligns with PhilSA’s goal of using space tech to promote accountability, efficiency and innovation across the government,” Gay Jane P. Perez, officer-in-charge at PhilSA, said during the briefing.
The DPWH has removed around P255 billion worth of flood control projects from its proposed 2026 budget, including duplicated or completed works. — Ashley Erika O. Jose
