Public-private partnership programs alloted P19.6-B

The Department of Budget and Management on Tuesday allocated P19.6 billion in counterpart funds for this year’s government’s public-private partnership (PPP) program citing that it will shore up the economic growth.   The P19.6 billion counterpart fund allocated this year is P7.1 billion or 56.8 percent higher than last year’s P12.5 billion counterpart budget for PPP, the centerpiece infrastructure scheme of the Aquino government.   “The increased funding for public-private partnerships will help the Administration’s PPP program gain more traction this fiscal year, enabling us to fill infrastructure gaps and optimize our economic growth,” Budget Secretary Florencio “Butch” Abad said in a statement.   Of the P19.6 billion of PPP counterpart fund, the lion’s share was allotted to the Department of Transportation and Communications at P8.6 billion to implement PPP projects including airport developments in Panglao in Bohol, Puerto Princesa in Palawan, and New Legazpi in Albay, as well as the extension and privatization of LRT Line 1, and the single light rail ticketing system.   “The multiplier effect of successful PPP projects will certainly be felt in the economy,” Abad claimed.   The Department of Education was allotted P4 billion for construction of some 9,332 classrooms across the country.   Set aside for the Health Department was P3 billion in counterpart funding “primarily toward the construction and maintenance of health centers and hospitals.”   The Department of Public Works and Highways was allocated with P3 billion to support PPP projects such as the Tarlac-Pangasinan-La Union Toll Expressway, Daang-Hari-SLEX Link Road, NAIA (Ninoy Aquino International Airport) Expressway, CaLa (Cavite-Laguna) Expressway Project, and Manila North Expressway.   PPP projects under the Department of Agriculture pipeline will receive P1 billion in counterpart funds. The projects included were logistics support on the supply chain for agri-fishery projects through the Southrail Mainline and the Balintingon Reservoir Multi-Purpose Project.   “This year, we take an even more vigorous approach at tapping the resources made available to us by the private sector. This will help us quicken the pace of project implementation and ultimately allow us to deliver critical services in a faster, more efficient way,” the Budget chief said.   Earlier this month, the Government Service Insurance System said that it intends to invest $300 million in PPP projects as it expects a 9 to 15 percent return on investments per annum. — ELR, GMA News