Philippine Government Seeks to Expedite Infrastructure Projects with ‘Green Lane’ for Contractors
The Philippine government is moving to accelerate infrastructure development through a proposed “green lane” system for qualified public works contractors, aiming to streamline bidding processes and speed up project implementation. The initiative, spearheaded by the Department of Public Works and Highways (DPWH), seeks to address persistent delays and bolster economic growth.
Public Works Secretary Vince Dizon indicated the program would mirror the Board of Investments’ (BOI) existing Green Lane program, which fast-tracks approvals for strategic and high-impact investments. “Under the BOI’s agreements, they have green lanes for investors and companies who qualify based on a certain criteria,” Dizon said, adding, “There’s no reason why we can’t do that in the DPWH.”
The Philippine Chamber of Commerce and Industry (PCCI) is actively lobbying for the creation of this expedited process. PCCI President Ferdinand Ferrer stated the proposal aims to help contractors mobilize more quickly and restart stalled projects, contributing to overall economic momentum. Ferrer highlighted concerns about payment delays experienced by contractors even after funds have been allocated, a problem the green lane system intends to resolve.
“We discussed how to come up with criteria to get contractors to start or work again with DPWH,” Ferrer told reporters. “We’re gonna do the green lane for legit contractors with the DPWH.” He further emphasized the importance of resuming infrastructure projects, noting a correlation between project halts and a decline in the country’s gross domestic product (GDP).
To ensure the integrity of the program, the PCCI is collaborating with the Philippine Constructors Association and the Philippine Contractors Accreditation Board to establish stringent qualification standards. Only reputable firms will be eligible for the expedited process. The initiative also includes support for a blockchain-based portal, developed in partnership with the DPWH, to enhance transparency and accountability throughout the project lifecycle.
Currently, the blockchain portal tracks projects funded by international partners such as the Japan International Cooperation Agency and the World Bank. Plans are underway to expand its scope to include locally funded projects, allowing for comprehensive tracking of all expenditures and project progress. “Every centavo can be tracked, including project progress. The objective is to restore credibility and strengthen accountability,” Ferrer explained.
The PCCI is also working with the BOI and the Philippine Economic Zone Authority (PEZA) to facilitate the swift implementation of the DPWH’s green lane. The business group anticipates establishing the system within three months.
The Philippine Contractors Accreditation Board will play a crucial role in verifying the credibility of contractors participating in government projects. A meeting is scheduled for March 5 with Socioeconomic Planning Secretary Arsenio Balisacan to discuss increased private sector involvement in policy formulation and project approvals, further reinforcing accountability.
Efforts to bolster transparency extend beyond the blockchain portal. A memorandum of cooperation is slated to be signed on February 23 between the PCCI, DPWH, Mayors for Good Governance, and the Catholic Bishops’ Conference of the Philippines. This agreement aims to foster collaboration between the private sector and the government to rebuild confidence among foreign investors.
The move comes amid ongoing efforts to address corruption within the DPWH and related infrastructure projects. Recent reports have highlighted concerns about anomalous flood control projects and the need to tighten safeguards against corruption. Secretary Dizon has ordered an investigation into corrupt officials and contractors, signaling a commitment to systemic reform. , reports indicated some foreign firms were feeling the effects of Philippine graft probes.
The proposed green lane system represents a significant step towards streamlining infrastructure development and fostering a more transparent and accountable environment for public works projects in the Philippines.
