Philippines Enacts PPP Code to Boost High-Quality Infrastructure and Services

Manila – Finance Secretary Benjamin Diokno announced on Wednesday that the newly-enacted Public-Private Partnership (PPP) Code of the Philippines is set to ensure the development of high-quality infrastructure projects and services across the country. Diokno expressed gratitude to President Ferdinand R. Marcos Jr. for his prompt action in enacting the PPP Code, underscoring the government’s commitment to fostering stronger public-private sector collaboration.

According to Philippines News Agency, the PPP Code aims to create a stable and predictable environment for public and private sector partnerships, addressing existing gaps in infrastructure financing. The Code consolidates all legal frameworks, offering investors a unified system for engaging in PPP projects. Diokno highlighted that this initiative is designed to encourage private sector collaboration, bringing innovation, efficient resource mobilization, and delivery of quality, cost-effective infrastructure projects and services.

The PPP Code will become effective 15 calendar days following its publication in the Official Gazette or a newspaper of general circulation. The PPP Governing Board, headed by the National Economic and Development Authority Secretary, is tasked with issuing the Implementing Rules and Regulations within 90 days from the law’s effectivity.

Senator Sherwin Gatchalian, co-author of the measure, emphasized that the establishment of a PPP code is crucial for enhancing and maintaining infrastructure development in the Philippines. He noted that institutionalizing the PPP program would sustain the momentum in delivering essential public infrastructure, thereby improving public service delivery.

Gatchalian also pointed out that the new law is expected to increase the effectiveness of procuring and delivering infrastructure projects. It provides a conducive environment for private sector involvement in public infrastructure projects, along with appropriate incentives and support for proprietary arrangements. He addressed the common challenges in the PPP program, such as coordination issues, difficulties in obtaining support from other government agencies, and the limited authority of the PPP Center. The new PPP code, he believes, is poised to resolve these issues.