PPP procurements exempt from election ban

MANILA, Philippines — The procurement of projects through public-private partnership is exempted from the ban during the election period, the PPP Center announced recently. 

This exemption also covers PPP projects procured under the Build-Operate-Transfer (BOT) law, National Economic and Development Authority-Joint Venture (NEDA JV) Guidelines and local government unit (LGU) PPP ordinances during the election period from Jan. 13 to June 12, 2019. 

The Revised 2013 NEDA-JV Guidelines apply to projects of government-owned and controlled corporations, government financial institutions, government corporate entities, government instrumentalities with corporate powers and state colleges and universities. 

Meanwhile, LGU PPP ordinances pertain to those enacted by various provinces, cities and municipalities. 

PPP Center executive director Ferdinand Pecson received confirmation about the exemption from the Commission on Elections (Comelec) on Dec. 17. 

“Please be informed that the Commission en banc, in Minute Resolution 18-1127-3 dated Nov. 14, resolved to confirm that procurement activities of PPP projects undertaken pursuant to Republic Act 6957, as amended, 2013 Revised NEDA-JV Guidelines and LGU PPP ordinances are not covered by the prohibitions stated in Section 261 (v) and (w) of the Omnibus Election Code,” said the Comelec’s law department in a letter. 

The election law prohibits the disbursement of public funds for public works during the election ban. 

Pecson clarified the matter in a letter to Comelec Chairman Sheriff Abas on Oct. 23 as bidders for several LGU PPP projects have expressed concerns of project delay if government is unable to continue procurement activities during the 2019 election period. 

The prohibited activities cover the conduct of public biddings, issuance of notices of award and signing of PPP agreements. 

Pecson noted in his letter that procurement activities of projects under BOT law, NEDA-JV Guidelines or LGU PPP ordinances do not involve the release, disbursement or expenditure of public funds. 

The PPP Center has been pursuing its LGU Strategy since 2017 to facilitate the use of the PPP mode of procurement in LGUs as the national government veers toward the use of official development assistance and own funds for big-ticket infrastructure projects. 

These cover projects that can respond to the immediate needs of communities like water supply and sanitation and solid waste management. 

The PPP Center also assists the Investment Coordination Committee in the review of PPP projects and guides implementing agencies in the procurement process. 

The PPP Center also signed an agreement with the Tourism Infrastructure and Enterprise Authority for the provision of technical assistance on PPP projects in the tourism sector.