Salceda thanks PBBM for certifying PPP Act as urgent

HOUSE  Ways and Means Chair Joey Sarte Salceda (Albay, 2nd district) thanked President Marcos for issuing a certification for the immediate passage of the Public-Private Partnership Act, which the House tax panel chair and principal author of the measure says will unlock “trillions of private sector resources and direct them towards infrastructure programs.”

“The banking sector has 23.4 trillion in financial resources to lend, and some 1.4 trillion in capital expenditures earmarked for this year among the largest companies in the Philippines. So, we have plenty of resources in the private sector. We could use them, now,” Salceda said.

“So, the certification of urgency is really crucial. And, as we’re studying the emerging version from the Senate, we think this will be a quick bicameral conference committee, if that’s even needed,” Salceda said.

“We are following closely which amendments will be introduced in the Senate, because they’ve just concluded sponsorship. But I anticipate they will get this done during SONA week,” Salceda added.

“We look forward to discussing the provisions with our Senate counterparts when they’re done. And, with the certification of urgency, we expect few if any procedural issues left. This will pass the Senate days after SONA, if they keep at the current pace,” Salceda said.

Salceda explains that the new PPP Act “will modernize the PPP framework of the country.”

“We operate PPPs primarily under the Build-Operate-Transfer Law, a 33-year-old law that no longer responds to the complexities of the PPP landscape. PPP contracts have evolved past the law,” Salceda said.

“A lot of the more successful PPPs – including those in Clark and BGC – come from the more flexible provisions and framework under other laws, such as the BCDA Law. LGUs are also undertaking some experimentation, in the absence of a clear law allowing or preventing them from certain modes of PPP. We’re learning from these. But without a more comprehensive framework, it’s also Wild West out there, and that risks the fiscal health of local and national governments,” Salceda said.