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Government Policies

DPWH urged to cancel, reprice P1.6 trillion projects

Last updated: October 4, 2025 11:05 pm
Published: 5 months ago
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MANILA, Philippines — Batangas 1st District Rep. Leandro Leviste has urged the Department of Public Works and Highways (DPWH) to cancel or reprice P1.6 trillion worth of infrastructure projects to save P400 billion that could be redirected to health and education programs.

Leviste made the proposal as Congress wrapped up deliberations on the 2026 national budget, citing alleged irregularities in several DPWH projects, including a recently terminated P95.99-million flood control contract in Lemery, Batangas.

DPWH Regional Office IV-A ended the Omnicon Builders contract on June 9, due to a change in government policy on the implementation of flood control-related projects. The contractor would not be paid since the project had not yet begun.

In August, Leviste and the Lemery local government unit raised issues over the project’s lack of coordination, missing permits and deviations from the town’s flood control master plan.

They later found that the project’s sheet piles, supposed to be 12 meters long, measured only six meters. After the audit, the contractor reportedly abandoned the site.

“After all the hearings and protests against corruption in DPWH, we must remember there are over P1-trillion ongoing projects and another P600 billion in upcoming projects that DPWH can still do something about,” Leviste said.

“DPWH is continuing to spend on overpriced projects every day, losing over P1 billion per day or P30 billion per month, and it is within DPWH’s power to stop these losses now,” he added.

Leviste said DPWH contracts allow for “Termination for Convenience” if a project becomes “economically, financially or technically impractical and/or unnecessary, such as, but not limited to, fortuitous events or changes in law and national government policies,” without any penalty to the government.

He added that contracts may also be ended through “Termination for Unlawful Acts” if contractors commit “corrupt, fraudulent, collusive and coercive practices; draw up or use forged documents; use adulterated materials, means or methods or engage in production contrary to rules of science or the trade.”

DPWH could invoke either clause, citing testimony from former DPWH officials Roberto Bernardo and Brice Hernandez, who claimed that “almost 100 percent” of DPWH bids are rigged and that projects often end up substandard due to alleged 25 to 30 percent kickbacks paid out to secure contracts.

He also reiterated his call for DPWH to recompute its detailed unit price analysis (DUPA) to lower approved unit prices for future projects.

DPWH Secretary Vince Dizon had previously committed to reviewing the DUPA and agreed it could be reduced by “at least 10 percent,” with some estimates suggesting even larger decreases.

Citing the Lemery flood control project as an example, Leviste said Dizon could apply the same principles to the more than P1 trillion worth of ongoing DPWH projects for 2025 and P600 billion planned for 2026.

He estimated that reducing costs by an average of 25 percent could yield P400 billion in savings from the P1.6 trillion total.

Teachers’ walkout

Meanwhile, the Department of Education said it respects the nationwide protest action of teachers after thousands walked out of classes on Friday to denounce corruption and government neglect in the education sector.

DepEd Media Relations Office chief Dennis Legaspi recognized yesterday the validity of the teachers’ grievances.

“We are in continuous dialogue with teacher representatives to address these concerns collaboratively. Rest assured, the DepEd leadership is not only listening but is committed to taking meaningful action,” he said. — Bella Cariaso

Read more on Philstar.com

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