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BusinessWorld 5 MIN READ

DPWH pauses local project bidding

September 4, 2025By BusinessWorld
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The Department of Public Works and Highways (DPWH) has suspended the bidding of all locally funded projects for two weeks, in line with the government’s ongoing investigation into alleged irregularities in flood control projects.

“I will order today a pause to all ongoing bidding of all locally funded projects nationwide,” Public Works and Highways Secretary Vivencio “Vince” B. Dizon said at a press briefing on Wednesday.

The suspension of ongoing bidding processes will apply to all national, regional and district offices, and will only be in effect for a maximum of two weeks, Mr. Dizon said, adding this will help the agency develop and implement safeguards against so-called “ghost” projects.

He said all foreign-funded projects will continue because he is confident that foreign funding agencies are closely monitoring project implementation.

The agency’s decision is also in line with President Ferdinand R. Marcos, Jr.’s State of the Nation Address on July 28, directing the DPWH to submit a full list of projects from the past three years and ordering an investigation into flood control projects.

The department has submitted a list of over 9,000 projects completed between July 2022 and May 2025. Of these, 160 projects have undergone validation, with 15 reported as missing or unlocated, according to former DPWH Secretary Manuel M. Bonoan.

Nigel Paul C. Villarete, a senior adviser on public-private partnerships at the technical advisory group Libra Konsult, Inc., said the suspension is a welcome development especially if the aim is to prevent any more irregularities.

He said it would be better if the government just paused the awarding of these projects.

“We can already incorporate necessary checks and balances considering the lessons learned without necessarily placing setbacks on our overall infrastructure development program. Once the probe is completed, then, these may be awarded, or not, in consideration with the findings of the probe,” Mr. Villarete said.

“What can be done is to allow the continuation of these existing bidding under a heightened transparency monitoring, considering the lessons learned, but up until pre-final award only,” he added.

Rene S. Santiago, former president of the Transportation Science Society of the Philippines, said it would be best to cancel the bidding for any flood control projects under the General Appropriations Act of 2025.

On Tuesday, DPWH’s Mr. Dizon said he will need between 30 and 60 days to reorganize the agency, after seeking courtesy resignations from all DPWH officials to facilitate an investigation into corruption in big-ticket flood control projects.

Mr. Marcos said previously that about PHP 100 billion of the total PHP 545 billion in government funds that were allocated for flood control projects nationwide since 2022 were cornered by just 15 contractors.

Among the top 15 flood-control contractors earlier identified by Mr. Marcos were Alpha & Omega Gen. Contractor & Development Corp. and St. Timothy Construction, both reportedly linked to former Pasig mayoral candidate Cezarah Rowena C. Discaya.

Licenses revoked

Meanwhile, Philippine Contractors Accreditation Board (PCAB) has issued a resolution on Sept. 1, revoking the licenses of nine construction companies owned by Ms. Discaya that were tagged in ghost projects.

“The decision comes after Ms. Discaya’s sworn testimony during the Senate Blue Ribbon Committee Hearing on Sept. 1, 2025, where she admitted ownership and control of the nine firms and their participation in government project bidding,” PCAB said.

Trade Secretary Ma. Cristina A. Roque, who is also the chairperson of the Construction Industry Association of the Philippines (CIAP), placed CIAP and its implementing boards and PCAB under her supervision.

Directly supervising CIAP and PCAB will ensure order and transparency within the agencies, Ms. Roque said.

The other contractors that were identified behind ghost projects are Legacy Construction Corp.; EGB Construction Corp.; Topnotch Catalyst Builders, Inc.; Centerways Construction and Development, Inc.; Sunwest, Inc.; Hi-Tone Construction & Development Corp.; Triple 8 Construction & Supply, Inc.; Royal Crown Monarch Construction & Supplies Corp.; Wawao Builders; MG Samidan Construction; L.R. Tiqui Builders, Inc.; and Road Edge Trading & Development Services.

With this, the DPWH had requested the Department of Justice (DoJ), and the Bureau of Immigration for a lookout order against the officials of the contractors and executives of DPWH.

Mr. Dizon said among the individuals they had requested to be included in an immigration lookout bulletin order are Henry C. Alcantara, former DPWH Bulacan First District Engineer; Brice Ericson D. Hernandez, officer-in-charge, office of the Assistant District Engineer in Bulacan; Ms. Discaya and Pacifico F. Discaya of Alpha & Omega; Edgar S. Acosta, president of Hi-Tone Construction and Development; and Mark Allan V. Arevalo, general manager of Wawao Builders.

Review of DPWH budget

Meanwhile, the President has directed Mr. Dizon and Budget Secretary Amenah F. Pangandaman to conduct a “sweeping review” and “make the necessary corrections” in the proposed 2026 budget of the DPWH, Palace Press Officer Clarissa A. Castro said at a press briefing.

“The President emphasized that the review must lead to necessary changes to guarantee transparency, accountability, and the proper use of the people’s money,” Ms. Castro told reporters in Malacañang.

Ms. Castro said any insertions or duplications in the DPWH’s proposed budget should be immediately corrected to ensure budget deliberations stay on track.

“The President does not want this review to drag on. It must be fast and thorough,” Ms. Castro said.

The review could lead to the reduction of the DPWH’s proposed budget if projects are found to be duplicates or already completed, she said.

In a press conference late on Wednesday, Mr. Dizon said the DPWH budget review will take around two weeks. — Ashley Erika O. Jose, Reporter with Erika Mae P. Sinaking

This article originally appeared on bworldonline.com

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