MANILA — Department of Public Works and Highways (DPWH) Secretary Mark Villar on Monday expressed optimism that the department is ready for the Malacañang-backed cash-based budgeting system for 2019 despite the challenges the new system will pose, particularly in the planning and implementation of big-ticket projects.
“We will comply because that is the government policy. As you have noticed, the basis of our budget next year is cash-based, so there was some adjustment,” Villar said in an interview after a Senate hearing on the proposed PHP555.7 billion DPWH budget for 2019.
He said the biggest challenge that DPWH would have to hurdle under the new system will be on planning.
“The challenge in the cash-based is definitely in the planning. In our planning, we should anticipate what projects we can finish within a year. So it’s quite challenging for the planning department, but we can do it,” he said.
Despite the challenges, Villar assured that the cash-based system would not delay big infrastructure projects being pushed by the Duterte administration.
“It will not delay…it’s with the planning. We only need faster and more accurate planning because the fund will lapse after one year,” he said.
“That’s why we will not identify projects that we cannot finish in one year. That’s why the challenge is really in the planning. We need to identify only the projects that can be finished within that year,” Villar said.
As for huge projects that need years of construction, Villar said “the DPWH could resort to the multi-year obligational authority which allows staggered payment.”
Deliberations for the DPWH’s proposed 2019 budget will resume on Tuesday, September 4. (PNA)
