DPWH explores multi-year contracts to ensure steady infrastructure funding

Manila — The Department of Public Works and Highways is exploring the use of multi-year contracts as a strategy to prevent project delays caused by funding interruptions, Public Works Secretary Vince Dizon said Wednesday.

Dizon raised the proposal during a congressional budget briefing, indicating that locking in infrastructure works under extended contract terms would provide greater funding predictability compared to the current implementation system. The move aims to address challenges stemming from inconsistent budget allocations that have plagued major infrastructure initiatives.

The secretary indicated he has discussed the multi-year contract approach with relevant stakeholders, though specific details regarding timeline and scope remain to be finalized. Such arrangements would allow contractors to plan work schedules with greater certainty, potentially accelerating project completion.

The proposal reflects growing frustration within the DPWH over funding gaps that have contributed to project backlogs. Officials have increasingly advocated for budgeting mechanisms that provide longer-term certainty for major infrastructure undertakings.

The congressional briefing comes as the government continues efforts to advance its infrastructure agenda while managing budget constraints. Any formal shift toward multi-year contracting would require legislative approval and coordination with budget authorities.