PCAB abolition pushed over ‘conflict of interest’

Senate Blue Ribbon Committee Vice Chairperson Erwin Tulfo on Sunday raised alarm over what he described as a “clear conflict of interest” in the composition of the Philippine Contractors Accreditation Board (PCAB), calling for either a thorough review or outright abolition of the law that created the agency.

Tulfo questioned Republic Act 4566, or the “Contractors’ License Law,” which requires that only licensed contractors may serve as members of the PCAB board — the country’s primary regulatory body for licensing construction contractors.

“How can they monitor, oversee, and regulate construction projects in the country — whether these are done properly, are not substandard, or are not ghost projects — if they themselves are also contractors?” Tulfo said.

“Clearly, there is a conflict of interest here!” The senator announced he will file a resolution Monday, seeking a Senate review of RA 4566.

The resolution aims to determine whether the law should be amended — particularly the provision requiring board members to be contractors — or if the entire PCAB should be abolished.

“I cannot imagine how such a law was passed when some of its provisions are clearly self-serving, especially the qualifications for becoming part of the board of directors,” Tulfo said.

His concerns come amid revelations that several current and former PCAB board members are linked to major government construction projects.

Among those mentioned was Engr. Erni Baggao, a current board member whose company, EGB Construction Corp., reportedly secured P2.2 billion worth of flood control projects.

President Ferdinand “Bongbong” Marcos Jr. earlier cited EGB as one of the country’s top 15 contractors.

Engr. Arthur Escalante, another current board member and owner of AN Escalante Construction Inc., was also reported to have obtained government contracts.

Tulfo also cited former PCAB chairman Engr. Pericles Dakay, who, despite not being linked to specific contracts himself, allegedly allowed previously blacklisted contractors to regain accreditation during his tenure, even after they were implicated in substandard and ghost projects.

“It is time to reform or abolish the PCAB law, because instead of protecting the public from corruption, it has become a gateway for it,” Tulfo said.

He added that his resolution is expected to prompt a legislative review of the decades-old law amid growing calls for transparency, accountability, and reform in government procurement and regulation.