Senators eye ‘across-the-board’ 15–30% DPWH price cut
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Several senators have agreed to impose a sweeping 15 to 30 percent reduction in the costs of infrastructure projects under the Department of Public Works and Highways (DPWH), citing widespread overpricing and inefficiency in the agency’s budget.
During Monday’s deliberation of the DPWH’s proposed 2026 budget, chaired by Senator Sherwin Gatchalian, lawmakers backed what they called an “across-the-board cut” in the agency’s infrastructure line items, pointing to inflated cost estimates and calling for urgent reforms.
At the hearing, DPWH Secretary Vince Dizon admitted ongoing issues with project pricing and said reforms are already underway.
“Iyong pinakaimportante na repormang ginagawa po namin ngayon… kailangan ibaba natin ang cost of materials ng DPWH (The most important reform we’re implementing now… is to lower the cost of materials),” Dizon said, citing efforts by both Gatchalian and Batangas Rep. Ralph ‘Lean’ Leviste to review cost benchmarks.
“Kasi marami po dito ay mataas sa totoong cost of materials all over the country (Because many of the listed prices are higher than actual material costs across the country). We are reviewing the CMPD and DUPA standards. This is ongoing and we’ll be releasing updates in the coming weeks,” he added.
Senator Loren Legarda called for a decisive 25 to 30 percent reduction in all DPWH infrastructure items, citing alarming reports of overpricing.
“If this is 50% overpriced, or even a 25%, how can we in conscience work on the budget or affix our signature on an overpriced budget?” Legarda said.
“Kung sasabihin natin, hindi namin ginawa iyong 2026 budget, sa 2027 pa ito, hindi ko po malalagdaan ang aking pirma sa 2026 General Appropriations Act kung hindi natin binaba iyong presyo ng line items... So iyung across-the-board, magandang pahiwatig po ito na tayo ay seryoso sa reporma sa ating budgetary process,” she added.
Legarda stressed that the price reductions must apply to all types of infrastructure projects — not just classrooms, but also public buildings, roads, bridges, and asphalting works.
Backing her proposal, Senator Bam Aquino also supported a blanket budget cut if the DPWH fails to implement cost reforms.
“We agree there, Mr. Secretary. Senator Loren suggested an across-the-board cut — we’re actually discussing that... She mentioned 25%, I initially mentioned 20%, an across-the-board cut to your budget if we don’t see the changes we want to see,” Aquino said.
He added: “I will support the 20% cut on the budget, just to make sure na wala iyung tabang iyan, iyung ginagamit para sa parking, sagasa, kung ano pa, matanggal natin iyan... Let’s go for the real price of these projects dahil iyun po iyung nararapat sa taumbayan.”
Dizon acknowledged the senators’ concerns, saying the department had already found projects inflated by as much as 30 percent in some regions.
“This isn't just about reducing costs—it’s about preventing intentional overdesign used as a tool for corruption,” he said.
Earlier, Senate President Vicente “Tito” Sotto III confirmed that the price cut had been pre-agreed with Gatchalian, noting that “across-the-board, we will cut between 15% to 20% from the budget of every project.”
With the 2026 national budget still under deliberation, senators said there remains time to make the necessary adjustments before final approval in December.
The move signals a strong push for fiscal discipline and anti-corruption reforms in infrastructure spending.
Meanwhile, Senator Christopher “Bong” Go called for accountability amid allegations of corruption in DPWH projects, particularly in flood control programs.
“Ikulong ang totoong kurakot (Imprison those who are truly corrupt),” Go said, stressing that the public is watching closely.
He also criticized the use of unprogrammed appropriations, calling them prone to abuse and urging their removal from the budget.
Go highlighted missed opportunities in infrastructure spending, noting that the ₱1.2 trillion flood control budget from 2022 to 2025 could have funded 60,000 evacuation centers or 300,000 classrooms.
He further pressed the DPWH over the slow rollout of evacuation centers, saying only 13 of 32 planned facilities for 2025 have been completed.
Go also cited delays in Super Health Centers, blaming the slow signing of Memoranda of Agreement (MOA) between the Department of Health and DPWH.
As chair of the Senate Committee on Sports, Go urged the prioritization of sports facilities and dormitories for national athletes, calling them more beneficial than underused flood control projects.
Lastly, he called for equitable regional allocation of infrastructure funds, stressing the need for balanced national development across Luzon, Visayas, and Mindanao.
In response, Dizon vowed to carry out President Ferdinand Marcos Jr.’s directive to ensure accountability.
“The President has ordered us. We need to ensure that there is accountability from top to bottom in the DPWH. And we will do that,” Dizon said.
