Ejercito vows no repeat of rail funding disruptions


Senate Finance Committee chair Sen. JV Ejercito on Friday assured that foreign-assisted transportation projects would not again suffer funding disruptions, stressing that major railway projects need continuous financing to avoid further delays and additional costs.
“Bilang inyong Finance chair, be rest assured na iyong nangyari noon, na debacle, na nalagay sa unprogrammed appropriations ang foreign-assisted projects hindi na ‘yan mauulit,” Ejercito said during the Senate hearing on the Department of Transportation’s proposed 2027 budget.
Ejercito said the Senate must closely scrutinize foreign-assisted projects, particularly major transportation infrastructure financed through overseas loans.
“We also need to closely examine the Department’s foreign-assisted projects, particularly our major transportation projects funded through foreign loans,” he said.
He cited the North-South Commuter Railway and Metro Manila Subway, whose implementation timelines have been affected by funding and other project issues.
The proposed 2027 budget allocates P197.30 billion for rail transport, including P123.84 billion for the NSCR and P67.44 billion for the Metro Manila Subway. The two projects account for nearly 97 percent of the proposed rail allocation.
Ejercito stressed that funding must remain available when needed to keep construction moving and prevent additional government expenses.
“We want to see our major transportation projects completed. Hindi puwedeng taon-taon tayong naglalaan ng malaking pondo pero nauulit ang delays, right-of-way problems, at revised completion dates,” he said.
According to the DOTr, funding interruptions can affect contractor payments, right-of-way acquisition and construction schedules. Contractors may also be forced to suspend work or demobilize personnel when funds are disrupted, potentially adding costs once construction resumes.
Ejercito said delays could also expose the government to commitment fees, prolongation costs and other financial obligations.
“Kaya kailangan nating protektahan ang pondo para sa mga foreign-assisted projects. Obligations must be honored, and funding must be available when projects need it,” he said.
The senator stressed that prolonged delays ultimately affect commuters who continue to wait for improved mass transportation.
“Hindi lang po ito tungkol sa dagdag na gastos ng gobyerno, kundi sa mga serbisyong dapat sana ay napapakinabangan na ng ating mga kababayan,” Ejercito said.
The DOTr is targeting partial operations of the NSCR section from West Valenzuela to Malolos by December 2027, while sustained funding remains critical to the timetable for the Metro Manila Subway.