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  • Panel set to review Southrail Project
    By Mia Gonzalez
    Reporter
     

    BUDGET Secretary Rolando Andaya Jr. said on Wednesday the Procurement Transparency Group (PTG), a multisectoral body created by President Arroyo late last year amid allegations of corruption under her watch, will begin scrutinizing foreign-funded projects including the Southrail project to “end speculations” about it.

    Andaya said the PTG, which he chairs, will begin its project evaluation following the Chief Executive’s directive for more public-private sector cooperation on procurement reforms on Tuesday. “What we agreed upon [during the meeting]” yesterday [Wednesday] is that we would first keep a close watch over ODA [official development assistance] projects, especially in view of recent reports.”

    Andaya said in a radio interview that nongovernment observers in the PTG from the Makati Business Club (MBC) and the Bishops-Businessmen’s Conference (BBC), the Ateneo School of Government and the Transparency Accountability Network were given a free hand to choose the first batch of projects to evaluate and report on.

    “They submitted a list that includes the Southrail, which was mentioned in the Senate investigation [of the ZTE broadband deal]. So to end all speculations regarding this project, we agreed to look into it,” added Andaya.

    Former Philippine Forest Corp. president Rodolfo Noel Lozada Jr. mentioned in his Senate testimony that based on information that he has received, the Southrail project, like the botched national broadband network deal with ZTE may also be overpriced.

    Andaya said the participation of reputable private sector observers in the evaluation of such a project would “help prove” or disprove allegations of overpricing in government projects.

    “What is important is that they see for themselves. The President’s message is that the protection of government funds is the responsibility of all taxpayers, not only the government,” he said.

    The PTG is composed of the Presidential Antigraft Commission, the National Economic and Development Authority, the Department of Justice, the Department of Budget and Management, the Department of the Interior and Local Government and five nongovernment organizations or civil- society organizations.

    The body is tasked with the evaluation and monitoring of the procurement of government agencies, government-owned and -controlled corporations, government financial institutions, and local governments.

    It will also report on any violation of the procurement laws and recommend measures to improve transparency and streamline the procurement process.

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