Excerpt from Business Mirror, a national daily not usually available in Bohol .....
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Bohol irrigation project delayed on seen overprice By Rommer M. Balaba
Reporter
A CABINET-level committee which evaluates major Philippine projects said early this week it has held back any decision regarding a Bohol irrigation project, whose costs have gone up by more than half.
Even after the contentious P2.384-billion Bohol Irrigation Project, Stage 2 (BHIP2) is deemed viable, Socioeconomic Planning Secretary Romulo L. Neri sought accountability for the P1.246-billion cost increase of the Japan-funded project, which intends to construct a network of irrigation facilities in a 5,300-hectare area.
“Definitely some heads must roll. Somebody must be held accountable,†an obviously piqued Neri, who also co-chairs the Investment Coordination Committee (ICC), said in a telephone interview with BusinessMirror.
The ICC’s evaluation of the irrigation project, which is nearly complete, showed that development costs had gone up to P613,383.40 per hectare from the previous P449,889.62, making it “the most expensive irrigation project ever implemented by the National Irrigation Administration.â€
Besides improving areas in the municipalities of San Miguel, Trinidad, and Ubay in Bohol, the program will also establish a water reservoir and farm-to-market roads.
President Arroyo is scheduled to inaugurate Bayongan Dam on April 21 (
this has been deferred/cancelled as GMA was advised not to impart credence to the project pending unresolved issues over its cost), a major cost component of BHIP2, before the whole irrigation project partially operates by June to initially serve 500 hectares.
Despite the many times the project has been up for ICC (
Investment Coordinating Council is composed of top gov't bureaucrats that approves and monitors large public projects) discussions, various data which would help justify the project’s cost increases remain unavailable, according to Neri.
“We want a proper breakdown of the cost increases and proper analysis of the variance,†Neri said. “The problem with them [irrigation officials] is that they were supposed to go back to the Neda [to seek clearance] but they waited for two years to do that. By that time, the project was almost fully implemented, but at a very high cost.â€
Earlier, Neri proposed three options for the project: to see its completion, to halt its construction, or to continue it while penalizing those involved, especially the contractors.
“The analysis [of the project’s viability] is very wanting. I want this resolved in the next ICC meeting. Since we know the cause [of the overrun], I want to know how they would justify it,†he said.
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