DPWH cuts costs of construction materials by average 50%

By: The Philippine Star

November 4, 2025

MANILA, Philippines — Department of Public Works and Highways Secretary Vince Dizon has signed an order lowering the prices of construction materials, resulting in estimated savings of about P60 billion in the DPWH budget for 2026.

Dizon, at a press briefing, described the Oct. 30 memorandum order as the single biggest reform measure undertaken in the department since President Marcos appointed him as DPWH chief.

Pursuant to the order, Dizon directed the “immediate use” of the lowered prices of construction materials in the preparation and review of cost estimates of all DPWH infrastructure projects.

Dizon said the revised construction materials price data (CMPD) schedule will apply to the preparation and review of projects for procurement from those funded by the DPWH 2026 budget, and even those still for procurement or bidding from its 2025 budget.

He said the lowering of the CMPD had been one of the instructions of Marcos as a measure against the systemic corruption in DPWH infrastructure projects.

“This has never been done before, in this extent,” Dizon said.

With the lowered prices of construction materials, DPWH units are expected to have lower agency budget cost estimates for all infrastructure projects.

He stressed that this measure complies with the President’s instruction that the quality of the infrastructure projects will not be sacrificed.

“If the private sector can do the same projects at those prices, then there is no reason why we cannot do it at the same prices in the DPWH,” Dizon said in Filipino.

PhilSA partnership

Meanwhile, the DPWH has forged a partnership with the Philippine Space Agency (PhilSA) to use satellites to monitor DPWH infrastructure projects and spot ghost or non-existent projects on the ground.
“This is very important because we want to work with PhilSA to monitor more effectively our projects. You know, at any given time, there are at least 25,000 to 30,000 ongoing DPWH projects,” Dizon said at a press briefing.

“By doing this, we empower citizens to see progress on the ground from the vantage point of space,” PhilSA officer-in-charge Gay Jane Perez said.

Mandatory geotagging

Meanwhile, Sen. Francis Escudero is proposing all government projects to undergo full feasibility studies and be traceable through geotagging before receiving public funds.

Through Senate Bill No. 1461, or the proposed Infrastructure Appropriations Integrity Act, Escudero seeks to institutionalize stricter transparency and accountability safeguards in the preparation of the national budget.

“Geotagging is one of the most important mechanism to see the status of a project – whether it is being constructed or left unattended while the government continues to release funds,” Escudero said.

The former Senate president is among the senators being investigated for alleged involvement in the flood control mess.

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