| THE AYALA WAY

Vol 6 No 33

"We’re thankful for our experts who are here to enlighten us. And regardless of the level of knowledge or familiarity of those in the audience today, I am confident that there’s going to be a lot of takeaways for everyone."

ATTY. FRANCHETTE ACOSTA
AC Chief Legal Officer

(Left) PPP Center Policy Group Head Jeff Manalo and (right) Government Procurement Policy Board Capacity Development Division-A Chief Maria Lora Alvarez-Hortillas headline the Ayala Group Regulatory Council's first learning session.

DO WHAT'S RIGHT

Understanding the PPP Code and Gov't Procurement

The first learning session of the Ayala Group Regulatory Council, held on March 12, focused on the salient reforms to Republic Act No. 11966, also known as Public-Private Partnership (PPP) Code of the Philippines, and RA No. 12009 or the New Government Procurement Act (NGPA).

The amended PPP Code, signed on December 5 and effective December 23, 2023, provides for a unified and comprehensive legal framework that seeks to address the ambiguities of previous laws. As PPP Center Policy Group Head Jeff Manalo explained, “Every single provision in the law is a difficult balancing act between the interests of the government and the interests of the private sector.” The PPP Code now delineates PPP projects from other collaborations, enumerates a broader scope of covered agreements, and provides for a streamlined process to attract foreign investment and promote sustainable economic growth.

Government Procurement Policy Board Capacity Development Division-A Chief Maria Lora Alvarez-Hortillas lauded the Ayala group for being the first in the private sector to have a learning session on the NGPA after it took effect on February 25. She elaborated on the NGPA's fit-for-purpose approach and the expansion of modes of procurement to include competitive dialogue; unsolicited offer with bid matching; direct acquisition and sales; and direct procurement for science, technology, and innovation.

The NGPA also harnesses digital innovations, paving the way for e-bidding, e-marketplace, and enhanced transparency and accountability measures. Another notable feature is the incorporation of sustainability in the procurement process. Under the law, government entities are mandated to use environment-friendly criteria, promote sustainable local products and services, provide equal opportunities across social and economic dimensions, and reinforce the commitment to gender equality.

“As we continue to engage with the government, it is important that we continue to be abreast of the developments [in the law],” said Ayala Group Regulatory Council Chairperson Franchette Acosta. The council's next learning session will cover Tax Reform Package 3 - Real Property Valuation and Assessment Reform Act (RA 12001).