Ejercito: Budget cuts to DOTr will cripple railway projects

Ejercito: Budget cuts to DOTr will cripple railway projects

MANILA: Senator Joseph Victor “JV” Ejercito has appealed to his colleagues to restore the Department of Transportation (DOTr) budget for the country's railway system. He claimed that the cuts might affect the ongoing railways project, particularly the North-South Commuter Railway System and the first phase of the Metro Subway System.

KEY TAKEAWAYS

  • Which aspects of the railway projects are funded by the national government?

    The value added tax that would be imposed by the projects as well as the right of way acquisition of land for railway facilities will be funded by the national government.
  • Who funds the majority of the current railway projects in the Philippines?

    International partners including the Asian Development Bank and Japan International Cooperation Agency fund the majority of the country's railway projects.
  • “I appeal to my colleagues to restore the budget that was cut. Halos kalahati (Almost half). This will definitely affect the schedules. This will also entail financial charges. We will be burdened by these financial charges,” Ejercito stated during the DOTr budget interpellation on Wednesday.

    He said that the budget for the commuter railway system was reduced by about P40 billion, while the proposed budget for the subway system was reduced by P10 billion.

    The unprogrammed funds in the budget, on the other hand, were reduced by the Senate by about P69 billion, which would be utilized to pay the contractors for the said project's live contracts.

    “Both the national government and the country’s economic recovery will suffer from these budget cuts on the railway sector,” Ejercito said.

    According to him, the development of the country's railway system will serve as a catalyst for economic progress.

    “It will bring massive development, not just in Metro Manila, but in other parts of the country as well, and will create jobs and improve the lives of Filipinos by spreading out development in the countryside,” he stated.

    President Ferdinand Marcos Jr.'s goal for railway development, which would open the way for the “growth triangles” that include airports, seaports, and economic centers in the country will also be affected by the budget cuts, according to Ejercito.

    International partners including the Asian Development Bank (ADB) and Japan International Cooperation Agency (JICA) fund the majority of the country's railway projects.

    The value added tax that would be imposed by the projects as well as the right of way acquisition of land for railway facilities will be funded by the national government.

    “More importantly, the delay in the completion of our railway projects because of lack of government support will also bring a lack of confidence from investors,” Ejercito added. “It will paint a bad picture in the international community, while the President is trying hard to sell the country, that we are already open for business. The government should do its part.”

    Photo from Asian Development Bank Facebook page

    Also read: DOTr considers PPP for projects with limited funding

    Hazel Nicole Carreon

    Hazel Nicole Carreon

    Hazel is a news and feature writer for ZigWheels Philippines. She studied communication at De La Salle Lipa, where she was exposed to writing about various topics, which later has become her passion and now her career.

    Read Full Bio

    Sell your car at the best price

    Verified and genuine buyers Verified and genuine buyers
    Free listing Free listing
    List your car

    PIMS 2024

    You might also be interested in

    • News
    • Featured Stories
    • Upcoming
    • Geely Coolray 2024
      Geely Coolray 2024
      ₱1.199 - 1.299 Million Expected Price Manila
      Expected Launch TBA Alert Me When Launched
    • Kia Carens 2024
      Kia Carens 2024
      ₱1.57 Million Expected Price Manila
      Expected Launch Nov, 2024 Alert Me When Launched
    • Toyota Vios 2024
      Toyota Vios 2024
      ₱832,000 Expected Price Manila
      Expected Launch TBA Alert Me When Launched
    • Omoda E5 ev
      Omoda E5
      ₱1.9 Million Expected Price Manila
      Expected Launch Nov, 2024 Alert Me When Launched
    • MG RX8
      MG RX8
      ₱1.05 Million Expected Price Manila
      Expected Launch Dec, 2024 Alert Me When Launched

    Latest Car Videos on Zigwheels

    Zigwheels
    • 2024 Toyota Zenix V Spec Guide | Zigwheels.Ph
      2024 Toyota Zenix V Spec Guide | Zigwheels.Ph
      14 Nov, 2024 .
    • 2024 GAC M6 Pro GL Review | Zigwheels.Ph
      2024 GAC M6 Pro GL Review | Zigwheels.Ph
      14 Nov, 2024 .
    • 7 Reasons Why Tesla is a Big Deal | Z-List S02E02 | Zigwheels.Ph
      7 Reasons Why Tesla is a Big Deal | Z-List S02E02 | Zigwheels.Ph
      14 Nov, 2024 .
    • Dream Garage Walkaround: The 2024 Nissan Z! | Zigwheels.Ph with Nissan Philippines
      Dream Garage Walkaround: The 2024 Nissan Z! | Zigwheels.Ph with Nissan Philippines
      05 Nov, 2024 .
    • Top 10 EVs with the Longest Ranges in the Philippines | Z-List S02E01 | Zigwheels.Ph
      Top 10 EVs with the Longest Ranges in the Philippines | Z-List S02E01 | Zigwheels.Ph
      05 Nov, 2024 .
    • 2024 MG ZS First Look + More | Zigwheels.Ph
      2024 MG ZS First Look + More | Zigwheels.Ph
      05 Nov, 2024 .
    • 2024 PIMS Launch Recap | Zigwheels.Ph
      2024 PIMS Launch Recap | Zigwheels.Ph
      05 Nov, 2024 .
    • 2024 Lexus IS300H POV Driving Review | ZIGWHEELS.PH
      2024 Lexus IS300H POV Driving Review | ZIGWHEELS.PH
      05 Nov, 2024 .
    • 2025 Changan Hunter REEV First Look | Zigwheels.Ph with Changan Auto Philippines
      2025 Changan Hunter REEV First Look | Zigwheels.Ph with Changan Auto Philippines
      29 Oct, 2024 .
    • BEYOND ZERO Toyota Corolla Cross H2 Hydrogen Combustion Prototype Exclusive Look | Zigwheels.Ph
      BEYOND ZERO Toyota Corolla Cross H2 Hydrogen Combustion Prototype Exclusive Look | Zigwheels.Ph
      29 Oct, 2024 .
    Watch Car Videos

    Car Articles From Carmudi

    • journal
    • advice
    • financing
    • insurance
    • MG Motor PH, Antara Ventures open Lipa dealership
      MG Motor PH, Antara Ventures open Lipa dealership
      Ruben Manahan IV, Nov 21, 2024
    • SCTEX toll fee rates to go up tomorrow
      SCTEX toll fee rates to go up tomorrow
      Ruben Manahan IV, Nov 18, 2024
    • Pump prices to go down this week
      Pump prices to go down this week
      Ruben Manahan IV, Nov 18, 2024
    • BYD to introduce Denza in PH by 2025
      BYD to introduce Denza in PH by 2025
      Ruben Manahan IV, Nov 18, 2024
    • BYD marks 30th anniversary with 10-millionth unit rollout
      BYD marks 30th anniversary with 10-millionth unit rollout
      Ruben Manahan IV, Nov 18, 2024
    • Save your clutch: 5 things manual drivers should never do
      Save your clutch: 5 things manual drivers should never do
      Carmudi PH, Nov 15, 2024
    • Expired driver’s license: Answering the most common questions
      Expired driver’s license: Answering the most common questions
      Carmudi PH, Nov 13, 2024
    • Buying a used car? Here’s how a ccan help you
      Buying a used car? Here’s how a ccan help you
      Carmudi PH, Nov 06, 2024
    • All you need to know about the LTO Medical Certificate
      All you need to know about the LTO Medical Certificate
      Carmudi PH, Nov 02, 2024
    • Buying a used car in the Philippines? Here’s how to dodge scams
      Buying a used car in the Philippines? Here’s how to dodge scams
      Carmudi PH, Oct 16, 2024
    • How to negotiate the best interest rate for your car loan
      How to negotiate the best interest rate for your car loan
      Carmudi PH, Nov 11, 2024
    • Top 15 banks for affordable car loans in the Philippines
      Top 15 banks for affordable car loans in the Philippines
      Carmudi PH, Oct 10, 2024
    • Car loans made simple for OFWs: Everything you need to know
      Car loans made simple for OFWs: Everything you need to know
      Carmudi PH, Oct 03, 2024
    • Car Loan Restructure: Everything a Filipino needs to know before applying
      Car Loan Restructure: Everything a Filipino needs to know before applying
      Carmudi PH, Oct 02, 2024
    • Pitfalls to avoid when refinancing auto loan in the Philippines
      Pitfalls to avoid when refinancing auto loan in the Philippines
      Carmudi PH, Sep 24, 2024
    • Reviewing Oona Car Insurance: Benefits, key features, cost and more
      Reviewing Oona Car Insurance: Benefits, key features, cost and more
      Carmudi PH, Nov 19, 2024
    • Reviewing SGI Car Insurance: Pros, cons, coverage options & more
      Reviewing SGI Car Insurance: Pros, cons, coverage options & more
      Carmudi PH, Oct 31, 2024
    • No car insurance? Here’s what all wrong can happen in the Philippines
      No car insurance? Here’s what all wrong can happen in the Philippines
      Carmudi PH, Oct 29, 2024
    • All you need to know about taking photos after a car accident in the Philippines
      All you need to know about taking photos after a car accident in the Philippines
      Carmudi PH, Oct 29, 2024
    • Here’s how to easily obtain car insurance quotes online
      Here’s how to easily obtain car insurance quotes online
      Carmudi PH, Oct 23, 2024

    Compare

    You can add 3 variants maximum*