DTI to overhaul contractor accreditation board amid corruption allegations
DTI Secretary Cristina Roque
The Department of Trade and Industry (DTI) will undertake a major overhaul of the agency responsible for accrediting contractors, following allegations of corruption linked to anomalous flood control projects.
DTI Secretary Cristina Roque said her department will “clean up” the Philippine Contractors Accreditation Board (PCAB), which falls under its supervision.
“In terms of the clean-up, of course, definitely. We can't allow that, right? It’s too much,” she said in a chance interview on Monday, Sept. 1.
The PCAB, an attached agency of the DTI, is an accrediting body that ensures only qualified contractors operate, especially in government infrastructure projects.
Under the Contractors’ License Law, no contractor—including sub-contractor and specialty contractor—shall engage in the business of contracting without first having secured a PCAB license to conduct business.
The PCAB has been entangled in the ongoing investigation into faulty flood control infrastructure following reports that contractors linked to violations are still accredited to build for the government.
Senator Panfilo Lacson earlier said this practice was overseen by the PCAB through an “accreditation for sale” scheme, which requires contractors to pay up to ₱2 million in exchange for license renewal.
Lacson also alleged that some contractors were threatened with non-renewal of their licenses if they refused to pay.
In a statement, the PCAB stressed that its licenses are not for sale, noting that it has not authorized any individual, group, or third-party consultant to guarantee contractor accreditation in exchange for money.
The board, however, said that it is “aware of certain individuals and entities” to offer “shortcuts,” which it aims to address.
Over the weekend, Lacson flagged two members of the PCAB for supposed conflict of interest.
The veteran senator flagged two board directors for signing contracts with the Department of Public Works and Highways (DPWH) as presidents of their own construction companies
He has urged the DTI and the Construction Industry Authority of the Philippines (CIAP), of which the PCAB is an implementing body, to investigate the issue and file the necessary criminal and administrative charges.
“There's many requirements to be able to get a project in DPWH, one of them is the PCAB. Since there are those that were involved from the PCAB. Of course, we'll do an investigation and then a major clean-up,” said Roque.
Roque said she will closely coordinate with the DPWH, under new secretary Vince Dizon, over this issue.
Dizon was appointed the new head of the DPWH on Sunday after the resignation of then-secretary Manuel Bonoan in lieu of the flood control issue.