New JV projects to go through ICC - Neda
MANILA, Philippines - In an effort to promote transparency, the National Economic and Development Authority (Neda) said all joint venture (JV) projects will now go through the Investment Coordination Committee (ICC) process.
Neda Deputy Director-General for Investment Programming Rolando G. Tungpalan told reporters that this is the big change in the new set of JV guidelines which will soon be released.
"We will soon issue the new JV guidelines. The most important change here is JVs will now go through ICC. (Before) there was the decision not to have the ICC process govern the JVs, instead get Neda (to) sit at the JV selection committee which is a very poor substitute to a transparent, fair process of JV approvals," Tungpalan explained.
Guidelines to cover new JVs only
The Neda official assured, however, that the new guidelines will not affect previously completed JV projects.
Tungpalan said that since agencies have already been alerted that the Neda will release the new set of guidelines in a few weeks, no new JV projects may be approved at this time.
He said if the JV selection committee approves a new project and the new set of JV guidelines are released, these may be deemed moot and academic.
No need for Neda board approval
Tungpalan said the move to release the new set of JV guidelines will no longer require confirmation from the Neda board.
He said the authority to release the JV guidelines, after it has been approved by the inter-agency Infrastructure Committee, rests on Neda Director General Arsenio M. Balisacan.
The original JV guidelines was released in 2008. The government earlier said undertaking JV projects will enhance the government's ability to undetake public-private partnerships (PPPs).
Under a JV partnership, the government may enter into a 50-50 venture with the private sector. The equity mix, however, can be modified by both parties and will not necessarily be fixed on a 50-50 basis. - Rappler.com