By Jesus M. Manalastas and Emelyn W. Corpus-Martinez
The majority of infrastructure and development projects in the Philippines have always been undertaken by the Government. However, given its limited resources, the government has grown more timid, if not reluctant, in undertaking such projects. Hence, the role of the private sector, both local and foreign, in infrastructure and development projects is seen as crucial in sustaining the country’s economic growth and development in the new millennium.
Thus, private sector participation in infrastructure and development projects has been actively encouraged by the Philippine Government since 1990 with the passage of Republic Act No. 6957 otherwise referred to as the Build-Operate-Transfer or "BOT Law". In 1994, the Philippine Government enacted an amendatory law, Republic Act No. 7718, which expanded the earlier BOT Law by providing more project arrangements or schemes, enhancing the coverage of projects eligible for BOT
