During the recent Senate Committee on Accounts hearing regarding the expenditures for the new Senate Building on July 10, 2024, officials from the Department of Public Works and Highways (DPWH) attending the session admitted that the cost of the New Senate Building could potentially reach P25 to P27 billion due to inflation.
The DPWH based their calculation on an estimated twenty percent increase in building costs due to inflation.
According to Senator Alan Peter Cayetano, chairperson of the Senate Committee on Accounts, the cost of Phase 1 of the project has increased to P8.6 billion from the previous P8.067 billion due to variation orders or changes in the initial plan.
Meanwhile, the budget for Phase 2 of the building construction is estimated to be around P2.375 billion, and could potentially increase further.
He added that Phase 3, which is valued at P10.33 billion, is now being reviewed by the Senate.
During the same hearing, Cayetano apologized to the DPWH officials for the incident on July 3, 2024, when he had a disagreement with Senator Nancy Binay, the former chairperson of the Senate Committee on Accounts, over the escalating budget for the Senate building under construction in Taguig.
However, Cayetano did not directly apologize to Binay during this hearing.
Cayetano also extended his apologies to the viewers, explaining that arguments often arise when emotions run high.
During the hearing last week, Cayetano reported, based on the DPWH's report, that the cost of the new Senate building had already reached P23 billion. On the other hand, Binay insisted that it is at P21.7 billion, also based on the DPWH's statement.
(Photos taken by Dexter Terante)
