Philippines: unsolicited PPP proposals
- Original rule
- Section 4-A of RA 6957 as amended by RA 7718 1
- 2022 Amended IRR in force
- 26 April 2022 2
- Revised 2022 IRR in force
- 12 October 2022 4
- PPP Code
- Republic Act 11966, signed 5 December 2023 5
- Challenge period
- Not less than 90 calendar days and not more than one year 5
- Right to match
- 30 calendar days 5
- Development cost reimbursement cap
- 6 per cent of project cost, excluding right-of-way costs 5
The BOT Law rule
Section 4-A of the BOT Law, added by RA 7718, let a government agency or local government unit accept an unsolicited proposal on a negotiated basis if three conditions were met. The project had to involve a new concept or technology or not be on the priority list. No direct government guarantee, subsidy or equity could be required. The agency had to invite comparative proposals through three weeks of newspaper notices, with no other proposal received within 60 working days. The original proponent had 30 working days to match a lower-priced proposal 1.
Volume I of the 2017 World Bank guidelines says the 60 working day window mostly led to USP proponents winning in the Philippines, and that Philippine USP cases took over 15 years 9. The World Bank PPP Reference Guide states that all 11 PPP contracts awarded from unsolicited proposals by 2006 went to the original proponent 10.
The 2022 implementing rules
The BOT Law IRR Committee approved the 2022 Amended IRR on 28 March 2022. It was published in the Official Gazette on 11 April 2022 and took effect on 26 April 2022. The rules it replaced were last revised in 2012. The 2022 IRR does not require firm membership for unsolicited proposals 2.
The Cabinet-level BOT IRR Committee approved amendments to the 2022 IRR on 15 September 2022, with a target effective date of 11 October 2022 3. The PPP Center states the Revised 2022 IRR took effect on 12 October 2022 4. The PPP Center said the amendments answer private sector concerns on the financial viability and bankability of PPP projects 3.
The PPP Code of 2023
Republic Act 11966, the Public-Private Partnership Code of the Philippines, was signed on 5 December 2023. Section 37 repeals or modifies RA 6957 as amended by RA 7718. The PPP Center, created under Executive Order No. 8 of 2010, continues with expanded roles and is attached to NEDA for policy coordination 5.
Section 10 bars most government undertakings in an unsolicited proposal, including subsidies, viability gap funding, guarantees and government equity, with limited exceptions. If the government spent on development costs in the three years before submission, the proponent must reimburse them up to 6 per cent of project cost, excluding right-of-way costs. The comparative challenge lasts at least 90 calendar days and at most one year, and the original proponent may match within 30 calendar days 5.
Steps under the PPP Code
A proponent that completes negotiation receives Original Proponent Status, valid for one year 6. Projects of ₱15 billion and above go to the NEDA Board. Smaller projects go to the head of the implementing agency, or to the NEDA Board ICC where one of five listed criteria applies 7.
| Step | Who acts | Time limit |
|---|---|---|
| Completeness check and endorsement 6 | PPP Center 6 | 10 calendar days 6 |
| Decision to process 6 | Implementing agency 6 | 10 calendar days 6 |
| Detailed evaluation 6 | Implementing agency 6 | 90 calendar days 6 |
| Negotiation 6 | Agency and proponent 6 | 30 to 80 calendar days, up to 150 6 |
| Approval 7 | Approving Body 7 | 120 calendar days 7 |
| Invitation to challengers 6 | Implementing agency 6 | Within 7 calendar days of approval 6 |
| Comparative challenge 6 | Challengers 6 | 90 days to one year 6 |
| Right to match 6 | Original proponent 6 | 30 calendar days 6 |
A published case
The Philippine Economic Zone Authority published a notice for comparative proposals on its PEZA Central System project. It received the unsolicited proposal on 15 September 2023 and set a 90 day comparative challenge period. Challengers paid a non-refundable fee of PHP 50,000 for the documents. The notice cites both the BOT Law and its IRR and the PPP Code 8.
Common questions
Where do I submit an unsolicited proposal in the Philippines?
To the PPP Center through its online portal. The Center checks completeness within 10 calendar days and endorses complete proposals to the implementing agency 6.
Can an unsolicited proposal ask for a government subsidy or guarantee?
In most cases no. Section 10 of the PPP Code bars subsidies, guarantees and government equity, with limited exceptions 5.
What happens if the original proponent cannot match?
The implementing agency awards the project to the winning challenger. In a tie the original proponent wins 6.
How has the challenge period changed?
The BOT Law used 60 working days 1. The PPP Code sets 90 calendar days to one year 5.
Rules and fees change. Check the official site linked above before you apply or pay. Spotted an error? Email hello@unsolicitedproposals.org with the official link.
Sources
- NEDA (now DEPDev): The Philippine BOT Law, RA 6957 as amended by RA 7718, and its Implementing Rules and Regulations (2012 edition)
- PPP Center: Posting under IRR Committee Resolution No. 2 on the 2022 Amended IRR of the BOT Law (4 April 2022)
- PPP Center: BOT IRR Committee approves amendments to the 2022 Revised IRR of the BOT Law (September 2022)
- PPP Center: Primer on the Revised 2022 IRR of the BOT Law (accessed 20 October 2026)
- Republic of the Philippines via LawPhil: Republic Act No. 11966, Public-Private Partnership Code of the Philippines (5 December 2023)
- PPP Center: Processing Unsolicited PPPs under the PPP Code and its IRR (accessed 20 October 2026)
- PPP Center: PPP Code flowchart, process for national and local unsolicited proposals (December 2023)
- Philippine Economic Zone Authority: Notice for comparative proposals, PEZA Central System project (May 2024)
- World Bank Group: Policy Guidelines for Managing Unsolicited Proposals in Infrastructure Projects, Volume I (July 2017)
- World Bank PPP Reference Guide: Dealing with Unsolicited Proposals (undated, accessed 20 October 2026)
Related
- The Swiss challenge explained
How the Swiss challenge works, what the 2017 World Bank guidelines say about it, and the rules in the Philippines, Andhra Pradesh and Nigeria.
- Unsolicited proposals explained
What an unsolicited proposal is, what the 2017 World Bank and PPIAF guidelines say, and the three ways governments add competition to one.
- Kenya: privately initiated PPP proposals
Kenya's PPP Act 2021 rules for privately initiated proposals: the review fee, the PPP Directorate and Committee, deadlines and published decisions.