The Armed Forces of the Philippines (AFP) claims to have saved more than P765 million (US $16 million) in defense procurement in 2015, double the savings recorded last year.
In a statement, AFP Procurement Service chief Brig. Gen. Alvin Francis Javier said the bids and awards committees of military units registered P765 million worth of savings from January to November, Philstar news daily reported Monday.
He said the amount was more than double the P354.35-million savings posted last year.
The military recorded savings because the winning bids for its projects were lower than the approved budget for contracts.
Javier said the savings or residuals were equivalent to eight per cent of the total approved budget for the contracts accepted this year.
“The residuals were derived from a total of 31,469 purchase orders or work orders and contracts processed and facilitated by the AFP Procurement Service and AFP Bids and Awards committees,” he said.
The total budget for the military projects this year was about P9.88 billion (US $207 billion).
The Philippine Air Force Bids and Awards Committee recorded the highest savings with P326 million (US $6 million).
The Philippine Army Procurement Center, meanwhile, came in second with P139.33 million (US $2 million).