With the approval of the Priority Road Infrastructure Act (LIVP), provisions were made for the creation of the Directorate of Priority Road Projects (DIPP), the agency responsible for maintaining and overseeing the country’s major highway sections.

The regulations stipulate that the DIPP must be operational by July of this year. However, several procedures necessary for its operation remain pending, including the approval of the regulations, the budgetary structures, and the assessment of the priority road network.

During the forum “The Urgency of Launching the DIPP,” organized by Fundesa on May 13^th and attended by government officials and private-sector representatives, participants discussed the delays and the need for its implementation.

Carmen Abril, representative of the Guatemalan International Transport Users Council (Cutrigua) and director of the DIPP, confirmed that, although the agency is not yet operational, the Ministry of Communications, Infrastructure, and Housing (CIV) has awarded 22 contracts using the provision of the law that allows for exceptions to procurement rules.

Abril noted that there is a “lack of consistency” in the implementation of the regulations. As she explained, while the law is already being used to award contracts through exception mechanisms, progress has been slow. “What is missing is the awareness that the DIPP law cannot be used as a mechanism for exceptional procurement rather than as a technical and specialized institutional framework,” he stated.

She explained that, of the contracts awarded under the law, more than Q1.3 billion respond to contracts executed on an exceptional basis by the CIV. “The criticism is not that the provision is being used, because it is a tool that enables us to address the needs of the priority road network. The criticism is that if the law is in effect to use that mechanism, it should also be in effect to move toward the permanent institutionalization of the DIPP,” she added.

Carlos Melgar, Vice-Minister of Fiscal Transparency and Government Procurement at the Ministry of Public Finance (Minfin), confirmed that as of April 17^th, 22 contracts had been awarded under this procurement method. “A total of Q1.338 billion has been committed and awarded, primarily for road network maintenance contracts, construction projects, and road infrastructure,” he explained.

Regulations could be approved in two weeks

Abril explained that during the drafting of the regulations, amendments were proposed to the document following reviews conducted by various government agencies. She explained that the process began with a proposal drafted by the public sector, which was reviewed by a technical committee before being submitted to the board for approval. “The public sector submits a proposal for the regulations to the board. It is reviewed by a technical committee comprising all representatives of the public sector,” she said.

Abril noted that, although the regulations were approved by the board, additional comments were subsequently raised that delayed the process. “So, three or four months go by while we debate whether or not to proceed with it,” she said.

She added that she hopes the regulations can be finalized in two or three weeks, along with the hiring of the organization’s management. However, she noted that it is also necessary to establish a timeline for catching up on overdue deadlines. “We need to sit down and carefully consider a timeline for catching up on overdue deadlines,” she said.

For her part, Claudia Cáceres, manager of the DIPP, stated that the lack of regulations is hindering progress on other processes necessary for the agency’s operations. “We have this major milestone pending with the regulations; it’s preventing us from doing many other things,” she said.

Cáceres also questioned the delay in forwarding comments regarding the regulations. As she explained, the response from the Office of the Inspector General (PGN) was received on April 24^th at the CIV, but did not reach the DIPP until May 8^th. “There seems to be no sense of urgency in implementing the DIPP,” he stated. Furthermore, she noted that, if the matter were a priority, the comments should have been forwarded immediately to expedite the process.

Calls for Legal Reform

Deputy Minister Melgar proposed pushing for reforms to the Priority Road Infrastructure Law, with the aim of strengthening the operational mechanisms of the DIPP. “This is a discussion we intend to have with legislators, think tanks, and the public entities involved to explore transforming the legal nature of the law,” he said.

As he explained, one of the proposals is to change the legal status of the entity, transforming it from a deconcentrated body into a decentralized entity. “That would make the operational process much smoother,” he said.

The deputy minister added that the reforms would also aim to improve multi-year budget planning to ensure financial continuity for infrastructure projects. “The goal is to incorporate elements of meaningful multi-year planning to ensure the financial continuity of projects once they are underway,” he explained.

Another proposed change is to establish a separate system for human resources. The official explained that the law includes special provisions for hiring staff, though he acknowledged that the issue of salaries has sparked debate. “There are even suggestions that the person holding the position of manager should earn more than a minister,” he said.

Melgar also noted that the goal is to strengthen contract management and the registry of prequalified companies for these types of contracts. He also mentioned that plans are being considered to reorganize the financial backing for contract operations so that the DIPP can directly assume contractual obligations and reduce its operational dependence on the CIV.

Pending Actions

Abril pointed out that several of the procedures established in the Priority Road Infrastructure Act have already expired, which is why he considered it necessary to acknowledge this in order to move forward with the schedule. “We have deadlines that have already passed, and we have deadlines that still lie ahead. First, we have to assess our actual status; if we don’t acknowledge that, we won’t make any progress,” she stated.

She noted that the law establishes specific responsibilities and deadlines for various government agencies, including ministries and the Office of the President, but she pointed out that some of those deadlines have not been met. “We need to identify them so we can catch up, and then establish a work schedule with milestones,” she said.

The director added that one of the goals is to make up for lost time so that the DIPP can be ready by 2028. “We need to be fully ready by January 2028,” she said. In that context, she proposed three actions: identifying the backlogs, aligning the institutions involved, and establishing a timeline with designated responsible parties. “Officials have responsibilities; the rest of us can’t do it for them. They have to do it themselves,” she said.

Regarding the timeline, she noted that it should include deadlines and actions to be taken over the next 30 and 60 days. “It needs to be publicly trackable, assign responsibility, and ensure that the actions are traceable,” she explained.

Abril also criticized the slow pace of administrative procedures related to the DIPP regulations. He noted that the board approved the document last October, but the process has taken more than six months. “We cannot allow every administrative decision or approval to take more than six months,” she said.

She also compared that pace to the speed with which contracts have been awarded under Section 95 of the law. “Since January, we have awarded more than Q1.3 billion in contracts under the same DIPP law,” he said.

Cáceres expressed concern about the perception that there is still plenty of time to set up the entity. “It worries me when I hear deadlines like January 2028 and it seems like there’s still a long way to go,” she said.

He reiterated that the DIPP must be fully operational, with projects already assigned, by 2028. “Between July 2026 and January 2028, we need to conduct an assessment of the road network—which was supposed to have been done by April—but we can’t do it until we have an allocated budget and staff,” he said.