THE Senate on Monday, March 18, 2024, gave its final nod to the bill creating the Bulacan Special Economic Zone (BuZ) and Freeport.
Sponsored by Sen. Grace Poe, Senate Bill No. 2572 establishes the Bulacan Ecozone, which will host the New Manila International Airport in the province of Bulacan.
Aside from Poe, Senate President Juan Miguel “Migz” F. Zubiri co-sponsored the bill, along with Senate President Pro Tempore Loren Legarda, Majority Leader Joel Villanueva, and Senators Pia S. Cayetano, Ronald “Bato” Dela Rosa, Joseph Victor “JV” Ejercito, and Christopher Lawrence “Bong” Go.
“Throughout our collective brainstorming, we have crafted a vastly-improved bill that adheres to the constitutional provisions on land conversion, balances economic growth with environmental protection, and warrants greater local government unit (LGU) representation at its helm,” Poe said following the bill’s approval.
“It will spur investments, create more jobs and will be a model, not just here in the Philippines, but all over Asia,” she added.
Citing projections, Poe said economic gains from the proposed BuZ could reach P130.9 billion and could generate 800,000 to 1.2 million jobs for Filipinos.
Under the bill, the BuZ shall be developed into and operated as a “decentralized, self-reliant and self-sustaining, aviation hub, industrial, commercial, trading, agro-industrial, tourism, retirement, banking, financial and investment center, emerging and future technologies, with suitable residential areas.”
A corporation to be known as the Bulacan Special Economic Zone and Freeport Authority (BEZA) shall be created to manage and operate the BuZ. The BEZA shall be under the direct supervision and control of the Office of the President.
The BEZA shall have an authorized capital stock of P2 billion, the majority shares of which shall be subscribed and paid for by the national government and the local government units embracing the ecozone.
To ensure the efficient and sustainable development of the ecozone, the BEZA, in consultation with the National Economic and Development Authority, shall come up with a general framework for land use, planning, and development for the area covered by the proposed ecozone. The framework shall be consistent with the goals of the Philippine Development Plan.
The development of the BuZ shall also be integrated and consistent with the plans of national government agencies, regional development councils,
and LGUs with respect to transportation, telecommunications infrastructure and other facilities, the bill further stated.
Members of the BEZA Board would also include representatives of the Bulacan provincial government and LGUs, as well as a representative from the private sector and another to represent the workers in the BuZ.
The Department of Environment and Natural Resources shall be tasked to lead the supervision of environmental concerns inside the ecozone, Poe stressed.
SBN 2572 also enumerates the incentives to be given to enterprises and investors planning to set up shop within BuZ, including the grant of special visas, subject to relevant labor and immigration laws, rules and regulations, and fiscal incentives.
As for revenues, the BEZA and affected LGUs shall be entitled to a share in the special corporate income tax under Republic Act No. 8424, otherwise known as the “National Internal Revenue Code (NIRC) of 1997” as amended, from all registered business enterprises within the ecozone. The corporate income tax collected shall be divided as follows: 40 percent to the national government; 20 percent to BEZA for infrastructure development; and 40 percent to the concerned LGUs.
Notwithstanding its autonomy, all transactions to be undertaken by the BEZA shall be subject to the audit mechanisms under Republic Act No. 10149, or the “GOCC Governance Act of 2011,” as well as the accounting and auditing rules of the Commission on Audit.
“With this measure, the Bulakenyos and the rest of the country can expect a world-class economic zone that we can be proud of,” Poe said.
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