The Philippine Economic Zone Authority (PEZA) and the Bureau of Corrections (BuCor) have signed a Memorandum of Agreement (MOA) to advance the development of the country’s first mega economic zone.
PEZA Director General Tereso O. Panga and BuCor Director General Gregorio Pio P. Catapang Jr. formally sealed the agreement on Jan. 24, 2025, allocating more than 2,000 hectares of the Iwahig Prison and Penal Farm in Puerto Princesa, Palawan, for the creation of the Palawan Mega Economic Zone (PMEZ).
“We are committed to planning and immediately starting the development of this ecozone, which will create more employment opportunities for Filipinos, especially persons deprived of liberty (PDLs),” Panga said. He also highlighted PEZA’s recent partnership with the Technical Education and Skills Development Authority (TESDA) to further strengthen the Philippine workforce.
For his part, Catapang envisions the Palawan Mega Economic Zone as a “clean, green, and technology-driven” hub that aligns with PEZA’s eco-industrial framework through smart, mixed-use townships. He also expressed his goal of integrating Palawan into the Luzon Economic Corridor, which is poised to become the country’s next manufacturing hub.
“Palawan is the new frontier, and we want to generate income for social development and food security,” Catapang added.
Panga emphasized that in the coming years, the ecozone will attract emerging and high-value industries, including:
-Electric vehicle production
-Advanced manufacturing
-Green ore processing
-Nanotechnology
-AI-driven industries
-Medical and blue industries
“The impact of this project will be felt across the region, leading to increased trade within the context of the BIMP-EAGA (Brunei Darussalam-Indonesia-Malaysia-Philippines East ASEAN Growth Area) international framework,” Panga said.
“Employing a whole-of-government approach, we are a step closer to achieving our goal of eco-zoning the country toward inclusive and sustainable development para sa Bagong Pilipinas,” Panga stated.
Catapang responded, “You can set the floor for this cooperative project, as it is PEZA’s expertise.”
PEZA and BuCor first entered into a Memorandum of Understanding (MOU) for the project on Jan. 30, 2024. Both agencies aim for the Palawan Mega Economic Zone to be proclaimed within the year and become operational before President Ferdinand R. Marcos Jr.’s term ends in 2028.
