Business and Economy
PEZA ready for federalism: Plaza
MANILA — The Philippine Economic Zone Authority (PEZA) supports the administration’s push to shift to federalism, noting that the agency is ready for this form of government, its top official said.
PEZA Director General Charito Plaza told reporters that the agency is actually decentralizing its operations, wherein services offered by PEZA can already be processed in its regional offices.
Only the approval of applications is still being handled by the head office in Manila, according to Plaza.
“We are planning to regionalize PEZA,” she said, adding that the plan is in line with the goal of having an economic zone in every region.
She said PEZA was able to present the agency’s plan, particularly on revenue sharing, to the committee on constitutional amendments, if the government will shift to federalism.
Currently, out of the 5-percent gross income earned (GIE) that the government is getting from PEZA-registered companies, the national government gets 3 percent while the local government unit (LGU) gets the remaining 2 percent.
“In federalism, it’s the other way around,” Plaza said.
However, Plaza said that if the economic zone is a public land, the national government will still be getting 3 percent of GIE.
“PEZA’s contribution is to create metropolitan area in every region, with ecozones serving as economic drivers. We are promoting new concept of economic zone,” the PEZA chief said.
“With our ecozone program, we are contributing already in making LGUs empowered, enriched. It’s a preparation for them for self-sufficiency and resource generating. We are doing it now by inviting LGUs to build economic zones,” she added.
