Manila: Plans to develop parts of the Iwahig penal colony as an ecozone inched closer to fruition after the Bureau of Corrections (BuCor) and the Philippine Economic Zone Authority (PEZA) formalized their partnership Thursday through the signing of a Joint Memorandum Circular (JMC) for its proclamation as a Special Economic Zone by the Office of the President.

According to Philippines News Agency, the JMC was signed by BuCor Director General Gregorio Pio Catapang Jr. and PEZA Director General Tereso Pangan. Catapang stated that this move facilitates the transfer of exclusive use and possession of a designated area within the Iwahig Prison and Penal Farm (IPPF) to be developed as an ecozone.

Catapang emphasized that the partnership reflects the evolution of BuCor, which is now focusing not just on confinement but also on contributing to national progress. He remarked that the initiative supports reformation, income generation, and modernization. The transformation of Iwahig is viewed as a testament to the commitment to national development through innovative collaboration.

The agreement allows for the potential conversion of the IPPF land into industrial estates, export processing zones, and other facilities, showcasing a commitment to promoting local economic growth by effectively utilizing government-held lands. As part of the agreement, BuCor granted PEZA full and exclusive rights to utilize the property for 50 years, with an option for a 25-year renewal.

Under the revenue-sharing arrangement, PEZA will remit 90 percent of collected monthly rental fees from leased properties back to BuCor, retaining a 10 percent management fee. Both organizations have defined their responsibilities to ensure the project’s success.

BuCor is tasked with confirming full legal title to the property and securing necessary government clearances, including environmental compliance and endorsements from local government units. Meanwhile, PEZA is responsible for preparing the Presidential Proclamation to officially designate the property as a Special Economic Zone and coordinating the Technical Working Group’s efforts in preparing all required documentation.