Senate bill to build Special Defense Economic Zone passes final reading
Sen. Juan Miguel “Migz” Zubiri is the author and sponsor of the bill seeking to establish a Special Defense Economic Zone in Bataan. —File photo from the Senate Public Relations and Information Bureau
MANILA, Philippines — A bill seeking to establish a Special Defense Economic Zone (SpeDEZ) in Limay, Bataan hurdled the Senate’s third and final reading.
During the chamber’s Monday plenary session, Senate Bill No. 2900 was approved with 21 affirmative votes, zero negative, and zero abstention.
Following the measure’s approval, Sen. Juan Miguel Zubiri – author and sponsor of the bill — said the approval would go a long way towards developing a fully self-reliant defense posture, where a “homegrown” defense industry supplies the country’s armed forces.
READ: New defense ecozone to rise in Bataan
According to Zubiri, the proposed defense ecozone will be located within the estate of the Government Arsenal in Limay, Bataan.
Article continues after this advertisement“SpeDEZ will serve as a one-stop economic hub for defense industry investors looking to set up operations in the country, particularly following the enactment of the Self-Reliant Defense Posture Revitalization Act (SRDP Act) last year,” the senator explained.
Article continues after this advertisement“In the interest of self-reliance and in line with our Filipino-first policies, we made sure to require that SpeDEZ locators acquire a percentage of their raw materials from local producers,” he added.
With this, job creation would increase.
The measure likewise seeks to grant traditional tax incentives, imposing a 5-percent tax on the gross income of all establishments operating within the SpeDEZ.
“The revenue generated will be allocated to the Armed Forces of the Philippines Pension Fund, the Province of Bataan, the host city or municipality, and the SpeDEZ Authority,” Zubiri said.
