Philippine Economic Zone Authority (PEZA) Director General Tereso O. Panga said that ecozones in the country must embrace sustainability in order to sustain its competitiveness in the domestic and global market.
"The locator companies that we've been hosting in the economic zones are now demanding that they see these elements in the ecozone, [like] embedded power, access to clean and green production, renewable energy (RE). Without these facilities in the economic zone, we can no longer be competitive, because we're up against other ecozones in ASEAN that are also aided by different donors, who are for the clean and green Production agenda. It's a must," Panga told reporters on April 22 during the first day of the “Ecozones-In-Depth” forum on April 22.
He expressed PEZA's commitment to “future proof” activities in its ecozones by adopting sustainable initiatives and practices and green technologies for the benefit of its locators and the public.
In his keynote speech, PEZA Director General Tereso O. Panga emphasized adaptability and sustainability as “vital future proofing strategies.”
“In the face of changing market trends and demands, it has become imperative to future-proof a business for it to succeed and meet its long-term goals,” he said.
“Simply put, we must continually adapt in order to make our businesses climate-resilient, sustainable and responsive to green technology. This reduces our overall footprint on nature and creates less negative impact on our environment—without compromising company efficiency and profitability,” he added.
Panga highlighted PEZA’s partnership with the IFC World Bank for the green certification of ecozones for locator companies, which entails a single certification that will enable the whole ecozones to access the global market.
Notably, PEZA was the first agency to officially sign a memorandum of understanding (MOU) for the Global Reporting Initiative (GRI) of the Switzerland State Secretariat for Economic Affairs (SECO) in March 2022, in cooperation with the Securities Exchange Commission (SEC).
Through the GRI, PEZA hopes to onboard the Department of Trade and Industry - Export Marketing Bureau (DTI-EMB) and the Philippine Exporters Confederation, Inc. (Philexport) in making the Sustainable Reporting guidelines for export-oriented industries.
“Voluntary compliance to the GRI and SDGs can be a source of competitiveness for the country in attracting more FDIs and in enhancing regulatory compliance. Many advanced and developing economies subscribe to these principles to be able to measure the impact of FDIs on the host countries toward inclusive, resilient and sustainable development,” noted Panga.
Panga remarked that the agency aims to have its locator companies aware and the ecozones itself compliant with environmental standards and aware of Sustainability reporting guidelines within the year.
"It's safe to say that among the leading economic zones, probably 10 of them, at the very least are all compliant with the ecoindustrial model," he added.
For those who have yet to keep up, he emphasized that they will be given "enough time to upgrade their facilities so they can comply with the standards."
He also cited the agency’s collaborations with the European Chamber of Commerce in the Philippines (ECCP), United Nations Industrial Development Organization (UNIDO), and the Department of Energy (DOE) such as the European-funded initiatives GTZ Eco-Industrial Development project, ECCP Energy Efficiency and Savings Program, and ECCP Integrity Pledge.
Overall, Panga emphasized PEZA’s aim to ensure its ecozones are equipped with integrated technologies and sustainable solutions.
“We aim to make ecozones integrated mixed-use, smart, self-contained and self-sustaining township development with an embedded port, power, water, telecom, transport, housing, schools, commercial and other ancillary facilities,” he said.