Department of National Defense (DND) Secretary Gilberto Teodoro Jr. (Photo: DND)
Department of National Defense (DND) Secretary Gilberto Teodoro Jr. slammed the Bases Conversion and Development Authority (BCDA) model as “a failure” as he warned that strategic military assets lost under the law cannot be replicated.
Teodoro made the surprising remark during the closing ceremony of the AFP Joint Exercise (AJEX) DAGIT-PA on Friday, Nov. 15, at Camp Aguinaldo in Quezon City where he stressed that further conversions of military bases would weaken the Armed Forces of the Philippines (AFP) and the national security.
“The assets that were taken from the Armed Forces were not chosen to be military assets by accident, these were strategic assets, and taking them away does not only cost us in terms of the lack of funds for modernization,” he said.
The BCDA, a government-owned and controlled corporation (GOCC), was created under Republic Act No. 7227 or the Bases Conversion and Development Act of 1992 following the withdrawal of United States military forces from former bases in the country.
It is primarily tasked to convert former military bases into productive civilian use such as commercial, residential, or industrial developments. The proceeds generated from doing so are then used to fund the modernization of the AFP and other government priorities.
Among the BCDA’s famous projects include Fort Bonifacio in Taguig City which became Bonifacio Global City (BGC), Camp John Hay, Clark Freeport Zone, Clark Civil Aviation Complex which houses the Diosdado Macapagal International Airport, Poro Point Freeport Zone which used to house the former Wallace Air Station, and Subic Bay Freeport.
However, Teodoro argued that while the government earns from these conversions, the AFP loses strategically located bases that are difficult or impossible to replace. “The location of these structures cannot be replicated without spending a whopping amount, trillions of pesos,” he noted.
The BCDA said it had remitted about P96 billion to the national government from May 1993 to May 2025.
“Upon reflection, this firms up my stand that the conversion of bases model is a failure and I will oppose any further attempts to do so because it is not merely an injustice to the Armed Forces but an injustice to the Filipino people,” Teodoro said.
A proposed legislation has been passed at the Senate in February which aims to strengthen the BCDA and extend to 30 years its current corporate life, which is due to expire in 2042.
The defense chief reiterated his opposition to extending the life of the BCDA model.
“They are trying to get it extended but we are opposing it,” Teodoro said. “Just don’t extend its life, and then the CDC [Clark Development Corporation] will be left as is. We can’t recover what’s already gone but let’s not give any more.”
The Manila Bulletin has reached out to the BCDA for a comment and will update this story once it gets a response.