The American Chamber of Commerce of the Philippines (Amcham) is calling for the inclusion of a dedicated investment protection framework and local government funding in the National Land Use Act, warning that the landmark reform requires clear transition rules to maintain investor confidence.

As the measure moves to the Senate, the business group is advocating for a time-bound “investment-sensitive” transition period to shield existing and pipeline projects from sudden regulatory shifts.

AmCham argued that protecting these long-term commitments, which often involve billions of pesos, is essential to ensuring economic continuity.

The chamber also recommended a defined funding mechanism to bolster the technical capacity of Local Government Units (LGUs), noting that the law’s effectiveness depends on whether local officials have the systems and training to implement land classifications consistently.

Beyond transition rules and local funding, the chamber is pushing for the integration of “Land Value Capture” into the legislation.

This mechanism would allow the government to reclaim a portion of the increase in land value generated by public infrastructure spending, potentially providing a sustainable revenue source for the state that does not rely on new taxes or increased borrowing.

The proposals come as AmCham formally welcomed the House of Representatives’ passage of House Bill 8466. The chamber described the bill as a “timely and significant reform” that reflects the government’s commitment through the Legislative-Executive Development Advisory Council to modernize a planning system that has long been criticized for its fragmentation.

By rationalizing how land is classified across the country, the bill seeks to balance competing demands from the agricultural, industrial, and residential sectors.

AmCham also signaled its support for the proposed National Land Use Commission under the Office of the President, provided that the National Economic and Development Authority holds a central role as Vice-Chair.

This structure, the group said, would ensure that land governance remains technically driven and aligned with the country's broader economic agenda.

While the chamber praised the House for advancing the measure, it emphasized that the final law must avoid agency duplication and provide a predictable environment for capital.

The group vowed to remain engaged with lawmakers and implementing agencies to ensure the final framework supports inclusive growth without disrupting the current property and investment markets.