The Philippine Economic Zone Authority (PEZA) has officially approved the creation of the country’s largest eco-industrial zone — the Palawan Mega Ecozone (PMEZ) — aimed at transforming the Iwahig Penal Colony into a world-class manufacturing and green development hub.

In a board meeting held on 21 May and presided over by PEZA Director General Tereso Panga, the PEZA Board of Directors endorsed the formal establishment of PMEZ as one of the flagship projects under the administration of President Ferdinand R. Marcos Jr.

The ambitious development is a joint initiative between PEZA and the Bureau of Corrections (BuCor), designed to repurpose idle government land into eco-friendly industrial estates that can drive job creation and regional growth.

PEZA confirmed that it has affirmed the contract between BuCor and PEZA, which facilitates the land transfer necessary to establish the ecozone. The agreement marks the first critical step toward a Presidential Proclamation that will formalize PMEZ’s status.

Covering a total area of 28,000 hectares within the Iwahig Prison Colony near Puerto Princesa City, the PMEZ will initially span 4,000 hectares of transferred land for development under Phase 1. The land is located in Barangays Montible and Sta. Lucia.

The Palawan Mega Ecozone is also expected to breathe new life into the Brunei-Indonesia-Malaysia-Philippines East ASEAN Growth Area (BIMP-EAGA) trade zone, aligning with President Marcos’ directive to strengthen regional ties amid shifting global trade dynamics, including new US tariffs. It is a response to the President’s instruction to promote stronger trade relations among ASEAN member states.

“The Palawan Mega Ecozone is envisioned to attract environmentally responsible industries such as agro-industrial processing, renewable energy, eco-tourism, and marine biotechnology. This will not only preserve Palawan’s rich biodiversity but will also uplift the livelihood of local communities through jobs and infrastructure development," Panga said.