APECO seeks P3B from unreleased funds to restart stalled projects

The management of the Aurora Pacific Economic Zone and Freeport Authority (APECO) is requesting that the Marcos Jr. administration release at least P3 billion from the remaining P8.6 billion capitalization to push through with its development plans—particularly for projects abandoned by the previous administration.

APECO president and CEO Atty. Gil Taway said on Friday that since 2007, the Department of Budget and Management had only released P1.4 billion to APECO, far short of the P10 billion capitalization allocated under the law. The unreleased P8.6 billion is crucial to implementing various development projects across the 12,743-hectare APECO property in Casiguran.

Taway revealed that upon taking over, he inherited nearly P800 million worth of abandoned or incomplete projects, all of which had used funds from the P1.4 billion previously disbursed. Some of these unfinished projects are now being resumed despite the meager budget.

“Under the law, the capitalization given to APECO is P10 billion. Right now, only P1.4 billion has been received from the national government. Maybe the national government and the Congress have already lost confidence in APECO with its previous administration. They are expecting us to deliver with that kind of capitalization, so how can we do that? Unlike the AFAB, they have already exhausted their capitalization and are receiving another,” Taway said in an interview in Makati City.

Taway clarified they are not seeking the entire remaining amount, but are requesting between P2 billion and P3 billion, ideally to be released starting in 2027.

“For the 18 years of our existence, we have only received P1.4 billion. Nabawasan pa nung mga mga abandoned projects. But we cannot complain. However, if the budget is given under my watch, then it will be a game-changer for APECO. We will spend that judiciously, or what we call transformational governance that we have been doing since I assumed,” he said.

He said APECO, under his watch, practices four pillars, namely accountability, transparency, inclusivity, and ethical behavior.

He also cited a recent commendation from the Commission on Audit (COA), which noted a “shift from past inaction” and a foundation for sustained progress. In its 2024 Audit Observation Memorandum, COA highlighted the completion of several long-delayed infrastructure projects, including the initial phase of the Sewage Treatment Plant, a fire station, and the Central Water Supply and Reservoir Project.

Continuous rise in allocation

Taway expressed optimism that their funding request would be granted by President Ferdinand Marcos Jr., especially given the steady increase in budget allocations since he assumed leadership of APECO.

“From the petty P47 million given to APECO since 2018, it peaked to P200 million when I arrived. Although it remains small, we cannot complain; therefore, I told my team to prove to the government and Congress that we deserve to have a bigger budget, or exhaust the remaining P8.6 billion. How? Let’s show them that our projects are generating profits,” according to Taway.

Based on financial projections, APECO’s ongoing revenue-generating initiatives—particularly the JPEC Villas composed of eight executive villas, a 20-room residence, and beachfront villas totaling 48 rooms — could potentially cover the agency’s P57 million personnel expenses, assuming full annual occupancy.

“If all our ongoing projects are completed, APECO will be self-sustaining. But completing these projects, indeed, needs the help of the P8.6 billion remaining from the P10 billion capitalization under the law. With these, the government and the stakeholders will realize that something is happening, and APECO is moving forward,” Taway stressed.