The Philippine Economic Zone Authority (PEZA) and the Bureau of Corrections (BuCor) have formalized the transfer of over 4,000 hectares of BuCor-administered land within the Iwahig Prison and Penal Farm for conversion into a new ecozone, following the signing of a Joint Memorandum Circular on 20 November 2025 at the PEZA Head Office in Pasay City.

The agreement, signed by PEZA director general Tereso O. Panga and BuCor director general Gregorio Pio P. Catapang, forms a key component of the planned 28,000-hectare Palawan Mega Economic Zone (PMEZ), envisioned as the country’s first government-led, mega-scale eco-industrial township. PEZA estimates that PMEZ is positioned to generate up to 480,000 direct jobs and anchor new domestic and foreign investments across agribusiness, manufacturing, and energy, bolstering Palawan’s long-term economic expansion.

Catapang emphasized the modernization of BuCor and its growing role in nation-building.

“This partnership shows the heart of a modern BuCor, no longer solely defined by walls and fences, but what we can contribute to the nation,” he said.

Strong investor interest

Panga noted strong investor interest in PMEZ, citing inquiries from major regional and international investors including Thai conglomerate CP Group, as well as a Taiwanese aquaculture operator, a Peruvian food manufacturer known for its global Stevia brand, a coconut-based product exporter, and an energy company.

“I firmly believe that PMEZ will become a magnet for new investments housing locators with complete supply chains and linking this to our broader regional commitments,” he said, adding that PMEZ is poised to become a major investment hub aligned with the Philippines’ leadership of the Brunei Darussalam-Indonesia-Malaysia-Philippines East ASEAN Growth Area this year.

BuCor also reported that its Master Plan and Terms of Reference have been completed, signaling readiness for the next phases of development.