Apeco Secures P18B in Investment Pledges Since 2023

The Aurora Pacific Economic Zone and Freeport Authority (Apeco) has locked in P18 billion in investment commitments since 2023, President and CEO Gil Taway IV said. Companies in renewable energy, defense, tourism, agri-processing, cold storage, and skills training have expressed interest in operating inside the zone.

Taway made the announcement during a briefing on the economic zone's progress. The pledges cover both infrastructure spending and business operations within the 14,000-hectare special economic zone in Aurora province, about 200 kilometers northeast of Manila.

Apeco offers fiscal incentives including a 4.5% corporate income tax rate and duty-free importation of capital equipment, similar to other Philippine economic zones. The authority has been marketing the zone as a hub for industries that require large land areas and access to the Pacific Ocean.

Renewable energy projects account for a significant share of the pledged investments, reflecting the Philippines' push to raise the share of renewables in its power mix to 35% by 2030. Defense-related manufacturing and cold storage logistics are newer additions to the zone's target sectors, Taway said.

The P18 billion figure covers signed commitments and letters of intent, not yet all converted to operational facilities. Apeco expects the first wave of factories and energy plants to break ground within 12 to 18 months, pending regulatory approvals.

Apeco is one of several special economic zones competing for foreign direct investment in Southeast Asia. The Philippines has been courting manufacturers relocating from China, though infrastructure gaps and power costs remain hurdles cited by investors.