Dear mindful readers,
And just like that, the second quarter of 2025 is almost here. So, live fully with joy and kindness in our hearts, pray, express gratitude, and be healthy.
For today’s narrative…
The Subic Bay Metropolitan Authority (SBMA) has released Php204.7-M and ₱143.1 in 2024 as net revenue shares for H1 and H2, respectively, for the neighboring local government units (LGUs) of the Subic Bay Freeport zone (SBFZ).
SBMA Chairman and Administrator Eduardo Jose L. Aliño said that the net share received by the eight contiguous localities from January to June 2024 was part of the five percent corporate taxes paid by Subic Bay Freeport-registered enterprises
In February 2025, however, Aliño shared that due to the 20 percent corporate recovery tax, which took effect last November 28, 2024, shares for the second half of the same year dipped significantly with a difference of ₱61.6-M for businesses under the Economic Development Regime (EDR) on income derived from registered projects or activities.
Speaking before local government officials last August 2024, President Ferdinand Marcos, Jr. strongly urged local government units (LGUs) to “explore and employ various ways of capacitating localities and local executives to serve the people better.”
Meanwhile, Chairman Aliňo also cited that the shares given to the LGUs are intended to augment local resources and enable stakeholder communities to benefit from the operations of Freeport businesses.
Since August 2010, the SBMA has directly distributed shares to LGUs to guarantee timely allocation. The computation is based on three factors: population (50%), land area (25%), and equal sharing (25%). As provided in Republic Act 7227 or the Bases Conversion and Development Act of 1992, the LGUs that would benefit from the revenue-sharing are Olongapo City, the towns of Subic, San Marcelino, Castillejos, and San Antonio in Zambales, and Dinalupihan, Hermosa, and Morong in Bataan.
Due to its population, Olongapo City has since been the frontrunner and top recipient of revenue shares.
According to the 2020 census, the City of Olongapo’s population was 260,317, the biggest among the 8 LGUs. It is also the highest in terms of population density, with 1,407.12 residents per square kilometer and a total land area of 185 sq. km.
REVENUE FROM PROJECTS UNDER PBBM
Goddy Ferrer, a seasoned politician and former mayor of Hermosa, Bataan, hailed the profit sharing being implemented by the SBMA for neighboring LGUs. “The shares mean a lot to us LGUs since the funds help uplift our constituents’ welfare,” he said.
“SBMA is generous enough to share with the localities within the agency’s boundaries, paving the way to realize much-needed social projects of the municipality, health and education included,” Ferrer added.
In September 2024, SBMA Senior Deputy Administrator Atty. Ramon Agregado facilitated the handover of funds for the first half of 2024: Olongapo City, Php47.8 million; Subic, Zambales, Php30.7 million; San Marcelino, Php24.5 million; Castillejos, Php18.6 million; and San Antonio,Php17.4 million. In Bataan, Dinalupihan received Php25.5 million, Hermosa Php21.9 million, and Morong Php18.1 million.
In February 2025, representatives from the eight localities collected their checks from the SBMA Treasury Department, with Olongapo City receiving a net share worth ₱33.48million, while the Zambales towns of Subic received ₱21.48million; Castillejos, ₱13million; San Marcelino, ₱17.2million; and San Antonio, ₱12.17million. Morong town received ₱ 12.6 million from Bataan, Hermosa ₱ 15.3 million, and Dinalupihan ₱ 17.8 million.
The SBMA has released over Php3 billion to LGUs under the revenue-sharing scheme since 2011. With 1,900 foreign and local investors, its cumulative investment stands at ₱12billion. The workforce in Subic Freeport stands at over 163,000.
A LASTING PARTNERSHIP UNDER PBBM
President Marcos continues to push for more significant investments in Subic Bay Freeport. “Subic Bay Freeport is one of the most developed and sought-after investment areas in the country, but it can be greater than what it is with the right investments and innovative projects and approach,” President Marcos said while announcing the partnership between the US equity firm Cerberus and South Korea’s HD Hyundai Heavy Industries.
“The investments that will be created hereafter are especially beneficial to Subic Freeport because these will strengthen the ecozone’s vital role as a hotspot for industrial, commercial, and other economic activities,” President Marcos said, adding, “With your help, we can further accelerate the progress of Subic Bay Freeport, cementing its role as a driver of growth for the rest of the country.”
Love and light,
Iamempress22
