Wednesday, August 01, 2007 Ecozone seen to boost private sector
IF the proposed bill declaring the entire Cebu an “economic development zone” is approved, all government agencies, local or national, will have to take a backseat as far as decisions on investments are concerned.
Once the bill is approved, a Cebu Economic Development Zone Authority (Cedza) would have to be created to “manage and operate the Cebu Economic Development Zone.”
The authority, as expressed in the bill, will be a corporate body governed by a board of directors, “majority of whom shall come from the private sector.”
According to its proposed powers and functions, the zone authority will “operate, administer, manage and develop” the Cebu Economic Development Zone, which will cover practically the whole of Cebu.
Seven of 11 board members will be from the private sector while only four will be from the government: the Cebu governor, the Cebu City mayor, a representative from the mayors of other cities, and the president of the Cebu mayors’ league.
The seven private sector representatives to be appointed by the President will be taken from a “shortlist” prepared by the Cebu Chamber of Commerce and Industry.
“The city, municipal and provincial LGUs… shall be adequately represented in the Board. The Cedza’s independence from existing government investment promotion agencies like the BOI and PEZA would enable it to become a model of local autonomy and a pilot for sub-national business environment reforms,” read the bill introduced by all eight Cebuano congressmen.
The lawmakers explained that the proposed Cedz, which will cover all of Cebu, is envisioned to be a “paradigm of effective and functioning public-private sector partnership, with the private sector taking the lead.”
The bill’s explanatory note mentioned that the government will provide infrastructure and institutional “support” and “contribute part of the needed resources.”
Section 23 of the bill reads: “Except as herein provided, the local government units comprising the Cedz shall retain their basic autonomy and identity…In case of any conflict between the Cedza and the LGUs on matters affecting the zone other than defense and security matters, the decision of the Cedza shall prevail.”
The function of the Cedza includes the establishment of a “masterplan” for Cebu that would include comprehensive land use planning, “bureaucratic streamlining,” investment priorities planning, marketing and promotions.
The Cedza will also “register, regulate and supervise the enterprises in the Cedz in an efficient manner, subject to existing laws.”
Moreover, the Cedza will “coordinate with LGUS and exercise general supervision over the development plans, activities and operations of the Cedz.”
Not only that, the zone authority will also be tasked to “authorize, regulate and undertake the establishment, operation and the maintenance of utilities and other services and infrastructure.”
Mentioned in the bill to be under the Cedza are services that include “but not limited to” heat, light, power, water supply, telecommunications, transport, toll roads and bridges as well as port services.
The authority will also be clothed with a power to fix “just, reasonable and competitive rates, fares, charges and prices.” (JPM)
