WHEREAS, the Philippines has one of the highest industrial power rates in Southeast Asia;

WHEREAS, majority of the biggest power consumers are industrial locators in economic zones;

WHEREAS, there is a compelling need for a more reliable, economical, competitive, and efficient power supply to provide quality electricity to power-sensitive industrial locators in the economic zones and to encourage future locators;

WHEREAS, the government is adopting measures that would give open access to private and publicly-owned economic zones in sourcing their power with the end in view of lowering the power cost in the economic zones and to promote competitiveness;

WHEREAS, the government has identified, as potential sources of power for economic zones, seven (7) geothermal facilities, namely: (1) Tiwi in Albay; (2) MakBan, which borders Makiling and Banahaw in Laguna; (3) Tongonan, which borders Ormoc and Kananga in Leyte; (4) Palinpinon in Valencia, Negros Oriental; (5) BacMan, which borders Bacon and Manito in Sorsogon and Albay, respectively; (6) Mt. Apo in the border of Kidapawan, North Cotabato; and (7) Murcia in Negros Occidental.

WHEREAS, declaring certain areas adjacent to these geothermal-producing sites as economic zones will provide alternative locations for investors.

NOW, THEREFORE, I, GLORIA MACAPAGAL-ARROYO, President of the Republic of the Philippines, by virtue of the powers vested in me by law, do hereby order:

SECTION 1.  The respective local government units (LGUs) in areas near or adjacent to the following geothermal-producing sites shall develop economic zones in coordination with the Philippine Economic Zone Authority (PEZA):

(1)

Tiwi in Albay;

(2)

MakBan, which borders Makiling and Banahaw in Laguna;

(3)

Tongonan, which borders Ormoc and Kananga in Leyte;

(4)

Palinpinon in Valencia, Negors Oriental;

(5)

BacMan, which borders Bacon and Manito in Sorsogon and Albay, respectively;

(6)

Mt. Apo in the border of Kidapawan, North Cotabato; and

(7)

Murcia in Negros Occidental

SECTION 2.  The PEZA shall assist the LGUs concerned in the creation and development of the economic zones.

SECTION 3.  All executive orders, rules and regulations and other issuances or parts thereof, which are inconsistent with this Executive Order, are hereby revoked, amended, or modified accordingly.

SECTION 4. Any portion or provision of this Executive Order that maybe declared unconstitutional shall not have the effect of nullifying its other portions or provisions, as long as such remaining portions can still be given effect.

SECTION 5. This Executive Order shall take effect immediately.

Adopted: 10 Sept. 2007


(SGD.) GLORIA MACAPAGAL-ARROYO

By the President:

(SGD.) EDUARDO R. ERMITA
Executive Secretary