Duterte reclassifies Clark IE5 into commerce, industry, leisure hub

MANILA, Philippines — President Rodrigo Duterte has signed an executive order reclassifying the Clark Industrial Estate 5 (IE5) as an international center of commerce, industry, leisure, and recreation.

Duterte signed EO No. 81 on June 4, amending EO No. 716 signed in 2008.

EO No. 716 has declared Clark IE5 “as a logistics center and mandated, among others, that the Clark International Airport Corporation (CIAC) shall only engage in aviation, aviation-related services and aviation-related logistic activities.”

But Duterte said the Clark Special Economic Zone and Clark Freeport Zone, including the IE5, has “attracted international attention and interest as the Asia Pacific Region’s emerging premier hub for aviation and international logistics, as well as an international center for commerce, industry, leisure, and recreation.”

“The IE5 area, measuring approximately 290 hectares, is hereby reclassified as an international center for commerce, aviation, logistics industry, leisure, and recreation, without prejudice to any rights and interests under existing contracts, leases and business arrangements covering areas with the IE5, which have been lawfully entered into by the CIAC, prior to the effectivity of this order,” Duterte said.

In the same EO, the President authorized CIAC “to enter into lease agreements and similar business arrangements covering the IE5 for a broad range of commercial, industrial, leisure, and recreation-related activities.”

Under Republic Act No. 7277 or the Bases Conversion and Development Act of 1992, the government has the right ‘to accelerate the sound and beneficial conversion into alternative productive uses of the Clark and Subic military reservations, and to enhance the benefits to be derived from these ares in order to promote the economic and social development of central Luzon in particular and the country in general.” (Editor: Katherine G. Adraneda)