MANILA, Philippines - State run Bases Conversion and Development Authority (BCDA) remitted P2.137 billion to the National Treasury for the AFP Modernization Fund for the first 11 months of the year.
In a statement, BCDA President and CEO Arnel Casanova said the share of AFP Modernization Fund came from the net proceeds of non-sale transactions such as lease and joint-venture agreements of former Metro Manila military camps, the biggest two of which are the former Fort Bonifacio and a portion of the Villamor Air Base now developed into Bonifacio Global City and Newport City, respectively.
Under Executive Order 309, the AFP gets 50 percent of net proceeds from non-sale transactions.
Casanova said that that BCDA is set to remit P323 million before the end of the year.
Casanova said that the BCDA has generated a total of P52.816 billion from the disposition of Metro Manila camps from the period May 1993 to November 2011 and has remitted a total of P33.306 billion to the National Treasury covering the proceeds from both sale and non-sale transactions. Of the remitted amount, P21.555 billion went to the AFP, broken down to P12.059 billion for the AFP Modernization Program and P9.496 billion for the replication of military facilities.
Of the generated P52.816 billion, the AFP Share had 41 percent of the proceeds at P21.555 billion; BCDA share had 20 percent at P10.684 billion; and 14 percent represented the share of the 14 government beneficiary agencies under A.O. 236 at P7.143 billion. The remaining amount represent payments in the form of taxes and fees, replication of non-military facilities, relocation of informal occupants, and construction of site development projects.
Meanwhile, BCDA and its subsidiary in charge of developing the John Hay Special Economic Zone (JHSEZ), the John Hay Management Corp. (JHMC), will undertake the construction of a mini-hydro power plant that is expected to generate ample power supply for its current and future locators.
Casanova said that both the BCDA and JHMC have yet to come up with the details to undertake the project but in principle, the plan to construct the mini-hydro power plant is sound and will definitely help market the John Hay Special Economic Zone as the top choice to do business in the north.
“Having our own power plant that supplies reliable and uninterrupted electricity will definitely increase the attractiveness of the JHSEZ to prospective investors,” Casanova said.
For her part, JHMC President and CEO Jamie Eloise M. Agbayani said the site where the mini-hydro plant will be built is on the areas of Camp 6 and Camp 7 which are part of the JHSEZ property.
“The area is around four hectares and approximately some 20 minutes from Baguio City,” Agbayani said.