Korean semiconductor firm to enjoy perks under EO

President Gloria Macapagal-Arroyo has ordered the fast-tracking of the third phase of the 230-kilovolt Clark power transmission project in preparation for the entry into the free port of a Korean multinational semiconductor company with investments of more than $1 billion. The President, in issuing Executive Order 856, said the firm, which has investments and a development plan higher than the $1 billion of Texas Instruments (TI), is planning to locate its overseas plant in Clark provided it enjoys the same power rates as TI and is assured of reliable supply. ''The entry of semiconductor companies in Clark will infuse capitalization, generate employment opportunities, boost exports and enhance the country’s economy," Mrs. Arroyo said in a statement on Thursday. The identity of the investor would be announced soon. Benny Ricafort, CDC president and chief operating officer, said in a phone interview four companies were interested, adding that total investments could reach $1 billion. He said the Philippines had to bring in the infrastructure first to show that it is determined to support investors at the Clark Freeport Zone. Arroyo ordered the Clark Development Corp. to lead government agencies in ensuring that the power project is completed in one-and-a-half years. She also ordered the conversion of the three phases of the power project into a loop and its connection to the national transmission grid to maximize its potential and give Clark more reliable power supply. The President ordered the National Power Corp. and other energy agencies to give discounted transmission and generation rates to the semiconductor firm, similar to what Texas Instruments enjoys. She said the discount should be granted through the industry competitiveness fund. Mrs. Arroyo also ordered the Budget department to release the competitiveness fund, as well as the money for the third phase of the power project, which was approved by the National Economic and Development Authority last Dec. 8. The President also directed the heads of all government agencies to support the semiconductor company. She said concerned agencies should help facilitate the release of clearances to the company. She also ordered the Government Property and Procurement Board to help the CDC in procurement issues to ensure the project is completed fast. Arroyo issued a similar order on Sept. 25, 2007 directing all government agencies to support the investments of Texas Instruments in Clark. — GMANews.TV