First published in InfraTalks, Aboitiz InfraCapital’s monthly column in The Manila Times.
LIMA ESTATE, BATANGAS – The Luzon Economic Corridor (LEC) is an infrastructure and economic development framework that connects four major economic hubs in Luzon: Clark, Subic, Metro Manila, and Batangas. By improving connectivity among these areas, the LEC aims to attract global investors, create more economic opportunities, and strengthen the Philippine economy.
Economic zones will play an important role in translating this growth into actual investment. At the 2026 LEC Investment Forum, Philippine Economic Zone Authority (PEZA) Director General Tereso “Theo” O. Panga emphasized how economic zones connect investors with established industries, businesses, workers, and other locators.
I have seen this firsthand in Batangas. In the 12 years since I moved to the province, I have watched industrial communities expand, new businesses establish operations, and existing locators grow alongside the communities around them. Having worked as a plant manager covering Metro Manila’s high-growth areas, I definitely recognize Batangas’ potential to support the LEC and attract more global investment.
As the LEC brings the promise of greater economic activity and connectivity, one concern raised by our locators during my conversations with them is whether our current infrastructure and utilities can keep up with the growing demand and future expansion plans.
For me, one of the utilities that deserves particular attention is water.
Sourcing and managing water for economic estates
While residential communities depend on potable water for daily needs such as drinking, cooking, and hygiene, businesses require a reliable supply to maintain operations, productivity, and competitiveness.
This is evident at LIMA Estate in Batangas, where manufacturers use water for cooling systems, production processes, and workforce consumption. A reliable supply is also critical to prevent disruptions that can lead to production delays and higher operating costs.
In our discussions with locators in LIMA Estate, they highlighted the importance of good water management, reliable water services. and sufficient water pressure. This is important given the estate’s proximity to growing communities in Lipa City and Malvar. LIMA Estate has its own water supply, allowing businesses to meet their needs without affecting the water supply of nearby residential communities.
A similar approach can be seen in Lapu-Lapu City, where MEZ2 (Mactan Economic Zone 2) Estate locators source water from a dedicated desalination facility that treats brackish lagoon water into clean, potable water. This allows locators to meet their water needs without affecting the supply allocated to Lapu-Lapu City residents.
In LIMA Estate, a SMART Water Network with a Supervisory Control and Data Acquisition (SCADA) system monitors water use across the estate. It helps track water demand, detect leaks and other problems, and reduce water loss. This allows water to be distributed efficiently to locators while maintaining the required water quality standards.
Lessons for rising economic zones
Apart from the role of Batangas economic zones in the LEC, Tarlac will also play an important role in this development. To support the province’s position in the economic corridor, TARI Estate will start operations next year. Through this economic estate, Central Luzon’s industrial and manufacturing capacity will further expand.
With the expected growth of industrial activity in Central Luzon, reliable water and wastewater services will also become increasingly important. We plan to extend these services to TARI Estate through TARI Water, helping meet its locators’ needs and support long-term industrial growth. Our experience in LIMA and MEZ2 Estates has shown that both services are essential to support locators and attract global investors. With proper planning, risk management, and good governance, we can manage water effectively so it benefits both our communities and the economy. This also gives companies looking to invest in Central Luzon a reliable platform built to enable long-term industrial growth.
This approach is also reflected in PEZA’s requirements for economic zones to invest in centralized water supply and wastewater systems. These include facilities for treating, recycling, and properly disposing of wastewater. While these systems require significant investment, they help provide a reliable and sustainable water supply for locators and the economic zones in the long run.
The country’s water supply amid planned business investments have made me see the need for both the public and private sectors to invest in identifying new water sources and developing the infrastructure needed to support them. These investments will help provide reliable and sustainable water services for new industrial zones.
From my experience in the industry, however, I have learned that building the right infrastructure is only the first step.
When infrastructure, technology, and stakeholder collaboration work together, we create a stronger foundation in advancing long-term water security, while supporting continued industrial and economic growth in the Philippines.
Building service readiness for current operations and future growth
Creating a reliable water supply for economic zones is not only about supporting businesses. It also means managing water responsibly, and being mindful of the needs of surrounding communities. Through our Department of Environment and Natural Resources-recognized laboratory services and end-to-end septage desludging and treatment services, we help locators and communities strengthen sanitation programs, comply with environmental requirements, and manage wastewater responsibly.
At the heart of all this, reliable water infrastructure should give our customers one less thing to worry about, allowing them to focus on growing their businesses while we continue supporting the communities around us.
