Fiscal incentives have been approved by the Board of Investments (BoI) for a JG Summit Holdings, Inc.’s revived plans for a P33 bln naphtha cracker facility. The BoI recognized the planned investment as a "pioneer project", making it eligible for a 6-year income tax holiday and other incentives such as the duty-free importation of equipment.
The P32.883 bln investment is backed by Gokongwei-led subsidiary JG Summit Olefins Corp. for the project planned with annual production of 925,537 tons of polymer-grade ethylene and propylene, pyrolysis gas and other by-products by January 2014.
The project proposal has been revised three times since it was first been docked with the BoI in 2005. The global financial crisis that led to scarce credit has been the key factor behind this delay.