Executive Summary of Tourism Master Plans of San Vicente Flagship Tourism Enterprise Zone San Vicente, ,

1

INTRODUCTION

Background

In line with the National Tourism Development Plan (NTDP) is the dispersion of tourism activities in designated Tourism Development Areas (TDA). One result of the NTDP is the Flagship Tourism Enterprise Zone Program (Flagship TEZ Program) of the DOT and TIEZA. In this program, the DOT and TIEZA take on a proactive role to seek out areas, which can be developed into TEZs, and be catalysts of socio-economic change.

Last June 27, 2013, the TIEZA Board approved the identification of Rizal Park Complex, Manila and San Vicente, Palawan as Flagship TEZs. Through a competitive bidding process, Palafox Associates was awarded the contract to craft the Conceptual and Integrated Tourism Master Plans for San Vicente, Palawan.

The formulation of master plans is well in line with the Tourism Act of 2009, or Republic Act 9593, which states that the application for the designation of a site as a Tourism Enterprise Zone must be accompanied by a Development Plan approved by TIEZA

Objectives

The following are the objectives of the consultancy engagement with Palafox Associates:

 Develop a Conceptual Tourism Master Plan (CTMP) for the entire San Vicente, with more focus on the identified four (4) Tourism Clusters (TCs) in San Vicente that have high potential for tourism development.  Determine the existing tourism resources of the identified four TCs of San Vicente using as reference previous studies and existing plans.  Define and formulate institutional reforms that will ensure inclusive growth such as but not limited to community-based tourism and livelihood projects.  Develop an Integrated Tourism Master Plan (ITMP) for the Tourism Cluster 1 (TC1) or the Long Beach area as priority site for designation as a Tourism Enterprise Zone (TEZ) under Republic Act No. 9593 and its implementing guidelines.  Identify the specific nature and scale of development in TC1 and its phasing over time.  Obtain an indication of the financial and economic viability of the development in TC1.  Determine the institutional, operational, and management arrangement in the implementation of the CTMP and the ITMP.  Identify the business and financing models for implementing, operating and maintaining the Project, and recommend the most suitable model among them.  Determine the projects that may be undertaken by TIEZA and/or DOT taking into consideration the latter’s convergence programs with other government agencies such as DPWH, as well as the corresponding costs of each undertaking.

Highlights of the Plan

 The Tourism Master Plan of San Vicente, Palawan intends to create a comprehensive plan that will transform the designated Flagship Tourism Enterprise Zone into one of the leading tourism destinations of the Philippines. In addition to the 14-kilometer Long Beach, other tourism assets offer a variety of attractions and features in San Vicente. Examples of niche tourism categories that previously have not yet been recognized but which San Vicente is identified to have great potential in are agri-tourism and eco-tourism for the vast agricultural lands and the existence of Protected Areas such as mangrove forests and coral reefs in the site.

2

 The Municipality of San Vicente is most known for its long stretch of white sand beach, the Long Beach. In order to preserve this feature, the easement is 50-meters from the High Water Mark, with guidelines for allowable uses in the 30 to 50 meter zone. To preserve the character of the beach, the existing vegetation and the tree line in the 0 to 50 meter zone must not be compromised to build the allowable uses.  To guarantee that the beach remains a public amenity, access roads along the whole stretch have been proposed especially since all of the beachfront properties already belong to private owners. These access roads are recommended to be at approximately every 400 meters, a comfortable walking distance for most people. While the roads are intended to be for pedestrian use, in the event of emergencies, they can also provide access for emergency vehicles.  While development is not fully in place yet at the Flagship TEZ, it is recommended that road networks already be planned. It is recommended that there be a hierarchy of road uses and users, wherein roads closer to the beach be smaller in width and will be mostly used by pedestrians, cyclists, and public transportation. Meanwhile, roads located more inland can be wider and can cater to larger vehicles such as service and delivery vehicles. Additionally, providing road access to areas inland can positively influence the land values in these areas so that they also benefit from the development.  Utilities must also be planned before full development takes place in the Flagship TEZ. By using population and tourist arrival projections, the demand for services can already be anticipated. The provision of utilities should be able to meet the demand and beyond. It is recommended that utilities be places underground, not only for the aesthetic advantages for the tourism destination, but also since they are better protected against extreme weather conditions.  As San Vicente is part of the Eco-towns Project of the Climate Change Commission, the recommendations of the Master Plan support its goals to improve the resiliency of San Vicente’s communities and ecosystems against the impacts of Climate Change. Utilities and services that are clean and renewable are recommended for their contributions to sustainability. Activities that are pollutive and have detrimental effects for the environment are not recommended, such as the use of Coal-Fired Power Plants and Mining Activities.

3

PROJECT CONTEXT

International, National, Regional, and Provincial Settings

It is necessary to consider the wider context of the site in order to understand the implications of its development to these settings and vice versa, in addition of course to its immediate surroundings.

The Philippines is an archipelagic nation located in Southeast Asia. Its strategic position places it at the geographical center of the world, at the crossroads of the Americas and Asia, Europe, Africa, and Oceania. Its location has given it the advantage of being in an ideal location for trade and tourism.

PALAWAN PROVINCE

Palawan is the westernmost province of the Philippines. The island province is surrounded by: the West Philippine Sea to its west, the to its East, the Calamianes Group of Islands to its north, and the island of Borneo to its south. With 42,500 hectares of mangrove forests, having 31 species and 90% of the known mangrove species in the country. in the municipality of Cagayancillo is a UNESCO World Heritage Site while the nearby National Subterranean River is one of the New 7 Wonders of Nature. The island is abundant in mineral resources such as marble, silica, limestone, nickel, chromites, copper, iron, pyrite, sulphur, guano and rock phosphates, mercury, gold manganese and oil.

MUNICIPALITY OF SAN VICENTE

QUICK FACTS

Region: (Region IV-B) Province: Palawan Founded: January 2, 1972 Barangays: 10 Area: 1,657.98 sq. km. Population: 30,919 (2010 Census) Total Density: 19 persons/sq. km. Ethnic Groups: Cebuano, Cuyunen, Ilonggo, Agutayno, Tagalog, Waray, Masbateno, Tabanua, Mindoreno, Bicolano Climate: Dry Season begins in December until May Wet/Rainy Season begins in June until November Northeastern winds (Amihan) prevails from November to May Rough coastal waters characterize the season of the southwestern (habagat) winds Attractions: White sand beaches, coral reefs, waterfalls, forest cover and mangroves, various endemic flora, serves as a habitat for the 23 of the 25 wildlife species found in Palawan

4

Brief account of the Municipality of San Vicente

The municipality of San Vicente was created on June 21, 1969 by virtue of Republic Act 5821. It officially functioned as a distinct municipality on January 2, 1972. San Vicente is located in the northwestern side of the main island of Palawan and is 186 kilometers away from Puerto Princesa City. Has a forest area of 82,080.09 hectares and 22 identified islands and islets within its municipal boundaries. Classified as a first class municipality, San Vicente is nestled in the northwest of Palawan’s mainland, bounded by the South China Sea in the West, the municipality of Taytay in the North, Roxas in the East and the City of Puerto Princesa in the Southwest. Bases on the 2010 NSO Census, San Vicente has a total population of 30,565 at a growth rate of 6%. Population increases by 3,500 from 27,065 in 2008 based on CBMS survey within a 2-year gap. The total number of households is 6,460 with average household size of 5 members. Fishing and farming are the major economic activities in San Vicente wherein 29.50% and 25.77% respectively are engaged in it. Rice and coconut are the major agricultural crops and fish products are adequate in the municipality. San Vicente’s 14km (8.7mi) of beachfront is being converted into an emerging tourist destination that will be the beneficiary of government spending on infrastructure. The nearest international airport to San Vicente is the Puerto Princesa International Airport. The construction of the San Vicente Airport is currently ongoing and it is expected that this shall be operational in the near future.

General Land Classification Map of San Vicente

5

PUBLIC CONSULTATIONS, WORKSHOPS, AND TECHNICAL MEETINGS

Over the duration of the project, the Project Team had met with the various stakeholders of San Vicente. It is essential for the project to consider the vision, expectations, and plans of other stakeholders in order to arrive at a proposal that incorporates all of these to become truly inclusive and well-rounded.

Public Consultations and Workshops

The public consultation and meetings were successful in that the team was able to capture the sentiments and learn of the concerns of the stakeholders. It gave much optimism about San Vicente as this was also an occasion to announce that a master plan was being prepared for the site and that there is a commitment from TIEZA to begin development in as early as one year.

The first public consultation was held on December 5, 2013 at the San Vicente Covered Court in . The various groups represented belonged to the following sectors - landowners, environment, institutional, socio-economic, and the civil Sectors, among others. In addition to the local residents, other stakeholders also sent their representatives from as far as Puerto Princesa and Manila. The following were the workshops and activities held - Aspirations Workshop, Local Resource Mapping, Environmental Assessment, a variation of a Strengths, Weaknesses, Opportunities and Threats Analysis; and finally, a Visioning Workshop. Furthermore, there were some additional data gathering and verification of comments. It was an opportunity for the team to learn about the local folklore, history, and other unrecorded data on the Municipality, which make up its culture and unique character.

Following the public consultation, there were subsequent meetings with the landowners of Long Beach held in Makati. Many attended the meetings and were very cooperative, despite their busy schedules. It was identified that there were many landowners who were investors from outside Palawan. They were keen to invest in Long Beach because they had recognized its potential early on. Many had mentioned that they would like it to become a world-renown destination such as Boracay: but would like to avoid the problems and drawbacks that it currently experiences such as pollution, overcrowding, and disregard for the local culture.

March 6, 2014 April 3, 2014 San Vicente Municipal Hall Manila Golf Club

6

CONCEPTUAL TOURISM MASTER PLAN FOR THE FOUR TOURISM CLUSTERS OF SAN VICENTE

This Conceptual Tourism Master Plan (CTMP) covers the four tourism clusters in San Vicente. These are areas of sites with high tourism potential, grouped according to their common themes and geographic proximity.

In each cluster, there are chosen priority areas which are believed to help develop these clusters into unique destinations on their own. In Cluster 1, this is the 14.7km Long Beach and the proposed Baywalk Boulevard. Other areas of interest include Daplac Cove and Capari Cove, the existing Pearl Farm, Boayan Island, two waterfalls in Kemdeng and New . Barangay Kemdeng also shows potential as a tourism area.

In Cluster 2, Port Barton’s islands, and its Marine Sanctuary with dolphins, sea turtles and dugongs are the main draw. Also present are a bat sanctuary, a butterfly sanctuary, and an animal sanctuary close to the IP village. There is also a large swath of mangrove, the largest in the municipality.

Cluster 3, or Northern San Vicente, is focused on agri-tourism and the improvement of the local livelihood of honey gathering among the Indigenous Peoples. There are also proposals for a farm resort to take advantage of the flat plains in the area and to build capacity among the community. The Imuruan Fish Sanctuary and a Bird Sanctuary on Wedge Island are available for eco-tourism.

Caruray, in Cluster 4, is in the southwestern part of the municipality. Cluster 4 is proposed as a gateway for tourism into Puerto Princesa. Sitio Gawid offers stunning views of Mt. St. Paul and could serve as a jump-off point for island hopping excursions. This cluster also includes the Decala Bird Sanctuary where thousands of white herons flock at dusk.

TOURISM FRAMEWORK STUDY

The Framework follows a spatial approach to Tourism Development wherein each cluster is assigned a theme based on its unique features and potentials. As these tourism product themes promote their different characteristics, destinations within San Vicente are not put in competition against each other; instead they contribute to the diversification of products and provide options for tourism destinations to visit. It highlights the different natural assets of San Vicente. The tourism product themes chosen where based on those promoted in the National Tourism Development Framework:

 Sun & Beach Eco-tourism  Adventure, Marine Sports, and Entertainment  Eco-tourism

In addition, through the promotion of eco-tourism, it has considerations for the place’s cultural assets, such as the inclusion of the Indigenous People in the plans, to allow them to continue their way of life with the ongoing development.

Per tourism cluster, there are identified growth centers where development shall be focused. The priority centers are Brgy. Port Barton (Cluster 2) and Poblacion (Cluster 1), as they are currently the most developed tourism areas. 7

Delineated boundaries for Tourism Areas will avoid conflicts in land use, especially since there are many identified Core Zones and Protected Areas in San Vicente. The identification of various tourism areas in the clusters ensured that the benefits of tourism will be dispersed in the long term. To support this development, various entry points to San Vicente are proposed, including those with the boundaries with Puerto Princesa in the South, and Taytay to the North. Other proposed roads to San Vicente provide an alternative route for travelers to Northern Palawan. Likewise, the road networks will support the role of the San Vicente Airport as a gateway to El Nido, especially since this is closer compared to the Puerto Princesa Airport. Improved interconnectivity will also have benefits and provisions of services.

8

INTEGRATED TOURISM MASTER PLAN OF THE LONG BEACH AREA IN SAN VICENTE

An 883-hectare area of land along the Long Beach of San Vicente was selected as one of the first Flagship Tourism Enterprise Zones (TEZ) of the Tourism Infrastructure and Enterprise Zone Authority. This area was seen as having the most potential to be developed into a TEZ because of its unique beach, the longest stretch in the Philippines, and its proximity to an airport. Furthermore, the construction of the ongoing Itabiak Road leading from the national highway into the municipality will make it easier to be reached by land.

It covers the whole length of the 14-kilometer coast, with the shortest depth at 280 meters located in Area 1, and the longest depth at 1,225 meters (or 1.2 kilometers) also found in the same Area.

Area Tabulation

Barangays Size Area 1 Poblacion & New Agutaya 366.04 hectares Area 2 San Isidro 209.25 hectares Area 3 Alimanguan 307.76 hectares TOTAL 883.05 hectares

Site Dimensions

9

AREA TABULATION

10

DEVELOPMENT PRINCIPLES

The following development principles have been chosen as the fundamental approaches for the tourism master plan and development in San Vicente. These are the guiding principles that will ensure that sustainability will be achieved by the proposals. They are listed below as well as through the images.

Advocacy for the 12 Gs of Sustainable Design Development in mind:

1. Green Architecture – Integration of nature into the building’s design. 2. Green Urbanism – Proposal for mixed- use developments wherein commercial establishments are nearby residential areas to encourage sense of community; and to reduce time and energy consumed in travelling, thus enhancing quality of living. 3. Green Technology – The use of innovative materials in construction that are cost-effective and environment-friendly. 4. Green Energy – Promotion of renewable energy sources to generate power and for development of “zero- net energy” buildings. 5. Green Infrastructure – Pertains to the design and provision of strong infrastructure with respect to the environment and critical areas. 6. Green Manufacturing – Establishment of agri-tourism industries for livelihood opportunities for the local residents to promote sustainable practices, which will lead to the production of high quality products. 7. Green Transportation – Prioritization of pedestrians, bicycles, and public transportation over private vehicles. 8. Green Jobs – Support for locally-made products to help strengthen the local economy of San Vicente. 9. Green Purchasing – Support for locally-made products to help strengthen the local economy of San Vicente. 10. Green Sustainable Development – Refers to the sustainability of the economy, society, and local culture anchored towards the preservation of the environment.

11

Triple E/P Bottom-Line

1. People/Social Equity – Accessibility and safety of the users are prioritized with the goal to mitigate and reduce disaster risks. Public green spaces promote social equity and are venues where travelers and local residents alike can intermingle.

2. Planet Earth/Environment – Environmental Sustainability is promoted as developments are encouraged to support locally sourced food and materials. Developments will consider the preservation of designated core zone areas. The natural character of the site will not be compromised through a lot occupancy restriction of only a 50% buildable area.

3. Profit/Economy – The support for locally sourced products contributes to the development of the local economy through its industries such as agriculture and tourism. The master plan will include the enhancement of existing cultural assets, promoting the local livelihood and traditions to increase their value.

Encouraging Public-Private Partnership to maximize the strengths of collaboration between public and private sector in their efficiency and provisions for services. Creation of Livable Communities that prioritize people and the establishment of a sense of community within neighborhoods. Eco-tourism – this will be an informative recreational activity where tourists learn about their responsibilities to the environment and their contributions to the local community. They are encouraged to enjoy the natural attractions in the site, one of its best assets. Waterfront Development – Coastal areas can be developed as a front door to developing with waterfront resorts that take advantage of its natural water features. A proposed 50 meter setback along the coastline increases the waterfront amenity, highlighting the beach as a tourist attraction and destination. Protection of Environmental Resources – The rehabilitation and preservation of natural attractions like coral reefs, mangrove forests and coastal areas will be considered in the design of the master plan. Use of “Carrots and Sticks”, employing incentives and charging as a catalyst to investment in the area. The incentives help in promoting sustainable developments as the preferred option. Fostering Multi-use and Mixed-use Developments for the best use of land resources and for additional income generation.

12

Prioritization of the creation of green spaces to provide public open space amidst the density of development. Recognizing the role of the airport as a stimulus for urban growth, economic progress, and globalization, therefore, planning the spaces of a development should correspond to this. Making use of an area’s tourism potentials by developing destinations while capitalizing on its unique attributes. Support the advocacy for holistic and healthy tourism experiences such as medical tourism or other specialty health and wellness tourism activities and experiences. Promoting the New Urbanism concept wherein ground floor spaces have active frontages; therefore, used at their full commercial potential. Security is provided by having “eyes on the street”, wherein crime is expected to decrease because of the presence of the public acting as potential witnesses. Finally, disaster-ready designs will be taken into consideration. Additionally, the master plan will consider the allocation of public spaces for evacuation, and propose roads for access during and after disasters. It will identify which areas of the site are at risk of flooding and storm surges, and will put forward recommendations in order to be prepared for disasters when they do happen.

13

Features of the Areas in Long Beach

Area 1: Poblacion and New Agutaya

Aerotropolis – A mostly developed area that has an ongoing airport construction, where the Poblacion will be developed to be the immediate tourist destination. In addition, commercial centers will be built near the airport to take advantage of the tourist influx. Improved access directly to long beach will be provided. Mixed-Use Development - Integrating different land uses maximizes the full potential of a development and promotes versatility to better cater to the needs of the intended market. These also promote diversity in neighborhoods. A feature of mixed-use developments that consider disaster mitigation may include having commercial areas at the ground floor of structures while residential uses are restricted to the upper floors. Green Open Spaces – Areas are designated for leisure, sports, and recreation. These include linear parks found along riverfronts and the mangrove area which is to be developed as a site for Ecotourism activities.

Area 2: San Isidro

Known tourist attractions of San Isidro would include Bokbok Point, the mountainous views, the existing residential community, and its beaches of fine white sand. A boat docking facility is proposed to allow them direct access to the TEZ area, as well as allocating a special docking area so that swimmers and other beach users will not be disturbed.

Area 3: Alimanguan

This area has two highland areas offering views of the coast and the rest of San Vicente. The fisherman’s village has high potential to be developed as a cultural heritage site and retained for an added tourist attraction. There are areas of that are part of the Malampaya Protected Landscape Area, which is considered a Protected Area by the Palawan Council for Sustainable Development. Eco-tourism Activities are recommended for this area.

14

ZONING MAPS FOR LONG BEACH AREA

AREA 1

15

AREA 2

16

AREA 3

Site Plan with Proposed Developments

17

Site Plan of the 14.7-km. Long Beach

Area 1: Poblacion and New Agutaya

Site Plan

18

Area 2: San Isidro

Area 3: Alimanguan

19

Development and Activity Concepts for Long Beach Area

Eco-tourism Travelers will experience eco-tourism as a form of an informative recreation where they learn their responsibilities to the environment and their contributions to the local community. They are allowed to enjoy the natural qualities of Long Beach, one of its best assets. Some strategies for eco-tourism include the development of mangrove walkways and boardwalks showcasing the natural beauty of the landscape, the educational signages for tourists that inform them of evacuation centers and tourist hot spots, and the promotion of local culture, arts and crafts.

Waterfront Development Coastal areas can be developed as a front door to development with waterfront resorts that take advantage of its natural water features. A peripheral 50-meter offset along the coastline creates an amenity of the waterfront, highlighting the beach as a tourist attraction and destination.

Protection of Environmental Resources The rehabilitation and preservation of natural attractions like coral reefs, mangrove forests and coastal areas are considered in the design and planning of the TEZ development. The protection of NIPAS zones with eco-tourism potential will be achieved through awareness campaigns directed to the local communities and tourists.

Transportation Options The development will consider pedestrians as its first priority, followed by bicycles, public vehicles, and private vehicles as the last priority. The existing road along the coast of Long Beach will be improved by humanizing its use. It is proposed that 1/3 of the road right of way be designated for pedestrians and bicycles, 1/3 for landscaping and 1/3 for moving vehicles. (see Streetscape & Landscape Proposals)

Access roads with pedestrian walkways will be provided to the Beach every 400 meters. Roads and pathways will be developed by providing bike lanes, public and private vehicles lay-bys, and specialized service roads for ambulances, fire trucks, or heavy-duty vehicles. The access roads will extend the urban grid towards future expansion areas, minimizing congestion within the development and improving the access to service.

20

Sample Images of Development and Activity Concepts for the Long Beach Area

21

22

23

PHYSICAL FRAMEWORK PLAN

Proposed Road Network

One of the main hindrances to the development of San Vicente is the inconvenience of access between barangays, and to/from San Vicente from the other towns. Although there are road trails that provide access to some areas, especially those used as farm-to-market roads, it is essential to plan the network based on the type of land use and development anticipated.

The intents of the proposed road network are to: provide convenient and direct access to areas of development, provide bypass routes to avoid vehicle congestion on roads, and to divert heavy traffic away from main pedestrian areas. It will provide:

 Direct access to each tourism cluster from outside San Vicente  Access to the sea ports through proposed coastal roads (these will avoid the mangrove and forest areas)  Improved links to Northern Palawan/ El Nido (these will be beneficial for the development of the San Vicente Airport)

1. Access Roads The proposed access roads to the beach are located roughly every 400 meters. This will allow direct access to the beach for pedestrians. Vehicles will be allowed to use these during emergencies. The recommended width for this road is 3 meters, while those linking the community centers to the beach are recommended to have a width of 10 meters due to the expected increase in volume of pedestrians.

24

2. Existing Roads Existing roads will be improved by widening them to incorporate a sidewalk and landscaped sections, making them more pedestrian-friendly. The recommended width for this road (including landscaping and sidewalk) is 20 meters. A convenient intermodal transport network set in place is hoped to reduce the dependence on private vehicles, thus resulting in less private vehicles using this road.

3. Curved Road The proposed curved road will give access to inner properties, as well as easing traffic on the existing road. Its curved shape is a design control to regulate the speed of vehicles that pass through; the curves cause vehicles to reduce their speed as opposed to a straight road. Vehicles running at a slower speed pose less threat to pedestrians. The recommended width for this road (including landscaping and sidewalk) is 20 meters.

4. 40 meter Bypass Road

Another proposed road will be located parallel to the main road, about 1 kilometer away. It is located outside of the TEZ boundaries, acting as a road where trucks, service vehicles, and other large vehicles may usually pass through.

Proposed Transport Network

A successful tourism destination requires an effective transport network wherein its users, particularly tourists, can easily go around on public transportation. As visitors, they are least likely to have access to private vehicles, which are usually the more expensive option to go around. These proposals will make use of the proposed seaports, airport, and road networks.

It will contribute to the improvement of:

 Accessibility within San Vicente and to other towns  Trade through easier and faster exchange of goods  Access to other barangays through regular and consistent scheduled trips

25

Solid Waste

In general, San Vicente households produce waste that are mostly organic in nature and result from agricultural production and processing activities. They include crop residue, food remnants, leaves and grass from clearing of sites, animal manure and dung, ashes, dead animal carcasses, etc. Other solid wastes include glass, plastic containers, metal scraps, tin cans, plastic bags, and obsolete agricultural pesticides and insecticides. Proper waste segregation must be done at source as this will pick out the recyclables and can minimize the total volume of end waste that will end up in landfills. There is a need to allocate certain areas, per barangay if this is possible, where a Materials Recovery Facility may be located. In anticipation of the construction brought by development, the local community must already be prepared for all the waste that this will generate. Hazardous waste should be regulated in coordination with developers. There is a real need for improvement in current levels of operations and in the design and setting of new facilities to upgrade current levels of environmental 26 degradation.

Recommendations: Controlled Dumping, Sanitary Land filling, Integrated Solid Waste Management, Composting

Sewerage

In San Vicente, the technologies currently available for rural sanitation are very limited. Proposed national sanitation policies recommend extending sewerage networks to cover the entire population of San Vicente, even in remote areas. However, for most remote and small households, on-site sanitation options such as improved latrines are likely to be more cost-effective, more easily available, and much less expensive than sewerage system.

Recommendations: It is recommended that the Municipal Government, with the support of TIEZA and a public-private partnership entity, lay the Groundwork for substantial investments in rural sanitation and hygiene. At present TIEZA is in the direction of co-financing the system to address sanitation and hygiene. The systems to be engaged for the primary areas are to be modular in construction as to interconnect with future developments.

Power

For most of the households who have access to electricity in San Vicente, particularly in the Long Beach area, it is supplied by a two unit 180-KVA generator by National Power Corporation (NAPOCOR) and two 250 KVA generators owned by the Municipal Government and supplied through the Palawan

Electric Company (PALECO). There is still a significant percentage of the population that has no access to electricity. After PALECO, the next dominant power source is from generators. Existing resorts and some residences source their power through their own generators. The current source of power is clearly not adequate for the local population, and needs to be significantly improved to cater to population growth and tourist arrivals. Lastly, there needs to be an adequate source of power for use during the construction stages of the development.

Recommendation: San Vicente’s energy program will be guided by the municipality’s development needs, energy resources and priorities. The combined knowledge and expertise to deliver our energy program will need the support of partnerships, including multilateral development banks and the private sector.

It is recommended that the LGU and TIEZA will focus on activities that support green growth, for example, higher efficiency in energy, demand-based management, and preference for renewable sources of energy. Given the implications for climate change arising from increasing greenhouse gas emissions, it should be in San Vicente’s interests to do more to support the adoption for green energy technologies. Likewise, it will benefit the image of Palawan as a sustainable eco-tourism destination if such technologies are applied.

An immediate alternative to address the issues for fluctuating power supply and the future demands for the master planned development would be through temporary power barges that could provide

27 power during the interim period. They will be manufactured within a shipyard and then fitted out with generating equipment before being transported to the location where they are to operate. The composition and operating conditions will vary considerably from barge to barge. Power barges offer a quick and economic solution to building Power Plants in remote parts of San Vicente, providing of course that they have access to the sea, where these are docked. However, finding a suitable site for the power barge might require dredging the seabed to meet the draft requirements; therefore, dredging should only be considered a last alternative.

Other potential sources of energy include solar energy among many others. Renewable energy sources like solar energy should be prioritized as they are more sustainable options. Solar energy is ideal for the area as there are vast areas of land exposed to sunlight available for solar farms. Additionally, solar energy could also be harvested domestically within individual properties, which is already a practice for some residents. However, as solar power is dependent on the number of hours of sunlight per day, there needs to be a base supply for power which can be used during its off-peak hours.

An option for the base power supply would be biomass power plants that run on energy crops and agricultural waste such as discarded stalks and stems. An advantage for San Vicente is that biomass is already available due to agriculture being a main activity of the local economy. The energy crops used in other similar projects include hybrid grass such as “Pak Chong”, which are easy to maintain and are susceptible to typhoon damage. To produce a mega watt of energy, about two hectares of land is needed for the energy crops while the Power Plant, which includes the gasifier, takes up about one hectare of land. Another advantage for this type of technology is that the gasifier does not require water in its operations. It is recommended that the Power Plant be located in an area close to the TEZ but where land is still affordable.

Water Supply

Currently water supply is acquired from deep wells or pumped in by the local water district ran by the Local Government Unit. In response to the priority placed by rural communities on the provision of safe potable water, the support for the rehabilitation and construction of point sources, communal faucets, springs and tube-wells.

Adequate access to potable water is defined as having an all-year round potable source within 5 minutes walk from the house.

Implementation of water supply schemes will be supported in places where: a) the present source is contaminated, inadequate, or so far from the beneficiaries that collection results in loss of productive time, b) the potential source is safe, adequate and can be developed in a cost-effective way, and c) improved potable water supply can result in improved health and contribute to increased

28

community productivity

Recommendation:

Construction of intake boxes at springs Construction of reservoir and break pressure tanks Laying of distribution pipes and construction Installation of tap stands, and Drilling of tube-wells and provision of hand pumps where groundwater of adequate quality for cost-effective extraction is present

PHASING SCHEDULE

The recommended Phasing Plan for the development is as follows:

Water Supply

STP1,2,3

Power Distribution Grid

Access Roads Phase 1 Branded Lodging Facities

Tourist and Public Areas

Completion of existing national road

Flood Mitigation

Access Roads Phase 2 Curved Road

Access Roads

Phase 3 Service Road (offsite)

Additional STPs

29

PHYSICAL DEVELOPMENT STANDARDS

Easement and Setbacks

A 50-meter easement parallel to the established mean high water mark along all coastal areas in the mainland is recommended. This is recommended in consideration of the effects of sea level rise, the shoreline retreat due to climate change, and the risks brought by the beach’s vulnerability to storm surges and flooding. The 50-meter easement consists of the following zones: the 25 + 5 meter no-build zone, which is mandatory in Philippine law and ordinances, plus the additional area of the 20-meter zone which will have guidelines for allowable uses. The space taken up by the easements may be used as recreation space for the public as well as walkways for pedestrians. Permanent structures, billboards, and large signage shall not be allowed within the beachfront easement. Light-structured huts may be put up, provided that they are moveable and do not have foundations.

Allowable Uses within the 0-50 meter Setback

30

Building Height Limit

This is based on the existing building height limit of nothing above the coconut trees, the soil strength, and aerodrome clearances set by the nearby San Vicente Airport. The construction of buildings in all buildable areas should observe Adaptive Architecture wherein there are no livable spaces on the ground floor and buildings are recommended to be constructed on stilts. This allows the breeze to flow freely to the inland areas.

Building-to-Open-Space Ratio (Percentage of Lot Occupancy)

All properties and building developments within San Vicente, Palawan shall conform to the standard of 50% buildable and 50% non-buildable building-to-open space ratio or Percentage of Lot Occupancy (PLO), which is the existing guideline recommended in the Municipal Tourism Code of San Vicente.

ENVIRONMENTAL AND SOCIO-CULTURAL MANAGEMENT PROPOSALS

Carrying Capacity Study 31

Based on an assessment of carrying capacity in terms of physical, economic, bio-physical and political- economic, the proposed Integrated Tourism Master Plan will have the following limits to development:

 Tourist arrivals will not exceed the physical carrying capacity of the Long Beach, which has been estimated at 362,500 assuming the highest growth scenario.  Except for marine resources, San Vicente will continue to obtain its food products from neighboring municipalities to feed its population.  The protection of endangered flora, fauna, marine resources, watershed areas will require monitoring of tourist activities in these sanctuaries, census of the endangered population, as well as, further studies of other flora and fauna, for example, butterflies.  Water and power supply, circulation and waste management will be limited by the technical, economic and financial viability of each of these systems as well as the availability of government or private investments. The planned systems are expected to accommodate the projected tourist arrivals and the host population planned systems are expected to accommodate the projected tourist arrivals and the host population.

Impacts, Issues and Concerns on Tourism Activities and Structures

Continuing monitoring of tourism development impacts, issues and mitigating measures is proposed for TIEZA and the LGU to undertake in order to sustain tourist arrivals and investments and these have been summarized in the following table.

TCC Issues Description Options to Mitigate Issues and Ranking Constraints Water Supply shortage Insufficient water to meet all (1) While there is much discussion current public use concerning the water supply, requirements at peak times as the initiatives being proposed well as potential future needs will enable further tourism brought by increased developments where there is a businesses, and residential demand and availability of developments. land. Wastewater Limited ability to increase (1) Identify any necessary management wastewater capacity which improvements to reticulated could place restrictions on wastewater infrastructure to new development projects accommodate any anticipated (business/residential). settlement growth. Workforce availability Limited availability of (1) Investigate potential to free up permanent and temporary *empty* holiday homes for workforce particularly for the rent to permanent and tourism sector. temporary employees. What incentives can be provided? Commercial land Commercialize zones sites to (1) Identify existing sites that availability increase tourism could be used for tourism accommodation, activity and development, determine attraction development. potential activity, rank sites based on cost/benefit analysis (2) Investigate the potential for and encourage greater use of *empty* holiday homes for use by visitors (3) Investigate potential for commercial accommodation, in particular, to be located in other locations. 32

SOCIO-CULTURAL MANAGEMENT PROPOSAL

The tourism resource-assets of an area wield strong influence on the culture of the host communities. The cultural traditions and customs inherent in San Vicente are already a facet of tourism development, as are used to attract visitors to the area. However, in most cases, when not so densely populated or underdeveloped areas like San Vicente gain access to public use (as a tourism destination), its cultural environment becomes vulnerable to various changes. This makes the management of the socio-cultural assets even more imperative. Below are the recommendations put forward:

1. Consolidate existing and/or develop socio-cultural tourism packages/circuits based on an inventory of tourism assets identified with the help of Local Tourism Officers. 2. Develop a strategy to promote socio-cultural programs on identified sites within the area including the provision of guidelines, recommendations for zoning, investment in infrastructure, and offer of incentives for development of these programs. 3. Develop and implement tourism standards for the proposed socio-cultural programs. 4. Develop a registry of stakeholders of the site to create a coalition for greater participation in socio-cultural programs. 5. Secure safety of the communities within the area especially for youth, women, and the elderly through the support of a local-based security force and Partner Agencies: Philippine National Police (PNP), Department of Justice (DOJ), Department of Interior and Local Government (DILG). 6. Create awareness and appreciation of socio-cultural programs in the cluster through availability of literature and other forms of media highlighting the cultural heritage and other tourism resource assets of the cluster. 7. Develop a research network among tourism schools and institutions. 8. Improve food safety standards and boost tourism spending. 9. Initiate environmental policies in socio-cultural programs within the area (e.g. mangrove tour and related activities).

INSTITUTIONAL MANAGEMENT PLAN

Transition Plan

TIEZA SV LGU Private Association Phase I Memorandum of Agreement Phase II Memorandum of Agreement Phase III Designated as TEZ Operator

Proposed Timeline

Month TIEZA San Vicente Municipal Private Sector Government 00 to POLICY & INCENTIVES LEGISLATIVE MEASURES ASSOCIATION FORMATION 06  Finalize and articulate  Enact legislation adopting the  Canvass for membership policies governing the Integrated Tourism Master Plan among land-owners and administration of (ITMP) enterprises in the TEZ- incentives  Enact enabling legislation for the designated area  Finalize technical studies implementation of Integrated 33

for basic infrastructure ITMP projects  Enact or review legislation pertaining to local incentives  Disseminate adoption of ITMP and circulate related information  Circularize legislation pertaining to local incentives of investors  Circularize the enacted ordinances pertaining to the implementation of the ITMP 06 to ADMINISTRATIVE ADMINISTRATIVE ADMINISTRATIVE 12  Determine staffing  Determine staffing and  Draft Articles of requirements, assignment redeployment policies and Incorporation and By- conditions, operating procedures for the day-to-day Laws procedures and reporting operations and maintenance of  Incorporate and register lines the designated TEZ with the Securities and Exchange Commission TEZ MANAGEMENT TEZ OPERATIONS  Form standing  Draft Terms of  Draft Terms of Engagement with committees Engagement with the San TIEZA on scope of responsibilities  Resolve to adopt the Vicente Local Government for the day-to-day operations, = Integrated Tourism Unit for day-to-day maintenance of the designated Master Plan (ITMP) as operations, maintenance, TEZ, and acquisition of land the basic reference is the and acquisition of land (facilities, roads, etc.) development of San (facilities, roads, etc.) Vicente TEZ MANAGEMENT INVESTMENT PROMOTIONS  Align the CLWUP with the ITMP  Design and develop action plan for Investment Promotions 12 to INFRASTRUCTURE DESTINATION MARKETING DESTINATION MARKETING 18 DEVELOPMENT ARRANGEMENTS & PROMOTIONS  Draft Terms of Reference  Draft Terms of Engagement with  Draft Terms of for Infrastructure Projects the Private Sector Association on Engagement with the  Determine funding sources the scope of destination Local Government Unit for basic infrastructure marketing arrangements, data on the scope of projects gathering and the operation of the destination marketing public information center and arrangements, collation tourist information desks the of data and the operation designated TEZ of the public information center and tourist HUMAN RESOURCES DEVELOPMENT information desks the  Conduct HR need assessment to designated TEZ determine the modules that enhance tourism-related PRODUCT DEVELOPMENT competencies  Develop inventory of  Liaise with TESDA and the available products and Palawan State University to registry of tourism enhance tourism-related modules enterprises  Draft the Terms of Reference for a  Determine products to private-sector training provider to be developed based on deliver the training modules market potential and/or market demand COMMUNITY LIAISONS  Provide “on-the-job  Conduct tourism awareness and training” opportunities value formation seminars among for learners and trainees most affected communities of the Palawan State University Campus in San Vicente.

34

COMMUNITY INITIATIVES  Engage community participation in tourism initiatives, in particular womenfolk and out-of- school youth 18 to INFRASTRUCTURE OPERATIONS MARKETING 24  Initiate bidding process,  Acquire land for land-fill facility  Implement the proposed evaluate bids and award  Draft Terms of Engagement for Marketing Plan contracts Landfill with TIEZA on scope of  Initiate bidding process, evaluate bids and award contract 24 to INFRASTRUCTURE OPERATIONS MARKETING 36  Start and complete  Monitor performance and  Monitor effectiveness awarded contracts such as effectiveness of the operations and performance of the Water Distribution, and maintenance agreement implementation of the Sewerage Treatment Plant Marketing Plan 2, Roads, Landfill and  Monitor progress of Lodging Facilities product development  Monitor effectiveness and performance of the community initiatives

The foregoing suggested time lines for the institutional arrangements to be worked out may serve as the basic framework for each key player that is essential for the implementation of the Integrated Tourism Master Plan for Long beach.

While a number of issues and concerns need to be resolved, these time lines provide actions to be initiated for implementation and the mile stones to be achieved prior to upgrading or new or additional construction is undertaken.

35

BUSINESS DEVELOPMENT PLAN

Marketing Plan for the San Vicente Tourism Enterprise Zone

Three options have been put forward for the Marketing Options for the San Vicente Tourism Enterprise Zone: Option 1 Option 2 Option 3 Volume Low Volume Medium Volume High Volume Type of Tourist High-end Market Balanced High-end and Predominantly Mid- Market Mid-range Market range market Type of Tourism Leisure tourism and Leisure tourism, eco- Leisure tourism, eco-tourism to attract tourism, adventure adventure tourism, and visitors tourism, and cultural cultural tourism tourism Origin Country /  Western Europe For the mid-range  East Asia Region of Tourist  Northern Europe offerings:  Southeast Asia Market  North America  Western Europe  Local tourists  Australia  Northern Europe  Mid-range to high-  High-end tourist  North America end tourist market market from: East  Australia from countries in Asian and Southeast  East Asia and North America, Asian countries Southeast Asia Western Europe, (such as South  Local tourists Northern Europe Korea, Japan, China and Australia and Singapore) For high-end offerings:  High-end tourist  Europe market in the  North American Philippines markets  High-end tourist market in the Asian countries Tourist Profile  Middle-aged  Middle-aged  Small groups of professionals professionals friends and families  Couples or  Couples or  Young adults honeymooners honeymooners (including  Small groups of  Small groups of backpackers) friends and families friends and families  Middle-aged  Retirees looking for professionals relaxation For the mid-range  Couples offerings:  Young adults tourist market, which includes backpackers Market Image to “exclusive resort living” “beach destination “beach destination attract the Priority and “communion with which offers a full which offers a full Tourism nature” spectrum of activities” spectrum of activities” and a cultural and a cultural

36

Distribution Strategy

For the marketing of the San Vicente Tourism Enterprise Zone, it is recommended that a different strategy be employed for each target tourist market.

Country/ Region/ Market Marketing Strategy Western Europe  Tap into the online peer-to-peer services market  Incorporate eco-tourism and culture in ads, posters, marketing materials Northern Europe  Tap into the online peer-to-peer services market  Incorporate eco-tourism and culture in ads, posters, marketing materials North America  Tap into the ‘Professional Aunt, No Kids’ (PANKs) demographic  Incorporate cultural immersion and family activities in advertisements and marketing campaigns Australia  Integrate outdoor activities in advertisements and marketing campaigns  Focus on the natural attributes of the destination  Offer “backpacker” package tour Asia  Advertise online and in mobile applications  Partner with travel agencies High-end Market  Build strong brand loyalty and brand identification  Mainly focus on the exclusivity of the destination and a unique and personal experience  Features in high-end print and online travel magazines Other Marketing Strategies  Be active in social media, blogs and travel websites  Marketing through online travel agencies such as Agoda and TripAdvisor  Advertise online through Search Engine Optimization and other online advertising means such as Google AdWords  Traditional marketing strategies such as print magazines and television advertisements  Be feature in travel-related televisions programs  Incorporate a short AV commercial with catchy song/tagline (such as Malaysia Truly Asia)  Inflight advertising

37

Initial Pricing Strategy

Since San Vicente is still a relatively new tourism destination, tourism products should be priced competitively in each market segment, from mid-range to high-end/luxury markets. The following table shows the suggested room sizes and initial room rates for the various accommodations to be developed in San Vicente.

Suggested Room Sizes and Room Rates of Accommodation by Market Type Market Approximate Room Approximate Room Rates Sizes (php/room/night) (sq.m.) Mid- 30-40 3,000 – 6,000 Market High-End 50-60 15,000 – 20,000 Ultra High 70-80 50,000 – 60,000 Source: JLL Research & Consulting

The pricing for the accommodations and services catering to the mid-range market should be competitive with other similar destinations in Palawan, such as Puerto Princesa and Coron; and similar destinations in the Philippines, such as Boracay and Panglao Island in Bohol, to name a few. Meanwhile, high-end and ultra-high accommodations should be reasonably priced, and should offer high quality products and services.

Tourism Demand Projections for the San Vicente Tourism Enterprise Zone

The projections on tourism demand are based on the projected tourism demand for the whole of San Vicente discussed in the Conceptual Tourism Master Plan for the Municipality of San Vicente.

In order to estimate the tourism demand for the Tourism Enterprise Zone, it is assumed that the area will corner around 10% of the total projected tourists for San Vicente at the start of the development period. The share of the area is expected to grow to around 15% by 2016, 20% by 2017, 25% by 2019, and 30% by 2021 and up to 60% by 2031.

In estimating accommodations, it is assumed that each room will be occupied by two (2) guests. The average length of stay of the tourists is expected at four (4) nights. In projecting the number of rooms required to accommodate the projected tourism demand, the seasonality of the tourism demand was considered, and estimates below show the number of rooms needed during the peak season in the months of April and May.

Option 1 Option 2 Option 3 Volume Low Volume Medium Volume High Volume Type of Tourist Market High-end Market Balanced High-end and Predominantly Mid- Mid-range Market range market Projected Tourist 1,000 (2014) 1,000 (2014) 1,000 (2014) Arrivals (Year) 19,500 (2021) 39,750 (2021) 60,000 (2021) 116,100 (2029) 598,050 (2029) 1,080,000 (2029) 1,320,000 (2044) 3,660,000 (2044) 6,000,000 (2044) Projected Number of 10 (2014) 10 (2014) 10 (2014) Rooms (Year) 203 (2021) 415 (2021) 626 (2021) 1,211 (2029) 6,238 (2029) 11,265 (2029) 13,768 (2044) 38,175 (2044) 62,583 (2044)

38

CONCLUSION

1. The Master Plan presents options for attractions and activities in addition to the 14-kilometer Long Beach. 2. Recommendations consider the projected tourist arrivals and population. 3. Planning should be a multi-disciplinary approach. 4. Local residents and indigenous people must be included in the development. 5. Preserve, protect, and increase the mangrove areas. 6. Use of indigenous plants in landscaping and indigenous materials in buildings recommended. 7. It is recommended that the existing setback be increased to 50 meters, with guidelines for allowable uses for the 30 to 50 meter from High Water Mark zone. The existing tree line and vegetation within the 0 to 50 meters from High Water Mark should not be compromised to build the other allowable uses. 8. Hierarchy of road users: roads closer to the beach should prioritize people. While service roads will be located more inland where there are less pedestrians. 9. Access roads are recommended for access to the beach and as part of rescue and evacuation routes. 10. The critical area for flooding is the Barangay Poblacion and New Agutaya along the river and the agricultural areas near the airport. 11. Community centers and highland areas will provide necessary open spaces which can also serve as evacuation areas during emergencies. 12. Off-site improvements are necessary: affordable housing, flood mitigation, Power Plant, and solid waste management facilities. The San Vicente local government must begin to secure properties wherein the infrastructure and utilities will be located as soon as possible. 13. Following the approval of the Master Plan for the Long Beach Area, a Deed of Restrictions can be drafted for the plan to ensure that it will be properly implemented. The document will contain more detailed guidelines for compliance of all developments in the Flagship TEZ. 14. Other next steps recommended for the project include the creation of detailed plans for the other three clusters, as identified in the Conceptual Tourism Master Plan. Eventually, the Flagship Tourism Enterprise Zone could include the area of the whole municipality.

39