By Brian Campued
“Ang proyektong ito ay napakaganda dahil siguradong panalo ang Pilipinas at panalo ang Pilipino.”
Amid criticisms against the Pax Silica project, the Bases Conversion and Development Authority (BCDA) stressed that the proposed 1,600-hectare artificial intelligence (AI)-driven industrial hub at New Clark City in Capas, Tarlac will comply with Philippine laws, including the BCDA Charter and the Investors’ Lease Act, while contributing to national development.
In a Palace press briefing Thursday, BCDA president and chief executive officer Engr. Joshua Bingcang addressed various public concerns over the project, including possible resource exploitation, environmental strain, and national sovereignty.
Bingcang said that the United States-backed framework aims to position the Philippines as a global hub for AI, semiconductor processing, critical minerals, advanced manufacturing, computing, and data infrastructure.
“Pax Silica is envisioned as a Philippine hub for industries of the future… It is intended to create better jobs for Filipinos and build capabilities that will remain in the country… Pax Silica can help move the Philippines higher in the global value chain,” he said.
Through the project, Bingcang noted that Pax Silica is expected to generate 130,000 to 190,000 direct jobs and 500,000 to 800,000 indirect jobs. The country will also reap economic benefits upon the implementation of the initiative, with an expected P60 billion in lease income over 25 years, P68-P75 billion in annual withholding tax potential, and $200 billion full export potential.
“Ang Pax Silica po ay ecosystem ng mga industries, ito po yung mga high-tech industries na gusto nating dalhin dito sa Pilipinas. Ang layunin natin, alam po natin napakadaming talentong magagaling dito sa ating bansa, ay maging brain gain tayo imbis na brain drain,” he said.
Myths vs. Facts
Chief among the criticisms over Pax Silica is that it will allegedly consume community water resources to operate data centers. The BCDA clarified that water will come from surface water harvesting, storage, treatment, and recycling.
“Ang ibig sabihin niyan, lalo na po ngayon papasok na po ang rainy season, huge amount volume of rainwater dumadapo po d’yan,” Bingcang said. “Sapat po yung tubig na pwedeng pagkuhanan doon, at kung may surplus, pwede pa naming i-share ito sa mga community around.”
He also added that at least 40% of the total 1,600-hectare land earmarked for the project must be dedicated to open, green spaces. Also part of their master plan are sustainable water management as well as renewable energy sources.
According to Bingcang, while initial assessment puts the energy consumption of Pax Silica at around 3 gigawatts per day upon full build-out, it will not be getting energy from residential sources.
Under the BCDA master plan, clean energy facilities are expected to be built inside the area to provide multiple sources of energy, such as solar, wind, or geothermal. Up to date, the BCDA is able to ensure and allocate 500 megawatts from solar farms that are being built.
“We want to be responsible in this development. We don’t want also to compete with the power supply that is earmarked for the general population,” he said. “Ang gusto po namin dito is reliable, clean, stable, and affordable power for this project.”
Bingcang likewise denied that the Pax Silica will displace Indigenous Peoples, clarifying that the project is outside titled ancestral domains and livelihood and employment programs will be provided to affected communities.
“Ang proyekto pong ito unang-una ay nakatitulo na sa BCDA, so it’s a public land. Wala pong ancestral domain title doon. Pangalawa ay naka-earmark na ito sa pagbuo pa lang ng BCDA Law noong 1992 na ito ay industrial development,” he explained.
On claims that the project will damage the environment, the BCDA chief emphasized that the project will not engage in mining but will focus on processing critical minerals into higher-value products.
“Environmental protection, especially for surrounding communities, remains non-negotiable. Priority po ‘yan,” he stressed.
Bingcang further explained that there will be no place for manufacturing weapons under Pax Silica. The project is “purely commercial” and intended for AI, semiconductor, and advanced manufacturing facilities, among other industries and not for defense-related activities.
He also shared that around 20-30 companies have signified interest in investing under Pax Silica, assuring investors that predictable and consistent policies will continue to be implemented by the Philippine government beyond administrations.
“Ito po ay magbibigay ngayon ng framework, ng stability and predictability para sa ating mga mamumuhunan kasi bubuuin natin ito na magiging compliant ito sa lahat ng mga regulation, international laws, at maging iyong tinatawag po nating mga ESG goals o environment, sustainability, and governance,” he said.
Bingcang also said that only around 10% of the workforce in Pax Silica will be foreign workers, and the rest of it will be Filipino employees.
The Department of Information and Communications Technology (DICT), meanwhile, assured that cybersecurity frameworks will be established to ensure safety of Philippine data.
“The DICT are not only here to enable our partners… to pursue the success of Pax Silica—we’re also here to ensure that we have the proper frameworks in place, that we have proper people in place, we have the proper tools in place to ensure… iyong data privacy po at protection po our critical data,” DICT Usec. Leonido Pulido III said.
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