Makabayan Bloc Warns US-Backed Pax Silica Initiative May Spike Power Costs

The Makabayan bloc, a leftist opposition coalition in the Philippines, has warned that the US-backed Pax Silica initiative could further drive up electricity prices and place undue strain on the country’s power supply. The initiative plans to establish an Economic Security Zone in New Clark City, which is projected to require approximately 5 gigawatts of electricity. Lawmakers from the bloc, including ACT Teachers Rep. Antonio Tinio, stated that this immense power demand would push the nation’s already fragile power grid to its breaking point, triggering rolling blackouts and consequently hiking electricity rates even higher. This warning comes days after President Ferdinand Marcos Jr. and US Secretary of State Antony Blinken discussed advancing the Pax Silica supply chain alliance and its first Economic Security Zone in Clark. The Makabayan bloc, while acknowledging the US commitment of over $100 million in new foreign assistance for infrastructure supporting the initiative, questioned its proposed energy strategy. They cited plans for an LNG pipeline between Subic and Clark and investments in solar and battery storage facilities, arguing these would lock the Philippines into dependence on foreign-controlled energy infrastructure and divert public investments to what they described as an American-led industrial project. The bloc also echoed concerns raised by the farmers’ group Kilusang Magbubukid ng Pilipinas, calling Pax Silica a “massive sellout” of the country’s land, minerals, and sovereignty. They speculated that the project is intended to host large-scale data centers and advanced manufacturing facilities for American technology corporations and military applications. The lawmakers warned that the inevitable energy crisis resulting from diverting 5 gigawatts to Pax Silica would have devastating consequences for ordinary Filipinos. They cited potential disruptions to manufacturing, power shortages in healthcare facilities, unreliable electricity for schools, rolling blackouts for households, and hampered agricultural processing. Meanwhile, they asserted, an American-controlled industrial zone would enjoy uninterrupted, priority access to Philippine electricity. The Makabayan bloc urged the Marcos administration to immediately halt Pax Silica and all related infrastructure projects. They called for a comprehensive national energy audit to determine the country’s sustainable generation and allocation capacity, prioritize electrification of underserved communities, and ensure reliable power for healthcare, education, and small and medium enterprises. Furthermore, they pressed the government to reassert state control and public ownership over critical energy infrastructure and reject arrangements that would lock the country into dependence on foreign-controlled energy infrastructure. "No portion of Philippine electricity should be sacrificed to serve American or any foreign interests or military objectives. The Filipino people will not pay the price of energy poverty, higher electricity costs, and diminished economic opportunity while American corporations profit from Philippine resources. This is not development; this is the conversion of the Philippines into a resource extraction zone for American imperialism. We will not allow it," the lawmakers strongly stated. Government officials have previously stated that Pax Silica is expected to generate investments, jobs, and economic activity by positioning the Philippines as a key hub in global semiconductor and critical mineral supply chains.