“EMBRACE ARTIFICIAL INTELLIGENCE (AI)” they said, because it’s there to stay for good, but when our water supplies run dry and communities bear the environmental cost of powering AI, perhaps the real question isn’t whether AI is here to stay, but who will be the one to pay the price.
Pax Silica, a coalition formed to counter China’s dominance in the technology manufacturing sector by creating a global supply chain for AI and the semiconductor industry, was established by the United States (US) in December 2025. The term “pax” means peace in Latin, while silica is the main material used in the creation of computer chips.
For many Filipinos, this may sound like another international agreement with little effect on everyday life. However, the country’s participation suggests that its consequences may reach far closer to home than expected.
Pax Silica and the Philippines
But what does this have to do with our country? The Philippines is among the 24 signatory countries to the agreement. As part of the initiative, an AI-focused industrial hub spanning approximately 1,600 hectares is being proposed in New Clark City in Tarlac.
On paper, the proposal presents promising opportunities, with government officials asserting that the initiative could attract billions of pesos in investments and generate higher-paying jobs for Filipinos. Moreover, the project seeks to advance the country’s technological capabilities, positioning the Philippines as a more competitive player in the global digital economy.
Undersecretary and Malacañang Palace Officer of the Presidential Communications Office (PCO) Atty. Claire Castro assured the public that there is nothing to worry about, saying “the President is ensuring that everything undertaken complies with the law, and will neither damage the environment nor displace communities without appropriate compensation.”
Be that as it may, the reality appears far more complex than these assurances suggest; it goes beyond the hazard it leaves to the environment while also altering the livelihood of all Filipinos.
At what cost?
According to an article published by Inquirer, the proposed facility would be about 24 times the size of SM Mall of Asia (MOA). Beyond its massive footprint, the project is expected to require approximately 200 megawatts of electricity, raising concerns about its impact on the country’s already strained energy supply.
For ordinary households already coping with rising Meralco bills, the prospect of another energy intensive project raises understandable concerns. While the government maintains that the country has enough resources to support the development, many Filipinos are already feeling the weight of increasing utility costs.
National Water Resources Board (NWRB) Executive Director Sevillo David Jr. assured the public that water sources within the project area are sufficient to meet the project’s demand without affecting nearby communities. According to Innovation Origins, an independent journalism platform based in the Netherlands, a large semi-conductor plant typically consumes approximately 4.8 million gallons of water every day.
Acting Secretary of the Department of Environment and Natural Resources (DENR) Juan Miguel Cuna, warned in March 2026 that 15 of the country’s major river basins are already being pushed to their limits, adding that the country is facing a water crisis in which “wells are running dry.”
Living in a tropical nation, water becomes indispensable to not just a means of rehydration, but also contributes to nurturing the farmlands, promoting healthier, and higher agricultural productivity. This is the only support that the people can rely on when the atmosphere becomes heated climate-wise and in the everyday routine of the Filipino society.
Even if supply remains sufficient, concerns remain over what sustained industrial demand could mean for surrounding communities and the environment in the years ahead. Will this project cost the country everything? It might.
On whose land?
Beyond concerns regarding the electricity and water, a disturbing nightmare is about to rise, and the numbers that describe it speak louder than what it proposes. Who would have thought that the lands that generations of farmers had nurtured, will one day fall upon the hands of those foreign colonizers, being puppets of a puppeteer’s manipulations.
The Malacañang has the authority to approve the use of the proposed 1,618-hectare site, the hard fought soil of Filipino ancestors. Therefore, concerns start to arise whether democracy is still in place, wondering that if the Palace has the power to seize these lands in one word, what more can they take away from the country?
On July 14, farmers and residents of Capas, Tarlac staged a protest in defense of the indigenous Aeta communities, condemning the increasing militarization and land encroachment they say are linked to the initiative of Pax Silica. Meanwhile, students of Tarlac State University (TSU) also took to the streets in solidarity, staging their own protest outside their campus.
Although they came from different sectors, both groups echoed the same cries of intervention: asking—no, demanding—for protection of ancestral lands, stronger public services, and a reconsideration of the project.
Pax Silica reflects the growing race to lead the future of AI, and the Philippines now finds itself part of that race, not as a key competitor, but a mere pawn to foreign figures. As initiatives move forward, questions surrounding resource use, environmental sustainability, and the rights of affected communities remain unsolved.
Before the country embraces the promise of AI-driven development, it must also confront who stands to benefit from it, and who may ultimately bear its costs. Nation-building brings people together to grasp a better future, therefore, It must not abandon its people for the hollow promises of those foreign puppeteers.