Green groups to SMC: Stop gas projects after PAREX scrapped

MANILA, Philippines — Energy and environmental groups urged San Miguel Corp. (SMC) to also discontinue their liquefied natural gas (LNG) projects, following the conglomerate's decision to drop the controversial Pasig River Expressway (PAREX) project.

Facing concerns over potential environmental damage and impact on heritage sites and communities, SMC CEO and President Ramon Ang said on Monday that the conglomerate is abandoning plans for the toll road project.

“If Ramon Ang is indeed ‘very sensitive to the opinion of the public’, we urge him to heed the call of the people and stop funding the destruction of the Verde Island Passage (VIP) and the lives and livelihood that depend on it,” Protect VIP coalition said. 

In Batangas, fishers and local communities have long voiced their concerns about the 1,700-megawatt LNG power plant of SMC’s subsidiary, Excellent Energy Resources Inc. 

Protect VIP said the LNG plant poses a “grave threat” to the biologically diverse Verde Island Passage and the livelihood of communities who rely on it. Scientists call the marine corridor the “center of the center'” of the world’s marine shore fish biodiversity.

Five of the country’s existing gas plants are found in Batangas City, while one is in Cebu. Batangas is also the site of eight proposed gas plants and seven planned LNG terminals. 

Ang’s San Miguel Global Power Holdings Corp., Manny Pangilinan’s Meralco PowerGen Corp., and Sabin Aboitiz’s Aboitiz Power have teamed up for the country’s “first and most expansive” LNG facility in Batangas, their companies announced early this month. 

Consumers’ group Power for People Coalition (P4P) criticized the move, saying the country’s dependence on gas and other fossil fuels exposes consumers to higher prices, more frequent outages, and shrinking global supply.

“Until San Miguel commits to discontinuing their project in Batangas City and other fossil fuel facilities, Ang and his company are only paying lip service to be considerate of public opinion,” P4P Convenor Gerry Arances said.

LNG has been pitched as a “bridge fuel” that can help the shift to a low-carbon economy. Climate and energy campaigners, however, noted that LNG produces