The Disasters of SMC From Mountains to Waters
by Maria Carmilla Ereño
In the Philippines, green mountains soar proudly into the blue sky, and beneath their slopes stretches a vast, crystal-clear sea, home to a rich marine life. However, a bleak future looms as massive pests begin to plague the lands and waters, exhausting what could be exhausted and exploiting what could be exploited.
Among the largest pests is a well-known conglomerate born out of and nurtured by these exploitations, wreaking havoc from mountains to waters: the San Miguel Corporation (SMC).
The Plague
SMC has been prospering since its founding in 1890, evolving into one of the largest and most diversified multinational businesses, with operations in food and beverage, packaging, energy, fuel and oil, infrastructure, cement, property, and banking services. Some of their popular products include a variety of San Miguel beers, Red Horse, Magnolia, Monterey, Purefoods, Veega, and B-Meg.
However, behind the towering opulence of SMC lies the multitude of environmental damages it has committed. The company proudly flaunts its corporate social responsibilities, all while ravaging the land and seas for lucrative surplus. Despite their destructive practices, SMC’s growing contribution to the country’s economic output is celebrated as “development” by both the corporation and the government. But in truth, this so-called development is narrowly defined by GDP, benefiting only the elites while ordinary Filipinos bear the brunt of the resulting disaster.
Under the leadership of Ramon Ang, the president and CEO of SMC since 2012, the conglomerate has seen steady growth by devouring the archipelago’s resources from Luzon to Mindanao, raising serious concerns about its role in driving the nation toward the brink of environmental destruction.
A Pest in the Seas — Series of Oil Spills
The most glaring issue tied to SMC is the oil spill from the sunken ship MT Terra Nova in the waters of Manila Bay. On July 25, the ship contracted by SL Harbor Bulk Terminal Corporation — a subsidiary of San Miguel Shipping and Lighterage Corporation that handles SMC’s petroleum imports — submerged off the coast of Limay, Bataan. As the 1.4 million liters of industrial fuel it carried seeped into the expanse of Manila Bay, its toxic trail stretched to devastated livelihoods, health risks to nearby communities, and damaged marine ecosystems.
Manila Bay has been a lifeline for thousands of fishermen across its shores. However, the recent oil spill that tainted 50% of its water has cast a shadow over this thriving fishing ground. Fishing bans have been imposed in parts of Metro Manila, Central Luzon, and Cavite, leading to a staggering income loss of Php 78.69 million and leaving 28,373 fishermen struggling to make ends meet. This data does not even include the chain of seafood vendors in wet markets who rely on the fishermen of Manila Bay for their supplies.
Laden with toxic compounds, the oil spill poses a severe threat to public health, capable of causing severe heart damage, stunted growth, immune system disruption — and even death — through inhalation, skin contact, and ingestion. If these chemicals are hazardous to humans, they are even more perilous to the wildlife of Manila Bay — a sanctuary for migratory birds, mangroves, coral reefs, seagrass beds, and diverse fisheries, now detected with petrochemical traces. Its insurmountable impact on marine wildlife is bound to shatter the ecological balance of marine biodiversity and imprint long-term environmental damage.
Amid the oil spill crisis, the Department of Agriculture (DA) has merely offered a fuel subsidy for affected fishermen. Meanwhile, Cavite Governor Jonvic Remulla secured a commitment from the owners of MT Terra Nova to provide a Php 350 daily compensation for Cavite’s fishermen. Nevertheless, Ronnel Arambulo, the vice chairman of PAMALAKAYA, vows to monitor the agreement closely, wary of repeating the fiasco with MT Princess Empress where only 627 of the registered 4,000 affected fishermen were compensated — worse, they only received Php 14,000 from the promised Php 54,000.
MT Princess Empress was also a vessel chartered by SL Harbor Bulk Terminal. On February 28, 2023, it sank off the coasts of Naujan, Mindoro Oriental, and unleashed 800,000 liters of oil into the sea. The environmental devastation wrecked the livelihood of Mindoro’s fishermen, yet no one has been held accountable. History is repeating itself as even in the recent Senate probe on the MT Terra Nova oil spill, there was no presence of the SMC subsidiary that owned the 1.4 million liters of oil; there were no reports that they had been summoned for the investigation at all.
This pattern of negligence from corporate entities has shoved nature and thousands of Filipinos to the edge of trenches.
A Pest in the Mountains — Coal Mining
As some islands in Luzon grapple with the chaos of the oil spill, SMC is busy brewing another disaster on the horizons of Mindanao. Despite fierce opposition from environmental activists, local Catholic Churches, and some tribal groups, San Miguel Energy Corporation (SMEC) has been relentlessly excavating the tall mountains of Barangay Ned, Lake Sebu in South Cotabato, mining for brown coal since October 2022.
In 2018, South Cotabato’s Provincial Council stood firm against the large-scale mining project of SMEC in the mountains of Lake Sebu, citing violations of the province’s environmental code. However, three years later, they reversed course, unanimously endorsing the same project with a nod from the Department of Energy (DOE). On top of that, the Department of Environment and Natural Resources (DENR) granted the three subsidiaries of SMEC mining concessions in the Daguma Mountain Range, covering 17,000 hectares of land in the area. The vast majority of the mine covers the ancestral lands of ethnic tribes, forests home to the Philippine Eagle and other endemic species, fertile agricultural lands, and major river systems vital for the region’s water security.
The brewing disaster on the mountain summit is poised to cascade downstream, unbridling widespread devastation in its path.
A Pest on the Land — Reclamation Projects
SMC has been making headlines with its left and right flood mitigation programs, river clean-up drives, and mangrove planting initiatives, particularly across Bulacan. However, beneath this eco-friendly facade lies a blunt reality — a host of anti-environment projects they are desperately trying to bury. Among the most prominent are the pile of reclamation projects in Manila Bay and the New Manila International Airport (NMIA) in Bulacan.
Manila Bay, recognized as a key biodiversity area, has become a battleground for environmental preservation. In 2023, after constant pressure from various environmental groups, the government suspended all reclamation projects in the bay — except for one mysterious exemption. Yet, despite this victory, mussel farmers and fisherfolk in Navotas continue to face harsh repression from their local government. They are being forcibly displaced to clear the way for SMC’s 650-hectare Navotas Coastal Bay Reclamation, a project ominously dubbed the Southern Gateway to the NMIA.
Furthermore, the NMIA reclamation continues unabated. Ramon Ang denies that the Aerotropolis project involves reclamation, yet fisherfolk in Bulakan, Bulacan, have witnessed SMC’s heavy machinery relentlessly dumping and filling parts of Manila Bay to forge the new airport. The planned construction has displaced 700 families, ravaged vital habitats, devastated the livelihoods of coastal communities, and allegedly exacerbated flooding across Bulacan. Despite its documented adverse impacts on biodiversity, social and economic conditions, geology, seismicity, air quality, and greenhouse gas emissions, the airport project presses on, ignoring the mounting toll on both the environment and the Filipino people.
Beyond the issues already mentioned, SMC has even more exploitative projects hidden up their sleeves — like the revival of PAREX, railroads, fossil fuel ventures, and more — all pursued under the guise of “development.”
Beware of Termites
Termites are home-invading pests that damage the structural components and supports of the house. Known as “silent destroyers,” they work unnoticed, leaving homeowners surprised by the extent of the ruin only when it is too late. This is also how the government operates — stealthy, unseen, until the devastation is laid bare.
It has become perplexing how these massive pests have managed to infiltrate the country’s shores, spreading their plague across vast lands and waters effortlessly. The answer lies within — there are termites inside, aiding their advance. Evident in the strategic cabinet appointments, one example is Manuel Bonoan, the president of SMC Tollways and the appointed secretary of the Department of Public Works and Highways (DPWH), at the same time. There is also the DA secretary, Tiu Laurel Jr. who owns Frabelle Fishing Corporation, one of the top deep-sea fishing companies in Asia-Pacific. The strong ties of Marcos Jr. to corporate elites trace back to the cronies of his father’s regime, revealing a continuity of influence that favors the few while the nation bears the cost.
For every venture undertaken by SMC and other private entities, the government grants permission and even offers incentives. In spite of the threats these projects pose, it is the very authorities and agencies tasked with protecting the country’s natural resources and the welfare of its people that enable these exploitations and help corporations get away scot-free. In this way, the government behaves like termites, quietly destroying the structural integrity of the Philippines.
Antidote
As the plague worsens and the pests keep growing, the demand for accountability and the immediate halt of SMC’s and other conglomerates’ anti-environment projects must rise to a deafening crescendo. Being heard is not enough; the pressure on the government must be inescapable. The Filipino masses must collectively reclaim their rights to the privatized natural resources, enforcing strict regulation on these powerful corporations and imposing sanctions on large-scale activities that harm the environment. However, these pests would only keep coming back as long as the government officials prioritize their own interests. Both the pests and termites must be eradicated, at once.
It is only reasonable to swiftly administer the antidote to this growing plague: scientific, mass-oriented environmental policies that prioritize conservation and sustainability over economic interests. Furthermore, the clamor for climate justice must also be relentless. No one is safe from the climate crisis — not even the elites who would try to escape it in the future.
As one looks past the illusion of “world-class” cities, the gloomy sky becomes more apparent. The once green mountains now bear deep scars; their slopes, now barren and exposed, descend into the murky sea stripped of its aquatic life. In what feels like the blink of an eye, the Philippines fell to the edge of ruin. Now, more than ever, the Filipino people must mobilize to stop this devastation before these pests burrow into the deepest roots of nature, dragging the nation into irreversible destruction.
