BPI ramps up support for renewable energy projects

MANILA, Philippines — Ayala-led Bank of the Philippine Islands (BPI) continues to help ramp up the use of renewable energy in the country after committing to stop all lending to coal-fired power plants by 2033.

Junie Veloso, corporate credit products group head at BPI, said the listed bank continues to pursue its mission of building a better and more sustainable future for all.

“We have seen that our lives can also be threatened by extreme weather conditions such as what Cebu, Bohol, and Siargao experienced when they were hit by Typhoon Odette. Energy security should be at the forefront not only of the country’s development and resiliency agenda, but also of every business,” Veloso said in a webinar titled Business Talks.

In response to the growing need for creating sustainable businesses, BPI consolidated its Sustainable Development Finance program to accelerate investments in energy efficiency, renewable energy, green building, and sustainable agriculture.

The 170-year-old bank offers free technical consultation services, which include the evaluation of project feasibility studies, technical training, and validation of energy savings, and production projections before financing.

These services ensure that the projects of BPI’s business clients are technically feasible and financially viable.

“The bank underlined developments in different areas of sustainability, especially the use of renewable energy, to guide its clients on how they can future proof their companies and enable an energy-secured future for their businesses,” the bank said.

The Ayala-led bank also reinforced its commitment to responsible banking last March by embedding Environmental, Social, and Governance (ESG) metrics in all employee performance evaluations.

Employees will be aided by specialized and mandatory trainings on ESG global standards and best practices. BPI’s bank-wide sustainability mandate, the first such program in the Philippine banking industry, again demonstrates an unwavering dedication to deliver responsible banking to stakeholders, from clients to investors and local communities.

Silverio Navarro, BPI’s long-time consultant for renewable energy, said the use of renewable energy protects businesses from price hikes of imported fuel during instability and peak demands.

According to Navarro, it makes sense to invest in renewable energy and battery technologies now, in combination with existing back-up solutions, as a cost-effective measure.

BPI has committed to accelerate the total phase out of all remaining coal lending by 2033 instead of its original commitment to cut it to half by 2026 and to zero by 2037.