SM Group hikes renewable energy sourcing to 31 percent

MANILA, Philippines — The SM Group has raised its renewable energy sourcing as it continues to implement cleaner energy use across its businesses.

SM Investments Corp. said the group hiked its renewable energy sourcing to 31 percent of total electricity consumption in 2025, up from 27 percent in 2024.

The group sourced approximately 730 million kilowatthours of electricity from renewable energy sources during the year.

SM Investments said the shift to renewable electricity helped avoid 370,644.07 metric tons of carbon emissions, equivalent to taking around 296,954 electric-powered passenger vehicles off the road for one year.

SM Investments president and CEO Frederic DyBuncio said investing in renewable energy is both a sustainability and business decision for the group.

“It helps us manage long-term energy costs, improve operational efficiency and build more resilient businesses to help us better serve our customers, tenants, communities and other stakeholders,” DyBuncio said.

Leading the group’s broader renewable energy strategy is the Philippine Geothermal Production Co. (PGPC), a wholly owned subsidiary of SM Investments that currently operates the Mak-Ban and Tiwi steam fields in the provinces of Batangas, Laguna and Albay.

PGPC is also developing new geothermal sites in six locations in Luzon that could provide up to 400 additional megawatts of clean, renewable geothermal power for the country.

SM Investments said Mak-Ban and Tiwi steam fields in Laguna and Albay alone can generate enough geothermal steam to power up to one million households annually.

“Reliable and affordable energy is important not only for businesses but also for communities and the broader economy. We believe renewable energy, particularly geothermal, can help strengthen long-term energy security while supporting economic growth,” DyBuncio said.

Renewable energy adoption also continues to expand across the SM Group’s integrated developments.

SM Prime Holdings Inc. has installed more than 200,000 solar panels across 69 properties as part of its broader energy efficiency initiatives.

SM Supermalls is ramping up its sustainability initiatives by installing rooftop solar photovoltaic systems and electric vehicle (EV) charging stations in more shopping centers nationwide.

SM Supermalls vice president for mall operations Junias Eusebio said more than 80 out of SM’s 90 malls across the country will be using solar energy by the end of this year.

He said SM currently has more than 100 megawatt-peak of solar capacity across more than 60 malls, with plans to increase it by 40 percent to end the year at 140 megawatt-peak of combined solar capacity.

Aside from rooftop solar, SM Supermalls is also accelerating the installation of EV charging stations across its network.

“To date, we have rolled it out to more than 80 malls out of our 90 malls. But in terms of the number of slots, it’s actually double. More than 160 EV charging slots are being provided now nationwide for free,” Eusebio said.

By the end of this month, Eusebio said SM is committed to achieving 100 percent coverage of EV charging stations across its 90 malls.

Alfamart likewise recently installed solar panels at its Saraiya Distribution Center in Quezon Province, with a solar peak capacity of 120.28 kilowatt-peak, helping improve operational efficiency across its supply chain network.

The group’s banking units, meanwhile, continue to support sustainable financing initiatives.

As of end-2025, BDO Unibank Inc. has funded a total of P1.21 trillion in sustainable projects, including 71 renewable energy projects totaling P177 billion.

China Banking Corp., for its part, provided P72 billion in financing for energy access, renewables and energy efficiency projects in 2025.