SM Investments Corporation announced that the SM Group increased its renewable energy sourcing to 31 percent of total electricity consumption in 2025, up from 27 percent in 2024, as part of its ongoing expansion of cleaner energy use across its businesses.
The group sourced approximately 730 million kilowatt-hours (kWh) of electricity from renewable energy sources during the year. This transition helped the company avoid 370,644 metric tons of carbon emissions, equivalent to removing around 296,954 electric-powered passenger vehicles from the road for one year.
Strategic Investment in Renewables
Frederic C. DyBuncio, president and chief executive officer of SM Investments, stated, "For us, investing in renewable energy is both a sustainability and business decision. 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."
Geothermal Leadership
Leading the group's renewable energy strategy is Philippine Geothermal Production Company (PGPC), a wholly owned subsidiary of SM Investments that operates the Mak-Ban and Tiwi steam fields in Batangas, Laguna, and Albay. These facilities supply geothermal steam capable of generating up to 400 megawatts of renewable energy for households, offices, and industrial facilities. PGPC is also developing geothermal sites in six locations across Luzon with the potential to add another 400 megawatts of renewable power capacity. The Mak-Ban and Tiwi steam fields alone can generate enough geothermal steam to power up to one million households annually.
Mr. DyBuncio added, "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."
Solar Panel Expansion
Across its integrated developments, SM Prime Holdings Inc. has installed more than 200,000 solar panels across 69 properties as part of its energy efficiency initiatives. The group also expanded renewable energy adoption across its broader business ecosystem. Alfamart Philippines recently installed solar panels at its Saraiya Distribution Center in Quezon Province with a peak solar capacity of 120.28 kilowatt-peak (kWp), helping improve operational efficiency within its supply chain network.
Banking Sector Support
The group's banking units continued supporting sustainable financing initiatives. As of end-2025, BDO Unibank Inc. funded P1.21 trillion worth of sustainable projects, including 71 renewable energy developments amounting to P177 billion. China Banking Corporation provided P72 billion in financing for energy access, renewable energy, and energy efficiency projects in 2025.
SM Investments said it continues integrating sustainability and operational efficiency across its retail, property, banking, and portfolio investment businesses.
