SM Investments Corporation Raises Renewable Energy Usage To 31% In 2025

The SM Group has significantly expanded its renewable energy usage, with clean energy accounting for 31 percent of its total electricity consumption in 2025, up from 27 percent in the previous year. According to its parent company, SM Investments Corporation, the group sourced nearly 730 million kilowatt-hours of electricity from renewable sources during the year. This transition helped prevent more than 370,644 metric tons of carbon emissions, an environmental impact comparable to removing almost 297,000 electric-powered passenger vehicles from the roads for one year.

Frederic C. DyBuncio, President and Chief Executive Officer of SM Investments Corporation, stated that the company views clean energy investments not only as a sustainability initiative but also as a practical business strategy. He explained that shifting toward renewable energy supports long-term cost management, improves operational efficiency, and strengthens business resilience. According to him, these efforts also allow the company to better serve its tenants, customers, and surrounding communities.

The group’s renewable energy expansion is mainly supported by its wholly-owned subsidiary, Philippine Geothermal Production Company. The company operates the Mak-Ban and Tiwi steam fields located in Batangas, Laguna, and Albay. These geothermal fields produce steam capable of generating up to 400 megawatts of clean electricity, enough to supply power to nearly one million households every year.

To further increase renewable energy production, Philippine Geothermal Production Company is currently developing additional geothermal projects across six locations in Luzon. These upcoming projects have the potential to contribute another 400 megawatts of renewable energy capacity to the country’s power grid.

Apart from geothermal operations, renewable energy adoption is also growing across the group’s commercial properties and retail businesses. SM Prime Holdings has installed more than 200,000 solar panels across 69 properties as part of its energy efficiency efforts. Meanwhile, the group’s convenience store chain, Alfamart, deployed a solar panel system with a capacity of 120.28 kilowatt-peak at its Saraiya Distribution Center in Quezon Province to improve logistics efficiency and reduce energy costs.

The group’s banking businesses are also supporting sustainable development initiatives. BDO Unibank financed sustainable projects worth 1.21 trillion pesos by the end of 2025, including 177 billion pesos allocated to 71 renewable energy projects. At the same time, China Banking Corporation provided 72 billion pesos in funding for renewable energy, energy efficiency, and energy access projects. Through these combined initiatives, the SM Group continues to strengthen sustainability across its business operations.