From energy efficiency upgrades to large-scale solar adoption, the property developer’s sustainability push has been decades in the making.
A SUSTAINABLE FUTURE FOR ALL. The iconic SM Mall of Asia, the world's 6th largest mall, has become a sustainable retail shopping destination. Its physical and economic resilience stands as a testament to SM Prime’s commitment to sustainable business strategies.
Photo from SM Prime.
A HISTORIC 100MW MILESTONE. At Quezon City, the SM North Edsa, the first Philippine mall to use clean energy with rooftop solar photovoltaic systems, continues to deliver SM Prime’s people-centric sustainable retail spaces.
Photo from SM Prime.
TECHNOLOGY MEETS NATURE. In SM City East Ortigas, natural light brightens the food hall, and retrofitted lighting produces significant energy savings.
Photo from SM Prime.
SM Prime Holdings, Inc. (SM Prime) continues to shape its approach to sustainable property development through low-carbon office spaces and climate-smart retail environments, supported by energy-efficiency measures, on-site renewable solutions, and long-term partnerships.
Rather than treating sustainability as an add-on, the company has embedded energy planning into how its properties are designed, upgraded, and operated—an approach that has evolved over decades.
SM Prime has implemented programs such as lighting upgrades, improved air conditioning and ventilation systems (ACVS), and optimized building management systems since the 1990s—steps that have steadily reduced emissions while demonstrating that energy efficiency can deliver both environmental and economic benefits.
In 2024, SM Supermalls reduced electricity use by 38 percent, avoiding 156,736 metric tons of greenhouse gas emissions and generating savings of P2.3 billion.
These efforts were recognized during the recently concluded 5th Energy Efficiency Excellence Awards of the Department of Energy (DOE), where SM Prime business units—SM Supermalls, SM Offices, and SM Hotels—received multiple Certificates of Excellence.
Company officials said the results reflect collaboration among engineering teams, service providers, tenants, and customers, guided by leadership and the broader goals of the SM Green Movement.
Guided by its Net Zero by 2040 target, SM Prime has focused on making decarbonization practical, reliable, and scalable. At SM City North Edsa, the company recently marked a milestone in clean energy development, with 59 properties now generating a combined 100 megawatts of on-site renewable energy—one of the largest solar capacities among Philippine property developers.
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Today, more than 50 percent of energy use across SM Supermalls comes from renewable sources, supported by partnerships with Aboitiz Renewables, TotalEnergies, Citicore Renewable Energy Corporation, and other solar providers. SM Prime said the model emphasizes shared responsibility, allowing communities to benefit while building a more resilient energy system.
The company has also committed to the Science-Based Targets initiative (SBTi) in partnership with WWF-Philippines and is working toward its near- and long-term emissions targets.
At the core of SM Prime’s energy strategy is the creation of spaces designed for long-term use and resilience. Across its malls, passive design features—such as high ceilings, large atriums, skylights, open layouts, and natural ventilation—help reduce daytime energy demand while creating brighter and more breathable public spaces.
These architectural choices are complemented by smart solutions, including motion-sensor escalators, solar-powered outdoor areas, and energy-conscious cooling systems, reinforcing the idea that sustainability can function quietly in the background of everyday life.
“Customer expectations evolve quickly. When our leaders first initiated this project, it was in the early days of learning about the impact of our consumption on the planet. Now, brands—whether big luxury labels or small and medium enterprises—are looking for partners who invest in circularity and ESG impacts,” said SM Supermalls president Steven Tan.
As SM Prime continues to scale its energy programs, the SM Green Movement is positioned as a framework for building energy-resilient spaces meant to remain safe, comfortable, and accessible.
“We are committed to making our malls as energy efficient as possible by implementing advanced technologies and best practices. SM Supermalls will keep expanding its sustainability efforts to reduce environmental impact and improve the quality of life for both the planet and the communities we serve,” Tan said.
