SM pushes circular waste system across malls nationwide

Mallgoers may not always think about where their trash goes, but SM Supermalls is banking on a simple habit, proper waste segregation, to help build what it calls a “waste-free future.”

Across its malls, SM has rolled out Recyclable-Disposable-Compostable (RDC) bins as part of its Green Movement, encouraging customers to sort their waste at source. The initiative aims to promote circularity, divert waste from landfills, reduce methane emissions and prevent soil and water contamination. 

“Through SM’s RDC bins, we are not only encouraging customers to adopt responsible waste disposal habits, but also enhancing the efficiency of our waste management systems to better serve our communities. Waste is often an ‘out of sight, out of mind’ issue, so we are committed to ensuring that our approach delivers tangible environmental benefits,” said SM Supermalls Vice President for Corporate Compliance and Sustainability Liza Silerio. 

Cebu facility anchors waste conversion

To support the program, SM established its waste processing arm, SM GUUN Environmental Company, in Consolacion, Cebu in 2024 under the SM Waste Free Future project. Waste collected from in-mall RDC bins in Cebu malls is corrected and re-sorted for conversion into industrial raw materials for recycling, fuel or soil. 

Silerio said the company works with corporate partners to reintegrate recovered materials back into the value chain through a closed-loop approach, transforming waste into reusable resources.

Under the system, blue bins are for recyclables — bottles (plastic and glass), aluminum and tin cans, and cartons — described as materials with the highest available recycling infrastructure. These are sorted by material type at the factory and returned to partners for reprocessing, helping increase recycled content in new packaging materials. 

Gray bins are designated for disposable items such as cups, straws, rags and other hard-to-recycle containers. These are processed into alternative fuel used in cement manufacturing, with quality assurance measures in place to reduce pollutants in emission control systems. 

Green bins, meanwhile, collect compostable waste, primarily food scraps and leftovers. These are converted into landscaping soil within 48 hours, helping avoid landfill disposal and methane emissions. The resulting soil is used for urban greening initiatives. 

“Changing habits is hard, but we’ll make it easier. All SM Supermalls are equipped with RDC bins, enabling our customers to actively participate in meaningful sustainability efforts that help protect the environment. Each time they visit our malls, they have the opportunity to contribute to our shared goal of achieving a Waste-Free Future,” Silerio said. 

The company cited data from the Department of Environment and Natural Resources showing that the Philippines diverted more than 246 million kilograms of plastic waste last year, surpassing the national diversion target with a 56 percent rate.