SM raises renewable energy use to 31%

SM Investments Corp. said renewable energy accounted for 31 percent of the SM Group’s total electricity consumption in 2025, up from 27 percent in 2024, as the conglomerate expanded its use of cleaner energy sources across its businesses.

The company said it sourced around 730 million kilowatt-hours of electricity from renewable energy during the year, helping avoid more than 370,000 metric tons of carbon emissions.

SM Investments president and chief executive officer Frederic C. DyBuncio said the shift to renewable energy supports both sustainability and long-term business goals.

“For us, investing in renewable energy is both a sustainability and business decision,” DyBuncio said. “It helps us manage long-term energy costs, improve operational efficiency and build more resilient businesses.”

The group’s renewable energy initiatives are led by the Philippine Geothermal Production Company (PGPC), a wholly-owned subsidiary of SM Investments that operates the Mak-Ban and Tiwi geothermal steam fields in Batangas, Laguna and Albay. The facilities can generate up to 400 megawatts of renewable energy.

PGPC is also developing six additional geothermal sites in Luzon with the potential to provide up to 400 megawatts more of renewable power.

SM Prime Holdings has installed more than 200,000 solar panels across 69 properties nationwide as part of its energy efficiency initiatives, while Alfamart recently added solar panels to its Saraiya Distribution Center in Quezon province.

The group’s banking units also continued financing sustainability projects, with BDO Unibank funding P1.21 trillion worth of sustainable developments as of end-2025, including renewable energy projects valued at P177 billion. China Banking Corp. also provided P72 billion for renewable energy and energy efficiency initiatives.