SM Investments Corp. (SMIC) said it remains on track to reduce its greenhouse gas emissions by 40 percent by 2040, backed by continued investments in renewable energy, energy efficiency, and sustainable financing across its businesses.

Speaking at the recent MUFG NOW Manila forum, "Pathways to a Sustainable Future: Opportunities and Challenges," Timothy Daniels, consultant and head of sustainability and investor relations at SM Investments, said the company's emissions reduction target is supported by years of investments in operational efficiency and clean energy.

"When we looked at our emissions, we identified where we could make meaningful reductions and developed a target supported by specific programs and investments. We wanted a goal that reflects what we can achieve based on actions we are taking today," Daniels said.

"For us, sustainability helps reduce costs, improve reliability, and make our operations more resilient. It's simply part of how we run the business," he added.

Across the SM Group, more than 200,000 solar panels have been installed on company properties to generate renewable electricity and reduce dependence on grid power.

Its mining subsidiary, Carmen Copper Corp., operates a three-hectare floating solar facility at the Malubog Reservoir in Cebu. The facility's 8,540 solar panels generate 4.99 megawatts of renewable energy, enough to potentially supply about 10 percent of the mine's power requirements.

SM has also expanded its renewable energy portfolio through Philippine Geothermal Production Co., which operates geothermal steam fields in Southern Luzon.

Beyond its own operations, the group is supporting the country's energy transition through BDO Unibank, which has deployed about P1.2 trillion in sustainable financing. The funding includes support for 71 renewable energy projects with a combined installed capacity of 6,165 megawatts.

Daniels said achieving deeper emissions reductions will also depend on the wider adoption of renewable energy, improved transmission infrastructure, and continued development of the country's power grid.

"While companies can improve efficiency, install solar panels, and use renewable power, progress also depends on the availability of renewable energy, transmission infrastructure, and grid development," he said.