As part of the next phase of its diversification strategy, SM Investments Corp. (SM Investments) is set on venturing into the growth potentials of the renewable energy (RE) sector.
“(The growth) will be more in renewable because we have to source from renewables. We get 50% of our energies from renewables,” said SM Investments Vice Chairperson Teresita Sy-Coson in a Bloomberg interview.
SM Investments has been accelerating its provisions of clean energy supplies through its subsidiary Philippine Geothermal Production Company (PGPC), which provides geothermal steam as alternative energy sources.
PGPC has many greenfield concession areas for geothermal steam development as it aims to improve steam production. Its targets include 300 megawatts of baseload renewable energy generated from new exploration projects.
Geothermal capacity will grow by 600 megawatts with the implementation of the new projects.
SM's property portfolio through SM Prime Holdings has utilized renewable sources for 50 percent of its energy requirements.
Last July 2023, SM Prime also entered into an agreement with Citicore Renewable Energy Company (CREC) in order to source its 90 megawatts energy requirements from CREC's Lumbangan Solar Power Plant in Tuy, Batangas
SM Prime also aims to reach net zero greenhouse gases (GHG) emissions by 2040.
It has partnered with organizations such as the WWF-Philippines to help the company fulfill its long-term commitments and targets, and comply with the mandates of the net zero goal.