SM Offices Bets on Renewables to Power Growth and Attract Tenants

SM Offices, a business unit of SM Prime Holdings, Inc. (SM Prime), is scaling up its renewable energy (RE) use as part of a broader push to make sustainability a driver of growth and tenant value.

From rooftop solar grids to LEED-certified towers, SM Offices proves that clean energy drives resilient growth.

The SM Prime business unit now sources more than half of its operational power from certified renewable energy, reflecting how clean energy adoption is reshaping the country’s commercial property landscape.

As of mid-2025, SM Prime has installed solar photovoltaic (PV) systems across 48 malls and offices with a combined capacity of 73 megawatts peak (MWp).

“SM Offices not only supports but also goes beyond the Philippine government’s target of having 50 percent of the country’s power generation come from renewable sources by 2040,” Vice President and Head of SM Offices Alexis L. Ortiga said.

Under the National Renewable Energy Program (NREP) 2020–2040 of the Department of Energy, the Philippines aims to increase the share of renewables in its power generation mix to 35 percent by 2030 and 50 percent by 2040, supporting the country’s goals for energy security, sustainability, and climate resilience.

Across its expanding portfolio, SM Offices is integrating solar grids, sensor-enabled fixtures, and energy-efficient cooling systems into building design and operations—stabilizing energy costs, improving comfort and reliability, and enabling tenants to meet their sustainability commitments.

Several of its flagship developments—ThreeE-Com and FourE-Com Centers in the Mall of Asia Complex, Aura Tower beside SM Aura Premier in Bonifacio Global City, Mega Tower in Ortigas, and North Towers in Quezon City—have all achieved LEED Gold certification from the U.S. Green Building Council, underscoring its focus on performance and sustainability.

Currently, One E-Com, Two E-Com, and Five E-Com are undergoing LEED O+M certification, which recognizes excellence in the sustainable operation and maintenance of existing buildings. The certification focuses on energy efficiency, water conservation, indoor environmental quality and other measures that promote the health and well-being of both people and the environment.

Ortiga explained that their approach is both strategic and adaptive. “SM Offices remains resilient by integrating sustainability initiatives into its core strategies,” he said. “Our offices are located closer to where people live, helping reduce travel time and emissions, and we are expanding renewable energy use and EV charging infrastructure to support a lower-carbon economy.”

The model is proving commercially sound. Renewable energy reduces exposure to power price volatility, supports tenant ESG goals, and strengthens investor confidence. For companies under increasing pressure to meet sustainability metrics, leasing from a renewable-powered portfolio offers both stability and reputational upside. (SM PRIME)

SM Prime Earns Third Consecutive Five Golden Arrows for Corporate Governance Excellence

SM Prime Holdings, Inc. (SM Prime) has once again earned the prestigious Five Golden Arrow Award from the Institute of Corporate Directors (ICD) for the third consecutive year. The recognition affirms the company’s continued commitment to transparency, accountability and responsible management practices.

SM Prime Holdings, Inc. received the Five Golden Arrow Award from the Institute of Corporate Directors (ICD) at the ASEAN Corporate Governance Scorecard (ACGS) Golden Arrow Recognition held last October 23, 2025 at the Okada Manila Hotel. From Left to Right: ICD Chairperson Atty. Benedicta Du-Baladad; SM Prime Independent Director J. Carlitos G. Cruz; SEC Chairperson and CEO Atty. Francis Lim; and ICD Vice Chairperson Ida Ceniza-Tiongson.

“This Five Golden Arrow Award is a testament to the collective efforts of everyone at SM Prime. It reflects the company’s strong commitment to nurturing a culture of good governance built on integrity, fairness, accountability and transparency,” said J. Carlitos G. Cruz, SM Prime Independent Director, during the awarding ceremony.

“With the revised ASEAN Corporate Governance Scorecard placing stronger emphasis on sustainability, SM Prime has demonstrated its dedication to promoting social inclusion, environmental stewardship and economic advancement, ensuring sustainable and resilient growth for the communities it serves,” he added.

The ASEAN Corporate Governance Scorecard (ACGS) assesses publicly listed companies based on shareholder rights, sustainability and resilience, stakeholder relations, transparency through timely disclosures, and the effectiveness of the Board in guiding corporate strategy. The scorecard consists of 193 metrics based on publicly available information and aims to raise corporate governance standards in the Philippines while positioning local companies as attractive investment opportunities.

A Golden Arrow is awarded to companies that achieve a minimum score of 75 points in the ACGS assessment, signifying strong adherence to the Philippine Code of Corporate Governance and alignment with globally recognized best practices. Companies are rated across five levels of governance performance.

SM Prime continues to strengthen its governance framework as it expands its integrated property developments, fostering inclusive economic activity and community growth across the country. (SM PRIME)

SM City La Union Boosts Climate Resilience with Rainwater Catchment System

With climate change driving heavier rains and more frequent floods, proactive flood prevention has become a key part of building resilient communities.

The newly opened SM City La Union becomes the 30th SM mall to install a rainwater catchment system, supporting thousands of residents in flood-prone areas and demonstrating how business innovation protects communities.

SM City La Union, now the 30th mall of SM Prime Holdings, Inc. (SM Prime) that features a rainwater catchment facility, expands its network of climate-resilient infrastructure nationwide. For SM Supermalls, catchment facilities are designed to collect and store large volumes of stormwater, preventing runoff that could otherwise overwhelm drainage networks.

During heavy rainfall, the catchment temporarily holds stormwater, allowing gradual discharge through proper channels. Collectively, SM City La Union’s underground rainwater catchment system can provide a total capacity of 760 cubic meters.

A design for tomorrow. SM Supermalls focuses on sustainable water use by managing available resources to meet the needs of future generations.

Each drop contributes to a safer, more sustainable future for all. Mapping every opportunity to achieve Water for Tomorrow, treating and reusing water as a supplemental water source also significantly decreases freshwater consumption. In 2024, SM Prime achieved a 26.23% increase in recycled water volume, rising from 4.42 million cubic meters in 2023 to 5.59 million cubic meters.

Social resilience is equally important as the physical infrastructure. SM Cares raises awareness on water conservation and adopting sustainable practices in daily life, helping to empower community action. 

“Our rainwater catchment systems go beyond flood control — they help create safer spaces for our communities. We hope to show how climate-smart infrastructure and innovation can protect lives, livelihoods, and progress,” said SM Supermalls President Steven Tan.

About SM Green Movement

SM Prime Holdings, Inc. (SM Prime) is one of the largest integrated property developers in Southeast Asia, committed to creating sustainable, innovative, and inclusive spaces for Filipinos. Guided by its vision of building a better future, SM Prime develops malls, residences, offices, hotels, and leisure properties that support the growth of communities across the Philippines.

Through the SM Green Movement, SM Prime champions sustainability by focusing on waste management, water stewardship, and energy efficiency for lasting impact. The movement empowers individuals, families, and communities to take part in simple acts that create shared prosperity for generations to come. (SM PRIME)