SM Prime is constructing a cleaner, smarter energy future

Through energy efficiency programs, on-site renewable solutions, and strategic long-term collaborations, SM Prime Holdings, Inc. (SM Prime) continues to set the standard for sustainable real estate development, providing low-carbon office spaces and climate-smart retail environments.

From efficiency to impact

Since the 1990s, SM Prime has introduced programs like better air conditioning and ventilation systems (ACVS), upgraded lighting, and optimized building management systems. These initiatives have dramatically reduced emissions, demonstrating the positive economic and environmental effects of energy efficiency. By cutting electricity use by 38% in 2024, SM Supermalls saved ₱2.3 billion and prevented 156,736 metric tons of greenhouse gas emissions (GHG).

In the recently concluded 5^th Energy Efficiency Excellence Awards of the Department of Energy (DOE), SM Prime’s business units, namely, SM Supermalls, SM Offices, and SM Hotels, was awarded multiple Certificates of Excellence.

This success reflects collaboration among engineering teams, service providers, tenants, and customers, driven by the company’s leadership and commitment to the SM Green Movement.

Renewable energy milestones

Guided by its goal of Net Zero by 2040, SM Prime is making decarbonization practical, reliable, and scalable. At SM City North Edsa, it recently celebrated a milestone for clean energy in the country, with 59 properties generating a combined 100 megawatts (MW) of on-site renewable energy—one of the largest solar capacities among property developers in the Philippines.

Today, more than 50% of energy use across SM Supermalls comes from renewable sources, supported by partnerships with Aboitiz Renewables, TotalEnergies, Citicore Renewable Energy Corporation, and leading solar providers. This collaborative approach empowers communities while building a safer and more sustainable future.

Working with WWF-Philippines, SM Prime has committed to the Science-Based Targets initiative (SBTi) and is working towards its near and long-term targets.

Retail architecture working with nature

At the heart of SM Prime’s energy strategy is the creation of sustainable, resilient spaces that enrich experiences for the community. Across its malls, SM integrates passive design elements—high ceilings, large atriums, skylights, open spaces, and natural ventilation—reducing daytime energy consumption while offering brighter, breezier, and more welcoming spaces for relaxation, dining, and shopping.

Smart solutions such as motion-sensor escalators, solar-powered outdoor spaces, and energy-conscious cooling systems make SM Supermalls a top retail destination for tenant-partners and customers alike.

Shared climate benefits for all

“Customer expectations evolve quickly. When our leaders first initiated this project, it was in the early days of learning about the impact of our consumption on the planet. Now, brands – whether big luxury labels or small and medium enterprises – are looking for partners who invest in circularity and ESG impacts,” said SM Supermalls president Steven Tan.

As SM Prime expands its energy initiatives, its SM Green Movement develops a robust energy infrastructure to make its communities a secure, cozy, and friendly place to live.

“We are committed to making our malls as energy efficient as possible by implementing advanced technologies and best practices. SM Supermalls will keep expanding its sustainability efforts to reduce environmental impact and improve the quality of life for both the planet and the communities we serve,” said Tan.