SM Prime Holdings wins Gold for Waste-Free Future in 2026 ESG Awards

Text by MINI ZAMORA-ARCEO

SM Prime Holdings, Inc. has been recognized for its sustainability efforts after its SM Waste-Free Future initiative won the Gold Award in the Transformation Category at the 2026 ESG Edge Impact Awards.

The recognition highlights the company’s efforts to improve waste management, encourage the reuse and recovery of waste materials, and integrate sustainability in its operations and communities.

SM Prime said the award reflects its continuing push to develop environmental, social and governance (ESG) programs that can produce long-term benefits for its businesses and the communities they serve.

The company’s waste management strategy focused on improving segregation, increasing material recovery and finding alternative uses for waste that can no longer be recycled.

As part of the initiative, SM Prime implemented more organized waste segregation systems across its properties. It also worked with partners, including SM GUUN Environmental Company, to process non-recyclable waste for conversion into alternative fuel.

Other programs, such as Trash to Cash, along with plastic and electronic waste recovery efforts, were designed to encourage customers to participate in proper waste disposal and resource recovery.

SM Prime President and Chief Executive Officer Frederic C. DyBuncio said the company expanded its sustainability programs in 2025 with emphasis on measurable outcomes.

The company strengthened initiatives covering renewable energy, energy efficiency, water conservation and waste management during the year. It also enhanced its sustainability reporting by moving toward the IFRS Sustainability Standards ahead of local regulatory requirements.

In managing plastic waste, SM Prime recorded approximately 7.2 million kilograms of plastic packaging in 2025. The company is targeting the recovery of at least half of these materials through recycling and verified recovery mechanisms.

The initiative forms part of a broader effort to keep materials in productive use as long as possible and reduce the amount of waste sent for disposal.

Beyond waste management, SM Prime is also pursuing investments in cleaner sources of energy.

Through the Philippine Geothermal Production Company, Inc. (PGPC), SM Prime is currently exploring six geothermal sites that could produce a combined potential capacity of between 355 and 578 megawatts.

The projects are intended to contribute to the availability of reliable, lower-carbon base load electricity over the long term.

SM Prime also increased the number of certified energy managers within the Group and established more systematic energy audits and monitoring practices. These measures intend to help its various business units identify areas of excessive energy use and implement practical efficiency improvements.

The company aims to reduce its overall greenhouse gas footprint by 40% by 2040.

Sustainability efforts are also being pursued in areas beyond environmental protection. SM Prime said it continues expanding sustainable products in its retail operations while supporting micro, small and medium enterprises, generating employment and investing in communities.

These programs are intended to promote more responsible consumption while helping broaden access to economic opportunities.

For SM Prime Chairman of the Board Amando M. Tetangco Jr., sustainability has increasingly become part of the company’s approach to growth and long-term decision-making.

Since its listing in the Philippine Stock Exchange in 2005, SM has expanded into one of the country’s largest business groups, with operations and investments covering retail, property, banking, logistics and renewable energy.

Tetangco said the company’s growing presence has also brought greater responsibility toward its stakeholders and the communities connected to its businesses.

As SM expands, the company has placed greater emphasis on responsible resource use, transparency and long-term value creation.

SM began publishing ESG disclosures more than a decade ago and has continued to strengthen its reporting practices. The company has sought to keep pace with changing Philippine requirements while also using international standards as benchmarks for its sustainability disclosures.

The company views responsible business practices as an important component of resilience and sound long-term planning.

SM Prime said its sustainability agenda is now closely integrated with its broader business strategy, reflecting the company’s efforts to address challenges involving climate change, resource management and social inclusion.

The Gold Award for the SM Waste-Free Future initiative adds to the company’s sustainability efforts by recognizing its work to make waste reduction and resource recovery part of everyday operations.

The recognition also reinforces SM Prime’s stated goal of using ESG initiatives not only to improve its environmental performance but also to create lasting value for its stakeholders and the communities where it operates.