PLDT Inc. (PLDT) wireless subsidiary Smart Communications, Inc. (Smart) has secured its first-ever green loan facility amounting to PHP2.0 billion for the expansion of its 5G network across the country. This landmark transaction reinforces Smart’s commitment to enhancing the accessibility of digital services through a future-ready and environmentally responsible network backbone.
Issued by Metropolitan Bank & Trust Company (Metrobank), Smart’s green loan will be used to fund the continuous upgrade and expansion of its network infrastructure to enhance both energy efficiency and customer experience.
Compared to previous technologies like 4G/LTE, 5G networks carry more data traffic at a much faster pace, making it more energy efficient per gigabyte of data and more reliable in delivering better speeds to end-users. 5G also has the capability to shift to low-energy mode and optimize energy consumption based on actual network traffic, facilitating reduction of greenhouse gas (GHG) emissions.
“This green loan is more than a financial milestone—it demonstrates Smart’s participation in shaping a low-carbon digital future. By investing in energy-efficient technologies, we are pursuing business growth and efficiency, while being mindful of our impact to the environment,” said PLDT and Smart Chief Financial Officer and Chief Risk Management Officer Danny Y. Yu.
Smart’s green financing initiative is anchored on internationally recognized Green Loan Principles as developed and facilitated by leading financial institutions. It also supports the PLDT Group’s decarbonization roadmap that aims to reduce its Scope 1 and Scope 2 GHG emissions by 40% by 2030, based on its 2019 baseline.
PLDT and Smart Chief Sustainability Officer Melissa Vergel de Dios highlighted that this green loan facility directly contributes to the company’s continuing focus on its material topics, which anchor on addressing expectations of its key stakeholders, particularly on investments in innovation and infrastructure, customer experience, and operational resource efficiency.
“Financing plays a key role in enabling the achievement of our business and sustainability goals and in our pursuit of initiatives that contribute to our long-term growth and create value for the planet and the future generations,” she said.
Metrobank Corporate Banking Group Head Rommel Dionisio said, “We are proud to support Smart’s landmark green loan facility, as it aligns with our commitment to integrate sustainability principles into our financing practices. By supporting energy-efficient 5G upgrades, we are not just funding growth, we are investing in a smarter, greener digital future together.”
In 2024, Smart’s parent firm PLDT obtained a PHP4.0 billion green loan facility from Metrobank for the expansion of its fiber infrastructure and energy-efficient systems.
PLDT and Smart also continue to invest in other green technologies for their network infrastructure to optimize energy efficiency and reduce GHG emissions, while enhancing service reliability. These include increasing the use of renewable energy sources and the deployment of an Artificial Intelligence-enabled green radio solution for all its wireless network radio sites, among others.
These initiatives align with the PLDT Group’s continuing commitment to the United Nations Sustainable Development Goals, specifically Goal 9 on Industry, Innovation, and Infrastructure and Goal 13 on Climate Action.
