PLDT borrows P1 billion in green loans

March 7, 2024 | 12:00am

MANILA, Philippines — Telco giant PLDT Inc. has borrowed P1 billion from the green loan facility of HSBC Philippines to bankroll the expansion and upgrade of its fiber network.

PLDT yesterday announced that it took a loan worth P1 billion from HSBC’s green loan facility, marking the first time that a Philippine telco availed of it.

PLDT chief financial officer and chief risk management officer Danny Yu said the loan would fund efforts to further enhance the fiber network of the largest telco in the Philippines.

The project is aimed at improving the quality and reliability of the internet for PLDT customers in fixed broadband, mobile data and carrier-grade connectivity. The difference, however, is that the telco plans embark on this expansion with minimal impact to the environment.

Citing previous studies, Yu said fiber cables generate less heat and require no cooling systems at all. As such, these cables use up less energy unlike previous technologies in connectivity.

”The availability of sustainable financing facilities will help PLDT’s commitment to ensuring its long-term profitability by doing business responsibility,” Yu said.

Melissa Vergel de Dios, chief sustainability officer at PLDT, said the company’s first-ever Green Loan facility is affirmation that efforts to pursue the twin goals of energy efficiency and reduced carbon emissions are appreciated and supported by the financial community.

“We are thankful to HSBC for helping PLDT carry out our commitment of stewardship of the planet for the next generation,” De Dios said.

Under its decarbonization roadmap, PLDT wants to trim greenhouse gas emissions by 40 percent by 2030 by maximizing green technologies and renewable power.

As of 2023, PLDT maintains a fiber infrastructure that runs for around 1.1 million kilometers, of which 900,000 kilometers are located locally and 200,000 kilometers are situated overseas.