PLDT Inc. Secures its First-Ever Green Loan for Fiber Upgrades and Expansion

The Philippines' leading integrated telecommunications network, PLDT Inc., has secured a P1.0 billion Green Loan facility from HSBC Philippines (HSBC) to partially fund the ongoing nationwide modernization and expansion of its fiber network, which supports internet delivery platforms such as fiber fixed broadband, mobile data services, and carrier-grade WiFi.

This is HSBC's first green financing arrangement for a Philippine telecom company.

The proposed use of loan proceeds is consistent with the Green Loan Principles, specifically attaining energy efficiency. According to studies, fiber cables generate less heat than prior technologies and do not require cooling equipment, resulting in very little energy loss to the environment.

The fiber network expansion, as well as the resulting efficient operations, help the PLDT Group's decarbonization program, which seeks to lower Scope 1 and Scope 2 greenhouse gas emissions by 40% by 2030, compared to 2019 levels. To achieve this ambitious goal, the group is actively investigating the integration of renewables, green technology, and various energy optimization projects.

Danny Yu, Chief Financial Officer and Chief Risk Management Officer, PLDT Inc. said, “The availability of sustainable financing facilities will help PLDT’s commitment to ensuring long-term profitability by doing business responsibly. We are pleased to start this journey with HSBC and anticipate further expanding our sustainable financing portfolio with other sustainability projects.”

“PLDT’s first-ever Green Loan facility is affirmation that our efforts to pursue the twingoals 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,” said Chief Sustainability Officer, Melissa Vergel De Dios.

As of the end of December 2023, the company's fiber infrastructure totaled over 1.1 million cable kilometers, with over 0.2 million cable kilometers of international fiber and over 0.9 million cable kilometers of domestic fiber, further narrowing the digital divide and providing customers with a fast and reliable internet experience.

The Bangko Sentral ng Pilipinas has stated its intention to vigorously promote the adoption of sustainable finance principles within the domestic banking system as part of its advocacy against environmental degradation, as agreed upon at the 26th United Nations Climate Change Conference of Parties (COP26).

​PLDT is the Philippines’ largest integrated telco company. Through its principal business groups – from fixed line to wireless – PLDT offers a wide range of telecommunications and digital services across the Philippines’ most extensive fiber optic backbone, and fixed line and cellular networks. PLDT is listed on the Philippine Stock Exchange (PSE:TEL) and its American Depositary Shares are listed on the New York Stock Exchange (NYSE:PHI). PLDT has one of the largest market capitalizations among Philippine-listed companies.