COURTESY: PLDT Inc.
In the bustling archipelago of the Philippines, innovation and sustainability are taking center stage, particularly in the southern region of Mindanao. The Philippines’ leading integrated telco network, PLDT Inc. (PLDT), along with its wireless arm, Smart Communications, Inc. (Smart), are making significant strides in their quest for greener tech solutions. They are teaming up with First Gen Corporation, the country's largest renewable energy (RE) producer, to transition six network facilities in Mindanao to 100% renewable energy. This partnership is not just an environmental initiative; it’s a groundbreaking leap into the future of telecommunications.
Among the facilities undergoing this green transformation is PLDT Ponciano, a pivotal regional hub in Mindanao. This facility is not just a cog in the machine; it’s a powerhouse that also hosts VITRO Davao, the first data center in Davao City. VITRO Davao is a lifeline for businesses, offering robust disaster recovery, security, and business continuity services. With this switch to 100% RE, VITRO Davao will proudly wear the badge of being the first data center of the telco firm to operate entirely on renewable energy.
This shift is more than a strategy to cut costs; it's about setting new standards. PLDT Ponciano and VITRO Davao are leading the charge, paving the path for other facilities to follow. By embracing geothermal energy, supplied by First Gen, these establishments are not only future-proofing their operations but also contributing to a more sustainable environment.
The decision to transition these facilities to renewable energy is fueled by more than just eco-friendly aspirations. Leo Gonzales, PLDT Vice President and Sector Head for Property and Facilities, emphasized the importance of this move. He stated, “This enables us to future-proof our facilities, reduce our operational expenses, and support the government’s Green Energy Option Program in the region.”
The financial benefits are substantial. The RE expansion in Mindanao is projected to save PLDT and Smart approximately ₱23 million annually in energy and operational costs. Additionally, the initiative is expected to slash greenhouse gas emissions by nearly 13,000 tons each year. This aligns with PLDT and Smart’s decarbonization roadmap, which aims to reduce Scope 1 and Scope 2 emissions by 40% by 2030, using a 2019 baseline.
The collaboration between PLDT, Smart, and First Gen isn’t just a business transaction; it’s a shared commitment to sustainability and decarbonization. Carlo Vega, First Gen Vice President for Power Marketing, Trading, and Economics, expressed his enthusiasm: “We are honored to collaborate with the PLDT group, support their transition to RE, and help make their facilities more energy-efficient and sustainable while providing meaningful connectivity to Filipinos.”
The PLDT Group is not stopping here. Plans are underway to further integrate renewables into their energy mix, including geothermal, solar, and wind sources. This journey began in May 2023, with the launch of their RE supply partnership with First Gen, harnessing geothermal energy for network facilities in Cebu, Samar, Capiz, and Iloilo. The initiative also includes the installation of their largest solar rooftop facility in the Visayas, covering sites in Cebu Jones, Mandaue City, Roxas, La Paz, Iloilo, and Bacolod.
This ambitious transition isn’t solely about energy savings or emissions reductions. It’s about the bigger picture: enabling the country’s digital transformation while being kind to the planet. As Melissa V. Vergel de Dios, PLDT First Vice President, Chief Sustainability Officer, and Head of Investor Relations, aptly put it, “This partnership with First Gen allows us to continue to enable the country’s digital transformation and help narrow the digital divide but in a way that is kind to the planet.”
First Gen, as the largest producer of RE in the Philippines, is a crucial ally in this mission. With 26 facilities generating power through solar, hydro, wind, and geothermal means, they produced over 8,000 gigawatt hours of RE in 2023. Their commitment to expanding their total RE capacity to 7,500 megawatts by 2030 supports the Philippine government's target to raise RE capacity from 22% to 35% by 2030.
Ultimately, these efforts are more than just corporate initiatives; they are vital contributions to the global ambition of achieving Net Zero by 2050. By supporting the United Nations Sustainable Development Goals, particularly those focused on industry innovation, affordable clean energy, and climate action, PLDT, Smart, and First Gen are not just making waves; they’re setting the course for a sustainable future.
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