3 July 2023

HSBC Philippines announced Php1.35 billion green loan for Prime Infra

HSBC Philippines announced a PHP1.35 billion (approximately US$24.5 million) green loan was arranged for Prime Integrated Waste Solutions Inc. (PWS), a subsidiary of Manila, Philippines-based Prime Infrastructure Capital, Inc. (Prime Infra), as PWS acquired Cebu-based ARN Central Waste Management, a facility specializing in waste management and materials recovery. The financing will help PWS to scale up the facility to process around 2,000 tons of municipal solid waste daily.

“Aligned with our vision to develop critical infrastructure that impact communities across our core segments of water, sustainable energy, and waste management, Prime Infra established PWS to answer the increasing demand for waste management solutions especially in industrialized and fast-growing cities,” says Prime Infra President and CEO Guillaume Lucci. “PWS’ business model covers the full value chain once the waste is delivered to our facility from treatment, disposal, resource recovery, to conversion. It changes the municipal solid waste and industrial solid waste management landscape for the better as we relentlessly pursue positive social and environmental initiatives that align with our purpose of making better lives and resilient economies through critical infrastructure.”

The 17-hectare site currently receives and processes around 1,000 tons of municipal solid waste daily. PWS plans to double that capacity to 2,000 tons while bringing the quality of operations at par with world-class materials recovery facilities.

PWS’ transformation strategy focuses on resource recovery using state-of-the-art equipment, significantly reducing the amount of trash that is ultimately landfilled, as well as operationalizing the recyclables business by producing refuse-derived fuel.

PWS fully employs material recovery attendants from surrounding indigent communities and upholds high standards of safety to ensure the well-being of its entire workforce.

Prime Infra’s investment in waste management is part of a broader strategy to optimize the value created from waste through its complementary sustainable fuels business.

Meanwhile, HSBC is committed to achieving net zero in its operations and supply chain by 2030, and in its financing portfolio by 2050. The Bank is working with clients to help reduce their emissions and scale up low-carbon solutions, as it reduces its own.

“In the Philippines and around the world, we stand ready to support our clients on their transition journeys,” says HSBC Philippines Head of Wholesale Banking Mimi Concha. “This one of the notable ‘green’ loans that the Bank has extended in the country and by supporting PWS in its waste management efforts, this is clearly in line with HSBC’s overall climate strategy given the expansion of the facility will bolster sustainable waste management capacity, limiting the amount of waste that ends up in landfill and creating new jobs in an emerging sector,” she concludes.