MANILA -- Ayala-led Bank of the Philippine Islands (BPI) is looking to expand its Green Solutions program after it got positive response from the public wanting to apply for so-called green loans. 

Earlier this year, BPI offered financing options for eco-friendly housing and auto options, among the firsts in the country.

BPI Chief Finance Officer and Chief Sustainability Officer Eric Luchangco said the demand for green loans is growing and they are always looking for new partners to expand the program. 

This program covers, for example, solar mortgages for those wanting to have solar panels at home, as well as electric vehicles.

“That’s across multiple products that include on the auto loan side for electric vehicles, and then for sustainable housing, and then again for solar panels,” he said.

Luchangco added that there are better terms under the Green Solutions program compared to other types of loans, making it easier for Filipinos to shift to more environment-friendly options.

“We have longer terms for the electric vehicle, it’s 7 years. For most vehicle financing, it’s usually up to 5 years.”

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Aside from Green Solutions, BPI is also expanding its Sustainable Development Finance (SDF) targeted at businesses who may want to shift to renewable energy or start sustainable practices at their workplace.

“If you have or (are) going to convert an existing building to become a green building, we would be able to provide some consultancy advice at no cost to be able to support you -- what do I have to think about the conversion of lights, the conversion of air-conditioning,” Luchangco said.

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Covered under SDF are green building construction or modernization, acquisition of more energy-efficient machinery and equipment such as lighting fixtures, heating, ventilation, and chillers, as well as the rehabilitation of existing farming facilities.

Luchangco added that being green or being sustainable is also observed by the company. BPI has now converted 14 branches into "green branches" certified by the International Finance Corporation.

They plan to add more green branches, but this will also depend on the location, as some branches are inside malls or buildings they do not own.

“The branch has to show energy savings of at least 20 percent, water savings of at least 20 percent, and use of embodied materials that contribute to reduce environmental impact as well,” he said.

Luchangco meanwhile added that they are now studying a framework on the issuance of blue bonds. He added they may also issue green bonds in the future, though no timeline has been divulged. 

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