Sustainability

Circular Economy

AYALA LAND’S CIRCULAR APPROACH TO WASTE MANAGEMENT 

Ayala Land applies a circular economy approach to reduce waste and maximize resource value across the lifecycle of materials used in our developments and operations. This includes waste prevention, material substitution, and recycling and recovery systems across properties and construction activities. These measures support the target of zero waste to landfill by 2030 and reduce Scope 3 emissions, material use, and exposure to waste-related transition risks. 

The key work on Zero Waste to Landfill 2030 is to identify waste that has the potential to be converted into new and valuable material, thus creating a circular economy.   In 2024, ALI diverted 32% of total waste from landfills, a significant step towards its goal of achieving zero waste by 2030. 

Ayala Land Zero Waste to Landfill 2030 Strategies 

  • Prioritize the reduction, reuse, and recycling of waste across our developments 
  • Increase the utilization of construction materials with recycled content to reduce embodied carbon in our developments. 
  • Implement a comprehensive waste management approach by identifying waste streams, enforcing waste segregation at source, eliminating single-use plastics, and landfill diversion. 
  • Promote circular economy principles by recovering, repurposing, and reprocessing waste for materials used in construction and operations. 
  • Strengthen strategic partnerships by expanding collaboration with circularity and recycling partners. 

Ayala Land’s Circular Approach to Waste Management 

Solid Waste Management  

Ayala Land prioritizes waste prevention, lower-carbon materials, and material recovery in line with the waste hierarchy. Programs include waste segregation, tenant engagement, and compliance training to improve recycling outcomes. Each property features dedicated Materials Recovery Facilities (MRFs) to enhance waste sorting and support recycling and composting efforts. 

In 2025, total waste generated from operating properties was 35,556 metric tons, a 13% decrease year on-year. Of this, 50% was diverted from landfills through recycling, composting, and processing at accredited facilities, where these materials were converted into valuable products or feedstocks.  

Waste diversion performance improved through partnerships with service providers operating material recovery facilities (MRFs), which conduct secondary segregation and convert residual waste into refuse‑derived fuel (RDF). This reduces landfill waste and supports the use of alternative fuels. 

Food Waste Management  

  • Several properties have piloted a program on food and compostable waste management by exploring innovative solutions, such as food waste digester machines, black soldier fly composting, and utilizing compostables as feedstock for energy harvesting. 
  • In 2024, a Seda Hotel piloted the use of an innovative aerobic food waste digester and successfully diverted 25.4 tons of food waste from landfills, achieving a 15% reduction. A pilot project with the Malls was also introduced to divert 6,123.68 kg of food waste and convert it into feedstock for black soldier fly composting. 
  • The hotel group continues to use an aerobic food waste digester in 2025 to convert food waste into effluent liquid, diverting 33 tons from landfill disposal. 
  • Nuvali’s urban garden converted 15,000 kg of yard waste into mulch for the vegetable plots. Nuvali organized its second Harvest Festival on July 25, 2025 with communities, tenants, and partners, and produced 2,251 kg of vegetables by year-end. 

Plastic Recycling 

  • Ayala Land partnered with Green Antz to develop an EcoHub in Arca South, Taguig. This Ecohub collected 39,537.75 kg of discarded plastic materials and transformed them into ecopavers for ALI’s developments. 
  • Ayala Land’s construction arm, Makati Development Corporation, was able to input 107 tons of shredded PET plastics collected from ALI properties into their ready-mix concrete (RMC). In 2025, a total of 22 tons of shredded plastic waste as an alternative material input in the production of ready-mix concrete and pavers, which were used in some estate developments. 
  • Continuing its plastic recycling program, Ayala Land has tapped Green Trident for the collection of clean dry plastics (CDP) from mall properties. Since 2024, 33,896 kg of CDP have been diverted and used to produce 500 pieces of ecoboards. In 2025, a total of 150 tons of recyclable materials were collected from 22 properties, including plastic waste and corrugated cartons. The recovered flexible plastics were processed into 2,800 pcs of Poly Al Pro ecoboards.  
  • Similarly, Chop Value collected 407 tons of used chopsticks from 18 commercial properties in 2025 for material recovery and upcycling into reusable products. 
  • Ayala Land utilized stormwater collection modules from Vertigrow, made of 140 tons of recycled plastics, for one of its Estates developments. Manly Plastics also utilized 120 tons of plastic for pallets in warehouses. 

Construction Waste 

  • A pilot concrete debris recycling program was initiated in 2025 on one demolition project and successfully collected 225 cubic meters, which were used to process 22,000 pieces of low-carbon pavers. 
  • MDC’s construction waste decreased to 180,192 m³ in 2024, a reduction from 218,543 m³ in 2023, with 18% diverted from landfills through waste diversion initiatives. MDC continues to explore ways to minimize waste on-site through the use of modular construction methodologies. Steel Asia processed 468 tons into low-carbon rebars in 2025. 
  • Ayala Land, Inc., MDC, and Steel Asia signed an MOU to work together on the circular economy at the beginning of 2024. By year-end, 208 tonnes of steel scraps were recovered from a mall redevelopment site. Following rigorous quality inspection, the recovered steel scraps will be smelted using an Electric Arc Furnace, then remanufactured into rebars – green steels produced with a significant recycled content and a reduced carbon footprint. Steel Asia’s Calaca, Batangas plant has been independently verified by DNV (Det Norske Veritas) for its product carbon footprints, confirming emissions of only 0.28 tons CO2 per ton of billet and 0.36 tons CO2 per ton of rebar—nearly 90% lower than conventional steelmaking. 

Waste-to-Energy 

This program gained momentum in 2024, with 563 tons of yard waste processed and fully converted into energy to power the laundry operations of Seda Hotels, in partnership with Integrated Waste Management (IWM). In comparison, 216 tons of yard waste were converted into energy in 2023. 

E-Waste 

Through partnerships with IWM and ZOLO, a total of 18 tons of corporate e-waste were collected and transferred for circular processing, including refurbishing and recycling, to support responsible end-of-life management of electronic equipment. 

Partnerships for Sustainability  

Ayala Land has forged partnerships with waste management service providers and enterprises, including AC Logistics (IWM waste management), Green Trident (plastics recycling), Prime Waste (waste management in Cebu), the Orca Food Waste Digester (for hotel food waste), and ChopValue (for used bamboo chopsticks collection).  In support of decarbonization and the circular economy, a strategic partnership was also formed with SteelAsia. 

The company recognizes that there is no single solution to our complex problem of waste management and plastic pollution.  It takes diverse strategies, collaboration with communities, and organizations working together to drive real, lasting impact.