SM PRIME Holdings Inc., the operator of the Philippines’s largest chain of shopping malls, on Monday said it installed solar panels to produce 1.1 megawatts of power atop its mall in Xiamen, China.

The company said the project is the first of its kind in Xiamen and is part of SM Group’s commitment to reduce greenhouse-gas emissions and optimize energy efficiency in its malls.

The project is worth 13.2 million yuan or $2 million, Jeffrey Lim, SM Prime executive vice president, said. It involves the installation of 3,740 solar panels on the roof of SM City Xiamen Phase 1 and Phase 2 SM Lifestyle Center.

The total capacity of its solar power project is 1,100-kilowatt peak and the average generated electricity of the project is estimated at 1.1 million kilowatt-hours (kWh) per year, Lim said.

“The total generated electricity of the 25-year life cycle will be approximately 27.5 million kWh,” he said.

Aside from SM City Xiamen, SM Prime has also introduced a thermal energy storage plant in SM City Jinjiang.

This ice-based cooling system provides for a large reduction in the mall’s utility and energy bills and greatly optimizes energy efficiency, the company said.

SM Prime operates 47 malls all over the Philippines with a combined gross floor area of 5.9 million square meters.

In China, the group has five malls and plans to build one every year during the next four years, company officials said earlier.

For the rest of 2013, SM Prime is scheduled to launch SM City in BF Homes in Parañaque and will open the Building D of SM Megamall in Ortigas Center.

By the end of the year, SM Prime will have 48 malls in the Philippines and five in China, with an estimated combined gross floor area of 6.9 million square meters.

The SM Group is consolidating all its property ventures into one big unit with SM Prime as the surviving entity, but mall operation would still be its biggest growth driver.

Under the consolidation of SM property-related businesses, SM Prime will first merge with SM Land Inc., a privately held firm. After the merger, it will consolidate publicly listed SM Development Corp. and Highlands Prime Inc.

SMDC is a residential condominium developer, while Highlands Prime is a developer of high-end residential properties within Tagaytay Highlands.

SM Prime will also acquire specific real-estate companies and assets currently held by SM Investments Corp., the holding company of the firms owned and controlled by the Sy family.