2011 Sustainability Report - Manila Water Company, Inc.

Transcription

2011 Sustainability Report - Manila Water Company, Inc.
our quest for growth goes
beyond purely financial returns
and translates to significant
benefits for both our present
and future customers.
2011 Sustainability Report
Sustainable Growth
1
What’s Inside
3
4
6
8
16
18
24
38
50
64
70
71
72
84
About this Report
Message from the Chairman
Message from the President
Company Profile
Sustainability Model
Partners in Sustainable Growth
Employees as Catalysts to Sustainable Growth
Clean Water for Healthy Communities
Commitment to Environmental Stewardship
Responsible Business Practices that Drive
Economic Growth
Further Growth Ahead
Sustainability Performance Highlights
GRI and ISO 26000 Index
Stakeholders’ Commentaries
About this Report
Manila Water is honored to share with you its 2011
freedom of association and collective
Sustainability Report, the most groundbreaking
bargaining, child labor, forced and compulsory
Philippine publication of its nature to date. The
labor, security practices, indigenous rights,
release of this Report marks another milestone
assessment, and remediation;
in Manila Water’s 15-year history as it proudly
• Labor practices, which talk about employment,
becomes the first company in the country to publish
labor and management relations, occupational
a report that complies with two internationally-
health and safety, training and education, and
recognized standards.
diversity and equal opportunity;
Following the overall theme, Sustainable Growth,
• Environment, which focuses on materials,
the Report features Manila Water’s growth story
energy, water, biodiversity, emission, effluents
and sustainability performance for the past 15
and waste, products & services, compliance,
years and highlights the stories of its stakeholders
and transport;
whose lives and businesses have been positively
affected by the Company.
Whereas the previous eight annual sustainability
• Economic, which is specific to economic
performance, market presence, and indirect
economic impacts;
reports were in accordance with the Global
• Product responsibility, discussing customer
Reporting Initiative (GRI) G3 Guidelines, this year’s
health and safety, product and service labeling,
offering closely adheres to the GRI’s updated G3.1
marketing communications, customer privacy,
standards as well as the ISO 26000 guidance on
social responsibility.
and compliance; and
• S o c i e t y , w h i c h c e n t e r s o n c o m m u n i t y ,
The GRI G3.1 standards on sustainability reporting
corruption, public policy and anti-competitive
cover the same set of issues on economic,
behavior.
product responsibility, society, human rights,
Aligned with the guidance of ISO 26000, the
environmental, and labor practices and decent
Company’s 2011 Sustainability Report is largely
work, but include five additional indicators and
influenced by its stakeholders and the issues that
improved content and clarifications on some of
are important to them. Manila Water considered
the performance indicators. Manila Water will
their inputs in defining the materiality, scope and
again self-declare its 2011 Sustainability Report as
boundary of the Report.
Level A application of these standards, but will use
Figures and information contained in this Report
stakeholder testimonials and commentaries from
pertain only to the Company’s Metro Manila East
a panel of sustainability experts to validate the
Zone operations and do not include its subsidiaries,
Report’s content.
Laguna Water Company, Boracay Island Water
The Report will also be guided by the ISO 26000
Company, Clark Water Corporation, Manila Water
standards, which are governed by two fundamental
Total and International Solutions, and the Manila
principles, namely, recognizing social responsibility
Water Foundation.
and stakeholder identification and engagement.
Unless otherwise indicated, all data in this report
Similar to the GRI performance indicators, the ISO
cover the period from January to December 2011,
26000 considers the following as its core subjects
and all financial information have been verified by
which companies must take into account for their
the Company’s external auditor.
responsible business practices:
• Organizational governance, which highlights
For further information, please contact:
the need for the leadership team of an
Carla May Beriña-Kim
organization to be accountable, transparent
Head, Sustainable Development Department
and responsible as it makes crucial decisions
E-mail: [email protected]
for the business as well as its stakeholders;
[email protected]
• Human rights, pertaining to investment and
procurement practices, non-discrimination,
Telephone: (632) 917-5900 loc. 1562 / 1565
Fax: (632) 981-8121
3
Seven
years
ago,
Manila
Water
made
public its commitment to sustainability and
corporate social responsibility (CSR) by
publishing the first ever Sustainability Report
in the Philippines. This report complied
with the highest reporting standards under
the Global Reporting Initiative (GRI). This
measured
our
company’s
performance
beyond purely financial metrics by taking
into account our social, environmental and
economic contributions and impact. We take
pride in this pioneering effort. This reporting
practice was an important step in starting
our sustainability journey as it provided a
baseline of where we are and what we want
to achieve moving forward.
The years that followed after this first
report were focused on implementing our
sustainability plans and ensuring that these
were responsive to both our business needs
and the demands and expectations of our
stakeholders.
This
sustainability
agenda
focused on five key areas:
1. Helping build communities
2. Safeguarding health
3. Protecting the environment
4. Contributing to the local and national
economy, and
5. Developing our employees.
We also looked for opportunities to align
our
initiatives
sustainability
with
focus
the
areas
Ayala
in
Education,
Environment and Entrepreneurship.
4
manila water 2011 sustainability report
Group’s
Message from the Chairman
This year we challenged ourselves to take
our sustainability reporting practice a step
higher by integrating the ISO 26000 guidance
on social responsibility with the GRI G3.1
standards on sustainability reporting.
In 2010 Manila Water registered another
business partners because our growth is
milestone by becoming the first Philippine
our stakeholders’ growth and our success is
company to reach Level A compliance
equally their success. Because of this, we are
with the GRI G3 standards. This makes
increasingly driven to adopt a triple bottom
the company one among only a handful
line approach in our business operations and
of water companies around the world to
through our strategic CSR programs. Across
have attained this reporting status. More
all our efforts we also make sure that we
importantly, our company reaffirmed its
follow not only local and national laws and
commitment in this report to provide water
regulations, but also international policies
and wastewater service in a way that sustains
and declarations, particularly on important
future generations.
issues like human rights, labor and good
This year we challenged ourselves to take
governance practices.
our
a
We hope we can count on you, our valued
step higher by integrating the ISO 26000
stakeholders and partners, to continue on this
guidance on social responsibility with the GRI
journey with us and to remain committed to
G3.1 standards on sustainability reporting.
our sustainability objectives as we aim to be
Upholding the highest standards of the ISO
more competitive in a challenging business
26000 on organizational governance, human
environment. It is our hope that our business
rights, labor practices, environment, fair
will ultimately benefit the communities that
operating practices, consumer issues, and
we serve and the environment that provides
community involvement and development
our resources.
demonstrates the alignment of our social
We thank our customers, our partners,
responsibility objectives with Manila Water’s
our shareholders, and most importantly,
business model. This level of compliance
our employees for making our sustainable
is, once again, a first among Philippine
growth story possible.
sustainability
reporting
practice
companies.
Our ultimate objective in adhering to the
highest reporting practices and standards
is to ensure that our quest for growth
goes beyond purely financial returns and
translates to significant benefits for both
our present and future customers. It should
also positively impact our employees and
fernando zobel de ayala
Chairman
5
Message from the President
Our business model has matured to a level
that aligns business viability with creating a
positive impact in the communities we serve
and for the environmental resources we
utilize.
6
2012 marks Manila Water’s 15 years of service
productive activity. Moreover, families in
to the people of Metro Manila’s East Zone.
these communities saved 85-90% of what
Looking back on our organization’s history,
they used to pay for vended water. Most
we see a Manila Water that has risen above
importantly, over-all health and sanitation
the travails of the Asian Financial Crisis, that
significantly improved.
has weathered a long episode of El Niño,
In the same manner, we are delighted about
and that has managed widespread network
the success stories of our contractors, service
operational challenges to eventually emerge
providers and suppliers whose businesses
as among the world’s best water operators,
flourished with the Company’s operational
with a solid track record of financial stability
expansion. Most of them started as small,
and operating efficiency. We witnessed
mom-and-pop enterprises with only a few
our Company’s transformation from a tall
workers. Today, they are well-established
and hierarchical organization to a flat and
and competitive vendors, many of which
seamless structure with competent and
have risen to become Triple A contractors.
empowered people. Most importantly, our
Moreover, they have become an extension
business model has matured to a level that
of the Company’s face and a reflection of
aligns business viability with creating a
our
positive impact in the communities we serve
principles. The same story holds true for the
and for the environmental resources we
eight community-based cooperatives that
utilize.
are part of the ‘Kabuhayan Para Sa Barangay’
Manila Water is truly blessed to have had
(KPSB) program, which are included in our
the opportunity to create a significant
supply
difference in the lives of the people we serve,
grown the startup capital they received from
especially those belonging to marginalized
Manila Water into full-blown and multiple
communities. By fulfilling their basic human
businesses that enable them to serve other
right to water through the ‘Tubig Para Sa
companies as well.
Barangay’ (TPSB) and ‘Lingap’ programs, low-
The profound changes and sustained growth
income communities and public institutions
experienced by Manila Water in the last 15
now have reliable access to affordable,
years would not have been possible without
potable water. This is in stark contrast to the
the dedication, commitment and excellence
conditions they had to endure before. People
of our people. Our mantra, ‘One Company,
no longer have to line up for hours and pay
One Team’ accurately describes who we are
extremely high rates for vended water. Safe
as an organization. We intend to keep this in
drinking water became accessible from
mind as we pursue our mission of improving
their taps any time of the day. The precious
lives and contributing to nation-building.
time they saved became available for more
On our 15th year, we deem it appropriate
manila water 2011 sustainability report
corporate
chain.
values
These
and
sustainability
communities
have
to release a groundbreaking report that
captures our sustainable growth story, and
which shares heartwarming stories from our
stakeholders and partners. The 2011 Manila
Water Sustainability Report is truly a class
of its own as it is the first-ever publication
by a Philippine company to adhere to both
the GRI standards on sustainability reporting
and the ISO 26000 guidance on social
responsibility. It not only speaks about our
accomplishments with respect to the triple
bottom line, but our commitment to corporate
social responsibility and sustainability.
This 2011 Sustainability Report is likewise a
celebration of our growth and partnership
with you. Endeavoring to make this report
responsive and relevant, we have taken note
of stakeholder feedback from the previous
years and have put great focus on tackling
issues that are most important to you.
On behalf of the men and women of Manila
Water, please accept my heartfelt thanks for
15 years of strong partnership. As we move
towards more fruitful years of service, we
remain mindful of our commitment to secure
your future today.
gerardo c. ablaza, jr.
President & CEO
7
Company Profile
A Manila Water
employee addresses
a customer’s water
concern.
Manila Water is a privately-owned and
of 6.1 million people from 23 cities and
publicly-listed company engaged by the
municipalities in its concession area.
Metropolitan Waterworks and Sewerage
Despite being the sole provider of water
System (MWSS) as its concessionaire to
and wastewater services in Metro Manila’s
improve the water supply and wastewater
East Zone, Manila Water’s business practices
infrastructure in the East Zone concession
strictly adhere to international standards on
area of Metro Manila and the adjacent
anti-competitive
province of Rizal.
As such, in 2011 no administrative or judicial
The Company focuses on water supply
sanctions were levied against the Company
treatment and distribution, wastewater (i.e.
for failure to comply with national laws or
sewerage and sanitation), and customer
regulations.
service. Its customer base is composed
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manila water 2011 sustainability report
and
anti-trust
behavior.
Shareholder Base
Ayala Group
43.2%
public
45.5%
Customer Base
commercial
4.87%
0.32%
4.23%
industrial
semi-business
Mitsubishi
7%
4.3%
IFC
domestic
90.56%
Governance Structure
stockholders who are eligible to vote
at the Annual Stockholders’ Meeting.
Board of Directors
Moreover, the Company separates the roles
Manila Water’s Board of Directors is
and responsibilities of the Chairman, Mr.
composed of 11 members, including 2
Fernando Zobel de Ayala, and the President
independent directors to uphold the
and Chief Executive Officer (CEO), Mr.
principles of fairness, transparency and
Gerardo C. Ablaza, Jr. to ensure the balance
accountability in the Board’s decision-
of power and allow independent and
maki ng p r o c es s . T he y are e l e ct e d b y
impartial decisions.
company profile
9
Organizational Setup
Office of the
President
Corporate
Strategy and
Development
Group
Corporate
Finance and
Governance
Group
Corporate
Strategic
Affairs Group
Operations
Group
Strategic Asset
Management
Corporate
Human
Resources
Group
Project
Delivery Group
East Zone
Business
Operations
Balara
Cubao
business areas
Marikina
(BAs)
Makati
Pasig
San Juan Mandaluyong
Taguig
Rizal
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manila water 2011 sustainability report
Board of Directors
Position
Name
Gender
Nationality
Age
Chairman
Fernando Zobel de Ayala
Male
Filipino
52
Members
Jaime Augusto Zobel de Ayala
Male
Filipino
53
Gerardo C. Ablaza, Jr.
Male
Filipino
58
Antonino T. Aquino
Male
Filipino
63
Delfin L. Lazaro
Male
Filipino
65
John Eric T. Francia
Male
Filipino
40
Simon Gardiner
Male
British
44
Ricardo Nicanor N. Jacinto
Male
Filipino
51
Keiichi Asai
Male
Japanese
57
Jose L. Cuisia, Jr.*
Male
Filipino
68
Oscar S. Reyes*
Male
Filipino
65
From left to right: Jose
L. Cuisia, Jr., Ricardo
Nicanor N. Jacinto,
Simon Gardiner,
Keiichi Asai, John
Eric T. Francia, Delfin
L. Lazaro, Antonino
T. Aquino, Fernando
Zobel de Ayala, Jaime
Augusto Zobel de
Ayala, Oscar S. Reyes,
Gerardo C. Ablaza, Jr.,
Solomon M. Hermosura
* Independent Directors
Executive Committee
Chairman
Fernando Zobel de Ayala
Vice-Chairman Gerardo C. Ablaza, Jr.
Members
Audit and Governance Committee
Chairman
Oscar S. Reyes
Members
Ricardo Nicanor N. Jacinto
Antonino T. Aquino
Jose L. Cuisia, Jr.
John Eric T. Francia
Delfin C. Gonzalez, Jr.
Ricardo Nicanor N. Jacinto
The committee serves as the Board’s check
The committee acts by majority vote of all
and balance mechanism and is expected
its members on specific matters within the
to bring positive results in supervising and
competence of the Board as may, from time
supporting the Company’s management. It
to time, be delegated to it in accordance with
is responsible for ensuring the development
the Company’s By-Laws, except with respect
of, compliance with, and periodic review of
to certain matters specified in the By-Laws
corporate governance policies and financial
and Corporate Governance Manual, and the
reporting
law.
Company. The committee’s role also includes
policies
and
practices
of
the
risk management functions.
company profile
11
Nominations Committee
Chairman
Jose L. Cuisia, Jr.
Members
Jaime Augusto Zobel de Ayala
John Eric T. Francia
Oscar S. Reyes
The committee reviews and evaluates the
qualifications of all persons nominated to
positions in the Company which require
appointment of the Board. It encourages the
selection of a mix of competent directors,
each of whom can add value and create
independent judgment as to the formulation
of sound corporate strategies and policies. An
independent director heads the committee
Manila Water’s Management Committee (ManCom) members (from left
to right), Geodino V. Carpio (Operations Group Director), Gerardo C.
Ablaza, Jr. (President and CEO), Virgilio C. Rivera, Jr. (Corporate Strategy
and Development Group Director), Ferdinand M. Dela Cruz (East Zone
Business Operations and Corporate Strategic Affairs Group Director), Luis
Juan B. Oreta (Chief Finance Officer) and Ruel T. Maranan (Corporate
Human Resources Group Director) ensure that strategic directions from the
Company’s Board of Directors are reflected in its day-to-day operations.
and one of its three members is likewise an
independent director.
Remuneration Committee
Chairman
Oscar S. Reyes
Members
Gerardo C. Ablaza, Jr.
Fernando Zobel de Ayala
Jose L. Cuisia, Jr.
The committee is given the power and
Manila Water has a
Corporate Governance
Manual which
institutionalizes
the best governance
practices used
to guide the
day-to-day business
of the Company.
duty to determine and approve all matters
relating to remuneration and benefits of
the Company’s officers and directors. It
continuously evaluates and recommends,
for Board approval, pertinent guidelines on
executive compensation, particularly with
regard to non-monetary compensation such
as the stock purchase plan.
Proxy Validation Committee
Chairperson;
Head,
Internal Audit
Department
Ma. Lourdes P. Miranda
Atty. Jhoel P. Raquedan
Members
Compliance
Officer
Representative of External
Auditor
Luis Juan B. Oreta
The committee is empowered to pass on the
validity of proxies.
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manila water 2011 sustainability report
Board Remuneration
Board Evaluation
Compensation of the Board of Directors and
The Company also has an evaluation system
top management of Manila Water follows
to measure the performance of the Board
the principle of prudent and efficient
and the Executive Officers of the Company
expense. As a policy, the reasonable per
in terms of good governance practices. This
diems of the Board of Directors should
is done annually and the results thereof are
not be more than 1% of the Company’s net
discussed in the Board meeting.
income of the preceding year, while the total
compensation of top management should
not exceed PhP100 million on an annual
basis. The performance of the Company
Policies and Principles Regarding
Human Rights
and Corruption
is the benchmark for the determination of
prudence of the directors’ and management’s
Manila Water is currently setting up a process
per diem and compensation but these costs
for human rights screening. For now, the
are not solely subject to the directors’
Company ensures that all contractors follow
discretion.
Any adjustment to existing
the Vendor’s Code of Conduct and the
Board and top management compensation is
Deed of Undertaking Ethical Procurement
thoroughly deliberated upon by the members
Standards. Moreover, for its employees, the
of the Board’s Compensation Committee,
Company strictly complies with the Labor
composed mainly of independent directors,
Code of the Philippines and its provisions on
and approved by the shareholders during the
wages, hours of work, employment of women,
general membership meeting.
health safety and social welfare benefits, and
labor relations.
Avoidance of Conflict of Interest
Manila Water also puts a premium on
addressing corruption. All its employees have
Manila Water has a Corporate Governance
undergone anti-corruption training, and those
Manual which institutionalizes the best
who failed to meet the Company’s code of
governance practices used to guide the day-
conduct were meted the proper punishment.
to-day business of the Company. The Manual
incorporates certain guidelines on conflict
of interest which applies to all employees,
members of the Board of Directors, and top
Mechanisms for Shareholders
to Provide Recommendation
or Direction
management. Among the salient features
of the Conflict of Interest policy is the
Consistent with the Philippine Corporation
requirement for everyone in the Company,
Code, Manila Water’s Corporate Governance
regardless of position or designation, to
Manual provides for security on the
disclose any instance of conflict of interest,
participation of its shareholders in Company
whether actual or apparent, immediately upon
direction and strategy. Furthermore, the
knowledge of its existence. In the case of the
Manual considers additional shareholder
Board of Directors the disclosure on Conflict
rights, to wit: (1) it is the duty of the directors
of Interest is also made public in accordance
to promote shareholder rights, remove
with the terms and conditions provided
impediments to the exercise of shareholder
under the Securities Regulation Code and its
rights and provide effective redress for
Implementing Rules and Regulations.
violation of their rights; (2) the members of
company profile
13
the Board of Directors shall encourage the
supply will allow Manila Water to prepare for
exercise of the shareholders’ voting rights.
future dry spells that may hit the country.
The stockholders should be encouraged
Also being addressed are risks related to
to personally attend such meetings. If they
corruption. An Enterprise Risk Management
cannot attend, they should be apprised ahead
(ERM) process will be rolled out this year,
of time of their right to appoint a proxy; (3) it is
and initial results show that a number of
the duty of the Board of Directors to push for
departments, particularly those that regularly
the resolution of collective action problems
interface with customers, suppliers and
through appropriate mechanisms; (4) the
contractors, identify fraud risk as one of the
Board of Directors has the duty to conduct
top risks they encounter. The Company is
a transparent and fair annual and special
taking steps to educate its different units
stockholders’ meetings of the Company; and
in identifying and combatting corruption
(5) the minority stockholders has the right
through proper training.
to propose the holding of a meeting and
the right to propose items in the agenda of
Significant Changes in 2011
the meeting that relate directly to legitimate
business purposes, all in accordance with the
In 2011, Manila Water made some changes
By-laws.
in its organization in response to emerging
business needs. The Company formed the
Enterprise Risk Management
Strategic Asset Management (SAM) Group
to take the lead in evaluating, rationalizing,
Manila
Water
continues
to
undertake
planning
and
transforming
the
Company’s assets. To improve its stakeholder
may adversely affect business operations.
engagement and communication processes
In 2011, the Company focused on reducing
and leverage on its sustainability initiatives,
risks brought about by climate change.
Manila Water likewise created the Corporate
Extensive risk assessment was conducted
Strategic Affairs Group (CSAG).
by different groups within the Company to
Moreover,
draw up strategies and plans to mitigate the
leadership team as it welcomed on board Mr.
risks posed by climate change. In addition,
Ferdinand ‘Ferdz’ Dela Cruz as the new Group
Manila Water has a Disaster Preparedness
Director for East Zone Business Operations, as
Plan to be able to respond quickly to major
well as for CSAG. Before joining Manila Water,
natural disasters such as earthquakes and
Mr. Dela Cruz was the head of Consumer Sales
floods, two calamities that can directly affect
Group of another Ayala subsidiary, Globe
the Company’s dams and water supply.
Telecom. He brings with him a wealth of key
Critical structures and facilities are also being
leadership experiences in sales, distribution
strengthened and retrofitted to enable them
and marketing from his previous work with
to withstand a 7.2 magnitude earthquake,
Kraft Foods, Ayala Land, San Miguel, Unilever
which experts say might hit Metro Manila in
Philippines
the near future.
graduated cum laude from the University of
The Company also seeks to reduce its reliance
the Philippines and a board topnotcher in the
on Angat Dam for its water supply with the
1987 Mechanical Engineering licensure exam.
Laguna Lake/Rizal Province Water Supply
He was also named Outstanding Mechanical
Improvement Project, which was launched in
Engineering Alumnus of the State University
2011 and is part of the Company’s 2008 Rate
in 2001.
Rebasing Plan. Augmenting the current water
14
master
measures to mitigate the many risks that
manila water 2011 sustainability report
the
and
Company
Inbisco
reinforced
Philippines.
its
He
Awards and Recognitions
Asian Human Capital Award
Manila Water became the very first Filipino
company to receive the elite honor from the
Singaporean Ministry of Manpower when it
captured the grand award for harnessing
its people in transforming from a struggling
utility into a world-class water and wastewater
service provider. The Company was cited not
only for its accomplishments but also for the
way it has turned around its business using its
human resource.
One of the World’s Most
Environmentally Aware
Manila
Water
was
the
only
Philippine
company and one of just eight in Asia to
have been cited in the study by the World
Economic Forum as one of the top 16 “Most
Environmentally
Aware”
companies
from
across the developing world. This is a fitting
follow-up to the recognition it received
from Finance Asia in 2007 as one of the Top
Greenest Companies in Asia.
Ecoswitch and Green Coin Award
Green Philippine Islands of Sustainability
(GPIoS), a part of the European Union in
the Philippines SWITCH – Asia Programme,
recognized the efforts of Manila Water
through the Ecoswitch Award which
symbolizes the successful implementation
of environmental measures built on the triple
bottom line approach. The Company also
received the Green Coin Award for realizing
the most savings from its Ecoprofit / Cleaner
Production Implementation which has
reduced waste, increased energy efficiency
and improved health and safety of workers,
among other benefits.
Top: Photo shows Manila Water President and CEO Gerardo C. Ablaza, Jr. and
Corporate Human Resources Group Director Ruel T. Maranan with the 2011
Asian Human Capital Award trophy.
Bottom: Operations Group Director Geodino V. Carpio, together with
Christine Casabar and Mark Mulingbayan of the Environment Department,
receive the Ecoswitch Award on behalf of Manila Water.
company profile
15
Sustainability Model
Manila Water’s sustainability approach can be clearly seen from its corporate vision, which states:
Our vision is to become a leader in the provision
of water, wastewater and other environmental
services which will empower people, protect
the environment, and enhance sustainable
development.
Sustainable Development Framework
Helping Build
Communities
Protecting the
Environment
Sustainability Policy
Manila Water puts a very high premium on
sustainable development and as much as
practicable, integrates its principles into its
business processes. Manila Water believes
Developing our
Employees
that the continued sustainability of its business
is dependent on the communities that it
serves and the environment that supports its
Safeguarding
Health
Contributing to
Local and National
Economies
resources. This policy is consistent with the
Company’s values in promoting corporate
social responsibility. With this in mind, the
Company will be able to address the needs
of the communities, the environment and the
economy, without sacrificing quality.
Commitments
Manila Water commits to:
• Help build communities by providing
them with potable water, sewerage and/
or sanitation services at affordable rates;
• Develop and promote programs that
would nurture, protect and conserve our
natural resources;
• Operate the business in a way that
the health of our employees, service
16
manila water 2011 sustainability report
Alignment with National and International Programs
Millennium
Development
Goals (MDGs)
Philippine Development Plan
Water Provision to
the Urban Poor
Water Education
Environmental
Protection
Dr. Gelia T. Castillo
National Scientist,
Philippine National
Academy of Science
and Technology
providers and the general public would be
safeguarded;
• Develop self-sustainability of targeted
communities by instituting capacitybuilding mechanisms and livelihood
programs;
• Assess and manage risks associated with
our operations by instituting and adopting
mitigating measures;
• Incorporate the principles of corporate
governance in all our business operations;
• Strengthen and sustain our relations with
the communities and the government
through community development
programs;
• Ensure that the principles of sustainable
development are well communicated to
all our stakeholders;
• Make sure that the construction of new
facilities and adoption of new technologies
support the principles of sustainability;
and
• Design and develop an environmental
management system that would ensure
the sustainability of our operations.
More than five years
ago, I was invited to
be a discussant of the
UNDP Water Report.
Thinking about what
to say, I remembered
[former President] Mr. Antonino Aquino’s
presentation about Manila Water at a
roundtable discussion. Quite impressed
and wanting to see it for myself but not
knowing anybody in the company, I sent an
e-mail to Mr. Jaime Augusto Zobel de Ayala
asking for an opportunity to visit Manila
Water. They took me to the community
where I saw lined up water meters instead
of pails waiting for their turn to get their
day’s water supply. They brought me to the
shop where meter protectors were being
made as the livelihood of the community.
Subsequently, I learned that Manila Water
has the cheaper water price, lower than the
municipal water system; has substantially
reduced non-revenue water; delivers safe
water 24/7 to everybody in their area
of operation, most of all to low-income
households; provides potable water to
schools and on top of all these: Manila Water
makes money! There is “business at the
bottom of the pyramid”. Manila Water has
Corporate Social Responsibility embedded
in their daily operations.
I cannot believe that the pails are gone and
they now have water meters one after the
other. The Manila Water story is just too
good to be true, except that it is true. That’s
the wonder of it all!
sustainability model
17
Partners in Sustainable Growth
The Stakeholder Universe
Employees
Community /
Customers
Regulators
National
Government
Agencies
(NGAs)
Finance
Community
Local
Government
Units (LGUs)
Supply
Chain
Civil
Society
Notes:
1. “Finance community” includes shareholders, investors, analysts, lenders and auditors.
2. “Supply chain” includes contractors, service providers and suppliers.
3. “Civil society” includes non-government organizations (NGOs), academe, church and the media.
4. “Employees” also includes the Company’s workers’ union.
18
Consistent with the guidance of ISO
identify pressing issues and to get their
26000 that stakeholder identification and
feedback on Manila Water’s sustainability
engagement is one of the two fundamental
efforts. Ultimately, these discussions were
principles of social responsibility, Manila
aimed at more effectively communicating
Water fine-tuned its overall stakeholder
with the Company’s stakeholders by means
management strategies. As a first step, the
of a focused and value-adding Sustainability
Company reviewed its stakeholder map to
Report that centers on issues and programs
ensure that all relevant groups are considered
that are material to them, and at the same time,
in developing its sustainability programs.
are relevant to its business operations. Manila
The figure above shows the Company’s
Water was also guided by GRI’s Materiality
stakeholder universe.
Principle in defining the scope, content and
In addition, the Company conducted Focus
boundary of its 2011 Sustainability Report.
Group Discussions (FGDs) and interviews
Moving forward, the Company will continue
with each of the stakeholder groups to
to take note of both the best practices that
manila water 2011 sustainability report
Manila Water
will regularly seek
and accept feedback
on how it can more
effectively respond to
its stakeholders’ needs
and expectations.
Photo shows one of
the FGD sessions with
stakeholders conducted
by Manila Water as part
of its preparation for
this Report.
Salvador “Buddy”
Oberas
News Manager,
DZXL RMN Manila
Radio
stakeholders think it should continue, as
well as the gaps and areas for improvement
that Manila Water has to work on. Likewise,
the Company will regularly seek and accept
feedback on how it can more effectively
respond to its stakeholders’ needs and
expectations, and how it can maximize the
social and environmental impacts of its
programs. Manila Water will also continue
to partner with various stakeholders in
promoting its three focus areas on water
supply provision to the urban poor, water
education and environmental protection.
Being in the
broadcast media,
I can personally
attest how Manila
Water manifested
their thrust and effort for public service.
The Company is selfless in their CSR role
and support on various outreach and
socio-civic activities.
They really do walk an extra mile in reaching
out and giving solutions to concerns such
as water availability, affordability and
customer service. The constant repair
and rehabilitation and pipe-laying for the
future, even to a common ‘masa,’ is Manila
Water understandably working for the next
generation.
Mabuhay, Manila Water!
partners in sustainable growth
19
What Sustainability Means to Our Stakeholders
Employees
Management Team
• Pertaining to the environment; giving
Community/
Customers
back what you extract
Employees’ Union
• Continuous growth
• Meeting the needs of human beings
• Giving what is due to customers
• Improving current systems and
• Maintaining; continuing
• Improving
• Is able to drink clean water
• A necessity
• Studying what needs to be done
• Adaptable to change
• Maintaining what has been started
• Start without an end
• Continuing with improvements
practices
NGAs • Prudent use of our finite
resources for development
without compromising
the need of the future
generations
LGUs
• An activity that aims to make
• Responding to the needs of
the people
• Liveable communities
• Efficient use of resources
• Something that you can
the community/environment
better from what it is today
for the benefit of tomorrow’s
generations
continue on
Supply
Chain
Regulators
• Reliability of water supply
• Ability to endure
• Sustain water resources
• Today and tomorrow
• Long-term; forward-looking
• A cost-benefit analysis that gives equal
Finance
Community
importance to both short- and longterm impact
• A state or condition which allows an
organization to achieve key near-term
objectives without impairing potential
future growth.
• Striking an appropriate balance
between the needs of the present and
the needs of the future
• Constant progress and the endeavour
to achieve long-term structural growth
in place of short-term gains
Media
• A lifetime commitment; it values
the concept of providing long-term
solutions for a specific market,
audience, or area of responsibility —
environmental, social, and economic,
to name a few
• A continuous process, a progressive
approach to creating impacts that
is all-encompassing because it can
be managed and maintained by
conscientious individuals. In sum,
sustainability is a gift that empowers
people to build a better world for the
future generation.
20
manila water 2011 sustainability report
Civil
Society
NGOs
• Organizational mission and vision
are relevant to society and needs
of the people
• While meeting the needs of the
present, leave sufficient resources
for future generations
• Equitable distribution of resources
• Democratizing water; making
water more accessible to all
• Responding to changing
conditions of the climate
Academe
• The equilibrium between
economics and environment;
between making financial sense
while maintaining ecological
balance so that natural resources
are not compromised
• A balance between and among
competing yet equally important
aspects of development- social
equity, economic development
and environmental management
Stakeholders
Issues
Commendable Practices/
Initiatives
Suggested Improvements
Employees
Management Team
• Career growth
• Training and
development
• Incentives / recognition
program / promotion
• Compensation and
benefits
• Unity and teamwork
• Strong corporate values
and business ethics
• Solid company
reputation
• Contribution to national
development
• More robust systems
/ processes and
communication for
human resource matters
• Change management
program to address
leadership and
organizational transitions
Employees’ Union
• Job security
• Compensation and
benefits
• Job fit
• Training and
development
• Corporate brand
connotes excellence
• Strong corporate values
and business ethics
• Concern for employees
and their dependents
• Skills upgrading and
development
• Standardize rewards
system
• Appropriate training
and transition before
employee cross-posting
Community / Customers
• Water supply service and
sustainability
• Sewerage and septic
tank deslugding services
• Affordability of rates
• Project implementation
• Customer service and
communication
• Provision of 24/7 and
• Better implementation
potable water supply
and faster completion of
• Quick-action customer
projects and civil works
service and good
• Expansion of and better
community relations
customer communication
• Livelihood programs
about wastewater
• Innovations and flexibility
services
in delivering efficient
services
Regulators
• Compliance with
concession obligations
• Access to water supply
• Quality project execution
and workmanship
• Human resources seen as • Capitalize on the
most valuable asset
concession as a means
• Employee empowerment
and privilege to serve the
and training
public
NGAs
• Project implementation,
impact assessment and
communication to the
public
• Sewerage and septage
management
• Good and effective
wastewater programs
• Efficient operations;
reduction of NonRevenue Water (NRW)
• Better coordination with
NGAs with regard to
project implementation
• Systematic scheduling of
projects
• Efficient space
management at project
sites
• More effective project
announcement and
communication
LGUs
• Water supply potability,
availability and
sustainability
• Wastewater programs
• Cost of water
• Customer service and
communication
• Reliability of services
during calamities /
disasters
• Visibility of Manila Water
employees in service
areas
• Prompt response to
customer concerns
• Strong partnership with
LGUs
• Constant drive to
improve services
• Support to low-income
communities and during
disasters
• Expansion of wastewater
programs
• Better project
implementation and
faster project completion
• Development of new
water sources
• Partner with LGUs for
marketing and advocacy
campaigns
partners in sustainable growth
21
Stakeholders
Issues
Commendable Practices/
Initiatives
Suggested Improvements
Finance Community
• Profitability
• Short-term and longterm strategy / growth
story
• Ability to generate
positive free cash flow in
the long-term
• Cost control; sustainable
business model
• Clear and open
communication to the
investing community
• Constant drive to
enhance shareholder
value
• More visibility on interim
and planned capital
expenditures Be open to
other operational models
to ensure continued
financial viability
Supply Chain
• Continuous flow of
projects / orders
• Cost of projects /
materials
• Communication between
vendor and Manila Water
employees
• Processing of
requirements,
accreditation and
payments
• Training and
development programs
• Good relationship and
communication with
vendors
• Stable jobs; good
business partner
• High standards on
technical / engineering
matters
• Emphasis on health and
safety
• Improve documentation,
billing and payment
processes
• Prompt notices on new
technical standards and/
or specifications
• Provide vendors with a
Standards Manual
NGOs
• Water supply source and
sustainability
• Quality / potability of
water supply
• Wastewater
management
• Efficient use of water
resources; water
recycling and reuse
• Cost of water
• Climate Change
mitigation and
adaptation
• Disaster preparedness
• Community participatory
approach in solving
water problems
• Active participation in
environmental programs
such as watershed
protection
• Advanced sewerage and
sanitation management
• Operational efficiency
• Link with institutional
/ community partners
for environmental
advocacies
• Improve stakeholder
communication and
educational campaigns
• Conduct studies on
alternative technologies
and appropriate
innovations
Academe
• Access to water
• Affordability of tariff
• Protection of water
resources
• Wastewater services
• Stakeholder engagement
• Wide coverage
of water service,
including marginalized
communities
• Protects basic human
right to water
• Environmental initiatives,
particularly watershed
management
• Continue operating in the
most efficient manner
possible
• Harness the expertise of
the academe in engaging
stakeholders
Media
• Water supply availability,
quality and pressure
• Affordability of tariff
• Role in CSR
• Customer service
• Stakeholder
communication
• Reliable water supply
even during power
outages
• Good customer service;
quick to respond to
customer complaints
• More visibility to
customer areas
• Better public
announcement on water
interruptions
• Strengthen media
awareness on water and
environmental issues
Civil Society
22
manila water 2011 sustainability report
Atty. Mark Anthony
M. Gamboa, EnP.
Renato Brion
Regional Director
- National Capital
Region, Philippine
Department of Interior
and Local Government
We look at Manila
Water as our partner
in our quest for an
effective governance
of Metro Manila particularly with regard
to water and how it sustains life in the
Metropolis. So in just every aspect of life
where we can work together, we can assure
the company of our full support.
We subscribe to Good Governance as a
means to sustaining human development,
enabling every citizen achieve fullness
of being a human, being a person. This
becomes a reality as each citizen enjoys
the fruits of human production (e.g. food,
shelter, health, education and more) to
the point of living a meaningful life in the
service of God, humanity and country.
Water is life. It sustains all living things,
including food, which reinforces sustenance
of life on earth. Depending on its volume
and quality, it could be an asset or a liability.
The rise in population density in Metro
Manila has seen to the swift exhaustion of
fresh underground water resources. It has
become necessary the past two decades to
divert excess water in Bulacan to quench
the thirst of more than 15 million people
a day in the Metropolis and peripheries
in Regions III and IV. Persistence of this
situation may eventually require serious
and thorough consideration of issues.
Faculty Member and
Residential Program
Coordinator,
Center for Public
Administration and
Governance Education,
National College of
Public Administration
and Governance
(NCPAG), University of
the Philippines
As a stakeholder of Manila Water, I believe
that the most important issue is the ability
of the Company to ensure the sustainable
delivery of potable water supply. The
Company’s program of providing access
to poor communities especially where
water-related health risks are prevalent is
exemplary and should be continued. By
providing access to clean and safe drinking
water, the Company helps in ensuring that a
basic human right of the people is protected.
The role that the Company plays in the
attainment of the MDG target on halving
the population without access to safe and
clean drinking water by 2015 cannot be
downplayed.
The protection of the environment
as another important component of
sustainable development is addressed by
the Company through its efforts in ensuring
that water resources are protected – from
the source to water users and back to
source. Manila Water has invested not just in
the protection of the watersheds but also in
providing sewerage and sanitation services
to its consumers.
The engagement of Manila Water’s
stakeholders in its efforts to continuously
work for sustainable water supply provision
is crucial. The academe can be a partner in
finding equilibrium among the demands of
the government and water users on one
side and the peculiarities of water service
providers on the other.
partners in sustainable growth
23
Employees as
Catalysts to
Sustainable
Growth
Management Approach
Manila Water has always put its employees
at the fore of its social responsibility in
recognition of their valuable contribution
to the Company’s transformation from
what it was 15 years ago to a strong and
financially viable enterprise to date. Manila
Water acknowledges that if not for them,
the Company would not have had the
opportunity to serve millions of people in
eastern Metro Manila, especially those in lowincome communities.
The Company’s labor practices uphold the
highest national and international standards
24
manila water 2011 sustainability report
and policies against discrimination, child
of communication to employees across all
labor and forced labor, to name a few. Manila
levels in the organization to see to it that
Water extends this to its business partners
their concerns are properly addressed.
who are expected to abide by the same set
Even after retirement, Manila Water looks
of strict laws and regulations.
after its employees’ welfare by assisting in
As its most priced asset, Manila Water
a number of livelihood and development
ensures that employees enjoy competitive
programs.
compensation, benefits and rewards to
With all these policies in place, Manila
improve their standard of living, are provided
Water has never had any case of labor
with appropriate development and training
non-compliance or malpractice vis-à-vis
opportunities for their professional and
national and international standards. The
personal growth, and are operating in safe
Asian Human Capital Award that was given
and healthy working conditions to prevent
to Manila Water in 2011 is a strong testament
and mitigate occupational hazards. The
to this fact.
Company likewise maintains an open line
25
Summary of Employees
Mr. Gerardo C. Ablaza,
Jr. updates the
employees on Manila
Water’s performance
and challenges in one
of the regular AllManagers’ Meetings.
total workforce
1,833
supervised workers
262
Employee Levels by Gender
540 male
regular employees
1,571
539 male
336 female
Note: The succeeding figures pertain to regular
employees only.
P7,825
26
manila water 2011 sustainability report
52 male
32 female
senior management
84
72 female
middle management
rank and file
876 611
Employee Distribution per Area by Age
more than 50
years old
596
319
employees by nationality
local employees
1,570
1
foreign employee
30 to 50
years old
706
405
less than 30
years old
269
29
44
38
38
137
51
Main Office*
861
9
Balara BA
89
46
34
12
Cubao BA
96
9
Makati BA
81
37
34
37
14
26
50
21
24
16
27
Pasig BA
Rizal BA
Taguig BA
Mandaluyong BA Marikina BA
85
31
42
107
21
111
68
20
73
* including employees based in the Company’s facilities
Hiring Practices
place a clear hiring policy that does not
tolerate employment of minors. Thus, all new
Manila Water values the work of its people
employees should be 21 years old and above.
and constantly seeks to hire the best available
Similarly, the Company conscientiously
talents. The Company does not only look at
complies with the Code’s Working Conditions
the talent’s competencies and skills set, but
and Rest Periods, Hours of Work and Weekly
more importantly at his personal values and
Rest Periods. For operations that require
principles which must be aligned with Manila
a 24 x 7 work schedule, Manila Water sets
Water’s core values. However, it ensures that
shifts for employees such that they have two
while it observes this strict rule, it does not
consecutive rest days per week. Meanwhile,
discriminate on the basis of gender, race,
overtime work, night differential, and work
religion or culture. In addition, Manila Water
during holidays are paid legal premium rates
shows strong bias for Filipino talents as they
for rank and file employees.
are more familiar with, and thus can more
Furthermore, there had been no violations
easily adapt to, the socio-political landscape
reported on the Indigenous Peoples Rights
in its service area. This is also one way by
Act even as Manila Water contracts three
which the Company contributes to national
Dumagats as caretakers of its facilities
economic growth.
because the Company abides by its provisions
In compliance with the Labor Code of the
for Social Justice and Human Rights.
Philippines, Manila Water has also put in
employees as catalysts to sustainable growth
27
New Employees Hired per Level
Employee Turnover per Age by Gender
by Age and Gender
total male employees
30 to 50 years old
11
10
total male
employees
61
total male employees
less than 30 years old
26
27 male
24
total female employees
30 to 50 years old
5
5
total female
employees
34
total female employees
less than 30 years old
23
27 female
17 male
17 male
22
4 female
3 female
30 to 50 years old
more than 50 years old
2
1
senior management
1
1
middle management
61
less than 30 years old
rank and file
3
54
21
20
The Company does not only look
at the talent’s competencies and skills set,
but more importantly at his personal values
and principles which must be aligned with
Manila Water’s core values.
Compensation and Benefits
harder and stay with the Company. For
instance, of the 16 employees (out of
Manila Water offers competitive packages to
the 1,209 who are entitled) who went on
all its employees. Even at the entry level, the
parental leave in 2011, 100% returned to
Company’s employees receive compensation
work and continued to perform well in their
that is about 33% above the local and national
jobs.
minimum wage. In the same manner, the
In the same manner, Manila Water extends its
Company’s salary structure observes gender
assistance to retiring employees by means
equality as the basic pay for male and female
of a robust retirement plan with well-defined
employees do not vary significantly.
rules and regulations, investment guidelines
Moreover, regular employees enjoy a wide
and trust agreement. The Company’s
range of benefits that are beyond those
retirement plan comes from the accrued
mandated by the government. Through
contributions of Manila Water that comprise
this, the Company is able to look after the
100% of the retirement and welfare fund. In
welfare of its employees and, indirectly,
addition, Manila Water provides livelihood
their families. For their part, employees
opportunities to retired employees who have
appreciate Manila Water’s workplace
ably served the Company.
practices and are thus motivated to work
28
manila water 2011 sustainability report
Employee Turnover per Area by Level
senior
management
3
3
middle
management
72
49
4
rank and file
20
4
7
3
Main Office
59
Balara BA
3
4
1
1
1
Cubao BA
Makati BA
5
6
3
4
2
Mandaluyong BA Marikina BA
2
2
1
5
Pasig BA
8
Rizal BA
2
3
Taguig BA
9
Avertano Bastasa
ratio of basic salary (MAle to Female)
0.97
1.00
senior management
middle management
rank and file
-0.97
0
Caretaker,
Manila Water Fitness
Center; and
Retired Manila Water
Employee
I am thankful to
Manila Water
because even after
retirement, I was
given the opportunity to work with the
Company as the Fitness Center caretaker.
When my 12 years of employment with
Manila Water as a Wastewater Plant
Operator ended in 2009, I sought other
income generating opportunities. I started
a small business which eventually caused
stress and took a lot of my time.
In 2010, I was offered a post by the
Company as the lead caretaker of the
newly-constructed Fitness Center. I
accepted the offer and was happy with
the job. I find the work enjoyable, plus I
also get to use the gym to play with my
former colleagues. Even after retirement,
I still feel that I am a part of the Manila
Water family.
employees as catalysts to sustainable growth
29
Employee Benefits
Manila Water ManCom
members led by Mr.
Gerardo C. Ablaza, Jr.
join the 2011 Huwarang
Manggagawa winners
in recognition of their
valuable contribution to
the Company.
Government-Mandated
1. Social Security System (SSS)
2. Pag-Ibig Housing and MultiPurpose Loan
3. 13th Month Pay
4. 5 Days Service Incentive Leave
5. 60 or 72 Days Maternity Leave
6. 5 Days Paternity Leave
7. 7 Days Solo Parent Leave
Company-Provided
1. Guaranteed three months
bonuses
2. Health Insurance (including one
free dependent and discounted
rates for additional dependents)
3. Wellness benefits (including
medical and dental services)
4. Life and Accident Insurance
(including one dependent)
5. Uniform
6. Encashment of Allowable Sick
Leave and Vacation Leave
Credits
7. Car Loan and Multi-Purpose Loan
for Covered Management-Level
Employees
Alfredo Ele
UP STP Plant Operator,
Wastewater Operations
Department; and
2011 Grand Huwarang
Manggagawa Awardee,
Manila Water
8. Flexible Benefits
9. Emergency Loans
10. Bereavement Assistance
11. Hazard Pay for Employees with
Exposure to Safety Risks
12. Overtime Pay for Rank and File
Employees
13. 15 Days Sick Leave
14. 15 Days Vacation Leave
I have been with
Manila Water for
15 years now, and
have been a witness to the transformation,
most especially with the improvement of
employees. We were given a chance to
take the trainings we needed to be able to
develop our skills. I was able to combine
the teachings and the experiences I had
to become a better employee. Most
importantly, the Management was truly
supportive of their employees. Here in
Manila Water, even if you are at the lowest
level of the hierarchy, Management still
notices and recognizes you.
On being a Huwarang Manggagawa, I felt
that it was really a blessing. When they
interviewed me, I answered according to
what I was doing; I didn’t know that the
things I did would make a big difference for
the Company. (Translated)
30
manila water 2011 sustainability report
15. 3 Days Special Leave
Measuring and Rewarding
Performance
Manila Water is quick to recognize and
reward outstanding employees based on
their performance during the prescribed
period. This system is anchored on a clear
and specific set of targets and indicators,
thus minimizing subjectivity or discrimination
during performance evaluation. In 2011, 63%
of its employees underwent a formal yearend performance appraisal while the rest,
comprised of Union members, are covered
by the provisions of the Collective Bargaining
Agreement.
Photo shows the 2011
Chairman’s Circle
(C2) awardees with
Manila Water Chairman
Fernando Zobel de
Ayala and President
and CEO Gerardo C.
Ablaza, Jr.
In 2011 alone,
151 exemplary
performers and
high-potential talents
were recognized.
Bonnie Ty
Manager, Sanitation
Services and Sewer
Network Maintenance
Technical Support
Services Wastewater
Department – EZBO;
and Six-time P3
Awardee, Manila Water
People empowerment is one of the major
practices that Manila Water stretches to its
employees. I appreciate the trust they have
given to its constituents. In my 15 years of stay in the Company, they
have given me the training and exposure in
the business process that I needed. They
were confident in my development and it
all turned better than expected. I was also
given a chance to be exposed internationally
through the PROTEXT or internship program
of Manila Water and United Utilities, and this
has taught me to interact well enough and
develop my self-confidence.
All the learning, exposure and trust I gained
reflected on my performance, being a sixtime P3 awardee. Here in Manila Water,
they give their people opportunities to excel
and grant worthy recognitions for their
exemplary performance. Marilou Bago
Head,
Logistics Department;
and Consistent C2
Awardee, Manila Water
I have been with the
water supply industry
for the last 32 years
including my years
of service in MWSS.
I started as backroom support personnel
and later became chief accountant for
Manila Water Company under the Finance
Group. The big change came along when I
was pulled out and appointed to head the
Logistics Department in October 2004.
The tasks were huge and challenging.
Nevertheless, I strongly felt the trust and
confidence bestowed upon me by the
management. I was empowered.
This empowerment coupled by consistent
good leadership from the top and clear
vision motivated me to do my best. I
was transformed - from working at the
backroom to being at the forefront.
Using my financial management experience
backed up by a strong quest for integrity,
I worked towards synchronizing the
projects materials requirement, inventory
management, procurement and vendor
management and development. The work
was susceptible to corruption, but I never
entertained any attempt of bribery.
The contribution of the Logistics
Department to the increase in billed volume
up to the 1100 MLD level and reduction
of non-revenue water to 11% is a source
of pride. The C2 awards I have received
reinforced my self-worth and have been a
source of further motivation.
Manila Water has thoroughly trained me
and with this solid foundation, I am willing
to do my best at any given task, to ensure
positive quality results for the company.
employees as catalysts to sustainable growth
31
The Company
commits to keep
its openness and
transparency
to Union members.
Apart from the financial incentives given
to covered employees, Manila Water holds
three annual recognition programs for all
employee levels – ‘Huwarang Manggagawa’
for rank and file employees; President’s Pride
due to Performance (P3) Award for middlelevel managers; and Chairman’s Circle (C2)
Award for senior managers. In 2011 alone,
151 exemplary performers and high-potential
talents
were
recognized
through
these
programs.
Labor-Management Relations
Manila Water has always supported the
Freedom of Association and complied with
the Labor Code of the Philippines’ section
on Collective Bargaining and Administration
Agreements. The Company has also sustained
a harmonious working relationship with the
Manila Water Employees’ Union (MWEU), of
which 37% of the total regular employees are
members. As proof of that, the management
and the Union successfully inked a new CBA
in December 2011 that will be in effect for the
next two years.
Under the new CBA, the Company and the
Union agreed to continue strengthening
the social benefits of its members with the
retention of the Welfare Fund, the Union
Cooperative, and the Livelihood Program for
the dependents of its rank and file employees.
Furthermore, the new CBA grants all rank and
file Union members a lump sum in the amount
of PhP35,000 in lieu of an across-the-board
increase, as well as a concession benefit of
32
manila water 2011 sustainability report
Mr. Luis Juan B. Oreta, Chairman of the Management Panel, shakes the hand
of Mr. Eduardo Borela, President of the Manila Water Employees’ Union, after
the successful closing of the 2011 -2012 CBA.
PhP10,000 for each Union member which
goes directly to the Union.
The new CBA also puts emphasis on
the occupational health and safety of
the Company’s employees. Under the
agreement, Manila Water will continue
Eduardo Borela
to provide safe working conditions and
President,
Manila Water
Employees’ Union
safety gadgets, while giving distress pay
for employees assigned to Wastewater
Treatment Plants. The Company will also
study, in cooperation with the Philippine
Department of Labor and Employment
(DOLE), the possibility of giving hazard
pay for employees assigned to Water
Treatment Plants who are exposed to toxic
chemicals. Moreover, the Company shall
assume the cost of hospitalization of an
employee in excess of his or her medical
and hospitalization insurance coverage in
case of work-related trauma or accident.
A grievance mechanism is also in place
to settle disputes or disagreements
between the Company and the Union
or its members that relate to working
conditions, violations of the provisions
of the CBA, or matters affecting labormanagement relations, including
disciplinary actions and those arising
from the interpretation or enforcement
of Company personnel policies. In such
cases, a Grievance Committee composed
of three representatives each from the
Company and the Union will be tasked to
handle the complaint. If no resolution is
reached, a Board of Arbitration with one
representative each from both sides and
W e n e e d t o
consider the new
challenges for both
the Management
and the Union –
continuous financial
crisis, unpredictable natural disasters
and other related challenges. With this,
the Union leadership aligned its actions
and focused on programs that ensure
a sustainable partnership with the
Management. This was realized with the
continuous peaceful and harmonious
relations in our working environment in
the last few years.
Our working environment is free of conflict.
There is an open communication between
the Management and the Union. Work
related concerns affecting some employees
were addressed favorably and amicably.
Our established partnership enhanced the
level of trust and respect between both
parties resulting to a more liberal attitude
towards the Union. With this, a reasonable
CBA was concluded. The Union was given
the opportunity to participate in various
programs and livelihood projects for its
members. The management granted to all
employees financial assistance during crisis
or disasters and other support extended
during those period.
employees as catalysts to sustainable growth
33
Training Hours per Level by Age and Gender
total male employees
more than 50 years old
1,788
1,552
total male employees
30 to 50 years old
3,336
total male employees
less than 30 years old
1,984
total female employees
more than 50 years old
3,188
1,158
a third party shall take over. For the past
total female employees
30 to 50 years old
related to human rights, discrimination
14 years, there had been no grievances
2,008
or any other labor malpractice.
Moreover, the Company makes sure that
total female employees
less than 30 years old
Union members are properly informed
2,236
1,684
through regular dialogues, consultations
and meetings. At least one week notice
is typically provided to rank and file
400
employees and their elected representatives
prior to the implementation of significant
operational changes. The Company commits
1,488
to keep its openness and transparency to
292
Union members to further strengthen the
partnership between the management team
678
236
376
1,692
532
148
8
80
144
and the Union.
Training and Development
12
senior management
middle management
rank and file
Manila
Water
invests
heavily
in
the
development of its employees by providing
total training hours
12,510
815
employees trained
average training hours
per employee
1,536
1.92
PhP 7,825
average training days
per employee
total amount spent per employee
34
manila water 2011 sustainability report
them with extensive trainings and seminars
covering a wide variety of topics that address
current and upcoming business requirements.
In 2011, a total of 12,510 hours were spent
for carrying out training and development
programs that equipped 815 employees
across all levels in the organization, and
regardless of age and gender.
The Company’s training and development
programs in 2011 focused on at least four
broad topics:
1. Leadership and General Management
(e.g. Leadership Institute For Manila
Water Employees (LIFE), Finance
Management Workshop; Enterprise
Risk Management (ERM) Trainers’
Training; ERM Champions’ Training;
Management Development Training
Program (MDTP); and Cadetship
Training Program)
2. Safety (e.g. Confined Space Entry;
Basic Occupational Safety and
Health; Chemical Safety and Spill
Responsibility; and First Aid and Basic
Life Support)
3. T e c h n i c a l , P r o j e c t a n d C o n t r a c t
Management (e.g. Contract Awareness
Training; Managing your Contractors’
Health and Performance; Standards;
and NRW Management)
4. Specialized Skills (e.g. Customer
Service; Technical Writing; and
Computer Technology)
These programs yielded positive results as
employees gained the necessary skills and
additional knowledge to carry out their dayto-day business functions. Aside from these
trainings, the Company had all its employees
undergo an anti-corruption training program,
and is now working to give adequate training
for its employees on human rights.
Occupational Health and Safety
Manila Water prides itself in having an
excellent occupational health and safety
record, as shown in the statistics board next
page. There are several health and safety
committees within the organization that
tackle such relevant issues as HMO screening,
safe working conditions, and the use of
personal protective equipment. Over 25% of
the workforce is represented in these various
joint management-worker health and safety
committees.
Because
of
its
safety
milestones
and
impressive performance, Manila Water won
an Award of Distinction from the Safety
Top: Awardees of the
2011 President’s Pride
due to Performance
(P3) pose with Manila
Water President and
CEO Gerardo C. Ablaza,
Jr. and the rest of the
ManCom.
Bottom: Manila Water
keeps its employees
safe by providing them
personal protective
equipment such as hard
hats.
Karoline C.
Sangalang
Head,
Financial Controllership
Department; and
Member of the first
batch of the Cadetship
Training Program,
Manila Water
I have personally witnessed Manila Water’s
commitment to developing employees. I have undergone several leadership
training programs throughout my career
in Manila Water but the Cadetship Training
Program was the one that provided me
the leadership foundation that equipped
me the most when I took on different
and bigger roles in the organization. The
Cadetship Training Program exposed me to
the different operating units and deepened
my understanding of the Company’s
operations.
Now that I am managing people, I
encourage my staff to maximize the
development programs that the Company
is implementing. These programs will
enable them to effectively perform their
duties by improving both their technical
and leadership competencies.
employees as catalysts to sustainable growth
35
Health and safety statistics board
injury rate
0
0.25
0
0.026
occupational disease rate
lost day rate
absentee rate
Notes:
1. “Days” refers to scheduled work days
2. “Lost Day” count begins the day after the
accident
3. Injury rate includes fatalities
Tom Mattison (second from left), Operations Support Services Director,
and Dexter Quibuyen (third from left), Safety Solutions Department Head,
lead the Manila Water contingent at the awarding ceremonies of the Safety
Organization of the Philippines, Inc.
Organization of the Philippines, Inc. (SOPI)
for achieving more than five million safe manhours. The milestone also led to the awarding
of 2011 Outstanding Safety Practitioner to
its Corporate Safety Manager. Moreover, the
Company was given a Safety Recognition
Award by the Department of Labor and
Christian M. Tagros
Head, Standards and
Quality Department,
Manila Water
Employment – Bureau of Working Conditions
for implementing effective programs and
activities on occupational safety and health.
The Company also offers programs on
36
Manila
Water’s
employee training
programs
have
equipped me, not
only on technical
matters but the
management aspect
wellness and safety education for employees,
as well.
The LIFE program for department managers
and other key positions, for instance,
has helped me in my desire to contribute
more to the organization. It reinforced my
personal values and skills to effectively
manage my team in supporting our internal
customers to drive business results.
Technical training programs have equally
prepared me and my team to effectively
work with the different stakeholders in
our projects. This is to ensure that suitable
engineering standards would be used
resulting to more efficient water and
wastewater systems that are at par with the
best in the world.
As we face new horizons and challenges
ahead, I am certain that Manila Water will
continue to equip its managers to carry on
with the excellent service that we provide
to our customers within and beyond Metro
Manila’s East Zone.
and awareness on health and lifestyle, and
manila water 2011 sustainability report
their family members, and community
members. Wellness programs cover an
audiometry test for plant operators,
counselling on employee diseases, wellness
bulletins on seasonal diseases, education
physical activities like aerobics, weight
lifting, and cardio exercises. Safety programs
offer counselling and trainings on prevention
and risk control and treatment of serious
diseases.
Security
All 173 security personnel of the Company
are well trained in carrying out employee
security
and
policies
and
procedures
concerning aspects of human rights that are
relevant to Manila Water’s operations. These
include trainings in the Bill of Rights, firearms
proficiency, customer care, bomb disposal,
VIP protection seminar for selected guards,
water search and rescue, fire brigade, civil
disturbance, and the criminal justice system.
The Company also
offers programs
on wellness and
safety education
for employees.
April Rose Francisco
Demand Development
Manager, Market
Development
Department; and
Member of the
first batch of the
Management
Development Training
Program, Manila Water
Aimed to adapt to the rapid business
expansion, the Management Development
Training Program (MDTP) was developed
to hone experienced talents who will bring
in fresh pair of eyes into the operations
and contribute something of value to the
company.
Being a part of the pioneer batch of the
MDTP is both an honor and a challenge for
me. Honor, since I was one of the selected
few to be given an opportunity to start a
career in the water industry and take part
in promoting economic development by
serving more than 6 million Filipinos. At
the same time, it is a challenge to apply my
previous work experience to my role and
continuously uphold the rationale behind
the foundation of the new training program.
I believe that my MDTP experience has
played a vital role not only in my personal
growth but also in my professional
advancement in Manila Water. These
learnings have equipped me with the set
of skills and mindset that will enable me to
help fulfill corporate goals.
37
Clean Water
for Healthy
Communities
Management Approach
Manila Water leverages on its position as a
major water and wastewater service provider
to supply clean, potable and affordable
water to more than six million people in its
concession area to keep them safe from
health hazards caused by contaminated
water. The Company also takes seriously its
commitment to help uplift the quality of life
of marginalized communities by addressing
their basic need for clean water. This is the
38
manila water 2011 sustainability report
Company’s contribution to the attainment of
factor. The Company ensures that community
the environmental sustainability target of the
members and LGU officials are engaged and
Millennium Development Goals which seeks
involved in every phase of the water project
to half the proportion of population without
to see to it that their concerns are properly
access to clean water and proper sanitation.
addressed.
Over the years, the Company has found
Moving forward, Manila Water will continue
innovative solutions to some of the most
to strengthen its partnership at the grassroots
difficult
political
level and seek new and better ways to serve
conditions to ensure that all its customers
social,
economic
and
its customers, with particular focus on the
enjoy 24/7 water supply. Manila Water’s
urban poor.
partnership with the communities and local
governments is certainly a key success
39
Photo shows members
of the community
participating in one of
the public consultations
conducted by Manila
Water representatives
in 2011.
40
Business Impact on the
Communities
neighboring areas. In 2011 alone, Manila Water
conducted some 120 public consultations and
nearly 300 meetings with LGU partners.
Manila Water recognizes and upholds the
The
United Nations Declaration of the Human
local government engagements as these
Right to Water and Sanitation, which was
strengthen its partnership with its grassroots
passed in 2010 and states that “clean
stakeholders. For their part, leaders and
drinking water and sanitation are essential
members of various communities and LGUs
to the realization of all human rights.”
are appreciative of the efforts of the Company
Water is vital to every person’s survival,
as
and the Company continuously strives to
improvements
provide potable water to Metro Manila’s
Water’s service. The local government of
East Zone residents with as minimal risk
Markina, for instance, gave Manila Water “The
to the community as possible.
Outstanding Marikenyo” award for having
One such negative impact of the Company’s
the most cooperative, efficient organization
operation is the displacement of families in
that commands respect and admiration, and
the MWSS Right-of-Way (ROW) areas. To
for its full support of Marikina’s advocacy
minimize and address this problem, Manila
of
Water works closely with the MWSS as it is
The Marikina local government also lauded
the asset owner, along with other concerned
Manila Water for its active participation in
national government agencies and LGUs.
community-building
The Company assists in informing the public
wastewater projects that have improved the
about the serious risks that living in ROW
health and sanitation of Marikina residents as
areas presents.
well as reduced the environmental pollution
Through public consultations, meetings with
at the Marikina River.
local government units and local councils, as
In the same manner, the Company endeavors
well as community dialogues, Manila Water
to maximize the positive impacts of its
effectively assesses and mitigates any risks
operations by supplying clean water to as
involved in its operations in communities,
many people as possible. Manila Water also
including entering, operating and exiting, and
contributes to the improvement in overall
also deals with potential negative impacts its
health and sanitation conditions in low-income
operations may cause in communities and
communities and informal settlements by
manila water 2011 sustainability report
Company
they
have
promoting
values
community
witnessed
brought
the
about
public-private
efforts,
and
significant
by
Manila
partnership.
particularly
Left: Managers from Manila Water’s Marikina BA headed by Christian Mhel
Marcos (third from left) and former Area Business Manager May Quinto
(fourth from left) show off the award given by their partners from the local
government of Marikina.
Right: Metro Manila East Zone customers enjoy clean drinking water from
Manila Water.
Melvin A. Cruz
City Administrator,
Antipolo City; and
Former Administrator,
Marikina City
(1996-2005)
When I was still in
Marikina, there was
clearly a problem
i n t e r m s o f w at e r
supply. There was water rationing until
Manila Water came into the picture. The
development was fast paced. Manila Water
laid pipes and brought water directly to the
households.
In my own personal view, I believe that
the projects conducted by Manila Water,
especially those involving digging and
laying pipes, have long term benefits for the
community. Inconveniences related to this
are temporary and needed.
Manila Water always looks for ways to bring
water even to far flung communities. Though
the area seems impossible to be supplied
with piped-in water, they find different
approaches and technical solutions.
Furthermore, Manila Water’s assistance
after typhoon Ondoy was a big help to the
community. This proves Manila Water’s
social responsibility.
Ziffred A. Ancheta
Chairman, Barangay
Tumana, Marikina City
Prior to having
water connection
from Manila Water,
the residents got
their water from
delivery tanks which
cost PhP5 per pail.
Despite this high price, the quality was still
uncertain.
Due to issues of land ownership, Manila
Water was not able to implement a full blast
piped-in water service connection for every
household. However, the Company installed
public faucets at strategic points along the
main road in which the local government
had legal rights.
For two decades, we were used to the
practice of ‘water tankering’ and having
little to no water. Manila Water changed
our perception and gave us hope.
Manila Water is a partner in many ways.
Besides water delivery, it has provided
the community with desludging services.
Manila Water made a great impact on our
health and sanitation.
clean water for healthy communities
41
ensuring that the quality of water it supplies
is compliant with the Philippine National
Standards for Drinking Water (PNSDW). This
the Company does by regularly collecting
water samples from 861 customers’ taps and
testing the same in its world-class laboratory
which has been ISO 9001, ISO 14001, and
OSHAS 18000 certified, as well as ISO 17025
and Philippine Department of Health (DOH)
accredited. Because of this, data from the
DOH shows that the incidence of diarrhea
in TPSB communities has significantly been
reduced from nearly 20 per 1,000 population
pre-TPSB to about 5 to date.
While keeping the level and quality of its
service high, Manila Water maintains its water
rates within affordable limits as determined
Manila Water’s Laboratory Services Department performs regular testing
of water samples from strategic points in its service area to ensure
compliance with PNSDW.
by national statistics on average household
income. Particularly for low-income
customers, the Company brought down water
costs from as high as PhP150 per cubic meter
(as what residents used to pay for vended
water with questionable quality) to PhP8
through its ‘lifeline’ rate for those consuming
10 cubic meters or less per month.
Precita Cepe
Vice Chairman, Bantay
Bayan, Marikina City
Treasurer, Olandes
Phase 2 Home Owners
Association
Community Development
Programs
In keeping with the people’s right to clean
water and sanitation, Manila Water lowered
We were glad when
Manila Water came
to Olandes. Before,
we used to wake up
early to line up for water which we will use
for the day. Now, we have water supply
inside our house. Each family has its own
water meter. We can now take a bath every
day and wash our clothes without worrying
if the water will be enough.
We are also assured of the quality of the
water. Honestly, we no longer buy bottled
water because we drink directly from the
tap.
Aside from that, we have also cut down our
water consumption expenses from PhP500
- when we were still buying water per
container – to only PhP250. Manila Water is
a big help to us.
I salute Manila Water! (Translated)
42
manila water 2011 sustainability report
its barriers to access through its ‘Tubig Para
Sa Barangay’ (TPSB) program, enabling
residents of marginalized communities to
avail of the Company’s water services for
considerably lower costs and less stringent
requirements. This has resulted in financial
and time savings for families as they no
longer have to spend long hours waiting
in line for deep well water. Since the first
TPSB in 1998, more than 1.7 million people
from low-income groups have enjoyed the
benefits of having clean water from the tap
anytime of the day.
Because of the success of the TPSB, it has
been hailed internationally as a good and
sustainable model of water service delivery
for the urban poor. In 2011, the Smithsonian
Razel Espayos
Lydia Gonzales
Board Member
Villa Classica
Subdivision, Sumulong,
Antipolo
We have been using
water from the deep
well before Manila
Water brought its
services to our area.
There were instances when we do not have
water because the deep well was highly
dependent on electricity. I remember
spending PhP1,700 for water alone.
When Manila Water started distributing
water in Antipolo, we had sufficient and
affordable water supply. We had strong
water pressure and the quality is top-notch.
I am definitely satisfied with Manila Water’s
service. (Translated)
President, Kapit
Bisig Neighborhood
Association, Sitio
Panghulo, Taytay, Rizal
Visitors from different
countries take a look
at the ‘Tubig Para Sa
Barangay’ feature at the
“Design with the Other
90% Cities” exhibit
of the Smithsonian
Institute in New York.
Formerly, water was
scarce in our area,
there were only few
families living in our
community, there
were hardly any government projects, and
the roads were unpaved. We bought water
at PhP2 per small container and we still had
to boil the water for it to be suitable for
drinking.
Consequent to the installation of water
service by Manila Water, more people
began to reside in the community, business
started growing in number, and the local
government initiated road improvements.
Water became cheaper and water-borne
diseases were reduced.
I would like to say a million thanks to Manila
Water for bringing water to us! (Translated)
clean water for healthy communities
43
Manila Water
representatives
led by Sustainable
Development
Department Head Carla
Kim (center) accept
the 2011 IWA PIADevelopment Award on
behalf of the Company.
Institute in New York showcased the TPSB in
its exhibit “Design with the Other 90% Cities”
as one of the unique and commendable
Vergilio dela Cruz
President,
Dakila Association for
Water Supply Inc.
PO Leader,
Mandaluyong
A lot has changed
since
Manila
Water entered
our community.
Previously, there was poor hygiene
among the community members and our
surroundings were unclean due to lack
of water. At present, we have a cleaner
neighborhood and the health condition
of the people has improved.
Dakila Association for Water Supply Inc. is a
People’s Organization (PO) that manages the
mother meter in the community. Jobs were
created when Manila Water came. We trained
and employed meter readers and workers who
assisted in pipe laying activities.
We are also beneficiaries of the Company’s
Kabuhayan Para sa Barangay Program
(KPSB) or livelihood program. Under the
KPSB, the Amihan Multipurpose Cooperative
was aided by Manila Water and trained to
fabricate and sell board ups and bollards,
which created income for the community. Our
lives changed because of all the assistance
given to us by Manila Water.
If we are going to rate Manila Water from
1 to 10, 10 being the highest, we will be
rating them a perfect 10. Manila Water has
the complete package, from its good water
supply delivery to its excellent customer
service. The Welfareville community is very
pleased with Manila Water. (Translated)
44
manila water 2011 sustainability report
programs and solutions from across the globe
that has addressed complex issues arising
from the unprecedented increase in informal
settlements in emerging and developing
economies. Manila Water was the only water
and wastewater service provider among 60
projects from 22 countries that were chosen
by the Smithsonian Cooper-Hewitt Design
Museum.
The TPSB was also recognized by the
International Water Association (IWA)
through its 2011 Project Innovation Awards
– Development. Aside from its customer
benefits, the TPSB was found worthy of
an Honour Award for the Drinking Water
Software Category because of its effective
community participatory approach. The
TPSB bested hundreds of other programs
from different companies around the
world that focused only on the technical or
engineering aspect of water service delivery.
Additionally, the Company’s ‘Lingap’
programs for public service institutions
have brought safe drinking water to the
larger communities with the installation of
drinking fountains and wash areas and the
rectification of after-the-meter pipes in
schools, orphanages, markets, city jails, and
hospitals. Through the Lingap programs,
1.5 million people from low-income families
have been assured of potable water that
is available in more than 300 important
institutions in Metro Manila’s East Zone 24
hours a day.
Mr. Ferdinand M.
Dela Cruz, Group
Director of EZBO and
CSAG, shares a toast
with Manila Water’s
partners during a
simple ceremony
that celebrated the
completion of a Lingap
Health Center program.
Liza Lucero
Al Lim
Sitio Chairman,
Baybay Sapa
Cainta, Rizal
I was a deep well
user before. The
water I was using has
not been checked
for quality by DOH
and the clothes I
wash became discolored. Today, with the
water service connection by Manila Water,
I can drink directly from the faucet and the
clothes I wash remain clean and white.
Likewise noteworthy are their diligent and
hardworking employees. They were there
when we needed support with regard to
our water supply and connection.
For me, Manila Water was heaven sent to
Baybay Sapa. Manila Water’s service is
always there – when we take a bath, when
we cook, etc. Thank you for coming to our
lives. (Translated)
Block Leader,
Angel Santos
Barangay Tumana,
Marikina
We knew it was
difficult for Manila
Water to come into
the community
because of issues on
land ownership. Nonetheless, after series
of meetings and discussions with both
the local government and the community,
Manila Water was able to implement its
Tubig Para sa Barangay Program (TPSB)
in 2011.
Initially, I was spending PhP65 every
other day for water bought from delivery
trucks. With Manila Water, our expense
was significantly reduced to only about
PhP135 per month. Our savings can now
be spent on other important items such
as food.
We thank Manila Water for being our
partner. They have improved our lives
by providing affordable water to the
community. (Translated)
clean water for healthy communities
45
Customer-Centric Service
Manila Water has always taken a proactive
approach to customer service and has gone
beyond the usual definition that customer
service is only about efficient and effective
response to customer concerns. Recently,
A Manila Water
employee responds to a
customer’s query about
her water bill.
the Company has started involving the
whole organization to move towards a
more
customer-centric
mindset
in
its
operations. This is done by identifying key
customer segments to understand them
better, redefining performance measures
in terms of customer service, and aligning
Public Assessment of water services (PAWS)
the organizational structure to customer
requirements.
4%
These
initiatives,
among
others, have resulted in very good customer
satisfaction as evidenced by the results of
two major surveys. The Company scored high
96%
good
100%
100%
100%
in a pilot study conducted by the UP National
100%
Engineering Center and commissioned by
the Department of Environment and Natural
72%
Resources and the MWSS Regulatory Office
for water concessionaires in Metro Manila.
very
good
Called the Public Assessment of Sewerage
28%
2003
and Sanitation Services (PASS), the study
2006
2008
2009
2010
2011
188
306
307
338
339
340
communities communities communities communities communities communities
surveyed several barangays being serviced
by Manila Water. For sewerage survey,
182 respondents from 6 barangays gave
Source: PAWS Performance Ratings UP National Engineering Center
Manila Water an overall rating of VG (very
Note: “Very Good” is the highest possible rating a respondent can give.
good), while for the sanitation survey, 333
respondents from 10 barangays also gave
the Company an overall rating of VG. The
main objective of the study is to develop
a set of performance indicators and to
implement a performance rating system for
sewerage and sanitation services. Manila
Water has also consistently received a
100% customer satisfaction rating in the
MWSS-commissioned Public Assessment of
Water Services (PAWS) covering over 300
barangays in the Company’s service area.
46
manila water 2011 sustainability report
Students of Kapitan
Moy Elementary School
enjoy the benefits of
having clean, potable
water through Manila
Water’s ‘Lingap
Eskwela’ program.
Jaime Co, Jr.
Chairman, Barangay
776 Zone 85, District 5
Sta. Ana, Manila
Marciana R. De
Guzman
Principal, Kapitan Moy
Elementary School,
Marikina City
Water is precious;
it sustains life.
Safe water, which
is provided to us
through the Manila
Water’s Lingap Eskwela Program, is one
of the many blessing we are grateful for.
Since the provision of the drinking and
hand washing facilities, there had been
no incidence of water-borne diseases
among the school children and the whole
school community. Manila Water regularly
monitored the safety of the water, with the
City Health Office doing the same routine.
The company is serious in its Corporate
Social Responsibility. We are fortunate to
be one of the select recipients. We hope
that Manila Water will continue the Lingap
Program.
Barangay 776 is a
beneficiary of two
Lingap projects –
Lingap Barangay
and Lingap Day Care
Center. Manila Water
has installed a wash area for the students
enrolled in the Day Care Center, as well as a
drinking fountain and a toilet in the Health
Center. These facilities have helped the
community in various ways.
Before, the people who go to the Health
Center automatically brought a pail of water
for a simple tooth extraction. Furthermore,
we did not have a toilet to use, so many
relieved themselves anywhere and a few
are forced to go back home. With the toilet
and the drinking fountain installed, the
Health Center now has a source of potable
water for the dental procedures and our
vision of keeping our surroundings clean
was realized. Sanitation in the community
has also improved.
Even after the projects, Manila Water
conducts regular visits through its Territory
Manager to check how they can further
assist the community. Other barangays
envy Barangay 776 because of these
facilities. We tell them that Manila Water
has helped us and if they have their own
water connection, it is possible for them be
a Lingap beneficiary as well. (Translated)
clean water for healthy communities
47
Participation in Public Policy
Development
Manila Water actively participates in
public policy development with regard
to environmental issues, groundwater
pr ote ction , an d wate r s e ctor refo rm.
However, the Company is careful to maintain
its political neutrality with no affiliations or
financial support given to any political party
or individual. While the Company partners
with LGUs and NGAs for its social programs,
the main beneficiaries of such will always be
the communities, and not political groups.
Responsible Advertising,
Marketing and Communications
Manila Water adheres to the standards of
the Philippine Association of National
Advertisers (PANA) for advertising and
marketing communication standards.
Manila Water endeavors
to provide all its
customers with 24/7
supply of drinking
water.
Though the Company has little need for a
comprehensive marketing campaign, having
a captured market, it still adheres to the
principle “truth in advertising,” transparency,
and balanced media. The Company also
abides by the standards of the Kapisanan ng
Erlinda Baylan
Former President,
Isla Association,
San Juan; and
TPSB Beneficiary
mga Brodkaster ng Pilipinas (KBP) in relation
to its media approaches. Meanwhile, Manila
Water is currently drafting a formal policy
on sponsorships to ensure that these are
strategic to its business requirements.
Manila Water has
never faltered in
giving excellent
customer service.
Whenever we call to
report any leak, Manila Water immediately
responds and takes action. Its employees
have consistently delivered outstanding
service to its clients.
We are grateful to Manila Water for
providing us with reliable water supply. We
are now confident and assured of clean
potable water. Thank you for taking care of
us, Manila Water! (Translated)
48
manila water 2011 sustainability report
The Company observes strict compliance
with other national standards and regulations
covering marketing communications,
in clu din g adve r tisin g, pr omo ti o n, and
sponsorship, and as a result, there have been
no reported incidents of non-compliance
on any level. Manila Water also values the
privacy of its customers and the information
they provide and share. Because of this,
the Company has received no complaints
regarding breaches of customer privacy
and loss of customer data.
Engr. Roldan Araga
Assistant Vice
President,
Engineering and
Maintenance
Department,
St. Luke’s Medical
Center
Ilven Samonte
Head,
Project and Property
Management
Department, United
Laboratories Inc.
(Unilab)
I can attest to the
quality of water
supplied by Manila
Water because we conduct our own
water testing in Unilab to validate and
confirm that the water we use passes the
standards.
At first, we had hesitations if Manila Water
could supply our needed water requirement
but so far, they have never let us down.
We’ve never had water shortages since we
converted from deep well to 100% piped-in
supply from Manila Water.
As we know, water is essential to human
survival and Manila Water has always been
quick to act on our requests and concerns
with regard to water supply. They never
cease to provide personalized and friendly
service to Unilab.
Manila Water supplies
Metro Manila East Zone
families with clean
water for drinking and
other household uses.
St. Luke’s Medical
Center is one of the
biggest healthcare facilities in the country
and water is very vital to our operations and
the continual care of our patients. Water
has been our resource to do our laundry,
cleaning, and all other medical procedures.
From using deep well, we have recently
moved to 100% water supplied by Manila
Water. I am proud to say that we were able
to comply with the Quezon City ordinance
regulating water extraction through deep
wells with the help of Manila Water. With this
transition, water quality is now guaranteed
and is based on drinking standards, and
because of this, we have actually reduced
our operating costs in terms of chemical
usage for water testing.
Additionally, the company has also
granted the hospital special rates when
they knew we were catering to around
300 to 400 indigent patients from
Quezon City. Manila Water also provided
us with other services such as desludging
and leak detection. These are likewise
important to the hospital.
We are hoping that this partnership would
continue – the quality they promised, the
appropriate water pressure, the reliability
and provision of other related services.
clean water for healthy communities
49
Commitment to
Environmental
Stewardship
Management Approach
As the leading water and wastewater
company in the Philippines, Manila Water
recognizes the important role it plays in
keeping the water environment safe and
in ensuring the sustainability of water
resources for future generations. It addresses
environmental issues on a holistic manner;
that is, by assessing and mitigating the
risks in every stage of the water life cycle
– protecting watersheds, using raw water
sources wisely, operating efficiently,
ensuring efficient water distribution, and
50
manila water 2011 sustainability report
treating domestic wastewater to abate
customers. In view of this, Manila Water
further degradation of major river systems
pursues a more robust Climate Change
in Metro Manila.
adaptation
Apart from ensuring that its water and
partnerships
wastewater operations comply with national
tailor-fitting the learnings from consequent
environmental regulations, it seeks to
exchanges to the unique conditions in Metro
upgrade its facilities to world-class status by
Manila’s East Zone.
following the ISO standards on quality and
Manila Water extends this commitment to
environmental management systems, as well
environmental protection and sustainability
as occupational health and safety.
to its stakeholders - by urging its contractors
Moreover, the Company recognizes that
to join the Green Philippine Islands of
Climate Change needs to be considered
Sustainability
for long-term sustainability as well as for
educating members of the public about the
maintaining current levels of service to
water trail through the ‘Lakbayan’ program.
program
with
through
industry
(GPIoS)
strategic
experts
initiative,
and
and
by
51
Water Abstraction by Source
(in billion liters)
Chemicals Usage
Ground water
(deep wells)
by Type of Operation
nb
ys
ou r
ce
7.65
stra
wa
te
r ab
469.55
c t io
Raw Water (Angat dam)
Eduardo Janairo
Director,
Center for Health
and Development,
Department of Health National Capital Region
Manila Water’s
Lakbayan is really
awesome. It’s really
amazing thinking
that it’s learning a lot about where water
comes from and how it becomes clean. The
history of water is something that everyone
should know so that they would also know
that they have to go back to what we used
to do, drinking direct from the faucet. The
whole information that was given to us will
strengthen our own advocacy to campaign
for people to go back to the way they
used to do things, like drinking straight
from the faucet. I really hope our barangay
captains will learn from this and get into
the Lakbayan also so that they themselves
can teach their communities that the best
water is what comes out of their faucets
handled by Manila Water.
For the people here at Manila Water, may
the force be with you. It was so amazing
seeing professionals and experts doing a
single advocacy or concern, which is water.
That water is actually our life, and you’re
so much concerned with that. And being
concerned gives more progress, much
development, with just a single concern
which is water. And for you here working,
please go on. And with this Laboratory, I
am looking forward to a more aggressive
partnership and more opportunity for
people to work on the cleanliness, the
safety and clarity of our water. You have
the best workforce here.
52
manila water 2011 sustainability report
Water Supply
6,661
metric tons of
Chlorine, Alum
and Polymer
Wastewater
799,758
liters of Chlorine
24,344
kilograms of Polymer for
Wastewater
The Water Life Cycle
In every stage of the Water Life Cycle, Manila
Water takes great care to ensure that the
water that comes out of the faucets of its
customers is clean and safe. The Company’s
commitment begins when the raw water is
first sourced from Angat Dam and travels to
the Ipo Dam and La Mesa Dam for treatment
at the Balara Treatment Plant. Quality testing
is conducted before the water is distributed to
the different pumping stations and reservoirs
for release to customers. To complete the
cycle, water is disposed by customers to
a sewage treatment plant before it is
discharged to rivers, or septage from septic
tanks are hauled to a septage treatment
plant for eventual use as soil conditioner for
farmlands affected by volcanic ash (lahar).
ANGAT DAM
IPO DAM
discharge to
rivers
The
Water
Life Cycle
LA MESA DAM
balara treatment
plant
effluent
reuse
biosolids
application
pumping
station
septage
treatment
plant
sewage
treatment
plant
pumping
station
customers
laboratory
commitment to environmental stewardship
53
A Lakbayan participant
signs his name on the
Lakbayan Center’s wall
after learning about
and experiencing the
water trail.
Throughout this life cycle, Manila Water
54
Caroline Grace M.
Pedragosa
considers the health and safety impacts
Manager, Center for
Corporate Citizenship,
Philippine Business for
Social Progress (PBSP)
of 15 of its facilities now have Integrated
Manila Water is
genuinely committed
in fulfilling its social
and environmental
responsibilities. Manila Water quickly
responded to our call for collaborative
action. As a member of the Business and
the Millennium Development Goals (MDG)
Environment Cluster, it has shared its
resources and expertise in enhancing the
‘Water for Life’ (watershed rehabilitation)
Program of the Cluster.
The Water Trail / Lakbayan conducted for
the Cluster made us appreciate the whole
water cycle – from the raw water source
to the wastewater treatment. It provided
us a clearer direction and gave us a deeper
appreciation of the value of water.
I hope that Manila Water will continue
to educate more people through their
Lakbayan Program and influence more
companies to embrace responsible
business practices.
complied with three international standards –
manila water 2011 sustainability report
at the facility level, and as such, a total
Management System (IMS). In 2011, these
facilities earned their third ISO certification
which confirms their status as having
ISO 9001 (quality management system), ISO
14001 (environmental management system)
and OSHAS 18001 (occupational health and
safety). Because of this, no non-compliance
with or violations of relevant government
regulations such as spills has been reported.
The Company also realizes the importance of
educating its stakeholders on important water
and environmental issues. For over five years
now, Manila Water has promoted awareness
and understanding of the processes involved
in converting raw water into potable water
through its Lakbayan program, where
stakeholders are taken on educational field
trips to water and wastewater facilities to
see for themselves the treatment process,
and eventually appreciate the need to use
water wisely and learn the importance of
proper wastewater management. Nearly 650
Manila Water
Operations Group
Director Geodino V.
Carpio explains to some
Lakbayan participants
how raw water is
cleaned in the Balara
Treatment Plant.
Jesser John B.
Alvarez
batches of Lakbayan tours have already been
carried out, with some 21,000 participants
from national and local government offices,
community partners, non-government
organizations, schools, private companies
and other special / interest groups learning
more about the water trail.
Raw Water Protection and
Watershed Management
Manila Water recognizes the importance of
ensuring sustainable water sources for both
its current and future customers. Hence, it
carries out a strategic program to protect the
three watersheds that are critical to its service
delivery – Ipo, La Mesa and Upper Marikina.
Second Year Student,
Bachelor of Technical
Teacher Education,
Marikina Polytechnic
College
The day I went to
attend the Lakbayan,
I was amazed at how
water from Angat that is not potable is
transformed to clean, drinking water and
delivered straight to our homes. I was also
amazed at learning the story of Pat Tubig,
where the seven steps of treatment were
discussed. I learned that wastewater is not
discarded but treated before it is released
so it would not pollute our rivers. I learned
that nothing is wasted; everything, even the
sludge, can be recycled.
I want to invite my friends to go on another
Lakbayan tour and share what I learned
from Manila Water. (Translated)
commitment to environmental stewardship
55
Watershed
Ipo Watershed
La Mesa Watershed
Description
Status
Covers an area
of 7,236 hectares
based on physical
delineation or
6,600 ha based on
Proclamation 391.
It is approximately
65 kilometers north
of Metro Manila.
Based on 2009
satellite imagery,
the vegetative cover
of Ipo Watershed
is predominantly
grassland covering
about 40% of the
watershed area.
Protected
Covers 2,659
hectares with
2,292 hectares of
forest land and
367 hectares of
reservoir/lake
Protected
Biodiversity Value
•
•
•
5 endangered fauna species: Celestial
Monarch, White-fronted Tit, Spotted
Imperial Pigeon, Philippine Kingfisher and
Philippine Hawk-Eagle
7 species of dipterocarps
Varied species of pandan, palms, vines,
grasses and other shrubs/creepers
Flora
• A total of 520 plant species exist
• 10 are vulnerable, 7 are endangered, and
4 are critically endangered according to
International Union for Conservation of
Nature (IUCN) Category
Fauna
• 117 species of vertebrate wildlife
• 90 birds species* (Osprey, highlight species
which is an uncommon migrant species
listed under Convention on International
Trade in Endangered Species (CITES))
• 24 are endemic, 53 are residents, 11 migrants
and 1 migrant/resident species
• 5 are vulnerable as listed in CITES
• 13 mollusks species
• 3 species of amphibians
• 6 species of mammals including Monitor
Lizard (Varanus salvator)
• 4 bat species
• One rodent species
• 8 orders of invertebrate fauna
• 31 genera of microfungi
• 5 genera of endomycorrhizal fungi
Upper Marikina
Watershed
56
Covers an area
Protected
of 29,505.8
hectares with 4
subwatersheds,
namely: Bosoboso,
Tayabasan,
Montalban
and Wawa. It
encompasses
Antipolo City, and
the municipalities
of Rodriguez,
San Mateo, Tanay
and Baras in
the Province of
Rizal. Recently,
Presidential
Proclamation
No. 296 dated
November 2011
declared this
watershed as the
Upper Marikina River
Basin Protected
Landscape
manila water 2011 sustainability report
Terrestrial Vegetation
• A total of 331 species belonging to 101
families of angiosperms, pteridophytes, and
fern allies
• From the total recorded plant species, 49
species are Philippine endemics; 6 species
are Luzon Island endemics
• 6 plant species of new range extensions for
taxa previously not known to occur in Rizal
Province
• 38 threatened plant species
Terrestrial Wildlife
• A total of 112 species of terrestrial
vertebrates
• 23 species of amphibians and reptiles
• 77 species of birds
• 12 species of mammals
• 3 undetermined species of Lizard
(Spenomorphus sp.), Snake (Lycodon sp.)
and Forest mouse (Apomys sp.)
• Endemicity being moderately high at 43%
• 5 species are classified as threatened under
the IYCN Red List 2010 and/or DENR
DAO 2004-15 (Wildlife Protection and
Conservation Act)
Ipo Watershed
hectares has already been reforested in Ipo
In line with the thrust of the MWSS to
Watershed through this partnership.
rehabilitate the entire Ipo Watershed in a
Manila Water’s partners from the University
period of 5 years, a total of 450 hectares
of
denuded areas were reforested and
Technological Institute of the Philippines,
maintenance works for the 110-hectare
UP Circle of Engineering Students (Crest),
area that was rehabilitated in 2010 were
Philippine Women’s University, Don Bosco
undertaken. Said activities were carried out
and Rotary Club of San Francisco Del Monte
by Bantay Kalikasan and the six People’s
also conducted tree nurturing projects to
Organizations composed of Dumagats, an
improve the biodiversity of flora and fauna
indigenous tribe, and local residents through
in the watershed and reduce siltation and
the assistance of and the funds provided by
flooding in the area. Community outreach
Manila Water and the other concessionaire,
activities were also done to care for the
Maynilad. For the remaining years of this
families residing in the area.
project, the target is to reforest 900 hectares
Since the Ipo Watershed is also home to
every year.
the Dumagats, Manila Water works closely
Meanwhile, under the Company’s Adopt-
with them to ensure the forest’s protection.
a-Watershed Program, Manila Water and
The Company strictly follows the Indigenous
its partner organizations have planted 3.28
Peoples’ Rights Act (IPRA), and at no time
hectares or approximately 1,390 seedlings
in 2011 were any violations of the IPRA ever
within their adopted sites. A total area of 132
reported.
the
Philippines
(UP)
Photo shows Manila
Water volunteers
along with partners
from different
organizations in one
of the tree-planting
activities undertaken
by the Company as
part of its watershed
management program.
Mountaineers,
commitment to environmental stewardship
57
Liesl Lim
La Mesa Watershed
SMART Consultant,
Philippine Disaster
Recovery Foundation
(PDRF)
The protection and management of the La
Mesa Watershed were continued by Bantay
Kalikasan through the support of the MWSS,
Manila Water and Maynilad. In line with the
Manila Water
heeded the call
of the private
sector to work
together towards
achieving the objective of recovery and
rehabilitation after the onslaught of
typhoons Ondoy, Pepeng and Santi. It
is a major donor and proponent in the
Marikina Watershed restoration. Even
without PDRF, Manila Water, through
its Memorandum of Agreement with
DENR, has spearheaded the preparation
of a Comprehensive Marikina Watershed
Management Plan, and one of its aims
is to provide strategies to reduce the
risk and mitigate the impact of another
typhoon Ondoy, which only validates
its long-term commitment to the cause.
It is truly commendable that Manila Water
is not only dedicated on the environmental
front, but was likewise willing to extend its
support to the economic and social aspects
of the Marikina Watershed Initiative as well,
through the livelihood and capacity building
programs it supported.
Manila Water shared its funding, technical
expertise and engaged its employees for
the restoration of the Marikina Watershed.
Manila Water certainly walked its talk.
58
manila water 2011 sustainability report
National Greening Program of the DENR,
Manila Water planted more than 400 trees
in the La Mesa Watershed, specifically along
the access road leading to the intake of the
Company’s
Rodriguez
Water
Treatment
Plant. Also, as part of its watershed protection
initiatives, Manila Water will undertake the
repair of approximately 1 kilometer breaches
in the perimeter fence.
Upper Marikina Watershed
Manila Water, as a member of the Philippine
Disaster and Recovery Foundation (PDRF),
actively participated in the major activities
of the Foundation. In 2011, PDRF recognized
the support of Manila Water to the Marikina
Watershed initiatives, citing that the Company
had the biggest contribution from the private
sector to rehabilitate said watershed.
Pursuant
to
the
Memorandum
of
Agreement with DENR and the Protected
Area Management Board (PAMB) of the
Marikina Watershed Reservation, Manila
Water delivered its key outputs, namely:
(1) Inception Report; (2) Watershed
Management Framework Plan; (3) Report
The La Mesa dam is a
critical component of
the water life cycle that
provides 24/7 supply to
Metro Manila East Zone
customers.
on Field Application and Capacity Building;
and (4) Draft Comprehensive Watershed
Management Plan. A series of Stakeholders
Consultative and Disclosure meetings on the
Comprehensive Watershed Management
Plan was conducted prior to the finalization
of the plan.
A Manila Water
desludging truck
hauls septage from a
household’s septic tank.
In addition, Manila Water, through its partner
implementor, Fostering People’s Education,
Empowerment and Enterprise, Inc. (FPE3)
Through this, the Comany helped improve
reforested 385 hectares of denuded areas of
the quality of major water bodies in Metro
the Tayabasan and Bosoboso subwatersheds
Manila. In addition, Manila Water ensured that
in 2011. Since 2010, a total of 415 hectares
the wastewater effluent from its treatment
have been planted with 259,675 indigenous
facilities consistently complied with DENR
trees at barangays Calawis and San Jose
standards.
in Antipolo City. Under this project, eight
Manila Water also continued the
People’s
host
implementation of the 3-River Master Plan that
communities, as well as more than 1,600
will provide 100% treatment to wastewater
volunteers from 23 government, civil society,
discharging to the major river systems in the
academic and private sector organizations
East Zone – Pasig San Juan and Marikina –
were engaged to undertake actual seedling
and will ultimately affect the clean-up and
propagation and field planting. Out of the
revival of Manila Bay and Laguna Lake.
target 500 hectares areas to be reforested,
Because of its outstanding performance and
there are only 85 hectares remaining which
contribution to wastewater management in
will be planted in 2012. Maintenance of these
Metro Manila, the Laguna Lake Development
trees will also be undertaken by Manila Water
Authority (LLDA) gave nine Blue Awards
from 2012 up to 2014.
to Manila Water’s Pollution Control Officers
Organizations
from
the
(PCOs) during the 5th Cycle of LLDA’s Public
Water Distribution
Disclosure Program. Said awards were in
recognition of the Company’s full compliance
Manila Water made its water supply operations
with the regulatory requirements of the DENR
more efficient such that less physical losses
and LLDA, as well as for its well-maintained
are present and more people have 24-hour
wastewater treatment facilities.
water service. In 2011, the Company sustained
its Non-Revenue Water (NRW) reduction
Sanitation and Septage Management
efforts and the level of systems losses at
Consistent with the provisions of the
11.2%, and consequently was able to deliver
Philippine Sanitation Code, Manila Water
411.6
continued to provide septic tank desludging
million cubic meters of potable water
to its customer base.
services to customers who are not yet
connected to its sewer network. In 2011,
Wastewater Treatment
Manila Water desludged a total of 52,147
septic tanks which benefited 178,258
Sewerage
households, and translated into 160,799 cubic
The 36 Sewage Treatment Plants (STPs) of
meters of septage.
Manila Water treated 70.13 mld of wastewater,
Meanwhile, the Company generated a total
and in the process removed a total of 3,676
of 20,443 cubic meters of biosolids as a by-
tons of Biochemical Oxygen Demand (BOD).
product of the septage treatment process.
commitment to environmental stewardship
59
v
e
h
i
c
les (i
n l i te
rs)
Non-CO2 Air Emissions of Vehicles
Hazardous Wastes Disposed and Treated
(in tons)
(in liters)
on - C
O em
is
2
n
s io n s
mercury and mercuric
compounds
of
Carbon Monoxide
(CO)
8.35
401.25
Nitrogen
Oxides (NOx)
2.57
other wastes with
inorganic chemicals
88.3
4.75
16.7
0.43 0.41 2.0
1.8 9.0
other inorganic acids
Particular Matter (PM)
non-halogenated
organic solvents
Hydrocarbons (HC)
hydrochloric acid
others*
organic acids
** Includes Sulfuric Acid, Lead Compounds, Reducing Agents, and Halogenated
Organic Solvents
Manila Water made good use of the biosolids
by its Laboratory Services Department and
by composting it and transporting the same
ensured that they were properly hauled
to lahar-laden areas where it was applied as
and treated by DENR-accredited service
fertilizer and soil conditioner.
providers.
Compliance with Other
Environmental Regulations
Republic Act (RA) 9003
In support of the government’s drive for
a more effective solid waste management
Clean Air Act
under RA 9003, Manila Water made sure to
As a responsible business firm, Manila Water
properly dispose of the other by-products of
does not limit its environmental compliance
its operations, both in facilities and offices. For
to water and wastewater regulations. For
instance, the Company responsibly disposed
instance, it makes sure to use only materials
of 1,105 cubic meters of grits and screenings
and substances for air conditioning units and
generated by its wastewater treatment plants
chillers that are consistent with the guidelines
by giving these to a DENR-accredited waste
of the Philippine Clean Air Act and do not
collector.
have ozone depletion potential.
In the same manner, more than 108 tons of
As for its service vehicles, Manila Water
assorted scrap metal and assorted recyclables
continued to monitor and keep to a minimum
such as PET bottles, paper, cartons and
level its non-CO2 air emissions so as not to
aluminium cans, as well as 269 pieces of used
add to the serious problem of air pollution in
tires were sold to recyclers and junkshops.
Metro Manila. In 2011, these emissions totalled
Additionally, the Company used recycled
11.75 tons.
materials in the form of 2,900 pieces of
jumbo tissue rolls made of recycled pulp and
60
Republic Act (RA) 6969
ink cartridges in some of its printers. These
In compliance with RA 6969, Manila Water
initiatives yielded nearly PhP17.5 million worth
monitored the hazardous wastes produced
of savings for Manila Water.
manila water 2011 sustainability report
Manila Water monitors
the GHG emissions
of its water and
wastewater treatment
facilities to minimize
the increase in its
carbon footprint.
2011 Carbon Footprint (in tons CO2 (e))
scope 3
200
11 C
a rb
scope 1
)
(e)
O2
sC
to n
ply
es
in
i cl s u p o r
t(
h
f
r
e
e
rin
s v at ets
l
otp
de r w r s
ve
Fo
clu s fo rato .
tra
on
1 in set ne 6) nal
p e r g e ( 1 3 t io .
co ato 7), ns na 0)
scope 2
53,101
Total
56,976
3,675
Notes:
1. Scope 1 includes direct emissions from
vehicles (1,152), generator sets for water
supply operations (2,387), generator sets for
wastewater operations (136).
2. Scope 2 includes indirect emissions from
electricity used.
3. Scope 3 includes international travel (150) and
domestic travel (50).
commitment to environmental stewardship
61
Response to Climate Change
Program (P-O-P) which saved an additional
Manila Water’s response to the risks and
PhP3.328 million. To further reduce
opportunities brought about by Climate
greenhouse gas emissions, Manila Water
Change, which was formalized through a
has also begun using Variable Frequency
Climate Change Policy in 2007, predates
Drive (VFD) and soft-starters in its pumps
RA 9729 (Climate Change Act of 2009)
and blowers.
and is aligned with the National Framework
Despite expansion of operations in 2011,
Strategy on Climate Change (2010 – 2022).
the Company managed to minimize the
The Company works closely with various
corresponding increase in carbon emissions,
stakeholders to help the government attain
which registered only a slight change from
its vision of making the Philippines a climate-
55,361 tons in 2010 to 56,976 in 2011.
resilient country.
Climate Change Adaptation
62
Climate Change Mitigation
Manila Water implemented a number of
One of Manila Water’s Climate Change
activities and programs as part of its Climate
mitigation strategies is Greenhouse Gas
Change adaptation efforts. One such program
accounting and monitoring, which covers
is
fuel (scope 1), electricity consumption (scope
Manila Water incorporates Climate Change
2) and business travels (scope 3). It is one
adaptation in the design of its new facilities.
of the pioneer companies to implement the
Manila Water also considers the concept of
Philippine Greenhouse Gas Accounting and
green building to its facility designs to have a
Reporting Program (PhilGARP).
more efficient use of resources.
Manila Water saw its total fuel consumption,
Moreover, Manila Water recognizes that, being
which is the combined consumption of its
a critical lifeline during disasters, it needs to
fleet, generator sets and other equipment,
ensure water security and water reliability in
climate-proofing
its
assets
in
which
decrease significantly from 5,500 tons CO2
cases of extreme weather conditions such
(e) in 2010 to 3,675 tons CO2 (e) in 2011.
as drought, strong typhoons and flooding
However, the total amount of electricity
brought about by Climate Change.
it consumed, increased by 6.9% mainly
To ensure continuity of its business
due to the expansion of its services and
operations, the Company organized a
operation of new facilities. To address this,
Business Continuity Team (BCT) to enable
the Company undertook several energy
quick response in cases of emergency.
efficiency programs to properly manage its
Geographic “quadrants” in Manila’s East Zone
energy use.
were established based on a disaster impact
The Company negotiated with Meralco, its
reduction study which assumes key lifelines
electric power distributor, to implement
of the city to be unavailable. Each quadrant
the Guaranteed Minimum Billing Demand
has its own complete contingency resources,
(GMBD) which adjusted the minimum
incorporating the specific locations and
requirement for plant operations, thereby
capabilities of each Manila Water manager to
virtually making it similar to actual kilowatt
respond to any given situation. The Company
demand. This initiative realized savings of
also continued to undertake unannounced
PhP535,000. The Company also enrolled
company-wide drills that involved other
five more plants in Meralco’s Peak-Off-Peak
government support services.
manila water 2011 sustainability report
expenditures on key environmental programs
(in million pesos)
To further strengthen its Climate Change
initiatives, Manila Water, along with the
MWSS and Maynilad, signed up to a USAIDsponsored Waterlinks project called “Water
Operator Partnership on Planning for Climate
Change Adaptation in the Philippines”. The
Palm Beach Water Utility of Florida and the
National Center for Atmospheric Research
based in Colorado served as the mentors
wastewater projects
septage and sludge management
1,380 58
153 0.073
wastewater operations
waste treatment and disposal
and shared practical experience on the use
of Climate Change adaptation tools such as
the Water Evaluation and Planning (WEAP)
model and new risk management tools,
including decision support models of water
watershed management
77
Total
1,668
systems and decision science methods such
as scenario analysis, multi-criteria decision
analysis (MCDA). Select planning managers
of Manila Water underwent said training
program with the intention of adopting their
learnings as they mainstream Climate Change
adaptation
into
the
Company’s
capital
investment and operational plans.
Greening the Supply Chain
Manila Water expanded its efforts by
recruiting its vendors to the Green Philippine
Robby Bataclan, Arlyn Catayas and
Michael Brian Gonzalez
Roberfran Autoshop
Islands of Sustainability (GPIoS). Thirteen
(13) companies in Manila Water’s supply
chain now participate in the GPIoS program
where they are provided free workshops and
technical assistance on cleaner production,
energy efficiency and other environmental
tools to enable them to realize economic
profit while simultaneously increasing
resource efficiency and minimizing
environmental impact. In addition, Manila
Water has included environmental, health
and safety requirements in the accreditation
of its supply chain.
Manila Water invited us to participate in
the environmental initiative called the
Green Philippines Islands of Sustainability
or GPIoS, as part of their Greening the
Supply Chain Program. We were given
free workshops on energy efficiency and
other environmental tools. The GPIoS has
provided suggestions and ideas on how
we can conserve electricity and use water
wisely. They have conducted visits to
identify environmental practices we can
implement in our operations. The program
has likewise helped us look at our waste
management, especially on the disposal of
hazardous wastes. Roberfran has always
been searching for ways to contribute to
environmental sustainability and we are
glad that Manila Water included us in these
programs. (Partly translated)
commitment to environmental stewardship
63
Responsible
Business
Practices that
Drive Economic
Growth
Management Approach
Manila Water makes good use of its position
as the dominant water and wastewater
service provider in the Philippines to help
spur local and national economic growth.
It continues to improve the water and
wastewater infrastructure in the 23 cities
and municipalities under its concession area
to make these more liveable and attractive
to both local and foreign investors. In doing
64
manila water 2011 sustainability report
this, however, the Company does not only
an extension of the Company, Manila Water
focus on commercial areas and business
ensures that these organizations uphold the
districts. Instead, it endeavors to drive
same high standards that it espouses. The
economic growth in the entire East Zone of
Company likewise affords them with the
Metro Manila, which, in turn, will pump-prime
necessary trainings and skills upgrading to
the national economy.
keep up with its growing operations, as well
In the same manner, Manila Water supports
as the technological advancements that are
small- and medium-scale enterprises, as well as
relevant to design and construction, pipe-
community-based cooperatives by providing
laying and other civil works.
jobs and livelihood opportunities that are
aligned with its business requirements. Being
65
The Company prides itself in its relentless
adherence to policies on transparency
and good governance in all its
contracting practices.
Investments for Service
Improvement
In 2011, Manila Water spent a total of PhP9,184
Neomie Recio
million to further improve the level of
Director, Traffic
Engineering Center,
Metro Manila
Development Authority
(MMDA)
service enjoyed by Metro Manila East Zone
customers. Its capital expenditures were
anchored on two key components, namely,
reliability and expansion. The Company’s
Reliability Program aimed at ensuring reliable
Manila Water is quick
to act and respond
to our traffic issues.
Their communication
line is consistently open to our requests and
concerns. Although the traffic impact of the
road works and projects of Manila Water
has always been our main concern, they are
always there to assist us in improving the
traffic situation.
The Company’s commitment is manifested
through its recent hiring of a Traffic Manager
to assist MMDA in the management of traffic
in areas where the Company’s projects are
being implemented. This will greatly help
in the planning of alternate routes and
application of strategies to reduce the
traffic impact of the Company’s projects.
We support Manila Water’s projects because
we believe that these will eventually lead to
better and improved water service for all.
66
manila water 2011 sustainability report
and 24/7 services for its current customers,
even amidst natural calamities and disasters.
On the other hand, its Expansion Program
sought to make water and wastewater
services available to more people by laying
new pipes and putting up new facilities and
the required supporting infrastructure. To
create more impact, the Company made
sure that its service improvement projects
are aligned with the development plans of
the cities and municipalities in its concession
areas. In the same manner, to minimize the
temporary negative impacts of the projects it
undertakes, it complied with the regulations
exacted by concerned national agencies. By
implementing such projects, Manila Water
contributes to national development and
economic growth.
Support to SMEs
However, as of now, all contractors must
strictly comply with the Company’s
To help drive local economies, Manila Water
Vendor Management Policies and Standard
taps small and medium enterprises (SMEs)
Contracting Procedures and adhere to the
and lets them grow with the Company through
Manila Water Vendor’s Code of Conduct.
sustainable job generation in connection with
The Vendor’s Code of Conduct states that
its civil works. To provide equal opportunities
all accredited vendors should comply with
for SMEs in the Company’s supply chain,
Philippine tax laws, statutory fund laws
Manila Water includes them in the solicitation
( s o c i a l security, health insurance, and
of proposals and quotation, provided they
other benefits for their employees), and
pass a special accreditation process. Also,
the Philippine Labor Code. It has a specific
a minimum allotment equivalent to 20% of
provision on child labor, stating that all
the approved budget may be contracted to
vendors s h o u l d a d h e r e t o a p p l i c a b l e
an SME, and the buyer shall be authorized
international and national labor laws and
to negotiate with the SME, using the lowest
standards, including protecting children from
bid price or the prevailing market prices as
exploitation.
benchmark. Moreover, the Company provides
The Company also prides itself in its relentless
SMEs with additional privileges such as tax
adherence to policies on transparency
exemption based on tax privileges granted
and good governance in all its contracting
under relevant laws, performance surety
practices. It abides by Vendor Accreditation
bond, shorter terms of payment and loan
Policies in selecting and accrediting
assistance.
contractors. It conducts regular performance
In addition, Manila Water requires that
evaluation for service providers according to
imported materials are coursed through local
its Service Providers Performance Appraisal
distributors not only because of the need to
Policy. Because of its commitment to
ensure after sales support, but also in order
responsible business practices, Manila Water
to help small businesses .
is proud to say that it has never had a case of
Manila Water is currently working on human
a contract disapproval due to human rights
rights-specific screening for contractors.
violation.
Manila Water continues
to improve the water
and wastewater
infrastructure to
extend its services to
the farthest and hardto-reach areas in the
Metro Manila East Zone.
responsible business practices that drive economic growth
67
Employees of SMEs
benefit from Manila
Water’s capital
programs.
Gloria Quintan
Vice President
for Finance,
R.O. Quintan Builders
We
have
been
working with Manila
Water since 1997 as
Lopez Plumbing. We
have changed our
name two years ago
and are now a ‘Suki
[accredited] Vendor’ of Manila Water. We
started with small projects on pipe laying
but this grew to bigger projects. Our latest
project is an 11-kilometer pipe laying in
Binangonan.
R.O. Quintan experienced a significant
growth when we partnered with Manila
Water. In fact, when our business started,
we only had five regular staff and one
truck. Now we have 26 office staff
members and several teams deployed
in Pateros and Makati. We have also
purchased 3 back hoes.
In addition, through our experience working
with Manila Water, we learned to deal with
people including the LGU, and thus our
operations became more efficient.
We genuinely attribute our growth to our
partnership with Manila Water.
(Partly translated)
68
manila water 2011 sustainability report
Sustainable Livelihood for
Cooperatives
Beyond the provision of start-up funds for
small businesses, Manila Water opens up
livelihood
opportunities
for
community-
based cooperative by including them in
its supply chain. As such, they are asked to
fabricate products and provide services that
are required in its operations and are paid
for by the Company at competitive rates.
Through
this
approach,
the
‘Kabuhayan
Para Sa Barangay’ (KPSB) becomes more
sustainable than a typical micro-financing
program. Over the years, the Company has
seen its KPSB cooperatives grow into stable
businesses and expand their operations to
include other service and product offerings.
More than 1,092
families now have better
income to sustain their day-to-day needs
because of the KPSB program. In 2011, a total
of PhP4.1 million worth of job orders for the
fabrication of meter protectors and bollards,
installation of ‘Lingap Eskwela’ facilities,
making of corporate giveaways, carwash
and printing services were given to the eight
cooperatives that are under the KPSB.
Economic Value Generated and Distributed
(in million Pesos)
total revenue
1,051
total operating expenditures
concession fees
7,246
capital expenditures
donations
2.2
employee wages and benefits
Total
11,703
4,029
9,184
1,150
taxes and licenses
34,365.2
Rodel Ocampo
Vice President
for Operations,
Anden Construction
Zenaida Berina
Vice Chairman,
All Livelihood in
Communications MultiPurpose Cooperative
(Alivecomm)
Alivecomm was
established in 2005
by employees of ALC
Holdings as a multipurpose cooperative. We started working
with Manila Water after undergoing the
accreditation process. Our first project was
to implement TPSB projects in San Mateo
and Binangonan by laying service pipe
connections.
We had eight teams which were assigned
to implement TPSB. We have capacitated
our team members on basic skills such
as costing and billing which we believe
empowered them and made them microentrepreneurs.
Manila Water was our main source of
revenue. Through Manila Water, we have
helped a lot of our members. (Translated)
Anden has been
working with the
MWSS even prior to
its privatization in
1997. We decided to
stay close and work
with Manila Water upon its takeover since
their projects were in full blast, they were
very active, and the collection of payment
was easier. We worked with Manila Water on
projects with regard to sewer lines and they
were our main client on the construction
side.
Anden grew over the years because of
Manila Water. We have increased the
number of our equipment and increased
our manpower by 40%. Our operations and
systems also improved to meet the Manila
Water standards.
Anden became a more solid company when
we were considered as the Company’s ‘Suki
[accredited] Vendor’. We’ve never had
problems with payments and collections as
long the billing documents we submit were
complete.
Manila Water is a real partner in business!
(Translated)
responsible business practices that drive economic growth
69
Further Growth Ahead
As the Company expands its reach to more communities in the East Zone of Metro Manila, it will continue to find ways
to strengthen its triple bottom line efforts through three focus areas. All these form part of Manila Water’s contribution
to nation building as well as to global development, particularly the environmental sustainability targets contained in
the Millennium Development Goals.
Water Provision to the
Urban Poor
Water Education
Environmental Protection
Manila Water will institutionalize an
Moving forward, Manila Water will
advocacy
In a move to make good use of its
improve the Lakbayan program as its
on
presence in the water and wastewater
main vehicle to promote stakeholder
important environmental issues such
sector, Manila Water will help build
awareness on the wise use of water
as watershed management and tree-
more communities and improve the
and the need for proper wastewater
planting,
quality of life of a greater number
management. To make the program
management, and proper solid wastes
of low-income families by giving
more dynamic and holistic, the
segregation and disposal. This will be
them access to clean, potable and
Company will transform the existing
in partnership with multi-stakeholders
affordable water. The Company will
Lakbayan Center into a one-stop
for the program’s wider reach and
also lower the barriers to having a
educational center by installing
greater impact on the environment.
regular
connection
interactive game booths, a kiddie arts
Parallel
payment
and crafts corner, and a reading nook
will
options to customers in marginalized
where books and magazines about
education program for its employees
communities and by partnering with
the environment will be displayed
with the hope of developing more
donor agencies which can subsidize
for everyone’s reading pleasure. The
environment champions across all
connection charges.
tour itineraries will also take on a
employee levels.
While Manila Water looks after the
different approach as the program
Moreover, Manila Water will further
urban poor, it does not lose sight of
aims to increase its exposure to the
its drive to reforest and manage
the rest of its customer base. The
communities by going to selected
the watersheds that are critical to
Company will ensure that its level
schools, barangays, clubs, and LGUs.
Metro Manila’s water supply, and
by
water
providing
service
flexible
campaign
raising
public
sewerage
to
this,
implement
an
that
centers
awareness
and
the
on
septage
Company
environmental
of service is able to keep up with
to strengthen its Climate Change
the
adaptation programs to ensure that
heightened
expectations
demands of its customers.
and
its facilities are climate-resilient and
that its service is uninterrupted in the
event of natural disasters.
70
manila water 2011 sustainability report
Sustainability Performance Highlights
2009
2010
2011
Social
Number of TPSB beneficiaries
(in millions, cumulative)
1.6
1.7
1.7
Number of community consultations
and dialogues conducted
80
50
300
100%
100%
100%
209
156
151
0
0
0
1,025
1,092
1,150
15,000 participants/
400 batches
18,000 participants/
500 batches
21,000 participants/
650 batches
15,000
6,590
422,800
25
13.5
840
15%
11%
11.2%
50
57.75
70.13
3,841
2,735
3,676
Water quality compliance with
PNSDW
Number of top performing
employees recognized
Man-hours lost due to work-related
fatalities
Salaries and benefits paid to
employees
(in million pesos)
Environmental
Number of Lakbayan participants
(cumulative)
Number of seedlings planted
Watershed area reforested
(in hectares)
Non-Revenue
Water (NRW)
Volume of wastewater treated
(in mld)
BOD removed (in tons)
Number of septic tanks desludged
65,355
56,466
52,147
Number of households
that received desludging services
291,469
242,026
178,258
Volume of septage treated
(in cubic meters)
226,934
203,595
160,799
Volume of biosolids produced
(in cubic meters)
29,635
20,968
20.443
Carbon emissions (in tons CO2 (e) )
45,273
55,361
56,976
11.03
11.44
11.75
16
13
17.5
5
9.6
9.2
396.0
409.8
411.6
25
17
4.1
8 cooperatives/
850 families
8 cooperatives/
920 families
8 cooperatives/
1,092 families
Non-CO2 emissions (in tons)
Savings from scrap management
program (in million pesos)
Economic
Capital expenditures for service
improvement projects
(in billion pesos)
Billed volume
(in million cubic meters)
Job orders given to KPSB
cooperatives (in million pesos)
Number of KPSB beneficiaries
sustainability performance highlights
71
gri and iso 26000 Index
profile
ITEMS
72
PAGE and SECTION /
SUBSECTION
ISO 26000
CORE ISSUES ADDRESSED
1
Strategies and Analysis
1.1.
Statement from the most senior decisionmaker of the company
Page 4 – Message from the
Chairman
6.2 Organizational
Governance
1.2
Description of main impacts, risks and
opportunities
Page 14 – Enterprise Risk
Management; Page 40 –
Business Impact on the
Communities
6.2 Organizational
Governance
2
Organization Profile
2.1
Name of the organization
Front cover
2.2
Primary brands, products and/or services
Page 8 – Company Profile
2.3
Organizational structure and main division
Page 10 – Organizational
Setup
2.4
Location of organization’s headquarters
Back cover
2.5
Countries / areas of operations
Page 8 – Company Profile
2.6
Nature of ownership and legal form
Page 9 – Shareholder Base
2.7
Markets served
Page 8 – Company Profile;
Page 9 – Customer Base
2.8
Scale of the reporting organization
Page 8 – Company Profile;
Page 26 – Summary of
Employees; Page 69 –
Economic Value Generated
and Distributed
2.9
Significant changes during the reporting
period
Page 14 – Significant Changes
in 2011
2.10
Awards received during the reporting period
Page 15 – Awards and
Recognitions
3
Report Parameters
3.1
Reporting period for information provided
Page 3 – About this Report
3.2
Date of most recent previous report
Page 3 – About this Report
3.3
Reporting cycle
Page 3 – About this Report
3.4
Contact point for questions regarding the
report or its contents
Page 3 – About this Report
3.5
Process for defining report content
Page 3 – About this Report;
Page 18 – Partners in
Sustainable Growth
3.6
Boundary of the report
Page 3 – About this Report
3.7
Specific limitations on the scope or boundary
of the report
Page 3 – About this Report
3.8
Basis for reporting on joint ventures /
subsidiaries
Page 3 – About this Report
3.9
Assessment methods for data and basis for
estimates in data compilation
Page 3 – About this Report
3.10
Explanation of the effect of any re-statements
of information provided in earlier reports, and
the reasons for such re-statement
Page 3 – About this Report
manila water 2011 sustainability report
ITEMS
PAGE and SECTION /
SUBSECTION
ISO 26000
CORE ISSUES ADDRESSED
3.11
Significant changes from previous
reporting period in the scope, boundary, or
measurement methods applied in the report
Page 3 – About this Report
3.12
Table identifying the location of Standard
Disclosures in the report
Page 72 – GRI and ISO Index
3.13
Current policy and practice dealing with
external verification
Page 3 – About this Report
4
Governance, Commitments and Engagement
4.1
Governance structure of the organization
Page 11 – Board of Directors
6.2 Organizational
Governance
4.2
Chair of the highest governance body
Page 11 – Board of Directors
6.2 Organizational
Governance
4.3
Members of the highest governance body
Page 11 – Board of Directors
6.2 Organizational
Governance
4.4
Mechanisms for shareholders to provide
recommendations and direction
Page 13 – Mechanisms for
6.2 Organizational
Shareholders to Provide
Governance
Recommendation or Direction
4.5
Association between the compensation of
members, of top management, and high
directors, and the performance of the
organization
Page 13 – Board
Remuneration; Page 13 –
Board Evaluation
6.2 Organizational
Governance
4.6
Procedures for avoiding conflict of interest in
top management
Page 13 – Avoidance of
Conflict of Interest
6.2 Organizational
Governance; 6.6.3 Anticorruption
4.7
Procedures for determining qualifications and
experience of top management for guiding
the organization
Page 12 – Nominations
Committee
6.2 Organizational
Governance
4.8
Statement concerning missions and values
implemented internally
Page 16 – Sustainability Model
6.2 Organizational
Governance
4.9
Procedures for top management to supervise
the organization’s performance
Page 13 – Board
Remuneration; Page 13 –
Board Evaluation
6.2 Organizational
Governance
4.10
Process to assess the performance of top
management
Page 13 – Board Evaluation
6.2 Organizational
Governance
4.11
Explanation of how the organization has
adopted the precautionary principle
Page 14 – Enterprise Risk
Management
6.2 Organizational
Governance
4.12
Externally developed economic,
environmental and social standards
Page 20 – What Sustainability
Means to our Stakeholders
6.2 Organizational
Governance
4.13
Memberships in associations and/or national/
international
advocacy organizations
Page 57 – Ipo Watershed;
Page 58 – La Mesa
Watershed; Pages 58-59 –
Upper Marikina Watershed
6.2 Organizational
Governance
4.14
List of stakeholder group engaged
Page 18 – The Stakeholder
Universe
6.2 Organizational
Governance
4.15
Basis for identification and selection of
stakeholders with whom to engage
Pages 18-19 – Partners in
Sustainable Growth
6.2 Organizational
Governance
4.16
Approaches to stakeholder engagement
Pages 18-19 – Partners in
Sustainable Growth
6.2 Organizational
Governance
GRI and ISO 26000 index
73
PAGE and SECTION /
SUBSECTION
ITEMS
Key topics and concerns raised by
stakeholders, and the organization’s response
to them
4.17
Pages 21-22
ISO 26000
CORE ISSUES ADDRESSED
6.2 Organizational
Governance
MANAGEMENT APPROACH DISCLOSURES
ASPECT
PAGE and SECTION
Employees
Page 24 – Employees as Catalysts to Sustainable Growth
Social
Page 38 – Clean Water for Healthy Communities
Environment
Page 50 – Commitment to Environmental Stewardship
Economic
Page 64 – Responsible Business Practices that Drive Economic Growth
ECONOMIC PERFORMANCE INDICATORS
INDICATOR
DESCRIPTION
PAGE and SECTION /
SUBSECTION
ISO 26000
CORE ISSUES ADDRESSED
Economic Performance
EC1
Direct economic value generated
and distributed
Page 69 – Economic Value
Generated and Distributed
6.7.8 Access to Essential
Services; 6.8.3 Community
Involvement; 6.8.9 Social
Investment
EC2
Financial implications and other
risks and opportunities for the
organization’s activities due to
climate change
Page 14 – Enterprise Risk
Management; Page 62 –
Response to Climate Change
6.2 Organizational
Governance; 6.5.5 Climate
Change Mitigation and
Adaptation
Coverage of the organization’s
benefit plan obligations
Page 28 – Compensation and
Benefits
6.3.10 Fundamental Principles
and Rights at Work; 6.4.4
Conditions of Work and Social
Protection; 6.4.6 Health and
Safety at Work
Significant financial assistance
received from government
Note: Manila Water does
not receive any financial
assistance from the
government. On the contrary,
the Company is paying the
government, through the
MWSS, concession fees to
service its existing loans.
6.2 Organizational
Governance; 6.6.4
Responsible Political
Involvement
Page 28 – Compensation and
Benefits
6.3.10 Fundamental Principles
and Rights at Work; 6.4.3
Employment and Employment
Relationships; 6.4.4
Conditions of Work and Social
Protection
Page 67 – Support to SMEs
6.8.5 Employment Creation
and Skills Development;
6.8.7 Wealth and Income
Generation
EC3
EC4
Market Presence
74
EC5
Range of ratios of standard entry
level wage compared to local
minimum wage at significant
locations of operation
EC6
Policy, practices and proportion
of spending on locally-based
suppliers at significant locations
of operation
manila water 2011 sustainability report
INDICATOR
EC7
DESCRIPTION
PAGE and SECTION /
SUBSECTION
ISO 26000
CORE ISSUES ADDRESSED
Page 27 – Hiring Practices
6.3.7 Discrimination and
Vulnerable Groups; 6.3.10
Fundamental Principles and
Rights at Work
Development and impact of
infrastructure and services
provided primarily for public
benefit through commercial, in
kind, or pro bono engagement
Page 40-42 – Business
Impact on the Communities;
Page 42 – Community
Development Programs; Page
66 – Investments for Service
Improvement
6.7.4 Protecting Consumers’
Health and Safety; 6.7.8
Access to Essential Services;
6.8.3 Community Involvement;
6.8.4 Education and Culture;
6.8.9 Social Investment
Understanding and describing
significant indirect economic,
including the extent of impacts
Page 40-42 – Business
Impact on the Communities;
Page 42 – Community
Development Programs; Page
66 – Investments for Service
Improvement
6.7.4 Protecting Consumers’
Health and Safety; 6.7.8
Access to Essential Services;
6.8.3 Community Involvement;
6.8.4 Education and
Culture; 6.8.6 Technology
Development and Access;
6.8.9 Social Investment
Procedures for local hiring and
proportion of senior management
hired from the local community at
locations of significant operation
Indirect Economic Impacts
EC8
EC9
ENVIRONMENTAL PERFORMANCE INDICATORS
INDICATOR
DESCRIPTION
PAGE and SECTION /
SUBSECTION
ISO 26000
CORE ISSUES ADDRESSED
Materials
EN1
Materials used by weight or
volume
Page 52 – Water Abstraction
by Source; Page 52 –
Chemicals Usage
6.5.4 Sustainable Resource
Use
EN2
Percentage of materials used that
are recycled input materials
Pages 59-60 – Wastewater
Treatment
6.5.4 Sustainable Resource
Use
EN3
Direct energy consumption by
primary energy source
Page 61 – 2011 Carbon
Footprint; Page 62 – Climate
Change Mitigation
6.5.4 Sustainable Resource
Use; 6.5.5 Climate Change
Mitigation and Adaptation
EN4
Indirect energy consumption by
primary source
Page 61 – 2011 Carbon
Footprint; Page 62 – Climate
Change Mitigation
6.5.4 Sustainable Resource
Use; 6.5.5 Climate Change
Mitigation and Adaptation
EN5
Energy saved due to
consideration and efficiency
improvements
Page 62 – Climate Change
Mitigation
6.5.4 Sustainable Resource
Use; 6.5.5 Climate Change
Mitigation and Adaptation
EN6
Initiatives to provide energyefficient or renewable energy
Page 62 – Climate Change
based products and services, and
Mitigation
reductions in energy requirements
as a result of these initiatives
6.5.4 Sustainable Resource
Use; 6.5.5 Climate Change
Mitigation and Adaptation
EN7
Initiatives to reduce indirect
energy consumption and
reductions achieved
Page 62 – Climate Change
Mitigation
6.5.4 Sustainable Resource
Use; 6.5.5 Climate Change
Mitigation and Adaptation
Total water withdrawal by source
Page 52 – Water Abstraction
by Source
6.5.4 Sustainable Resource
Use
Energy
Water
EN8
GRI and ISO 26000 index
75
INDICATOR
DESCRIPTION
PAGE and SECTION /
SUBSECTION
ISO 26000
CORE ISSUES ADDRESSED
EN9
Water sources significantly
affected by withdrawal of water
Page 52 – Water Abstraction
by Source; Page 56
6.5.4 Sustainable Resource
Use
EN10
Percentage and total volume of
water recycled and reused
Page 59 – Wastewater
Treatment
6.5.4 Sustainable Resource
Use
EN11
Location and size of land owned,
leased, managed in, or adjacent
to, protected areas and areas of
high biodiversity value outside
protected areas
Page 56
6.5.6 Protection of the
Environment, Biodiversity
and Restoration of Natural
Habitats
EN12
Description of significant
impacts of activities, products,
and services on biodiversity in
protected areas and areas of
high biodiversity value outside
protected areas
Pages 55-59 – Raw Water
Protection and Watershed
Management
6.5.6 Protection of the
Environment, Biodiversity
and Restoration of Natural
Habitats
EN13
Habitats protected or restored
Pages 55-59 – Raw Water
Protection and Watershed
Management
6.5.6 Protection of the
Environment, Biodiversity
and Restoration of Natural
Habitats
EN14
Pages 55-59 – Raw Water
Strategies, current actions, and
future plans for managing impacts Protection and Watershed
Management
on biodiversity
6.5.6 Protection of the
Environment, Biodiversity
and Restoration of Natural
Habitats
EN15
Number of IUCN Red List species
and national conservation list
Page 56
species with habitats in areas
affected by operations, by level of
extinction risk
6.5.6 Protection of the
Environment, Biodiversity
and Restoration of Natural
Habitats
Biodiversity
Emissions, Effluents and Waste
76
EN16
Total direct and indirect
greenhouse gas emissions by
weight
Page 61 – 2011 Carbon
Footprint; Page 62 – Climate
Change
6.5.4 Sustainable Resource
Use; 6.5.5 Climate Change
Mitigation and Adaptation
EN17
Other relevant indirect
greenhouse gas emissions by
weight
Page 60 – Clean Air Act; Page
60 – Non-CO2 Air Emissions
of Vehicles
6.5.4 Sustainable Resource
Use; 6.5.5 Climate Change
Mitigation and Adaptation
EN18
Initiatives to reduce greenhouse
gas emissions and reductions
achieved
Page 62 – Climate Change
Mitigation
6.5.4 Sustainable Resource
Use; 6.5.5 Climate Change
Mitigation and Adaptation
EN19
Emissions of ozone-depleting
substances by weight
Page 60 – Clean Air Act; Page
60 – Non-CO2 Air Emissions
of Vehicles
6.5.4 Sustainable Resource
Use
EN20
NO, SO and other significant air
emissions by type and weight
Page 60 – Non-CO2 Air
Emissions of Vehicles
6.5.4 Sustainable Resource
Use
EN21
Total water discharge by quality
and destination
Pages 59-60 – Wastewater
Treatment
6.5.3 Prevention of Pollution;
6.5.4 Sustainable Resource
Use
manila water 2011 sustainability report
INDICATOR
DESCRIPTION
PAGE and SECTION /
SUBSECTION
ISO 26000
CORE ISSUES ADDRESSED
EN22
Page 59 – Wastewater
Treatment; Page 60 –
Total weight of waste by type and Republic Act (RA) 9003;
Page 60 – Republic Act (RA)
disposal method
6969; Page 60 – Hazardous
Wastes Disposed and Treated
6.5.3 Prevention of Pollution;
6.5.4 Sustainable Resource
Use
EN23
Total number and volume of
significant spills
Page 54 – The Water Life
Cycle
6.5.3 Prevention of Pollution;
6.5.4 Sustainable Resource
Use
EN24
Weight of transported, imported,
exported or treated waste
deemed hazardous under the
terms of the Basel Convention
Annex I, II, III and VIII, and
percentage of transported waste
shipped internationally
Page 60 – Republic Act (RA)
6969; Page 60 – Hazardous
Wastes Disposed and Treated
6.5.3 Prevention of Pollution
EN25
Identity, size, protected status
and biodiversity value of water
bodies and related habitats
significantly affected by
the reporting organization’s
discharges of water and runoff
Page 56
6.5.6 Protection of the
Environment, Biodiversity
and Restoration of Natural
Habitats
EN26
Initiatives to mitigate
environmental impacts of
products and services, and extent
of impact mitigation
Pages 52-55 – The Water
Life Cycle; Pages 55-59 –
Raw Water Protection and
Watershed Management;
Page 59 – Water Distribution;
Pages 59-60 – Wastewater
Treatment; Page 63 –
Greening the Supply Chain
6.5.3 Prevention of Pollution;
6.6.6 Promoting Social
Responsibility in the Value
Chain; 6.7.4 Protecting
Consumers’ Health and
Safety; 6.7.5 Sustainable
Consumption; 6.7.9 Education
and Awareness
EN27
Percentage of products sold and
their packaging materials that are
reclaimed by category
Page 60 – Republic Act (RA)
9003
6.5.3 Prevention of Pollution
Monetary value of significant
fines and total number of nonmonetary sanctions for noncompliance with environmental
laws and regulations
Page 54 – The Water Life
Cycle
6.5.3 Prevention of Pollution;
6.7.4 Protecting Consumers’
Health and Safety
Significant environmental impacts
of transporting products and
other goods and materials used
for the organization’s operations
and transporting members of
workforce
Page 54 – The Water Life
Cycle
6.5.3 Prevention of Pollution
Products and Services
Compliance
EN28
Transport
EN29
GRI and ISO 26000 index
77
INDICATOR
PAGE and SECTION /
SUBSECTION
ISO 26000
CORE ISSUES ADDRESSED
Page 63 – Expenditures on
Key Environmental Programs
6.5.3 Prevention of Pollution;
6.5.4 Sustainable Resource
Use; 6.5.6 Protection of the
Environment, Biodiversity
and Restoration of Natural
Habitats; 6.7.4 Protecting
Consumers’ Health and Safety
DESCRIPTION
Overall
EN30
Total environmental protection
expenditures and investments by
type
SOCIAL PERFORMANCE INDICATORS
Labor Practices and Decent Work Indicators
INDICATOR
DESCRIPTION
PAGE AND SECTION /
SUBSECTION
ISO 26000
CORE ISSUES ADDRESSED
Employment
LA1
Total workforce by employment
type, employment contract and
region
Page 26 – Summary of
Employees; Page 27 –
Employee Distribution per
Area by Age
6.4.3 Employment and
Employment Relationships
LA2
Total number and rate of
employee turnover by age group,
gender and region
Page 28 – Employee Turnover
per Age by Gender; Page 29 –
Employee Turnover per Area
by Level
6.4.3 Employment and
Employment Relationships
LA3
Benefits provided to full-time
employees that are not provided
to temporary or part-time
employees, by major operations
Page 30 – Employee Benefits
6.4.4 Conditions of Work and
Social Protection; 6.4.6 Health
and Safety at Work
LA15
Return to work and retention
rates after parental
leave, by gender
Page 28 – Compensation and
Benefits
6.3.7 Discrimination and
Vulnerable Groups; 6.4.4
Conditions of Work and Social
Protection; 6.4.6 Health and
Safety at Work
Labor/Management Relations
LA4
Percentage of employees
covered by collective bargaining
agreements
Page 32 – Labor-Management
Relations
6.3.8 Civil and Political Rights;
6.4.5 Social Dialogue
LA5
Minimum notice period(s)
regarding operational changes,
including whether it is specified in
collective agreements
Page 34 – Labor-Management
Relations
6.3.8 Civil and Political Rights;
6.4.5 Social Dialogue
Page 35 – Occupational
Health and Safety
6.3.8 Civil and Political Rights;
6.4.4 Conditions of Work and
Social Protection; 6.4.6 Health
and Safety at Work
Occupational Health and Safety
LA6
78
Percentage of total workforce
represented in formal joint
management-worker health
and safety committees that
help monitor and advise on
occupational health and safety
programs
manila water 2011 sustainability report
INDICATOR
DESCRIPTION
PAGE AND SECTION /
SUBSECTION
ISO 26000
CORE ISSUES ADDRESSED
LA7
Rates of injury, occupational
Page 36 – Health and Safety
diseases, lost days, and
absenteeism and number of work- Statistics Board
related fatalities by region
6.4.4 Conditions of Work and
Social Protection; 6.4.6 Health
and Safety at Work
LA8
Education, training, counseling,
prevention, and risk-control
programs in place to assist
workforce members, their
families, or community members
regarding serious diseases
Page 36 – Occupational
Health and Safety
6.3.9 Economic, Social
and Cultural Rights; 6.4.4
Conditions of Work and Social
Protection; 6.4.6 Health and
Safety at Work
LA9
Health and safety topics covered
in formal agreements with trade
unions
Page 33 – Labor-Management
Relations
6.3.9 Economic, Social
and Cultural Rights; 6.4.4
Conditions of Work and Social
Protection; 6.4.6 Health and
Safety at Work
LA10
Average hours of training per
year per employee by employee
category
Page 34 – Training Hours per
Employee Level by Age and
Gender
6.3.9 Economic, Social and
Cultural Rights; 6.4.7 Human
Development and Training in
the Workplace
LA11
Programs for skills management
and lifelong learning that support
the continued employability of
employees and assist them in
managing career endings
Pages 34-35 – Training and
Development
6.39 Economic, Social and
Cultural Rights; 6.4.7 Human
Development and Training in
the Workplace
LA12
Percentage of employees
receiving regular performance
and career development reviews
Page 30 – Measuring and
Rewarding Performance
6.4.7 Human Development
and Training in the Workplace
Training and Education
Diversity and Equal Opportunity
LA13
Composition of governance
bodies and breakdown of
employees per category
according to gender, age group,
minority group membership and
other indicators of diversity
Page 11 – Board of Directors
6.3.7 Discrimination and
Vulnerable Groups; 6.3.10
Fundamental Principles
and Rights at Work; 6.4.3
Employment and Employment
Relationships
LA14
Ratio of basic salary of men to
women by employee category
Page 29 – Ratio of Basic
Salary (Male to Female)
6.3.7 Discrimination and
Vulnerable Groups; 6.3.10
Fundamental Principles
and Rights at Work; 6.4.3
Employment and Employment
Opportunities
GRI and ISO 26000 index
79
Human Rights Indicators
INDICATOR
DESCRIPTION
PAGE and SECTION /
SUBSECTION
ISO 26000
CORE ISSUES ADDRESSED
Investment and Procurement Practices
HR1
Percentage and total number of
significant investment agreements Page 13 – Policies and
that include human rights clauses Principles Regarding Human
Rights and Corruption
or that have undergone human
rights screening
6.3.3 Due Diligence; 6.3.4
Human Rights Risk Situations;
6.3.5 Avoidance of Complicity;
6.3.10 Fundamental Principles
and Rights at Work
HR2
Percentage of significant
suppliers and contractors that
have undergone screening on
human rights and actions taken
6.3.3 Due Diligence; 6.3.4
Human Rights Risk Situations;
6.3.5 Avoidance of Complicity
HR3
Total hours of employee training
on policies and procedures
concerning aspects of human
rights that are relevant to
operations, including the
percentage of employees trained
Page 67 – Support to SMEs
Page 35 – Training and
Development
6.3.3 Due Diligence; 6.3.4
Human Rights Risk Situation;
6.3.5 Avoidance of Complicity
Non-discrimination
HR4
Page 27 – Hiring Practices
6.3.6 Resolving Grievances;
6.3.7 Discrimination and
Vulnerable Groups; 6.3.10
Fundamental Principles
and Rights at Work; 6.4.3
Employment and Employment
Relationships
Operations identified in which
the right to exercise freedom
of association and collective
bargaining may be at significant
risk, and actions taken to support
these rights
Page 32 – Labor-Management
Relations
6.3.8 Civil and Political Rights;
6.3.10 Fundamental Principles
and Rights at Work; 6.4.5
Social Dialogue
Operations identified as having
significant risk for incidents of
child labor, and measures to
contribute to the elimination of
child labor
Page 27 – Hiring Practices;
Page 67 – Support to SMEs
6.3.7 Discrimination and
Vulnerable Groups; 6.3.10
Fundamental Principles and
Rights at Work
Page 27 – Hiring Practices;
Page 67 – Support to SMEs
6.3.7 Discrimination and
Vulnerable Groups; 6.3.10
Fundamental Principles and
Rights at Work
Page 36 – Security
6.3.3 Due Diligence; 6.3.4
Human Rights Risk Situations;
6.4.4 Conditions of Work and
Social Protection; 6.4.6 Health
and Safety at Work
Total number of incidents of
discrimination and actions taken
Freedom of Association and Collective Bargaining
HR5
Child Labor
HR6
Forced and Compulsory Labor
HR7
Operations identified as having
significant risk for incidents of
forced or compulsory labor,
and measures to contribute
to the elimination of forced or
compulsory labor
Security Practices
HR8
80
Percentage of security personnel
trained in the organization’s
policies or procedures concerning
aspects of human rights that are
relevant to operations
manila water 2011 sustainability report
INDICATOR
DESCRIPTION
PAGE and SECTION /
SUBSECTION
ISO 26000
CORE ISSUES ADDRESSED
Indigenous Rights
HR9
Total number of incidents of
violations involving rights of
indigenous people and actions
taken
Page 27 – Hiring Practices;
Page 57 – Ipo Watershed
6.3.7 Discrimination and
Vulnerable Groups; 6.8.5
Employment Creation
and Skills Development;
6.8.7 Wealth and Income
Generation; 6.8.9 Social
Investment
Percentage and total number of
operations that have been subject
to human rights reviews and/or
impact assessments
Page 13 – Policies and
Principles Regarding Human
Rights and Corruption
6.3.3 Due Diligence; 6.3.4
Human Rights Risk Situations;
6.3.5 Avoidance of Complicity
Number of grievances related
to human rights filed, addressed
and resolved through formal
grievance mechanisms
Pages 33-34 – LaborManagement Relations
6.3.6 Resolving Grievances
Assessment
HR10
Remediation
HR11
Society Indicators
INDICATOR
DESCRIPTION
PAGE and SECTION /
SUBSECTION
ISO 26000 CORE ISSUES
ADDRESSED
Community
Nature, scope and effectiveness
of any programs and practices
that assess and manage the
impacts of operations on
communities, including entering,
operating and exiting
6.6.7 Respect for Property
Rights; 6.7.4 Protecting
Page 40-42 – Business Impact Consumers’ Health and Safety;
on the Communities; Page 68 6.8.5 Employment Creation
and Skills Development;
– Sustainable Livelihood for
6.8.7 Wealth and Income
Cooperatives
Generation; 6.8.8 Health; 6.8.9
Social Investment
SO9
Operations with significant
potential or actual negative
impacts on local communities
6.6.7 Respect for Property
Rights; 6.7.4 Protecting
Page 40-42 – Business Impact Consumers’ Health and Safety;
on the Communities; Page 68 6.8.5 Employment Creation
and Skills Development;
– Sustainable Livelihood for
6.8.7 Wealth and Income
Cooperatives
Generation; 6.8.8 Health; 6.8.9
Social Investment
SO10
Prevention and mitigation
measures implemented in
operations with significant
potential or actual negative
impacts on local communities
6.6.7 Respect for Property
Rights; 6.7.4 Protecting
Page 40-42 – Business Impact
Consumers’ Health and
on the Communities
Safety; 6.8.8 Health; 6.8.9
Social Investment
SO2
Percentage and total number of
business units analyzed for risks
related to corruption
Page 13 – Policies and
Principles Regarding Human
Rights and Corruption
6.6.3 Anti-corruption
SO3
Percentage of employees trained
in organization’s anti-corruption
policies and procedures
Page 13 – Policies and
Principles Regarding Human
Rights and Corruption
6.6.3 Anti-corruption
SO1
Corruption
GRI and ISO 26000 index
81
INDICATOR
DESCRIPTION
PAGE and SECTION /
SUBSECTION
ISO 26000 CORE ISSUES
ADDRESSED
Actions taken in response to
incidents of corruption
Page 13 – Policies and
Principles Regarding Human
Rights and Corruption
6.6.3 Anti-corruption
SO5
Public policy positions and
participation in public policy
development and lobbying
Page 48 – Participation in
Public Policy Development
6.6.4 Responsible Political
Involvement
SO6
Total value of financial and in-kind
Page 48 – Participation in
contributions to political parties,
politicians, and related institutions Public Policy Development
by country
6.6.4 Responsible Political
Involvement
SO4
Public Policy
Anti-Competitive Behavior
SO7
Total number of legal actions for
anti-competitive behavior, antitrust and monopoly practices and
their outcomes
SO8
Monetary value of significant
fines and total number of
non-monetary sanctions for
non-compliance with laws and
regulations
Page 8 – Company Profile
6.6.5 Fair Competition; 6.7.3
Fair Marketing, Factual and
Unbiased Information and Fair
Contractual Practices
Page 8 – Company Profile
6.6.5 Fair Competition; 6.7.3
Fair Marketing, Factual and
Unbiased Information and Fair
Contractual Practices
Product Responsibility Indicators
INDICATOR
DESCRIPTION
PAGE and SECTION /
SUBSECTION
ISO 26000
CORE ISSUES ADDRESSED
Pages 52-55 – The Water Life
Cycle
6.7.4 Protecting Consumers’
Health and Safety; 6.7.5
Sustainable Consumption;
6.7.8 Access to Essential
Services; 6.7.9 Education and
Awareness; 6.8.8 Health
Customer Health and Safety
PR1
Life cycle stages in which health
and safety impacts of products
and services are assessed for
improvement, and percentage
of significant products and
service categories subject to such
procedures
PR2
Total number of incidents of
non-compliance with regulations
Page 42 – Business Impact on
and voluntary codes concerning
the Communities
health and safety impacts of
products and services during their
life cycle, by type of outcomes
6.7.4 Protecting Consumers’
Health and Safety; 6.8.8
Health; 6.8.9 Social
Investment
Product and Service Labeling
82
PR3
Type of product and service
information required by
procedures, and percentage of
significant products and services
subject to such information
requirements
Page 48 – Responsible
Advertising, Marketing and
Communications
6.6.5 Fair Competition; 6.7.3
Fair Marketing, Factual and
Unbiased Information and Fair
Contractual Practices
PR4
Total number of incidents of
non-compliance with regulations
and voluntary codes concerning
product and service information
and labeling, by type of outcomes
Page 48 – Responsible
Advertising, Marketing and
Communications
6.6.5 Fair Competition; 6.7.3
Fair Marketing, Factual and
Unbiased Information and Fair
Contractual Practices
manila water 2011 sustainability report
INDICATOR
PAGE and SECTION /
SUBSECTION
DESCRIPTION
Practices related to customer
satisfaction, including results
of surveys measuring customer
satisfaction
ISO 26000
CORE ISSUES ADDRESSED
Page 46 – Customer-Centric
Service
6.7.6 Consumer Service,
Support and Complaint and
Dispute Resolution
PR6
Programs for adherence to
laws, standards, and voluntary
codes related to marketing
communications, including
advertising, promotion and
sponsorship
Page 48 – Responsible
Advertising, Marketing and
Communications
6.6.5 Fair Competition; 6.7.3
Fair Marketing, Factual and
Unbiased Information and Fair
Contractual Practices
PR7
Total number of incidents of
non-compliance with regulations
and voluntary codes concerning
marketing communications,
including advertising, promotion,
and sponsorship by type of
outcomes
Page 48 – Responsible
Advertising, Marketing and
Communications
6.6.5 Fair Competition; 6.7.3
Fair Marketing, Factual and
Unbiased Information and Fair
Contractual Practices
Page 48 – Responsible
Advertising, Marketing and
Communications
6.7.4 Protecting Consumers’
Health and Safety; 6.7.7
Consumer Data Protection
and Privacy
Page 42 – Business Impact on
the Communities; Pages 5255 – The Water Life Cycle
6.7.3 Fair Marketing, Factual
and Unbiased Information and
Fair Contractual Practices;
6.7.4 Protecting Consumers’
Health and Safety; 6.8.8
Health
PR5
Marketing Communications
Customer Privacy
Total number of substantiated
complaints regarding breaches
of customer privacy and losses of
customer data
PR8
Compliance
Not Required
Report fully on a minimum
of any 10 Performance
Indicators, including at least
one from each of: social,
economic, and environment
Performance Indicators
and Sector Supplement
Performance Indicators
B
Report on all criteria listed
for Level C plus:
1.2
3.9, 3.13
4.5-4.13, 4.16-4.17
Management Approach
Disclosures for each Indicator
Category
Report fully on a minimum
of any 20 Performance
Indicators, at least one from
each of: economic, human
rights, labor, society, product
responsibility
B+
A
A+
Same as requirement for
Level B
Management Approach
disclosed for each Indicator
Category
Respond on each core
and Sector Supplement*
indicator with due regard to
the materiality Principle by
either: a) reporting on the
indicator or b) explaining the
reason for its omission
Report Externally Assured
Output
Disclosures on
Management Approach
Output
Report on:
1.1
2.1-2.10
3,1-3.8, 3.10-3.12
4.1-4.4, 4.14-4.15
Profile Disclosures
C+
Report Externally Assured
C
Output
Standard Disclosures
GRI Application
Levels
Report Externally Assured
PR9
Monetary value of significant fines
for non-compliance with laws
and regulations concerning the
provision and use of products and
services
GRI and ISO 26000 index
83
Stakeholders’ Commentaries
Oscar M. Orbos
Former Executive Secretary,
Philippine National Government; and
Partner,
Orbos, Cabosura, Taguiam and Associates
Manila Water Company’s release of its annual Sustainability Report, where
GRI and ISO standards are applied, is a clear testament of the Company’s
desire to provide its present and future stakeholders, a document on
which its performance and commitments are framed against transparency
and accountability standards beyond what is required by our laws and
regulations. This is quite admirable, especially as Manila Water is a
company engaged in a ‘most public’ business – which is to provide affordable and reliable water
and sewerage services, and to do so sustainably for present and future communities.
This annual Sustainability Report provides the public a clear roadmap of what’s ahead – that
communities can and will grow into the future; assured that the basic need for affordable,
reliable water and proper sewerage services will continue to be addressed by the Company. The
Sustainability Report effectively ‘locks-in’ Manila Water’s future to the future of its stakeholders,
tying the sustainability of its business to the welfare of the public it serves. There is a need
therefore for Manila Water to defend and preserve that which enables its stakeholders to grow,
and to sustain all these for succeeding generations.
Ronald Barcena
Board Member,
Antipolo Provincial Government
The 2011 Sustainabilty Report is commendable beyond doubt. It
is a demonstration of altruism- doing business, but taking greater
account at the Corporate Social Responsibility. It is a blue-print which
manifests dedication to equity and security in the context of sustainable
development, as a way of giving back to the investing public the highest
standard of service and accountability.
The goal of sustainability establishes principles and indicators in arraying
the priority of uses of the natural assets and capital of the nation,
primordial of which is WATER. The organic integrity of water is crucial to its sustainability.
We are all duty-bound to ensure that the combined natural and human interventions to water
will result in development that is socially, economically and ecologically sustainable. From the
launching of the “Tubig Para Sa Barangay (TPSB), moving forward to active stance in watershed
management, ground water protection and essential initiatives on Climate Change, Manila
Water has gone far in demonstrating the “walk the talk” leadership rule. They put into action on
what they envision.
As we take cognizance of the principle of establishing good and shared governance and pursuing
its real essence, I admire Manila Water in initiating and using the report as a medium to create
an enabling setting that will further the engagement and empowerment of a multi -stakeholders
commitment in the pursuit of environmental stewardship and sustainable development founded
and has matured under a strong public- private partnership.
In recognition of your notable contribution to social changes let me share this maxim:
“The brands that will be big in the future will be those that tap into social changes that are
taking place.”- Sir Michael Perry
84
manila water 2011 sustainability report
Jose Fabian I. Cadiz, M.D.
Vice Mayor,
City of Marikina
The City Government of Marikina has always been actively involved
in environmental concerns. The present administration under the
inspiring leadership of Hon. City Mayor Del R. De Guzman is in fact
giving premium to this as it is one of its 7K Programs of Government
dubbed as Kapaligiran.
It is with pride that Manila Water has committed itself to partner with
the City Government and, to date, it remains as a strong ally in this
endeavor. Such a commitment has turned into a grand and striking
reality. Its putting up of the Olandes Sewage Treatment Plant located in Barangay Industrial
Valley Complex within the vicinity of the banks of Marikina River eloquently demonstrates
Manila Water’s commitment to environmental protection as it treats water before it recombines with the river waters. Indeed, Manila Water has taken the extraordinary task of
establishing a legacy for the benefit of the Marikeños by providing them these remarkable
sewerage and sanitation services.
Apart from this, Manila Water has started to establish the Marikina East Sewage Treatment
Plant. For sure, this project again guarantees an adequate and affordable water and sanitation
services to the city residents.
The 2011 Sustainability Report discloses all these outstanding accomplishments as regards the
social and environmental engagement initiatives of Manila Water. It provides a clear picture
of Manila Water’s performance and communicates this evidently for all its stakeholders. This
moreover proves the importance the Company places on sustainability on all three fronts –
economic, social and environmental. The Report shows not only the business side, but also the
effect of effectively managed water and wastewater service to society and our environment.
Undeniably, the City Government of Marikina is blessed to have Manila Water as its unwavering
collaborator in its efforts to provide clean water to the Marikeños, and together, hand in
hand, continuously and squarely address the water and sanitation challenges of the times.
Congratulations on a job well done in 2011!
Julio Galvez Tan
Chief Operating Officer,
Foster People’s Education, Empowerment & Enterprise, Inc. (FPE3)
Manila Water Company’s 2011 Sustainability Report is a good and
interesting read. The moment I finished reading the report, I now
know why Manila Water is a successful company.
The report presents a clear picture of the company’s governance,
principles, sustainability policy and programs. The efficiency and
effectiveness of its services is well reported and testimonies from
various stakeholders, from employees to consumers, attest to this. As
a consumer in Manila Water’s service zone, I can relate to the various
testimonies of its stakeholders regarding Manila Waters services.
The information contained in the report is presented with matrixes and charts. I particularly
like the company’s employees gender disaggregated data, where I am happy to see that
women are a significant part of its workforce. This is an indicator of equal opportunity.
The centerpiece of the report is the section on the Sustainability Model where the
Sustainability Policy is defined. I also appreciate that Manila Water outlined 10 commitments
to achieve sustainability. The results of each of these commitments are found in the report.
It will be interesting to see how these results will be reported in the succeeding years.
I do wish that Manila Water continues its commitment to environmental sustainability
which means that the bottom line is not just profit but also excellent service delivery and
care of our environment.
Congratulations to Manila Water for coming out with its 2011 Sustainability Report. This
is a best practice in transparency and accountability.
stakeholders’ commentaries
85
Bonar Laureto
Executive Director,
Philippine Business for the Environment (PBE)
The role of Business in our stride towards low-carbon economy and green
growth is crucial, to say the least.
For over 20 years now, Philippine Business for the Environment (PBE)
has endeavoured to build capacity and implement programs with the
private sector to reduce their impact to the environment and enhance
their contribution to society and economy.
Manila Water is among the pioneers to demonstrate significant
improvements in such areas of sustainability. MWC has been given the
Eco-Switch Award for its achievements in energy and resource efficiency. This year, MWC
reports reduction in its total fuel consumption from 5,500 tons CO2e in 2010 to 3,675 tons
CO2e in 2011. Although it has expanded its operations, Manila Water has only slightly increased
its carbon emissions from 55,361 tons in 2010 to 56,976 in 2011. Further, Manila water also
reports 840 hectares of watershed planted with 422,800 trees in 2011 from only 13.5 hectares
in 2010. Manila Water’s 36 Sewage treatment Plants removed 3,676 tons of organic pollutants
(BOD) from our river systems.
These efforts are testament to MWC’s strong grasp of the inter-relationship between their
business and natural ecosystems. The business of supplying water to communities is a social
responsibility by itself. Thus, MWC’s ability to serve is only as good as the ecosystems’ capacity
to provide water.
PBE has worked with MWC to help make the more Filipinos understand this concept through
its Water Trail Project. PBE also provides assistance to MWC for its fuel efficiency and GHG
reduction program from its vehicles - Clean Fleet Management. PBE is a proud partner of
Manila Water!
Eva M. Clemente
Head, Laboratory Services Department
Manila Water
In an extraordinary way, Manila Water has soared engaging in business
with a heart. This Sustainability Report so aptly and comprehensively
captures how conducts business, how Manila Water cares – for the
environment, for the customers and various stakeholders, for employees.
One of my most enduring memorial of Manila Water was from the early
days of its Tubig Para sa Barangay program. As a cadet in Marikina
then, I personally witnessed people lining up to get water from a single
community faucet, felt their need for better water service and worked
with the community and with the office towards a secure pipeline that will give them individual
household connections. Whenever I pass by this community now, I see how much their lives
have improved and I am honoured to know that we have been a part of such a milestone. Truly,
Manila Water has been a force that has contributed towards improving lives.
Keeping true to its mission, Manila Water should also be commended for its proactive works
for the environment. I know that it is committed to address one of the biggest environmental
challenge we face - that of wastewater and river water quality. This is a multifaceted challenge
requiring synergistic efforts from both public and private sectors. I am sure that with Manila
Water’s dedication and team spirit, changes towards a healthier environment will happen.
As Manila Water pursues the breadth of its vision while championing social responsibility, I have
no doubt that it will remain ahead of the pack in the water and wastewater industry.
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manila water 2011 sustainability report
Mark Tom Q. Mulingbayan
Head, Environment Department
Manila Water
The classic definition of sustainability visually presents the economy,
society and environment as three overlapping circles, with sustainability
attained at the convergence of the three. Another way of looking at it
is to imagine three concentric circles, one being totally surrounded by a
bigger one. The first and smallest circle, the Economy (to which business
belongs), cannot succeed in a Society (bigger circle) that is not working,
and Society cannot thrive in a physical Environment (biggest circle) that
is balancing on its edge. It is this sequence of dependencies that gives
the imperative for Manila Water to adopt its sustainability framework. This sustainability report
is testament to the success of that framework.
If there’s a common observation one can make based on the past and current sustainability
reports of Manila Water, it is that the Company’s sustainability initiatives are never undertaken
in isolation. The partners who we work with have their mandates that are, in one way or another,
aligned with our own. Still, we realize we can do more to enhance opportunities to work with
more Manila Water stakeholders, as this country needs a critical mass of aware, responsible
and committed individuals and organizations to further our common advocacies on economic,
social and environmental issues. In the realm of environmental work, for example, it is our goal
not to just develop the environmental champion in our own employees, but to challenge our
business partners, and eventually our customers, to move in the same direction.
I would like to believe that every employee feels proud to be part of an organization that
actually makes things happen, where we walk our talk, and where the opportunities to align our
personal advocacies (who does not want to help make the world a better place?) with what the
company does are endless.
stakeholders’ commentaries
87
Concept, Content Design and Layout
Medium3 Inc.
Photography
Frank Callaghan
Wig Tysmans
Glerick Ignacio
Thom Ryan Ortega
Print Production
Primex Printers, Inc.
The Manila Water 2011 Sustainability Report cover is printed
on FSC-cer fied Mohawk Op ons, which is made with
100% post-consumer waste. 100% of the electricity used
to manufacture the paper is offset with Renewable Energy
Cer ficates (RECs) from nonpollu ng wind power projects.
The inside pages of this report are printed on 9 lives offset 80
gsm 100% recycled, a unique uncoated paper that reduces
carbon footprint.
Concept, Content Design and Layout:
K2 Intera ve (Asia) Inc.
Photography:
Wig Tysmans (Portraitures)
Oliver Marqueses (Oper ons)
Dave Michael Valeriano (Opera ons)
Artwork for the Cover:
Manila Water Branding Team