Environmental Initiatives
Our growing renewable energy assets reflect our commitment as a partner to the environment.
Sustainability at AboitizPower
The Aboitiz Group’s adherence to sustainable business practices and social responsibility are key to its success story for the past 100 years. Today, AboitizPower’s ESG strategy addresses balancing business growth with sustainability initiatives. It does so by accounting for the impact of its activities on people, planet, and prosperity, and with a view of its long-term implications. In replicating this success for future generations, AboitizPower intends to strengthen its ESG standards and practices by reinforcing its purpose of “Transforming Energy for a Better World” and taking advantage of emerging technologies and innovations as the Aboitiz Group undertakes its “Great Transformation” into the Philippines’ first techglomerate. This is amidst the country’s continued post-pandemic recovery and transition to a decarbonized economy.
People
People are our most important priority. Aboitiz has made it a point to implement fair and beneficial business practices in the Philippines that are in line with the UN Sustainable Development Goals. These practices are directed to the organization’s team members, customers, communities, and society.
Planet
The Aboitiz Group remains consistent with its campaign toward A Better World through its environmental programs and initiatives. We observe year-round compliance with mandatory requirements. This ensures that the company, with its full operations, does not negatively impact the environment and promotes sustainability in the energy sector.
Profit
The Aboitiz Group adheres to fair business practices that align both majority and minority interests in growing profitably. This has guided the company for generations and propelled it to become one of the best-managed companies in the region, enjoying a high level of trust and confidence from its stakeholders.
Materiality Assessment
[GRI 3-1, 3-2, 3-3 (2021)] In 2023, we continued our commitment to our sustainability journey and our stakeholders by undertaking a materiality assessment. Materiality assessment is an important process for identifying, prioritizing, and reporting on environmental, social, and governance (ESG) issues that are significant and have an impact (positive or negative) on our company and stakeholders in the short and long-term. This assessment will guide us to develop our ESG and broader business strategy, reporting, and decision-making processes.
Process to determine material topics:
At the outset, the organization defines the scope, objectives, and methodology of the materiality assessment. This includes determining the operation scope, the stakeholders to be considered, the timeframe, and the sustainability dimensions (environmental, social, governance) to be assessed.
This includes the identification of Material Issues through a desktop review of sustainability frameworks and standards (e.g., GRI, SASB, CDP, TCFD) and gathering insights from various sources, including industry reports, peer reviews, regulatory landscapes, and stakeholder expectations.
Stakeholder engagement is crucial for a holistic assessment. Interviews, surveys, and focus groups are conducted with internal and external stakeholders, including employees, customers, suppliers, investors, local communities, and regulators. This step aims to gather qualitative insights and perspectives on the importance and impact of various issues. The objective of this activity is to gather deeper insights into priority material topics and expectations for the company.
This involves mapping the identified issues against their potential impact on the organization and its stakeholders. Impact mapping helps in visualizing the influence of each issue on business operations and stakeholder well-being, thus providing a clearer picture of where significant impacts might occur.
Issues are categorized based on common themes or the sustainability dimensions they pertain to (e.g., environmental impact, and social practices). Categorization aids in organizing issues into manageable groups for better analysis and action planning.
The categorized issues are then prioritized based on criteria such as severity of impact, stakeholder concern, business implications, and the ability to influence the issue. Prioritization helps in identifying which issues are material and should be addressed as part of the organization’s sustainability strategy.
The final step involves validating the results of the materiality assessment with key stakeholders. This could include discussions with senior management, feedback sessions with stakeholders, or reviews by third-party experts. Validation ensures that the findings are accurate, credible, and aligned with both business objectives and stakeholder expectations.
List of Material Topics
Sustainability at a Glance (2023)
207.10
billion
Revenue 2022: ₱ 193.99 billion
1,281
MW
Total Renewable Capacity 2022: 1,248.27 MW
3,681
Total Number of Employees 2022: 3,425
31
%
Percentage of Women in Workforce 2022: 29.64%
7.70
million m³
Total Water Consumption 2022: 0.84 million m³
141,297
tons
Total Waste Generated 2022: 50,630 tons
0
Total Fatality 2022: 1
0.42
Total LTIFR 2022: 0.35
0.67
Total TRIR 2022: 0.57
The Aboitiz Group uses the integrated format for the corporate report and consolidation of Aboitiz Equity Ventures, Inc., Aboitiz Power Corporation, and Aboitiz Group Sustainability. It is a format that underscores our commitment to the holistic and transparent reporting of our business performance and its overall impact on our stakeholders and society.
The report documents the Aboitiz Group’s initiatives and activities for people, the planet, and profit, anchored on our Group purpose and the brand promise of “transforming energy for a better world.”
We have made progress in various focus areas such as team member engagement and development, corporate social responsibility, customer focus, disaster resilience, carbon emissions reduction, resource efficiency, renewable energy, waste management, financial growth, and financial returns.
Through the years, the company has communicated its commitment and initiatives on corporate governance and sustainability to engage team members and external stakeholders.
Our presence in ESG Ratings
ESG Ratings are the independent assessments conducted at AboitizPower based on different ESG criteria and frameworks. This helps us objectively measure the company’s sustainability performance and serves as one of the inputs to the continuous improvement of our operations.
S&P Global Corporate Sustainability Assessment
S&P Global has assessed Aboitiz Power Corporation through the Corporate Sustainability Assessment (CSA) which incorporates a hundred points of analysis linked to sustainability, ranging from economic and governance to environmental and social data points. S&P Global Corporate Sustainability Assessment (CSA) is an annual evaluation of companies’ sustainability practices that focuses on sustainability criteria that are both industry-specific and financially material.
Sustainalytics
Sustainalytics’ ESG Risk Ratings measure a company’s exposure to industry-specific material ESG risks and how well a company is managing those risks. This multi-dimensional way of measuring ESG risk combines the concepts of management and exposure to arrive at an absolute assessment of ESG risk which is measured in five levels - Negligible, Low, Medium, High, and Severe risk.
Our Sustainability Policy
We can do well by always doing good and making the right long-term decisions that balance the interests of people, planet, and profit.
We are guided by the following principles:
- Stakeholders must be treated with fairness.
- Corporate Social Responsibility is an integral part of doing business.
- Decisions are made with the highest regard for their long-term impact.
- We safeguard our core values of integrity, teamwork, innovation, responsibility, and service excellence.
We make decisions based on our objectives to:
- Partner with communities in promoting inclusive growth.
- Provide a commercially sustainable customer experience.
- Attract, retain, and empower A-People.
- Build, protect, and enhance our reputation.
- Minimize our environmental impact.
- Enhance the overall long-term effectiveness of the organization.
- Grow profitably.
We are committed to making Aboitiz a truly sustainable enterprise that we can entrust to future generations. We can do well by doing good, by always making the right long-term decisions that balance the interests of people, planet, and profit.
SDG Alignment
We recognize the critical importance of aligning our pillars with the United Nations’ Sustainability Development Goals (UN SDGs) to identify where our actions could have meaningful impacts in supporting global sustainability outcomes. AboitizPower has identified SDGs 7 (Clean and Affordable Energy), 8 (Decent Work and Economic Growth), and 12 (Responsible Consumption and Production) as our priority SDGs in which we create the most impact.
Our key initiatives on those SDGs are as follows:
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Additionally, AboitizPower ensures that its ESG initiatives contribute to achieving balance in the three pillars of sustainability, thus directly or indirectly contributing to other SDGs.
Our Sustainability Initiatives
AboitizPower’s operations champions ethical practices and sustainability in the Philippines – anchoring our practices on the tenets of ESG leadership: accountability, transparency, and fairness. Every stakeholder, from shareholder, partner community, to employee, will benefit from our sustainability initiatives.
We’re passionate about empowering a nation, nurturing our employees, and protecting the environment. Discover more about AboitizPower’s initiatives and how they are the product of our ESG leadership practices in the Philippines.
Social
Our commitment to nurturing the welfare of our members and the community shows our dedication as a partner to people.
Governance
Our corporate transparency and quality assurance of business output uphold our integrity as a partner in good governance.
Communities
Empowering the hopes and dreams of the nation’s people through our projects is what drives us to be an unwavering partner to the community.
Stories on Sustainability
AboitizPower to lead PHL-Japan Consortium on exploration of RE innovations
Under the memorandum of understanding, the parties will leverage their respective new-generation technologies and expertise to optimize renewable energy development in the Philippines while contributing to energy cost savings and grid stability.
Tailor’s daughter, now lead engineer of Davao Light
Responsible for designing and implementing approved protection and control systems of Davao Light’s power systems, Engineer Nesvelle “Nes” Mae Pascua-Amper takes the lead in improving the digital substations of the power utility.
AboitizPower in FTSE4Good Index for fifth straight year
The company maintained its overall rating of 3.1 out of a rating scale of 5.0, mainly due to its performance in the social and governance themes, highlighting its dedication to people and integrity as a partner in good governance.
What We Do
As one of the Philippines’ largest energy producers, we are committed to providing the nation with reliable, affordable, and sustainable power sources.
Investors
Our investment and shareholder relations reports are available online to get a glimpse of how we address people, planet, and profit.
Careers
A productive career awaits you at AboitizPower. Look through our job listings and join us in transforming energy for a better world today!