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AboitizPower recognized anew as FTSE4Good constituent

MANOLO FORTICH, Bukidnon, July 30 — Aboitiz Power Corporation (AboitizPower) continues to be recognized as a constituent company in the FTSE4Good Index Series. AboitizPower is the mother company of Hedcor which has been operating two of its largest run-of-river facilities in Manolo Fortich, Bukidnon.

The FTSE4Good Index Series, created by global index provider FTSE Russell, measures the performance of companies demonstrating strong Environmental, Social, and Governance (ESG) practices. The FTSE4Good indices are used by a wide variety of market participants to create and assess responsible investment funds and other products.

AboitizPower has been independently assessed according to the FTSE4Good criteria and has satisfied the requirements to become a FTSE4Good Index Series constituent. The company has sustained its rating in the FTSE4Good Index Series since 2018.

RESPONSIBILITY. As a Cleanergy company, Hedcor remains proactive with its environmental initiatives. Hedcor has since planted three million trees since the early 2000's and have been firm in its ban on single-use plastics from its premises. (Hedcor-AboitizPower)
RESPONSIBILITY. As a Cleanergy company, Hedcor remains proactive with its environmental initiatives. Hedcor has since planted three million trees since the early 2000's and have been firm in its ban on single-use plastics from its premises. (Hedcor-AboitizPower)

“Being a FTSE4Good constituent for three years in a row is a major accomplishment for us. This affirms that we are on the right track with our commitment to being sustainable and drives us to continue strengthening our ESG standards and practices,” said Emmanuel V. Rubio, AboitizPower president and chief executive officer.

Environmental

With sustainability at its core, AboitizPower is steadfast in its commitment of providing reliable, affordable and sustainable energy. And in its forefront is Hedcor—AboitizPower’s pioneering renewable energy company--having been in the business since the 1970’s. 

Hedcor has since helped provide a good foundation to Cleanergy, AboitizPower’s renewable energy portfolio. To date, AboitizPower has a net sellable capacity of 1,200MW from 29 Cleanergy facilities, 22 of which are run-of-river facilities run by Hedcor.

In the next 10 years, AboitizPower is looking to significantly expand its Cleanergy portfolio. Sixty-five percent (65%) of its new capacities will be sourced from renewables, resulting in an almost 50:50 thermal and Cleanergy capacity mix by 2029. This is also in support of the government’s efforts to further promote renewable energy (RE) in the country and is AboitizPower’s contribution to the global RE target.

Social

Over the years, AboitizPower has built strong partnerships with its host communities and local government units (LGUs). 

The company has fully supported the disbursement of Energy Regulations 1-94 (ER 1-94) to host beneficiaries. The ER 1-94 Program is a policy under the Department of Energy (DOE) Act of 1992 and the Electric Power Industry Reform Act of 2001 (EPIRA), which stipulates that a host community will get a share of one centavo for every kilowatt-hour (P0.01/kWh) generated by power plants operating in its area. 

In the case of Hedcor, the ER 1-94 program is being enjoyed by host communities such as the Province of Bukidnon, Municipalities of Manolo Fortich and Impasugong, and six other barangays.

COMMUNITY. To date, AboitizPower has made available to its host beneficiaries around P462 million worth of ER 1-94 funds, which the local government units can tap for their COVID-19 response and relief efforts. AboitizPower not only ensures that the funds are properly accounted for and remitted, but also supports its host communities in the utilization of ER 1-94 funds. (Hedcor-AboitizPower)

The fund can be used for the electrification of areas or households that have no access to power, development and livelihood programs, as well as reforestation, watershed management, health, and environmental enhancement initiatives. In light of the pandemic, host communities were also allowed to utilize ER 1-94 funds for their COVID-19 responses.

To date, the AboitizPower group has turned over around Php 462 million worth of ER 1-94 funds to support host LGUs in their fight against COVID-19.

Governance

AboitizPower firmly believes that commitment to good corporate governance is integral to a sustainable business. It benchmarks its governance practices on the ASEAN Corporate Governance Scorecard, with particular focus on five key areas—rights of shareholders, equitable treatment of shareholders, the role of stakeholders, disclosure and transparency, and responsibilities of the board.

As a testament to this commitment, AboitizPower was recognized as one of the best-managed companies in the Philippines and in the ASEAN region. In November 2018, AboitizPower was lauded for being one of the top-performing publicly-listed companies (PLC) at the 2nd ASEAN Corporate Governance Awards ceremony held in Malaysia. In 2019, the company also received recognition from the Institute of Corporate Directors (ICD) as among the top-performing PLC in the ASEAN Corporate Governance Scorecard (ACGS). 

AboitizPower continues to build on its strong corporate governance by constantly reviewing and improving its practices and controls, to ensure that it remains sustainable and relevant to future generations.

“We recognize that we still have a long way to go in terms of sustainability, but we are proud of what we have achieved so far despite the challenges we are facing today. This inspires us to continuously learn and improve, so we can continue to create long-term benefit for our stakeholders,” added Rubio. (Hedcor-AboitizPower/PIA Bukidnon)



source https://pia.gov.ph/news/articles/1048947

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