Manila Water improves Sustainalytics' ESG Risk Rating, now ranks first in Asia Pacific
Manila Water achieved an improved ranking in Sustainalytics’ Environment, Social, and Governance (ESG) Risk Rating, scoring 22.1 in 2023 from 27.1 in 2022.
According to Sustainalytics’ global listing, the five-point ranking upgrade places Manila Water at the forefront of its peers, ranking it 1st in the Asia Pacific region for water utilities and an impressive 9th among water utility companies worldwide.
Morningstar 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 assessment of ESG risk, such as total unmanaged ESG risk score or the ESG Risk Rating, that is comparable across all industries. Sustainalytics’ ESG Risk Ratings provide a quantitative measure of unmanaged ESG risk and distinguish between five levels of risk: negligible, low, medium, high, and severe—the lower the score, the higher the ranking.
Manila Water’s management of material ESG issues such as human capital, business ethics, and product governance boosted its ESG score. The company's focus on skilled labor, ethical considerations, and client responsibility management has led to this remarkable progress.
The latest rating also highlights Manila Water's diligent ESG reporting system and overall management of its material ESG issues. This is underpinned by board-level oversight of ESG matters, which showcases the company's commitment to responsible practices.
“With this positive development, the company now has greater momentum in meeting our 2025 ESG targets, which include protecting the environment, helping communities thrive, and building a culture of trust and care,” Manila Water Sustainability Head Sarah Bergado said.
ESG criteria are a fundamental pillar of Manila Water's corporate strategy. This is evident in the company's successful execution of actions outlined in its short-term ESG targets for 2021–2025, demonstrating a proactive approach to sustainable practices.
In October 2023, the company was also honored as one of this year’s Regional Exemplar Employer of the Year by the Philippine Management Association of the Philippines. The distinction was awarded to companies and organizations that have demonstrated exceptional people management and socially responsible practices that elevate industry standards.
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