EDC PR 2016 (GRI section)

Assurance Statement of the External Review Committee
which provided a reasonable and balanced presentation of the company’s performance, we confirm that
the 2016 SR of EDC has fully conformed to GRI Standards and is highly commendable. The information in
the report is fairly presented in all aspects deemed material by EDC, and in accordance with the
reporting criteria.
Notwithstanding challenges in the external environment, the company achieved significantly its triple
bottom line of [i] providing ample return on capital invested, [ii] addressing communitarian needs in areas
of operation, and [iii] ensuring a sustainable environment in areas of operation based on the data on
economic value distributed, corporate social responsibility and management of the environment, among
others. The renewable power production by the company has contributed to the country’s energy security
and climate change mitigation. Its renewable energy power plants have very minimal carbon footprint
compared to those of other power companies. EDC has also remitted substantial tax payments to the
government. In this respect, it has generated substantial private and social benefits befitting a socially
responsible company, thus EDC has contributed to local economic development.
One contribution to the local community has been the PHP100 million worth of contracts to engage
Indigenous Peoples (IPs) in Mt. Apo in various works for the company in 2016. The company’s HELEN
(Health, Education, Livelihood, and Environment) framework continues to be a good anchor for its socioeconomic
interventions in host communities. It was stressed during the stakeholder meeting that the
forests in surrounding areas of the host barangays would have been gone were in not for the presence of
EDC, which has constituted dedicated watershed and environment teams that collaborate with the host
barangays in the protection and management of those forests.
The 2016 Environmental Performance Report signals EDC’s commitment to maintain and uphold the
balance between profit, environmental integrity and inclusive growth. In the economic valuation of
ecosystem services in 2 sites, the geothermal operations produced a greater positive impact on the
environment than its negative impact (REECs 2014). The positive impacts more than outweighed the
disturbances to the environment made by EDC operations. Thus, if given monetary value such positive
impacts would be more appreciated by stakeholders who are against environmental disturbances.
Human rights, labor, indigenous peoples rights, corporate social responsibility programs and the
economic aspects of the supply chain and procurement clearly shows the Company’s progressive efforts
to promote its stakeholders’ welfare and transparency in policy and decision-making. More so, EDC is
aware of its impacts on its host IP communities and recognizes the view that conflicts, if any, would be
addressed through a grievance redress mechanism that is anchored on indigenous cultural customs and
practices. In some extent EDC has been responsive to meet the needs of the local stakeholders. High social
acceptability and trust rating scores signify the value accorded to the company. Aware of the impacts of its
power plant operations, EDC shows sensitivity to IPs stakeholder communities by observing indigenous
customs and traditions such as “pamaas” and “Allaw-o-Sandawa”. Some key officers of EDC have been
conferred with honorary tribal titles by the IPs. EDC supports the preparation of the MADAAMA’s ADSDPP.
Overall, there is evidence that EDC adheres to the principles of sustainable development as defined in the
Philippine Agenda 21 (PA 21). Likewise, the harmonization of company’s goals and vision with that of the
UN SDG is highly commendable.
D. Recommendations
The SR provides critical evidence and data on the company’s sound sustainable practices and indicates that
the company is significantly responsive to the needs of the host communities, stakeholders, investors and
policy makers. To improve further company performance in meeting its triple bottom line, we recommend
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