University of Rizal System Binangonan, Rizal Graduate School

2013 KEPCO: CSR PLAN

Submitted to: Joanne S. Concepcion, MBA

Submitted by: Jhoanna Mary E. Pescasio

October 13, 2013

Extending a helping hand to the communitieswe serve.

KEPCO PHILIPPINES 2012 CSR PLAN Introduction Interest in CSR has been growing in recent years around the globe, which is reflected in the fact that an international standard for social responsibility (ISO 26000) has been established. KEPCO believes that fulfilling its corporate social responsibilities and earning the trust of the stakeholders, who include customers, communities, shareholders, investors and business partners, provides a foundation for achieving sustainable growth. As a leading power generation company, KEPCO is laying the groundwork for sustained growth based on customer trust. Partnerships have been established with contractors and an environmentally friendly management strategy has been initiated to allow KEPCO to lead the way in low-carbon, green growth. Furthermore, various efforts have been made to improve corporate transparency. Based on the Vision and Mission of the company, KEPCO has the social responsibility to realize our corporate mission and contribute to the growth, development and sustain the stability of the society for a healthy community. CSR VISION: The company is aware as a part of the society. Always think about what the company can do for the betterment and improve the life of people through social development and advanced technology. Meet the expectation of the society, its stakeholders while putting effort in growing and building strong relationship for the good of the society as a whole. Mostly, the company contributes to the sustainability of the society. CSR Mission: Having minimal impact on the natural environment. Enabling local communities to develop their potential. Empowering employees to be responsible civil society members. Committing ourselves to ethical business practices that are fair to all the stakeholders.

CSR Action Principles: 1. 2. 3. 4. 5. Safe stable delivery of products and services. Progressive approach to environmental problems. Proactive contribution to development of local communities. Respect for human rights, development of favorable work environments Highly transparent and open business activity and strict compliance

AIMS AND OBJECTIVES: As a responsible corporate entity, KEPCO will consistently strive for opportunities to meet the expectation of its stake holders by pursuing the concept of sustainable development with focus on the following: To facilitate demonstration of commercially viable rural electricity delivery models with appropriate intervention and support on a selective basis such that they can be replicated elsewhere. Promotion of rural enterprise and livelihood including skill development and training. Providing development support to common facility centers / production centers in rural areas. Promotion and development of rural technologies for micro enterprise promotion. Making sustained efforts for environmental preservation. Promotion of sports and games. Undertaking relevant community development programs. Supporting initiatives of vocational, technical and higher education to the most disadvantaged and marginalized section of the society. To be a part of national/local initiatives to provide relief / rehabilitation in times of natural disaster/ calamities To encourage excellence in young Filipino champion achievers and promote talent in all fields including education, sports, art and culture etc.

Contributing to the improvement of the lives of the Filipinos is, in itself, a noble rearward

KEPCO CSR PROGRAM: Electrification (Barangay Electrification Project) The company provides the production and delivery of electric energy, often known as power, or electricity, in sufficient quantities to areas that need electricity through a grid connection. The grid distributes electrical energy to customers. Electric power is generated by central power stations or by distributed generation. The aim operation of the company is not just aims to earn pennies and enrich the company alone, but we are committed to extend our product and service to Filipinos whos unfortunate to experience the real power of electricity which became major necessities of man. The project was created in response to the invitation of the government through Department of Energys (DOE) O-Ilaw Program. In line with this, the company has been actively providing electricity to remote barangays and still commits itself to electrify at least 500 barangays. To execute the project, the company signed a MOA with DOE that eyeing a realization of 100% rural electrification goal in the country.

Environment (Power Plant Campaign) KEPCO aims to highlight the efforts and actions in reducing the environmental footprint of the company operations, designing environmental efficiencies and innovations into its products and services as well as delivering solutions that enable our customers to significantly improve the management of their environmental impacts. We also engage our value chain in sustainable product manufacturing processes. We believe that environmental sustainability includes looking for innovative solutions that transform the way people interact with the environment. Fundamental to our approach is the belief that the business can play an enabling role in the global response to todays environmental challenges. The following are the environmental campaigns and activities of the company: 1. Sibol Project. The project aims to plat at least 10,000 trees in different variant, 10,000 mangroves in 100 key areas around the Philippines and surrounds its thermal plant in Ilijan, Batangas. 2. Coral Reef Rehabilitation. The program intends to restore, cultivate, boost and protect the coral reef of Ilijan, Batangas where the thermal plant of the company is located. 3. Community Based Garbage Management Training. The training means to educate the community of Rizal, Batangas and Cebu on how to manage their garbage, establish a home based Material Recovery Facility (MRF). Its function is to maximize the quantity of recyclables processed, while producing materials that will generate the highest possible revenues in the market. MRFs can also function to process wastes into a feedstock for biological conversion or into a fuel source for the production of energy. MRFs serve as an intermediate processing step between the collection of recyclable materials from waste generators and the sale of recyclable materials to markets for use in making new products. There are basically four components of a MRF facility. 4. Eco-visit to various schools. The activity is in partner with different schools that will facilitate various contests in sponsorship of the company. The contests are, Miss Marilag 2013, Art Making and Essay Contest and Best MRF Plan. Binibining Luntian 2013. The schools need representative and compete with other schools for the crown, however, unlike the traditional money contest, the said activity will not used money to win the title but recyclable materials like bottles, deserted gadgets, newspaper or scratch and others. Thus, more recyclable materials, more chance of winning as they said.

Art Making and Essay Contest. Each school can have two representatives for each category and the theme for the contest is all about how to protect eh environment and how power plant improve the lives of people without sacrificing the environment where people live. Best MRF Plan. Since one of the activity or program that the company is into is the building of MRF the contest can be a means in discovery on how to sort, process, load-out, used and market waste products. It likewise promotes efficient and effective operation for recycling program. Improving the life of each and every Juan Corporate have Social Responsibility (CSR) targets to help improve community living. In KEPCO though the corporate understand its accountability towards the society and are willing to take initiatives for the betterment, it becomes difficult for the latter to reach the grassroots level. Corporate Social Responsibility (CSR) has acquired new dimensions in the recent years. Today, company is proactively taking up this good hearted investment and giving a social value to its business endeavor. We are investing not to market our product and to brand our company, but to extent what God has given to us and share the blessing of trust that the community end to the company. Thus, for these reason various activities are set and plan to nurture the lives of any people for a healthy community. 1. Kaway Kawayan. The project is to establish the good and use of Kawayan as a means of income generating program. This project will introduce the community to bamboo production as a means for economic diversification and incomegeneration. In addition, these positive outcomes will be tied to conservation of the nearby forest. As part of this project, KEPCO will: Partner with local builders who will learn improved building techniques through the construction of a modern greenhouse; Train 25 individual farmers on the cultivation of bamboo; Train 100 women in the bamboo handicraft production; Execute a series of community workshops to increase conservation awareness; and, Implement management infrastructure that will allow the community to self-manage and sustain the project far into the future. 2. Little Farmville. The program will focus on educating the people of Rizal on how to raise hog, chicken, goat as well as planting basic crops as a means on income for less fortunate. The objective of the program is to develop income generating livelihood programs that will elevate their life, give them opportunity to enhance their capabilities and confidence to engage in entrepreneurial activities. Likewise, small amount of capital will be lent to the trainees who will undergo the training

to start the implementation of the knowledge that the company imparted to them.

3. Skilled AKO Project. This project is intended to train and educate men of chosen town in Rizal to undergo training in basic mechanical, automobile, computer and cell phone repair. This training will make men of the province to be more independent and a good provider of the family. This undertaking will hold in 6 months every Saturdays and Sundays. Health is Wealth As a member of todays rapidly changing global community, we are striving to adapt to the evolving needs of society and contribute to the overall health and wellness of our world. We are continually reviewing and improving our efforts to lessen our impact on the environment, nurture a workplace of diversity and inclusion, conduct responsible business practices, and uphold the highest ethical standards in everything from research and development to sales and marketing. And, we are building partnerships in communities throughout the world to strengthen health systems, increase access to our medicines and find sustainable solutions to the health challenges of today, and tomorrow. 1. School Health Program (Isang Milyong Sepilyo) Childhood is the age of learning and it is the time when a child start developing practices and attitude towards health. It is very important to target the children for oral health awareness and demonstration of correct methods for oral hygiene. School is considered as place for learning where children learn not only subjective knowledge but also life style practices and health seeking behaviors. It has been proven that schools can provide an ideal platform for the promotion of oral health. At the global level, approximately 80% of children attend primary schools and 60% complete at least four years of education, with wide variation between countries and gender. They can be nurtured well for their general and oral health and can very well be implemented effectively. The project focuses on oral hygiene of children in Naga, Cebu with approximately one million pupils in grade school. The same educate these kids in helping them to understand the good result of good oral hygiene, its benefits to them and likewise in detecting early oral diseases. 2. Medical Mission KEPCO goes beyond the boundaries of their property in promoting a sense of camaraderie. The company also reaches out to their neighbors outside of their walls, and

engages in projects that establish their developments as part of a bigger community. The company worked in conjunction with local municipal and various hospital and medical practitioners in Naga, Pililla and Ilijan in conducting medical checkup and distributing vitamins to toddlers. The medical services offered during the day were: free medical consultation, free ECG those 35 years old and above, a health and wellness lecture, which covered topics like personal hygiene, proper nutrition, first aid treatment, and medical conditions like asthma, skin diseases, heart disease, and diabetes. A nutritious feeding activity was also done for the younger recipients while free medicines (appropriate for patients sickness) and free multi-vitamins were given away.

Education (Edukasyon Para sa Lahat)

1.

Podcast Education

As corporate social responsibility takes hold, big business is increasingly becoming part of the solution rather than the cause of the problem. From cleaning up their own act to taking proactive steps to help others, companies are stepping up to do more than just make money. In these Social Innovation Conversations educational podcasts, learn what businesses are doing to improve our world by investing in local communities, improving labor practices, greening supply chains, and generally giving back. Get inspired about how you can turn your company into a force for corporate social responsibility in big and small ways. This podcast intend and design for young professional who wants to enter in graduate studies but due to lack of resources like time, financial aspect and other concerns, the company in cooperation with local IT industry offer free downloadable audio program to listen. The podcasts includes learning materials that includes in graduate studies curriculum. The good thing in here is they just listen with the podcasts during travel or during break and take note of important details and thats it, its a pus factor in preparing them in entering in a traditional school.
2.

E- Schooling

The E- Schooling project was planned and mean for students in public school in Naga who are less fortunate to reach the advancement of todays era. Nowadays, people live in fast phasing activities and we are now advanced and looking forward to a new environment in IT world. Thus, KEPCO dont want Filipino children to be left behind, we are committed in introducing them the new trends in nows world. One of the activities is

to introduce to these students computer world, equipped them with its use and makes them literate with computer application. The free training will be conducted during Saturdays in one educational facility that KEPCO also planned to build.
3.

Bahay Paaralan, Buhay Edukasyon Project.

This project relates to building an educational facility in Naga wherein all educational paraphernalia and materials are available to the students and to those who want to be a student again. Includes in the plan are library, educational rooms, computer room, speech room and art room. The goal of the project to build an educational institution that will be a material to students in their educational needs. Also, it aims to provide conducive rooms for those who want to focus on their lessons.

4.

Iskolar AKO.

This program is open to college students who will decides to take Engineering courses, the company priority is to provide support to students in Ilijan whose inclination is in engineering. Since the company is into Power Generation, it believes that its not only financial support and moral likewise that they can offer but a good training, hands- on and virtual education for these students to have a good chance in undertaking summer training in the plant. The program is full educational support, from tuition fees up to educational materials and monthly allowances as long s they will maintain good grades and shows passion not only in academe but also I community. So the company expects to these scholars to be someone who socially aware and who initiates for the good of his or her community.