BDO Unibank Inc., the country’s foremost lender, has announced recently that it will be providing financial support to the Luzon Clean Water Development Corp. (LCWDC) and the Wawa Bulk Water Supply Project, two water infrastructure projects that are expected to provide a steady supply of clean water in Bulacan as well as in Metro Manila and the nearby province of Rizal.
In a statement, the bank noted that it is supporting the two projects as part of its continuing commitment to sustainability. No amount was given, however, in terms of how much each project will receive as part of BDO’s financial aid.
The LWDC, which is led by Ramon Ang of San Miguel Corp., is the MWSS concessionaire for the province of Bulacan. It was formed as part of a Public-Private Partnership Project with the national government, through the Bulacan Bulk Water Supply Project (BBWSP), in an effort to provide bulk treated water in 13 areas in the province including Balagtas, Bocaue, Bulakan, Calumpit, Guiguinto, Malolos, Marilao, Obando, Paombong, Plaridel, San Jose, Sta. Maria, and the city of Meycauayan.
It is now working on a water treatment plant and pipeline conveyance facility that is aimed at providing a steady, clean, and potable water supply in the area.
According to the MWSS, its customers in Bulacan that are now being served by the LCWDC are currently enjoying the lowest bulk water charge in the country since 2019.
“BDO has been very supportive to us in LCWDC, especially in the financing requirements of the BBWSP. Our business relationship with BDO has blossomed since we started banking with them [in] 2016, and today, it still lends support to other projects pursued by San Miguel group,” said Raoul Romulo, director of LCWDC.
Meanwhile, the P26-billion Wawa Bulk Water Supply Project of Razon’s Prime Infrastructure Capital Inc. is aimed at augmenting water supply in Metro Manila and the nearby province of Rizal. It is also designed to help address typhoon-related flooding across Metro Manila, Rizal, Marikina City, and Pasig City.
“The Razon Group has long-time dealings with BDO. We highly value our relationship with BDO and we continue to accord the bank a significant portion of our business,” said Guillaume Lucci, President and CEO of Prime Infra.
A continuing commitment to sustainability
BDO’s sustainable finance initiatives began in 2010 with the establishment of its Social and Environmental Management Systems (SEMS), a policy that was created with the assistance of the International Finance Corporation (IFC).
The SEMS eventually evolved into what is now the BDO Sustainable Finance Framework that covers social and environmental impact assessment and risk assessment, which is aligned with the Bank’s Sustainability Philosophy and Strategies, as well as the UN’s Sustainable Development Goals.
In 2010, BDO also set up the Sustainable Finance Desk, which initially focused on financing renewable energy projects but was later expanded to include all forms of sustainable practices like energy efficiency, climate-smart agriculture, green infrastructure, and clean transportation.
Last December, BDO Unibank was conferred the prestigious, “Asia’s Top Sustainability Advocates Award” at the 2021 Asia Corporate Excellence & Sustainability (ACES) Awards, an event that features the finest corporate leaders in Asia.
The award is given to companies that show genuine interest in the well-being of their stakeholders through corporate social responsibility initiatives that are integrated into policies and operations, with a high level of employee and top management involvement in community engagement, environment, and social empowerment programs.
BDO is one of the only five awardees in the region and the only bank to receive the honors.
The Sy-led bank said it will continue to finance infrastructure projects that contribute to sustainability and economic growth.
BDO Unibank recently raised $100 million through an offering of bonds, the proceeds of which were earmarked for projects promoting sustainable water resources and cleaner seas.