Sustainability r e p o r t - Sabesp

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Sabesp made firm progressin actions to mitigate theimpact of climate changes,such as planting roughly678,000 young treespersonnel. In order to consolidate the companywide implementation of strategicrisk management, we formalized the formation of a Risk Committee.The fifth work front was the Company’s strategic repositioning in view of thechallenges of the new regulatory framework and the Company’s expectations asregards the water and waste services and the environmental conservation. Afterthe creation of the environment and environmental management functionin 2007 and the regulatory affairs function in 2008, we formalize the newbusinesses function in 2009.This is devoted to ensuring the return on existing assets and developingenvironmentally sustainable solutions. Note, to this regard, that the publicationin 2009 of the first tender notice for the concession to private sector companiesof the right to exploit the energy potential of the Guaraú and Vertedouro CascataWater Treatment Plants, by building small hydropower plants(SHPs).Additionally, there was progress in the execution ofarrangements and agreements. Domestically, we highlightthe first loss reduction technology transfer agreement withCompanhia de Saneamento de Alagoas (CASAL), and the technical cooperationagreements with Agbar from Barcelona, Mekorot from Israel, Caesb from Brasília,and Casan from Santa Catarina.Internationally, the consortium formed by Sabesp and Latin Consult wonthe international tender bid held by Instituto de Acueductos y AlcantarilladosNacionales (IDAAN), with the support of the IADB. The consortium will operateas consultant in a rational water use program and the implementation of a newcommercial and operational management model in the central provinces ofPanama.After creating three new functions, the challenge for 2010 is strengthening theResearch, Development & Innovation (RD&I) function. The objective is to increaseour efficiency and competitiveness. This area’s highlight was the cooperationagreement entered into with the São Paulo State Research SupportFoundation (FAPESP), which provides for joint investments totaling R$50million, over a five-year period, to fund research in water and waste areas.As part of our concern for the quality of living of our employees, we implementeda partnership program with the community focused on cultural and sportsactivities. Also, Sabesp was the first state-owned company and the secondcompany in general to receive the Tobacco-Free Environment Gold Seal.We also opened the new Call Center, resulting from our concern to improvecustomer service, which will serve 10 million people, in the 328 inland and coastalcities where we operate.2009 was a year of great economic hardships, nationally and internationally.Despite the adverse scenario, we managed to maintain the level of investments.The goal for 2010 is to increase our investments by R$1.8 billion. This will requiremaintaining the cost cutting program, the optimization our asset base, decreasingeven further the revenue loss ratio by enhancing the use of existing assets, andfinding new partners.Sabesp is in the right path to materialize our strategic vision of universal waterand waste services in all the areas were we operate. In line with the guidelinesof Governor José Serra administration, we have contributed for the economic andenvironmental development of the State of São Paulo, following best corporategovernance practices.Gesner OliveiraIn 2009, we progressed in actions to mitigate the impact of climate changesby planting approximately 678,000 young trees, and reducing by 2.3 percentspecific power consumption by cubic meter of water supplied. We also expandedpartnering projects, such as the collection of frying oil in ten other cities, andthe forestation of areas around company facilities, in 13 of our business units.In the environmental management area, we highlight the implementation ofmore detailed environmental clauses in supplier contracts, and the retaining of aconsultant to implement an environmental accounting and balance sheet system.12 Relatório de Sustentabilidade 2009 13
About SabespGRI 2.1 / 2.2 / 2.3 / 2.4 / 2.5 / 2.6 / 2.7 / 2.8Sabesp (Companhia de Saneamento Básicodo Estado de São Paulo) provides sanitationservices to 366 of the 645 municipalities inthe State of São Paulo, supplies bulk water tosix permittee cities and treats sewage in fiveof them, serving, directly or indirectly, over26 million people, 67 percent of the Stateurban population.Construction of the new Peruíbe I STP.Mission “Render sanitation services, contributing for abetter life and environmental quality.”Vision “In 2018... To be recognized as the companythat managed to ensure universal competitive andsustainable sanitation services within its area ofoperation, focused on the customer, with excellence inenvironmental solutions.”1 Permittee municipalities are those where we only provide part of the services that form the entire sanitation cycle. Treated wateris sold in bulk and the City is responsible for its distribution. As regards sewage, the city collects wastewater and we treat it.Sabesp is a semi-public corporation and our main shareholder is the São PauloState Government. Sabesp went public in 1994, and in 2002 we became the firstsemi-public corporation to join the BM&FBovespa’s Novo Mercado (New Market),the highest corporate governance level segment in Brazil. In the same year, webecame a Securities and Exchange Commission (SEC) registrant, and our sharesstarted to be traded in the New York Stock Exchange (“NYSE”), in the form ofTier III American Depositary Receipts (“ADRs”). In 2007, we were included inthe BM&FBovespa’s Corporate Sustainability Index (ISE), a portfolio that includesonly companies that have a high level of commitment to sustainability and socialresponsibility, and we are until today the only water and waste company part ofthis index.We are the largest water and waste company in the Americas and the fifth largestin the world in number of customers, according to the 11th issue of the PinsentMasons Water Yearbook. Our economic value and our environmental and socialimportance are recognized in Brazil and abroad. We were included in the GlobalPact, a UN initiative that gathers the largest voluntary social responsibility groupsin the world.14 15
Page 1 and 2: Sustainabilityr e p o r t2009
Page 3 and 4: Table of ContentsTablesMessage from
Page 5 and 6: A water and sewagecompany focused o
Page 7: Sabesp is for the third consecutive
Page 11 and 12: In addition to providing basic sani
Page 13 and 14: 2009 and2010 goalsSetting goals hel
Page 15 and 16: Corporate ManagementTo be recognize
Page 17 and 18: Investmentacceleration towarduniver
Page 19 and 20: Structuring programsInvestment acce
Page 21 and 22: Metropolitan Water ProgramThis prog
Page 23 and 24: Taubaté and Tremembé have the bes
Page 25 and 26: Market consolidationand contractual
Page 27 and 28: Asset Base OptimizationThe optimiza
Page 29 and 30: ManagementmodernizationWe are under
Page 31 and 32: Profit Sharing Program (PPR)By tyin
Page 33 and 34: Some of 2009 highlights are as foll
Page 35 and 36: develop technologies and knowledge
Page 37 and 38: Some of the proposals included:•
Page 39 and 40: Alberto GoldmanMember of the Board
Page 41 and 42: Management Compensation GRI 4.5Acco
Page 43 and 44: Economic andfinancial performanceIn
Page 45 and 46: International Reconstruction and De
Page 47 and 48: Environmentit is Sabesp’sraison-d
Page 49 and 50: One of the topicsdiscussed in commi
Page 51 and 52: EN 18 Pioneering use of solar energ
Page 53 and 54: Good environmentalpracticesThrougho
Page 55 and 56: Green ITIn August 2009, we issued a
Page 57 and 58: Abraço Verde (Green Hug)The purpos
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Survey to point out priority areas
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Sabesp’s contribution to the eigh
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Ombudsman OfficeThe Ombudsman Offic
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Table 23: LA1 Number of employees b
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Sabesp Corporate University (UES)Sa
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discusses the emergency conditions
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SocialprogramsCommunity RelationsSO
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Sabesp MemoryThe former building of
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Victory of the life, health, and en
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ReportbenchmarksPeriod and limitsTh
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GRI 3.6 This report gathers the mai
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GRI G3 IndicatorPageGRI G3 Indicato
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CorporateinformationWebpage:http://
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