Maynilad Water Services Inc. has secured a Philippine Green Equity Label after S&P Global assessed all of its 2025 revenue and 96 percent of its investments as aligned with green activities, even as the water concessionaire faces challenges from water losses, fossil-fuel use, and dependence on Angat Dam.
S&P said Maynilad’s core water supply and wastewater operations deliver environmental benefits by addressing infrastructure gaps in the West Zone of Greater Metro Manila and Cavite, including through wider service coverage and improved wastewater treatment.
But the assessment is not a blanket green stamp. S&P noted that some investments supporting Maynilad’s operations, including purchases of fossil-based electricity and fuel for vehicles, do not meet green requirements.
Water-source diversification is central to Maynilad’s five-year service improvement plan. Its New Water Initiative, which produces potable water from treated used water, is designed to strengthen supply resilience and reduce dependence on Angat Dam. The company is also expanding wastewater treatment in underserved areas to address sanitation risks.
Maynilad’s water-loss problem has improved but remains substantial. Non-revenue water fell to about 30 percent as of mid-2026, down from 66.4 percent in 2006, following investments in pipeline modernization. S&P said the level remains high compared with peers. Maynilad is targeting 25 percent by 2027 and 20 percent by 2030.
The company is also pursuing a renewable-energy transition, targeting 35 percent of its energy mix from renewables by 2037. S&P described the target as ambitious given the Philippines’ heavy reliance on fossil fuels, while noting that Maynilad’s renewable-energy share declined in 2025.
Water security remains another watchpoint. Angat is still a primary source, while planned reliance on Kaliwa Dam could diversify supply but also carries environmental and social risks, including land-use changes, biodiversity impacts, and increased energy use.
S&P stressed that its external review is not a credit rating and does not assess credit quality. It is a point-in-time assessment based on information Maynilad provides, so the designation measures green alignment, not a verdict on the company’s overall environmental performance.
