Corporate Responsibility

The need for electricity, fresh water and heating touches every area of modern life – this gives us considerable reach and global impact in people’s lives. We, in turn, accept a reciprocal responsibility to conduct our business with a proper concern for the world around us, particularly in the spheres upon which we have direct effects. Community support is a major focus of International Power’s corporate activities.

We play a positive role in the communities in which we operate, not because we have to but because we want to. We aim to provide local employment; support the local economy; act as a responsible neighbour and employer and contribute towards the improvement of local health and education services. The Charities and Donations Committee oversees the Group’s charitable giving. The Committee is also responsible for International Power’s Flagship Award which provides annual funding for community-based projects. These projects are nominated by staff. In addition, at a local level each of our assets has an annual fund for charitable projects in their area.

During 2006 International Power and its subsidiaries contributed £1,049,525 to charitable causes and other community projects. Companies in which we have a minority shareholding (associates and joint ventures) contributed a further £345,444.

Many of our employees demonstrate personal commitment to local community initiatives through voluntary work. The ways in which our employees contribute to these initiatives differ widely including donations of time, cash, equipment or facilities. However, each has the same aim: to make the world a better place. Where fund-raising forms part of these initiatives, employees are able to apply to the company to match any money they have raised for good causes.

As part of International Power’s charitable giving policy, key charities are nominated for a minimum of three years on a three-year rolling programme. In 2006, the decision was made to continue with Sight Savers as one of our nominated charities for another three-year period. This long-term commitment has allowed us to build a strong relationship. Sight Savers will be given an annual sum of £20,000 to fund cataract operations and train medical staff in Pakistan. In addition, we have supported the expansion of the Sight Savers eye hospital in Karachi, Pakistan, as a separate project, donating the £50,000 required to fund equipment and instruments for the clinic which deals specifically with child blindness. This clinic is now operational. Our other nominated charities continue to be CRISIS, a London-based organisation which supports the homeless, The Queen Elizabeth Foundation who provide support for the disabled through training, mobility services etc. and Wellchild, where we are part-funding the services of a community nurse, to serve the Tower Hamlets area of London, in the care of children who would otherwise have to remain in hospital. All of these charities receive £20,000 per year for a three-year period.

Our contributions

International Power’s charitable donations policy is implemented by the Corporate Charities and Donations Committee.

Our flagship projects – selected each year from nominations provided by our staff – have been running for five years. These are community projects funded annually by International Power. Flagship projects can range in size and scope, but they all have the same aim: improving quality of life in different corners of the world. The projects chosen for 2006 included the Traralgon Conservation Reserve in the Latrobe Valley, Australia, and support for the Forest Schools project in the UK. Information on these and our previous flagship projects can be found in the case studies at the bottom of the page.

The Group also responds to natural disasters in the regions in which we operate. These have included:

Hurricane Katrina: International Power plc’s US subsidiary, American National Power, Inc., made a corporate donation to the American Red Cross of US$50,000 and matched employees’ donations up to an additional US$50,000
the devastating earthquake that hit Pakistan in October 2005: Kot Addu Power Company, Hub Power Company and Uch Power Company together donated over £1 million to President Musharraf’s Relief Fund.

Case Studies:

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