quality and safety of products and servicesquality and safety of products and services it involves...
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Quality and safetyof products
and services
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Quality and safety of products and services
It involves meeting the expectations of customers and users, as well as the quality-oriented regulatory and control requirements, the service continuity and safety, and other aspects related to the commercial offer.
It refers to the technical and commercial characteristics necessary to meet the expectations of customers and users, as well as the regulatory and control requirements. This topic includes service quality, continuity, and safety, as well as aspects related to assistance, education, communication, customer satisfaction, and corporate reputation.
Relevance
Economic value is associated with the objective of process optimization - basis of the competitiveness of the group’s businesses - and quality to satisfy customers and users requirements. Regarding social value, product quality has an impact on quality of life and human development, while safety protects the life and health of the individuals that make up the stakeholders.
Main achievements
Matter Goals Company Achievements Accomplishment
Water quality.
Keep the Water Quality Risk Index (WQRI) below 5%, in order to preserve users’ health.
EPM The WQRI was 0.12% in 2018.
TotalAguas de Malambo The WQRI was 0.5% in 2018.
Aguas Regionales The WQRI was 0.07% in 2018.
Aguas del Oriente Antioqueño
The WQRI was 0.2% in 2018.
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Matter Goals Company Achievements Accomplishment
Continuity of the water service.
Achieve an index of continuity of the water service based on the expected percentage indicated for each company:
EPM: 99.70%.The service continuity index in2018 was 99.89%.
Total
Aguas de Malambo: 52%.
The service continuity index in 2018 was 38.77%.
Not accomplished
Aguas Regionales - Urabá region: 99.22%.
The service continuity index in 2018 was 89.1%.
Not accomplished
Aguas del Oriente Antioqueño: 99.7%.
The service continuity index in 2018 was 99.94%.
Total
Increase the amount of hours of the water supply to 18 hours in the sectors supplied by the El Tesoro plant.
Aguas de Malambo.
An average of 9.39 hours of water supply was reached, with 5 subcircuits in 24 hours and 6 subcircuits in 12 hours, in the sectors supplied by the plant. A loss control program was implemented, micrometers were installed, and a new operating plan was started by macrosectors, in order to manage the increase in continuity and the reduction of losses.
Not accomplished
Water loss management.
Reduce the Water Loss Rate per Billed User (LRBU) (m3 /billed user) to the following values for each company:
EPM: 6.1. The LRBU was 6.05% in 2018. Total
Aguas de Malambo: 16.33.
The LRBU was 17.22% in 2018.Not
accomplished
Aguas Regionales - Urabá region: 12.32.
The LRBU was 10.89% in 2018.Total
Aguas del Oriente Antioqueño: 4.
The LRBU was 2.87% in 2018.
Quality and continuity of the electricityservice.
Reach the following values in the indicators of quality and continuity of the energy service:
EPM: SAIDI 14.71 / SAIFI 10.80.
The SAIDI target changed to 15.42.A value of 14.72 was reached as of December.The SAIFI target changed to 8.0.A value of 6.67 was reached as of December.
Total
CENS: SAIDI 31.25 / SAIFI 14.28.
The SAIDI target changed to 33.6.A value of 26.95 was reached as of December.The SAIFI target changed to 9.6.A value of 10.53 was reached as of December.
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Matter Goals Company Achievements Accomplishment
Quality and continuity of the electricity service.
Reach the following values in the indicators of quality and continuity of the energy service:
ESSA: SAIDI 30.97 / SAIFI 20.50.
The SAIDI target changed to 27.99. A value of 25.34 was reached as of December.The SAIFI target changed to 17.45. A value of 16.80 was reached as of December.
Total
EDEQ: SAIDI 8.94 / SAIFI 21.79.
The SAIDI target changed to 8.46. Implementation of the SAIDI target as of July: 7.59.The SAIFI target changed to 10.69.Implementation of the SAIFI target as of July: 6.63.
CHEC: SAIDI 26.13 / SAIFI 26.85.
The SAIDI target changed to 8.46. A value of 8.12 was reached as of December.The SAIFI target changed to 10.69. A value of 5.73 was reached as of December.
ENSA: SAIDI 13.97 / SAIFI 6.49.
A SAIDI value of 12.70 was reached as of December.A SAIFI value of 7.42 was reached as of December.
Delsur: SAIDI 16.49 / SAIFI 8.41.
A SAIDI value of 12.70 was reached as of December.A SAIFI value of 7.42 was reached as of December.
Eegsa: SAIDI 3.75 / SAIFI 2.43.
A SAIDI value of 3.97 was reached as of December.A SAIFI value of 2.70 was reached as of December.
Replacement projects:55 km of network.
CENS
During 2018, networks were changed due to replacement projects, implementing 30.58 km of primary distribution networks and 51.95 km of secondary distribution networks, for a total of 82.53 km.
Total
Reduce FMIK (average interruption frequency per KV) and TTIK (total interruption time per KVA) quality indicators by 1%.
Eegsa
2018 goal: TTIK: 3,077 hours, FMIK: 2,187 times.2018 result: TTIK: 3,159 hours, FMIK: 2,440 times.
Partial
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Matter Goals Company Achievements Accomplishment
Gas and energy loss management.
Achieve the targets defined for the energy loss (%) and recovery (GWh) rate of the network operator:
EPM: 7.31% - 90.96 GWh.
The target changed to 6.98.A value of 7.35% was reached as of December.Accumulated recovered energy from 2015 to August 2018 target: 207.64 GWh. Accumulated recovered energy from 2015 to August 2018 implementation: 296.59 GWh.
Not accomplished
CENS: 12.46% - 15.69 GWh.
The target changed to 12.8.A value of 12.83% was reached as of December, accomplishing 99.74% of the target.Accumulated recovered energy from 2015 to August 2018 target: 83.26 GWh.Accumulated recovered energy from 2015 to August 2018 implementation: 103.40 GWh.
Total
ESSA: 11.28% - 30.0 GWh.
A value of 11.65% was reached as of December.Accumulated recovered energy from 2015 to August 2018 target: 105.63 GWh. Accumulated recovered energy from 2015 to August 2018 implementation: 149.31 GWh.
EDEQ: 8.43% - 1.33 GWh.
The target changed to 8.46.A value of 8.12 was reached as of December.The target changed to 10.69.A value of 5.73 was reached as of December.
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Matter Goals Company Achievements Accomplishment
Gas and energy loss management.
Achieve the targets defined for the energy loss (%) and recovery (GWh) rate of the network operator:
CHEC: 8.35% - 10.45 GWh.
A value of 8.71% was reached as of December, accomplishing 96% of the target.Accumulated recovered energy from 2015 to August 2018 target: 22.34 GWh.Accumulated recovered energy from 2015 to August 2018 implementation: 24.63 GWh.
Total
ENSA: 10.85% - 15.7 GWh.
A value of 11.37% was reached as of December.
Delsur: 8.46%.A value of 8.65% was reached as of December.
Eegsa: 4.68%.A value of 4.52% was reached as of December.
Establishment of working groups for substandard human settlements.
EDEQ
44 working groups were held between EDEQ and the municipal administrations, exceeding the proposed target. This led to a closer relationship with the municipal administrations of La Tebaida, Montenegro, Quimbaya, Calarcá, and Armenia, in order to implement the Working groups program and jointly validate the information related to substandard human settlements.
Total
Implement the EDEQ te visita (EDEQ visits you) program to legalize the service of users in substandard settlements: 2,500 customers visited.
EDEQ
The EDEQ te visita (EDEQ visits you) program was taken to the following substandard settlements: Altos de Monserrate (Armenia), La Olla (Quimbaya), and El Golfo (Montenegro), as well as the Habilitación Viviendas (Habitable Homes) program, legalizing the energy service in 2 settlements.100% of the proposed target was met (2 settlements with the legalized energy service, and 3 were executed).
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Matter Goals Company Achievements Accomplishment
Gas and energy loss management.
Maintain the gas loss rate below 3.3.
EPM
The result was 4.7%, given the sustained increase in the level of losses in the first months of the year, giving the indicator an effect of inertia, since it is a 12-month moving average.It was inferred that losses occur at the level of the polyethylene network, where control is difficult due to the number of exit points and the lack of concentration meters.As a strategy, it was defined to strengthen the control of fraud and anomalies, especially in addressing activities through the Ri-Hana tool.
Not accomplished
Continuity of the sanitation service.
Achieve a solid waste compaction density rate above 1.05 t/m3.
EmvariasA compaction density average rate of 1.10 t/m3 was achieved, exceeding the target set.
Total
Increase the secondary treatment capacity of the leachate treatment plant from 4l/s to 8 l/s.
Emvarias
The percentage of progress of the physical work was 76%. It is estimated that, in April 2019, the operation of Phase I and Phase II will be achieved, reaching the 8 l/s established as the target.
Partial
Safety in the provision of the service.
Develop awareness workshops on electrical accident prevention in 35 public schools and 20 public or private institutions, emphasizing the importance of respecting the minimum distances.
Eegsa
More than 6,774 children; 20 municipalities; construction companies and their suppliers; educational centers; and public entities were reached. Target achieved: 1,314 people.
Total
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Matter Goals Company Achievements Accomplishment
Education for and communication with customers, users, and the community.
Ensure that the families in the community supply line of the Unidos por el Agua (United for Water) program have a maximum consumption of 20 m3 of water per month.
EPMAn average maximum consumption of 19.6 m3 of water was achieved.
Partial
Educational strategies in responsible consumption: 1. Home visits.2. Educational events.3. Leadership school.4. Cuidamundos (World’s protector) project.5. Education in localities.6. Education with the business segment.7. Education with the government segment.8. Social support in energy losses.• 60,000 people reached.
CENS
In 2018, educational strategies were implemented such as: Conoce tu consumo (Calculate your consumption), educational events, leadership school, leaders meeting, encouragement of citizen participation through control spokespersons, allies for Progress seminars, user training via CENS locations, institutional closeness, education for businesses, trainings for the new bill, social support to the energy losses program, and energy tournament.Results 75,058 people reached.
Total
Iluminando mi Comunidad (Illuminating my Community) program: Raise awareness and educate 5,000 people, and carry out 100 annual visits to the communities of the concession area on issues of electric energy efficiency, meter reading, service billing, and customer servicechannels.
Eegsa100% compliance. 100 visits and 75,058 people reached through the program.
Total
Note: For some 2018 targets such as SAIDI and SAIFI, the target was adjusted due to regulatory reasons.
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Challenges
ChallengeYear in
which it is achieved
Scope and coverage Achievement indicator
Territory Business Company
Achieve a maximum water consumption of 18 m3 per month for families in the Unidos por el agua (United for water) community supply line.
2019Colombia- Antioquia
Water and sanitation
EPMm3 of water consumed per month.
Reduce the loss rate per billed user (m3 per billed user) to the following values for each company:
EPM: 6.72Aguas de Malambo: 14.95 Aguas del Oriente: 4Aguas Regionales – Urabá: 12.92
2019Colombia- Antioquia
Water and sanitation
Grupo EPM
IPUF (Loss Rate per Billed User m3/ billed user).
Achieve a Water Supply Continuity Index (abbreviated ICTAC in Spanish) for each affiliate according to the established values:
EPM: 99.7%Aguas de Malambo: 68% Aguas del Oriente: 99.7%Aguas Regionales – Urabá: 95.19%
2019 Colombia Water and sanitation
Grupo EPM
ICTAC
100% continuity in sweeping and cleaning.
2019Colombia- Antioquia
Water and sanitation
EmvariasContinuity in sweeping and cleaning.
Reach the goals set for the network operator’s loss (%) and energy recovery (GWh) indicator:
EPM: 6.97%CENS: 12.20% – 15 GWhESSA: 11.63% – 86.78 GWhCHEC: 8.27% – 12.97 GWh
2019 Colombia Power - T&DGrupo EPM
Index of losses of the network operator and recovered energy.
Achieve the following values in the indicators of quality and continuity of the energy service:
EPM: SAIDI 13.75 / SAIFI 8ESSA: SAIDI 25.75 / SAIFI 16.06CENS: SAIDI 30.6 / SAIFI 9.3
2019 Colombia Power - T&DGrupo EPM
SAIDI and SAIFI indicators.
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ChallengeYear in
which it is achieved
Scope and coverage Achievement indicator
Territory Business Company
Replacement projects:Build 267.6 km of network. 6,448 poles.
2019Colombia- Norte de
SantanderPower - T&D CENS
• km of network per expansion.
• Number of poles per expansion.
Commissioning of:• Campo Dos substation at 34.5 / 13.8 kV.• Gamarra substation at 34.5 / 13.8 kV.• Completion of the 115 kV Ocaña -
Convención transmission line.
2019Colombia- Norte de
SantanderPower - T&D CENS
Commissioning of substations and lines.
Transfer of 100% of the families to the lines of Ocaña –Convención and Variante Belén – Ínsula.
2019Colombia- Norte de
SantanderPower - T&D CENS
No. of families transferred / No. of families to be transferred.
Implement the electronic billing. 2019 Panamá Power - T&D ENSA
Number of customers who choose to adhere to the electronic billing system.
Educational talks to more than 500 rural users on theft of home networks.
2019 Panamá Power - T&D ENSANumber of trained users / Number of scheduled users.
Continue educational strategies, including educational activities in customer service rooms:People served: 70,000.
2019Colombia- Norte de
SantanderPower - T&D CENS
• Number of educational strategies implemented.
• Number of people served.
Develop 20 intensive engagement programs with territorially cohesive customer communities to discuss issues related to residential public utilities.
2019Colombia- Antioquia
All the businesses
EPMNumber of programs implemented.
Raise awareness of safe use of utilities among 10,000 people.
2019Colombia- Antioquia
All the businesses
EPMNumber of people trained.
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ChallengeYear in
which it is achieved
Scope and coverage Achievement indicatorTerritory Business Company
Install six theftproof networks in the company’s area of operation in high-risk communities.
2019 El Salvador Power - T&D DelsurNumber of networks installed / number of networks.
Related stakeholders
Customers and users Community
Actions
• Quality and continuity of service• Training and communication to customers, users, and community• Loss management• Customer satisfaction• Safety in the provision of service• Customer service
GRI standards disclosures and EPM indicators
103-1 Explanation of the material topic and its boundary. 103-2 Management approach and its components. 103-3 Evaluation of the management approach.416-2 Incidents of non-compliance concerning the health and safety impacts of products and services.417-3 Incidents of non-compliance concerning marketing communications.418-1 Substantiated complaints concerning breaches of customer privacy and loss of customer data.419-1 Non-compliance with laws and regulations in the social and economic areas.EU25 Number of injuries and deaths involving the organization’s assets, including legal sentences, settlements, and pending legal cases of diseases.EU28 Power outage frequency. EU29 Average power outage duration. EPM-03 Loss rate.EPM-04 Customer service channels.EPM-05 Complaints.
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Scope and coverage
BusinessesWater supply Sanitation Electrical energy Gas
TerritoryColombia – AntioquiaColombia – CaldasColombia – QuindíoColombia – RisaraldaColombia – SantanderColombia – Norte de SantanderColombia – Malambo, AtlánticoChileEl SalvadorGuatemalaMexicoPanama
CompaniesEmpresas Públicas de Medellín - EPMAguas Regionales EPMEmpresa de Aguas del Oriente AntioqueñoEmpresas Públicas de Rionegro - EPRioAguas de MalamboCentral Hidroeléctrica de Caldas - CHECElectrificadora de Santander - ESSAEmpresa de Energía del Quindío - EDEQCentrales Eléctricas del Norte de Santander - CENSDistribuidora de Electricidad del Sur - DelsurEmpresa Eléctrica de Guatemala - EegsaElektra Noreste - ENSAAguas de Antofagasta - AdasaTecnología Intercontinental -TicsaEmpresas Varias de Medellín - Emvarias
Sustainable development goals
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Quality and continuity of service
Service quality comprises technical and commercial characteristics inherent to its provision. They must meet the expectations of users and the requirements of regulatory and control entities.
Continuity refers to how long the user has had the service.
Management in 2018
Providing a service of quality and continuity is fundamental for EPM. For this reason, the actions implemented during 2018 achieved the following results:
Grupo EPM reported a decrease of nearly 11% with respect to the previous year in the average Water Quality Risk Index (abbreviated IRCA in Spanish). Thus, it stood at 0.17%, which is significantly lower than the legal maximum of 5%; this guarantees that water supply is safe for human consumption. Similarly, the organization achieved decreases close to 8% and 7% in the SAIDI and SAIFI indicators, in which the companies EPM, CHEC, ESSA and Delsur were notable.
Committed to delivering water, energy, and gas utilities based on the pillars of quality and continuity, Grupo EPM carried out the following initiatives in 2018:
In the western region of the department, in the municipality of Santa Fe de Antioquia, an on-site chlorine generator was installed to improve water treatment and disinfection processes. In the eastern region, EPM supported and monitored the group’s new affiliate, EPRio, during the year regarding the fulfillment of water quality goals: color, odor, and taste parameters were achieved in drinking water.
In the Emvarias affiliate, 100% continuity was maintained in the provision of final waste disposal service. In addition, compaction densities of 1.10 t/m3 were obtained in La Pradera landfill, which is higher than the 1.00 t/ m3 stipulated. Furthermore, 13,673 tons of CO2 were avoided thanks to the use of gas-powered vehicles. The construction of phase II of the leachate treatment plant is noteworthy. It has removals over 90% in terms of physicochemical and biological parameters.
Moreover, Aguas de Malambo affiliate (department of Atlántico) implemented the new operational plan that seeks to increase service continuity and reduce the level of losses.
With respect to the energy utility, a national quality plan was launched with the purpose of meeting service quality standards. This plan involves additional pruning and maintenance activities for critical circuits, as well as improving the substation maintenance indicator through a continuity, contingency, and recovery plan.
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EPM’s gas utility recorded 100% fulfillment of the Equivalent Length of Service Interruption indicator (abbreviated DES in Spanish), Index of Delivery Pressure in Individual Pipelines (abbreviated IPLI in Spanish), and Odorization Index (abbreviated IO in Spanish).
Continuity of water supply service – Grupo EPM
Company 2016 2017 2018
National companies
EPM 99.9% 99.94% 99.89%
Aguas del Oriente 99.8% 99.8% 99.94%
Aguas Regionales* 92.00% 93.66% 89.1%
Aguas de Malambo 26.9% 30.7% 38.77%
EPRio ND 98% 99.92%
Emvarias – Continuity in collection and sweeping 100% 100% 100%
International companies
Ticsa 99.53% 99.47% 97.30%
Adasa 97.64% 98.13% 98.99%Source: Vice Presidency of Water and Sanitation.
*Aguas Regionales includes the western and Urabá regions.
Water Quality Risk Index (abbreviated IRCA in Spanish)
Company 2016 2017 2018
EPM
Medellín 0.07% 0.07% 0.08%
Copacabana 0.09% 0.05% 0.17%
Girardota 0.00% 0.02% 0.15%
La Estrella 0.09% 0.12% 0.11%
Caldas 0.20% 0.47% 0.29%
Barbosa 0.23% 0.40% 0.33%
Sabaneta 0.33% 0.27% 0.27%
Envigado 0.07% 0.14% 0.13%
Bello 0.05% 0.06% 0.10%
Itagüí 0.04% 0.07% 0.10%
Aguas del Oriente
El Retiro 0.64% 1.04% 0.20%
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IRCA
Company 2016 2017 2018
Aguas Regionales
Sopetrán 0.31% 0.00% 0.22%
San Jerónimo 0.00% 0.00% 0.31%
Santa Fe de Antioquia 0.15% 0.00% 0.18%
Olaya 0.50% 0.00% 0.00%
Apartadó 0.00% 0.00% 0.00%
Turbo 0.60% 0.16% 0.08%
Chigorodó 0.00% 0.00% 0.04%
Carepa 0.00% 0.00% 0.05%
Mutatá 0.00% 0.00% 0.00%
El Reposo 0.00% 0.00% 0.00%
Bajirá 0.00% 0.00% 0.32%
Aguas de Malambo
Malambo 0.00% 0.00% 0.50%
EPRio 0.06% 1.57% 0.34%Source: Vice Presidency of Water and Sanitation.
Quality and continuity of energy – Grupo EPM
Company 2016 2017* 2018
National companies
EPM distribution
SAIDI 14.71 17.08 14.72
SAIFI 7.59 7.21 6.67
CHEC
SAIDI 31.73 33.74 29.57
SAIFI 26.47 27.29 24.61
ESSA
SAIDI 32.85 28.82 25.34
SAIFI 21.17 18.69 16.80
CENS
SAIDI 40.02 28.65 26.96
SAIFI 10.57 9.76 10.53
EDEQ
SAIDI 8.89 8.67 8.12
SAIFI 12.62 11.97 5.73
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Quality and continuity of energy – Grupo EPM
Company 2016 2017* 2018
International companies
Delsur
SAIDI 22.93 18.22 15.60
SAIFI 11.50 9.04 7.96
Eegsa
SAIDI 3.59 3.75 3.97
SAIFI 2.46 2.43 2.70
ENSA
SAIDI 15.44 13.23 12.70
SAIFI 7.36 6.21 7.42
Source: Vice Presidency of Power Transmission and Distribution.
* For Colombian companies, the 2017 figures were updated due to the fact that the indicator had been calculated excluding interruptions less
than or equal to 1 minute, as foreseen in the project of CREG Resolution 176 of 2016. Since that resolution was not definitive, the figures were
recalculated excluding interruptions less than or equal to 3 minutes, according to CREG Resolution 015 of 2018.
System Average Interruption Duration Index (SAIDI) (total interruption time –in hours– that the average system user was deprived of electricity
supply in the evaluated period).
System Average Interruption Frequency Index (SAIFI) (number of times an average system user experiences an interruption in electrical service
in the evaluated period).
Continuity of gas service – EPM
Indicator 2016 2017 2018
Index of Delivery Pressure in Individual Pipelines (abbreviated IPLI in Spanish)
100% 100% 100%
Odorization index (abbreviated IO in Spanish) 100% 100% 100%
DES 0 0 0Source: Vice Presidency of Gas.
GRI standards disclosures and EPM indicators
EU28 Power outage frequency.EU29 Average power outage duration.
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Scope and coverage
BusinessesWater supply Sanitation Electrical energy Gas
Territory Colombia – AntioquiaColombia – CaldasColombia – QuindíoColombia – RisaraldaColombia – SantanderColombia – Norte de SantanderColombia – Malambo, AtlánticoChileEl SalvadorGuatemalaPanamaMexico
CompaniesEmpresas Públicas de Medellín - EPMAguas Regionales EPMEmpresa de Aguas del Oriente AntioqueñoEmpresas Públicas de Rionegro - EPRioAguas de MalamboEmpresas Varias de Medellín - EmvariasCentral Hidroeléctrica de Caldas - CHECElectrificadora de Santander - ESSAEmpresa de Energía del Quindío - EDEQCentrales Eléctricas del Norte de Santander - CENSDistribuidora de Electricidad del Sur - DelsurEmpresa Eléctrica de Guatemala - EegsaEPM ChileTecnología Intercontinental -TicsaElektra Noreste - ENSAAguas de Antofagasta - Adasa
Objetivos de Desarrollo Sostenible
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Education for and communication with customers, users, and the community
As part of corporate social responsibility, communication with customers is handled through educational communication, marketing communication, and communication due to scheduled suspensions. Educational communication regarding residential public utilities is developed by Grupo EPM through awareness-raising, information, and training activities, using engagement tools based on knowledge of, recognition of, and respect for our communities, their cultural aspects, and everyday spaces, establishing the necessary partnerships with external entities as well as institutional and community leaders. Communication due to suspensions aims at minimizing inconveniences as a result of scheduled disconnections of services. Marketing communication includes different strategies such as advertising, sponsorship, sales promotion, public relations, among others, seeking to position Grupo EPM’s brand, its services, and the different offers concerning purchasability and access.
Management in 2018
Concerning the activities of engagement and education, with which the group seeks to strengthen the relationship of trust with the customers and users stakeholders through close work with the community, Grupo EPM established contact with more than 601,000 people in the country during the year.
The Por ti estamos ahí (We are there for you) program allowed EPM to have a conversation with 159,000 people at the national level about the provision of residential public utilities. 42 of these programs were advanced in the territories of the group’s affiliated companies, benefiting more than 110,000 people. Through the Lectura a tu medida (Reading at your measure) program, the group made progress in conversations with 250,000 people to help them achieve a better understanding of the bill and the fees. In the affiliated companies, through the Conoce tus consumos (Calculate your consumption) program, 28,000 people were benefited.
As support to the social and educational work of the Unidos por el agua (United for water) program, the group established bonds of trust with the leaders and communities of the benefited territories in Medellín and interacted with more than 9,000 people. This management leveraged the fulfillment of the program goals for this year.
Through the Cuidamundos en tu colegio (World’s protector in your school) program, the organization has more than 72,000 students, 43,000 of them in the regions where the group’s affiliated companies operate. This program seeks to encourage care for the environment and promote the proper use of public utilities, which implies inspiring closeness and trust with future customers and users.
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With the business segments of the market, strategies were also developed to support commercial offers and consolidate strategic alliances. During the year, the group held 29 seminars in Colombia addressed to the government segment, with the participation of more than 1,000 public servants from 45 administrations or government institutions. Likewise, the group completed 36 business approach programs—academic and regulatory meetings and events among them (with the participation of 27 companies)—academic advice to 300 industrial customers, awareness campaigns on energy efficiency with 586 small businesses, and 15 visits to plants. ESSA, EDEQ, and CENS stand out for the business approach activities that they conducted in their regions, fulfilling, by more than 100%, their engagement plans.
In the construction sector, 1,841 projects were supported at the national level and 23,117 new homes were connected to the public utilities. Similarly, the organization conducted 31 informative events and 43 training sessions on the acquisition and use of public utilities.
Emvarias carried out different activities as part of the Civic Culture on Cleaning program: the Linda Calle project and the play called Un día en el corazón de mi ciudad (One day in the heart of my city) with the institutional characters, Linda Calle and Pepe; they were in various stages with 100 performances and 30 workshops in 70 educational institutions, 16 companies, six hospitals, and approximately 39 neighborhoods (community action boards, parks, and residential units). Social projects were also executed, with the participation of 23,000 people, including children and adults.
As part of the community interventions, 25,000 people were benefited with door-to-door visits to raise awareness, environmental fairs, and institutional integrations, without leaving aside the city beautification activities with the recovery of 50 critical points where the communities were empowered and integrated to care for the environment, protect it, and keep it clean.
The Festival Buen Comienzo (Good Start Festival) registered the participation of more than 15,000 children in the ludic and educational experience offered by Emvarias in this city event that brought together nearly 100,000 people, including adults and children.
In the Civic Culture on Cleaning component, the affiliated company has different strategies that seek to promote the proper management of solid waste by citizens in Medellin, specifically to encourage waste reclamation with the Ruta recicla (Recycling road). This project operates in the comuna 14, El Poblado, since November 2017 with residents, storekeepers, industries, and schools to deliver the reclaimable material to Ruta recicla that runs from Monday to Saturday.
Scope and coverage
BusinessesWater Sanitation Electrical energy Gas
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Territory Colombia – AntioquiaColombia – CaldasColombia – QuindíoColombia – RisaraldaColombia – SantanderColombia – Norte de Santander
CompaniesEmpresas Públicas de Medellín - EPMAguas Regionales EPMEmpresa de Aguas del Oriente AntioqueñoEmpresas Públicas de Rionegro - EPRioCentral Hidroeléctrica de Caldas - CHECElectrificadora de Santander - ESSAEmpresa de Energía del Quindío - EDEQCentrales Eléctricas del Norte de Santander - CENS
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Loss management
Loss control and reduction programs in the water supply service are aimed at reducing water waste by controlling and preventing leaks and through commercial activities and social interventions to promote a responsible use by users and the community.
In the energy and gas services, programs include education, access and purchasability value propositions, and technologies to minimize the vulnerability of the infrastructure concerning illegal actions.
Management in 2018
In 2018 the group reduced the water loss rate per user bill, with outstanding results from EPM, Aguas de Oriente, EPRio, and the international affiliate Adasa. EPM achieved a reduction of 3.4%, compared with the previous year, that corresponds to 6.05 m3 per user per month, a satisfactory result in terms of efficiency in the water supply system. In energy, most of the affiliated companies maintained the level of losses, with notable decreases compared with the previous year in ESSA, CENS, and EDEQ, by 3.4%, 5%, and 4.2% respectively.
Grupo EPM monitors and manages losses by means of the non-revenue water (NRW) comprehensive management, with activities that aim at the reduction and control of technical and commercial losses, through pressure control, modernization, replacement of networks and connection pipes, systematic detection of leaks, fraud standardization, improvement of metering, and connection of customers. In 2018, the group obtained as a result a volume of losses in the expected range, with a value of 86.8 million m3, which means an accomplishment of the established goal for the economic level of water losses in EPM’s system estimated between 85 and 90 million m3. In the Urabá region, in the municipality of Turbo, 53 km of networks that represent 50% of the total networks of the municipality were optimized; also, contracting procedures were started to acquire macrometering equipment for the Chigorodó, Bajirá, and Mutatá water supply systems. In Malambo, meanwhile, 3,010 meters were installed during the year, for a total of 18,484, achieving a 79% in the affiliated company; besides guaranteeing a real consumption billing, the macrometers allow the company to estimate losses by sector. In addition, illegal connections were intervened and networks were normalized in sectors where paving works are being executed by the municipality.
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As for the energy service, the organization also conducted loss reduction and control activities, aimed at legalizing services located in areas of difficult management. However, the difficult socioeconomic situation in the (Colombia-Venezuela) border territory, as a result of massive displacements of Venezuelan citizens, and some climate factors prevented access to some sectors that present high losses, which hampered the activities aimed at improving the management of commercial actions and social interventions in the area to promote the responsible use of the service by users and the community in general. During the year, operational teams were strengthened to increase field actions aimed at detecting and normalizing gas service frauds, while formalizing the gas loss control process.
Non-revenue water rate
Company 2016 2017 2018National companies
EPM 31.53% 30.79% 30.51%
Aguas del Oriente 41.05% 18.00% 21.70%
Aguas Regionales 41.66% 41.99% 46.06%
Aguas de Malambo 59.59% 51.70% 55.44%
EPRio 29.30% 28.17% 16.90%
International companiesAdasa 24.28% 27.07% 26.42%
Source: Vice Presidency of Water and Sanitation.
Loss rate per water supply user bill* Company
Company 2016 2017 2018National companies
EPM 6.63 6.26 6.05
Aguas del Oriente 7.30 2.29 2.87
Aguas Regionales 10.49 10.10 10.89
Aguas de Malambo 19.54 15.67 17.22
EPRio 5.10 4.90 2.58
International companiesAdasa 6.90 7.12 6.79
Source: Vice Presidency of Water and Sanitation.
*Expressed in m3/user bill.
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Energy loss management - Grupo EPM
Companies 2016 2017 2018National companies
EPM distribution
Loss rate of network operator (LRRNO) 7.58 7.00 7.22
Commercial loss rate (CLR) 11.36 11.44 11.93
Loss rate in transmission 1.43 1.46 1.47
CHEC
Loss rate of network operator (LRRNO) 8.47 8.45 8.71
Commercial loss rate (CLR) 12.82 12.99 13.30
ESSA
Loss rate of network operator (LRRNO) 12.19 12.06 11.65
Commercial loss rate (CLR) 14.37 15.05 14.81
CENS
Loss rate of network operator (LRRNO) 13.59 13.51 12.83
Commercial loss rate (CLR) 17.10 17.05 16.55
EDEQ
Loss rate of network operator (LRRNO) 8.17 8.38 8.03
Commercial loss rate (CLR) 10.84 11.35 10.86
Delsur
Delsur loss rate 9.26 8.64 8.81
Commercial loss rate (CLR) 9.33 8.71 8.88
Eegsa
Loss rate of network operator (LRRNO) 5.04 4.68 4.52
Commercial loss rate (CLR) 6.23 5.78 5.62
ENSA
ENSA loss rate 11.12 10.36 11.37
Commercial loss rate (CLR) N.A. N.A. N.A. Source: Vice Presidency of Power Transmission and Distribution.
The methodology may vary in each country in accordance with its regulation.
LRRNO: loss rate of the regulated network operator. (%)
CLR: commercial loss rate (regulated market). (%)
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Gas loss management - EPM
Indicator 2016 2017 2018Gas loss indicator (%) 2.85% 2.93% 4.70%
Source: Vice Presidency of Gas.
Losses in the gas service are attributed to several aspects that impact the distribution system: network breaks, pipeline porosity, technical maneuvers, fraud, lack of accuracy in the metrology of the polyethylene network users, among others. A loss characterization study will be conducted to determine with a higher level of certainty the proportion of each of these aspects, in order to establish effective management measures.
GRI standards disclosures and EPM indicators
EPM-03 Loss rate.
Scope and coverage
BusinessesWater Sanitation Electrical energy Gas
Territory Colombia – AntioquiaColombia – CaldasColombia – QuindíoColombia – RisaraldaColombia – SantanderColombia – Norte de SantanderColombia – Malambo, AtlánticoChileEl SalvadorGuatemalaMexicoPanama
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CompaniesEmpresas Públicas de Medellín - EPMAguas Regionales EPMAguas de MalamboEmpresa de Aguas del Oriente AntioqueñoEmpresas Públicas de Rionegro - EPRioEmpresas Varias de Medellín - EmvariasCentral Hidroeléctrica de Caldas - CHECElectrificadora de Santander - ESSAEmpresa de Energía del Quindío - EDEQCentrales Eléctricas del Norte de Santander - CENSDistribuidora de Electricidad del Sur - DelsurEmpresa Eléctrica de Guatemala - EegsaEPM ChileElektra Noreste - ENSAAguas de Antofagasta - Adasa
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Customer satisfaction
In Colombia, Grupo EPM evaluates the relationship status with customers in terms of grievances. Based on last-year results, action plans aimed at improving the value proposition were implemented by adjusting it to the needs of each segment and optimizing the processes, relationships, and bonds with customers.
Management in 2018
Considering the results obtained and the analyzes conducted in 2017, the business group drew up, executed, and monitored in 2018 a work plan leveraged on digital solutions, self-management tools, and reduced requirements to install services. The main initiative focused on enhancing loyalty and satisfaction and improving the customers and users stakeholder’s experience. In 2018, EPM’s grievance indicator result was 5.62, showing a 10% improvement compared with the previous year. Of the eight national affiliates, five complied satisfactorily with the grievance results and three did not achieve the goal.
During 2018, the focus was on enhancing self-management solutions and digital channels that allow the organization to provide more options to process the needs and requirements of customers and users, while achieving efficiencies in internal processes.
The organization implemented a new community service channel with the adjustment of spaces located in strategic areas of the city, known as Puntos Fáciles (Easy Points), which are aimed at integrating different equipment and technological devices so that customers and users can conduct procedures themselves using new technologies that improve their experience when interacting with the company. Through this new channel, they can generate certificates, pay the public utilities bill, top-up prepaid energy, and perform quick transactions using the customer service hotline. Likewise, 18 transactions and other functionalities were implemented in the website channel, achieving a 23% increase in transactions compared with the previous year.
With the purpose of making the lives of customers and users easier, EPM developed initiatives aimed at reducing people’s efforts to carry out procedures with the company. For energy and water service connection requests, the document requirements that must be submitted were reduced by more than 40%. Similarly, the alternatives for applicants to demonstrate a relation to the property to which the service bill is attached were increased from two to ten. Following the paper-free policy and in line with the reduction of efforts, the company made progress in the formalization of several interoperability agreements, which will favor online consultation of customers and users information; thus they will not have to submit printed documents. For this purpose, there are agreements in force with the National Registrar’s Office of Civil Status and the National Directorate of Taxes and Customs and others in the process of formalization with the Superintendence of Notary Publics and Registrars and the Medellin-Antioquia Chamber of Commerce.
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The Colombian affiliated companies CHEC, EDEQ, ESSA, Aguas Regionales, and Emvarias achieved satisfactorily the grievance indicator result; the other affiliates, including CENS, Aguas de Oriente, and Aguas de Malambo, failed to accomplish the goal set for the year, as a result of failures in service provision due to continuity, delay in damage repairs, and delays in service connections.
Grievance indicator of affiliates in Colombia
Company 2016 2017 2018EPM 6.53 6.25 5.62
CHEC 1.03 1.51 1.06
EDEQ N.D. 0.57 0.46
ESSA 2.47 1.28 1.03
CENS 0.76 1.24 1.53
Aguas Regionales N.D. 2.21 1.61
Aguas de Oriente N.D. 4.22 3.92
Aguas de Malambo 23.69 21.94 35.45
Emvarias N.D. N.D. 2.55Source: Commercial Vice Presidency.
GRI standards disclosures and EPM indicators
EPM–05 Grievances.
Scope and coverage
BusinessesWater Sanitation Electrical energy Gas
Territory Colombia – AntioquiaColombia – CaldasColombia – QuindíoColombia – RisaraldaColombia – SantanderColombia – Norte de SantanderColombia – Malambo, Atlántico
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CompaniesEmpresas Públicas de Medellín - EPMCentral Hidroeléctrica de Caldas - CHECElectrificadora de Santander - ESSAEmpresa de Energía del Quindío - EDEQCentrales Eléctricas del Norte de Santander - CENSAguas Regionales EPMEmpresa de Aguas del Oriente AntioqueñoAguas de MalamboEmpresas Varias de Medellín - Emvarias
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Safety in the service provision
Operational excellence is one of Grupo EPM’s strategic focuses in the provision of services. To achieve this purpose, the organization develops risk prevention, mitigation, and control plans, as well as contingency plans to deal with events, methods and technologies with quality standards, and educational actions to ensure the adoption of practices that ensure the integrity of infrastructure and the safety of employees, users, and the community.
Management in 2018
EPM developed campaigns and specific activities to raise people’s and families’ awareness about the electrical risk and the legal service connection. With these messages and actions, the company contacted directly 11,565 people during the year.
For Grupo EPM, it is important to establish relationships with contractors through awareness-raising spaces, promotion activities, and follow-up on compliance with the safety and health system in field work, where positive changes and reduction of damages and accidents are evident as a result of compliance with safety standards.
During 2018, EPM updated the risk maps of Aguas de Malambo, Aguas Regionales, Aguas de Oriente, and Emvarias, while monitoring the status of risks, controls, and improvement actions. Emvarias stands out for updating the Road Safety Strategic Plan that, besides the training and continuous monitoring between the areas, showed positive results compared with the previous year in the reduction of accident indicators. The following are among the most representative: zero fatal accidents, 61% reduction in minor damages, 13% reduction in accidents with major damages, 14% reduction in accidents with injuries, and 23% reduction in damages to third parties.
At the different levels of management, work plans for risk management were drawn up with the identification of responsibilities for existing controls and improvement actions, defined for the management of risks associated with companies, processes, and projects. The fulfillment of these milestones strengthened the knowledge and response capacity of the people responsible for the processes, which contributed to the improvement in the provision of the water and sewerage services.
The national water affiliated companies, which have their respective contingency plans for the water supply and sewerage services, carried out safety inspections to guarantee the adequate use of personal protective equipment.
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For their part, the international affiliates Ticsa and Adasa complied with the applicable regulations for occupational health and safety; the latter had emergency, production, distribution, and repair committees, which act immediately and in a coordinated manner.
Regarding the energy service, safety in the intervention of electrical infrastructure was promoted during 2018, both for the group’s workers and customers and users.
As for fines and penalties, the group received a total of 82 during the year for a total value of COP 2,710 million and for concepts of untimely payment of public utilities, service continuity deficiency, accidents at work, positive administrative silence, among others.
Incidents in the service provision
Indicator EPM Grupo EPM energy 2016 2017 2018 2016 2017 2018
Number of people injured* 20 22 20 287 140 152
Number of deaths by electrical accidents
6 5 9 22 18 34
Number of fire victims by electrical accidents
13 12 11 45 44 34
Source: Vice Presidency of Power Transmission and Distribution.
The figures reported include contractors, employees, and the community.
In the water and sewerage business, 12 complaint cases were filed in 2018: 11 for personal injuries and 1 for death.
* The amount of people injured corresponds to the total of people injured by injuries such as burns, deaths, and other types of injuries.
Incidents and grievances due to service provision
Indicator EPM Grupo EPM2016 2017 2018 2016 2017 2018
Incidents or grievances due to damages or injuries to individuals, filed in the year.
54 41 37 222 97 109
Incidents or grievances due to damages or injuries to individuals, closed in the year in favor of the company.
17 20 21 36 67 47
Incidents or grievances due to damages or injuries to individuals, closed in the year in favor of the claimant.
5 8 4 11 12 7
Incidents due to deaths in the year in favor of the claimant.
- - 3 2 2 9
Incidents or grievances due to damage to tangible property, filed in the year.
300 273 310 5,892 4,745 5,008
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Incidents and grievances due to service provision
Indicator EPM Grupo EPM2016 2017 2018 2016 2017 2018
Incidents or grievances due to damage to tangible property, closed in the year in favor of the company.
151 151 104 3,827 3,131 2,974
Incidents or grievances due to damage to tangible property, closed in the year in favor of the claimant.
96 186 161 1,823 1,277 1,575
Number of appeals related to the service provision, filed by customers.
- - - 2,713 2,329 4,989
Number of fines due to regulatory non-compliances.
- 7 8 152 72 82
Amount of fines due to regulatory non-compliances (million COP).
- 66 448 792 3,068 2,710
Number of incidents due to regulatory non-compliances in advertising and marketing communication.
- - - - - -
Source: Grupo EPM Legal Management, Businesses and Investments Management.
GRI standards disclosures and EPM indicators
417-3 Incidents of non-compliance concerning marketing communications.419-1 Non-compliance with laws and regulations in the social and economic areas.EU25 Number of injuries and deaths involving the organization’s assets, including legal sentences, settlements, and pending legal cases of diseases.
Scope and coverage
BusinessesWater Sanitation Electrical energy Gas
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Territory Colombia – AntioquiaColombia – CaldasColombia – QuindíoColombia – RisaraldaColombia – SantanderColombia – Norte de SantanderColombia – Malambo, AtlánticoChileEl SalvadorGuatemalaMexicoPanama
CompaniesEmpresas Públicas de Medellín - EPMAguas Regionales EPMEmpresa de Aguas del Oriente AntioqueñoEmpresas Públicas de Rionegro - EPRioAguas de MalamboCentral Hidroeléctrica de Caldas - CHECElectrificadora de Santander - ESSAEmpresa de Energía del Quindío - EDEQCentrales Eléctricas del Norte de Santander - CENSDistribuidora de Electricidad del Sur - DelsurEmpresa Eléctrica de Guatemala - EegsaEPM ChileElektra Noreste - ENSAAguas de Antofagasta - AdasaTecnología Intercontinental -Ticsa
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Customer service
Customer service at Grupo EPM is based on providing customers with satisfying experiences when interacting with the company. To do this, the group has different service systems to address all the requests, such as customer service offices, online representatives, free customer service hotline, written assistance via mail, digital channels, and specialized assistance to constructors and property administrators.
Management in 2018
For EPM and its affiliates, the management during 2018 stands out by the excellent results achieved. This allowed the group to continue consolidating relationships with customers and users through the development of digital offers that facilitate and improve their experience.
Aiming to be closer to customers and users and to continue generating memorable experiences, EPM focused during 2018 on enhancing self-management solutions and digital channels that allow the organization to provide more options to process the needs and requirements of customers and users, while achieving efficiencies in internal processes.
The organization implemented a new community service channel with the adjustment of spaces located in strategic areas of the city, known as Puntos Fáciles (Easy Points). The purpose is to integrate different equipment and technological devices so that customers and users can conduct company-related procedures themselves using new technologies. Through this new channel, which improves people’s experience when interacting with EPM, they can generate certificates, pay the public utilities bill, top-up prepaid energy, and perform quick transactions using the customer service hotline.
Likewise, the implementation and consolidation of 45 self-service modules located in different offices favored, in an agile way, the operation of more than 311,000 transactions during 2018, an additional 18% compared with the previous year.
During the year, EPM achieved 18 transactions and functionalities in the website channel, achieving a 23% increase in transactions compared with the previous year. The mobile application continues to strengthen: during 2018 it reached 26,500 active customers, 65% more than the previous year. In addition, during this year, more than 75,000 customers and users received their bill only via e-mail, and about 320,000 coupons were paid electronically, that is, 16.25% of the total coupons collected in the year.
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Through the contact center, the organization implemented the submission of cell phone messages to customers and users, seeking to economize and optimize resources: nearly 5,000 customers received the balance of their bill through a message on their mobile device.
Grupo EPM has 327 national service offices, 151 located in Antioquia, of which nine were refurbished and two were adjusted during 2018.
To continue strengthening and improving the interaction with customers and users during their transactions with the company through the service channels, 15 customer journey maps were created during 2018 with the purpose of diagnosing and redesigning the customer experience. Based on this, the company collected ideas for improvement; it also designed the experience indicator, which showed in its first measurement (last quarter of 2018) that 76% of the customers surveyed had an experience between neutral and positive.
During the year, EPM received and processed two customers’ requests to withdraw their names from the company’s information systems, since they no longer have commercial links with the company.
In 2018, the company did not received substantiated complaints concerning breaches of customer privacy and losses of customer data.
GRI standards disclosures and EPM indicators
418-1 Substantiated complaints concerning breaches of customer privacy and losses of customer data.EPM-04 Customer service channels.
Scope and coverage
BusinessesWater Sanitation Electrical energy Gas
Territory Colombia – AntioquiaColombia – CaldasColombia – QuindíoColombia – RisaraldaColombia – SantanderColombia – Norte de SantanderColombia – Malambo, Atlántico
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CompaniesEmpresas Públicas de Medellín - EPMAguas Regionales EPMEmpresa de Aguas del Oriente AntioqueñoCentral Hidroeléctrica de Caldas - CHECElectrificadora de Santander - ESSAEmpresa de Energía del Quindío - EDEQCentrales Eléctricas del Norte de Santander - CENS
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SustainabilityReport2018