NOMINATION FOR CORPORATE EXCELLENCE AWARD: CHEVRON

UNCLAS MANILA 001274 SIPDIS STATE FOR EAP/EP STATE FOR EEB/EPPD NSMITH-NISSLEY STATE PASS EXIM, OPIC AND USTR TREASURY FOR OASIA E.O. 12958: N/A TAGS: BEXP EINV ELAB ETRD KSEP SENV RP SUBJECT: NOMINATION FOR CORPORATE EXCELLENCE AWARD: CHEVRON PHILIPPINES INC. REF: 1)STATE 51406 2)STATE 34898 NOMINATION -------------- ¶1. Post is pleased to nominate Chevron Philippines Incorporated in the large enterprise category for the 2009 Award for Corporate Excellence in recognition of its significant contributions to the Philippines over the past 90 years. Chevron began operations in the Philippines in 1917, making it one of the oldest and largest American investors in the Philippines with an estimated $489 million of utilized capital. The Texas Company merged with Standard Oil of California (later named Chevron) to create Caltex in 1936. In the Philippines, Chevron provides direct or indirect employment for over 18,000 people. The company's Batangas refinery was the first petroleum refinery in the Philippines. The company is a leader in innovative environmental and social practices, and has shown significant commitment to forging coalitions to enhance the communities in which it operates. Contribution to Local Economic Development -------------- ¶2. As a pioneer in community-based projects focused on education, health, environmental safety, and livelihood and development, Chevron Philippines has an established partnership with the local community to promote sustainable development. The company encourages its partners to be accountable and share in the project's success. ¶3. Chevron's Community Engagement program is focused on youth involvement, education, and self-empowerment. The Caltex Fund program demonstrates a successful public-private partnership between Chevron and the Philippines Department of Social Welfare and Development. This program works with over 20 non-governmental organizations that provide shelter, education, and financial assistance to street children and disadvantaged youth. ¶4. The Caltex Fund Livelihood Program trains migrant youth in baking and marketing to expand their employment opportunities. Graduates of the program train other youth. With the success of training 420 youth in Makati, Caltex expanded to General Santos City, where 45 youth and children in conflict with the law have been trained. In the past year, the program has generated three new bakeshops and helped start a college fund. In partnership with other programs, it provides training in General Santos City for out-of-school youth in welding services and small engine repair. Of the 180 graduates of the mechanic program, 82 percent are now employed or have their own business. These programs contribute to local economic development by expanding employment opportunities for the least advantaged Philippine youth. Job creation in General Santos, Mindanao helps promote regional stability, since it is in a conflict area of the Philippines where disengaged youth may be susceptible to terrorist recruitment. Contribution to Rule of Law -------------- ¶5. Chevron Geothermal is a member of the Philippine Renewable Energy Coalition that supported the Renewable Energy Act approved by the Philippine Congress in December 2008. This law created a more favorable regulatory environment level for renewable energy sources and supports the Philippine goal of energy security. Good Corporate Citizenship -------------- ¶6. Driven by its commitment to the social and economic well-being of Filipinos, Chevron supports projects that address basic human needs, education, small business development, and the environment. To help fight tuberculosis in the Philippines, the company donated $5 million to the Tropical Disease Foundation, a Philippine private, non-profit institution that offers research and training on infectious diseases. The Foundation project involves advocacy and communication that aims for a 50% tuberculosis mortality reduction rate by 2010 and substantially increased case detection and treatment success rates. The Philippines is ranked ninth of countries with the highest tuberculosis burden. ¶7. The Caltex Mentor Program Drive to Literacy enables Chevron employees to volunteer in public schools, and teach classes in reading, mathematics, science, and computer proficiency. Employees also volunteer to help the "School Brigade", a collaborative effort between local government, non-government associations, and private corporations. Their work supports maintenance of public school classrooms in partnership with the Philippine Department of Education. PHILIPPINES INC. Responsible Environmental Stewardship and Practices -------------- -------------- ¶8. Chevron Philippines has long been a responsible steward of the environment and constructive partner in the Philippine communities in which it operates. In 2006, prior to a government mandate, the company became the first oil company to offer biodiesel in all its stations in the Philippines. The year 2008 marked the launch of Chevron Philippines' bio-ethanol gasoline, which is available in over one hundred sites in major Philippine cities. Chevron Geothermal's innovative technologies have propelled the Philippines to become the world's second-largest producer of geothermal energy. These large-scale clean energy projects help diminish dependence on imported fossil fuels. ¶9. Chevron's support for multiple environmental conservation projects has helped preserve and protect the unique biological treasures of the Philippines. The Philippine Eagle Foundation has helped restore the population and habitat of this endangered national symbol. Project Seahorse conserves and promotes sustainable management of marine biodiversity in the Danajon Bank Double Barrier Reef, the only double barrier reef in the Philippines and one of only three such sites in the Indo-Pacific. The two-year program promotes coastal law enforcement involving fishing communities, local governments, and the private sector. Chevron is also the primary sponsor of the Caltex Good Roots program which provides livelihood training in agro-forestry and preserves through technology transfer to farming communities in Pagudpud, Ilocos Norte; Lobo, Batangas; Pugo, La Union; and Baguio City. Chevron has contributed materials to 794 farming families to plant more than 505,000 fruit and forest tree seedlings. KENNEY