Embedding Environmental, Social and Governance (ESG) Principles in Public Water Utilities for Environmental Sustainability and Climate-Resilient Development: The NWSC Experience in Uganda

Abstract

Background: Environmental, Social and Governance (ESG) principles provide a useful framework for examining how institutions manage environmental impacts, social inclusion and accountability. Although ESG is frequently discussed in private-sector and investment contexts, public water utilities are central to ESG implementation because they influence water security, sanitation, environmental protection, catchment management, climate resilience and inclusive development.

Objective: This study examines how the National Water and Sewerage Corporation (NWSC) integrates ESG principles into public water utility operations and institutional governance in Uganda, with emphasis on environmental sustainability and climate-resilient development.

Methods: The study adopted a qualitative institutional case study and policy analysis approach. Data were drawn from NWSC integrated annual reports, environmental and corporate governance documentation, programme records, institutional publications, sector reports and observational insights from programme implementation between 2022 and 2025. A descriptive thematic analysis was used to examine how NWSC practices align with the environmental, social and governance pillars.

Results: NWSC has embedded environmental principles through tree planting, water source protection, catchment management, wastewater treatment, non-revenue water reduction and resource-efficiency efforts. Social principles are reflected in inclusive service delivery, public standpipes, community engagement, school outreach, occupational health and safety, workforce development and gender and youth inclusion initiatives. Governance principles are reflected in corporate governance structures, audited annual reporting, performance management, regulatory compliance and accountability mechanisms. Programme records indicate that NWSC serves about 18 million people in over 270 towns, has installed more than 21,600 public standpipes, operates wastewater treatment infrastructure including the Lubigi plant with a treatment capacity of about 45,000 m³/day, and has planted more than 5.8 million trees under environmental conservation initiatives.

Conclusion: NWSC’s experience demonstrates that ESG can function as a practical public utility governance framework for strengthening environmental sustainability, social inclusion, institutional accountability and climate-resilient development. The case highlights the value of mainstreaming ESG into public water utility strategy, performance management and service delivery in Uganda and comparable contexts.