Majority of establishments is engaged in Water collection, treatment and supply
The 2010 Annual Survey of Philippine Business and Industry (ASPBI) covered a total of 255 Water supply; Sewerage, Waste Management and Remediation Activities establishments with total employment of 20 and over.
Among industries, water collection, treatment and supply recorded the highest number of establishments at 232 or 91.0 percent of the total. Waste collection followed a far second with 11 establishments (4.3%). Waste treatment and disposal ranked third with 7 establishments (2.7%) while materials recovery had the lowest number with 5 establishments (2.0%). Figure 1 illustrates the percentage distribution of Water Supply; Sewerage, Waste Management and Remediation Activities establishments by industry group in 2010.
At the regional level, Central Luzon accounted for the highest number of establishments at 52 or 20.4 percent of the total. This was followed by CALABARZON with 45 establishments (17.6%) and Western Visayas with 20 establishments or 7.8 percent (Table 2).
Water supply establishments employ the most number of workers
Total employment generated by Water Supply; Sewerage, Waste Management and Remediation Activities establishments was estimated at 23,450.
By industry group, water collection, treatment and supply, having the most number of establishments, also employed the largest number of workers with 21,753 or 92.8 percent of the total workforce. Waste collection ranked a far second with 1,261 workers (5.4%), followed by waste treatment and disposal with 296 workers (1.3%) and materials recovery with the lowest number of hired workers at only 140 (0.6%). Figure 2 shows the distribution of employment for Water Supply; Sewerage, Waste Management and Remediation Activities establishments by industry group in 2010.
The average number of workers for the sector was recorded at 92 per establishment. Waste collection registered the highest average with 115 workers per establishment, followed by water collection, treatment and supply and waste treatment and disposal with 94 and 42 workers per establishment, respectively. On the other hand, materials recovery had the lowest average with only 28 workers per establishment (Table 1a).
Among regions, National Capital Region (NCR) employed the highest number of workers with 5,236 or 22.3 percent of the total. CALABARZON with 3,892 (16.6%) workers ranked second. Completing the top three regions for the most number of workers is Central Luzon with 3,150 or 13.4 percent (Table 2).
Employees of Water collection, treatment and supply receive highest compensation
Total compensation paid by the sector for establishments in 2010 amounted to PHP7.0 billion, indicating an average annual compensation of PHP299,308 per employee.
Water collection, treatment and supply employees received the highest average annual compensation of PHP306,179. This was followed by employees of waste collection and waste treatment and disposal with respective average annual compensation of PHP214,273 and PHP210,213. The lowest average annual compensation of PHP185,979 was received by employees of materials recovery. Figure 3 displays the average annual compensation of employees for Water Supply; Sewerage, Waste Management and Remediation Activities establishments by industry group in 2010.
Water collection, treatment and supply establishments generate highest value of output
Total value of output produced by Water Supply; Sewerage, Waste Management and Remediation Activities establishments stood at PHP42.6 billion.
By industry group, water collection, treatment and supply accounted for the biggest total output value worth PHP38.7 billion or 90.9 percent. Contribution of other industries to the total value of output were as follows:
- Waste collection with PHP2.1 billion (5.0%)
- Materials recovery with PHP1.3 billion (3.2%)
- Waste treatment and disposal with PHP0.4 billion (0.9%)
Figure 4 shows the percentage distribution of value of output for Water Supply; Sewerage, Waste Management and Remediation Activities establishments by industry group in 2010.
Across regions, NCR generated PHP23.6 billion comprising more than half (55.6%) of the total value of output. This was distantly followed by CALABARZON with an output value of PHP4.6 billion (11.0%). Central Luzon came in third with total output value of PHP4.1 billion or 9.7 percent (Table 2).
Total cost reaches PHP24.8 billion with Water establishments spending the highest
Total cost incurred in business operation by Water Supply; Sewerage, Waste Management and Remediation Activities establishments was estimated at PHP24.9 billion (Table 1).
Among industries, water collection, treatment and supply incurred the highest cost amounting to PHP21.8 billion or 87.7 percent of the total. A far second was waste collection with PHP1.4 billion (5.8%). materials recovery followed next with a total cost of PHP1.3 (5.2%) billion, while waste treatment and disposal spent the least with PHP0.3 billion (1.3%).
Water collection, treatment and supply recorded the highest returns
Revenue per cost ratio for establishments in 2010 was recorded at 1.94, indicating that for every peso spent PHP1.94 was realized in terms of revenue (Table 1a). Among industries, water collection, treatment and supply recorded the highest revenue per cost ratio of 2.04. The revenue-cost ratio of other industries were as follows
- Waste collection (1.47 revenue per peso cost)
- Waste treatment and disposal (1.22 revenue per peso cost)
- Materials recovery (1.06 revenue per peso cost)
Value added reaches PHP33.7 billion
Value added produced by Water Supply; Sewerage, Waste Management and Remediation Activities establishment reached PHP33.7 billion (Table 1).
Among industries, water collection, treatment and supply generated PHP32.7 billion attributing 96.9 percent of the total value added. Value added of waste collection amounting to PHP0.8 billion accounted for 2.3 percent of the total. Waste treatment and disposal and materials recovery registered the lowest value added with PHP0.1 billion (0.4%) each.
Workers of Water supply establishments are the most productive
Labor productivity, defined as value added per worker, was estimated at PHP1.4 million per worker. By industry group, the highest labor productivity was recorded by water collection, treatment and supply with PHP1.5 million per worker. Labor productivity of other industries were as follows:
- Materials recovery (PHP0.9 million per worker)
- Waste collection (PHP0.6 million per worker)
- Waste treatment and disposal (PHP0.4 million per worker)
Figure 5 shows the labor productivity for Water Supply; Sewerage, Waste Management and Remediation Activities establishments by industry group in 2010.
Among regions, NCR is the most productive with PHP4.2 billion per worker. This was followed by Caraga with PHP0.9 billion per worker and Cordillera Administrative Region ranked third with PHP0.8 billion per worker (Table 2a).
Gross addition to tangible fixed assets totals to PHP6.4 billion
Gross addition to tangible fixed assets, defined as capital expenditures less sale of fixed assets, acquired by Water Supply; Sewerage, Waste Management and Remediation Activities establishments was valued at PHP6.4 billion (Table 1).
Water collection, treatment and supply had the highest gross addition to fixed assets amounting to PHP6.3 billion or 98.3 percent of the total. Gross addition to fixed assets of other industries were as follows:
- Waste collection with PHP0.9 billion (1.4%)
- Waste disposal with PHP0.1 billion (0.2%)
- Materials Recovery with PHP4.3 million (0.1%)
This Special Release presents the preliminary results of the 2010 Annual Survey of Philippine Business and Industry (ASPBI) for the Water Supply; Sewerage, Waste Management and Remediation Activities sector for establishments with total employment of 20 and over.
The 2010 ASPBI is one of the designated statistical activities of the National Statistics Office (NSO) with the objective of providing key measures on the levels, structure, trends, and performance of economic activities in the country. As such, the survey generates the most critical and essential statistics required for economic planning and policies. It was conducted in April 2011 with year 2010 as the reference period of data, except for employment which is as of November 15, 2010.
The 2009 Philippine Standard Industrial Classification (PSIC) was adopted for the first time in this survey. This is the latest version of the classification of industries in the country which conforms with the International Standard Industrial Classification Revision 4 prescribed by the United Nations.
Data are presented at the industry group or 3-digit 2009 PSIC, national and regional levels.
The conduct of the ASPBI is governed by legislative acts and presidential directives, mainly Commonwealth Act No. 591 which was approved on August 19,1940. Other legislative acts are:
- Presidential Decree No. 418
- Executive Order No. 121
- Executive Order No. 352
- Executive Order No. 5
Scope and Coverage
The 2010 ASPBI covered establishments engaged in 18 economic sectors classified under the 2009 PSIC, namely:
- Agriculture, Forestry and Fishing (A)
- Mining and Quarrying (B)
- Manufacturing (C)
- Electricity, Gas, Steam, and Air Conditioning Supply (D)
- Water Supply; Sewerage, Waste Management and Remediation Activities (E)
- Construction (F)
- Wholesale and Retail Trade; Repair and Maintenance of Motor Vehicles, Motorcycles (G)
- Transportation and Storage (H)
- Accommodation and Food service activities (I)
- Information and Communication (J)
- Financial and Insurance Activities (K)
- Real Estate Activities (L)
- Professional, Scientific and Technical Activities (M)
- Administrative and Support Service Activities (N)
- Education (P)
- Human Health and Social Work Activities (Q)
- Arts, Entertainment and Recreation (R)
- Other Service Activities (S)
The survey was confined to the formal sector of the economy, which consists of the following:
- Corporations and partnership
- Cooperatives and foundations
- Single proprietorship with employment of 10 and over
- Single proprietorships with branches
Unit of Enumeration
Like all other establishments surveys conducted by the NSO, the 2010 ASPBI unit of enumeration is the establishment. The establishment is defined as an economic unit under a single ownership or control which engages in one or predominantly one kind of activity at a single fixed location.
The 2010 ASPBI used stratified systematic sampling with five-digit PSIC serving as first stratification variable and TE as the second stratification variable.
The response rate is 98.2 percent (163 out of 166 establishments). These include receipts of "good" questionnaires, partially accomplished questionnaires, reports of closed, moved out or out of scope establishments.
Concepts and Definitions of Terms
Economic activity is the establishment’s source of income. If the establishment is engaged in several activities, its main economic activity is that which earns the biggest income or revenue.
Total employment is the number of persons who worked in for the establishment as of November 15, 2010.
Paid employees are all persons working in the establishment and receiving pay, as well as those working away from the establishment paid by and under the control of the establishment. Included are all employees on sick leave, paid vacation or holiday. Excluded are consultants, home workers, receiving pure commissions only, and workers on indefinite leave.
Compensation includes salaries and wages, separation/retirement/terminal pay, gratuities, and payments made by the employer in behalf of the employees such as contribution to SSS/GSIS, ECC, PhilHealth, Pag-ibig, etc.
Salaries and wages are payments in cash or in kind to all employees, prior to deductions for employee’s contributions to SSS/GSIS, withholding tax, etc. Included are total basic pay, overtime pay and other benefits.
Revenue includes cash received and receivables for goods/products and by-products sold and services rendered. Valuation is at producer prices (ex-establishment), net of discounts, and allowances, including duties and taxes but excluding subsidies.
Cost refers to all expenses incurred during the year whether paid or payable. Valuation is at purchaser prices including taxes and other charges, net of rebates, returns and allowances. Goods and services received by the establishment from other establishments of the same enterprise are valued as though purchased.
Intermediate cost refers to expenses incurred in the production of goods such as materials and supplies purchased, fuels purchased, electricity and water purchased, and industrial services done by others plus beginning inventory of materials, supplies and fuels less ending inventory of materials, supplies and fuels.
Value added is gross output less intermediate cost. Gross output for the water supply; sewerage, waste management and remediation activities sector is value of output plus non-industrial services done for others (except rent income from land). Intermediate input is intermediate cost plus non-industrial services done by others (except rent expense for land) and other costs.
Value of output represents the sum of the receipts from revenue from main activity, industrial services done for others, goods sold in the same condition as purchased less the cost of goods sold and value of fixed assets produced on own account.
Gross addition to tangible fixed assets is equal to capital expenditures less sale of fixed assets, including land.
Change in inventories is equivalent to the value of inventories at the end of the year less the value of inventories at the beginning of the year.
Inventories refer to the stock of goods owned by and under the control of the establishment as of a fixed date, regardless of where the stocks are located. Valuation is at current replacement cost in purchaser prices. Replacement cost is the cost of an item in terms of its present price rather than its original cost.
Subsidies are all special grants in the form of financial assistance or tax exemption or tax privilege given by the government to aid and develop an industry.