Implementing Risk Management

MPTC is committed to ensuring that a strong risk management culture exists and will develop and maintain a risk management plan that encompasses climate-change risk assessment.

MPTC builds and provides quality transport infrastructure and mobility services to enable customers to experience the joy of safe travel and, at the same time, to drive trade and commerce that stimulates the country's socio-economic growth. As a leading tollway company, MPTC has the capacity to provide a wide range of tollway services that continuously raises industry standards and is intent on aligning the contribution made by our investments with the current and future needs of motorists, communities, and businesses. MPTC is committed to excellence in the delivery of quality services to stakeholder groups with whom the Company works, namely, motorists, employees, local and global enterprises and communities and governments and the public.

MPTC is, and intends to remain, a successful, sustainable organization by implementing the key directions of our strategic priorities. In the current market environment, MPTC understands that there are risks in everything it does and risk taking will occur if MPTC is to innovate, expand and improve. However, the risks will be identified, managed, and assessed within a robust risk management framework so that the risks are understood and managed in an effective manner in order to achieve our goals.

While pursuing innovation, expansion, and improvement, MPTC will not compromise its reputation for superior quality of toll roads and tollway services, the safety of customers, employees and communities, our engagement and relationships, financial stability, human resource development and our governance management and leadership.

Consequently, we accept a low risk in the areas of toll operations and maintenance, traffic management and security, project design, transport analysis, project management, financial and asset management. We also accept a very low risk in areas involving personnel and customer safety, business continuity management (including IT), training and development and compliance with legislative and regulatory requirements.

MPTC encourages entrepreneurship and innovation. MPTC recognizes that risk is inherent in seeking opportunities to develop, operate and maintain new and existing toll roads, developing and implementing new and original business strategies that enhance the value of its assets, and in dealing with local and global enterprises and communities. In these activities we also accept a low level of risk.

In translating this overarching approach into a practical model, the Company shall adopt a risk profile that enables managers to assess the level of risk. This shall be done by analyzing the likelihood and impact of an event occurring and the effectiveness of existing management strategies to mitigate a risk. Regular training and assistance shall be provided to management and supervisory staff to assess, measure, mitigate, regularly review and report risks to appropriate bodies.

Risks shall be assessed as part of the Company's strategic planning process each year. MPTC (and its Business Units) is required to manage those risks in accordance with MPTC's Enterprise-wide Risk Management Policy. High to Catastrophic risks, including emerging risks, are reported to CG and Risk Committee and/or Board of Directors twice a year. An enterprise-wide risk register is produced annually.