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Ethics is our core value: acting correctly and in good faith, being coherent in in what you think, say and do and favoring common good over personal interests; these attitudes translate into good results that, in turn, contributed to the sustainability of our Company and the society. In this regard, we have implemented tools to promote it, assess its fulfillment and take pertinent actions in case of non compliance therewith.


The structure of our Business Ethics System has a preventive, detective and corrective approach, framed by continuous improvement and permanent promotion and dissemination.

This model is represented by the combination of a compass guiding Ethical business conduct and a sextant to show the importance from our in-house ethics and transparency practices to external, collective action scenarios with our stakeholders, where we build and consolidate together the drivers that regulate and govern our relationships, allowing us to mutually share best practices.


It involves guidelines observed inside our Company, pursuant to the goal of preserving ethics, safeguarding transparency and fighting corruption, all of which evidence the Organization’s focus and leadership.

Management Model

In our Management Model, ethics is considered a fundamental element thereof, as well as of performance of our duties, which is reflected on:

  • Our way of conceiving the Company: companies have the ethical mandate of achieving good results in terms of well-being for stakeholders and society.
  • Our philosophy: we promote transparency in our management and build relations based on trust.
  • Values: ethics represents the fundamental value: doing things right and in good faith, being consistent between what is thought, said and done, and prioritizing the common good over individual interests, thus contributing to the sustainability of the company and the environment in which it operates.
  • Corporate fundamentals: by generating intelligent energy we contribute to the prosperity of society. To achieve this, we employ behaviors, knowledge and technologies that promote climate change mitigation, the company's competitiveness, sustainable human development and the creation of shared value with stakeholders.
  • Work organization we are a process-based organization, with a working model in which processes are responsible for the management of all resources and functions required to accomplish the organization’s mission. As a result, ethics represents a key element of comprehensive responsibility for the process owners.

Declaration of Ethical Behavior

The Declaration of Ethical Behavior was defined by our workers in 2006, being a moral orientation tool, aimed at building an action framework for labor, personal and institutional relations; it is intended to reaffirm a trust, transparency, responsibility and justice basis in relations of workers, workers with Company, and both parties with stakeholders.

The most recent review was in 2016 and it was presented to our Management Committee, Audit Committee and Board of Directors and then adopted by the Company as our ethics code.


Company Guidelines

These are organizational guidelines for Company members, namely: good governance practices, policies, regulations, and others, which drive the conduct of members of the Board of Directors, executives and employees.

  • Good Governance Practices 

    Our Good Governance Code integrates principles, values and practices underpinning the manner in which the Company preserves ethics, manages business affairs, recognizes and respects the rights of shareholders and investors, declares transparency of its management and discloses business information.

    The Good Governance Code sets out corporate principles, responsibilities, rights, and corporate position with respect to:

    • Acting framework
    • Company and its governance: Shareholders Meeting, Board of Directors, General Manager and executives
    • Management of conflicts of interest
    • Control mechanisms
    • Equal treatment to shareholders
    • Information Disclosure
  • Anti-bribery, Anti-corruption and Anti-fraud Policy 

    The Anti-bribery, Anti-corruption and Anti-fraud Policy gathers declarations, practices, and indicators adopted by our Company at regulatory, statutory and good governance levels, with the intent of promoting prevention and detection of potential fraud or corruption situations, and efficient treatment thereof, protecting ethics as a core value for the Company and its workers. All of the foregoing to have an identifiable regulatory body for its management and provisions of further transparency in its actions. It establishes corporate guidelines for identification, prevention, protection and management of fraud or corruption risk.

    Besides we have an Application Guide for the Anti-bribery, Anti-corruption and Anti-fraud Policy, in which are elements of orientation, action and report that must be considered by third parties to whom the AAA Policy applies.

  • Handbook for Management of Unethical Situations and Management of Fraud Risk 

    This Handbook contains the guidelines for identification, prevention, protection, control, fraud risk management and transfer, added to handling situations involving breach of the Declaration of Ethical Behavior.

  • Policy for Engagement with Stakeholders 

    We have in place a Policy for Engagement with Stakeholders whereby we have represented:

    • Our relations are based on ethics, trust, respect, openness, dialogue and collaboration, with common good prevailing over particular interests.
    • We promote among stakeholders a responsible business management relative to ethical, labor, human rights, environmental and economic aspects.
  • Human Rights Policy 

    With the Human Rights Policy, we promote respect for rights and freedom of individuals in performance of their business activities and encourage among stakeholders respect for human rights and International Humanitarian Law, which are recognized by the States and their society as pillars for essential dignity and harmonic coexistence.

    This is part of our Company’s commitment to align strategies and operations thus contributing to human development based on the ten principles of the UN Global Pact initiative, focused on four areas: human rights, labor practices, environment and anti-corruption.

  • Minimum sustainability with providers 

    We seek to consolidate responsible, ethical relations aimed at improving life quality of the people, preserver the environment, and contribute to economic growth. We expect our providers to comply with legal requisites and some minimal requirements relative to sustainability on ethics, labor, environment and human rights matters.

    • Human Rights Policy and Clause in Contracts: we provide opportunities for reflection and training among workers and providers. We have a clause in contracts and agreements binding them to report to us claims on any type of violation, bribery or extortion, and to take the respective action. We expand this information in our Human Rights Policy
    • Agreement on Ethical Behaviors: ethics is our core value and, therefore, our activities are performed based on ethics, client-based, economic focus and social and environmental responsibility, thus contributing to social and environmental sustainability. Further information in our Declaration of Ethical Behaviors

      Thus, we have designed, together with our suppliers, a tool enabling to know the level of commitment to comply with the minimum sustainability tiers in accordance with an overall assessment.


Fraud Risk Management Program

We have in place a Fraud Risk Management Program that relies on the Company’s conviction of performing all of our activities based on ethics, transparency, and regulatory compliance criteria, supported by the Business Ethics System. Hence, we work from various fronts to preserve ethics as a fundamental value and have implemented best practices relative to fraud risk, focused on continuous improvement.

We consider fraud as any other illegal act associated with deceit, concealment or breach of trust. These acts do not require the use of threat, violence or physical force. Frauds are perpetrated by individuals or organizations to obtain cash, goods or services, payments or service loss and thus ensure personal or business benefits.

Fraud categories adopted by our Company may be consulted in our Anti-bribery, Anti-corruption and Anti-fraud Policy


Fraud Risk Identification

Fraud risk is classified as one of our corporate risks. Should there be circumstance affecting it, there will be periodical follow up thereon by the Management Committee and the Audit Committee.

Similarly, annually we update risk matrices of our work activities, whereby we include fraud risk identification, with its variations, emphasizing on activities that because of their nature are more sensitive to this risk.

Design and execution of fraud risk controls

We implement the respective controls to prevent materialization of fraud risk events, it being worth to highlight the following:

  • Management Model: ethics and transparency are crosscutting to our conception of company, philosophy, values, organizational foundations, and work organization.
  • Human Management Procedures
  • Function Segregation
  • Structures for supervisions and approval of transactions
  • Process and transaction controls
  • Identification of processes and roles that are most sensitive to fraud risk, among other controls.

Training, awareness on fraud issues and information dissemination

We promote and disseminate continuously our transparency practices, which, in addition to promoting ethics and transparency among our stakeholders, includes matters relative to fraud risk, thus conducting activities such as:

  • Induction processes
  • Publishing in magazines
  • Internal media campaigns and corporate Intranet
  • Publishing in communication media with stakeholders
  • Training of employees and executives
  • Transparency in dissemination of information, complying with Law 172 of 2014
  • Disclosure of our practices and performance in our Annual Management Report

Fraud risk follow up and assessment

We perform activities aimed at preventing, detecting and tracking potential situation and events that may translate into fraud risk materialization and, therefore, we have implemented actions that include:

  • Transactional follow up activities
  • Evaluation of business control system
  • Ethics Line Reports
  • Conflicts of interest mailbox
  • Protocol for investigation and response to alleged fraud events

Law guidelines

These include law or regulatory guidelines relative to transparency and fight against corruption that we must observe, namely:

  • Manual for Self-Control and Management of Money Laundering and Terrorist Financing Risks 

    We have in place a System for Self Control and Management of Money Laundering and Terrorist Financing Risk, comprising elements such as Self Control and Management of Money Laundering and Terrorist Financing Risk, guidelines, codes, instructions, activities and responsibilities, adopted to prevent our Company from being used as a vehicle to commit these crimes.

  • Transparency and Access to Information Law 

    We promote transparency as an explicit commitment of our Management Model and we comply with Law 1712 of 2014, which regulates the right of accessing public information, procedures for exercising and guaranteeing such right, and information advertising exceptions, which is applicable to corporate information directly related to the public utility service we provide.

    Pursuant to the guidelines of this Law and our good governance in-house policies, we provide information to complying with the law.

  • Applicable regulations 

    Aware of the commitments we have as a company with the country's anti-corruption laws and the commitments of our majority shareholder, our Corporate Ethics System complies with the requirements of the different laws on this matter, among which we highlight:

    • Law 1474 of 2011: dictates the norms oriented to strengthen the mechanisms of prevention, investigation and punishment of acts of corruption, and the effectiveness of the control of public management.
    • Law 1778 of 2016: dictates the norms on the liability of legal persons for acts of transnational corruption and other provisions in the fight against corruption.
    • External Circular CE100-000003-16 of Supersociedades: guide aimed at implementing business ethics programs for the prevention of the conducts provided in Article 2 of Law 1778 of 2016.
    • Resolution 2016-01-392788 of Supersociedades: determines the legal entities subject to the implementation regime of business ethics programs.
    • FCPA Act: US law that prohibits US companies or their subsidiaries from paying bribes to foreigners to assist in obtaining or retaining business.

These include mechanisms that enable our stakeholders to report situations or events that may, or in fact are affecting the ethical environment of our Company or our mutual relations, and also include mechanisms aimed at confirming the workers’ commitment with business ethics practices.

Ethics Channel

It's a mechanism consisting of an email address, a telephone hotline and a fax line, which we have made available to employees and the general public so that they can report irregularities or acts committed by employees or third parties that affect or may affect the interests of the Company or its stakeholders; all under the principles of service, investigation, justice, confidentiality, performance, backing, support, non-reward and respect. These concerns can be submitted anonymously, if preferred.

Described below are some types of cases or events that may be reported through the Ethics Channel:

  • False reports
  • Fraud or theft
  • Misappropriation of assets
  • Conflicts of interest
  • Manipulation of financial statements
  • Money laundering
  • Disclosure of confidential information
  • Technological abuse
  • Breach of laws or regulations
  • Investigations
  • Environmental impact
  • Corporate image impact
  • Security
  • Breach of free competition
  • Work harassment
  • Sexual harassment
  • Human Rights

To report your concerns, you may contact:


Conflicts of Interest mailbox

We have an internal management tool where employees must report any situation, activity or potential risk related to the Anti-bribery, Anti-corruption and Anti-fraud Policy, and its application guide. Particularly, those issues related to fraud and conflict of interest. Besides, we have the mailbox dilemaseticos@isagen.com.co for our third parties.

The members of the Board of Directors and Board Committees, the Chief Executive Officer and the employees must act with diligence and loyalty towards the Company within the framework of values, principles, practices and declarations framed within the Good Governance Code, and must abstain from getting directly or indirectly involved in the decisions and/or conducts on which a conflict of interest exists or could exist.

Similarly, they are aware of the juridical nature of the Company, its equity composition and the conformation of the Board of Directors, and propose additional challenges relative to the identification and dissemination of potential conflicts of interest. The Administration will disclose every year the conflicts of interest declared by the members of the Board of Directors in the Corporate Governance report.


Coexistence at Work Committee

It works of prevention of work harassment prevention through reliable, conciliatory and effective in-house procedures, pursuant to Law 1010 of 2006 and associated relations.

Article 2 of Law 2010 of 2006 sets out the definition and modalities of work harassment. Work harassment is understood as any persistent, evident conduct against an employee, on a worker by an employer, a supervisor or direct or indirect hierarchical manager, a work peer or subordinate, intended to generate fear, intimidation, terror or anguish, work related damage, lack of motivation at work or lead to resignation therefrom.


To contact the Committee, you may use email: comiteconvivencialaboral@isagen.com.co


Transparency practices’ self-evaluation

This self-evaluation is aimed to assess the knowledge and commitment of our employees and third parties in business ethics, AAA Policy, conflicts of interest, control and prevention of money laundering and financing of terrorism.


Group promoting the Declaration of Ethical Behavior

It is formed by employees who are elected by vote and by Company representatives. It promotes actions, review and dialogue concerning participative ethics and promotion of the Declaration of Ethical Behaviors among employees and other stakeholders.


They include elements that help us define and implement improvement actions concerning management of the Business Ethics System as related to ethics and provide guidelines to the Administration on situations that are against it.

Audit Committee

It is appointed by the Board of Directors and conformed by at least three of its members; if possible, all its independent members must be part of it. The President of the Audit Committee must be one of the Board of Directors independent members.

This Committee supports the Board of Directors in the analysis of aspects related to:

  • Assessment of financial results and accounting policies
  • Business Control System
  • Corporate Audit Activities
  • External Control Bodies
  • Corporate risk management and business continuity
  • Assessment of Good Corporate Governance Practices
  • Business ethics
  • Prevention of money laundering
  • Other matters assigned by the Board of Directors or provided for by law

Check here the responsibilities and powers of the Audit Committee.


Ethics Committee

It advises and guides the Company on issues related to potential cases of breach of ethics, fraud or corruption.

It addresses the following topics:

  • Ethics as a core value
  • Business Ethics System
  • Declaration of Business Behaviors (DBB)
  • Fraud and Corruption Management Policy
  • Human Rights

Human Rights The Committee is comprised by:

  • Administrative Manager
  • Corporate Auditor
  • Judicial Director
  • External independent member appointed by the Board of Directors

Fraud Risk Assessment

The annual plan of the Corporate Audit team includes testing aimed at assessing fraud risk as a fundamental part of the business control system activities. To such end, we prepare an annual report with the results from these tests.


Assessment of stakeholder perceptions regarding their relationship with ISAGEN

We conduct an assessment of stakeholder perceptions regarding their relationship with the company designed specifically by ISAGEN, which in addition to assessing the level of knowledge and positioning of the Company, measures the quality of relations with stakeholders. It also measures the level of appreciation of the stakeholders concerning the Company’s management in areas of leadership, social performance, financial performance, environmental performance, corporate governance and business ethics.



Other mechanisms used to measure components’ effectiveness in our Business Ethics System and to establish reference points vis-à-vis similar companies:

  • Measurement of business transparency 

    This is an initiative of Corporación Transparencia por Colombia, which measures the standards in transparency policies and mechanisms in place at public utility companies in the country. This measurement is performed every two years and we have always achieved scores over the average.

  • Organizational climate measurement 

    This measurement is performed every two years and it provides a number of reports broken down by organizational areas, type of positions, and seniority in the company, age and venue, data which identifies the areas requiring intervention for improvement or maintaining the organizational climate.

    As regards issues related to ethics, an overall exploration is conducted on how the employees perceive the measures implemented by the Company to prevent fraud, corruption and incorrect acts, thus providing information to determine if the measures in place and sufficient and adequate.

In-house action

These are all policies, practices, provisions, declarations, definition of responsibilities, mechanisms and measures set out by the Company to manage and protect ethics as our core value.


External action

These are all actions undertaken as a Company to convey, share, disseminate and promote our transparency practices and ethics management among our stakeholders. This is aimed at creating dialogue opportunities, transcending on engagement.


Collective action

The companies have the mandate of implementing effective systems to promote ethics, transparency and fight against corruption, in order to involve stakeholders and enabling collective actions that help protect social climate against corrupt practices. Convinced of this, we worked on this collective action:

  • Collective action of the colombian electric energy sector 

    Accompanied by the UN Drug and Crime Office, the Transparency Secretariat of the Presidency of Colombia and the Fundación Transparencia por Colombia, the electric energy sector companies signed a collective agreement aimed at incorporating transparency and ethics good practices, which promotes healthy competition, trust and sustainability of the companies involved, all of which is summarized in five principles, some of which we have already implemented and others on which we are working internally:

    • Progress in development and implementation of a comprehensive anti-corruption program.
    • Continue promoting competition in the electric energy sector, relying on good corporate governance indicators for prevention of free competition restrictions.
    • Build and disseminate in each company a map of corruption risks, competition restrictive practices, and money laundering and terrorist financing.
    • Supply useful information to promote transparency in the sector and the energy market.
    • Disseminate this agreement in each company, with their Board of Directors and various industry stakeholders.
2017 Management Report 2017 Management Report

Our 2017 results

Business Ethics

We encourage you to refer to last year’s most outstanding milestones regarding our business ethics management and to provide your comments at Contact us.

  • We joined the list of Companies Active in Implementing Anti-Corruption Policies of the Presidency of the Republic, surpassing the 100 minimum points required.
  • We trained all our employees in the Anti-bribery, Anti-corruption, and Anti-fraud Policy.
  • We trained all contractors with a high exposure to the risk of bribery and corruption, including those that work at our facilities, university interns and SENA apprentices.