Materiality Assessment Process


In 2019, we completed a thorough materiality assessment aligned with the GRI framework. A third party led the multi-step process, consisting of (1) topic identification; (2) value chain impact mapping, stakeholder engagement and written source analysis for topic prioritization; and (3) executive leadership team validation. In addition to identifying the topic boundaries through value chain impact mapping, the assessment gave us valuable feedback and helped us to better understand the ESG topics most important to our stakeholders. Applying the materiality principle, we evaluated the significance of American Water’s economic, environmental and social impacts, as well as the influence of our management and performance on stakeholders’ decisions. All ESG topics are important to our company; however, we focused this report on those topics, shown below, that are most significant to our business and stakeholders. 

Our Material Topics