The system encourages companies to invest in and operate pollution prevention and/or abatement systems in their establishment. Applying the "polluter pays principle", the system effects direct accountability for damage inflicted on the integrity of the Laguna de Bay region thereby encouraging individuals and business establishments to internalize into their decision-making process the environmental impacts of their day-to-day activities. The EUFS covers all enterprises in the administrative jurisdiction of LLDA that discharge wastewater in the Laguna de Bay system. These include commercial and industrial establishments; agro-based industries and establishments (such as swine farms and slaughterhouses); clustered dwellings (i.e., residential subdivisions); and domestic households