Huaneng Power International Inc(600011)
2021 Social Responsibility Report
The board of directors and all directors of the company guarantee that there are no false records, misleading statements or major omissions in the contents of this report, and bear individual and joint liabilities for the authenticity, accuracy and completeness of its contents.
This report systematically summarizes the work of Huaneng Power International Inc(600011) (hereinafter referred to as " Huaneng Power International Inc(600011) " or "the company") in fulfilling social responsibilities in 2021, in order to truly reflect the company's specific practice of promoting comprehensive, healthy and sustainable development in 2021.
This report is prepared in accordance with the guidelines for the preparation of the report on corporate social responsibility issued by Shanghai Stock Exchange, with reference to the G4 sustainable development report guidelines of the Global Reporting Initiative (GRI) and in combination with the actual situation of the company.
1、 Company profile and corporate governance
1. Company profile
Huaneng Power International Inc(600011) was established on June 30, 1994. Its main business is to use modern technology and equipment and foreign funds to develop, build, operate and manage large power plants nationwide. It is one of the largest listed power generation companies in China and the first power generation company in China to be listed in three places.
Over the years, the company has earnestly fulfilled its business responsibility, safety responsibility, environmental responsibility, employee responsibility and social responsibility, adhered to the mission of Huaneng "three color company", always adhered to providing sufficient, reliable and environmental friendly electric energy and high-quality energy services for the society, always adhered to institutional, technological and management innovation, and created a number of first and milestone projects in China's industry in terms of power technology progress, power plant construction and management mode, It has promoted the development of China's power industry and the technological progress of power station equipment manufacturing industry, and promoted the improvement of the technical level and management level of China's power generation enterprises.
As of December 31, 2021, the installed capacity of controllable power generation of the company has reached 118.7 million KW. Domestic power plants are widely distributed in 26 provinces, autonomous regions and municipalities directly under the central government in China. At the same time, it wholly owns an operating power company in Singapore and invests in an operating power company in Pakistan.
2. Corporate governance
Huaneng Power International Inc(600011) always adhere to the leadership of the Communist Party of China, take Xi Jinping the thought of socialism with Chinese characteristics in the new era as the guidance, constantly strengthen party construction, consolidate the grass-roots foundation of Party construction, deeply promote the construction of Party style and clean government, fully rely on the staff and workers, and lead high-quality development with high-quality party construction.
As a public company listed in the three places outside China, Huaneng Power International Inc(600011) is subject to the supervision of the securities regulatory authorities of the three places listed at home and abroad and the supervision of the majority of investors. In accordance with the requirements of the modern enterprise system, the company has established and improved the corporate governance system composed of the general meeting of shareholders, the board of directors, the board of supervisors and the management, formed an operation mechanism with clear rights and responsibilities among decision-making power, supervision power and management power, performed their duties, checked and balanced each other and coordinated operation, ensured the effective implementation of the decision-making power of the board of directors and the supervision power of the board of supervisors on major matters, and ensured the smooth operation and management of the management.
After years of exploration and practice, the company has gradually formed a standardized, efficient and perfect corporate governance structure, and established and improved an effective system suitable for the company's own development requirements. The company regularly evaluates the applicability and effectiveness of the management system and timely modifies and improves it, realizing the dynamic maintenance of the system.
The company insisted on high-quality information disclosure, actively responded to regulatory inquiries and investor concerns, made error free information disclosure 360 times throughout the year, and won the "a" evaluation of information disclosure of Shanghai Stock Exchange, the "best listed company" award of China Securities Golden Bauhinia and the "top 50 excellent listed company" award of interface news. Issue periodic reports, sustainable development reports and ESG reports with high quality. Important energy media such as "learning power" app, China Power News and China power industry reported the release of the company's 2020 sustainable development report. The ESG report of the company was selected into the excellent practice cases of listed companies. The company has won high recognition from regulators and capital markets for its good image of standardization, integrity, professionalism, transparency and respect for shareholders. In 2021, the company's A-share price hit a six-year high and its market value doubled. 2、 Business responsibility of the company
The company has always been committed to building itself into a world-class listed power generation company, making every effort to make progress while maintaining stability, paying close attention to marketing, reducing costs and controlling fees, deeply cultivating overseas markets, and creating value for shareholders with lean and professional management.
Energy supply guarantee highlights the responsibility of enterprises. In 2021, in the face of the complex situation of the continuous impact of the epidemic, high fuel prices and tight power supply, the company resolutely implemented the spirit of the important instructions of Xi Jinping general secretary, dared to take responsibility and take the initiative, resolutely shouldered the political responsibility of energy supply, and gave full play to the role of "top beam column" and "ballast stone" of central enterprises. Establish a leading group for supply guarantee, formulate a work plan for supply guarantee, adjust the budget in time, raise funds for supply guarantee, strengthen the monitoring of unit output, speed up the pace of project operation, and ensure the safety of regional energy consumption without coal shortage shutdown and fund interruption.
Lean marketing increases both volume and price. Strengthen market research and judgment, refine marketing strategies, and strive to increase the efficiency of electricity generation. We coordinated the volume and price of coal-fired units, optimized the power generation sequence of gas-fired units, and made every effort to generate more and full capacity of new energy units. Throughout the year, the cumulative power generation capacity of domestic power plants was 457.3 billion kwh, a year-on-year increase of 13.2%. Deeply study the power market policy, strive for policy support, promote the floating of transaction electricity price and the renewal of annual long-term agreement contracts, and the average domestic electricity price of the company increased by 18.25 yuan / kWh year-on-year. Actively adapt to the reform of power marketization, actively participate in the trial operation of power spot market and improve the level of spot bidding. We strengthened the development of electric heating users and made efforts to improve the settlement heat price. The annual heating volume was 297 million GJ, with a year-on-year increase of 12.8% and the heating price increased by 7.1%.
Effective cost control. Closely track the changes in the coal market, make overall efforts to control the price and quantity of fuel, strengthen the performance and fulfillment of long-term cooperative contracts, and the fulfillment rate of tripartite mutual insurance agreements for production and transportation is more than 90%. Optimize the debt maturity structure, seize the market window, and issue the first batch of carbon neutral bonds and energy guarantee bonds, totaling 58.3 billion yuan. The comprehensive cost of the company's interest bearing debt decreased by 20 basis points year-on-year, and the annual interest expenditure was saved by nearly 600 million yuan.
Overseas project management continued to improve. We will further implement one belt, one road strategy, develop international business with high quality, and continue to enjoy good operation in overseas projects. The total profit will increase by 7.3% over the same period last year. Singapore Tuas energy continued to optimize its business strategy, promoted the recovery of power warehouse prices, and obtained full rewards for unit reliability. The pre tax profit of Singapore business was 163 million yuan, an increase of 18.9% year-on-year. Pakistan's sahiwar project coordinated epidemic prevention and control, production and operation, refined fuel management, fund management, tax relief and other work, and strictly controlled costs and expenses. The total pre tax profit of Pakistan business increased by 5.1% year-on-year.
3、 Safety responsibility of the company
The company has always put safety development in the first place, firmly established the safety concept of "safety is reputation, safety is benefit, safety is competitiveness and safety responsibility is more important than Mount Tai", and made every effort to ensure a safe and stable power supply for the society and the power grid.
The company attaches great importance to the personal safety and occupational health of employees, strengthens safety awareness, completes safety protection, and earnestly implements safe production.
Consolidate and consolidate the safety foundation. We will implement the three-year action plan for special rectification of work safety, fight a 100 day battle for safety, deepen the responsibility system, implement inspection and evaluation, promote the rectification of potential risks under the "five inspections and five stricts", and further improve the level of safety management. Focus on the management of infrastructure outsourcing projects and anti violation treatment, carry out on-site safety inspections such as "four no and two direct", complete the investigation of potential risks and problem rectification, and achieve "zero accidents" in infrastructure construction. We successfully responded to extreme weather and natural disasters, and successfully completed the safety service guarantee during the "July 1" and other important periods. The defense task of "ha2021" has been completed, and the foundation of network security has been continuously consolidated.
Continuously improve equipment safety. Deeply carry out the "non-stop control" work, take the "non-stop control" as the starting point, improve the safety management, equipment management and production management level of the power plant, and enhance the implementation awareness of the safety responsibility system. Study and analyze non-stop prevention strategies, strengthen the whole process control of unit operation and maintenance, and continuously improve the reliability level of equipment. Do a good job in normalized epidemic prevention and control. Always put ensuring the safety and health of employees in the first place, refined and implemented various measures at all levels, effectively responded to China's multi-point outbreak, paid close attention to the epidemic prevention and control of overseas projects, organized a close and firm prevention and control network, firmly guarded the "Huaneng position", and won the "double victory" of the company's epidemic prevention and control and production and operation development. 4、 Environmental responsibility of the company
The company always adheres to the new development concept, deeply implements the new national energy security strategy of "four revolutions and one cooperation", and vigorously promotes quality change, efficiency change and power change. Guided by the "double carbon" goal, formulate the "14th five year plan" development plan and carbon peak action plan, optimize the green development path, strengthen the transformation and upgrading of coal-fired power, accelerate the development of new energy projects, deeply promote scientific and technological innovation, continuously improve the level of greenhouse gas management technology, and contribute to the harmonious development of man and nature.
Promote the optimal development of coal power. The scientific development of clean and efficient coal-fired power projects will provide strong support for meeting the requirements of supporting peak shaving of new energy power generation and ensuring the stable supply of regional energy. Ruijin Power Plant Phase II project has built two 1 million KW high-efficiency ultra supercritical secondary reheating units, which is the first (set) national production safety intelligent DCS / DEH integration major technology demonstration project in the energy field of the national energy administration. At the same time, it is equipped with ultra clean emission environmental protection equipment, which has become a smart benchmark for clean, safe and efficient coal-fired power plants in China. Actively promote the transformation and upgrading of thermal power projects to multi fuel, Zhaodong biomass project has obtained the approved price of renewable energy, and three units such as Rizhao Power Plant have completed the transformation of multi fuel coupling and mixed combustion. Orderly promote the "three transformation linkage" upgrading and transformation of coal-fired power units, continuously improve the clean, efficient and flexible technical level of units, and complete the long-distance heating transformation of nine power plants, the energy-saving transformation of nine units such as Jinling power plant, and the flexibility transformation of three units such as Nantong Power Plant.
The development of new energy has been further promoted. We strengthened the adjustment of power supply structure, carried out in-depth storage and development of "zero carbon" power generation projects, and steadily increased the installed capacity of new energy. In the whole year, 28.73 million kilowatts of new energy projects were approved (filed), exceeding the annual task. Construction of 4.68 million kilowatts of new energy installed capacity was started and 3.2 million kilowatts of new energy installed capacity was put into operation. The proportion of new energy installed capacity increased by 2.3 percentage points year-on-year. The scale of offshore wind power has grown steadily. Dalian Zhuanghe offshore wind farm, an offshore wind power project with the largest single capacity and the highest latitude in northern China, is connected to the grid for full capacity power generation, providing Huaneng solutions for the construction of high latitude offshore wind farms. Build the No. 4 offshore wind farm in the south of Shandong Peninsula, Help Shandong province achieve "zero" of offshore wind power "Breakthrough". The three offshore wind power projects in Guanyun, Sheyang and Qidong, Jiangsu Province, are of great significance to promote the transformation and upgrading of local energy structure and promote the high-quality development of offshore wind power. The photovoltaic layout continues to be optimized. Huaneng Dezhou Dingzhuang surface photovoltaic power station, the world's largest floating photovoltaic power station, has been completed and put into operation. Together with the completed onshore wind power project and energy storage device in Dingzhuang base, it has realized the "same field of scenery and storage" 。 Zhejiang Yuhuan Power Plant has built the country's first intertidal photovoltaic power station - Qinggang photovoltaic power station, which cooperates with the special scheme of ecological protection to realize three-dimensional carbon reduction. It has become China's first blue carbon pool photovoltaic power station for ecological treatment of coastal beaches, demonstrating the large-scale green development of offshore beaches.
We will solidly carry out green and cleaner production. Focus on the fine management of unit energy conservation and unit rating to improve the level of energy efficiency excellence. Do a good job in the investigation and rectification of environmental protection risks, and strengthen the management and control of ecological and environmental protection risks. Ensure air quality assurance in key periods and show the image of green Huaneng. In 2021, the coal consumption for production power supply of the company's thermal power units is 290.69 g / kWh, and the power consumption rate of the production plant is 4.34%. The main energy consumption and environmental protection indicators are industry-leading.
Remarkable achievements have been made in scientific and technological innovation. The first set of national production control and information system (DCS / DEH + SIS) in China was completed and put into operation in Ruijin Power Plant Phase II project. At the same time, the super integrated integrated edge cloud was launched to support the four application systems of intelligent safety, intelligent operation, intelligent inspection and intelligent marketing, and significantly improve the intelligent level of operation and management in the actual production of the power plant. The national key R & D plan project "high alkali coal liquid slag removal boiler technology" has passed the acceptance of the Ministry of science and technology. The construction of smart power plant of Shidongkou No. 1 plant has been steadily promoted, and the smart infrastructure management system has won the first prize of smart site management of power construction project. In 2021, the company obtained 2445 patents, including 80 invention patents. We completed 28 PCT patent applications, 20 patent applications from the United States, Japan and Europe, and 5 international patent authorizations, exceeding the annual goal of intellectual property rights.
Improve the level of greenhouse gas management. Do a solid job in the calculation and verification of greenhouse gas emission data. Strengthen the research on carbon emission reduction policies and actively participate in the construction of carbon market. Formulate carbon trading responsibilities and processes, establish a management mechanism suitable for the company's carbon trading, and make full preparations for full performance. In 2021, the company actively participated in carbon market transactions, achieved low-cost and full performance, achieved surplus quota, and laid a solid foundation for helping to achieve the goal of carbon peak and carbon neutralization.
5、 Employee responsibilities of the company
The company has always adhered to the concept of "talent is the first resource", implemented the party's organizational line in the new era, strictly guided the correct selection and employment, actively promoted the strategy of strengthening the enterprise with talents, focused on the development of the company, continuously improved the human resource management system, accelerated the construction of talent team with high-level talents and highly skilled talents as the main body, and formed a talent team with reasonable structure, professional supporting, excellent quality and loyal to Huaneng cause A loyal, clean and responsible high-quality professional talent team that meets the needs of the company's development strategy.
Fully protect the rights and interests of employees. The company always adheres to the fair, just and open employment policy, earnestly implements the labor contract law, trade union law and other laws and regulations, improves the system and regulations of employee congress and factory affairs disclosure, encourages and supports employees to participate in democratic management, ensures employees to fully enjoy the right to know, participate and supervise, continuously improves and deepens the construction of salary distribution system, and establishes various social insurance and housing accumulation funds according to law, Pay in full and on time, ensure the social welfare benefits of employees, safeguard the legitimate rights and interests of employees, and jointly achieve the enterprise development goals with employees. Promote employee development through multiple channels. Further promote the practical experience and professional training of employees, strengthen the communication between the upper and lower levels of the company system, actively expand the development channels of employees, enhance the practical training of employees, enrich the performance experience and broaden the growth channels. Improve the staff learning platform, establish a learning team, deeply promote the dual channel promotion mechanism of employees, promote the growth of technical and skilled talents, develop a new online training mode, organize employees to participate in multi-level and multi field political theory, management knowledge and business skills training, and effectively train employees through on-the-job training
