Datang International Power Generation Co.Ltd(601991)
Internal control evaluation report in 2021
Datang International Power Generation Co.Ltd(601991) all shareholders:
In accordance with the provisions of the basic norms of enterprise internal control and its supporting guidelines and other internal control regulatory requirements (hereinafter referred to as the enterprise internal control normative system), combined with the company's (hereinafter referred to as the company's) internal control system and evaluation methods, and on the basis of daily and special supervision of internal control, we evaluated the effectiveness of the company's internal control on December 31, 2021 (the benchmark date of internal control evaluation report). I Important statement
It is the responsibility of the board of directors of the company to establish, improve and effectively implement internal control, evaluate its effectiveness and truthfully disclose the internal control evaluation report in accordance with the provisions of the enterprise's internal control standard system. The board of supervisors shall supervise the establishment and implementation of internal control by the board of directors. The management is responsible for organizing and leading the daily operation of the enterprise's internal control. The board of directors, the board of supervisors and the directors, supervisors and senior managers 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 legal liabilities for the authenticity, accuracy and completeness of the contents of the report.
The objective of the company's internal control is to reasonably ensure the legal compliance of operation and management, asset safety, authenticity and integrity of financial reports and relevant information, improve operation efficiency and effect, and promote the realization of development strategy. Due to the inherent limitations of internal control, it can only provide reasonable assurance for the realization of the above objectives. In addition, as changes in circumstances may lead to inappropriate internal control or reduced compliance with control policies and procedures, there is a certain risk to speculate the effectiveness of internal control in the future according to the internal control evaluation results. II Internal control evaluation conclusion 1 On the benchmark date of the internal control evaluation report, does the company have any major defects in the internal control of financial reporting
□ yes √ no
2. Evaluation conclusion of internal control over financial reporting
√ valid □ invalid
According to the identification of major defects in the company's internal control over financial reporting, there are no major defects in the internal control over financial reporting on the benchmark date of the internal control evaluation report. The board of Directors believes that the company has maintained effective internal control over financial reporting in all major aspects in accordance with the requirements of the enterprise's internal control standard system and relevant regulations. 3. Whether major defects in internal control over non-financial reporting are found
□ yes √ no
According to the identification of major defects in the company's internal control over non-financial reports, the company found no major defects in the company's internal control over non-financial reports on the benchmark date of the internal control evaluation report.
4. Factors affecting the evaluation conclusion of internal control effectiveness from the benchmark date of internal control evaluation report to the date of issuance of internal control evaluation report □ applicable √ not applicable
There are no factors affecting the evaluation conclusion of the effectiveness of internal control from the base date of the internal control evaluation report to the date of issuance of the internal control evaluation report. 5. Whether the internal control audit opinion is consistent with the company's evaluation conclusion on the effectiveness of internal control over financial reporting
√ yes □ No 6 Whether the disclosure of major defects in internal control of non-financial reports in the internal control audit report is consistent with the disclosure of the company's internal control evaluation report √ yes □ no III Internal control evaluation (I) Scope of internal control evaluation
According to the risk oriented principle, the company determines the main units, businesses and matters included in the evaluation scope and high-risk areas. 1. The main units included in the evaluation scope include: the headquarters of the company and its affiliated subsidiaries. 2. Proportion of units included in the scope of evaluation:
Proportion of indicators (%)
The ratio of the total assets of the units included in the evaluation scope to the total assets of the company's consolidated financial statements 100
The total operating income of the units included in the evaluation scope accounts for 100% of the total operating income in the company's consolidated financial statements
3. The main operations and matters included in the scope of evaluation include:
"Three important and one big" management, project investment management, project compliance management, engineering construction management, production management, sales management, fuel management, procurement management, related party transaction management, science and technology project management, equity management, fund management, guarantee management, material management, fixed asset management, intangible asset management, budget management, etc. 4. High risk areas of focus mainly include:
Pre project development management, sales management, financial report management, internal audit, production management, fuel management, social responsibility, fund management, etc. 5. The above units, businesses and matters included in the evaluation scope and high-risk areas cover the main aspects of the company's operation and management. Is there any major omission □ yes √ No 6 Is there a statutory exemption
□ yes √ No 7 Other explanatory matters
（2） Basis of internal control evaluation and identification standard of internal control defects
The company organizes and carries out internal control evaluation according to the enterprise internal control standard system, internal control system and evaluation methods. 1. Whether the specific identification standard of internal control defects is adjusted with that of previous years
□ yes √ no
The board of directors of the company distinguished the internal control of financial report from the internal control of non-financial report according to the identification requirements for major defects, important defects and general defects of the enterprise internal control standard system, combined with the factors such as the company's size, industry characteristics, risk preference and risk tolerance, and studied and determined the specific identification standards of internal control defects applicable to the company, which are consistent with the previous years. 2. Identification standard of internal control defects in financial reporting
The quantitative criteria for the evaluation of internal control defects in financial reporting determined by the company are as follows:
Index name major defect quantitative standard important defect quantitative standard general defect quantitative standard
Considering that the error of compensatory control greater than or equal to 50 million yuan is less than 50 million yuan, and the degree of internal control defect guidance is greater than that of 5 million yuan
Description of potential misstatement amount in financial statements: None
The qualitative criteria for the evaluation of internal control defects in financial reporting determined by the company are as follows:
Qualitative standard of defect nature
Major defects if the company has the following signs, it usually indicates that there may be major defects in the internal control of financial reporting:
(1) The directors, supervisors and senior managers of the company commit fraud and cause heavy losses to the enterprise;
(2) The company corrects the published financial report and has a significant impact on the enterprise;
(3) There are significant misstatements in the current financial report, but the internal control fails to find misstatements in the operation process;
(4) The internal audit function's supervision of internal control is invalid and causes great losses to the enterprise.
Significant defects if the company has the following signs, it usually indicates that there may be significant defects in the internal control of financial reporting:
(1) Other employees of the company commit fraud and cause great losses to the enterprise;
(2) The company corrects the published financial report and has a great impact on the enterprise;
(3) There are important misstatements in the current financial report, but the internal control fails to find misstatements in the operation process;
(4) The internal audit function is ineffective in supervising the important business of internal control, and causes great losses to the enterprise.
General defects if the company has the following signs, it usually indicates that there may be general defects in the internal control of financial reporting:
(1) Other employees of the company commit fraud and cause general losses to the enterprise;
(2) The company corrects the published financial report and has a general impact on the enterprise;
(3) There are general misstatements in the current financial report, but the internal control fails to find misstatements in the operation process;
(4) The internal audit function is ineffective in supervising the important business of internal control and causes general losses to the enterprise.
Note: none 3 Identification standard of internal control defects in non-financial reporting
The quantitative criteria for the evaluation of internal control defects in non-financial reporting determined by the company are as follows:
Index name major defect quantitative standard important defect quantitative standard general defect quantitative standard
Net profit impact category 50 million yuan ≤ net profit impact amount 5 million yuan ≤ net profit impact amount 0 net profit impact amount 5 million yuan 50 million yuan
Asset loss: 50 million yuan ≤ asset loss: 5 million yuan ≤ asset loss: 0 asset loss: 5 million yuan 50 million yuan
No: description
The qualitative criteria for the evaluation of internal control defects in non-financial reporting determined by the company are as follows:
Qualitative standard of defect nature
Major defects 1 Violation of laws and regulations:
Major violations of laws and regulations (50 million yuan ≤ amount involved), being filed for investigation by regulatory authorities (provincial level and above), the enterprise faces administrative punishment (amount 50 million yuan), and the company's leaders are interviewed or punished, which has a significant impact on the production and operation of the enterprise. This impact needs to be eliminated by the enterprise in a long time and needs to pay a significant price (50 million yuan ≤ amount);
2. Legal disputes:
A major legal dispute case is filed for investigation by the judicial organ, and the main assets are sealed up, detained and frozen, which has a significant impact on the production and operation of the enterprise. This impact needs to be eliminated by the enterprise in a long time and needs to pay a heavy price (50 million yuan ≤ amount);
3. Trade sanctions:
Export controls and trade sanctions imposed by overseas countries, regions or international organizations have a significant negative impact on the company's internationalization strategy or the image of the country or region where the company is located. This impact needs to be eliminated by the enterprise in a long time and needs to pay a heavy price (50 million yuan ≤ amount);
4. Negative public opinion:
It is published by domestic or overseas media networks, which has a significant negative public opinion impact on the company in the province where the enterprise is located or in overseas countries and regions. This impact needs to be eliminated by the enterprise in a long time and needs to pay a heavy price (50 million yuan ≤ amount);
5. General and above production safety accidents and environmental events;
6. Major and above overseas emergencies occur;
7. Major and above leapfrog, group petition for social stability events and major and above overseas emergencies;
8. Major cases of overdue loans or major losses of assets within the company's legal system caused by the company's leaders or above;
9. Level III or above information security accidents;
10. Major and above business secret leakage events occur;
11. The company's governance structure and rules of procedure are not perfect or exist in name only, and the three meetings have not been held for a long time or can not normally exercise the responsibilities of the three meetings, resulting in the out of control decision-making and management of major matters of the enterprise, which has a significant impact on its production and operation;
12. The "three important and one big" decision-making procedures of the enterprise are missing, and there are major violations of regulations or decisions beyond the authority, leading to major decision-making mistakes, which have a significant impact on the production and operation of the enterprise;
13. The company's management or technical personnel have lost one after another, and the turnover rate is higher than the average market level of the same industry, which has a significant impact on the company's production and operation;
14. Major defects have not been effectively rectified;
15. Lack of system control or systematic failure of many important businesses of the enterprise, which has a significant impact on the production and operation of the enterprise.
Important defects 1 Violation of laws and regulations:
Major violations of laws and regulations (prefecture and municipal level) have a great impact on the production and operation of enterprises. This impact can be eliminated in a short time, but it needs to pay a high price;
2. Legal disputes:
There are major legal disputes or major legal dispute cases, which have a relatively serious impact on the production and operation of the enterprise
Large impact, which can be eliminated in a short time, but it needs to pay a high price;
