A-share green weekly report: 47 listed companies exposed to environmental risks Meihua Holdings Group Co.Ltd(600873) subsidiaries with excessive odor and restricted production

Meihua Holdings Group Co.Ltd(600873) wholly owned subsidiaries are restricted from production, and three listed companies should fulfill the responsibility of environmental information disclosure... Which listed companies have the red light of environmental protection and information disclosure responsibility in the third week of April 2022? Let's look at issue 72 of A-share green weekly.

The daily economic news, in conjunction with the public environmental research center (IPE), a well-known NGO in the field of environmental protection, has collected and analyzed the environmental information data of thousands of listed companies and tens of thousands of companies (including branches, joint-stock companies and holding companies) in China every week since September 2020, based on authoritative data sources such as environmental quality, environmental emissions and pollution source supervision Records issued by 31 provincial, urban and 337 prefecture level municipal governments, The release of "A-share green weekly" aims to make the environmental information in the business activities of Listed Companies in the capital market more sunny and transparent with the help of environmental database and professional analysis and dissemination ability.

According to the data collected in the third week of April 2022, the reporter of the daily economic news found that a total of 47 listed companies had recently exposed environmental risks. Among them, 18 are state-owned controlled enterprises and 10 are enterprises with a market value of 100 billion.

one week's Green Book: excessive odor

Meihua Holdings Group Co.Ltd(600873) wholly owned subsidiary restricted production

In addition to the factors such as enterprise management ability, financial situation and industry competition, environmental risk has increasingly become one of the important business risks of listed companies. Environmental risk is not only related to enterprise development, but also related to enterprise image.

Overall, in the third week of April 2022, the negative information such as violations of laws and regulations in the field of ecological environment was related to 47 listed companies.

The reporter of the daily economic news found that behind the 47 listed companies listed in the third week of April 2021, there are as many as 7.9925 million shareholders. If the investment object is listed on the environmental risk list, they may face investment risks.

For example, in the first quarter of this year, the listed company Meihua Holdings Group Co.Ltd(600873) ( Meihua Holdings Group Co.Ltd(600873) . SH) , a subsidiary of Xingquan Herun hybrid securities investment fund managed by star fund manager Xie Zhiyu, continued to expose environmental risks recently.

Among them, according to the information from China, Xinjiang Meihua was ordered to restrict production because the unorganized odor in the factory boundary exceeded the standard. Specifically, on March 28, March 30 and April 3, 2022, the ecological environment bureau of the sixth division of Xinjiang production and Construction Corps entrusted Urumqi Pony Testing International Group Co.Ltd(300887) Technology Co., Ltd. to test the unorganized odor concentration at the boundary of Xinjiang Meihua factory. According to the test report, the unorganized odor concentration at the boundary of the company exceeded the standard limit in the emission standard of odor pollutants (gb144541993).

According to Article 60 of the environmental protection law of the people's Republic of China, the ecological environment bureau of the sixth division of Xinjiang production and Construction Corps decided to order Xinjiang Meihua to restrict production from April 8, 2022 to July 8, 2022. Correction methods include: at present, the production capacity of the whole plant is limited by 30% (one power boiler is limited to shutdown).

Prior to this ticket, Xinjiang Meihua had been fined 200000 yuan for failing to use pollution prevention and control facilities in accordance with the regulations when it was found that some electrodeless tubes of the microwave photooxygen purifier in the odor treatment facilities (alkali washing tower and microwave photooxygen purifier) of the sludge thickening section failed during the on-site inspection during the orange warning period of heavy pollution weather on February 27, 2022.

As a wholly-owned subsidiary of amino acid leader Meihua Holdings Group Co.Ltd(600873) , the main product of Xinjiang plum blossom is amino acid Meihua Holdings Group Co.Ltd(600873) 2021 annual report shows that as of December 31, 2021, Xinjiang Meihua had total assets of 6.858 billion yuan, net assets of 3.191 billion yuan, operating income of 7.416 billion yuan and net profit of 1.206 billion yuan. The listed company Meihua Holdings Group Co.Ltd(600873) also achieved outstanding performance last year. The announcement shows that during the reporting period, the company achieved a revenue of 22.837 billion yuan, a year-on-year increase of 33.94%; The net profit attributable to the parent company was 2.351 billion yuan, a year-on-year increase of 139.4%.

In the case of making a lot of profits, Xinjiang Meihua should further improve the level of environmental governance. According to the report of Xinjiang corps satellite TV on April 21, in response to the problem that Xinjiang Meihua amino acid Co., Ltd. in Wujiaqu City of the Sixth Division has a pungent taste and lasted for many years, the relevant departments of Wujiaqu City of the Sixth Division immediately carried out verification and continued to promote the enterprises to carry out odor control work.

environmental information observation:

3 listed companies shall fulfill the environmental information disclosure requirements according to law as soon as possible

With the increasing attention paid to the concept of green environmental protection, more stringent mandatory environmental information disclosure requirements have been accelerated - at the end of 2021, the Ministry of ecology and environment issued the reform plan of environmental information disclosure system according to law, and issued supporting documents such as the law on the management of enterprise environmental information disclosure according to law (hereinafter referred to as the management measures). Since February 8 this year, the administrative measures have been officially implemented, which clearly stipulates that enterprises should disclose environmental information in a timely, true, accurate and complete manner in accordance with the law. The environmental information disclosed should be concise, clear and easy to understand, and there should be no false records, misleading statements or major omissions.

At present, the list of enterprises whose environmental information is disclosed according to law is gradually being disclosed. The A-share green report project is concerned that some of the eco-environmental supervision records included in this issue involve companies included in the "list of enterprises with legal disclosure of environmental information in 2022".

According to the administrative measures for the legal disclosure of enterprise environmental information, the enterprises included in the list of enterprises that disclose environmental information according to law in 2022 shall disclose in time in the form of temporary environmental information disclosure report after being subjected to administrative punishment for ecological environment violations.

Listed companies Jiangsu Dingsheng New Material Joint-Stock Co.Ltd(603876) ( Jiangsu Dingsheng New Material Joint-Stock Co.Ltd(603876) . SH) were included in the list of enterprises whose environmental information was disclosed according to law in 2022. According to the data collected in the A-share green report project, Jiangsu Dingsheng New Material Joint-Stock Co.Ltd(603876) on April 15, 2022, Zhenjiang Ecological Environment Bureau fined 200000 yuan for "the company's coating workshop line 12 is in production, the sealing curtain of the coating room is damaged, the coating workshop line 19-22 is in production, and the access door of its supporting waste gas treatment facilities is not closed". Punishment Document No.: zjhfz [2022] No. 21.

In addition to the 's Jiangsu Dingsheng New Material Joint-Stock Co.Ltd(603876) the.

The two companies have also received environmental fines recently.

Among them, Shanxi Lu'an Coking Co., Ltd. was fined 200000 yuan by Lucheng Branch of Changzhi Ecological Environment Bureau on April 6, 2022 because "on December 27, 2021, environmental law enforcement officers conducted an on-site inspection on the company and found that the company was in the state of trial production, did not obtain the sewage discharge permit, there was a small amount of coke powder in the coke powder sedimentation tank and coke piled on the coke drying table". The punishment document number is Lucheng Huanfa Zi (2022) No. 12.

Anhui Liuguo Chemical Co.Ltd(600470) received the administrative punishment numbered Tonghuan (Yi) Punishment [2022] No. 1 on April 15, 2022, Anhui Liuguo Chemical Co.Ltd(600470) was ordered to make corrections and fined RMB thirty-eight thousand four hundred. The ticket came from February 14, 2022. Tongling ecological environment bureau and Yi'an district ecological environment branch jointly conducted on-site investigation on the phenomenon that the phosphorus index of Hongxing River automatic water quality monitoring station exceeded the standard for many times. It was found that the phosphorus in the effluent quality of gexiandong flow in phase II of Anhui Liuguo Chemical Co.Ltd(600470) changlongshan ecological restoration project exceeded the standard, resulting in the phosphorus exceeding the standard of Hongxing River automatic water quality monitoring station. After investigation, Anhui Liuguo Chemical Co.Ltd(600470) in case of excessive phosphorus in gexiandong water quality, the emergency plan for environmental emergencies was not started in time, and the excessive situation was not reported in time and effective emergency measures were not taken.

In addition, the decision on administrative punishment shows that due to the excessive phosphorus in gexiandong in phase II, according to the needs of environmental emergency disposal, Anhui Liuguo Chemical Co.Ltd(600470) will transport the phosphorus containing wastewater to tudimiao sewage treatment station in phase I by tanker for treatment, but the dumped ditch has not taken anti-seepage measures, resulting in the leakage of wastewater to the farmland below the broken pond. The quality of the water sample taken from the third party under the surface water breaking pond exceeds the environmental standard of the third party. According to the investigation, the excessive wastewater from gexiandong was sent to the emergency sewage treatment facility of tudimiao in phase I project for disposal, which did not meet the disposal requirements of the emergency plan for environmental emergencies in phase II project.

According to the administrative measures and the standards for the format of legal disclosure of enterprise environmental information, enterprises are required to timely disclose the information with high market attention and strong timeliness such as the change of ecological environment administrative license, administrative punishment and ecological environment damage compensation in the form of temporary environmental information disclosure report within five working days from the date of receiving relevant legal documents.

The reporter of the daily economic news noted that regarding the above penalties, Jiangsu Dingsheng New Material Joint-Stock Co.Ltd(603876) , Shanxi Lu'An Environmental Energydev.Co.Ltd(601699) , Anhui Liuguo Chemical Co.Ltd(600470) were not disclosed in the announcement, and the reporter of the "A-share green report" project sent an interview email to three listed companies on the afternoon of April 28. Shanxi Lu'An Environmental Energydev.Co.Ltd(601699) said he had received an interview email, but he had not received a reply as of the release of the manuscript Jiangsu Dingsheng New Material Joint-Stock Co.Ltd(603876) , Anhui Liuguo Chemical Co.Ltd(600470) , and Anhui Liuguo Chemical Co.Ltd(600470) all replied to the interview letter, indicating that the environmental problems involved have been rectified.

As for the question of which public channels the above punishment will disclose information, Anhui Liuguo Chemical Co.Ltd(600470) said that the administrative punishment company is currently going through the administrative reconsideration procedure, and the company will disclose it in the enterprise environmental information disclosure system in the form of temporary environmental information report according to the progress of administrative reconsideration and the requirements of the management measures Jiangsu Dingsheng New Material Joint-Stock Co.Ltd(603876) said that since the national enterprise environmental information disclosure system is currently in the construction stage, the specific information disclosure implementation rules and plans will be notified and implemented by the national and local competent ecological and environmental departments.

As for why the punishment has not been disclosed in the announcement of the listed company, Anhui Liuguo Chemical Co.Ltd(600470) said that the punishment did not meet the disclosure standard of risk matters of the listed company, Jiangsu Dingsheng New Material Joint-Stock Co.Ltd(603876) said that the punishment is not a major event related to environmental protection that needs to be disclosed temporarily, and said that the company will choose to disclose the administrative punishment due to environmental problems in the corresponding periodic report.

environmental protection punishment: centralized exposure of solid waste

Motic (Xiamen) Electric Group Co.Ltd(300341) subsidiary received two environmental protection fines

In the third week of April 2022, the database collected 47 affiliated enterprises, including 47 listed companies, which received the decision on administrative punishment related to ecological environment, the decision on ordering to correct illegal acts and the decision on dishonesty scoring of environmental impact assessmentp align="center" style="text-align:center;"> Top 10 fines for environmental violations by listed companies and their holding enterprises

According to the data collected in this period, Motic (Xiamen) Electric Group Co.Ltd(300341) (Xiamen) Intelligent Electric Co., Ltd., a subsidiary of Motic (Xiamen) Electric Group Co.Ltd(300341) , a listed company, recorded the maximum penalty of 622500 yuan in this period.

Specifically, Motic (Xiamen) Electric Group Co.Ltd(300341) (Xiamen) Intelligent Electric Co., Ltd. the waste drums contaminated with waste epoxy resin and curing agent are hazardous wastes. However, the investigation found that the company entrusted hazardous waste to unlicensed producers and operators for recycling and disposal. As a result, Motic (Xiamen) Electric Group Co.Ltd(300341) (Xiamen) Intelligent Electric Co., Ltd. was fined 622500 yuan.

Along with this fine comes another punishment, Motic (Xiamen) Electric Group Co.Ltd(300341) (Xiamen) Intelligent Electric Co., Ltd. was also found to store waste barrels contaminated with epoxy resin and curing agent with other solid wastes in the southwest of the plant in the open air, failing to store hazardous wastes in accordance with relevant national regulations and environmental protection standards. A fine of 145000 yuan was imposed.

Motic (Xiamen) Electric Group Co.Ltd(300341) ( Motic (Xiamen) Electric Group Co.Ltd(300341) . SZ) (Xiamen) Intelligent Electric Co., Ltd. is one of its main subsidiaries. Its main business is the production and sales of epoxy insulating parts, with a net profit of 559389 million yuan in 2021.

Besides Motic (Xiamen) Electric Group Co.Ltd(300341) , the listed company Wuxi Acryl Technology Co.Ltd(603722) ( Wuxi Acryl Technology Co.Ltd(603722) . SH) , which focuses on the research and development and production of various new chemical materials, has recently committed environmental violations.

According to the investigation and approval of Wuxi Environmental Protection Bureau, the project with an annual output of 25 million tons of fatty amine and new environmental protection materials was completed in December, 2018, which was approved by Wuxi Environmental Protection Bureau, It has been put into production since it passed the independent completion environmental protection acceptance of wastewater, waste gas and noise in March 2019. The project belongs to the key management project of pollutant discharge permit. However, the Wuxi Acryl Technology Co.Ltd(603722) new plant has not obtained the pollutant discharge permit by the inspection date of February 14, 2022, and is discharging pollutants Wuxi Acryl Technology Co.Ltd(603722) was fined 236000 yuan.

For this punishment, Wuxi Acryl Technology Co.Ltd(603722) , which was also included in the list of enterprises whose environmental information was disclosed according to law in 2022, announced the punishment on April 26 and said that it had started to apply for the pollutant discharge permit of the project since March 2019, but the application process was in the optimization and improvement stage of the pollutant discharge permit filling system. The company experienced many supplementary and modified declarations, resulting in the failure to complete the application within the specified time limit, The pollutant discharge permit will not be obtained until March 9, 2022.

In addition, Wuxi Acryl Technology Co.Ltd(603722) said that during the period of applying for the pollutant discharge permit, the company strictly implemented the pollutant treatment work and did a lot of environmental protection work. All emission indicators reached the standard stably and were much lower than the emission standard approved by the EIA. At the same time, the company did not commit other environmental violations during this period.

In addition to the above companies, in recent years, with the gradual warming of ESG (environment, social responsibility and Governance) investment philosophy, investors pay more and more attention to the sustainable development ability of enterprises. The environmental responsibility of financial investment and strategic investment of listed companies should also be paid attention to. Therefore, the environmental data of directly or indirectly participating enterprises are included in the A-share green report project database.

In this period, a number of listed companies were listed on the environmental risk list due to their participation and indirect participation.

It should be noted that the disclosure of environmental information and data depends on the continuous improvement of the disclosure level of environmental supervision information. From the 2008 Environmental Information Disclosure Measures (for Trial Implementation) to the newly revised chapter V of the environmental protection law of the people's Republic of China, which establishes "information disclosure and public participation", information disclosure is guaranteed from the system construction.

Relevant laws and regulations stipulate that citizens, legal persons and other organizations enjoy the right to obtain environmental information, participate in and supervise environmental protection according to law. The competent environmental protection departments of the people's governments at all levels and other departments responsible for the supervision and administration of environmental protection shall disclose environmental information according to law, improve the procedures for public participation, and provide convenience for citizens, legal persons and other organizations to participate in and supervise environmental protection. The annual report on environmental protection (pidc-120) prepared by the government and the public has gradually become an exception to the principle of "non disclosure of environmental and social resources (PIDC) in 2018".

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