Annual Report 2012 Safety Efficiency Responsibility
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ANNUAL REPORT 2012 SAFETY EFFICIENCY RESPONSIBILITY Rosenergoatom ANNUAL REPORT 2012 Rosenergoatom 4 Concern OJSC Concern OJSC 5 ANNUAL REPORT ROSENERGOATOM CONCERN ROSENERGoatoM OJSC KEY FINANCIAL CONCERN OJSC 2012 AND BUSINESS INDICATORS FOR 2010–2012, MLN RUBLES Item 2010 2011 2012 Registered capital 461,515 530,012 530,012 Revenue 210,223 201,405 200,526 Net exports revenue 90 232 324.4 Total deducted key tax 17,092.38 18,386.04 21,094.15 amounts payable to budgets, including to: • federal budget 3,893.10 7,399.33 6,254.12 • local budget and 13,199.29 10,986.71 14,840.02 budgets of the Administrative ROSENERGOATOM CONCERN OJSC Subjects of the IS THE MOST EFFECTIVE GENERATING Russian Federation COMPANY IN THE YEAR 2012 Net profit 21,744 –2,913 –1,849 Rosenergoatom Concern OJSC has won the first place in the rating G“ enerating companies: Asset value 741,549 964,734 1,087,826 effectiveness in the market” completed by the specialists of Non-commercial partnership Net asset value 679,433 835,020 936,542 “Market council” based on the results of activity in the 2012. The rating of the generating companies’ Gross profit 121,588 92,050 76,115 effectiveness is calculated and published in the Automatized information system Total profit tax, charged 7,825.76 3,083.11 6,521.93 “Electricity and power markets” of Non-commercial and paid partnership “Market council”. The rating includes the information about the results of activity Dividends payable 847 0 0 total of 77 generating companies in Russia. Charitable spending 443 491 586 Investments in equity 136,554 201,778 146,230.5 Rosenergoatom ANNUAL REPORT 2012 Rosenergoatom 6 Concern OJSC Concern OJSC 7 TABLE OF CONTENTS About this Annual Report 9 Section 5. Financial Situation and Performance 146 Business Geography 12 5.1. Key Financial Performance Figures 148 Address of the Chairman of the Board of Directors 14 5.2. Investment Activities 158 Address of the General Director 16 2012 Calendar of Key Corporate Events 18 Section 6. Sustainable Growth 162 6.1. Public Position on Sustainable Growth 164 Section 1. Overview 24 6.2. Environmental Impact 167 1.1. General Information 26 6.3. Human Resource Management 174 1.2. History 26 6.4. Labour Protection 182 1.3. Corporate Structure 28 6.5. Social Policy 185 1.4. Subsidiaries 29 6.6. Developing Areas of Presence 190 6.7. Charity and Sponsorship 195 Section 2. Development Strategy and Outlooks 30 6.8. Interaction with Stakeholders 196 2.1. Mission 32 2.2. Business Model 33 Conclusion on the Public Consultation Rosenergoatom’s 206 2.3. Key Strategic Goals and Initiatives 36 Annual Report Rosenergoatom Section 3. Performance in Key Activities 38 Appendices 210 3.1. Position in the Industry 40 Details and Contacts 212 3.2. Electrical Power Production by Russian Nuclear Plants. 46 Table of Standard Components of Sustainable Growth Reports 213 Generating Capacity Guidance under the Global Reporting Initiative (GRI), RUME 3.3. Ensuring Russian Nuclear Plants Safety. 74 System of Public Reporting Indicators at Rosenergoatom 230 Radiation Impact on Personnel and Citizens Auditor’s Opinion on Non-Financial Reports 236 3.4. Developing Generating Potential 90 Statement by the Rosenergoatom Internal Control and Audits 238 3.5. Maintenance and Repairs of NPPs. 98 Department on the Results of an Internal Audit to Examine Implementation of Rosatom Production System Rosenergoatom’s Process of Generating Public Reports 3.6. Innovative Activities 102 Business/Financial Accounting Statements 240 3.7. International Activities 108 Auditor’s Report Certifying Annual Business 248 Accounting Statements Section 4. System of Management 112 Auditing Committee Statement on the Results of Review 250 4.1. Structure and List of Executive Management 114 of Financial and Business Activities of Rosenergoatom 4.2. Corporate Management System 128 Concern OJSC for 2012 4.3. System of Key Efficiency Ratios. 131 Report on the Concern’s Compliance with Provisions 251 Employee Evaluation and Remuneration of the Corporate Conduct Code recommended by the Federal 4.4. Internal Control and Auditing 134 Financial Markets Service 4.5. Risk Management 136 Active nuclear power units connected to the grid 258 4.6. Property Management 140 Installed Capacity and Electrical Power Generation 259 4.7. Quality Management 140 by Russian Nuclear Plants in 2012, by Power Sources 4.8. Purchase Management 141 and Geography (Regions of Russia) 4.9. Information Technology 143 Glossary 260 Abbreviations 264 2012 Rosenergoatom Concern OJSC 9 ABOUT THIS ANNUAL REPORT Description of the Report for electric power industry (GRI Electric Utility Sector addendum); THIS ANNUAL REPOrt • АА1000 series of standards published by the International Institute of Social and OF ROSENERGOatOM Ethical Accountability; CONCERN OJSC (HEREINAFTER – • Recommendations from the Internation- THE “CONCERN”) FOR 2012, al Integrated Reports Council (IIRC); AND FOR FOUR PREVIOUS • Recommendations of the Russian Union of Industrialists and Entrepreneurs YEARS, IS AN INTEGratED (RSPP) on managerial practices and cor- REPOrt THat COMBINES porate non-financial reports (Key Perfor- THE USUAL ANNUAL REPOrt mance Indicators); • Rosatom Nuclear Energy State Corpora- AND THE SUStaINED tion’s Public Accountability Policy; DEVELOPMENT REPOrt FILED • Public Annual reports Standard of Ros- BY THE COMPANY. energoatom Concern OJSC; • Rosenergoatom Concern OJSC Ethics Code. The Annual Report for Rosenergoatom This Annual Report discloses key perfor- Concern OJSC (hereinafter – the “Annual mance indicators of business activities for Report”) was prepared to meet the require- the period between January 1 and December ments of the following regulatory docu- 31, 2012, and describes the Concern’s out- ments: looks for growth aimed at efficient achieve- • “Corporations” Federal Act of December ment of strategic goals and building a basis 26, 1995, No.208-FZ; for long-term sustainable growth. There • “Corporate Accounting” Federal Act of have been no substantial changes from December 6, 2012, No.402-FZ; previous reporting periods in terms of the • Executive Order of the Federal Financial scope, boundaries, and methods adopted for Markets Service (FFMS) of Russia No. the Annual Report. 11-46/pz-n of October 04, 2011, “Approv- al of Regulation on information disclo- The structure of this Annual Report in- sure by issuers of securities”; cludes information on performance of the • Russian FCS Directive of April 4, 2002, Concern and its branch companies (NPP). No.421/р “Recommendation on applica- The Annual Report comprehensively dis- tion of the Corporate Conduct Code”; closes financial, economic, and production- • Russian FCS Directive of April 30, 2003, related information on the Concern’s key No.03-849/р “Methodological recom- activities, as well as their economic, environ- mendations on the structure and format mental, and social impacts. of Corporate Conduct Code compli- ance information in corporate annual Report Building Process reports”; • Sustainable Development Reporting Before this report was prepared, the con- Manual published by the Global Report- text of the Concern’s operations in 2012 ing Initiative organization (GRI, version was subject to examination. Just as before, G3.1), GRI industry-oriented addendum the safety of NPP operation remained one Rosenergoatom ANNUAL REPORT 2012 Rosenergoatom 10 Concern OJSC Concern OJSC 11 of the key issues on the international scale. tors (compared to 56 indicators in the 2011 Considering the context, “Safety of the Rus- Report). The GRI compliance level is А+, sian nuclear power industry” was selected to while the 2011 Report was level B+. More be the priority topic of this report. disclosed indicators and a higher compli- ance level were possible thanks to improve- The Annual Report was prepared to meet ments of the consolidated data gathering the requirements of the guidance on sus- system and the public reporting system in tainable growth reports by the Global Re- the Concern. porting Initiative international organization (GRI, version G3.1), and the technical proto- Disclaimer col. To ensure that the topic is relevant, the report realized the principle of stakeholder Information included in this Annual Report interaction. Stakeholder representatives contains, among other things, estimates were invited to discuss the report through and other forecast figures as an attempt to dialogs, public consultations and public af- describe future events or future financial firmation. Interaction with stakeholders was activities of the Concern. Such statements arranged as recommended in the Stakehold- are speculative by their nature, and may ulti- er Interaction Standard АА1000SES. mately differ from real-life events or results. Forecast information is disclosed before the Level of compliance of this Annual Report respective reporting period begins. Many with the GRI Manual (G3.1) – А+ existing factors may cause actual results to significantly depart from those stated in Disclosure of information in the Annual our assumptions or estimates. This includes Report corresponds to level А+, as con- general economic conditions, competitive firmed by an independent third party audit environment, risks related to the operations conducted by PricewaterhouseCoopers. inside and outside Russia, changes in tech- A+ nologies and the market situation in the Differences from the 2011 Annual report nuclear power industry, and other factors relevant to the Concern’s business. The main difference between the 2012 Annual Report and