7.3. Financial and Economic Indicators of Company Activities
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COMPONENTS OF SUCCESS There are no small things, there are details ANNUAL REPORT JSC TYUMENENERGO FOR 2011 Annual Report of JSC Tyumenenergo for 2011 approved by the Board of Directors of JSC Tyumenenergo 23.05.2012 and submitted for approval of the annual General Meeting of shareholders of JSCSCC TyumenenergoTyu Acting Director-Generaleneerar l JSC Tyumenenergogogo P.A. Mikheev Chief accountantantt JSC Tyumenenergonergoo L.I. Lagunovaa JSC TYUMENENERGO CONTENTS ANNUAL REPORT | 2011 ANNUAL REPORT | 2011 CONTENTS JSC TYUMENENERGO CONTENTS Message from Chairman of the Board of Directors COMPANY DEVELOPMENT 82 and Acting Director General of JSC Tyumen energo 6 5.1. Research and development and innovation development 86 Area of Activities 10 №05 5.2. Investment activity 91 5.3. Development of the communication network and information technologies 94 COMPANY PROFILE 14 REPORT ON SOCIAL RESPONSIBILITY 96 1.1. Key fi gures for last fi ve years 16 6.1. The role of Tyumenenergo in regional development 99 №01 1.2. The Company’s Position within the Industry and the Region 18 №06 6.2. Public and government relations. Congress and exhibition activities 102 1.3. Strategic development. Priority areas 20 6.3. Environmental protection 105 1.4. The focus of the year. Main Events 24 6.4. Emergency prevention 107 1.5. History of the Tyumen energy system 26 6.5. Labor protection 108 6.6. Human resources management 110 COMPANY MANAGEMENT 30 2.1. Internal control and risk management system 33 FINANCIAL CONDITION AND PERFORMANCE ANALYSIS 116 №02 2.2. Legal regulation 38 7.1. Company property condition and fi nance source analysis 119 2.3. Customer focus 39 №07 7.2. Company fi nancial condition analysis 123 2.4. Quality Policy 40 7.2.1. Revenue 123 7.2.2. Cost 124 CORPORATE GOVERNANCE. 7.3. Financial and economic indicators of company activity 128 SECURITIES, EQUITY CAPITAL, AND DIVIDEND HISTORY 42 7.4. Accounting balance sheet 132 №03 3.1. Corporate governance 45 3.1.1. Corporate governance principles 45 REFERENCE INFORMATION FOR SHAREHOLDERS 206 3.1.2. Information on material transactions 47 Glossary 209 3.1.3. Company management and control bodies 47 №08 3.1.4. Subsidiaries and affi liate companies 57 3.2. Securities, stockholders' equity, and dividend history 59 3.2.1. Stockholders' equity 59 3.2.2. Bonds 60 3.2.3. Dividend History 61 RESULTS OF OPERATING ACTIVITIES 64 4.1. Power transmission organisation 67 №04 4.1.1. Transmission capacity 68 4.1.2. Tariff setting. The tariff structure 69 4.1.3. Company income structure 72 APPENDIXES ON THE CD 4.1.4. Revenue from power transmission services 74 1. Main events 4.1.5. The volume of electricity transmitted through the power grids 74 CD 2. Information on compliance of the Company 4.1.6. The dynamics of electric power losses 75 with recommendations of the Corporate Code of Conduct 4.1.7. Energy conservation and improvement of energy effi ciency 76 3. Competence of the General Meeting of Shareholders 4.1.8. Energy consumption on production facilities and economic needs 77 and Board of Directors of the Company 4.1.9. Implementation of measures to reduce losses and their eff ectiveness 77 4. Information on Company subsidiaries and affi liates 4.1.10. The state of electricity metering, the introduction of automated measuring 5. Information about shares of JSC Tyumenenergo in the authorized capital and information systems for electricity control and metering 77 and voting shares in other companies 4.2. Organization of the technological connection process 78 6. Information about the Company's participation in nonprofi t institutions 4.3. Organization of long-term development 81 7. Repair program implementation JSC TYUMENENERGO MESSAGE ANNUAL REPORT | 2011 ANNUAL REPORT | 2011 MESSAGE JSC TYUMENENERGO MESSAGE FROM CHAIRMAN OF THE BOARD OF DIRECTORS N.N. SHVETS AND ACTING DIRECTOR GENERAL OF JSC TYUMEN ENERGO P.A. MIKHEEV Chairman of the board Acting Director General of directors N.N. Shvets P.A. Mikheev Dear Ladies and Gentlemen! These include: increasing investment attractive- One of the results of this process was the project The year-end results are consistent with the indica- ness, improving effi ciency and reliability, and recommended by JSC Tyumen energo, which won tors established in the business plan. The time has come to sum up the activities of ensuring transparency of our activities. A number the national competition of youth innovation the Group of Companies of IDGC Holding and of programs have been adopted to achieve the projects “The Energy of the Future”. The stability of JSC Tyumen energo activities is JSC Tyumen energo for 2011. This was a diffi cult determined aims, and one of the most important is particularly important in the view of the specifi cs period, but the fact is that there are no easy times the Innovation Development program. IDGC Holding It is with pride for the JSC Tyumen energo team that of the areas where the Company operates, which for our industry. The power industry is an underlying companies, being among the fi rst in Russia to begin we can state that the Company has accomplished include the main oil and gas production regions driving force for the development of other indus- work on renovation of production facilities, have its main task for 2011 — to provide reliable, high of the country. A high concentration of gas and oil tries. This is why any diffi culties we encounter are achieved tangible results and have grown into driv- quality power supply to consumers of electricity in companies, processing plants, an extensive oil and new experiences to be handed down to those who ers of innovation ideology for the regions they oper- the Tyumen Region, and Khanty-Mansi and Yamalo- gas transportation system within the serviced area follow us. And our common task consists in making ate in. Moreover, today they do not only practise the Nenets Autonomous Districts. requires that the Company assumes the highest this experience as useful as possible to learn all use of new technologies; the interregional distribu- responsibility for ensuring reliable energy supply. lessons and draw the correct conclusions. tion grid companies have concentrated a serious JSC Tyumen energo retains an important role in the scientifi c potential, which can aff ect the vector of region development of the areas it operates in. On JSC Tyumen energo achieved quite good results in Throughout the year the Board of Directors of the the industry’s development in the decades to come the whole, one of the main features of the Com- reducing the number of emergency power sys- Company has worked on ensuring the interests of to actually formulate the basic principles of the pany’s work in 2011 was reliability and stability. tem blackouts in 2011. The implementation of all shareholders, improving the quality of com- energy system of the future. It cannot be disputed We have continued the work we commenced earlier JSC Tyumen energo target programs — reducing pany management and achieving key performance that the management of JSC Tyumen energo, being on distribution and promotion of the government's process failures in the work of substations, high- indicators. The well organized and effi cient work of fully aware of the importance of the innovation policy of modernization, we achieved good results in voltage transmission lines, distribution networks the shareholder representatives and the company's process in its aspiration for a more effi cient power energy effi ciency, including a relatively new energy and improving the lightning-proof system of power management has ensured stronger corporate unity industry, provides maximum assistance to develop- service line, we launched several major projects for lines all made it possible to eliminate technical fail- and fi nancial stability for the Company. ers of unique technologies in Russia for implement- the regions and introduced a power facility that is ures due to falling power transmission line supports ing their experience, stimulates the activities of strategically important for the industrial and social caused by the heaving of pile foundations, to reduce 6 Several priorities have been set for the Company’s young scientists and supports institutions of higher development of the Khanty-Mansi Autonomous signifi cantly the number of outages due to storm 7 development over the next few years. education. District — Yugra. surges or associated with damage to high-voltage WWW.TE.RU COMPONENTS OF SUCCESS JSC TYUMENENERGO MESSAGE ANNUAL REPORT | 2011 ANNUAL REPORT | 2011 MESSAGE JSC TYUMENENERGO power transformer bushings, ceramic covers of high Meanwhile, the amount of the Company’s consum- unions, veteran and youth organizations, universi- voltage oil switches or to support core insulation ers is increasing and further growth is forecasted. ties, and other organizations interested in the inno- disconnectors. The above is related to the changes in the structure vative development of the Russian economy, as well of power demand: the dynamics for consumption as in the creation of a new type of society. Due to the high quality performance of the growth in urban areas due to their rapid develop- measures of the above programs, compliance with ment exceeds the growth dynamics for industrial In 2011, the Company continued its winning tradi- maintenance program parameters, and implemen- consumption. JSC Tyumenenergo has formed an tion. The JSC Tyumen energo team once again won tation of the equipment renovation program, all investment program in the light of this trend which the All-Russian professional skills competition JSC Tyumen energo units have received certifi cates anticipates the need for developing extra energy within JSC IDGC Holding, having shown the best stating their preparedness for work in the autumn- infrastructure for cities in the Tyumen Region and possible results.