Essential topics
| UN Sustainable Development Goals    |
Key events
| Objectives and initiatives
|
Distribution of responsiblities
Main regulatory documents
| Internal documents | External documents |
| - |
10.1 Management approach
[GRI 3-3 • 203-1]
The Company pays attention not only to financing and production, but also to the social component of its activities, actively engaging with municipal authorities, non-profit organizations and local communities and taking their interests into account when making decisions. The Company regularly participates in sponsorship and charity projects of a social-humanitarian nature.
The power plants and other production facilities of OGK-2 are large industrial facilities, and their activities do not go unnoticed for the environment and public life in the regions where they are located, despite all preventive measures taken. When implementing infrastructure investment projects, the Company may cause inconvenience to local residents. Every time new construction projects are initiated at OGK-2 industrial facilities, open hearings are held with the participation of the public, regulators, federal and municipal authorities and environmental organizations.
10.2 Contribution to regional development
[GRI 413-1]
In the regions where OGK-2 operates, it is a major employer and one of the largest taxpayers. Thus, we can speak of a predominantly positive effect of OGK-2 on local communities and the regional economy. The Company invests in the creation of small infrastructure facilities of social significance on a grant basis. The amount of these investment is insignificant to the Company’s budget and cannot have a significant impact on the financial sustainability of the business, but they are of great social importance and contribute both to improving the quality of life of local communities and improving the image of OGK-2.
OGK-2, PJSC has built long-term partnerships with state authorities and local governments, public organizations in the regions of presence. The most important areas of interaction are the implementation of regional development projects, environmental, socially significant events and projects.
Kirishi SDPP, a branch of OGK-2, PJSC is a member of the Leningrad Regional Chamber of Commerce and Industry (LRCCI). Membership in the chamber maintains loyalty to the Company on the part of the government of the Leningrad Region, local administration, allows you to participate in events organized and held by LRCCI, including to strengthen business ties.
OGK-2, PJSC within the framework of charitable activities supports thirteen regions of the Company's presence: branches and executive office Charitable aid and the distribution of funds takes place in the framework of in-person and extramural meetings of the Charity and Sponsorship Commission, acting on the basis of the relevant Regulation, and requests received by the Company and its branches.
In 2022, the Company identified priority areas for the allocation of charitable funds, such as career guidance: assistance was provided to institutions of secondary vocational education in the Leningrad and Ryazan regions to be able to equip workplaces and upgrade the material and technical base necessary for practical training of students of specialized energy specialties.
OGK-2, PJSC pays great attention to supporting children with disabilities in the regions where the Company operates. In 2022, charitable events for children with disabilities were regularly organized in the regions where the Company operates, and charitable assistance was provided to the city public organization to support children with disabilities in the city of Troitsk, Chelyabinsk Oblast.
[GRI 203-1]
10.3 Interaction with the Media, Public and Authorities
The information policy of OGK-2,PJSC is based on the principles of transparency and openness. The Company’s press-service professionally covers the activities of the Company, provides ongoing comments to inquiries from representatives of the mass media, organizes briefings and press tours in the regions of presence, and assists journalists in creating dedicated reports and films. Throughout 2022, the Company’s activities were actively covered by the federal and regional mass media in the following main areas: financial performance, production, environmental and social issues, social and sports life of the team. The PR divisions of the Company cooperate with news agencies, electronic and print media, public organizations and authorities. With the aim of increasing personnel involvement, creating a unified information environment and integrating employees working in different branches, OGK-2 issues the corporate newspaper called “Generation”. The publication traditionally covers various aspects of the Company’s activities — from current production news to interviews with industry veterans and longreads about labor dynasties. The Generation newspaper is a unified information space outreaching more than seven thousand employees from the Far East to the North-West. Another effective communication channel for OGK-2,PJSC is social networks. Unique content is published daily in the official accounts of the Company, involving into a dialogue not only OGK-2 employees, but also students, potential employees and colleagues from other energy companies.
OGK-2 received the following media and PR awards in 2022:
- The editorial office of the Energetik newspaper and the PR and mass media group of the Novocherkassk State District Power Plant were among the laureates of the journalistic competition to popularize working professions. It has been held by the local association of employers "Board of Directors of Enterprises and Entrepreneurs of the City" since 2016.
- Two projects of Kirishi SDPP were included in the best works of the corporate competition of public relations and corporate media services of subsidiaries and organizations of Gazprom, PJSC.
- The project "Energoblog" took 2nd place in the nomination "Best PR-project", the project "LEGO-GRES: energize your city!" took 2nd place in the nomination "Best Project for Children".
10.4 Corporate volunteering
Our employees regularly participate in volunteer projects.
Volunteer projects
| Volunteer project | Objectives | Measures taken |
| Communal days in urban areas (Energetikov vlg., Sverdlovsk oblast) | Cleaning the streets of the settlement | Cleaning up garbage in Energetikov village |
| Help a shelter for dogs and cats (Sochi, Krasnodar Territory) | Improving the conditions of the shelter pets | Visiting the shelter on a regular basis, purchasing feed and equipment |
| Planting trees at the Ornithological settlem, (Federal Territory Sirius, Krasnodar Territory) | Improvement of the ecological situation | Purchasing and planting trees in a protected area |
| Production communal day (Surgut, Tyumen region) | Cleaning the branch territory | Cleaning the branch territory from the garbage |
| Ecological quest "Clean Games" as part of the gathering of urban youth associations "On the Wing!" (Surgut, Tyumen region) | Improvement of the ecological situation, promotion of a responsible attitude towards the environment | City area cleaning from garbage |
| Communal day in the set. of Dedovichi (Pskov oblast) | Cleaning the streets of the settlement | Clearing of last year's leaves. Removal of sand from roadsides |
| Tidying up the grave of Hero L. Golikov (village Ostraya Luka, Pskov oblast)) | Maintaining in proper condition the burial place of the Hero of the Soviet Union - Leonid Golikov. Preservation of the memory of the heroes of the Second World War | Clearing of last year's leaves. Shrub cutting, grass mowing |
| Communal day on the Meshkov alley of the first builders. (settlement Dedovici, Pskov Oblast) | Alley cleaning. Memorizing the legendary director of the Pskov State District Power Plant, honorary citizen of the Dedovichi District Alexei Meshkov and all builders of the power plant | Clearing of last year's leaves. Shrub cutting, grass mowing. Painting trees and fences |
| Participation in the All-Russian environmental action "Water of Russia" | Cleaning the banks of Galina River | Clearing of last year's leaves |
| Hosting a charity event "A Special Friend: With the Energy of Kindness" | Help for disabled animals | Purchase of medicines, food, etc. |
10.5 Tax policy
[GRI 3-3]
We strictly comply with the tax legislation of the Russian Federation when determining our tax liabilities.
On taxation issues, we work in active contact with the Ministry of Economic Development of Russia, the Ministry of Energy of Russia, the Federal Tax Service of Russia and other government bodies related to taxation. We are in constant contact with representatives of rating agencies, immediately commenting on their questions regarding the tax burden.
10.5.1 Tax strategy
[GRI 207-1]
Achieving sustainable development goals is impossible without strict compliance with tax laws, full and timely payment of taxes and fees.
OGK-2,PJSC is part of Gazprom Group and is one of the largest taxpayers among the Russian energy companies.
The Company tax payments comply with the same tax strategy and policy as those of Gazprom Group, which are based on the basic principles:
- legality based on permanent and strict compliance with the requirements of tax legislation;
- integrity and transparency, involving the disclosure to the tax authorities of all facts and circumstances in a timely and clear manner;
- rationality, optimality and reasonable prudence of tax planning: the mechanisms and possibilities of tax planning should be used rationally, taking into account the interests of shareholders and the strategic goals of the Company;
- flexibility and efficiency: tax policy shall quickly respond to a dynamically changing environment and adapt to the new conditions;
- centralization and unification: taxation management processes should be coordinated on a systematic basis from a single methodological center represented by Gazprom Energoholding LLC.
10.5.2 Tax Management
[GRI 207-1 • 207-2]
Responsible for compliance with the basic principles of tax policy is the Chief Accountant, whose activities are supervised by the Deputy General Director for Economics and Finance of Gazprom Energoholding LLC.
Company’s tax payments are controlled by the Accounting unit. Tax payment management is aimed maintaining a balance between the optimization of the tax burden and tax risks with permanent and strict observance of the tax law and fees, instructions of regulatory authorities, taking into account the established judicial practice.
The division has specialists with profound knowledge and necessary experience in the tax field. In order to improve competencies, the Company engages consultants from major consulting, legal and auditing companies to address specific issues.
The Company applies tax incentives provided by the legislation on taxes and fees. The legitimacy of benefits use is confirmed, among other things, by the absence of claims from the tax authorities as a result of in-house and on-site tax audits regarding the benefits.
The Company fully complies with the requirements of the legislation on tax price control (transfer pricing).
The Company does not use transfer pricing as a tax planning tool; transactions with affiliates are carried out on the basis of the principle of independence of the participants in the transaction. At the same time, the prices and tariffs applied by the Company in intra-group transactions are economically justified.
10.5.3 Tax risks
The Company is subject to tax control in the form of tax monitoring, the Company has a risk management and internal control system in accordance with the standards of the Federal Tax Service of Russia. Information on risks according to the forms of the Federal Tax Service of Russia is submitted quarterly in accordance with the Order of the Federal Tax Service of Russia dated May 25, 2021 N ED-7-23/518@.
The Company also prepares monthly tax risk reports in corporate forms.
Large, significant and complex transactions are coordinated by the Company with the tax division of Gazprom Energoholding, LLC where optimal business solutions are jointly elaborated.
10.5.4 Interaction with stakeholders on tax issues
[GRI 207-3]
The key principle of interaction with stakeholders is openness, since building a constructive dialogue is essential to form the basis for making economically sound management decisions, business development, and the implementation of the Company's strategic goals.
10.6 Supply Chain Management
[GRI 2-6 • 301-1]
Relationships with counterparties that have an impeccable reputation, comply with the law and adhere to corporate and business ethics are established on an unconditional and priority basis. The Company generally selects its suppliers and contractors on a competitive basis. The relationships with all the suppliers, regardless of their share in the supply structure, are built on the principles of responsible partnership. OGK-2 strives to maintain long-term, stable and mutually beneficial relationships with suppliers.
The standard contracts impose an obligation on all of the Company’s contractors to comply with the environment protection law of the Russian Federation. The assessment of contractors’ compliance with environmental requirements is carried out during the tender procedures and expert review of bids. All products are supplied to the Company with advisory safety data sheets explaining possible hazards in handling the products and the necessary precautions.
The waste management and disposal contracts include requirements to have a license for the right of handling the corresponding waste. The appendices to the contracts contain information on penalties for non-compliance with the environmental laws. The ecologists monitor contractors’ compliance with waste management requirements during site visits.
The main resource procured by OGK-2 for the production of electric and thermal energy is fuel. Fuel costs also prevail in the Company’s variable costs*.
* According to financial statements prepared in accordance with RAS standards.
| 2021 | 2022 | ||||
| Fuel costs, million rubles | Variable costs, million rubles | Share of fuel costs in variable costs, % | Fuel costs, million rubles | Variable costs, million rubles | Share of fuel costs in variable costs, % |
| 65,276.36 | 76,482.57 | 85.35 | 67,570.14 | 77,520.11 | 87.16 |
The structure of fixed costs prevail over the staff costs, repairs and maintenance, as well as taxes.
The strategy pursued by OGK-2 in the field of fuel supply is aimed at optimizing the fuel balance in order to minimize costs. It provides for the maximum possible replacement of expensive fuel with other types of fuel, purchase of fuel through competitive procedures, conclusion of long-term contracts for the supply of fuel.
The Company’s capacities are dispersed across 12 regions of Russia. In this regard, OGK-2 actively cooperates with regional coal suppliers and optimizes fuel costs through the use of gas and various types of coal by power plants. For the needs of OGK-2 branches, coal from the Pereyaslovsk and Ekibastuz mines, as well as from the Kuznetsk and Donetsk coal basins, is supplied under long-term supply contracts.
There were no significant changes in the Company’s supply chain during 2022.
The supply chain of OGK-2 reflects the most significant suppliers and their share in the Company’s expenses for the purchase of the main types of raw materials used – gas, coal, fuel oil and diesel fuel. When selecting the most significant suppliers, we were guided by the principle of essentiality – the scheme below shows suppliers whose share is more than 10% in the total cost of deliveries of this type of raw material for 2022.
10.6.1 Support for SMEs and local suppliers
The activities of OGK-2 directly affect the economic well-being of the regions where the Company operates. The company actively cooperates with local suppliers, helping them to develop their business and improve the well-being of the territories where they operate. We strive to support local suppliers in the regions where we operate.