Guangdong Electric Power Development Co., Ltd.
2021 Annual Report
April 2022
Guangdong Electric Power Development Co., Ltd. 2021 Annual Report
I. Important Notice, Table of Contents and Definitions
The Board of Directors , Supervisory Committee ,Directors, Supervisors and Senior Executives of the Company
hereby guarantees that there are no misstatement, misleading representation or important omissions in this report
and shall assume joint and several liability for the authenticity, accuracy and completeness of the contents hereof.
Mr.Wang Jin, The Company leader, Mr. Liu Wei, Chief financial officer and the Mr.Meng Fei, the person in
charge of the accounting department (the person in charge of the accounting )hereby confirm the authenticity and
completeness of the financial report enclosed in this Annual report.
Other directors attending the Meeting for annual report deliberation except for the followed:
The name of director who did not The name of director who was
Position of absent director Reason
attend the meeting in person authorized
Li Fangje Director Due to business Li Baobing
Mao Qinghan Director Due to business Wang Jin
Yin Zhongyu Independent director Due to business Ma Xiaoqian
This annual report involves the forecasting description such as the future plans, and does not constitute the actual
commitments of the company to the investors. Investors and stakeholders should all maintain sufficient awareness
of risks for this and understand the differences between plans, forecasts and commitments.
The Company's main business is the investment, construction and operation management of electric power
projects and new energy projects. Please refer to the section "XI. Outlook of the Company's Future Development"
in Section III Management Discussion & Analysis for possible risks and countermeasures of the Company's future
development.
The Company Will not distribute cash dividend or bonus shares, neither capitalizing of common reserves.
-1-
Guangdong Electric Power Development Co., Ltd. 2021 Annual Report
Table of Contents
I.Important Notice, Table of contents and Definitions
II. Company Profile & Financial Highlights.
III. Management Discussion & Analysis
IV. Corporate Governance
V. Environmental & Social Responsibility
VI. Important Events
VII. Change of share capital and shareholding of Principal Shareholders
VIII. Situation of the Preferred Shares
IX. Corporate Bond
X. Financial Report
-2-
Guangdong Electric Power Development Co., Ltd. 2021 Annual Report
Documents available for inspection
1.Financial statements bearing the seal and signature of legal representative, financial controller and the person in
charge of the accounting organ;
2. Original audit report seal with accounting firms and signature and seal from CPA;
3.All original copies of official documents and notices, which were disclosed in China Securities Daily, Shanghai
Securities News, Securities Times, Securities Daily and Hong Kong Commercial Daily(overseas newspaper for
English version);
4.Chinese version of the annual report.
The documents mentioned above are kept in office, and are ready for reference at any time (except public holidays, Saturday and
Sunday).
-3-
Guangdong Electric Power Development Co., Ltd. 2021 Annual Report
Definition
Terms to be defined Refers to Definition
Guangdong Energy Group Refers to Guangdong Energy Group Co., Ltd.
Sha A Power plant Refers to Guangdong Electric Power Development Co., Ltd. Sha A Power plant
Tumu Branch Refers to Guangdong Electric Power Development Co., Ltd.Tumushuke Branch
Qinghai Branch Refers to Guangdong Electric Power Development Co., Ltd. Qinghai Branch
Zhanjiang Electric Power Refers to Zhanjiang Electric Power Co., Ltd.
Yuejia Company Refers to Guangdong Yuejia Electric Power Co., Ltd.
Yuejiang Company Refers to Guangdong Shaoguan Yuejiang Power Generation Co., Ltd.
Zhenneng Company Refers to Maoming Zhenneng Thermal Power Co., Ltd.
Jinghai Company Refers to Guangdong Yudean Jinghai Power Co., Ltd.
Humen Power Company Refers to Guangdong Yudean Humen Power Co., Ltd.
Anxin Company Refers to Guangdong Yudean Anxin Electric Inspection & Installation Co., Ltd
Zhanjiang Zhongyue Refers to Zhanjiang Zhongyue Energy Co., Ltd.
Bohe Company Refers to Guangdong Yudean Energy Co., Ltd.
Huadu Company Refers to Guangdong Huadu Natural Gas Thermal Power Co., Ltd.
Dapu Power Plant Refers to Guangdong Dapu Power Generation Co., Ltd.
Wind Power Company Refers to Guangdong Wind Power Co., Ltd.
Guangqian Company Refers to Shenzhen Guangqian Electric Power Co., Ltd.
Electric Power Sales Company Refers to Guangdong Yudean Electric Power Sales Co., Ltd.
Huizhou Natural Gas Company Refers to Guangdong Huizhou Natural Gas Power Co., Ltd.
Red Bay Company Refers to Guangdong Red Bay Power Co., Ltd.
Pinghai Power Plant Refers to Guangdong Huizhou Pinghai Power Co., Ltd.
Lincang Company Refers to Lincang Yudean Energy Co., Ltd.
Yongan Company Refers to Guangdong Yudean Yongan Natural Gas Thermal Power Co., Ltd.
Binhaiwan Energy Company Refers to Guangdong Yudean Binhaiwan Energy Co., Ltd.
Dayawan Energy Refers to Guangdong Yudean Dayawan Integrated Energy Co., Ltd.
Qiming Energy Refers to Guangdong Yudean Qiming Energy Co., Ltd.
Huaguoquan Company Refers to Shenzhen Huaguoquan Electric Industry Service Co., Ltd.
Dananhai Company Refers to Guangdong Yudean Dananhai Intelligence Energy Co., Ltd.
Yudean Baihua Refers to Guangdong Yudean Baihua Integrated Energy Co., Ltd.
Bijie Energy Refers to Guangdong Bijie New Energy Co., Ltd.
Shaoguan Energy Refers to Guangdong Shaoguan Yuedianli New Energy Co., Ltd.
-4-
Guangdong Electric Power Development Co., Ltd. 2021 Annual Report
Henan Energy Refers to Henan Yudean New Energy Co., Ltd.
Sha C Company Refers to Guangdong Shajiao( plant C) Power Generation Co., Ltd.
Yuehua Power Generation Refers to Guangdong Yuehua Power Generation Co., Ltd.
Yunhe Power Generation Refers to Guangdong Yudean Yunhe Power Generation Co., Ltd.
Tumu Thermal Power Refers to Tumushuke Thermal Power Co.,Ltd.
Shibeishan Wind Power Refers to Guangdong Yudean Shibeishan Wind Energy Development Co., Ltd.
Dianbai Wind Power Company Refers to Guangdong Yudean Dianbai Wind Power Co., Ltd.
Huilai Wind Power Company Refers to Huilai Wind Power Generation Co., Ltd.
Yangjiang Wind Power Company Refers to Guangdong Yudean Yangjiang Offshore Wind Power Co., Ltd.
Heping Wind Power Company Refers to Guangdong Yudean Heping Wind Power Co., Ltd.
Pingyuan Wind Power Company Refers to Guangdong Yudean Pingyuan Wind Power Co., Ltd.
Wuxuan Wind Power Company Refers to Guangxi Wuxuan Yudean New Energy Co., Ltd.
Xupu Wind Power Company Refers to Hunan Xupu Yuefeng New Energy Co., Ltd.
Pingdian Integrated Energy Company Refers to Huizhou Pingdian Integrated Energy Co., Ltd.
Zhuhai Wind Power Company Refers to Guangdong Yudean Zhuhai Offshore Wind Power Co., Ltd.
Zhanjiang Wind Power Company Refers to Guangdong Yudean Zhanjiang Wind Power Generation Co., Ltd.
Qujie Wind Power Company Refers to Guangdong Yudean Qujie Wind Power Generation Co., Ltd.
Leizhou Wind Power Company Refers to Guangdong Yudean Leizhou Wind Power Generation Co., Ltd.
Tongdao Wind Power Company Refers to Tongdao Yuexin Wind Power Generation Co., Ltd.
Yudean Fuel Company Refers to Guangdong Power Industry Fuel Co., Ltd.
Yudean Insurance Captive Company Refers to Guangdong Yudean Property Insurance Captive Co., Ltd.
Shanxi Energy Company Refers to Shanxi Yudean Energy Co., Ltd.
Yudean Shipping Company Refers to Guangdong Yudean Shipping Co., Ltd.
Yudean Western Investment Company Refers to Guangdong Yudeann Holdings Western Investment Co., Ltd.
Energy Group Finance Company Refers to Guangdong Energy Group Finance Co., Ltd.
Energy Financial Leasing Company Refers to Guangdong Energy Financial Leasing Co., Ltd.
Guohua Taishan Company Refers to Guangdong Guohua Yudean Taishan Power Generation Co., Ltd.
Weixin Energy Co., Ltd. Refers to Yunnan Yuntou Weixin Energy Co., Ltd.
Zhongxinkeng hydropower station Refers to Yangshan Zhongxinkeng Power Co., Ltd.
Jiangkeng hydropower station Refers to Yangshan Jiangkeng hydropower station
Southern Offshore wind power Refers to Southern Offshore wind power Union Development Co., Ltd.
Sunshine Insurance Refers to Sunshine Insurance Group Co., Ltd.
Shenzhen Capital Refers to Shenzhen Capital Group Co., Ltd.
GMG Refers to GMG International Tendering Co., Ltd.
-5-
Guangdong Electric Power Development Co., Ltd. 2021 Annual Report
Shenzhen Energy Refers to Shenzhen Energy Group Co., Ltd.
Shenergy Company Refers to Shenergy Company Limited
Environmental Protection Company Refers to Guangdong Yudean Environmental Protection Co., Ltd.
-6-
Guangdong Electric Power Development Co., Ltd. 2021 Annual Report
II. Company Profile & Financial Highlights.
1.Company Profile
Stock abbreviation Yue Dian Li A, Yue Dian Li B Stock code： 000539,200539
Stock exchange for listing Shenzhen Stock Exchange
Name in Chinese 广东电力发展股份有限公司
Abbreviation of Registered
粤电力
Company Name in Chinese(
English name (If any) GUANGDONG ELECTRIC POWER DEVELOPMENT CO.,LTD
English abbreviation (If
GED
any)
Legal Representative Wang Jin
Registered address 33-36/F, South Tower, Yudean Plaza, No.2 Tianhe Road East, Guangzhou,Guangdong Province
Postal code of the
510630
Registered Address
Historical change of the
company's registered No
address
Office Address 33-36/F, South Tower, Yudean Plaza, No.2 Tianhe Road East, Guangzhou,Guangdong Province
Postal code of the office
510630
address
Internet Web Site http://www.ged.com.cn
E-mail ged@ged.com.cn
2. Contact person and contact manner
Board secretary Securities affairs Representative
Name Liu Wei Qin Xiao
35/F, South Tower, Yudean Plaza, No.2 22/F, South Tower, Yudean Plaza, No.2
Contact address Tianhe Road East, Tianhe Road East,
Guangzhou,Guangdong Province Guangzhou,Guangdong Province
Tel (020)87570251 020)87570251
Fax (020)85138084 (020)85138084
E-mail liuw@ged.com.cn qinxiao@ged.com.cn
-7-
Guangdong Electric Power Development Co., Ltd. 2021 Annual Report
3. Information disclosure and placed
China Securities Daily, Shanghai Securities News, Securities Times,
Newspapers selected by the Company for information
Securities Dailyand Hong Kong Commercial Daily(overseas newspaper
disclosure
for English version) ,Juchao Website（http://www.cninfo.com.cn）
Internet website designated by CSRC for publishing
http://www.szse.cn/
the Annual report of the Company
The place where the Annual report is prepared and
Affair Dept. Of the Board of directors of the Company
placed
4.Changes i n Registration
Organization Code 91440000617419493W
On August 25,2021, The Company's main business consists of " investment,
construction and operation management of power projects, production and sales of
power, technical consulting and services in the power industry, leasing of terminal
facilities, general cargo warehousing, loading and unloading, and transportation
services. (Projects subject to approval according to law, Business activities can only be
Changes in principal business activities
carried out after being approved by the relevant departments)” is changed to “investmen
since listing (if any)
t, construction and operation management of power projects and new energy projects; pr
oduction and sales of electric power; technical consulting and services in the power indu
stry; leasing of terminal facilities; general cargo storage, loading and unloading ,shipme
nt service. (Projects subject to approval according to law, Business activities can only
be carried out after being approved by the relevant departments)" .
Changes is the controlling shareholder in
No change
the past (is any)
5. Other Relevant Information
CPAs engaged
Name of the CPAs PWC Certified Public Accountants (special general partnership)
11/F,PricewaterhouseCoopers Center,2 Corporate Avenue 202 Hu Bin Road, Huangpu
Office address
District, Shanghai
Names of the Certified Public
Chen Junjun, Li Xiaolei
Accountants as the signatories
The sponsor performing persist ant supervision duties engaged by the Company in the reporting period.
□Applicable √Not Applicable
The Financial advisor performing persist ant supervision duties engaged by the Company in the reporting period
□Applicable √Not Applicable
-8-
Guangdong Electric Power Development Co., Ltd. 2021 Annual Report
6.Summary of Accounting data and Financial index
Whether it has retroactive adjustment or re-statement on previous accounting data
√Yes □ No
Retroactive adjustment or restatement of causes
Merger of enterprises under the same control
Changes of
this period
2020 over same 2019
2021 period of
Last year(%)
After After
Before adjustment Before adjustment After adjustment
adjustment adjustment
Operating income（Yuan） 44,167,223,887 28,329,065,391 33,602,895,865 31.44% 29,360,155,150 35,832,090,286
Net profit attributable to the
shareholders of the listed -3,147,754,234 1,746,280,132 2,053,909,956 -253.26% 1,146,767,033 1,038,130,240
company（Yuan）
Net profit after deducting of
non-recurring gain/loss
-2,905,313,714 1,530,448,193 1,551,209,648 -287.29% 1,069,396,196 1,150,486,132
attributable to the shareholders
of listed company（Yuan）
Cash flow generated by
-40,304,011 6,280,781,169 7,754,798,636 -100.52% 8,272,683,112 9,475,552,022
business operation, net（Yuan）
Basic earning per
-0.5995 0.3326 0.3912 -253.25% 0.2184 0.1977
share(Yuan/Share)
Diluted gains per
-0.5995 0.3326 0.3912 -253.25% 0.2184 0.1977
share(Yuan/Share)
Weighted average ROE(%) -10.72% 6.54% 6.95% -17.67% 4.77% 3.11%
Changed
End of 2020 over last year End of 2019
End of 2021 （％）
After After
Before adjustment Before adjustment After adjustment
adjustment adjustment
Gross assets（Yuan） 114,271,451,479 85,970,818,168 99,479,773,162 14.87% 75,472,027,123 88,690,163,330
Net assets attributable to
shareholders of the listed 23,185,079,805 27,369,995,422 31,820,079,621 -27.14% 26,178,241,077 33,392,176,103
company（Yuan）
The lower of the company’s net profit before and after the deduction of non-recurring gains and losses in the last
three fiscal years is negative, and the auditor's report of the previous year shows that the Company’s going
concern ability is uncertain.
-9-
Guangdong Electric Power Development Co., Ltd. 2021 Annual Report
□ Yes √No
The lower of the net profit before and after the deduction of the non-recurring gains and losses is negative.
√ Yes □ No
Items 2021 2020 Remark
Including electricity sales
income, steam income, labor
service income and a few
Operating income (Yuan) 44,167,223,887 33,602,895,865
other business income
unrelated to the main
business.
It mainly refers to the income
from the beginning of the
period to the combination date
Operating income deduction of the subsidiaries of the
4,784,789,933 5,817,935,297
amount (Yuan) business combination under
the same control and other
business income unrelated to
the main business
Including electricity sales
Amount of operating income
39,382,433,954 27,784,960,568 income, steam income and
after deduction (Yuan)
labor service income
7.The differences between domestic and international accounting standards
1）Simultaneously pursuant to both Chinese accounting standards and international accounting standards disclosed
in the financial reports of differences in net income and net assets.
□ Applicable √ Not applicable
During the reporting period, there is no difference between net profit and net assets in the financial reports
disclosed in accordance with international accounting standards and those disclosed in accordance with Chinese
accounting standards.
2）Differences of net profit and net assets disclosed in financial reports prepared under overseas and Chinese
accounting standards.
□Applicable √Not applicable
The Company had no difference of the net profit or net assets disclosed in financial report, under either foreign
accounting rules or Chinese GAAP(Generally Accepted Accounting Principles) in the period.
3）Note to the Difference in the Accounting Data based on the Accounting Standards of CAS and IAS.
□Applicable √Not applicable
- 10 -
Guangdong Electric Power Development Co., Ltd. 2021 Annual Report
8.Main Financial Index by Quarters
In RMB
First quarter Second quarter Third quarter Fourth quarter
Operating income 8,846,102,827 11,180,158,938 12,320,101,729 11,820,860,393
Net profit attributable to the shareholders of the -45,317,768 202,270,769 -256,348,664 -3,048,358,571
listed company
Net profit after deducting of non-recurring gain/loss -75,788,974 187,572,768 -707,662,412 -2,314,970,584
attributable to the shareholders of listed company
Net Cash flow generated by business operation 697,961,911 2,715,988,228 763,374,449 -4,217,628,600
Whether significant variances exist between the above financial index or the index with its sum and the financial
index of the quarterly report as well as semi-annual report index disclosed by the Company.
√ Yes □ No
In November this year, under the same control, the Company merged Shajiao C Company, Yuehua Power
Generation Company and Yunhe Company, and restated the figures of the previous year and this year. As a result,
the above financial indicators are different from those in the disclosed quarterly reports and semi-annual reports.
9.Items and amount of non-current gains and losses
√Applicable □Not applicable
In RMB
Amount Amount Amount
Items Notes
(2021) (2020) (2019)
This year, Shajiao C Company sold
Non-current asset disposal Mingyuan assets, Bohe Coal and Electricity
gain/loss(including the write-off part for stripped the wharf assets, and Yunhe
82,842,178 340,976,361 20,503,424
which assets impairment provision is Company sold Yundian Energy, which
made) along with Yuejia company Liquidation all
increased the project income.
Government subsidy recognized in
current gain and loss(excluding those
It refers to various government funds
closely related to the Company’s 37,606,578 30,457,198 33,284,069
received by branches and subsidies.
business and granted under the state’s
policies)
Gain equal to the amount by which
investment costs for the Company to
acquire subsidiaries, associates and joint
9,784,791
ventures are lower than the Company’s
enjoyable fair value of identifiable net
assets of investees when making
- 11 -
Guangdong Electric Power Development Co., Ltd. 2021 Annual Report
investments
Net gain and loss of the subsidiary
This year, three newly controlled
under the common control and
companies, Yunhe, Yuehua and Shajiao C,
produced from enterprise consolidation -658,714,842 559,324,501 -92,777,150
increased their net losses from the
from the beginning of the period to the
beginning to the merger date
consolidation date
Switch back of provision for
depreciation of account receivable
48,647,647
which was singly taken depreciation
test.
According to tax, accounting and other
laws, regulations, the requirements of
the current Gain/loss for a one-time -4,449,214
adjustment of the impact of the current
Gain/loss;
It is mainly the loss of asset retirement,
Net amount of non-operating income
16,979,172 36,323,955 5,674,806 claim settlement and compensation income
and expense except the aforesaid items
of branches and subsidiaries
Less :Influenced amount of income tax 5,001,523
Income tax impact 55,885,342 106,635,578 26,385,663
Influenced amount of minor
-252,056,993 372,532,443 96,853,811
shareholders’ equity (after tax)
Total -242,440,520 502,700,308 -112,355,892 --
Details of other profit and loss items that meet the non-recurring profit and loss definition
□ Applicable√ Not applicable
None
For the Company’s non-recurring gain/loss items as defined in the Explanatory Announcement No.1 on
information disclosure for Companies Offering their Securities to the Public-Non-recurring Gains and Losses and
its non-recurring gain/loss items as illustrated in the Explanatory Announcement No.1 on information Disclosure
for Companies offering their securities to the public-non-recurring Gains and losses which have been defined as
recurring gains and losses, it is necessary to explain the reason.
√ Applicable □ Not applicable
Items Amount involved(RMB) Reason
According to the VAT refund policy, the company and its controlled subsi
Value-added tax will be
28,991,960 diaries are in compliance with relevant regulations and continue to enjoy
refunded immediately
the VAT refund immediately.
Comply with national policies and regulations, and continue to occur.
Carbon emission quota used
Meanwhile, this year, the Company's coal-fired on-grid electricity
to fulfill the emission -135,013,051
consumption increased greatly year on year, and the free carbon emission
reduction obligation
quota was insufficient, so it was necessary to purchase additional quota.
- 12 -
Guangdong Electric Power Development Co., Ltd. 2021 Annual Report
III. Management Discussion & Analysis
I. Industry information of the Company during the reporting period
In 2021, due to the complicated and unstable global pandemic, China's economic development faced triple pressures
of demand contraction, supply shock and expected weakening, which had not been witnessed for many years, the
external environment became more complicated, severe and uncertain, the energy and power industry was faced
with the arduous test of balancing multiple objectives of ensuring supply, adjusting structure and stabilizing growth,
and company`s business development faced severe and complicated risk challenges.
In terms of power demand, according to the statistics of the national power industry in 2021 released by the National
Energy Administration, the electricity consumption of the whole society in China in 2021 was 8.31 trillion kWh,
with a year-on-year increase of 10.3%. The substantial increase in electricity consumption was mainly influenced by
factors such as the sustained recovery and development of the domestic economy, the low base in the same period of
the previous period, and the rapid growth of foreign trade exports. Including, the electricity consumption of the
primary industry was 102.3 billion kWh, with a year-on-year increase of 16.4%; The electricity consumption of the
secondary industry was 5.61 trillion kWh, with a year-on-year increase of 9.1%; The electricity consumption of the
tertiary industry was 1.42 trillion kWh, with a year-on-year increase of 17.8%; The domestic electricity
consumption of urban and rural residents was 1.17 trillion kWh, with a year-on-year increase of 7.3%.
In terms of power supply side, with the in-depth promotion of emission peak and carbon neutrality, China has
comprehensively promoted the large-scale and high-quality development of wind power and solar power generation,
accelerated the growth rate of new energy installed capacity, and continuously increased the proportion of total
installed capacity of power generation in China. By the end of 2021, the installed capacity of wind power in China
was 328 million kilowatts, with a year-on-year increase of 16.6%; The installed capacity of solar power generation
was 306 million kilowatts, with a year-on-year increase of 20.9%; The installed capacity of coal was 1.11 billion
kilowatts, with a year-on-year increase of 2.8%. In addition, the wind power generated 652.6 billion kWh, with a
year-on-year increase of 40.5%; The solar energy generated 325.9 billion kWh, with a year-on-year increase of
25.1%; The coal-fired power generation was 5.03 trillion kWh, with a year-on-year increase of 8.6%, accounting for
60.0% of full power generation, with a year-on-year decrease of 0.7%. Considering the installed capacity and power
generation, coal-fired power is still the most important power supply in China at present, and it is also the basic
power supply to ensure the safe and stable power supply in China.
In 2021, due to safety inspection, environmental protection supervision, limited quota of imported coal and other
factors, the supply and demand of coal were out of balance, and the coal supply continued to be tight, which led to
the price of thermal coal hitting record highs. Thermal power enterprises as a whole were affected by the rising fuel
cost, and their operating performance continued to be under pressure. Relevant national authorities have
successively issued policies to ease the operating pressure of power generation enterprises, ensure the coal supply
and stabilize the coal price. On October 11, 2021, the National Development and Reform Commission issued the
Notice on Further Deepening the Marketization Reform of On-grid Electricity Price of Coal-fired Power Generation,
according to which the floating range of coal-fired power generation market transaction price changed from no more
than 10% by increase and 15% by decrease to no more than 20% by both increase and decrease, and the trading price
of high-efficiency enterprise market was not subject to the restriction of 20%. In addition, the National
Development and Reform Commission has issued a series of policies, such as the Notice on Further Improving the
- 13 -
Guangdong Electric Power Development Co., Ltd. 2021 Annual Report
Price Formation Mechanism of Coal Market, to strengthen the coal supply guarantee and reasonable price
intervention, and to improve the price transmission mechanism of electricity market.
II.Main Business the Company is Engaged in During the Report Period
The Company shall comply with the disclosure requirements of power-related industries in the Guideline No.3 for
Self-regulation of Listed Companies of Shenzhen Stock Exchange-Industry Information Disclosure.
The Company mainly engages in the investment, construction and operation management of power projects, and the
production and sales of electric power. It belongs to the power, heat production and supply industry classified in the
“Guidelines for the Industry Classification of Listed Companies” by the China Securities Regulatory Commission.
Since its foundation, the Company has always adhered to the business tenet of “Capital from the people, using it for
electricity, and benefiting the public” and adheres to the business policy of “Centering on the main business of
electricity, with diversified development”, focusing on the main business of power and making the power structure
go diversified. In addition to the development, construction and operation of large-scale coal-fired power plants, it
also has clean energy projects such as LNG power generation, wind power generation and hydropower generation,
which provides reliable and clean energy to users through the grid company. As of the end of the reporting period,
the company has controllable installed capacity of 29.9426 million kilowatts, including holding installed capacity
of 28.2292 million kilowatts and equity participation installed capacity of 1.7134 million kilowatts. Including: The
holding installed capacity for coal-fired power generation was 20.55 million kilowatts, accounting for 72.8%; the
holding installed capacity for gas and electricity of 5.472 million kilowatts, accounting for 19.4%；and renewable
energy generation like wind power and hydropower of 2.2072 million kilowatts, accounting for 7.8%。.In addition,
the company is entrusted with managing the installed capacity of 8.854 million kilowatts . The above controllable
installed capacity and entrusted management installed capacity totaled 38,796,600 kilowatts.
Income source is primarily contributed by power production and sales, and main business income is derived from
Guangdong Province. The company electricity sales price is subject to the benchmark price verified by the price
authority per relevant policies based on National Development and Reform Commission (NDRC) and the
electricity transaction price through the market trade implementation per Guangdong Electricity Market Trade
Basic Rules and supporting files. In the reporting period, the electricity sold is 104.951 billion kilowatt-hours
,an increase of 32.49% YOY; average price stated in the consolidated statements is 465.70 Yuan/ thousands
kilowatt-hours(tax included ,the same below ), an increase of 18.43 yuan/ thousands kilowatt-hours or an increast
of 4.12% YOY;the total operating income was RMB 44,167.22million, an increase of RMB 10,564.33 million or an
increase of 31.44% YOY.
The company's business is dominated by coal-fired power generation, and the fuel costs account for a large portion
of operating costs, thus the fluctuations in coal prices have a significant impact on the company's operating
performance. During the reporting period, affected by the increase in power generation and the continuous increase
in coal prices, the company’s fuel costs were 38,663.70 million yuan, which accounted for 82.59% of the main
business costs; Affected by the sharp increase of power generation and coal price, the fuel cost increased by RMB
19,370,110 year on year. an increase of 100.4% .
During the reporting period, due to the stable and positive economic growth and other factors, the demand for social
electricity in Guangdong Province increased at a higher speed than expected, and the power supply continued to be
tight. The Company made every effort to ensure the safe production and stable supply of electricity, and the on-grid
electricity increased by 32.49% year on year. However, due to the high price of coal and gas, the on-grid electricity
price seriously dropped away from the power generation cost, and the power plant suffers a large loss. The gross
- 14 -
Guangdong Electric Power Development Co., Ltd. 2021 Annual Report
profit margin of the Company's main business and the net profit attributable to its parent company decreased year on
year, and the net profit attributable to its parent company was RMB -3,147.75 million, with a year-on-year decrease
of 253.26%.
Main Production and Operation Information
Items This reporting period Same period last year
Total installed capacity ('0,000 kW) 2,822.92 2604.8
Installed capacity of units that are newly put 218.12 220.4
into production ('0,000 kW)
Planned installed capacity of approved 778.8 706.1
projects ('0,000 kW)
Planned installed capacity of projects under 684.8 566.1
construction ('0,000 kW)
Power generation ('00,000,000 kWh) 1,107.03 835.66
On-grid electricity or electricity sales 1,049.51 792.12
('00,000,000 kWh)
Average on-grid price or selling price (RMB/ 0.47 0.45
'00,000,000 kWh , including tax)
Average power consumption rate of power 5.23% 5.28%
plant (%)
Power plant utilization hours (h) 4,219 3,332
（1）Operation Information of thermal power
Items This reporting period Same period last year
Total installed capacity ('0,000 kW) 2602.2 2520.2
Installed capacity of units that are newly put 82 200
into production ('0,000 kW)
Planned installed capacity of approved 664.8 435.5
projects ('0,000 kW)
Planned installed capacity of projects under 570.8 435.5
construction ('0,000 kW)
Power generation ('00,000,000 kWh) 1077.46 810.76
On-grid electricity or electricity sales 1021.45 768.25
('00,000,000 kWh)
Average on-grid price or selling price (RMB/ 0.459 0.442
'00,000,000 kWh , including tax)
Average power consumption rate of power 5.23 5.24
plant (%)
Power plant utilization hours (h) 4606 3679
- 15 -
Guangdong Electric Power Development Co., Ltd. 2021 Annual Report
（2）Operation Information of wind power
Items This reporting period Same period last year
Total installed capacity ('0,000 kW) 197.04 60.92
Installed capacity of units that are newly put 136.12 20.4
into production ('0,000 kW)
Planned installed capacity of approved 0 270.6
projects ('0,000 kW)
Planned installed capacity of projects under 104 130.6
construction ('0,000 kW)
Power generation ('00,000,000 kWh) 18.32 12.79
On-grid electricity or electricity sales 17.42 12.27
('00,000,000 kWh)
Average on-grid price or selling price (RMB/ 0.682 0.657
'00,000,000 kWh , including tax)
Average power consumption rate of power 4.61 4.33
plant (%)
Power plant utilization hours (h) 2044 2033
（3）Operation Information of water power
Items This reporting period Same period last year
Total installed capacity ('0,000 kW) 13.28 13.28
Installed capacity of units that are newly put 0 0
into production ('0,000 kW)
Planned installed capacity of approved 0 0
projects ('0,000 kW)
Planned installed capacity of projects under 0 0
construction ('0,000 kW)
Power generation ('00,000,000 kWh) 3.44 4.80
On-grid electricity or electricity sales 3.39 4.72
('00,000,000 kWh)
Average on-grid price or selling price (RMB/ 0.210 0.169
'00,000,000 kWh , including tax)
Average power consumption rate of power 1.44 1.81
plant (%)
Power plant utilization hours (h) 2589 3617
（4）Operation Information of Biomass business
Items This reporting period Same period last year
Total installed capacity ('0,000 kW) 10 10
- 16 -
Guangdong Electric Power Development Co., Ltd. 2021 Annual Report
Installed capacity of units that are newly put 0 0
into production ('0,000 kW)
Planned installed capacity of approved 0 0
projects ('0,000 kW)
Planned installed capacity of projects under 0 0
construction ('0,000 kW)
Power generation ('00,000,000 kWh) 7.89 7.31
On-grid electricity or electricity sales 7.25 6.88
('00,000,000 kWh)
Average on-grid price or selling price (RMB/ 0.745 0.743
'00,000,000 kWh , including tax)
Average power consumption rate of power 8.11 5.88
plant (%)
Power plant utilization hours (h) 7890 7313
（5）Operation Information of photovoltaic business
Items This reporting period Same period last year
Total installed capacity ('0,000 kW) 0.4 0.4
Installed capacity of units that are newly put 0 0
into production ('0,000 kW)
Planned installed capacity of approved 260.428 30
projects ('0,000 kW)
Planned installed capacity of projects under 22 0
construction ('0,000 kW)
1. The total installed capacity is the holding installed capacity; 2. In 2021, under the same control, the Company
combined Yuehua Power Generation Company, Shajiao C Company and Yunhe Power Generation Company, so the
data of total installed capacity in the same period last year are restated. 3. During the reporting period, the
Company's photovoltaic power generation was only used in the factory.
Electricity sales business of the Company
√ Applicable □ Not applicable
Guangdong Yudean Electric Power Sales Co., Ltd. ("Sales Company"), a wholly-owned subsidiary of the Company,
founded in July 2015, is the first power sales company in Guangdong Province, and its power sales qualification
code is SD01. Based on the business of purchasing and selling electricity, the company focuses on improving
electricity efficiency, provides customers with services such as demand response strategy, energy saving renovation,
energy consumption strategy consultation, contracted energy management, power energy storage, etc., and carries
out comprehensive energy service projects (smart energy management, carbon asset management, energy
trusteeship, energy audit, etc.) in vertical (industry) fields, large group enterprises and large parks.
In 2021, the electricity consumption of the Power Marketing Company was 45.302 billion kWh, with a year-on-year
decrease of 8.01%, in which the electricity of the holding subsidiary of the agency company is 14.823 billion kWh,
accounting for 14.12% of the Company's on-grid electricity.
- 17 -
Guangdong Electric Power Development Co., Ltd. 2021 Annual Report
Reasons for the significant changes in the relevant data
□ Applicable √Not applicable
Related new energy power generation business
In 2021, guided by the "3060" double-carbon strategic goal, the Company adhered to the clean, low-carbon, safe
and efficient energy development strategy, and continuously optimized the power supply structure and asset
structure. By the end of the reporting period, the Company had put into operation a total of 22 new energy power
generation projects with a holding installed capacity of 1,974,400 kilowatts; There was 4 new energy projects under
construction, with a holding installed capacity of 1.26 million kilowatts. In addition, the Company has signed
cooperation framework agreements with Tumushuke City of the third division of Xinjiang Production and
Construction Corps, Dafang County, Hezhou City, Gangcha County and other local governments and in the future, it
will make full use of the existing resource advantages of local solar energy and wind energy, and cooperate in the
development of centralized and decentralized photovoltaic power generation and wind power projects, industrial
integration, carbon neutrality, etc., which is conducive to changing resource advantages into industrial advantages
and economic advantages, promoting the development of green energy and green economy, and promoting the clean
and low-carbon transformation of the Company's energy.
1. As of December 31, 2021, the new energy power generation projects controlled by the Company that have been
put into production are as follows:
Installed capacity ( '0,000
Project type Project name Shareholding ratio
kilowatts)
Wind Power Zhanjiang Xuwen Yangqian 4.95 70%
Wind Power Zhanjiang Xuwen Yongshi 4.95 70%
Wind Power Jieyang Huilai Shibeishan 10.0 70%
Wind Power Jieyang Huilai Haiwanshi 1.4 90%
Maoming Dianbai Hot 4.95 100%
Wind Power
Water
Zhanjiang Leizhou 4.95 94%
Wind Power
Hongxinlou
Zhanjiang Xuwen 4.95 100%
Wind Power
Shibanling
Wind Power Zhanjiang Xuwen Qujie 4.95 100%
Wailuo I offshore wind 19.8 100%
Wind Power
power
Xuwen Wutushan Wind 4.95 51%
Wind Power
Power
Xuwen Dengjiaolou Wind 4.95 51%
Wind Power
Power
Wind Power Pingyuan Maoping 4.8 100%
- 18 -
Guangdong Electric Power Development Co., Ltd. 2021 Annual Report
Zhuhai Jinwan offshore 30 85.91%
Wind Power
Wind power
Zhanjiang Xuwen Wailuo II 20 100%
Wind Power
Offshore Wind Power
Zhanjiang Xuwen Xinliao 20.35 100%
Wind Power
offshore wind power
Yangjiang Shapa offshore 30 91.41%
Wind Power
wind power
Wind Power Guangxi Wuxuan 5 100%
Wind Power Hunan Xupu Taiyangshan 5 100%
Wind Power Hunan Tongdao Dagaoshan 5 100%
Decentralized Wind Power 1.08 65%
Wind Power
in Shanwei Power Plant
Wind Power Nanxiong Zhuan village 4.99 100%
Photovoltaic in Zhanjiang 0.4 51%
Biomass Power
Biomass Plant
Total 197.44
2. As of December 31, 2021, the new energy power generation projects under construction of the Company are as
follows:
Installed capacity Planned production
Project type Project name Shareholding ratio
('0,000 kilowatts) time
Wind Power Pingyuan Sishui 4 100% June 2022
Wind Power Yangjiang Qingzhou I 40 100% December 2023
Wind Power Yangjiang Qingzhou II 60 100% December 2024
Photovoltaic Zhanjiang Potou Qiantang 22 100% December 2022
Total 126
III.Analysis On core Competitiveness
1. The largest listed company of power in Guangdong
The Company's main power generation assets are located in Guangdong Province, with a total asset size of more
than 114.271 billion. It is the largest listed company of power in Guangdong Province. It is the only listed company
with over 100 billion assets controlled by state-owned holdings in Guangdong province. As of December 31,2021,
The company's controllable installed capacity and entrusted managed installed capacity totaled 38.7966 million
kilowatts , accounting for 24.4% of the total installed capacity of Guangdong Province.
2. Strong background and resource advantages
- 19 -
Guangdong Electric Power Development Co., Ltd. 2021 Annual Report
Guangdong Energy Group, the controlling shareholder of the company, as a provincial key energy enterprise, has
been actively supporting listed companies to become better and stronger by using the advantages of its resources,
technology and asset scale. As the only listed company and main force of Guangdong Energy Group, the company
has always been subordinated to serving the overall situation of the reform and development of Guangdong
Province and Guangdong Yudean Group. It has deeply cultivated the main power industry, actively played the
value discovery function and resource allocation function of the capital market, and assisted the reform and
development of Guangdong Province's energy resources.
3. Comprehensive advantages of main business
During the 14th five-year period, Guided by the national energy development strategy, the Company is
implementing the "1+2+3+X" strategy - to build a first-class green and low-carbon power listed company,
coordinate safety and development, optimize and strengthen coal, gas and biomass power generation services, and
vigorously develop new energy, energy storage, hydrogen energy and land park development. The Company has
abundant project reserves and broad development prospects; With clear main business, reasonable structure,
outstanding industrial position and market share, it has strong comprehensive strength and broad development
prospects.
4. Competitive advantage in electricity market
The company's generator set has high parameters, large capacity, high operation efficiency, low coal consumption,
stable operation, superior environmental protection performance and strong market competitive advantage. In
2021, the company completed a total of 84.261 billion kilowatt-hours of electricity in the market, and the scale of
electricity sales continued to rank first in the province, with electricity sales prices superior to the province's
average. The company gives full play to its three advantages of scale, brand and service. With its marketing
service network all over the province and its technical accumulation and comprehensive resources in the power
industry, the company provides auxiliary value-added services such as peak regulation, frequency modulation and
backup for the power grid, and provides high-quality value-added services such as comprehensive energy saving
and power consumption consultation for users, thus realizing the transformation from a power generation
enterprise to an energy comprehensive service enterprise.
5. Advantage of financial resources
As of December 31,2021, the company's total assets were 114.571 billion yuan, net assets were 32.746 billion
yuan, net assets attributable to the parent were 23.185 billion yuan,; Net cash inflow from operating activities was
89 million yuan, net cash outflow from investment activities was 10.263 billion yuan, and net cash outflow from
financing activities was 8.981 billion yuan. At present, the Company's total assets reach 100 billion, and the cash
flow of its stock business is abundant, which provides a good support for the Company's sustainable development.
The Company has a good asset-liability ratio and rich financing channels, and it can make full use of internal and
external financial resources, thus providing a strong financial guarantee for its production and operation, key project
construction and the rapid development of new energy industry.
6. Regional development advantages
As the main energy source in Guangdong Province, the company shoulders the important task of helping
Guangdong Province to build a clean, low-carbon, safe and efficient modern energy system. The company will
actively integrate into the construction of Guangdong-Hong Kong-Macao Greater Bay Area, Shenzhen's advanced
demonstration zone and the development of Guangdong's "one core, one belt and one area". It will steadily push
forward the construction of key energy projects and the development of new energy resources in the province and
actively seek to expand into regions with better resource conditions and higher power demand, Help the "3060"
- 20 -
Guangdong Electric Power Development Co., Ltd. 2021 Annual Report
target to be implemented.
IV.Main business analysis
Ⅰ.General
In 2021, thanks to the sustained and steady recovery of China's economy, the demand for electricity in the whole
society of Guangdong Province increased at a higher speed than expected, reaching 786.663 billion kWh, a
year-on-year increase of 13.58%. In 2021, Guangdong received 189.385 billion kWh of electricity from the west
part of China, with a year-on-year decrease of 7.97%; In terms of installed capacity, the newly put-into-operation
nuclear power and thermal power units in the province had a capacity of 5.79 million kilowatts, and the newly added
installed capacity of unified regulation accounted for 3.65% of the unified regulation capacity. Affected by factors
such as the reduction of power transmission from the west, the shortage of steam turbine caused by the high price of
natural gas, and the synchronous increase of peak shaving demand caused by the substantial increase of renewable
energy in Guangdong Province, the utilization hours of coal-fired power generation in Guangdong Province have
increased significantly. During the reporting period, the power consumption of the Company's coal-fired units was
85.519 billion kWh, with a year-on-year increase of 51.43%; The electricity consumption of the steam turbines was
16.627 billion kWh, with a year-on-year increase of 42.27%; The wind power on-grid electricity consumption was
1.742 billion kWh, with a year-on-year increase of 41.97%.
In 2021, the Company's market-oriented transaction scale continued to expand, and the discount rate was further
increased. The average on-grid electricity price of the consolidated statement was RMB 465.70/thousand kWh
(including tax, the same below), with a year-on-year decrease of RMB 2.08/thousand kWh, or 0.44%. As the price
of coal and gas continues to rise, the on-grid electricity price is greatly dropped away from the cost of power
generation fuel, resulting in a loss in the Company's power generation business. By the end of 2021, according to the
consolidated statements, the total assets of the Company were RMB 114.271 billion, with a year-on-year increase of
14.87%; The equity attributable to shareholders of the parent company was RMB 23.185 billion, with a
year-on-year decrease of 27.14%. According to the consolidated statements, the Company's revenue was RMB
44.167 billion, with a year-on-year increase of 31.44%; The net profit attributable to shareholders of the parent
company was RMB -3.148 billion, with a year-on-year decrease of 253.26%; And the earnings per share was RMB
-0.6 (compared to RMB 0.39 in the same period last year). The total liabilities of the Company according to the
consolidated statements were 81.526 billion, and the asset-liability ratio was 71.34%.
In 2021, the Company actively implemented the decision-making and deployment of the national strategic
objectives of emission peak and carbon neutrality, closely focused on the clean, low-carbon, safe and efficient
energy development strategy, comprehensively promoted the Company's "1+2+3+X" strategic layout, and
continuously optimized the power supply structure and asset structure. In 2021, all new energy projects such as
Zhuhai Jinwan, Yangjiang Shaba, Wailuo Phase II and Xinliao Offshore Wind Power were officially put into
production. Meanwhile, the Company actively promoted Yongan Thermal Power, Dongguan Ningzhou Gas Power,
Pingyuan Sishui Wind Power, Zhanjiang Potou Photovoltaic, Yangjiang Qingzhou Offshore Wind Power and other
projects to accelerate the pace of green and low-carbon transformation. By the end of 2021, the Company had a
controllable installed capacity of 29,942,600 kilowatts, with a year-on-year increase of 28.66%, of which the
proportion of clean energy increased to 27.2%. In the future, the Company will continue to adhere to the concept of
green development, continuously promote the optimization and adjustment of the power supply structure, actively
integrate into the construction of Guangdong-Hong Kong-Macao Greater Bay Area and the Shenzhen pilot
demonstration zone and the development of "one core, one belt and one area" in Guangdong, and make due
contributions to accelerating the construction of a clean, low-carbon, safe and efficient energy system and achieving
- 21 -
Guangdong Electric Power Development Co., Ltd. 2021 Annual Report
the goal of emission peak and carbon neutrality.
2. Revenue and cost
(1)Component of Business Income
In RMB
2021 2020
Increase /decrease
Amount Proportion Amount Proportion
Total operating
44,167,223,887 100% 33,602,895,865 100% 31.44%
revenue
On Industry
Electric power ,
Steam sales and 43,574,329,958 98.66% 33,115,496,875 98.55% 31.58%
labor income
Other 592,893,929 1.34% 487,398,990 1.45% 21.64%
On products
Sales Electric
43,278,023,920 97.99% 32,810,398,651 97.64% 31.90%
Power
Steam income 167,971,843 0.38% 138,114,070 0.41% 21.62%
Labor income 128,334,195 0.29% 166,984,154 0.50% -23.15%
Comprehensive
utilization of fly 495,095,811 1.12% 380,944,621 1.13% 29.97%
ash
Lease revenue 48,557,619 0.11% 44,103,472 0.13% 10.10%
Other 49,240,499 0.11% 62,350,897 0.19% -21.03%
Area
Guangdong 44,042,541,802 99.72% 33,530,640,110 99.78% 31.35%
Yunnan 64,581,623 0.15% 72,255,755 0.22% -10.62%
Xingjiang 60,100,462 0.14%
Sub-sale model
Direct selling 44,167,223,887 100% 33,602,895,865 100% 31.44%
(2)Situation of Industry, Product and District Occupying the Company’s Business Income and Operating Profit
with Profit over 10%
√ Applicable □Not applicable
The Company shall comply with the disclosure requirements of power-related industries in the Guideline No.3 for
Self-regulation of Listed Companies of Shenzhen Stock Exchange-Industry Information Disclosure.
In RMB
- 22 -
Guangdong Electric Power Development Co., Ltd. 2021 Annual Report
Increase/decrease Increase/decrease
Increase/decrease of
of revenue in the of business cost
Gross profit gross profit rate over
Turnover Operation cost same period of over the same
rate(%) the same period of
the previous period of
the previous year (%)
year(%) previous year (%)
On products
Electricity sales income 43,278,023,920 46,541,774,902 -7.54% 31.90% 7% -27.14%
Of which：
Coal-fired power
35,283,584,475 39,459,402,833 -11.84% 44% 92.84% -28.33%
generation
Gas power generation 6,373,234,192 6,083,234,210 4.55% -9.33% 17.72% -21.93%
Wind Power generation 1,078,426,815 570,951,289 47.06% 42.68% 73.98% -9.52%
Biomass power generation 478,196,815 372,045,928 22.20% 5.84% 3.50% 1.76%
Hydropower generation 64,581,623 56,140,642 13.07% -10.53% -8.95% -1.50%
Area
Guangdong 44,042,541,802 46,665,941,467 -5.96% 31.35% 75.55% -26.68%
Reasons for great changes in related financial indicators
√ Applicable □ Not applicable
As the overall epidemic prevention and control and economic and social development in Guangdong Province continued to show
results, combined with the influence of factors such as reduction of power transmission from the west and frequent hot weather,
the electricity consumption of the whole society in Guangdong Province showed a historically high increase, and the power
supply situation was tight. The Company actively implemented the requirements of the special meeting on ensuring power
supply in Guangdong Province, and successfully completed the power protection tasks of several important nodes, resulting in a
large year-on-year increase in electricity consumption and electricity sales revenue.
(3)Whether the Company’s Physical Sales Income Exceeded Service Income
√ Yes □ No
Classification Items Unit 2021 2020 Changes
Electric power, Sales volume '00,000,000 kWh 1,049.51 792.12 32.49%
thermal production
Production '00,000,000 kWh 1,107.03 835.66 32.47%
and supply
Explanation for a year-on –year change of over 30%
√ Applicable □ Not applicable
In 2021, due to the stable and positive economic growth and other factors, the electricity demand of the whole
society in Guangdong Province increased at a higher speed than expected, and the electricity supply continued to be
tight. The Company made every effort to ensure the safe production and stable supply of electricity, and the
electricity generation capacity and the on-grid electricity according to the consolidated statements increased greatly
year on year.
- 23 -
Guangdong Electric Power Development Co., Ltd. 2021 Annual Report
(4) Performance of the major sales contract, major procurement contract signed by the Company till end of the
Period
√ Applicable □Not applicable
Implementation of Signed Major Sales Contracts as of this Reporting Period
√ Applicable □Not applicable
In '0,000RMB
Amount fulfilled Whether Description of the
Contract Total contract Total fulfilled Amount to
Counterparty during the fulfilled failure to fulfill the
object amount amount be fulfilled
reporting period properly contract properly
Quantity of CHINA SOUTHERN
4,297,109.71 Yes
electricity POWER GRID
Implementation of Signed Major Purchase Contracts as of this Reporting Period
□ Applicable √Not applicable
(5)Component of business cost
Industry classification
In RMB
2021 2020
Proportion in Proportion in Increase/De
Industry Items
Amount the operating Amount the operating crease
costs (%) costs (%)
Electric power,
thermal production Fuel cost 38,663,701,630 82.59% 19,293,583,315 72.41% 100.40%
and supply
Electric power,
Depreciation
thermal production 4,100,777,693 8.76% 3,784,024,124 14.20% 8.37%
expense
and supply
Electric power,
thermal production Labor cost 1,812,303,566 3.87% 1,621,796,477 6.09% 11.75%
and supply
Electric power,
thermal production Other 2,238,017,793 4.78% 1,945,478,686 7.30% 15.04%
and supply
Note
The Company is in power sector and mainly engaged in power generation at present. The cost is composed of
fuel cost, depreciation expenses, labour cost and other expenses. Fuel cost accounts for about 82.59% of total cost.，
Mainly affected by the continuous increase in fuel prices, due to the fuel costs risen sharply year on year.
(6)Whether Changes Occurred in Consolidation Scope in the Report Period
√Yes □No
- 24 -
Guangdong Electric Power Development Co., Ltd. 2021 Annual Report
New investment amount Paid-in capital at the end Proportion Acquired
Name Nature
in this period (Yuan) of period(Yuan) (%)
Guangdong Shajiao (Plant C) Business merger
Electric
Power Generation Co., ltd. 1,559,120,782 2,500,000,000 51% under the same
Power
control
Guangdong Yudean Yunhe Power Business merger
Electric
Generation Co., Ltd 1,066,562,327 755,733,258 90% under the same
Power
control
Tumushuke Thermal Power Co., Business merger not
Electric
Ltd. 800,000,000 1,006,523,900 79.48% under the same
Power
control
Guangdong Yuehua Power Business merger
Electric
Generation Co., Ltd. 541,247,838 1,004,714,000 51% under the same
Power
control
Guangdong Yudean Dananhai Electric
15,000,000 15,000,000 100% Invested
Intelligence Energy Co., Ltd. Power
Guangdong Yudean Bijie New Electric
5,000,000 5,000,000 100% Invested
Energy Co., Ltd. Power
Guangdong Yudean Baihua Electric
3,000,000 3,000,000 100% Invested
Integrated Energy Co., Ltd. Power
(7)Relevant Situation of Significant Changes or Adjustment of the Business, Product or Service in the Company’s
Report Period
□ Applicable √Not applicable
(8)Situation of Main Customers and Main Supplier
Information of the Company’s top 5 sales customers
Total sales amount to top 5 customers (Yuan) 43,545,115,382
Proportion of sales to top 5 customers in the annual sales(%) 98.60%
Proportion of the sales volume to the top five customers in the total sales to
0.87%
the related parties in the year
Information of the Company’s top 5 customers
No Name Amount（RMB） Proportion
1 GPGC 42,971,097,121 97.29%
Guangdong Yudean Environmental Protection Co.,
2 378,769,439 0.86%
Ltd
3 Zhuhai Bingxing Construction Materials Co., Ltd 79,138,402 0.18%
4 Yunnan Power Grid Co., Ltd. 64,581,623 0.15%
5 State Grid Xinjiang Electric Power Co., Ltd. 51,528,797 0.12%
Total -- 43,545,115,382 98.60%
- 25 -
Guangdong Electric Power Development Co., Ltd. 2021 Annual Report
Other explanation :
√Applicable □Not applicable
Guangdong Yudean Environmental Protection Co., Ltd. is a wholly-owned subsidiary of Guangdong Electric Power
Industrial Fuel Co., Ltd., a joint venture company of the Company. Therefore, Guangdong Yudean Environmental
Protection Co., Ltd. is related to the Company.
Principal suppliers
Total purchase of top 5 Suppliers（Yuan） 40,109,894,524
Percentage of total purchase of top 5 suppliers In total annual purchase(%) 89.66%
Proportion of purchase amount from the top 5 suppliers in the total 75.63%
purchase amount from the related parties in the year
Information about the top 5 suppliers
No Name Amount（Yuan） Proportion
1 Guangdong Energy Group Co., Ltd 33,831,983,322 75.63%
2 Guangdong Zhujiang Investment Electric Fuel Co., Ltd. 2,010,234,422 4.49%
3 Guangdong Dapeng ING Co., Ltd 1,786,609,453 3.99%
4 Jiangsu Longyuan Zhenhua Marine Engineering Co., Ltd. 1,491,067,326 3.33%
5 Harbin Electric Corporation 990,000,000 2.21%
Total -- 40,109,894,524 89.66%
Other explanation :
√ Applicable □Not applicable
Guangdong Energy Group Co., Ltd. (hereinafter referred to as "Energy Group") is the controlling shareholder of the
Company, and has an associated relationship with the Company. The amount of related suppliers between the
Company and Energy Group listed here covers all related transactions between the Company and Energy Group and
its subsidiaries.
3.Expenses
In RMB
Increase/Dec
2021 2020 Notes
rease(%)
Sale expenses Mainly due to the company's added full-time
sales staff and increased business costs
65,407,040 58,905,940 11.04%
caused by the deepening of electricity
market.
Administration expenses 1,101,123,287 1,019,221,183 8.04%
Financial expenses It is mainly affected by the expense of
interest of units newly put into production
1,371,365,945 1,240,992,920 10.51%
and the increase of capital demand for new
projects.
- 26 -
Guangdong Electric Power Development Co., Ltd. 2021 Annual Report
It was mainly due to the company's
collection and recognition of R&D expenses
R & Development expenses 584,714,979 324,923,064 79.95% in accordance with the new standards this
year, and the substantial increase in R&D
investment of subordinate units.
4.R& D Expenses
√ Applicable □Not applicable
Expected impact on the
Name of main R&D Project
Project purpose Goal to be achieved future development of the
project progress
Company
To design a coal type adaptive control
The adaptability of the coordinated function based on standard coal, which
control system, the amount of coal, the is suitable for the coordinated control It ensures the Company to
Study on adaptability
matching of primary air and secondary system of circulating fluidized bed implement the strategy of
of DCS coordinated
air with the steam turbine are studied unit. The sliding pressure control coal diversification, and
control system to Completed
when the 300MW fluidized bed unit principle is deeply studied, and the DCS can quickly adapt to the
multiple coal types
burns a number of coals with different control function is optimized. While combustion regulation of
for burning
calorific values and ash contents so as to ensuring the unit efficiency, the different coal types
realize the stable and rapid load change frequency of manual intervention by
operators is reduced.
R&D of stable and
Reduce powder pipe blockage and Improve the boiler combustion Improve unit safety and
efficient boiler Completed
uneven distribution economy economy
pulverizing system
Research and
Study the zero discharge treatment
application of zero Realize the recycling of production
process and application of waste based Improve the recycling level
discharge of and domestic water in island power
on the composition analysis of industrial Completed of production and domestic
wastewater in plants, and build green environmental
wastewater of gas-steam combined cycle water in power plants
gas-steam combined protection
unit
cycle power plant
The Project is based on the feasibility
Strengthen the start-up mode of the Realize the isolated island
Feasibility Study on study of Mitsubishi M701F single-shaft
unit, realize the isolated island operation ability of power
Black Start of gas-steam combined cycle unit, which
operation capability of the power plant, and improve the
Single-shaft M701F can recover the system operation Completed
plant, and improve the power plant power plant production and
Combined Cycle Gas independently when the system is not
production and the safe operation safe operation ability of
Unit powered by power grid in case of
capability of the power grid. power grid
large-scale outage in power grid.
Research and Energy storage system is a third-party The 20MW/9.953MWh grid-level Improve the FM
Completed
application of energy auxiliary service provider for energy storage system based on performance of the unit,
- 27 -
Guangdong Electric Power Development Co., Ltd. 2021 Annual Report
storage frequency Guangdong FM market access, which is lithium iron phosphate cell is built on increase the FM mileage and
modulation (FM) of characterized by quick adjustment and the side of #3 and #4 generator sets, compensation income, and
Unit 3 and Unit 4 in accurate response, and can greatly and the energy storage system adopts meanwhile reduce
Shanwei Power Plant improve the FM performance of the unit, the "one-for-two" mode, which is used equipment wear, reduce coal
increase the bid winning probability, FM for the combined units to participate in consumption, increase
mileage and revenue of the unit. AGC FM of power grid. operation safety, etc., so as
to strive for the priority of
generating electricity on grid
in the electricity market.
Analyze the problems still existing in the
Research and drainage system of the whole plant,
application of deep further optimize the water flow so as to
water saving realize the cascade utilization of
technology and wastewater, and solidify the terminal Achieve zero discharge of wastewater Reduce environmental
Completed
terminal wastewater wastewater, so as to eventually realize in the whole plant hazards.
solidification the zero discharge of wastewater in the
technology in whole plant and completely eliminate
thermal power plant the hidden dangers of environmental
protection.
Through advanced control technologies
(MPC adaptive, ADRC active
disturbance rejection, IFC internal
feedback, self-learning control, etc.), the
automatic control of the reheat flue gas
Research and
temperature, denitration and ammonia
application of
injection control of a unit (temporarily Improve the stability and
advanced control Improve the thermal automation level
No.4 unit) is optimized, and the reheater reliability of the unit control
technology in Completed of the corresponding control system of
desuperheating water and ammonia system, save energy and
ultra-low emission the unit.
injection amount are reduced by reduce emissions.
control and energy
accurately controlling the reheat steam
saving of units
temperature and NOx concentration, so
as to achieve the effect of energy saving
and consumption reduction of the unit,
and ensure the maximum economic
benefit of the unit.
Research and
application of control
Cooperate with the research institute Improve the company's
technology for
Cooperate with group research institute In to carry out fuel cell research and research ability and promote
210KW
to develop fuel cell research. operation implement the application of the company's new energy
high-temperature
technology. development business.
fuel cell power
generation system
Research on Through the application of new Completed By improving the construction Make the electric
- 28 -
Guangdong Electric Power Development Co., Ltd. 2021 Annual Report
high-voltage waterproof and anticorrosive materials technology, improve the service life of precipitator system run
insulation and processes, the service life of the top the top plate of the electric precipitator safely and stably, and the
technology of plate and the waterproof and moisture and the rain-proof and moisture-proof environmental protection
electric precipitator proof performance of the whole structure performance of the whole structure. indexes meet the
for generator sets of the electric precipitator can be Improve the internal environment of requirements.
prolonged, the internal environment of the electric precipitator, avoid the
the electric precipitator can be further breakdown of high-voltage insulators
improved, the insulation performance of due to the degradation of insulation
high-voltage insulators can be prevented performance, and improve the overall
from decreasing or even being broken safety, reliability and stability of the
down, and the safety, reliability and electric precipitator system.
stability of the electric precipitator
system can be effectively improved.
Research and
The realization of highly
application of Realize "one-key start-stop" at the
Realize automatic control of unit start intelligent control of the unit
one-key start-stop of thermal system level, which is the first
and stop, reduce manpower input and In provides important technical
intelligent control time in China to adopt the strategy of
achieve energy saving and emission operation support for the subsequent
system for gas-steam "self-intelligent and automatic
reduction construction of smart power
combined cycle equipment" as the basic logic.
plants.
cogeneration unit
Company's research and development personnel situation
2021 2020 Increase /decrease
Number of Research and
Development persons 1,097 1,027 6.82%
(persons)
Proportion of Research and
11.65% 11.08% 0.57%
Development persons
Academic structure of R&D
—— —— ——
personnel
Bachelor 755 717 5.30%
Master 104 83 25.30%
Doctor 2 0
Age composition of R&D
—— —— ——
personnel
Under 30 years old 84 81 3.70%
30-40 years old 371 337 10.09%
Over 40 years old 620 582 6.53%
The Company's R & D investment situation
2021 2020 Increase /decrease
- 29 -
Guangdong Electric Power Development Co., Ltd. 2021 Annual Report
Amount of Research and
Development Investment 584,714,979 324,923,064 79.95%
(Yuan)
Proportion of Research and
Development Investment of 1.32% 0.97% 0.35%
Operation Revenue
Amount of Research and
Development Investment 27,538,100 24,918,912 10.51%
Capitalization (Yuan)
Proportion of Capitalization
Research and Development
4.71% 7.67% -2.96%
Investment of Research and
Development Investment
Reasons and influence of significant changes in R&D personnel composition of the Company
□ Applicable √Not applicable
The Reason of the Prominent Change in Total Amount of Research and Development Input Occupying the
Business Income Year on Year
□ Applicable √Not applicable
Reasons for the drastic change of capitalization rate of R&D investment and its rationality explanation
□ Applicable √Not applicable
5.Cash Flow
In RMB
Items 2021 2020 Increase/Decrease(%)
Subtotal of cash inflow received from operation activities 48,771,834,057 37,258,352,141 30.90%
Subtotal of cash outflow received from operation activities 48,812,138,068 29,503,553,505 65.44%
Net cash flow arising from operating activities -40,304,011 7,754,798,636 -100.52%
Subtotal of cash inflow received from investing activities 2,210,405,687 897,824,041 146.20%
Subtotal of cash outflow for investment activities 11,341,567,109 9,334,014,914 21.51%
Net cash flow arising from investment activities -9,131,161,422 -8,436,190,873 7.48%
Subtotal cash inflow received from financing activities 39,504,863,355 25,608,186,337 54.27%
Subtotal cash outflow for financing activities 31,715,363,283 23,868,583,548 32.87%
Net cash flow arising from financing activities 7,789,500,072 1,739,602,789 347.77%
Net increase in cash and cash equivalents -1,381,965,670 1,058,210,525 -230.59%
Notes to the year-on-year change of the relevant data
√Applicable □ Not applicable
(1) Cash inflow from operating activities increased by 30.9%, mainly due to the year-on-year increase in on-grid
electricity this year.
(2) Cash outflow from operating activities increased by 65.44%, mainly due to the increase in fuel cost caused by
- 30 -
Guangdong Electric Power Development Co., Ltd. 2021 Annual Report
the increase in on-grid electricity and the increase in coal and gas prices this year.
(3) Net cash flow from operating activities decreased by 100.52%, mainly due to the fact that the revenue growth
this year was much lower than the cost growth.
(4) Cash inflow from investment activities increased by 146.20%, mainly due to the sale of wharf assets by Bohe
Company this year.
(5) Cash outflow from investment activities increased by 21.51%, mainly due to the year-on-year increase in fixed
assets and intangible assets purchased and built by infrastructure units such as provincial wind power and marina
bay energy companies.
(6) Cash inflow from fund-raising activities increased by 54.27%, mainly due to the fact that more cash was
received for obtaining loans caused by ensuring the completion of the power supply guarantee task and development
this year.
(7) Net cash flow from financing activities increased by 347.77%, mainly due to the increase of cash inflow from
financing activities.
(8) Net increase of cash and cash equivalents decreased by 230.59%, mainly due to the large cash outflow from
operating activities this year.
Reasons for the significant difference between the net cash flow generated by the Company's operating activities
during the reporting period and the net profit of this year
□ Applicable √Not applicable
V. Analysis of Non-core Business
□Applicable √Not applicable
VI. Condition of Asset and Liabilities
1.Condition of Asset Causing Significant Change
In RMB
End of 2021 End of 2020
Proportion Proportion Proportion Notes to the
Amount in the total Amount in the total increase/decrease significant change
assets(%) assets(%)
Monetary fund 8,105,320,953 7.09% 9,438,414,350 9.49% -2.40%
Accounts receivable 7,030,685,357 6.15% 5,287,149,592 5.31% 0.84%
Contract assets 4,754,820 0% 3,342,276 0.01% -0.01%
Inventories 2,998,894,539 2.62% 1,683,995,018 1.69% 0.93%
Investment real estate 378,796,932 0.33% 131,191,258 0.13% 0.20%
Long-term equity
8,072,208,350 7.06% 7,297,733,122 7.34% -0.28%
investment
Fixed assets 56,943,126,256 49.83% 51,695,843,548 51.97% -2.14%
Construction in process 8,634,727,069 7.56% 8,341,336,277 8.38% -0.82%
Use right assets 5,256,124,979 4.60% 3,710,066,727 3.73% 0.87%
- 31 -
Guangdong Electric Power Development Co., Ltd. 2021 Annual Report
Short-term loans 12,360,296,429 10.82% 7,916,440,888 7.96% 2.86%
Contract liabilities 5,864,811 0.01% 8,424,399 0.01% 0%
Long-term borrowing 28,940,577,856 25.33% 21,922,680,540 22.04% 3.29%
Lease liabilities 4,728,167,142 4.14% 3,303,235,225 3.32% 0.82%
Overseas assets account for a relatively high proportion.
□ Applicable √ Not applicable
2.Asset and Liabilities Measured by Fair Value
√Applicable □ Not applicable
In RMB
Gain/Loss on Impairment Purchased Sold
Cumulative fair
fair value provisions amount in amount in
Opening value change Other
Items change in the in the the the Closing amount
amount recorded into changes
reporting reporting reporting reporting
equity
period period period period
Financial assets
Other equity
Instrument 3,548,888,015 -246,859,333 2,291,866,066 -70,000,000 3,232,028,682
Investment
Subtotal of
3,548,888,015 -246,859,333 2,291,866,066 -70,000,000 3,232,028,682
financial assets
Total 3,548,888,015 -246,859,333 2,291,866,066 -70,000,000 3,232,028,682
Financial
0 0
Liability
Other changes
Did great change take place in measurement of the principal assets in the reporting period ?
□ Yes √ No
3. Restricted asset rights as of the end of this Reporting Period
Asset pledge situation
On December 31, 2021, individual subsidiaries of the Group pledged the right to impose electricity charges to
banks to obtain long-term loans of RMB 6,002,119,898,of which: the balance of long-term loans due within one
year was 386,056,214 yuan (as of December 31, 2020: 4,193,207,913 yuan). including: the long-term borrowings
due within one year amounted to RMB 298,558,767.
- 32 -
Guangdong Electric Power Development Co., Ltd. 2021 Annual Report
VII. Investment situation
1. General
√ Applicable □ Not applicable
Investment of the period Investment of same period of last year Scale of change
4,542,474,730.60 2,337,157,612 138.46%
2.Condition of Acquiring Significant Share Right Investment during the Report Period
√Applicable □ Not applicable
In RMB
Whether
Progress
Name of the Share Gain or Less to Date of
Main Investment Investment Capital Investment Product up to
Company Proporti Partner Anticipated or the Current Involve Disclosure( Disclosure Index(if any)
Business Way Amount Source Horizon Type Balance
Invested on % Income Investment in if any)
Sheet Date
Lawsuit
January
26,2019,N
ovember Published in
29,
Guangdong Wind China Securities Daily,
2019, April
Wind Power Power Capital Self Electric In normal Securities Times and
1,828,810,000 100% No Long-term 196,412,857 No 11,
Generation Generati increase Funds Power operation http//.www.cninfo.com.cn(An
2020,
Co., Ltd. on nouncement No.:2019-40,
August 28,
2019-59,2018-45,2019-05,20
2020,Dece 19-58,2020-13.
mber 5,
2020
- 33 -
Guangdong Electric Power Development Co., Ltd. 2021 Annual Report
Guangdo
Guangdong AnnouncementNo.:2021-64
ng
Shajiao
Energy
(Plant C) Thermal Self Electric In normal October 8, Published in
Purchase 658,475,586 51% Group Long-term -273,438,892 No
Power power Funds Power operation 2021 China Securities Daily,
（Share
Generation Securities Times and
Proportio
Co., Ltd. http//.www.cninfo.com.cn
n：49%）
Yunfu
Yunda
AnnouncementNo.:2021-64
Guangdong Investme
Yudean nt Published in
Thermal Self Electric In normal October
Yunhe Power Purchase 354,276,477 90% Holdings Long-term -102,742,252 No
power Funds Power operation 8,2021 China Securities Daily,
Generation Co., Ltd.
Securities Times and
Co., Ltd.. （Share
http//.www.cninfo.com.cn
Proportio
n：10%）
Xinjiang
Jintai
Electric
Tumushuke Published in
Power
Thermal Thermal Self Electric In normal November
Purchase 800,000,000 79.48% Co., Ltd. Long-term -182,091,355 No China Securities Daily,
Power Co., power Funds Power operation 9,2021
（Share Securities Times and
Ltd.
Proportio http//.www.cninfo.com.cn
n：
20.52%）
Guangdong China AnnouncementNo.:2021-64
Thermal Self Electric In normal October
Yuehua Purchase 229,412,667.60 51% Huaneng Long-term -189,201,075 No
power Funds Power operation 8,2021
Power Group Published in
- 34 -
Guangdong Electric Power Development Co., Ltd. 2021 Annual Report
Generation Co., Ltd. China Securities Daily,
Co., Ltd. （Share Securities Times and
Proportio http//.www.cninfo.com.cn
n：49%）
Guangdo
AnnouncementNo.:2020-69
Guangdong ng
Electric Energy
Coal Capital Self In normal December Published in
Power 180,000,000 50% Group Long-term Coal sales 115,205,500 No
sales increase Funds operation 25,2020 China Securities Daily,
Industry Fuel （Share
Securities Times and
Co., Ltd. Proportio
http//.www.cninfo.com.cn
n：50%）
Guangdo
Gudngdong ng
AnnouncementNo.:2017-14
Yudean Guokun
Huadu New Published in
Cogener Capital Self Electric In normal April
Natural Gas 136,500,000 65% Energy Long-term -5,727,287 No
ation increase Funds Power operation 26,2017 China Securities Daily,
Thermal Co., Ltd.
Securities Times and
power Co., （Share
http//.www.cninfo.com.cn
Ltd. Proportio
n：35%）
Huizhou
Guangdong Dayawan AnnouncementNo.:2021-34
Yudean Petrifacti
Dananhai Cogener Capital Self Electric In normal May Published in
on
128,000,000 80% Long-term -5,508,146 No
Intelligence ation increase Funds Industry Power operation 21,2021 China Securities Daily,
Energy Co., Zone Securities Times and
Ltd. Investme http//.www.cninfo.com.cn
nt Co.,
- 35 -
Guangdong Electric Power Development Co., Ltd. 2021 Annual Report
Ltd.
（Share
Proportio
n：20%）
Zhaoqin
g
Guangdong Hejiang
AnnouncementNo.:2016-07
Yudean Electric
Yongan Power Published in
Cogener Capital Self Electric In normal March
Natural Gas 90,000,000 90% Develop Long-term -6,740,613 No
ation increase Funds Power operation 26,2016 China Securities Daily,
Thermal ment
Securities Times and
power Co., Co., ltd.
http//.www.cninfo.com.cn
Ltd. （Share
Proportio
n：10%）
Guangdo
Announcement No.:2021-23
ng
Shanxi
Energy Published in
Yudean Coal Capital Self In normal April
64,000,000 40% Group Long-term Coal sales 480,044,857 No
Energy Co., sales increase Funds operation 28,2021 China Securities Daily,
（Share
Ltd. Securities Times and
Proportio
http//.www.cninfo.com.cn
n：60%）
AnnouncementNo.:2020-13
Guangdong
Yudean Published in
Cogener Capital Self Electric In normal April
Binhaiwan 50,000,000 100% No Long-term -10,928,770 No
ation increase Funds Power operation 10,2020 China Securities Daily,
Energy Co.,
Securities Times and
Ltd.
http//.www.cninfo.com.cn
- 36 -
Guangdong Electric Power Development Co., Ltd. 2021 Annual Report
Guangdong AnnouncementNo.:2021-01
Yudean
New Published in
Dananhai Cogener Self Electric In normal January
establishme 15,000,000 100% No Long-term -495,320 No
Intelligence ation Funds Power operation 29,2021 China Securities Daily,
nt
Energy Co., Securities Times and
Ltd. http//.www.cninfo.com.cn
Guangdong Solar
New
Yudean Bijie power Self Electric In normal
establishme 5,000,000 100% No Long-term -93,023 No
New Energy generati Funds Power operation
nt
Co., Ltd. on
Guangdong AnnouncementNo.:2021-36
Yudean
New Published in
Baihua Cogener Self Electric In normal June
establishme 3,000,000 100% No Long-term -18,072 No
Intelligence ation Funds Power operation 10,2021 China Securities Daily,
nt
Energy Co., Securities Times and
Ltd. http//.www.cninfo.com.cn
Total -- -- 4,542,474,730.60 -- -- -- -- -- -- 0 14,678,409 -- -- --
- 37 -
Guangdong Electric Power Development Co., Ltd. 2021 Annual Report
3.Situation of the Significant Non-equity Investment Undergoing in the Report Period
□ Applicable √ Not applicable
4.Investment of Financial Asset
（1）Securities investment
√ Applicable □Not applicable
In RMB
Book value Sale Book value
Cumulative Purchase Gain/loss
Initial Mode of balance at the Changes in amount balance at the
Security Security Stock fair value amount in of the Accounting Source of the
investment accounting beginning of fair value of in the end of the
category code Abbreviation: changes in the this reporting items shares
cost measurement the reporting the this period this reporting
equity period period
period period period
Domestic Other equity
Shenzhen
and foreign 000027 15,890,628 FVM 92,080,800 30,391,200 106,581,372 122,472,000 instrument Self funds
Energy
stocks Investment
Domestic Other equity
and foreign 600642 Shenergy 235,837,988 FVM 289,878,345 119,394,337 173,434,694 409,272,682 instrument Self funds
stocks Investment
Domestic Other equity
and foreign 831039 NEEQ 3,600,000 FVM 11,628,000 4,356,000 12,384,000 15,984,000 instrument Self funds
stocks Investment
Total 255,328,616 -- 393,587,145 154,141,537 292,400,066 0 0 0 547,728,682 -- --
Disclosure date for the notice of
October 31,2019
approval by the Board (If any)
Disclosure date for the notice of
approval by shareholders’ Meeting (If
any)
- 38 -
Guangdong Electric Power Development Co., Ltd. 2021 Annual Report
（2）Investment in Derivatives
□ Applicable √ Not applicable
The Company had no investment in derivatives in the reporting period.
5.Application of the raised capital
□ Applicable √ Not applicable
The Company had no application of the raised capital in the reporting period.
VIII. Sales of major assets and equity
1.Situation of Significant Asset Sale
√ Applicable □ Not applicable
Net profit
contribut
Ratio of
ed by this Whether Whether Whether it is
net profit Relationshi
asset to all the all the implemented
contribut p with the
the listed Whether property creditor's as planned, if
Impact of ed by the counterpart
company Pricing it is a rights of rights not, the
Sold Dat Transaction the sale on sale of y
Counterpar from the principle related the assets and debts reasons and Disclosu Disclosure
asset e of price (RMB the assets to (applicable
ty beginning for asset party involved involved measures re date index
s sale '0,000) Company the total to related
of this sales transacti have have taken by the
(Note 3) net profit party
period to on been been Company
of the transaction
the date transferre transferre shall be
listed s)
of sale d d elaborated.
company
(RMB
'0,000)
Guangdong Bohe Aug 280,032.7 5,888 This asset - According Yes The NO NO Yes August Announcement
- 39 -
Guangdong Electric Power Development Co., Ltd. 2021 Annual Report
Electric Coal ust sale does to Company 14,2021 on Related
Power Whar 31,2 not affect evaluation is a Party
Industry f 021 the results of subsidiary Transactions of
Fuel Co., Company's state-owne with a Guangdong
Ltd. business d assets 67.39% Yudean Bohe
continuity filed by the shareholdin Energy Co., Ltd.
and competent g by Selling Terminal
manageme authority Guangdong Assets
nt stability, Energy (2021-53) was
and Group Co., published in
increases Ltd., and China Securities
the thus is Journal,
Company's company`s Securities Times
current net related and CNINF
profit by party.
about
RMB
58.88
million.
- 40 -
Guangdong Electric Power Development Co., Ltd. 2021 Annual Report
2.Sales of major equity
□ Applicable √ Not applicable
IX. Analysis of the Main Share Holding Companies and Share Participating Companies
√ Applicable □ Not applicable
Situation of Main Subsidiaries and the Joint-stock Company with over 10% net profit influencing to the Company
In RMB
Company Sectors Registered
Company Name Total assets Net assets Turnover Operating profit Net Profit
type engaged in capital
Power
generation
Bohe Energy
Subsidiary and power 6,200,891,390 9,502,337,223 4,134,623,594 2,782,274,837 26,050,041 -20,922,634
Company
station
construction.
Power
Zhanjiang generation
Electric Power Subsidiary and power 2,875,440,000 3,917,310,215 3,704,967,935 2,244,415,610 373,119,711 -304,090,266
Company station
construction.
Power
Jinghai Power generation
Generation Subsidiary and power 2,919,272,000 8,355,804,109 2,982,926,166 6,657,485,630 -2,640,674,340 -509,356,177
Company station
construction.
Power
Red Bay Power generation
Generation Subsidiary and power 2,749,750,000 6,462,999,626 2,720,782,057 5,009,175,976 609,255,573 -488,495,726
Company station
construction.
Power
generation
Huizhou Natural
Subsidiary and power 1,499,347,500 3,269,713,548 1,975,522,903 3,639,314,264 -117,742,041 84,762,958
Gas Company
station
construction.
Power
Pinghai Power generation
Generation Subsidiary and power 1,370,000,000 4,999,248,013 1,890,993,411 4,877,581,551 30,763,423 30,499,657
Company station
construction.
Shajiao C Subsidiary Power 2,500,000,000 6,916,322,968 2,986,022,873 1,999,829,883 -652,537,414 -568,004,644
- 41 -
Guangdong Electric Power Development Co., Ltd. 2021 Annual Report
Company generation
and power
station
construction.
Power
Maoming generation
Thermal power Subsidiary and power 1,437,985,100 2,799,651,949 814,047,099 2,072,867,826 -535,823,992 -534,404,739
Plant station
construction.
Power
generation
Zhongyue
Subsidiary and power 1,454,300,000 3,536,197,372 492,625,956 2,024,912,205 -454,273,396 -469,617,490
Energy Company
station
construction.
Power
Shaoguan generation
Yuejiang Subsidiary and power 1,564,055,690 5,526,129,604 -168,796,245 3,170,945,774 -862,937,835 -879,443,743
Company station
construction.
Power
Dapu Power generation
Generation Subsidiary and power 1,040,000,000 4,146,587,931 346,910,021 2,498,375,991 -512,302,579 -526,539,763
Company station
construction.
Power
Guangdong
generation
Wind Power
Subsidiary and power 3,513,202,870 28,103,342,894 6,807,899,651 1,080,046,636 171,931,312 224,225,625
Generation
station
Company
construction.
Investment in
electric
Shanxi Yudean Shareholding power,
1,160,000,000 6,627,921,355 5,978,182,597 100,199,753 1,200,176,191 1,200,222,313
Energy Company mining, new
energy and
other projects
Provide
Energy Financial
Shareholding financial
Leasing 2,000,000,000 7,913,153,817 2,128,409,423 259,494,775 119,312,905 89,599,668
Company leasing
Company
services
Energy Group Provide
Shareholding
Finance Finance 3,000,000,000 24,792,312,677 4,131,339,145 752,537,763 459,334,806 364,396,202
Company
Company services
- 42 -
Guangdong Electric Power Development Co., Ltd. 2021 Annual Report
Power
generation
Taishan Power Shareholding
and power 4,669,500,000 7,844,207,002 7,363,770,542 6,349,201,814 746,088,411 544,447,583
Generation Company
station
construction
Acquirement and disposal of subsidiaries in the Reporting period
√ Applicable □ Not applicable
Way of acquiring and disposing of subsidiary Impact on the whole producing operation and
Company name
corporations within the reporting period performance
During the reporting period, the Great South China Sea
Guangdong Yudean Dananhai
Invested Smart Energy Project was in the preliminary stage, and
Intelligence Energy Co., Ltd.
the construction was not commenced.
During the reporting period, Baihua Integrated Energy
Guangdong Yudean Baihua Integrated
Invested Project was in the preliminary stage, and the
Energy Co., Ltd.
construction was not commenced.
During the reporting period, Bijie New Energy Project
Guangdong Yudean Bijie New Energy
Invested was in the preliminary stage, and the construction was
Co., Ltd.
not commenced.
During the reporting period, Tumushuke Project had
suffered a net loss of RMB 39,677,914, with a net asset
Tumushuke Company Business merger not under the same control
of RMB 770,988,573 from the date of purchase to the
end of the year.
During the reporting period, Shajiao ( Plant C) Power
Shajiao(Plant C) Power Generation Generation Project Suffered a net loss of RMB
Business merger under the same control
Company 568,004,644 this year, with a net asset of RMB
2,986,022,873 .
During the reporting period, Yunhe Power Generation
Guangdong Yudean Yunhe Power
Business merger under the same control Project Suffered a net loss of RMB113,761,370 this
Generation Co.,Ltd.
year, with a net asset of RMB 1,167,270,828.
During the reporting period, Yuehua Power Generation
Guangdong Yuehua Power Generation
Business merger under the same control Project Suffered a net loss of RMB 366,848,863 this
Co., Ltd.
year, with a net asset of RMB 981,909,386.
Note
1. During the reporting period, due to the high price of coal and gas, the cost of power generation increased
substantially, and the Company's thermal power suffered a loss compared with the same period of last year;
2. In 2021, the Company's Zhuhai, Pingyuan, Xinliao and Wailuo Phase II projects were put into operation, and the
wind power revenue increased year on year. However, the Company's wind power profit was basically the same as
that of the previous year due to the year-on-year increase in depreciation and period expenses;
3. Investment income from affiliated companies of the Company increased year on year, mainly due to the rising
coal price, and investment income from Shanxi Energy and Fuel Company increased greatly year on year.
- 43 -
Guangdong Electric Power Development Co., Ltd. 2021 Annual Report
X．Structured vehicle controlled by the Company
□ Applicable √ Not applicable
XI. Prospect for future development of the Company
（I）The Development Trend of the Industry
Currently, China's power generation industry continues to present a diversified competition pattern. The main
generator sets of the Company are mainly in Guangdong Province, where there are many other power producers,
which are greatly affected by the power transmission from west to east. China's power supply structure is mainly
featured by thermal power generation. In recent years, with the proposal of "double carbon" goal and the deepening
of power supply reform, new and renewable energy sources such as wind power, photovoltaic power, nuclear power,
hydropower and biomass power generation have developed rapidly, and thermal power has gradually changed from
the main power source to the basic power source of peak regulation and frequency modulation. In 2021, the Central
Economic Work Conference proposed that the gradual withdrawal of traditional energy shall be based on the safe
and reliable substitution of new energy, and established in the basic national conditions of coal as the mainstay,
focusing on the clean and efficient utilization of coal, and promoting the optimal combination of coal and new
energy. With the further promotion of energy-saving and consumption-reducing transformation, flexibility
transformation and heating transformation of coal-fired units in the future, coal-fired generating units with large
capacity, high parameters and advanced energy saving will still be important power support. In addition, the clean
and efficient gas generator set is conducive to enhancing the peak-shaving capacity and safety reliability of the new
power system with new energy as the main body, and to building a clean, low-carbon, safe and efficient energy
system, with certain development space. To sum up, in the future, the thermal power industry will mainly rely on
developing coal power with large capacity, high parameters, advanced energy-saving, and accelerating the
development of gas power to optimize the power supply structure, promote the quality improvement and efficiency
increase by enhancing the technical R&D strength, strive for high electricity quantity and price by active marketing,
and reduce the cost by refined management; Meanwhile, the Company will actively grasp the development trend of
accelerating energy transformation under the goal of "emission peak" and "carbon neutrality", actively expand the
resources of new energy projects through multiple forms such as self-construction and acquisition, fully promote the
leap-forward development of new energy, and promote the clean and low-carbon transformation of the Company's
energy.
(II) Corporate development strategy
In the future, it will focus on energy production and supply, with consideration of comprehensive energy services,
centered by the goals of carbon peaking and carbon neutralization. Based on Guangdong and targeted at the whole
country, it will implement the "1+2+3+X" strategy- to build a first-class green low-carbon power listed company,
coordinate safety and development, optimize and strengthen the coal power, gas power and biomass power
generation business, and vigorously develop new energy, energy storage, hydrogen energy and land park
development. It will fully promote the leap-forward development of new energy; Grasp the window phase of
thermal power development and accelerate the development and construction of key projects; Explore the
distribution of multi-energy joint supply project of "integration of source network, load and storage", promote the
integrated development of "integration of wind, light and fire hydrogen storage", and build an ecological and
civilized power generation enterprise.
(III) Production and operation plans
- 44 -
Guangdong Electric Power Development Co., Ltd. 2021 Annual Report
In 2022, the company's consolidated statement has a budget target value of 109.212 billion kilowatt hours of
on-grid electricity, which is 4.06% higher than the actual on-grid power in 2021; The budgetary target value of the
main business revenue is RMB 50.889 billion, and an increase of 137 million yuan compared to the actual amount
of main business operating revenue of RMB 44.167 billion; The annual planned investment budget of the parent
company is RMB 6.473 billion, with an increase of RMB 5.209 billion compared with the actual investment of
RMB 4.542 billion in 2021.
(Note: The above operating plan does not represent the company's profit forecast for 2021, whether it can be
achieved depending on various factors such as changes in the electricity market and coal market conditions, thus
there is considerable uncertainty, and investors should pay special attention to it.)
（IV）Possible risks and countermeasures
1. Competition in electricity market is increasingly fierce. With the acceleration of the construction of the national
unified electricity market, all industrial and commercial users entering the electricity market, the cancellation of the
base electricity of coal-fired power plants, and the continuous settlement and trial operation of the electricity spot
market throughout the year, cross-regional multi-competition will not only create a broader market space for the
Company, but also bring a sharp increase in the number of market entities, an expansion of the floating range of coal
electricity prices, a continuous increase in the market transaction scale, and a more diversified trading mode, which
will further increase the competition intensity of power enterprises.
Countermeasures：First, fully expand the market. Strengthen the management of power generation process, optimize
the operation mode of units, ensure that all kinds of power contracts of thermal power units are implemented in
place, and new energy units are frequently and fully generated, and strive to achieve the Company's annual power
target. Second, strengthen the research and judgment of the electricity market, dynamically optimize the market
competition strategy, continuously improve and strengthen the construction of the electricity marketing system,
strive for the electricity price of market-oriented transactions to be higher than the market average level, further
improve the cooperative operation mechanism of the spot electricity market, and scientifically formulate trading
strategies. Third, focus on cost control. Firmly adhere to the principle of "frugality", strictly control general
management expenses and unproductive expenses, strive to control power generation costs and operating costs, and
improve the Company's market competitiveness.
2. Fuel prices are hovering at a high level. Affected by safety inspection, environmental protection supervision,
limited import quotas and other factors, the fuel supply continues to be tight, resulting in fuel prices hitting record
highs, plus geopolitical uncertainties and other factors, therefore, the uncertainty in the future trend of fuel prices
increases, and the Company's operating performance may continue to be under pressure.
Countermeasures ： First, continuously follow up the dynamic situation of the Company's coal supply and
consumption, strengthen cooperation with fuel companies, establish an analysis model of fuel supply and
consumption and an inventory structure model, scientifically optimize power generation and fuel procurement
strategies, control fuel procurement costs, reduce fuel capital occupation, and form an inventory strategy that takes
into account both supply guarantee tasks and economic benefits. Second, solidly promote new achievements in
benchmarking world-class work. By benchmarking the implementation plan and work list through dynamically
updating, learn from the valuable practical experience of industry and business benchmarking, promote the
improvement of management innovation, and promote the Company's cost reduction and efficiency increase with
more refined and advanced management.
3. The work safety situation is complicated. Some thermal power units in the Company have been running for many
years, and the aging problem of the unit is prominent. Some contractors' safety management is not in place, on-site
operators' safety awareness is insufficient, and illegal operations sometimes occur.
- 45 -
Guangdong Electric Power Development Co., Ltd. 2021 Annual Report
Countermeasures：First, thoroughly implement the responsibility system for work safety, organize personnel at all
levels to sign the responsibility form for work safety, decompose and implement all work safety objectives level by
level. Second, strengthen the equipment O&M management, earnestly well ensure the inspection and defect
elimination of equipment points, strengthen the analysis and investigation of hidden defects, eliminate common
hidden dangers of power plant equipment, and properly guarantee the closed-loop rectification of safety inspection.
Third, strengthen the safety education and training of all employees and contractors, popularize the new Work Safety
Law in an all-round way, enhance employees' safety awareness, and meanwhile, strengthen emergency rescue and
fire drills, and strive to prevent and resolve the risk of heavy casualties and property losses.
4. The structural adjustment of power supply has been strengthened. With the gradual implementation of China's
dual-carbon goal, energy production and consumption are accelerating the transition to green and low-carbon, a new
power system with new energy as the core is accelerating, and thermal power will gradually change from the main
power source to the basic power source. By the end of 2021, the installed capacity of the Company's coal-fired
power accounted for 72.8%, which is a high proportion; The Company's main power generation assets are located in
Guangdong Province, and the competition among power units inside the province is intensifying. The newly
installed nuclear power and the growth of renewable energy will further squeeze the on-grid power of thermal power
units, plus the influence by factors such as "West-to-East Power Transmission", accelerated electricity market
reform and carbon emission, as a result, the Company needs to vigorously promote the investment and construction
of new energy projects, continuously optimize and adjust the power supply structure, and accelerate the clean and
low-carbon energy transformation.
Countermeasures; First, the Company will actively increase investment in new energy projects and accelerate the
progress of new energy projects according to the national double-carbon goal and the relevant requirements of new
energy development planning. Third, deeply explore the distributed energy supply of cold, heat, electricity and gas,
as well as the infrastructure construction such as electricity exchange, charging piles and energy storage as well as
the development and utilization of hydrogen energy. Fourthly, continuously optimize the management of carbon
assets, make full use of internal and external resources, utilize the advantages of group operations, strengthen the
management of carbon emission data and management of carbon asset operation, enhance internal coordination,
promote energy conservation and carbon reduction, and realize the increment and profit of carbon assets.
XII.Particulars about researches, visits and interviews received in this reporting period
1.Particulars about researches, visits and interviews received in this reporting period
√ Applicable □Not applicable
Main contents discussed
Way of Types of Visitors
Reception time Place of reception and information Basic index
reception visitors received
provided
Please refer to the For details, please refer to the "Re
Haitong
investor activity record cord Form of Investor Relations A
Meeting room on securities,
form for details of the ctivities of Guangdong Electric Po
March 4,2021 the 36th floor of the Field research Organization Southern
discussion. No wer Development Co., Ltd."disclo
Company Media Asset
information is provided sed by the interactive platform (2
Management
by the Company 021001)
April 20,2021 The panoramic Other Other Investors who Please refer to the For details, please refer to the "Re
- 46 -
Guangdong Electric Power Development Co., Ltd. 2021 Annual Report
network participated in investor activity record cord Form of Investor Relations A
the Company's form for details of the ctivities of Guangdong Electric Po
performance discussion. No wer Development Co., Ltd."disclo
briefing information is provided sed by the interactive platform （
through the by the Company 2021002）
panoramic
network
platform
Please refer to the For details, please refer to the "Re
First State investor activity record cord Form of Investor Relations A
Meeting room on
September Cinda Fund form for details of the ctivities of Guangdong Electric Po
the 36th floor of the Field research Organization
14,2021 Management discussion. No wer Development Co., Ltd."disclo
Company
Co.,Ltd information is provided sed by the interactive platform （
by the Company 2021003）
Please refer to the For details, please refer to the "Re
investor activity record cord Form of Investor Relations A
Meeting room on Industrial
November form for details of the ctivities of Guangdong Electric Po
the 35th floor of the Field research Organization Securities,
3,2021 discussion. No wer Development Co., Ltd."disclo
Company Boshi Fund
information is provided sed by the interactive platform （
by the Company 2021004）
Please refer to the For details, please refer to the "Re
investor activity record cord Form of Investor Relations A
Meeting room on
November Boshi Fund, form for details of the ctivities of Guangdong Electric Po
the 35th floor of the Field research Organization
9,2021 Southern Fund discussion. No wer Development Co., Ltd."disclo
Company
information is provided sed by the interactive platform （
by the Company 2021005）
Please refer to the For details, please refer to the "Re
investor activity record cord Form of Investor Relations A
Meeting room on
November Chasing form for details of the ctivities of Guangdong Electric Po
the 36th floor of the Field research Organization
24,2021 Securities discussion. No wer Development Co., Ltd."disclo
Company
information is provided sed by the interactive platform （
by the Company 2021006）
Please refer to the For details, please refer to the "Re
investor activity record cord Form of Investor Relations A
Meeting room on Shenwan
November form for details of the ctivities of Guangdong Electric Po
the 35th floor of the Field research Organization Hongyuan
14,2021 discussion. No wer Development Co., Ltd."disclo
Company Securities
information is provided sed by the interactive platform （
by the Company 2021007）
Haitong Please refer to the For details, please refer to the "Re
Meeting room on
December Securities, investor activity record cord Form of Investor Relations A
the 35th, 36th floor Field research Organization
30,2021 Maxwealth form for details of the ctivities of Guangdong Electric Po
of the Company
Fund discussion. No wer Development Co., Ltd."disclo
- 47 -
Guangdong Electric Power Development Co., Ltd. 2021 Annual Report
Management information is provided sed by the interactive platform （
Co., Ltd., by the Company 2021008）
Shenzhen
black stone
Asset
Management
Limited
- 48 -
Guangdong Electric Power Development Co., Ltd. 2021 Annual Report
IV. Corporate Governance
I. General situation
The company is strictly in accordance with “Company Law”, “Securities Law”, “Governance Standards of Listed
Company”, “Listing Rules of Stocks” and other laws and regulations requirements, constantly perfects the
corporate governance structure, standardizes corporate operations and further enhances the level of corporate
governance. The company has established the corporate “Articles of Association”, the rules of procedure of three
meetings’ operation, the working rules of the board of directors special committee, the working rules of the
general manager of company and working conditions and internal control system which basically covers all
aspects of the operation management like financial management, investment management, information disclosure,
associated trade, external guarantees and fund-raising. These systems are implemented better. During the
reporting period, the company has amended part of the clauses in “Inside Information Management System” based
on the original systems and the requirements of the CSRC.
In 2021, the Company implemented the Guidelines for Corporate Governance of Listed Companies and the relevant
requirements of China Securities Regulatory Commission on improving the quality of listed companies, and
earnestly achieved a steady and prudent management, abided by laws and regulations, highlighted and refined its
main business, respected investors, and constantly improved the corporate governance level and the development
quality of listed companies. The Board of Directors organized 8 on-site meetings and 8 communication meetings,
and completed the examination and approval of 84 proposals of the Board of Directors, including regular reports,
internal control evaluation, comprehensive risk management, profit distribution plan, major investment and
financing, major related party transactions, etc., all of which were passed and effectively implemented. The Board
of Directors also convened 7 general meeting of shareholders, and all 31 proposals submitted at the general meeting
of shareholders were passed and effectively implemented. The Company successfully completed the preparation
and disclosure of regular reports and temporary announcements, and issued 160 announcements throughout the year.
The information disclosure has been assessed as "A" by Shenzhen Stock Exchange for eight consecutive years.
Does there exist any difference in compliance with the corporate governance , the PRC Company Law and the
relevant provisions of CSRC,
□ Yes √ No
There exist no difference in compliance with the corporate governance , the PRC Company Law and the relevant
provisions of CSRC.
II. Independence and Completeness in business, personnel , assets, organization and finance
The company has implemented separation of operation, separation of human resource, separation of assets,
separat ion of organization and financial independence between controlling shareholder. And it has a complete
business and operations management ability. 1. Separation of operation: the Company is principally engaged in
the electricity generation and sales to Guangdong Electric Power Holding Co.(“GPHC”) directly. The Company
has subcontracted the subsidiary of Yudean, the holding company, to purchase the fuels, which is solely for the
purpose of better utilization of large-scale purchase and cost control. 2. Separation of human resource: the General
Manager and all his subordinates, Secretary to the Board of Directors, Financial Manager are paid by the
Company and take no position in the holding company. 3. Separation of assets: the Company has independent
production system, supporting system and other facilities. The Company owns its intangible assets such as
- 49 -
Guangdong Electric Power Development Co., Ltd. 2021 Annual Report
intellectual property rights, trademarks and non-patent technology; 4. Separation of organization: the Company
has established integrated operating institution of its own.5.. Financial independence: the Company has an
independent financial department and has established independent accounting system and financial management
system. It opened independent bank accounts for its own operation.
III. Competition situations of the industry
√Applicable □ Not Applicable
Types of Property of
Name of the Time Schedule of
relationship the
Problem Types Controlling Problems and Causes Countermeasures Works and
with listed Controlling
Shareholders Follow-up Program
companies Shareholders
Energy Group was On January 3, 2018, Our company will
established when the company actively fulfill the
Guangdong Provincial disclosed trusteeship and
Government took the lead Announcement on responsibilities
in the implementation of Controlling according to the
the “plant and network Shareholders' “Equity Custody
separation” power system Commitment to Agreement” and
reform in China, and was Perform Related participate in the
separated and formed Matters (public management and
from Guangdong notice No.: decision-making and
Provincial Power Group 2018-01); on inspection and
Corporation. It is the January 13, 2018, supervision of the
largest and most powerful the company custody target. The
power generation disclosed company will
enterprise in Guangdong Announcement of cooperate with
Guangdong
Horizontal Controlling Local Province. Yudean Power Related Energy Group to
Energy Group
competitions shareholder SASAC is the only listed company Transactions on the push forward the
Co., Ltd.
under the Energy Group "Equity Custody defect rectification of
and is engaged in power Agreement" signed the underlying
production business. At with Guangdong assets, study the
present, Energy Group Energy Group Co., rectification and
still has some remaining Ltd. (public notice solution to the
power generation assets No.: 2018-04). In defects and obstacles
that have not been order to avoid in the relevant assets
included in Yudean Power competition in the that do not meet the
temporarily. Considering same industry and listing conditions,
the situation of these to fulfill the promote relevant
power generation assets, relevant horizontal rectification work
it is temporarily not in competition from the aspects of
line with the listing commitments, improving project
conditions, and it is Energy Group has approval or approval
difficult to solve these signed the Entrusted procedures,
- 50 -
Guangdong Electric Power Development Co., Ltd. 2021 Annual Report
problems in the short Management clarifying land and
term. Therefore, there is a Agreement with the property ownership,
certain degree of company, and all enhancing asset
horizontal competition. the shareholders' profitability, and
rights other than the implementing legal
ownership, income, compliance. For
and disposal rights custody assets that
of the company that meet the listing
temporarily fails to conditions in the
meet the listing future, Energy Group
conditions in the will, in accordance
company's custody with the unified
area of the Energy deployment of the
Group are escrowed Guangdong
to our company. Provincial Party
Committee and the
provincial
government and the
overall requirements
for the reform of
state-owned
enterprises, actively
create conditions for
the injection into
listed companies in
accordance with the
status of the assets
under custody,
combined with
enterprise
restructuring,
structural adjustment
arrangements,
electricity market
and capital market
conditions.
IV. Annual General Meeting and Extraordinary Shareholders’ Meetings in the Reporting Period
1.Annual General Meeting
Investor
Sessions Type Meeting Date Disclosure date Disclosure index
participation ratio
- 51 -
Guangdong Electric Power Development Co., Ltd. 2021 Annual Report
Announcement of Resolution of
the first Provisional
shareholders’ general meeting in
The first provisional Provisional
2021，Announcement
shareholders’ General shareholders’ 72.57% February 25,2021 February 26,2021
No.:2021-09,
meeting in 2021 General Meeting
Published in China Securities D
aily, Securities Times and http//.
www.cninfo.com.cn
Announcement of Resolution of
2020 shareholders’ general
meeting ，Announcement
2020 Shareholders’ Annual General
72.58% May 20,2021 May 21,2021 No.:2021-33.
general meeting Meeting
Published in China Securities D
aily, Securities Times and http//.
www.cninfo.com.cn
Announcement of Resolution of
the Second Provisional
The Second shareholders’ general meeting in
Provisional
provisional 2021，Announcement
shareholders’ 72.60% August 2,2021 August 3,2021
shareholders’ General No.:2021-48,
General Meeting
meeting in 2021 Published in China Securities D
aily, Securities Times and http//.
www.cninfo.com.cn
Announcement of Resolution of
the Third Provisional
shareholders’ general meeting in
The Third provisional Provisional
2021，Announcement
shareholders’ General shareholders’ 73.25% August 30,2021 August 31,2021
No.:2021-59
meeting in 2021 General Meeting
Published in China Securities D
aily, Securities Times and http//.
www.cninfo.com.cn
Announcement of Resolution of
the Fourth Provisional
The Fourth shareholders’ general meeting in
Provisional
provisional 2021，Announcement
shareholders’ 73.72% October 25,2021 October 26,2021
shareholders’ General No.:2021-73
General Meeting
meeting in 2021 Published in China Securities D
aily, Securities Times and http//.
www.cninfo.com.cn
Announcement of Resolution of
The Fifth provisional Provisional
the Fifth Provisional
shareholders’ General shareholders’ 72.62% November 25,2021 November 26,2021
shareholders’ general meeting in
meeting in 2021 General Meeting
2021，Announcement
- 52 -
Guangdong Electric Power Development Co., Ltd. 2021 Annual Report
No.:2021-89
Published in China Securities D
aily, Securities Times and http//.
www.cninfo.com.cn
Announcement of Resolution of
the Sixth Provisional
shareholders’ general meeting in
The Sixth provisional Provisional
2021，Announcement
shareholders’ General shareholders’ 72.74% December 29,2021 December 30,2021
No.:2021-94
meeting in 2021 General Meeting
Published in China Securities D
aily, Securities Times and http//.
www.cninfo.com.cn
2. Request for extraordinary general meeting by preferred stockholders whose voting rights restore
□ Applicable √Not applicable
V. Information about Directors, Supervisors and Senior Executives
Shares Amount of Amount of Other
Number of Reasons for
Expiry held at shares shares chan
Office Starting date shares held at increase or
Name Positions Sex Age date of the increased at decreased at ges(s
status of tenure the end of the decrease of
tenure year-beg the reporting the reporting hares
period(shares) shares
in(share) period(share) period(share) )
Board August August
Wang Jin In office Male 58
chairman 2,2021 1,2024
August August
Wang Jin Director In office Male 58
2,2021 1,2024
Zheng Vice Board August August
In office Male 53
Yunpeng chairman 2,2021 1,2024
Zheng August August
Director In office Male 53
Yunpeng 2,2021 1,2024
Zheng General August August
In office Male 53
Yunpeng Manager 2,2021 1,2024
August August
Li Fangji Director In office Male 54
2,2021 1,2024
August August
Li Baobing Director In office Male 47
2,2021 1,2024
Chen August August
Director In office Male 46
Yanzhi 2,2021 1,2024
- 53 -
Guangdong Electric Power Development Co., Ltd. 2021 Annual Report
Mao August August
Director In office Male 47
Qinghan 2,2021 1,2024
Shen Independent August August
In office Female 54
Hongtao director 2,2021 1,2024
Independent August August
Wang Xi In office Male 51
director 2,2021 1,2024
Ma Independent August August
In office Male 57
Xiaoqian director 2,2021 1,2024
Yin Independent August August
In office Male 52
Zhongyu director 2,2021 1,2024
Chairman of August August
Zhou the 2,2021 1,2024
In office Male 49
Zhijian Supervisory
Committee
Employee August August
Li Ruiming In office Male 58
supervisor 2,2021 1,2024
August August
Shi Yan Supervisor In office Female 44
2,2021 1,2024
Employee August August
Li Qing In office Male 44
supervisor 2,2021 1,2024
Independent August August
Sha Qilin In office Male 61
director 2,2021 1,2024
Tang August August
Deputy GM In office Male 59
Yongguang 2,2021 1,2024
Guo August August
Deputy GM In office Male 47
Yongxiong 2,2021 1,2024
Deputy GM, August August
Liu Wei Finance In office Male 42 2,2021 1,2024
manager
Board August August
Liu Wei In office Male 42
secretary 2,2021 1,2024
Dimissio September August
Rao Subo Director Male 57
n 18,2017 2,2021
Wen Dimissio September August
Director Male 53 2,830 2,830
Lianhe n 18,2017 2,2021
Dimissio September September
Chen Ze Director Male 52
n 18,2017 23,2021
Dimissio February August
Yan Ming Director Male 50
n 21,2019 2,2021
- 54 -
Guangdong Electric Power Development Co., Ltd. 2021 Annual Report
Employee Dimissio AAugust August
Liang Peilu Male 57
supervisor n 2,2019 2,2021
Independent Dimissio August
Sha Qilin Male 60 May 20,2014
director n 2,2021
Chairman of
Zhang the Dimissio August August
Male 60
Dewei Supervisory n 14,2012 2,2021
Committee
Zhu Independent Dimissio August
Male 64 May 20,2014
Weiping Supervisor n 2,2021
Jiang Independent Dimissio August
Male 53 May 20,2014
Jinsou Supervisor n 2,2021
Employee Dimissio December August
Hu Jinpei Male 58
supervisor n 23,2020 2,2021
Total -- -- -- -- -- -- 2,830 0 0 0 2,830 --
1.Basic situation
Indicate whether any director, supervisor or senior management resigned before the expiry of their tenure during
the Reporting Period
□ Yes √ No
Changes of directors, supervisors and senior executives
√ Applicable □ Not applicable
Name Positions Types Date Reason
Rao Subo Director Left for term expiration August 2,2021
Wen Lianhe Director Left for term expiration August 2,2021
Chen Ze Director Dimission September 23,2021 Job change
Yan Ming Director Left for term expiration August 2,2021
Liang Peilu Employee director Left for term expiration August 2,2021
Sha Qilin Independent director Left for term expiration August 2,2021
Zhang Dewei Chairman of the Supervisory Committee Left for term expiration August 2,2021
Zhu Weiping Independent Supervisor Left for term expiration August 2,2021
Jiang Jinsuo Independent Supervisor Left for term expiration August 2,2021
Hu Jinpei Employee supervisor Dimission August 2,2021 Job change
- 55 -
Guangdong Electric Power Development Co., Ltd. 2021 Annual Report
2.Posts holding
Work Experience in the past five years of Directors, supervisors and senior Executives in Current office
Mr. Wang Jin, born in May 1963. He holds a Bachelor of Engineering from Nanjing Institute of Technology and a
Master of Business Administration from Jinan University. He is now a senior engineer,and currently serves as
chairman of Guangdong Electric Power Development Co., Ltd., He once served as director of boiler maintenance
workshop in Shaoguan Power Plant, director of Engineering Technology Department of Zhuhai Power Plant’s
Planning and Construction Department, deputy director of Zhuhai Power Plant, executive deputy general manager
of Guangzhu Power Generation Co., Ltd. and general manager of Zhuhai Power Plant Co., Ltd., general manager
and secretary of the Party Committee of Guangdong Zhuhai Jinwan Power Generation Co., Ltd., general manager
of Guangzhu Power Generation Co., Ltd., the deputy chief engineer and the manager of the Department of
Management and the secretary of the Party Branch of Guangdong Energy Group Co., Ltd., and concurrently
served as director of Guangdong Electric Power Development Co., Ltd.
Mr. Zheng Yunpeng, born in October 1968, Bachelor of South China University of Technology and MBA of Jinan
University, is a senior engineer. Currently, he is the general manager of Guangdong Electric Power Development
Co., Ltd. He had served as Deputy Minister of Strategy Development Department of Guangdong Yudean Asset
Management Co., Ltd., Deputy Minister of Strategy Development Department of Guangdong Energy Group Co.,
Ltd., Minister of Strategy Development Department of Guangdong Energy Group Co., Ltd., Secretary of the Party
Branch and General Manager of Branch Company of Guangdong Yudean Environmental Protection Engineering
Management Company, Factory Director and Secretary of the Party Committee of Huangpu Power Plant, General
Manager of Yuehua Power Generation Company, General Manager and Secretary of the Party Branch of
Guangdong Yudean Natural Gas Co., Ltd.
Mr. Li Fangji, born in November 1967, is a senior engineer. He holds a bachelor degree from Beijing Institute of
Water Resources and Electric Power Economics and Management and a master degree in engineering from
Tianjin University. He currently serves as Deputy Chief Engineer of Guangdong Energy Group Co., Ltd. and
concurrently serves as Minister of Strategy Development Department and Secretary of Party Branch of Energy
Group Corporation. He had served as Engineer of Shenzhen Energy Corporation, Assistant to General Manager
and Deputy General Manager of Shenzhen Qianwan Electric Power Development Co., Ltd., Assistant to General
Manager, Chairman of the Labor Union, Deputy General Manager, General Manager, and Secretary of the Party
Committee of Shenzhen Guangqian Electric Power Co., Ltd., Secretary of Party Committee and General Manager
of Guangdong Yudean Jinghai Power Generation Co., Ltd.，Minister of strategy Development Dept and party
branch secretary of Energy Group.
Mr. Li Baobing, born in September 1974, graduated from Xi'an Jiaotong University with a master degree, is a
senior economist. Currently he is the Minister of Finance Department and Secretary of the Party Branch of
Guangdong Energy Group Co., Ltd.,He served as Assistant to General Manager of Budget and Finance
Department and Director of Asset Management Department of Guangzhou Lingnan International Enterprise
Group Co., Ltd., Manager of Investment Department and Deputy General Manager of Guangdong Yudean Finance
Co., Ltd., and had concurrently served as General Manager of Shenzhen Tianxin Insurance Brokers Co., Ltd.and
Vice Minister，Minister and Secretary of the Party Branch of Finance Department of Guangdong Energy Group
Co., Ltd.
Mr. Mao Qinghan, born in October 1974. Bachelor Degree of Engineering from Hunan University, Master Degree
of Engineering from South China University of Technology. Engineer He is currently the Assistant General
- 56 -
Guangdong Electric Power Development Co., Ltd. 2021 Annual Report
Manager of Guangzhou Development Group Co., Ltd., the Party Secretary and Executive Director (Legal
Representative) of Guangzhou Development Electric Power Group Co., Ltd. He used to be the Secretary and
Director of the Party General Branch of Xicun Thermal Power Plant of Guangzhou Power Plant, the Deputy
General Manager of Guangzhou Power Plant, the Secretary of the Party General Branch of Guangzhou Power
Plant Co., Ltd., the Secretary and General Manager of the Party General Branch of Guangzhou Wanglong Thermal
Power Co., Ltd., the Safety Director of Guangzhou Development Group Co., Ltd. and the General Manager of
Safety, Health and Environmental Management Department, and the Party Secretary and General Manager of
Guangzhou Development Electric Power Group Co., Ltd.
Mr. Chen Yanzhi, born in July 1975, graduated from Guangdong University of Technology with a bachelor's degree,
Senior Political Engineer. He is currently the Deputy Secretary of the Party Committee and Chairman of the Trade
Union of Guangdong Electric Power Development Co., Ltd. He used to be the Assistant Engineer of the Technical
Improvement Company of Guangdong Electric Power Industry Bureau, the special person in charge of the Labor
and Wage Division, the special person in charge of the personnel of Tianshengqiao First-class Hydropower
Development Co., Ltd., the special person in charge of the Human Resources Department and the Manager and
Deputy Head of the Personnel Division of Guangdong Yudean Group Co., Ltd.
Ms. Shen Hongtao, born in August 1967, PhD of management of Xiamen University, professor, doctoral
supervisor. Currently, she is a professor in accounting department of Jinan University, and concurrently serves as
member of Accounting Society of China, Standing member of Accounting Association of Guangdong Province,
editorial board member of China Journal of Accounting Studies, editorial board member of Accounting Study,
She is also an Independent directors of Guangzhou Grandbuy Co ., Ltd., Guangzhou Yuexiu Financial Holdings
Group Co., Ltd., Rongjie Co., Ltd., Guangdong Electric Power Development Co., Ltd., and Guangxi Dongcheng
Hotel Management Group Co., Ltd., She had served as deputy section head of Guangdong Provincial People's
Government, consultant of PwC International and vice president of International College of Jinan University.
Mr. Wang Xi, born in April 1970, PhD of economics of Sun Yat-sen University, professor, doctoral supervisor,
Specially-appointed Professor of Pearl-river Scholar. Currently, he serves as professor of Lingnan College of
Yat-sen University and Director of Institute of Economic Research of Yat-sen University, He is also an
independent director of Guangdong Electric Power Development Co.,Ltd., Guangzhou Yuexiu Financial Holdings
Group Co., Ltd., Zhuhai Rural Commercial Bank,Cnfinance Holdings Limited and BYHEALTH Co., Ltd. and
External director of Guangzhou Public Transport Group Co., Ltd..
Mr. Ma Xiaoqian, born in March 1964, is Ph.D.of engineering thermophysics from South China University of
Technology. He is a professor and currently serving as the director of the Key Laboratory of the Electric Power
School of South China University of Technology and concurrently serving as the deputy director of teaching
guiding committee of energy and power professional of high education of the Ministry of Education, the chairman
of the Guangzhou Energy Institute, the outside director of Guangzhou Environmental Protection Investment
Group Co., Ltd., and the independent director of Guangzhou Development Group Co., Ltd. He used to be the dean
and vice president of Electric Power College of the South China University of Technology.
Mr. Yin Zhongyu, born in February 1969. He is Master of rural finance from Northwest Agricultural University.
He is currently the general manager of the Great Wall Securities M&A Department. He previously served as a
director of the Guotai Junan M&A business and an executive director of Shanghai Longrui Investment
Consultants Company，General Manager of M & A Dept of Great Wall Securities.
Mr. Zhou Zhijian, was born in October 1972, with bachelor of Economics from Zhongnan University of Finance
and Economics and Master of Business Administration from Jinan University, and he is senior accountant. He is
- 57 -
Guangdong Electric Power Development Co., Ltd. 2021 Annual Report
currently the Chief Auditor, General Manager and Secretary of the Party Branch of the Audit Department of
Guangdong Energy Group Co., Ltd. He served as Manager of the Asset Operation Division of the Strategic
Development Department of Guangdong Yudean Asset Management Co., Ltd, Deputy Minister of the Finance
Department of Guangdong Yudean Asset Management Co., Ltd, Deputy Minister and Minister of the Finance
Department of Guangdong Yudean Group Co., Ltd, and Deputy Secretary and General Manager of the General
Party Branch of Guangdong Energy Group Finance Co., Ltd.
Ms. Shi Yan, born in December 1977, Master graduate from Sun Yat-sen University, Senior accountant. Currently,
she is the manager of the comprehensive branch of the Finance Department of Guangdong Energy Group Co., Ltd.
Previously, she was the special manager, director and general manager of the Cost Accounting Division of the
Finance Department of Guangdong Energy Group Co., Ltd.
Mr. Sha Qilin, currently a partner of Guangdong Nanguo Desai Law Firm, and a warehousing expert of external
directors of enterprises supervised by Guangzhou SASAC; Member of the Ministry of Justice's "National Talent
Pool of 1,000 Lawyers Handling Foreign-related Maters" and Guangdong Province's Foreign-related Leading
Talent Pool; Arbitrator of Hainan International Arbitration Court and Zhaoqing Arbitration Commission; Member
of Foreign-related Legal Professional Committee of Guangzhou Lawyers Association, and concurrently an
Independent Director of Guangdong Electric Power Development Co., Ltd. He used to be a major administrative
decision-making expert of Guangzhou Municipal People's Government (financial group) and an associate
professor of Wuhan Institute of Technology (now Wuhan University of Technology). head of investment and
development department of China Huandao Group Company, deputy chief engineer of group and chief manager
of overseas listed leading group.
Mr. Li Ruiming, born in December 1963. Bachelor degree from Guangdong Administration College, Master of
Power Engineering from Zhejiang University, Professor-level Senior Engineer. He is currently the Deputy Secretary
of the Party Committee and Secretary of Committee for Discipline Inspection of Guangdong Electric Power
Development Co., Ltd. He used to be Operation Workshop Director and Branch Secretary, Assistant to Plant
Manager and Director of Coal Water Slurry Project Office of Maoming Thermal Power Plant, Deputy Secretary of
Party Committee, Secretary of Committee for Discipline Inspection, Chairman of Trade Union of Maoming
Thermal Power Plant, Plant Manager, Secretary of Party Committee, Secretary of Committee for Discipline
Inspection and Chairman of Trade Union of Maoming Thermal Power Plant, Head of Preparatory Group of Bohe
Coal and Electricity Company, Plant Manager and Secretary of Party Committee of Yunfu Power Plant, General
Manager and Secretary of Party Committee of Yunhe Power Plant, Secretary of Party Committee, Secretary of Party
Committee, Secretary of Committee for Discipline Inspection and Chairman of Trade Union of Shajiao C Power
Plant.
Mr. Li Qing, born in May 1977. Bachelor of Economics, Shanghai University of Finance and Economics. senior
accountant. The current Guangdong Electric Power Development Co., Ltd. employee supervisor, director of the
audit room. Former Yunfu Power Plant Finance Department Accounting, Guangdong Yuelong Power Co., Ltd.
Mr. Tang Yongguang, born in December 1962. Bachelor of Engineering, Chongqing University. Senior engineer.
He is currently the Deputy General Manager of Guangdong Electric Power Development Co., Ltd. He used to be a
boiler technician in Huangpu power plant, a senior engineer in the biotechnology department of Guangdong
power industry bureau, a manager of the safety supervision division of the biotechnology safety supervision
department of Guangdong Energy Group Co., Ltd., a member of the party committee and deputy manager of
Shaoguan power plant, a member of the party committee and deputy manager of Shajiao C power plant, a deputy
director of the biotechnology safety supervision department of Guangdong Energy Group Co., Ltd., and a deputy
director of the safety supervision and Production Technology department of Guangdong Energy Group Co., Ltd.
- 58 -
Guangdong Electric Power Development Co., Ltd. 2021 Annual Report
Mr. Guo Yongxiong, born in January 1974, Bachelor of Engineering from Hehai University, Master of
Engineering from South China University of Technology, is Senior Engineer. Currently, he is deputy general
manager of Guangdong Electric Power Development Co., Ltd. He used to be in charge for the production
preparation department of Zhuhai Guangzhu Power Generation Co., Ltd, specially in charge of Engineering
Department for steam turbines of Guangdong Zhuhai Power Generation Co., Ltd as a loaned staff borrowed by
Zhuhai Power Plant, and used to be team leader and planning supervisor of Zhuhai Power Plant Maintenance
Department, Engineer of Zhuhai Guangzhu Power Generation Co., Ltd, Planning Director of Planning and
Contract Department and Planning Director of Zhuhai Power Plant Unit 3 and 4 Extension Office, Deputy
Manager of Planning and Contract Department and Planning Director of Jinwan Power Generation Company,
Manager of Human Resources Department, Manager of Equipment Department, Party Committee Member, Chief
Engineer of Guangdong Zhuhai Jinwan Power Generation Co., Ltd, and served as Deputy General Manager of
Guangdong Red Bay Power Generation Co., Ltd.
Mr. Liu Wei, born in April 1979, is Bachelor of finance from Zhongnan University of Economics and Law. He is
an economist and currently serves as the Company’s deputy general manager, chief financial officer, secretary of
the board of directors, and concurrently as manager of the board affairs department. He used to be responsible for
the financial department of Guangdong Electric Power Development Co., Ltd., and be responsible and as the host
of the Board Affairs Department, and the representatives of the company's securities affairs and Manager.
Office taking in shareholder companies
√Applicable □Not applicable
Names of the Expiry date Does he /she receive
Titles engaged in the Sharing date of
persons in Names of the shareholders of office remuneration or allowance
shareholders office term
office term from the shareholder
Li Fangji Guangdong Energy Group Co., Ltd. Vice chief engineer April 1,2018 Yes
General Manager of
Operating Management
Li Fangji Guangdong Energy Group Co., Ltd. February 1,2021 Yes
Dept and Secretary of Party
Branch
Minister of Finance and
Li Baobing Guangdong Energy Group Co., Ltd. September 1,2019 Yes
secretary of Party Branch
General Manager of the
Audit Department, secretary
Zhou Zhijian Guangdong Energy Group Co., Ltd. January 11,2021 Yes
of Party Branch, General
Auditor
Shi Yan Guangdong Energy Group Co., Ltd. Deputy GM of Finance Dept June 1,2020 Yes
Guangzhou Development Group
Mao Qinghan Assistant general manager July 1,2021 No
Co., Ltd.
Where there are more than one post, the starting time of appointment shall be the
Notes to post-holding in shareholder’s unit
starting time of the main post.
Offices taken in other organizations
- 59 -
Guangdong Electric Power Development Co., Ltd. 2021 Annual Report
√Applicable □Not applicable
End date Drawing remuneration
Start date of office
Name Other unit Title of office and allowance from of
term
term other unit(Y/N)
Guangdong Energy Maoming Thermal Power
Wang Jin Board chairman April 1,2019 No
Plant Co., Ltd.
Wang Jin Guangdong Red Bay Power Generation Co., Ltd. Board chairman December 1,2020 No
Guangdong Yudean Jinghai Power Generation
Wang Jin Board chairman December 1,2021 No
Co., Ltd.
Guangdong Huizhou Natural Gas Power
Wang Jin Board chairman May 1,2021 No
Generation Co., Ltd.
Wang Jin Guizhou Yueqian Electric Power Co., Ltd. Board chairman March 1,2021 No
Zhuhai Special Economic Zone Guangzhu Power
Wang Jin Board chairman July 1,2020 No
Generation Co., Ltd.
Guangdong Huizhou Pinghai Power Generation
Wang Jin Board chairman April 1,2021 No
Co., Ltd.
Guangdong Zhuhai Jinwan Power Generation
Wang Jin Board chairman July 1,2020 No
Co., Ltd.
Zheng Guangdong Yudean Huadu Natural Gas Thermal
Board chairman June 1,2021 No
Yunpeng Power Co., Ltd.
Zheng
Guangdong Yudean Bohe Coal Power Co.,Ltd. Board chairman June 1,2021 No
Yunpeng
Zheng
Guangdong Yudean Binhaiwan Energy Co., Ltd. Executive director June 1,2019 No
Yunpeng
Zheng Guangdong Yudean Dayawan Integrated Energy
Board chairman February 1,2020 No
Yunpeng Co., Ltd
Zheng Guangdong Yudean Dananhai Intelligent Energy
Executive director January 1,2021 No
Yunpeng Co., Ltd.
Zheng Guangdong Yudean Baihua Integrated Energy
Executive director February 1,2021 No
Yunpeng Co., Ltd
Zheng
Guangdong Yudean Qiming Energy Co., Ltd. Executive director April 1,2021 No
Yunpeng
Li Baobing CSPG Energy Co., Ltd. Supervisor June 1,2018 No
Li Baobing Guangdong Yudean Finance Lease Co., Ltd. Board chairman September 1,2020 No
Li Baobing Guangdong Energy Group Finance Co., Ltd. Director April 1,2020 No
Vice Board
Chen Yanzhi Shanxi Yudean Energy Co., Ltd. April 1,2021 No
chairman
Chen Yanzhi Guangdong Yudean Shipping Co., Ltd. Director April 1,2021 No
- 60 -
Guangdong Electric Power Development Co., Ltd. 2021 Annual Report
Chairman of the
Zhou Zhijian Yangjiang Nuclear Power Co., Ltd. Supervisory February 1,2020 No
Committee
Executive director
（legal
Mao Guangzhou Development Electric Power
representative）, December 1,2017 Yes
Qinghan Enterprise Co., Ltd.
secretary of the
party committee
Executive
director,Genearl
Mao Guangzhou Development Electric Power
Manager（legal April 1,2018 No
Qinghan Enterprise Co., Ltd.
representative）
Executive
director, Geneal
Mao
Guangzhou Guangneng Investment Co., Ltd. Manager（legal April 1,2018 No
Qinghan
representative）
Shen
Accounting dept , Jinan University Professor April 1,2012 Yes
Hongtao
Shen Guangzhou Yuexiu Finance Holding Group Co., Independent
November 1,2017 Yes
Hongtao Ltd. Director
Shen Independent
Guangzhou Store Co., Ltd. September 1,2016 Yes
Hongtao Director
Shen Independent
Rongjie Co., Ltd. October 1,2017 Yes
Hongtao Director
Shen Guangxi Dongcheng Hotel Management Group Independent
June 1,2021 Yes
Hongtao Co., Ltd. Director
Wang Xi Lingnan College, Sun Yat-sen University Professor July 1,2006 Yes
Independent
Wang Xi Cnfinance Holdings Limited March 1,2019 Yes
Director
Independent
Wang Xi BYHEALTH CO., lTD. September 1,2020 Yes
Director
Guangzhou Yuexiu Finance Holding Group Co., Independent
Wang xI January 1,2019 Yes
Ltd. Director
Independent
Wang Xi Zhuhai Rural Commercial Bank Co., Ltd. July 1,2014 Yes
Director
Wang Xi Guangzhou Public Traffic Group Co., Ltd. External director August 1,2018 Yes
Ma Xiaoqian Provincial Key Laboratory, School of Electric Director July 1,2014 Yes
- 61 -
Guangdong Electric Power Development Co., Ltd. 2021 Annual Report
Power, South China University of Technology
Guangzhou Environmental protection Investment
Ma Xiaoqian External director September 1,2016 Yes
Group Co., Ltd.
Independent
Ma Xiaoqian Guangzhou Development Group Co., Ltd. June 1,2016 Yes
Director
Independent
Ma Xiaoqian Guangzhou Hengyun Enterprise Group Co., Ltd. March 1,2021 Yes
Director
Independent
Ma Xiaoqian Guangzhou Steel Gas Energy Co., Ltd July 1,2021 Yes
Director
Assistant
Yin Zhongyu LC Securities September 1,2019 Yes
president
Sha Qilin Guangdong Nanguo Desai Law firm A lawyer, Partner March 1,2007 Yes
Taishan Nuclear power Industry Investment Co.,
Zhou Zhijian Supervisor February 1,2021 No
Ltd.
Zhou Zhijian Guangdong Energy Group Finance Co., Ltd. Director January 1,2020 No
Chairman of the
Guangdong Electric Power Development
Shi Yan Supervisory February 1,2021 No
Corporation
Committee
Shi Yan Guangdong Energy Group Guizhou Co., Ltd. Director August 1,2020 No
Chairman of the
Li Qing Guangdong Yudean Bohe Coal Power Co.,Ltd. Supervisory June 1,2021 No
Committee
Chairman of the
Guangdong Yudean Yongan Natural Gas thermal
Li Qing Supervisory March 1,2022 No
Power Co., Ltd.
Committee
Convenor of the
Li Qing Yunnan Nengtou Weixin Energy Co., Ltd. Board of March 1,2019 No
Supervisors
Chairman of the
Li Qing Shenzhen Guangqian Electric Power Co., Ltd. Supervisory December 1,2018 No
Committee
Chairman of the
Li Qing Zhanjiang Zhongyue Energy Co., Ltd. Supervisory August 1,2019 No
Committee
Guangdong Yudean Baihua Integrated Energy
Li Qing Supervisor February 1,2021 No
Co., Ltd
Convenor of the
Li Qing Guangdong Yudean Shipping Co., Ltd. Board of April 1,2021 No
Supervisors
- 62 -
Guangdong Electric Power Development Co., Ltd. 2021 Annual Report
Li Qing Guangdong Energy Finance lease Co., Ltd. Supervisor November 1,2020 No
Tang
Guangdong Electric Industry Fuel Co., Ltd. Director March 1,2020 No
Yongguang
Tang
Zhanjiang Electric Power Co., Ltd. Director December 1,2021 No
Yongguang
Tang
Zhanjiang Zhongyue Energy Co., Ltd. Board chairman December 1,2019 No
Yongguang
Tang Vice Board
Guangdong Red Way Power Generation Co., Ltd. December 1,2020 No
Yongguang chairman
Tang Guangdong Shaoguan Yuejiang Power Generation Vice Board
April 1,2021 No
Yongguang Co., ltd. chairman
Tang Guangdong Yudean Xinhui Power Generation
Board chairman December 1,2021 No
Yongguang Co., Ltd.
Tang Guangdong Yudean Huaqing Coal Gas Union
Board chairman July 1,2020 No
Yongguang cycle Power Generation Co., Ltd.
Guo Guoneng Yudean Taishan Power Generation Co.,
Director December 1,2021 No
Yongxiong Ltd.
Guo
Guangdong Yuelong Power Generation Co., Ltd. Board chairman January 1,2022 No
Yongxiong
Guo Guangdong Yudean Yongan Natural Gas thermal
Board chairman March 1,2022 No
Yongxiong Power Co., Ltd.
Liu Wei Guangdong Wind Power Generation Co., Ltd. Director December 1,2017 No
Liu Wei Guangdong Yudean Finance Co., Ltd. Director April 1,2019 No
Guangdong Yudean Electric Power Sales Co.,
Liu Wei Director April 1,2020 No
Ltd.
Liu Wei Shenzhen Capital Group Co., Ltd. Supervisor October 1,2019 No
Vice Board
Liu Wei Guangdong Yuejia Electric Power Co., Ltd. March 1,2019 No
chairman
Guangzhou Zhujiang Natural Gas Power Vice Board
Liu Wei July 1,2020 No
Generation Co., Ltd. chairman
Liu Wei Guangdong Energy Finance lease Co., Ltd. Director November 1,2020 No
Guangdong Yudean Zhongshan Thermal Power
Liu Wei Board chairman April 1,2021 No
Plant Co., Ltd.
Liu Wei Tumushuke Thermal Power Co.,Ltd. Director December 1,2021 No
Guangdong Yudean Humen Power Generation
Liu Wei Director April 1,2021 No
Co., Ltd.
Vice Board
Liu Wei Yunnan Nengtou Weixin Energy Co., Ltd. April 1,2021 No
chairman
- 63 -
Guangdong Electric Power Development Co., Ltd. 2021 Annual Report
Punishments to the current and leaving board directors, supervisors and senior managers during the report period
by securities regulators in the recent three years
□ Applicable √Not applicable
3. Remuneration to directors, supervisors and senior executives
Decision-making procedures, basis for determination and actual payment of the remuneration to directors ,
supervisors and senior executives
Directors, supervisors and senior executives of the Company shall obtain labor remuneration and enjoy
corresponding employee benefits according to their position and the Company's wage system. Except such
remuneration and benefits, no other remuneration and fringe benefits shall be additionally provided；The
allowance for the independent directors and independent supervisors of the Company shall be paid according to
the standards approved by the shareholders' general meeting.
At the end of the report period, the directors, supervisors and senior executives received the actual remuneration b
efore tax was total RMB 7.7595 million .
Remuneration to directors, supervisors and senior executives in the reporting period
In RMB10,000
Remuneration
Total actually
remuneration receives at the
Name Positions Sex Age Office status
received from end of the
the shareholder reporting
period
Board
Wang Jin Male 58 In office 94.93 No
chairman
Director,
Zheng Yunpeng General Male 53 In office 91.42 No
Manager
Li Fangji Director Male 54 In office 0 Yes
Li Baobing Director Male 47 In office 0 Yes
Chen Yanzhi Director Male 46 In office 82.04 No
Mao Qinghan Director Male 47 In office 0 Yes
Independent
Shen Hongtao Female 54 In office 10.16 No
director
Independent
Wang Xi Male 51 In office 9.09 No
director
Independent
Ma Xiaoqian Male 57 In office 10.22 No
director
Independent
Yin Zhongyu Male 52 In office 8.54 No
director
- 64 -
Guangdong Electric Power Development Co., Ltd. 2021 Annual Report
Chairman of
Zhou Zhijian the Supervisory Male 49 In office 0 Yes
Committee
Employee
Li Ruiming Male 58 In office 87.32 No
supervisor
Shi Yan Supervisor Female 44 In office 0 Yes
Employee
Li Qing Male 44 In office 42.79 No
supervisor
Independent
Sha Qilin Male 61 In office 7.32 No
supervisor
Tang
Deputy GM Male 59 In office 83.73 No
Yongguang
Guo Yongxiong Deputy GM Male 47 In office 43.68 No
Deputy General
manager,
Liu Wei Finance Male 42 In office 84.47 No
Manager,
Board secretary
Rao Subo Director Male 57 Dimission 0 Yes
Wen Lianhe Director Male 53 Dimission 0 Yes
Chen Ze Director Male 52 Dimission 0 Yes
Yan Ming Director Male 50 Dimission 0 Yes
Employee
Liang Peilu Male 57 Dimission 87.37 No
Director
Chairman of
Zhang Dewei the Supervisory Male 60 Dimission 0 Yes
Committee
Independent
Zhu Weiping Male 64 Dimission 2.5 No
Supervisor
Independent
Jiang Jinsuo Male 53 Dimission 2.14 No
Supervisor
Employee
Hu Jinpei Male 58 Dimission 28.23 No
supervisor
Total -- -- -- -- 775.95 --
- 65 -
Guangdong Electric Power Development Co., Ltd. 2021 Annual Report
VI. Performance of directors' duties during the reporting period
1. Information of the board meetings during the reporting period
Session Convening date Disclosure date Meeting resolution
AnnouncementNo.::2021-01,Published in
The 19th meeting of the Ninth Board of
January 28,2021 January 29,2021
Directors China Securities Daily, Securities Times and
http//.www.cninfo.com.cn
AnnouncementNo.::2021-10,Published in
The 20th meeting of the Ninth Board of
April 8,2021 April 10,2021
Directors China Securities Daily, Securities Times and
http//.www.cninfo.com.cn
AnnouncementNo.::2021-23,Published in
The First Meeting of the Ninth Board of
April 27,2021 April 28,2021
Directors by Correspondence of 2021 China Securities Daily, Securities Times and
http//.www.cninfo.com.cn
AnnouncementNo.::2021-34,Published in
The Second Meeting of the Ninth Board of
May 20,2021 May 21,2021
Directors by Correspondence of 2021 China Securities Daily, Securities Times and
http//.www.cninfo.com.cn
AnnouncementNo.::2021-36,Published in
The Third Meeting of the Ninth Board of
June 8,2021 June 10,2021
Directors by Correspondence of 2021 China Securities Daily, Securities Times and
http//.www.cninfo.com.cn
AnnouncementNo.::2021-43,Published in
The 21st meeting of the Ninth Board of
July 16,2021 July 17,2021
Directors China Securities Daily, Securities Times and
http//.www.cninfo.com.cn
AnnouncementNo.::2021-49,Published in
The 1st meeting of the Tenth Board of
August 2,2021 August 3,2021
Directors China Securities Daily, Securities Times and
http//.www.cninfo.com.cn
AnnouncementNo.::2021-52,Published in
The 1st Meeting of the Tenth Board of
August 13,2021 August 14,2021
Directors by Correspondence of 2021 China Securities Daily, Securities Times and
http//.www.cninfo.com.cn
AnnouncementNo.::2021-56,Published in
The 2nd meeting of the Tenth Board of
August 26,2021 August 28,2021
Directors China Securities Daily, Securities Times and
http//.www.cninfo.com.cn
AnnouncementNo.::2021-61,Published in
The 2nd Meeting of the Tenth Board of September September
Directors by Correspondence of 2021 14,2021 15,2021 China Securities Daily, Securities Times and
http//.www.cninfo.com.cn
- 66 -
Guangdong Electric Power Development Co., Ltd. 2021 Annual Report
AnnouncementNo.::2021-63,Published in
The 3rd meeting of the Tenth Board of September
October 8,2021
Directors 30,2021 China Securities Daily, Securities Times and
http//.www.cninfo.com.cn
AnnouncementNo.::2021-74,Published in
The 3rd Meeting of the Tenth Board of
October 28,2021 October 30,2021
Directors by Correspondence of 2021 China Securities Daily, Securities Times and
http//.www.cninfo.com.cn
AnnouncementNo.::2021-77,Published in
The 4th meeting of the Tenth Board of November November
Directors 8,2021 9,2021 China Securities Daily, Securities Times and
http//.www.cninfo.com.cn
AnnouncementNo.::2021-81,Published in
The 4th Meeting of the Tenth Board of November November
Directors by Correspondence of 2021 19,2021 20,2021 China Securities Daily, Securities Times and
http//.www.cninfo.com.cn
AnnouncementNo.::2021-91,Published in
The 5th Meeting of the Tenth Board of December December
Directors by Correspondence of 2021 13,2021 14,2021 China Securities Daily, Securities Times and
http//.www.cninfo.com.cn
AnnouncementNo.::2021-95,Published in
The5th meeting of the Tenth Board of December December
Directors 29,2021 30,2021 China Securities Daily, Securities Times and
http//.www.cninfo.com.cn
2. Attendance of directors at the board meetings and the general meeting of shareholders
Attendance of directors at the board meetings and the general meeting of shareholders
Number of Number of
Whether to
board Number of board Number of
Number of attend the General
meetings board meetings board
Name of board board meetings of
attended meetings attended by meetings
director meetings meeting in shareholders
during the attended in means of attended by
absent from person twice attended
reporting person communicati proxy
in a row
period on
Wang Jin 16 8 8 0 0 No 7
Zheng Yunpeng 16 8 8 0 0 No 7
Li Fangji 16 5 8 3 0 No 7
Li Baobing 16 6 8 2 0 No 7
Chen Yanzhi 10 5 5 0 0 No 5
Mao Qinghan 16 4 8 4 0 No 7
Shen Hongtao 16 6 8 2 0 No 7
- 67 -
Guangdong Electric Power Development Co., Ltd. 2021 Annual Report
Wang Xi 16 8 8 0 0 No 7
Ma Xiaoqian 16 8 8 0 0 No 7
Yin Zhongyu 16 7 8 1 0 No 7
Rao Subo 6 2 3 1 0 No 2
Wen Lianhe 6 1 3 2 0 No 2
Chen Ze 10 3 5 2 0 No 4
Yan Ming 6 0 3 3 0 No 2
Liang Peilu 6 1 3 2 0 No 2
Sha Qilin 6 3 3 0 0 No 2
Explanation of failure to attend the board meeting in person twice in a row
Not applicable。
3. Directors' objections to related matters of the Company
Whether the director raises any objection to the relevant matters of the Company
□ Yes √ No
During the reporting period, the directors did not raise any objection to the relevant matters of the Company.
4. Other descriptions of directors' performance of duties
Whether the directors' suggestions on the Company have been adopted
√ Yes □No
The director's statement on whether the relevant suggestions of the Company have been adopted or not
In 2021, the directors of the Company faithfully and diligently performed their corresponding duties in strict
accordance with the Company Law, Securities Law, Listing Rules for Stocks of Shenzhen Stock Exchange and other
relevant laws and regulations, as well as the Articles of Association and the Rules of Procedure of the Board of
Directors, paid close attention to the Company's standardized operation, production and management, carefully
reviewed the reports and related documents submitted by the Company, actively attended the Company's board
meetings, special committee meetings and general meeting of shareholders, carefully considered all proposals,
made professional, independent, objective and fair judgments, and put forward constructive opinions and
suggestions on the Company's development strategy, corporate governance and business decisions, which played an
important role in the Company's scientific decision-making and steady development. During the reporting period,
the Company's directors performed their duties diligently, honestly and faithfully, ensured scientific, timely and
efficient decision-making through continuous supervision and promotion of the implementation of the resolutions
of the Board of Directors, and earnestly protected the overall interests of the Company and the legitimate rights and
interests of minority shareholders.
VII. Situation of special committees under the Board of Directors during the reporting period
Number Put forward Other
Details of
Committee Member of Meeting important information
Convening date objections
name information meeting content opinions and of duty
(if any)
s suggestions performance
- 68 -
Guangdong Electric Power Development Co., Ltd. 2021 Annual Report
convene
d
The Audit
Committee
worked in strict
accordance with
the Company
Law, the
regulatory rules of
China Securities
Regulatory
1. It reviewed
Commission, the
the Proposal
Articles of
on the 2020
Association and
January 28,2021 Financial
other relevant
Final
regulations,
Accounts Work
performed its
Plan.
duties diligently
and
conscientiously,
and unanimously
Audit Sha Qilin,
passed all
Committee of Shen Hongtao,
proposals
the Ninth Wang Xi, Ma 2
according to the
Board of Xiaoqian, Yin
actual situation of
Directors Zhongyu
the Company.
1. It reviewed The Audit
the accounting Committee
statements and worked in strict
notes in the accordance with
2020 Annual the Company
Report and the Law, the
2020 regulatory rules of
Financial China Securities
Report; 2. It Regulatory
March 25,2021
reviewed the Commission, the
Proposal on Articles of
the 2020 Association and
Annual other relevant
Internal regulations,
Control performed its
Evaluation duties diligently
Report; 3. It and
reviewed the conscientiously,
- 69 -
Guangdong Electric Power Development Co., Ltd. 2021 Annual Report
Proposal on and unanimously
2021 Internal passed all
Control proposals
Self-evaluatio according to the
n Work Plan; actual situation of
4. It reviewed the Company.
the Proposal
on 2020
Annual Risk
Management
Report; 5. It
reviewed the
Proposal on
Provision for
Impairment of
Assets; 6. It
reviewed the
Proposal on
Write-off of
Assets; 7. It
reviewed the
Proposal on
Changes of
Accounting
Policies; 8. It
reviewed the
Proposal on
Hiring the
Company's
Annual
Auditing
Organization.
1. It reviewed The Audit and
the Proposal Compliance
on <2021 Committee
Audit and Semi-annual worked in strict
Compliance Shen Hongtao, Financial accordance with
Committee of Li Baobing, Report>; 2. It the Company
3 August 20,2021
the Tenth Wang Xi, Yin reviewed the Law, the
Board of Zhongyu financial regulatory rules of
Directors statements and China Securities
notes in the Regulatory
2021 Commission, the
Semi-annual Articles of
- 70 -
Guangdong Electric Power Development Co., Ltd. 2021 Annual Report
Report. Association and
other relevant
regulations,
performed its
duties diligently
and
conscientiously,
and unanimously
passed all
proposals
according to the
actual situation of
the Company.
The Audit and
1. It reviewed
Compliance
the Proposal
Committee
on ; 2. It
Law, the
reviewed the
regulatory rules of
financial
China Securities
statements in
Regulatory
the Third
Commission, the
Quarter
Articles of
Report in
October 21,2021 Association and
2021; 3. It
other relevant
reviewed the
regulations,
Proposal on
performed its
Amending the
duties diligently
.
the Company.
1. It reviewed The Audit and
the Proposal Compliance
on the Work Committee
December 29,2021
Plan of worked in strict
Financial accordance with
Final the Company
- 71 -
Guangdong Electric Power Development Co., Ltd. 2021 Annual Report
Accounts in Law, the
2021; 2. It regulatory rules of
reviewed the China Securities
Proposal on Regulatory
; 3. and
It reviewed the conscientiously,
2021 Annual and unanimously
Audit Report. passed all
proposals
according to the
actual situation of
the Company.
The Budget
Committee
worked in strict
accordance with
the Company
Law, the
regulatory rules of
China Securities
1. It reviewed
Regulatory
Wang Jin, Rao the Company's
Commission, the
Budget Subo, Wen 2020 Budget
Articles of
Committee of Lianhe, Zheng Implementatio
Association and
the Ninth Yunpeng, Li 1 March 25,2021 n Report; 2. It
other relevant
Board of Baobing, Liang reviewed the
regulations,
Directors Peilu, Shen Company's
performed its
Hongtao 2021 Budget
duties diligently
Report.
and
conscientiously,
and unanimously
passed all
proposals
according to the
actual situation of
the Company.
- 72 -
Guangdong Electric Power Development Co., Ltd. 2021 Annual Report
The Nomination
Committee
worked in strict
accordance with
the Company
Law, the
regulatory rules of
1. It reviewed China Securities
the Proposal Regulatory
on Commission, the
Recommendin Articles of
g Guo Association and
April 20,2021
Yongxiong as other relevant
the Deputy regulations,
General performed its
Manager of duties diligently
the Company. and
conscientiously,
and unanimously
Sha Qilin, passed all
Nomination
Zheng proposals
Committee of
Yunpeng, according to the
the Ninth 2
Yanming, Ma actual situation of
Board of
Xiaoqian, Yin the Company.
Directors
Zhongyu 1. It reviewed The Nomination
the Proposal Committee
on worked in strict
Recommendin accordance with
g Candidates the Company
for Law, the
Non-independ regulatory rules of
ent Directors China Securities
of the Tenth Regulatory
Board of Commission, the
July 6,2021
Directors; 2. It Articles of
reviewed the Association and
Proposal on other relevant
Recommendin regulations,
g Candidates performed its
for duties diligently
Independent and
Directors of conscientiously,
the Tenth and unanimously
Board of passed all
- 73 -
Guangdong Electric Power Development Co., Ltd. 2021 Annual Report
Directors; 3. It proposals
reviewed the according to the
Proposal on actual situation of
Recommendin the Company.
g the Tenth
Management
Team and
Other Senior
Managers.
1. It reviewed
the Proposal The
on and Regulatory
and Wang Xi, Li
Its Supporting Commission, the
Assessment Fangji, Mao
System; 2. It Articles of
Committee of Qinghan, Ma 1 December 29,2021
reviewed the Association and
the Tenth Xiaoqian, Yin
.
VIII.The working status of the board of supervisors
The board of supervisors finds out whether the company has risks during the monitoring activities during the repo
rting period
□ Yes √ No
The Supervisory Committee has no objection to the supervision matters during the reporting period.
- 74 -
Guangdong Electric Power Development Co., Ltd. 2021 Annual Report
IX. Particulars about employees.
1.Number of staff, professional structure and educational background
Number of in-service staff of the parent company（person） 908
Number of in-service staff of the main subsidiaries（person） 7,833
Total number of the in-service staff（person） 8,741
Total number of staff receiving remuneration in the current
8,764
period（person）
The number of the parent company and the main subsidiary’s
3,151
retired staffs who need to bear the cost（person）
Professional
Classified according by Professions Number of persons（person）
Production 4,987
Sales 150
Technical 1,890
Financial 230
Administrative 1,484
Total 8,741
Education
Classified according by education background Number of persons（person）
Doctor 2
Master 249
Universities 4,230
Colleges 2,493
Technical secondary school 402
High school and Below 1,365
Total 8,741
2. Remuneration policies
The company’s staff received the salaries and enjoyed the benefits according to the relevant provisions stipulated
in the company’s Salary Management Approach. The salary of the company’s staff (Except the management staff
who categorized in the annual salary system) basically constituted by the basic salary, post salary, performance
salary, allowance, overtime wages and special bounties and so on.
3.Training plan
The company formulated the Temporary Provisions for the Management of Staff Education and Training. The
staff training was adhered to the principle of learning integrated with application, learning by the needs and
- 75 -
Guangdong Electric Power Development Co., Ltd. 2021 Annual Report
stressing of practical effect, focused on the main contents of the post and the practical operation skills. The
training contents included the new staff orientation training, post training, continuing education, overseas training
and other trainings.
4. Outsourcing situation
□ Applicable √ Not applicable
X. Specification of profit distribution and capitalizing of common reserves
Formulation, implementation or adjustment of the profit distribution policy, especially the cash dividend policy
during the reporting period
□ Applicable √Not applicable
During the reporting period, the Company made a profit and the profit available to shareholders of the parent
company was positive, but no cash dividend distribution plan was put forward.
□ Applicable √ Not applicable
Profit distribution and capitalization of capital reserve during the reporting period
□ Applicable √Not applicable
The Company Will not distribute cash dividend or bonus shares, neither capitalizing of common reserves.
- 76 -
Guangdong Electric Power Development Co., Ltd. 2021 Annual Report
XI. Implementation Situation of Stock Incentive Plan of the Company, Employee Stock Ownership Plan or
Other Employee Incentive Measures
□Applicable √ Not applicable
None
XII. Construction and implementation of internal control system during the reporting period
1. Construction and implementation of internal control
(I) Organization setup and operation
The Company has established a perfect organizational structure system, and its corporate governance structure,
internal organization design and operation mechanism meet the requirements of modern enterprise system. The
Board of Directors of the Company shall bear the ultimate responsibility for the evaluation of internal control; The
Audit and Compliance Committee shall be responsible for organizing, leading and supervising the internal control
evaluation, reviewing the internal control evaluation report, and examining and approving the rectification opinions
of major and important defects in internal control. The management of the Company is responsible for organizing
the implementation of the internal control evaluation, proposing the business or matters that should be focused on in
the internal control evaluation, and examining and approving the internal control evaluation plan and the internal
control evaluation report.
As the centralized department of internal control management, the Board Affairs Department of the Company is
responsible for organizing the internal control self-inspection, testing and evaluation in the Company, proposing
rectification schemes and specific rectification plans for the design and operation defects found, supervising the
completion of rectification, and cooperating with the internal audit department and external auditors to carry out
internal control evaluation at the enterprise level.
The Board of Directors, the Audit and Compliance Committee, the management and functional departments of
the Company earnestly perform their duties of internal control and management. Every year, the Company conducts
a comprehensive self-evaluation on the effectiveness of the internal control system, timely corrects the internal
control defects, continuously optimizes the internal control system, and effectively improves the Company's
management level and risk prevention ability.
(II) Establishment and implementation of internal control system
According to the Basic Standards for Internal Control of Enterprises and its supporting guidelines, Guideline
No.1 for Self-discipline Supervision of Listed Companies of Shenzhen Stock Exchange -Standardized Operation of
Listed Companies on Main Board, Listing Rules for Stocks of Shenzhen Stock Exchange and relevant laws and
regulations, combined with the actual situation of the Company, from the perspective of business management,
function management and post management, the Company formulates basic management systems including
financial accounting system, procurement system, asset management system, engineering project management
system, human resource management system, administrative management system, internal audit system, guarantee
management system, related party transaction system, investment and financing management system, and
subsidiary management system, to make decisions and management on major issues of the Company.
(III) Overall evaluation
In 2021, the Company conscientiously implemented the national and industry laws and regulations, the latest
supervision standards and the regulatory standards and normative requirements of state-owned assets, constantly
improved the compliance of the standard system, and well ensured revising, improving and upgrading the internal
control system; strictly implemented the "three important and one major" system, standardized major
decision-making behaviors, effectively prevented decision-making risks, enhanced scientific decision-making and
avoided decision-making mistakes; carried out in-depth internal control self-evaluation, continuously strengthened
the rectification of internal control defects, formed an effective internal control management closed loop of
"control-evaluation-improvement-control", continuously and dynamically improved the internal control
management system, and ensured that the Company maintained effective internal control in all major aspects
according to the requirements of the enterprise internal control standard system and relevant regulations, and no
factors that affect the evaluation conclusion of internal control effectiveness would occur.
- 77 -
Guangdong Electric Power Development Co., Ltd. 2021 Annual Report
2.Details of major internal control defects found during the reporting period
□ Yes √ No
XIII. Management and control of the Company's subsidiaries during the reporting period
Problems Measures
Integration Solution Subsequent
Company name Integration plan encountered in taken for
progress progress planned solution
integration solution
Tumushuke Realized the holding of
Merge
Thermal Power Tumushuke Thermal Power Co., No Not applicable Not applicable Not applicable
completed
Co., Ltd. Ltd. through capital increase.
Guangdong Acquired 51% equity of
Shajiao ( Plant C) Guangdong Shajiao ( Plant C) Merge
No Not applicable Not applicable Not applicable
Power Generation Power Generation Co., Ltd. in completed
Co., Ltd. cash.
Guangdong Acquired 90% equity of
Yudean Yunhe Guangdong Yudean Yunhe Merge
No Not applicable Not applicable Not applicable
Power Generation Power Generation Co., Ltd. in completed
Co., Ltd. cash.
Guangdong
Acquired 51% equity of
Yuehua Power Merge
Guangdong Yuehua Power No Not applicable Not applicable Not applicable
Generation Co., completed
Generation Co., Ltd. in cash.
Ltd.
XIV.Internal control self-evaluation report or internal control audit report
1.Self-evaluation report on internal control
Disclosure date of appraisal report on
April 22,2022
internal control
Disclosure index of appraisal report on Juchao Website:（http://www.cninfo.com.cn）, Self-evaluation report of internal
internal control control in 2021
The ratio of the total assets of units
included in the scope of evaluation
accounting for the total assets on the 86%
company's consolidated financial
statements
The ratio of the operating income of
units included in the scope of evaluation
accounting for the operating income on 89.33%
the company's consolidated financial
statements
Standards of Defects Evaluation
Category Financial Report Non-financial Report
Qualitative criteria of evaluation towards Qualitative criteria of evaluation
inner control deficiency of financial report towards inner control deficiency of
made by company are as follows: Ⅰ, the non-financial report made by company
inner control of financial report should be are as follows: ① significant
considered as “significant deficiency” if deficiency means one or more
the following circumstances (including but combinations of control deficiency
not limited to) occurred: ① the which may result in seriously deviating
Qualitative criteria
ineffective environmental control; ② from control goals. ② serious
irregularities appearing between company deficiency means one or more
directors, supervisors and senior combinations of control deficiency
executives; ③ serious mistakes in the whose severity and financial result are
financial statements of the current period less than those of significant
found by external audit but not the inner deficiency with possibility of deviating
control in the process of operating; ④ company from its control goals. ③
- 78 -
Guangdong Electric Power Development Co., Ltd. 2021 Annual Report
ineffective supervision of inner control common deficiency means other
from directorate and inner audit control deficiencies apart from
institution. Ⅱ, the inner control of significant and serious deficiencies.
financial report should be considered as
“serious deficiency” if the following
circumstances occurred: ① accounting
policy chosen and applied is not based on
the GAAP; ② anti-irregularity procedure
and control measures are not established;
③ very few relative control measures are
established or implemented in terms of the
accounting treatment related to
unconventional or special transaction; ④
one or more deficiencies exist in the
control process of final financial report
and the authenticity, accuracy and integrity
of establishment can not be assured
reasonably. Ⅲ common deficiency
means, apart from the above “significant
deficiency” and “serious deficiency”, other
deficiencies exist in the inner control
process.
A quantitative criterion regards operating
receipt and gross value of assets as its yard
stick. ① inner control deficiency may
lead to loss related to profit statement,
which is measured by operating receipt.
The amount of misstatement in financial
report resulted from the control deficiency
or its combination is less than 0.5 percent
of the operating receipt, which could be
considered as the common deficiency.
That would be considered as serious
deficiency if the amount of misstatement
in financial report resulted from the
control deficiency or its combination is ①the significant deficiency means that
more than 0.5 percent but less than 1 the direct property loss is between 50
percent of the operating receipt. And that million yuan .(2) the significant
Quantitative standard would be regarded as significant deficiency means hat the direct
deficiency if that is more than 1 percent of property loss is between 30 million
the operating receipt. ② inner control yuan (including 30 million yuan) ; the
deficiency may lead to loss related to serious deficiency means that the
assets management, which is measured by direct property loss is between 30
total assets. The amount of misstatement million.
in financial report resulted from the
control deficiency or its combination is
less than 0.5 percent of the total assets,
which could be considered as the common
deficiency. That would be considered as
serious deficiency if the amount of
misstatement in financial report resulted
from the control deficiency or its
combination is more than 0.5 percent but
less than 1 percent of the total assets. And
that would be regarded as significant
deficiency if that is more than 1 percent of
the total assets.
Number of major defects in financial
0
reporting（a）
Number of major defects in non
0
financial reporting (a)
Number of important defects in financial
0
reporting（a）
- 79 -
Guangdong Electric Power Development Co., Ltd. 2021 Annual Report
Number of important defects in non
0
financial reporting（a）
2. Internal Control audit report
√ Applicable □Not applicable
Review opinions in the internal control audit report
We believe that Guangdong Electric Power Development Co., Ltd. has maintained effective internal control over financial
reporting in all material respects as of 31 December 2021 as per the Basic Rules for Enterprise Internal Control and relevant
regulations.
Disclosure date of audit report
Disclosure
of internal control (full-text)
Index of audit report of
April 22,2022
internal control (full-text)
Internal audit report’s opinion Juchao Website: （http://www.cninfo.com.cn）2021 Audit report of internal control
Type of audit report on internal
Unqualified auditor’s report
control
Whether there is significant
No
defect in non-financial report
Has the CPAs issued a qualified auditor’s report of internal control .
□ Yes √No
Does the internal control audit report issued by the CPAs agree with the self-assessment report of the Board of
Directors
√Yes □No
- 80 -
Guangdong Electric Power Development Co., Ltd. 2021 Annual Report
XV. Rectification of self-examination problems in special governance actions of listed companies
During the reporting period, according to the spirit of the Notice on Launching Special Actions for Corporate
Governance of Listed Companies (ZJHGG [2020] No.69) issued by China Securities Regulatory Commission and
other documents, the Company completed the special self-examination in an all-round way according to the list of
special self-examination for corporate governance of listed companies. Through this self-examination, it is
considered that the corporate governance of the Company as a whole conforms to the requirements of the Company
Law, the Corporate Governance Standards for Listed Companies and other laws and regulations, and the corporate
governance structure is relatively complete, with a clear division of labor and standardized operation.
The existing problems and rectification of the Company are as follows:
1. The Board of Directors of the Company has not been changed.
Rectification: The Ninth Board of Directors of the Company expired on September 18, 2020. In view of the fact that
the nomination of candidates for the new Board of Directors had not been completed, and considering the stable
operation of the Board of Directors and the normal development of the Company's business activities during the
COVID-19, the change of the Board of Directors of the Company was postponed. The Board of Directors and the
Board of Supervisors of the Company have been re-elected on August 2, 2021.
2. The meeting of the Board of Supervisors was not recorded in writing.
Rectification: Since 2021, the Company has made written minutes of all on-site meetings of the Board of
Supervisors.
3. The number of times that individual directors have not attended the board meeting in person for twelve
consecutive months exceeded half of the total number of board meetings during the period.
Rectification: The Company has timely reported the problems found in self-examination to the directors, and further
strengthened the coordination arrangement of board meetings and other measures to improve the attendance rate of
directors in person. The attendance of Company directors at the meeting in 2021 met the relevant requirements of
the standard operation guidelines of listed companies.
4. Individual directors failed to attend the board meeting in person for two consecutive times.
Rectification: The Company has timely reported the problems found in self-examination to the directors, and further
strengthened the coordination arrangement of board meetings and other measures to improve the attendance rate of
directors in person. In 2021, the directors did not fail to attend the board meeting in person for two consecutive
times.
5. Individual independent directors have served continuously for more than six years.
Rectification: The Company has completed the general election of the Board of Directors and the Board of
Supervisors on August 2, 2021, and the continuous tenure of the new independent directors complies with relevant
regulations.
6. The on-site working time of independent directors was less than 10 working days.
Rectification: The Company has strengthened the coordination arrangement, actively planned the on-site work of
independent directors, and participated in the daily detailed management of the Company by inviting independent
directors to attend performance briefings, conducting training, going to subsidiaries for survey and other measures.
In 2021, the on-site working hours of independent directors of the Company have met the relevant requirements.
7. If the related party occupied or transferred the Company's funds, assets or other resources, causing losses or
- 81 -
Guangdong Electric Power Development Co., Ltd. 2021 Annual Report
possible losses to the listed company, there was no accountability mechanism for relevant personnel.
Rectification: The Company has revised the Management System for Related Party Transactions of Guangdong
Electric Power Development Co., Ltd., and established the accountability mechanism for relevant personnel, which
was approved and implemented by the Fourth Extraordinary General Meeting of Shareholders in 2021 held on
October 25, 2021.
V. Environmental & Social Responsibility
I. Significant environmental issues
Whether the Company or any of its subsidiaries is identified as a key polluter by the environment authorities
√ Yes □ No
Main
Implement
Company pollutant Emission
Emission Emission ed Verified Excessive
or and Emission port Total
port concentrati pollutant total emission
subsidiary specific way distribution emission
number on emission emission condition
name pollutant condition
standards
name
Emission
Standard of
Air
Concentrat
Pollutants
Shajiao A ed
Within the for Not
power Smoke emission 1 1.14 17.84 No
factory Thermal approved
plant through
Power
chimney
Plants
(GB13223-
2011)
Emission
Standard of
Air
Concentrat
Pollutants
Shajiao A ed
Within the for Not
power SO2 emission 1 17.8 278.54 No
factory Thermal approved
plant through
Power
chimney
Plants
(GB13223-
2011)
Emission
Concentrat Standard of
Shajiao A ed Air
Within the Not
power NOX emission 1 29.62 Pollutants 463.57 No
factory approved
plant through for
chimney Thermal
Power
- 82 -
Guangdong Electric Power Development Co., Ltd. 2021 Annual Report
Plants
(GB13223-
2011)
Emission
Standard of
Air
Guangdong Concentrat
Pollutants
Yudean ed
Within the for
Bohe Smoke emission 2 2.07 42.69 72 No
factory Thermal
Energy through
Power
Co., Ltd. chimney
Plants
(GB13223-
2011)
Emission
Standard of
Air
Guangdong Concentrat
Pollutants
Yudean ed
Within the for
Bohe SO2 emission 2 10.2 218.41 974 No
factory Thermal
Energy through
Power
Co., Ltd. chimney
Plants
(GB13223-
2011)
Emission
Standard of
Air
Guangdong Concentrat
Pollutants
Yudean ed
Within the for
Bohe NOX emission 2 33.45 699.82 1195 No
factory Thermal
Energy through
Power
Co., Ltd. chimney
Plants
(GB13223-
2011)
Emission
Standard of
Guangdong Air
Concentrat
Yudean Pollutants
ed
Dapu Within the for
Smoke emission 2 1.12 33.348 593 No
Power factory Thermal
through
Generation Power
chimney
Co., Ltd. Plants
(GB13223-
2011)
- 83 -
Guangdong Electric Power Development Co., Ltd. 2021 Annual Report
Emission
Standard of
Guangdong Air
Concentrat
Yudean Pollutants
ed
Dapu Within the for
SO2 emission 2 13.47 400.825 1447 No
Power factory Thermal
through
Generation Power
chimney
Co., Ltd. Plants
(GB13223-
2011)
Emission
Standard of
Guangdong Air
Concentrat
Yudean Pollutants
ed
Dapu Within the for
NOX emission 2 36.53 1087.3 1502 No
Power factory Thermal
through
Generation Power
chimney
Co., Ltd. Plants
(GB13223-
2011)
Emission
Standard of
Air
Guangdong Concentrat
Pollutants
Red Bay ed
Within the for Not
Power Smoke emission 4 2.13 98.9 No
factory Thermal approved
General through
Power
Co., ltd. chimney
Plants
(GB13223-
2011)
Emission
Standard of
Air
Guangdong Concentrat
Pollutants
Red Bay ed
Within the for Not
Power SO2 emission 4 9.61 489.46 No
factory Thermal approved
General through
Power
Co., ltd. chimney
Plants
(GB13223-
2011)
Guangdong Concentrat Emission
Within the Not
Red Bay NOX ed 4 33.28 Standard of 1614.62 No
factory approved
Power emission Air
- 84 -
Guangdong Electric Power Development Co., Ltd. 2021 Annual Report
General through Pollutants
Co., ltd. chimney for
Thermal
Power
Plants
(GB13223-
2011)
Emission
Standard of
Guangdong Air
Concentrat
Yudean Pollutants
ed
Jinghai Within the for
Smoke emission 4 2.6 173.11 1770 No
Power factory Thermal
through
Generation Power
chimney
Co., Ltd. Plants
(GB13223-
2011)
Emission
Standard of
Guangdong Air
Concentrat
Yudean Pollutants
ed
Jinghai Within the for
SO2 emission 4 19.34 1289.35 6502 No
Power factory Thermal
through
Generation Power
chimney
Co., Ltd. Plants
(GB13223-
2011)
Emission
Standard of
Guangdong Air
Concentrat
Yudean Pollutants
ed
Jinghai Within the for
NOX emission 4 35.87 2392.14 4687 No
Power factory Thermal
through
Generation Power
chimney
Co., Ltd. Plants
(GB13223-
2011)
Guangdong Emission
Concentrat
Energy Standard of
ed
Maoming Within the Air
Smoke emission 2 1.53 32.15 168.12 No
thermal factory Pollutants
through
power for
chimney
plant Co., Thermal
- 85 -
Guangdong Electric Power Development Co., Ltd. 2021 Annual Report
Ltd. Power
Plants
(GB13223-
2011)
Emission
Standard of
Guangdong
Air
Energy Concentrat
Pollutants
Maoming ed
Within the for
thermal SO2 emission 2 13.16 303.19 385.51 No
factory Thermal
power through
Power
plant Co., chimney
Plants
Ltd.
(GB13223-
2011)
Emission
Standard of
Guangdong
Air
Energy Concentrat
Pollutants
Maoming ed
Within the for
thermal NOX emission 2 25.93 609.67 689.58 No
factory Thermal
power through
Power
plant Co., chimney
Plants
Ltd.
(GB13223-
2011)
Emission
Standard of
Guangdong
Air
Huizhou Concentrat
Pollutants
Pinghai ed
Within the for
Power Smoke emission 2 2.48 92.87 700 No
factory Thermal
Generation through
Power
Plant Co., chimney
Plants
Ltd.
(GB13223-
2011)
Emission
Guangdong Standard of
Huizhou Concentrat Air
Pinghai ed Pollutants
Within the
Power SO2 emission 2 22.26 for 824.5 1670 No
factory
Generation through Thermal
Plant Co., chimney Power
Ltd. Plants
(GB13223-
- 86 -
Guangdong Electric Power Development Co., Ltd. 2021 Annual Report
2011)
Emission
Standard of
Guangdong
Air
Huizhou Concentrat
Pollutants
Pinghai ed
Within the for
Power NOX emission 2 38.7 1375.85 2423 No
factory Thermal
Generation through
Power
Plant Co., chimney
Plants
Ltd.
(GB13223-
2011)
Emission
Standard of
Guangdong Air
Concentrat
Shaoguan Pollutants
ed
Yuejiang Within the for
Smoke emission 2 1.89 61.58 717.78 No
Power factory Thermal
through
Generation Power
chimney
Co., Ltd. Plants
(GB13223-
2011)
Emission
Standard of
Guangdong Air
Concentrat
Shaoguan Pollutants
ed
Yuejiang Within the for
SO2 emission 2 18.66 607.84 2303.55 No
Power factory Thermal
through
Generation Power
chimney
Co., Ltd. Plants
(GB13223-
2011)
Emission
Standard of
Guangdong Air
Concentrat
Shaoguan Pollutants
ed
Yuejiang Within the for
NOX emission 2 36.09 1175.65 2809.07 No
Power factory Thermal
through
Generation Power
chimney
Co., Ltd. Plants
(GB13223-
2011)
Guangdong Concentrat Within the Emission
Smoke 1 1.82 19.15 360 No
Yudean ed factory Standard of
- 87 -
Guangdong Electric Power Development Co., Ltd. 2021 Annual Report
Power emission Air
Generation through Pollutants
Co., Ltd. chimney for
Thermal
Power
Plants
(GB13223-
2011)
Emission
Standard of
Air
Guangdong Concentrat
Pollutants
Yudean ed
Within the for
Power SO2 emission 1 9.37 112.3 2400 No
factory Thermal
Generation through
Power
Co., Ltd. chimney
Plants
(GB13223-
2011)
Emission
Standard of
Air
Guangdong Concentrat
Pollutants
Yudean ed
Within the for
Power NOX emission 1 35.31 419.93 2400 No
factory Thermal
Generation through
Power
Co., Ltd. chimney
Plants
(GB13223-
2011)
Emission
Standard of
Air
Concentrat
Zhanjiang Pollutants
ed
Electric Within the for
Smoke emission 2 1 28 28 No
Power Co., factory Thermal
through
Ltd. Power
chimney
Plants
(GB13223-
2011)
Concentrat Emission
Zhanjiang
ed Standard of
Electric Within the
SO2 emission 2 15 Air 427 427 No
Power Co., factory
through Pollutants
Ltd.
chimney for
- 88 -
Guangdong Electric Power Development Co., Ltd. 2021 Annual Report
Thermal
Power
Plants
(GB13223-
2011)
Emission
Standard of
Air
Concentrat
Zhanjiang Pollutants
ed
Electric Within the for
NOX emission 2 35 997 997 No
Power Co., factory Thermal
through
Ltd. Power
chimney
Plants
(GB13223-
2011)
Emission
Standard of
Air
Concentrat
Zhanjiang Pollutants
ed
Zhongyue Within the for
Smoke emission 2 1.2 16 480 No
Energy factory Thermal
through
Co., Ltd. Power
chimney
Plants
(GB13223-
2011)
Emission
Standard of
Air
Concentrat
Zhanjiang Pollutants
ed
Zhongyue Within the for
SO2 emission 2 15.39 209.32 1200 No
Energy factory Thermal
through
Co., Ltd. Power
chimney
Plants
(GB13223-
2011)
Emission
Standard of
Concentrat
Zhanjiang Air
ed
Zhongyue Within the Pollutants
NOX emission 2 25.11 373.22 1587 No
Energy factory for
through
Co., Ltd. Thermal
chimney
Power
Plants
- 89 -
Guangdong Electric Power Development Co., Ltd. 2021 Annual Report
(GB13223-
2011)
Emission
Standard of
Air
Shenzhen Concentrat
Pollutants
Guangqian ed
Within the for
Electric NOX emission 3 11.28 167.77 1312.5 No
factory Thermal
Power Co., through
Power
Ltd. chimney
Plants
(GB13223-
2011)
Emission
Standard of
Air
Huizhou Concentrat
Pollutants
Natural ed
Within the for
Gas Power Smoke emission 6 0.28 9.619 242.61 No
factory Thermal
Generation through
Power
Co., Ltd. chimney
Plants
(GB13223-
2011)
Emission
Standard of
Air
Huizhou Concentrat
Pollutants
Natural ed
Within the for
Gas Power NOX emission 6 25.04 1091 1774.98 No
factory Thermal
Generation through
Power
Co., Ltd. chimney
Plants
(GB13223-
2011)
Emission
Standard of
Air
Guangdong Concentrat
Pollutants
Yuehua ed
Within the for
Power NOX emission 2 37.995 645.456 1367.55 No
factory Thermal
Generation through
Power
Co., Ltd. chimney
Plants
(GB13223-
2011)
Prevention and control of pollution facilities construction and operation
- 90 -
Guangdong Electric Power Development Co., Ltd. 2021 Annual Report
During the reporting period, firstly, the Company fulfilled its environmental responsibility according to laws and
regulations, established a sound environmental management system and mechanism and an emergency
management mechanism for environmental emergencies, and integrated the green and low-carbon concept into the
process of power plant design, construction and operation. All emission indicators were better than the industry
average. Secondly, it actively responded to the national call of "energy saving and emission reduction", actively
promoted energy-saving transformation such as steam turbine through-flow transformation, comprehensively
reduced energy consumption and carbon dioxide emissions, strived to fulfill the requirements of green and
low-carbon development, and contributed to the response to climate change. Thirdly, it completed the clear water
project in an all-round way. In 2021, the water consumption per unit of power generation decreased by 22%
compared with that in 2020, with significant water-saving effect.
According to the national environmental protection plan, all the power plants affiliated to the Company actively
responded to the policy documents such as the Notice on the General Division of the National Energy
Administration on Decomposition and Implementation of the Target and Task of Energy Saving and Emission
Reduction Upgrading and Renovation of Coal-fired Power, continued to implement the energy saving and emission
reduction requirements such as the Action Plan for Energy Saving and Emission Reduction Upgrading and
Renovation of Coal-fired Power (2014-2020), and actively promoted projects such as the renovation of replacing
liquid ammonia by urea, through-flow renovation and zero wastewater discharge.
Conditions of environmental impact assessment and other environmental protection administrative licensing of
construction projects
The company's construction projects that have been approved by government agencies have all undergone
environmental impact assessments and have obtained other necessary environmental protection administrative
licenses.
Emergency plan for emergency environmental incidents
Combining with the Environmental Protection Law of the People's Republic of China and the Opinions of the
Ministry of Environmental Protection on Strengthening Environmental Emergency Management Work and other
laws and regulations on the monitoring of environmental risks, the company’s subordinate power generation
enterprises have formulated the Emergency Plan for Emergency Environmental Incidents according to their actual
conditions, which has standardized and improved the handling of emergent environmental events from the aspects
of environmental accident risk analysis, emergency command organization and responsibilities, disposal
procedures, and disposal measures, improved the ability to respond to unexpected environmental events, and
ensured that after an outbreak of an environmental incident, the company can organize emergency rescue work in
a timely, orderly and efficient manner to prevent pollution of the surrounding environment, minimize the damage
and social harm caused by the incident, maintain social stability, and protect public health and property safety.
Environmental self-monitoring program
During the reporting period, the company’s subordinate power generation companies organized annual
environmental self-monitoring programs in accordance with the national Administrative Measures on Automatic
Monitoring of Pollution Sources (No. 28 order of State Environmental Protection Administration) and other laws
and regulations, and conducted self-monitoring of the environment in accordance with the monitoring program,
and announced its own monitoring results in Guangdong Province's key pollution source regulatory information
platform and the national pollution source monitoring information and sharing platform. Both the announced rate
and completion rate had reached 100%.
- 91 -
Guangdong Electric Power Development Co., Ltd. 2021 Annual Report
Administrative penalties for environmental problems during the reporting period
Impact on the
Company or Reason of Punishme production and Company's rectification
Violation of regulations
subsidiary name punishment nt result operation of listed measures
companies
Violation of the relevant
In September 2022, the
Dayakou Power provisions of the
A fine of Increase the risk of environmental protection
Lincang Yudean Plant "put into Management Regulations
RMB environmental acceptance of Dayakou
Energy Co., Ltd. operation before on Environmental
200,000 supervision Power Plant will
acceptance" Protection of
complete.
Construction Projects
Other environmental information that should be disclosed
None.
Other environmental protection related information
√ Applicable □ Not applicable
In 2021, the Company added 12 new wind power projects with a total installed capacity of 1,361,200 kilowatts,
which was expected to contribute about 3,334 million kilowatt-hours of clean energy every year, saving about
1,050,500 tons of standard coal and 2,768,000 tons of carbon dioxide emissions, which was equivalent to
rebuilding 7,000 hectares of forest, and was of great significance to optimize the regional energy structure and
layout and promote the Company to build a clean, low-carbon, safe and efficient energy system. Meanwhile, the
Company actively promoted the high-quality development of coal-fired power, actively carried out energy-saving
and carbon-reducing transformation, formulated an energy-saving and efficiency-enhancing action plan, planned
the through-flow transformation of 11 steam turbines of 600,000 kilowatts or above, and strove to reduce the coal
consumption of coal-fired power units. In 2021, the feasibility study of the through-flow transformation of four
steam turbines has been completed, and the transformation is planned to be completed by the end of 2023, and
other units will be completed by the end of 2025. After the transformation, each unit is expected to save 10 g/kWh
of coal.
The Company shall comply with the disclosure requirements of power-related industries in the Guideline No.3 for
Self-regulation of Listed Companies of Shenzhen Stock Exchange-Industry Information Disclosure.
1. The Company strictly abides by the Environmental Protection Law of the People's Republic of China, Air
Pollution Prevention Law of the People's Republic of China, Water Pollution Prevention Law of the People's
Republic of China and Law of the People's Republic of China on Prevention and Control of Environmental
Pollution by Solid Waste, and the current environmental protection policies and regulations have no impact on the
Company. In 2021, the operating expenses required by the Company's thermal power plants to implement
environmental protection policies and regulations are mainly to purchase limestone and denitration materials,
totaling about RMB 325.3219 million.
2. In 2021, according to the standard, the coal consumption for comprehensive power supply of the Company's
thermal power plants is 303.31 g/kWh of coal, the sulfur dioxide emission performance value is 0.049g/kWh,
nitrogen oxide emission performance value is 0.123g/kWh, and soot emission performance value is 0.006g/kWh.
Where, the commissioning rate of desulfurization device is 100%, and the average desulfurization efficiency is
- 92 -
Guangdong Electric Power Development Co., Ltd. 2021 Annual Report
99.15%; The average operation rate of denitration device is 99.87%, and the average denitration efficiency is
89.10%; The average operation rate of wet electric dust removal is 100%, and the average dust removal efficiency
is 99.83%.
II. Social responsibilities
For details of the Company's social responsibility report, please refer to the Social Responsibility Report 2021
published by the Company on CNINF (http://www.cninfo.com.cn)
III. Consolidate and expand the achievements of poverty alleviation and rural revitalization
During the reporting period, the Company closely followed the spirit of Opinions of the CPC Central Committee
and the State Council on Consolidating and Expanding the Achievements of Poverty Alleviation and Limited
Linking with Rural Revitalization, thoroughly implemented the decision-making arrangements and work
requirements of the Guangdong Provincial Party Committee and Provincial Government, and actively organized
manpower, financial resources and material resources to invest in the consolidation and expansion of poverty
alleviation and rural revitalization. Its subsidiaries, such as Yuejiang Company, Maoming Power Plant, Zhanjiang
Company and Dabu Company, did a solid job in the linking poverty alleviation with rural revitalization, earnestly
implemented the Provincial Party Committee and the provincial government, and started a new journey of helping
the town and the village.
I) Counterpart assistance of Yuejiang Company on Mi Xiashui village, Quan’an Town, Nan Xiong City
Yuejiang Power Generation Company closely adhered to the work target of 2021, and worked in a solid and orderly
manner. First, consolidate the effectiveness of poverty alleviation. In 2020, 97 people from 39 households were
lifted out of poverty in Mixiashui Village, and the withdrawal rate of poverty alleviation reached 100%, on the basis
that the relatively poor villages were lifted out of poverty. In accordance with the working principle of "poverty
alleviation based on policy and responsibilities", it continued to understand and track the production and living
conditions of poverty-stricken households in Mixiashui Village, implemented the basic requirements of "one
household, one policy", and consolidated the effect of poverty alleviation. Meanwhile, it started the early warning
mechanism for the rural people with relative difficulties, timely understood and reported the production and living
conditions of the people with relative difficulties, formulated targeted assistance measures, and implemented the
assistance effectiveness. Second, well ensure the archiving of poverty alleviation files. According to the
requirements, the household files, documents, construction and other data were sorted out and improved, which
were accepted and filed by the archives in early June 2021. Third, do a good job in linking poverty alleviation with
rural revitalization. According to the requirements, it sorted out and improved the relevant ledgers of poverty
alleviation funds, poverty alleviation assets, industrial poverty alleviation and asset income, completed the
handover and ensured effective linking of poverty alleviation with rural revitalization.
II).Assistance provided by Maoming Power Plant to Xinbei Village, Shalang Town, Dianbai District, Maoming
City
In 2020, the per capita disposable income of 16 households of poverty alleviation under targeted assistance of
Maoming Power Plant was RMB 16,200, which exceeded the annual per capita disposable income standard of
RMB 8,951 for poor households with labor in poverty-stricken villages in 2020, achieving poverty alleviation. In
the first half of 2021, the annual income of the above 16 households of poverty alleviation has reached the poverty
alleviation standards, with no sign of returning to poverty, which has continuously consolidated the work
- 93 -
Guangdong Electric Power Development Co., Ltd. 2021 Annual Report
achievements in 2020. In addition, Maoming Power Plant sent personnel to participate in the poverty relief team
in Xinbei Village and won the honor of "Guangdong Advanced Collective for Poverty Alleviation".
III). Counterpart assistance of Zhanjiang Company on Waiyuan Village, Nanxing Town, Leizhou City
Since the poverty relief team of Zhanjiang Company went to Waiyuan Village Committee for poverty relief in
May 2016, the poverty relief team has carried out five poverty relief projects for poor households, so that poor
households will have a certain stable income in the next 20 years. Currently, all the five poverty relief projects
have produced benefits, and all the benefits have been distributed to poor households.
After five years' efforts, by December 2020, the per capita income of the original poor households (78 households
of 219 people, including 34 households with labor ability of 153 people and 44 households without labor ability of
66 people) increased from RMB 3,200 in 2015 to RMB 12,818 in 2020. Now, 100% of all poor households in
Waiyuan Village Committee have reached the poverty alleviation standard, with no sign of returning to poverty.
The poverty relief team of Zhanjiang Company has left Waiyuan Village and rushed to Xilian Town, Xuwen
County to carry out rural revitalization work.
IV). Counterpart assistance of Dapu Company on Xiamu Village, Fenglang Town, Dapu County, Meizhou City
In the first half of 2021, Dapu Power Generation Company continued to send party building instructors to help
Xiamu Village, Fenglang Town, Dapu County, Meizhou City. Party building instructors played the role of "Head
Goose Project", focused on solving the hot and difficult issues such as policy propaganda for benefiting the people,
practical handling of people's livelihood, mediation of contradictions and disputes, effectively improved the
production and living conditions of poor people, and effectively boosted Xiamu Village in poverty alleviation.
They further innovated and created the characteristics of village party building, created a strong learning
atmosphere for party members, always reminded the majority of party members and cadres to devote themselves
to the construction of new countryside with full work enthusiasm, and contributed to the development of party
building to boost rural revitalization, win the tough fight of poverty alleviation and achieve the well-off goal. By
June 30, 2021, there were 67 poor households (including 41 low-income poor households, 15 poor households
with five guarantees and 11 general poor households), and 138 poor people, all of whom had been lifted out of
poverty stably.
V). Counterpart assistance of Zhanjiang Wind Power Co., Ltd. on Houhai Village, Xinliao Town, Xuwen County
Zhanjiang Wind Power Company has successfully completed the task of poverty alleviation. On June 23, at the
summary and commendation meeting of poverty alleviation in Guangdong Province, the poverty relief team of
Zhanjiang Wind Power Company in Houhai Village, Xinliao Town, Xuwen County won the advanced collective
honor of poverty alleviation in Guangdong Province. According to the relevant arrangements of government
departments for rural revitalization, Zhanjiang Wind Power Company will send two cadres to Jinhe Town, Xuwen
County in July 2021 to carry out assistance work in the town, continue to shoulder corporate social responsibility
and help rural revitalization.
VI). Yunhe Power Generation Company's assistance counterpart: Hebang Village, Fulin Town
The overall work of poverty alleviation in Hebang Village was successfully handed over on May 25, 2021 (8
important handover accounts), which indicated that after the Company won a major victory in helping Hebang
Village resolutely win poverty alleviation battle at the end of last year, the "eight-owned" indicators of poverty
alleviation households in the whole village were further improved, industrial employment was stable, and the
income dividends of poverty alleviation projects were steadily increased. In 2021, all indicators rose steadily, and all
- 94 -
Guangdong Electric Power Development Co., Ltd. 2021 Annual Report
29 poverty alleviation households in the whole village achieved stable poverty alleviation, obtaining the final
overall victory in the fight against poverty.
VII). Zhanjiang Electric Power Company took measures to help rural revitalization
In 2021, Zhanjiang Electric Power Company raised a total of RMB 740,000 of rural revitalization assistance funds,
and purchased assistance products totaling RMB 398,000 on Guangdong Province Consumer Assistance Public
Service Platform (online) and in Zhanjiang Leizhou Shuxiang Planting and Breeding Professional Cooperative
(offline). Focusing on the four aspects of industrial prosperity, ecological livability, rural civilization and life
affluence, the first stage of rural revitalization was carried out and completed, including the appearance renovation
(renovation of the overall facade style, roads and lighting system, construction of rain and sewage separation
system), construction of public cultural facilities (renovation of the party-masses service center, cultural building
and fitness square), etc.
- 95 -
Guangdong Electric Power Development Co., Ltd. 2021 Annual Report
VI. Important Events
I. Commitments to fulfill the situation
1.The fulfilled commitments in the reporting period and under-fulfillment commitments by the end of the
reporting period made by the company, shareholder, actual controller, acquirer, director, supervisor, senior
management personnel and other related parities.
□ Applicable √Not applicable
There is no commitment that has not been fulfilled by actual controller, shareholders, related parties, acquirers of
the Company
2.The existence of the company's assets or projects earnings forecasts and earnings reporting period is still in the
forecast period, the company has assets or projects meet the original profit forecast made and the reasons
explained
□ Applicable √ Not applicable
II. Particulars about the non-operating occupation of funds by the controlling shareholder
□ Applicable √ Not applicable
No such cases in the reporting period.
III. Illegal provision of guarantees for external parties
□ Applicable √ Not applicable
No such cases in the reporting period.
IV. Explanation of the Board of Directors on the latest "Non-standard Audit Report"
□ Applicable √ Not applicable
V. Notes for “non-standard audit report” of CPAs firm during the Reporting Period by board of directors
and supervisory board
□ Applicable √ Not applicable
VI. Explain change of the accounting policy, accounting estimate and measurement methods as compared
with the financial reporting of last year.
√ Applicable □ Not applicable
On December 14, 2018, the Ministry of Finance issued a notice on the revision and issuance of Accounting
Standards for Business Enterprises No.21-Leasing (hereinafter referred to as "New Leasing Standards"), which
would come into effect on January 1, 2019 for enterprises listed at home and abroad and those listed overseas and
using international financial reporting standards or accounting standards for business enterprises to prepare
financial statement, and on January 1, 2021 for other enterprises that implement accounting standards for business
- 96 -
Guangdong Electric Power Development Co., Ltd. 2021 Annual Report
enterprises.
On May 26, 2021, the Ministry of Finance issued the Notice on Adjusting the Scope of Application of the
(No.9 [2021] of the Ministry of Finance)
(hereinafter referred to as the "Regulations on Rent Concessions of the COVID-19"), which would come into effect
on May 26, 2021, and the applicable scope of rent concession related to the COVID-19, which was allowed to adopt
simplified method in Accounting Treatment Regulations for Rent Concessions Related to the COVID-19, was
adjusted from "concession only for rent payable before June 30, 2021" to "concession only for rent payable before
June 30, 2022", while other applicable conditions remain unchanged.
On January 26, 2021, the Ministry of Finance issued the Notice on Printing and Distributing the (CK [2021] No.1) and the Question and Answer on the
Implementation of Accounting Standards for Business Enterprises
According to the regulations, the Company implemented the above-mentioned new leasing standards, COVID-19
rent concession regulations and enterprise regulations. Except for the new leasing standards, other standards, notices
and implementation Q&As had no significant impact on the financial statements of the Group and the Company.
VII.Explain change of the consolidation scope as compared with the financial reporting of last year.
√ Applicable □ Not applicable
Name Main Registered Nature New investment Paid-in capital at Proportion Acquired
business address amount in this the end of (%)
place period (Yuan) period(Yuan)
Guangdong GuangzhouG GuangzhouGuang Business merger
Electric
Shajiao(Plant C) Power uangdong dong 1,559,120,782 2,500,000,000 51% under the same
Power
Generation Co., ltd. control
Guangdong Yudean Yunfu Yunfu Business merger
Electric
Yunhe Power Generation Guangdong Guangdong 1,066,562,327 755,733,258 90% under the same
Power
Co., Ltd. control
Tumushuke Thermal Tumushuke Business merger
Tumushuke Electric
Power Co., Ltd. Xinjiang 800,000,000 1,006,523,900 79.48% not under the same
Xinjiang Power
control
Guangdong Yuehua GuangzhouG GuangzhouGuang Business merger
Electric
Power Generation Co., uangdong dong 541,247,838 1,004,714,000 51% under the same
Power
Ltd control
Guangdong Yudean Jieyang Jieyang
Electric
Dahanhai Intelligence Guangdong Guangdong 15,000,000 15,000,000 100% Invested
Power
Energy Co., Ltd.
Guangdong Yudean Bijie Bijie Bijie Guizhou Electric
5,000,000 5,000,000 100% Invested
New Energy Co., Ltd. Guizhou Power
Guangdong Yudean Huizhou Huizhou
Electric
Baihua Integrated Guangdong Guangdong 3,000,000 3,000,000 100% Invested
Power
Energy Co., Ltd.
- 97 -
Guangdong Electric Power Development Co., Ltd. 2021 Annual Report
VIII. Engagement/Disengagement of CPAs
CPAs currently engaged
PWC Certified Public Accountants (special general
Name of the domestic CPAs
partnership)
Remuneration for domestic accounting firm (RMB 0',000) 556.5
Successive years of the domestic CPAs offering auditing
6
services
Name of CPA Chen Junjun, Li Xiaolei
Continuous years of audit services of certified public
Chen Junjun 5 years, Li Xiaolei 1 year
accountants of domestic public accounting firms
Has the CPAs been changed in the current period
□ Yes √ No
Description of the CPAs, financial advisers or sponsors engaged for internal control auditing
√ Applicable □Not applicable
In the report year, the Company engaged PWC Certified Public Accountants (special general partnership)as the
certified public accountants and internal control audit body in 2021. The audit remuneration was RMB 5.565
million
IX. Situation of Facing Listing Suspension and Listing Termination after the Disclosure of the Yearly
Report
□Applicable √ Not applicable
X. Relevant Matters of Bankruptcy Reorganization
□Applicable √ Not applicable
No such cases in the reporting period.
XI. Matters of Important Lawsuit and Arbitration
□Applicable √ Not applicable
No such cases in the reporting period.
XII. Situation of Punishment and Rectification
□Applicable √ Not applicable
No such cases in the reporting period.
XIII. Credit Condition of the Company and its Controlling Shareholders and Actual Controllers
□Applicable √ Not applicable
XIV. Material related transactions
1. Related transactions in connection with daily operation
√ Applicable □ Not applicable
Please refer to "7. Other significant related party transactions" for the related transactions related to the daily
operation of the Company during the reporting period.
- 98 -
Guangdong Electric Power Development Co., Ltd. 2021 Annual Report
2. Related-party transactions arising from asset acquisition or sale
√ Applicable □ Not applicable
Please refer to "7. Other significant related transactions" for the related transactions of the acquisition and sale of
assets or equity of the Company during the reporting period
3. Related party transactions of joint outbound investment
□Applicable √ Not applicable
No such cases in the reporting period.
4. Credits and liabilities with related parties
□Applicable √ Not applicable
No such cases in the reporting period.
5. Transactions with related finance company, especially one that is controlled by the Company
√ Applicable □Not applicable
Deposit business
Related party Relationship Maximum Deposit Beginning The amount of this period
daily deposit interest rate balance(RM Total amount
Total deposit Ending
limit(RMB range B '0,000) is withdrawn
amount balance(RM
'0,000) for this
(RMB B '0,000)
period(RMB
'0,000)
'0,000)
Guangdong Controlled
Energy by
Group Guangdong
1,100,000 0.35% 839,406 10,226,767 10,418,691 647,482
Finance Co., Energy
Ltd. Group Co.,
Ltd.
Loan business
Related party Relationship Beginnin The amount of this period
g
Total repayment
Loan Loant Total loan amount Ending
balance(
amount of the
limit(RMB interest rate of the current balance(RMB
RMB
current
'0,000) range period(RMB '0,000)
'0,000)
period(RMB
'0,000)
'0,000)
Guangdong Controlled by
Energy Group Guangdong
3,300,000 2.7%-4.41% 871,684 1,149,138 1,086,405 934,417
Finance Co., Ltd. Energy Group
Co., Ltd.
Credit extension or other financial services
- 99 -
Guangdong Electric Power Development Co., Ltd. 2021 Annual Report
Related party Relationship Business type Total amount(RMB Actual amount
'0,000) incurred(RMB '0,000)
Guangdong Communications Group Controlled by the same
Credit extension 3,300,000 934,417
Finance Co., Ltd parent company
6. Transactions between the financial company controlled by the Company and related parties
□ Applicable √Not applicable
There is no deposit, loan, credit or other financial business between the financial company controlled by the
Company and related parties.
7. Other significant related-party transactions
√ Applicable □Not applicable
（1）2021 daily related transactions were carried out after examination and approval by 2021 first provisional
shareholders' general meeting. Refer to (5) Related transactions of XII. Relationship between related parties and
the transactions between them of the Financial Report of this report for details.
(2) On January 28, 2021, the 19th meeting of the Ninth Board of Directors of the Company reviewed and approved
the Proposal on Daily Related Party Transactions between the Company and Guangdong Energy Group Co., Ltd. in
2021, the Proposal on Signing the between the Company and
Guangdong Yudean Finance Co., Ltd., the Proposal on Signing the between the Company and Guangdong Yudean Financial Leasing Co., Ltd., the Proposal on Signing
the between Guangdong
Yudean Property Insurance Co., Ltd. The above related party transactions were reviewed and approved at the
Company's first extraordinary general meeting of shareholders in 2021.
(3) In order to smoothly promote the construction of wind power projects and ease the financial pressure, the Ninth
Board of Directors of the Company reviewed and approved the Proposal on Introducing Investors from Indirect
Subsidiaries at its first communication meeting in 2021 on April 27, 2021, and agreed to introduce Zhuhai Special
Economic Zone Electric Power Development Group Co., Ltd. and Guangdong Energy Group Co., Ltd. as investors
of Guangdong Yudean Zhuhai Offshore Wind Power Co., Ltd. by way of capital increase and share expansion, of
which Zhuhai Electric Power invested RMB 89.187 million, holding 20% equity of Zhuhai Wind Power Company,
and Guangdong Energy Group invested RMB 25,500,300, holding 5.7184% equity of Zhuhai Wind Power
Company. After the capital increase and share expansion, the share ratio of Zhuhai Wind Power Company held by
Guangdong Wind Power Company decreased to 74.2816%, and the final share ratio of each shareholder shall be
subject to the results of asset appraisal and filing; It is agreed to implement the capital increase of special funds for
promoting economic development in 2018 by the State-owned Assets Supervision and Administration Commission
of Guangdong Province in the form of capital increase and share expansion, and introduce Guangdong Energy
Group as the shareholder of Guangdong Yudean Yangjiang Offshore Wind Power Co., Ltd., with Guangdong
Energy Group contributing RMB 58,105,300, and holding 10.9594% of the shares of Yangjiang Wind Power
Company. After the capital increase and share expansion, the shareholding ratio of Yangjiang Wind Power
Company held by Guangdong Wind Power Company decreased to 89.0406%, and the final shareholding ratio of
each shareholder shall be subject to the results of asset appraisal and filing.
(4) In order to smoothly promote the development and construction of new energy projects and ease the financial
pressure of Shanxi Yudean Energy Co., Ltd., the Ninth Board of Directors of the Company reviewed and approved
the Proposal on Capital Increase to Shanxi Yudean Energy Co., Ltd. at its first communication meeting in 2021 on
- 100 -
Guangdong Electric Power Development Co., Ltd. 2021 Annual Report
April 27, 2021, and agreed that the Company and Guangdong Energy Group Co., Ltd. would simultaneously
increase a total capital of RMB 160 million to Shanxi Energy Company according to the equity ratio, which would
be used for Shanxi Energy Company to invest in Jilin Qian'an Phase I 50MW Wind Power Project and Hebei
Pingshan 100MW Photovoltaic Project, in which the Company would increase the capital of RMB 64 million
according to the 40% equity ratio.
(5) In order to guarantee the project construction funds and reduce the financing cost, the Ninth Board of Directors
of the Company reviewed and approved the Proposal on Some Subsidiaries Applying for Entrusted Loans to
Guangdong Energy Group Corporation at its third communication meeting in 2021 on June 8, 2021, and agreed that
the wholly-owned subsidiaries of the Company, Guangdong Yudean Qujie Wind Power Co., Ltd. and Guangdong
Yudean Marina Bay Energy Co., Ltd., would apply for entrusted loans to Guangdong Energy Group, with the loan
amount of Qujie Wind Power Company not exceeding RMB 1 billion and that of Marina Bay Company not
exceeding RMB 1 billion; the loan term should not exceed 15 years; and the interest rate should be determined
according to the same interest rate of green bonds issued by Guangdong Energy Group in the current period. The
above-mentioned related party transactions are implemented after being reviewed and approved by the Company's
second extraordinary general meeting of shareholders in 2021.
(6) In order to meet the project approval requirements of Bohe Energy Company, the Ninth Board of Directors of the
Company reviewed and approved the Proposal on Some Subsidiaries Applying for Entrusted Loans to Guangdong
Energy Group Corporation at its third communication meeting in 2021 on June 8, 2021, and agreed that Bohe
Energy Company would purchase the shutdown capacity of Guangdong Yuehua Power Generation Co., Ltd. and
Guangdong Yudean Yunhe Power Generation Co., Ltd., the holding subsidiary of Guangdong Energy Group Co.,
Ltd., with the shutdown capacity of 660,000 kilowatts and 250,000 kilowatts, respectively, according to the
alternative shutdown capacity of Bohe Power Plant project approval document, with a transfer unit price of no more
than RMB 400/kilowatt, and the total tax-included prices of the corresponding transfer agreement of no more than
RMB 264 million and RMB 100 million respectively. The above-mentioned related party transactions are
implemented after being reviewed and approved by the Company's second extraordinary general meeting of
shareholders in 2021.
(7) In order to implement the arrangement of special governance of provincial key loss-making subsidiaries by the
State-owned Assets Supervision and Administration Commission of Guangdong Province, optimize Bohe's asset
structure, and promote the high-quality development of Bohe Energy Company, the Tenth Board of Directors of the
Company reviewed and approved the Proposal on Selling Wharf Assets of Guangdong Yudean Bohe Energy Co., Ltd.
at its first communication meeting in 2021 on August 13, 2021, and agreed that Bohe Energy Company would sell
the wharf assets which was included in this appraisal to Guangdong Electric Power Industry Fuel Co., Ltd. at a
transaction price of RMB 2,798,423,900. The above-mentioned related party transactions are implemented after
being reviewed and approved by the Company's third extraordinary general meeting of shareholders in 2021.
(8) On September 28, 2021, the Tenth Board of Directors of the Company reviewed and approved the Proposal on
Adjusting the Forecast of Daily Related Transactions between the Company and Guangdong Energy Group Co., Ltd.
at its third meeting in 2021, and agreed that the Company and its holding subsidiaries and the controlling
shareholder of the Company, Guangdong Energy Group Co., Ltd. and its subsidiaries and related parties would
continue to have daily related transactions such as fuel material procurement, labor/service acceptance, lease,
labor/service provision, commodity sales and public expense sharing in 2021, with the expected amount adjusted
from RMB 18,185.3 million to RMB 30,936.8 million. The above-mentioned related party transactions are
implemented after being reviewed and approved by the Company's fourth extraordinary general meeting of
shareholders in 2021.
- 101 -
Guangdong Electric Power Development Co., Ltd. 2021 Annual Report
(9) In order to further promote the concentration of the core business assets of Guangdong Energy Group Co., Ltd.
to listed companies and actively fulfill the commitment to avoid and solve horizontal competition, the Tenth Board
of Directors of the Company reviewed and approved the Proposal on Acquisition of the Equity of Shajiao (C Plant)
Power Generation Co., Ltd. and other Companies in Guangdong Province at its third meeting on September 28,
2021, and agreed that Guangdong Electric Power would acquire 51% equity of Guangdong Shajiao (C Plant) Power
Generation Co., Ltd., 90% equity of Guangdong Yudean Yunhe Power Generation Co., Ltd. and 51% equity of
Guangdong Yuehua Power Generation Co., Ltd. held by Guangdong Energy Group in cash, at a total transaction
price of RMB 4,139,927,700. The above-mentioned related party transactions are implemented after being reviewed
and approved by the Company's fourth extraordinary general meeting of shareholders in 2021.
(10) With the approval of the Fourth Extraordinary General Meeting of Shareholders in 2021 held on October 25,
2021, it was agreed that the Company would acquire 51% equity of Guangdong Shajiao (C Plant) Power Generation
Co., Ltd., 90% equity of Guangdong Yudean Yunhe Power Generation Co., Ltd. and 51% equity of Guangdong
Yuehua Power Generation Co., Ltd. (hereinafter collectively referred to as the "target companies") by cash. In order
to ensure the continuous and stable operation of the power generation assets of the target companies, the Tenth
Board of Directors of the Company reviewed and approved the Proposal on the Acquisition of Assets Involving
New Related Party Transactions at its fourth meeting on November 8, 2021, and agreed to add new subsidiaries of
listed companies to purchase fuel materials from Guangdong Energy Group, its subsidiaries and related parties,
deposit and loan from financial companies, and conduct entrusted operation and other related transactions after the
acquisition of assets. The above-mentioned related party transactions are implemented after being reviewed and
approved by the Company's fifth extraordinary general meeting of shareholders in 2021.
Website for temporary disclosure of the connected transaction
Announcement Date of disclosure Website for disclosure
Estimates announcement of the Daily
January 29,2021 http//www.cninfo.com.cn.
Related Party Transactions of 2021
Announcement of Related Transactions on
Signing of the Financial Services
Framework Agreement, Framework
Agreement on Financing Leasing January 29,2021 http//www.cninfo.com.cn.
Cooperation and Framework Agreement on
Cooperation in Insurance and Risk
Management Services
Announcement on Related Transactions of
April 28,2021 http//www.cninfo.com.cn.
Indirect Investors Introduced by Subsidiaries
Announcement on Related Transactions of
Capital Increase to Shanxi Yudean Energy April 28,2021 http//www.cninfo.com.cn.
Co., Ltd.
Announcement on Related Transaction of June 10,2021 http//www.cninfo.com.cn.
- 102 -
Guangdong Electric Power Development Co., Ltd. 2021 Annual Report
Some Subsidiaries Applying Entrusted
Loans from Guangdong Energy Group
Announcement on related transaction
concerning the acquisition of capacity
indicators for small thermal power units of June 10,2021 http//www.cninfo.com.cn.
Huangpu Power Plant and Yunfu Power
Plant
Announcement on the related transaction of
the sale of terminal assets by Guangdong
August 14,2021 http//www.cninfo.com.cn.
Yudean Bohe Energy Co., Ltd.
Estimates announcement of the Adjustment
October 8,2021 http//www.cninfo.com.cn.
Daily Related Party Transactions of 2021
Announcement of related transaction for the
acquisition of shares of Guangdong Shajiao
October 8,2021 http//www.cninfo.com.cn.
( Plant C) Power Generation Co., Ltd and
other companies
Announcement on New Related Transactions
November 9,2021 http//www.cninfo.com.cn.
Involved in Assets Acquisition
XV. Significant contracts and execution
1.Entrustments, contracting and leasing
（1）Entrustment
√ Applicable □ Not applicable
Statement of Trusteeship Situation :
According to the statement of Guangdong Energy Group on fulfilling relevant matters, and to avoid the horizontal
competition and fulfill the relevant commitment of the horizontal competition, the Company signed Stock
Trusteeship Agreement with Guangdong Energy Group, wherein the shareholder's rights within the trusteeship
range, except the ownership, right of earning and right of disposition, will be trusted to the Company, The custody
fee collected from each company directly holding the first-class target of Guangdong Energy Group is RMB
100,000/year; The custody fee collected from each company indirectly holding the secondary target is RMB
50,000/year. published by the Company in China Securities Daily, Securities Times and http://www.cninfo.com.cn
- 103 -
Guangdong Electric Power Development Co., Ltd. 2021 Annual Report
on January 13, 2018(Announcement No.2018-04). the custody fee actually collected by the Company was RMB
2,284,200.
Gains/losses to the Company from projects that reached over 10% in total profit of the Company in reporting
period
□Applicable √ Not applicable
No gains or losses to the Company from projects that reached over 10% in total profit of the Company in
reporting period
(2) Contract
□ Applicable √ Not applicable
No any contract for the Company in the reporting period.
(3) Lease
√ Applicable □Not applicable
Note:
As a lessee, the Company rented houses and billboards from Yudean Real Estate Company Yudean Property
Company and Yangjiang Port , and the rental fee incurred this year was 3,673,203.
Project which generates profit or loss reaching over 10% of total profits of the Company during the Reporting
Period
□ Applicable √ Not applicable
There were no leases with a 10% or greater impact on the Company’s gross profit in the Reporting Period.
- 104 -
Guangdong Electric Power Development Co., Ltd. 2021 Annual Report
2.Significant Guarantees
√Applicable □ Not applicable
In RMB 10,000
Guarantee of the Company for the controlling subsidiaries (Exclude controlled subsidiaries)
Relevant
Date of Guarantee
disclosure
happening Actual Complete for
Name of the date/No. of Amount of Guaranty（If Counter-guarantee Guarantee
(Date of mount of Guarantee type implementation associated
Company the Guarantee any） （If any） term
signing guarantee or not parties
guaranteed
agreement) (Yes or no)
amount
Yunnan Baoshan
Yunnan Binglangjiang
Baoshan Hydropower
Guaranteeing
Binlangjiang December November Development Co.,
4,350 580 of joint 15 years No No
Hydroelectricity 19,2007 30,2007 Ltd. provides joint
liabilities.
Development and several
Co., Ltd. liability guarantee
counter-guarantee.
Yunnan Baoshan
Yunnan Binglangjiang
Baoshan Hydropower
Guaranteeing
Binlangjiang May Development Co.,
9,367 June 22,2009 3,567 of joint 18 years No No
Hydroelectricity 27,2009 Ltd. provides joint
liabilities.
Development and several
Co., Ltd. liability guarantee
counter-guarantee.
- 105 -
Guangdong Electric Power Development Co., Ltd. 2021 Annual Report
Guangdong
Yudean Yangjiang
Offshore wind
Guangdong Guaranteeing
October November power Co., Ltd.
Energy Group 200,000 164,989 of joint 23.9 years No No
29,2020 19,2020 provides joint and
Co., Ltd. liabilities.
several liability
guarantee
counter-guarantee
Xinjiang Jintai Guaranteeing
December
Electric Power 3,775 1,257 of joint 3 years No No
11,2021
Co., Ltd. liabilities.
Total amount of approved Total actually amount of external
external guarantee in the report 0 guarantee in the report 132,055
period(A1) period(A2)
Total amount of approved Total actually amount of external
external guarantee at the end of 425,459 guarantee at the end of the report 170,393
the report period(A3) period(A4)
Guarantee of the company for its subsidiaries
Relevant
Date of Guarantee
disclosure
happening Actual Complete for
Name of the date/No. of Amount of Guaranty（If Counter-guarantee Guarantee
(Date of mount of Guarantee type implementation associated
Company the Guarantee any） （If any） term
signing guarantee or not parties
guaranteed
agreement) (Yes or no)
amount
Zhanjiang Wind
April October Guaranteeing
Power 18,572 5,082 18 years No No
29,2009 9,2010 of joint
Generation Co.,
- 106 -
Guangdong Electric Power Development Co., Ltd. 2021 Annual Report
Ltd. liabilities.
Total of guarantee for
Total of actual guarantee for
subsidiaries approved in the 0 -756
subsidiaries in the period (B2)
period(B1)
Total of guarantee for
Total of actual guarantee for
subsidiaries approved at 141,536 5,082
subsidiaries at period-end(B4)
period-end(B3)
Guarantee of the subsidiaries for the controlling subsidiaries
Relevant
Date of Guarantee
disclosure
happening Actual Complete for
Name of the date/No. of Amount of Guarantee Guaranty（If Counter-guarantee Guarantee
(Date of mount of implementation associated
Company the Guarantee type any） （If any） term
signing guarantee or not parties
guaranteed
agreement) (Yes or no)
amount
The Company’s total guarantee(i.e.total of the first three main items)
Total amount of guarantee
Total guarantee quota approved in the
0 actually incurred in the reporting 131,299
reporting period（A1+B1+C1）
period（A2+B2+C2）
Total guarantee quota already approved at Total balance of the actual
the end of the reporting period 566,995 guarantee at the end of the 175,475
（A3+B3+C3） reporting period（A4+B4+C4）
The proportion of the total amount of actually guarantee in the net
7.62%
assets of the Company (that is A4+B4+C4）%
Including：
Amount of guarantees provided for shareholders, the actual 164,989
- 107 -
Guangdong Electric Power Development Co., Ltd. 2021 Annual Report
controller and their related parties (D)
Amount of debt guarantees provided directly or indirectly for
4,147
entities with a liability-to-asset ratio over 70% (E)
Proportion of total amount of guarantee in net assets of the company
0
exceed 50%（F）
Total amount of the three kinds of guarantees above (D+E+F) 169,136
Explanations on possibly bearing joint and several liquidating
responsibilities for undue guarantees ( If any)
As for the joint liability guarantee of Xinjiang Jintai Electric Power Co., Ltd. undertaken by the Company due to the acquisition of Tumushuke City Thermal Power Company, the actual date is the
date when Tumushuke City Thermal Power Company completes the industrial and commercial change registration.
- 108 -
Guangdong Electric Power Development Co., Ltd. 2021 Annual Report
3. Finance management on commission
(1)Situation of Entrusted Finance
□ Applicable √ Not applicable
No any Entrusted Finance for the Company in the reporting period..
（2）Situation of Entrusted Loans
□ Applicable √ Not applicable
No any Entrusted loans for the Company in the reporting period..
4. Other significant contract
□ Applicable √ Not applicable
No other significant contracts for the Company in reporting period.
XVI. Explanation on other significant events
√ Applicable □Not applicable
Summary of important matters Name Date of Website for
disclosure disclosure
In order to increase the Company's proportion of clean energy and further Announcement on the July 17,2021
optimize the power supply structure, the 21th meeting of the Ninth board investment and construction of
of directors agreed that the Company will invest in the construction of the the integrated energy station http//www.cninfo.co
integrated energy station project in Huizhou Dayawan Petrochemical project in Huizhou Dayawan m.cn.
District as a shareholder. The total investment of the project is 3.82 billion Petrochemical Zone
yuan, and the capital is set at 764 million yuan.
In order to actively integrate into the construction of Guangdong-Hong Announcement on August 3,2021
Kong-Macao Greater Bay Area and grasp the new opportunities of Participating in Initiating
financial development, On August 2,2021,the First meeting of the Tenth the Establishment of
Board of Directors agrees that the Company will participate in the Provincial Futures
http//www.cninfo.co
establishment of Guangdong Utrust Futures Co., Ltd. with its own capital Companies
m.cn.
of RMB 400 million and according to the equity ratio of 20% (finally
subject to industrial and commercial registration, hereinafter referred to as
"provincial futures company"), and sign the sponsor agreement and articles
of association of the provincial futures company;
In order to accelerate the Company's new energy project investment and Announcement of September
development, the Second Meeting of the Tenth Board of Directors by Resolutions of the Second 15,2021
Correspondence agreed to establish the Tumshuk Branch Company and th Meeting of the Tenth Board http//www.cninfo.co
e Qinghai Branch Company of Guangdong Electric Power Development C of Directors by m.cn.
o., Ltd for the overall promotion of the new energy resource development Correspondence of 2021
and investment project management in Xinjiang and Qinghai.
According to the Notice on Increasing the On-grid Electricity Price for Announcement on October http//www.cninfo.co
- 109 -
Guangdong Electric Power Development Co., Ltd. 2021 Annual Report
Natural Gas Power Generation in Guangdong Province issued by Adjustment of On-grid 22,2021 m.cn.
Guangdong Development and Reform Commission (YFGJG [2021] Electricity Price of Gas
No.400), the on-grid electricity price of Qianwan LNG Power Plant and Power Plant
Huizhou LNG Phase I natural gas generator set controlled by the Company
remained unchanged, and the on-grid electricity price of Huizhou LNG
Phase II natural gas generator set uniformly increased by RMB 0.05
(including VAT) per kilowatt hour from October 1, 2021 on the current
basis, and the adjusted on-grid electricity price was RMB 0.6550 (including
tax).
In order to speed up the large-scale development of the Company's Announcement on November
new energy power generation projects, increase the installed roportion of Investment in Construction 9,2021
clean energy and optimize the power supply structure,，Upon the of Guangdong Yangjiang
deliberation at the Fourth Meeting of the Tenth Board of Directors of the Qingzhou I and Qingzhou II
Company on November 8, Guangdong Wind Power Co., Ltd., a (1 million kW) Offshore
wholly-owned subsidiary of the Company, was approved as a shareholder to Wind Power Project
invest in the construction of Yudean Yangjiang Qingzhou I and Qingzhou II
offshore wind farms, with a total construction scale of 1 million kilowatts, a
dynamic total investment of RMB 17,107,250,000, and a capital of RMB
http//www.cninfo.co
3,421,450,000 according to 20% of the dynamic total investment (the total
m.cn.
investment and capital amount shall be subject to the approved change
document finally)，Guangdong Energy Qingzhou Offshore Wind Power
Co., Ltd. (hereinafter referred to as "Qingzhou Wind Power Company"),
which is wholly-owned by Guangdong Wind Power Company, is the
investment subject of the project, responsible for the investment,
construction and operation of the project. The capital required for the
project will be increased by the Company in batches to Guangdong Wind
Power Company according to the actual construction progress and capital
needs of the project.
In order to support the deepening of Guangdong's assistance to Announcement of November
Xinjiang, help the reform of state-funded and state-owned enterprises in Resolutions of the Fourth 9,2021
Tumushuk City, the Third Division of Xinjiang Production and Meeting of the Tenth Board
Construction Corps, and promote the multi-energy complementary and of Directors
integrated development of Guangdong Power in Xinjiang, the Board of http//www.cninfo.co
Directors of the Company agreed that the Company would participate in m.cn.
the capital increase project of Tumushuk Thermal Power Co., Ltd.
(hereinafter referred to as "Tumushuk Thermal Power Company") by way
of public quotation, with a quotation amount of no higher than RMB 800
million, and a corresponding shareholding ratio of 79.50%.
In order to further promote the scale and professional development of Announcement on Capital December
Guangdong Wind Power Co., Ltd. (hereinafter referred to as "Guangdong Increase of Guangdong 31,2021
http//www.cninfo.co
Wind Power Company"), a wholly-owned subsidiary of the Company, Wind Power Generation
m.cn.
strengthen the synergy and agglomeration effect of resources, and enhance Co., Ltd. by Holding Equity
the comprehensive strength and market competitiveness of the Company's of Wind Power Company
- 110 -
Guangdong Electric Power Development Co., Ltd. 2021 Annual Report
wind power business, upon the deliberation at the Fifth Meeting of the Tenth
Board of Directors of the Company on December 29, it was agreed that the
Company would increase the capital of Guangdong Wind Power Company
with 70% equity of Guangdong Yudean Zhanjiang Wind Power Co., Ltd.,
81.79% equity of Guangdong Yudean Leizhou Wind Power Co., Ltd., 100%
equity of Guangdong Yudean Qujie Wind Power Co., Ltd., 100% equity of
Tongdao Yuexin Wind Power Co., Ltd. and 10% equity of Southern
Offshore Wind Power Joint Development Co., Ltd., with a total capital
increase of RMB 3,218,446,900.
XIV. Significant event of subsidiary of the Company
□ Applicable √Not applicable
- 111 -
Guangdong Electric Power Development Co., Ltd. 2021 Annual Report
VII. Change of share capital and shareholding of Principal Shareholders
I. Changes in share capital
1. Changes in share capital
In shares
Before the change Increase/decrease（+，-） After the Change
Amount Proportio Capitaliz
n Share ation of
Bonus Proporti
allotm common Other Subtotal Quantity
shares on
ent reserve
fund
I. Share with conditional
1,897,970,125 36.15% -4,008 1,897,966,117 36.15%
subscription
1. State-owned shares
2. State-owned legal person
1,893,342,621 36.06% 1,893,342,621 36.06%
shares
3.Other domestic shares 4,627,504 0.09% -4,008 4,623,496 0.09%
Of which：Domestic legal
4,620,666 0.09% 4,620,666 0.09%
person shares
Domestic natural person
6,838 0% -4,008 2,830 0%
shares
4.Foreign shares
Of which：Foreign legal
person shares
Foreign natural person
shares
II. Shares with unconditional
3,352,313,861 63.85% 4,008 3,352,317,869 63.85%
subscription
1.Common shares in RMB 2,553,905,861 48.64% 4,008 2,553,909,869 48.64%
2.Foreign shares in domestic
798,408,000 15.21% 798,408,000 15.21%
market
3.Foreign shares in
foreign market
4.Other
III. Total of capital shares 5,250,283,986 100% 5,250,283,986
Reasons for share changed
√ Applicable □ Not applicable
On February 10, 2021, the lock-up period of 4,716 restricted shares held by Mr. Lin Weifeng, a former employee
supervisor of the company, expired and such shares became unrestricted shares；On August 2, 2021, Mr. Wen
- 112 -
Guangdong Electric Power Development Co., Ltd. 2021 Annual Report
Lianhe, the director of the Company, ceased to serve as the director of the Company due to the expiration of his term
of office, nor did he hold other positions in the Company or its holding subsidiaries. As of the disclosure date of the
resignation announcement, Mr. Wen Lianhe holded 2,830 shares of the Company. According to the relevant
regulations of the Listing Rules for Stocks of Shenzhen Stock Exchange, the directors of listed companies are not
allowed to transfer their shares within six months after resignation. Therefore, the lock-up ratio of 2,830 shares held
by Mr. Wen Lianhe has increased from 75% to 100%, and the restricted shares have increased by 708 shares. In
summary, the number of restricted shares of the Company decreased by 4,008 shares.
Approval of Change of Shares
□Applicable √Not applicable
Ownership transfer of share changes
□Applicable √Not applicable
Influence on the basic EPS and diluted EPS as well as other financial indexes of net assets per share attributable
to common shareholders of Company in latest year and period
□ Applicable √ Not applicable
Other information necessary to disclose for the company or need to disclosed under requirement from security
regulators
□ Applicable √Not applicable
2. Change of shares with limited sales condition
√ Applicable □ Not applicable
In RMB
Number of Number of
Number of Number of restricted
restricted shares restricted shares Reasons for sales Release date of
Shareholder restricted shares shares at the end of
in increased this released in this restriction sales restriction
at the beginning the period
period period
Change of employee
Lin Weifeng 4,716 0 4,716 0 February 10,2021
supervisor
Wen Lianhe 2,122 708 0 2,830 Change of director February 2,2022
Total 6,838 708 4,716 2,830 -- --
Ⅱ.Issuing and listing
1.Explanation of the Situation of the Security Issue(No Preferred Shares) in the Report Period
□Applicable √Not applicable
2.Change of asset and liability structure caused by change of total capital shares and structure
□Applicable √Not applicable
- 113 -
Guangdong Electric Power Development Co., Ltd. 2021 Annual Report
3.About the existing employees’ shares
□Applicable √Not applicable
Ⅲ.Shareholders and actual controlling shareholder
1. Number of shareholders and shareholding
In Shares
Total number of
Total shareholders at Total preferred shareholders at
common The total number of preferre
the end of the month the end of the month from the
shareholders at the 87,039 94,304 d shareholders voting rights ( 0 0
from the date of date of disclosing the annual
end of the if any)(See Notes 8)
disclosing report(if any)(See Notes 8)
reporting period
Particulars about shares held above 5% by shareholders or top ten shareholders
Proporti Number of share
on of Number of Changes in Amount of Amount of pledged/frozen
Shareholders Nature of
shares shares held at reporting restricted un-restricted
shareholder State of
held period -end period shares held shares held Amount
share
（%）
State-owne
Guangdong Energy
d legal 67.39% 3,538,005,285 0 1,893,342,621 1,644,662,664
Group Co., Ltd.
person
Guangzhou State-owne
Development Group d legal 2.22% 116,693,602 0 0 116,693,602
Co., Ltd. person
Guangdong Electric State-owne
Power Development d legal 1.80% 94,367,341 0 0 94,367,341
Corporation person
State-owne
China Securities
d legal 0.99% 52,027,145 -78,855,757 0 52,027,145
Finance Co., Ltd.
person
ICBC－First Seafront Domestic
fund New Economy Non-State
flexible allocation of owned 0.85% 44,717,918 44,717,918 0 44,717,918
hybrid securities legal
investment fund person
Domestic
Zheng Jianxiang Natural 0.49% 25,514,900 710,014 0 25,514,900
person
Ningbo Bank－Boshi Domestic 0.36% 18,915,500 18,915,500 0 18,915,500
- 114 -
Guangdong Electric Power Development Co., Ltd. 2021 Annual Report
Growth advantage Non-State
hybrid securities owned
investment fund legal
person
Agricultural bank of Domestic
China－Boshi Yulon Non-State
flexible allocation of owned 0.31% 16,055,400 16,055,400 0 16,055,400
hybrid securities legal
investment fund person
VANGUARD TOTAL
Overseas
INTERNATIONAL
Legal 0.30% 15,855,512 0 0 15,855,512
STOCK INDEX
person
FUND
CHINA
INTERNATIONAL
Overseas
CAPITAL
Legal 0.29% 15,216,066 0 0 15,216,066
CORPORATION
person
HONG KONG
SECURITIES LTD
Strategy investors or general legal
person becomes top 10 shareholders
Not applicable
due to rights issued (if applicable)
（See Notes 3）
Explanation on associated The Third largest shareholder Guangdong Electric Power Development Corporation is the
relationship among the aforesaid wholly-owned subsidiaries of the largest shareholder Energy Group. These two companies have
shareholders relationships; whether the other shareholders have relationships or unanimous acting was unknown
Above shareholders entrusting or
entrusted with voting rights, or Not applicable
waiving voting rights
Top 10 shareholders including the
special account for repurchase (if Not applicable
any) (see note 10)
Shareholding of top 10 shareholders of unrestricted shares
Quantity of unrestricted shares Share type
Name of the shareholder held at the end of the reporting
Share type Quantity
period
Guangdong Energy Group Co., Ltd. 1,644,662,664 RMB Common shares 1,644,662,664
Guangzhou Development Group Co., Ltd. 116,693,602 RMB Common shares 116,693,602
Guangdong Electric Power Development Corporation 94,367,341 RMB Common shares 94,367,341
China Securities Finance Co., Ltd. 52,027,145 RMB Common shares 52,027,145
- 115 -
Guangdong Electric Power Development Co., Ltd. 2021 Annual Report
ICBC－First Seafront fund New Economy flexible
44,717,918 RMB Common shares 44,717,918
allocation of hybrid securities investment fund
Foreign shares placed in
Zheng Jianxiang 25,514,900 25,514,900
domestic exchange
Ningbo Bank－Boshi Growth advantage hybrid
18,915,500 RMB Common shares 18,915,500
securities investment fund
Agricultural bank of China－Boshi Yulon flexible
16,055,400 RMB Common shares 16,055,400
allocation of hybrid securities investment fund
VANGUARD TOTAL INTERNATIONAL STOCK Foreign shares placed in
15,855,512 15,855,512
INDEX FUND domestic exchange
CHINA INTERNATIONAL CAPITAL Foreign shares placed in
15,216,066 15,216,066
CORPORATION HONG KONG SECURITIES LTD domestic exchange
Explanation on associated relationship or consistent
The Third largest shareholder Guangdong Electric Power Development
action among the top 10 shareholders of non-restricted
Corporation is the wholly-owned subsidiaries of the largest shareholder Energy
negotiable shares and that between the top 10
Group. These two companies have relationships; whether the other shareholders
shareholders of non-restricted negotiable shares and top
have relationships or unanimous acting was unknown.
10 shareholders
Explanation on shareholders participating in the margin
Not applicable
trading business(if any )(See Notes 4)
Whether top ten common shareholders or top ten common shareholders with un-restrict shares held have a
buy-back agreement dealing in reporting period.
□ Yes √ No
The top ten common shareholders or top ten common shareholders with un-restrict shares held of the Company
have no buy –back agreement dealing in reporting period.
2.Controlling shareholder
Nature of Controlling Shareholders: Local state holding
Type of Controlling Shareholders: Legal person
Legal
Name of the Controlling Date of
representative/Leade Organization code Principal business activities
shareholder incorporation
r
Management and sales of the electricity
investment construction operation
management，electricity power(Thermal
Power)，
Guangdong Energy Group
Li Zhuoxian August 3,2001 91440000730486022G The industry of transportation resources
Co., Ltd.
environmental protection，new source of energy
electricity investment; investment planning and
consulting ; information consulting service;
sales of production materials.
- 116 -
Guangdong Electric Power Development Co., Ltd. 2021 Annual Report
The equity of the controlling
shareholder in other domestic
and foreign listed companies Unknown
held or partly held by it in the
report period
Change of the actual controller in the reporting period
□Applicable √Not applicable
No such cases in the Reporting Period.
3．Information about the controlling shareholder of the Company
Actual controller nature：Local state owned assets management
Actual controller type：Legal person
Legal
Name of the controlling representativ
Date of establishment Organization code Principal business activities
shareholder e/person in
charge
State-owned Assets As the special institution directly
supervision and subordinate to Guangdong Provincial
administration Commission People's Government, performed the
Li Cheng June 26,2004 114400007583361658
of Guangdong obligation of provincial state-asset
Provincial People’s contributor entrusted by the provincial
Government government.
Equity of other
domestic/foreign listed
company with share
controlling and share Unknown
participation by
controlling shareholder in
reporting period
Changes of the actual controller in the reporting period
□Applicable √Not applicable
No Changes of the actual controller in the reporting period
Block Diagram of the ownership and control relations between the company and the actual controller
- 117 -
Guangdong Electric Power Development Co., Ltd. 2021 Annual Report
The actual controller controls the company by means of trust or managing the assets in other way
□Applicable √Not applicable
4.The cumulative number of shares pledged by the controlling shareholder or the largest shareholder of the
company and its person acting in concert accounts for 80% of the number of shares held by the company
□Applicable √Not applicable
5.Particulars about other legal person shareholders with over 10% share held
□Applicable √Not applicable
6.Situation of Share Limitation Reduction of Controlling Shareholders, Actual Controllers, Restructuring Party
and Other Commitment Subjects
□Applicable √Not applicable
IV. Specific implementation of share repurchase during the reporting period
Progress in implementation of share repurchase
□ Applicable √Not applicable
Implementation progress of reducing repurchased shares by centralized bidding
□ Applicable √Not applicable
- 118 -
Guangdong Electric Power Development Co., Ltd. 2021 Annual Report
VIII. Situation of the Preferred Shares
□Applicable √Not applicable
The Company had no preferred shares in the reporting period.
- 119 -
Guangdong Electric Power Development Co., Ltd. 2021 Annual Report
IX. Corporate Bond
√ Applicable □ Not applicable
I. Enterprise bond
□ Applicable √ Not applicable
No such cases in the reporting period.
II. Corporate bond
√ Applicable □ Not applicable
1). Basic information of corporate bonds
In RMB
Bond short Bond balance Interest
Bond name Bond code Issue day Value date Due day Servicing way Trading
name (RMB '0,000) rate
Using simple interest rate on
a yearly basis, regardless of
Public Issuance of Corporate Bonds to Qualified compound interest. Due
Investors in 2020 (Phase I) of Guandong Electric payments once a year, Shenzhen Stock
20 Yudean 01 149113.SZ April 29,2020 April 29,2020 April 29,2025 1,500,000,000 2.45%
Power Development Co.,Ltd. maturing debt at a time. In Exchange
the final phase, interest is
paid together with the
principal redemption.
Public Issuance of Corporate Bonds to Qualified January January Using simple interest rate on Shenzhen Stock
21 Yudean 01 149369.SZ January 27,2021 1,000,000,000 3.57%
Investors in 2021 (Phase I) of Guandong Electric 27,2021 27,2024 a yearly basis, regardless of Exchange
- 120 -
Guangdong Electric Power Development Co., Ltd. 2021 Annual Report
Power Development Co.,Ltd. compound interest. Due
payments once a year,
maturing debt at a time. In
the final phase, interest is
paid together with the
principal redemption.
Using simple interest rate on
a yearly basis, regardless of
Public Issuance of Corporate Bonds to Qualified compound interest. Due
Investors in 2021 (Phase II) of Guandong Electric payments once a year, Shenzhen Stock
21Yudean 02 149418.SZ April 28,2021 April 28,2021 April 28,2026 1,500,000,000 3.50%
Power Development Co.,Ltd. maturing debt at a time. In Exchange
the final phase, interest is
paid together with the
principal redemption.
Using simple interest rate on
a yearly basis, regardless of
compound interest. Due
Public Issuance of Corporate Bonds to Professional
November November November payments once a year, Shenzhen Stock
Investors in 2021 (Phase I) of Guandong Electric 21Yedean 03 149711.SZ 800,000,000 3.41%
24,2021 24,2021 24,2026 maturing debt at a time. In Exchange
Power Development Co.,Ltd.
the final phase, interest is
paid together with the
principal redemption.
Using simple interest rate on
a yearly basis, regardless of
Public Issuance of Corporate Bonds to Professional
compound interest. Due Shanghai Stock
Investors in 2021 (Phase I) of Guandong Huizhou 21Pinghai 01 188197.SH June 4,2021 June 4,2021 June 4,2023 200,000,000 3.57%
payments once a year, exchange
Ping Power Generation Co.,Ltd.
maturing debt at a time. In
the final phase, interest is
- 121 -
Guangdong Electric Power Development Co., Ltd. 2021 Annual Report
paid together with the
principal redemption.
During the reporting period, interest payment situation of the company bonds（If 20 Yudean 01, 21 Yudean 01 and 21 Yudean 02 are bonds for qualified investors, 21 Yudean 03 and 21 Pinghai 01 are bonds
any） for professional investors.
Applicable trading mechanism Bidding, quotation, inquiry and agreement transaction.
Whether there are risks and countermeasures for terminating listing transactions
No
（If any)
- 122 -
Guangdong Electric Power Development Co., Ltd. 2021 Annual Report
Overdue and unpaid bonds
□ Applicable √ Not applicable
2). Trigger and implementation of option clauses and investor protection clauses of the issuer or investor
□ Applicable √ Not applicable
3).Information of intermediary agency
Name of bond Name of Name of signing Contact person of
Office Address Tel
project intermediary agency accountant intermediary agency
China Securities Co.,
Ltd. (lead principal 2/F, Block B, Kaiheng Center,
underwriter/bookkee No.2 Chaoyangmennei Street, Not applicable Liu Renshuo 010-86451370
ping Dongcheng District, Beijing
manager/trustee)
CITIC Securities 22/F, CITIC Securities Building,
Co., Ltd. (joint lead No.48 Liangmaqiao Road, Not applicable Song Yilan 010-60836755
Public Issuance of underwriter) Chaoyang District, Beijing
Corporate Bonds to
23/F, R&F Center, No.10
Qualified Investors
Beijing Zhong Lun Huaxia Road, Zhujiang New
in 2020 (Phase I) of Not applicable Ling Qinghua 020-28261689
Law Firm Town, Tianhe District,
Guandong Electric
Guangzhou
Power Development
Co.,Ltd. Wang Bin, Li
PricewaterhouseCoo 18/F, PricewaterhouseCoopers
Yanhua（2019）；
pers Zhongtian Center, No.10 Zhujiang West
Wang Bin, Guo
Certified Public Road, Zhujiang New Town, Wang Bin 020-38192000
Biyu（2018）；
Accountants (Special Tianhe District, Guangzhou,
Wang Bin, Chen
General Partnership) China
Junjun（2017）
China Cheng Xin Building 6, Yinhe SOHO, No.2
International Credit Nanzhugan Hutong, Dongcheng Not applicable Fang Zibin 010-66428877
Rating Co. Ltd. District, Beijing
China Securities Co.,
Public Issuance of Ltd. (lead principal 2/F, Block B, Kaiheng Center,
Corporate Bonds to underwriter/bookkee No.2 Chaoyangmennei Street, Not applicable Liu Renshuo 010-86451370
Qualified Investors ping Dongcheng District, Beijing
in 2021 (Phase I) of manager/trustee)
Guandong Electric CITIC Securities 22/F, CITIC Securities Building,
Power Development Co., Ltd. (joint lead No.48 Liangmaqiao Road, Not applicable Song Yilan 010-60836755
Co.,Ltd. underwriter) Chaoyang District, Beijing
Beijing Zhong Lun 23/F, R&F Center, No.10
Not applicable Liang Qinghua 020-28261689
Law Firm Huaxia Road, Zhujiang New
- 123 -
Guangdong Electric Power Development Co., Ltd. 2021 Annual Report
Town, Tianhe District,
Guangzhou
Wamg Bin, Li
PricewaterhouseCoo 18/F, PricewaterhouseCoopers
Yanhua（2019）；
pers Zhongtian Center, No.10 Zhujiang West
Wang Bin, Guo
Certified Public Road, Zhujiang New Town, Wang Bin 020-38192000
Biyu（2018）；
Accountants (Special Tianhe District, Guangzhou,
Wang Bin, Chen
General Partnership) China
Junjun（2017）
China Cheng Xin Building 6, Yinhe SOHO, No.2
International Credit Nanzhugan Hutong, Dongcheng Not applicable Fang Zibin 010-66428877
Rating Co. Ltd. District, Beijing
China Securities Co.,
Ltd. (lead principal 2/F, Block B, Kaiheng Center,
underwriter/bookkee No.2 Chaoyangmennei Street, Not applicable Liu Renshuo 010-86451370
ping Dongcheng District, Beijing
manager/trustee)
CITIC Securities 22/F, CITIC Securities Building,
Co., Ltd. (joint lead No.48 Liangmaqiao Road, Not applicable Song Yilan 010-60836755
Public Issuance of
underwriter) Chaoyang District, Beijing
Corporate Bonds to
Professional 23/F, R&F Center, No.10
Investors in 2021 Beijing Zhong Lun Huaxia Road, Zhujiang New
Not applicable Liang Qinghua 020-28261689
(Phase II) of Law Firm Town, Tianhe District,
Guandong Electric Guangzhou
Power Development PricewaterhouseCoo 18/F, PricewaterhouseCoopers Wng Bin, Li
Co.,Ltd. pers Zhongtian Center, No.10 Zhujiang West Yanhua
Certified Public Road, Zhujiang New Town, （2019-2020）； Wang Bin 020-38192000
Accountants (Special Tianhe District, Guangzhou, Wang Bin, Guo
General Partnership) China Biyu（2018）
China Cheng Xin Building 6, Yinhe SOHO, No.2
International Credit Nanzhugan Hutong, Dongcheng Not applicable Fang Zibin 010-66428877
Rating Co. Ltd. District, Beijing
China Securities Co.,
Public Issuance of Ltd. (principal 2/F, Block B, Kaiheng Center,
Corporate Bonds to underwriter/bookkee No.2 Chaoyangmennei Street, Not applicable Liu Renshuo 010-86451370
Professional ping Dongcheng District, Beijing
Investors in 2021 manager/trustee)
(Phase I) of 29/F, 10/F and 11/F (01-04
Guandong Electric units), Chow Tai Fook Finance
Power Development ETR Law Firm Centre, NO.6 Zhujiang Dong Not applicable Wang Xing 020-37181333
Co.,Ltd. Road, Tianhe District
Guangzhou City, Guangdong
- 124 -
Guangdong Electric Power Development Co., Ltd. 2021 Annual Report
Province
PricewaterhouseCoo 18/F, PricewaterhouseCoopers Wang Bin, Li
pers Zhongtian Center, No.10 Zhujiang West Yanhua
Certified Public Road, Zhujiang New Town, （2019-2020）； Chin Junjun 020-38192645
Accountants (Special Tianhe District, Guangzhou, Wang Bin, Guo
General Partnership) China Biyu（2018）
China Cheng Xin Building 5, Yinhe SOHO, No.2
International Credit Nanzhugan Hutong, Dongcheng Not applicable Sheng Lei 010-66428877
Rating Co. Ltd. District, Beijing
North Block, Times Square
Excellence (Phase II), No.8
CITIC Securities
Zhongxin Third Road, Futian Not applicable Jian Qiongwen 13539997160
Co., Ltd
District, Shenzhen City,
Guangdong Province
Public Issuance of
Zhongxi Certified 11/F, Block A, Xincheng Culture
Corporate Bonds to
Public Accountants Building, No.11 Wei Shuzhen,
Professional Fan Fengwei 18520643032
(Special General Chongwenmenwai Street, Fan Fengwei
Investors in 2021
Partnership) Beijing
(Phase I) of
Shanghai Brilliance
Guandong Huizhou 14/F, Huasheng Building,
Credit Rating &
Ping Power No.398, Hankou Road, Not applicable Yu Liping 13641825613
Investors Service
Generation Co.,Ltd. Shanghai
Co., Ltd.
7/F, Block D, Qiaofufang
Beijing Dentons Law Grassland, No.9 Dongdaqiao
Not applicable Lv Sihui 13692899924
Offices, LLP Road, Chaoyang District,
Beijing
Whether the above agency changes during the reporting period
□ Yes √No
4). Use of raised funds
In RMB
Rectification of Whether it is consistent with
Operation of special
Total amount Unused illegal use of the purpose, use plan and
Name of bond project Used amount account for raised
of raised funds amount raised funds (if other agreements stipulated
funds (if any)
any) in the prospectus
Public Issuance of Corporate
Bonds to Qualified Investors in The special
2020 (Phase I) of Guandong 1,500,000,000 1,500,000,000 0 fund-raising account No Yes
Electric Power Development operates properly
Co.,Ltd.
- 125 -
Guangdong Electric Power Development Co., Ltd. 2021 Annual Report
Public Issuance of Corporate
Bonds to Qualified Investors in The special
2021 (Phase I) of Guandong 1,000,000,000 1,000,000,000 0 fund-raising account No Yes
Electric Power Development operates properly
Co.,Ltd.
Public Issuance of Corporate
Bonds to Professional The special
Investors in 2021 (Phase II) of 1,500,000,000 1,500,000,000 0 fund-raising account No Yes
Guandong Electric Power operates properly
Development Co.,Ltd.
Public Issuance of Corporate
Bonds to Professional The special
Investors in 2021 (Phase I) of 800,000,000 800,000,000 0 fund-raising account No Yes
Guandong Electric Power operates properly
Development Co.,Ltd.
Public Issuance of Corporate
Bonds to Professional The special
Investors in 2021 (Phase I) of 200,000,000 200,000,000 0 fund-raising account No Yes
Guandong Huizhou Ping operates properly
Power Generation Co.,Ltd.
The raised funds are used for construction projects
□ Applicable √ Not applicable
During the reporting period, the Company changed the use of funds raised from the above bonds
□ Applicable √ Not applicable
5).Adjustment of credit rating results during the reporting period
□ Applicable √ Not applicable
6) The implementation and changes of guarantee, debt repayment plan and other debt repayment guarantee
measures during the reporting period and their impact on the rights and interests of bond investors
√ Applicable □ Not applicable
(1). Credit enhancement mechanism: 20 Yudean 01, 21 Yudean 01, 21 Yudean 02, 21 Yudean 03 and 21 Pinghai
Company 01 bonds are not guaranteed.
(2). Debt repayment plan and other debt repayment guarantee measures: 20 Yudean 01, 21 Yudean 01, 21 Yudean 02,
21 Yudean 03 and 21 Pinghai 01 debt repayment plans and other debt repayment guarantee measures have not
changed during the reporting period, and the payment of their principal and interest will be handled by the bond
registration institution and relevant institutions. The specific matters of payment will be elaborated in the
announcement disclosed by the issuer in the media specified by China Securities Regulatory Commission,
Shenzhen Stock Exchange, Shanghai Stock Exchange and China Securities Industry Association in accordance with
relevant regulations.
- 126 -
Guangdong Electric Power Development Co., Ltd. 2021 Annual Report
III. Debt financing instruments of non-financial enterprises
√ Applicable □ Not applicable
1. Debt financing instruments of non-financial enterprises
In RMB
Interest
Bond name Bond short name Bond code Issue day Value date Due day Bond balance Servicing way Trading
rate
Using simple interest
rate on a yearly basis,
regardless of
compound interest.
2021 MTN (Phase I) of
Due payments once a Interbank
Guangdong Electric Power 21Yudean Fa MTN001 102101339.IB July 19,2021 July 21,2021 July 21,2024 1,200,000,000 3.17%
year, maturing debt at a market
Development Co., Ltd.
time. In the final phase,
interest is paid together
with the principal
redemption.
Using simple interest
rate on a yearly basis,
regardless of
compound interest.
2021 MTN (Phase II) of
November November November Due payments once a Interbank
Guangdong Electric Power 21Yudean Fa MTN002 102102318.IB 2,200,000,000 3.13%
15,2021 17,2021 17,2024 year, maturing debt at a market
Development Co., Ltd.
time. In the final phase,
interest is paid together
with the principal
redemption.
- 127 -
Guangdong Electric Power Development Co., Ltd. 2021 Annual Report
Guangdong Electric Power
Development Co., Ltd.
August, 23, August, 24, February One time repayment of Interbank
Co., Ltd.2021 second 21Yudean Fa SCP000 012280516.IB 1,000,000,000.00 2.21%
2021 2021 18,2022 principal and interest. market
phase Ultra-short term
financing bills
Guangdong Electric Power
Development Co., Ltd.
February February August One time repayment of Interbank
Co., Ltd.2022 first phase 22Yudean Fa SCP001 012280516.IB 1,200,000,000 2.01%
14,2022 15,2022 12,2022 principal and interest. market
Ultra-short term financing
bills
2021 MTN (Phase I) of Annual interest
21 Ping Power October, 15, October, 15, October, 15, Interbank
Guandong Huizhou Ping 102102049.IB 300,000,000.00 3.72% payment, one-time
MTN001 2021 2021 2024 market
Power Generation Co.,Ltd principal repayment
During the reporting period, interest payment situation of the company
No
bonds（If any）
Circulation and transfer in the national inter-bank bond market, its listing and circ ulation will be carried out in
Applicable trading mechanism
accordance with the relevant regulations promulgate d by the National Interbank Funding Center
Whether there are risks and countermeasures fo r terminating listing
No
transactions（If any)
- 128 -
Overdue and unpaid bonds
□ Applicable √ Not applicable
2. Trigger and implementation of option clauses and investor protection clauses of the issuer or
investor
□ Applicable √ Not applicable
3.Information of intermediary agency
Name of Contact person of
Name of bond Name of signing
intermediary Office Address intermediary Tel
project accountant
agency agency
Industry
Bank(lead No.154, Hudong
Zhao Xinle, Liu 010-89926570、
principal Road, Fuzhou, Not applicable
Jingyi 020-38160153
underwriter/bookk Fujian
eeping manager
No. 55,
ICBC(joint lead Fuxingmennei,
Not applicable Sheng Xue 010-66106736
underwriter) Street , Xicheng
District , Beijing
31,33, 36 and
37/F, SK Building,
2021 MTN
Beijing Zhong Lun A6,
(Phase I) of Not Applicable Liang Qinghua 020-28262689
Law Firm Jianguomenwai
Guangdong
Street , Chaoyang
Electric Power
District, Beijing
Development
Co., Ltd. 11/F,
PricewaterhouseC PricewaterhouseC Wang Bin, Li
oopers Zhongtian oopers, No.2, Yanhua
Certified Public Enterprist
（2019-2020）； Wang Bin 021-23238888
Accountants Building, No.202,
Wang Bin, Guo
(Special General Hubin Road,
Partnership) Huangpu District Biyu（2018）
Shanghai
Shanghai 14/f, Huasheng
Brilliance Credit Building , No.398
Not applicable Zhang Jie 18600048666
Rating & Investors Hankou Road,
Service Co., Ltd. Shanghai
Industry Bank
No.154, Hudong
(lead principal Zhao Xinle, Ye 010-89926570、
Road, Not applicable
underwriter/bookk Huishan 020-38160153
Fuzhou ,Fujian
eeping manager
No. 55,
ICBC(joint lead Fuxingmennei,
Not applicable Sheng Xue 010-66106736
underwriter) Street , Xicheng
District , Beijing
2021 MTN 31,33, 36 and
(Phase II) of 37/F, SK Building,
Guangdong Beijing Zhong Lun A6,
Electric Power Not Applicable Liang Qinghua 020-28262689
Law Firm Jianguomenwai
Development Street , Chaoyang
Co., Ltd. District, Beijing
11/F,
PricewaterhouseC PricewaterhouseC Wang Bin , Li
oopers Zhongtian oopers, No.2, Yanhua
Certified Public Enterprist
（2019-2020）； Wang Bin 021-23238888
Accountants Building, No.202,
Wang Bin, Guo
(Special General Hubin Road,
Partnership) Huangpu District Biyu（2018）
Shanghai
Guangdong Electric Power Development Co., Ltd. 2021 Annual Report
China CITIC Bank
1 Building, No.10
Co., Ltd(lead
Guanghua Road,
principal Not applicable Shen Xiangze 010-66635910
Changyang
underwriter/bookk
District , Beijing
eeping manager
No.22,
Jianguomenmei
Huaxia Bank(joint
Street , Not applicable Li Bailu 010-85237515
lead underwriter)
Dongcheng
Guangdong District , Beijing
Electric Power
Development 31,33, 36 and
Co., Ltd.2022 37/F, SK Building,
first phase Beijing Zhong Lun A6,
Not Applicable Liang Qinghua 020-28262689
Ultra-short term Law Firm Jianguomenwai
financing bills Street , Chaoyang
District, Beijing
11/F,
PricewaterhouseC PricewaterhouseC Wang Bin,Li
oopers Zhongtian oopers, No.2, Yanhua
Certified Public Enterprise
（2019-2020）； Wang Bin 021-23238888
Accountants Building, No.202,
Wang Bin, Guo
(Special General Hubin Road,
Partnership) Huangpu District Biyu（2018）
Shanghai
Whether the above agency changes during the reporting period
□ Yes √No
4. Use of raised funds
In RMB
Whether it is
consistent with
Operation of Rectification of the purpose,
Name of bond Total amount of special account illegal use of use plan and
Used amount Unused amount
project raised funds for raised funds raised funds (if other
(if any) any) agreements
stipulated in the
prospectus
2021 MTN
The special
(Phase I) of
fund-raising
Guangdong
1,200,000,000 1,200,000,000 0 account No Yes
Electric Power
operates
Development
properly
Co., Ltd.
2021 MTN
(Phase II) of
Guangdong
2,200,000,000 2,000,000,000 200,000,000 Not applicable No Yes
Electric Power
Development
Co., Ltd.
Guangdong
Electric Power
Development
Co., Ltd. Co.,
Ltd.2021 1,000,000,000 1,000,000,000 0 Not applicable No Yes
second phase
Ultra-short
term financing
bills
Guangdong
Electric Power 1,200,000,000 1,200,000,000 0 Not applicable No Yes
Development
Co., Ltd.2022
- 130 -
Guangdong Electric Power Development Co., Ltd. 2021 Annual Report
first phase
Ultra-short
term financing
bills
2021 MTN
(Phase I) of
Guandong
Huizhou Ping 300,000,000 300,000,000 0 Not applicable No Yes
Power
Generation
Co.,Ltd
The raised funds are used for construction projects
√ Applicable □Not applicable
2Yudeanfa MTN001 raised RMB 1.2 billion, of which RMB 375 million was used to replace the
increased capital of its holding subsidiaries, that is, it was finally used to replace the paid-in capital
of key construction projects. RMB 250 million is used to replace the increased capital of
Guangdong Yudean Marina Bay Energy Co., Ltd., and finally used for the capital of the alternative
power supply project at Ningzhou plant site in Dongguan; RMB 125 million is used to replace the
increased capital of Guangdong Yudean Qujie Wind Power Generation Co., Ltd., and finally used
for the capital of phase II of Guangdong Yudean Zhanjiang Wailuo Offshore Wind Power Project. In
the main building installation project of the alternative power supply project at Ningzhou plant site
in Dongguan, the first concrete of the main plant foundation was poured in September 2021. The
construction of the project is progressing as planned. It is expected that the first unit will be put into
operation in March 2023, and the second and third units will be put into operation in June and
September of the same year. The Phase II of Guangdong Yudean Zhanjiang Wailuo Offshore Wind
Power Project was put into operation in December 2021, and the project was in good operation.
From January to February 2022, it achieved an operating income of RMB 66.0778 million and an
operating profit of RMB 27.3119 million.
During the reporting period, the Company changed the use of funds raised from the above bonds
□ Applicable √ Not applicable
5.Adjustment of credit rating results during the reporting period
□ Applicable √ Not applicable
6 The implementation and changes of guarantee, debt repayment plan and other debt repayment
guarantee measures during the reporting period and their impact on the rights and interests of bond
investors
√ Applicable □Not applicable
1). 21Yudeanfa MTN001, 21Yudeanfa MTN002, 21Yudeanfa SCP002, 22Yudeanfa SCP001 and
21PingPower MTN001 are not guaranteed.
2). The debt repayment plan of the above-mentioned debt financing instruments and other debt
repayment guarantee measures of the Company have not changed during the reporting period.
IV. Convertible bond
□ Applicable √ Not applicable
No such cases in the reporting period.
V. The loss within the scope of consolidated statements in the reporting period exceeded
10% of the net assets at the end of the previous year
√ Applicable □ Not applicable
Influence on the company's
Loss situation Reasons for loss
operation and solvency
During the reporting period, the net profit within Affected by the continuous With assets of 100 billion
the scope of the company's consolidated statement rise in coal and gas prices, yuan and strong solvency,
- 131 -
Guangdong Electric Power Development Co., Ltd. 2021 Annual Report
was RMB -4,472,695,268, which accounted for company's power company has abundant
10.25% of the net assets at the end of the previous generation business financing channels and
year. suffered substantial losses. sufficient credit, and can
make full use of internal and
external financial resources
to ensure capital needs.
VI.Overdue interest-bearing debts except bonds at the end of the reporting period
□ Applicable √ Not applicable
VII.Whether there are any violations of rules and regulations during the reporting period
□ Yes √ No
VIII. Main accounting data and financial indicators of the Company in recent two years by
the end of the reporting period
In RMB10,000
At the end of the At the end of At the same time
Items
reporting period last year rate of change
Current ratio 0.61 0.66 -7.58%
Debt ratio 71.34% 56.14% 15.20%
Quick ratio 0.5 0.57 -12.28%
Amount of last At the same time
Amount of this period
period rate of change
Net profit after deducting non-recurring profit and loss -397,819.78 232,444.14 -271.15%
EBITDA total debt ratio 0.72% 16.83% -16.11%
Time interest earned ratio -2.23 3.49 -163.90%
Cash interest guarantee times -0.02 4.94 -100.40%
EBITDATime interest earned ratio 0.35 5.98 -94.15%
Repayment of debt (%) 100.00% 100.00% 0.00%
Payment of interest (%) 100.00% 100.00% 0.00%
- 132 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
FINANCIAL STATEMENTS AND
AUDITOR'S REPORT
FOR THE YEAR ENDED 31 DECEMBER 2021
[English translation for reference only. Should there be any inconsistency between the
Chinese and English versions, the Chinese version shall prevail.]
Guangdong Electric Power Development Co., Ltd.
Financial Statements and Auditor's Report
For the Year Ended 31 December 2021
[English translation for reference only]
Content Page
Auditor’s Report 135 - 142
Financial statements for the year ended 31 December 2021
Consolidated and company balance sheets 143 - 146
Consolidated and company income statements 147 - 149
Consolidated and company cash flow statements 150 - 152
Consolidated statement of changes in shareholders’ equity 153 - 154
Company statement of changes in shareholders’ equity 155 - 156
Notes to the financial statements 157 - 329
Supplementary information to the financial statements 330 - 331
- 134 -
[English Translation for Reference Only]
Auditor’s Report
PwC ZT Shen Zi (2022) No. 10033
(Page 1 of 7)
To the shareholders of Guangdong Electric Power Development Co., Ltd.,
Opinion
What we have audited
We have audited the accompanying financial statements of Guangdong Electric Power
Development Co., Ltd. (hereinafter “Guangdong Electric Power”), which comprise:
the consolidated and company balance sheets as at 31 December 2021;
the consolidated and company income statements for the year then ended;
the consolidated and company cash flow statements for the year then ended;
the consolidated and company statements of changes in shareholders’ equity for the year
then ended; and
notes to the financial statements.
Our opinion
In our opinion, the accompanying financial statements present fairly, in all material respects, the
consolidated and company’s financial position of Guangdong Electric Power as at 31 December
2021, and their financial performance and cash flows for the year then ended in accordance with
the requirements of Accounting Standards for Business Enterprises (“CASs”).
Basis for Opinion
We conducted our audit in accordance with China Standards on Auditing (“CSAs”). Our
responsibilities under those standards are further described in the Auditor’s Responsibilities for
the Audit of the Financial Statements section of our report. We believe that the audit evidence we
have obtained is sufficient and appropriate to provide a basis for our opinion.
We are independent of Guangdong Electric Power in accordance with the Code of Ethics for
Professional Accountants of the Chinese Institute of Certified Public Accountants (“CICPA Code”),
and we have fulfilled our other ethical responsibilities in accordance with the CICPA Code.
Key Audit Matter
Key audit matters are those matters that, in our professional judgement, were of most significance
in our audit of the financial statements of the current period. These matters were addressed in the
context of our audit of the financial statements as a whole, and in forming our opinion thereon,
and we do not provide a separate opinion on these matters.
Key audit matters identified in our audit are summarised as follows:
Impairment of power related fixed assets
- 135 -
Recognition of deferred tax assets related to deductible losses
- 136 -
PwC ZT Shen Zi (2022) No. 10033
(Page 2 of 7)
Key Audit Matter (Cont’d)
Key Audit Matter How our audit addressed the Key Audit Matter
(1) Impairment of power related fixed assets Our audit procedures for the impairment of
power related fixed assets mainly include:
Refer to Note 2(27)(b)(i) and Note 4(12)(a)(vi) to
the financial statements. We understood and evaluated the internal
control relevant to the impairment test of fixed
Certain subsidiaries of Guangdong Electric assets and tested the operating effectiveness of
Power have been experiencing continuous key control;
operating losses in recent years. Taking into
account possible future risks, such as the We involved internal valuers to review and
instability of electricity demand, the unstable analyse the appropriateness of the method
price of coal used in power generation, the applied by management for the impairment test;
macro-economy and other risk factors,
management continuously assesses the Based on our understanding of the businesses of
impairment of the fixed assets of the above the subsidiaries as well as the industry in which
subsidiaries. they operate, we compared with and analysed the
assumptions adopted by management, including
the discount rate, the growth rate of the
As at 31 December 2021, management conducted
estimated on-grid price, the growth rate of the
impairment tests for the fixed assets of the estimated electricity sale, and the growth rate of
aforesaid subsidiaries, and made a provision for the estimated price of coal used in power
impairment at the excess of the carrying amount generation; we evaluated the reasonableness of
of asset groups of generator units over their the assumptions on fair value less costs to sell
recoverable amount. The recoverable amount of and the present value of the future cash flows
the asset groups was the higher of the fair value, expected to be derived from them:
less costs to sell, of the asset groups and the
present value of the future cash flows expected to - For the discount rate, we involved internal
be derived from them. The calculations of the valuers to evaluate the appropriateness in
present value of the future cash flows expected to combination with industry situation;
be derived from them involve management’s
significant judgements, including the discount - For the growth rate of the estimated on-grid
rate, the growth rate of the estimated on-grid electricity price and the growth rate of the
estimated price of coal used in power generation,
electricity price, the growth rate of the estimated
we compared historical growth rates and industry
electricity sale and the growth rate of the data, and considered market trend;
estimated price of coal used in power generation.
- For the growth rate of the estimated electricity
sale, we have compared historical data,
approved budgets and business plans, and
checked the corresponding supporting
documents;
- 137 -
PwC ZT Shen Zi (2022) No. 10033
(Page 3 of 7)
Key Audit Matter (Cont’d)
Key Audit Matter (Cont’d) How our audit addressed the Key Audit Matter
(Cont’d)
(i) Impairment of power related fixed assets Our audit procedures for the impairment of
(Cont’d) power related fixed assets (Cont’d):
As the carrying amounts of fixed assets with We checked the input data and formulas used in
indication of impairment are significant to the the calculation of the present value of future cash
consolidated financial statements of Guangdong flows expected to be derived from them, and
Electric Power, and the impairment test of asset evaluated the mathematic accuracy;
groups of generator units involves management’s
significant estimates and judgements, impairment
We conducted sensitivity analysis on the discount
of power related fixed assets is identified as a key
rate and other key assumptions applied by
audit matter.
management, and evaluated how the changes in
key assumptions (individually or in aggregate)
will give rise to different results to further
evaluate if there’s any indication of management
bias in selecting parameters of key assumptions.
Based on the results of the aforesaid work, we found
that management's judgements and estimates on the
impairment of fixed assets are supported by
appropriate evidence.
(ii) Recognition of deferred tax assets related to Our audit procedures for the recognition of
deductible losses deferred tax assets related to deductible losses
mainly include:
Refer to Note 2(27)(b)(iii) and Note 4(18) to the
financial statements. We obtained management's calculation sheet for
the financial forecast in future periods, checked
As at 31 December 2021, Guangdong Electric the input data and formulas used in the
Power recognised the corresponding deferred tax calculation, and evaluated the mathematic
assets for the deductible losses incurred by accuracy;
individual subsidiaries at a total of RMB
758,900,259.
We obtained supporting documents such as the
income tax settlement report, tax returns and
According to the financial forecast of the aforesaid
accounting records of the aforesaid subsidiaries,
subsidiaries in future periods, management
and reviewed for the existence of deductible losses
recognises deferred tax assets within the limits of
and the accuracy of the amount and period;
which the aforesaid subsidiaries are likely to
obtain future taxable income to offset the
deductible losses. The financial forecast of the Based on our understanding of the businesses of
aforesaid subsidiaries in future periods involves the aforesaid subsidiaries and the industry in
significant management judgements, including which they operate, and combined with industry
estimated electricity sale, estimated on-grid development trend and historical operating
electricity price, estimated price of coal used in performance, we evaluated the key assumptions
power generation and other operating expenses. used by management to calculate the expected
taxable income for future periods, including the
reasonableness of assumptions on estimated
electricity sale, estimated on-grid electricity price,
estimated fuel price, and other operating
expenses;
- 138 -
PwC ZT Shen Zi (2022) No. 10033
(Page 4 of 7)
Key Audit Matter (Cont’d)
Key Audit Matter (Cont’d) How our audit addressed the Key Audit Matter
(Cont’d)
(ii) Recognition of deferred tax assets related to Our audit procedures for the recognition of
deductible losses (Cont’d) deferred tax assets related to deductible losses
mainly include (Cont’d):
As the deferred tax assets related to deductible losses
are significant to the consolidated financial statements We compared the taxable income estimated by
of Guangdong Electric Power, and the financial management last year with the actual taxable
forecast for future periods involves management’s income for the current year to access the
significant estimates and judgements, the recognition historical accuracy of management’s forecast;
of the deferred tax assets related to deductible losses is
identified as a key audit matter.
We reviewed whether the deferred tax assets were
recognised within the limits of which the taxable
income was likely to be obtained in the future to
offset deductible losses and deductible temporary
differences.
Based on the results of the above work, we found that
management's estimates regarding the recognition of
deferred tax assets related to deductible losses were
supported by appropriate evidence.
- 139 -
PwC ZT Shen Zi (2022) No. 10033
(Page 5 of 7)
Other Information
Management of Guangdong Electric Power is responsible for the other information. The other
information comprises all of the information included in 2021 annual report of Guangdong Electric
Power other than the financial statements and our auditor’s report thereon.
Our opinion on the financial statements does not cover the other information and we do not express
any form of assurance conclusion thereon.
In connection with our audit of the financial statements, our responsibility is to read the other
information and, in doing so, consider whether the other information is materially inconsistent with
the financial statements or our knowledge obtained in the audit or otherwise appears to be materially
misstated. If, based on the work we have performed, we conclude that there is a material
misstatement of this other information, we are required to report that fact. We have nothing to
report in this regard.
Responsibilities of Management and Audit Committee for the Financial Statements
Management of Guangdong Electric Power is responsible for the preparation and fair presentation of
these financial statements in accordance with the CASs, and for such internal control as management
determines is necessary to enable the preparation of financial statements that are free from material
misstatement, whether due to fraud or error.
In preparing these financial statements, management is responsible for assessing Guangdong
Electric Power’s ability to continue as a going concern, disclosing, as applicable, matters related to
going concern and using the going concern basis of accounting unless management either intends to
liquidate Guangdong Electric Power or to cease operations, or has no realistic alternative but to do
so.
The Audit Committee is responsible for overseeing Guangdong Electric Power’s financial reporting
process.
- 140 -
PwC ZT Shen Zi (2022) No. 10033
(Page 6 of 7)
Auditor’s Responsibilities for the Audit of the Financial Statements
Our objectives are to obtain reasonable assurance about whether these financial statements as a whole
are free from material misstatement, whether due to fraud or error, and to issue an auditor’s report
that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee
that an audit conducted in accordance with CSAs will always detect a material misstatement when it
exists. Misstatements can arise from fraud or error and are considered material if, individually or in
the aggregate, they could reasonably be expected to influence the economic decisions of users taken on
the basis of these financial statements.
As part of an audit in accordance with CSAs, we exercise professional judgement and maintain
professional scepticism throughout the audit. We also:
Identify and assess the risks of material misstatement of the financial statements, whether due
to fraud or error, design and perform audit procedures responsive to those risks, and obtain
audit evidence that is sufficient and appropriate to provide a basis for our opinion. The risk of
not detecting a material misstatement resulting from fraud is higher than for one resulting
from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations,
or the override of internal control.
Obtain an understanding of internal control relevant to the audit in order to design audit
procedures that are appropriate in the circumstances.
Evaluate the appropriateness of accounting policies used and the reasonableness of
accounting estimates and related disclosures made by management.
Conclude on the appropriateness of management’s use of the going concern basis of
accounting and, based on the audit evidence obtained, whether a material uncertainty exists
related to events or conditions that may cast significant doubt on Guangdong Electric Power’s
ability to continue as a going concern. If we conclude that a material uncertainty exists, we are
required to draw attention in our auditor’s report to the related disclosures in these financial
statements or, if such disclosures are inadequate, to modify our opinion. Our conclusions are
based on the audit evidence obtained up to the date of our auditor’s report. However, future
events or conditions may cause Guangdong Electric Power to cease to continue as a going
concern.
Evaluate the overall presentation (including the disclosures), structure and content of the
financial statements, and whether the financial statements represent the underlying
transactions and events in a manner that achieves fair presentation.
Obtain sufficient appropriate audit evidence regarding the financial information of the entities
or business activities within Guangdong Electric Power to express an opinion on the
consolidated financial statements. We are responsible for the direction, supervision and
performance of the group audit. We remain solely responsible for our audit opinion.
We communicate with the Audit Committee regarding, among other matters, the planned scope and
timing of the audit and significant audit findings, including any significant deficiencies in internal
control that we identify during our audit.
- 141 -
PwC ZT Shen Zi (2022) No. 10033
(Page 7 of 7)
Auditor’s Responsibilities for the Audit of the Financial Statements (Cont’d)
We also provide the Audit Committee with a statement that we have complied with relevant ethical
requirements regarding independence, and to communicate with them all relationships and other
matters that may reasonably be thought to bear on our independence, and where applicable, related
safeguards.
From the matters communicated with the Audit Committee, we determine those matters that were of
most significance in the audit of the financial statements of the current period and are therefore the
key audit matters. We describe these matters in our auditor’s report unless law or regulation
precludes public disclosure about the matter or when, in extremely rare circumstances, we determine
that a matter should not be communicated in our report because the adverse consequences of doing
so would reasonably be expected to outweigh the public interest benefits of such communication.
PricewaterhouseCoopers Zhong Tian LLP Signing CPA
______________________
Chen Junjun
(Engagement Partner)
Shanghai, the People’s Republic of China
20 April 2022
Signing CPA
______________________
Li Xiaolei
- 142 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
CONSOLIDATED BALANCE SHEET
AS AT 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
ASSETS Note 31 December 2021 31 December 2020
(Restated)
Current assets
Cash at bank and on hand 4(1) 8,105,320,953 9,438,414,350
Notes receivables 165,603 -
Accounts receivables 4(2) 7,030,685,357 5,287,149,592
Advances to suppliers 4(3) 892,771,238 784,843,451
Other receivables 4(4) 2,429,475,558 518,641,769
Inventories 4(5) 2,998,894,539 1,683,995,018
Contract assets 4(6) 4,754,820 3,342,276
Current portion of non-current
assets 4(7) - 49,785,734
Other current assets 4(8) 1,417,985,608 676,347,330
Total current assets 22,880,053,676 18,442,519,520
Non-current assets
Long-term equity investments 4(9) 8,072,208,350 7,297,733,122
Investments in other equity
instruments 4(10) 3,232,028,682 3,548,888,015
Investment properties 4(11) 378,796,932 131,191,258
Fixed assets 4(12) 56,943,126,256 54,492,626,175
Construction in progress 4(13) 8,634,727,069 9,254,620,377
Right-of-use assets 4(14) 5,256,124,979 —
Intangible assets 4(15) 2,658,726,346 2,516,305,612
Goodwill 4(16) 139,983,037 2,449,886
Long-term prepaid expenses 4(17) 30,335,301 28,344,969
Deferred tax assets 4(18) 1,235,089,217 504,657,706
Other non-current assets 4(19) 4,810,251,634 3,260,436,522
Total non-current assets 91,391,397,803 81,037,253,642
TOTAL ASSETS 114,271,451,479 99,479,773,162
- 143 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
CONSOLIDATED BALANCE SHEET (CONT’D)
AS AT 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
LIABILITIES AND
SHAREHOLDERS’ EQUITY Note 31 December 2021 31 December 2020
(Restated)
Current liabilities
Short-term borrowings 4(21) 12,360,296,429 7,916,440,888
Notes payables 4(22) 1,908,780,000 1,252,292,546
Accounts payables 4(23) 6,626,567,064 3,400,384,808
Contract liabilities 4(24) 5,864,811 8,424,399
Employee benefits payable 4(25) 422,013,230 360,196,774
Taxes payable 4(26) 502,303,075 580,900,006
Other payables 4(27) 10,569,763,778 7,814,572,869
Current portion of non-current
liabilities 4(28) 3,697,619,753 3,322,121,935
Other current liabilities 4(29) 1,658,449,006 3,217,523,576
Total current liabilities 37,751,657,146 27,872,857,801
Non-current liabilities
Long-term borrowings 4(30) 28,940,577,856 21,922,680,540
Debentures payable 4(31) 8,693,083,422 1,499,542,911
Lease liabilities 4(32) 4,728,167,142 —
Long-term payables 4(33) 121,779,223 3,266,131,306
Deferred income 4(34) 163,611,515 171,652,762
Long-term employee benefits
payable 4(35) 415,480,262 278,637,302
Deferred tax liabilities 4(18) 635,754,761 638,572,671
Other non-current liabilities 4(36) 75,469,729 200,970,029
Total non-current liabilities 43,773,923,910 27,978,187,521
Total liabilities 81,525,581,056 55,851,045,322
Shareholders' equity
Share capital 4(37) 5,250,283,986 5,250,283,986
Capital surplus 4(38) 4,295,429,055 8,014,211,278
Other comprehensive income 4(39) 1,750,011,571 1,957,175,481
Surplus reserve 4(40) 8,903,515,135 8,515,360,638
Undistributed profits 4(41) 2,985,840,058 8,083,048,238
Total equity attributable to
shareholders of the Company 23,185,079,805 31,820,079,621
Minority interests 9,560,790,618 11,808,648,219
Total shareholders’ equity 32,745,870,423 43,628,727,840
TOTAL LIABILITIES AND
SHAREHOLDERS’ EQUITY 114,271,451,479 99,479,773,162
The accompanying notes form an integral part of these financial statements.
Legal representative: Principal in charge of accounting: Head of accounting department:
Wang Jin Liu Wei Meng Fei
- 144 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
COMPANY BALANCE SHEET
AS AT 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
ASSETS Note 31 December 2021 31 December 2020
Current assets
Cash at bank and on hand 708,028,634 338,045,631
Accounts receivables 15(1) 192,707,778 173,029,247
Advances to suppliers 26,368,250 26,680,500
Other receivables 15(2) 415,990,566 328,224,857
Inventories 216,808,997 118,530,205
Other current assets 21,453,621 1,209,217
Total current assets 1,581,357,846 985,719,657
Non-current assets
Long-term receivables 627,000,000 467,000,000
Long-term equity investments 15(3) 36,539,978,077 28,453,042,855
Investments in other equity
instruments 3,231,228,683 3,548,088,015
Investment properties 5,754,247 6,389,845
Fixed assets 436,327,041 559,635,880
Construction in progress 1,201,126 200,574
Right-of-use assets 8,125,410 —
Intangible assets 80,670,784 81,954,649
Other non-current assets 136,500,000 208,353,879
Total non-current assets 41,066,785,368 33,324,665,697
TOTAL ASSETS 42,648,143,214 34,310,385,354
- 145 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
COMPANY BALANCE SHEET (CONT’D)
AS AT 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
TOTAL LIABILITIES AND
OWNERS’ EQUITY Note 31 December 2021 31 December 2020
Current liabilities
Short-term borrowings 2,442,508,111 1,902,013,125
Accounts payables 214,080,378 136,723,162
Contract liabilities 1,083,950 6,343,773
Employee benefits payable 105,045,040 93,479,997
Taxes payable 8,288,884 28,112,055
Other payables 2,535,329,957 40,872,386
Current portion of non-current
liabilities 125,174,953 836,189,634
Other current liabilities 1,030,040,123 3,217,281,173
Total current liabilities 6,461,551,396 6,261,015,305
Non-current liabilities
Debentures payable 8,193,949,060 1,499,542,911
Lease liabilities 4,251,838 —
Deferred income 19,992,404 29,988,606
Long-term employee benefits
payable 68,648,773 56,805,513
Deferred tax liabilities 562,112,354 621,507,946
Total non-current liabilities 8,848,954,429 2,207,844,976
Total liabilities 15,310,505,825 8,468,860,281
Shareholders' equity
Share capital 5,250,283,986 5,250,283,986
Capital surplus 4,834,039,575 5,405,326,643
Other comprehensive income 1,764,421,309 1,946,305,595
Surplus reserve 8,903,515,135 8,515,360,638
Undistributed profits 6,585,377,384 4,724,248,211
Total shareholders’ equity 27,337,637,389 25,841,525,073
TOTAL LIABILITIES AND
SHAREHOLDERS’ EQUITY 42,648,143,214 34,310,385,354
The accompanying notes form an integral part of these financial statements.
Legal representative: Principal in charge of accounting: Head of accounting department:
Wang Jin Liu Wei Meng Fei
- 146 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
CONSOLIDATED INCOME STATEMENT
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
Item Note 2021 2020
(Restated)
Revenue 4(42) 44,167,223,887 33,602,895,865
Less: Cost of sale 4(42) (46,814,800,682) (26,644,882,602)
Taxes and surcharges 4(43) (293,980,076) (305,713,780)
Selling expenses 4(44) (65,407,040) (58,905,940)
General and administrative expenses 4(45) (1,101,123,287) (1,019,221,183)
Research and development expenses 4(46) (584,714,979) (324,923,064)
Financial expenses 4(47) (1,371,365,945) (1,240,992,920)
Including: Interest expenses 1,499,997,783 1,280,509,064
Interest income 133,800,923 133,361,021
Add: Other income 4(51) 72,653,517 55,721,750
Investment income 4(52) 834,004,341 354,858,460
Including: Share of profit of associates and
joint ventures 741,825,985 289,336,338
Credit impairment (loss)/reversal 4(50) (21,767,857) 27,827
Asset impairment losses 4(49) (29,330,461) (501,980,141)
Gains on disposals of assets 4(53) 184,589,025 340,951,037
Operating (loss)/profit (5,024,019,557) 4,257,835,309
Add: Non-operating income 4(54) 139,092,875 104,562,458
Less: Non-operating expenses 4(55) (171,458,731) (114,974,255)
Total (loss)/profit (5,056,385,413) 4,247,423,512
Less: Income tax expenses 4(56) 583,690,145 (1,047,749,330)
Net (loss)/profit (4,472,695,268) 3,199,674,182
Including: Net (loss)/profit of the acquiree in a
business combination under
common control before the
combination date 5(3) (658,714,842) 559,324,501
- 147 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
CONSOLIDATED INCOME STATEMENT (CONT’D)
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
Item Note 2021 2020
(Restated)
Classified by continuity of operations
Net (loss)/profit from continuing operations (4,472,695,268) 3,199,674,182
Net profit from discontinued operations - -
Classified by ownership of the equity
Net (loss)/profit attributable to shareholders of
the Company (3,147,754,234) 2,053,909,956
Minority interests (1,324,941,034) 1,145,764,226
Other comprehensive income, net of tax (222,990,915) 281,309,856
Attributable to shareholders of the Company 4(39) (206,788,258) 281,309,856
Other comprehensive income that will not be
reclassified to profit or loss
Changes arising from remeasurement of
defined benefit plans (37,296,993) -
Share of other comprehensive income of
the investee accounted for using
equity method that will not be
reclassified to profit or loss 15,609,735 29,726,146
Changes in fair value of investments in
other equity instruments (184,768,848) 251,985,062
Other comprehensive income that will be
reclassified to profit or loss
Share of other comprehensive income of
the investee accounted for using
equity method that will be reclassified
to profit or loss (332,152) (401,352)
Attributable to minority interests (16,202,657) -
Total comprehensive income (4,695,686,183) 3,480,984,038
Attributable to shareholders of the Company (3,354,542,492) 2,335,219,812
Attributable to minority interests (1,341,143,691) 1,145,764,226
Earnings per share
Basic earnings per share (RMB Yuan) 4(57) (0.60) 0.39
Diluted earnings per share (RMB Yuan) 4(57) (0.60) 0.39
The accompanying notes form an integral part of these financial statements.
Legal representative: Principal in charge of accounting: Head of accounting department:
Wang Jin Liu Wei Meng Fei
- 148 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
COMPANY INCOME STATEMENT
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
Item Note 2021 2020
Revenue 15(4) 1,593,822,545 1,221,597,027
Less: Cost of sale 15(4) (1,911,951,135) (1,161,627,038)
Taxes and surcharges (7,710,134) (14,120,096)
Selling expenses (2,842,664) (2,949,082)
General and administrative expenses (145,466,208) (149,616,128)
Research and development expenses (20,455,799) (9,814,665)
Financial expenses (264,631,340) (212,937,750)
Including: Interest expenses 267,141,416 217,096,206
Interest income 6,119,603 5,070,493
Add: Other income 10,117,324 10,079,699
Investment income 15(5) 3,419,054,733 1,576,864,127
Including: Share of profit of associates
and joint ventures 697,838,523 230,001,917
Credit impairment reversal/(loss) 15(6) 58,102 (37,463)
Asset impairment losses 15(7) (29,321,084) (162,336,342)
Gains on disposals of assets - 157,963
Operating profit 2,640,674,340 1,095,260,252
Add: Non-operating income 242,648,802 23,324,983
Less: Non-operating expenses (2,738,153) (5,196,433)
Total profit 2,880,584,989 1,113,388,802
Less: Income tax expenses (2,319,241) (4,375,956)
Net profit 2,878,265,748 1,109,012,846
Classified by continuity of operations
Net profit from continuing operations 2,878,265,748 1,109,012,846
Net profit from discontinued operations - -
Other comprehensive income, net of tax (181,508,634) 270,162,551
Other comprehensive income that will not
be reclassified to profit or loss
Changes arising from remeasurement of
defined benefit plans (9,126,313) -
Share of other comprehensive income of
the investee accounted for using
equity method that will not be
reclassified to profit or loss 12,718,679 18,578,841
Changes in fair value of investments in
other equity instruments (184,768,848) 251,985,062
Other comprehensive income that will be
reclassified to profit or loss
Share of other comprehensive income of
the investee accounted for using
equity method that will be reclassified
to profit or loss (332,152) (401,352)
Total comprehensive income 2,696,757,114 1,379,175,397
The accompanying notes form an integral part of these financial statements.
Legal representative: Principal in charge of accounting: Head of accounting department:
Wang Jin Liu Wei Meng Fei
- 149 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
CONSOLIDATED CASH FLOW STATEMENT
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
Item Note 2021 2020
(Restated)
Cash flows from operating activities
Cash received from sale of goods or
rendering of services 48,379,830,401 36,882,332,064
Refund of taxes and surcharges 119,312,074 126,032,892
Cash received relating to other
operating activities 4(58)(a) 272,691,582 249,987,185
Sub-total of cash inflows 48,771,834,057 37,258,352,141
Cash paid for goods and services (43,630,281,266) (23,538,607,827)
Cash paid to and on behalf of
employees (2,571,733,835) (2,252,105,494)
Payments of taxes and surcharges (1,699,308,834) (2,864,098,094)
Cash paid relating to other operating
activities 4(58)(b) (910,814,133) (848,742,090)
Sub-total of cash outflows (48,812,138,068) (29,503,553,505)
Net cash flows (used in)/from
operating activities 4(59)(a) (40,304,011) 7,754,798,636
Cash flows from investing activities
Cash received from returns on
investments 388,877,407 526,863,991
Net cash received from disposals of
fixed assets, intangible assets and
other long-term assets 1,656,570,070 337,225,431
Net cash received from disposals of
subsidiaries and other business
units 2,479,531 -
Cash received relating to other
investing activities 4(58)(c) 162,478,679 33,734,619
Sub-total of cash inflows 2,210,405,687 897,824,041
Cash paid to acquire fixed assets,
intangible assets and other
long-term assets (10,732,326,573) (8,346,080,783)
Cash paid to acquire investments (343,850,820) (796,075,842)
Net cash paid to acquire subsidiaries
and other business units 4(59)(b) (76,574,154) (40,880,216)
Cash paid relating to other investing
activities 4(58)(d) (188,815,562) (150,978,073)
Sub-total of cash outflows (11,341,567,109) (9,334,014,914)
Net cash flows used in investing
activities (9,131,161,422) (8,436,190,873)
- 150 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
CONSOLIDATED CASH FLOW STATEMENT (CONT'D)
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
Item Note 2021 2020
(Restated)
Cash flows from financing activities
Cash received from capital
contributions 131,187,000 4,400,000
Including: Cash received from capital
contributions by minority
shareholders of
subsidiaries 131,187,000 4,400,000
Cash received from borrowings 32,180,925,115 24,104,314,639
Cash received from issuance of
debentures 7,192,751,240 1,499,471,698
Sub-total of cash inflows 39,504,863,355 25,608,186,337
Cash repayments of borrowings (25,537,837,322) (20,646,826,624)
Cash payments for distribution of
dividends, profits or interest
expenses (4,635,028,385) (3,017,438,398)
Including: Dividends or profits paid to
minority shareholders by
subsidiaries (1,548,524,814) (553,064,594)
Cash paid relating to other financing
activities 4(58)(e) (1,542,497,576) (204,318,526)
Sub-total of cash outflows (31,715,363,283) (23,868,583,548)
Net cash flows from financing
activities 7,789,500,072 1,739,602,789
Effect of foreign exchange rate
changes on cash and cash
equivalents (309) (27)
Net (decrease)/increase in cash and
cash equivalents 4(59)(a) (1,381,965,670) 1,058,210,525
Add: Cash and cash equivalents at
the beginning of the year 9,405,082,609 8,346,872,084
Cash and cash equivalents at the end
of the year 4(59)(c) 8,023,116,939 9,405,082,609
The accompanying notes form an integral part of these financial statements.
Legal representative: Principal in charge of accounting: Head of accounting department:
Wang Jin Liu Wei Meng Fei
- 151 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
COMPANY CASH FLOW STATEMENT
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
Item 2021 2020
Cash flows from operating activities
Cash received from sale of goods or rendering of
services 1,751,398,147 1,418,456,795
Cash received relating to other operating activities 33,327,861 37,621,882
Sub-total of cash inflows 1,784,726,008 1,456,078,677
Cash paid for goods and services (1,815,409,475) (920,870,342)
Cash paid to and on behalf of employees (318,336,325) (314,966,765)
Payments of taxes and surcharges (38,149,853) (81,690,906)
Cash paid relating to other operating activities (57,513,608) (68,583,529)
Sub-total of cash outflows (2,229,409,261) (1,386,111,542)
Net cash flows (used in)/from operating activities (444,683,253) 69,967,135
Cash flows from investing activities
Cash received from disposals of investments 240,000,000 66,460,000
Cash received from returns on investments 2,005,221,164 1,761,030,730
Net cash received from disposals of fixed assets,
intangible assets and other long-term assets 1,539,098 2,420,190
Sub-total of cash inflows 2,246,760,262 1,829,910,920
Cash paid to acquire fixed assets, intangible assets
and other long-term assets (25,572,026) (20,279,906)
Cash paid to acquire investments (2,771,449,351) (2,654,476,711)
Net cash paid to acquire the subsidiary (2,042,164,731) (49,680,900)
Sub-total of cash outflows (4,839,186,108) (2,724,437,517)
Net cash flows used in investing activities (2,592,425,846) (894,526,597)
Cash flows from financing activities
Cash received from borrowings 4,838,375,167 7,098,860,667
Cash received from issuance of debentures 6,699,600,000 1,499,471,698
Sub-total of cash inflows 11,537,975,167 8,598,332,365
Cash repayments of borrowings (7,300,000,001) (6,840,306,500)
Cash payments for distribution of dividends, profits or
interest expenses (824,679,178) (819,130,127)
Cash paid relating to other financing activities (6,524,929) (794,907)
Sub-total of cash outflows (8,131,204,108) (7,660,231,534)
Net cash flows from financing activities 3,406,771,059 938,100,831
Effect of foreign exchange rate changes on cash
and cash equivalents (309) (27)
Net increase in cash and cash equivalents 369,661,651 113,541,342
Add: Cash and cash equivalents at the beginning of
the year 338,045,631 224,504,289
Cash and cash equivalents at the end of the year 707,707,282 338,045,631
The accompanying notes form an integral part of these financial statements.
Legal representative: Principal in charge of accounting: Head of accounting department:
Wang Jin Liu Wei Meng Fei
- 152 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
CONSOLIDATED STATEMENT OF CHANGES IN SHAREHOLDERS’ EQUITY
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
Note Attributable to shareholders of the Company
Other Total
comprehensive Surplus Undistributed Minority shareholders’
Share capital Capital surplus income reserve profits interests equity
Balance at 1 January 2021 5,250,283,986 8,014,211,278 1,957,175,481 8,515,360,638 8,083,048,238 11,808,648,219 43,628,727,840
Movements for the year ended 31
December 2021
Total comprehensive income
Net loss - - - - (3,147,754,234) (1,324,941,034) (4,472,695,268)
Other comprehensive income 4(39) - - (206,788,258) - - (16,202,657) (222,990,915)
Total comprehensive income for
the year - - (206,788,258) - (3,147,754,234) (1,341,143,691) (4,695,686,183)
Capital contribution and withdrawal by
shareholders
Capital contribution by equity
owners - - - - - 249,001,517 249,001,517
Others - 19,435,795 - - - 392,809,387 412,245,182
Business combinations involving
enterprises under common control 5(3)(b) - (3,743,601,641) - - - - (3,743,601,641)
Profit distribution
Appropriation to surplus reserve 4(40) - - - 388,154,497 (388,154,497) - -
Distribution to shareholders 4(41)(b) - - - - (1,560,317,476) (1,548,524,814) (3,108,842,290)
Share of interests in associates in
proportion to the shareholding 4(38) - 5,383,623 - - - - 5,383,623
Transfer within shareholders' equity
Transfer of other comprehensive
income to retained earnings - - (375,652) - 375,652 - -
Others - - - - (1,357,625) - (1,357,625)
Balance at 31 December 2021 5,250,283,986 4,295,429,055 1,750,011,571 8,903,515,135 2,985,840,058 9,560,790,618 32,745,870,423
- 153 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
CONSOLIDATED STATEMENT OF CHANGES IN SHAREHOLDERS’ EQUITY (CONT’D)
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
Note Attributable to shareholders of the Company
Other Total
comprehensive Surplus Undistributed Minority shareholders’
Share capital Capital surplus income reserve profits interests equity
Balance at 31 December 2019 5,250,283,986 5,096,918,174 1,676,143,044 8,245,767,593 5,909,128,280 8,011,444,289 34,189,685,366
Business combinations involving
enterprises under common
control - 3,098,073,346 (277,419) - 1,050,513,006 3,182,157,171 7,330,466,104
Balance at 1 January 2020 5,250,283,986 8,194,991,520 1,675,865,625 8,245,767,593 6,959,641,286 11,193,601,460 41,520,151,470
Movements for the year ended 31
December 2020
Total comprehensive income
Net profit - - - - 2,053,909,956 1,145,764,226 3,199,674,182
Other comprehensive income 4(39) - - 281,309,856 - - - 281,309,856
Total comprehensive income for
the year - - 281,309,856 - 2,053,909,956 1,145,764,226 3,480,984,038
Capital contribution and withdrawal by
shareholders
Others - 13,874,018 - - - 22,347,127 36,221,145
Profit distribution
Appropriation to surplus reserve 4(40) - - - 269,593,045 (269,593,045) - -
Distribution to shareholders - - - - (660,909,959) (553,064,594) (1,213,974,553)
Share of interests in associates in
proportion to the shareholding 4(38) - (194,654,260) - - - - (194,654,260)
Balance at 31 December 2020 5,250,283,986 8,014,211,278 1,957,175,481 8,515,360,638 8,083,048,238 11,808,648,219 43,628,727,840
The accompanying notes form an integral part of these financial statements.
Legal representative: Principal in charge of accounting: Head of accounting department:
Wang Jin Liu Wei Meng Fei
- 154 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
COMPANY STATEMENT OF CHANGES IN SHAREHOLDERS’ EQUITY
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
Other Total
comprehensive Undistributed shareholders’
Note Share capital Capital surplus income Surplus reserve profits equity
Balance at 1 January 2021 5,250,283,986 5,405,326,643 1,946,305,595 8,515,360,638 4,724,248,211 25,841,525,073
Movements for the year ended 31
December 2021
Total comprehensive income
Net profit - - - - 2,878,265,748 2,878,265,748
Other comprehensive income - - (181,508,634) - - (181,508,634)
Total comprehensive income for
the year - - (181,508,634) - 2,878,265,748 - 2,696,757,114
Capital contribution and withdrawal by
shareholders
Capital withdrawal by
shareholders - (576,670,691) - - - (576,670,691)
Profit distribution -
Appropriation to surplus reserve 4(40) - - - 388,154,497 (388,154,497) -
Distribution to shareholders 4(41)(b) - - - - (630,034,078) (630,034,078)
Share of interests in associates in
proportion to the shareholding 4(38) - 5,383,623 - - - 5,383,623
Transfer within shareholders' equity
Transfer of other comprehensive
income to retained earnings - - (375,652) - 375,652 -
Others - - - - 676,348 676,348
Balance at 31 December 2021 5,250,283,986 4,834,039,575 1,764,421,309 8,903,515,135 6,585,377,384 27,337,637,389
- 155 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
COMPANY STATEMENT OF CHANGES IN SHAREHOLDERS’ EQUITY (CONT’D)
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
Other Total
comprehensive Undistributed shareholders’
Note Share capital Capital surplus income Surplus reserve profits equity
Balance at 1 January 2020 5,250,283,986 5,599,980,903 1,676,143,044 8,245,767,593 4,514,862,488 25,287,038,014
Movements for the year ended 31 December
2020
Total comprehensive income
Net profit - - - - 1,109,012,846 1,109,012,846
Other comprehensive income - - 270,162,551 - - 270,162,551
Total comprehensive income for the year - - 270,162,551 - 1,109,012,846 1,379,175,397
Profit distribution
Appropriation to surplus reserve 4(40) - - - 269,593,045 (269,593,045) -
Distribution to shareholders - - - - (630,034,078) (630,034,078)
Share of interests in associates in proportion to
the shareholding 4(38) - (194,654,260) - - - (194,654,260)
Balance at 31 December 2020 5,250,283,986 5,405,326,643 1,946,305,595 8,515,360,638 4,724,248,211 25,841,525,073
The accompanying notes form an integral part of these financial statements.
Legal representative: Principal in charge of accounting: Head of accounting department:
Wang Jin Liu Wei Meng Fei
- 156 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
1 General information
Guangdong Electric Power Development Co., Ltd. (“the Company”) is a limited liability company
jointly established by Guangdong Electric Power Holding Company, China Construction Bank,
Guangdong Province Trust Investment Company, Guangdong Power Development Co., Ltd.,
Guangdong International Trust and China Guangfa Bank (currently named as Guangdong
Guangkong Group Co., Ltd.). The address of the Company’s registered office and head office is
F33~F36 South Tower Building of Yudean Square on 2nd Tianhe East Road, Guangzhou,
Guangdong Province, the People’s Republic of China (“the PRC”). The Company’s parent
company is Guangdong Energy Group Co., Ltd. (“GEGC”) and its ultimate controlling shareholder
is the State-owned Assets Supervision and Administration Commission of the People’s
Government of Guangdong Province.
The Company’s RMB ordinary shares (“A-share”) and domestic listed foreign shares (“B-share”)
issued were listed for transactions in Shenzhen Stock Exchange respectively on 26 November
1993 and 28 June 1995. As at 31 December 2021, the total share capital of the Company was
RMB 5,250,283,986 with par value of RMB 1 per share.
On 8 October 2021, the Tenth Session of the Board approved the Proposal on the Acquisition of
Equity Interests in Guangdong Province Sha C Company Generation Corporation and Other
Companies during its 3rd meeting. In order to deepen the reform of mixed ownership of
state-owned enterprises, enhance the Company’s market competitiveness and anti-risk ability,
promote the gradual resolution of horizontal competition issues, promote the capital operation and
market value management of listed companies, comply with the requirements of building a new
power system, and speed up the implementation of Guangdong Electric Power's "14th five-year
Plan" development strategy, the Board of Directors agreed that the Company acquired 51% equity
interests of Guangdong Province Sha C Company Generation Corporation ("Sha C Company"),
90% equity interests of Guangdong Yudean Yunhe Power Co., Ltd. ("Yunhe Power") and 51%
equity interests of Guangdong Yuehua Power Co., Ltd. ("Yuehua Power") in cash. This equity
acquisition was reviewed and approved at the Company's 2021 Fourth Extraordinary General
Meeting on 25 October 2021, and the above-mentioned equities acquired had been completed on
30 November 2021. Since Sha C Company, Yunhe Power and Yuehua Power and the Company
are controlled by the same ultimate controlling party GEGC before the merger, these transactions
are business combinations involving enterprises under common control.
The Company and its subsidiaries (collectively referred to as “the Group”) are principally engaged
in the businesses of developing and operating electric power projects in Guangdong Province,
Yunnan Province, Hunan Province and Guangxi Zhuang Autonomous Region of the PRC. For the
information of the Company’s major subsidiaries included in the consolidation scope in the current
year, please refer to Note 6(1).
These financial statements were authorised for issue by the Company's Board of Directors on 20
April 2022.
2 Summary of significant accounting policies and accounting estimates
The Group determines specific accounting policies and accounting estimates based on the
characteristics of production and operation, which are mainly reflected in the measurement of
expected credit losses (“ECL”) of receivables and contract assets (Note 2(9)), costing of inventory
(Note 2(10)), investment properties, depreciation of fixed asset and right-of-use assets and
amortisation of intangible assets (Notes 2(12), 2(13), 2(25) and 2(16)), impairment of long-term
assets (Note 2(18)), timing of revenue recognition (Note 2(22)), deferred tax assets and deferred
tax liabilities (Note 2(24)), etc.
Details of the Group’s critical judgements, critical accounting estimates and key assumptions used
in determining significant accounting policies are set forth in Note 2(27).
- 157 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
2 Summary of significant accounting policies and accounting estimates (Cont’d)
(1) Basis of preparation
The financial statements are prepared in accordance with the Accounting Standard for Business
Enterprises - Basic Standard, and the specific accounting standards and other relevant regulations
issued by the Ministry of Finance on 15 February 2006 and in subsequent periods (hereinafter
collectively referred to as “the Accounting Standards for Business Enterprises” or “CAS”) and the
disclosure requirements in the Preparation Convention of Information Disclosure by Companies
Offering Securities to the Public No.15 – General Rules on Financial Reporting issued by the China
Securities Regulatory Commission.
According to the treatment principle of business combinations involving enterprises under common
control, the consolidated financial statements in the financial statements are those consolidated
financial statements for the year ended 31 December 2021 prepared on a recurring basis pursuant
to the equity structure which has been existed after the completion of the transaction from 1
January 2020. Please refer to Note 5(3) for details on the business combinations involving
enterprises under common control.
As at 31 December 2021, the Group’s net current liabilities amounted to RMB 14,872 million,
capital commitments amounted to RMB 23,519 million, and investment commitments amounted to
RMB 1,200 million, among which the amount expected to be settled within one year was RMB
10,749 million for capital commitments and investment commitments. Therefore, the Group is to
some extent exposed to liquidity risk. The reasons for net current liabilities were that a portion of
the Group’s capital expenditure was backed by short-term borrowings and the abnormal
fluctuations of coal prices in 2021.
As the main energy supply enterprise in Guangdong province, the Group undertakes the social
responsibilities of power supply to external parties. In response to decisions and arrangements
issued by the National Development and Reform Commission of the People’s Republic of China
("NDRC") for state-owned power generation enterprises on "ensuring adequate supply and
stabilising market prices” and "generating power as much as possible", the Group continues to
generate power to ensure supply on peak demand and makes contributions to the stability of
society and people's livelihood. In 2021, due to the abnormal fluctuations of coal prices affecting
the business operation of the Group, some subsidiaries failed to meet the requirements of gearing
ratio indicators stipulated in some borrowing contracts. The event resulted in the failure of the
subsidiaries to perform certain agreed terms of the relevant borrowing agreements, and could
trigger cross-default clauses in the borrowing contracts with certain other banks and other financial
institutions (together "non-compliance matters"). Due to such non-compliance matters, related
banks and other financial institutions have the right to require such subsidiaries to repay all the
principal and interest of relevant borrowings in advance. The balance of principal and interest of
such borrowings as at 31 December 2021 amounted to RMB 3,569 million, among them, the
amount of bank loans that failed to meet the asset-liability ratio indicators specified in the
above-mentioned contracts was RMB 2,219 million, and the amount of bank loans that might
trigger the cross-default clause in the loan contract was RMB 1,350 million. The bank loan contract
mentioned above with a maturity date after 31 December 2022 as agreed in the original contract of
RMB 1,332 million (reclassified as current portion of non-current liabilities).
In view of the above, the Board of Directors of the Company has carefully considered the Group's
future working capital, operating conditions and available financing sources when assessing the
Group's ability to continue as a going concern. The Group has formulated the following plans and
measures to reduce pressure of working capital and improve its financial position:
- 158 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
2 Summary of significant accounting policies and accounting estimates (Cont’d)
(1) Basis of preparation (Cont’d)
(i) Related subsidiaries within the Group had actively communicated with relevant banks and other
financial institutions to explain and clarify the reasons for such non-compliance matters, and
obtained written exemptions for the non-compliance matters from most banks in March 2022 with
a corresponding bank loan amount of RMB 1,879 million. The management of the relevant
subsidiaries of the Group maintained timely and smooth communication with the relevant banks on
the Company's financial position, and the banks agreed to continue to maintain credit cooperation
with the relevant subsidiaries. As at the date on which the financial statements were authorised for
issue, related banks did not require these subsidiaries to repay relevant borrowings immediately.
Management believes that these subsidiaries will not be required to prepay the borrowings early.
Based on the good long-term business relationship with major cooperative banks and financial
institutions, the Group will maintain active communication with relevant banks and believes that it
can continue to obtain necessary credit lines from related banks and financial institutions and
renew existing borrowings when necessary. As at the date on which the financial statements were
authorised for issue, the Group had renewed the borrowings or obtained new borrowings, totalling
about RMB 4,631 million in 2022.
(ii) The Group maintains good relations of long-term cooperation with financial institutions (including
the Company’s associate Guangdong Energy Group Finance Co., Ltd. (“Energy Group Finance
Company”) and Guangdong Energy Finance Leasing Company (“Energy Finance Leasing
Company”)) in order to obtain sufficient financing credit lines. As at 31 December 2021, the
Group’s available credit line and approved debt issurance from financial institutions amounted to
approximately RMB 36,078 million, with RMB 16,829 million from Energy Group Finance
Company, RMB 4,957 million from Energy Finance Leasing Company, RMB 13,692 million from
other commercial banks, and RMB 600 million of quota of medium-term notes financing obtained
after the registration in the Interbank Market in China. Among the Group’s available credit line
from financial institutions, approximately RMB 12,200 million is due before 31 December 2022.
Management has communicated with the financial institutions and hence expected the credit line
due before 31 December 2022 to renew the term for another 12 months.
(iii) The Group will actively seek more favourable long-term electricity price and will continue to
procure fuel through Guangdong Electric Power Industry Fuel Co., Ltd. (“Industry Fuel”), a
50%-owned joint venture by the Company, to give full play to its advantages in scale and seek to
effectively reduce coal procurement costs. Management believes that based on the actual trend
of coal and electricity prices as at the issue date of the financial statements and the expected
gradual implementation of relevant national regulatory policies, the coal procurement
situation is expected to improve to a certain extent and the Group's cash flows from operating
activities in 2022 are expected to improve significantly as compared to 2021.
The Board of Directors of the Company has reviewed the Group's cash flow forecasting prepared
by management covering a period of not less than 12 months from 31 December 2021. The cash
flow forecasting is based on management's judgements and assumptions regarding a number of
future events and is subject to the successful completion of a series of plans and measures
planned and being implemented by the Group, including: (1) The Group will continuously monitor
the financial indicators of its subsidiaries and improve the operation and financing structure of its
subsidiaries through various measures, including but not limited to providing financing support and
capital injection, so that the subsidiaries within the Group can continue to meet the requirements
of the borrowing agreements in foreseeable future; (2) the Group can continue to meet the
conditions of existing bank financing and obtain necessary borrowing renewals and new
borrowings, including financing from Energy Group Finance Company and Energy Finance
Leasing Company, and it can successfully conduct external financing by issuing corporate bonds,
medium-term notes, and ultra-short-term financing bonds when necessary; (3) The Group will
obtain more favourable long-term electricity price and effective adoption to lower fuel procurement
costs; and (4) the Group’s generator units under construction, especially new energy projects,
have been put into operation in recent years. It is expected that the Group can obtain stable cash
inflows from future business activities and various measures for improving operational cash flows
can be implemented smoothly. Taking into full consideration of the above measures being
implemented or planned by the Group, management believes that the Group can obtain
sufficient funds to pay its operating expenses, capital commitment within one year and repay its
matured debt obligations within the next 12 months from 31 December 2021. Therefore,
management believes that it is appropriate to prepare these financial statements on a going
- 159 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
concern basis.
2 Summary of significant accounting policies and accounting estimates
(2) Statement of compliance with the Accounting Standards for Business Enterprises
The financial statements of the Group and the Company for the year ended 31 December 2021 are
in compliance with the Accounting Standards for Business Enterprises, and truly and completely
present the consolidated and the company’s financial position of the Group and the Company as
at 31 December 2021 and their financial performance, cash flows and other information for the
year then ended.
(3) Accounting year
The Company’s accounting year starts on 1 January and ends on 31 December.
(4) Recording currency
The Company’s recording currency is Renminbi (RMB).
(5) Business combinations
(a) Business combinations involving enterprises under common control
The consideration paid and net assets obtained by the Group in a business combination are
measured at the carrying amount. If the acquiree is acquired from a third party by the ultimate
controlling party in a prior year, the consideration paid and net assets obtained by the Group are
measured based on the carrying amounts of the acquiree’s assets and liabilities (including the
goodwill arising from the acquisition of the acquiree by the ultimate controlling party) presented in
the consolidated financial statements of the ultimate controlling party. The difference between the
carrying amount of the net assets obtained from the combination and the carrying amount of the
consideration paid for the combination is treated as an adjustment to capital surplus (share
premium). If the capital surplus (share premium) is not sufficient to absorb the difference, the
remaining balance is adjusted against retained earnings. Costs directly attributable to the
combination are included in profit or loss in the period in which they are incurred. Transaction costs
associated with the issue of equity or debt securities for the business combination are included in
the initially recognised amounts of the equity or debt securities.
(b) Business combinations involving enterprises not under common control
The cost of combination and identifiable net assets obtained by the Group in a business
combination are measured at fair value at the acquisition date. Where the cost of the combination
exceeds the Group’s interest in the fair value of the acquiree’s identifiable net assets, the
difference is recognised as goodwill; where the cost of combination is lower than the Group’s
interest in the fair value of the acquiree’s identifiable net assets, the difference is recognised in
profit or loss for the current period. Costs directly attributable to the combination are included in
profit or loss in the period in which they are incurred. Transaction costs associated with the issue of
equity or debt securities for the business combination are included in the initially recognised
amounts of the equity or debt securities.
- 160 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
2 Summary of significant accounting policies and accounting estimates (Cont’d)
(6) Preparation of consolidated financial statements
The consolidated financial statements comprise the financial statements of the Company and all of
its subsidiaries.
Subsidiaries are consolidated from the date on which the Group obtains control and are
de-consolidated from the date that such control ceases. For a subsidiary that is acquired in a
business combination involving enterprises under common control, it is included in the
consolidated financial statements from the date when it, together with the Company, comes under
common control of the ultimate controlling party. The portion of the net profit realised before the
combination date is presented separately in the consolidated income statement.
In preparing the consolidated financial statements, where the accounting policies and the
accounting periods of the Company and subsidiaries are inconsistent, the financial statements of
the subsidiaries are adjusted in accordance with the accounting policies and the accounting period
of the Company. For subsidiaries acquired from business combinations involving enterprises not
under common control, the individual financial statements of the subsidiaries are adjusted based
on the fair value of the identifiable net assets at the acquisition date.
All significant intra-group balances, transactions and unrealised profits are eliminated in the
consolidated financial statements. The portion of subsidiaries’ shareholders’ equity and the portion
of subsidiaries’ net profits and losses and comprehensive incomes for the period not attributable to
the Company are recognised as minority interests, net profit or loss attributable to minority interests
and total comprehensive income attributable to minority interests, and presented separately in the
consolidated financial statements under shareholders’ equity, net profit and total comprehensive
income respectively. When the amount of loss for the current period attributable to the minority
shareholders of a subsidiary exceeds the minority shareholders’ portion of the opening balance of
owners’ equity of the subsidiary, the excess is allocated against the balance of minority interests.
Unrealised profits and losses resulting from the sale of assets by the Company to its subsidiaries
are fully eliminated against net profit attributable to owners of the parent. Unrealised profits and
losses resulting from the sale of assets by a subsidiary to the Company are eliminated and
allocated between net profit attributable to owners of the parent and net profit attributable to
minority interests in accordance with the allocation proportion of the parent in the subsidiary.
Unrealised profits and losses resulting from the sale of assets by one subsidiary to another are
eliminated and allocated between net profit attributable to owners of the parent and net profit
attributable to minority interests in accordance with the allocation proportion of the parent in the
subsidiary.
If the accounting treatment of a transaction is inconsistent in the financial statements at the Group
level and at the Company or its subsidiary level, adjustment will be made from the perspective of
the Group.
(7) Cash and cash equivalents
Cash and cash equivalents comprise cash on hand, deposits that can be readily drawn on
demand, and short-term and highly liquid investments that are readily convertible to known
amounts of cash and which are subject to an insignificant risk of changes in value.
(8) Foreign currency translation
Foreign currency transactions are translated into RMB using the exchange rates prevailing at the
dates of the transactions.
At the balance sheet date, monetary items denominated in foreign currencies are translated into
RMB using the spot exchange rates on the balance sheet date. Exchange differences arising from
these translations are recognised in profit or loss for the current period, except for those
attributable to foreign currency borrowings that have been taken out specifically for acquisition or
construction of qualifying assets, which are capitalised as part of the cost of those assets.
Non-monetary items denominated in foreign currencies that are measured at historical costs are
translated at the balance sheet date using the spot exchange rates at the date of the transactions.
The effect of exchange rate changes on cash is presented separately in the cash flow statement.
- 161 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
2 Summary of significant accounting policies and accounting estimates (Cont’d)
(9) Financial instruments
A financial instrument is any contract that gives rise to a financial asset of one entity and a financial
liability or equity instrument of another entity. A financial asset or a financial liability is recognised
when the Group becomes a party to the contractual provisions of the instrument.
(a) Financial assets
(i) Classification and measurement
Based on the Group’s business model for managing the financial assets and the contractual cash
flow characteristics of the financial assets, financial assets are classified as: (1) financial assets at
amortised cost; (2) financial assets at fair value through other comprehensive income; (3) financial
assets at fair value through profit or loss.
At initial recognition, the financial assets are measured at fair value. Transaction costs that are
incremental and directly attributable to the acquisition of the financial assets are included in the
initially recognised amounts, except for the financial assets at fair value through profit or loss, the
related transaction costs of which are expensed in profit or loss for the current period. Accounts
receivables arising from sale of products or rendering of services (excluding or without regard to
significant financing components) are initially recognised at the consideration that is entitled to be
received by the Group as expected.
Debt instruments
The debt instruments held by the Group refer to the instruments that meet the definition of financial
liabilities from the perspective of the issuer, and are measured in the following categories:
Measured at amortised cost:
The objective of the Group’s business model is to hold the financial assets to collect the
contractual cash flows, and the contractual cash flow characteristics are consistent with a basic
lending arrangement, which gives rise on specified dates to the contractual cash flows that are
solely payments of principal and interest on the principal amount outstanding. The interest income
of such financial assets is recognised using the effective interest method. Such financial assets
mainly comprise cash at bank and on hand, notes receivables, accounts receivables, other
receivables, and long-term receivables, etc. Long-term receivables that are due within one year
(inclusive) as from the balance sheet date are included in the current portion of non-current assets.
Equity instruments
Investments in equity instruments, over which the Group has no control, joint control or significant
influence, are measured at fair value through profit or loss under financial assets held for trading.
In addition, at initial recognition, a portion of certain investments in equity instruments not held for
trading are designated as financial assets at fair value through other comprehensive income under
other investments in equity instruments. The relevant dividend income of such financial assets is
recognised in profit or loss for the current period.
- 162 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
2 Summary of significant accounting policies and accounting estimates (Cont’d)
(9) Financial instruments (Cont’d)
(a) Financial assets (Cont’d)
(ii) Impairment
The Group recognises the loss provision on the basis of the ECL for financial assets and contract
assets measured at amortised cost.
Giving consideration to reasonable and supportable information that is available without undue
cost or effort at the balance sheet date on past events, current conditions and forecasts of future
economic conditions weighted by the probability of default, the Group recognises the ECL as the
probability-weighted amount of the present value of the difference between the cash flows
receivable from the contract and the cash flows expected to collect.
At each balance sheet date, the ECL of financial instruments at different stages is measured
respectively. 12-month ECL is recognised for financial instruments in Stage 1 which don’t have a
significant increase in credit risk since initial recognition; lifetime ECL is recognised for financial
instruments in Stage 2 which have had a significant increase in credit risk since initial recognition
but are not deemed to be credit-impaired; and lifetime ECL is recognised for financial instruments
in Stage 3 that are credit-impaired.
For the financial instruments with low credit risk as at the balance sheet date, the Group assumes
there is no significant increase in credit risk since initial recognition. The Group determines them
as the financial instruments in Stage 1 and recognises the 12-month ECL.
For the financial instruments in Stage 1 and Stage 2, the interest income is calculated by applying
the effective interest rate to the book balance (before net of ECL provision). For the financial
instrument in Stage 3, the interest income is calculated by applying the effective interest rate to the
amortised cost (net of ECL provision).
For accounts receivables and contract assets arising from sale of goods and rendering of services
in the ordinary course of operating activities, the Group recognises the lifetime ECL regardless of
whether there exists a significant financing component.
In case the ECL of an individually assessed financial asset cannot be evaluated with reasonable
cost, the Group classifies the receivables into certain groups on the basis of shared risk
characteristics, and calculates the ECL for each group respectively. Basis for determining groups
and method for provision are as follows:
Group 1 of notes receivables Commercial notes receivable
Group 1 of accounts receivables Receivables from sale of electricity
Group 2 of accounts receivables Receivables from related parties
Group 3 of accounts receivables Receivables from sale of steam and others
Group 1 of contract assets Receivables from related parties
Group 2 of contract assets Other contract assets
Receivables from business units, reserves
Group 1 of other receivables receivable and other receivables
- 163 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
2 Summary of significant accounting policies and accounting estimates (Cont’d)
(9) Financial instruments (Cont’d)
(a) Financial assets (Cont’d)
(ii) Impairment (Cont’d)
For accounts receivables that are classified into groups, the Group prepares a comparison table of
the overdue days of receivables and the lifetime ECL rate, and calculates ECL with reference to
the historical credit loss experience, the current situation and the forecast of future economic
conditions. For other receivables that are classified into groups, the Group calculates the ECL with
reference to historical credit loss experience, current conditions and forecasts of future economic
conditions, and based on the exposure at default and the 12-month or lifetime ECL rates.
The Group recognises the loss provision made or reversed into profit or loss for the current period.
(iii) Derecognition
A financial asset is derecognised when one of the following criteria is satisfied: (i) the contractual
rights to receive the cash flows from the financial asset are expired, (ii) the financial asset has been
transferred and the Group transfers substantially all the risks and rewards of ownership of the
financial asset to the transferee, or (iii) the financial asset has been transferred and the Group has
not retained control of the financial asset, although the Group neither transfers nor retains
substantially all the risks and rewards of ownership of the financial asset.
When a financial asset is derecognised, the difference between the carrying amount and the
consideration received as well as the cumulative changes in fair value that are previously
recognised directly in other comprehensive income is recognised in profit or loss for the current
period, except for those measured at fair value through other comprehensive income, the
difference aforementioned is recognised in retained earnings instead.
(b) Financial liabilities
Financial liabilities are classified as financial liabilities at amortised cost and financial liabilities at
fair value through profit or loss at initial recognition.
Financial liabilities of the Group mainly comprise financial liabilities at amortised cost, including
notes payables, accounts payables, other payables, borrowings and debentures payable, etc.
Such financial liabilities are initially recognised at fair value, net of transaction costs incurred, and
subsequently measured using the effective interest method. Financial liabilities with maturities of
no more than one year (inclusive) are presented as current liabilities, and those with maturities of
over one year but due within one year (inclusive) as from the balance sheet date are presented as
current portion of non-current liabilities; and others are presented as non-current liabilities.
- 164 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
2 Summary of significant accounting policies and accounting estimates (Cont’d)
(9) Financial instruments (Cont’d)
(b) Financial liabilities (Cont’d)
A financial liability is derecognised or partly derecognised when the underlying present obligation is
discharged or partly discharged. The difference between the carrying amount of the derecognised
part of the financial liability and the consideration paid is recognised in profit or loss for the current
period.
(c) Determination of fair value of financial instruments
The fair value of a financial instrument that is traded in an active market is determined at the
quoted price in the active market. The fair value of a financial instrument that is not traded in an
active market is determined by using a valuation technique. In valuation, the Group adopts
valuation techniques applicable in the current situation and supported by adequate available data
and other information, selects inputs with the same characteristics as those of assets or liabilities
considered in relevant transactions of assets or liabilities by market participants, and gives priority
to the use of relevant observable inputs. When relevant observable inputs are not available or
feasible, unobservable inputs are adopted.
(10) Inventories
(a) Classification
Inventories mainly comprise fuel and spare parts, and are measured at the lower of cost and net
realisable value.
(b) Valuation of inventories
Cost of fuel is calculated using the weighted average method. Spare parts are amortised in full
amount when issued for use.
(c) Basis for determining net realisable values of inventories and method for making provision for
decline in the value of inventories
Provision for decline in the value of inventories is determined at the excess amount of the carrying
amount of the inventories over their net realisable value. Net realisable value is determined based
on the estimated selling price in the ordinary course of business, less the estimated costs
necessary to make the sale and related taxes.
(d) The Group adopts the perpetual inventory system.
(e) Amortisation methods of low-value consumables
Low value consumables are amortised in full amount.
- 165 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
2 Summary of significant accounting policies and accounting estimates (Cont’d)
(11) Long-term equity investments
Long-term equity investments comprise the Company’s long-term equity investments in its
subsidiaries, and the Group’s long-term equity investments in its joint ventures and associates.
Subsidiaries are the investees over which the Company is able to exercise control. A joint venture
is a joint arrangement which is structured through a separate vehicle over which the Group has
joint control together with other parties and only has rights to the net assets of the arrangement
based on legal forms, contractual terms and other facts and circumstances. An associate is an
investee over which the Group has significant influence on its financial and operating policy
decisions.
Investments in subsidiaries are presented in the Company’s financial statements using the cost
method, and are adjusted to the equity method when preparing the consolidated financial
statements. Investments in joint ventures and associates are accounted for using the equity
method.
(a) Determination of investment cost
For long-term equity investments acquired through a business combination involving enterprises
under common control, the investment cost shall be the absorbing party’s share of the carrying
amount of owners’ equity of the party being absorbed in the consolidated financial statements of
the ultimate controlling party at the combination date; for long-term equity investments acquired
through a business combination involving enterprises not under common control, the investment
cost shall be the combination cost.
For long-term equity investments acquired not through a business combination: for long-term
equity investments acquired by payment in cash, the initial investment cost shall be the purchase
price actually paid; for long-term equity investments acquired by issuing equity securities, the initial
investment cost shall be the fair value of the equity securities issued.
(b) Subsequent measurement and recognition of profit or loss
Long-term equity investments accounted for using the cost method are measured at initial
investment cost. Cash dividend or profit distribution declared by the investees is recognised as
investment income in profit or loss for the current period.
For long-term equity investments accounted for using the equity method, where the initial
investment cost exceeds the Group’s share of the fair value of the investee’s identifiable net assets
at the time of acquisition, the investment is initially measured at that cost; where the initial
investment cost is less than the Group’s share of the fair value of the investee’s identifiable net
assets at the time of acquisition, the difference is included in profit or loss for the current period and
the cost of the long-term equity investment is adjusted upwards accordingly.
For long-term equity investments accounted for using the equity method, the Group recognises the
investment income according to its share of net profit or loss of the investee. The Group does not
recognise further losses when the carrying amount of the long-term equity investment together with
any long-term interests that, in substance, form part of the Group’s net investment in the investee
is reduced to zero. However, if the Group has obligations for additional losses and the criteria with
respect to recognition of provisions are satisfied, the Group continues recognising the investment
losses and the provisions at the amount it expects to undertake. The Group’s share of changes in
the investee’s owners’ equity other than those arising from the net profit or loss, other
comprehensive income and profit distribution is recognised in capital surplus with a corresponding
adjustment to the carrying amount of the long-term equity investment. The carrying amount of the
investment is reduced by the Group’s share of the profit distribution or cash dividends declared by
the investee. Unrealised gains or losses on transactions between the Group and its investees are
eliminated to the extent of the Group’s equity interest in the investees, based on which the
investment income or losses are recognised. Any losses resulting from transactions between the
Group and its investees, which are attributable to asset impairment losses are not eliminated.
- 166 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
2 Summary of significant accounting policies and accounting estimates (Cont’d)
(11) Long-term equity investments (Cont’d)
(c) Basis for determining existence of control, joint control or significant influence over investees
Control is the power over investees that can bring variable returns through involvement in related
activities of investees and the ability to influence the returns by using such power over investees.
Joint control is the agreed sharing of control over an arrangement, and the decision of activities
relating to such arrangement requires the unanimous consent of the Group and other parties
sharing control.
Significant influence is the power to participate in making the decisions on financial and operating
policies of the investee, but is not control or joint control over making those policies.
(d) Impairment of long-term equity investments
The carrying amounts of long-term equity investments in subsidiaries, joint ventures and
associates are reduced to the recoverable amounts when the recoverable amounts are below their
carrying amounts (Note 2(18)).
(12) Investment properties
Investment properties, including land use rights that have already been leased out and buildings
that are held for the purpose of leasing, are measured initially at cost. Subsequent expenditures
incurred in relation to an investment property are included in the cost of the investment property
when it is probable that the associated economic benefits will flow to the Group and their costs can
be reliably measured; otherwise, the expenditures are recognised in profit or loss for the period in
which they are incurred.
The Group adopts the cost model for subsequent measurement of investment properties.
Buildings and land use rights are depreciated or amortised to their estimated net residual values
over their estimated useful lives. The estimated useful lives, the net residual values that are
expressed as a percentage of cost and the annual depreciation (amortisation) rates of investment
properties are as follows:
Estimated useful Estimated net Annual depreciation
lives residual values (amortisation) rates
Buildings 20 to 40 years 0% to 5% 2.38% to 4.75%
Land use rights 60 years 0% 1.67%
The investment property’s estimated useful life, estimated net residual value and depreciation
(amortisation) method applied are reviewed and adjusted as appropriate at each year-end.
When an investment property is transferred to owner-occupied property, it is reclassified to fixed
asset and intangible assets with the carrying amounts determined at the carrying amounts of the
investment property at the date of the transfer.
- 167 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
2 Summary of significant accounting policies and accounting estimates (Cont’d)
(12) Investment properties (Cont’d)
An investment property is derecognised on disposal or when the investment property is permanently
withdrawn from use and no future economic benefits are expected from its disposal. The net amount
of proceeds from sale, transfer, retirement or damage of an investment property after its carrying
amount and related taxes and expenses is recognised in profit or loss for the current period.
The carrying amount of an investment property is reduced to the recoverable amount if the
recoverable amount is below the carrying amount (Note 2(18)).
(13) Fixed assets
(a) Recognition and initial measurement of fixed assets
Fixed assets comprise buildings, power generation equipment, motor vehicles, and other
equipment.
Fixed assets are recognised when it is probable that the related economic benefits will flow into the
Group and the costs can be reliably measured. Fixed assets purchased or constructed by the Group
are initially measured at cost at the time of acquisition. The fixed assets contributed by the State
shareholders at the reorganisation of the Company into a corporation entity are recognised based
on the evaluated amounts approved by the state-owned assets administration department.
Subsequent expenditures incurred for a fixed asset are included in the cost of the fixed asset when
it is probable that the associated economic benefits will flow to the Group and the related cost can
be reliably measured. The carrying amount of the replaced part is derecognised. All the other
subsequent expenditures are recognised in profit or loss for the period in which they are incurred.
(b) Depreciation methods for fixed assets
Fixed assets are depreciated using the straight-line method to allocate the cost of the assets to their
estimated net residual values over their estimated useful lives. For the fixed assets that have been
provided for impairment loss, the related depreciation charge is prospectively determined based
upon the adjusted carrying amounts over their remaining useful lives.
The estimated useful lives, the estimated net residual values expressed as a percentage of cost and
the annual depreciation rates of fixed assets are as follows:
Estimated useful Estimated net Annual depreciation
lives residual values rates
Buildings 10 to 50 years 0% to 5% 1.90% to 9.50%
Power generation
equipment 5 to 35 years 0% to 5% 2.71% to 20.00%
Motor vehicles 5 to 15 years 0% to 5% 6.33% to 20.00%
Other equipment 5 to 22 years 0% to 5% 4.32% to 20.00%
The estimated useful life and the estimated net residual value of a fixed asset and the depreciation
method applied to the asset are reviewed, and adjusted as appropriate at each year-end.
- 168 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
2 Summary of significant accounting policies and accounting estimates (Cont’d)
(13) Fixed assets (Cont’d)
(c) The carrying amounts of fixed assets are reduced to the recoverable amounts when the recoverable
amounts are below their carrying amounts (Note 2(18)).
(d) Disposals of fixed assets
A fixed asset is derecognised on disposal or when no future economic benefits are expected from its
use or disposal. The amount of proceeds from disposals on sale, transfer, retirement or damage of a
fixed asset net of its carrying amount and related taxes and expenses is recognised in profit or loss
for the current period.
(14) Construction in progress
Construction in progress is measured at actual cost. Actual cost comprises construction costs,
installation costs, borrowing costs that are eligible for capitalisation and other costs necessary to
bring the construction in progress ready for its intended use. Construction in progress is transferred
to fixed assets when the asset is ready for its intended use, and depreciation is charged starting
from the following month. The carrying amount of construction in progress is reduced to the
recoverable amount when the recoverable amount is below its carrying amount (Note 2(18)).
(15) Borrowing costs
The borrowing costs that are directly attributable to acquisition and construction of an asset that
needs a substantially long period of time for its intended use commence to be capitalised and
recorded as part of the cost of the asset when expenditures for the asset and borrowing costs have
been incurred, and the activities relating to the acquisition and construction that are necessary to
prepare the asset for its intended use have commenced. The capitalisation of borrowing costs
ceases when the asset under acquisition or construction becomes ready for its intended use and the
borrowing costs incurred thereafter are recognised in profit or loss for the current period.
Capitalisation of borrowing costs is suspended during periods in which the acquisition or
construction of an asset is interrupted abnormally and the interruption lasts for more than 3 months,
until the acquisition or construction is resumed.
For special borrowings for the acquisition and construction of qualifying assets, the capitalised
amount of the special borrowings is determined by the interest expenses incurred in the period less
interest income of the unused borrowings deposited at bank or investment income from temporary
investment.
- 169 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
2 Summary of significant accounting policies and accounting estimates (Cont’d)
(15) Borrowing costs (Cont'd)
The capitalised amount of general borrowings intended to be used for the acquisition and
construction of qualifying assets is determined by the weighted average of the excess of
accumulated capital expenditure over capital expenditure of the special borrowings multiplied by
the weighted average effective interest rate of the utilised general borrowings. The effective interest
rate is the rate at which the future cash flows of the borrowings over the expected lifetime or a
shorter applicable period are discounted into the initial recognised amount of the borrowings.
(16) Intangible assets
Intangible assets include land use rights, sea use rights and software, and are measured at cost.
The intangible assets contributed by the state-owned shareholders upon the reorganisation of the
Group into a corporation and favorable contract are recognised based on the evaluated amounts
as approved by the state-owned assets administration department.
(a) Land use rights and sea use rights
Land use rights are amortised on the straight-line basis over their approved use period of 20 to 70
years. If the acquisition costs of the land use rights and the buildings located thereon cannot be
reasonably allocated between the land use rights and the buildings, all of the acquisition costs are
recognised as fixed assets. Allotted land with undetermined useful lives is not amortised.
Sea use rights are amortised on the straight-line basis over their approved use period of 50 years.
(b) Other intangible assets
Intangible assets other than land use rights and sea use rights are amortised on a
straight-line-basis over the expected useful lives of 2 to 60 years.
(c) Periodical review of useful life and amortisation method
For an intangible asset with a finite useful life, review of its useful life and amortisation method is
performed at each year-end, with adjustment made as appropriate.
- 170 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
2 Summary of significant accounting policies and accounting estimates (Cont’d)
(16) Intangible assets (Cont’d)
(d) Research and development
The expenditure on an internal research and development project is classified into expenditure on
the research phase and expenditure on the development phase based on its nature and whether
there is material uncertainty that the research and development activities can form an intangible
asset at the end of the project.
Expenditure on the research phase is recognised in profit or loss in the period in which it is
incurred. Expenditure on the development phase is capitalised only if all of the following conditions
are satisfied:
management intends to complete the intangible asset, and use or sell it;
it can be demonstrated how the intangible asset will generate economic benefits: products with
the application of intangible assets or the intangible assets themselves can prove to have
market value, intangible assets for internal use application can prove to be of usefulness;
there are adequate technical, financial and other resources to complete the development and
the ability to use or sell the intangible asset;
it is technically feasible to complete the intangible asset so that it will be available for use or
sale;
the expenditure attributable to the intangible asset during its development phase can be
reliably measured.
Other development expenditures that do not meet the conditions above are recognised in profit or
loss in the period in which they are incurred. Development costs previously recognised as
expenses are not recognised as an asset in a subsequent period. Capitalised expenditure on the
development phase is presented as development costs in the balance sheet and transferred to
intangible assets at the date that the asset is ready for its intended use.
(e) Impairment of intangible assets
The carrying amount of intangible assets is reduced to the recoverable amount when the
recoverable amount is below the carrying amount (Note 2(18)).
(17) Long-term prepaid expenses
Long-term prepaid expenses include the expenditure for improvements to right-of-use assets, and
other expenditures that have been incurred but should be recognised as expenses over more than
one year in the current and subsequent periods. Long-term prepaid expenses are amortised on the
straight-line basis over the expected beneficial period and are presented at actual expenditure net
of accumulated amortisation.
- 171 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
2 Summary of significant accounting policies and accounting estimates (Cont’d)
(18) Impairment of long-term assets
Fixed assets, construction in progress, right-of-use assets, intangible assets with finite useful lives,
investment properties that are measured at cost and long-term equity investments in subsidiaries,
joint ventures and associates are tested for impairment if there is any indication that the assets may
be impaired at the balance sheet date. If the result of the impairment test indicates that the
recoverable amount of an asset is less than its carrying amount, a provision for impairment and an
impairment loss are recognised for the amount by which the asset’s carrying amount exceeds its
recoverable amount. The recoverable amount of an asset is the higher of the fair value less costs to
sell and the present value of the future cash flows expected to be derived from it. Provision for
asset impairment is determined and recognised on the individual asset basis. If it is not possible to
estimate the recoverable amount of an individual asset, the recoverable amount of a group of
assets to which the asset belongs is determined. A group of assets is the smallest group of assets
that is able to generate independent cash inflows.
Goodwill that is separately presented in the financial statements is tested at least annually for
impairment, irrespective of whether there is any indication that it may be impaired. In conducting
the test, the carrying amount of goodwill is allocated to the related asset groups or groups of asset
groups which are expected to benefit from the synergies of the business combination. If the result
of the test indicates that the recoverable amount of an asset group or a group of asset groups,
including the allocated goodwill, is lower than its carrying amount, the corresponding impairment
loss is recognised. The impairment loss is first deducted from the carrying amount of goodwill that
is allocated to the asset group or group of asset groups, and then deducted from the carrying
amounts of other assets within the asset group or group of asset groups in proportion to the
carrying amounts of assets other than goodwill.
Once the above asset impairment loss is recognised, it will not be reversed for the value recovered
in the subsequent periods.
(19) Employee benefits
Employee benefits refer to all forms of consideration or compensation given by the Group in
exchange for service rendered by employees or for termination of employment relationship, which
include short-term employee benefits, post-employment benefits, termination benefits and other
long-term employee benefits.
(a) Short-term employee benefits
Short-term employee benefits include wages or salaries, bonus, allowances and subsidies, staff
welfare, premiums or contributions on medical insurance, work injury insurance and maternity
insurance, housing funds, union running costs and employee education costs and short-term paid
absences, etc. The short-term employee benefits actually occurred are recognised as a liability in
the accounting period in which the service is rendered by the employees, with a corresponding
charge to the profit or loss for the current period or the cost of relevant assets. Non-monetary
benefits are measured at fair value.
(b) Post-employment benefits
The Group classifies post-employment benefit plans as either defined contribution plans or defined
benefit plans. Defined contribution plans are post-employment benefit plans under which the Group
pays fixed contributions into a separate fund and will have no obligation to pay further contributions;
and defined benefit plans are post-employment benefit plans other than defined contribution plans.
During the reporting period, the Group's post-employment benefits mainly include basic pensions,
unemployment insurance and supplementary pensions, and all of them belong to the defined
contribution plans; non-planned expenses provided to retired employees fall under defined benefit
plans.
- 172 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
- 173 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
2 Summary of significant accounting policies and accounting estimates (Cont’d)
(19) Employee benefits (Cont'd)
(b) Post-employment benefits (Cont'd)
Basic pensions
The Group’s employees participate in the basic pension plan set up and administered by local
authorities of Ministry of Human Resource and Social Security. Monthly payments of premiums on
the basic pensions are calculated according to the bases and percentage prescribed by the
relevant local authorities. When employees retire, the relevant local authorities are obliged to pay
the basic pensions to them.
Supplementary pensions
The Group purchases supplementary pensions for employees, and pays insurance premium
according to the policies of the parent company, GEGC.
The amounts based on the above calculations are recognised as liabilities in the accounting period
in which the service has been rendered by the employees, with a corresponding charge to the profit
or loss for the current period or the cost of relevant assets.
Defined benefit plan
For defined benefit plan, the Group uses the projected unit credit method and includes the
obligation of the defined benefit plan in the accounting period in which the service has been
rendered by the employees, with a corresponding charge to the profit or loss for the period. The
cost of employee benefits arising from defined benefit plans are classified into the following parts:
— service cost (including current service cost as well as gains and losses on curtailments and
settlements);
— net interest expenses on net liabilities of the defined benefit plan (including interest expenses
for obligations of the defined benefit plan); and
— Changes arising from remeasurement on net liabilities of defined benefit plans
Service cost and net interest expenses on net liabilities of defined benefit plans are included in
profit or loss for the current period. Changes arising from remeasurement on net liabilities of
defined benefit plans (including actuarial gains or losses) are included in other comprehensive
income.
- 174 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
2 Summary of significant accounting policies and accounting estimates (Cont’d)
(19) Employee benefits (Cont'd)
(c) Termination benefits
The Group provides compensation for terminating the employment relationship with employees
before the end of the employment contracts or as an offer to encourage employees to accept
voluntary redundancy before the end of the employment contracts. The Group recognises a
liability arising from compensation for termination of the employment relationship with employees,
with a corresponding charge to profit or loss for the current period at the earlier of the following
dates: 1) when the Group cannot unilaterally withdraw an employment termination plan or a
curtailment proposal; 2) when the Group recognises costs or expenses for a restructuring that
involves the payment of termination benefits.
Early retirement benefits
The Group offers early retirement benefits to those employees who accept early retirement
arrangements. The early retirement benefits refer to the salaries and social security contributions to
be paid to and for the employees who accept voluntary retirement before the normal retirement
date prescribed by the State, as approved by the management. The Group pays early retirement
benefits to those early retired employees from the early retirement date until the normal retirement
date. The Group accounts for the early retirement benefits in accordance with the treatment for
termination benefits, in which the salaries and social security contributions to be paid to and for the
early retired employees from the off-duty date to the normal retirement date are recognised as
liabilities with a corresponding charge to the profit or loss for the current period. The differences
arising from the changes in the respective actuarial assumptions of the early retirement benefits
and the adjustments of benefit standards are recognised in profit or loss in the period in which they
occur.
The termination benefits expected to be settled within one year since the balance sheet date are
classified as employee benefits payable.
(20) Dividend distribution
Cash dividends are recognised as liabilities in the period in which the dividends are approved by
the shareholders’ meeting.
(21) Provisions
Provisions for product warranties and onerous contracts, etc. are recognised when the Group has a
present obligation, it is probable that an outflow of economic benefits will be required to settle the
obligation, and the amount of the obligation can be measured reliably.
A provision is initially measured at the best estimate of the expenditure required to settle the
related present obligation. Factors surrounding a contingency, such as the risks, uncertainties and
the time value of money, are taken into account as a whole in reaching the best estimate of a
provision. Where the effect of the time value of money is material, the best estimate is determined
by discounting the related future cash outflows. The increase in the discounted amount of the
provision arising from passage of time is recognised as interest expense.
The carrying amount of provisions is reviewed at each balance sheet date and adjusted to reflect
the current best estimate.
Loss provision for financial guarantee contracts which are recognised on the basis of ECL are
presented as provisions.
- 175 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
The provisions expected to be settled within one year since the balance sheet date are classified
as current liabilities.
- 176 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
2 Summary of significant accounting policies and accounting estimates (Cont’d)
(22) Revenue recognition
The Group recognises revenue at the amount of the consideration which the Group expects to be
entitled to receive when the customer obtains control over relevant goods or services.
(a) Revenue from sale of electricity and heat energy
Revenue is recognised when electricity and heat energy are supplied to grid companies or
customers, and they obtain control over electricity.
(b) Revenue from sale of by-products
Revenue from the sale of goods is recognised when the Group transfers by-products (such as coal
ash) produced by electricity generations to the designated delivery place pursuant to the contract
or agreement, the resource utilisation enterprise confirms receipt and obtains control over the
by-products.
(c) Provision of electric power transaction service
For the electric power transaction service provided by the Group to external parties, upon the
receipt of the service, revenue is recognised based on the difference between the purchase price
and the selling price of electricity.
(d) Rendering of services
The Group provides maintenance services to external parties. The related revenue is recognised
based on the stage of completion within a certain period, which is determined based on proportion
of costs incurred to date to the estimated total costs. On the balance sheet date, the Group
re-estimates the stage of completion to reflect the actual status of contract fulfilment.
When the Group recognises revenue based on the stage of completion, the amount with
unconditional collection right obtained by the Group is recognised as accounts receivables, and
the rest is recognised as contract assets. Meanwhile, loss provisions for accounts receivables and
contract assets are recognised on the basis of ECL (Note 2(9)). If the contract price received or
receivable exceeds the amount for the completed service, the excess portion will be recognised as
contract liabilities. Contract assets and contract liabilities under the same contract are presented
on a net basis.
Contract costs include contract fulfilment costs and contract acquisition costs. Costs incurred for
provision of maintenance services are recognised as contract fulfilment costs, which is recognised
as the cost of sale of main operations based on the stage of completion when recognising revenue.
- 177 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
2 Summary of significant accounting policies and accounting estimates (Cont’d)
(23) Government grants
Government grants refer to the monetary or non-monetary assets obtained by the Group from the
government, including tax return and financial subsidy, etc.
Government grants are recognised when the grants can be received and the Group can comply
with all attached conditions. If a government grant is a monetary asset, it will be measured at the
amount received or receivable. If a government grant is a non-monetary asset, it will be measured
at its fair value. If it is unable to obtain its fair value reliably, it will be measured at its nominal
amount.
Government grants related to assets refer to government grants which are obtained by the Group
for the purposes of purchase, construction or acquisition of the long-term assets. Government
grants related to income refer to the government grants other than those related to assets.
Government grants related to assets are recorded as deferred income and recognised in profit or
loss on a reasonable and systemic basis over the useful lives of the assets.
Government grants related to daily operation that compensate future costs, expenses or losses are
recorded as deferred income and recognised in profit or loss in reporting the related costs,
expenses or losses; government grants related to income that compensate incurred costs,
expenses or losses are recognised in profit or loss directly in the current period. For other
government grants related to income that compensate the future costs, expenses or losses are
recorded as deferred income and deducted against related costs in reporting the related costs,
expenses or losses; government grants related to income that compensate the incurred costs,
expenses or losses are deducted against related costs.
The Group applies the presentation method consistently to the similar government grants in the
financial statements.
Government grants that are related to ordinary activities are included in operating profit, otherwise,
they are recorded in non-operating income or expenses.
- 178 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
2 Summary of significant accounting policies and accounting estimates (Cont’d)
(24) Deferred tax assets and deferred tax liabilities
Deferred tax assets and deferred tax liabilities are calculated and recognised based on the
differences arising between the tax bases of assets and liabilities and their carrying amounts
(temporary differences). Deferred tax asset is recognised for the deductible losses that can be
carried forward to subsequent years for deduction of the taxable profit in accordance with the tax
laws. No deferred tax liability is recognised for a temporary difference arising from the initial
recognition of goodwill. No deferred tax asset or deferred tax liability is recognised for a temporary
difference arising from the initial recognition of assets or liabilities due to a transaction other than a
business combination, which affects neither accounting profit nor taxable profit (or deductible loss).
At the balance sheet date, deferred tax assets and deferred tax liabilities are measured at the tax
rates that are expected to apply to the period when the asset is realised or the liability is settled.
Deferred tax assets are only recognised for deductible temporary differences, deductible losses
and tax credits to the extent that it is probable that taxable profit will be available in the future
against which the deductible temporary differences, deductible losses and tax credits can be
utilised.
Deferred tax liabilities are recognised for temporary differences arising from investments in
subsidiaries, associates and joint ventures, except where the Group is able to control the timing of
reversal of the temporary differences, and it is probable that the temporary differences will not be
reversed in the foreseeable future. When it is probable that the temporary differences arising from
investments in subsidiaries, associates and joint ventures will be reversed in the foreseeable future
and that the taxable profit will be available in the future against which the temporary differences
can be utilised, the corresponding deferred tax assets are recognised.
Deferred tax assets and liabilities are offset when:
the deferred tax assets and liabilities are related to the same taxpayer within the Group and the
same taxation authority; and,
that taxpayer within the Group has a legally enforceable right to offset current tax assets
against current tax liabilities.
- 179 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
2 Summary of significant accounting policies and accounting estimates (Cont’d)
(25) Leases
A contract is, or contains, a lease if the contract conveys the right to control the use of an identified
asset for a period of time in exchange for consideration.
The Group as the lessee
At the lease commencement date, the Group recognises the right-of-use asset and measures the
lease liability at the present value of the lease payments that are not paid at that date. Lease
payments include fixed payments, the exercise price of a purchase option or termination penalty if
the lessee is reasonably certain to exercise that option etc. Variable lease payments in proportion
to sales are excluded from lease payments and recognised in profit or loss as incurred. Lease
liabilities that are due within one year (inclusive) as from the balance sheet date are included in
the current portion of non-current liabilities.
Right-of-use assets of the Group comprise leased buildings, machinery and equipment, motor
vehicles, etc. Right-of-use assets are measured initially at cost which comprises the amount of the
initial measurement of lease liabilities, any lease payments made at or before the commencement
date and any initial direct costs, less any lease incentives received. If there is reasonable certainty
that the Group will obtain ownership of the underlying asset by the end of the lease term, the asset
is depreciated over its remaining useful life; otherwise, the asset is depreciated over the shorter of
the lease term and its remaining useful life. The carrying amount of the right-of-use asset is
reduced to the recoverable amount when the recoverable amount is below the carrying amount.
For short-term leases with a term of 12 months or less and leases of an individual asset (when
new) of low value, the Group chooses to include the lease payments in the cost of the underlying
assets or in the profit or loss for the current period on a straight-line basis over the lease term,
instead of recognising right-of-use assets and lease liabilities.
The Group accounts for a lease modification as a separate lease if both: (1) the modification
increases the scope of the lease by adding the right to use one or more underlying assets; (2) the
consideration for the lease increases by an amount commensurate with the stand-alone price for
the increase in scope and any appropriate adjustments to that stand-alone price to reflect the
circumstances of the contract.
For a lease modification that is not accounted for as a separate lease, the Group redetermines the
lease term at the effective date of the lease modification, and remeasures the lease liability by
discounting the revised lease payments using a revised discount rate, except that the contract
changes directly resulting from COVID-19 are accounted for by applying the practical expedient.
For a lease modification which decreases the scope of the lease or shortens the lease term, the
Group decreases the carrying amount of the right-of-use asset, and recognises in profit or loss
any gain or loss relating to the partial or full termination of the lease. For other lease modifications
which lead to the remeasurement of lease liabilities, the Group correspondingly adjusts the
carrying amount of the right-of-use asset.
- 180 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
2 Summary of significant accounting policies and accounting estimates (Cont’d)
(25) Leases (Cont'd)
The Group as the lessor
A lease is classified as a finance lease if it transfers substantially all the risks and rewards
incidental to ownership of an underlying asset. An operating lease is a lease other than a finance
lease.
(a) Operating leases
Where the Group leases out self-owned buildings under operating leases, rental income therefrom
is recognised on a straight-line basis over the lease term. Variable rental that is linked to a certain
percentage of sales is recognised in rental income as incurred.
For the rent concessions as a direct result of COVID-19 and for the period ended 30 June 2022
only, the Group applies the practical expedient to account for the concessions as variable lease
payments and record the concessions in profit or loss during the waiving period.
Except that the above contract changes directly resulting from COVID-19 are accounted for by
applying the practical expedient, for a lease modification, the Group accounts for it as a new lease
from the effective date of the modification, and considers any lease payments received in advance
and receivable relating to the lease before modification as receivables of the new lease.
(26) Segment information
The Group identifies operating segments based on the internal organisation structure,
management requirements and internal reporting system, and discloses segment information of
reportable segments which is determined on the basis of operating segments.
An operating segment is a component of the Group that satisfies all of the following conditions: (a)
the component is able to earn revenue and incur expenses from its ordinary activities; (b) whose
operating results are regularly reviewed by the Group’s management to make decisions about
resources to be allocated to the segment and to assess its performance, and (c) for which the
information on financial position, operating results and cash flows is available to the Group. Two or
more operating segments that have similar economic characteristics and satisfy certain conditions
can be aggregated into one single operating segment.
- 181 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
2 Summary of significant accounting policies and accounting estimates (Cont’d)
(27) Critical accounting estimates and judgements
The Group continually evaluates the critical accounting estimates and key judgements applied
based on historical experience and other factors, including expectations of future events that are
believed to be reasonable under the circumstances.
(a) Critical judgements in applying the accounting policies
(i) Classification of financial assets
Significant judgements made by the Group in the classification of financial assets include analysis
on business models and contractual cash flow characteristics.
The Group determines the business model for financial asset management at the level of different
groups, and factors to be considered include the methods of evaluation on financial asset
performance and reporting of financial asset performance to key management personnel, risks
affecting financial asset performance and management methods for such risks, the ways in which
related business management personnel are remunerated, etc.
When assessing whether contractual cash flow characteristics of financial assets are consistent
with basic lending arrangement, key judgements made by the Group include: the possibility of
changes in timing or amount of the principal during the duration due to reasons such as early
repayment; whether interest only include time value of money, credit risks, other basic lending
risks and considerations for costs and profits. For example, whether the amount of prepayment
only reflects the principal outstanding and the interest based on the principal outstanding, as well
as the reasonable compensation due to the early termination of the contract.
(ii) Determination of significant increase in credit risk
Judgement of the Group for significant increase in credit risk is mainly based on whether one or
more of the following indicators changed significantly: business environment of the debtor,
internal and external credit rating, significant changes in actual or expected operating results,
significant decrease in value of collateral or credit rate of guarantor, etc.
Judgement of the Group on the occurred credit impairment is mainly based on whether it meets
one or more of the following conditions: the debtor is suffering significant financial difficulties,
engaged in other debt restructuring, or it is probable that the debtor will enter bankruptcy, etc.
- 182 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
2 Summary of significant accounting policies and accounting estimates (Cont’d)
(27) Critical accounting estimates and judgements (Cont’d)
(a) Critical judgements in applying the accounting policies (Cont’d)
(iii) Timing of revenue recognition
With regard to sale of electricity to grid companies, the Group supplies electricity to grid
companies in accordance with the contract. Thereafter, the grid companies have the right to sell
electricity and the discretion in pricing, and take the risks of any price fluctuation or loss of the
products. The Group believes that the grid companies obtain control over electric power upon the
receiving of the electric power. Therefore, revenue is recognised upon the receiving of the electric
power of grid companies.
(b) Critical accounting estimates and key assumptions
The critical accounting estimates and key assumptions that have a significant risk of causing a
material adjustment to the carrying amounts of assets and liabilities within the next accounting
year are outlined below:
(i) Accounting estimates on impairment of fixed assets
As described in Note 2(18), fixed assets, construction in progress, right-of-use assets, intangible
assets with finite useful lives, investment properties that are measured at cost and long-term
equity investments in subsidiaries, joint ventures and associates are tested for impairment if there
is any indication that an asset may be impaired at the balance sheet date. If the result of the
impairment test indicates that the recoverable amount of an asset is less than its carrying amount,
a provision for impairment and an asset impairment loss are recognised for the amount by which
the asset’s carrying amount exceeds its recoverable amount. The recoverable amount is the
higher of an asset’s fair value less costs to sell and the present value of the future cash flows
expected to be derived from the asset. These calculations require use of accounting estimates.
When assessing whether the above assets are impaired, management mainly evaluates and
analyses: (i) whether events affecting asset impairment occurred; (ii) whether the present value of
expected cash flows arising from the continuing use or disposals of the asset is lower than its
carrying amount; and (iii) whether the significant assumptions used in the calculation of the
present value of the estimated cash flows are appropriate.
Relevant assumptions adopted by the Group to determine impairment, e.g. changes in
assumptions on discount rate, growth rate and gross margins used to calculate the present value
of future cash flows, may have material impact on the present value used in the impairment test,
and cause impairment in the above-mentioned long-term assets of the Group.
- 183 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
2 Summary of significant accounting policies and accounting estimates (Cont’d)
(27) Critical accounting estimates and judgements (Cont’d)
(b) Critical accounting estimates and key assumptions (Cont’d)
(ii) Measurement of ECL
The Group calculates ECL through exposure at default and ECL rates, and determines the ECL
rates based on probability of default and loss given default. In determining the ECL rates, the
Group uses data such as internal historical credit loss experience, etc., and adjusts historical data
based on current conditions and forward-looking information.
When considering forward-looking information, the Group considered different macroeconomic
scenarios. Significant macroeconomic assumptions and parameters related to the estimation of
ECL include the risk of economic downturn, external market environment, technological
environment, changes in customer conditions, Gross Domestic Product (“GDP”) and Consumer
Price Index (“CPI”), etc. The Group regularly monitors and reviews assumptions and parameters
related to the calculation of ECL. In 2021, the Group considered the uncertainty caused by
COVID-19, and relevant assumptions and parameters were updated.
(iii) Income taxes and deferred income taxes
The Group is subject to income taxes in numerous jurisdictions. There are some transactions and
events for which the ultimate tax determination is uncertain during the ordinary course of business.
Significant judgement is required from the Group in determining the provision for income tax in
each of these jurisdictions. Where the final tax outcomes of these matters are different from the
amounts that were initially recorded, such differences will impact the income tax and deferred
income tax provisions in the period in which such determination is made.
As stated in Note 3(2), some subsidiaries of the Group are high-tech enterprises. The high-tech
enterprise certificate is effective for three years. Upon expiration, application for high-tech
enterprise identification should be submitted again to the relevant government authorities. Based
on the historical experience of reassessment for high-tech enterprise upon expiration and the
actual condition of the subsidiaries, the Group considers that the subsidiaries are able to obtain the
qualification for high-tech enterprises in future years, and therefore a preferential tax rate of 15% is
used to calculate the corresponding deferred income tax. If some subsidiaries cannot obtain the
qualification for high-tech enterprise upon expiration, then the subsidiaries are subject to a
statutory tax rate of 25% for the calculation of the income tax, which further influences the
recognised deferred tax assets, deferred tax liabilities and income tax expenses.
- 184 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
2 Summary of significant accounting policies and accounting estimates (Cont’d)
(27) Critical accounting estimates and judgements (Cont’d)
(b) Critical accounting estimates and key assumptions (Cont’d)
(iii) Income taxes and deferred income taxes (Cont’d)
A deferred tax asset is recognised for the carryforward of unused deductible losses to the extent
that it is probable that future taxable profits will be available against which the deductible losses
can be utilised. Future taxable profits include taxable profits that can be achieved through normal
operations and the increase in taxable profits due to the reversal of taxable temporary differences
arising from previous period in future period. The Group needs to apply estimates and judgements
in determining the timing and amount of future taxable profits. If there is any difference between
the actual and the estimates, adjustment may be made to the carrying amount of deferred tax
assets.
(28) Significant changes in accounting policies
The Ministry of Finance released the revised CAS 21 - Lease (hereinafter “new lease standard”) in
2018, and released the Notice on Adjusting the Application Scope of the Provisions on the
Accounting Treatment Regarding COVID-19-Related Rent Concessions (Cai Kuai [2021] No. 9),
the Circular on Issuing Interpretation No. 14 of Accounting Standards for Business Enterprises
(Cai Kuai [2021] No. 1) and Q&A on Implementation of Accounting Standards for Business
Enterprises in 2021. The financial statements for the year ended 31 December 2021 have been
prepared in accordance with the above standard, circular and Q&A. Other than the new lease
standard, other standard, circular and Q&A have no significant impact on the Group and the
Company’s financial statements. The impacts of the new lease standard on the financial
statements of the Group and the Company are as follows:
(a) Leases
The Group and the Company initially adopted the new lease standard on 1 January 2021.
According to new lease standard, the Group and the Company choose not to reassess the
contracts that have already existed prior to the date of initial application. The Group and the
Company recognised the cumulative effect of the standard as an adjustment to the opening
balance of retained earnings in 2021 and relevant line items in the financial statements. The
comparatives for the year ended 31 December 2020 were not restated.
- 185 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
2 Summary of significant accounting policies and accounting estimates (Cont’d)
(28) Significant changes in accounting policies (Cont’d)
(a) Leases (Cont'd)
The amounts affected
(i) The line items affected 1 January 2021
The Group The Company
Right-of-use assets 22,656,355 -
Lease liabilities 14,558,389 -
Current portion of non-current
liabilities 8,097,966 -
For the operating lease contracts that have already existed prior to the initial application of the new
lease standard, the Group and the Company adopt different transition approaches based on the
remaining lease term:
For leases with a remaining term of more than 12 months, the Group and the Company recognised
lease liabilities based on the remaining lease payments and the discount of incremental borrowing
rate on 1 January 2021, and recognised right-of-use assets at an amount equal to that of lease
liabilities and made necessary adjustments based on prepaid rentals. The Group and the
Company adopt the practical expedient to evaluate whether assets are impaired or not at the date
of initial application. The adoption of the practical expedient has no significant impact on the
financial statements since there are no onerous contracts for leases at the date of initial
application.
The Group and the Company apply the practical expedient for leases with a remaining lease term
of 12 months or less, under which the right-of-use assets and lease liabilities are not recognised.
There is no significant impact on the financial statements.
The Group and the Company apply the practical expedient for operating lease contracts of
low-value assets existing prior to the initial application of the new lease standard, under which the
right-of-use assets and lease liabilities are not recognised. There is no significant impact on the
financial statements.
In applying the new lease standard, except for prepaid rentals and lease deposit expenditures
relating to the short-term leases and low-value asset leases which are still recorded in cash
outflows from operating activities using practical expedient according to the new lease standard,
other prepaid rentals and lease deposit expenditures are recorded in cash outflows from financing
activities.
- 186 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
2 Summary of significant accounting policies and accounting estimates (Cont’d)
(28) Significant changes in accounting policies (Cont’d)
(a) Leases (Cont’d)
The amounts affected
(i) The line items affected (Cont’d) 1 January 2021
The Group The Company
Right-of-use assets 3,710,066,727 -
Fixed assets (2,796,782,627) -
Construction in progress (913,284,100) -
Long-term payables (3,241,171,306) -
Lease liabilities 3,303,235,225 -
Other payables (62,063,919) -
In applying the new lease standard, the Group and the Company reclassified fixed assets and
construction in progress held under finance leases from “fixed assets and construction in progress”
to “right-of-use assets”, and finance lease payables from “long-term payables” to “lease liabilities”.
For the rent concessions as a direct result of COVID-19, agreed with lessees and for the period
ended 30 June 2022 only, the Group and the Company have applied the practical expedient in the
above circular for the preparation of the financial statements for the year ended 31 December 2021
(Note 4(42), Note 15(4)), and there is no significant impact on the financial statements.
As at 1 January 2021, the Group and the Company adopted the same discount rate for lease
contracts with similar characteristics to account for lease liabilities. The weighted average of
incremental borrowing rates adopted was 4.65%.
(ii) As at 1 January 2021, the Group and the Company reconciled the outstanding minimum operating
lease payments disclosed under the old lease standard to lease liabilities under the new lease
standard as follows:
The Group The Company
Future minimum operating lease payments disclosed as at 31
December 2020 67,078,206 -
Present value of the above minimum operating lease payments
discounted using the incremental borrowing rate 62,047,034 -
Add: Finance lease payables as at 31 December 2020 3,303,235,225 -
Less: Present value of payments for leases with a term of 12
months or less (39,390,679) -
Lease liabilities recognised as at 1 January 2021 (including
current portion of non-current liabilities) (Note 2(28)(a)(i)) 3,325,891,580 -
- 187 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
3 Taxation
(1) The main categories and rates of taxes applicable to the Group are set out below:
Category Tax base Tax rate/levying rate
Value-added tax Taxable value-added amount (Tax payable 5%, 6%, 9% and 13%
(“VAT”) (a) is calculated using the taxable sale
amount multiplied by the applicable tax
rate less deductible input VAT of the
current period)
Revenue from hydropower sales 3%
City maintenance and Amount of VAT paid 5% to 7%
construction tax
Educational surcharge Amount of VAT paid 3%
Educational surcharge Amount of VAT paid 2%
Enterprise income tax Taxable income 12.5%, 15%, 20% and
25%
Property tax Real estate’s rental income or the residual 12% and 1.2%
value from original value less the
deducting proportion
Environmental Calculated and paid based on the pollution Calculated and paid
protection tax (b) equivalent values or the discharge of based on the
taxable pollutants multiplied by the applicable tax amounts
applicable tax amounts of different pollutants
(a) Pursuant to the Announcement on Relevant Policies for Deepening the Value-added Tax Reform
(Cai Shui Haiguan [2019] No. 39) jointly issued by the Ministry of Finance, the State Taxation
Administration and the General Administration of Customs and relevant regulations, the Group’s
revenue from sale of electricity, sale of by-products, maintenance and repair services, etc. and
revenue arising from sale of heat energy is subject to VAT at the rate of 13% and 9% from 1 April
2019. The Group’s revenue from entrusted loan business among companies and training service is
subject to VAT at the rate of 6%. The operating leases of the real estates under simplified taxation
method is subject to VAT at a rate of 5%.
Pursuant to Notice on the Policy of Streamlining and Combination of Value-added Tax Levy Rates
jointly issued by the Ministry of Finance and the State Taxation Administration, revenue from sale
of electricity generated from small hydropower units at the county level or below is subject to VAT
at the rate of 3%. Three small hydropower plants of Lincang Yudean Energy Co., Ltd. (“Lincang
Energy”), a subsidiary of the Group, are subject to VAT at the rate of 3%.
Pursuant to the provisions including the Circular on Enterprise Income Tax Policy concerning
Deductions for Equipment and Appliances (Cai Shui [2018] No. 54) and the Announcement on
Extending the Implementation Period of Certain Preferential Tax Policies (Cai Shui [2021] No. 6)
issued by the State Taxation Administration, during the period from 1 January 2018 to 31
December 2023, the cost of equipment with the original cost less than RMB 5,000,000 newly
purchased by Guangdong Yudean Power Sales Co., Ltd. (“Power Sales”), a subsidiary of the
Group, can be fully deducted against taxable profit in the next month after the asset is put into use,
instead of being depreciated annually for tax filing.
- 188 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
3 Taxation (Cont’d)
(1) The main categories and rates of taxes applicable to the Group are set out below (Cont’d):
(b) According to the Environmental Protection Tax Law of the People’s Republic of China, the Group
has applied the environmental protection tax since 1 January 2018. The taxation objects include air
pollutants, water pollutants, solid waste and noise. Taxation is based on the amount of pollutants’
emissions.
(2) Tax preference
(a) Pursuant to the approval documents (Cai Shui [2008] No. 46 and Guo Shui Fa [2009] No. 80),
Guangdong Yudean Dianbai Wind Power Co., Ltd. (“Dianbai Wind Power”), Guangdong Yudean
Leizhou Wind Power Co., Ltd. (“Leizhou Wind Power”), Guangdong Guangye Nanhua New Energy
Co., Ltd. (“Nanhua New Energy”), Guangdong Yudean Pingyuan Wind Power Co., Ltd. (“Pingyuan
Wind Power”), Guangdong Yudean Zhuhai Offshore Wind Power Co., Ltd. (“Zhuhai Wind Power”),
Hunan Xupu Yuefeng New Energy Co., Ltd. (“Xupu Yuefeng”), Guangxi Wuxuan Yuefeng New
Energy Co., Ltd. (“Wuxuan Yuefeng”), Guangdong Yudean Yangjiang Offshore Wind Power Co.,
Ltd. (“Yangjiang Wind Power”), and Shaoguan Nanxiong Yuefeng New Energy Co., Ltd.
(“Nanxiong New Energy”)are exempted from enterprise income tax in the first three years counting
from the year when revenue from production and operations is recorded for the first time, and can
enjoy half rate reduction in the following three years. Dianbai Wind Power posted profits for the first
time in 2016, Leizhou Wind Power posted profits for the first time in 2017, Nanhua New Energy
posted profits for the first time in 2019, Pingyuan Wind Power and Zhuhai Wind Power posted
profits for the first time in 2020, Xupu Yuefeng, Wuxuan Yuefeng, Yangjiang Wind Power and
Nanxiong New Energy posted profits for the first time in 2021. Therefore, the applicable income tax
rate of Dianbai Wind Power and Leizhou Wind Power in 2021 was 12.5% (2020: 12.5%), the
applicable income tax rate of Nanhua New Energy, Pingyuan Wind Power, Zhuhai Wind Power,
Xupu Yuefeng, Wuxuan Yuefeng, Yangjiang Wind Power and Nanxiong New Energy in 2021 was
0% (2020: 0%, 0%, 0%, 25%, 25%, 25% and 25%, respectively).
Pursuant to the Supplementary Notice on Issues Concerning the Preferential Enterprise Income
Tax Policies for Public Infrastructure Projects (Cai Shui [2014] No. 55), enterprises invest and
operate public infrastructure projects in compliance with the List of Public Infrastructure Projects
Enjoying Enterprise Income Tax Preferential, those which adopt one-off approval and are subject
to construction in batches (such as terminals, berths, airport terminals, runways, sections,
generator units, etc.) are subject to income tax calculated in units of each batch and enjoy the tax
preferential policy of “three-year exemptions and three-year halves” when the following conditions
are satisfied: (i) different batches are space-independent; (ii) each batch has its own revenue
function; (iii) they are accounted for in units of each batch and are subject to income tax
individually, while the period expenses are allocated rationally. In 2021, the Group’s subsidiary
Guangdong Yudean Qujie Wind Power Co., Ltd. (“Qujie Wind Power”) met the above conditions.
Therefore, Qujie Youhao wind power project (the first time for which profits were posted was 2017),
Xuwen Shibanling wind power project (the first time for which profits were posted was 2016), Qujie
Wailuo offshore wind power project (Phase I) (the first time for which profits were posted was
2019), Qujie Wailuo offshore wind power project (Phase II) (the first time for which profits were
posted was 2021) and Xinliao offshore wind power project (the first time for which profits were
posted was 2021) of Qujie Wind Power System are entitled to the tax preferential policy of
“three-year exemptions and three-year halves” respectively according to each wind power project.
In addition, 50% of VAT levied on the sale of electricity generated by Guangdong Yudean
Shibeishan Wind Power Co., Ltd. (“Shibeishan Wind Power”), Guangdong Yudean Zhanjiang Wind
Power Generation Co., Ltd. (“Zhanjiang Wind Power”), Guangdong Yudean Xuwen Wind Power
Electricity Co., Ltd. (“Xuwen Wind Power”), Dianbai Wind Power, Huilai Wind Power Co., Ltd.
(“Huilai Wind Power”) and Guangdong Yueneng Wind Power Co., Ltd. (“Yueneng Wind Power”)
will be refunded immediately in accordance with the Notice Concerning Value-added Tax Policies
on Wind Power Generation (Cai Shui [2015] No. 74).
3 Taxation (Cont’d)
- 189 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
(2) Tax preference (Cont’d)
(b) In 2020, Zhanjiang Electric Co., Ltd. (“Zhanjiang Electric”), a subsidiary of the Group, was granted
a High-tech Enterprise Certificate (Certificate No. GR202044010003) by the Department of
Science and Technology of Guangdong Province, Department of Finance of Guangdong Province
and Guangdong Provincial Office of the State Taxation Bureau on 9 December 2020. The
certificate is valid for three years. Under Article 28 of the Enterprise Income Tax Law of the
People’s Republic of China, the enterprise income tax rate applicable to Zhanjiang Electric for the
year of 2021 is 15%.
(c) In accordance with regulations of the Notice on Implementing the Inclusive Tax Deduction and
Exemption Policies for Micro and Small Enterprises (Cai Shui [2019] No. 13) and Announcement of
the State Taxation Administration on Matters Concerning the Implementation of Preferential
Income Tax Policies Supporting the Development of Small Low-Profit Enterprises and Individual
Industrial and Commercial Households (STA Announcement [2021] No. 8), for a small enterprise
with low profits, for the part of the annual taxable income not exceeding RMB 1,000,000, the
amount of taxable income is reduced to 12.5% of income and is subject to the enterprise income at
the tax rate of 20%; for the part between RMB 1,000,000 and RMB 3,000,000, the amount of
taxable income is reduced to 50% of income and is subject to the enterprise income at the tax rate
of 20%. The aforementioned small low-profit enterprise engages in industries not restricted or
prohibited by the state and concurrently meet the three conditions, that is, the annual taxable
amount is not more than RMB 3,000,000, the number of its employees is not more than 300, and
their total assets do not exceed RMB 50,000,000. In 2021, Shenzhen Huaguoquan Electric Power
Service Co., Ltd. (“Huaguoquan Company”) and Zhanjiang Wanhaowei New Energy Co., Ltd.
(“Wanhaowei New Energy”) were eligible for small low-profit enterprises. Therefore, in 2021, the
applicable income tax rate of Huaguoquan Company and Wanhaowei New Energy was 20%
(2020: 20% for Huaguoquan Company).
(d) Pursuant to Notice on Issues Concerning the Implementation of the Preferential Catalogue of
Enterprise Income Tax for Integrated Utilisation of Resources (Cai Shui [2008] No. 47), since 1
January 2008, enterprises use the resources listed in the Preferential Catalogue of Enterprise
Income Tax for Integrated Utilisation of Resources (2008 Edition) as the main raw materials to
produce products in the above catalogue that meet national or industry related standards, and the
income from above products is reduced to 90% of the total income of the enterprises for the year.
The Group’s subsidiaries Zhanjiang Electric and Guangdong Huizhou Pinghai Power Plant Co.,
Ltd. (“Pinghai Power Plant”) use coal ash to produce commercial coal ash, which meets the
above-mentioned preferential tax conditions for integrated utilisation of resources. The Group’s
subsidiaries Zhanjiang Electric and Guangdong Huizhou Pinghai Power Plant Co., Ltd. (“Pinghai
Power Plant”) use coal ash to produce commercial coal ash, which meets the above-mentioned
preferential tax conditions for integrated utilisation of resources. Therefore, in 2021, revenue from
sale of coal ash from Zhanjiang Electric and Ping Hai Power Plant was reduced to 90% of the total
income for the year.
- 190 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
4 Notes to the consolidated financial statements
(1) Cash at bank and on hand
31 December 2021 31 December 2020
(Restated)
Cash on hand 83,108 83,607
Cash at bank 1,554,213,074 1,017,529,851
Deposits with Energy Group Finance
Company (b) 6,468,820,757 8,387,469,151
Other cash balances (c) 42,670,394 33,331,741
Interest receivable 39,533,620 -
8,105,320,953 9,438,414,350
(a) As at 31 December 2021, the Group had no offshore deposit (31 December 2020: Nil).
(b) Deposits with Energy Group Finance Company refer to the deposits placed in Energy Group
Finance Company (Note 8(6)). Energy Group Finance Company is a financial institution
established with the approval of the People’s Bank of China. Both the Company and Energy Group
Finance Company are controlled by GEGC.
(c) As at 31 December 2021, other cash balances of RMB 42,670,394 (31 December 2020: RMB
33,331,741) mainly represented deposits for ecological protection and performance guarantees,
among which other cash balances placed in Energy Group Finance Company was RMB 6,000,000
(31 December 2020: RMB 6,592,681)(Note 8(5)(e)(ii)).
(2) Accounts receivables
31 December 2021 31 December 2020
(Restated)
Accounts receivables 7,030,948,863 5,287,441,906
Less: Provision for bad debts (263,506) (292,314)
7,030,685,357 5,287,149,592
(a) The ageing of accounts receivables is analysed as follows:
31 December 2021 31 December 2020
(Restated)
Within 1 year 6,602,371,992 5,075,526,193
1 to 2 years 306,931,561 207,388,302
2 to 3 years 119,940,421 4,497,411
Over 3 years 1,704,889 30,000
7,030,948,863 5,287,441,906
- 191 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
4 Notes to the consolidated financial statements (Cont’d)
(2) Accounts receivables (Cont’d)
(b) As at 31 December 2021, the five largest accounts receivables aggregated by debtors are analysed
as follows:
Provision for
Balance bad debts % of total balance
Total balance of the five largest
accounts receivable 6,674,878,822 - 94.94%
(c) Provision for bad debts
For accounts receivables, the Group recognises the lifetime ECL regardless of whether there exists
a significant financing component.
From 31 December 2021, the Group’s recognition standards and accrual methods for provision for
bad debts of accounts receivable are detailed in Note 2(9).
As at 31 December 2021, provision for bad debts made on a collective basis for accounts
receivables is analysed as follows:
Group 1- Receivables from sale of electricity
As at 31 December 2021, the Group’s receivables from sale of electricity amounted to RMB
6,974,790,832 (31 December 2020: RMB 5,233,433,241), which mainly comprised receivables from
China Southern Power Grid Co., Ltd. and its subsidiaries (collectively referred to as “China Southern
Power Grid”). Considering the favourable credit history of China Southern Power Grid Co., Ltd., the
Group held that there was no significant credit risk arising from receivables from sale of electricity.
Since the possibility of material losses due to the default by China Southern Power Grid Co., Ltd.
was extremely low, the ECL for the receivables from sale of electricity was 0% (31 December 2020:
0%).
Group 2 – Receivables from related parties
As at 31 December 2021, the Group’s receivables from related parties amounted to RMB
32,237,080 (31 December 2020: RMB 28,110,387), and the historical loss rate was extremely low.
Therefore, The Group held that there was no significant credit risk arising from receivables from
related parties. Since the possibility of material losses due to the default by China Southern Power
Grid Co., Ltd. was extremely low, the ECL for the receivables from related parties was 0% (31
December 2020: 0%).
- 192 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
4 Notes to the consolidated financial statements (Cont’d)
(2) Accounts receivables (Cont’d)
(c) Provision for bad debts (Cont’d)
Group 3 - Receivables from sale of steam and others
31 December 2021 31 December 2020 (Restated)
Book Book
balance Provision for bad debts balance Provision for bad debts
Lifetime Lifetime
Amount ECL rates Amount Amount ECL rates Amount
Within 1 year 23,836,136 0.97% (231,175) 25,837,975 1.00% (258,380)
1 to 2 years 35,568 10.00% (3,557) 25,790 10.00% (2,580)
2 to 3 years 29,247 30.00% (8,774) 4,513 30.00% (1,354)
Over 3 years 20,000 100.00% (20,000) 30,000 100.00% (30,000)
23,920,951 (263,506) 25,898,278 (292,314)
(d) In 2021, the amount of provision for bad debts of accounts receivables was RMB 263,506 (2020:
RMB 292,314), and the amount of reversed provision for bad debts of accounts receivables in the
current year was RMB 292,314 (2020: RMB 155,421), with corresponding book balance of RMB
23,920,951 (2020: RMB 25,898,278). There was no provision for bad debts of accounts receivables
written off (2020: Nil).
(e) As at 31 December 2021, the right to collect electric charges of the Group’s certain subsidiaries,
were pledged to banks to obtain long-term borrowings of RMB 6,002,119,898, including current
portion of long-term borrowings of RMB 386,056,214 (31 December 2020: long-term borrowings of
RMB 4,193,207,913, including current portion of long-term borrowings of RMB 298,558,767).
- 193 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
4 Notes to the consolidated financial statements (Cont’d)
(3) Advances to suppliers
31 December 2021 31 December 2020
(Restated)
Advances to suppliers 892,886,238 785,646,468
Less: Provision for impairment (115,000) (803,017)
892,771,238 784,843,451
(a) The ageing of advances to suppliers is analysed as follows:
31 December 2021 31 December 2020 (Restated)
Amount % of total balance Amount % of total balance
Within 1 year 890,361,044 99.72% 781,775,219 99.51%
1 to 2 years 1,256,263 0.14% 2,226,260 0.28%
2 to 3 years 563,276 0.06% 894,606 0.11%
Over 3 years 705,655 0.08% 750,383 0.10%
892,886,238 100.00% 785,646,468 100.00%
As at 31 December 2021, advances to suppliers with ageing over one year amounted to RMB
2,525,194 (31 December 2020: RMB 3,871,249), mainly including prepayments for spare parts
and materials.
(b) Provision for impairment accrued in the current year
2021 2020
(Restated)
Opening balance (803,017) (1,052,822)
Write-off in the current year 688,017 -
Reversal in current year - 249,805
Ending balance (115,000) (803,017)
(c) As at 31 December 2021, the five largest advances to suppliers aggregated by debtors are
analysed as follows:
Amount % of total balance
Total amount of advances to five largest
debtors 778,271,276 87.16%
- 194 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
4 Notes to the consolidated financial statements (Cont’d)
(4) Other receivables
31 December 2021 31 December 2020
(Restated)
Receivables from disposals of terminal
assets and other related parties (Note
8(5)(i)) 1,732,123,164 -
Land withdrawal receivable 302,530,718 166,917,613
Receivables from business units 127,046,011 18,954,769
Supplementary medical insurance fund
receivable 98,784,664 96,056,921
Receivables from sale of by-products 95,418,898 92,958,555
Land deposits receivable 23,446,000 23,446,000
Compensation receivable for electricity
charges during the demolition and
construction period 15,824,336 11,881,442
Dividends receivable 5,633,417 31,500,000
Government grants receivable 3,646,053 795,316
Petty cash receivable 2,646,600 4,321,532
Interest receivable - 44,988,586
Prepaid fuel receivable - 195,747,000
Others 60,123,674 43,470,363
2,467,223,535 731,038,097
Less: Provision for bad debts (37,747,977) (212,396,328)
2,429,475,558 518,641,769
(a) The ageing of other receivables is analysed as follows:
31 December 2021 31 December 2020
(Restated)
Within 1 year 2,226,475,458 432,013,325
1 to 2 years 168,657,304 16,820,975
2 to 3 years 5,694,340 47,961,014
Over 3 years 66,396,433 234,242,783
2,467,223,535 731,038,097
- 195 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
4 Notes to the consolidated financial statements (Cont’d)
(4) Other receivables (Cont’d)
(b) Loss provision and changes in book balance
Stage 1 Stage 3
12-month ECL (group) 12-month ECL (individual) Sub-total Lifetime ECL (credit impaired) Total
Provision for Provision for Provision for Provision for Provision for
Book balance bad debts Book balance bad debts bad debts Book balance bad debts bad debts
31 December 2020
(Restated) 71,541,340 (10,969,221) 458,069,650 - (10,969,221) 201,427,107 (201,427,107) (212,396,328)
Increase in the
current year 118,307,986 (7,964,510) 1,853,949,953 - (7,964,510) 14,524,157 (14,524,157) (22,488,667)
Reversal in the
current year (54,151,642) 692,002 - - 692,002 - - 692,002
Write-off in the
current year (110,232) 110,232 - - 110,232 (196,334,784) 196,334,784 196,445,016
31 December 2021 135,587,452 (18,131,497) 2,312,019,603 - (18,131,497) 19,616,480 (19,616,480) (37,747,977)
- 196 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
4 Notes to the consolidated financial statements (Cont’d)
(4) Other receivables (Cont’d)
(b) Loss provision and changes in book balance (Cont’d)
As at 31 December 2021 and 31 December 2020, the Group did not have other receivables at Stage
2. Other receivables at Stage 1 and Stage 3 are analysed as follows:
(i) As at 31 December 2021, other receivables for which the related provision for bad debts was provided
on the individual basis are analysed as follows:
12-month Provision for
Book balance ECL rates bad debts Reason
Stage 1
The counterparty is a related party,
with a historical loss rate of 0% ;
Receivables from therefore, the risk of ECL is
related parties 1,817,008,915 0.00% - extremely low.
Land withdrawal The counterparty is a government unit
receivable 288,756,218 0.00% - and the risk of ECL is extremely low.
The counterparty is Taikang Pension
Co., Ltd. Guangdong Branch
(“Taikang Pension”), which mainly
provides custody services for the
Supplementary Group’s supplementary medical
medical insurance fund. The historical loss
insurance fund rate is 0%, and the risk of ECL is
receivable 98,784,664 0.00% - extremely low.
The amount has the performance
Receivables from guarantee issued by bank with an
business units 58,920,000 0.00% - extremely low risk of ECL.
Land deposits The counterparty is a government unit
receivable 23,446,000 0.00% - and the risk of ECL is extremely low.
Compensation The demolition and construction project
receivable for is initiated by the state-owned
electricity industrial park, which pays
charges during compensation expenses, and the
the demolition risk of ECL is extremely low
and construction
period 15,824,336 0.00% -
The counterparty has good credit, with
Dividends a historical loss rate of 0%, and the
receivable 5,633,417 0.00% - risk of ECL is extremely low.
Government grants The counterparty is a government unit
receivable 3,646,053 0.00% - and the risk of ECL is extremely low.
2,312,019,603 -
Book Lifetime Provision for
balance ECL rates bad debts Reason
Stage 3
Receivables from Unrecoverable by estimation since the
business units 13,889,589 100.00% (13,889,589) counterparty is financially difficult.
Unrecoverable by estimation since the
Others 5,726,891 100.00% (5,726,891) counterparty is financially difficult.
19,616,480 (19,616,480)
- 197 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
4 Notes to the consolidated financial statements (Cont’d)
(4) Other receivables (Cont’d)
(b) Loss provision and changes in book balance (Cont’d)
(i) As at 31 December 2020, other restated receivables for which the related provision for bad debts was
provided on the individual basis are analysed as follows:
Provision
Book 12-month for bad
balance ECL rate debts Reason
Stage 1
Land withdrawal The counterparty is a government unit and
receivable 166,917,613 0.00% - the risk of ECL is extremely low.
The counterparty is a related party, with a
Receivables from historical loss rate of 0% ; therefore, the
related parties 127,472,358 0.00% - risk of ECL is extremely low.
The counterparty is Taikang Pension, which
mainly provides custody services for the
Supplementary Group’s supplementary medical
medical insurance insurance fund. The historical loss rate is
fund receivable 96,056,921 0.00% - 0%, and the risk of ECL is extremely low.
The counterparty has good credit, with a
Dividends historical loss rate of 0%, and the risk of
receivable 31,500,000 0.00% - ECL is extremely low.
Land deposits The counterparty is a government unit and
receivable 23,446,000 0.00% - the risk of ECL is extremely low.
Compensation The demolition and construction project is
receivable for initiated by the government-owned
electricity charges industrial park, which pays compensation
during the expenses, and the risk of ECL is
demolition and extremely low
construction period 11,881,442 0.00% -
Government grants The counterparty is a government unit and
receivable 795,316 0.00% - the risk of ECL is extremely low.
458,069,650 -
Book Lifetime Provision for
balance ECL rates bad debts Reason
Stage 3
Receivables from Unrecoverable by estimation due to the
business units 2,394,279 100.00% (2,394,279) counterparty is in financial difficulty.
Petty cash Unrecoverable by estimation due to
receivable 34,676 100.00% (34,676) resignation of the employee
Prepaid coal Unrecoverable by estimation due to
receivables 195,747,000 100.00% (195,747,000) long-term pending
Unrecoverable by estimation since the
Others 3,251,152 100.00% (3,251,152) counterparty is financially difficult.
201,427,107 (201,427,107)
- 198 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
4 Notes to the consolidated financial statements (Cont’d)
(4) Other receivables (Cont’d)
(b) Loss provision and changes in book balance (Cont’d)
(ii) As at 31 December 2021 and 31 December 2020, other receivables for which the related provision for
bad debts was provided on the collective basis are all within stage 1, which are analysed as follows:
31 December 2021
Book balance Loss provision
Amount Amount Provision ratio
Group 1
Within 1 year 112,414,194 (909,472) 0.81%
1 to 2 years 6,183,553 (807,222) 13.05%
2 to 3 years 860,422 (288,519) 33.53%
Over 3 years 16,129,283 (16,126,284) 99.98%
135,587,452 (18,131,497) 13.37%
31 December 2020 (Restated)
Book balance Loss provision
Amount Amount Provision ratio
Group 1
Within 1 year 56,546,038 (565,460) 1.00%
1 to 2 years 4,468,849 (479,148) 10.72%
2 to 3 years 944,454 (342,614) 36.28%
Over 3 years 9,581,999 (9,581,999) 100.00%
71,541,340 (10,969,221) 15.33%
(c) The amount of provision for bad debts of other receivables in the current year was RMB 22,488,667
(2020: RMB 2,316,369), and the amount of reversed provision for bad debts of other receivables in the
current year was RMB 692,002 (2020: RMB 1,594,751), with corresponding book balance of RMB
54,151,642 (2020: RMB 212,396,328).
The balance of other receivables that were written off in the current year was RMB 196,445,016, and
the provision for bad debts was RMB 196,445,016, of which significant other receivables were
analysed as follows:
Arising from
Procedures related-party
Nature of other Amount of Reasons for performed for transactions
receivables written-off written-off written-off or not
Transfer to Energy
Prepaid fuel Group without Written off with
GEGC payable 195,747,000 compensation approval Yes
Shanwei Great Forest Accident The company
Culture Communication compensation declared Written off with
Co., Ltd. receivable 587,784 bankruptcy approval No
- 199 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
4 Notes to the consolidated financial statements (Cont’d)
(4) Other receivables (Cont’d)
(d) As at 31 December 2021, the five largest other receivables aggregated by debtors are analysed as follows:
% of total Provision for
Nature Balance Ageing balance bad debts
Guangdong Electric Power Receivables from
Industry Fuel Co., Ltd. disposals of terminal Within 1
(“Industry Fuel”) assets 1,602,258,185 year 64.95% -
Meixian District People’s
Government of Meizhou Land withdrawal
City receivable 146,885,400 1 to 2 years 5.95% -
Guangdong Energy Financial Current accounts Within 1
Leasing Co., Ltd. receivable 129,864,979 year 5.26% -
People’s Government of
Yamen Town, Xinhui Land withdrawal Within 1
District, Jiangmen City receivable 109,094,018 year 4.42% -
Supplementary medical
insurance fund Within 4
Taikang Pension receivable 98,784,664 years 4.00% -
2,086,887,246 84.58% -
(e) As at 31 December 2021, the Group’s government grants recognised at amounts receivable are the
reimbursement for the immediate refund of VAT.
(5) Inventories
(a) Inventories are summarised by categories as follows:
31 December 2021 31 December 2020 (Restated)
Provision for Provision for
decline in the decline in the
value of value of
Book balance inventories Carrying amount Book balance inventories Carrying amount
Fuel 2,189,710,739 - 2,189,710,739 938,456,934 (219,427) 938,237,507
Spare
parts 817,710,542 (34,044,608) 783,665,934 783,592,186 (55,066,705) 728,525,481
Others 25,517,866 - 25,517,866 17,232,030 - 17,232,030
3,032,939,147 (34,044,608) 2,998,894,539 1,739,281,150 (55,286,132) 1,683,995,018
- 200 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
4 Notes to the consolidated financial statements (Cont’d)
(5) Inventories (Cont’d)
(b) Provision for decline in the value of inventories is analysed as follows:
31 December 2020 Written off in
(Restated) current year 31 December 2021
Spare parts (55,066,705) 21,022,097 (34,044,608)
Fuel (219,427) 219,427 -
(55,286,132) 21,241,524 (34,044,608)
(c) Provision for decline in the value of inventories is as follows:
Specific basis for determining net realisable value Reason for write-off
The carrying amount is higher than the amount of
net realisable value of the disposal proceeds less
Spare parts and fuel costs to sell Disposal/use/scrap
(6) Contract assets
31 December 2021 31 December 2020
(Restated)
Contract assets 4,776,709 3,354,788
Less: Provision for impairment of
contract assets (21,889) (12,512)
4,754,820 3,342,276
- 201 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
4 Notes to the consolidated financial statements (Cont’d)
(7) Current portion of non-current assets
31 December 2021 31 December 2020
(Restated)
Less: Current portion of finance lease
deposit - 49,785,734
As at 31 December 2021, there was no current portion of non-current assets (As at 31 December
2020, current portion of non-current assets represented the present value of the deposit of RMB
50,000,000 paid for sales and leaseback of fixed assets).
(8) Other current assets
31 December 2021 31 December 2020
(Restated)
Input VAT to be deducted 1,238,295,329 671,309,935
Prepayment of income tax 174,867,263 4,298,155
Others 4,823,016 739,240
1,417,985,608 676,347,330
(9) Long-term equity investments
31 December 2021 31 December 2020
(Restated)
Joint ventures (a) 654,820,514 531,313,393
Associates (b) 7,513,715,690 6,862,747,583
8,168,536,204 7,394,060,976
Less: Provision for impairment of long-term
equity investments (96,327,854) (96,327,854)
8,072,208,350 7,297,733,122
- 202 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
4 Notes to the consolidated financial statements (Cont’d)
(9) Long-term equity investments (Cont’d)
(a) Joint ventures
Movements in the current year
Share of net Share of other
profit/(loss) comprehensive Cash Ending balance of
31 December 2020 Increase in under equity income (Note dividends provision for
(Restated) investments (i) method 4(39)) declared Others (ii) 31 December 2021 impairment loss
Industry Fuel 531,313,393 180,000,000 115,205,500 7,900,250 (29,649,898) (159,298,731) 645,470,514 -
Zhanjiang Yuexin
Distributed Energy and
Technique Co., Ltd.
(“Yuexin Energy”) - 9,350,000 - - - - 9,350,000 -
531,313,393 189,350,000 115,205,500 7,900,250 (29,649,898) (159,298,731) 654,820,514 -
Please refer to Note 6(2) for related information of interest in joint ventures.
(i) As at 21 December 2020, pursuant to the Proposal on Capital Increase in Guangdong Power Industry Fuel Co., Ltd. approved by the Board of Directors, the
Company was permitted to make a capital increase of RMB 180,000,000 to Industry Fuel at its original proportion of shareholding, which had been invested
as at 25 June 2021.
(ii) In 2021, for the purpose of optimising asset structure and promoting high-quality development, Guangdong Yudean Bohe Energy Co., Ltd. (“Bohe Energy),
a subsidiary of the Group, disposed of terminal assets to Industry Fuel with the transaction price of RMB 2,800,327,000 (excluding tax). The transaction is a
downstream transaction, therefore, the long-term equity investments in Industry Fuel are adjusted according to share of unrealised internal gains or losses
based on the shareholding. See Note 4(13)(a)(i) for information concerning this transaction.
- 203 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
4 Notes to the consolidated financial statements (Cont’d)
(9) Long-term equity investments (Cont’d)
(b) Associates
Movements in the current year
Share of net Share of other Share of
31 December profit/(loss) comprehensive other Cash dividends Ending balance
2020 Increase in Decrease in under equity income (Note changes in or profits 31 December of provision for
(Restated) investments investments method 4(39)) equity (v) declared 2021 impairment loss
Shanxi Yudean Energy Co.,
Ltd. (“Shanxi Yudean
Energy”) (i) 1,819,132,396 64,000,000 - 480,044,857 - - - 2,363,177,253 -
Guangdong Guohua Yudean
Taishan Electric Co., Ltd.
(“Taishan Electric”) 1,889,026,588 - - (3,409,558) - - (101,148,944) 1,784,468,086 -
Energy Group Finance
Company 1,635,580,660 - - 145,758,481 7,709,485 - (122,273,962) 1,666,774,664 -
Guangdong Energy Financial
Leasing Co., Ltd. (“Energy
Financial Leasing
Company”) 522,483,539 - - 22,399,917 - - (12,576,669) 532,306,787 -
GEG Property&Casualty
Captive Insurance Co., Ltd.
(“GEG Property Insurance”) 268,468,953 - - 9,569,443 - - (1,505,619) 276,532,777 -
Guangdong Yudean Shipping
Co., Ltd. (“Yudean
Shipping”) 241,738,113 - - 7,347,225 (330,519) (799,924) - 247,954,895 -
South Sea Wind Electricity
Development Co., Ltd.
(“South Sea Wind
Electricity”) (ii) - 161,552,820 - 6,259,387 - - - 167,812,207 -
Guizhou Yueqian Power Co.,
Ltd. (“Yueqian Power”) (iii) - 144,018,912 - 11,125,044 (1,633) 6,183,547 - 161,325,870 -
Weixin Yuntou 175,592,218 - - (36,782,167) - - - 138,810,051 (96,327,854)
Sub-total for next page 6,552,022,467 369,571,732 - 642,312,629 7,377,333 5,383,623 (237,505,194) 7,339,162,590 (96,327,854)
- 204 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
4 Notes to the consolidated financial statements (Cont’d)
(9) Long-term equity investments (Cont’d)
(b) Associates (Cont’d)
Movements in the current year
Ending
Share of net Share of other Share of balance of
31 December profit/(loss) comprehensive other Cash dividends provision for
2020 Increase in Decrease in under equity income (Note changes in or profits impairment
(Restated) investments investments method 4(39)) equity (v) declared 31 December 2021 loss
Huaneng Shantou Wind Power
Co., Ltd. (“Huaneng Shantou
Wind Power”) 55,092,902 - - 4,722,806 - - (5,633,417) 54,182,291 -
Yunfu Power Plant (B Power
Plant) Co., Ltd. (“Yunfu B”) (iv) - 31,256,379 - (21,660,094) - - - 9,596,285 (20,819,280)
Guangdong Yuedian Stock West
Investment Co., Ltd. (“West
Investment”) (iii) 144,018,912 - (144,018,912) - - - - - -
Others 15,285,448 - - 1,245,144 - - (2,083,922) 14,446,670 -
Total 6,766,419,729 400,828,111 (144,018,912) 626,620,485 7,377,333 5,383,623 (245,222,533) 7,417,387,836 (117,147,134)
Please refer to Note 6(2) for related information of equity in associates.
- 205 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
4 Notes to the consolidated financial statements (Cont’d)
(9) Long-term equity investments (Cont’d)
(b) Associates (Cont’d)
(i) As at 27 April 2021, the Company and GEGC increased a capital of RMB 160,000,000 to Shanxi
Yudean Energy in proportion of the shareholding, for the investment in Jilin Qian’an Phase I 50MW
Wind Power Project and Hebei Pingshan 100MW Photovoltaic Project, among which the Company
contributed RMB 64,000,000 at the shareholding proportion of 40%.
(ii) As at 14 January 2021, Guangdong Wind Power Generation Co Ltd. (“Guangdong Wind Power”)
acquired 10% equity of South Sea Wind Electricity at a consideration of RMB 70,500,820, which
was originally held by Guangzhou Environment Protection Investment Group Co., Ltd. (formerly
known as Guangdong Guangye Group Co., Ltd.). The Group held 20% equity of South Sea Wind
Electricity, and participated in and influenced the company’s financial and operating policy
decisions, which had significant impact on South Sea Wind Electricity and changed the investment
in other equity instruments previously held by the Company to long-term equity investments at the
consolidated level. On 26 September 2021, the Company and Guangdong Wind Power increased
their capital by RMB 10,000,000 in the same proportion to South Sea Wind Electricity.
(iii) As at 28 July 2021, Yueqian Power merged West Investment, (Western Investment was originally
an associate in which the Company held 26% of its equity). After the merger, the Company's
shareholding in Yueqian Power was reduced to 13% due to the capital increase by other
shareholders. The Company is still able to participate in the activities and influence its financial and
operating policy decisions, and can have significant impact on Yueqian Power.
(iv) As at 26 May 2021, Sha C Company, a subsidiary of the Company, accepted 15% equity of Yunfu
B held by Guangdong Electric Power Development Co., Ltd. at no cost, with the corresponding
original cost of RMB 52,075,659, provision for impairment of RMB 20,819,280 and carrying amount
of RMB 31,256,379, and was able to have significant impact on its operating decisions and
economic activities. The long-term equity investments were accounted for using the equity method.
(v) In 2021, other changes in equity from long-term equity investments in associates were changes in
capital surplus of RMB 5,383,623 (2020: changes in capital surplus of RMB 5,343,382).
(10) Investments in other equity instruments
Cash dividends in
31 December 2021 31 December 2020 the current year
(Restated)
Investments in equity
instrument not held for
trading
- Equity of listed
companies 547,728,682 393,587,145 20,020,230
- Equity of unlisted
companies 2,684,300,000 3,155,300,870 67,711,178
3,232,028,682 3,548,888,015 87,731,408
- 206 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
4 Notes to the consolidated financial statements (Cont’d)
(10) Investments in other equity instruments (Cont’d)
Including:
% of
31 December 2020 Movements in the shareholding Cash dividends in
(Restated) current year 31 December 2021 in investee the current year
Investments in other equity instruments - cost
- Shenzhen Energy Corporation (“Shenzhen Energy”) (a) 15,890,628 - 15,890,628 0.32% 3,931,200
- Shanghai Shenergy Co., Ltd. (“Shanghai Shenergy”) (b) 235,837,988 - 235,837,988 1.13% 15,549,030
- GMG International Tendering Co., Ltd. (“GMG
Tendering”) (c) 3,600,000 - 3,600,000 1.17% 540,000
- Shenzhen Capital Group Co., Ltd. (“SCG”) (d) 328,034,000 - 328,034,000 3.67% 25,711,178
- Sunshine Insurance (e) 356,000,000 - 356,000,000 3.38% 42,000,000
- South Sea Wind Electricity (f) 70,000,000 (70,000,000) - - -
- Gaozhou Yawu Hydropower Co., Ltd. (“Yawu
Hydropower”) 800,000 - 800,000 25.00% -
1,010,162,616 (70,000,000) 940,162,616 87,731,408
Investments in other equity instruments - accumulated
changes in fair value
- Shenzhen Energy (a) 76,190,172 30,391,200 106,581,372
- Shanghai Shenergy (b) 54,040,357 119,394,337 173,434,694
- GMG Tendering (c) 8,028,000 4,356,000 12,384,000
- SCG (d) 719,966,000 (18,000,000) 701,966,000
- Sunshine Insurance (e) 1,680,000,000 (382,500,000) 1,297,500,000
- South Sea Wind Electricity (f) 500,870 (500,870) -
2,538,725,399 (246,859,333) 2,291,866,066
Total 3,548,888,015 (316,859,333) 3,232,028,682
The Group holds the voting rights of the above investees. However, the voting rights held by the Group is only related to the administrative management of
those investees, and the Group does not participate in or influence the financial and operating decisions of the above investees in any ways. Therefore, the
Group has no significant influence on the above investees, and accordingly they are accounted for as investments in other equity instruments.
- 207 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
4 Notes to the consolidated financial statements (Cont’d)
(10) Investments in other equity instruments (Cont’d)
(a) As at 31 December 2021, the Company held 15,120,000 tradable A shares in Shenzhen Energy
with fair value of RMB 122,472,000, and the investment cost was RMB 15,890,628. The
investment was stated at fair value with reference to the market price. During the year, gains on
fair value amounted to RMB 30,391,200 (2020: RMB 13,834,800), and other comprehensive
income was adjusted upwards accordingly.
(b) As at 31 December 2021, the Company held 55,532,250 tradable A shares in Shanghai Shenergy
with fair value of RMB 409,272,682, and the investment cost was RMB 235,837,988. The
investment was stated at fair value with reference to the market price. During the year, gains on
fair value amounted to RMB 119,394,337 (2020: Losses of RMB 32,764,028), and other
comprehensive income was adjusted upwards accordingly.
(c) As at 31 December 2021, the Company held 1,800,000 shares of GMG International Tendering
Co., Ltd. listed at the National Equities Exchange and Quotations system with fair value of RMB
15,984,000, and the investment cost was RMB 3,600,000. The investment was stated at fair value
with reference to the market price. During the year, gains on fair value amounted to RMB
4,356,000 (2020: RMB 4,446,000), and other comprehensive income was adjusted upwards
accordingly.
(d) As at 31 December 2021, the fair value of the equity that the Company held in SCG amounted to
RMB 1,030,000,000, and the investment cost was RMB 328,034,000. During the year, losses on
fair value amounted to RMB 18,000,000 (2020: Gains of RMB 82,263,440), and other
comprehensive income was adjusted downwards accordingly.
(e) As at 31 December 2021, the fair value of the equity that the Company held in Sunshine Insurance
amounted to RMB 1,653,500,000, and the investment cost was RMB 356,000,000. During the
year, losses on fair value amounted to RMB 382,500,000 (2020: Gains of RMB 268,000,000), and
other comprehensive income was adjusted downwards accordingly.
(f) In 2021, the proportion of equity that the Group held in South Sea Wind Electricity was increased.
Thus, the Group had significant impact on South Sea Wind Electricity, and the corresponding
investments were reclassified into long-term investments for subsequent measurement under the
equity method from investments in other equity instruments. Please refer to Note 4(9)(b)(ii).
- 208 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
4 Notes to the consolidated financial statements (Cont’d)
(11) Investment properties
Buildings Land use rights Total
Cost
- Opening balance
(Restated) 154,786,873 46,042,801 200,829,674
- Transfer from fixed
assets 353,943,904 - 353,943,904
- Ending balance 508,730,777 46,042,801 554,773,578
Accumulated depreciation
- Opening balance
(Restated) (59,400,045) (10,238,371) (69,638,416)
- Transfer from fixed
assets in the current
year (96,357,361) - (96,357,361)
- Increase in the current
year (a) (9,077,210) (903,659) (9,980,869)
- Ending balance (164,834,616) (11,142,030) (175,976,646)
Carrying amount
- Ending balance 343,896,161 34,900,771 378,796,932
- Opening balance
(Restated) 95,386,828 35,804,430 131,191,258
(a) In 2021, depreciation charged to investment properties amounted to RMB 9,980,869 (2020: RMB
5,949,030) among which depreciation expenses charged to cost of sale, and general and
administrative expenses were RMB 9,345,271 and RMB 635,598 (2020: RMB 5,179,214 and RMB
769,816) respectively.
(b) As at 31 December 2021, the Group had obtained land use right certificates for all of its lands,
except for lands with carrying amount of RMB 849,072 that were under approval procedures for
land use. After consulting the Group’s legal consultant, management believed that there were no
substantial legal obstacles in obtaining the certificates and no material adverse impact on the
normal operation of the Group would incur.
(12) Fixed assets
31 December 2021 31 December 2020
(Restated)
Fixed assets (a) 56,845,149,633 54,407,836,423
Disposals of fixed assets (b) 97,976,623 84,789,752
56,943,126,256 54,492,626,175
- 209 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
4 Notes to the consolidated financial statements (Cont’d)
(12) Fixed assets (Cont’d)
(a) Fixed assets
Buildings Power generation equipment Motor vehicles Other equipment Total
Self-use Self-use Self-use Self-use
Cost
31 December 2020 (Restated) 28,947,058,491 85,030,884,920 1,244,779,422 1,445,419,497 116,668,142,330
Changes in accounting policies (Note 2(28)(a)) - (3,889,828,294) - (3,889,828,294)
1 January 2021 28,947,058,491 81,141,056,626 1,244,779,422 1,445,419,497 112,778,314,036
Increase in the current year
Purchase 30,412,013 45,409,029 28,866,400 48,340,582 153,028,024
Transfers from construction in progress (ii) 3,274,405,597 6,137,970,869 338,354 32,332,660 9,445,047,480
Transfers from right-of-use assets - 1,000,000,000 - - 1,000,000,000
Donations received - 46,860 220,005 - 266,865
Business combinations involving
enterprises not under common control
(Note 5) 508,480,599 2,291,464,170 1,773,297 2,475,051 2,804,193,117
Decrease in the current year
Disposal and scrap (iii) (1,836,712,000) (967,649,047) (612,740,961) (49,191,253) (3,466,293,261)
Reclassification to other current assets (iv) (4,416,584) - - - (4,416,584)
Transfer to investment properties (353,943,904) - - - (353,943,904)
Decrease in disposals of subsidiaries in the
current year - - (800,665) (1,658,310) (2,458,975)
Others - Bohe capacity offset (v) (103,522,789) (477,609,287) - - (581,132,076)
31 December 2021 30,461,761,423 89,170,689,220 662,435,852 1,477,718,227 121,772,604,722
- 210 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
4 Notes to the consolidated financial statements (Cont’d)
(12) Fixed assets (Cont’d)
(a) Fixed assets
Buildings Power generation equipment Motor vehicles Other equipment Total
Self-use Self-use Self-use Self-use
Accumulated depreciation
31 December 2020 (Restated) (11,401,241,163) (48,106,419,592) (495,324,531) (1,037,460,071) (61,040,445,357)
Changes in accounting policies (Note 2(28)(a)) - 1,093,045,667 - - 1,093,045,667
1 January 2021 (11,401,241,163) (47,013,373,925) (495,324,531) (1,037,460,071) (59,947,399,690)
Increase in the current year
Provision (i) (694,666,739) (3,210,784,299) (42,640,700) (70,370,445) (4,018,462,183)
Transfers from right-of-use assets - (725,006,706) - - (725,006,706)
Decrease in the current year
Disposal and scrap (iii) 62,011,601 671,545,725 59,863,455 41,348,680 834,769,461
Transfer to investment properties 96,357,361 - - - 96,357,361
Decrease in disposals of subsidiaries in the
current year - - 560,354 1,626,205 2,186,559
31 December 2021 (11,937,538,940) (50,277,619,205) (477,541,422) (1,064,855,631) (63,757,555,198)
- 211 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
4 Notes to the consolidated financial statements (Cont’d)
(12) Fixed assets (Cont’d)
(a) Fixed assets
Power generation
Buildings equipment Motor vehicles Other equipment Total
Self-use Self-use Self-use Self-use
Provision for impairment
31 December 2020 (Restated) (207,861,077) (1,011,301,322) (422,918) (275,233) (1,219,860,550)
Changes in accounting policies (Note 2(28)(a)) - - - - -
1 January 2021 (207,861,077) (1,011,301,322) (422,918) (275,233) (1,219,860,550)
Increase in the current year
Provision (vi) (29,321,084) - - - (29,321,084)
Decrease in the current year
Disposal and scrap (iii) 654,594 78,627,149 - - 79,281,743
31 December 2021 (236,527,567) (932,674,173) (422,918) (275,233) (1,169,899,891)
Carrying amount
31 December 2021 18,287,694,916 37,960,395,842 184,471,512 412,587,363 56,845,149,633
31 December 2020 (Restated) 17,337,956,251 35,913,164,006 749,031,973 407,684,193 54,407,836,423
- 212 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
4 Notes to the consolidated financial statements (Cont’d)
(12) Fixed assets (Cont’d)
(a) Fixed assets (Cont’d)
As at 31 December 2020 and 31 December 2021, no power generation equipment or buildings were
pledged as collateral for long-term borrowings.
(i) In 2021, depreciation of fixed assets charged into cost of sale, general and administrative expenses,
construction in progress, research and development expenses and selling expenses are set out as
follows:
2021 2020
(Restated)
Cost of sale 3,912,557,499 3,765,330,261
General and administrative expenses 63,638,815 60,760,761
Research and development expenses 36,944,538 12,701,560
Construction in progress 4,583,607 6,584,299
Selling expenses 737,724 749,453
4,018,462,183 3,846,126,334
(ii) The costs of fixed assets transferred from construction in progress in the current year amounted to
RMB 9,445,047,480 (2020: RMB 14,882,218,996) (Note 4(13)(a)(i)).
(iii) The fixed assets disposed of during the year were mainly those of terminals of Bohe Energy, the net
fixed assets of terminals were RMB 2,365,468,792 (Note 4(13)(a)(i)), and the others were disposals
of used equipment.
- 213 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
4 Notes to the consolidated financial statements (Cont’d)
(12) Fixed assets (Cont’d)
(a) Fixed assets (Cont’d)
(iv) The generator units of Guangdong Yuejia Electric Co., Ltd. (“Yuejia Electric”) were shut down in
2010 and 2016. In 2020, pursuant to Guangdong Province’s work arrangement for restructuring
“zombie companies”, Yuejia Electric, a subsidiary of the Group decided to dispose corresponding
assets after shutting down of generator units. In 2021, buildings of Yuejia Electric with the carrying
amount of RMB 4,416,584 were transferred to other current assets.
(v) In 2020, Bohe Energy’s generator units were temporarily transferred to fixed assets,
corresponding to the estimated capacity as a result of “using large generator units and shutting
down small generator units”. In 2021, Bohe Energy signed capacity transfer agreements with
Guangdong Electric Power Development Co., Ltd., Shajiao A Power Plant (“Shajiao A Power
Plant”), Yuehua Power and Yunhe Power respectively, and fixed assets arising from such capacity
transfer were offset at the consolidated level.
(vi) Impairment of fixed assets
In 2021, movements of provision for impairment of fixed assets were as follows:
31 December Increase in
2020 the current Decrease in the 31 December
(Restated) year current year 2021
Yuehua Power (Note 1) 539,689,836 - (925,881) 538,763,955
Lincang Energy (Note 2) 200,601,657 - - 200,601,657
Bohe Energy (Note 3) 208,000,000 - - 208,000,000
Guangdong Red Bay Power Generation Co., Ltd. (“Red
Bay Power”) 48,597,529 - (3,547,982) 45,049,547
Guangdong Shaoguan Yuejiang Electric Power Co., Ltd.
(“Yuejiang Power”) 40,954,755 - (1,356,395) 39,598,360
Guangdong Energy Maoming Thermal Power Station
Co., Ltd. (“Maoming Thermal”) 29,751,684 - - 29,751,684
Guangdong Yudean Jinghai Power Co., Ltd. (“Jinghai
Power”) 22,228,873 - - 22,228,873
Shajiao A Power Plant (Note 4) 21,335,571 29,321,084 - 50,656,655
Zhanjiang Electric 18,822,875 - - 18,822,875
Yunhe Power (Note 5) 81,438,657 - (71,050,220) 10,388,437
Zhanjiang Zhongyue Energy Co., Ltd. (“Zhongyue
Energy”) 5,208,543 - (2,401,265) 2,807,278
Guangdong Huizhou Natural Gas Power Co., Ltd.
(“Huizhou Natural Gas”) 3,230,570 - - 3,230,570
1,219,860,550 29,321,084 (79,281,743) 1,169,899,891
- 214 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
4 Notes to the consolidated financial statements (Cont’d)
(12) Fixed assets (Cont’d)
(a) Fixed assets (Cont’d)
(vi) Impairment of fixed assets (Cont’d)
Impairment of related asset groups of certain subsidiaries that have suffered continuous operating
loss in recent years
In 2021 and previous years, certain subsidiaries of the Group were affected by sharp fluctuations in
price of coal for power generation, the marketisation of the electricity industry and other factors, and
there was continuous operating loss and indications of impairment, and the accumulated provision
for impairment at the excess of the carrying amount and the present value of the estimated future
cash flows of fixed assets in previous years was made. Taking into consideration risks that may
exist in the future, such as the instability of electricity demand and price of coal for power
generation, macro economy and other factors, the Group continuously assessed the impairment of
the above-mentioned subsidiaries’ power generation asset groups (mainly including fixed assets) in
2021.
Note 1 Yuehua Power shut down 5# generator unit at the end of 2019 and 6# generator unit at the end of
November 2020. The Group tested the recoverable amount of the asset groups of 5# and 6#
generator units that had been shut down, and made provision for impairment accordingly. At the
end of 2019, a provision for impairment of the related asset group of 5# generator unit amounting to
RMB 317,686,700 and a provision for impairment of the related asset group of 6# generator unit
amounting to RMB 251,426,700 were made. As at 31 December 2021, the balance of provision for
impairment was RMB 538,763,955.
Note 2 Due to the fierce competition in the hydroelectric power market in Yunnan Province, Lincang
Energy, a subsidiary of the Group, suffered from continuous operating loss. In previous years, the
Group had made a provision of RMB 200,601,657 for the impairment of fixed assets for the relevant
asset groups of generator units of Lincang Energy. In 2021, the Group continuously assessed the
impairment of the asset groups of generator units of Lincang Energy and found no further provision
for impairment was required.
Note 3 In 2020, Bohe Energy obtained approval from Guangdong Provincial Development and Reform
Committee. As the alternative capacity of some generator units could not be approved,
management expected that the alternative capacity of these units would not be available for
subsequent project construction or sale. Therefore, a provision of RMB 208,000,000 for impairment
of fixed assets was made to the capitalised acquisition cost of the alternative capacity of these
generator units. In 2021, the Group continuously assessed the impairment of the asset groups of
generator units of Bohe Energy and found no further provision for impairment was required.
Note 4 Shajiao A Power Plant 1# to 3# generator have been shut down in previous years, generator 4# and
5# are expected to be shut down before the end of 2023. In previous years, the Group carried out
accelerated depreciation for 1# to 5# generator, and made provision for impairment of power
generation equipment related to 1# to 3#, among which the depreciation amount corresponding to
the equipment that has been scrapped has been approved. Transfer out, as at December 31, 2020,
the balance of provision for impairment of fixed assets was RMB 21,335,571. In 2021, the Group
conducted another impairment test on the houses and buildings corresponding to 1#, 2# and 3#
generator of Shajiao A Power Plant and made provision for impairment of RMB 29,321,084.
- 215 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
4 Notes to the consolidated financial statements (Cont’d)
(12) Fixed assets (Cont’d)
(a) Fixed assets (Cont’d)
(vi) Accounting estimates on impairment of fixed assets (Cont’d)
Note 5 Yunhe Power’s 1# and 2# generator units have been shut down on 31 January 2018. The Group
made provision for impairment on the related asset for scrap and retirement of 1# and 2# generator
units that had been shut down. As at 31 December 2020, the balance of provision for impairment
totalled RMB 81,438,657. In 2021, Yunhe Power partly disposed of the related assets of generator
units that had been shut down, the accumulated provision for impairment on such disposals
amounted to RMB 71,050,220. As at 31 December 2021 the balance of provision for impairment
amounted to RMB 10,388,437.
- 216 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
4 Notes to the consolidated financial statements (Cont’d)
(12) Fixed assets (Cont’d)
(a) Fixed assets (Cont’d)
(vii) Fixed assets with pending certificates of ownership:
Reasons for not obtaining certificates
Carrying amount of ownership
Buildings 1,152,699,367 Awaiting government approval
As at 31 December 2021, after consulting the Group’s legal consultant, management believed that
there were no substantial legal obstacles in obtaining the certificates and no material adverse
impact on normal operation of the Group would occur.
(b) Fixed assets pending for disposal
31 December 2021 31 December 2020
(Restated)
Parts of power generation equipment 93,602,122 79,810,172
Other equipment 4,374,501 4,979,580
97,976,623 84,789,752
(13) Construction in progress
31 December 2021 31 December 2020
(Restated)
Construction in progress (a) 8,631,720,339 9,250,959,940
Construction materials 3,006,730 3,660,437
8,634,727,069 9,254,620,377
- 217 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
4 Notes to the consolidated financial statements (Cont’d)
(13) Construction in progress (Cont’d)
(a) Construction in progress
31 December 2021 31 December 2020 (Restated)
Provision for Carrying Provision for
Book balance impairment amount Book balance impairment Carrying amount
Yangjiang Shapa offshore wind power
project 4,383,633,467 - 4,383,633,467 1,451,718,258 - 1,451,718,258
Huadu thermal and power
cogeneration project 1,054,889,800 - 1,054,889,800 496,904,393 - 496,904,393
Wuxuan Hequn Plant Project 401,681,032 - 401,681,032 175,838,002 - 175,838,002
Xupu Wind Power Plant Project 387,948,275 - 387,948,275 104,382,440 - 104,382,440
Hunan Tongdao Dagaoshan wind
power plant project 310,381,142 - 310,381,142 114,806,165 - 114,806,165
Shajiao Ningzhou gas power project 253,652,368 - 253,652,368 89,785,770 - 89,785,770
Nanxiong Zhu’an Village Project 202,119,872 - 202,119,872 943,396 - 943,396
Zhaoqing Dinghu Natural Gas
Thermal Power Cogeneration
Project 120,337,569 - 120,337,569 28,883,921 - 28,883,921
Zhuhai Jinwan Electric offshore wind
power project 46,919,720 - 46,919,720 3,432,128,854 - 3,432,128,854
Pingyuan maoping project - - - 338,524,935 - 338,524,935
Bohe Coal integration project - - - 97,519,981 - 97,519,981
Qujie Wailuo offshore wind power
project (Phase II) - - - 896,786,215 - 896,786,215
Xinliao offshore wind power project - - - 772,822,903 - 772,822,903
Other infrastructure construction
projects 885,091,077 (272,760,362) 612,330,715 557,899,512 (283,142,471) 274,757,041
Other technology improvement
projects 866,456,689 (8,630,310) 857,826,379 983,787,976 (8,630,310) 975,157,666
- 218 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
8,913,111,011 (281,390,672) 8,631,720,339 9,542,732,721 - (291,772,781) - 9,250,959,940
- 219 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
4 Notes to the consolidated financial statements (Cont’d)
(13) Construction in progress (Cont’d)
(a) Construction in progress (Cont’d)
(i) Movements of major construction in progress
Transfer to fixed
Changes in assets in the Proportion of Accumulated Including: Capitalisation
31 December accounting Increase in the current year (Note Other 31 December investment to the Project capitalised Capitalised borrowing rate of Source of
Project name Budget 2020 (Restated) policies 1 January 2021 current year 4(12)(a)(ii)) movements (i) 2021 budget (%) progress borrowing costs costs for the year borrowing cost fund
Yangjiang Shapa Borrowings
offshore wind and own
power project 5,963,270,000 1,451,718,258 (149,876,657) 1,301,841,601 3,116,100,930 - (34,309,064) 4,383,633,467 86.56% 98.20% 156,062,173 114,826,313 3.79% funds
Huadu thermal
and power Borrowing
cogeneration and own
project 3,593,160,000 496,904,393 - 496,904,393 557,985,407 - - 1,054,889,800 29.85% 29.85% 38,456,114 25,245,103 3.83% funds
Borrowings
Wuxuan Hequn and own
Plant Project 482,580,000 175,838,002 - 175,838,002 238,028,412 - (12,185,382) 401,681,032 83.24% 99.50% 12,018,832 7,916,442 4.13% funds
Borrowings
Xupu Wind Power and own
Plant Project 464,185,841 104,382,440 - 104,382,440 298,617,430 - (15,051,595) 387,948,275 85.47% 78.00% 12,289,713 9,631,511 4.27% funds
Hunan Tongdao
Dagaoshan Borrowings
wind power and own
plant project 531,740,000 114,806,165 (42,240,044) 72,566,121 248,056,264 - (10,241,243) 310,381,142 83.96% 95.00% 9,716,266 9,534,264 4.29% funds
Shajiao Ningzhou Borrowings
gas power and own
project 5,927,600,000 89,785,770 - 89,785,770 163,866,598 - - 253,652,368 20.84% 22.88% 7,651,592 9,620,967 2.95% funds
Borrowings
Nanxiong Zhu’an and own
Village Project 451,810,000 943,396 - 943,396 205,353,888 - (4,177,412) 202,119,872 67.57% 85.00% 2,719,293 3,870,628 4.05% funds
Zhaoqing Dinghu
Natural Gas
Thermal
Power Borrowings
Cogeneration and own
Project 2,998,180,000 28,883,921 - 28,883,921 91,453,648 - - 120,337,569 4.54% 4.69% 4,710,321 4,586,627 3.23% funds
Zhuhai Jinwan
Electric Borrowings
offshore wind and own
power project 5,643,170,000 3,432,128,854 (285,812,172) 3,146,316,682 953,358,203 (3,883,470,204) (169,284,961) 46,919,720 72.47% 72.47% 120,150,149 50,676,995 4.16% funds
Pingyuan Borrowings
maoping and own
project 450,818,900 338,524,935 - 338,524,935 36,263,186 (361,379,200) (13,408,921) - 93.94% 93.94% 5,799,060 - - funds
Bohe Coal Borrowings
integration and own
project 11,037,075,900 97,519,981 - 97,519,981 93,063,743 - (190,583,724) - 82.25% 99.80% 467,317,923 594,543 4.26% funds
Qujie Wailuo
offshore wind Borrowings
power project and own
(Phase II) 3,789,120,000 896,786,215 (15,707,965) 881,078,250 1,689,200,452 (2,559,260,596) (11,018,106) - 81.48% 96.54% 62,826,480 45,889,751 4.14% funds
Xinliao offshore Borrowings
wind power and own
project 3,698,880,000 772,822,903 (419,647,262) 353,175,641 1,345,587,745 (1,686,163,227) (12,600,159) - 93.65% 95.85% 62,349,895 45,687,739 3.88% funds
Other
infrastructure Borrowings
construction and own
projects N/A 274,757,041 - 274,757,041 448,584,094 (111,010,420) - 612,330,715 20,104,896 7,079,097 3.84% funds
Other technology Borrowings
improvement and own
projects N/A 975,157,666 - 975,157,666 743,668,529 (843,763,833) (17,235,983) 857,826,379 1,335,162 - - funds
9,250,959,940 (913,284,100) 8,337,675,840 10,229,188,529 (9,445,047,480) (490,096,550) 8,631,720,339 983,507,869 335,159,980
- 220 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
- 221 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
4 Notes to the consolidated financial statements (Cont’d)
(13) Construction in progress (Cont’d)
(a) Construction in progress (Cont’d)
(i) Movements of major construction in progress (Cont’d)
Other movements of construction in progress for the year mainly include net income from trial operation of RMB 282,276,843, terminal projects disposed of
by Bohe Energy with a carrying amount of RMB 190,583,724, and construction in progress of RMB 17,235,983 that was completed and transferred to
intangible assets. The increase in construction in progress in the current year includes an increase of RMB 16,306,469 in business combinations involving
entities not under common control.
In 2021, in order to optimise the Company's asset structure and promote high-quality development, Bohe Energy, a subsidiary of the Group, disposed of
the terminal assets to Industry Fuel at a transaction price of RMB 2,800,327,000 (excluding tax). Among them, net value of disposed fixed assets amounted
to RMB 2,365,468,792, net intangible assets amounted to RMB 35,500,795 and net construction in progress mounted to RMB 190,583,724. As at 31
December 2021, book balance of receivables from disposals of terminal assets of Bohe Energy amounted to RMB 1,602,258,185, and RMB 1,600,910,823
was recovered in March 2022. The remaining unrecovered amount is the property insurance taken out on behalf of the policyholder, which is expected to
be recovered in 2022.
(ii) As at 31 December 2020, construction in progress included part of power generation equipment arising from finance leases. As at 1 January 2021, in
applying the new lease standard, power generation equipment with carrying amount of RMB 913,284,100 was transferred from construction in progress to
right-of-use assets.
- 222 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
4 Notes to the consolidated financial statements (Cont’d)
(13) Construction in progress (Cont’d)
(a) Construction in progress (Cont’d)
(iii) Provision for impairment of construction in progress
31 December
2020 Decrease in the 31 December
Item (Restated) current year 2021 Reason for provision
Humen Electric 2*1000MW project (Note 1) (137,373,040) - (137,373,040) Stoppage of construction
Impairment of upfront expenses for 5# and 6# Impairment of upfront expenses
generator units of Jinghai (55,389,093) - (55,389,093) for construction in progress
Impairment of upfront expenses for Impairment of upfront expenses
Guangdong Wind Power project (50,166,211) 7,027,980 (43,138,231) for construction in progress
Impairment of upfront expenses for 5# and 6# Impairment of upfront expenses
generator units of Red Bay (26,446,447) - (26,446,447) for construction in progress
Impairment of upfront expenses
Others (22,397,990) 3,354,129 (19,043,861) for construction in progress
(291,772,781) 10,382,109 (281,390,672)
- 223 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
4 Notes to the consolidated financial statements (Cont’d)
(14) Right-of-use assets
Machinery and Motor
Buildings equipment vehicles Total
Cost
31 December 2020 — — — —
Changes in accounting
policies 19,797,657 4,805,366,820 604,275 4,825,768,752
1 January 2021 19,797,657 4,805,366,820 604,275 4,825,768,752
Increase in the current year
New lease contracts 39,928,531 1,995,183,162 7,830,270 2,042,941,963
Decrease in the current
year
Transfer to fixed assets - (1,000,000,000) - (1,000,000,000)
31 December 2021 59,726,188 5,800,549,982 8,434,545 5,868,710,715
Accumulated depreciation
31 December 2020 — — — —
Changes in accounting
policies - (1,093,045,670) - (1,093,045,670)
1 January 2021 - (1,093,045,670) - (1,093,045,670)
Increase in the current year
Provision (a) (17,358,410) (225,035,196) (2,153,166) (244,546,772)
Decrease in the current
year
Transfer to fixed assets - 725,006,706 - 725,006,706
31 December 2021 (17,358,410) (593,074,160) (2,153,166) (612,585,736)
Carrying amount
31 December 2021 42,367,778 5,207,475,822 6,281,379 5,256,124,979
31 December 2020 — — — —
(a) In 2021, depreciation charged to right-of-use assets was RMB 244,546,772, among which
depreciation expenses charged to cost of sale, general and administrative expenses, selling
expenses and construction in progress were RMB 165,463,009, RMB 11,428,272, RMB 2,747,235
and RMB 64,908,256 respectively.
(b) Right-of-use assets arising from significant finance lease
Increase in the Depreciation in Transfer to fixed 31 December
1 January 2021 current year the current year assets 2021
Qujie Wind Power 1,111,138,796 1,411,660,210 (75,533,519) - 2,447,265,487
Bohe Energy 989,315,557 - (47,721,709) - 941,593,848
Yuejiang Power 757,452,862 - (48,117,354) - 709,335,508
Yangjiang Wind Power 149,876,657 330,164,858 (18,148,605) - 461,892,910
Zhuhai Wind Power 285,812,173 168,470,916 (11,241,440) - 443,041,649
Guangdong Xinhui
Power Generation
Co., Ltd. (“Xinhui
Power”) 95,991,769 - (13,899,799) - 82,091,970
Tongdao Company 42,240,044 25,344,027 (4,053,231) - 63,530,840
Nanxiong New Energy - 58,886,462 (1,899,510) - 56,986,952
Jinghai Power 278,238,869 - (3,245,575) (274,993,294) -
- 224 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
3,710,066,727 1,994,526,473 (223,860,742) (274,993,294) 5,205,739,164
- 225 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
4 Notes to the consolidated financial statements (Cont’d)
(15) Intangible assets
Use rights of the
associated projects for Non-patent
electricity transmission Favorable technology and
and transformation Land use rights Sea use rights Software contract others Total
Cost
31 December 2020 (Restated) 260,331,315 2,894,539,357 129,906,544 182,597,453 - 38,656,100 3,506,030,769
Increase in the current year
Purchase - 174,876,591 - 15,116,764 - 612,549 190,605,904
Transfer from construction in
progress (Note 4(13)(a)(i)) - - - 17,001,433 - 234,550 17,235,983
Business combinations involving
enterprises not under common
control - 65,084,734 - - 52,211,380 - 117,296,114
Decrease in the current year
Disposal (d) - (68,076,209) (40,649,765) (663,051) - - (109,389,025)
31 December 2021 260,331,315 3,066,424,473 89,256,779 214,052,599 52,211,380 39,503,199 3,721,779,745
Accumulated amortisation
31 December 2020 (Restated) (260,331,315) (493,937,866) (28,180,513) (122,805,324) - (27,967,766) (933,222,784)
Increase in the current year
Provision (a) - (61,319,563) (2,132,440) (15,575,382) (3,085,641) (1,463,852) (83,576,878)
Decrease in the current year
Disposal (d) - 4,783,456 5,148,970 316,210 - 10,248,636
31 December 2021 (260,331,315) (550,473,973) (25,163,983) (138,064,496) (3,085,641) (29,431,618) (1,006,551,026)
Provision for impairment
31 December 2020 (Restated) - (56,502,373) - - - - (56,502,373)
Decrease in the current year - - - - - - -
31 December 2021 - (56,502,373) - - - - (56,502,373)
Carrying amount
31 December 2021 - 2,459,448,127 64,092,796 75,988,103 49,125,739 10,071,581 2,658,726,346
31 December 2020 (Restated) - 2,344,099,118 101,726,031 59,792,129 - 10,688,334 2,516,305,612
- 226 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
4 Notes to the consolidated financial statements (Cont’d)
(15) Intangible assets (Cont’d)
(a) In 2021, amortisation charged to intangible assets was RMB 83,576,878, with cost of sale of RMB
4,225,762, general and administrative expenses of RMB 71,354,033, construction in progress of
RMB 7,581,319 and research and development expenses of RMB 415,764 respectively (In 2020,
amortisation charged to intangible assets was RMB 74,722,057, with cost of sale of RMB 8,451,
general and administrative expenses of RMB 68,960,533 and construction in progress of RMB
4,750,588 and research and development expenses of RMB 1,002,485 respectively).
(b) As at 31 December 2021, the Group had obtained land use right certificates for all of its lands,
except for lands with carrying amount of RMB 40,485,578 (31 December 2020: RMB 50,904,322)
that were under approval procedures for land use. After consulting the Group’s legal consultant,
management believed that there were no substantial legal obstacles in obtaining the certificates
and no material adverse impact on the normal operation of the Group would incur.
(c) In 2021, the Group’s expenditures on research and development amounting to RMB 584,714,979
(2020: RMB 324,923,064) were all recognised as research and development expenses in the
current period (Note 4(46)). As at 31 December 2021, there were no intangible assets arising from
internal research and development of the Group.
(d) In 2021, the disposals of intangible assets of the Group mainly represented the disposal of the sea
use rights of Bohe Energy, a subsidiary of the Group (Note 4(13)(a)(i)), with a net asset value of
RMB 35,500,795, and the disposals of land use rights of the Group's subsidiaries, Lincang Energy,
Yunhe Power and Xinhui Power, with the net asset value of RMB 63,292,753.
- 227 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
4 Notes to the consolidated financial statements (Cont’d)
(16) Goodwill
31 December 2021 31 December 2020
(Restated)
Goodwill -
Tumxuk Thermal Power Co., Ltd.
(“Tumxuk”) (Note 5(2)(b)) 119,488,672 -
Guangdong Yueneng Datang New
Energy Co., Ltd. (“Datang New
Energy”) (Note 5(2)(b)) 11,885,484 -
Nanhua New Energy (Note 5(2)(b)) 6,158,995 -
Others 27,486,780 27,486,780
165,019,931 27,486,780
Less: Provision for impairment -
Others (25,036,894) (25,036,894)
139,983,037 2,449,886
(17) Long-term prepaid expenses
31 December Amortisation in
2020 Increase in the the current 31 December
(Restated) current year year 2021
Improvements to right-of-use
assets 8,539,500 2,281,783 (2,856,162) 7,965,121
Others 19,805,469 5,538,905 (2,974,194) 22,370,180
28,344,969 7,820,688 (5,830,356) 30,335,301
- 228 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
4 Notes to the consolidated financial statements (Cont’d)
(18) Deferred tax assets and deferred tax liabilities
(a) Deferred tax assets before offsetting
31 December 2021 31 December 2020 (Restated)
Deductible Deductible
temporary temporary
differences and differences and
deductible tax Deferred tax deductible tax
losses assets losses Deferred tax assets
Deductible losses 3,189,847,440 758,900,259 890,827,344 220,317,509
Provision for asset
impairment 444,961,087 109,842,258 557,781,064 139,220,906
Net income from trial
operation included in
construction in progress 504,079,323 113,559,371 234,870,149 54,608,985
Unrealised profits from
intra-group transactions 685,896,928 171,474,232 148,814,504 37,203,626
Employee benefits payable 305,163,061 73,089,625 183,785,307 45,946,326
Government grants 95,459,260 23,306,593 112,677,436 28,169,359
Depreciation of fixed assets 74,881,083 18,720,271 74,700,511 18,675,127
Amortisation of intangible
assets 4,028,407 1,007,101 4,526,232 1,131,558
5,304,316,589 1,269,899,710 2,207,982,547 545,273,396
Including:
Expected to be recovered
within 1 year (inclusive) 115,084,638 100,137,637
Expected to be recovered
after 1 year 1,154,815,072 445,135,759
1,269,899,710 545,273,396
(b) Deferred tax liabilities before offsetting
31 December 2021 31 December 2020 (Restated)
Taxable temporary Deferred tax Taxable temporary Deferred tax
differences liabilities differences liabilities
Changes in fair value of
investments in other equity
instruments included in
other comprehensive
income (2,291,866,066) (572,966,517) (2,538,725,399) (634,681,350)
Net expenses in trial
operation included in
construction in progress (89,727,430) (22,431,857) (96,051,849) (24,012,962)
Revaluation reserve of
business combinations
involving enterprises not
under common control (272,521,240) (68,130,309) (56,290,560) (14,072,640)
Amortisation of land use
rights (15,685,439) (3,921,360) (16,068,632) (4,017,158)
Interest receivable (10,071,856) (2,517,964) (6,620,900) (1,655,226)
Depreciation of fixed assets (2,388,981) (597,247) (2,996,100) (749,025)
(2,682,261,012) (670,565,254) (2,716,753,440) (679,188,361)
Including:
Expected to be recovered
within 1 year (inclusive) (10,368,799) (9,629,576)
Expected to be recovered
after 1 year (660,196,455) (669,558,785)
(670,565,254) (679,188,361)
- 229 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
4 Notes to the consolidated financial statements (Cont’d)
(18) Deferred tax assets and deferred tax liabilities (Cont’d)
(c) Deductible temporary differences and deductible losses that are not recognised as deferred tax
assets are analysed as follows:
31 December 2021 31 December 2020
(Restated)
Deductible temporary differences 1,839,401,194 1,726,741,514
Deductible losses 5,808,689,992 2,100,666,365
7,648,091,186 3,827,407,879
(d) Deductible tax losses that are not recognised as deferred tax assets will be expired in following
years:
31 December 2021 31 December 2020
(Restated)
2021 - 134,978,486
2022 679,470,193 628,529,972
2023 810,630,290 670,390,708
2024 173,024,661 153,029,742
2025 598,674,880 513,737,457
2026 3,546,889,968 -
5,808,689,992 2,100,666,365
Management believed that as at the maturity date for the above deductible losses, the relevant
subject of tax payment has no sufficient taxable profits to deduct the above deductible losses;
therefore, no related deferred tax asset was recognised.
(e) The net balances of deferred tax assets and deferred tax liabilities after offsetting are as follows:
31 December 2021 31 December 2020 (Restated)
Offsetting Balance after Offsetting Balance after
amount offsetting amount offsetting
Deferred tax assets (34,810,493) 1,235,089,217 (40,615,690) 504,657,706
Deferred tax liabilities 34,810,493 (635,754,761) 40,615,690 (638,572,671)
- 230 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
4 Notes to the consolidated financial statements (Cont’d)
(19) Other non-current assets
31 December 2021 31 December 2020
(Restated)
Input VAT to be deducted 2,207,784,437 886,324,321
Construction and equipment expenses prepaid 2,098,565,376 1,835,340,954
Unrealised losses on sales and leaseback (a) 196,168,230 209,580,144
Prepayment for land use rights 166,211,424 133,755,587
Deposits prepaid for equity acquisition (b) 80,000,000 80,000,000
Prepayments for purchase of buildings (c) 58,318,764 -
Prepayment for equity acquisition - 113,381,000
Others 3,203,403 2,054,516
4,810,251,634 3,260,436,522
(a) Unrealised losses on sales and leaseback are the difference between the selling price of the
power generation equipment and its carrying amount, and was depreciated based on the
depreciation progress of the leaseback power generation equipment. In 2021, the unrealised
losses on sales and leaseback, which were amortised in depreciation expenses in cost of sale,
amounted to RMB 13,411,914 (2020: RMB: 13,577,182).
(b) In July 2020, the Group’s subsidiary Guangdong Wind Power and Beijing Guangdun New Energy
Technology Co., Ltd. (“Guangdun New Energy”) signed the Equity Acquisition Framework
Agreement of Dacheng County Dun‘An New Energy Co., Ltd. The agreement stipulated that if the
Ziya River wind power plant project of Dacheng County Dun‘An New Energy Co., Ltd. (“Dun’An
New Energy”) (a wholly-owned subsidiary of Guangdun New Energy) was put into operation
before 31 December 2022, Guangdong Wind Power acquired 100% equity of Dun’An New Energy
from Guangdun New Energy. In December 2020, Guangdong Wind Power paid the equity
acquisition deposit of RMB 80,000,000 in accordance with the agreement. Due to the uncertainty
of pre-conditions regarding the acquisition of underlying equity and the fact that the deposit is
recoverable after the actual closing date of the equity acquisition and does not constitute a part of
the acquisition, the deposit is included in other non-current assets.
(c) In July 2021, the Group’s subsidiary Guangdong Yudean Yongan Natural Gas Thermal Power
Co., Ltd. (“Yongan Natural Gas”) signed a contract with Zhaoqing Jingyue Technology
Development Co., Ltd to purchase or sell commercial housing. As at 31 December 2021, Yongan
Natural Gas prepaid a total of RMB 58,318,764 for 67 units of commercial housing. Due to
outstanding final payment, the ownership of the commercial housing has not yet been transferred
to Yongan Natural Gas, which were included in other non-current assets
- 231 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
4 Notes to the consolidated financial statements (Cont’d)
(20) Provision for asset impairment and losses
31 December Increase in the Reversal in the Write-off/Charge-off in
2020 (Restated) current year current year the current year Others 31 December 2021
Provision for bad debts of accounts
receivables (292,314) (263,506) 292,314 - - (263,506)
Including: Provision for bad debts on a
collective basis (292,314) (263,506) 292,314 - - (263,506)
Provision for bad debts of other
receivables (212,396,328) (22,488,667) 692,002 196,445,016 - (37,747,977)
Sub-total (212,688,642) (22,752,173) 984,316 196,445,016 - (38,011,483)
Provision for impairment of advances to
suppliers (803,017) - - 688,017 - (115,000)
Provision for decline in the value of
inventories (55,286,132) - - 21,241,524 - (34,044,608)
Provision for impairment of contract
assets (12,512) (9,377) - - - (21,889)
Provision for impairment of long-term
equity investments (96,327,854) - - - (20,819,280) (117,147,134)
Provision for impairment of fixed assets (1,219,860,550) (29,321,084) - 79,281,743 - (1,169,899,891)
Provision for impairment of construction
in progress (291,772,781) - - 10,382,109 - (281,390,672)
Provision for impairment of intangible
assets (56,502,373) - - - - (56,502,373)
Provision for impairment of goodwill (25,036,894) - - - - (25,036,894)
Sub-total (1,745,602,113) (29,330,461) - 111,593,393 (20,819,280) (1,684,158,461)
(1,958,290,755) (52,082,634) 984,316 308,038,409 (20,819,280) (1,722,169,944)
- 232 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
4 Notes to the consolidated financial statements (Cont’d)
(21) Short-term borrowings
31 December 2021 31 December 2020
(Restated)
Principal
Credit loan 12,052,146,729 7,908,670,202
Guaranteed loan 297,000,000 -
Sub-total 12,349,146,729 7,908,670,202
Interest
Credit loan 10,801,804 7,770,686
Guaranteed loan 347,896 -
12,360,296,429 7,916,440,888
(a) As at 31 December 2021, the annual interest rates of the short-term borrowings ranged from
2.77% to 3.85% (31 December 2020: 2.85% to 4.35%).
(b) As at 31 December 2021, the principal of short-term credit loan provided by related party Energy
Group Finance Company amounted to RMB 4,977,136,729 (31 December 2020: RMB
4,683,000,000) (Note 8(6)). Interest payable of short-term borrowings to Energy Group Finance
Company amounted to RMB 3,142,408 (31 December 2020: RMB 5,026,812).
(c) As at 31 December 2021, bank borrowings of RMB 297,000,000 (31 December 2020: Nil) were
guaranteed by Xinjiang Jintai Electric Power Co., Ltd., a minority shareholder of the subsidiary
Tumxuk.
(22) Notes payables
31 December 2021 31 December 2020
(Restated)
Bank acceptance notes 1,728,780,000 1,132,292,546
Trade acceptance notes 180,000,000 120,000,000
1,908,780,000 1,252,292,546
- 233 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
4 Notes to the consolidated financial statements (Cont’d)
(23) Accounts payables
31 December 2021 31 December 2020
(Restated)
Fuel payable 4,847,384,749 2,308,693,597
Contracted operation expenses payable 1,101,296,490 472,060,383
Materials and spare parts payable 501,756,882 423,527,246
Repair expenses payable 99,748,099 59,172,241
Management fees payable for frequency
modulation and energy storage 319,986 11,686,819
Settlement payable for power transactions - 41,580,819
Others 76,060,858 83,663,703
6,626,567,064 3,400,384,808
(a) As at 31 December 2021, accounts payables with ageing over one year amounted RMB 51,399,876
(31 December 2020: RMB 43,388,226), mainly including unsettled fuel payable and materials
payable.
(24) Contract liabilities
31 December 2021 31 December 2020
(Restated)
Advances for services 5,146,636 7,812,895
Advances from others 718,175 611,504
5,864,811 8,424,399
As disclosed in Note 5(2), due to business combinations involving enterprises not under common
control in the current year, the amount of contract liabilities increased by RMB 829,227.
- 234 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
4 Notes to the consolidated financial statements (Cont’d)
(25) Employee benefits payable
31 December 2021 31 December 2020
(Restated)
Short-term employee benefits payable (a) 348,069,102 307,441,374
Defined contribution plans payable (b) 3,092,268 3,087,318
Early retirement benefits payable (c) 62,450,865 40,365,508
Defined benefit plans payable (c) 8,400,995 9,302,574
422,013,230 360,196,774
(a) Short-term employee benefits
31 December
2020 Increase in the Decrease in the 31 December
(Restated) current year current year 2021
Wages and salaries,
bonus, allowances and
subsidies 1,298,726 1,671,548,869 (1,661,703,785) 11,143,810
Staff welfare 4,914,137 168,058,490 (167,936,983) 5,035,644
Social security
contributions 160,202,319 143,910,740 (119,706,336) 184,406,723
Including: Medical
insurance 160,202,319 134,610,710 (110,406,426) 184,406,603
Work injury
insurance - 1,941,286 (1,941,166) 120
Maternity
insurance - 7,358,744 (7,358,744) -
Housing funds - 170,202,395 (170,197,595) 4,800
Labour union funds and
employee education
funds 132,237,912 65,375,465 (57,216,730) 140,396,647
Other short-term employee
benefits 8,788,280 96,899,782 (98,606,584) 7,081,478
307,441,374 2,315,995,741 (2,275,368,013) 348,069,102
(b) Defined contribution plans
31 December
2020 Increase in the Decrease in the 31 December
(Restated) current year current year 2021
Basic pensions - 196,652,187 (196,647,387) 4,800
Unemployment insurance - 4,804,446 (4,804,296) 150
Enterprise annuity
contribution 3,087,318 123,889,703 (123,889,703) 3,087,318
3,087,318 325,346,336 (325,341,386) 3,092,268
(c) The remuneration for internal retirement and the expenses for retirees that are expected to be paid
within one year from the date of the balance sheet are listed as the internal retirement benefits
payable and the defined benefit plan payable, respectively. Please refer to Note 4(35)(a) and (b) for
details.
- 235 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
4 Notes to the consolidated financial statements (Cont’d)
(26) Taxes payable
31 December 2021 31 December 2020
(Restated)
Unpaid VAT 145,874,436 358,082,465
Enterprise income tax payable 91,420,743 180,605,179
Land VAT payable 80,216,700 -
Property tax payable 77,307,640 78,426
Individual income tax payable 29,777,458 24,712,909
Land use tax payable 21,588,871 -
City maintenance and construction tax
payable 16,340,357 4,788,360
Educational surcharge payable 12,684,138 3,952,049
Pollution discharge fee payable and
environmental protection tax payable 8,946,714 2,579,765
Water resource fee payable 3,837,196 4,690,504
Others 14,308,822 1,410,349
502,303,075 580,900,006
(27) Other payables
31 December 2021 31 December 2020
(Restated)
Construction and equipment expenses
payable 7,210,562,333 6,370,252,994
Payables for equity acquisition (b) 2,501,436,910 -
Project warranty payable 228,942,252 286,507,782
Generator unit capacity payable (c) 219,849,057 830,188,680
Carbon emission allowances 103,819,285 38,901,591
State Oceanic Administration penalty
payable 11,531,700 11,531,700
Dividends payable to non-tradable owners of
the Company (d) 9,771,322 9,771,322
Penalty payable 8,604,039 7,855,013
Others 275,246,880 259,563,787
10,569,763,778 7,814,572,869
(a) As at 31 December 2021, other payables of RMB 2,564,331,490 (31 December 2020: RMB
2,645,582,922) aged over one year mainly represented (i) construction and equipment expenses
payable and warranty payable not being settled because the comprehensive acceptance and
settlement of relevant projects were yet to be completed or projects were still within their warranty
periods; and (ii) State Oceanic Administration penalty payable not being paid because judicial
proceedings related to the penalty had not been completed.
- 236 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
4 Notes to the consolidated financial statements (Cont’d)
(27) Other payables (Cont’d)
(b) In 2021, Company acquired 51% equity of Sha C Company, 90% equity of Yunhe Power and 51%
equity of Yuehua Power in cash, with the transaction price of RMB 3,743,601,641. As at 31
December 2021, there were payables for equity acquisition of RMB 2,501,436,910 that had not
been paid yet. Under the equity acquisition agreement, the remaining payment for equity acquisition
will be paid in 2022.
(c) As at 31 December 2021, 1# and 2# generator units of Bohe Energy had been completed and were
temporarily transferred to fixed assets. Generator unit capacity payable by Bohe Energy was
estimated to be RMB 219,849,057 based on the capacity index of thermal power generator units.
(d) The above dividend payable refers to dividend payable for non-tradable shares reform that is in the
process of completing necessary formalities. The payment will be arranged after the formalities are
completed.
- 237 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
4 Notes to the consolidated financial statements (Cont’d)
(28) Current portion of non-current liabilities
31 December 2021 31 December 2020
(Restated)
Principal
Current portion of long-term borrowings (Note
4(30)) 2,647,033,789 1,482,779,404
Current portion of long-term payables (Note
4(33)) - 262,936,379
Current portion of debentures payable (Note
4(31)) - 1,498,700,741
Current portion of lease liabilities (Note 4(32)) 870,864,067 —
Sub-total 3,517,897,856 3,244,416,524
Interest
Current portion of long-term borrowings 58,195,726 31,472,412
Current portion of long-term payables - 566,666
Current portion of debentures payable 121,526,171 45,666,333
Sub-total 179,721,897 77,705,411
3,697,619,753 3,322,121,935
- 238 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
4 Notes to the consolidated financial statements (Cont’d)
(29) Other current liabilities
31 December 2021 31 December 2020
(Restated)
Short-term debentures payable 1,007,871,233 3,216,900,546
Output VAT to be written off 650,577,773 623,030
1,658,449,006 3,217,523,576
Related information of short-term debentures payable is as follows:
31 December Amortisation of
Issuance Maturity Issuance 2020 Issued in the Interest at face discounts or Repayments for 31 December
Par value date period amount (Restated) current year value premium the year 2021
Second batch of super short-term
financing notes issued by
Guangdong Electric Power 172
Development Co., Ltd., 2020 1,600,000,000 10/08/2020 days 1,600,000,000 1,611,440,000 - 2,131,507 - (1,613,571,507) -
Third batch of super short-term
financing notes issued by
Guangdong Electric Power 178
Development Co., Ltd., 2020 1,600,000,000 10/11/2020 days 1,600,000,000 1,605,460,546 - 13,656,166 - (1,619,116,712) -
First batch of super short-term
financing notes issued by
Guangdong Electric Power 178
Development Co., Ltd., 2021 800,000,000 25/01/2021 days 800,000,000 - 800,000,000 10,338,630 - (810,338,630) -
Second batch of super short-term
financing notes issued by
Guangdong Electric Power 178
Development Co., Ltd., 2021 1,000,000,000 23/08/2021 days 1,000,000,000 - 1,000,000,000 7,871,233 - - 1,007,871,233
5,000,000,000 5,000,000,000 3,216,900,546 1,800,000,000 33,997,536 - (4,043,026,849) 1,007,871,233
In 2021, the interest rate of super-short term financing notes issued by the Company was from 1.80% to 2.21% (2020: 1.80% to 2.45%).
- 239 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
4 Notes to the consolidated financial statements (Cont’d)
(30) Long-term borrowings
31 December 2021 31 December 2020
(Restated)
Principal
Pledged loan (a) 6,002,119,898 4,193,207,913
Guaranteed loan (b) 1,726,100,000 77,500,000
Credit loan 23,859,391,747 19,134,752,031
Sub-total 31,587,611,645 23,405,459,944
Interest
Pledged loan 5,296,939 5,273,499
Guaranteed loan 5,916,028 429,160
Credit loan 46,982,759 25,769,753
Sub-total 58,195,726 31,472,412
31,645,807,371 23,436,932,356
Less: Current portion of long-term
borrowings (Note 4(28))
Principal
Pledged loan (386,056,214) (298,558,767)
Guaranteed loan (126,400,000) (1,400,000)
Credit loan (2,134,577,575) (1,182,820,637)
Sub-total (2,647,033,789) (1,482,779,404)
Interest
Pledged loan (5,296,939) (5,273,499)
Guaranteed loan (5,916,028) (429,160)
Credit loan (46,982,759) (25,769,753)
Sub-total (58,195,726) (31,472,412)
(2,705,229,515) (1,514,251,816)
Total 28,940,577,856 21,922,680,540
- 240 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
4 Notes to the consolidated financial statements (Cont’d)
(30) Long-term borrowings (Cont’d)
(a) Pledged loan
As at 31 December 2021, the charge right for electricity was treated as pledge for long-term
pledged loan for some subsidiaries:
(b) Guaranteed loan
As at 31 December 2021, the balance of the Group’s subsidiary Xuwen Wind Power’s long-term
borrowings from Energy Group Finance Company was RMB 7,100,000, including current portion of
long-term borrowings of RMB 1,400,000, which was secured by Zhanjiang Wind Power (2020: RMB
8,500,000, including current portion of long-term borrowings amounting to RMB 1,400,000). The
annual interest rate of the loan is 4.26% (2020: 4.26%), and the maturity date is 28 November 2031.
As at 31 December 2021, the balance of the Group’s subsidiary Qujie Wind Power’s long-term
borrowings from China Clean Development Mechanism Fund was RMB 69,000,000 (2020:
69,000,000), which was guaranteed by Energy Group Finance Company. The annual interest rate
of the loan is 3.26% (2020: 3.46%), and the maturity date is 7 May 2025.
As at 31 December 2021, the Group’s subsidiary Tumxuk, obtained guaranteed borrowings of RMB
1,500,000,000 (31 December 2020: Nil) from Shanghai Pudong Development Bank Co., Ltd.
Kashgar Branch, China Guangfa Bank Kashgar Branch and Bank of Urumqi Kashgar Branch,
including current portion of long-term borrowings amounting to RMB 125,000,000 (guaranteed by
the long-term borrowings guarantor, the Third Division of Xinjiang Production and Construction
Corps), with the annual interest rate of 4.90% (2020: Nil) and the maturity date of 27 June 2032.
(c) As at 31 December 2021, the annual interest rate of long-term borrowings ranged from 0.80% to
4.90% (31 December 2020: 1.30% to 4.41%).
- 241 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
4 Notes to the consolidated financial statements (Cont’d)
(31) Debentures payable
Transferred to
31 December Amortisation of current portion of
2020 Issued in the current discounts or non-current
(Restated) year premium liabilities 31 December 2021
21 Pinghai Bond 01 (a) - 200,000,000 (78,516) - 199,921,484
21 Pinghai Power MTN001 (b) - 300,000,000 (787,122) - 299,212,878
20 Yudean Bond 01 (c) 1,499,542,911 - 105,661 - 1,499,648,572
21 Yudean Bond 01 (d) - 1,000,000,000 (75,472) - 999,924,528
21 Yudean Bond 02 (e) - 1,500,000,000 (144,340) - 1,499,855,660
21 Yudean Bond 03 (f) - 800,000,000 (364,780) - 799,635,220
21 Yudean Faneng MTN001 (g) - 1,200,000,000 (1,703,142) - 1,198,296,858
21 Yudean Faneng MTN002 (h) - 2,200,000,000 (3,411,778) - 2,196,588,222
1,499,542,911 7,200,000,000 (6,459,489) - 8,693,083,422
(a) As approved by CSRC Circular SFC License [2020] No. 1771, the Group’s subsidiary Pinghai Power issued 2-year book-entry corporate
debentures in real-name system with face value of RMB 200,000,000 (“21 Pinghai Bond 01”) to the public on 4 June 2021. The Group altogether
raised RMB 199,880,000 after deducting an issue expense of RMB 120,000. The loan is subject to an annual interest rate of 3.57% starting from 4
June 2021 and should be payable annually on simple interest. As at 31 December 2021, debentures payable were measured at amortised cost
using effective interest method, with the effective interest rate of 3.60%.
- 242 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
4 Notes to the consolidated financial statements (Cont’d)
(31) Debentures payable (Cont’d)
(b) The Group’s subsidiary Pinghai Power’s application for registration of middle-term notes has been
accepted by the National Association of Financial Market Institutional Investors at its 118th
meeting in 2020. The registered amount of RMB 800,000,000 would be valid for 2 years starting
from 23 November 2020. On 15 October 2021, Pinghai Power issued 3-year middle-term notes
with face value of RMB 300,000,000 in the interbank market (“21 Pinghai Power MTN001”). The
Group altogether raised RMB 299,100,000 after deducting an issue expense of RMB 900,000. The
loan is subject to an annual interest rate of 3.72% starting from 15 October 2021 and should be
payable annually on simple interest. As at 31 December 2021, debentures payable were
measured at amortised cost using effective interest method, with the effective interest rate of
3.83%.
(c) As approved by CSRC Circular SFC License [2019] No. 2477, the Company issued 5-year
book-entry corporate debentures in real-name system with face value of RMB 1,500,000,000 (“20
Yudean Bond 01”) to the public on 29 April 2020. The Company altogether raised RMB
1,499,471,698 after deducting an issue expense of RMB 528,302. The loan is subject to an annual
interest rate of 2.45% starting from 29 April 2020 and should be payable annually on simple
interest. As at 31 December 2021, debentures payable were measured at amortised cost using
effective interest method, with the effective interest rate of 2.46%.
(d) As approved by CSRC Circular SFC License [2019] No. 2477, the Company issued 3-year
book-entry corporate debentures in real-name system with face value of RMB 1,000,000,000 (“21
Yudean Bond 01”) to the public on 27 January 2021. The Company altogether raised RMB
999,848,386 after deducting an issue expense of RMB 151,614. The loan is subject to an annual
interest rate of 3.57% starting from 27 January 2021 and should be payable annually on simple
interest. As at 31 December 2021, debentures payable were measured at amortised cost using
effective interest method, with the effective interest rate of 3.58%.
(e) As approved by CSRC Circular SFC License [2019] No. 2477, the Company issued 5-year
book-entry corporate debentures in real-name system with face value of RMB 1,500,000,000 (“21
Yudean Bond 02”) to the public on 28 April 2021. The Company altogether raised RMB
1,499,791,783 after deducting an issue expense of RMB 208,217. The loan is subject to an annual
interest rate of 3.50% starting from 28 April 2021 and should be payable annually on simple
interest. As at 31 December 2021, debentures payable were measured at amortised cost using
effective interest method, with the effective interest rate of 3.50%.
(f) As approved by CSRC Circular SFC License [2021] No. 3142, the Company issued 5-year
book-entry corporate debentures in real-name system with face value of RMB 800,000,000 (“21
Yudean Bond 03”) to the public on 24 November 2021. The Company altogether raised RMB
799,565,033 after deducting an issue expense of RMB 434,967. The loan is subject to an annual
interest rate of 3.41% starting from 24 November 2021 and should be payable annually on simple
interest. As at 31 December 2021, debentures payable were measured at amortised cost using
effective interest method, with the effective interest rate of 3.42%.
- 243 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
4 Notes to the consolidated financial statements (Cont’d)
(31) Debentures payable (Cont’d)
(g) The Company’s application for registration of middle-term notes has been accepted by the
National Association of Financial Market Institutional Investors at its 51st meeting in 2021. The
registered amount of RMB 4,000,000,000 would be valid for 2 years starting from 29 June 2021.
On 21 July 2021, the Company issued 3-year middle-term notes with face value of RMB
1,200,000,000 in the interbank market. The Company altogether raised RMB 1,197,948,000 after
deducting an issue expense of RMB 2,052,000, which should be paid in three years. As at 31
December 2021, the issue expense of RMB 684,000 was paid. The loan is subject to an annual
interest rate of 3.17% starting from 21 July 2021 and should be payable annually on simple
interest. As at 31 December 2021, debentures payable were measured at amortised cost using
effective interest method, with the effective interest rate of 3.23%.
(h) The Company’s application for registration of middle-term notes has been accepted by the
National Association of Financial Market Institutional Investors at its 51st meeting in 2021. The
registered amount of RMB 4,000,000,000 would be valid for 2 years starting from 29 June 2021.
On 17 November 2021, the Company issued 3-year middle-term notes with face value of RMB
2,200,000,000 in the interbank market. The Company altogether raised RMB 2,196,238,000 after
deducting an issue expense of RMB 3,762,000, which should be paid in three years. As at 31
December 2021, the issue expense of RMB 684,000 was paid. The loan is subject to an annual
interest rate of 3.13% starting from 21 July 2021 and should be payable annually on simple
interest. As at 31 December 2021, debentures payable were measured at amortised cost using
effective interest method, with the effective interest rate of 3.19%.
(32) Lease liabilities
31 December 2021 31 December 2020
Lease liabilities 5,599,031,209 —
Less: Current portion of non-current
liabilities (Note 4(28)) (870,864,067) —
4,728,167,142 —
(a) As at 31 December 2021, future cash outflows to which the Group was potentially exposed that
were not included in the lease liabilities comprised the future minimum lease payments of
short-term leases and low-value asset leases adopting the practical expedient according to the
new lease standard of RMB 3,339,680 and RMB 102,983 respectively, which should be paid within
one year.
- 244 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
4 Notes to the consolidated financial statements (Cont’d)
(33) Long-term payables
(a) Long-term payables
31 December 2021 31 December 2020
(Restated)
Payables for desulphurisation project (i) 96,819,223 -
Finance lease payable (ii) — 3,414,107,685
Payables for share repurchase - 90,000,000
Others 24,960,000 24,960,000
Less: Current portion of long-term payables - (262,936,379)
121,779,223 3,266,131,306
(i) The payables represent the amounts payable by Tumxuk to Beijing SPC Environment Protection
Tech Co., Ltd. for the desulphurisation project, which are expected to be repaid starting from 2028
and will be fully repaid by 2032.
(ii) The Group’s minimum finance lease payments are as follows:
Minimum finance lease payments 31 December 2021 31 December 2020
(Restated)
Within 1 year (inclusive) — 291,301,448
1 to 2 years (inclusive) — 637,145,043
2 to 3 years (inclusive) — 611,312,052
Over 3 years — 2,783,275,275
Sub-total 4,323,033,818
Less: Unrecognised finance charge — (908,926,133)
— 3,414,107,685
(34) Deferred income
31 December Increase in the Decrease in the 31 December
2020 current year current year 2021
(Restated)
Government grants (a) 171,652,762 19,853,335 (27,894,582) 163,611,515
- 245 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
4 Notes to the consolidated financial statements (Cont’d)
(34) Deferred income (Cont’d)
(a) Government grants
31 December Recognised in
2020 Increase in the other income in 31 December Asset related/
Government grants (Restated) current year the current year 2021 Income related
Compensation for relocation and renovation of Shajiao A
Zhenkou pump house 16,684,075 - (5,561,358) 11,122,717 Asset related
Special funds for 1-3# generators’ desulfurisation project 16,410,766 - (1,303,568) 15,107,198 Asset related
Special financial funds for energy conservation 13,790,787 - (1,383,567) 12,407,220 Asset related
Tax refund for PRC-made equipment 10,332,936 - (2,296,208) 8,036,728 Asset related
Environmental grants for SCR denitration project 9,324,143 - (1,764,615) 7,559,528 Asset related
Provincial special funds for enterprises’ technology
improvement 8,674,936 2,030,000 (2,997,831) 7,707,105 Asset related
Comprehensive technology upgrading for the energy saving of
1&2# generator units turbine by Zhongyue Energy 7,692,307 - (769,230) 6,923,077 Asset related
Second incentives for comprehensive and typical demonstration
projects under financial policies of energy saving 6,750,000 - (450,000) 6,300,000 Asset related
Development and competitiveness funds from SASAC 6,666,666 - (666,666) 6,000,000 Asset related
Post rewarding subsidies for ultra-low emissions of 1&2#
generators 5,645,957 - (633,191) 5,012,766 Asset related
Grants for energy saving and consumption reduction of 6#
generator flow reconstruction 5,176,911 - (478,188) 4,698,723 Asset related
Grants for comprehensive technical transformation project for
generator transformation and upgrading 4,726,801 - (526,385) 4,200,416 Asset related
Special treasury bond-based government grants for Asset related
desulfurisation projects - 12,133,335 (54,166) 12,079,169
Others 59,776,477 5,690,000 (9,009,609) 56,456,868 Asset related
171,652,762 19,853,335 (27,894,582) 163,611,515
- 246 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
4 Notes to the consolidated financial statements (Cont’d)
(35) Long-term employee benefits payable
31 December 2021 31 December 2020
(Restated)
Early retirement benefits payable (a) 343,077,437 217,030,425
Defined benefit plans payable (b) 100,097,967 55,569,446
Other long-term employee benefits payable (c) 55,536,676 63,920,439
Less: Payable within one year (83,231,818) (57,883,008)
415,480,262 278,637,302
The employee benefits payable within one year are included in the employee benefits payable
(Note 4(25)).
(a) According to the Group’s regulations for early retirement of employees, the employees whose
early retirement requests are approved by the Group could have early retirement before statutory
retirement age. Employees can obtain salary on a monthly basis by a certain ratio of the original
salary until they reach the statutory retirement age. Management expects the termination benefits
to be paid in the future are determined by the present value of cash flow, when accrued the above
termination benefits. As at 31 December 2021, the Group calculated the expected expense for
each employee eligible for early retirement in each year before the statutory retirement age in
accordance with the related regulations for early retirement and estimated the present value of
future termination benefits by treasury bond interest rate of 3.57% (2020: 3.97%) of the same
period. As at 31 December 2021, the Group accrued termination benefits of RMB 343,077,437 (31
December 2020: RMB 217,030,425) and recognised them in long-term employee benefits
payable. The actual termination benefits due within one year totalling RMB 62,450,865 (31
December 2020: RMB 40,365,508) were recognised in employee benefits payable.
(b) In accordance with the FAQ on Social Management of Retired Employees in State-owned
Enterprises (Guo Zi Ting Fa Gai Ge [2020] No. 36) issued by the State-owned Assets Supervision
and Administration Commission of the State Council, the Group made a one-time provision for the
existing retirement pensions paid to retired employees, and the retirement pensions are paid on a
monthly basis. The Group’s retirement pensions mainly include retirement subsidies, military
transfer subsidies and living allowances for retired primary and secondary school teachers. The
expected present values of cash flows that shall be paid for retirement pensions during the
expected remaining life of the retired employees are recognised as long-term employee benefits
payable and recorded in profit or loss for the current period. As at 31 December 2021, the Group
calculated the expected expense for each year up to the expected remaining life based on certain
proportion of the retired employee’s retirement pensions of the year, and estimated the present
value of cash expenses for future retirement pensions by treasury bond interest rate of 3.57% of
the same period. As at 31 December 2021, the Group accrued defined benefit plans of RMB
100,097,967 and recognised them in long-term employee benefits payable (31 December 2020:
RMB 55,569,446). The actual defined benefit plans due within one year totalling RMB 8,400,995
are recognised in employee benefits payable (31 December 2020: RMB 9,302,574).
- 247 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
4 Notes to the consolidated financial statements (Cont’d)
(35) Long-term employee benefits payable (Cont’d)
(b) (Cont’d)
Movements in net liability of defined benefit plans:
2021 2020
Balance at 31 December 2020 (restated) 55,569,446 -
Cost of the defined benefit plan included in
profit or loss for the current period
- Service costs for the current period - 58,459,711
Cost of the defined benefit plan included in
other comprehensive income
- Actuarial loss 53,499,650 -
Other changes
- Benefits paid (8,971,129) (2,890,265)
Balance at 31 December 2021 100,097,967 55,569,446
As at 31 December 2021 and 31 December 2020, significant actuarial assumptions for the
determination of the present value of the obligations of the defined benefit plan were as follows:
31 December 2021 31 December 2020
Discount rates 3.57% 3.97%
Growth rates on military transfer subsidies 2% to 12% 2% to 12%
Estimated average lives 75 73
The sensitivity analysis below has been carried out based on reasonably possible changes of the
respective assumptions occurring at the end of the reporting period, while all other assumptions
are held constant:
If the discount rate decreases by 0.5%, the present value of the Group’s net liabilities of the
defined benefit plan would increase by RMB 3,796,456.
The sensitivity analysis presented above may not reflect the actual changes in the obligations of
the defined benefit plan because it is unlikely that changes in one assumption would occur in
isolation of one another as some of the assumptions may be correlated.
- 248 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
4 Notes to the consolidated financial statements (Cont’d)
(35) Long-term employee benefits payable (Cont’d)
(c) According to relevant regulations on social medical insurance in places where the subsidiaries of
the Company and the Group locate, if individual employees participating basic medical insurance
for urban residents are under their statutory ages of retirement, but their estimated contribution
years fail to meet the local standards, the Group needs to make continuous contribution for the
employees till the standards are met even after their retirement. The expected present values of
cash flows that shall be paid for medical insurance after the retirement of employees till prescribed
terms are recognised as long-term employee benefits payable and recorded in profit or loss for the
current period. As at 31 December 2021, the balance of the Group’s other long-term employee
benefits payable was mainly the additional payment of medical insurance made for retired
employees. The Group calculated the expected expenses for each year from the end of current
year to regulated contribution years based on certain proportion of the retired employee’s salary of
the year, and estimated the present value of cash expenses made by retired employees for
medical insurance in the future, with a treasury bond interest rate of 3.57% (2020: 3.97%) as
discount rate. As at 31 December 2021, the Group accrued other long-term employee benefits
payable of RMB 55,536,676 (31 December 2020: RMB 63,920,439), with actual payment of other
long-term employee benefits payable due within one year of RMB 12,379,958 (31 December
2020: RMB 8,214,926) recognised in employee benefits payable.
(d) Long-term employee benefits payable included in profit or loss for the current period in 2021 and
2020 were as follows:
2021 2020
(Restated)
General and administrative expenses 188,816,127 182,201,690
(36) Other non-current liabilities
31 December 2021 31 December 2020
(Restated)
Capital injection (a) 74,499,700 200,000,000
Housing working fund 970,029 970,029
75,469,729 200,970,029
(a) In 2018, the Group’s subsidiaries Yangjiang Wind Power and Qujie Wind Power respectively
received capital injection of RMB 100,000,000 and RMB 50,000,000 from GEGC. The capital will
be used for Yangjiang Shapa offshore wind power plant project and Qujie Wailuo offshore wind
power plant project. As at 31 December 2021, Yangjiang Wind Power had completed the
registration for changes of business license, therefore, the capital increase previously recognised
in other non-current liabilities was converted to paid-in capital in the current year. As Qujie Wind
Power’s registration for changes of business license had not been completed, the capital increase
was recognised in other non-current liabilities.
In 2019, the Group’s subsidiary Zhuhai Wind Power received a capital injection of RMB 50,000,000
from GEGC. The capital will be used for Zhuhai Jinwan Electric offshore wind power project. As at
31 December 2021, the equity share corresponding to the capital injection amounting to RMB
25,500,300 completed the registration for changes of business license, and the equity share
corresponding to the balance of RMB 24,499,700 had not completed the registration for changes of
business license as at 31 December 2021, so it was recognised in other non-current liabilities.
- 249 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
4 Notes to the consolidated financial statements (Cont’d)
(37) Share capital
Movements in the current year
31 December Issuance of Housing fund
2020 new shares Bonus shares transferred to shares Others Sub-total 31 December 2021
Shares subject to trading restriction
- Shares held by domestic
state-owned legal person 1,893,342,621 - - - - - 1,893,342,621
- Other domestic shares
Including: Shares held by domestic
non-state-owned legal
person 4,620,666 - - - - - 4,620,666
Shares held by domestic
natural person 5,659 - - - - - 5,659
Shares not subject to trading restriction
- RMB-dominated ordinary shares 2,553,907,040 - - - - - 2,553,907,040
- Domestically-listed foreign shares 798,408,000 - - - - - 798,408,000
5,250,283,986 - - - - - 5,250,283,986
Movements in the current year
31 December Issuance of Housing fund
2019 new shares Bonus shares transferred to shares Others Sub-total 31 December 2020
Shares subject to trading restriction
- Shares held by domestic
state-owned legal person 1,893,342,621 - - - - - 1,893,342,621
- Other domestic shares
Including: Shares held by domestic
non-state-owned legal
person 4,620,666 - - - - - 4,620,666
Shares held by domestic
natural person 5,659 - - - - - 5,659
Shares not subject to trading restriction
- RMB-dominated ordinary shares 2,553,907,040 - - - - - 2,553,907,040
- Domestically-listed foreign shares 798,408,000 - - - - - 798,408,000
5,250,283,986 - - - - - 5,250,283,986
- 250 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
4 Notes to the consolidated financial statements (Cont’d)
(38) Capital surplus
31 December
2020 Increase in the Decrease in the 31 December
(Restated) current year current year 2021
Capital premium (a)
7,734,477,748 19,435,795 (3,743,601,641) 4,010,311,902
Revaluation reserve 119,593,718 - - 119,593,718
Investment from GEGC 395,000,000 - - 395,000,000
Share of interests in the investee
in proportion to the
shareholding (b) (179,682,776) 5,383,623 - (174,299,153)
Transfer of capital surplus
recognised under the previous
accounting system 20,474,592 - - 20,474,592
Others (75,652,004) - - (75,652,004)
8,014,211,278 24,819,418 (3,743,601,641) 4,295,429,055
31 December
1 January 2020 Increase in the Decrease in the 2020
(Restated) current year current year (Restated)
Capital premium (a) 7,720,603,730 13,874,018 - 7,734,477,748
Revaluation reserve 119,593,718 - - 119,593,718
Investment from GEGC 395,000,000 - - 395,000,000
Share of interests in the investee
in proportion to the
shareholding (b) 14,971,484 - (194,654,260) (179,682,776)
Transfer of capital surplus
recognised under the previous
accounting system 20,474,592 - - 20,474,592
Others (75,652,004) - - (75,652,004)
8,194,991,520 13,874,018 (194,654,260) 8,014,211,278
(a) The amounts of share capital premium as at 1 January 2020 and for the year ended 31 December
2020 have been restated as a result of business combinations involving enterprises under
common control. The cash consideration for business combination under the same control this
year was RMB 3,743,601,641 to offset the share premium (Note 5(3)(b)).
(b) In 2021, capital surplus of associates calculated based on proportion of equity acquired increased
by RMB 5,383,623 (Note 4(9)(b)).
- 251 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
4 Notes to the consolidated financial statements (Cont’d)
(39) Other comprehensive income
Other comprehensive income in the balance sheet Other comprehensive income in the income statement for the year ended 31 December 2021
Attributable to Transfer of other Attributable to
the parent comprehensive Attributable to the minority
31 December 2020 company after income to Less: Income parent company after shareholders after
(Restated) tax retained earnings 31 December 2021 Amount incurred before tax tax expenses tax tax
Other comprehensive income that will not be
reclassified to profit or loss
Share of other comprehensive income of the
investee accounted for using equity method
that will not be reclassified to profit or loss 53,589,732 15,609,735 - 69,199,467 15,609,735 - 15,609,735 -
Changes in fair value of investments in other
equity instruments 1,903,766,633 (184,768,848) (375,652) 1,718,622,133 (246,358,463) 61,589,615 (184,768,848) -
Changes arising from remeasurement of
defined benefit plans (37,296,993) - (37,296,993) (53,499,650) - (37,296,993) (16,202,657)
Other comprehensive income that will be
reclassified to profit or loss
Share of other comprehensive income of the
investee accounted for using equity method
that will be reclassified to profit or loss (180,884) (332,152) - (513,036) (332,152) - (332,152) -
1,957,175,481 (206,788,258) (375,652) 1,750,011,571 (284,580,530) 61,589,615 (206,788,258) (16,202,657)
Other comprehensive income in the income statement for the year ended 31 December 2020
Other comprehensive income in the balance sheet (Restated)
Amount Attributable to the
1 January 2020 Attributable to the parent 31 December 2020 incurred before parent company after Attributable to minority
(Restated) company after tax (Restated) tax Less: Income tax expenses tax shareholders after tax
Other comprehensive income that will not be
reclassified to profit or loss
Share of other comprehensive income of the
investee accounted for using equity method
that will not be reclassified to profit or loss 23,863,586 29,726,146 53,589,732 29,726,146 - 29,726,146 -
Changes in fair value of investments in other
equity instruments 1,651,781,571 251,985,062 1,903,766,633 335,980,082 (83,995,020) 251,985,062 -
Changes arising from remeasurement of
defined benefit plans
Other comprehensive income that will be
reclassified to profit or loss 220,468 (401,352) (180,884) (401,352) - (401,352) -
Share of other comprehensive income of the
investee accounted for using equity method
that will be reclassified to profit or loss 1,675,865,625 281,309,856 1,957,175,481 365,304,876 (83,995,020) 281,309,856 -
- 252 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
4 Notes to the consolidated financial statements (Cont’d)
(40) Surplus reserve
31 December
2020 Increase in the Decrease in the 31 December
(Restated) current year current year 2021
Statutory surplus
reserve 2,905,992,585 110,901,285 - 3,016,893,870
Discretionary surplus
reserve 5,609,368,053 277,253,212 - 5,886,621,265
8,515,360,638 388,154,497 - 8,903,515,135
31 December
31 December Increase in the Decrease in the 2020
2019 current year current year (Restated)
Statutory surplus
reserve 2,828,966,001 77,026,584 - 2,905,992,585
Discretionary surplus
reserve 5,416,801,592 192,566,461 - 5,609,368,053
8,245,767,593 269,593,045 - 8,515,360,638
In accordance with the Company Law of the People's Republic of China and the Company’s
Articles of Association, the Company should appropriate 10% of net profit for the year to the
statutory surplus reserve, and the Company can cease appropriation when the statutory surplus
reserve accumulates to more than 50% of the registered capital. The Company appropriates for
the discretionary surplus reserve after the shareholders’ meeting approves the proposal from the
Board of Directors. The surplus reserve can be used to make up for the loss or increase the share
capital after approval from the appropriate authorities.
According to the resolution at the shareholders’ meeting dated 20 May 2021, the Company
appropriated 10% of net profit for 2020, amounting to RMB 110,901,285 (2020: 10% of net profit
for 2019, amounting to RMB 77,026,584) to the statutory surplus reserve. Meanwhile, the
Company appropriated 25% of net profit for 2020, amounting to RMB 277,253,212 (2020: 25% of
net profit for 2019, amounting to RMB 192,566,461) to the discretionary surplus reserve.
(41) Undistributed profits
2021 2020
(Restated)
Undistributed profits at the beginning of the year
(before adjustment) 8,083,048,238 5,909,128,280
Adjustments (a) - 1,050,513,006
Undistributed profits at the beginning of the year
(After adjustment) 8,083,048,238 6,959,641,286
Add: Net profit attributable to equity owners of
the Company (3,147,754,234) 2,053,909,956
Less: Appropriation to statutory surplus reserve
(Note 4(40)) (110,901,285) (77,026,584)
Appropriation to discretionary surplus
reserve (Note 4(40)) (277,253,212) (192,566,461)
Dividends payable on ordinary shares (b) (630,034,078) (630,034,078)
Allocated to GEGC (c) (930,283,398) (30,875,881)
Others (981,973) -
Undistributed profits at the end of the year (d) 2,985,840,058 8,083,048,238
- 253 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
4 Notes to the consolidated financial statements (Cont’d)
(41) Undistributed profits (Cont’d)
(a) Undistributed profits at the beginning of 2020 were adjusted by RMB 1,050,513,006 due to
business combinations involving enterprises under common control (Note 5(3))
(b) In accordance with the resolution at the shareholders’ meeting dated 20 May 2021, the Company
proposed a cash dividend to the shareholders at RMB 1.2 per 10 shares, amounting to RMB
630,034,078 calculated by 5,250,283,986 issued shares.
(c) As the business combination under common control was completed in the current year , the
dividends allocated by the purchased subsidiary to GEGC in 2020 and 2021 were deemed to have
been distributed by the Company to GEGC while preparing the consolidated financial statements.
(d) Undistributed profits at the end of the year
The surplus reserve attributable to the parent company appropriated by subsidiaries of the
Company this year was RMB 72,643,464 (2020: RMB 212,059,261).
As at 31 December 2021, the undistributed profits attributable to the parent company included an
appropriation of RMB 3,408,046,692 (31 December 2020: RMB 3,335,403,228) to surplus reserve
made by the Company’s subsidiaries.
(42) Revenue and cost of sale
2021 2020
(Restated)
Revenue from main operations 43,574,329,958 33,115,496,875
Revenue from other operations 592,893,929 487,398,990
44,167,223,887 33,602,895,865
2021 2020
(Restated)
Cost of sale from main operations 46,785,405,079 26,604,918,768
Cost of sale from other operations 29,395,603 39,963,834
46,814,800,682 26,644,882,602
- 254 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
4 Notes to the consolidated financial statements (Cont’d)
(42) Revenue and cost of sale (Cont’d)
(a) Revenue and cost of sale from main operations
2021 2020 (Restated)
Cost of sale Cost of sale
Revenue from from main Revenue from from main
main operations operations main operations operations
Revenue from sale of
electricity 43,278,023,920 46,541,774,902 32,810,398,651 26,378,492,790
Revenue from steam 167,971,843 137,147,673 138,114,070 88,112,939
Rendering of services 128,334,195 106,482,504 166,984,154 138,313,039
43,574,329,958 46,785,405,079 33,115,496,875 26,604,918,768
(b) Revenue and cost of sale from other operations
2021 2020 (Restated)
Cost of sale Cost of sale
Revenue from from other Revenue from from other
other operations operations other operations operations
Revenue from
integrated utilisation
of coal ash 495,095,811 7,603,191 380,944,621 5,312,072
Rental income 48,557,619 14,560,409 44,103,472 14,416,439
Others 49,240,499 7,232,003 62,350,897 20,235,323
592,893,929 29,395,603 487,398,990 39,963,834
(i) Due to the impact of COVID-19, the Group exempted the lessee from paying the rent of RMB
611,459 for 2021, and the Group has deducted the above rental waivers against the rental income
for the current period (2020: RMB 612,511).
- 255 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
4 Notes to the consolidated financial statements (Cont’d)
(42) Revenue and cost of sale (Cont’d)
(c) The Group's revenue was broken down as follows:
2021
Sale of electricity,
steam and coal
ash Services Rent Others Total
Revenue from main operations
Including: Recognised at a
point in time 43,445,995,763 3,099,971 - - 43,449,095,734
Recognised over a
period of time - 125,234,224 - - 125,234,224
Revenue from other operations
Including: Recognised at a
point in time 495,095,811 - - 46,929,178 542,024,989
Recognised over a
period of time - - - 2,311,321 2,311,321
Rental income - - 48,557,619 - 48,557,619
43,941,091,574 128,334,195 48,557,619 49,240,499 44,167,223,887
2020 (Restated)
Sale of electricity,
steam and coal
ash Services Rent Others Total
Revenue from main operations
Including: Recognised at a
point in time 32,948,512,721 2,513,942 - - 32,951,026,663
Recognised over a
period of time - 164,470,212 - - 164,470,212
Revenue from other operations
Including: Recognised at a
point in time 380,944,621 - - 46,210,540 427,155,161
Recognised over a
period of time - - - 16,140,357 16,140,357
Rental income - - 44,103,472 - 44,103,472
33,329,457,342 166,984,154 44,103,472 62,350,897 33,602,895,865
As at 31 December 2021, the amount of revenue corresponding to the performance obligation of the
Company that has been contracted but not yet performed or not fulfilled was RMB 156,344,108, of
which, RMB 78,657,513 was expected to be recognised in 2022.
- 256 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
4 Notes to the consolidated financial statements (Cont’d)
(43) Taxes and surcharges
2021 2020 Tax base
(Restated)
Property tax 96,327,360 100,842,584 Note 3
City maintenance and construction tax 62,927,128 74,668,696 Note 3
Educational surcharge 49,811,245 58,614,386 Note 3
Stamp tax 36,790,843 23,929,618
Land use tax 26,564,472 31,260,674
Environmental protection tax 21,251,165 16,000,214 Note 3
Others 307,863 397,608
293,980,076 305,713,780
(44) Selling expenses
2021 2020
(Restated)
Employee benefits 41,365,789 38,913,145
Labour insurance 8,106,497 4,525,639
Depreciation expenses 3,484,959 749,453
Entertainment expenses 2,921,288 2,976,858
Travelling expense 1,431,025 1,230,016
Others 8,097,482 10,510,829
65,407,040 58,905,940
- 257 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
4 Notes to the consolidated financial statements (Cont’d)
(45) General and administrative expenses
2021 2020
(Restated)
Employee benefits 576,664,439 536,860,998
Labour insurance 93,526,218 55,599,905
Depreciation expenses 75,702,685 61,396,359
Amortisation of intangible assets 71,354,033 68,960,533
Fire safety expenses 43,910,145 51,511,199
Agency fee 41,705,254 33,745,096
Property management expenses 38,807,702 39,876,110
Office expenses 30,729,609 30,232,545
Afforestation fee 11,640,359 11,477,775
Labour costs 10,690,272 7,024,436
Traffic expenses 9,687,185 9,766,115
Rental expenses 9,419,598 16,585,150
Travelling expense 7,928,361 6,155,135
Maintenance cost 7,593,392 11,122,501
Entertainment expenses 5,888,643 5,163,230
Insurance expenses 5,281,139 4,737,667
Others 60,594,253 69,006,429
1,101,123,287 1,019,221,183
(46) Research and development expenses
2021 2020
(Restated)
Material expenses 332,438,285 141,597,462
Employee benefits 176,230,301 145,944,187
Depreciation and amortisation expenses 37,360,302 13,704,045
Outsourced research and development expenses 26,650,129 16,354,380
Others 12,035,962 7,322,990
584,714,979 324,923,064
- 258 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
4 Notes to the consolidated financial statements (Cont’d)
(47) Financial expenses
2021 2020
(Restated)
Interest costs 1,652,673,654 1,571,131,677
Add: Interest costs on lease liabilities 182,484,109 —
Less: Amounts capitalised on qualifying assets (335,159,980) (290,622,613)
Subtotal of interest expenses 1,499,997,783 1,280,509,064
Amortisation of unrecognised finance charge - 78,469,584
Amortisation of discounts or premium of
debentures payable 2,202,952 2,146,686
Less: Interest income (133,800,923) (133,361,021)
Exchange (gains)/losses - net (1,001,673) 8,915,164
Bank charges and others 3,967,806 4,313,443
1,371,365,945 1,240,992,920
(48) Expenses by nature
The cost of sale, selling expenses, general and administrative expenses and research and
development expenses in the income statement are listed as follows by nature:
2021 2020
(Restated)
Consumed fuel, low value consumables, etc. 39,049,240,468 19,493,837,449
Depreciation and amortisation expenses 4,117,983,744 3,932,774,644
Employee benefits 2,718,887,082 2,410,664,787
Depreciation on right of use asset 179,638,516 —
Repair charges 1,252,557,733 1,130,964,309
Transaction costs 165,684,575 122,092,933
Insurance expenses 147,982,370 141,768,708
Utility fees 88,367,556 48,548,917
Management fees for frequency modulation and
energy storage 82,235,157 34,652,460
Fire safety expenses 55,247,715 62,221,721
Outsourcing fees for maintenance projects 51,215,122 81,469,112
Sewage and sanitary charges 44,062,837 44,590,992
Property management expenses 39,830,708 40,375,624
Tug service fees 35,804,563 25,174,339
Traffic expenses 34,093,659 31,264,761
Rental expenses 17,146,349 26,605,972
Office expenses 16,907,998 15,837,622
Others 469,159,836 405,088,439
48,566,045,988 28,047,932,789
- 259 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
4 Notes to the consolidated financial statements (Cont’d)
(48) Expenses by nature (Cont’d)
(i) The Group directly recognise the daily maintenance and repair expenses of fixed assets that do
not meet the criteria of capitalisation as the cost of sale, and included the costs related to the
research and development department, the administrative department and the sale department in
research and development expenses, general and administrative expenses and selling expenses,
respectively.
(ii) As disclosed in Note 2(25), the Group directly recognises the lease payments of short-term leases
and low value leases in profit or loss. In 2021, the amount was RMB 17,146,349.
(49) Asset impairment losses
2021 2020
(Restated)
Impairment losses on fixed assets (Note
4(12)(a)(vi)) 29,321,084 398,880,127
Impairment losses on contract assets 9,377 12,512
Impairment losses on construction in progress
(Note 4(13)(a)(iii)) - 87,243,667
Losses on decline in the value of inventories - 16,093,640
Reversal of impairment of advances to
suppliers (Note 4(3)(b)) - (249,805)
29,330,461 501,980,141
(50) Credit impairment loss/(reversal)
2021 2020
(Restated)
Losses on bad debts of other receivables (Note
4(4)(b)) 21,796,665 760,848
Reversal of bad debts of accounts receivables
(Note 4(2)(c)) (28,808) (788,675)
21,767,857 (27,827)
- 260 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
4 Notes to the consolidated financial statements (Cont’d)
(51) Other income
Asset related/ Income
2021 2020 related
(Restated)
Revenue from VAT refund upon collection 28,991,960 15,157,053 Income related
Enterprise economic contribution rewards for
Nansha headquarters 9,049,900 - Income related
Compensation for relocation and renovation of
Shajiao A Zhenkou pump house 5,561,358 5,561,358 Asset related
Provincial special funds for enterprises’
technology improvement 2,997,831 - Asset related
Tax refund for PRC-made equipment 2,296,208 2,296,208 Asset related
Subsidies for employment stabilisation provided
by unemployment insurance 2,058,912 4,613,679 Income related
Environmental grants for SCR denitration project 1,764,615 1,764,615 Asset related
Incentives for energy efficiency of power plant by
Dongguan 1,647,687 1,647,687 Asset related
Other government grants related to assets 13,626,883 13,172,293 Asset related
Other government grants related to income 4,658,163 11,508,857 Income related
72,653,517 55,721,750
(52) Investment income
2021 2020
(Restated)
Investment income from long-term equity investments
under equity method 741,825,985 289,336,338
Dividend income earned during the holding period of
investments in other equity instruments (Note
4(10)) 87,731,408 65,160,836
Others 4,446,948 361,286
834,004,341 354,858,460
There was no significant restriction on remittance of investment income of the Group.
(53) Gains on disposals of assets
Amount recognised in
non-recurring profit or
2021 2020 loss in 2021
(Restated)
Gains on disposals of other current
assets 12,814,168 340,936,718 12,814,168
Gains on disposals of intangible assets 84,060,264 157,963 84,060,264
Gains/(losses) on disposals of fixed
assets 90,856,371 (143,644) 90,856,371
Losses on disposals of construction in
progress (3,141,778) - (3,141,778)
184,589,025 340,951,037 184,589,025
In 2021, the Group's gains on disposals of assets were mainly generated from the disposals of
terminal assets by Bohe Energy (Note 4(13)(a)(i)) and the disposals of land use rights by some
subsidiaries.
- 261 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
4 Notes to the consolidated financial statements (Cont’d)
(54) Non-operating income
Amount recognised
in non-recurring
2021 2020 profit or loss in 2021
(Restated)
Claims and compensation income 6,505,940 7,055,408 6,505,940
Gains on scrapping of non-current
assets 95,182,637 41,773,417 95,182,637
Compensation for electricity charges
during the demolition and
construction period 18,040,851 11,315,659 18,040,851
Income from penalties and fines 8,005,031 6,287,786 8,005,031
Negative goodwill gains from business
combination involving enterprises
not under common control - 1,235,720 -
Negative goodwill gains from
associates - 8,549,071 -
Others 11,358,416 28,345,397 11,358,416
139,092,875 104,562,458 139,092,875
(55) Non-operating expenses
Amount recognised
in non-recurring profit
2021 2020 or loss in 2021
(Restated)
Carbon emission quota used to fulfil
the emission reduction obligation (a) 135,013,051 60,360,191 -
Losses on scrapping of non-current
assets 25,804,195 24,622,721 25,804,195
Penalties and overdue fines 5,859,197 5,387,634 5,859,197
Losses on scrapping of waste
materials 1,750,259 22,555,949 1,750,259
Others 3,032,029 2,047,760 3,032,029
171,458,731 114,974,255 36,445,680
(a) In accordance with the Interim Provisions on the Accounting Treatment Regarding Carbon
Emissions Right Trading and the Interim Measures for the Administration of Trading of Carbon
Emission Rights (Cai Kuai [2019] No. 22), companies within the Group that were identified as key
emission units recognised the purchase of carbon emission quotas used in 2021 as
non-operating expenses on an accrual basis, and included relate provision for carbon emission
quota payable in other payables.
- 262 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
4 Notes to the consolidated financial statements (Cont’d)
(56) Income tax expenses
2021 2020
(Restated)
Current income tax calculated based on tax law
and related regulations 144,706,929 1,010,188,783
Deferred income tax (728,397,074) 37,560,547
(583,690,145) 1,047,749,330
The reconciliation from income tax calculated based on the applicable tax rates and total profit
presented in the consolidated income statement to the income tax expenses is listed below:
2021 2020
(Restated)
Total (loss)/profit (5,056,385,413) 4,247,423,512
Income tax calculated at applicable tax rates (1,264,096,353) 1,061,855,878
Effect of preferential tax rates of subsidiaries (72,481,567) (55,527,648)
Effect of change in the tax rates 4,530,204 -
Income not subject to tax (210,513,261) (88,971,108)
Costs, expenses and losses not deductible for tax
purposes 53,274,007 48,634,979
Deductible losses for which no deferred tax asset
was recognised 894,027,860 124,560,996
Transfer-out of deductible losses for which
deferred tax asset was recognised 12,702,380 31,862,492
Deductible temporary differences for which no
deferred tax asset was recognised 36,259,625 70,114,810
Utilisation of previously unrecognised deductible
losses (9,829,508) (13,142,124)
Utilisation of previously unrecognised deductible
temporary differences (12,792,715) (134,299,614)
Others (14,770,817) 2,660,669
Income tax expenses (583,690,145) 1,047,749,330
- 263 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
4 Notes to the consolidated financial statements (Cont’d)
(57) Earnings per share
(a) Basic earnings per share
Basic earnings per share are calculated by dividing consolidated net profit attributable to ordinary
shareholders of the parent company by the weighted average number of ordinary shares
outstanding:
2021 2020
(Restated)
Consolidated net (loss)/profit attributable to ordinary
shareholders of the parent company (3,147,754,234) 2,053,909,956
Weighted average number of outstanding ordinary
shares of the Company 5,250,283,986 5,250,283,986
Basic earnings per share (0.60) 0.39
Including:
- Basic earnings per share from continuing operations: (0.60) 0.39
- Basic earnings per share for discontinued operations: - -
(b) Diluted earnings per share
Diluted earnings per share is calculated by dividing net profit attributable to ordinary shareholders
of the parent company adjusted based on the dilutive potential ordinary shares by the adjusted
weighted average number of ordinary shares outstanding. In 2021, there were no dilutive potential
ordinary shares (2020: Nil), and hence diluted earnings per share is equal to basic earnings per
share.
- 264 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
4 Notes to the consolidated financial statements (Cont’d)
(58) Notes to the cash flow statement
(a) Cash received relating to other operating activities
2021 2020
(Restated)
Interest income 139,255,889 131,620,617
Rental income 48,557,619 44,103,472
Government grants 23,486,977 31,076,682
Claims and compensation income 14,510,971 11,998,940
Others 46,880,126 31,187,474
272,691,582 249,987,185
(b) Cash paid relating to other operating activities
2021 2020
(Restated)
Insurance expenses 153,146,648 176,913,371
Utility fees 92,086,938 48,548,917
Carbon emission quota 70,390,672 25,205,993
Fire safety expenses 55,247,715 60,765,361
Sewage and sanitary charges 44,087,589 46,217,879
Property management expenses 43,911,232 39,876,110
Agency fee 41,705,254 32,380,217
Research and development expenses 38,686,091 21,450,578
Office expenses 35,524,383 32,992,404
Traffic expenses 34,651,955 30,533,858
Travelling expenses 17,201,473 11,652,957
Rental expenses 17,146,349 26,605,972
Administrative penalties and overdue fines 5,859,197 21,446,366
Expenses relating to supply of water, power
and heat and property management - 31,001,152
Others 261,168,637 243,150,955
910,814,133 848,742,090
- 265 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
4 Notes to the consolidated financial statements (Cont’d)
(58) Notes to the cash flow statement (Cont’d)
(c) Cash received relating to other investing activities
2021 2020
(Restated)
Net income from trial operation 162,478,679 18,734,619
Advances from compensations for demolition - 15,000,000
162,478,679 33,734,619
(d) Cash paid relating to other investing activities
2021 2020
(Restated)
Advances for business units 188,784,979 -
Deposits for ecological protection 30,583 10,043,160
Deposits prepaid for equity acquisition - 80,000,000
Net expense on trial operation - 53,844,513
Deposits for rehabilitation - 7,090,400
188,815,562 150,978,073
(e) Cash paid relating to other financing activities
2021 2020
(Restated)
Consideration paid for business combinations
involving enterprises under common control (i) 1,242,164,731 -
Repayments of lease liabilities 300,181,939 —
Agency fee for debenture issuance 150,906 3,376,906
Cash paid for finance leases - 200,941,620
1,542,497,576 204,318,526
In 2021, total cash outflows for leases paid by the Group amounted to RMB 317,328,288, except for
the repayments of lease liabilities classified as cash paid relating to financing activities, the
remaining was classified as cash paid relating to operating activities.
- 266 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
4 Notes to the consolidated financial statements (Cont’d)
(58) Notes to the cash flow statement (Cont’d)
(e) Cash paid relating to other financing activities (Cont’d)
(i) Subsidiaries acquired from business combinations involving enterprises under common control
2021
Cash and cash equivalents paid in the current year for
business combinations incurred in the current year
Including: Sha C Company 658,475,586
Yunhe Power 354,276,477
Yuehua Power 229,412,668
Net cash paid to acquire the subsidiary 1,242,164,731
Considerations for acquisition of subsidiaries in 2021
Sha C Company 1,934,041,438
Yunhe Power 1,139,513,152
Yuehua Power 670,047,051
3,743,601,641
Net assets of subsidiaries acquired in 2021 at the acquisition date
Sha C Company Yunhe Power Yuehua Power
Current assets 3,506,977,846 574,880,620 709,151,957
Non-current
assets 3,677,033,014 1,493,654,787 2,849,206,154
Current liabilities (2,635,470,885) (856,838,128) (757,297,111)
Non-current
liabilities (1,451,075,088) (10,208,620) (1,738,748,674)
3,097,464,887 1,201,488,659 1,062,312,326
- 267 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
4 Notes to the consolidated financial statements (Cont’d)
(59) Supplementary information to the cash flow statement
(a) Supplementary information to the cash flow statement
Reconciliation from net profit to cash flows from operating activities
2021 2020
(Restated)
Net (loss)/profit (4,472,695,268) 3,199,674,182
Add: Losses on provision for asset impairment 29,330,461 501,980,141
Provision for credit impairment loss 21,767,857 (27,827)
Depreciation of right-of-use assets 179,638,516 —
Depreciation of fixed assets 4,027,290,490 3,853,119,217
Depreciation of investment properties 9,980,869 5,752,279
Amortisation of intangible assets 75,995,559 69,971,469
Amortisation of long-term prepaid expenses 4,716,826 3,931,679
Amortisation of deferred income (27,894,582) (23,457,161)
Gains on disposals of fixed assets, intangible
assets and other long-term assets (184,589,025) (340,951,037)
(Gains)/Losses on scrapping of non-current
assets (69,378,442) (17,150,696)
Financial expenses 1,501,349,968 1,368,397,560
Investment income (834,004,341) (354,858,460)
(Increase)/Decrease in deferred income
taxes (728,397,074) 37,560,547
(Increase)/Decrease in inventories (1,283,963,976) 407,267,712
Increase in operating receivables (1,558,636,449) (1,361,129,581)
Increase in operating payables 3,278,492,670 418,911,293
Decrease in restricted cash (9,308,070) (14,192,681)
Net cash flows (used in)/from operating activities (40,304,011) 7,754,798,636
- 268 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
4 Notes to the consolidated financial statements (Cont’d)
(59) Supplementary information to the cash flow statement (Cont’d)
(a) Supplementary information to the cash flow statement (Cont’d)
Significant operating, investing and financing activities that do not involve cash receipts and
payments
2021 2020
(Restated)
Right-of-use assets increased in the current
period 2,042,941,963 —
Inventory procurement payment made by
acceptance notes 1,680,000,000 1,051,992,546
Equity investments increased in the current
period 245,776,161 -
Project payment made by acceptance notes 228,780,000 40,300,000
Long-term assets held under finance lease - 1,124,236,124
4,197,498,124 2,216,528,670
Net increase/(decrease) in cash and cash equivalents
2021 2020
(Restated)
Cash at the end of the year 8,023,116,939 9,405,082,609
Less: Cash at the beginning of the year (9,405,082,609) (8,346,872,084)
Net (decrease)/increase in cash and cash
equivalents (1,381,965,670) 1,058,210,525
- 269 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
4 Notes to the consolidated financial statements (Cont’d)
(59) Supplementary information to the cash flow statement (Cont’d)
(b) Acquisition of the subsidiaries
(i) Subsidiaries acquired from business combinations involving enterprises not under common control
2021 2020
Cash and cash equivalents paid in the
current year for business combinations
incurred in the current year 941,858,100 49,680,900
Including: Nanhua New Energy (Note 1) - -
Datang New Energy (Note 1) 141,858,100 -
Tumxuk 800,000,000 -
Huaguoquan Company - 49,680,900
Less: Cash and cash equivalents held by
subsidiaries at the acquisition date (865,283,946) (8,800,684)
Including: Nanhua New Energy (61,762) -
Datang New Energy (20,018,966) -
Tumxuk (845,203,218) -
Huaguoquan Company - (8,800,684)
Net cash paid to acquire the subsidiaries 76,574,154 40,880,216
Note 1 In 2020, Guangdong Wind Power, a subsidiary of the Group, entered into an equity transfer
agreement with Guangdong Guangye Investment Group Co., Ltd. (“Guangye Investment”) to
acquire 51% equity in Nanhua New Energy and 51% equity in Datang New Energy held by
Guangye Investment for a consideration of RMB 93,381,000 and RMB 161,858,100
respectively, of which Guangdong Wind Power has paid in full the purchase price of RMB
93,381,000 for the equity in Nanhua New Energy and part of the purchase price of RMB
20,000,000 for the equity in Datang New Energy during the year. In 2020, this portion of the
equity acquisition was included in cash paid for investments.
- 270 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
4 Notes to the consolidated financial statements (Cont’d)
(59) Supplementary information to the cash flow statement (Cont’d)
(b) Acquisition of the subsidiaries (Cont'd)
(i) Subsidiaries acquired from business combinations involving enterprises not under common control
(Cont'd)
Considerations for acquisition of subsidiaries in 2021
Nanhua New Energy 93,381,000
Datang New Energy 161,858,100
Tumxuk 800,000,000
1,055,239,100
Net assets of subsidiaries acquired in 2021 at the acquisition date
Nanhua New Energy Datang New Energy Tumxuk
Current assets 31,144,274 72,878,225 1,089,368,167
Non-current assets 437,935,585 388,676,246 2,145,324,482
Current liabilities (51,957,363) (30,648,956) (754,355,828)
Non-current liabilities (246,098,958) (162,988,627) (1,624,132,331)
171,023,538 267,916,888 856,204,490
- 271 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
4 Notes to the consolidated financial statements (Cont’d)
(59) Supplementary information to the cash flow statement (Cont’d)
(c) Cash and cash equivalents
31 December 2021 31 December 2020
(Restated)
Cash at bank and on hand 8,105,320,953 9,438,414,350
Less: Restricted cash at bank (42,670,394) (33,331,741)
Less: Interest receivable (39,533,620) -
Cash and cash equivalents at the end of the
year (i) 8,023,116,939 9,405,082,609
(i) Cash and cash equivalents at the end of the year
31 December 2021 31 December 2020
(Restated)
Cash on hand 83,108 83,607
Cash at bank that can be readily drawn on
demand 8,023,033,831 9,404,999,002
8,023,116,939 9,405,082,609
(60) Monetary items denominated in foreign currency
31 December 2021
Balance in foreign
currencies Exchange rate Balance in RMB
Cash at bank and on hand -
USD 34,618 6.3757 220,713
HKD 724 0.8176 592
221,305
Long-term borrowings -
USD 6,980,673 6.3757 44,506,676
Current portion of non-current
liabilities -
USD 1,026,085 6.3757 6,542,011
- 272 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
5 Changes of consolidation scope
(1) Subsidiaries established during the year:
Major business Place of Business Registered
Subsidiaries location registration nature capital Shareholding (%) Acquisition method
Direct Indirect
Guangdong Yudean Dananhai
Smart Energy Co., Ltd. Electricity
(“Dananhai Company”) Jieyang Jieyang generation RMB 5,000,000 100.00% - Investment
Guangdong Yudean Baihua
Integrated Energy Co., Ltd. Electricity
(“Baihua Company”) Huizhou Huizhou generation RMB 5,000,000 100.00% - Investment
Guangdong Energy Qingzhou
Offshore Wind Power Co., Ltd.
(“Qingzhou Offshore Wind Electricity RMB
Power”) Yangjiang Yangjiang generation 185,000,000 - 100.00% Investment
Electricity
Wanhaowei New Energy Zhanjiang Zhanjiang generation RMB 5,000,000 - 100.00% Investment
Zhanjiang Wanchuang Hengwei
New Energy Co., Ltd.
(“Wanchuang Hengwei New Electricity
Energy”) Zhanjiang Zhanjiang generation RMB 1,000,000 - 100.00% Investment
Guangdong Yuedian Bijie New
Energy Co. Ltd. (“Bijie New Electricity
Energy”) Bijie Bijie generation RMB 5,000,000 100.00% -
Business combinations
Electricity RMB involving enterprises not
Nanhua New Energy Zhanjiang Zhanjiang generation 135,234,900 - 51.00% under common control
Business combinations
Electricity RMB involving enterprises not
Datang New Energy Guangzhou Guangzhou generation 145,938,900 - 51.00% under common control
Business combinations
Electricity RMB involving enterprises not
Yueneng Wind Power Zhanjiang Zhanjiang generation 130,000,000 - 51.00% under common control
Business combinations
Electricity RMB involving enterprises not
Tumxuk Tumxuk Tumxuk generation 1,006,523,900 79.48% - under common control
Business combinations
Electricity RMB involving enterprises under
Sha C Company Guangzhou Guangzhou generation 2,500,000,000 51.00% - common control
Business combinations
Guangdong Guanghe Power Co., Electricity RMB involving enterprises under
Ltd. (“Guanghe Power”) Guangzhou Guangzhou generation 2,240,816,893 - 51.00% common control
Guangdong Yudean Zhanjiang
Biomass Power Generation Co., Business combinations
Ltd. (“Biomass Power Electricity RMB involving enterprises under
Generation”) Zhanjiang Zhanjiang generation 621,040,000 - 51.00% common control
Business combinations
Electricity RMB involving enterprises under
Xinhui Power Jiangmen Jiangmen generation 613,902,062 - 45.90% common control
Guangdong Yudean Huaqing Gas Business combinations
Joint Cycle Power Generation Electricity RMB involving enterprises under
Co., Ltd. (“Huaqing Power”) Jiangmen Jiangmen generation 10,000,000 - 33.15% common control
Business combinations
Electricity RMB involving enterprises under
Yunhe Power Yunfu Yunfu generation 755,733,258 90.00% - common control
Business combinations
Yunfu Yundian Energy Co., Ltd. Electricity RMB involving enterprises under
(“Yundian Energy”) Yunfu Yunfu generation 40,000,000 - 56.25% common control
Business combinations
Electricity RMB involving enterprises under
Yuehua Power Guangzhou Guangzhou generation 1,004,714,000 51.00% - common control
Guangdong Yudean Yuehua Business combinations
Integrated Energy Co., Ltd. Electricity RMB involving enterprises under
(“Yuehua Integrated Energy”) Guangzhou Guangzhou generation 60,000,000 - 51.00% common control
Guangzhou Huangpu Guangdian
Petroleum Store & Transport Co., Business combinations
Ltd. (“Guangdian Petroleum Store Storage and RMB involving enterprises under
& Transport”) Guangzhou Guangzhou transportation 24,000,000 - 51.00% common control
Guangzhou Huangpu Power Business combinations
Engineering Co., Ltd. (“Huangpu Electricity RMB involving enterprises under
Power Engineering”) Guangzhou Guangzhou generation 13,000,000 - 51.00% common control
Guangzhou Huangdian Training Business combinations
Centre Co., Ltd. (Huangdian involving enterprises under
Training Centre) Guangzhou Guangzhou Training RMB 500,000 - 51.00% common control
Guangzhou Huangpu Suishen Power Business combinations
Technology Engineering Co., Ltd. Electricity involving enterprises under
(“Suishen Power Engineering”) Guangzhou Guangzhou generation RMB 3,000,000 - 35.70% common control
- 273 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
5 Changes of consolidation scope (Cont’d)
(2) Business combinations involving enterprises not under common control
(a) Business combinations involving enterprises not under common control in the current year
Revenue of the Net (loss)/profit of Cash flows from Net cash flows of
acquiree from the acquiree from operating activities of the acquiree from
Interest Basis for the acquisition the acquisition the acquiree from the the acquisition
Timing of Acquisition acquired Acquisition Acquisition determining the date to the end date to the end of acquisition date to date to the end of
Acquiree acquisition cost (%) method date acquisition date of the year the period the end of the year the year
Nanhua New 7 January Equity 7 January Completion of
Energy 2021 93,381,000 51.00% transfer 2021 equity delivery 42,920,265 9,730,736 38,779,601 5,457,329
Datang New 31 March Equity 31 March Completion of
Energy 2021 161,858,100 51.00% transfer 2021 equity delivery 37,494,859 4,879,536 54,494,513 27,051,139
10
10 December Capital December Completion of
Tumxuk 2021 800,000,000 79.48% increase 2021 capital increase 60,100,462 (39,676,591) (134,560,246) (228,723,029)
On 7 January 2021, the Company’s wholly-owned subsidiary Guangdong Wind Power acquired 51% equity in Nanhua New Energy held by Guangye Investment
at a consideration of RMB 93,381,000. On 31 March 2021, the Company’s wholly-owned subsidiary Guangdong Wind Power acquired 51% equity in Datang
New Energy held by Guangye Investment at a consideration of RMB 161,858,100. On 10 December 2021, the Company increased its capital to Tumxuk by RMB
800,000,000. The transaction was agreed by the original shareholder Xinjiang Jintai Electric Power Co., Ltd. The shareholding percentage of the Company in
Tumxuk after the capital increase is 79.48%. Those transactions are classified as business combinations involving enterprises not under common control as
Nanhua New Energy, Datang New Energy, Tumxuk and the Company were not controlled by the same ultimate controlling party prior to combinations.
- 274 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
5 Changes of consolidation scope (Cont’d)
(2) Business combinations involving enterprises not under common control (Cont’d)
(b) Details of the costs of combination and goodwill recognised are as follows:
Nanhua New Datang New
Energy Energy Tumxuk
Costs of combination -
Cash consideration 93,381,000 161,858,100 800,000,000
Less: Fair value of the share of
identifiable net assets
obtained (87,222,005) (149,972,616) (680,511,328)
Goodwill 6,158,995 11,885,484 119,488,672
The Group uses valuation techniques to determine the fair value of non-cash assets transferred
and the fair value of liabilities incurred.
(c) The assets and liabilities of the acquiree at the acquisition date and 31 December 2020 are as
follows:
(i) Nanhua New Energy
Carrying Carrying
Fair value at the amount at the amount at 31
acquisition date acquisition date December 2020
Cash at bank and on hand 61,762 61,762 10,184,412
Accounts receivables 15,207,374 15,207,374 18,413,871
Advances to suppliers 209,642 209,642 4,150,115
Other receivables 10,337,282 10,337,282 191,912
Other current assets 5,328,214 5,328,214 32,264,103
Fixed assets 407,064,244 343,239,844 343,239,844
Other non-current assets 30,871,341 30,871,341 -
Less: Other payables (35,199,051) (35,199,051) (35,585,208)
Current portion of
non-current liabilities (15,000,000) (15,000,000) (15,000,000)
Other current liabilities (1,758,312) (1,758,312) (1,758,312)
Long-term borrowings (230,142,858) (230,142,858) (230,142,858)
Deferred tax liabilities (15,956,100) - -
Net assets 171,023,538 123,155,238 125,957,879
Less: Minority interests (83,801,533)
Net assets obtained 87,222,005
- 275 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
5 Changes of consolidation scope (Cont’d)
(2) Business combinations involving enterprises not under common control (Cont’d)
(c) The assets and liabilities of the acquiree at the acquisition date and 31 December 2020 are as
follows (Cont’d):
(ii) Datang New Energy
Fair value at Carrying
the acquisition amount at the Carrying amount at
date acquisition date 31 December 2020
Cash at bank and on hand 20,018,966 20,018,966 1,640,217
Accounts receivables 49,853,464 49,853,464 37,247,749
Advances to suppliers 25,637 25,637 22,044
Other receivables 2,980,158 2,980,158 26,850,142
Fixed assets 309,422,832 260,850,925 265,849,224
Intangible assets 79,253,414 24,918,879 25,163,400
Less: Accounts payables (2,131,853) (2,131,853) -
Taxes payable (7,793,644) (7,793,644) (8,060,549)
Interest payable (624,992) (624,992) -
Other payables (2,945,141) (2,945,141) (2,154,361)
Current portion of
non-current
liabilities (16,021,139) (16,021,139) (167,200,821)
Other current liabilities (1,132,187) (1,132,187) -
Long-term borrowings (137,262,016) (137,262,016) -
Deferred tax liabilities (25,726,611) - -
Net assets 267,916,888 190,737,057 179,357,045
Less: Minority interests (117,944,272)
Net assets obtained 149,972,616
- 276 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
5 Changes of consolidation scope (Cont’d)
(2) Business combinations involving enterprises not under common control (Cont’d)
(c) The assets and liabilities of the acquiree at the acquisition date and 31 December 2020 are as
follows (Cont’d):
(iii) Tumxuk
Carrying amount Carrying amount
Fair value at the at the acquisition at 31 December
acquisition date date 2020
Cash at bank and on hand 845,203,218 845,203,218 19,184,016
Accounts receivables 66,809,696 66,809,696 96,191,373
Advances to suppliers 10,591,792 10,591,792 29,081,717
Other receivables 40,690,034 40,690,034 720,294,064
Inventories 30,935,545 30,935,545 36,097,059
Other current assets 95,137,882 95,137,882 120,715,928
Fixed assets 2,087,706,041 2,034,678,517 2,149,978,824
Construction in progress 16,306,469 16,306,469 2,394,396
Intangible assets 38,042,700 30,351,123 31,035,963
Long-term prepaid expenses 2,438,482 2,438,482 3,411,277
Other non-current assets 830,790 830,790 -
Less: Short-term borrowings (326,009,263) (326,009,263) (352,000,000)
Notes payables - - (10,000,000)
Advances from customers - - (1,637,750)
Accounts payables (116,206,193) (116,206,193) (43,622,579)
Contract liabilities (829,227) (829,227) -
Employee benefits payable (343,323) (343,323) (4,053,616)
Taxes payable (858,673) (858,673) (356,897)
Other payables (236,638,250) (236,638,250) (830,811,214)
Current portion of non-current
liabilities (73,470,899) (73,470,899) (120,000,000)
Long-term borrowings (1,500,000,000) (1,500,000,000) (1,500,000,000)
Long-term payables (96,819,223) (96,819,223) (92,000,000)
Deferred income (12,133,333) (12,133,333) (12,729,167)
Deferred tax liabilities (15,179,775) - -
Other non-current liabilities - - (41,500)
Net assets 856,204,490 810,665,164 241,131,894
Less: Minority interests (175,693,162)
Net assets obtained 680,511,328
- 277 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
5 Changes of consolidation scope (Cont’d)
(2) Business combinations involving enterprises not under common control (Cont’d)
(d) Determination of fair value at the acquisition date
(i) The fair value of the assets and liabilities of the underlying company at the acquisition date are
determined by the Group using valuation techniques. The valuation method and critical
assumptions applied are as follows:
The valuation method used for fixed assets is the replacement cost method. The valuation of
an asset is based on the current replacement cost of the asset under valuation minus the value
of each of its losses, the basic formula for which is an appraised value equals to the full
replacement cost multiplied by the composite rate of replacement.
Intangible assets are mainly land use rights and favorable contract, and land use rights are
mainly assessed by the coefficient modification method of land base price: use the benchmark
land price set by the local government to correct the coefficients of the transfer period, regional
factors, individual factors, market transfer and other factors, so as to obtain the land use right
price of the parcel land; favorable contract are assessed primarily by the discounted cash flow
method. In order to calculate the present value of future cash flows, management forecasts and
estimates wind power revenue, wind power costs, operating expenses and applicable discount
rates in the next several years.
- 278 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
5 Changes of consolidation scope (Cont’d)
(3) Business combinations involving enterprises under common control
(a) Business combinations involving enterprises under common control in the current year
Basis for Revenue of the Net loss of the Cash flows from Net cash flows of
Basis for business determining acquiree from 1 acquiree from 1 operating activities of the acquiree
Interest combinations involving the January 2021 to January 2021 to the acquiree from 1 from 1 January
acquired enterprises under common Combination combination the combination the combination Revenue of the Net profit of the January 2021 to the 2021 to the
Acquiree (%) control date date date date acquiree in 2020 acquiree in 2020 combination date combination date
Both the original parent
company and the Company
are ultimately controlled by 30 Completion
Sha C GEGC prior and subsequent November of equity
Company 51% to the combination 2021 delivery 1,704,887,278 (283,339,552) 2,434,704,819 458,572,508 311,579,200 (1,239,743,297)
Both the original parent
company and the Company
are ultimately controlled by 30 Completion
GEGC prior and subsequent November of equity
Yunhe Power 90% to the combination 2021 delivery 1,101,375,696 (79,543,538) 1,030,042,135 60,094,163 88,048,355 9,650,228
Both the original parent
company and the Company
are ultimately controlled by 30 Completion
GEGC prior and subsequent November of equity
Yuehua Power 51% to the combination 2021 delivery 1,385,633,090 (295,831,752) 1,865,789,353 40,657,830 (31,869,794) (151,311,605)
- 279 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
5 Changes of consolidation scope (Cont’d)
(3) Business combinations involving enterprises under common control (Cont’d)
(a) Business combinations involving enterprises under common control in the current year (Cont’d)
On 8 October 2021, the Tenth Session of the Board of Directors of the Company reviewed and approved the Proposal on the Acquisition of Equity Interests
in Guangdong Province Sha C Company Generation Corporation and Other Companies during its 3rd meeting. The Board of Directors agreed that the
Company acquired, in cash, 51% equity interests in Sha C Company, 90% equity interests in Yunhe Power and 51% equity interests in Yuehua Power,
which were held by GEGC. Such equity acquisition was reviewed and approved at the Company's 2021 Fourth Extraordinary General Meeting on 25
October 2021, and the above equity transaction was completed on 30 November 2021.
These transactions are classified as business combinations involving enterprises under common control as Sha C Company, Yunhe Power and Yuehua
Power and the Company are controlled by the same ultimate controlling party GEGC prior and subsequent to the combinations.
- 280 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
5 Changes of consolidation scope (Cont’d)
(3) Business combinations involving enterprises under common control (Cont’d)
(b) Cost of combination is listed below:
Sha C Yunhe Power Yuehua Power Total
Company
Cost of combination
-Cash
consideration 1,934,041,438 1,139,513,152 670,047,051 3,743,601,641
- 281 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
5 Changes of consolidation scope (Cont’d)
(3) Business combinations involving enterprises under common control (Cont’d)
(c) The carrying amounts of assets and liabilities of the acquiree at the combination date and 31
December 2020 are as follows:
(i) Sha C Company
Carrying amount at
the combination Carrying amount at
date 31 December 2020
Cash at bank and on hand 1,820,771,924 3,043,819,331
Accounts receivables 832,843,405 734,136,097
Advances to suppliers 624,856 2,371,354
Other receivables 112,010,511 21,750,082
Inventories 518,147,663 146,614,692
Other current assets 222,579,487 83,079,411
Investments in other equity instruments 548,693,945 529,013,225
Investment properties 285,872,170 34,520,200
Fixed assets 2,598,131,821 3,037,738,869
Construction in progress 25,543,317 17,257,466
Right-of-use assets 3,094,002 —
Intangible assets 86,687,715 133,729,851
Deferred tax assets 62,453,257 3,868,175
Other non-current assets 66,556,787 60,496,004
Less: Short-term borrowings (355,850,990) (100,106,333)
Advances from customers (317,461) -
Accounts payables (2,030,283,066) (705,241,337)
Contract liabilities - (356,553)
Employee benefits payable (23,568,236) (10,146,653)
Taxes payable (82,541,202) (58,595,545)
Other payables (57,261,718) (363,923,482)
Current portion of non-current
liabilities (27,856,018) (70,197,243)
Other current liabilities (57,792,194) -
Long-term borrowings (1,354,649,027) (1,324,124,972)
Lease liabilities (95,545,900) —
Long-term payables - (94,160,179)
Long-term employee benefits
payable (880,161) (955,111)
Net assets 3,097,464,887 5,120,587,349
Less: Minority interests (1,538,344,104) (2,540,843,910)
Net assets obtained 1,559,120,783 2,579,743,439
- 282 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
5 Changes of consolidation scope (Cont’d)
(3) Business combinations involving enterprises under common control (Cont’d)
(c) The carrying amounts of assets and liabilities of the acquiree at the combination date and 31
December 2020 were as follows: (Cont’d)
(ii) Yunhe Power
Combination 31 December
date 2020
Carrying Carrying
amount amount
Cash at bank and on hand 98,041,055 88,170,352
Accounts receivables 148,252,883 99,735,691
Advances to suppliers 10,300,404 3,331,840
Other receivables 98,589,689 4,020,143
Inventories 209,185,255 63,520,096
Other current assets 10,511,334 -
Investment properties 46,365,296 46,938,390
Fixed assets 1,199,475,010 1,336,395,314
Construction in progress 11,513,018 6,025,881
Right-of-use assets 1,319,805 —
Intangible assets 182,119,104 200,890,509
Deferred tax assets 52,862,554 23,981,225
Less: Short-term borrowings (241,103,889) (100,106,639)
Notes payables (260,000,000) (160,000,000)
Advances from customers (95,328) -
Accounts payables (251,639,786) (80,668,465)
Contract liabilities (145,522) -
Employee benefits payable (68,133,516) (18,821,164)
Taxes payable (6,715,914) (18,551,449)
Other payables (13,614,387) (84,834,711)
Current portion of
non-current liabilities (227,323) (69,290,075)
Other current liabilities (15,162,463) -
Lease liabilities (1,305,354) —
Deferred income (877,660) (947,115)
Long-term employee
benefits payable (8,025,606) (6,549,184)
Net assets 1,201,488,659 1,333,240,639
Less: Minority interests (134,926,331) (148,102,528)
Net assets obtained 1,066,562,328 1,185,138,111
- 283 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
5 Changes of consolidation scope (Cont’d)
(3) Business combinations involving enterprises under common control (Cont’d)
(c) The carrying amounts of assets and liabilities of the acquiree at the combination date and 31
December 2020 were as follows: (Cont’d)
(iii) Yuehua Power
Combination 31 December
date 2020
Carrying amount Carrying amount
Cash at bank and on hand 366,953,888 515,478,550
Accounts receivables 52,846,692 134,580,923
Advances to suppliers 2,430,174 12,268,427
Other receivables 268,991,439 33,978,813
Inventories 15,033,629 7,769,568
Contract assets 2,896,135 2,067,485
Other current assets - 46,582,283
Investments in other equity
instruments 800,000 800,000
Long-term equity investments 2,105,709 2,101,510
Fixed assets 2,669,321,415 2,827,267,144
Construction in progress 86,016,723 77,751,825
Right-of-use assets 219,860 —
Intangible assets 38,180,697 40,059,869
Long-term prepaid expenses 1,048,485 1,935,664
Deferred tax assets 50,920,537 30,220,656
Other non-current assets 592,728 811,428
Less: Short-term borrowings (80,000,000) (93,800,000)
Advances from customers - (1,493,934)
Accounts payables (497,813,841) (65,155,228)
Contract liabilities (6,213,690) -
Employee benefits payable (72,348,034) (26,680,584)
Taxes payable (25,195,339) (4,951,932)
Other payables (10,931,809) (489,273,126)
Current portion of non-current
liabilities (64,541,367) (2,082,667)
Other current liabilities (253,031) -
Long-term borrowings
(1,550,000,000) (1,600,000,000)
Lease liabilities (223,073) —
Deferred income (31,828,284) (36,058,057)
Long-term employee benefits
payable (156,696,556) (52,589,265)
Deferred tax liabilities (761) (761)
Net assets 1,062,312,326 1,361,588,591
Less: Minority interests (521,064,488) (667,711,033)
Net assets obtained 541,247,838 693,877,558
- 284 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
6 Interests in other entities
(1) Interests in subsidiaries
(a) Constitution of the Group
Subsidiaries Major business location Place of registration Nature of business Shareholding (%) Acquisition method
Direct Indirect
Maoming Thermal (i) Maoming Maoming Electricity generation 46.54% - Investment
Jinghai Power Jieyang Jieyang Electricity generation 65.00% - Investment
Zhanjiang Wind Power Zhanjiang Zhanjiang Electricity generation - 70.00% Investment
Guangdong Yudean Anxin Electric Inspection & Installation Co., Ltd.
(“Anxin Inspection”) Dongguan Dongguan Electricity generation 100.00% - Investment
Guangdong Yudean Humen Electric Co., Ltd. (“Humen Electric”) Dongguan Dongguan Electricity generation 60.00% - Investment
Bohe Energy Maoming Maoming Electricity generation 67.00% - Investment
Zhanjiang Yuheng Power Maintenance Installation Co., Ltd. (“Yuheng Business combinations involving
Power”) (Deregistered) (iii) Zhanjiang Zhanjiang Electricity generation - 76.00% enterprises under common control
Xuwen Wind Power Zhanjiang Zhanjiang Electricity generation - 70.00% Investment
Guangdong Yudean Huadu Natural Gas Thermal Power Co., Ltd. (“Huadu
Natural Gas”) Guangzhou Guangzhou Electricity generation 65.00% - Investment
Guangdong Yuedian Dapu Power Generation Co., Ltd. (“Dapu Power
Generation”) Meizhou Meizhou Electricity generation 100.00% - Investment
Leizhou Wind Power Leizhou Leizhou Electricity generation - 94.00% Investment
Dianbai Wind Power Maoming Maoming Electricity generation - 100.00% Investment
Business combinations involving
Zhanjiang Electric Zhanjiang Zhanjiang Electricity generation 76.00% - enterprises under common control
Business combinations involving
Yuejia Electric Meizhou Meizhou Electricity generation 58.00% - enterprises under common control
Business combinations involving
Yuejiang Power Shaoguan Shaoguan Electricity generation 90.00% - enterprises under common control
Business combinations involving
Zhongyue Energy Zhanjiang Zhanjiang Electricity generation 90.00% - enterprises under common control
Power Sales Guangzhou Guangzhou Electricity generation 100.00% - Investment
Qujie Wind Power Zhanjiang Zhanjiang Electricity generation - 100.00% Investment
Yangjiang Wind Power Yangjiang Yangjiang Electricity generation - 91.41% Investment
Business combinations involving
Lincang, Yunnan enterprises not under common
Lincang Energy Province Lincang Electricity generation 100.00% - control
Business combinations involving
Shenzhen Guangqian Electric Co., Ltd. (“Guangqian Electric”) Shenzhen Shenzhen Electricity generation 100.00% - enterprises under common control
Business combinations involving
Huizhou Natural Gas Huizhou Huizhou Electricity generation 67.00% - enterprises under common control
- 285 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
6 Interests in other entities (Cont’d)
(1) Interests in subsidiaries (Cont’d)
(a) Constitution of the Group (Cont’d)
Subsidiaries Major business location Place of registration Nature of business Shareholding (%) Acquisition method
Direct Indirect
Business combinations involving
Pinghai Power (ii) Huizhou Huizhou Electricity generation 45.00% - enterprises under common control
Business combinations involving
Shibeishan Wind Power Jieyang Jieyang Electricity generation - 70.00% enterprises under common control
Business combinations involving
Red Bay Power Shanwei Shanwei Electricity generation 65.00% - enterprises under common control
Business combinations involving
enterprises not under common
Guangdong Wind Power Guangzhou Guangzhou Electricity generation 100.00% - control
Huaihua, Hunan
Tongdao Company Province Huaihua Electricity generation - 100.00% Investment
Pingyuan Wind Power Meizhou Meizhou Electricity generation - 100.00% Investment
Guangdong Yudean Heping Wind Power Co., Ltd. (“Heping Wind Power”) Heyuan Heyuan Electricity generation - 100.00% Investment
Business combinations involving
enterprises not under common
Huilai Wind Power Jieyang Jieyang Electricity generation - 89.83% control
Guangdong Yuejiang Hongrui Power Technology Development Co., Ltd.
(“Hongrui Technology”) Shaoguan Shaoguan Electricity generation - 90.00% Investment
Yongan Natural Gas Zhaoqing Zhaoqing Electricity generation 90.00% - Investment
Xupu County,
Huaihua, Hunan Huaihua, Hunan
Xupu Yuefeng Province Province Electricity generation - 100.00% Investment
Wuxuan, Guangxi
Guangxi Zhuang Zhuang Autonomous
Wuxuan Yuefeng Autonomous Region Region Electricity generation - 100.00% Investment
Huizhou Pingdian Comprehensive Energy Co., Ltd. (“Pingdian
Comprehensive”) Huizhou Huizhou Electricity generation - 45.00% Investment
Zhuhai Wind Power Zhuhai Zhuhai Electricity generation - 85.91% Investment
Guangdong Yudean Zhencheng Comprehensive Energy Co., Ltd.
(“Zhencheng Comprehensive”) (Deregistered) (iv) Maoming Maoming Electricity generation - 37.23% Investment
Guangdong Yudean Binhai Bay Energy Co., Ltd. (“Binhai Bay Company”) Dongguan Dongguan Electricity generation 100.00% - Investment
Guangdong Yuedian Daya Bay Integrated Energy Co., Ltd. (“Daya Bay
Company”) Huizhou Huizhou Electricity generation 80.00% - Investment
Guangdong Yuedian Qiming Energy Co., Ltd. (“Qiming Company”) Shenzhen Shenzhen Electricity generation 100.00% - Investment
Business combinations involving
enterprises not under common
Huaguoquan Company Shenzhen Shenzhen Leases 100.00% - control
Nanxiong New Energy Shaoguan Shaoguan Electricity generation - 100.00% Investment
Dananhai Company Jieyang Jieyang Electricity generation 100.00% - Investment
Baihua Company Huizhou Huizhou Electricity generation 100.00% - Investment
- 286 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
6 Interests in other entities (Cont’d)
(1) Interests in subsidiaries (Cont’d)
(a) Constitution of the Group (Cont’d)
Subsidiaries Major business location Place of registration Nature of business Shareholding (%) Acquisition method
Direct Indirect
Bijie New Energy Bijie Bijie Electricity generation 100.00% - Investment
Qingzhou Offshore Wind Power Yangjiang Yangjiang Electricity generation - 100.00% Investment
Wanhaowei New Energy Zhanjiang Zhanjiang Electricity generation - 100.00% Investment
Wanchuang Hengwei New Energy Zhanjiang Zhanjiang Electricity generation - 100.00% Investment
Business combinations involving
Nanhua New Energy Zhanjiang Zhanjiang Electricity generation - 51.00% enterprises not under common control
Business combinations involving
Datang New Energy Guangzhou Guangzhou Electricity generation - 51.00% enterprises not under common control
Business combinations involving
Yueneng Wind Power Zhanjiang Zhanjiang Electricity generation - 51.00% enterprises not under common control
Business combinations involving
Tumxuk Tumxuk Tumxuk Electricity generation 79.48% - enterprises not under common control
Business combinations involving
Sha C Company Guangzhou Guangzhou Electricity generation 51.00% - enterprises under common control
Business combinations involving
Guanghe Power Guangzhou Guangzhou Electricity generation - 51.00% enterprises under common control
Business combinations involving
Biomass Power Generation Zhanjiang Zhanjiang Electricity generation - 51.00% enterprises under common control
Business combinations involving
Xinhui Power (v) Jiangmen Jiangmen Electricity generation - 45.90% enterprises under common control
Business combinations involving
Huaqing Power (v) Jiangmen Jiangmen Electricity generation - 33.15% enterprises under common control
Business combinations involving
Yunhe Power Yunfu Yunfu Electricity generation 90.00% - enterprises under common control
Business combinations involving
Yundian Energy Yunfu Yunfu Electricity generation - 56.25% enterprises under common control
Business combinations involving
Yuehua Power Guangzhou Guangzhou Electricity generation 51.00% - enterprises under common control
Business combinations involving
Yuehua Integrated Energy Guangzhou Guangzhou Electricity generation - 51.00% enterprises under common control
Business combinations involving
Guangdian Petroleum Store & Transport Guangzhou Guangzhou Storage and transportation - 51.00% enterprises under common control
Business combinations involving
Huangpu Power Engineering Guangzhou Guangzhou Electricity generation - 51.00% enterprises under common control
Business combinations involving
Huangdian Training Centre Guangzhou Guangzhou Training - 51.00% enterprises under common control
Business combinations involving
Huishen Power Engineering (v) Guangzhou Guangzhou Electricity generation - 35.70% enterprises under common control
- 287 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
6 Interests in other entities (Cont’d)
(1) Interests in subsidiaries (Cont’d)
(a) Constitution of the Group (Cont’d)
(i) On 30 November 2018, Maoming Thermal merged Guangdong Energy Maoming Thermal Power Station Co., Ltd., wholly-owned by GEGC. After the merger,
GEGC held 30.12% equity of Maoming Thermal. According to the agreement between the Company and GEGC, the delegated shareholder and director from
GEGC maintain consensus with those of the Company while exercising the voting rights during the shareholders’ meeting and the Board of Directors’ meeting
at Maoming Thermal. Therefore, the Company owns control power over Maoming Thermal.
(ii) Pinghai Power was acquired from GEGC by the Group in 2012 through offering non-public shares. According to the agreement between GEGC and
Guangdong Huaxia Electric Power Development Co., Ltd. (“Huaxia Electric”), which holds 40% equity in Pinghai Power, the delegated shareholder and
director from Huaxia Electric maintain consensus with those of GEGC when exercising their voting rights during the shareholders’ meeting and Board of
Directors’ meeting at Pinghai Power; besides, after GEGC transfers its 45% equity in Pinghai Power to the Company, the delegated shareholder and
director from Huaxia Electric also reach consensus with those of the Company when exercising their voting rights during the shareholders’ meeting and
Board of Directors’ meeting at Pinghai Power. Therefore, the Company owns the control power over Pinghai Power.
(iii) Zhanjiang Electric, a subsidiary of the Company, held a shareholders' meeting on 26 October 2021, and passed the Proposal of the Shareholders' Meeting
on Liquidation and Cancellation of Zhanjiang Yuheng Power Maintenance Installation Co., Ltd., and decided to complete the liquidation and cancellation of
Yuheng Power, a wholly-owned subsidiary of Zhanjiang Electric, by the end of 2021. The liquidation and cancellation of Yuheng Power will correspondingly
change the scope of the Company's consolidated financial statements. However, it will not have a significant impact on the Company's existing business
and operating results, and will not harm the interests of the Company and its shareholders. As at 31 December 2021, the liquidation and cancellation of
Yuheng Power had been completed.
(iv) On 30 June 2021, the shareholder’s meeting passed the resolution to liquidate and cancel Zhencheng Comprehensive, a subsidiary of the Company. The
liquidation and cancellation of Zhencheng Comprehensive will correspondingly change the scope of the Company's consolidated financial statements.
However, it will not have a significant impact on the Company's existing business and operating results, and will not harm the interests of the Company and
its shareholders. As at 31 December 2021, the liquidation and cancellation of Zhencheng Comprehensive had been completed.
(v) Xinhui Power and Huaqing Power are non-wholly-owned subsidiaries of Sha C Company, with shareholding ratios of 90% and 65%, respectively. Suishen
Power Engineering is a non-wholly-owned subsidiary of Yuehua Power Generation, with shareholding ratios of 90% and 65% respectively. 70%. The
Company indirectly controls these companies by controlling Sha C Company and Yuehua Power Generation.
- 288 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
6 Interests in other entities (Cont’d)
(1) Interests in subsidiaries (Cont’d)
(b) Subsidiaries with significant minority interests
Shareholding of minority Gains or losses attributable to Dividends distributed to Minority interests as at 31
Subsidiaries shareholders (%) minority shareholders in 2021 minority shareholders in 2021 December 2021
Bohe Energy 33.00% (6,904,469) - 1,364,425,786
Zhanjiang Electric 24.00% (72,981,664) 23,197,930 889,192,304
Jinghai Power 35.00% (178,274,662) 151,318,844 1,044,024,158
Red Bay Power 35.00% (170,973,504) 96,734,416 952,273,720
Huizhou Natural Gas 33.00% 27,971,776 211,037,669 651,922,558
Pinghai Power 55.00% 16,774,811 174,021,767 1,040,046,376
Sha C Company 49.00% (278,322,276) 861,242,583 1,463,151,208
(i) Dividends distributed to minority shareholders in 2021 had all been paid off in the current year.
- 289 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
6 Interests in other entities (Cont’d)
(1) Interests in subsidiaries (Cont’d)
(b) Subsidiaries with significant minority interests (Cont'd)
Major financial information of material non-wholly-owned subsidiaries of the Group is listed below:
31 December 2021 31 December 2020
Non-current Current Non-current Non-current Current Non-current
Current assets assets Total assets liabilities liabilities Total liabilities Current assets assets Total assets liabilities liabilities Total liabilities
Bohe Energy 2,609,681,761 6,892,655,462 9,502,337,223 3,008,450,314 2,359,263,315 5,367,713,629 767,050,262 9,643,376,566 10,410,426,828 3,764,791,895 2,490,088,705 6,254,880,600
Zhanjiang Electric 2,650,321,842 1,266,988,373 3,917,310,215 183,009,639 29,332,641 212,342,280 3,046,263,179 1,262,920,735 4,309,183,914 175,539,000 21,203,440 196,742,440
Jinghai Power 1,526,571,272 6,829,232,837 8,355,804,109 4,033,650,563 1,339,227,380 5,372,877,943 1,169,487,442 6,990,897,776 8,160,385,218 2,449,512,187 1,786,251,133 4,235,763,320
Red Bay Power 1,409,063,788 5,053,935,838 6,462,999,626 3,167,753,333 574,464,236 3,742,217,569 972,859,321 5,062,032,390 6,034,891,711 1,796,971,724 752,258,158 2,549,229,882
Huizhou Natural Gas 339,090,166 2,930,623,382 3,269,713,548 726,965,377 567,225,268 1,294,190,645 710,651,111 3,115,192,544 3,825,843,655 635,175,623 660,400,000 1,295,575,623
Pinghai Power 1,588,057,850 3,411,190,163 4,999,248,013 1,230,761,702 1,877,492,900 3,108,254,602 1,254,897,337 3,768,541,657 5,023,438,994 1,570,145,027 1,276,397,000 2,846,542,027
Sha C Company 2,916,866,925 3,999,456,043 6,916,322,968 2,657,111,340 1,273,188,755 3,930,300,095 4,031,770,967 3,816,623,790 7,848,394,757 1,308,567,146 1,419,240,262 2,727,807,408
2021 2020
Total comprehensive Cash flows from Total comprehensive Cash flows from
Revenue Net (loss)/profit income operating activities Revenue Net (loss)/profit income operating activities
Bohe Energy 2,782,274,837 (20,922,634) (20,922,634) 437,918,482 190,228,324 (210,939,996) (210,939,996) 1,028,367
Zhanjiang Electric 2,244,415,610 (304,090,266) (310,815,500) (404,758,842) 1,697,051,516 198,651,363 198,651,363 380,388,728
Jinghai Power 6,657,485,630 (509,356,177) (509,356,177) 334,454,084 4,860,526,733 480,377,283 480,377,283 1,227,452,922
Red Bay Power 5,009,175,976 (488,495,726) (488,495,726) (442,766,950) 3,655,108,574 307,093,385 307,093,385 852,369,607
Huizhou Natural Gas 3,639,314,264 84,762,958 84,762,958 559,716,915 3,928,517,091 710,564,542 710,564,542 964,252,990
Pinghai Power 4,877,581,551 30,499,657 30,499,657 344,245,399 3,243,260,761 458,659,788 458,659,788 601,318,982
Sha C Company 1,999,829,883 (568,004,644) (407,654,995) 48,454,458 2,434,704,819 458,572,508 458,572,508 723,397,079
- 290 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
6 Interests in other entities (Cont’d)
(2) Interests in joint ventures and associates
(a) Basic information of significant joint ventures and associates
Major Whether strategic
business Place of to the Group's
location registration Nature of business activities Shareholding (%)
Direct Indirect
Joint ventures -
Guangzhou, Guangzhou,
Industry Fuel Guangdong Guangdong Fuel trading Yes 50.00% -
Associates -
Shanxi Yudean Taiyuan, Taiyuan, Mining, power
Energy Shanxi Shanxi generation Yes 40.00% -
Energy Group Guangzhou, Guangzhou,
Finance Company Guangdong Guangdong Finance Yes 40.00% -
Taishan, Taishan,
Taishan Electric Guangdong Guangdong Power generation Yes 20.00% -
Energy Financial Guangzhou, Guangzhou,
Leasing Company Guangdong Guangdong Finance leases Yes 25.00% -
The equity investments are accounted for using the equity method by the Group.
(b) Summarised financial information of significant joint ventures
31 December 2021 31 December 2020
Industry Fuel Industry Fuel
Current assets 8,607,437,424 3,394,974,695
Non-current assets 3,981,342,190 919,752,240
Total assets 12,588,779,614 4,314,726,935
Current liabilities 9,741,803,372 2,677,965,708
Non-current liabilities 1,169,197,748 505,894,435
Total liabilities 10,911,001,120 3,183,860,143
Minority interests 67,010,551 67,010,550
Attributable to shareholders of the parent company 1,610,767,943 1,063,856,242
Shares of net assets in proportion to shareholding
(i) 805,383,972 531,928,121
Adjustments - Unrealised profits from intra-group
transactions (159,913,458) (614,728)
Carrying amount of equity investment in joint
ventures 645,470,514 531,313,393
Revenue 40,287,196,338 17,245,296,639
Net profit 230,410,999 148,992,812
Including: Attributable to the parent company 230,410,999 148,992,812
Other comprehensive income 15,800,500 -
Including: Attributable to the parent company 15,800,500 -
Total comprehensive income 246,211,499 148,992,812
Dividends received from joint ventures by the Group
for the current year 29,649,898 69,090,435
- 291 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
6 Interests in other entities (Cont’d)
(2) Interests in joint ventures and associates (Cont’d)
(b) Summarised financial information of significant joint ventures (Cont’d)
(i) Share of asset is calculated according to shareholding based on the amount attributable to the parent
company in the consolidated financial statements of joint ventures. The amount in the consolidated
financial statements of joint ventures considers the impacts of fair value of identifiable assets and
liabilities of joint ventures at the time of acquisition and the unification of accounting policies. The assets
involved in the transactions between the Group and joint ventures do not constitute a business.
(c) Summarised financial information of significant associates
31 December 2021 31 December 2020
Energy Energy
Financial Financial
Shanxi Yudean Leasing Shanxi Yudean Leasing
Energy Company Energy Company
Current assets 1,074,073,055 632,968,295 359,511,675 913,688,722
Non-current assets 6,627,921,355 7,281,003,242 4,862,121,461 4,333,088,521
Total assets 7,701,994,410 7,913,971,537 5,221,633,136 5,246,777,243
Current liabilities 493,070,520 1,840,650,722 272,974,916 1,457,308,158
Non-current liabilities 1,230,741,592 3,944,093,673 394,482,950 1,699,534,931
Total liabilities 1,723,812,112 5,784,744,395 667,457,866 3,156,843,089
Minority interests 70,239,165 - 6,344,280 -
Attributable to
shareholders of the
parent company 5,907,943,133 2,129,227,142 4,547,830,990 2,089,934,154
- -
Share of net assets
based on
shareholding (i) 2,363,177,253 532,306,787 1,819,132,396 522,483,539
Carrying amount of equity
investment in associates 2,363,177,253 532,306,787 1,819,132,396 522,483,539
-
Revenue 100,199,753 259,494,775 8,899,732 17,960,469
Investment income 1,229,294,936 1,540,565 506,171,897 (2,005,462)
Net profit/(loss) 1,200,222,015 89,599,668 487,328,469 3,904,742
Including: Attributable
to the parent company 1,200,112,143 89,599,668 487,322,126 3,904,742
Other comprehensive
income - - - -
Including: Attributable
to the parent company - - - -
Total comprehensive
income 1,200,222,015 89,599,668 487,328,469 3,904,742
-
Dividends received from
associates by the Group
for the current year - 12,576,669 20,000,000 -
- 292 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
6 Interests in other entities (Cont’d)
(2) Interests in joint ventures and associates (Cont’d)
(c) Summarised financial information of significant associates (Cont’d)
31 December 2021 31 December 2020
Energy Group Energy Group
Finance Company Taishan Electric Finance Company Taishan Electric
Current assets 7,694,411,383 2,930,161,081 4,029,448,613 1,394,060,235
Non-current assets 17,101,010,480 9,406,287,125 16,237,010,014 10,151,763,274
Total assets 24,795,421,863 12,336,448,206 20,266,458,627 11,545,823,509
Current liabilities 20,630,423,850 3,414,107,776 16,186,047,689 2,099,513,156
Non-current liabilities 31,373,853 - 24,771,788 -
Total liabilities 20,661,797,703 3,414,107,776 16,210,819,477 2,099,513,156
Minority interests - - - 1,177,413
Attributable to shareholders of
the parent company 4,133,624,160 8,922,340,430 4,055,639,150 9,445,132,940
-
Share of net assets based on
shareholding (i) (ii) 1,653,449,664 1,784,468,086 1,622,255,660 1,889,026,588
Adjustments
- Goodwill 13,325,000 - 13,325,000 -
Carrying amount of equity
investment in associates
(ii) 1,666,774,664 1,784,468,086 1,635,580,660 1,889,026,588
Revenue 752,537,763 10,287,027,972 692,417,185 6,349,201,814
Net profit/(loss) 364,396,199 (17,047,790) 359,629,301 398,456,650
Including: Attributable to the
parent
company 364,396,199 (17,047,790) 359,629,301 398,026,651
Other comprehensive income 19,273,714 - 74,315,364 (388,346)
Including: Attributable to the
parent
company 19,273,714 - 74,315,364 (271,842)
Total comprehensive income 383,669,913 (17,047,790) 433,944,665 398,068,304
Dividends received from
associates by the Group
for the current year 122,273,962 101,148,944 73,161,903 275,880,313
(i) Share of asset is calculated in proportion to the shareholding based on the amount
attributable to the parent company in the consolidated financial statements of associates.
The amount in the consolidated financial statements of associates considers the impacts of
fair value of identifiable assets and liabilities of associates at the time of acquisition and the
unification of accounting policies. The assets involved in the transactions between the Group
and associates do not constitute a business.
(ii) In 2021, the Group's shareholding in the Energy Group Finance Company increased from
25% to 40% as a result of business combinations involving enterprises under common
control, thus restating the shares of net assets in proportion to shareholding and the carrying
amount of the equity investment in the associates in 2020.
- 293 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
6 Interests in other entities (Cont’d)
(2) Interests in joint ventures and associates (Cont’d)
(d) Summarised information of insignificant associates
2021 2020
(Restated)
Joint ventures:
Aggregated carrying amount of investments 9,350,000 -
Aggregate of the following items in
proportion
Net loss (i) - -
Other comprehensive income(i) - -
Total comprehensive income - -
Associates:
Aggregated carrying amount of investments 1,070,661,046 900,196,546
Aggregate of the following items in
proportion
Net loss (i) (18,173,212) (204,526,900)
Other comprehensive income(i) (332,152) (1,616,625)
Total comprehensive income (18,505,364) (206,143,525)
(i) The net loss and other comprehensive income have taken into account the impacts of both the fair
value of the identifiable assets and liabilities upon the acquisition of investment at the time of
acquisition and the unification of accounting policies.
7 Segment information
As the Group's operating income and expenses, assets and liabilities are primarily associated with
sale of electric power and other related products, the Group's management, taking the sale of
electric power as a whole business, periodically obtains accounting information relating to financial
status, operating results and cash flow for assessment. Therefore, there is only the electric power
segment in the Group.
The Group’s revenue from main operations derives from the development and operation of electric
plants in China and all assets are within China.
In 2021, the revenue earned by the Group’s power plants from Southern Power Grid Company
amounted to RMB 43,278,023,920 (2020: RMB 32,810,398,651), which took up 97.99% of the
Group’s operating income (2020: 97.64%).
- 294 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
8 Related parties and related party transactions
(1) General information of the parent company
(a) General information of the parent company
Place of
registration Nature of business
Operation and management of power generation enterprises,
capital management of electricity assets, construction of power
GEGC Guangzhou plant and sale of electricity
The ultimate holding party of the Company is State-owned Assets Supervision And Administration
Commission of the People's Government of Guangdong Province.
(b) Registered capital and changes in registered capital of the parent company
31 December Increase in the Decrease in the 31 December
2020 current year current year 2021
GEGC 23,000,000,000 - - 23,000,000,000
(c) The percentage of shareholding and voting rights in the Company held by the parent company
31 December 2021 31 December 2020
Shareholding Voting rights Shareholding Voting rights
(%) (%) (%) (%)
GEGC 67.39% 67.39% 67.39% 67.39%
(2) Information of subsidiaries
The general information and other related information of the subsidiaries are set out in Note
6(1)(a).
(3) Information of joint ventures and associates
Apart from material joint ventures and associates disclosed in Note 6, other joint ventures and
associates that involved in related party transactions with the Group are listed as follows:
Name of entity Relationship with the Group
GEG Property Insurance Associate
Yudean Shipping Associate
Yunfu B Associate
- 295 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
8 Related parties and related party transactions (Cont’d)
(4) Information of other related parties
Relationship with the Group
Guangdong Energy Group Shajiao C Power Plant (“Shajiao C”) Controlled by GEGC
Guangdong Zhuhai Jinwan Power Co., Ltd. (“Zhuhai Jinwan Electric”) Controlled by GEGC
Guangdong Yudean Property Management Co., Ltd. (“Yudean PM”) Controlled by GEGC
Guangdong Yudean Information Technology Co., Ltd. (“Yudean
Technology”) Controlled by GEGC
Guangdong Yudean Property Investment Co., Ltd. (“Yudean PI”) Controlled by GEGC
Guangdong Yudean Environmental Protection Co., Ltd. (“Yudean
Environmental”) Controlled by GEGC
Guangdong Yudean Environmental Protection Materials Co., Ltd.
(“Environmental Protection Materials”) Controlled by GEGC
Guangdong Yuelong Power Generation Co., Ltd. (“Yuelong Power”) Controlled by GEGC
Guangdong Yudean Zhongshan Thermal Power Plant (“Zhongshan
Thermal”) Controlled by GEGC
Guangdong Port of Yangjiang Harbour Service Co., Ltd. (“Port of
Yangjiang”) Controlled by GEGC
Guangzhou Development District Yudean New Energy Co., Ltd.
(“Yudean New Energy”) Controlled by GEGC
Guangdong Energy Group Natural Gas Co., Ltd. (“Guangdong Energy
Natural Gas”) Controlled by GEGC
Zhuhai Special Economic Zone Guangzhu Power Generation Co., Ltd.
(“Guangzhu Power”) Controlled by GEGC
Guangdong Energy Group Co., Ltd., Zhuhai Power Plant (“Zhuhai
Power”) Controlled by GEGC
Inner Mongolia Yudean Menghua New Energy Co., Ltd. (“Menghua
New Energy”) Controlled by GEGC
- 296 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
8 Related parties and related party transactions (Cont’d)
(5) Related party transactions
(a) Purchase and sale of goods, and rendering and receiving of service
Purchase of goods and receiving of services:
Type of related party Pricing policies of related
Related parties transaction party transactions 2021 2020
(Restated)
Industry Fuel Purchase of fuel Agreement price 29,734,481,375 11,393,268,770
Guangdong Energy Natural
Gas Purchase of fuel Agreement price 3,732,802,782 3,405,356,446
Yudean Environmental Purchase of materials Agreement price 156,679,116 166,385,504
Environmental Protection
Materials Purchase of materials Agreement price 64,389,931 -
Receipt of insurance
GEG Property Insurance services Agreement price 59,136,449 50,174,026
Yudean Shipping Receipt of tug services Agreement price 24,226,415 25,154,340
Receipt of property
Yudean PM services Agreement price 23,959,792 34,811,439
Port of Yangjiang Receipt of tug services Agreement price 16,431,191 1,479,405
Purchase of carbon
emission quota and receipt
Others of services Agreement price 19,876,271 23,439,370
33,831,983,322 15,100,069,300
Sale of goods and rendering of services:
Type of related party Pricing policies of related
Related parties transaction party transactions 2021 2020
(Restated)
Revenue from sale of
Yudean Environmental by-products Agreement price 340,736,159 301,499,704
Provision of maintenance
Shajiao C and repair services Agreement price 39,394,206 40,896,696
Provision of maintenance
Zhongshan Thermal and repair services Agreement price 14,057,773 8,936,678
Environmental Protection Revenue from sale of
Materials by-products Agreement price 12,305,470 391,184
Provision of maintenance
Zhuhai Power and repair services Agreement price 10,799,140 14,398,394
Others Provision of services Agreement price 24,419,684 27,611,047
441,712,432 393,733,703
- 297 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
8 Related parties and related party transactions (Cont’d)
(5) Related party transactions (Cont’d)
(b) Purchase of electric power
Related parties 2021 2020
(Restated)
Guangzhu Power 130,127,530 122,451,327
Zhuhai Jinwan
Electric 121,954,252 117,292,035
Zhongshan
Thermal 96,302,800 85,318,584
Yuelong Power 31,152,000 27,212,389
Yunfu B 16,203,000 24,406,903
Others - 144,243
395,739,582 376,825,481
The amount for purchase of electric power is determined by the difference of decrease in current
feed-in tariff and purchased quantity of electricity agreed by companies selling electric power and
power plants from related parties.
(c) Leases
Right-of-use assets increased in the current year with the Group as the lessee:
Name of the Type of the
lessor leased asset 2021 2020
Energy Financial Lease of
Leasing machinery and
Company equipment 4,496,403,656 —
Others Housing rental 3,673,203 —
4,500,076,859 —
Interest costs on lease liabilities in the current year with the Group as the lessee:
2021 2020
Energy Financial
Leasing
Company 152,418,557 —
Others 383,203 —
152,801,760 —
- 298 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
8 Related parties and related party transactions (Cont’d)
(5) Related party transactions (Cont’d)
(d) Guarantees
The Group as the guarantor
Guaranteed Whether the guarantee
Guaranteed party amount Starting date Maturity date has been fulfilled or not
GEGC (i) 1,649,894,414 03/12/2019 15/09/2043 No
(i) In order to perform the Loan Agreement for the Guangdong Yudean Yangjiang Shapa offshore
wind power project signed between the People's Republic of China (“PRC”) and New Development
Bank (“NDB”) (“Loan Agreement with NDB”) on 3 December 2019, Project Agreement signed
between NDB and People’s Government of Guangdong Province (“provincial government”)
(“Project Agreement with NDB”), Loan Transfer Agreement signed between the Ministry of Finance
and the provincial government (“Loan Transfer Agreement with the Ministry of Finance”) and Loan
Transfer Agreement signed between the Department of Finance of Guangdong Province and
GEGC (“Loan Transfer Agreement with the Department of Finance of Guangdong Province”),
Yangjiang Wind Power signed Loan Transfer Agreement with GEGC (Loan Transfer Agreement
with GEGC) in 2020, specifying that GEGC shall transfer loans of RMB 2,000,000,000 (“Project
Loan”) to Yangjiang Wind Power; meanwhile, the Company signed a joint liability guarantee
contract with GEGC, specifying that the Company provides joint liability guarantee for all liabilities
of Yangjiang Wind Power under the Loan Transfer Agreement with GEGC on behalf of GEGC to
the Department of Finance of Guangdong Province from 3 December 2019 to 15 September 2043,
and the guarantee scope includes but not limited to principal and interest. As at 31 December
2021, Yangjiang Wind Power borrowed pledged loan of RMB 1,649,894,414 from NDB.
The above Project Loan was transferred to the provincial government by the Ministry of Finance
under the country’s authorisation according to the same loan conditions, then transferred to GEGC
by the Department of Finance of Guangdong Province under the provincial government’s
authorisation, and finally transferred to Yangjiang Wind Power by GEGC. The above Project Loan
was actually provided in entrusted payment. The cash would not flow through the bank accounts of
the Ministry of Finance, Department of Finance of Guangdong Province and GEGC, and Yangjiang
Wind Power, the actual debtor of the Project Loan, directly withdrew and repaid the loan through
its account of NDB. The Project Loan was guaranteed by the Company for GEGC, and actually the
Company provided guarantee for the Project Loan obtained by Yangjiang Wind Power from NDB.
Therefore, after consulting the Company’s legal adviser, management considered that joint liability
guarantee provided by the Group for GEGC would not constitute GEGC’s occupation of the
Group’s funds.
- 299 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
8 Related parties and related party transactions (Cont’d)
(5) Related party transactions (Cont’d)
(e) Lending among related parties
(i) According to the 2021 Framework Agreement on Financial Services between the Company and
Energy Group Finance Company, Energy Group Finance Company is committed to offering the
Group a credit line of no more than RMB 33,000,000,000 in 2021. In 2021, the Group borrowed a
total of RMB 11,491,375,497 (2020: RMB 10,180,730,830) from Energy Group Finance Company
based on actual capital requirement. The Group paid an interest of RMB 343,902,443 (2020: RMB
347,738,192) for such borrowings (Note 8(5)(h) for details).
(ii) In 2021, the net decrease of the Group’s deposits in Energy Group Finance Company was RMB
1,918,648,394 (2020: a net increase of RMB 719,000,785), and the net decrease of the Group’s
other cash balances deposited in Energy Group Finance Company was RMB 592,681 (2020: a net
increase of RMB 592,681). Interest due from Energy Group Finance Company amounted to RMB
126,350,608 (2020: RMB 93,386,968) (Note 8(5)(g)). In light of the frequent deposits and
withdrawals, the Group only disclosed the amount of net change in deposits.
(iii) According to the three-party agreement signed among the Group, Energy Group Finance Company
and Industry Fuel, the amount of the notes issued to Industry Fuel by the Group and discounted
with Energy Group Finance Company represents the amount payable to Energy Group Finance
Company. Given the frequent transactions, only the net change of the balance of commercial
acceptance notes discounted with Energy Group Finance Company as at 31 December is
disclosed. As at 31 December 2021, the net amount of Energy Group Finance Company’s
discounting of acceptance notes issued by the Group to Industry Fuel increased by RMB
37,007,454. In 2021, the discounting interest charged by Energy Group Finance Company and
borne by the Group which was included in the discounting interest expenses in the current year
amounted to RMB 20,074,125 (2020: RMB 29,018,674)(Note 8(5)(h)).
(iv) Based on the Framework Agreement on Financial Lease between the Company and Energy
Finance Leasing Company in 2021, Energy Finance Leasing Company is committed to offering the
Group a credit line of no more than RMB 10 billion, which is reusable during the one-year
agreement period. In 2021, the new lease liabilities incurred in the transaction between the Group
and Energy Finance Leasing Company were RMB 1,271,198,318 (2020: RMB 1,000,444,757), and
the finance lease payment was RMB 175,247,298 (2020: RMB 145,120,068).
- 300 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
8 Related parties and related party transactions (Cont’d)
(5) Related party transactions (Cont’d)
(f) Allocation of common expenses
The Company’s branches Shajiao A Power Plant and Shajiao C agreed to share common
expenses based on their agreed allocation percentage. In 2021, the common expenses received
by the Group from Shajiao C was RMB 5,580,411 (2020: RMB 4,296,622).
(g) Interest income
Type of related party
Related parties transaction 2021 2020
(Restated)
Energy Group
Finance Company Interest on deposits 126,350,608 93,386,968
(h) Interest costs
Type of related party
Related parties transaction 2021 2020
(Restated)
Energy Group Interest on
Finance Company borrowings 343,902,443 347,738,192
Energy Group Notes discount
Finance Company charges 20,074,125 29,018,674
363,976,568 376,756,866
In 2021, the loans provided by Energy Group Finance Company to the Group carried an annual
interest rate from 2.70% to 4.90% (2020: from 3.05% to 4.41%).
(i) Interest payments
Type of related party
Related parties transaction 2021 2020
(Restated)
Energy Financial Finance lease
Leasing Company interest 152,418,557 122,392,935
- 301 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
8 Related parties and related party transactions (Cont’d)
(5) Related party transactions (Cont’d)
(j) In 2021, in order to optimise the Company's asset structure and promote high-quality development,
Bohe Energy, a subsidiary of the Group, disposed of the terminal assets to Industry Fuel at a
transaction price of RMB 2,800,327,000 (excluding tax).
As at 31 December 2021, receivables of terminal asset restructuring from Bohe Energy amounted
to RMB 1,602,258,185, and RMB 1,600,910,823 had been recovered in March 2022. The
remaining unrecovered amount is the property insurance taken out on behalf of the policyholder,
which is expected to be recovered in 2022.
(k) Joint investment
As at 31 December 2021, subsidiaries, joint ventures and associates jointly invested by the Group
and GEGC were listed below:
Percentage of equity attributable to GEGC
Maoming Thermal 30.12%
Bohe Energy 33.00%
Sha C Company 49.00%
Guanghe Power 49.00%
Biomass Power Generation 49.00%
Xinhui Power 44.10%
Huaqing Power 31.85%
Energy Group Finance Company 60.00%
Industry Fuel 50.00%
Shanxi Yudean Energy 60.00%
GEG Property Insurance 51.00%
Energy Financial Leasing Company 50.00%
Yudean Shipping 45.00%
Yueqian Power 17.48%
(l) Remuneration of key management
2021 2020
(Restated)
Remuneration of key management 5,677,057 5,314,399
- 302 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
8 Related parties and related party transactions (Cont’d)
(6) Receivables from and payables to related parties
Receivables from related parties:
31 December 2021 31 December 2020
(Restated)
Cash at bank and on Energy Group Finance
hand – Cash at bank Company 6,468,820,757 8,387,469,151
Cash at bank and on
hand – Other cash Energy Group Finance
balances Company 6,000,000 6,592,681
Cash at bank and on
hand – Interest Energy Group Finance
receivable Company 39,533,620 -
Accounts receivables Shajiao C 8,500,800 8,344,661
Zhuhai Power 6,820,689 9,440,854
Yudean New Energy 5,272,364 5,134,919
Others 11,643,227 5,189,953
32,237,080 28,110,387
Contract assets Shajiao C 3,132,201 331,627
Others 56,083 1,326,638
3,188,284 1,658,265
31 December 2021 31 December 2020
(Restated)
Other receivables Industry Fuel 1,602,258,185 -
Energy Financial
Leasing
Company 129,864,979 -
Yudean
Environmental 76,772,719 77,122,953
Others 8,113,032 50,349,405
1,817,008,915 127,472,358
Advances to suppliers Industry Fuel 481,701,342 566,884,836
Others 3,707,618 4,163,826
485,408,960 571,048,662
Other non-current
assets Yudean Technology 250,000 700,000
As at 31 December 2021 and 31 December 2020, the Group made no provision for bad debts of
receivables from related parties.
- 303 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
8 Related parties and related party transactions (Cont’d)
(6) Receivables from and payables to related parties (Cont’d)
Payables to related parties:
31 December 2021 31 December 2020
(Restated)
Notes Energy Group Finance
payables Company 866,000,000 780,000,000
Accounts
payables Industry Fuel 4,251,347,098 2,032,026,571
GEGC 1,101,296,490 472,060,383
Guangdong Energy Natural
Gas 390,755,352 151,765,125
Yudean Environmental 35,115,820 44,446,507
Environmental Protection
Materials 24,316,381 -
Others 3,511,517 3,983,376
5,806,342,658 2,704,281,962
Contract
liabilities GEGC 2,606,132 1,419,811
Other
payables GEGC 2,501,436,910 5,000
Energy Financial Leasing
Company 42,722,792 -
Menghua New Energy 5,276,682 -
Others 6,780,239 25,101,873
2,556,216,623 25,106,873
Lease Energy Financial Leasing
liabilities Company 3,801,408,039 —
- 304 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
8 Related parties and related party transactions (Cont’d)
(6) Receivables from and payables to related parties (Cont’d)
Payables to related parties (Cont’d):
31 December 2021 31 December 2020
(Restated)
Short-term
borrowings
Energy Group
Finance Company
- Principal 4,977,136,729 4,683,000,000
- Interest 3,142,408 5,026,812
4,980,279,137 4,688,026,812
Current portion of
non-current
liabilities
Energy Group
Finance Company
- Principal 191,911,238 301,049,280
- Interest 6,612,663 5,090,349
GEGC
- Principal 82,000,000 -
- Interest 368,958 -
280,892,859 306,139,629
Energy Financial
Leasing Company 33,630,163 11,337,912
Long-term borrowings
Energy Group
Finance Company
- Principal 4,175,122,351 3,732,790,825
GEGC
- Principal 268,000,000 -
4,443,122,351 3,732,790,825
31 December 2021 31 December 2020
(Restated)
Energy Financial
Long-term payables Leasing Company - 2,643,768,496
- 305 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
8 Related parties and related party transactions (Cont’d)
(7) Commitments in relation to related parties
The commitments in relation to related parties contracted for by the Group but not yet necessary to be
recognised on the balance sheet as at the balance sheet date are as follows:
Leases
31 December 2021 31 December 2020
(Restated)
- As lessee
Yudean PI — 36,129,730
Yudean PM — 1,256,363
— 37,386,093
9 Contingencies
(1) As at 31 December 2021, the Company provided joint guarantee for bank borrowings amounting to
RMB 41,470,000 for Yunnan Baoshan Binlangjiang Hydroelectricity Development Co., Ltd., of which
the liability relief procedure is being handled.
10 Commitments
(1) Capital commitments
Capital expenditures contracted for by the Group but are not yet necessary to be recognised on
the balance sheet as at the balance sheet date are as follows:
31 December 2021 31 December 2020
(Restated)
Buildings and power generation equipment 23,518,696,981 15,365,182,246
The above capital commitments will be primarily used for the construction of new electric plants and
the purchase of new generator units.
- 306 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
10 Commitments (Cont’d)
(2) Investment commitments
(a) The Ninth Session of the Board approved the Proposal of Capital Increase in Guangdong Province
Wind Power Generation Co., Ltd. during its 14th meeting on 26 August 2020. The Board gave
permission to the Company’s wholly-owned subsidiary Guangdong Wind Power for the acquisition
of 100% equity of Dacheng County Dun‘An New Energy Co., Ltd. in the form of pre-acquisition in
principle. The total investments in the acquisition should be no more than RMB 800,000,000. The
deposit for the equity acquisition amounted to RMB 80,000,000, which was paid by the Company
for Guangdong Wind Power in the form of capital injection. In 2020, the Company injected RMB
80,000,000 to Guangdong Wind Power, and Guangdong Wind Power had paid the deposit of RMB
80,000,000 for the equity acquisition.
(b) The Tenth Session of the Board approved the Proposal on the Participation in the Initiation and
Establishment of A Provincial Futures Company during its meeting on 2 August 2021. The Board
gave permission to the Company’s participation in the initiation and establishment of Guangdong
Utrust Futures Co., Ltd. with self-owned fund of RMB 400 million at the shareholding proportion of
20% and signing of the Initiator Agreement and Articles of Association of the provincial futures
company. It also agreed the Company’s first capital contribution of RMB 10 million at the
shareholding proportion of 20% with one month after the reply on preparation of the provincial
futures company was issued by the China Securities Regulatory Commission, and the Company’s
contribution of the remaining capital of RMB 390 million within the term as required by the China
Securities Regulatory Commission, which would depend on the notice from the provincial futures
company’s preparation team or the announcement of the China Securities Regulatory
Commission. In 2021, no capital injection was made.
11 Operating lease proceeds after the balance sheet date
As the lessor, the Group’s undiscounted lease proceeds receivable after the balance sheet date are
as follows:
31 December 2021
Within 1 year 43,244,349
1 to 2 years 32,229,710
2 to 3 years 19,313,219
3 to 4 years 7,076,799
4 to 5 years 6,751,880
Over 5 years 4,198,003
112,813,960
- 307 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
12 Financial instrument and risk
The Group's activities expose it to a variety of financial risks: market risk (primarily including foreign
exchange risk and interest rate risk), credit risk and liquidity risk. The Group's overall risk
management programme focuses on the unpredictability of financial markets and seeks to minimise
potential adverse effects on the Group's financial performance.
(1) Market risk
(a) Foreign exchange risk
The Group’s major operational activities are carried out in Mainland China and a majority of the
transactions are denominated in RMB. The Group is exposed to foreign exchange risk arising from
the recognised assets and liabilities, and future transactions denominated in foreign currencies,
primarily with respect to USD. The Group’s finance department at its headquarters is responsible for
monitoring the amount of assets and liabilities, and transactions denominated in foreign currencies
to minimise the foreign exchange risk. Therefore, the Group may consider taking proper measures
to mitigate the foreign exchange risk as appropriate. During 2021 and 2020, the Group did not enter
into any forward exchange contracts or currency swap contracts.
As at 31 December 2021 and 31 December 2020, the carrying amounts in RMB equivalent of the
Group’s assets and liabilities denominated in foreign currencies were summarised below:
31 December 2021
USD EUR HKD Total
Financial assets denominated in
foreign currency -
Cash at bank and on hand 220,713 - 592 221,305
Financial liabilities denominated in
foreign currency -
Long-term borrowings 44,506,676 - - 44,506,676
Current portion of non-current
liabilities 6,542,011 - - 6,542,011
51,048,687 - - 51,048,687
31 December 2020 (Restated)
USD EUR HKD Total
Financial assets denominated in
foreign currency -
Cash at bank and on hand 225,856 - 84,676 310,532
Financial liabilities denominated in
foreign currency -
Long-term borrowings 52,012,914 - - 52,012,914
Current portion of non-current
liabilities 6,809,614 1,089,727 - 7,899,341
58,822,528 1,089,727 - 59,912,255
As at 31 December 2021, if the RMB had strengthened/weakened by 10% against the USD while all
other variables had been held constant, the Group’s net profit would have been approximately RMB
3,812,098 (31 December 2020: approximately RMB 4,411,596) higher/lower for various financial
assets and liabilities denominated in USD, whose recording currency was RMB.
As at 31 December 2021, as the Group’s financial assets and liabilities denominated in other foreign
currencies were not significant, the changes in exchange rate of other foreign currencies had no
significant influence on the Group.
- 308 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
12 Financial instrument and risk (Cont’d)
(1) Market risk (Cont’d)
(b) Interest rate risk
The Group’s interest rate risk mainly arises from interest bearing borrowings including bank
borrowings, debentures payable and long-term payables. Financial liabilities issued at floating rates
expose the Group to cash flow interest rate risk. Financial liabilities issued at fixed rates expose the
Group to fair value interest rate risk. The Group determines the relative proportions of its fixed rate
and floating rate contracts depending on the prevailing market conditions.
The Group continuously monitors its interest rate position. Increases in interest rates will increase
the cost of new borrowing and the interest expenses with respect to the Group’s outstanding
floating rate borrowings, and therefore could have a material adverse effect on the Group’s financial
performance. The Group makes adjustments timely with reference to the latest market conditions
and may enter into interest rate swap agreements to mitigate its exposure to interest rate risk.
During 2021 and 2020, the Group did not enter into any interest rate swap agreements.
The Group’s interest bearing debts were mainly bank borrowings, debentures payable and
long-term payables with fixed and floating interest rates, and the amounts of respective interest are
as follows:
31 December 2021 31 December 2020
(Restated)
Short-term borrowings
- Fixed interest rate 9,242,146,729 1,904,100,000
- Floating interest rate 3,107,000,000 6,004,570,202
12,349,146,729 7,908,670,202
31 December 2021 31 December 2020
(Restated)
Long-term borrowings and current portion of
long-term borrowings
- Floating interest rate 31,587,611,645 23,405,459,944
- 309 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
12 Financial instrument and risk (Cont’d)
(1) Market risk (Cont’d)
(b) Interest rate risk (Cont'd)
31 December 2021 31 December 2020
(Restated)
Debentures payable and debentures payable
due within one year
- Fixed interest rate 8,693,083,422 2,998,243,652
31 December 2021 31 December 2020
(Restated)
Long-term payables and current portion of
long-term payables
- Fixed interest rate 24,960,000 114,960,000
- Floating interest rate 96,819,223 3,414,107,685
121,779,223 3,529,067,685
31 December 2021 31 December 2020
(Restated)
Lease liabilities and current portion of lease
liabilities
- Fixed interest rate 52,036,473 —
- Floating interest rate 5,546,994,736 —
5,599,031,209 —
As at 31 December 2021, the Group’s fixed interest bearing borrowings amounted to RMB
18,012,226,624 and floating interest bearing borrowings amounted to RMB 40,338,425,604 (31
December 2020: fixed interest bearing borrowings of RMB 5,017,303,652, floating rate bearing
borrowings of RMB 32,824,137,831).
As at 31 December 2021, if interest rates on the floating rate borrowings had risen/fallen by 10 basis
points while all other variables had been held constant, the Group’s interest costs would have
increased/decreased by approximately RMB 40,345,191 (31 December 2020: approximately RMB
32,824,138).
- 310 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
12 Financial instrument and risk (Cont’d)
(2) Credit risk
Credit risk of the Group mainly arises from cash at bank and on hand, accounts receivables,
contract assets, other receivables, long-term receivables, etc. The carrying amount of the Group’s
financial assets reflects its maximum credit exposure on the balance sheet date.
The Group expects that there is no significant credit risk associated with cash at bank and on hand
since they are deposited at Energy Group Finance Company, state-owned banks and other
medium or large size listed banks with good reputation and high credit rating. The Group does not
expect that there will be significant losses from non-performance by the counterparty.
In addition, the Group has policies to limit the credit exposure on accounts receivables, contract
assets, other receivables and long-term receivables. The Group assesses the credit quality of and
sets credit limits on its customers by taking into account their financial position, the availability of
guarantee from third parties, their credit history and other factors such as current market
conditions. The credit history of the customers is regularly monitored by the Group. In respect of
customers with a poor credit history, the Group will use written payment reminders, or shorten or
cancel credit periods, to ensure the overall credit risk of the Group is limited to a controllable
extent.
As at 31 December 2021, the Group had no significant collateral or other credit enhancements
held as a result of the debtor's mortgage (31 December 2020: Nil).
- 311 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
12 Financial instrument and risk (Cont’d)
(3) Liquidity risk
Cash flow forecasting is performed by each subsidiary of the Group and aggregated by the Group’s finance department in its headquarters. The Group’s
finance department at its headquarters monitors rolling forecasts of the Group's short-term and long-term liquidity requirements to ensure it has sufficient
cash and securities that are readily convertible to cash to meet operational needs, while maintaining sufficient headroom on its undrawn committed
borrowing facilities from major financial institutions so that the Group does not breach borrowing limits or covenants on any of its borrowing facilities to
meet the short-term and long-term liquidity requirements.
The financial liabilities of the Group at the balance sheet date are analysed by their maturity date below at their undiscounted contractual cash flows:
31 December 2021
Carrying amount
Within 1 year 1 to 2 years 2 to 5 years Over 5 years Total on balance sheet
Short-term borrowings 12,562,159,932 - - - 12,562,159,932 12,360,296,429
Notes payables 1,908,780,000 - - - 1,908,780,000 1,908,780,000
Accounts payables 6,626,567,064 - - - 6,626,567,064 6,626,567,064
Other payables 10,569,763,778 - - - 10,569,763,778 10,569,763,778
Other current liabilities 1,981,058,957 - - - 1,981,058,957 1,658,449,006
Current portion of non-current
liabilities 4,045,277,512 - - - 4,045,277,512 3,697,619,753
Long-term borrowings 1,255,490,613 2,864,007,167 9,130,610,877 24,125,559,315 37,375,667,972 28,940,577,856
Debentures payable 259,130,000 459,051,484 8,954,652,878 - 9,672,834,362 8,693,083,422
Lease liabilities - 581,556,623 1,310,762,376 3,969,525,034 5,861,844,033 4,728,167,142
Long-term payables (excluding
payables for specific projects) - - - 96,819,223 96,819,223 96,819,223
39,208,227,856 3,904,615,274 19,396,026,131 28,191,903,572 90,700,772,833 79,280,123,673
- 312 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
12 Financial instrument and risk (Cont’d)
(3) Liquidity risk (Cont’d)
31 December 2020 (Restated)
Carrying amount
Within 1 year 1 to 2 years 2 to 5 years Over 5 years Total on balance sheet
Short-term borrowings 7,965,109,917 - - - 7,965,109,917 7,916,440,888
Notes payables 1,252,292,546 - - - 1,252,292,546 1,252,292,546
Accounts payables 3,400,384,808 - - - 3,400,384,808 3,400,384,808
Other payables 7,814,572,869 - - - 7,814,572,869 7,814,572,869
Other current liabilities 3,233,432,752 - - - 3,233,432,752 3,217,523,576
Current portion of non-current
liabilities 3,623,068,929 - - - 3,623,068,929 3,322,121,935
Long-term borrowings 916,888,015 2,305,767,192 6,894,083,716 17,765,369,269 27,882,108,192 21,922,680,540
Debentures payable 36,750,000 36,750,000 1,587,791,667 - 1,661,291,667 1,499,542,911
Long-term payables (excluding
payables for specific projects) - 638,514,120 1,401,964,107 1,361,383,052 3,401,861,279 3,241,171,306
28,242,499,836 2,981,031,312 9,883,839,490 19,126,752,321 60,234,122,959 53,586,731,379
The Group’s available financing credit lines under agreement with the financial institutions as at balance sheet date are as follows:
31 December 2021 31 December 2020
(Restated)
Available financing credit lines under agreement with the financing
institutions 36,078,452,111 49,672,680,096
- 313 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
12 Financial instrument and risk (Cont’d)
(3) Liquidity risk (Cont’d)
As stated in Note 2(1) to the financial statements, as at 31 December 2021, certain subsidiaries of
the Group had non-compliance matters. Due to such non-compliance matters, relevant banks and
other financial institutions have the right to require such subsidiaries to repay all the principal and
interest of relevant borrowings in advance. The balance of the principal and interest of such borrowings
as at 31 December 2021 amounted to RMB 3,568,583,282, including the principal and interest of the
short-term borrowing of RMB 2,020,441,166, the principal and interest of non-current liabilities due
within one year of RMB 216,102,245 and the principal of the long-term borrowings with original
contractual maturity dates after 31 December 2022 and lease liabilities of RMB 1,332,039,871. The
long-term borrowing and lease liabilities of RMB 1,332,039,871 have been presented in the financial
statements for the current year as the current portion of non-current liabilities. As at the issue date of
these financial statements, these subsidiaries had obtained the exemptions of most banks from
non-compliance matters.
13 Fair value estimates
The level in which fair value measurement is categorised is determined by the level of the fair value
hierarchy of the lowest level input that is significant to the entire fair value measurement:
Level 1: Quoted prices (unadjusted) in active markets for identical assets or liabilities.
Level 2: Inputs other than quoted prices included within Level 1 that are observable for the asset or
liability, either directly or indirectly.
Level 3: Unobservable inputs for the asset or liability.
(1) Assets measured at fair value on a non-recurring basis
As at 31 December 2021, the assets measured at fair value on a recurring basis by the above three
levels were analysed below:
Level 1 Level 2 Level 3 Total
Investments in other equity
instruments -
Other equity instruments 547,728,682 - 2,684,300,000 3,232,028,682
As at 31 December 2020, the assets measured at fair value on a recurring basis by the above three
levels were analysed below:
Level 1 Level 2 Level 3 Total
Investments in other equity
instruments -
Other equity instruments 393,587,145 - 3,155,300,870 3,548,888,015
- 314 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
13 Fair value estimates (Cont’d)
(1) Assets measured at fair value on a recurring basis (Cont’d)
The Group takes the date on which events causing the transfers between the levels take place as the
timing specific for recognising the transfers. There is no transfer among Level 1, Level 2 and Level 3 for
the current year.
The fair value of financial instruments traded in an active market is determined at the quoted market
price; and the fair value of those not traded in an active market is determined by the Group using
valuation techniques. The Group adopt such valuation models as cash flow discounting model and
comparable company in the market to evaluate the fair value of the other equity instrument of Level 3
financial assets. The Group adopts average price to book value ratio (PB) and discounts for lack of
marketability (DLOM) as major unobservable inputs for SCG, adopts average price to earnings ratio
(PE), PB and DLOM as major unobservable inputs for Sunshine Insurance.
The changes in Level 3 financial assets are analysed below:
Gains
recognised in
Decrease in other
31 December the current comprehensive 31 December
2020 year income 2021
(Restated)
Investments in other equity
instruments -
Other equity instruments 3,155,300,870 (70,500,870) (400,500,000) 2,684,300,000
(2) Assets and liabilities not measured at fair value but for which the fair value is disclosed
Financial assets and liabilities measured at amortised cost mainly include accounts receivables, other
receivables, long-term receivables, short-term borrowings, payables, lease liabilities, long-term
borrowings, debentures payable and long-term payables.
The carrying amount of the financial assets and liabilities not measured at fair value is a reasonable
approximation of their fair value.
14 Capital management
The Group’s capital management policies aim to safeguard the Group’s ability to continue as a going
concern in order to provide returns for shareholders and benefits for other stakeholders, and to maintain
an optimal capital structure to reduce the cost of capital.
The Group's total capital is calculated as ‘shareholders’ equity’ as shown in the consolidated balance
sheet. The Group is not subject to external mandatory capital requirements, and monitors capital on the
basis of gearing ratio.
As at 31 December 2021 and 31 December 2020, the Group's gearing ratio was as follows:
31 December 2021 31 December 2020
(Restated)
Gearing ratio 71.34% 56.14%
- 315 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
15 Notes to the Company’s financial statements
(1) Accounts receivables
31 December 2021 31 December 2020
Accounts receivables 192,707,778 173,029,247
Less: Provision for bad debts - -
192,707,778 173,029,247
(a) The ageing of accounts receivables is analysed as follows:
31 December 2021 31 December 2020
Within 1 year 192,707,778 173,029,247
(b) As at 31 December 2021, the five largest amounts of accounts receivables aggregated by debtors
were summarised and analysed as follows:
Provision for bad
Balance debts % of total balance
Total balance of the five largest
accounts receivables 192,707,778 - 100%
(c) Provision for bad debts
For accounts receivables, the Company recognises the lifetime ECL regardless of whether there
exists a significant financing component.
From 1 January 2020, the Company’s recognition standards and accrual methods for provision for
bad debts of accounts receivables are detailed in Note 2(9).
(i) As at 31 December 2021, provision for bad debts made on a collective basis for accounts
receivables was analysed as follows:
Group 1
As at 31 December 2021, the Company’s receivables from sale of electricity amounted to RMB
192,707,778, which mainly comprised receivables from Southern Power Grid Company.
Considering the favourable credit history of Southern Power Grid Company, the Company held that
there was no significant credit risk arising from receivables from sale of electricity. Since the
possibility of material losses due to the default by Southern Power Grid Company was extremely
low, the ECL for the receivables from sale of electricity was 0%.
As at 31 December 2021, there was no accounts receivables categorised in Group 2 and 3.
- 316 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
15 Notes to the Company’s financial statements (Cont’d)
(1) Accounts receivables (Cont’d)
(c) Provision for bad debts (Cont'd)
(ii) In 2021, the Company did not make any provision for bad debts of accounts receivables (2020:
Nil), and there was no provision for bad debts of accounts receivables written off in the current year
(2020: Nil).
(2) Other receivables
31 December 2021 31 December 2020
Capacity receivable 252,000,000 -
Entrusted loans receivable 100,000,000 240,000,000
Supplementary medical insurance fund
receivable 39,346,861 34,393,478
Receivables from sale of by-products 13,723,340 9,318,678
Advances receivable 2,250,884 3,136,509
Interest receivable 887,856 1,038,206
Dividends receivable - 31,500,000
Others 7,933,062 9,047,525
416,142,003 328,434,396
Less: Provision for bad debts (151,437) (209,539)
415,990,566 328,224,857
(a) The ageing of other receivables is analysed as follows:
31 December 2021 31 December 2020
Within 1 year 412,826,194 309,724,263
1 to 2 years 1,889,053 1,846,749
2 to 3 years 229,312 16,743,677
Over 3 years 1,197,444 119,707
416,142,003 328,434,396
- 317 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
15 Notes to the Company’s financial statements (Cont’d)
(2) Other receivables (Cont’d)
(b) Loss provision and changes in book balance
Stage 1 Stage 3
Lifetime ECL (credit
12-month ECL (group) 12-month ECL (individual) Sub-total impaired) Total
Provision Provision Provision Provision
Book for bad Book for bad Provision for Book for bad for bad
balance debts balance debts bad debts balance debts debts
31 December 2020 5,180,504 (209,539) 323,253,892 - (209,539) - - (209,539)
Increase in the
current year 3,057,850 (129,968) 378,161,461 - (129,968) - - (129,968)
Reversal in the
current year (5,679,762) 188,070 (287,831,942) - 188,070 - - 188,070
31 December 2021 2,558,592 (151,437) 413,583,411 - (151,437) - - (151,437)
- 318 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
15 Notes to the Company’s financial statements (Cont’d)
(2) Other receivables (Cont’d)
(b) Loss provision and changes in book balance (Cont’d)
As at 31 December 2021 and 31 December 2020, the Company did not have other receivables in
Stage 2 or Stage 3. Other receivables at Stage 1 were analysed below:
(i) As at 31 December 2021, other receivables at Stage 1 with provision for bad debts on individual basis
were analysed as follows:
Provision
Book 12-month for bad
balance ECL rates debts Reason
The counterparty is the Company’s
subsidiary with a historical loss rate of
Entrusted loans 0%; therefore, the risk of ECL is
receivable 100,000,000 0.00% - extremely low.
The counterparty is Taikang Pension,
which provides custody services to the
Supplementary medical Company’s supplementary medical
insurance fund insurance fund; therefore, the risk of
receivable 39,346,861 0.00% - ECL is extremely low.
The counterparty is a related party, with a
Receivables from historical loss rate of 0% ; therefore, the
related parties 274,236,550 0.00% - risk of ECL is extremely low.
413,583,411 -
As at 31 December 2020, other receivables at Stage 1 with provision for bad debts on individual basis
were analysed as follows:
Provision
Book 12-month for bad
balance ECL rates debts Reason
The counterparty is the Company’s
subsidiary with a historical loss rate of
Entrusted loans 0%; therefore, the risk of ECL is
receivable 240,000,000 0.00% - extremely low.
The counterparty is Taikang Pension,
which provides custody services to the
Supplementary medical Company’s supplementary medical
insurance fund insurance fund; therefore, the risk of ECL
receivable 34,393,478 0.00% - is extremely low.
The counterparty has good credit, with a
historical loss rate of 0%; therefore, the
Dividends receivable 31,500,000 0.00% - risk of ECL is extremely low.
The counterparty is a related party, with a
Receivables from historical loss rate of 0% ; therefore, the
related parties 17,360,414 0.00% - risk of ECL is extremely low.
323,253,892 -
- 319 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
15 Notes to the Company’s financial statements (Cont’d)
(2) Other receivables (Cont’d)
(b) Loss provision and changes in book balance (Cont’d)
(ii) As at 31 December 2021, other receivables at Stage 1 with provision for bad debts on the collective
basis were are analysed as follows:
31 December 2021
Book balance Loss provision
Amount Amount Provision ratio
Group 1
Within 1 year 2,029,378 (16,388) 0.81%
1 to 2 years 437,961 (43,796) 10.00%
Over 3 years 91,253 (91,253) 100.00%
2,558,592 (151,437) 5.92%
As at 31 December 2020, other receivables at Stage 1 with provision for bad debts on the collective
basis were are analysed as follows:
31 December 2020
Book balance Loss provision
Amount Amount Provision ratio
Group 1
Within 1 year 4,827,746 (48,276) 1.00%
1 to 2 years 141,798 (14,180) 10.00%
2 to 3 years 91,253 (27,376) 30.00%
Over 3 years 119,707 (119,707) 100.00%
5,180,504 (209,539) 4.04%
- 320 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
15 Notes to the Company’s financial statements (Cont’d)
(2) Other receivables (Cont’d)
(c) In 2021, the amount of provision for bad debts of other receivables was RMB 129,968 (2020: RMB
87,720), and the amount of reversed provision for bad debts of other receivables in the current year was
RMB 188,070 (2020: RMB 29,346), with corresponding book balance of RMB 5,679,762 (2020: RMB
2,934,574). There was no provision for bad debts of other receivables written off (2020: Nil).
(d) As at 31 December 2021, the five largest amounts of other receivables aggregated by debtors were
analysed as follows:
% of total Provision for
Nature Balance Ageing balance bad debts
Within 1
Bohe Energy Capacity receivable 252,000,000 year 60.56% -
Entrusted loans Within 1
Yuejiang Power receivable 50,000,000 year 12.02% -
Entrusted loans Within 1
Lincang Energy receivable 50,000,000 year 12.02% -
Supplementary medical Within 3
Taikang Pension insurance fund receivable 39,346,861 years 9.46% -
Receivables from sale of Within 1
Yudean Environmental by-products 13,723,340 year 3.30% -
405,070,201 97.34% -
(3) Long-term equity investments
31 December 2021 31 December 2020
Subsidiaries (a) 30,519,715,049 23,169,002,222
Joint ventures (b) 804,769,245 531,313,393
Associates (c) 6,659,945,716 6,197,179,173
Less: Long-term equity investments - provision for
impairment of subsidiary (a) (1,348,124,079) (1,348,124,079)
Long-term equity investments - provision for
impairment of associates (c) (96,327,854) (96,327,854)
36,539,978,077 28,453,042,855
- 321 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
15 Notes to the Company’s financial statements (Cont’d)
(3) Long-term equity investments (Cont’d)
(a) Subsidiaries
Provision Ending balance Declared cash
31 December Increase in Decrease in for 31 December of provision for dividends during the
2020 investments investments impairment 2021 impairment loss year
Zhanjiang
Electric 2,185,334,400 - - - 2,185,334,400 - 73,460,111
Yuejia Electric - - - - - (455,584,267) -
Maoming
Thermal 687,458,978 - - - 687,458,978 - -
Jinghai Power 1,930,395,668 - - - 1,930,395,668 - 281,020,711
Zhanjiang Wind
Power 242,277,000 - (242,277,000) - - - 26,630,068
Zhongyue
Energy 963,000,000 - - - 963,000,000 (187,248,115) -
Humen Electric 3,192,416 - - - 3,192,416 (86,807,584) -
Anxin Inspection 20,000,000 - - - 20,000,000 - 6,761,650
Bohe Energy 3,167,000,000 - - - 3,167,000,000 - -
Pinghai Power 720,311,347 - - - 720,311,347 - 142,381,445
Red Bay Power 2,220,023,386 - - - 2,220,023,386 - 179,649,630
Huizhou Natural
Gas 1,205,199,446 - - - 1,205,199,446 - 428,470,419
Guangqian
Electric 1,353,153,223 - - - 1,353,153,223 - 292,698,656
Yuejiang Power 892,850,119 208,353,880 - - 1,101,203,999 (408,494,674) -
Huadu Natural
Gas 186,550,000 - - - 186,550,000 - -
Dapu Electric 1,040,000,000 - - - 1,040,000,000 - -
Sub-total for next
page 16,816,745,983 208,353,880 (242,277,000) - 16,782,822,863 (1,138,134,640) 1,431,072,690
- 322 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
- 323 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
15 Notes to the Company’s financial statements (Cont’d)
(3) Long-term equity investments (Cont’d)
(a) Subsidiaries (Cont'd)
Ending balance of
Increase in Decrease in Provision for provision for Declared cash dividends
31 December 2020 investments investments impairment 31 December 2021 impairment loss during the year
Subtotal brought
forward 16,816,745,983 208,353,880 (242,277,000) - 16,782,822,863 (1,138,134,640) 1,431,072,690
Guangdong Wind
Power 2,325,301,260 4,547,255,000 - - 6,872,556,260 - -
Leizhou Wind Power 80,800,000 11,141,250 (91,941,250) - - - 7,346,827
Qujie Wind Power 1,279,750,000 600,000,000 (1,879,750,000) - - - 174,150,270
Power Sales 230,000,000 - - - 230,000,000 - 19,820,688
Lincang Energy 281,000,000 - - - 281,000,000 (209,989,439) -
Yongan Natural Gas 90,000,000 90,000,000 - - 180,000,000 - -
Tongdao Company 60,000,000 40,000,000 (100,000,000) - - - -
Binhai Bay Company 570,000,000 50,000,000 - - 620,000,000 - -
Daya Bay Company 17,600,000 128,000,000 - - 145,600,000 - -
Qiming 20,000,000 - - - 20,000,000 - -
Huaguoquan
Company 49,680,900 - - - 49,680,900 - -
Dananhai Company - 15,000,000 - - 15,000,000 - -
Baihua Company - 3,000,000 - - 3,000,000 - -
Sha C Company - 1,559,120,782 - - 1,559,120,782 - -
Yunhe Power - 1,066,562,327 - - 1,066,562,327 - -
Yuehua Power - 541,247,838 - - 541,247,838 - -
Bijie New Energy - 5,000,000 - - 5,000,000 - -
Tumxuk - 800,000,000 - - 800,000,000 - -
Total 21,820,878,143 9,664,681,077 (2,313,968,250) - 29,171,590,970 (1,348,124,079) 1,632,390,475
Relevant information of the Company’s subsidiaries is set out in Note 6.
- 324 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
15 Notes to the Company’s financial statements (Cont’d)
(3) Long-term equity investments (Cont’d)
(b) Joint ventures
Movements for the current year
Share of net Share of other Ending balance of
Increase in profit/(loss) under comprehensive Cash dividends provision for
31 December 2020 investments equity method income declared 31 December 2021 impairment loss
Industry Fuel 531,313,393 180,000,000 115,205,500 7,900,250 (29,649,898) 804,769,245 -
(c) Associates
Movements for the current year
Ending
Share of net balance of
profit/(loss) Share of other Share of other provision for
31 December Increase in Decrease in under equity comprehensive changes in Cash dividends 31 December impairment
2020 investments investments method income equity declared 2021 loss
Taishan Electric 1,889,026,588 - - (3,409,558) - - (101,148,944) 1,784,468,086 -
Shanxi Yudean Energy 1,819,132,396 64,000,000 - 480,044,857 - - - 2,363,177,253 -
Energy Group Finance
Company 1,027,206,662 - - 91,099,049 4,818,429 - (76,421,226) 1,046,702,914 -
Yudean Shipping 241,738,113 - - 7,347,225 (330,519) (799,924) - 247,954,895 -
GEG Property Insurance 268,468,953 - - 9,569,443 - - (1,505,619) 276,532,777 -
Western Investment 144,018,912 - (144,018,912) - - - - - -
Weixin Yuntou 175,592,218 - - (36,782,167) - - - 138,810,051 (96,327,854)
Energy Financial Leasing
Company 522,483,539 - - 22,399,917 - - (12,576,669) 532,306,787 -
Yueqian Power - 144,018,912 - 11,125,044 (1,633) 6,183,547 - 161,325,870 -
Others 13,183,938 - - 1,239,213 - - (2,083,922) 12,339,229 -
6,100,851,319 208,018,912 (144,018,912) 582,633,023 4,486,277 5,383,623 (193,736,380) 6,563,617,862 (96,327,854)
- 325 -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
15 Notes to the Company’s financial statements (Cont’d)
(4) Revenue and cost of sale
2021 2020
Revenue from main operations 1,522,773,313 1,130,337,474
Revenue from other operations 71,049,232 91,259,553
1,593,822,545 1,221,597,027
2021 2020
Cost of sale from main operations 1,910,172,008 1,159,450,238
Cost of sale from other operations 1,779,127 2,176,800
1,911,951,135 1,161,627,038
(a) Revenue and cost of sale from main operations
2021 2020
Cost of sale Cost of sale
Revenue from from main Revenue from from main
main operations operations main operations operations
Revenue from sale of
electricity 1,522,773,313 1,910,172,008 1,130,337,474 1,159,450,238
1,522,773,313 1,910,172,008 1,130,337,474 1,159,450,238
(b) Revenue and cost of sale from other operations
2021 2020
Cost of sale Cost of sale
Revenue from from other Revenue from from other
other operations operations other operations operations
Revenue from
integrated utilisation
of coal ash 31,187,580 - 35,423,067 5,311
Rental income 13,524,618 1,010,171 9,706,568 1,010,171
Others 26,337,034 768,956 46,129,918 1,161,318
71,049,232 1,779,127 91,259,553 2,176,800
Due to the impact of COVID-19, the Group exempted the lessee from paying the rental of RMB
438,728 for 2021, and the Group has deducted the above rental waivers against the rental income
for the current period.
- - 326 - -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
15 Notes to the Company’s financial statements (Cont’d)
(4) Revenue and cost of sale (Cont’d)
(c) The Company's revenue is disaggregated as follows:
2021
Sale of
electricity and
coal ash Rental Others Total
Revenue from main
operations
Including: Recognition at a
point in time 1,522,773,313 - - 1,522,773,313
Revenue from other
operations
Including: Recognition at a
point in time 31,187,580 - 19,526,298 50,713,878
Recognised over
a period of time - - 6,810,736 6,810,736
Rental income - 13,524,618 - 13,524,618
1,553,960,893 13,524,618 26,337,034 1,593,822,545
2020
Sale of
electricity and
coal ash Rental Others Total
Revenue from main
operations
Including: Recognised at a
point in time 1,130,337,474 - - 1,130,337,474
Revenue from other
operations
Including: Recognised at a
point in time 35,423,067 - 41,562,703 76,985,770
Recognised over
a period of time - - 4,567,215 4,567,215
Rental income - 9,706,568 - 9,706,568
1,165,760,541 9,706,568 46,129,918 1,221,597,027
As at 31 December 2021, the Company had no performance obligation that had been contracted
but not yet fulfilled.
- - 327 - -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
15 Notes to the Company’s financial statements (Cont’d)
(5) Investment income
2021 2020
Income from long-term equity investments
under cost method 1,632,390,475 1,257,249,835
Recognised investment income from equity
replacement 973,426,650 -
Investment income from long-term equity
investments under equity method 697,838,523 230,001,917
Dividend income earned during the holding
period of investments in other equity
instruments 87,731,408 65,087,539
Interest income from entrusted loans 27,260,693 24,163,550
Others 406,984 361,286
3,419,054,733 1,576,864,127
There was no significant restriction on remittance of investment income of the Company.
(6) Credit impairment (reversal)/loss
2021 2020
(Reversal of)/Losses on bad debts of other
receivables (58,102) 58,374
Reversal of bad debts of accounts receivables - (20,911)
(58,102) 37,463
(7) Asset impairment losses
2021 2020
Impairment of fixed assets 29,321,084 52,051,098
Impairment of long-term equity investments - 96,300,000
Impairment of inventories - 13,985,244
29,321,084 162,336,342
- - 328 - -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
1 Statement of non-recurring profit or loss
2021 2020
Net profit or loss of the subsidiaries acquired in business
combinations involving enterprises under common control
for the period from the beginning of the period to the
combination date (658,714,842) 559,324,501
Gains on disposals of non-current assets 82,842,178 340,976,361
Government grants recognised in profit or loss for the current
period 37,606,578 30,457,198
Gains on scraping of non-current assets 95,182,637 21,381,516
Compensation for electricity charges during the demolition
and construction period 18,040,851 11,315,659
Gains of negative goodwill from acquisition of associates - 8,549,071
Gains of negative goodwill from business combinations
involving enterprise not under common control - 1,235,720
Losses on scrapping of non-current assets (24,792,577) (23,719,197)
Penalties and overdue fines (5,756,168) (3,976,455)
Other non-operating income and expenses other than
aforesaid items 16,979,172 36,323,955
(438,612,171) 981,868,329
Effect of income tax (55,885,342) (106,635,578)
Impact on minority interests (after tax) 252,056,993 (372,532,443)
(242,440,520) 502,700,308
Basis for preparation of statement of non-recurring profit or loss
Pursuant to the Explanatory Announcement for Information Disclosure of Companies Offering
Securities to the Public No. 1 - Non-recurring Profit or Loss (2008) issued by the China Securities
Regulatory Commission, non-recurring profit or loss refers to profit or loss arising from
transactions and events those are not directly related to the Company’s normal course of
business, also from transactions and events those even are related to the Company’s normal
course of business, but will interfere with the right judgement of users of the financial statements
on the Company’s operation performance and profitability due to their special nature and
occasional occurrence.
Non-recurring profit or loss items defined according to the definition of non-recurring profit or loss
and non-recurring profit or loss items listed which are defined as recurring profit and loss items are
as follows:
- - 329 - -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
Reasons for regarding as recurring profit or
Amount of 2021 loss
Constant occurrence, conforming to national
VAT refund upon collection 28,991,960 policies and regulations
Carbon emission quota used to fulfil the Constant occurrence, conforming to national
emission reduction obligation (135,013,051) policies and regulations
- - 330 - -
GUANGDONG ELECTRIC POWER DEVELOPMENT CO., LTD.
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2021
(All amounts in RMB Yuan unless otherwise stated)
[English translation for reference only]
2 Return on net assets and earnings per share
Return on weighted Earnings per share
average rate net assets Basic earnings per Diluted earnings per
(%) share share
2021 2020 2021 2020 2021 2020
Net profit attributable to
ordinary shareholders
of the Company (10.72)% 6.95% (0.60) 0.39 (0.60) 0.39
Net profit attributable to
ordinary shareholders
of the Company after
deduction of
non-recurring profit or
loss (11.31)% 5.73% (0.55) 0.30 (0.55) 0.30
- - 331 - -
