Rosseti Kuban 2022 Annual Report

About the Company

As a significant taxpayer, Rosseti Kuban, PJSC actively contributes to the social and economic life of the region by implementing a number of social projects, engaging in charitable work, and giving jobs and employment to workers of suppliers in related industries

77.1 %
Company's share on the regional electricity transmission market in 2022
765,000 c.u.
volume of service

Strategic Report

The Company works to accomplish the objectives established at the state level as a member of the unified Russian electric power distribution grid complex and Rosseti Group

21 %
year-on-year decrease in the number of accidents on the Company’s 110 kV and above power grid
16,141 RUB mn
EBITDA in 2022 (+82% against 2021)

Operational Results

Transmission and distribution of electricity to consumers on 110 kV and below power grids is the core business of Rosseti Kuban

21,947.8 mn kWh
volume of electricity transmission services provided by the Company in 2022 (+4.5% against 2021)
0.41 p.p.
decrease in the relative level of losses in 2022 in relation to 2021 (the year-end loss standard is met)

SUSTAINABLE DEVELOPMENT

The Company’s understanding of sustainable development is consistent with the UN definition: «Sustainable development is the development that meets the needs of the present without compromising the ability of future generations to meet their own needs».

168 %
overfulfilment of the staff training plan in 2022
45.8 %
year-on-year decrease in gross air emissions in 2022
294.5 RUB mn
occupational safety costs in 2022 (+2.5% vs. 2021)

Reliability indicators (I_saidi, I_saifi) of the Company in the reporting year did not exceed the target values.
Level of average wages in the Company for 2022 is competitive and exceeds the regional average wage.
To conserve biodiversity and ensure ornithological safety:

2,977 bird diverters
installed
728.5 km overhead lines
built and renovated with the use of self-supporting insulated wires.

Corporate Governance Report

The Company’s corporate governance is in line with developed practices

During the reporting year, the Company continued to place additional shares that were registered on 1 April 2021, in order to carry out measures to develop the Republic of Adygeya’s energy infrastructure, renovate power plants in the Sochi power district, enhance the Company’s financial stability, and lower its debt load. By the end of the reporting year, 41.2% of the total issue, resulting in RUB 2.86 billion raised.

YULIA GALINOVA Deputy General Director for Corporate Governance

The General Meeting of Shareholders resolved to pay a dividend out of net profit for 2021 and the first 9 months of 2022 for a total amount of
2.8 RUB bn

The Company continued the placement of additional issue of shares, which was started in 2021
28.6 mn
shares placed (for which RUB 2.86 bn was received)

4.7 points
assessment of the Board of Directors’ performance for the corporate year 2021/2022 (with a maximum of 5 points)

In the reporting year, the Board of Directors of the Company approved the preferred risk (risk appetite)