Stock Code | 002930Bond Code | 128121
2023 Annual
Sustainability Report
Guangdong Great River Smarter Logistics Co., Ltd.
Report Compilation Instructions
This report is the fifth Corporate Social Responsibility Report / Environmental, Social, and Corporate Governance Report /Sustainability Report disclosed by Guangdong Great River Smarter Logistics Co., Ltd. since its listing in 2018. The report adheres tothe principles of objectivity, standardization, transparency, and comprehensiveness, and aims to openly and transparently reflectthe concepts and practices of Guangdong Great River Smarter Logistics Co., Ltd. in the areas of environment, society, andcorporate governance to the government or regulatory authorities, shareholders and investors, employees, customers, suppliers,partners (industry partners/media organizations/NGOs, etc.), community residents, and other stakeholders.Reporting Time FrameThe scope of this report covers the period from January 1, 2023, to December 31, 2023. In order to enhancecomparability and completeness of the report, some content may be extended beyond the intended time frame. Scope of the ReportThis report is based on Guangdong Great River Smarter Logistics Co., Ltd. and covers the company's wholly-owned subsidiaries and holding subsidiaries, with some content also covering joint ventures and associatedcompanies of the company.
Report Release
If you have any questions or suggestions regarding this report, please feel free to contact us via:
Email: grsl@grgroup.ccPhone: 0769-88002930
Feedback ChannelsReport Reference Standards
Source of Data
The financial data in this report is sourced from the annual financial report of 2023, while other information is
obtained from official documents and public information of the company. The monetary amounts mentioned
in the report, unless otherwise specified, are stated in Chinese Yuan (RMB). The company is responsible for
the truthfulness, accuracy, and completeness of the content of this report.
1、United Nations 2023 Sustainable Development Goals (SDGs)
、Global Sustainability Standards Board (GSSB) "Sustainability Reporting Guidelines (GRI Standards)”
、Shenzhen Stock Exchange "Guidelines for Self-Discipline and Supervision of Listed Companies ofShenzhen Stock Exchange No. 1 - Standard Operation of Main Board Listed Companies”
、Shenzhen Stock Exchange "Guidelines for Self-Discipline and Supervision of Listed Companies ofShenzhen Stock Exchange No. 17 - Sustainable Development Reporting (Trial)"
This report is released in both Chinese and English electronic versions on the CNINFO website(www.cninfo.com.cn). In case of any discrepancy between the English translation and the Chinese version, theChinese version shall prevail.
Standardizing Corporate GovernanceCorporate GovernanceRisk and ComplianceRisk ManagementTax ManagementBusiness Ethics PracticeAnti-corruptionAnti-unfair Competition
SERVICEDelivering Quality ServicesImproving Service SystemImproving "Quantity, Quality,and Efficiency" ManagementInproving Customer SatisfactionAddressing Customer ComplaintsProtecting Customer PrivacySpecializing in Intelligent Storageand TransportationImproving Innovation ManagementBuilding a Digital PlatformProtecting Intellectual Property
ENVIRONMENTSOCIETY
Message from ChairmanAbout GRCompany ProfileCorporate CultureFocusing on Core BusinessAnnual Honors and AwardsSustainable DevelopmentManagementESG Governance SystemMaterial Issue AnalysisStakeholder Engagement
GOVERNANCE
Responding to Climate ChangeRisks and Opportunities of Climate ChangeGreenhouse Gas Emission ManagementImproving Environmental ManagementEnvironmental Management SystemEnergy Consumption and ManagementWater Resource ManagementEmission ManagementWaste ManagementEcological Protection and Land ManagementDeveloping Green Storage and TransportationGreen Technology InnovationEnvironment-friendly Process UpgradesExpanding Environmental Protection BusinessEnvironmental Protection Concepts and PracticeEnvironmental Protection Public Welfare ActivitiesEnvironmental Protection Education and Promotion
Responsible Supply ChainSupplier ManagementIntegrity in ProcurementStrengthening Safety ManagementSafety Management SystemOccupational Health and SafetySafety Training and DrillsEmployee GrowthEmployee Rights and BenefitsEmployee DevelopmentEmployee CareIncentives and AssessmentBuilding a Harmonious SocietyAppendixAnnual PerformanceGRI IndexDefinitionsFeedback Form
Catalogue
Lin HaichuanChairman of Guangdong Great River Smarter Logistics Co., Ltd.
Message from Chairman
Dear shareholders of Guangdong Great River Smarter Logistics Co., Ltd.,:
Greetings!As of the end of 2023, Guangdong Great River Smarter Logistics Co., Ltd. has a total of 10111 shareholders. This numberrepresents not only 10111 solid trusts but also 10111 firm support and expectations. Every shareholder is an indispensablepart of the company, and every bit of trust is the driving force behind our progress. Every year at this time, I write a letterto share with everyone and address the questions of concern. This year, as always, I would like to talk to everyone about ourbusiness updates and outlook.
Recently, I gave a speech titled "The Path of Righteousness in the Changing World - Learning and Growing in Adversity"to all employees within the company. Taking this opportunity, all GR people collectively looked back on the key milestonesin the development of the company. Our first tank storage project began in a banana field on Lisha Island, Humen,Dongguan. At that time, the GR people overcame numerous difficulties such as manpower shortage, lack of funds, andtechnology, and after 7 years, they successfully built our first warehouse area - Dongguan Evergrowing Terminal. They alsowithstood the test of the market and established a strong presence in the South China market. Many of you may doubt: whydo you want to talk about this matter? Well, after experiencing ups and downs over the years, I believe it is precisely theperseverance and resoluteness of "seven years honing a sword" that have led to the success of Guangdong Great RiverSmarter Logistics Co., Ltd. today. The resilience of pushing forward no matter how long and winding the road ahead isdeeply imprinted in the genes of Guangdong Great River Smarter Logistics Co., Ltd., becoming our greatest confidencewhen facing market fluctuations and challenges.Strong Resilience in Performance GrowthIn 2023, although the prospect of domestic economic recovery is bright, it still appears to be challenging and full of twists and turns.Internationally, frequent black swan events occur, and the external environment becomes increasingly complex, severe, andunpredictable. In such a context, the overall sentiment in the chemical industry in which we operate remains low, and both upstreamand downstream customers are facing significant business pressures. However, the GR people always face various challenges withconfidence and a positive attitude towards development, as expressed in the saying: "In the dim twilight, we look at the vigorouspines, and amidst the chaotic clouds, we still remain composed." Guided by the vision of "integrating high-quality resources toprovide professional logistics services for the vast chemical industry," Guangdong Great River Smarter Logistics Co., Ltd. has alwaysadhered to a customer-centric approach. With satisfactory service, innovative models, and unremitting efforts, the company hasgained the trust and support of its customers.In 2023, Guangdong Great River Smarter Logistics Co., Ltd. achieved operating revenue of 1.547 billion yuan, representing ayear-on-year growth of 22.48 %. The company also achieved a net profit of 296 million yuan, showing a year-on-yeargrowth of 32.03%. Since its listing, Guangdong Great River Smarter Logistics Co., Ltd. has always adhered to the corporatemission of "building a development platform for employees, providing high-quality services to customers, creatingcomprehensive value for society, and obtaining substantial returns for shareholders". With practical actions, it has depicteda strong upward growth trajectory and demonstrated great resilience.Business Expansion Through M&A and Organic Growth by Internal StrategyIn the past year, Guangdong Great River Smarter Logistics Co., Ltd. actively responded to the changing market conditions. The strategicadvancement of the first main business, which is terminal tank storage services, and the second main business, comprehensive chemicalwarehouse logistics services, progressed smoothly. This has led to steady development in the direction of becoming a comprehensivechemical logistics service provider. The core asset scale and overall profitability have further improved.Over the past year, we have seized the market opportunities for mergers and acquisitions and achieved remarkable results in the YangtzeRiver Delta region. In April 2023, Ningbo Ningxiang successfully acquired the 23,100 cubic meter storage tank assets of Ningbo Chenling,injecting new vitality into the company's business expansion. In September of the same year, Nantong Power Shell Petrochemical successfullyacquired 100% equity of Nantong Yilian and obtained its assets of 617,000 cubic meters of storage tanks, further consolidating our leadingposition in the Jiangsu region. After being renamed as "Nantong Hongzhi," Nantong Yilian has merged into Nantong Base. The establishmentof the Nantong base not only demonstrates the strong scale and strength of GR in the Yangtze River Delta region but also further solidifies ouroverwhelming industrial cluster advantage nationwide, laying a solid foundation for the company's future development.In the past year, we steadily made progress and continuously advanced the construction work of the chemical warehouse project.Currently, the main construction of the chemical storage facilities in Chengdu and Nantong is progressing smoothly. It is expected that theywill be put into operation seccessively in the near future, providing strong support for the company's business expansion. Meanwhile, newconstruction and expansion projects for chemical warehouses in Changzhou, Changshu, and other areas are also advancing vigorously. Withthe rapid growth of GR's secondary business, we will open up a broader space for performance growth for listed companies, consolidate GR’sleading position in the chemical storage and logistics market, and significantly enhance our competitiveness in the industry.In terms of value-added services, Guangdong Great River Smarter Logistics Co., Ltd. has comprehensively promoted the "smart customerservice" in various warehouse areas, and the income has continued to grow. Nantong Power Shell Petrochemical Co., Ltd. and Taicang PowerShell Petrochemical Co., Ltd. have achieved new breakthroughs in the operation of tank cleaning and sewage reception and treatment stationsin the two warehouse areas. The operation of hazardous chemical vehicle road ports projects in Nantong, Taicang, Changzhou, and otherareas has been smooth, expanding our service chain. In addition, Guangdong Great River Smarter Logistics Co., Ltd.'s wholly-ownedsubsidiary, Jiangsu Guangdong Great River Smarter International Logistics Co., Ltd., has started building a transportation fleet and an
Message from Chairman | About GR | Sustainable Development Management | Governance | Service | Environment | Society | appendix
integrated platform for warehousing and distribution, marking the official extension of Guangdong Great River Smarter Logistics Co., Ltd.'sservice chain into the field of hazardous goods transportation.With the steady development in 2023, the storage capacity of Guangdong Great River Smarter Logistics Co., Ltd.'s tanks has increased by617,000 cubic meters compared to 2022, a YoY growth of 14.67 %. As of now, Guangdong Great River Smarter Logistics Co., Ltd. has a total of1044 storage tanks with a total capacity of 5.1869 million cubic meters. It also has 14 docks and operates in a chemical warehouse area of64,900 square meters. Additionally, there is an under-construction chemical warehouse area of 94.1 thousand square meters. GuangdongGreat River Smarter Logistics Co., Ltd. has a total land area of nearly 6200 mu in 14 major chemical storage bases nationwide, which arestrategically located in the Guangdong-Hong Kong-Macao Greater Bay Area, Yangtze River Delta, Bohai Rim, Southeast Coastal, andChengdu-Chongqing Economic Circle. These locations are the most economically active and concentrated areas for the petrochemicalindustry in China. With significant scale and geographical advantages, the company is able to fully leverage the cluster effect and synergyeffect of the industry.
Intelligent Warehouse Area and High-efficiency DevelopmentOver the past year, we have been unwavering in promoting technological innovation and committed to the construction of a smart libraryzone. By continuously improving the automation, informatization, and intelligence level of the warehouse, the safety management has beenstrengthened, the operational efficiency has been enhanced, the customer service has been optimized, and the profitability has beensignificantly increased. Currently, we will seize the opportunity to cultivate and develop "new productive forces" at the national and provinciallevels. We will actively promote the technological transformation and innovation work in other warehouse areas. The goal is to forge our own"new productive forces" for the long-term development of GR. We will create a unique CR feature in the industry and export the GR model.In addition, we also pay close attention to the development of artificial intelligence, a cutting-edge technology, and actively exploreits application in our industry. We will increase investment in artificial intelligence technology and integrate it with intelligent library zoneconstruction, business process optimization, and improvement of customer services to achieve more efficient, accurate, andintelligent operational management.Leading Safety and Environmental Performance with Great ResponsibilityOver the past year, we have placed great importance on exploring and practicing in the area of ESG. ESG not only matters acompany's economic efficiency, but also its social responsibility and sustainable development. As a forward-thinking public company,especially in the key field of chemical warehousing, we are well aware that the sustainable development of a company depends on areverence for the environment, a commitment to social contribution, and a continuous pursuit of excellence in governance.Guangdong Great River Smarter Logistics Co., Ltd. always integrates the ESG concept throughout the entire process of thecompany's development, committed to creating more value for society, the environment, and shareholders.In the field of safety and environmental protection, we consistently practice the HSE culture of GR, treating safety andenvironmental protection as the lifeline of our business operations. We are also actively promoting the construction of a digital HSEmanagement system, prioritizing HSE management and achieving precise control over all aspects of HSE management work.In terms of public welfare and charity, we continuously practice corporate social responsibility in areas such as poverty alleviation,education funding, and environmental protection through the Hao Shan Public Welfare Foundation, the 620 GR Public Welfare Day, theGR Spark Volunteers, and various local public welfare organizations.In the field of social services, as the president unit of the Dongguan Listed Companies Association, Guangdong Great River SmarterLogistics Co., Ltd. will continue to play a leading role in 2023. Leveraging its own experience and resources, it will help the associationfully leverage its role as a bridge between the government and enterprises and contribute to the high-quality development of theDongguan capital market.Management Improvement, Learning Through BenchmarkingIn the past year, against the backdrop of a generally sluggish industry, Guangdong Great River Smarter Logistics Co., Ltd. hasfocused on honing its internal capabilities and cultivating its foundation, constantly improving efficiency within its management.In terms of reducing costs and increasing efficiency, the management aims to optimize the allocation of human resources toenhance the collaborative efficiency of the team and the individual work effectiveness. Through strengthening scientific investmentdecisions, multiple measures are taken to ensure that every penny can generate the maximum efficiency. In addition, by rationalizing theuse of funds, the management aims to continuously improve the efficiency of fund utilization and financial management level.In terms of team building, continuous improvement and optimization of talent management and motivation mechanisms are carriedout. Through more scientific and reasonable management methods, the potential of each employee is stimulated to achieve resonancebetween personal and corporate development. The consensus of "unity, determination, common goals, and common development" isconstantly strengthened, creating a leading team with combat effectiveness and cohesion.In terms of leveraging the advantages of the cluster, we will continue to strengthen the integration of internal and external
resources, driving the company to constantly pursue excellence in all aspects. Externally, we leverage the advantages of multiplewarehouses, broad layout, and regional superiority to vigorously promote innovative and specialized services such as "live storage, liveredemption" and damage-free transfer. Internally, we continuously carry out benchmarking studies, and through the management modelof centralization, we quickly promote and replicate effective valuable experiences to achieve continuous iteration of management.New Journey Unfolded for Future ProsperityOne of the major reasons why Guangdong Great River Smarter Logistics Co., Ltd. is able to maintain a leading position in theindustry is due to our consistent high level of strategic focus. Based on the petrochemical warehousing industry, which has significantbarriers such as "financial barriers," "resource barriers," "qualification barriers," and "time barriers," we have been steadfastly expandingin the field of chemical warehousing since the establishment of our first storage area, Dongguan Evergrowing Terminal. This majordirection will not change in the long term. We are committed to continuously promoting the business model of "dual core business ofdock tanks and chemical warehouses + value-added services" towards a deeper level. We aim to thoroughly understand the chemicalwarehousing industry chain through "focus" and explore the industry's competitive moat through "expansion", in order to ensure that ourcompany maintains a leading position in the fierce market competition.As the saying goes, "After endless sifting and straining, the purest gold remains." At the beginning of 2024, although our businessperformance still ranks at the top of the industry, our profits have been impacted to a certain extent due to the overall pressureon the industry. However, we expect that as the economy continues to improve, our performance will return to normal morequickly.Moreover, during the relatively weak demand for chemical storage, we predict that mergers and acquisitions in the entire industrywill further accelerate. Some high-quality wharf tank assets will enter the market seeking opportunities for acquisition, whichwill bring us more M&A opportunities.GR now has a healthy cash flow, and with the reduction of bank interest rates, our capital costs will also decrease. The advantage infunding will provide us with a guarantee to firmly promote the M&A development strategy. As our scale continues to expand,GR is expected to gain more say in the future market.Overall, this year, we plan to deepen our services in four core directions based on our established development strategy, striving tocreate greater value for our customers.First, expanding from commercial base to industrial database. We will firmly follow the development trend of thepetrochemical industry park, establish close cooperation with large-scale petrochemical enterprises, create professionalsupporting warehouses, and seek opportunities for mergers and acquisitions of industrial warehouses.Second, expanding from the domestic market to the international market. We will actively seek to acquire overseas high-qualitychemical storage projects in order to provide more diversified and globalized warehouse logistics services, enhance the company'sinternational competitiveness.Third, expanding towards the role of integrated warehousing and distribution solution provider. We will participate in thereconstruction of the supply chain, providing customers with integrated and coordinated one-stop warehousing and logisticssolutions through the integration and coordination of resources.Fourth, extending our business service to new energy and green chemistry industry rather than only stay in fossil fuels andtraditional chemical industry. We will focus on the warehousing demand for key varieties such as biodiesel, liquid ammonia, andgreen methanol to seize future market opportunities.Focus allows us to resonate with the industry, while innovation enables us to symphonize with the times. GR continues todeeply cultivate the petrochemical storage and logistics industry, committed to providing solid storage and logistics support for theefficient operation of the chemical industry chain.We aim not only to become a benchmark enterprise in HSE that is recognized by employees, respected by society, andleading the industr, but also to grow into a globally leading century-old enterprise, ensuring a thriving and everlastingbusiness.Finally, we would like to thank all the GR shareholders for your unwavering attention and support!
Message from Chairman | About GR | Sustainable Development Management | Governance | Service | Environment | Society | Appendix
About GR
Company Profile
The company is an innovative petrochemical product logistics and comprehensive service provider, mainlyoffering storage and integrated services, as well as other related services, to domestic and foreignpetrochemical product manufacturers, traders, and end users.
Corporate Culture
Company MissionCompany ValuesIntegritywin-winefficiencyinnovationIntegrate high-quality resources to provideprofessional logistics servicesfor the large chemical industry.
Build a development platform for employeesProvide high-quality service to customersCreate comprehensive value for societyTo obtain handsome returns for the shareholders
Company Vision
Pursue mutual benefits throughcomplementing each other's strengthsand helping each other to make progressWorking as a synergy for businessexpansion and one-stop service
The HSE culture ensures the integrated management system of "health, safety, andenvironmental protection", with a core focus on human-centered approach.
Supervisor to subordinates:
Give more praise and encouragementSubordinates to their superiors:
Offer more suggestions and ask more questions
Leading enterpriseleading team, leading management, leading talent, leading concept
leading benefits
Respect and be grateful to your parentsA journey of love and care for the familyEmployee mutual assistance fundEmployee satisfactioncustomer satisfactiondepartment satisfaction
Employee-centric
Family Culture
HSE CultureCollaborativeCulture
Leading CultureCommunicationCulture
SatisfactoryCulture
Smart customer serviceincluding intelligent customer service, cabin cleaning and wastewater treatment services, goods warehousing and exchange services,hazardous chemical vehicle road and port services, and other servicescustomers can achieve electronic trading, online transfer,and storage of goods' property rights by using thecompany's smart customer service system. The smartcustomer service system provides customers with safe,efficient, and convenient transaction services.
Tank cleaning and sewage treatment serviceThe company uses its own terminal to build a water-based cleaningstation to provide professional cargo hold cleaning services forliquefied vessels; the wastewater generated from the tank cleaningis finally transported to a dedicated sewage treatment facility afterbeing received and stored, and then discharged up to standard.Goods circulation and exchange serviceRelying on the cluster advantages and large inventory ofwarehouses in various locations, providing customers withremote access services for petrochemical products of thesame quality and quantity, reducing the comprehensivelogistics costs of customers, and improving customeroperation efficiency.
According to national regulations and entrusted by governmentdepartments, providing qualification certification inspections, vehiclecondition inspections, vehicle storage, emergency maintenance,refueling of vehicles, tank cleaning, and other services for hazardouschemical vehicles entering the chemical industrial park, as well asproviding lounges and restaurants for drivers and escorts.
Hazardous chemical vehicle road port service
Provide customers with services such as time, loss, and qualitycontrol throughout the logistics process.Storage agency serviceprovide customers with services such as safety, qualityinspection, cargo rights supervision, and handling ofinbound and outbound goods during the storage period;
Process control service
Terminal Tank Warehouse Integrated Service
Message from Chairman | About GR | Sustainable Development Management | Governance | Service | Environment | Society | Appendix
Relying on the company's dock, pipelines, tanks, and loading platforms to provide customers with integrated cargo services, covering theentire process of loading, unloading, and storage.
Value-added Services
Logistics Chain Management ServiceTransit and Other Services
Integrated Logistics Services for Chemical Warehouses
Relying on the company's chemical warehouses, sub-packaging equipment, hazardous goods vehicles, and other resources, the companyprovides customers with integrated warehousing and distribution services for goods. The business involves the entire process oftransportation, loading and unloading, and warehousing. including lightering, transit, direct unloading of vehicles and ships, and ship supplies, etc., without involving warehousing processes.Utilizing the company's outstanding business management capability, providing customers with integrated warehousing and logisticsservices, including warehouse agency services, process control services, and more, through service output.
Corporate culture is a vital component of a company's core competitivenessincluding 6 major cultural aspects:,
Safety Mission: Life First, Safety PriotizedSafety Vision: Peaceful and Happy HomelandSafety Principles: Strictly adhere to safety baselines, take responsibility, strive for prevention, and strengthen management.Safety Values: Respect, strong execution, technology-drivenSafety Purpose: Harmony between man and nature, long-term peace and stabilitySafety Goals: Zero violations, zero loopholes, zero mistakes, zero accidents, zero casualtiesSafety Policy:Well-rounded, rigorous, pragmatic, and comprehensive; focus on monitoring, prevention, management, and continuousimprovement.
Focusing onCore Business
During the reporting period
Revenue contribution of terminalwarehousing integrated service
88.37 %
Revenue contribution of chemicalwarehouse integrated service
5.39 %
As of the date of this reportTotal tankcapacity5,186,900cubic meters
Total chemicalwarehouse capacity64,900cubic meters
Total warehousecapacity under construction94,100cubic meters
Diagram
1.01.5~
1.52.0~
2023 GDPUnit: trillion yuan
0.00.5~
0.51.0~2.02.5~
TerminalStorageTankChemicalWarehouse
Ship CleaningStationDeliveryWarehouse
Goods Warehousingand Exchange
ServiceHazardousChemicals Road Port
ChengduChengdu
WeifangWeifang
ZhongshanZhongshan
Ningbo NingxiangNingbo Ningxiang
DongguanDongguanQuanzhouQuanzhou
CangzhouCangzhou
NingboNingbo
Fujian Gangfeng EnergyFujian Gangfeng Energy
NanjingNanjing
Suzhou(Taicang)
Suzhou(Taicang)
NantongNantongChangzhouChangzhou
Suzhou(Changshu)Suzhou(Changshu)
Changshu BaseChangshu Base
Chengdu Great Smart WarehousingChengdu Great Smart Warehousing
Weifang Great RiverWeifang Great River
Cangzhou Great RiverCangzhou Great River
Nanjing Great RiverNanjing Great RiverChangzhou Great RiverChangzhou Great River
Changshu Great RiverChangshu Great RiverChangshu Great SmartChangshu Great Smart
Taicang Power ShellPetrochemicalTaicang Power ShellPetrochemicalJiangsu ChangjiangPetrochemical
Jiangsu ChangjiangPetrochemicalLishadao BaseLishadao BaseDongguan Evergrowing TerminalDongguan Evergrowing TerminalDongguan Great River Petrochemical TerminalDongguan Great River Petrochemical TerminalDongguan Great River Petrochemical TerminalDongguan Great River Petrochemical Terminal
Zhongshan HongchuanZhongshan Hongchuan
Nantong Power Shell PetrochemicalNantong Power Shell Petrochemical
Nantong Great SmartNantong Great SmartNantong BaseNantong Base
RizhaoRizhao
Rizhao Great RiverRizhao Great River
Message from Chairman | About GR | Sustainable Development Management | Governance | Service | Environment | Society | Appendix
HoldingShareholdingJoint Venture
Annual Honors and Awards
Awards from Government Agencies / Non-profit Organizations
Advanced Collective for Donating toPromote Education in the2022-2023 Academic Year
Guangdong Great RiverSmarter Logistics Co., Ltd
Communist Party Committee andPeople's Government of Jingfeng Town
2022 Annual Class A ChemicalNarcotic Substance Unit
Dongguan Evergrowing Terminal
Dongguan Public Security Bureau/DongguanEmergency Management Bureau/DongguanNarcotic Chemicals Management Association
2023 DongguanHealthy Enterprise
Dongguan Evergrowing Terminal
Dongguan Patriotic HygieneCampaign Committee
Jiangsu ModelWorkers' Home
Taicang Power Shell Petrochemical Co., Ltd
Jiangsu General Labour Union
Outstanding ContributionEnterprise in Taicang City in 2022
Taicang Power Shell Petrochemical Co., Ltd
Communist Party Committee of
Taicang City/Taicang Municipal
People's Government
Security AAAA-level Reputation
Unit Honor Certificate2021-2022 Annual Suzhou LaborTaicang Power Shell Petrochemical Co., Ltd
Suzhou Municipal Bureau of Human Resourcesand Social Security/Suzhou Office of the LeadingGroup for Construction of Social Credit System
Suzhou WorkerVanguardTaicang Power Shell Petrochemical Co., Ltd
Suzhou General Labour Union
Suzhou March EighthRed Flag CollectiveTaicang Power Shell Petrochemical Co., Ltd
Suzhou Women's Federation
Jiangsu StandardizedArchives
Taicang Power Shell Petrochemical Co., Ltd
Taicang Archives
2022 Top Ten AdvancedService EnterprisesTaicang Power Shell Petrochemical Co., Ltd
Taicang Port Economic and TechnologicalDevelopment Zone Management Committee
Enterprises in Taicang Port2022 Top Ten Tax-paying TerminalTaicang Power Shell Petrochemical Co., Ltd
Working Committee of the CommunistParty of China Taicang Port/ManagementCommittee of Taicang Port, Jiangsu
Environmental Protection Workin Taicang Port in 2022Advanced Enterprise in Safety andTaicang Power Shell Petrochemical Co., Ltd
Working Committee of the Communist Party ofChina Taicang Port/Management Committee
of Taicang Port, Jiangsu
2022 Specialized Trading Enterprise in Taicang Port
Worker VanguardNantong General Labour Union
Taicang Power Shell Petrochemical Co., Ltd
Working Committee of the Communist Party of China
Taicang Port/Management Committee of
Taicang Port, Jiangsu
Safety Work in 2022Advanced Collective inNantong Power Shell Petrochemical Co., Ltd
Rugao City Transportation Bureau
Nantong Power Shell Petrochemical Co., Ltd
Service Development2023 Advanced Unit for High-qualityNantong Power Shell Petrochemical Co., Ltd
Rugao City Transportation Bureau
2023 Advanced Team inSafety (Emergency) WorkNantong Power Shell Petrochemical Co., Ltd
Rugao City Transportation Bureau
Advanced Unit in FireSafety Work in 2023Nantong Power Shell Petrochemical Co., Ltd
Rugao Fire Safety Committee Office
Advanced Unit in PortFacility Security in 2022Nantong Great Smart
Rugao City Transportation Bureau
Excellent EnvironmentalManagement EnterpriseChangshu Great River
Changshu Ecology and Environment Bureau, Suzhou City
Working Committee of the Communist Party ofChina Changshu Economic and TechnologicalDevelopment Zone/Management Committeeof Changshu Economic andTechnological Development Zone
2022 OutstandingService Enterprise
Changshu Great River
Advanced GrassrootsParty OrganizationChangshu Great River
Communist Party of China ChangshuEconomic and TechnologicalDevelopment Zone Working Committee
Advanced Collective in Firefighting Work in 2022Changshu Great Smart
Working Committee of the Communist Party ofChina Changshu Economic and TechnologicalDevelopment Zone/Management Committee ofChangshu Economic and Technological Development Zone
Advanced Unit in Fire Safety Work in 2023Nanjing Great Rive
Fire Rescue Brigade of NanjingChemical Industry Park
2022 Four-Star Enterprise
Changzhou Great River Petrochemical Terminal Co., Ltd
Communist Party Committee andPeople's Government of Changzhou City
Message from Chairman | About GR | Sustainable Development Management | Governance | Service | Environment | Society | Appendix
Industry Association Awards and Honors
Media Awards and Honors
2023 Investor Relations
"Star" Company
Best Institutional Communication Award
Guangdong Great RiverSmarter Logistics Co., Ltd
Guangdong Great RiverSmarter Logistics Co., Ltd
Dazhong Securities NewsPanorama Net
Customer/Supplier Awards and Honors
2023 Excellent Logistics PartnerDongguan Evergrowing Terminal
CNPC South China Petrochemical
Sales Company
Safety Management Award
Dongguan Great River
Petrochemical Terminal
Hengli Group Co., Ltd
2023 Excellent Logistics
Service Provider
Changzhou Great RiverPetrochemical Terminal Co., Ltd
Sinopec Chemical Sales Co., Ltd.East China Branch
2023 Advanced UnitMost Promising Enterprise
Safety Equipment Technology
Innovation EnterpriseChangshu Narcotic Chemicals
Industry Association
China Federation ofLogistics and Purchasing
China Federation ofLogistics and Purchasing
Changshu Great RiverChangshu Great Smart
Changzhou Great RiverPetrochemical Terminal Co., Ltd
Safety Management EnterpriseThree-star Green PortThree-star Green PortNantong Power Shell Petrochemical Co., LtdNantong Power Shell Petrochemical Co., LtdNantong Great Smart
China Federation of Logisticsand Purchasing
Jiangsu ComprehensiveTransportation Association
Jiangsu ComprehensiveTransportation Association
Meritorious Member Unit
Corporate Social ResponsibilityContributing Enterprise
AAAA Logistics Enterprise
Guangdong Great RiverSmarter Logistics Co., LtdDongguan Evergrowing TerminalTaicang Power Shell Petrochemical Co., Ltd
China Occupational Safety andHealth Association
China Federation of Logisticsand Purchasing
China Federation of Logisticsand PurchasingWorker Pioneer Role Model
Changzhou Great RiverPetrochemical Terminal
Changzhou General Labour Union
Clean Enterprise in 2022
Administrative Committee of ChangzhouBinjiang Economic Development Zone, Jiangsu
Special Taxation
Award in 2022
Administrative Committee of ChangzhouBinjiang Economic Development Zone, Jiangsu
Top 10 Enterprises in Modern
Service Industry in 2022Working Committee of the Communist Party of ChinaChangzhou National Hi-Tech District; ManagementCommittee of Changzhou National Hi-Tech District
2022-2023 AdvancedGrassroots Party OrganizationCommunist Party of China Changzhou BinjiangEconomic Development Zone Working Committee
2022 Innovation
Breakthrough AwardAdministrative Committee of ChangzhouBinjiang Economic Development Zone, Jiangsu
Changzhou Great RiverPetrochemical Terminal
Changzhou Great RiverPetrochemical Terminal
Changzhou Great RiverPetrochemical Terminal
Changzhou Great RiverPetrochemical Terminal
Changzhou Great RiverPetrochemical Terminal
Message from Chairman | About GR | Sustainable Development Management | Governance | Service | Environment | Society | Appendix
ESG Governance System
The company has established a scientific ESG management system, actively carries out ESG management work, and promotes the long-term sustainabledevelopment of the company. The Board of Directors Strategy and Sustainableevelopment Committee fulfills the regulatory responsibilities for sustainabledevelopment and establishes a Sustainable Development Leadership Task Force to effectively promote ESG governance at Guangdong Great River SmarterLogistics Co., Ltd.The company has always adhered to the corporatemission of "building a development platform foremployees, providing quality services to customers,creating comprehensive value for society, and achievingsubstantial returns for shareholders." It values the deepintegration of ESG management concepts with thecompany's development strategy, continuously improvesESG management mechanisms, clarifies ESGmanagement objectives, and strives to enhance the levelof ESG management while ensuring the achievement ofcompany's operational goals. It actively responds to theexpectations of various stakeholders, continuouslycreates long-term value for society, and safeguardssustainable and high-quality development of thecompany.
ESG Governance Framework
Strategic and Sustainable Development CommitteeBoard of Directors
Implement specific ESG-related work in accordancewith established management targets andmechanisms, and regularly report work progress tothe Sustainable Development Work Group.
Decision-Making Level
Board of Directors Strategy andSustainable Development CommitteeAs the highest authority and decision-making bodyfor ESG matters in the company, it is responsiblefor deciding the direction of sustainabledevelopment strategy, supervising and guiding theimplementation of ESG work, and ensuring thesmooth operation of ESG Management.
Management TeamSustainable DevelopmentLeadership Working GroupComposed of senior management, the companyestablishes ESG management objectives that alignwith the company's development stage andsupervises the implementation of these objectives.
Executive LayerCenters/business units and subsidaries
Sustainable Development Management
Message from Chairman | About GR | Sustainable Development Management | Governance | Service | Environment | Society | Appendix
HSE Management OfficeTechnology and Innovation Office
Audit DepartmentSustainable Development Leadership Working Group
HSE and Innovation Committee
Audit Committee
Compensation and Evaluation Committee
Nomination Committee
ESG Goals
GovernanceService
Environment
Society
Build a smart warehousing management platformContinuously increasing investment in informatization, optimizing multiple functions of the fivemajor information platforms for intelligent warehouse managementOptimize the customer service system, standardize customer complaint handling, achieve a100% customer complaint handling rate, and 0 major customer complaint in 2023Invest 53.4623 million yuan in R&Dthroughout the year, a total of 233R&D personnel, apply for130 patentsCustomer information and all internal and external information are subject to usageauthorization and confidentiality provisions. There have been no incidents of informationleakage throughout the year
Continuous improvement of customer satisfactionIncrease investment in scientific research and innovationEnhance Information Safety and Privacy Protection
Optimizing sustainable development management
Strengthen stakeholder communicationStandardize risk and compliance managementEnhance business ethics education and training
Promoting Environmental Management System CertificationPerfecting the "Environmental Protection Management Measures," passing the recertificationaudit of the ISO14001 Environmental Management System, and obtaining Green PortCertification for some subsidiaries.Identify climate-related risks that may affect the Group, establish a list of climate change risksand opportunities, and develop corresponding response measuresThroughout the year, regular energy assessments are conducted in each warehouse area, andenergy-saving equipment renovation projects are carried out; carbon inventory work is graduallybeing implemented in each warehouse area.Improving water resource management regulations and implementing measures such asrainwater collection and utilization, as well as the recycling of reclaimed water. Throughout theyear, 23,258 tons of reclaimed water were reused.Construct a total of 2 washing stations, equipped with 10 sets of sewage treatment systemsThroughout the year, each warehouse area carried out VOCs (Volatile Organic Compounds)treatment and improvement work, reducing emissions by 464.24 tons. 536.84 tons of solidwaste were declared, and the emissions of the three wastes (waste gas, wastewater, and solidwaste) all met the required standards.
Climate risk identification and responseReduce energy consumption and carbon emissions
Improve water resource utilization rate
Increase investment in pollution prevention and controlDevelop green storage and transportation business
Implement a performance assessment system for the HSE based key responsibility, carry out hiddendanger investigation throughout the year, provide safety training 386 times.Successfully passed the recertification audit for the ISO 45001 Occupational Health and SafetyManagement System; achieved a 100% employee physical examination rate throughout the year, with zerooccupational diseases and zero casualties.Improve a diversified welfare system, with a 100% annual employee social security coverage rate, and 623person-times covered by the stock incentive planImproved the dual-channel promotion mechanism for both management and technical roles, andcontinuously developed the "E-Enterprise Learning" online learning platform of GR Management Academy.Throughout the year, employees received a total of 3,540 hours of training, with an investment of 929,600yuan in training programs.Promoted the continuous improvement of ESG performance among supplier partners, strengthened end-to-end supplier management, conducted annual comprehensive evaluations, and achieved a 100% signingrate for the supplier integrity and compliance clause.Carried out distinctive public welfare activities such as charitable donations, safety awareness campaigns,and environmental protection initiatives. Throughout the year, employees participated in public welfareactivities for a total of 192 hours, and the company made donations totaling 1,664,400 yuan.
Strengthen safety production and operationEnsure occupational health and safety
Enhance employee salary and benefits levelsPrioritize employee development and training
Standardize sustainable management of suppliers
Increase investment in community development and public welfare activities
Message from Chairman | About GR | Sustainable Development Management | Governance | Service | Environment | Society | Appendix
Establish a three-tier governance structure of "decision-making level, management level, andexecution level", and formulate sustainable development management principles andmanagement objectivesEnhance communication and interaction with stakeholders, conduct stakeholder opinion surveysthrough questionnaireIntegrate risk control into daily operations, establish risk management and internal control systemsthat cover all aspects, and continuously improve risk prevention capabilitiesTraining on business ethics were conducted throughout the year, achieving a 100% employeesign-off rate on the "Anti-Corruption Commitment Letter".
StakeholdersCommunication RequestsMethods of CommunicationIssue response
Stakeholder EngagementThe company attaches great importance to communication with various stakeholders, fully respects and safeguards their legitimate rights and interests. In response to the characteristics of different stakeholders, the companyhas established diverse and efficient communication channels, aiming to ensure stakeholders' right to information and proactively understand and respond to their concerns and demands.
·····
protection of human rightsemployee carecompensation and benefitstraining and career developmenthealth and safety management
····general meeting of shareholdersinformation disclosureresearch and communicationroadshow
···Employee CongressEmployee satisfaction questionnaireReasonable Suggestion
···customer satisfaction survey for serviceregular follow-up visitscomplaint and feedback channels
··annual assessment of supplierssupplier joint technology training
··
business ethicssupplier management
···
corporate governancerisk managementtaxation management
fair competitionstrengthen communication and cooperationmutual benefit, common development···
··sign the agreement and contractcollaborative research and exchange of professional technology
··
business ethicspromoting industry development···
participate in community activitiesmaintain ecological safetypromotion of employment
····
establish communication mechanismson-site investigation and researchparticipating in social welfareconducting volunteer activities
·····
sustainable development managementcorporate governancerisk managementtaxation managementbusiness ethics
······
development strategycompany performancecorporate governancerisk managementprofits distributionenhance communication
····
Occupational Health and SafetyCompliance Employment and Equal OpportunitiesEmployee Welfare ProtectionTraining and Career Development
···
strengthen communication and cooperationgood faith operationresponsible procurement
service improvement systemcustomer experienceinformation security and privacy protection···
Employees
Supplier
Customer
Shareholders/Investors
Government/regulatory agencies
Fellow industrypartners/mediaorganizations/NGOs, etc
Public community
· Comply with laws and disciplinestax payment by lawsafe operationsupport economic development···
····
information disclosurespecial reportstatistical statementfield visit and research
··business ethicsproduction safety management
····
reverse roadshowinteractive E platforminvestor relations hotlineinvestor relations email
cargo loss ratetime managementsafe operationgood faith operationexpand business scope
·····
···
R&D and innovationprotection of intellectual propertygreen storage and transportation
·····
climate change responseenvironment management systemcarbon emissions managementenergy consumption and managementwater management
·····
emissions managementwaste managementecological conservation and land managementenvironmental protection educationcommunity contribution
Message from Chairman | About GR | Sustainable Development Management | Governance | Service | Environment | Society | Appendix
Material Issue AnalysisThe company continues to monitor the dynamics and trends of sustainable development in its industry. Basedon the "substantial" principle in the Global Reporting Initiative's "Sustainability Reporting Standards" (GRIStandards), the company integrates its vision, mission, values, and concepts of sustainable development withthe demands of various stakeholders. It continues to conduct identification, research, evaluation, anddisclosure of substantive issues, establishing topics that are important to both the company and itsstakeholders, and using them as important guidelines for sustainable development management.
Process of Issue Analysis
Matrix of Material Issues
The Board of Directors is responsible forreviewing the evaluation of substantive issues,ultimately forming a matrix for the analysis ofsubstantive issues, which serves as a key focusfor the management and reporting of thecompany's sustainable development.
GovernanceEnvironmentServiceSociety
HighLow
High
SignificanceStratification
Sort
Scopeof Issues
GR 2023Issue Repository
CoreIssues
SocietySocietySocietyEnvironment
ServiceSocietyEnvironmentGovernanceEnvironmentEnvironment
Production Safety ManagementOccupational Health and SafetyEmployee Benefits and Welfare
Emissions ManagementWell-established Service System
Safety Drills and TrainingEnergy Consumption and Management
Business EthicsWaste ManagementEnvironment Management System
ServiceEnvironmentGovernanceEnvironmentGovernance
Information Security and Privacy ProtectionCarbon Emissions ManagementRisk ManagementClimate Change MeasuresCorporate Governance
Key Issues
SocietyServiceGovernanceServiceEnvironmentEnvironmentSocietyServiceGovernanceEnvironment
Compliant Labour and Equal Opportunity
Customer ExperienceSustainable Development Management
R&D and InnovationGreen Storage and Transportation
Water ManagementTraining and Career DevelopmentProtection of Intellectual Property
Taxation ManagementEcological Protection and Land Management
GeneralIssues
26 Environment
SocietySocietySociety
Environmental Protection Promotion
Supplier ManagementPromote Industrial Development
Community Contribution
KeyIssues
By analyzing policy documents, disclosurestandards, benchmarking with industry peers,etc., a total of 29 issues were identified acrossgovernance, environment, service, and socialaspects, forming the company's 2023sustainability issue repository.
Opinions were collected from the government orregulatory agencies, shareholders and investors,employees, customers, suppliers, partners(industry partners/media organizations/NGOs,etc.), community residents, and other stakeholdersthrough questionnaire surveys. A total ofquestionnaire survey responses were received.
Based on the survey results of stakeholdersand combined with expert suggestions in thefield of sustainable development, theimportance of substantive issues was rankedfrom the perspectives of "importance tostakeholders" and "importance to GuangdongGreat River Smarter Logistics Co., Ltd.".
Identify
Disclose
ResearchEvaluate
SignificanceStratification
Sort
Scopeof Issues
GR 2023Issue Repository
Importance to Stakeholders
Importance of Sustainable Development for GR
Message from Chairman | About GR | Sustainable Development Management | Governance | Service | Environment | Society | Appendix
GOVERNANCE
Standardizing Corporate GovernanceCorporate GovernanceRisk and ComplianceRisk ManagementTax ManagementBusiness Ethics PracticeAnti-corruptionAnti-unfair Competition
Standardizing Corporate Governance
Corporate Governance
Board of Supervisors
Management Team
CEO's OfficeTerminalTank Operation Center
Terminal TankOperationHSE
HSE and Innovation CommitteeStrategy and Sustainable Development Committee
Nomination CommitteeAudit Committee
Compensation and Evaluation Committee
Chemical Warehousing Integrated Logistics
Audit Department
Technology andInnovation OfficeHSE Management Office
Board of Directors
Finance CenterAdministrative CenterBoard ofDirectors OfficeInfrastructure andProcurement CenterTerminal TankBusiness Center
Terminal Tank Sector
BusinessManagementDepartment
CustomerServiceDepartment
TerminalTank MarketRisk ManagementComprehensiveManagementCustomer ServiceShip Business CustomsTerminal TankMarketing Department
East ChinaOperationsSubcenter
Terminal TankOperation ComprehensiveManagement Office
South ChinaOperationsSubcenter
ComprehensiveLogistics OperationCenter of ChemicalWarehouseComprehensiveLogistics BusinessCenter of ChemicalWarehouseChemical WarehouseComprehensiveLogistics ManagementDepartment
Chemical WarehouseMarketing DepartmentKey AccountsDepartmentCustomer ServiceDepartmentRisk ManagementDepartmentStandardizedManagementOffice of ChemicalWarehouseChemical WarehouseComprehensiveManagement OfficeChemical WarehouseBusiness ComprehensiveManagement OfficeHSETransport FleetManagementChemical WarehouseOperations
Infrastructure andProcurement DepartmentAdministrationDepartment
Terminal Tank OperationsDepartment
HSE DepartmentFinancialDepartment
Terminal Tank Business Department
Chemical WarehouseOperations Department
Chemical WarehouseBusiness Department
GR Storage Areas
IT and Automation SubcenterIT and Automation SubcenterProject Management SubcenterEquipment Management SubcenterAdministrative Logistics SubcenterHuman Resources Subcenter
Investment DepartmentCapital ManagementDepartment
Based on the requirements of relevant laws and regulations such as the "Company Law" and "Securities Law," the company has established a standardized governancestructure and formed a corporate governance system with clear responsibilities, checks and balances, and efficient operations.
Message from Chairman | About GR | Sustainable Development Management | Governance | Service | Environment | Society | Appendix
Guangdong Great River Smarter Logistics Co., Ltd.
General Meeting ofShareholders
Operation of the Three Meetings
The Board of Directors consists of seven directors, including four non-independent directors andthree independent directors. The members of the Board of Directors include professionals fromthe accounting, legal, and investment fields. The structure of the Board of Directors of thecompany is reasonable, and the qualifications, selection procedures, and composition of thedirectors all comply with relevant laws and regulations. All directors are diligent and responsibleand are able to conduct their work in accordance with the provisions of the "Board of DirectorsMeeting Rules" and the "Independent Directors Working System". The Board of Directors hasestablished the Audit Committee, Compensation and Evaluation Committee, NominationCommittee, Strategy Committee, and the Health, Safety and Environment and InnovationCommittee (HSE & Innovation Committee), further enhancing the corporate governancestructure.
Name of CommitteeResponsibilitiesAudit CommitteesCompensation AndEvaluation Committee
Responsible for formulating the compensation standards and plans for company directors and senior managementpersonnel; review the performance of company directors and senior management personnel and conduct annualevaluations; supervise the implementation of the company's compensation systemStrategy Committee
Responsible for conducting research and providing recommendations on the company's medium andlong-term development strategies and major strategic investment decisions; responsible fordetermining the direction and scope of sustainable development strategies, overseeing and guiding theimplementation of ESG work, ensuring the smooth operation of ESG management in the companyHSE and Innovation
Committee
Responsible for researching and proposing guidance and recommendations for the long-term planning,annual plans, and phased plans of the company's HSE and Innovation workNominationCommittee
Responsible for studying the criteria, qualifications, and evaluation procedures for the selection ofboard members and senior management personnel, and making recommendations; extensively searchfor qualified candidates for board members and senior management personnel, and presentappointment and dismissal recommendations to the Board of Directors
The Board of Supervisors is composed of three supervisors, including two shareholder representativesand one employee representative. Members of the Board of Supervisors have backgrounds inaccounting, chemical engineering, and human resources. The composition of the Board of Supervisors isreasonable, and the qualifications, selection process, and composition of supervisors all comply withrelevant laws and regulations. All members of the Board of Supervisors shall diligently fulfill their dutiesand carry out inspections and supervision of the company's business operations and the performance ofexecutive personnel in accordance with relevant regulations such as the "Rules of Procedures of theBoard of Supervisors", to promote the standardized operation of the company.
During the reporting period, the company held a total of Board ofDirectors meetings and reviewed resolutions.
The Board of Directors of the company has established five specialized committees: the Audit Committee, theCompensation and Evaluation Committee, the Strategy Committee, the Health, Safety and Environment andInnovation Committee (HSE & Innovation Committee), and the Nomination Committee. Different specializedcommittees perform their respective duties, with members working diligently and ensuring that decision-makingprocesses are scientific, democratic, and law based. In the fiscal year of 2023, the various specializedcommittees held a total of 22 meetings and reviewed 67 resolutions.
Operation of the Special CommitteeBoard of Directors DiversityDiverse professionalbackground
The members of the Board of Directors of the company possess diverse educationalbackgrounds, professional experiences, or academic achievements in fields such aschemicals, finance, accounting, law, and human resources.Diversity in teamcomposition
The Board of Directors of the company consists of 7 directors, including 3 independentdirectors, accounting for 43% of the total. The directors' ages range from 40 to 70,covering multiple different age groups. The Board of Directors currently does not have anyfemale members.
Shareholders and General Meeting of Shareholders
The General Meeting of Shareholders is composed of all shareholders and serves as the highestauthority of the company. The company strictly follows the requirements of relevant laws andregulations, normative documents such as the Securities Law, Company Law, Articles ofAssociation, and Rules of Procedure for General Meeting of Shareholders, to regulate theprocedures of convening, holding, and voting at the General Meeting of Shareholders. It treats allinvestors equally, ensuring that shareholders, especially small and medium-sized shareholders,can fully exercise their shareholder rights and effectively safeguard the rights and interests ofsmall and medium-sized shareholders.
During the reporting period, the company held a total of GeneralMeetings of Shareholders, reviewing resolutions.
Directors and Board of Directors
Responsible for communication between internal and external audits of the company; overseeing andverifying work; auditing the company's financial information and disclosure
Supervisors and Board of Supervisors
During the reporting period, the company held a total ofmeetings of the Board of Supervisors and reviewed resolutions.
Message from Chairman | About GR | Sustainable Development Management | Governance | Service | Environment | Society | Appendix
Note: As of the date of this report's disclosure, the Strategy Committee has been restructured into the Strategy and Sustainable Development Committee within the frame of Board of Directors.
Composition of Management Personnel andProcedures for Compensation Resolution
As of the date of issuance of this report, the company has senior management personnel.The company's daily business activities are carried out by the senior management personnel. Themanagement team has extensive industry background and professional management experience.They diligently put the company's merger and development strategy into practice, laying a solidfoundation for its sustainable development.
Composition of Management Personnel
Proceedings of Compensation DecisionThe Compensation and Evaluation Committee of the Board of Directors isresponsible for:
Basis for Determining CompensationThe compensation of senior management personnel serving in the company consists of basic salaryand performance-based salary. The basic salary is determined based on the nature of theirpositions and the duties they assume, while the performance-based salary is determined based ontheir work performance, ability to fulfill duties, completion of responsibility targets, the company'soperating performance, etc.
Methods of Salary Payment
Information DisclosureThe company complies with the various provisions and requirements of the China Securities RegulatoryCommission and the Shenzhen Stock Exchange regarding information disclosure. It has established andstrictly implements a comprehensive "Information Disclosure Management System" and "InsiderInformation Access Registration Management System". The company faithfully fulfills its informationdisclosure obligations, ensuring that information disclosure is true, accurate, complete, timely, and fair,maximally protecting the interests of investors.
Basis for determining annual compensation:
Executive Compensation Decision-Making Process
·Develop the salary standards and plans for senior management personnel within the company;·Review the performance of the company directors and senior management in fulfilling theirresponsibilities and conduct annual assessments of them.
Nature of thepositionDuties assumedAbility tofulfill duties
Work performanceCompletion ofresponsibility targetsThe company'soperating performance
The basic salary of senior management personnel in the company is paid in full monthly, whileperformance-based salary is distributed according to the assessment period.
During the reporting period, the company disclosed a total of announcements, intermediaryagency documents, and so on.
Message from Chairman | About GR | Sustainable Development Management | Governance | Service | Environment | Society | Appendix
Risk and Compliance
Risk Management
Risk Management System MeasuresThe company has fully integrated risk management into its routine operations by developing an extensive set of internal control and management systems. These systemsencompass a wide range of areas including organizational structure, human resource management, safety in production, financial management, procurement activities, assetmanagement, sales operations, project engineering, contract administration, guarantee transactions, external investments, related party dealings, and disclosure of information.The implementation of these systems ensures that there are established protocols for all activities, thereby creating a structured and regulated management framework;The company conducts a comprehensive risk management strategy in accordance with the principles of totality, reasonableness, autonomy, and materiality. It organizescompliance and risk management teams for each business sector or center, tasked with the identification, assessment, and formulation of risk control measures for theirrespective areas of operation. This approach establishes a "vertical" risk management system that extends from the corporate governance level through the management andoperational layers, and a "horizontal" system that operates across all business sectors or centers. It ensures a clear delineation of responsibilities and fosters interdepartmentalcooperation to construct a robust risk control framework. Meanwhile, the company continues to strengthen its information system construction, continuously promoting thetransformation of key business processes from manual to automated and enhancing the level of risk prevention. During the reporting period, projects such as intelligent inspectionrobots, self-service weighing systems, and budget management systems were implemented.Internal Supervision and ControlGeneralSupervision
The company adheres to the principle of "risk-oriented, with legal and compliance as the focus". Based on the perspective of risk management, eachbusiness unit/center continuously reviews and examines the weak links in corporate internal control and potential risks in business operations. It carriesout standardized management, benchmarking management, and summarizes the key business, major projects, and central management on a quarterlybasis, forming a bottom-up self-supervision mechanism.
AuditSupervision
The company has established an Audit Committee under the Board of Directors. The Audit Department operates independently and conducts its audit workunder the guidance of the Audit Committee, reporting its activities to the Audit and Compliance Committee.The Audit Department supervises various business processes of the company on a daily basis in accordance with the "Internal Audit Management System".It evaluates and examines internal controls and other aspects of the company. For issues discovered during the examination process, the departmentpromptly communicates with the respective responsibility centers, implements corrective measures and timelines, and conducts follow-upinspections for subsequent rectifications. This ensures a closed-loop audit process. During the reporting period, the Audit Department carried outauditing work on business processes such as sales, procurement, and engineering, as well as significant cost expenditures, in accordance with theannual audit plan and focusing on internal control and management requirements.The audit work is categorized as follows:
Annual Audit: Carry out annual audit activities according to the audit plan, providing comprehensive supervision and evaluation of business processes.Project Budget and Final Account Audit: Conduct audits of project budgets and final accounts based on industry characteristics, with a focus on risksassociated with engineering projects.Special Audit: Carry out special audits irregularly based on changes in the external environment and the company's operational and managementrequirements, continuously promoting standardized management.
Taxation ManagementTaxation ManagementPolicyThe company strictly abides by tax regulationsand always adheres to the principle of payingtaxes in accordance with the law and in goodfaith. The total tax payment for the year 2023amounted to yuan.175,647,512
Tax Compliance
The company has established the "TaxationManagement Regulations", clarifying theprinciples of taxation and the workflow of taxdeclaration and other work processes. It hasalso established a tax audit mechanism fromthe financial departments of each subsidiaryand the subsidiary's financial director to theFinance Center, strictly managing various tax-related work and fulfilling tax obligations inaccordance with the law. The companycontinues to maintain good tax relations andeffectively prevent and mitigate tax risks.
ComplianceAwarenessTraining
The company continues to conduct compliance training empowerment courses with a total of 22 hours designed, using the online learning and post-course testing format of the GR E-learning platform, to strengthen employees' compliance awareness.
Focus on Tax Lawsand PoliciesThe company has established a tax legislationlibrary and actively responds to policychanges. At the same time, it regularlyevaluates potential tax risks and implementsdynamic management of tax risks toeffectively ensure the company's compliancein its operations.
Message from Chairman | About GR | Sustainable Development Management | Governance | Service | Environment | Society | Appendix
Business Ethics Practice
Anti-corruptionThe company is committed to creating a fair, transparent, and honest work and business environment, withzero tolerance for bribery, extortion, and corruption among employees and partners. To solidly promote theconstruction of anti-corruption and integrity, the company integrates the principles of comprehensive, strictparty governance and improved corporate governance. The disciplinary inspection committee, based on itsresponsibilities, assists the party organization in refining the "personalized" list of responsibilities for teammembers, and carries out the implementation of the "dual responsibilities" effectively. This drives teammembers to supplement shortcomings, strengthen areas of weakness, and improve the quality of fulfillingtheir responsibilities, thus establishing a complete chain of accountability, supervision, evaluation, andaccountability. This achieves the organic integration of internal party supervision and enterprise internalcontrol mechanisms. It also serves as a reliable "firewall" to safeguard the integrity of the company. Throughcomprehensive measures such as institutional development, deterrence and warning, and publicity andeducation, the company supports and promotes high-quality development.
Key Performance
During the reporting period, there were reported cases of corruption0
Anti-corruption EducationContinue to carry out the promotion and education of an honest and clean corporate culture, disseminating thecompany's anti-corruption system and measures to employees through various forms such as the "Three Cups ofTea" system, disciplinary laws lessons, and OA notifications. For grassroots employees and management staff in thebusiness area, utilize platforms such as work contact groups to disseminate learning materials on party disciplineand clean governance, warning cases, conduct offline training, organize field trips for learning, and other methods.Conduct positive promotion of the culture of integrity and provide negative warnings through corruption cases.Organize all employees to learn and abide by the rules and regulations.
Anti-corruption Measures·The Disciplinary Inspection Committee takes the lead in formulating documents, regulations, and other related systemsrelated to integrity, Standardization of positions at risk for commercial bribery and embezzlement;·Including anti-bribery provisions in commercial contracts;·Training and propagating to employees in relevant positions, signing the "Integrity Commitment Letter";·Multiple ways of reporting through hotline, email, mail and website;·The discipline inspection committee is responsible for internal supervision, while third-party lawyers are responsible for externaldue diligence investigations;·Develop an annual supervision plan, conduct 1 to 2 special inspections per year, integrate internal audit work, and be stationed toreceive real-name and verified reports;·Incorporate integrity requirements into the supplier management mechanism,and include clauses on integrity practices insupplier contracts.
Anti-corruption SystemIn order to create a fair, just, and transparent working environment, the company has established an anti-corruption systembased on the principles of "dare not, cannot, do not want." This system aims to strictly prevent and punish illegal andcorrupt practices such as bribery, embezzlement, and fraud.The secretary of the Disciplinary Inspection Committee is served by company director and vice president Gan Yi·Cultivating a work environment where corruption is not tolerated: Taking the initiative to fight against corruption,implementing professional investigations, and holding individuals accountable·Building a "Corruption-Free" Governance Environment: Organizational Governance, Institutional Norms, DemocraticSupervision· Build a strong ideological foundation of "rejecting corruption": signing commitments, promoting education, specializedstudies, and creating an organizational atmosphere
During the reporting period, a total of training sessions on anti-corruption and briberywere conducted online and offline, with a total of participants and an average durationof hours. Among the board members, received anti-corruption training, with an averageduration of hour.
Employee "Anti-Corruption Commitment" signing rate reachesSupplier "Integrity Practice Clause" signing rate reaches
100%100%
Message from Chairman | About GR | Sustainable Development Management | Governance | Service | Environment | Society | Appendix
Processing efficiency
The company has clearly defined the requirement for confidentiality of informants, meaning that every employee who has access to whistleblower informationshould keep it confidential. The leaders of each organization are responsible for the protection of witnesses (including whistleblowers) as the primary responsibleparty. They should take reasonable measures to protect witnesses (including whistleblowers) and ensure that their fundamental rights are not violated, and toprevent any form of retaliation. In addition, the company has established a reward program for whistleblowers and witnesses based on the circumstances.
Protection of Whistleblowers
Anti-unfair CompetitionIn its daily operations, the company strictly abides by therelevant laws and regulations on anti-monopoly and anti-unfair competition, such as the "Anti-Monopoly Law of thePeople's Republic of China", the "Anti-Unfair CompetitionLaw of the People's Republic of China", and the "CivilCode of the People's Republic of China", as well as thecompany's commercial behavior standards. The companyadheres to the commercial principles of fairness, justice,cooperation, and win-win to build a business environment.It actively prevents and proactively responds to monopolyand unfair competition risks in the market and insists ongaining customer trust through orderly competition andproviding high-quality and reliable services. At the sametime, the company requires its partners to follow theprinciples of fair competition and integrity in businessoperations and not to engage in any behavior thatundermines fair competition or violates anti-monopolylaws and regulations.The company effectively identifies and objectivelyevaluates customer requirements, provides services tocustomers based on commercial integrity, and does notengage in unfair means of vicious competition. Thecompany's audit department participates in procurementbid monitoring to form a closed loop of supervision andmanagement, standardizing the behavior of bidders,bidders, and evaluation experts, and guiding the companyand its employees, customers, suppliers, and otherstakeholders to operate with honesty and integrity andcompete fairly.Mergers and acquisitions are the keys for the company'sgrowth. The company complies with relevant anti-monopoly laws and regulations during the merger andacquisition process and follows the principle of faircompetition after the merger and integration.
The company has set up six reporting channels targeting different groups, including hotlines, email, and official websites.
Telephone Report
Landline: 0769-86002930
Report via Email
hcjw@grgroup.cc
Website Reporting
Party Building Platform Secretary's Mailbox:
http://appgrgroup.cc:9098
Appointment for Visits
Internal staff and external stakeholders
Others
Reporting and ProcessingThe Disciplinary Inspection Committee standardizes the process, criteria, and management requirements for reporting and handling violations anddisciplinary incidents, and establishes a mechanism for reporting and protecting whistleblowers. The Discipline Inspection Committee is responsible forhandling reports. Upon receiving written evidence and reports with real names, it will initiate an investigation procedure. Based on the investigation results,a investigation report will be issued. The identity of the reporter will be kept confidential throughout the entire process. Depending on the severity of thespecific circumstances (whether it was voluntarily or involuntarily reported) and the amount involved in the case, a decision will be made to eitherimmediately terminate the employment relationship or transfer the case to judicial authorities. Whistleblowers and witnesses will be rewarded accordingly.Reporting Channels
Complaint letter
To the Public
Discipline Inspection Committee, Building 1, CR Building,No. 6 Libin Road, Songshan Lake Park, Dongguan City,Guangdong Province, Zip Code 523830
Discipline Inspection Commission of CR Building, No.1, Lobby Road, Songshan Lake Park, Dongguan City,Guangdong Province
Other forms suitable according to the informer
The Discipline Inspection Committee requires all supervisory units to follow the "three ones" timelinessrequirements and respond promptly and actively handle them.
One working day response:
After receiving the report, we willrespond to the reporter within oneworking day
Confirmation of filing within a week:
After receiving the report, the need toinitiate an investigation is confirmedwithin a week
Complete investigation within one month:
After confirmation of the filing, complete thereport investigation and provide a response ofthe results within one month.
In 2023, the company did nothave any major incidentsinvolving suspected monopoly orunfair competition.
Message from Chairman | About GR | Sustainable Development Management | Governance | Service | Environment | Society | Appendix
Three-One delivery requirements:
SERVICE
Delivering Quality ServicesImproving Service SystemInproving "Quantity, Quality, and Efficiency" ManagementInproving Customer SatisfactionAddressing Customer ComplaintsProtecting Customer PrivacySpecializing in Intelligent Storage and TransportationImproving Innovation ManagementBuilding a Digital PlatformProtecting Intellectual Property
Delivering Quality Services
Improving Service System
Customer Service SystemThe company's business center continues to strengthen the quality management of customer service, constantly improve the customer servicesystem, implement the first-inquiry responsibility system, and emphasize that "everyone is the first responsible person for service.”Based on the characteristics of the company's subordinate storage areas, which are numerous, widely distributed, and have regional advantages,the company has gradually formed four service models: butler-style service, expert-style service, customized service, and extended service.
Customer Service Mechanism
The company relies on the expertise of CR ManagementAcademy's professional training team. Improvements in servicelevel are achieved through strategies such as standardization,training empowerment, cultural promotion, and managementincentives. The mechanism also involves proactive measuressuch as passive complaints, proactive research, dailyinspections, and annual certification, which are linked toemployee performance and honor rewards. This approachensures continuous optimization of window service throughlong-term operation, complaint case notification, targetedretraining, and standard optimization.First Main Business
Drawing on years of accumulated talent and experience in storing andmanaging liquid chemical products, with a focus on customer base andsimilar products, the company is enhancing joint business activities amongvarious subsidiary departments. This involves strengthening productgroups across warehouse areas to offer customers more professional,efficient, and diverse collaborative services. The product team membersdeliver customized and comprehensive logistics solutions to customers,drawing from their extensive experience with products and relatedindustry chains, with the aim of reducing customers' logistics expenses.
By leveraging its subsidiary transportation company and third-party logistics capabilities, thecompany offers customers a range of services including warehousing and value-added services forpackaged hazardous chemicals, container services such as disassembly and assembly, localinspection, and hazardous packaging, as well as storage for liquid hazardous chemicals in tanks.Additionally, the company provides services for liquid product packaging and drumming, as well ascomprehensive warehousing and transportation logistics solutions. The experienced businesspersonnel in the key account department act as key account managers, offering enhanced andefficient services to key clients. The business department leads and coordinates with theoperations departmentand HSE department to organize a "warehouse readiness meeting" beforewelcoming new customers. During this meeting, a thorough analysis and discussion of customerrequirements takes place, and standard operating procedures are formulated to ensure the preciseimplementation of these requirements.
Wharf Tank Storage BusinessAdvantages of Cross-Storage Area Product Group Service
Chemical Warehousing and Comprehensive Logistics BusinessAdvantages of Large Customer Group Service
Message from Chairman | About GR | Sustainable Development Management | Governance | Service | Environment | Society | Appendix
Butler-style Service:
Expert-style Service:
Customized Service:
Extended Service:
Customer service personnel provide pre-reminders to customers about potential issues that may arise in various aspects of the warehousing service process,offering personalized service to customers.
There are slight differences in the team model between the two main businesses. In the wharf tank storage business, business personnel form multiple cross-storage area product groups, and these product groups provide professional and targeted services to customers. In the chemical warehousing and comprehensive logistics business,professional and targeted services are provided to customers through dedicated customer managers for large customers and the "warehouse preparation meeting" mechanism for newcustomers.
Focusing on long-term cooperation intentions, customized services are provided according to customer needs in terms of agreement clauses and hardwareequipment and facility modifications.
This refers to providing industry information exchange services to customers, their upstream suppliers, and downstream purchasers.
Second Main Business
A customer service work group has been formed and a list ofkey contact persons has been established to ensure smoothcommunication. This information has been communicated tothe customer service team and the relevant key contactpersons are ensuring that the process runs efficiently.
A closed-loop management system for service quality eventshas been established, covering event investigation, root causeanalysis, formulation of improvement measures,implementation of rectification measures, and verification ofrectification effectiveness.
The long-term performance managementmechanism for window service
The Key Contact Person List Mechanism
Service Quality Event Closed-LoopManagement Mechanism
Management of Efficiency
Management of Quality
Implement a rigorous quality control system for chemical products, and strictly adhere to qualitymanagement standards from the point of origin to the delivery of goods by vehicle or ship. This willguarantee that the purity, stability, and performance of the chemical products remain uncompromisedthroughout the entire process.Advanced testing methods are utilized to conduct regular quality testing and analysis in collaborationwith an international inspection agency. Additionally, an internal laboratory has been established toperform quality tests on incoming and outgoing chemicals as a measure to prevent issues likecontamination and deterioration.To enhance the security of chemical storage and classification management, it is essential to preventthe interaction of different chemicals, thus safeguarding product quality and mitigating safety risks.
Promote active fulfillment of social responsibilities by openly and transparently disclosing the inflow and outflow of chemical products,storage status, and emergency response plans to the community and regulatory authorities. Additionally, make the information aboutchemical products public to customers through the information system to enhance trust among relevant parties.Create a system for quality control audits of inventory and perform regular audits of all storage areas to verify the accuracy andauthenticity of chemical quantities. Any potential issues should be promptly identified and corrected.
Improving "Quantity, Quality,and Efficiency"Management
Management of Quantity
Accurate Measurement and Internal Control
By enhancing operational techniques and upgrading equipment, the loading and unloading process can be optimized toeffectively minimize the loss resulting from chemical volatilization and leakage. Continuously refining the data on loss rates willcontribute to the reduction of carbon emissions and resource wastage.The implementation of green, low-carbon measuring equipment and technology encompasses sealed measuring instruments,closed operating systems, oil and gas recovery systems, and low-leakage breathing valves. These measures aim to minimizevolatile losses during operations.In order to avoid environmental pollution from chemical leaks, storage facilities and transportation equipment undergo regularmaintenance and inspections. Safety and sealing of storage containers are checked to prevent unintended chemical leaks thatmay harm the environment. Additionally, advanced leakage detection systems and emergency response facilities are in place.Utilizing logistics scheduling methods like "just-in-time" inventory and minimizing unnecessary transshipments and waitingtimes helps to indirectly mitigate the unplanned losses of chemicals during the transfer process.
Improving efficiency in loading and unloading processes whilefocusing on energy conservation and emission reduction
Through a comprehensive review and refinement of business processes, the integration of one-stop electronic service has beenimplemented. This involves the use of efficient digital information systems such as smart customer service, self-service ordering, andself-service invoicing. As a result, real-time online order processing, goods tracking, and inventory management have been achieved,leading to a significant reduction in the turnaround time from order receipt to execution. This has contributed to an overall improvementin the efficiency of the supply chain.By utilizing reservation systems and big data analysis, it is possible to predict patterns and make informed adjustments to personnelallocation and equipment utilization for the loading and unloading of vehicles. This approach helps to mitigate congestion during peakperiods, minimize driver waiting times, boost turnover, enhance service quality, and aid businesses in achieving dual improvements inefficiency and social benefits. As a result, the average waiting time for tank trucks at the station can be significantly reduced.By consistently increasing investment in employee skill training and career development, and by enhancing the recognition and training system forprofessional skill levels, we guarantee that employees acquire a proficient grasp of modern operational technology and equipment usage. This, in turn,boosts individual work efficiency and enhances the efficiency of loading and unloading operations.By implementing humane work schedules, we can ensure the full protection of employees' physical and mental health through scientific scheduling and fatiguemanagement mechanisms. This will also help to enhance overall service levels and improve efficiency.
Establish and improve unified data quality management rules and regulations, as well as a data qualityinternal control management and assessment system. Continuously enhance employees' professional skillsand data quality management awareness by conducting targeted training to raise their consciousness of lossreduction and emission reduction. Ensure that every employee is well-versed in the characteristics ofchemicals and the control measures for quantity and quality management.
Message from Chairman | About GR | Sustainable Development Management | Governance | Service | Environment | Society | Appendix
Preventing Losses and Leakage Reduction
Transparency and public oversight
Further research is being conducted on national and international standards for measuring hazardous chemicals. This involves theutilization of high-precision automated measurement systems and equipment to monitor and record in real-time. The aim is toguarantee the precise quantity of chemicals in storage and during transportation, thereby minimizing potential errors.The company conducts comprehensive identification, assessment, and control of risks related to chemical quantities, including butnot limited to measurement errors, data distortion, leakage accidents, etc., to ensure the effective operation of the entire processquantity management system. The company strictly implements standardized procedures for chemical storage, delivery, andinventory counting to ensure data accuracy and consistency in management, using assessments to promote improvement.
By continuously improving and optimizing automated loading and unloading equipment, such as fully automatic dispatch systems and ship loading automaticmeasurement systems, efficient vehicle and ship docking can be achieved. This leads to reduced operation time, improved efficiency of loading and unloadingvehicles and ships, and simultaneous reduction of energy consumption and carbon emissions.The systematic arrangement of the loading and unloading area, supplemented by IoT technology and intelligent customer service systems, has effectivelyoptimized the work sequence and schedule. As a result, it has minimized the waiting time for vehicles and vessels, leading to decreased fuel consumption andreduced emissions from vehicle and vessel idle time.Use port operation management tools to monitor vessel movements in real time, make advanced preparations for berthing, and reduce waiting time for vesselsat anchorages. Enhance and optimize the cargo handling management process to facilitate efficient vessel operations, ultimately minimizing fuel consumptionat the port and promoting energy savings and emissions reduction.The company has implemented a collaborative coordination mechanism with the docks of nearby enterprises within its jurisdiction. This has enabled therational allocation and efficient utilization of dock operation resources, leading to a significant improvement in the efficiency of ship handling per unit time.Streamlining Process Reengineering and Improving Order Response Speed
Improving employee skills and enhancing work efficiency
Create a comprehensive assessment system for internal controls that incorporates crucial factors like vessel operation time andloading/unloading efficiency. Regularly analyze data, pinpoint bottleneck areas, and devise targeted solutions to establish a mechanismfor continuous improvement and sustained efficiency enhancement.To improve internal process standardization, it is essential to ensure that all employees are well-versed in efficient operationalprocedures, and to minimize unnecessary manual intervention. This can be achieved through enhancements to operation manuals, regulartraining, and other relevant methods, ultimately leading to smoother and more efficient ship and cargo handling operations.
Driving Key Performance Indicators and Achieving Continuous Improvement
Addressing Customer Complaints
System for Handling Customer Complaints
a. classify customer complaints for management purposes;b. specify the procedures for handling, investigating, rectifying, determining responsibilities, providingincentives, and imposing penalties for customer complaints.
To address significant customer complaints, a "Customer Service Key Improvement ItemRectification Report" should be issued, followed by targeted improvements and rigoroussupervision of their implementation.
Protecting Customer Privacy
Improving Customer Satisfaction
Customer Communication
Results of the Satisfaction SurveyDuring the reporting period, an online questionnaire survey was carried out to gain a morecomprehensive understanding of customer satisfaction and needs. The survey aimed to identify keyservice points, as well as the areas in which customers are most and least satisfied. It covered four mainservice modules: tank storage customers, warehouse customers, the intelligent customer service (CA)system, and loading and unloading drivers.
Customer Complaint Handling System in Place for
Performance in Handling Customer Complaints
Strategies for Handling Customer Complaints
Handling customer servicephone calls on a daily basis.
Message from Chairman | About GR | Sustainable Development Management | Governance | Service | Environment | Society | Appendix
Collecting Complaints and Feedback
Online questionnairesurveys
A total of valid questionnaires were obtained. surveys wereconducted for terminal storage tank customers, surveys for chemicalwarehouse customers, surveys for the intelligent customer service(CA) system, and surveys for loading and unloading drivers. Theoverall rating for the terminal storage tank sector stands at ,reflecting a increase from 96.43 in 2022. The chemical industrysector achieved a coverall score of , marking a increasefrom 97.03 in 2022.
698 239
96.76
0.34%
97.520.50%
Significant customer complaintsreported in the year:
Customer complaintshandling rate:
100%
Rectification rate for key improvementitems in customer service:
100%
Create an employeeconfidentiality policy
Include a confidentialityclause in the storage contract
Management of customer informationclassification and authorization
The company actively protects customer privacy by implementing employee confidentiality policies, customer information tieredauthorization management, and including confidentiality clauses in warehousing service contracts. During the reporting period, there was noincident of customer privacy breaches.
Specializing in Intelligent Storage and Transportation
Improving Innovation ManagementThe organizational structure of the IT and Automation Sub-Center is designedto foster cross-functional collaboration and accelerate the innovation process.It is composed of several key teams, including Research and Development(R&D), Product Design, User Experience (UX), Technical Support, and QualityAssurance. Each team has a clear set of responsibilities and objectives, led by aspecialized R&D manager. The manager is responsible for driving projectprogress and ensuring alignment with the company's strategic developmentgoals.
Regular system maintenance and minorimprovements aimed at continuouslyimproving operational efficiency andcustomer satisfaction.Involves the development of completelynew technology or business models,which may have a significant impact onthe long-term development of thecompany.
Major InnovationSignificant ImprovementGeneral Optimization
As of the end of the reporting period
Innovation assessment and incentive mechanism:
Innovation projects are evaluated and classified based on internal and external information requirements. After implementation, performanceincentives are given based on the evaluation rating and the actual impact. Evaluation and motivation can be divided into three categories:
Significantly improve existing technologyor processes to enhance efficiency oreffectiveness, such as reducing manualoperations through automation.
the company had R&D personnel, accounting for of the totalworkforce. The R&D investment amounted to million yuan,representing of the operating revenue.
23313.45%
53.46
3.46%
Message from Chairman | About GR | Sustainable Development Management | Governance | Service | Environment | Society | Appendix
Using a unified standard financial management system, the financial system isintegrated with procurement and service order, ensuring traceability betweenfront-end business operations to back-end finance
SAP Standard Governance Platform
Human Resources Integrated Platform
Complete data visualization of personnel recruitment, onboarding,career counseling, promotions, training, assessment, growth trajectory,and salary
OA Automatic Integrated PlatformEnable efficient approval management by integrating the data offinance, infrastructure projects, procurement, and personnel systems
Intelligent Customer Service PlatformCustomer Service PlatformBusiness Billing Management and Tracking.Appointment Management Platform:
License Management and Appointment Billing.
:
to achieve unified, centralized, standardized management
Production and Operations ManagementManagement and control platform
Five majorinformation platforms
Intelligent Control Platformfor Chemical WarehouseThis platform was launchedand used in 2023
Intelligent Management Platformfor Terminal Storage TanksThe platform will start researchand development in 2023Safety Management Platform
EnvironmentalManagement Platform
EquipmentManagement Platform
Building a Digital Platform
Message from Chairman | About GR | Sustainable Development Management | Governance | Service | Environment | Society | Appendix
SAP Standard Governance Platform
Using a unified standard financial management system,the financial system is integrated with procurement and service order,ensuring traceability between front-end business operations and back-end finance
Terminal Storage Tank Business Aspect·Continuously Enhancing Customer Experience: We have developed a bulk plan import feature and optimizedthe service processes for major clients. This has led to an improvement in customer satisfaction while alsoensuring the efficiency and reliability of our services;·Technology Integration and Win-Win Cooperation: By connecting with customer systems, we achieveeffective integration of technology, enhancing information sharing and collaborative work with our partners;·Enhance Transparency and Compliance: add features such as ship blacklist log to strengthen compliance andrisk management.
Complete data visualization of personnel recruitment, onboarding,career counseling, promotions, training, assessment,growth trajectory, and salarySafety:
Performance Optimization:
Optimization of Salary Calculation Formula:
Attendance Optimization:
Increase firewall, security patches
Update the server, add CPU and memory to solve the processing speed issue;Updating the job hierarchy and matching salary system.
There were many loopholes in the initial implementationconditions and constraints. Over ten items in the formula have been optimized, focusing on the basic salaryand unifying the formula for calculating the overtime base.
We have optimized the attendance calculation for newly acquired warehouse areas.This includes adjustments to report output and enhancements to attendance matching processes.
Enable efficient approval management by integrating the data of finance,infrastructure projects, procurement, and personnel systemsForm Style Optimization:
Process/Form Field Naming Convention Optimization:
Process Node Optimization:
Optimization of Process Chain Control:
Process Decision Analysis:
Unify the style of forms, ensuring consistent layout on both PC and mobile platforms, and achievingoverall consistency in style.
Due to the large number of processes, in order to avoid namingambiguity, the naming convention needs to be optimized, with a requirement to add annotations for clarification.
The length of process nodes can affect the efficiency of the approval process.Streamline/optimize the approval steps.
In order to address approval risks and increase chain control requirementsfor associated business processes, such as adding pre-approval stages, etc.
To provide business data support to approvers, incorporate approval decision analysis.
Customer Service Platform
Business Billing Management and Tracking.
The shipper can timely and accurately query the inventory of goodsand the liquid level of storage tanks, and have real-time grasp of inventory dynamics.When multiple shippers store goods in mixed tanks, they can monitor the dynamicchanges in the transfer of ownership in real time.
It can intelligently and real-time analyze the current physicalutilization rate of storage tanks and the rental occupancy rate of business analysis,and dynamically analyze trends based on shipping schedule plans.
External Services:
Internal service:
Appointment Management Platform
License Management and Appointment Billing.Drivers can manage licenses and make appointment reservations through the mobile WeChat mini program.License Management: Drivers upload their driver's licenses, qualification certificates for their profession, identitycards, contact information, vehicle registration certificates, road transport permits, and tank inspection reportsvia their mobile phones. Relevant positions in the warehouse area verify the validity of these documents andapprove them to take effect. Appointment and Billing: Drivers make an appointment and submit documents. Thesystem will check the validity period of the licenses and the quantity of loaded goods. Only when the vehicle anddriver licenses are valid, and the loaded quantity is within the safety load and safety volume range, can the workdocuments be generated.
Functional optimization and upgrades during the reporting period
Functional optimization and upgrades during the reporting period
Functional optimization and upgrades during the reporting period
Customer Service Volume Steadily Grows:
111%47%
25%Introduce Multiple Innovative Features:
Operation Menu Bubble Reminder:
Upgrade of the fee collection method:
Application of Electronic Documents:
Electronic Signature:
Through the login function of the intelligent customer serviceplatform using U shield certificates, customers are able to independently enter input for inventory storage,outbound plans, and transfer orders. This significantly improves work efficiency and reduces unnecessarymanual operations and communication costs. In 2023, the number of certificate users on the platformincreased by compared to the previous year, the number of driver users increased by compared tothe previous year, and the customer self-service document input volume increased by over .
Aims to enhance customer experience and operational efficiency,while responding to the requirements of environmental protection and social responsibility.
The bubbles in the vehicle, license, and delivery approval menus havebeen optimized to improve the business and customer operations in the warehouse area, enhancingtransparency and convenience.
There are two ways to collect operation fees through WeChatpayment. One is based on the estimated tonnage of loading and unloading, and the other is based on theactual weighing data. The system will control the documents that require payment through WeChat Payduring the self-service machine printing process. Users must make a prepayment using WeChat in order toprint the receipt. In warehouse areas where operational fees are charged based on the actual weightrecorded, any excess amount collected will be automatically refunded to the driver after the weighingprocess.
After the vehicle passes the weighbridge, an electronic receipt andelectronic weighbridge ticket are automatically generated, which reduces the use of paper.
The request-for-payment document is generated as a PDF with the company'selectronic seal, CFCA (China Financial Certification Authority) electronic signature, and CFCA timestamp,which enhances data security and corporate governance, ensuring the authenticity and security of thetransactions.
Functional optimization and upgrades during the reporting period
Human Resources Integrated Platform
OA Automatic Integrated Platform
Intelligent Customer Service Platform
Message from Chairman | About GR | Sustainable Development Management | Governance | Service | Environment | Society | Appendix
This platform was launched and used in 2023
Production and Operations ManagementManagement and control platform
Safety Management Platform
"Five-in-One" Safety Production Information Management Platform
Safety Instrumented System
By adopting a five-in-one management approach, it achieves comprehensive on-site safety management andcontrol. With the goal of achieving the digitization of comprehensive management in enterprise safetyproduction, a safety production information management platform will be built that integrates a major hazardsource monitoring and early warning system, enterprise safety risk zoning management system, on-dutypersonnel management system, and overall process management system for safety production. This platformwill focus on risk-based control and hazard investigation and governance system, chemical process safetymanagement, and standardized safety production.
Flammable gas and toxic gas detection systemMonitor in real time the leaking points of flammable and toxic gases in key areas, and promptly sound analarm and eliminate potential risks to ensure production safety.Fire Automation System
Functional optimization and upgrades during the reporting period
Environmental Management PlatformFunctional optimization and upgrades during the reporting period
Existing oil recovery, sewage treatment, and other equipment should be equipped with necessary sensingdevices, transmitting devices, and executing devices to achieve remote data transmission, intelligent analysis anddisplay, remote control, and other functions. Real-time collection of relevant environmental protection datathrough the Internet of Things and industrial Internet technology, actively pushing it to management personnelthrough threshold setting, effectively controlling risks.
Equipment Management Platform
Functional optimization and upgrades during the reporting periodImplementing intelligent management of equipment in various storage areas,establishing databases for equipment maintenance, spare parts management, andequipment updates, including dynamic equipment, static equipment, and assetmanagement. On this basis, through the accumulation of big data, the equipmentmaintenance and repair inspection records are accumulated into big data to formequipment health cards. Through system modeling, a reasonable predictiveequipment pre-failure maintenance plan is formed to improve equipment servicelife and effectively reduce the probability of production accidents.
Intelligent Control Platform for Chemical Warehouse
Functional optimization and upgrades during the reporting period
By integrating information technology and automation, we can enhance the efficiency of comprehensivemanagement and improve the quality of customer service.
Through automation technology and big data analysis, various aspects ofthe warehouse, including appointment scheduling, inbound and outbound operations, and inventory status,are monitored in real time. Intelligent scheduling is done based on inventory information and customerinventory demands to optimize storage locations and path planning, thereby reducing the number of cargohandling operations.
Achieve warehouse roaming by embedding VR technology, providingintuitive control over storage locations and freight forwarders.By seamlessly connecting with the SAP standard control platform for chemical warehouses, the relatedfunctions enable the analysis of historical data and forecasting of demand, allowing for the rational control ofinventory levels. It automatically completes the inventory information statistics, warehouse leasing, operatingexpense settlement, and report generation tasks, reducing the need for human resources.
By incorporating technology such as the Internet of Things (IoT) and sensors, itis possible to monitor key parameters of the warehouse in real-time, such as temperature, humidity, gasconcentration, and fan status. The Goods Distribution System (GDS) and fans are interconnected to ensure asafe environment for storage and operations, and to promptly alert and address any safety hazards in thewarehouse, thus ensuring an overall level of safety management.
By integrating with external systems such as Management andfacilitating real-time information exchange with customers, timely adjustments and optimization ofwarehouse management can be achieved based on logistics plans. The platform will integrate the informationof cargo owners, various internal operational processes of the warehouse, and the hazardous goodstransportation supervision platform to achieve a one-stop seamless connection throughout the entire process.
By conducting in-depth analysis of data, it is possible to provide timelyfeedback on bottlenecks and issues in warehouse operations.
Warehouse Efficiency Management:
Fine-tuned Inventory Management:
Ensuring Safety Management:
Optimizing Supply Chain Management:
Management of Decision Support:
The platform will start research and development in 2023Intelligent Management Platform for Terminal Storage Tanks
Functional optimization and upgrades during the reporting periodWith the help of digital twinning and Internet of Things technology, we focus oncomprehensive management of warehouse production operations. Thismanagement approach combines automation and information, with a customerservice orientation and safety operations as the foundation. It visualizes operationssuch as vehicle, vessel, pipeline transportation, and berthing, and connects themwith on-site scheduling, operational capacity management, pipeline arrangement,flow and liquid level monitoring. It also integrates with DCS, GDS, and othercontrol data to achieve a permeating management of operational processes.This platform complements the Safety Management platform and achievesmanagement closed-loop.
including emergency shutdown control system, interlock protection control system, fire and combustible gasalarm system.
Including fire water pressure stabilization control, fire detection and alarm, one-key automatic foam andwater spray system, etc.
Message from Chairman | About GR | Sustainable Development Management | Governance | Service | Environment | Society | Appendix
Application of Safety Intelligent OperationsThe company continuously collaborates with universities in the fields of automation and informatization, constantly deepening technological innovation in thewarehousing industry, and providing technological support for the improvement of safety and service efficiency. On the basis of the previous safetyapplications, we will expand technological cooperation with universities on the "Intelligent Control of the Entire Process of Unloading in Chemical StorageAreas". This will further enhance safety management and operational efficiency.
Protecting of IntellectualPropertyIntellectual PropertyManagement MechanismIn order to strengthen the protection of the company'sintellectual property, standardize the management ofintellectual property, encourage the enthusiasm ofemployees for invention and creation, and promote theapplication of scientific and technological achievements,in accordance with the relevant national laws andregulations, the company has formulated and issued amanagement system document titled 'IntellectualProperty Management Regulations'. The intellectualproperty management of the company and its subsidiariesshall be carried out in accordance with this system.
Intellectual PropertyAchievement
Intelligent management and control of the entire unloading process in the storage area
As of the end of the reporting period,the company and its subsidiaryholdings have a total of patents,
software copyrights,and trademarks.
Real-time Volume + Planned Unloading Volume:
Key Management System:
Human Body Static Discharge Device:
Vehicle Body Static Grounding Clamp:
Wheel Chock Return Controller:
Crane Pipe Connection Detector:
Crane Management Position Detector:
Flammable Gas Concentration Detector:
Emergency Stop Button:
Real-time Density:
Real-time Radar Liquid Level:
Differential Pressure Across the Pump:
Unloading Pump:
When downloading business to the batch controller by scanning the QR code andduring the unloading process, it is determined in real-time whether the sum of the volume and the planned unloading volume is greater thanthe safety tank capacity.
Inserting the car key into the key management system is a prerequisite for starting or removing the vehicle.During the unloading process, the door lock of the key management system is closed. The door can only be opened to access the keys bypressing the emergency stop button to pause the unloading or when the unloading is complete and the crane boom is in position.
Only when the status of the human body static discharge device of the safety interlock integratedmachine is displayed as "Released", can unloading be initiated.
Only when the vehicle body static grounding clamp is connected to the vehicle body and theconnection is reliable, and the grounding resistance meets the requirements, can the unloading be started. During the unloading process, ifthe clamp falls off or the grounding resistance exceeds the requirement, stop unloading immediately.
During the preparation for unloading, remove the wheel chocks and place them beneath the wheels.Unloading can only be initiated when the detection is confirmed. During the unloading process, immediately stop unloading by removing thewheel chocks. After the unloading is completed, the wheel chocks must be returned to their original position before the driver can removethe vehicle key.
The unloading process can only be started after the crane pipe connection detector is installed and inposition. If the detector alarms during the unloading process, immediately stop the unloading.
When unloading is completed or temporarily paused, the door of the key management system canonly be opened after the crane management position signal is detected.
If the concentration of flammable gas is higher than the allowable limit, it is prohibited to startunloading; during the unloading process, if the concentration exceeds the allowable limit, it will automatically stop unloading.
During the unloading process, pressing the emergency stop button can immediately halt the unloading (thesystem will save the record of the emergency stop time).
During the unloading process, the real-time density detected by the mass flow meter exceeds the allowable deviationrange from the normal density of the material. The unloading process is immediately stopped, an alarm is triggered, and a voice prompt isrecorded, requiring the operator to confirm if the material is abnormal.
The real-time liquid level of the radar level gauge in the unloading storage tank, if it exceeds the safetyhigh limit during the unloading process, immediately stop the unloading.
Based on the results of the commissioning, a logic has been established that links thedifferential pressure to the interlocking of abnormal conditions. In the event of an abnormal pressure differential, the unloading process willbe halted.
When starting unloading, the unloading pump is automatically interlocked to open. When there is an abnormal or normalstop of unloading, the interlock automatically closes the unloading pump.
Message from Chairman | About GR | Sustainable Development Management | Governance | Service | Environment | Society | Appendix
ENVIRONMENT
Responding to Climate ChangeRisks and Opportunities of Climate ChangeGreenhouse Gas Emission ManagementImproving Environmental ManagementEnvironmental Management SystemEnergy Consumption and ManagementWater Resource ManagementEmission ManagementWaste ManagementEcological Protection and Land ManagementDeveloping Green Storage and TransportationGreen Technology InnovationEnvironment-friendly Process UpgradesExpanding Environmental Protection BusinessEnvironmental Protection Concepts and PracticeEnvironmental Protection Public Welfare ActivitiesEnvironmental Protection Education and Promotion
Responding to Climate Change
In recent years, climate issues have rapidly risen to become a globally prominent topic, and the importance ofconducting risk analysis and prevention and control related to climate and environmental risks is increasinglyprominent. Both gradual climate change and sudden natural disasters pose risks to the company's development. Thecompany has integrated climate change into its risk management system, ensuring that it identifies and managesclimate-related risks to guarantee that they are controllable.
In terms of transition risks, the company is guided by President Xi Jinping'secological civilization thought in terms of transition and risk managementand takes the "peak carbon emissions and carbon neutrality" target as itsguide. It continues to focus on national policies related to carbon emissionreduction and carbon trading, promotes the establishment of a dual-carbonemission reduction management system, actively engages in research anddevelopment work related to green technology, and closely monitorschanges in customer demand. It aims to pursue green development and low-carbon solutions for the entire industry chain.In terms of the physical risks, Great River Smarter has established internalsystems such as the "Guangdong Great River Emergency Weather DisasterEmergency Work Guidelines" in accordance with the "Emergency ResponseLaw of the People's Republic of China," "Meteorology Law of the People'sRepublic of China," "Regulations on the Prevention and Control ofMeteorological Disasters," and relevant specifications. They have alsoformed an emergency leadership group for sudden weather disasters,strengthened safety management and emergency prevention of typhoons,heavy rain, fog, cold waves, high temperatures, and other sudden weatherincidents. This has effectively ensured the scientific, powerful, orderly, andefficient implementation of meteorological disaster emergency work, as wellas maximized the prevention and reduction of casualties and property losses.
Risks and Opportunitiesof Climate Change
List of Climate Change Risks and OpportunitiesRisk of TransitionType of RiskDescription of RiskMeasuresAffected Period
Policy andLegal Risks
Since 2020, China has officially introduced the "dual-carbon goal" of reaching peak carbon emissions andachieving carbon neutrality. In response, both national andlocal governments have implemented a series of laws andregulations aimed at promoting green and low-carboninitiatives to address climate change. This has led to anincrease in compliance requirements for Guangdong GreatRiver, potentially raising the risk of litigation or claims.
The company is committed to focusing on the dual-carbon working policy toenhance energy utilization efficiency, optimize the energy structure, and drivecomprehensive green transition in economic and social development.In reaction to the stricter enforcement of environmental regulations, the company ismodifying its production methods and technological equipment. It is also enhancingits comprehension of the regulations, establishing a robust compliance system, andensuring that the company's operations align with legal requirements.The industry is clarifying the requirements for dual-carbon, and there is increasing policy pressure to reducegreenhouse gas emissions.
The company plans to expand its investment in emission reduction measures andfocus on developing the carbon market. It aims to strengthen cooperation with thegovernment, industry associations, and research institutions to explore emissionreduction pathways and technological innovation. Additionally, it will enhance themonitoring and evaluation of the external environment and adjust emissionreduction strategies promptly to adapt to policy changes.Carbon emissions rights control and regulatorymechanisms are being implemented worldwide, potentiallyresulting in higher operational and financial expenses forbusinesses.
The company plans to respond to pertinent changes through the creation ofcomprehensive carbon emission management strategies, streamlining productionprocesses, engaging in carbon market trading, advocating for clean energy,improving monitoring and reporting, and increasing employee awareness. This willensure the sustainabledevelopment of the business.
Technical Risks
The lack of investment in research and development andthe adoption of energy-saving and environmentallyfriendly technologies, as well as the failure to identify andutilize these technologies in a timely manner, has led to adelay in the low-carbon transition compared to industrypeers.
The company has set up a Technology Innovation Office to actively conduct researchand development on green technologies, including environmental protection,emission reduction processes, and environmental management monitoring systems.The company plans to carry out extensive market research and technical evaluationprior to investing in Environmental Protection Technology. This will ensure thefeasibility and return on investment, and drive the transition towards greenproduction and business operations.Market Risk
As the market becomes more aware of climate change, notpromptly assessing customer needs and energy costchanges may result in customer loss or increased financialcosts for the company.
As a company specializing in logistics and warehousing, the primary market risksarise from increasing energy costs and shifts in customer demand. The companyactively manages potential market risks by optimizing its energy structure,implementing energy consumption management, establishing EnvironmentalManagement systems, and actively engaging in environmental protection activitieswhile promoting the development of green supply chains.
Reputation Risk
Companies and suppliers could potentially harm theclimate and the environment through their production andoperational activities, ultimately resulting in reputationdamage and reduced investment willingness fromstakeholders.
The company has consistently strived to be a benchmark enterprise in the industry.To address the climate and environmental impacts encountered during productionand operation, it remains committed to enhancing environmental management andoversight, improving energy efficiency, reducing emissions, implementing greensupply chain management, establishing an environmental information disclosuremechanism, regularly releasing corporate social responsibility reports, creatingemergency plans, and obtaining third-party certifications to uphold the company'sreputation and boost investment confidence of stakeholders.
Message from Chairman | About GR | Sustainable Development Management | Governance | Service | Environment | Society | Appendix
Medium andLong Term
Medium andLong Term
Short-term,Medium-term,and Long-term
Medium and
Long Term
Medium and
Long Term
Short-term,medium-term,and long-term
Physical Risk
Acute Risk
Extreme weather such as typhoons,heavy rain, and floods
Extreme weather has thepotential to cause harm tostorage areas, office buildings,and equipment, leading tolosses in assets.
The company has implemented internal systems, such as the"Emergency Work Guidelines for Sudden Weather Disasters," andhas established an emergency leadership team for suddenweather disasters. It has also enhanced safety management andemergency prevention for sudden weather disasters, ensuring ascientific, powerful, orderly, and effective response tometeorological disasters. This has helped to safeguard thecompany's equipment, facilities, and personnel, and to mitigatecasualties and property losses caused by meteorologicaldisasters.
Short-term,Medium-term,and Long-term
Extreme weather can lead todamage to equipment, hinderingemployees' ability to workeffectively, and disruptingtransportation, all of which canimpact the company's regularoperations and production.
Adhering to the "people-oriented" principle and ensuring theimplementation of the "evacuation when necessary" policy arecrucial in emergency rescue work to guarantee the safety ofpersonnel. Develop an emergency management plan for extremeweather, classify and control risks, and have the emergencymanagement team take corresponding response measuresaccording to different risk levels based on the managementprocedures.
Short-term,Medium-term,and Long-term
Chronic Risk
Persistent high temperatures,drought, etc
The persistent high temperatureshave resulted in the malfunction ofpower facilities and equipment,heightened the risk of accidents,and have impacted productionefficiency and safety protocols.
The company has adjusted the continuous operation time basedon the operational conditions. Vehicles entering the warehousemust undergo a water cooling process before commencingoperations. Similarly, ships at the dock need to have their deckssprayed with water for cooling before operation. If a ship isunable to leave the berth for any reason after ceasing operation,the shipowner is obligated to continue applying water spraycooling measures. During high temperature weather, continuousmonitoring of the temperature of materials in storage tanks isnecessary, and cooling measures must be taken as needed.Furthermore, there is a need to intensify temperature monitoringof special chemical materials in storage tanks, pipelines, andwarehouses to prevent material deterioration caused byexcessive heat. Daily monitoring of the radar liquid level values inthe storage tanks is required. The management of pressure relieffor pipelines needs to be strengthened. Parking management forvehicles operating outside the warehouse should be enhanced,with special personnel assigned to inspect and apply watersprinkling measures for cooling when necessary.
Short-term,Medium-term,and Long-term
High temperatures can have anegative impact on the physicalhealth of employees, making itchallenging to work outdoors forlong periods. This can ultimatelyaffect operational efficiency.
The company conducts occupational health assessments foremployees prior to the summer season and creates healthmanagement records for them. It arranges specific safety trainingfor high-temperature work, enhancing awareness of safety in hotconditions. Additionally, the company provides essentialprotective and health products, including sun umbrellas, towels,sun hats, cold beverages, and heatstroke first aid kits.Furthermore, it implements emergency protocols for hightemperatures, ensuring that immediate first aid is provided andindividuals affected by heat stroke are promptly transported to amedical facility.
Short-term,Medium-term,and Long-term
Opportunities
ResourceEfficiency
Develop or utilize more energy-efficient equipment andtechnology.
The company continues to focus on the application of green andlow-carbon products. Strengthen supply chain management frommultiple aspects, promote and advertise green and low-carbonproducts, establish collaborative relationships with otherorganizations to achieve green and low-carbon development goals.
Medium andLong Term
Market
Great River Smarter fully recognizes the significance ofresearching and utilizing more energy-efficient equipment andtechnology for enterprises to enhance energy utilizationefficiency, decrease production costs, and mitigateenvironmental pollution. The company implements measures suchas technological innovation, optimization of productionprocesses, establishment of energy management systems, andconsideration of policy support and subsidies to enhanceresource utilization efficiency in the area.R&D and application of greenlow-carbon products.Products and
Services
Development of green energybusiness.
The company focuses on national policies and implementationplans to promote the development of green energy. It isincreasing its efforts to develop a customer base for greenenergy-related oil and chemical products, which is creating newdevelopment opportunities for the company.Adaptability
Utilize renewable energy andimplement plans for energysubstitution and diversification.
Great River Smarter has been exploring the use of renewableenergy, as well as implementing energy substitution anddiversification programs to reduce reliance on traditional fossilfuels, lower carbon emissions, and cope with energy pricefluctuations.
Message from Chairman | About GR | Sustainable Development Management | Governance | Service | Environment | Society | Appendix
Type of RiskDescription of RiskMeasuresAffected PeriodAffected PeriodMeasuresDescription of RiskType of Risk
Medium andLong Term
Medium andLong Term
Medium andLong Term
The company conducts in-depth analysis of domestic and international standards, regulatory requirements, and advanced practices, and based onthe actuals, it formulates greenhouse gas management plans to continuously improve greenhouse gas emissions management. The companyprimarily emits greenhouse gases such as CO2, CH4, and N2O. Direct energy sources predominantly consist of gasoline, diesel, and natural gas,while indirect energy sources mainly involve purchased electricity and steam.The company is systematically carrying out carbon footprint evaluations across the organization and its affiliated companies, in accordance withthe "ISO14064-1:2018 Specification and guidance for the quantification and reporting of greenhouse gas emissions and removals at theorganizational level" and the "Greenhouse Gas Accounting System." This allows the company to effectively gauge, document, and validate itscarbon emissions through MRV (Measure, Report, Verify). Concurrently, the company is diligently seeking zero-carbon factory certification for itssubsidiaries. During the reporting period, the company formulated a management strategy for controlling greenhouse gas emissions. Subsidiariesenlisted a third-party to carry out assessments, audits, and certification procedures, demonstrating proactive efforts towards establishing a zero-carbon factory.
Greenhouse Gas Emission Management
Promoting the Implementationof Zero Carbon FactoryThe subsidiary company Weifang Great River has initiated an assessment,audit, and certification project aimed at establishing a carbon-neutralfactory.
Acquiring carbon emission quotas through amarket-based approach is necessary to meetthe requirements for carbon reduction offsets.
From August to October 2023, the cumulativeCO2e emissions of Weifang Great Riverreached tons1,613.92
Offsetting the remaining tons of CO2eemissions during the commitment period byusing qualified carbon credits to compensatefor the residual greenhouse gas emissions.
1,613.92Management of Greenhouse Gas Emissions
Regularly evaluate its greenhouse gasemission management, promptlyidentify issues and take correspondingmeasures to make adjustments, toensure that companycan continuouslyand effectively reduce its greenhousegas emissions.
Implementation ofemission reduction
measures
According to the emission managementplan, effective emission reductionmeasures will be taken, such asimproving energy efficiency,optimizing production processes, andadopting low-carbon technologies.
Strengthening employee
training and raisingawareness
Enhance employees' training ongreenhouse gas emissionsmanagement, raise their environmentalprotection awareness andparticipation, and create a goodatmosphere of full participation.
Seek externalcooperation and supportCompanyactively seek external
cooperation and support, such ascooperation with scientific researchinstitutions, environmental organizations,etc., to jointly carry out research ongreenhouse gas emission reduction andexplore new emission reductiontechnologies.
Regular evaluationand adjustment
Set goals andcommitments
Develop a plan for managing emissions
Establish monitoringand reporting system
We will set clear greenhouse gasreduction targets and commitments inline with the actual operation of GreatRiver Smarter to ensure that it cancontinually reduce its greenhouse gasemissions in future development.
Create a thorough greenhouse gasemission management plan thatinvolves identifying emission sources,establishing monitoring and reportingsystems, and implementing measuresto reduce emissions.
Establish an effective system formonitoring and reporting greenhousegas emissions, in order to grasp theemissions situation of GuangdongGreat River Smarter Logistics Co., Ltd.in real time, and report to relevantinstitutions and stakeholders in atimely manner.
Message from Chairman | About GR | Sustainable Development Management | Governance | Service | Environment | Society | Appendix
Environmental Management System
Environmental Protection System Construction
Great River Smarter, a hazardous chemical storage company, prioritizes safety and environmental protection ascrucial to its development. It proactively advocates for the implementation of various safety and environmentalprotection measures, aiming to expedite the establishment of an HES benchmark for the entire company.Additionally, it has formed an efficient and unique safety and environmental health management organization with athree-tiered management system.
Environmental ProtectionEmergency Warning MechanismGreat River Smarter has implemented the "Emergency Response and Management Procedures," "AccidentInvestigation and Management Procedures," and the "Great River Smarter Emergency Management System" toprevent and minimize sudden environmental events, manage and address the associated hazards, enhance theoverall response capacity, and safeguard the safety of enterprise operations and employees' well-being. Thisinitiative aims to reduce the impact of sudden environmental events on the company and society, and to foster thecomprehensive, coordinated, and sustainable development of the company. Simultaneously, the company hasdeveloped the 2023 Environmental Emergency Response Drill Plan, with the goal of improving employees'emergency response capabilities and reinforcing their self-safety awareness through a range of environmentalaccident emergency rescue drills.
Emergency drill for sudden environmental incidents at the Lisha island base terminal
During the reporting period
Environmental Management SystemThe company has implemented internal systems such as the "Environmental Protection Monitoring ManagementSystem," the "Emergency Management System for Environmental Incidents," and the "Environmental InformationDisclosure Management System" in compliance with regulations such as the "Environmental Protection Law of thePeople's Republic of China," the "Environmental Impact Assessment Law of the People's Republic of China," and the"Regulations on Environmental Protection Management of Construction Projects." Adhering to the principles of"reduction, harmlessness, and resource utilization," the company actively engages in industrial wastewatertreatment and reuse, cascading energy utilization, and comprehensive solid waste utilization. Furthermore, itintegrates the comprehensive utilization of waste (resources) as an assessment requirement at all levels of theenterprise, demonstrating its dedication to reducing energy and resource consumption from the source andminimizing waste generation.
Improving EnvironmentManagement
The company strictly complies with national environmental protection laws, regulations, and relevantpolicies, as well as adheres to local environmental standards established by the environmental protectiondepartment. It implements the principles of "Safety, Environmental Protection, and Health" and establishes anenvironmental management system in accordance with the "GB/T24001-2016 Environmental ManagementSystem Requirements and Guidance for Use" to provide a structured operation mechanism for the company'senvironmental management.
Message from Chairman | About GR | Sustainable Development Management | Governance | Service | Environment | Society | Appendix
Level 1: Health, Safety and Environment and Innovation Committee (HSE & Innovation Committee)
Level 2: Health, Safety, and Environment Management Office (HSE Office)
Level 3: HSE Full-time Management Organization
The Board of Directors is a dedicated operational unit formed in accordance with the company's articles of association. Itserves as the central decision-making authority for safety, environmental protection, and health management. The boardis tasked with developing the company's medium-to-long-term environmental protection plans, providing guidance,oversight, and assessment of related initiatives.Based on the company's existing organizational structure and the requirement to comprehensively enhance HSE andInnovation work, integrate internal resources to form a highly professional and efficient team, with a dedicatedenvironmental management staff.Each warehouse area is equipped with a dedicated Environmental Protection and HSE full-time management team,along with specialized environmental personnel, to ensure the efficient execution of HSE management tasks.
By the end of the reporting period, the company had arranged 13 subsidiaries to carry out self-inspections fourtimes, using standard checklists including "24 Common Violations Determination Checklist in EnvironmentalManagement and Law Enforcement Process" and "Checklist of Examination Items and Violation Determination forPollutant Discharge Permits." All environmental monitoring indicators were in compliance with the standards.
The company conducted a total ofemergency drills for enrivonmental accidentcontingency plans. Meanwhile, incollaboration with various regional firerescue brigades, harbor service companies,etc., joint emergency drills on differentthemes were carried out.
There have been major environmentalincidents reported throughout the year.
Nosignificant administrative penalties orcriminal liabilities were imposed by therelevant ecological and environmentalauthorities for environmental incidentsduring the period.
Environmental Protection System Certification
Over the years, the company has implemented a robust environmental management system and hasconsistently advanced the completion of environmental management system certification acrossvarious business sectors. Moreover, it has actively pursued clean production initiatives and undertakenthe development of green port infrastructure. As of the end of the reporting period, all subsidiarycompanies under the storage tank storage sector of the company have passed the ISO14001environmental management system certification. In October 2024, Changshu Great SmartPetrochemical Terminal and Cangzhou Great River Warehousing & Logistics plan to proceed with thenecessary certification procedures.
Names of enterprises certified for environmentalmanagement system, clean production audit, and green port rating
As of the end of the reporting period:
3 companies have been identified through green port audit evaluations4 companies have been certified through clean production enterprise audits
Energy Consumption and ManagementThe company has developed the "Energy Conservation and Emission Reduction Management Measures" incompliance with the "People's Republic of China Cleaner Production Promotion Law". It has been consistentlyconducting energy management activities such as energy consumption assessment, exchange meetings forenergy consumption analysis, procurement, and enhanced daily management to actively reduce energyconsumption.The company has set up a team to assess energy consumption, which is led by the Safety and EnvironmentalProtection Office. The aim is to enhance the refined management of energy consumption, improve theanalysis and evaluation methods, and continually evaluate the company's energy-saving potential. Regularassessments are conducted in the company's different storage areas, and a monthly report and ranking areissued based on the assessment results. Rewards and penalties are implemented according to themanagement guidelines. Simultaneously, the company actively integrates the concept of environmentalprotection into daily operations, regularly conducts training on energy conservation and consumptionreduction, promotes low-carbon behaviors among employees, advocates for shared office space andnormalized remote work, actively organizes online meetings, and minimizes unnecessary business travel.These efforts contribute to energy conservation and emission reduction, aiming to collectively establish agreen office environment and cultivate a resource and energy-saving enterprise.During the reporting period, The company consumed:
36.397 million kilowatt-hours of electricity, decreased by 1% year-on-year
12,000 tons of nitrogen were recorded, marking a 12.5% decrease year-onyear (liquid nitrogen gasification rate is 1:800)Ssteam production decreased by 4% year-on-year compared to the previous year, reaching tons. 50,000(Note:The above data does not include Nantong Great Smart Warehousing)
ISO14001 EnvironmentalManagement SystemCertification
Clean ProductionAuditing
Message from Chairman | About GR | Sustainable Development Management | Governance | Service | Environment | Society | Appendix
Lishadao BaseNantong Power Shell PetrochemicalFujian Gangfeng EnergyChangzhou Great RiverZhongshan HongchuanNanjing Great RiverTaicang Power Shell PetrochemicalNantong Great Smart, Nantong YilianChangshu BaseDongguan Evergrowing TerminalDongguanNantong Power Shell PetrochemicalChangshu Great River
Hongchuan
Changzhou Great RiverNantong Power Shell PetrochemicalNantong Great SmartGreen Port Certification (3-star level)
Increasedmeasurement sites. In order toenhance the precise management of energyconsumption, it is important to maintain adaily awareness of energy usage patternsand promptly address any irregularities.
511,000 tons of tap water was comsumed decreased by 13% year-on-year.
Water Resource Management
The company strictly abides by the "Water Law of the People's Republic of China" in managing water resourceusage. It enhances the supervision of water use processes and regularly assesses water conservation in thecompany's reservoir areas. Additionally, the company applies advanced technologies for water conservationand wastewater reuse to consistently minimize the use of fresh water. Great River Smarter strictly adheres tothe "PRC Water Pollution Prevention and Control Law," "Regulations on Urban Drainage and SewageTreatment," and "Comprehensive Discharge Standards for Wastewater" (GB8979-1996), as well as otherrelevant regulations. It has also implemented internal systems, such as the "Wastewater TreatmentManagement System of Great River Smarter," to standardize and institutionalize the management ofwastewater treatment, thereby ensuring the proper and regulated handling of wastewater. The company iscontinually exploring and optimizing sewage treatment processes to reduce the volume of wastewaterproduced, enhance the efficiency of sewage stations, improve the quality of treated water, and promote thereuse of reclaimed water. We utilize a sewage treatment system to gather and process wastewater from thecompany's residential and industrial areas, and release it to the centralized sewage treatment plant inaccordance with regulations. Simultaneously, it manages the reception and disposal of chemical wash waterand oily wastewater from river vessels at the ship pollution wash station.
During the reporting period
Emission ManagementGreat River Smarter strictly abides by the "Comprehensive Emission Standards for Air Pollutants,""Atmospheric Pollutant Emission Standards for Oil Storage Tanks," "Control Standards for Non-organizedEmissions of Volatile Organic Compounds," and other regulations. Additionally, it has established internalsystems such as "VOCs Governance System of Great River Smarter," "Environmental Protection MonitoringManagement System of Great River Smarter," "Oil and Gas Recovery Equipment Management System of GreatRiver Smarter," and "VOCs Control Management Regulations for Loading and Unloading Vehicles of GreatRiver Smarter" to effectively manage and control exhaust gas emissions.Installing automated monitoring stations to track air quality and odors in the vicinity of the factory, andmonitoring PM2.5, PM10, nitrogen oxides, and VOCs. This will enhance environmental management in thevicinity of the company, enabling around-clock monitoring of atmospheric conditions around the factoryperimeter. This will lead to more accurate and efficient pollution prevention and control measures. The GreatRiver Smarter is actively researching advanced technology to reduce volatile organic compound (VOC)emissions at the source. Along with conducting LDAR work on schedule for waste gas, it utilizes digitalmodeling methods to track VOC sources by considering factors such as annual turnover of oil products,storage tank structure, oil product loading and unloading processes, and the current status of waste gascollection and management. This effort aims to discover new technologies for oil and gas recovery as well aswaste gas treatment in order to meet VOC emission reduction targets.During the reporting period
Message from Chairman | About GR | Sustainable Development Management | Governance | Service | Environment | Society | Appendix
The consumption of tap water decreased by 13% compared to the previous year, to a total of tons.The sewage treatment plant processed tons of discharged wastewater
tons of reclaimed water reused
511,00098,13623,258
(Note:The above data does not include Nantong Great Smart Warehousing)
As of the end of the reporting period
sets of sewage treatment systems sets of ship pollutant cleaning stationsAll sewage treatment facilities are operating well
The company has achieved a comprehensive compliance rate for waste gas treatment,meeting the allowable emission limits for pollutants in all storage areas.The company is persistently conducting LDAR and environmental protection emission reductionefforts, resulting in a total reduction of tons of VOCs emissions.
100%
464.24
(Note:The above data does not include Nantong Great Smart Warehousing)There were instances of major administrative penalties or criminal investigations related topollutant emissions throughout the year.
no
Waste ManagementThe company places great emphasis on preventing and controlling solid waste, particularly hazardous wastepollution. It strictly complies with the "Law of the People's Republic of China on the Prevention and Control ofSolid Waste Pollution," the "General Industrial Solid Waste Storage and Landfill Pollution Control Standards,"the "Pollution Control Standards for Hazardous Waste Storage," and other related laws and regulations.Additionally, the company has established eight internal systems, including the "Guidelines for theStandardized Management of Solid Waste" and the "General Management Measures for Solid Waste." Thesesystems are tailored to the specific characteristics of the petrochemical storage industry, allowing fordifferentiated management of general industrial solid waste and hazardous waste.The company has implemented a robust management system for general industrial solid waste. It utilizessolid waste treatment facilities to conduct safe disposal of irrecoverable waste while optimizing the processto reduce the generation of solid waste based on ledger analysis of the main sources of solid waste. In orderto address the issue of hazardous waste, the company has set up a "hazardous waste storage warehouse" incompliance with pertinent regulations. This involves clearly delineating the department and individualsresponsible for hazardous waste management, establishing disposal objectives, and creating acomprehensive list of hazardous waste sources and disposal records. Furthermore, the company regularlyreports the quantity and categories of hazardous waste each year, and delegates the management ofhazardous waste to a qualified third party.During the reporting period
Ecological Protection and Land ManagementThe company proactively fulfills its responsibility to safeguard the ecological environment by implementing arange of environmental protection measures aimed at minimizing the impact of its operations on the naturalenvironment and biodiversity. It endeavors to attain a harmonious coexistence between human activities andthe ecological environment, thereby contributing to the creation of a beautiful and sustainable habitat.The company rigorously complies with laws and regulations, including the "Water Law of the People'sRepublic of China," the "Flood Control Law of the People's Republic of China," and the "Yangtze RiverProtection Law of the People's Republic of China." Furthermore, it actively engages in shoreline ecologicalgovernance and protection efforts. Environmental indicator monitoring equipment is installed in the dockarea for trial, regular assessment of environmental risks is conducted, and dynamic changes in environmentalconditions are timely understood; shoreline sewage treatment and discharge control are strengthened,sewage within the dock is collected and treated to ensure compliance with national emission standards.Simultaneously, the company places high priority on safeguarding land resources, strictly adheres to theregulations specified in the "Law of the People's Republic of China on the Prevention and Control of SoilPollution" and the "Technical Specifications for Soil Environmental Monitoring", and responsibly optimizes theuse of land resources. It also carries out soil monitoring for its affiliated subsidiaries in accordance with theapplicable criteria.
Message from Chairman | About GR | Sustainable Development Management | Governance | Service | Environment | Society | Appendix
Solid waste disposal compliance rate ofIn accordance with relevant regulations, a total of tons of hazardous waste weretransferred to qualified hazardous waste receiving units in 2023.
Proper disposal rate of hazardous waste is
100%.
536.84
100%
(Note:The above data does not include Nantong Great Smart Warehousing)
During the reporting periodThe company conducts soil monitoring timesa year in compliance with legal requirements.All monitoring factors meet the qualifications.
Green Technology InnovationAmid the growing severity of global climate change and environmental issues, the reduction of pollution andcarbon emissions has emerged as a shared objective for governments and companies worldwide. Theadvancement and implementation of technology have offered robust support in pursuing this goal within theenvironmental sphere. Under the guidance and support of the Board of Directors' HSE and InnovationCommittee, the company's Technology Innovation Office is actively engaged in research and developmentrelated to green technology.The company implements effective methods to reduce environmental pollution including waste water andwaste gas treatment processes, with a focus on reducing pollutant emissions at the source. Additionally, thecompany has developed an environmental management monitoring system to ensure continuousenvironmental management throughout the entire process. Research efforts are also directed towards wastegas recovery systems and methods to address industry challenges. Moreover, the company is dedicated topromoting environmentally friendly storage and transportation processes for products.
Green Environmental Protection Related Patents
Name of SubsidiaryName of Patent
Developing Green Storageand Transportation
The company is actively investigating the development of a green storage and transportation system in response to the "dual carbon" goal.This effort encompasses advancements in energy-saving and emission reduction technology research, optimization of storage andtransportation processes, as well as the exploration of intelligent management. The aim is to gradually establish a comprehensive greenstorage and transportation system, with the goal of building an environmentally friendly petrochemical storage and transportationenterprise. This initiative is focused on achieving environmental protection, high efficiency, and sustainable development in the storage andtransportation process, thereby actively contributing to the promotion of green development across the entire industry.
Utility ModelUtility ModelUtility ModelUtility ModelUtility ModelUtility ModelUtility ModelUtility ModelUtility ModelUtility ModelUtility ModelUtility ModelUtility ModelUtility ModelUtility ModelUtility ModelUtility ModelUtility ModelUtility ModelUtility Model
TypeInventionInventionInventionInvention
Message from Chairman | About GR | Sustainable Development Management | Governance | Service | Environment | Society | Appendix
During the reporting period, the company made innovations in green storage and transportation technologywith the following achievements:
reduce the emission of VOCs by approximately tonsapproximately tons of COD emissions are to be reducedreduce ammonia nitrogen emissions by approximately tonsreduction in suspended particles amounts to approximately tons
135.87
18.74
0.98
6.87
(Note:The above data does not include Nantong Great Smart Warehousing)
The majority of emissions arereduced by more than , andsome emission indicators even fallbelow national and local emissionstandards by or more
90%60%
As of the end of the reporting period, the company hasenvironmental patents.
invention patents,
utility model patents, software copyrightall above mentioned patents strive to promote companybusiness development, helping enterprises reducepollution, lower carbon emissions, and increase efficiency
Green EnvironmentalProtection Invention Certificate
Petrochemical Wastewater Treatment MethodA Precision Docking Device for Oil and Gas PipelinesA Temperature Sensor Component, Incineration System,and Waste Gas Treatment MethodDry and wet gas transmission system,VOCS waste gas recovery system, and recovery methodA oil depot crane pipe leakage recovery deviceAn anti-pollution shed for oil depot sewage stationA conveniently positioned leak alarm device for chemical tanksExhaust gas treatment device for platformChemical wastewater treatment deviceMobile exhaust gas disposal deviceExhaust gas treatment device for chemical storageAn integrated treatment device for ship ballast waterLiquid and solid waste pressing device and systemAn intelligent meter reading managementsystem with lighting functionAn angle-adjustable wastewater monitoringsystem for chemical productsChemical Wastewater Cleaning DeviceOil recovery control deviceOil and gas monitoring device for ship ballast water recyclingA storage device for leak-proof liquid petrochemical productsA gas recovery treatment device for petrochemical productsA gas-liquid separator for VOCS waste gas treatment systemA spraying Device for VOCs Waste Gas Treatment SystemA spray device for petrochemical storage area exhaust treatmentAn anti-volatilization system for petrochemical tanks
Taicang Power Shell PetrochemicalChangshu Great SmartChangzhou Great River
Dongguan Evergrowing Terminal
Taicang Power Shell Petrochemical
Nantong Power Shell Petrochemical
Zhongshan Hongchuan
Changzhou Great River
Dongguan Great River Petrochemical Terminal
Environment-friendly Process UpgradesThe company has consistently upheld the principles of safety and sustainable development, continuously advancing eco-friendly initiatives, and steadily increasing investments in upgrading and refurbishing environmental protection equipmentand facilities. It actively executes environmental enhancement projects for equipment related to Volatile OrganicCompounds (VOCs), including efficient valve conversions, floating disk upgrades for storage tanks, and oil and gasrecovery improvements. It aims to establish itself as a benchmark enterprise in environmental protection, striving toachieve a harmonious balance between economic prosperity and environmental conservation.
Carry Out Efficient Breathing Valve RefurbishmentIn 2023, the Changzhou Great River Petrochemical Terminal Company plans to enhance the sealing performance ofstorage tanks by replacing 148 high-efficiency breathing valves and 70 pressure relief manholes. This initiative aimsto convert uncontrolled tank emissions into controlled emissions through the accompanying RTO furnace formanagement, resulting in an estimated annual reduction of approximately 115 tons of VOCs.
Changzhou Great River efficient breathing valve
As of the end of the reporting period
The air quality within a 5km radius has improved, benefiting around people.45,000
Implementing "Full Liquid Contact + High-EfficiencySealing" Floating Plate RetrofitIn 2023, Taicang Power Shell Petrochemical Co., Ltd.'s subsidiary company implemented the EnvironmentalProtection Comprehensive Improvement Project. The project involved the conversion of the floating roof tanks inthe storage area into floating roofs capable of "full liquid contact + high-efficiency sealing." Through this upgrade,the storage tanks were equipped with nitrogen sealing facilities, breathing valves, and pressure relief hatches, thuscontributing to environmental protection efforts. It is anticipated that this initiative will result in a reduction ofapproximately 400 tons of VOC emissions per year at the source.
Full Liquid Contact + High-efficiency Sealing" Floating Plate by Taicang Power Shell Petrochemical
Implementing Oil and GasRecovery and Renovation ProjectsIn 2023, Changshu Great Smart Petrochemical Terminal initiated an oilrecovery transformation project to enhance the efficiency of oil and gasrecovery and minimize VOCs emissions by expanding the capacity of therecovery storage tank.
The Changshu Great SmartPetrochemical Terminal has
recently procured new oiland gas recovery equipment.
As of the end of the reporting periodA new dual-channel oil and gas recovery equipment andassociated pipelines were invested in and constructed to replace the original
single-channel oil and gas recovery equipment.New oil recovery pipelines, loading platforms, and the retrofitting of fivesets of bottom-mounted crane tubes and tank accessories.The operation aims to implement sub-loading for the oil product group,focusing on oil and gas recovery and achieving a VOCs removal efficiency ofover .
800m?/h200m?/h
95%
Expanding Environmental Protection Business
The company is proactively growing its Environmental Protection business in line with the local government department'srequirements for its subsidiary enterprises, integrating its current business strengths and relevant potential demands. Thecompany is involved in constructing and operating ship pollution washing stations, while also providing assistance tocustomers in ship garbage transfer. This includes receiving ship pollutants for emission reduction treatment, as well ashandling the disposal of chemical cleaning water and oil-contaminated sewage from river vessels.
Nantong Power Shell Petrochemical Co., Ltd. cleaning stationTaicang Power Shell Petrochemical Co., Ltd. cleaning station
During the reporting period, the subsidiary companies Taicang Power Shell Petrochemical Co., Ltd. and Nantong PowerShell Petrochemical Co., Ltd made:
A cumulative total of tonsof ship sewage received
14,917Reduce COD byapproximately tons.220.77
Message from Chairman | About GR | Sustainable Development Management | Governance | Service | Environment | Society | Appendix
Environmental Protection PublicWelfare Activities
To enhance Environmental Protection awareness and effectively promote energy-saving, the company'svolunteer groups in various storage areas regularly arrange public welfare initiatives including urbangreening, beautification, and shoreline rubbish cleaning.
Conduct Environmental Protection-themedVolunteer Service ActivitiesOn June 11th, 2023, the Changshu Base collaborated with the Changshu Economic and TechnologicalDevelopment Zone Environmental Protection Bureau to organize a public volunteer service event atYushan Park, under the theme "Protecting Clean Water and Green Mountains to Build a Green Home",aligning with the vision of "Building a Modernization for Harmonious Coexistence between Humans andNature" for the 2023 World Environment Day. Approximately 80 people participated in the event. With aspirit of endurance and dedication, the volunteers completed the cleaning work within the scheduledtime, clearing the park of litter and contributing to a cleaner and more organized public environment.
Environmental ProtectionEducation and PromotionThe company promotes the improvement of environmental protection awareness among employees and thegeneral public through internal environmental education and external environmental publicity activities,aiming to increase attention to environmental issues.
Greenhouse Gas Inventory Training
The company aims to raise awareness about organizational greenhouse gas emissions through the promotion of"ISO14064-1 Organizational Greenhouse Gas Inventory and Verification." This includes information on greenhousegas management, challenges, opportunities, the development and framework of greenhouse gas-relatedstandards, key terms and definitions, emission sources and activity data, determination of emission factors, and thecalculation of emissions.Activities for Energy-saving Promotion andLow-carbon Day in 2023To fulfill the mandates of the national energy-saving publicity week and low-carbon day activities, andto promote the principles of green development and the understanding of energy conservation andcarbon reduction, the company has chosen "Walking Together with You and Me: Energy Conservationand Carbon Reduction" as the central theme. It has enthusiastically organized a variety of educationalevents and robust public outreach efforts to enhance awareness of ecological preservation,conservation practices, and the principles of green low-carbon development.
During the reporting period, the company conducted Environmental Protection education andpromotional activities times in total.
Environmental ProtectionConcepts and Practice
It is our shared historical responsibility and mission to practice the concept of environmental protection andto contribute to the building of a beautiful China. The company is guided by the concept of greendevelopment, pursuing high-quality development by comprehensively promoting energy conservation,reducing consumption, and encouraging low-carbon circulation. It encourages employees and the generalpublic to initiate environmental protection efforts in their surroundings, collaborating to construct anenvironmentally friendly society.
Message from Chairman | About GR | Sustainable Development Management | Governance | Service | Environment | Society | Appendix
During the reporting period, the company engaged in environmental protection public welfareactivities a total of times.
SOCIETY
Responsible Supply ChainSupplier ManagementIntegrity in ProcurementStrengthening Safety ManagementSafety Management SystemOccupational Health and SafetySafety Training and DrillsEmployee GrowthEmployee Rights and BenefitsEmployee DevelopmentEmployee CareIncentives and AssessmentBuilding a Harmonious Society
Responsible Supply Chain
Supplier Management
Supplier Management SystemBy comprehensively managing suppliers, efficiency can be improved and costs reduced, service and quality levels enhanced, and flexibility and adaptabilitystrengthened, while also fostering cooperation and collaboration. These goals are interrelated and mutually supportive, collectively forming an efficient, stable,and sustainable supplier management system.
Supplier Contract SigningThe contract signed with the supplier contains "Clean Code of Practice" and "Supervision and Reporting Methods", and is jointly supervised by legal personnel, theAudit Department, and the Infrastructure and Procurement Center to maintain a good business environment and the legitimate rights and interests of both parties.Management of Supplier ESG RisksWhen signing contracts with suppliers, the company simultaneously signs the "Safety, Environmental Protection, and Occupational Health and Safety Agreementfor Related Parties" with contractors to clarify the main responsibilities of both parties in terms of work safety, environmental protection, and occupationalhealth. This ensures good working order, a safe workplace, standardized behaviors that do not pollute the environment, and the elimination of behaviors that aredetrimental to occupational health.
The company's Infrastructure and Procurement Center has connectedwith centralized purchasing suppliers (including suppliers withinGuangdong Province). supplier had its cooperation suspended due tonon-compliance, and potential suppliers were rejected due to non-compliance.17522
Integrity in Procurement
Transparent Procurement
The contract signed with the supplier contains "Clean Code of Practice"and "Supervision and Reporting Methods", and is jointly supervised bylegal personnel, the Audit Department, and the Infrastructure andProcurement Center to maintain a good business environment and thelegitimate rights and interests of both parties.Green ProcurementThe company fully integrates the concept of environmental protection intothe procurement process, placing a strong emphasis on equipment andmaterial selection with a priority given to low-carbon, environmentallyfriendly, and energy-efficient options under similar conditions.
Procurement Execution
Based on the company's procurement needs, the standard procurementoperation process includes five forms: direct procurement, single sourceprocurement, inquiry and negotiation procurement, competitivenegotiation, and invitation to bid. Suppliers are selected from a shortlistand the process includes requisitioning, inquiry (bidding), contractsigning, supplier stocking, goods receipt and payment.
Supplier admissionClearly define the basic requirements for supplier admission from aspectssuch as the supplier's legitimate business qualifications, certificationaudit processes, quality assurance systems, and other conditions.
Supplier performance evaluation and managementEstablish a scientific and reasonable "Supplier Performance Evaluation Form," andorganize relevant departments to evaluate the supplier's performance in fulfillingcontracts. Suppliers who receive an "excellent" performance evaluation for the yearare eligible for rewards.Based on the annual comprehensive evaluation, analyze the reasons for issuesrelated to safety, quality, service, delivery capability, etc. discovered during theassessment, formulate improvement plans, carry out the improvements, deepencooperation with high-quality suppliers, and eliminate unqualified suppliers.
Supplier classification
Supplier Exit ManagementSuppliers found to have violated national laws and regulations,engaged in illegal activities, or have failed to meet annualevaluation standards during the cooperation process will beremoved from the list of suppliers.
Based on the principles of "comparable level, proximity, andsimilar performance," the company forms a centralizedprocurement of main equipment and materials suppliers.Vendor for non-centralized procurement of small materials shallbe selected based on the principles of "choosing the nearest,having outstanding comprehensive strength, and promotinghealthy competition".
Message from Chairman | About GR | Sustainable Development Management | Governance | Service | Environment | Society | Appendix
In 2023
HSE Management SystemAchieving four goals through the HSE management system
environmentalexceedances
occupationaldiseases
adverse HSEsocial impactsAchieving fourzero targets
casualties
HSE Management Office
Board of Directors
Various Storage AreasExternal Consulting Units
Chief Safety Production Supervisor
Safety EngineersDeputy Safety Production Supervisor
EnvironmentalProtection Engineers
EnvironmentalProtection Director
Functional Centers at Headquarters
Executive Deputy DirectorChief Advisor
Safety Production Management Mechanism
Safety Management System
Strengthening Safety Management
HSE Management System
Policies, Concepts, Elements, Mechanisms
HSE and Innovation Committee (chaired by the company's chairman)
Director (served by the company's chairman)
Risk Grading ControlHidden Danger Investigation and ManagementMergers and Acquisitions HSE ManagementAccident ManagementEnvironmental ManagementEmergency and Crisis ManagementHazardous Chemicals Management
Fire Protection and Security ManagementTeam BuildingContractor ManagementPermit ManagementOccupational Health ManagementBehavior ManagementProcess ManagementChange Management
Message from Chairman | About GR | Sustainable Development Management | Governance | Service | Environment | Society | Appendix
The company standardizes its HSE management work through the "HSE Management Procedure"：
·Continuously improve its occupational health and safety performance, prevent significant injuries andhealth damage to personnel caused by work, and provide a healthy and safe working environment;·Create an excellent safety culture atmosphere, adopt effective prevention and protection measures toeliminate hazards, and minimize occupational health and safety risks;
·Strive to transform from managing accidents to managing incidents, from managing incidents tomanaging hidden dangers, from managing hidden dangers to managing risks, and pursue zero harm,zero hidden dangers, zero pollution.
Safety Production Management System
The company regularly reviews and revises its safety management system and continuouslyimproves various safety management regulations. In 2023, the company formulated/revisedmanagement documents and related forms, gradually perfecting the safety management system.
S/NDocuments
Based on the company's safety management strategy goal of "Employee Recognition, Social Respect,Industry Leader, Safety Benchmark" and the safety management vision of "Safe GR、 Happy Home", inorder to standardize the performance evaluation and management of HSE responsibilities, enhance theprocess and goal management of HSE, reduce and control accidents, and meet the requirements ofstandardized HSE management, the company has formulated the "HSE Responsibilities PerformanceEvaluation Measures" to clarify the scope and criteria for safety performance evaluation of personnel atall levels in the company. It links safety production performance with the safety production work ofpersonnel at all levels in the company to ensure the achievement of safety management goals.
HSE Performance Assessment
Risk Inspection andEmergency Management Architecture
HSE Management ProcedureStandardized Management Measures for Solid WasteManagement Procedures for Accident Investigation and HandlingProcedure for Management of Emergency Preparation and ResponsesHSE Inspection Management Measures for Operational ProjectsManagement Measures for HSE Expert DatabaseHSE Accident Management MeasuresHSE Responsibility Accountability MeasuresHSE Information Submission Management MeasuresStandardized Management Measures for Solid WasteWastewater Governance and Management SystemVOCs Governance Work SystemEnvironmental Protection Monitoring and Management SystemEnergy Saving and Emission Reduction Management MeasuresManagement System for Oil Vapor Recovery DeviceEmergency Environmental Management SystemEnvironment Information Disclosure Management SystemEnvironmental Protection Supervision and Inspection SystemRegulations for Control and Management of VOCs in Loading and Unloading VehiclesGeneral Management Measures for Solid WasteAnnual Advanced Work Team Selection System for Safety ProductionGuidelines for Emergency Response to Sudden Weather DisastersMaterial and Cargo Adaptation Table (2023 Edition)Coating and Cargo Stowage Table (2023 Edition)Oil and Gas Recovery Disfunction Diagnosis GuidelineEmergency Response Plan for SIS System
Number of hidden danger inspections
Number of hidden dangers discovered
1,567
Closure rate of hidden dangers
100%
Message from Chairman | About GR | Sustainable Development Management | Governance | Service | Environment | Society | Appendix
The company earnestly implements the main responsibility for safe production, actively carries out theinvestigation and rectification of major accident hazards, and strengthens the comprehensiveinvestigation of key areas, key processes, and key parts. At the same time, it innovates the riskprevention mechanism, enhances the comprehensive management ability to respond to emergencies,ensures that the company's risk hazard investigation is thorough, risk control is in place, andemergency response capabilities are improved, thereby preventing and curbing the occurrence ofvarious types of production safety accidents.
Assessment of Team Leader's Safety and Environmental Protection Performance
The company regularly conducts assessments on the safety and environmentalprotection performance capabilities of team leaders and generatescorresponding reports. The assessment of team leaders' performancecapabilities is carried out in four dimensions: "team management ability, riskcontrol ability, mentoring ability, and emergency response ability."Team management capability refers to the ability to demonstrate, guide, lead,and effectively implement responsibilities; risk control capability refers to theability to meet the necessary basic knowledge and skills for job performance,and to organize identification, evaluation, and control of safety andenvironmental risks within the team's jurisdiction; mentorship capability refersto the atmosphere within the team that fosters mentorship, with activities,mentoring records, and candidates who are qualified to replace the teamleader; emergency response capability refers to the ability to organize,coordinate, command, and respond to sudden events.
The HSE Management Office organized emergency capacity assessments for each warehouse area. Theassessments were conducted through inquiries, document reviews, and on-site inspections, evaluatingaspects such as emergency duty, emergency reporting, emergency supplies, emergency teams,emergency plans, emergency training, emergency drills, and emergency support.
Emergency Capacity Assessment of Each Warehouse Area
The company invited experts from the China Occupational Safety and Health Association to provideempowerment training on LOPA-SIL, HAZOP classification analysis methods, HAZID, and JSA riskassessment methods to relevant personnel at Nantong Yanghong and Lisha Island bases. The trainedpersonnel also underwent a risk assessment capability evaluation.
Risk Assessment Consultation and Guidance Plan
According to the "Measures for the Supervision and Management of Major Hazard Sources ofDangerous Goods in Ports" (Transportation Water [2021] No.6) of the Ministry of Transport, allsubordinate units of the company are required to conduct:
Management of Major Risk Sources
Control measures should be enhanced. According to the relevant national regulations, regular testingand inspection of the safety facilities and monitoring systems for major hazardous sources in portsshould be conducted. Regular maintenance and upkeep should also be performed, and the results ofmaintenance, testing, and inspection should be recorded to ensure the effective and reliable operationof the safety facilities and monitoring systems for major hazardous sources.Establish a system for safety risk warning notices, set up clear safety warning signs and safety risknotice boards in places where major hazards are located, produce job safety risk notification cards,indicating the main safety risks, the categories of potential accident hazards, the consequences ofaccidents, control measures, emergency measures, and reporting methods, and so on.
·Safety assessments on the major hazard sources in their respective ports and determine their hazard source levels.·the identified major hazard sources should be registered and documented promptly;·A dual preventive mechanism should be established to ensure safety risk classification and control, and to conductinspections and governance of hidden dangers. A comprehensive system for the safety management of major hazardsources in ports should be developed, and safety technological measures should be implemented accordingly.·Regular inspections and daily patrols should be conducted to assess the safety status of major hazard sources.·Measures should be promptly taken to eliminate any accident hazards identified during inspections.·Monitoring and surveillance of major hazard sources should be carried out, and a monitoring system for the safety ofmajor hazard sources, based on the types, quantities, storage processes, and related equipment and facilities ofdangerous goods, should be established and improved in accordance with the requirements.
Message from Chairman | About GR | Sustainable Development Management | Governance | Service | Environment | Society | Appendix
Safety Management Integration Enhancement Project - Risk AssessmentConduct research on risk management standards, combine them with the actual situation of thecompany, and streamline the process of managing process hazards. Develop training programsand content.Adopting a centralized training+practical operation empowerment approach, carry out trainingon risk analysis and assessment methods such as HAZOP, LOPA-SIL, HAZID, JSA, etc., toenhance the company's risk identification and control capabilities.
Safety Management Integration Improvement Project - Operational Completeness
Safety Management Integration Enhancement Project - Equipment IntegrityHold a project kickoff meeting for equipment integrity, reviewing previous safety diagnosis issues and clarifyingwork plans and objectives.Conduct Bow-tie analysis and discussion, identify and determine safety-critical equipment (SCE), optimizeequipment management resources and reduce costs.Equipment classification and inventory clarification.Discuss and formulate the PS for SCE (Safety-Critical Systems Engineering).Develop a preventive maintenance plan (PM) for SCE and integrate it for further improvement.Identify and determine the requirements of the equipment management procedures, communicate the standards ofthe management procedures, and discuss and revise the equipment management procedures for improvement.Discuss and determine the standards and procedures for Device Management (DM) deviation management.Determine the specific methods, requirements, results, resources, monitoring, and indicators for equipmentintegrity management, and establish an equipment integrity management manual.
Safety Management Integration Enhancement ProjectSafety Management Integration Enhancement Project - Top-level DesignRevise the "HSE Management Procedure" of GR and conduct training and promotion:
Benchmarking the management elements of AQ/T 3034 "Guidelines for Chemical Process SafetyManagement," supplement and add relevant content such as "Storage Facility Safety Planning andDesign, Initial Start-up Safety, Safety Operation, Safety Instrument Management, Major HazardSource Safety Management, Change Management, and Safe-Always".Compile the key position duty matrix, responsibility list, and guide the revision of theresponsibility system for GR.Construction of safety management capability standards:
Systematically review the company's management system, identify the knowledge and skill gapsof employees, and establish uniform safety management capability standards.
Safety Operation Limit Analysis and Review: Research the current status of company's operation restrictionmanagement, conduct training, provide guidance on operation restriction analysis and carry out evaluation toconfirm the results.Rationalization Analysis of Alarm System: Conduct research on alarm management, conduct training based onresearch findings, and provide guidance to establish a sound hierarchical alarm management system.Perfect Revision of Standard Operating Procedures: Improve the establishment of the management systemfor operating procedures, guide the establishment of standard templates for process instructions, (loading,shipping) operating procedures, and process information management system.Pre-Start-up Safety Review (PSSR) for Driving: Establish a new management system for pre-start-up safetyreviews to provide employees with a basis for conducting PSSR.Accident Incident Management Process Review and System Revision: Review the accident incidentmanagement process, and integrate it into the Accident Incident Management System.Emergency Plan Management Process Review and System Revision: Reviewing the management processof emergency plans, integrating them into the Emergency Plan Management System.
Message from Chairman | About GR | Sustainable Development Management | Governance | Service | Environment | Society | Appendix
Occupational Health and SafetySafety Training and Drills
In order to more comprehensively and thoroughly interpret the national standard "Design Code for Oil Depots"and further improve the safety management of the storage area, the company invited Mr. Han Jun, the maindrafter of the "Design Code for Oil Depots", to come to the company for training and Q&A sessions.
Safety TrainingTraining on Interpretation of "Design Code for Oil Depots”
In accordance with the mandatory requirements of "Safety Regulations for Special Operations in ChemicalProduction Units" GB30871-2022, "Special Operations Safety Supervisors must undergo training, assessment,obtain certificates, and take up their positions". The company conducts continuing education and assessmentfor special operations safety supervisors.
Training for Special Operation Safety Supervisors
Number of Safety Training SessionsNumber of Participants in Safety Training
Number of Emergency DrillsAmong them: Number of Fire Drills
Number of Participants in Fire Drills
38616,207
1512,513
The company attaches great importance to theoccupational health and safety of itsemployees and strictly complies with therelevant provisions of the "Law of the People'sRepublic of China on the Prevention andControl of Occupational Diseases" and theoccupational health and safety managementsystem issued by the International Organizationfor Standardization (ISO). The company continuously improves its occupational health and safetymanagement system and is committed to providing employees with healthy and safe working conditions.The company continues to strengthen the prevention and management of occupational hazards in theworkplace, regularly conducts assessments of the current status of occupational hazards, and invites third-party testing units to detect occupational hazard factors in the workplace every year. The company has set upan occupational health management information bulletin board to regularly publicize occupational healthmanagement information to employees, ensuring their right to know.At the same time, the company continuously improves its occupational health supervision mechanism andcontinuously improves employees' "Occupational Health Monitoring Files." For personnel in specific positions,the company arranges pre-employment, on-the-job, and pre-departure occupational hazard healthexaminations in strict accordance with the requirements of laws and relevant industry standards. Forpersonnel in specific positions, the company provides special labor protection equipment and patientlyguides and strictly requires employees to wear labor protection equipment to ensure employee safety first.For all employees, the company regularly organizes occupational health examinations to ensure the physicalhealth of employees.
During the reporting period:
Employee physical examination coverage:
Number of work-related deaths:
As of the end of the reporting period, the company and its subsidiarieshave passed the IS045001 occupational health and safetymanagement system certification.
100%
Message from Chairman | About GR | Sustainable Development Management | Governance | Service | Environment | Society | Appendix
Changzhou Municipal Transportation Bureau and theXinbei District Construction Bureau jointly conducted ajoint emergency drill for transportation and productionsafety accidents involving hazardous chemicals inXinbei District, Changzhou GR.
Emergency DrillsSeries of Drills During SafetyProduction Month
Lishadao Base in Dongguan conducted an emergencydrill for T4006 tank production safety accidents. TheSafety Director of the HSE Department at Lishadao Basein Dongguan, served as the overall commander for thiscomprehensive emergency drill and invited the FireBrigade of the Binha
Fujian Gangfeng Energy, together with theQinglanshan Squadron of the Sinochem FireBrigade and the Four Major Teams of the UnitedPetrochemical Fire Brigade, carried outemergency drills for major hazard source leakageand fire accidents.
In order to improve the producion safety accident warning and emergency response capabilities of allemployees, Zhongshan GR and the local fire rescue team carried out a level 2 comprehensive emergencydrill.
The company invited Zheng Jian from the China Occupational Safety and Health Association to conducton-site training on "Risk Management" to further enhance risk classification control and hidden dangerinvestigation and governance capabilities.
Training on "Crisis and Emergency Management”
The company invited Professor You Zhibin, a doctoral supervisor and professor at the EmergencyManagement Training Center of the Central Party School (National Academy of Governance), toconduct specialized training on "Crisis and Emergency Management" on site, in-depth study of nationalemergency management laws and regulations, typical cases and prominent issues, emergencymanagement strategies and methods, and further enhance the company's crisis and emergencymanagement capabilities.Special Training on "Risk Management”
The company invited Wang Haoshui, Vice Chairman of China Occupational Safety and HealthAssociation and Deputy Secretary of the Party Committee, to conduct on-site work discussions andspecial training on "Chemical Process Safety Management".
Training on "Chemical Process Safety Management”
In order to implement the daily security knowledge examination for employees, further strengthen theirunderstanding and mastery of safety management-related knowledge, the company has compiled the"Job Safety Production Knowledge Training and Assessment Matrix". Referring to the matrix, traininglibraries and question banks are developed, and after completion, assessments are conducted based oncategories.
Compilation of "Job Safety Production Knowledge Training and Assessment Matrix”
Other Drills
Series of Training During Safety Production Month
Cangzhou Great River Warehousing & Logisticsconducted a comprehensive drill on safetyproduction accident contingency plans
Message from Chairman | About GR | Sustainable Development Management | Governance | Service | Environment | Society | Appendix
Compliance in Employment
Equal Opportunities
Non-discrimination
The company strictly complies with the requirements of the "Labor Law" and "LaborContract Law" in terms of employment, and will not employ individuals who have notterminated their labor contracts with their original employer or who are under 18 years old.All personnel must sign a labor contract on the day of employment to ensure legal andcompliant employment.The company strictly adheres to the provisions of the “Labor Law” and the “Labor ContractLaw,” as well as other relevant legal regulations, in formulating its human resources andrecruitment policies. Within these policies, the company clearly states that the recruitmentand employment of employee follow the principles of "openness, equality, competition, andmeritocracy". Employees who meet the requirements for recruitment positions within thecompany and demonstrate outstanding performance will be given priority for selection andpromotion, with external recruitment considered afterwards.The company provides equal opportunities to all applicants, regardless of their gender,ethnicity, religious beliefs, or different references.
Under the leadership of the party organization, the trade union advances the constructionof democratic management. It listens to the needs of the employees, advocates on theirbehalf, and safeguards their rights and interests. The union always insists on safeguardingthe legitimate rights and interests of the workers, regularly holds workers' congresses toreport on the work situation, listen to the voices of the workers, and safeguard theworkers' rights to be informed, to vote, and to make suggestions. The union regularlyorganizes face-to-face communication between employee representatives and businessrepresentatives to sign collective bargaining agreements, ensuring that employees receivethe benefits they deserve.
Care for Female Employees
The company respects and cares for every female employee, ensuring the protection oftheir rights and interests in all aspects. To this end, the trade union has established aWomen's Staff Committee. The company has established a 'Mother's Station' within theworkplace to accommodate the special needs of female employees during breastfeedingand other critical periods. For pregnant female staff, the company provides a specialnutritional soup. On 'March 8th' Women's Day, the company organizes activities forfemale employees to make them feel cared for and appreciated in their workenvironment.
Employee Rights and BenefitsEmployee Recruitment
Labor Union Organization
To enhance overall satisfaction, the company conducts a semi-annual satisfaction survey across three dimensions:
“employees,” “customers,” and “departments.” After compilingthe results, the company focuses on the bottom five areas withthe lowest scores, conducting continuous follow-ups andimprovements. Through ongoing refinement and optimization,the company aims to continuously elevate satisfaction levelsamong employees, customers, and departments.
Satisfaction Culture
The company places a high emphasis on employeecommunication and advocates for a culture where 'superiorsencourage and praise their subordinates frequently;subordinates offer suggestions and discuss issues with theirsuperiors.' This approach ensures the full protection ofemployees' democratic rights to speak out. For new employees,the company conducts periodic one-on-one meetings toestablish a smooth communication channel with them.
Employee Communication
Employee Growth
Message from Chairman | About GR | Sustainable Development Management | Governance | Service | Environment | Society | Appendix
Employee Gender Distribution
Total Employees 1,732
Total Employee Turnover Rate 1.65%
Number of Employees
Employee
Employee Turnover
Short-term Contract/Part-timeEmployees (Interns)
Full-time Middle Management
Full-time Senior Management
Female Employees
Professional Composition
Employees Over 50 Years Old
North China Region Employees
Southern Region Employees
Age Distribution
Regional Distribution
Employees Aged 30-501,119
Regional Distribution
Age Distribution
Employee Gender DistributionMale Employees
1,272
Employees Under 30 Years Old
Full-time Junior Employees(Grassroots Management)
1,494
East China Region
Employees1,242
North China Region Employee Turnover Rate
3.23%
East China Region Employee Turnover Rate2%Southern Region Employee Turnover Rate
0.63%
Female Employee Turnover Rate
1.24%
Male Employee Turnover Rate
5.71%
Under 30 Years Old Employee Turnover Rate
4.12%
30-50 Years Old Employee Turnover Rate
12.62%
Over 50 Years Old Employee Turnover Rate
0.28%
Message from Chairman | About GR | Sustainable Development Management | Governance | Service | Environment | Society | Appendix
In order to ensure the long-term stable operation and standardized implementation of training work, GRManagement Academy has established targeted systems from multiple dimensions such as daily trainingmanagement, internal trainer and course development management, and employee independent academicand skill improvement management, in order to provide support for a learning organization.
Employee Development
Career Development Channels
The company adheres to the corporate mission of building a development platform for employees, andstrives to expand career development channels for employees, and actively provides support andassistance for the development of employees, in order to realize the value of employees whilepromoting the healthy development of the company, to achieve a win-win situation for the developmentof the company and employees.
Promotion Mechanism: Dual-track Promotion Mechanism for Management and Technology
Promotion CycleIn order to ensure that employees are promoted, the company relies on the employee's monthlyperformance and comprehensive ability and contribution to give two opportunities for promotion andsalary adjustment each year, respectively, in January and July each year.
Capacity Enhancement GuaranteeIn order to improve the ability and level of employees, and to ensure the healthy growth of employeesunder the dual-channel promotion mechanism, the company has established a perfect training systemand diversified incentive mechanism.·Through the combination of online and offline methods, GR Management Academy provides employeeswith opportunities for learning and improvement. For example, the establishment of the Foundation,Pillar, and GRMBA three learning programs is to enable and support the management knowledgerequired for different management levels. By training internal instructors, reviewing and summarizingjob experience, and strengthening the inheritance and accumulation of professional skills, providingsupport and guarantee for employees' technological development.·Through multiple incentive mechanisms, fully enhance the learning enthusiasm of the employees andgive them a platform to realize multiple values, such as: the establishment of academic qualificationsand skills upgrading incentive mechanism to encourage employees to improve the overall quality andprofessional skills. By participating in cross-departmental teamwork, you can not only enhance yourgeneral ability, but also expand your career field.
Employee Training SystemIn order to build a learning organization and achieve sustainable development of the enterprise, thecompany based on the long term, focusing on the future, jointly with the China Europe InternationalBusiness School (CEIBS) and China Europe Business Online (CEBI), jointly founded the internaluniversity GR Management Academy.
In line with the company's development needs, GR Management Academy continuously innovatestraining modes and methods. The E-learning online platform of GR Management Academy was launchedin March 2019, achieving a cross-over in time and space for training work. Relying on the e-learningplatform, we provide professional, systematic and targeted training for employees at all levels andpositions of the company through the pillars of key talent cultivation, core quality enhancement andcareer development certification. As of the end of the reporting period, GR Management Academy hasfully utilized its role as a talent training base, management transformation promoter, knowledge assetmanager, and corporate culture ambassador, and has become an important strategic force for thecompany, effectively ensuring the company's continuous, stable, and healthy development.Institutional Construction
Internal certified trainers are important executors of training work, and GR Management Academyinsists on continuously certifying, empowering, and managing the trainer team. This is done byestablishing clear promotion channels, evaluation standards, and benefits to activate the vitality of theinternal certified trainer team.
Lecturer Team
Management Promotion Mechanism:
Frontline personnel → Frontline management personnelMiddle-level management personnel → Top-level management personnel
→Technical Channel Promotion Mechanism:
technician/technologisttechnical director/chief technicianengineer/technical manager → chief engineer
→ →
Number of cross-grade promotions in 2023
·Frontline worker to frontline manager:
·Frontline manager promoted to middle-level manager: 16·Mid-level manager promoted to senior executives: 1
Vision and Mission of GR Management AcademyPurpose: With a great sense of mission to realize the sustainable and stable development of the company to seek innovation and promote the long-term progress of the employee
Motto: Cultivation, Virtue, Excellence, Innovation
Number of employees applying for education and skill enhancement subsidies in 2023Subsidies for education and skill improvement in 2023: yuanAdvanced Skills Certification/Advanced Professional Title Count:
Advanced Skills Certification / Associate Senior Title Count:
Intermediate Skills Certification / Intermediate Professional Title Number:
Basic Skills Certification / Junior Professional Title Count:
:people
452,500
Number of gold medal instructorsNumber of senior lecturers:personsNumber of mid-level lecturers: personsNumber of junior instructors: persons
:persons
Message from Chairman | About GR | Sustainable Development Management | Governance | Service | Environment | Society | Appendix
As the company's knowledge asset manager, GR Management Academy has established standardizedcurriculum development tools and processes, regularly organizes internal excellent experiencesummary, thus providing a practical course applicable to the company's business scenarios. At thesame time, GR Management Academy continuously optimizes the management of knowledge assets andrealizes the online dissemination of knowledge assets through the "e-Enterprise Learning" e-learningplatform, to improve the circulation and utilization rate of knowledge assets.
Knowledge Accumulation
Employee Training Performance
Number of trainees
people1,732
Male
people1,272
Female
people
Management Members
people
Non-management Members
people1,502
Development of Key Talent
With the existing talent structure, GR Management Academy has formulated the growth anddevelopment paths for reserved talents at different levels, with corresponding talent developmentobjectives, talent development measures and tracking mechanisms, etc., to strengthen the company'stalent pipeline and meet the company's development needs.
Talent Reserve
Eagle Training Program·transformation and leap from campus to workplace and from workplace to GR professional·Training content: industry information, company and management structure, corporate culture,products and supply chain, company rules and regulations, management system, professionalization,career mindset, the difference between campus and workplace, workplace skills, workplace rules,important professional skills in warehousing, etc.·Training phase: initial GR experience, workplace a little, professional speed growth·Forms of training: centralized face-to-face teaching, extension training, internship in reservoirs,exchanges and Q&A·Training data: 9 days, 25 participants, 9 instructors, 14 courses, 22 credit hours
Purpose of training: To help fresh graduates understand the workplace and GR faster and realize the
Management Training Program·human resources for the company's future development, cultivate strategic and comprehensivemanagement personnel, and meet the company's mergers and acquisitions and high-speeddevelopment of talent needs to develop and implement the training program for trainees.·GR recruited 14 undergraduate or graduate students from renowned universities across the country tojoin key positions at the company headquarters and various storage facilities. These individuals willundergo a training and development program tailored to their backgrounds and our company's talentgrowth strategies. GR has successfully implemented and completed the first phase of the overalltraining program for our management trainees.·Training Phase: Rotational Learning and On-the-Job Training·Training Formats: coaching and mentorship, participation in key meetings and projects, onlinelearning, and group discussions
In order to consolidate the company's talent reserves and development capabilities, reserve sufficient
Key Position TalentsBased on the company's strategic objectives and talent assessment outcomes, the GR ManagementAcademy has identified key positions within the organization. By aligning with the competency modelsof these critical roles, we have launched a blended training program that combines 'professional courseempowerment, scenario case discussions, and action plan implementation.' This integrated approachaims to enhance the practical capabilities and performance of key personnel.
"e-Learning" Platform
Number of offline courses developed in-houseNumber of micro-courses developed in-house Gate:
Gate: 239
Total duration of training:
Number of people trained: 34,104 people timesAverage length of training for male employee: 60 hoursAverage training hours for female employee: 34 hoursAmount invested in occupational training: 929,607 yuan
3,540 hours
Compliance Awareness Classes Duration of trainingSafety drills and exercises Duration of training: 20 hoursOccupational health and hygiene courses Duration of training: 6 hoursEnvironmental Awareness Classes Duration of training: 5 hours
: 22 hours
Conducting online trainingTotal hours: 23,621 hoursHours of study per capita: 11.56 hoursNumber of study courses: 21,900 classes
: 22,432 people times
Intern Average Talent Development Time:
junior employee Average talent development timeMid-level employee Average talent development time: hoursSenior employee Average talent development time: hours
hours
: hours
Message from Chairman | About GR | Sustainable Development Management | Governance | Service | Environment | Society | Appendix
Core Competency Improvement
To solidify the foundation of the company's safety management and to build a team of professionalsafety management personnel, GR is committed to meeting the requirements of safety laws andregulations, including the 'Registered Safety Management Practitioner Classification and ManagementMeasures'. GR Management Academy has optimized the preparation and operation of the CertifiedPublic Safety Engineer (CPSE) exam in the past years and added the new sessions of "offline face-to-face intensive training + online review accompaniment", which has effectively improved the exampassing rate and the company's certification ratio in the CPSE exam in 2023.
HSE Competency
Providing 'high-quality services to customers' is the company's mission. In response to the company'sneed to enhance service capabilities at front-line positions, the GR Management Academy hasconducted customer service training across all units and departments. Through a combination of onlineempowerment learning, offline case discussions, and continuous action improvement, the training hasled to a significant improvement in employees' customer service abilities. This has resulted in a shift inmindset, a change in behavior, and an enhancement in performance, ultimately leading to a notableimprovement in customer satisfaction.
Customer Service Competency
GR Management Academy conducts regular surveys to identify key training needs in various centers,focusing on professional directions. By mobilizing both internal and external training resources, theyprovide targeted professional empowerment and enhancement for the respective positions. The academyplaces a strong emphasis on post-training job practice and the transformation of learning outcomes,ensuring that the training leads to tangible improvements in performance. The following table lists theengineering and technology upgrading projects at the Infrastructure and Procurement Center:
Professional Competence for Job Position
By translating the acquired technical knowledge into practical actions, the traineesapply what they have learned during their on-the-job training to achieve thetransformation of their skills into concrete outcomes.In practice, the trainees apply what they have learned to achieve project qualityimprovement and cost control by optimizing the preliminary design, standardizing themanagement of hidden works, and improving the contract and project management.
Engineering technology enhancement programSenior and mid-level executives of the center
Career Development and Certification
The company has established a professional grading mechanism for 'Petroleum Storage andTransportation Workers,' which has effectively enhanced the professional competence of keyoperational positions. In 2023, GR Management Academy, in collaboration with the Dongguan HumanResources and Social Security Bureau and Zhitong Vocational Training College, innovatively launched anew apprenticeship training model. This initiative has facilitated a transformation from grading toestablishing a talent development pathway.
2023 ProfessionalSkill Level Certification
35 people
23 people
44 people
19 people
Number of Certified Employee in 2023:
Examination Pass Rate in 2023: (higher than the national average pass rate for certification)
33.9%
people
Direct supervisors have observed an improvement in the customer service capabilities oftheir employees, as evidenced by higher ratings compared to before the training:
11%
Average post-training customer satisfaction: points99.4
Training ProgramTraining Bbjectives
Training Results
Level
Level
Level
Level
Message from Chairman | About GR | Sustainable Development Management | Governance | Service | Environment | Society | Appendix
Employee Care
Employee Benefits
The company earnestly practices its corporate culture centered on 'employee focus,' strictly adheringto the 'Labor Law of the People's Republic of China' and the 'Labor Contract Law of the People'sRepublic of China,' among other legal regulations. It ensures the protection of employees' legal rightsand interests. On top of providing statutory benefits, the company offers a range of additional benefitsbased on the overall needs of its workforce, thereby establishing a diversified welfare system.·Employee protection: high temperature subsidy, employee dormitory, employee health care, shuttlebus transportation, business trip subsidy, commercial accident group insurance·Statutory Benefits: housing provident fund, pension insurance, maternity insurance, medicalinsurance, unemployment insurance, work injury insuranceEmployee Mutual AidThe company has established an Employee Mutual Aid Foundation, adhering to the principle ofvoluntary membership and withdrawal. Any employee who has successfully completed theirprobationary period and become a regular staff member is eligible to join the foundation. As members,they enjoy the rights and fulfill the obligations associated with membership. Monthly contributionsranging from 10 to 200 yuan are deducted from their salary to the mutual aid fund, which entitles themto receive emergency and relief assistance from the foundation as per the established guidelines.
In 2023, the Employee Mutual Aid Foundation provided a total of yuanin assistance to five employees.
63,000Employee Support"100% Gratitude" for ParentsThe company offers a “100% Gratitude" program for frontline and supervisory staff. Employeesparticipating in this initiative contribute 100 yuan from their salary each month, and the companymatches this contribution with an additional 100 yuan. Consequently, a total of 200 yuan is transferredmonthly to the bank account of the employee's immediate family member.
To enrich the spiritual lives of its employees, the company organizes a variety of activities, including:
annual parties, Women's Day celebrations, employee birthday parties, speech contests, tug-of-warcompetitions, sports meets, vocational skill competitions, basketball games, photography contests, andteam-building events.
Employee Activities
Incentives and Assessment
Equity IncentivesImplemented 6 equity incentive plans since the company been listed in 2018
Year 2019
Stock OptionsRestricted stock
Stock Options
Stock Options
Stock Options
Stock Options
Stock Options
98.50
50.00 81,000.00 871,000.00 119
YearForm of Equity Incentive Plan
Number of granted (10,000 shares/units)
Number of Incentivized Objects
(Individuals)
1,000.00
578.00191
715.50226
Monthly Star AssessmentKPI Specialized Assessment"Quality Priority" Internal Control Assessment
Cross-departmental Team Performance Assessment
Based on varying levels of performance, the company has delineated a five-tier star rating system. Directsupervisors provide a star rating for each employee's monthly performance. The outcome of these evaluations isdirectly linked to the monthly star-based bonus, with higher star ratings corresponding to larger bonuses.The company implements targeted Key Performance Indicator (KPI) assessments for important work projects in keypositions, guiding employees to focus on the input and output of critical performance projects.The company conducts assessments of managers and operational staff engaged in production and operations. Theseassessments take into account multiple dimensions, including service efficiency, product quality assurance, andcontrol over the quantity of product loss, tailored to the company's specific industry characteristics. The results ofthese evaluations are directly linked to the employees' special performance bonuses.The company has established cross-departmental management teams for specific projects. To ensure theeffectiveness of coordinated management and to encourage the work enthusiasm of cross-departmental teammembers, the company has established a Cross-Departmental Team Performance Bonus to incentivize theperformance of members in specific cross-departmental projects.
Performance Assessment
Respecting the value of talent, the company has established a performance management system that isconducive to unleashing the potential of employees and realizing their personal value. This systemaligns the performance of individual employees, departments, and the company as a whole, therebyenabling the successful implementation of strategic plans. The company closely links employeeperformance with their compensation, adhering to the principles of 'openness, fairness, and justice' inconducting comprehensive performance assessment for all employees. The company has established a"Remuneration and Evaluation Committee" to formulate performance assessment policies. Throughguidance during the implementation of assessments and communication feedback on evaluationresults, the committee assists employees in enhancing their performance and fosters a healthycompetitive mechanism.
To continuously improve the long-term incentive mechanism and attract and retain outstanding employees,the company has implemented six consecutive equity incentive plans since its listing in 2018. These planstarget key employees, middle management, senior management, directors, and other employees who havemade outstanding contributions to the company's performance or have a significant impact on the company'sfuture performance. The scope of incentive recipients has been gradually expanded year by year to fullymobilize employees' enthusiasm.
Number of people covered: 1,106
Family Care "Journey of Affection"Mid-level and senior executives are entitled to 2-5 days or less of paid vacation per year, depending ontheir rank in the current year, to enjoy family trips, etc. with their families.
Number of people covered: 248
Care and Support
The company celebrates significant traditional festivals such as Women's Day, Dragon Boat Festival,Mid-Autumn Festival, and Spring Festival by preparing holiday gifts and organizing festive activities forits employees. Additionally, the company extends congratulations to employees on personal milestonessuch as marriage and childbirth with specially prepared gifts.
Coverage: 100%
Message from Chairman | About GR | Sustainable Development Management | Governance | Service | Environment | Society | Appendix
Year 2020Year 2021Year 2022Year 2023Year 2024
Charity Donations
2023 marks the fifth anniversary of the establishment of the "GR Public Welfare Fund" and the "GRPublic Welfare Day." The GR Charity Public Welfare Gala was successfully held on June 20th. ChairmanLin Haichuan shared the theme "Spreading Love, Realizing Dreams, and Promoting Goodness on the GRCharity Journey" and shared his firsthand experience of public welfare stories in Jiulong County, Ganzi,Sichuan Province, which strengthened his determination to engage in public welfare and advocated formore people to pay attention to and participate in charitable causes.
2023 GR Public Welfare Charity Gala
Great love endures; Good deeds benefit the worldYou contribute a bit, and I contribute a bitSmall amounts add up to large sums, and grains of sand form a tower
GR Public Welfare DayIt's not just a spiritIt is also an actionYou may forget that you unintentionally helped othersBut those who have been helped will never forget in their lifetime
No matter where you areYour love has reached a thousand miles away
Let's take action togetherBringing together the mighty power of charity and public welfare
For those in need of helpBring love and hope
In 2023, the company's total charitable donations amounted to million RMB.1.6644Public Welfare ActivitiesDedication, love, mutual assistance, and progress are the essence of the spirit of volunteer service inthis era. "GR Public Welfare Day" spreads love, and each of the company's subsidiaries organizesvolunteers to carry out various public welfare activities. Let the seed of public welfare in the heart ofevery GR person take root, sprout, and bear the fruit of love.
Building aHarmonious Society
The company actively fulfills its corporate social responsibility, supports public welfare and charity, and engages in multiple areas such as ruralrevitalization, poverty alleviation, funding education, environmental protection, and social assistance. These activities are organized and implemented bythe labor union, the party branch, the youth league branch, and the GR Spark Volunteer Service Team, relying on the "GR Public Welfare Fund" and the"GR Public Welfare Day." The company will continue to carry out charitable work and volunteer public welfare activities in 2023.
Total publicwelfare donations
Participatingemployees
Community membersparticipating in activities
Total time spent onorganizing the events
Members of theemployee volunteer team
Total time spent by the employeevolunteer teams on service
1.6644 million RMB
323 people105 people
192 hours120 people14,057 hours
Fujian Gangfeng Energy supports the development of education and made donations to Huian Dongzhou Middle School;Taicang Power Shell Petrochemical Co., Ltd. supports the development of charity causes and has made donations to theTaicang Charity FederationChangshu GR supports the development of charitable causes and has made donations to the Changshu Charity FederationLishadao Base contributes to rural revitalization by donating to the Shatian Charity Association of Dongguan CityTaicang Power Shell Petrochemical Co., Ltd. and its employees uphold the spirit of moral exemplars, and made donations to therecipients of the "Good Chinese" title in Taicang CityNantong Power Shell Petrochemical Co., Ltd. cares for its employees and donates to employees in needThe Nantong base supports the development of charitable causes and has made donations to the "Charity Promotion Month andOne-Day Donation" eventTaicang Power Shell Petrochemical Co., Ltd. employees support the development of charitable causes and made donations tothe "Taicang Charity Day Donation" eventTaicang Power Shell Petrochemical Co., Ltd. supports the development of education and made donations to students in need inthe community
Fire Safety:
Engaging with the Community
Taking Action for aJourney of Love
Helping the Needy, SupportingEducation, Dedicating with Love
Protecting the Environment,Embracing Green and Clean
Bringing Cool Relief in Summer,Showing Heartwarming Care
Connecting Hearts on DragonBoat Festival, Caring for the Elderly
Message from Chairman | About GR | Sustainable Development Management | Governance | Service | Environment | Society | Appendix
Environment
Electricity consumptionNitrogen consumptionSteam consumptionTap water consumptionWastewater treated by sewage stationReclaimed water recylcedVOCs emission reductionComprehensive compliance rate of wastegas treatmentCompliance rate of solid waste disposalProper disposal rate of hazardous waste
36.40 million kWh
12,000 tons50,000 tons511,000 tons98,100 tons23,300 tons
464.24 tons
100%100%100%
4 times
37 times9 bases/storage areas
21 times2 events
Number of soil inspectionsNumber of sudden major environmental incidentsNumber of times subject to majoradministrative penalties or criminal liabilityEnvironmental emergency response drillsNumber of subsidiaries with ISO14001environmental management system certificationNumber of subsidiaries certified for cleanerproductionNumber of subsidiaries rated as green ports(three-star level)Number of environmental protection patentsEnvironmental education and publicity activitiesEnvironmental protection and public welfare activities
Customer satisfaction score (terminal storage tank segment)Customer satisfaction score (chemical warehouse segment)Number of major customercomplaints throughout the yearCustomer complaint handling rateRectification rate of key improvementitems in customer service
96.76 points
97.52 points
100%100%
R&D investmentNumber of R&D personnelPercentage of R&D personnel in total workforceR&D investment as a percentage of operating revenueNumber of patentsNumber of software copyrightsNumber of trademarks
Investor Communication
Number of Investor Site VisitsNumber of Investors Received for On-site ResearchNumber of Disclosures of Investor RelationsActivity RecordsNumber of Interactions with Investors onInteractive PlatformInvestor Question Response Rate
53 times261 people
32 times
100%
Financial Data
Operating IncomeEarnings Before Interest, Taxes,Depreciation, and AmortizationNet ProfitBasic Earnings Per ShareTotal Tax AmountCash Dividend Amount
1,547.07 million RMB1,138.45 million RMB
296.34 million RMB
0.65 RMB/share
175.65 million RMB
115.07 million RMB
Appendix | Annual Performance
Message from Chairman | About GR | Sustainable Development Management | Governance | Service | Environment | Society | Appendix
Governance
Service
53.46 million yuan
233 people
13.45%
3.46%
Anti-corruption reporting incidentsAnti-corruption training sessionsNumber of people trained by anti-corruption sessionsEmployee "Anti-corruption Commitment" signing rateSupplier integrity practice clause signing rate
Business Ethics
185 people
100%100%
Information Disclosure
Number of Disclosure DocumentsNumber of Violations and Penalties
0 times
General Meeting of Shareholders
Number of Shareholders (as of 31 Dec, 2023)10,11110 times
210 peopleNumber of General Meetings of ShareholdersNumber of Resolutions PassedTotal Number of Participants in MeetingsBoard of DirectorsNumber of Board of Directors' MembersNumber of Independent DirectorsRemuneration for Independent DirectorsNumber of Board of Directors' MeetingsNumber of Resolutions Approved bythe Board of DirectorsNumber of Meetings of Special Committeesof the Board of DirectorsNumber of Resolutions Approved by SpecialCommittees of the Board of DirectorsAverage Attendance Rate
7 people3 people100,000 RMB/year
13 times
22 times
100%
Board of Supervisors
Number of Board of Supervisors' MembersNumber of Female SupervisorsNumber of Board of Supervisors' MeetingsNumber of Resolutions PassedAverage Attendance Rate
3 people2 people13 times
100%
Number of customer privacy leak incidents
Totalamount of fines for non-compliance incidentsTotal number of violations.Compliance
0 times0 yuan
Development and Training
Average training hours per female employeeAverage training hours per male employeeAverage training hours per short-termcontract/part-time employees (interns)Average training hours per full-time junior employee (grassroots, basic management)Average training hours per full-time middle managementAverage training hours per full-time senior managementAmount invested in occupational trainingCompliance awareness-related trainingSafety drill-related trainingOccupational health and safety-related trainingEnvironmental awareness-related training
34 hours60 hours7 hours62 hours32 hours24 hours929,607 yuan22 hours20 hours6 hours5 hours
New EmployeesNumber of new employeesNewly recruited male employeeNewly recruited female employeeUnder 30 years old30-49 years old50 years and above
155 people132 people23 people89 people64 people2 people
Safety
Number of emergency drills conductedNumber of participants in fire drillsNumber of safety training sessionsNumber of participants in safety trainingNumber of hidden danger inspectionsNumber of hidden dangers identifiedRectification rate of hidden dangers by deadlineNumber of work-related fatalitiesEmployee physical examination coverage rate
151 times2,513 people
386 times16,207 people
1,567100%
100%
Society
Message from Chairman | About GR | Sustainable Development Management | Governance | Service | Environment | Society | Appendix
Supplier ManagementNumber of suppliersNumber of suppliers within Guangdong provinceNumber of suppliers whose cooperationwas suspended due to non-complianceNumber of potential suppliers rejected dueto non-compliance
175 companies22 companies
Number of EmployeesTotal number of employeesTotal number of female employeesTotal number of male employeesShort-term contract/part-time employees (interns)Full-time junior staff (entry-level management)Full-time middle managementFull-time senior managementTotal number of employees under 30 years oldTotal number of employees aged 30-50Total number of employees over 50 years oldTotal number of employees in the northernChina region
1,732 people460 people1,272 people
8 people1,494 people
137 people
101 people327 people1,119 people286 people
24 peopleTotal Number of Employees in the Eastern RegionTotal number of employees in the southern region
1,242 people
466 people
40.73%
Proportion of executives employed from localcommunities
Employee TurnoverOverall turnover rate of employeesTurnover rate of female employeesTurnover rate of male employeesTurnover rate of employees under 30Turnover rate of employees aged 30-50Turnover rate of employees over 50Turnover rate of employees in the North China regionTurnover rate of employees in the East China regionTurnover rate of employees in the southern region
1.65 percent
1.24 percent
5.71%
4.12%
12.62%
0.28 percent
3.23%
2%
0.63%
Employee Benefits
10,958,100 yuan
16 people
100%1,106 people248 people
5 people
Welfare expensesNumber of employees enjoying maternity leaveReturn-to-work rate after employee maternity leaveNumber of participants in "Gratitude 100%"Number of participants in "Family Journey"Number of beneficiaries of "Employee Assistance Fund"
Mobile EmployeeNumber of mobile employeesMobile male employeeMobile female employeeUnder 30 years old30-49 years oldAbove 50 years old (including 50 years old)
213 employees174 people39 people96 people89 people28 people
Social Welfare
Total public welfare donationsNumber of public welfare activities heldNumber of employee participationsin public welfare activitiesMembers of the employee volunteer teamtotal time of service by volunteer team
1,664,400 yuan192 hours323 people120 people14,059 hours
Labor Regulations
Number of child labor found during the reporting periodNumber of forced labor found during the reporting periodLabor contract signing rateSocial insurance coverage rateNumber of employees covered by collectivebargaining agreements(total number at the end of the period)
100%100%1,732 people
Remuneration
Median annual total salary for all employeesMedian annual total salary growthpercentage for all employeesTotal annual basic salaries andcompensation for female employeesTotal annual basic salaries and compensationfor male employees
125,500 yuan
3.22%
42,070,900 yuan194,665,700 yuan
Appendix | GRI Index
InstructionsGuangdong Great River Smarter Logistics Co., Ltd.reported the information referenced in this GRI Content Index
according to the GRI standards from January
1, 2023 to December 31, 2023.
GRI 1 UsedGRI 1Foundation 2021
GRI Standards
Disclosure Item
Chapter
Report Compilation InstructionsReport Compilation InstructionsReport Compilation InstructionsThe Company did not restate anyinformation during the reporting period.Message from Chairman; About GREmployee GrowthAppendix | Annual Performance - Numberof EmployeesSustainable Development Management;Standardizing Corporate GovernanceStandardizing Corporate GovernanceStandardizing Corporate GovernanceSustainable Development Management;Standardizing Corporate GovernanceSustainable Development Management;Standardizing Corporate GovernanceSustainable Development ManagementPlease refer to the annual report for theyear 2023 of our company.Sustainable Development ManagementSustainable Development ManagementSustainable Development Management;Standardizing Corporate GovernanceStandardizing Corporate GovernanceStandardizing Corporate Governance;Employee Growth
1. Organization and
reporting practices
GRI 2: General Disclosures 2021
2. Activities and
workers
3. Governance
2-22 Statement on sustainable development strategy2-23 Policy commitments2-24 Embedding policy commitments2-25 Processes to remediate negative impacts2-26 Mechanisms for seeking advice and raising concerns2-27 Compliance with laws and regulations2-28 Membership associations2-29 Approach to stakeholder engagement2-30 Collective bargaining agreements3-1 Process to determine material topics3-2 List of material topics3-3 Management of material topics201-1 Direct economic value generated and distributed201-2 Financial implications and other risks and opportunities due to climate change201-3 Defined benefit plan obligations and other retirement plans201-4 Financial assistance received from government203-1 Infrastructure investment and support services203-2 Significant indirect economic impacts
Message from Chairman;Sustainable Development ManagementBusiness Ethics Practice; Employee GrowthBusiness Ethics Practice;Responsible Supply ChainBusiness Ethics PracticeSustainable Development ManagementRisk and Compliance; Appendix |Annual Performance - ComplianceAbout GRSustainable Development ManagementEmployee Growth
4. Strategy, policies
and practices
5. Stakeholder
engagementGRI 3:
MaterialTopics 2021
GRI 201:
EconomicPerformance2016GRI 203:
Indirect EconomicImpacts 2016GRI 204:
ProcurementPractices 2016
204-1 Proportion of spending on local suppliers205-1 Operations assessed for risks related to corruption205-2 Communication and training about anti-corruption policies and procedures205-3 Confirmed incidents of corruption and actions taken206-1 Legal actions for anti-competitive behavior, anti-trust, and monopoly practices207-1 Approach to tax207-2 Tax governance, control, and risk management207-3 Stakeholder engagement and management of concerns related to tax
GRI 205:
Anti-Corruption2016GRI 206:
Anti-competitiveBehavior 2016GRI 207:
Tax 2019
Message from Chairman | About GR | Sustainable Development Management | Governance | Service | Environment | Society | Appendix
2-1 Organizational details2-2 Entities included in the organization's sustainability reporting2-3 Reporting Period, frequency and contact point2-4 Restatement of Information2-6 Activities, value chain and other business relationships2-7 Employees2-8 Workers who are not employees2-9 Governance structure and composition2-10 Nomination and selection of the highest governance body2-11 Chair of the highest governance body2-12 Role of the highest governance body in overseeing the management of impacts2-13 Delegation of responsibility for managing impacts2-14 Role of the highest governance body in sustainability reporting2-15 Conflict of Interest2-16 Communication of critical concerns2-17 Collective knowledge of the highest governance body2-18 Evaluation of the performance of the highest governance body2-19 Remuneration policies2-20 Process to determine remuneration
Sustainable Development ManagementSustainable Development Management
Sustainable Development Management;see the table below for specific managementmethods for each topic.
Please refer to the 2023 annualreport of the companyResponding to Climate ChangeEmployee GrowthBuilding a harmonious societyBuilding a harmonious societyResponsible supply chain;Appendix | Annual Performance - SupplierManagementBusiness Ethics PracticeBusiness Ethics Practice;Responsible Supply ChainBusiness Ethics PracticeBusiness Ethics PracticeRisk and ComplianceRisk and ComplianceRisk and Compliance
Please refer to the 2023 annualreport of the company
302-1 Energy consumption within the organization302-3 Energy intensity302-4 Reduction of energy consumption302-5 Reductions in energy requirements of products and services303-1 Interactions with water as a shared resource303-2 Management of water discharge-related impacts303-3 Water withdrawal303-4 Water discharge303-5 Water consumption
GRI 302:
Energy 2016
GRI 303:
Water andEffluents 2018
GRI 304:
Biodiversity2016
GRI 305:
Emissions 2016
306-1 Waste generation and significant waste-related impacts306-2 Management of significant waste-related impacts306-3 Waste generated306-4 Waste diverted from disposal306-5 Waste directed to disposal308-1 New suppliers that were screened using environmental criteria308-2 Negative environmental impacts in the supply chain and actions taken
GRI 306:
Waste 2020
GRI 308:
SupplierEnvironmentalAssessment 2016GRI 401:
Employment 2016
GRI 403:
OccupationalHealth andSafety 2018
Strengthening Safety Management;Appendix | Annual Performance - Safety
GRI 404:
Training andEducation 2016
Employee GrowthEmployee GrowthEmployee Growth
GRI 405:
Diversity and EqualOpportunity 2016GRI 406:
Non-discrimination2016GRI 407: Freedomof Association andCollectiveBargaining 2016GRI 408:
Child Labor2016GRI 409: Forcedor CompulsoryLabor 2016GRI 413: LocalCommunities2016GRI 414: SupplierSocial Assessment2016GRI 416: ClientHealth andSafety 2016GRI 417:
Marketing andLabeling 2016GRI 418:
CustomerPrivacy 2016
Message from Chairman | About GR | Sustainable Development Management | Governance | Service | Environment | Society | Appendix
304-1 Operational sites owned, leased, managed in, or adjacent to, protected areas and areas of high biodiversity value outside protected areas304-2 Significant impacts of activities, products and services on biodiversity305-5 Reduction of GHG emissions305-7 Nitrogen oxides (NOx), sulfur oxides (SOx), and other significant air emissions
401-1 New employee hires and employee turnover401-2 Benefits provided to full-time employees that are not provided to temporary or part-time employees401-3 Parental leave403-1 Occupational health and safety management system403-3 Occupational health services403-4 Worker participation, consultation, and communication on occupational health and safety403-2 Hazard identification, risk assessment, and accident investigation
403-5 Worker training on occupational health and safety403-6 Promotion of worker health403-7 Prevention and mitigation of occupational health and safety impacts directly linked by business relationships403-8 Workers covered by an occupational health and safety management system403-9 Work-related injuries403-10 Work-related ill health404-1 Average hours of training per year per employee404-2 Programs for upgrading employee skills and transition assistance programs404-3 Percentage of employees receiving regular performance and career development reviews405-1 Diversity of governance bodies and employees406-1 Incidents of discrimination and corrective actions taken407-1 Operations and suppliers in which the right to freedom of association and collective bargaining may be at risk408-1 Operations and suppliers at significant risk for incidents of child labor409-1 Operations and suppliers at significant risk for incidents of forced or compulsory labor413-1 Operations with local community engagement, impact assessments, and development programs414-1 New suppliers that were screened using social criteria414-2 Negative social impacts in the supply chain and actions taken416-1 Assessment of the health and safety impacts of product and service categories416-2 Incidents of non-compliance concerning the health and safety impacts of products and services417-1 Requirements for product and service information and labeling417-2 Incidents of non-compliance concerning product and service information and labeling417-3 Incidents of non-compliance concerning marketing communications418-1 Substantiated complaints concerning breaches of customer privacy and losses of customer data
Appendix | Annual Performance - EnvironmentalAppendix | Annual Performance - EnvironmentalImproving Environmental ManagementImproving Environmental ManagementImproving Environmental ManagementImproving Environmental ManagementImproving Environmental Management
Improving Environmental Management;Appendix | Annual Performance - EnvironmentalImproving Environmental Management;Appendix | Annual Performance - Environmental
Improving Environmental ManagementImproving Environmental ManagementResponding to Climate ChangeImproving Environmental Management;Developing Green Storage and Transportation;Appendix|Annual Performance-EnvironmentalImproving Environmental ManagementImproving Environmental ManagementImproving Environmental ManagementImproving Environmental ManagementImproving Environmental ManagementResponsible Supply ChainResponsible Supply ChainEmployee Growth;Appendix | Annual Performance - Number of Employees;Appendix | Annual Performance - Employee TurnoverEmployee Growth;Annex | Annual Performance - Employee BenefitsAppendix | Annual Performance - Employee BenefitsStrengthening Safety ManagementStrengthening Safety ManagementStrengthening Safety ManagementStrengthening Safety Management
Strengthening Safety ManagementStrengthening Safety ManagementStrengthening Safety ManagementStrengthening Safety ManagementStrengthening Safety Management;Appendix | Annual Performance - Safety
Standardizing Corporate Governance;Employee GrowthEmployee GrowthEmployee GrowthEmployee Growth;Appendix | Annual Performance - Labor RegulationsEmployee growth;Appendix | Annual Performance - Labor Regulations
Delivering Quality ServicesDuring the reporting period, Guangdong Great River SmarterLogistics Co., Ltd. did not have any incidents of non-compliancerelated to marketing communications.During the reporting period, Guangdong Great River SmarterLogistics Co., Ltd. did not have any incidents of non-compliancerelated to product and service information and labeling.
Building a harmonious SocietyResponsible Supply ChainResponsible Supply ChainDelivering Quality Services;Strengthen Safety ManagementDelivering Quality Services;Strengthen Safety ManagementDelivering Quality Services
Appendix | Definitions
Please indicate your choice by marking a √ in the appropriate space.
1. Which of the following identities most accurately represents you for Macro Wisdom?
□ government or regulatory agency personnel □ shareholders, investors
□ customers □ employees □ supplier
□ partner (industry partner/media organization/NGO, etc.) □ community residents
2. Are you generally pleased with this year's report?
□ Extremely Satisfied □ Satisfied □ Neither Satisfied nor Dissatisfied
□ Dissatisfied □ Extremely Dissatisfied
3. Has the information that interests you been accurately represented in this report?
□ Fully reflected □ Mostly reflected □ Partially reflected
□ Minimally reflected □ Not reflected
4. What are your thoughts on the layout and presentation of the report?
□Outstanding □ Above Average □ Average □ Below Average □ Unsatisfactory
5. What are your expectations for GR regarding sustainable development efforts?
□ Develop a long-term sustainable development plan
□ External communication is being carried out extensively.
□ Enhance the establishment of institutions for sustainable development management.
□ Incorporate the evaluation of sustainable development performance into management assessments.
□ Other (please specify)
Dear readers,We appreciate your time in reviewing this report. In our effort to enhance our sustainable development workat Guangdong Great River Smarter Logistics Co., Ltd. , we aim to gain a comprehensive understanding of yourexpectations and needs. Through this survey, we strive to continuously elevate the standard of oursustainable development efforts. We cordially invite you to take part in the survey. Your perspectives andinsights are vital to us. We truly value your insightful feedback and suggestions!
Appendix | Feedback Form
You are welcome to share your feedback through the following means:
Email: grsl@grgroup.ccPhone: 0769-88002930Address: 4th Floor, Building 1, Songke Yuan, No. 4 Libin Road, Songshan Lake High-tech Industrial Development Zone, Dongguan City
Definition Entryrefers toDefinition Contentrefers torefers torefers torefers torefers torefers torefers torefers torefers torefers torefers torefers torefers torefers torefers torefers torefers torefers torefers torefers torefers torefers torefers torefers torefers torefers torefers torefers to
Message from Chairman | About GR | Sustainable Development Management | Governance | Service | Environment | Society | Appendix
Company, GRDongguan Evergrowing TerminalDongguan Great River Petrochemical TerminalDongguan Great River Petrochemical TerminalLishadao BaseZhongshan HongchuanTaicang Power Shell PetrochemicalJiangsu Changjiang PetrochemicalNantong Power Shell PetrochemicalNantong Hongzhi LogisticsNantong Great Smart, Nantong YilianNantong BaseChangzhou Great RiverChangshu Great RiverChangshu Great SmartChangshu BaseFujian Gangfeng EnergyNanjing Great RiverNingbo NingxiangWeifang Great RiverRizhao Great RiverCangzhou Great RiverChengdu Great Smart WarehousingNingbo ChenlingGeneral Meeting of ShareholdersDirectors or Board of DirectorsSupervisors or Board of SupervisorsHSEYuan, ten thousand yuan
refers to
Guangdong Great River Smarter Logistics Co., Ltd.Dongguan Evergrowing Terminal Co., Ltd. is a wholly-owned subsidiary companyDongguan Great River Petrochemical Terminal Co., Ltd., a wholly-owned subsidiary of the companyDongguan Great River Petrochemical Terminal Co., Ltd., a wholly-owned subsidiary of the companyIncluding Dongguan Evergrowing Terminal,Dongguan Great River Petrochemical Terminal, Dongguan Great River Petrochemical TerminalHongchuan Petrochemical Storage Co., Ltd.,a wholly-owned subsidiary of Dongguan Evergrowing Terminal in Zhongshan CityTaicang Power Shell Petrochemical Co., Ltd., a wholly-owned subsidiary of the companyJiangsu Changjiang Petrochemical Co., Ltd.is a partially-owned company of Nantong Power Shell Petrochemical Co., LtdNantong Power Shell Petroleum Logistics Co., Ltd., a wholly-owned subsidiary of the companyNantong Hongzhi Chemical Logistics Co., Ltd.,a wholly-owned subsidiary of Nantong Power Shell Petrochemical Co., LtdNantong Great Smart Petrochemical Terminal Co., Ltd.( the original name was Yilian Energy (Nantong)Co., Ltd.) is a wholly-owned subsidiary company of Nantong Power Shell Petrochemical Co., LtdIncluding Nantong Power Shell Petrochemical Co., Ltd.,Nantong Great Smart, and Nantong Hongzhi LogisticsChangzhou Great River Petrochemical Terminal Co., Ltd.is a subsidiary holding company of Taicang Power Shell Petrochemical Co., LtdChangshu Great River Petrochemical Terminal Co., Ltd.is a wholly-owned subsidiary company of Taicang Power Shell Petrochemical Co., LtdChangshu Great Smart Petrochemical Terminal Co., Ltd.is a wholly-owned subsidiary company of Taicang Power Shell Petrochemical Co., LtdIncluding Changshu Great River, Changshu Great SmartFujian Gangfeng Energy Co., Ltd. is a holding subsidiary companyNanjing Great River Petrochemical Terminal Co., Ltd. is a subsidiary holding companyNingbo Ningxiang Liquid Chemicals Terminal Co., Ltd. is a subsidiary joint venture companyWeifang Great River Liquid Chemicals Terminal Co., Ltd.Rizhao Great River Warehousing & Logistics Co., Ltd.is a subsidiary holding company of Dongguan Evergrowing Terminal Co., LtdCangzhou Great River Warehousing & Logistics Co., Ltd.,a subsidiary of Nantong Power Shell Petrochemical Co., LtdChengdu Great Smart Warehousing Co., Ltd. is a wholly-owned subsidiary companyNingbo Chenling Liquid Chemical Storage Co., Ltd.General Meeting of Shareholders of Guangdong Great River Smarter Logistics Co., Ltd.Directors or Board of Directors of Guangdong Great River Smarter Logistics Co., Ltd.Supervisors or Board of Supervisors of Guangdong Great River Smarter Logistics Co., LtdThe abbreviation for Health, Safety, and Environment is HSE,which stands for Health, Safety, and EnvironmentChinese Renminbi yuan, ten thousand yuan