SINCERE CREATIONPREEMINENT PURSUIT
2023
ESG
RONGSHENGSUSTAINABILITY REPORT
Rongsheng PetrochemicalOcial Account
Stock Code : 002493
RepoInformation
This repo elaborates the peormance and management measures of Rongsheng Petrochemical Co., Ltd. (hereinafter referredto as “Rongsheng Petrochemical,” “the Company,” or “we”) in terms of the environment, society, and corporate governance in2023, with paicular focus on stakeholder concerns.RepoingScope
The repo covers the Company's information and data from Janua 1, 2023 to December 31, 2023 (hereinafter referred to as“the repoing period”), and some of the contents can be traced back to previous years or extended to 2024. The repo coversRongsheng Petrochemical and its subsidiaries, and a small poion of the data covers less than the scope dened above.Contents that refer to Zhejiang Rongsheng Holding Group Co., Ltd. (hereinafter referred to as “Rongsheng Holding”), theparent company of Rongsheng Petrochemical, is specied separately.PreparationBasis
This repo is prepared based on the Self-regulato Guidelines for Companies Listed on the Shenzhen Stock Exchange No.1:
Standardized Operation of Companies Listed on the Main Board, Shenzhen Stock Exchange Social Responsibility Instructions toListed Companies, Corporate Social Responsibility Repo Preparation Guide for Chinese Enterprises (CASS-CSR 5.0), and GB/T36001-2015 Guidance on Social Responsibility Repoing.This repo is determined in accordance with an established set of procedures, which consists of identifying and prioritizingmaterial issues about the environment, society, and corporate governance, determining the scope of the repo, collectingrelevant information, compiling the repo, and reviewing the information in the repo.Data Source
The nancial data in this repo comes from the Annual Repo. Other information and data are from relevant internal statisticalrepos and documents of the Company. The amount of currency associated with the Company is measured in RMB.Glossa
For the convenience of presenting and reading, “the Company,” “Rongsheng Petrochemical,” and “we” in this repo all referto Rongsheng Petrochemical Co., Ltd. and its subsidiaries. Other companies are referred to as follows:
ZPC refers to Zhejiang Petroleum & Chemical Co., Ltd.Zhongjin Petrochemical refers to Ningbo Zhongjin Petrochemical Co., Ltd.Rongsheng (Singapore) refers to Rongsheng Petrochemical (Singapore) Pte. Ltd.Rongsheng Energy refers to Rongsheng Energy Co., Ltd.Yisheng Dahua refers to Yisheng Dahua Petrochemical Co., Ltd.Yisheng New Material refers to Zhejiang Yisheng New Materials Co., Ltd.Hainan Yisheng refers to Hainan Yisheng Petrochemical Co., Ltd.Shengyuan Chemical Fiber refers to Zhejiang Shengyuan Chemical Fiber Co., Ltd.Yongsheng Technology refers to Zhejiang Yongsheng Technology Co., Ltd.
Languages
The repo is published in simplied Chinese and English. In the event of contradiction between the two versions, the simpliedChinese version shall prevail.RepoAssurance
The Company engaged PricewaterhouseCoopers Zhong Tian LLP to provide limited assurance on the selected 2023 key datain the 2023 Sustainability Repo. Please refer to the chapter “Independent Assurance Repo” for more information.
Conrmationand approval
Upon conrmation by the management, the repo was approved by the Board of Directors and issued on April 24th, 2024.
Access
This repo is available in simplied Chinese and English for readers' reference. To browse online or download this repo, pleasevisit the ocial website of Rongsheng Petrochemical at http://www.cnrspc.com, or cninfo at www.cninfo.com.cn.We value the opinions of our stakeholders and welcome reader communication through the following methods. Your sugges-tions will help us fuher improve this repo and our social responsibility management.Telephone: +86-571-82520189Ocial website: http://www.cnrspc.comAddress: 678 Xinyi Line, Yinong Town, Xiaoshan District, Hangzhou, Zhejiang ProvinceE-mail: rspc@rong-sheng.com
About the Repo
CONTENTS
About the RepoChairman's Message
Future ProspectsIndexReader's Feedback Questionnaire
About RongshengPetrochemical
About UsMarket StructureCore CompetitivenessRecognition and PeormanceHighlightsRemuneration AppraisalStakeholder Communication andAnalysis of Material TopicsESG Governance
Ensuring OperationalCompliance to EnhanceGrowth Strength
Corporate GovernanceInformation Disclosure ManagementInvestor Relations ManagementBusiness Ethics Management
Creating Momentum byReinforcing Quality andSafety
Guarding Work SafetyStrengthening R&D InnovationEnhancing Quality Management
Conseing Ecologyand Unleashing GreenPotentialEnhancing Environmental ManagementStrengthening Carbon Emission ManagementReducing Resource ConsumptionControlling Pollutant DischargeSeizing Clean Technology OppounitiesMain Environmental Peormance Indicators
Working Together inHarmony for CommonProgressProtecting Employees' Rights and InterestsStriving for High-Quality SeicesPracticing Responsible SourcingBuilding a Better Community
SINCERE CREATION PREEMINENT PURSUITSINCERE CREATION PREEMINENT PURSUIT
Chairman's MessageRongsheng Petrochemical always rides out the storm and forgesahead despite hardships. Being in the petrochemical indust, thefoundation and pillar of the national economy, we always adhereto the business philosophy of “Sincere Creation, PreeminentPursuit,” advance the coordinated development of the industand the low-carbon transformation and upgrade of the Company,and enhance the international competitiveness and the greendevelopment impact of our business. Even in the ever-changinginternal and external environments, Rongsheng Petrochemical hasbeen eectively securing its steady operation. We havesuccessfully completed the construction of major projects andwitnessed continuous rise in our sustainable development brandvalue. We have become one of the leading enterprises in theworld, contributing to the steady industrial growth and the stableeconomic peormance of our count.Maintaining compliance in the workplace, we operate withintegrity while always being on ale against potential risks.Rongsheng Petrochemical plays a leading role with its advancedgovernance model. We rened internal systems, optimizedcommunication channels for investors, and adhered to businessethics to cultivate an atmosphere of compliance. The Companyreinforced the long-term mechanism for safe production andchemical management, continued to improve quality controlstandards, and ensured the implementation of safetyresponsibilities to safeguard employees' occupational health. Byviue of highly resilient industrial chains and strong suppo fromour clients, the Company has made progress towards high-qualitydevelopment in both production and sales.
Ramping up innovation eos, we empower our growth withthe spirit of continuous exploration and a wish for success.Rongsheng Petrochemical is committed to improving theproduction technology and self-suciency of domestic high-endpetrochemicals and new materials with cutting-edge
technologies. We continued to enhance our dedication andinvestment in scientic research and innovation and have set up ahigh-capacity innovation system to accelerate the R&D of newtechnologies. Rongsheng Petrochemical fuher standardizes theapplication and reward of scientic and technologicalachievements. In this way, we have sparked enthusiasm forinnovation among employees and enhanced the corecompetitiveness of the petrochemical indust cluster, laying asolid foundation for boosting our international brand inuenceand building up our innovation ability.Always bearing our responsibilities in mind, we achieve win-wincooperation through green actions and low-carbon transition.Rongsheng Petrochemical fully implements the carbon reductionand energy saving management requirements of the state andthe Company. We focused on the development of circulareconomy and clean technology. We strengthened carbonemissions management, actively planned for carbon capture,utilization and storage (CCUS), and continued to research anddevelop new petrochemical processes with low environmentalimpact. We intensied environmental management andconducted environmental monitoring and auditing to reduceenvironmental impact and build a whole life cycle low-carbonmanufacturing system.
Where there is a will, there is a way. Rongsheng Petrochemicalstrives to create a “Golden Card” for China's rening and chemicalindust and become a “doer” in practicing green development.We take compliant and steady development and abiding bybusiness ethics as the righteous path of “rock solid faith anddetermination.” We take high-quality business operation andmulti-directional R&D breakthroughs as our responsibility of“endless search and innovation.” We deem low-carbondevelopment, environmental protection and ensuring productionsafety as the necessa way to “excel and strive to be the rst.”With pioneering and innovative spirits, Rongsheng Petrochemicalwill gather its strength and take concrete actions to create abrighter future and compose a new chapter of achievements.
Li Shuirong Chairman
SUSTAINABILITY REPORT 2023
Chairman'sMessage
About RongshengPetrochemicalAbout theRepo
OperationalCompliance
ConseingEcology
Quality andSafety
Working Togetherfor Common ProgressAppendix
SUSTAINABILITY REPORT 2023
About RongshengPetrochemical
| About the Repo | Chairman's Message | Operational Compliance | Conseing Ecology | Quality and Safety | Working Together for Common Progress |
Appendix
006SINCERE CREATION PREEMINENT PURSUIT
About RongshengPetrochemical
SINCERE CREATION PREEMINENT PURSUIT
The Company's footprints cover a plenty of provinces domestically, countries and regions globally.
Market Structure
About UsRongsheng Petrochemical Co., Ltd. (SHE: Rongsheng Petrochemical, 002493), headquaered in Hangzhou, Zhejiang Province, is one of theleading companies in the global petrochemical indust. Focusing on our prima business and remaining in our indust, we are an internationalenterprise based on the development of the whole petrochemical indust chain. The Company has nearly 20,000 employees and is equippedwith a high-tech R&D center, a workstation of academicians and expes, an enterprise technology center, and a post-doctorate science andresearch workstation. Our competitiveness and our products' brand value are ranked at the forefront of the global indust.The Company adheres to the development strategy of “Two-way of Veical and Horizontal” and strives for the sustainable management goal ofthe “Centurial Enterprise, Trillion Target.” The Company has seven production bases in the Bohai Economic Circle, Yangtze River Delta EconomicCircle and Hainan Belt and Road Economic Circle. It has established ve indust chains of polyester, engineering plastics, new energy, high-endpolyolen, and specialty rubber. It is one of Asia's major manufacturers of polyester, new energy materials, engineering plastics, andhigh-value-added polyolen, and it has the world’s largest production capacity of chemicals such as PX, PTA.On the basis of the existing and complete industrial chain, the Company has been actively launching projects of new energy and new material relatedbusinesses, and the propoion of these products has been increasing. Meanwhile, the Company has been actively planning for globalized operation. In2023, the Company introduced Saudi Arabian Oil Company (hereinafter referred to as “Saudi Aramco”) as a strategic investor and signed the SharePurchase Agreement as well as a package of strategic cooperation agreements with a wholly-owned subsidia of Saudi Aramco to establish astrategic cooperative relationship. At present, Saudi Aramco holds 10%+1 of the Company's shares, and the Company's grand blueprint foroverseas development has fuher unfolded.2023Strategic investor
Saudi Arabian Oil Company
Corporate CultureCorporate culture is of utmost impoance for the Company'ssustainable development. During more than 30 years ofdevelopment, Rongsheng Petrochemical has always beenfollowing its corporate culture construction to undeakesocial responsibility actively and take the path of greeninnovation and sustainable development.
Core values
Honest, optimistic, and grateful
Be a centurial enterprise that is responsible,indust-leading, and sustainably protable
See the count with indust andlead industrial development
Vision
Mission
Managementconcept
Sincere Creation,Preeminent Pursuit
SINCERE CREATION PREEMINENT PURSUITSINCERE CREATION PREEMINENT PURSUIT
Holds 10%+1 of the Company's shares
SUSTAINABILITY REPORT 2023
Chairman'sMessage
About RongshengPetrochemical
About theRepo
OperationalCompliance
ConseingEcology
Quality andSafety
Working Togetherfor Common ProgressAppendix
RecognitionCore Competitiveness
SINCERE CREATION PREEMINENT PURSUITSINCERE CREATION PREEMINENT PURSUIT
Advantage in ComprehensiveIndustrial Synergy
After years of development and improvement, theCompany has seized the oppounities in theindust adjustment and realized rapid growth,with the development mode of “a drop of oil toevething in the world.” Through the extensionof the industrial chain, the Company haseectively reduced business costs, realized themutual suppo of upstream and downstream,and also improved its sustainable protability andanti-risk ability.
Advantage in OutstandingStrategic LayoutThe Company has a strong market sensitivity andexible decision-making mechanism, keeps aneye on market dynamics, and makes timely andaccurate adjustments to the strategy under theinstitutional advantages of its own fast pace andfew links, and grasps the oppounities of themarket situation. The management has a keeninvestment acumen, accurate timing of projectproduction, and excellent investment andnancing capabilities.
Advantage in SignicantCompetitive LocationAlong the eastern coastline of China, theCompany production bases are mainlydistributed in Dalian, Liaoning Province ofthe "Bohai Economic Circle", Ningbo,Zhejiang Province of the "Yangtze RiverDelta Economic Circle" and Haikou, HainanProvince of the "Belt and Road EconomicBelt" and "Maritime Silk Road". Allproduction sites are adjacent tohigh-quality pos, connected to the canal,and the terminal facilities are fullyequipped. The main raw materials andother auxilia raw materials required forthe production of the Company's productscan be unloaded and stored at thecompany's self-built or rented chemicalmaterial wha, which greatly facilitates thetranspoation of commodity bulk rawmaterials and their invento adjustment.
The Company attaches greatimpoance to the construction ofcorporate culture, has a good workingatmosphere, has a strong corporatecohesion, and has a group of stablecore management, research anddevelopment, technical talents throughinternal training, external introduction,etc. The Company values the cultivationof on-the-job employees, based onreality and comprehensive planning,constantly broadens the employeeselection platform, and establishes aneective incentive mechanism, so thatall kinds of talents have a "place to use".
Advantage in AbundantTalent Resource
Advantage in Strong R&DInnovationThe Company adheres to the two-wheeldriven scientic and technological researchand development model of "independentinnovation" and "open cooperation". It hasbuilt a rst-class research anddevelopment platform such as a high-techresearch and development center, anacademician expe workstation, anenterprise technology center, and apostdoctoral research workstation. At thesame time, we actively car out foreigntechnical exchanges and discussions,promote the integration of indust,university and research cooperation,integrate the resources of universities,society, enterprises and other paies, worktogether to improve the level of scienticresearch, promote technological progress,and jointly create an open, healthy,win-win innovation ecology. In recentyears, the Company has continuouslyincreased scientic research cooperationwith domestic and foreign countries, andits R&D investment has increased year byyear, and has maintained a leading level inthe indust.
The Company adheres to institutionalizedconstruction, integrates digitalization,intelligence, standardization, process andnormalization into the operation of theenterprise, fully integrates procurement,production, invento, sales and otherbusiness links, and continuously improvesthe ability to respond quickly. TheCompany has established a set ofeective management systems based onits own actual situation, claried jobresponsibilities and work processes, andeectively reduced operating coststhrough rened management.
Advantage in EcientOperation and ManagementCoreCompeti-
tiveness
Excellent Case ofNational HealthyEnterpriseConstructionTitle of “2023Excellent IntelligentManufacturing
Scenarios”Forbes 2022China ESG5016th of 2023 Global
Top 50 Chemical
Firms
General Oce of the National
Health Commission of thePeople's Republic of ChinaMinist of Indust and InformationTechnology of the People's Republic of
China
China Enterprise Confederation, ChinaEnterprise Directors Association
China Enterprise Confederation, ChinaEnterprise Directors Association
China Petroleum and ChemicalIndust Federation, China ChemicalEnterprise Management Association
China Association for PublicCompanies
China Association for PublicCompanies
Forbes ChinaChemical & Engineering News (US)
ESG Best PracticeCase of ChineseListed Companies in2023The Best PracticeCase of the 2023 BestPractice CreationActivity of the Boardof Directors of ListedCompanies
15th of the Chemical
ProducersBillion-dollar Club11th of the ICISTop 100 Chemical
Companies7th of theChemicals 252023 Ranking136th of 2023Foune Global 500
Chemical Week (US)Independent Commodity IntelligenceSeices (ICIS), a data and analysis provider
in the global petrochemical marketBrand FinanceFoune Magazine (US)
10th of the Top 500Chinese Manufacturing
Enterprises
2022 JRJ NavigatingChina “Golden WisdomAward” DigitalInnovation Practice
Award2nd of 2023 ZheShang National Top
500 EnterprisesCarbon Neutral Top50 of the Golden BullAward in the 1st China
Reform Cup6th of the 2022 Top 500Petroleum and ChemicalEnterprises (General) bySales Revenue
JRJ.comZhe Shang MagazineChina Securities Journal
40th of the Top
500 ChineseEnterprises
SUSTAINABILITY REPORT 2023
Chairman'sMessage
About RongshengPetrochemical
About theRepo
OperationalCompliance
ConseingEcology
Quality andSafety
Working Togetherfor Common ProgressAppendix
Remuneration AppraisalThe Company has adopted the Rongsheng Holding Group Overall Appraisal Program (hereinafterreferred to as the “Appraisal”), which takes the Company's Directors, Supeisors, and seniormanagement into consideration, and has incorporated changes in sustainability peormanceindicators into the remuneration structure of Directors, Supeisors and senior management, so thattheir remuneration is tightly linked to sustainability goals. The Appraisal involves daily HSE supeisionand management (including contractors), incident management, safety training, employeesatisfaction, and business ethics. The Company conducts annual appraisals of Directors, Supeisors,and senior management in accordance with the Appraisal and determines the annual bonusallocation plan on the basis of the appraisal scores.
HSE Supeision andManagement (Including
Contractors)
Incident
Management
Employeesatisfaction
BusinessEthics
SafetyTraining
Name
Fixed sala [monthly payment](RMB 10,000)
Remuneration of the Company's Senior Management in 2023
Variable pay [year-end payment] (RMB 10,000)
Totalremunerationpayable beforetax
Totalactualremunerationbefore taxTotal SalaOther allowances
Annual Bonuspayable before tax
Actual annualbonus before taxXiang Jiongjiong
139.91.8591.9391.68233.68233.43Zhou Xianhe120.31.6535.7732.24157.72154.19Quan Weiying69.011.7627.0527.3197.8298.08Wang Yafang69.391.6827.0527.0698.1298.13Note
Variable compensation is determined based on the achievement of assessment indicators set at the beginning of the year, including resource andenergy consumption data, compliant emissions, stakeholder relationship management, brand building, and other sustainability peormance. In2023, the Company's senior management has practically completed the goals set at the beginning of the year.
SINCERE CREATION PREEMINENT PURSUITSINCERE CREATION PREEMINENT PURSUIT
Peormance Highlights
177,024.28
289,094.84
325,111.61
337,177.25
362,587.42
374,918.44
3,915.26
4,367.11
6,555.28
100100
Safety investment (Unit: RMB million)
202120222023
R&D investment (Unit: RMB million)Environmental protection training coverage (Unit: %)
Operating income (Unit: RMB million)Total assets (Unit: RMB million)
202120222023
202120222023
202120222023
351.82
2022
541.58
2023
Total safety training coverage (Unit: %)
2022
2023
SUSTAINABILITY REPORT 2023
Chairman'sMessage
About RongshengPetrochemicalAbout theRepo
OperationalCompliance
ConseingEcology
Quality andSafety
Working Togetherfor Common ProgressAppendix
During the repoing period, we conducted questionnaire sueys with internal and external stakeholders on material topics related to RongshengPetrochemical's social responsibility to comprehend their impact on the Company's sustainable development and our stakeholders. We sucientlyunderstood stakeholders' expectations and suggestions for Rongsheng Petrochemical and analyzed the material topics to provide a basis forformulating long-term sustainable development strategies. We identied 9 topics with high degree of materiality, 8 topics with medium degree ofmateriality, and 2 topics with low degree of materiality. Among them, topics with high materiality comprise the fundamental pa of this repo. Wewill detail the information on these topics in the repo.The Analysis Process for Material Topics
StakeholderCommunicationand Analysis ofMaterial TopicsWe are committed to building cooperative andmutually benecial relationships with bothinternal and external stakeholders to achievewin-win situation and maximized value with jointendeavors. Our key stakeholders includeshareholders and investors, government andregulators, customers, employees, paners, andthe community. We maintained activecommunication with stakeholders during therepoing period via multiple channels to learnabout their demands and concerns andresponded to stakeholders with practical actions.
Concerns
CommunicationChannelsComplianceRisk managementPeormance growth andreturnBusiness ethics
Shareholders' MeetingsCompany announcementsRegular repos andcommunicationPress conferences/meetingsInvestor sueysHotlineMailboxWeChat ocial accountPressrelease/announcementsThe Company's ocialwebsiteRegular communicationInformation disclosure
Suggestion boxesEmployees' meetingsHotlineEmployee eventsSeice evaluationTechnical meetingsOnline communicationRegular visitsSuppliers' meetingsHotline
Charity eventsMedia communicationand coverageSite visits
Fully paying taxesaccording to the lawSuppoing the statestrategiesLow-carbon operation andenvironmental protectionEnergy conseation andemission reduction
Equal employmentRemuneration and benetsEmployee developmentEmployee careOccupational health and safetyFairness and transparencyIntegrity in contractpeormanceCooperation and mutualbenetsResponsible sourcingProtection of Intellectualpropey rightsSuppoing public welfareand charitySuppoing communityconstructionLow-carbon operation andenvironmental protectionEnergy conseation andemission reduction
StakeholdersShareholders andinvestors
Government andregulators
Employees
Paners
Communities
HotlineE-mailSatisfaction sueysCustomer visitsCustomer complaintsThe Company’s ocial website
Product qualityR&D innovationCustomer rights and interestsCustomer seiceCustomers
SINCERE CREATION PREEMINENT PURSUITSINCERE CREATION PREEMINENT PURSUIT
Shareholders andinvestorsGovernment andregulatorsCustomers
EmployeesPanersCommunities
Identifying potential material topics
By conducting peer benchmarking analysis, external policy research, and sueys on indust development trend, and consulting otherrelevant documents, we identied potential material topics that can reect the impacts of the Company's business on the economy,
environment, and society, or aect stakeholders' evaluation of and decision-making regarding the Company.
Prioritizing potential material topics
We developed a stakeholder communication plan and conducted stakeholder sueys, inteiews, and questionnaires to learnabout the most concerning topics to each stakeholder. We then derived a materiality matrix for identifying truly material topics.
The management verifying the result
The result from the materiality matrix was presented to the management to conrm the materiality of the identied topics and their
impacts. We will truthfully reect the Company's peormance on these topics in the repo.
Review
We checked whether the repo covers reasonable description of the Company's sustainability peormance and whether the
process of preparing the repo is consistent with the basis of preparation. We also gathered input from stakeholders.
SUSTAINABILITY REPORT 2023
Chairman'sMessage
About RongshengPetrochemical
About theRepo
OperationalCompliance
ConseingEcology
Quality andSafety
Working Togetherfor Common ProgressAppendix
ESG Governance
The Company deeply integrated ESG managementwith the development and growth of its operation.We continue to practice social responsibility andwork with stakeholders to generate value andshare development outcomes, acting as acompany that sincerely pays back to the societyand earnestly fullls social responsibility.The Company has set up a top-down ESGstructure that involves multiple paies. The Boardof Directors is the highest decision-making bodyfor ESG governance. The Strategy and ESGCommittee, which is chaired by the Chairman ofthe Board of Directors and has four Directors asmembers. It is responsible for reviewing theCompany's environmental management-relatedmatters, including environmental strategicplanning, environmental goal setting,environmental policy formulation and executionmanagement, climate risk assessments,environmental peormance, and environmentalinformation disclosure. The Strategy and ESGCommittee regularly repos to and is under thesupeision of the Board of Directors. The Oce ofBoard Secreta leads other depaments and thesubsidiaries in implementing and promoting ESGgovernance practices. This structure clearly denesthe responsibilities and promotes the cooperationwithin the Company, laying a solid foundation forthe Company's ESG governance and sustainablemanagement.
Matrix of Material Social Responsibility Topics of Rongsheng Petrochemical 2023
High
Materiality to stakeholders
HighMateriality to the sustainable developent of Rongsheng Petrochemical
Corporate peormance growth
Anti-corruption
Corporate governanceFair business practices
1519
Energymanagement
Greenhouse gas emission
managementManagement of cleantechnology oppounities
EmissionmanagementChemical safety management
Water resourcemanagement
Impacts of climate change
Product safetyand qualityOccupational health and safety
Career development andemployee benetsSupply chainmanagementPrivacy andinformation security
Customer seices
Community contribution
Diversity and inclusiveness
Low
Rongsheng PetrochemicalESG governance structure
Board ofDirectors
Strategy andESG Committee
Senior
Management
Secreta of
the Board
Depaments and
Subsidiaries
Management Level
Decision-makingLevel
Execution Level
SINCERE CREATION PREEMINENT PURSUITSINCERE CREATION PREEMINENT PURSUIT
Governance TopicsEnvironmental TopicsSocial Topics
SUSTAINABILITY REPORT 2023
Chairman'sMessage
About RongshengPetrochemicalAbout theRepo
OperationalCompliance
ConseingEcology
Quality andSafety
Working Togetherfor Common ProgressAppendix
SUSTAINABILITY REPORT 2023
| About the Repo | Chairman's Message | About Rongsheng Petrochemical |
OperationalCompliance
| Conseing Ecology | Quality and Safety | Working Together for Common Progress |
Appendix
Ensuring OperationalCompliance to EnhanceGrowth StrengthThe development of an enterprise not only depends on the fulllment of its economic and legal responsibilities,but also its social and moral responsibilities. With a sound internal governance system, we abide by the laws andregulations and operate with integrity. We are committed to incorporating the concepts of “innovation,coordination, sustainability, openness, and sharing” into our business strategy. The Company also activelyundeakes social responsibilities, establishes positive social relationships, and accelerates the construction of thecorporate social responsibility systems, leading the Company towards a new journey of high-qualitydevelopment.
SINCERE CREATION PREEMINENT PURSUITSINCERE CREATION PREEMINENT PURSUIT
Corporate GovernanceIn strict accordance with the applicable laws, regulations, and listing rules and requirements, including the Company Law of the People's Republicof China, the Securities Law of the People's Republic of China, the Code of Corporate Governance for Listed Companies, the Rules Governing theListing of Shares on the Shenzhen Stock Exchange, and the Self-regulato Guidelines for Companies Listed on the Shenzhen Stock Exchange No.1:
Standardized Operation of Companies Listed on the Main Board, Rongsheng Petrochemical continues to rene the corporate governancestructure and sound internal control system to regulate the operation of the Company. It constantly improves management requirements andurges the implementation of policies such as the Internal Repoing System for Material Information, aiming to achieve full coverage of the systemsalong with a well-established internal control system to protect the interests of shareholders, stakeholders, and employees to the greatest extent.The Company has established a three-tier governance structure which consists of the Shareholders' Meeting, the Board of Directors, the Board ofSupeisors, and the senior management. The Company has independent business and operational autonomy and operates independently interms of its business, assets, personnel, organization, and nance. Within the repoing period, a total of 10 meetings of the Board of Directors, 9meetings of the Board of Supeisors, and 5 Shareholders' meetings, were held. The convening and corresponding procedures of the generalmeeting of shareholders shall be conrmed by a third-pay law rm to comply with the relevant laws, regulations, normative documents and therelevant provisions of the Aicles of Association of the Company, such as the Company Law, the Rules of the General Meeting of Shareholders, theDetailed Rules for the Implementation of Online Voting at the General Meeting of Shareholders. The general meeting of shareholders of thecompany is a combination of on-site voting and online voting, and voting is carried out by registered voting, and all the proposals of the generalmeeting of shareholders have been passed, and there is no selective information disclosure.
We place emphasis on the diversity in gender, professional background and expeise of our Board of Directors. By the end of the repoingperiod, the Company has 9 Directors and 3 Supeisors, including 1 foreign Director and 8 domestic Directors, and 3 of the Directors are female.Among these Directors and Supeisors, 2 are professors, 1 holds a doctoral degree, and 3 hold master's degrees. Our Directors have theprofessional background in a variety of disciplines including nance, law, and economics, and they all have rich experience in the indust and riskmanagement. They are capable of reviewing the Company's decision-making in a more inclusive, comprehensive, and international perspective,eectively improving the Company's internal governance eciency and laying the cornerstone for the stable and sustainable development of theCompany. The information on Directors, Supeisors and senior management is detailed in the 2023 Annual Repo.Within therepoingperiod
10 meetings
of the Board ofDirectors
9 meetingsof the Board ofSupeisors
Shareholders'meetings
SINCERE CREATION PREEMINENT PURSUITSINCERE CREATION PREEMINENT PURSUIT
SUSTAINABILITY REPORT 2023
Chairman'sMessage
About RongshengPetrochemicalAbout theRepo
OperationalCompliance
ConseingEcology
Quality andSafety
Working Togetherfor Common ProgressAppendix
Information Disclosure Management
We highly value compliance and transparency in information disclosure and strictly abide by the related regulato requirements. We haveformulated internal information disclosure management systems such as the Management System for Information Disclosure Aairs, theInformation Insider Registration Management System, and the Accountability System for Major Errors in Information Disclosure in Annual Repos,and prepared the Specication for Announcement Format to regulate information disclosure standards and repoing procedures and ensure thatthe information disclosed is true, accurate, and complete. In 2023, there were no major negative repos or doubts about corporate socialresponsibility in the public media. For details of the company's prot distribution, please refer to the 2023 Annual Repo. In the future, theCompany will continue to improve the quality of information disclosure and operation standard of the Company. With fair and transparentcommunication, we will enhance our relationship with the capital market and repay the trust and suppo from the investors.
Investor Relations Management
We always adhere to the idea of “respecting and rewarding investors.” We have formulated the Investor Relations Management System andappointed dedicated management personnel for investor relations management and maintenance. We communicate with investors via investorhotline and the Shenzhen Stock Exchange's IRM platform. In addition, the Company hosts peormance briengs and Investor Reception Dayevents, welcomes institutions for on-site research, convenes teleconferences, and actively paicipates in collective Investor Reception Day eventsin the jurisdiction and institutional investment strategy summits, utilizing the various media to establish extensive communication with theinvestors. Through practical and sucient communication and dialogues, the Company has built a positive image in the capital market anddeepened the capital market's understanding of the Company.Business Ethics Management
The Company strictly complies with the Anti-MoneyLaundering Law of the People's Republic of China, theAnti-Unfair Competition Law of the People's Republic ofChina, and other laws, regulations and normativerequirements. The Company has formulated internalpolicies such as the Regulations on Employees' IntegrityPractice and the Business Ethics Policy. This year, theCompany revised the Integrity Practice Commitment andinvited external lawyers to review its contents. Allemployees have signed the latest version of the IntegrityPractice Commitment. We take integrity as an essentialfactor in employee’s career development such as appraisal,appointment, dismissal, and promotion.
A
nti-Mo
ne
y
Laund
ering
Law
of
the
People's
Republic
of
China
Anti-Unfair Competition Law of thePeople's Republic of ChinaRegulations on Employees' Integrity PracticeBusiness Ethics Policy
The Strategy and ESG Committee, Audit Committee, Risk Control Committee, Nomination Committee, and Remuneration and AppraisalCommittee were instituted under the Board of Directors. Each committee assumes its responsibilities and collaborates with the others to ensurethe Company's high-quality development.
① Formulate the Company's long-term development strategy
② Supeise and verify the Company's major investment decisions
③ Review and supeise the Company's ESG matters
① Inspect the Company's compliance with laws and regulations
② Review the Company's accounting policies, nancial conditions, and nancial
repoing procedures
③ Communicate with the Company's external auditors
④ Appraise the internal auditors and their work
⑤ Appraise the Company's internal controls
⑥ Review and supeise the existing or potential risks in the Company
① Analyze the composition of the Board of Directors and dene the
requirements for Directors
② Establish criteria and procedures for the selection of directors
③ Conduct an extensive search for qualied director candidates
④ Conduct a formal review of director candidates nominated by the Board of
Directors and the Board of Supeisors
⑤ Finalize the candidate list for voting on to the Shareholders’ Meeting
① Formulate criteria for the appraisal of Directors, Supeisors and senior
management and conduct the appraisal
② Formulate and review the remuneration policies and schemes for Directors,
Supeisors and senior management
①Focusing on the overall business targets, the Committee executes the basic
process of risk management in all aspects of its management and operationto establish a good culture of risk management
② Establishes a sound risk management system that includes risk
management strategy, risk nancing measures, organizational function systemfor risk management, risk management information system and internalcontrol system to provide reasonable assurance for the overall targets of riskmanagement
Zheng Xiaodong, Li Cai'e,Xiang Jiongjiong, Yan Jianmiao,Shao Yiping
Shao Yiping, Li Shuirong,Yu Fengdi, Yan Jianmiao,Zheng Xiaodong
Yan Jianmiao, Li Shuirong,Yu Fengdi, Shao Yiping,Zheng Xiaodong
Strategy andESG Committee
Note: The chairpersons of the committees are shown with their names in bold.
Audit Committee
Risk Control Committee
Nomination Committee
Remuneration andAppraisal Committee
Li Shuirong, Li Yongqing,Yan Jianmiao, Shao Yiping,Zheng Xiaodong
Shao Yiping, Zheng Xiaodong,Li Yongqing, Li Cai'e,Yan Jianmiao
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At the beginning of each year, the Inspection Depament formulates the annual work plan that coversvarious aspects regarding the business operation and management of Rongsheng Petrochemical and itssubsidiaries, including procurement, sales, production, technology, safety, human resources, comprehensivework, and integrity. Rongsheng Holding and its subsidiaries shall receive at least one inspection eve year.We peorm regular inspection in accordance with the work plan and make prompt adjustments in light ofthe actual progress. For key projects or repoed information, we organize special inspections, issue theinspection repo in a timely manner and formulate optimization suggestions. Companies where problemsarise are required to remedy as soon as possible and subjected to the reevaluation from the InspectionDepament.
Planning stage
Implementation andrepoing stage
The inspected companies shall repo the outcome of their remediation, and the Inspection Depamentshall focus on the implementation of the rectication measures. At the end of the year, the InspectionDepament recapitulates the inspections conducted this year and repos to Rongsheng Holding'sDirectors, Supeisors and Senior Executives Meeting for peormance evaluation of the inspected items,and the results of this evaluation will be considered in the annual appraisal of the subsidiaries.Feedback and reevaluationstage
Improving Inspection Procedures
The Company constantly improves its internal supeision system and regularly studies and deploys key supeision tasks to achieve full coverageof supeision over the Directors, Supeisors, senior management and all employees within the Company. The work plan for inspection isarranged in 3 stages of “Planning - Implementation and repoing - Feedback and reevaluation” as detailed below:
Establishing Management FrameworkThe Company views regulating the conduct of employees and urging them to consciously abide by social and professional ethics as a priority. Weadhere to compliant operation and fair competition, prohibit any form of commercial bribe, money laundering, monopoly, and unfaircompetition, and strictly require all employees and suppliers to abide by business ethics.
Inspection depamentEntity being inspected
Scope of inspectionPlanning stage
Implementation and
repoing stage
key projects and repoed
information
Feedback andreevaluation stage
Formulate annual
work plan
Organize specialized
inspection
Verify rectication
outcomesRecapitulate inspections
conducted this year
Repo rectication
outcomes
Implementrectication
Included in annualappraisal of subsidiaries
Issues inspection repoand provide suggestions forrectication
Rongsheng Holding and
its subsidiaries
Diagram of Inspection Procedures
During the repoing period, theInspection Depament hascompleted 23 inspectionprojects and 79.89% of theissues identied were remedied.We will continue to rectify theidentied issues.
79.89%
The issues identiedwere remedied
The Inspection Depamenthas completed 23inspection projects
Procurement
Sales
Production
Safety &Environment
Comprehensive
HumanResources
Integrity
Other relevantissues
The Board of Directors is fully responsiblefor the supeision of matters related tobusiness ethics and anti-corruption.
The Inspection Depament and Audit Depament take the lead in the specic anti-corruption management and integrity formation.They regularly repo to the Strategy and ESG Committee and the Audit Committee and appraise the business-ethics-related work ofthe Company and its subsidiaries. The depaments cooperate with each other to ensure the work plans are properly implemented.
The Strategy and ESG Committee, headed bythe Chairman of the Company, is responsiblefor formulating work guidelines and keymeasures on business ethics, identifying risksin compliance, and organizing regularsupeision committee meetings.
The Strategy and ESGCommittee also studies,deploys, and implementskey supeision tasksand promptly rectiesany identied problem.
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Business ethics education and training
Business Ethics Training
Guided by the Company's Business Ethics Policy and other policies, we have established and strictly implemented a business ethics trainingsystem. Directors, Supeisors, senior management and all employees are required to complete internal business ethics and anti-corruptiontraining annually. Suppliers of the Company's procurement and sales business mainly submit quotations and bid through the Rongshenge-commerce platform, and all suppliers and customers who paicipate in the quoting and bidding activities on the platform are required to signthe Rongsheng Holding E-commerce Platform Letter of Commitment in advance, which includes the Company's integrity requirements forsuppliers, their employees and customers. Requirements on business ethics and the contact information for monitoring and repoing will bedetailed in the contracts.In 2023, the Directors of the Company paicipated in two training sessions organized by the Company and Zhejiang Province respectively, andthe trainings covered business ethics, insider trading and other related issues. The Company arranged annual trainings on integrity for middle andsenior technical management personnel and employees in key positions, as well as trainings on business ethics for all employees. All employees ofRongsheng Holding and its subsidiaries (including pa-time and dispatched employees) have watched a training video about business ethicsthrough the WeChat ocial account “Rongsheng e-Oce”. This improved the overall business ethics of our employees and helped them formcorrect occupational values. For more details, please refer to: https://www.cnrspc.com/newsinfo/6742318.html .
The Company implements a whistleblower protection mechanism. Access to the information about the whistleblowers and contents of their repoare limited to the Inspection Depament internally. If the repo involves signicant matters, its access will be limited to the investigation task force,preventing information leakage and ensuring the personal safety of whistleblowers. We aim to protect the whistleblower at the source ofinformation. All forms of retaliation are clearly prohibited in the Human Resources Management Regulations, and once relevant problems arefound, they will be seriously dealt with in accordance with the Implementation Measures for Rewards and Punishments for Employees of RongshengHolding Group Headquaers.
The Company's Inspection Depament is in charge of the work related to repoing on integrity. The Inspection Depament assigned dedicatedpersonnel to manage the Repoing Platform and assembled a repo handling group. After receiving a repo, the repo handling groupconducts prelimina analysis and judgement, and categorizes the repo according to the scope of inspection, the nature of the matter, degreeand the severity of the illegality, and whether the Inspection Depament is able to investigate. The investigation task force will provide theiropinions after the prelimina assessment, and the results will be delivered to the whistleblower promptly. For any updates in the future, we willcommunicate with the whistleblower to provide more feedback.
Repoing Approaches
Repoing MechanismTo regulate the peormance of duties and promote ethical practice, the Company established an integrity repoing mechanism to receive andprocess repos from employees and the public. We accept repos on corruption, fraud, neglect of duty, and behaviors that harm our regularproduction, operation, and management activities.
WeChatHotlineMailing E-mail
Reporecipient
Reporegistrar
Repohandling group
Responsibledepament(s)
Reporegistrar
Investigation
task force
Handling according to
internal procedures(following up if necessa)
Discussing how tohandle the repoedmatterRegisteringthe repoReceivingthe repoSubmittingthe repo
Investigating and handling therepoed matter and releasingthe investigation repo
ArchivingGiving feedback on the handling result
Whistleblower
Repoing process
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Conseing Ecologyand Unleashing GreenPotential
Always upholding the green development philosophy, the Company views environmental protection as thefoundation of our sustainable development. In addition to ensuring environmental compliance, we explore carbonreduction, emission reduction, and resource management measures and actively respond to climate change tofulll corporate responsibility for environmental protection.
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| About the Repo | Chairman's Message | About Rongsheng Petrochemical | Operational Compliance |
ConseingEcology
| Quality and Safety | Working Together for Common Progress |
Appendix
Enhancing Environmental Management
The Company continues to improve its environment management system to meet compliance requirements and the needs of green developmentof the Company. We strictly abide by the Environmental Protection Law of the People's Republic of China and the Law of the People's Republic ofChina on Environmental Impact Assessment. Based on the characteristics of their operation, each subsidia developed internal systems includingthe Environmental Protection Management Accountability, the Management Measures for Environmental Protection Facilities, and theEnvironmental Protection Regulations to eectively manage and limit their impact on the environment. We strive to build a resource-conseingand environment-friendly green enterprise.
The Company actively cooperates with the national, provincial and municipal bureaus of ecology and environment on external environmentinspection, recties identied issues timely and investigates for similar ones. The HSE Depament veries the outcome of rectication and thenrepos to the administrative authority on ecology and environment. The Company formulates internal inspection plans and conducts internalenvironment inspections which focus on aspects such as the operation of environmental protection facilities, the compliance of the discharge of"three wastes”, and the operation of the environment-emergency-related facilities. Each subsidia arranges inspections of dierent frequencies inlight of the impoance of equipment, facilities, and production processes to improve environment management by combining internal andexternal checks.The Company places high priority on the normal operation of environmental management system and peorms annual environmental protectionaudits for all processes at all operational sites. The Company cooperates with internal auditing expe group to investigate the environment of theproduction sites, the waste generated during the production process, and the operation of environmental protection facilities, and executesclosed-loop rectication on issues identied by the auditors. The Company continues to promote environmental management system ceication.Subsidiaries that have obtained ISO 14001 environmental management system ceication receive environmental compliance audits byprofessional third-pay auditors once or twice a year, in order to fuher ensure the good functionality of the environment management system.Environmental Management SystemThe Company applies the policy of “putting prevention rst, combining prevention with protection, making reasonable layout and practicingcomprehensive utilization” and the principle of “whoever causes the pollution is responsible for its treatment” to environmental protection. TheCompany's Strategy and ESG Committee assumes the general responsibility for the Company's environment-related strategic planning, policyformulation, and goal setting and implementation. It is also responsible for the review and supeision of matters related to climate change riskassessment, environmental peormance, and environmental information disclosure and repoing them to the Board of Directors. The Companyhas established a two-level HSE management structure covering the Company and its depaments to enact supeision and inspection, fuherstrengthening the development of our environmental management system. 85.71% of the Company's operating subsidiaries have obtained theISO 14001 environment management system ceication, as detailed in section "ISO System Ceication Statistics of the Company".
Environmental Impact Assessment and AuditFor the conseation and eective utilization of resources, acceleration of industrial structure adjustment, and the rational allocation of productionfactors, the Company controls the impact of its projects on the surrounding ecological environment through systematic environmental impactassessment. We incorporate environmental factor identication and monitoring into the whole process of project design, construction, andoperation, and submit our environmental monitoring data and environmental impact assessment results to relevant government agenciespromptly, advancing our environmental management and data system construction. All our new construction, renovation, and expansion projectshave passed environmental impact assessments, which cover environmental hazards, ecological impact assessments, water and air qualityanalysis, and noise monitoring. Within the repoing period, we did not occur any major environmental protection accidents or receive majorcomplaints regarding environmental protection, major environmental administrative penalties or any other social safety issues.
ZPC continued its internal and external system audits. It conducted two external audits and multiple internal audits in the second half of2022 and the year of 2023 on its management system of quality, environment, and occupational health and safety, and successfullyobtained the integrated management system ceication. ZPC engaged external professional auditors to peorm internal audits led bythe Enterprise Management Depament. All businesses and depaments of ZPC remedied the problems identied during the internaland external audits in a timely manner. ZPC organizes annual internal audits and implement closed-loop management for theuncovered problems.
ZPC conducted integrated management system auditCase
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100%
Propoion of pollutantdischarge up to the standard
100%
Propoion of noisecontrolled up to the standard
100%
Number of major environmental pollution accident2023
Investment in environmental protection
659.57 milliontimesRMB
Coverage of environmental
protection training
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Environmental Peormance Management
To improve the eectiveness of environmental management, the Company formulated environmental peormance appraisal systems such as theDetailed Rules for Rongsheng Holding HSE Special Appraisals and the Detailed Rules for Rongsheng Petrochemical Special Appraisals. Oursubsidiaries have established target-based accountability systems and peormance appraisal systems, which link pay for the management withenvironmental peormance to incentivize the employees to fulll their duty of environmental protection.
Target Setting
Each subsidia determines theassessment indicators, includingwater, electricity, steam and otherresource energy consumptiondata, as well as waste gas, waste
water and other complianceemission data.
Peormance RewardsAt the end of the year, cashrewards will be grantedbased on the appraisalresults.Regular AssessmentsThe subsidiaries' progress towardstarget completion is collected and
calculated on a monthly basis.
The Company closely monitors its own carbon emission and strictly manages and accounts for the emission data. Each subsidia develops GHGaccounting plan accordingly and forms an internal repoing mechanism. The emission data is repoed to the superior government depamentafter being reviewed by the internal leader, marking the completion of annual GHG emission repoing and related statistics and accountingprocess. The authority on ecology and environment will engage a third pay to peorm an on-site inspection at the Company. After the result isreviewed by the authority on ecology and environment at municipal and provincial levels, the external accounting is considered completed.We are striving to achieve carbon utilization while actively taking actions to reduce carbon emissions. Based on the concept of circular economy,we recycle the carbon dioxide generated in production and use it to produce high-value products, so as to achieve synergy between energyconseation and emission reduction and carbon dioxide resource utilization.
Environmental management system ceicates obtained by the Company and some of its subsidiaries
As a leading enterprise in the petrochemical indust, the Company is deeply aware that it bears greater obligation to respond to climate changeand the national strategic deployment of “carbon peaking and carbon neutrality” goals. The Company actively adopts eective carbonmanagement measures, continuously develops carbon reduction initiatives at the plants, and explores ways of carbon utilization, contributing tothe achievement of the national “carbon peaking and carbon neutrality” goals and the fulllment of its environmental responsibility. In 2023, theCompany has set the following management goals for carbon emissions:
Strengthening Carbon Emission Management
Leading task force on “carbon peaking and carbon neutrality” has beenassembled. It is responsible for the overall supeision of the Company'scarbon emission reduction, carbon asset management, and carbonemission trading. It also coordinates with other relevant depaments toimplement work on the above-mentioned matters.
For extreme weather caused by climate change (such astyphoons, extremely cold and hot weather, and oods),comprehensive risk investigations have been conducted andemergency plans have been formulated;Emergency drills for extreme weather were organized on aregular basis to improve employees' risk response capabilities.
Climate Risk Management
System Construction
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Process of environmental peormance assessment
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By 2025, reduce at least 3 million tonnes of carbon dioxide emission through energy savingprograms.Taking2022 asthe baseyear
By 2025, reduce the Company's carbon emission intensity per unit value of output by 5%.By 2025, recycle and reuse an additional 500 thousand tonnes of carbon dioxide.By 2028, complete the transaction of an additional 1,615 million kWh of green electricity.By 2025, achieve full coverage of new energy at the Company's main production andoperation units.
Type of goal
Carbon peakingCarbon neutralityCarbon dioxide emission reductionCarbon emission intensity reductionCarbon dioxide recycle and reuseGreen electricity tradingGreen electricity coverage
Carbon management goal20302060
ISO 50001 energy management system ceicate
of Yisheng Dahua
Reducing Resource ConsumptionThe Company is committed to transforming the way it utilizes resources to achieve high resource eciency and suppo the nation's low-carbondevelopment with practical actions. The Company strictly abides by relevant laws and regulations such as the Energy Conseation Law of thePeople's Republic of China and the Water Law of the People's Republic of China. We improve our resource management and productiontechnology, and promote the implementation of and innovation in resource conseation and consumption reduction from aspects such asenergy conseation technological transformation and alternative water resources.Energy ManagementThe Company continues to consolidate our energy management basis andimprove energy management systems and energy managementorganizational structure as per ISO 50001 energy management systems.The subsidiaries of the Company have established an organizationalstructure with the head of each subsidia as the leader and theTechnology Depament as the leading depament. Each depamentshall execute control according to its specialties and responsibilities, andpeorm relevant work in accordance with the requirements of the energymanagement system. As of the end of the repoing period, the Company'ssubsidiaries have obtained the ISO 50001 ceication, as detailed insection "ISO System Ceication Statistics of the Company".The Company established an energy consumption tracking andmanagement mechanism. The energy management group calculates andanalyzes the energy consumption of each production unit monthly. Weoverhaul our units and eliminate abnormal energy consumption and highenergy consumption, implement technological innovation and upgraderather outdated processes and units. At the beginning of each year, theCompany's subsidia sets management targets for electricity, steam, coaland other types of energy, as well as major improvement measures andplans. Each subsidia follows up the target completion progress on amonthly basis, and analyzes and recties unmet goals.The major types of energy consumed during the Company's productionprocesses are electricity, steam, oil, gasoline, diesel and coal. We reduceenergy consumption by adjusting energy structure, implementingtechnological transformation in energy conseation, improving energyconsumption management, and other measures.
We are committed to progressively loweringour dependence on traditional fossil fuelssuch as coal and optimizing our energy mixusing natural gas. In 2023, YongshengTechnology used gas stoves to replacecoal-red ones and consumed 32.94 millionstandard cubic meters of natural gas for fuel.
Energy Structure Adjustment
We plan to achieve goals on energy savingand consumption reduction by optimizingprocess operating parameters, modifyingceain pas of the production units, andinitiate waste heat recove and utilizationprojects.
Energy-conseation TechnologicalTransformation
We continue to optimize the construction ofthe energy module of the MES (ManufacturingExecution System) system to realize theinformation management of energy data.
Improvement of Energy ConsumptionManagement
Energy management measures
ZPC paicipated in national and association standard formulation oncarbon reductionCase
ZPC actively paicipated in the association standard formulation of the Carbon Emission Benchmarks for Ethylene Oxide/Ethylene GlycolPlants and the Carbon Emission Benchmarks for Pollution Control Measures in the Modern Coal Chemical Indust, which are led by theMinist of Ecology and Environment of the People's Republic of China. We also paicipated in the compilation of the TechnicalGuidelines on Collaborative Pollution Reduction and Carbon Reduction in the Ethylene Indust in Zhejiang led by the Depament ofEcology and Environment of Zhejiang Province.
We are well aware that carbon reduction requires the joint eos of all paies. The Company actively seeks oppounities for innovation in carbonemission reduction technologies, share experience and cooperate with paners such as indust associations, and lead the green development ofthe indust.
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ZPC recovers and renes the 120 thousand tonnes of CO
generated by its ethylene glycol plant, and adopts green processes toproduce high-value products, including ethylene carbonate (EC), dimethyl carbonate (DMC), diphenyl carbonate (DPC), andpolycarbonate (PC), forming a complete and integrated “CO
-EC-DMC-DPC-PC” indust chain. The establishment of this industchain can reduce tail gas emission from the ethylene glycol plant by 133 thousand tonnes per year. Compared with traditionalprocesses, the indust chain helps reduce energy consumption by 38 thousand tonnes of standard coal per year and reduce 20tonnes of volatile organic compounds (VOCs) emissions per year. A single set of production unit on the integrated industrial chainprocess can produce 520 thousand tonnes of high-peormance PC resins annually and occupies 30% less area compared withtraditional production units.
ZPC established an indust chain for high-value utilization of carbon dioxide
Case
O-gas fromethylene glycol plant
Ethylene carbonate
（EC）
Dimethyl carbonate
（DMC）
Diphenyl carbonate
（DPC）
Electronic-grade ECBatte electrolyte solvent
Electronic-grade DMCBatte electrolyte solvent
Polycarbonate
（PC）
Carbon dioxide
（CO
）+Ethylene oxide
（EO）
ZPC “CO
- EC - DMC - DPC - PC” industrial chain diagram
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Water ManagementThe Company takes active measures for water conseation in production and operation to improve water consumption eciency. All subsidiarieshave established strict water resource management systems and goals. The relevant operating depaments conduct rened monitoring andaccounting on water consumption data, and repo to the Board of Directors. We are committed to reducing waste of water resources andincreasing the reutilization rate of water by using water-saving equipment and water reutilization technologies and eectively control key waterconsumption points. We also pay attention to the water stress in all of the locations of our operation and have conducted water stress riskassessment and monitoring. For more details, please visit https://www.cnrspc.com/newsinfo/6279673.html .Our production water sources va depending on the project location and are mainly fromthe municipal pipeline network, seawater desalination, and rainwater recycling. Duringproject environmental impact assessment, we examine the water supply risk at the projectlocation and eectively reduce water risks by adopting methods such as establishingcorresponding emergency mechanisms and installing backup water tanks. During theoperation stage, we continue to implement the water conseation measure of “watersaving at the front and water reuse at the end”, and form a water-resources-savingmanagement system with daily monitoring, weekly inspection and monthly summa. Thewater management mainly focuses on water consumption management, goal setting,process and equipment upgrade and alternative water sources.Water Consumption Management
Use MES to monitor the Company's water consumption duringproduction, extract data from the MES regularly to calculatewater balance, investigate any identied imbalances. Theresponsible depaments shall address the problems identied.Establish a water conseation management procedure thatspecies the relevant management structure, objectives,peormance indicators, as well as water-saving measurementand statistics, and inspection and assessment.Maintain water recirculation rate at above 98%.
Goal SettingSet detailed goals related to water resources management forproducts, systems and production units, such as theconsumption of circulating water, deoxidizing water,demineralized water per unit, the replenishment rate of freshwater in the circulating water plant, and analyze progress on goalachievement on a monthly basis.
Process and Equipment Upgrading
For the rst time in the indust, a closed-circuit circulatingcooling water process is adopted, which is basically drain-freecompared to traditional open-circuit circulating cooling watersystems, saving about 20 million tons of water per year.We repair malfunctioning equipment, upgrade equipmentwith high consumption, and promptly retire outdatedequipment. We renovate and upgrade water equipment toreduce water consumption.We continue to inspect and eliminate leakage in plants.
Alternative water sourcesEach subsidia uses alternative water sources such as desalinatedseawater, stormwater, and reclaimed water, to reduce theconsumption of fresh water from the municipal pipeline networkbased on its own circumstances. ZPC uses desalinated seawater forall its production, with current seawater desalination capacityreaching 530 thousand tonnes per day; Yisheng Dahua utilizes seawater, reclaimed water and other non-fresh-water sources toreplace 70% to 80% of the total water consumption in the plant.We research the feasibility of replacing high-grade water withlow-grade water to fuher reduce the water consumption atsource.
73.43%
Percentage ofalternative water sourcesin total water consumptionduring the year
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We have made great achievements in energy consumption management. In September 2023, China Petroleum and Chemical Indust Federation(CPCIF) released the 2022 “Top Runner” List for High Energy-consuming Products in the Petroleum and Chemical Indust. The energy eciency ofZPC's para-xylene xtures was 175.2 kg standard oil per tonne, and the energy eciency of the ethylene unit was 541.6 kg standard oil per tonne,which both ranked rst on the “Top Runner” list.
Through technologicalimprovement, ZhongjinPetrochemical discontinuedthe original naphtha thermaldeoxidization unit and addeda guard reactor. The unitsaves 23 tonnes of steam perhour, with an annual energysaving of 15,000 tonnes ofstandard coal.
Zhongjin Petrochemical's Technological Improvement ProjectCase
Previously, the tail gas fromZPC's gas turbines wasdischarged directly into thefuel pipeline network for useas ordina fuel, which couldnot maximize the value ofthe tail gas. In 2023, ZPCmodied three natural gasturbines, so that they coulduse membrane o-gasinstead of natural gas. Theannual power generationcapacity reached 1.8 billionkWh, and natural gaspurchase was reduced by400 million cubic meters peryear, signicantly savingenergy and resourceconsumption.
Natural gas turbine modication and exhaust gas usageCase
Water management measures
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ZPC's para-xylene xtures ranked rst on theenergy eciency "Top Runner" list
ZPC's ethylene unit ranked rst on theenergy eciency "Top Runner" list
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To reduce water consumption at source, Zhongjin Petrochemical has takendiversied measures to improve the eciency of water consumption:
Transpo the gray water from the coal-to-gas production facility andsalt-containing wastewater from other production areas to the salt-containingsewage treatment unit of the drainage system for treatment. After meeting therelevant requirements, the treated water is used for replenishing circulating water,with a recycling rate of no less than 60%.Optimize the processes of fuel unit of the power station by replacing the productionwater with black water from the coal-to-gas production facility, which can reducewater consumption of production by about 130 thousand tons per year.
This year, ZPC fuher enhanced its water resource management through the following measures:
A rainwater recycling unit with a processing capacity of 800 cubic meters per hour was constructed to use treated rainwater forreghting water replenishment. At present, we have completed the testing of the unit, and are currently laying the pipelines forreplenish water between the unit and the reghting water tank;The reclaimed water unit (phase II of the project) was ocially put into production in September 2023. The unit is designed with aprocessing capacity of 5,000 cubic meters per hour and a water production capacity of 3,500 cubic meters per hour, and all the waterproduced is used for water replenishment in the circulating water plant;Two sets of exhaust steam recove devices for deaerator have been added to the purication equipment of the coal-to-gasproduction facility to collect steam condensation water and transpo it back to the facility for reuse.
ZPC's measures on water managementCase
Zhongjin Petrochemical's measures on
water managementCase
Environmental Philosophy
The Company advocates the green and low-carbon philosophy in daily work and life, and promotes green oce plan in the workplace for ouremployees. The Company continues to raise the awareness of its employees and suppliers regarding environmental protection and organizesvarious special trainings to actively promote knowledge on this topic. We encourage eve employee to consee resources and minimize waste.We integrate paperless working in our daily work to reduce carbon footprint.
Measures to build green workplaces
Encouraging waste soing to makethe best use of it and reduceunnecessa waste.
Applying digital means to optimizethe oine approval process forlogistics, vehicle ent and exit, etc.,and reduce the use of paperdocuments.
Optimizing energy consumption inworkplace, such as reducing thecountdown before computer monitorsentering sleep mode, regulatingair-conditioning and lighting settingsin oce areas, etc.
Utilizing ERP systems to achieve apaperless oce and encourage the useof cloud drives and cloud meetings.
Promoting green travel, arrangeshuttle buses for employees tocommute and reduce the use ofpersonal transpoation.
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Abnormal Discharge
Ground torch: burn the waste gas discharged under abnormal working conditions;Acid gas torch: alkaline wash the abnormally discharged hydrogen sulde gas before burning it;Mobile monitoring vehicles: car out pollution investigation and monitoring, emergency monitoring and dynamic monitoring ofabnormal emissions to guarantee the timely detection and eective handling of abnormal situations.
Organized DischargeEquipment management: strengthen the operationmanagement of environmental protection facilities forpollution sources such as power stations and heatingfurnaces, and use low-nitrogen burners and clean fuels toensure that the online monitoring of exhaust gas emissionsmeets the standards;Sulphide: recover acid gas and conve it into sulphur, usedeep desulfurization solvent to reduce the H2S concentrationin the exhaust gas, and install an alkali washing tower beforethe exhaust gas incinerator to prevent abnormal workingconditions. Use desulfurized d gas in heating furnaces toensure that the emissions meet the petroleum reningstandards;Nitrogen oxides: adopt advanced denitration technologiessuch as selective catalytic reduction (SCR) and UOP ultra-lownitrogen burners to eectively control nitrogen oxideemissions;VOCs: use hydrogen-added gas from low pressure separatoras fuel of incinerators to prevent that exhaust gas carriesVOCs due to incomplete combustion of fuel.
Unorganized DischargeDeodorization device: install deodorization devices for acidicwater storage tanks and sewage storage tanks that are proneto give o odor, so as to reduce the impact of odor on surroundingenvironment;Regular maintenance: regularly conduct Leak Detection andRepair on the valves, pipelines, pumps, and other utilities asrequired, improve operation and management level, andprevent leakage;Monitoring and treatment: establish an informationmanagement system to monitor the real-time data of eachdevice online, identify abnormal emissions and leaks in atimely manner, and control gas leakage at the source. Set upatmosphere monitoring superstation and monitor the airquality of the surrounding environment to identify air qualityanomaly and act promptly;VOCs: take eective sealing and collection measures for themajor processes that dissipate VOCs and give o odor toensure that the exhaust gas is discharged up to the standardafter treatment. Discharge after dilution is prohibited.
The Company reinforces the standardized management of wastewater, exhaust gas, and solid waste, and pays special attention to the preventionand control of toxic and hazardous substances. We strictly abide by the Law of the People's Republic of China on the Prevention and Control ofAtmospheric Pollution, the Law of the People's Republic of China on the Prevention and Control of Water Pollution, and the Law of the People'sRepublic of China on the Prevention and Control of Environmental Pollution by Solid Waste, and other related laws and regulations. We prioritize airpollution control, water pollution control, and solid waste management in our environmental protection work, strictly monitor the dischargevolume and control the total amount of pollutants. We peorm environmental monitoring and emergency monitoring and management at keylocations such as pollution sources, discharge outlets and plant boundaries, evaluate the eectiveness of environmental control and status ofpollutant discharge, and closely monitor the impact of various types of emission on the environment. The pollutant discharge of subsidiaries of keypollutant dischargers listed in the environmental protection depament is detailed in the 2023 Annual Repo.
Controlling Pollutant Discharge
Air Pollution ControlThe Company strictly manages the impact of production plants on the atmosphere and follows the Emission Standard of Pollutants for PetroleumRening Indust and practice “ultra-low emissions”. Each subsidia has formulated the Management Regulations for Exhaust Gas PollutionPrevention and Control, which denes the responsible depaments and their responsibilities, and set requirements for the prevention and controlof exhaust gas pollution from aspects such as pollution prevention and emission management. Through various engineering management andtechnical means, we have strengthened the control of key production processes, and continuously improved the indicators of major pollutantssuch as volatile organic compounds (VOCs), suldes, and nitrogen oxides.Taking into account the dierent types of discharge of air pollutants, we have taken corresponding control measures for organized emission,unorganized discharge and abnormal discharge.
Abnormal DischargeOrganized DischargeUnorganized Dischargegovern
Waste Management
The company continuously optimizes the comprehensive management process for solid waste and has established relevant regulations such asthe Administrative Measures for Solid Waste. It has also established a hazardous waste management ledger and environmental managementplatform. Each of our plants has set up a dedicated waste management depament, which is responsible for coordinating the daily managementand data collection of all sos of wastes. Moreover, each subsidia sets annual waste management goals through peormance andmanagement assessments, aiming to control waste generation at the source.The company treats waste in strict accordance with the principles of “reduction, utilization, and neutralization”. We prioritize waste recycling andreuse, and non-recyclable waste is classied and disposed of based on its level of hazard. Hazardous waste is treated in accordance with nationalregulations through closed-loop processes, and we arranged specialized training for employees responsible for managing the storage andtranspoation of hazardous waste. General solid waste is rst soed, then disposed accordingly.
Yisheng Dahua has constructed a 47,000 square meters wastewater treatment unit with a daily treatment capacity of up to 20,000tonnes. The unit primarily treats production wastewater, beh ushing wastewater, early stormwater, leakage from oil transfer arms,and deck ush water. The main pollutants include COD, suspended solids, and ammonia nitrogen. The wastewater treatment unit isequipped with a series of facilities and processes, including pre-treatment, UASB anaerobic treatment, two-stage aerobic treatment,sludge dewatering and biogas treatment. The treatment eectiveness exceeds both national and local standards.
Yisheng Dahua's Sewage Treatment UnitCase
Water Pollution ControlThe Company attaches impoance to sewage treatment and strives to minimize the impact of wastewater from its operations on the surroundingenvironment. Each subsidia has formulated the Measures for Sewage Management that dene the various indicators for wastewater dischargeaccording to national standards. It also claries the responsibilities of relevant depaments in the management of wastewater pollutionprevention, recycling, classication, treatment and discharge.The wastewater from the Company mainly includes desulfurized wastewater of power station, salt-containing wastewater, sulfur-containingwastewater, oily wastewater, clean drainage, and domestic sewage. Each of our subsidiaries has set up suppoing sewage treatment facilities andoperates them in line with the principle of “shunting clean water from sewage, shunting rainwater from sewage, shunting dierent types ofsewage from each other, and treating based on their propeies” to control wastewater discharge. The special process liquid or wastewater withhigh pollutant concentration from the production unit is pretreated in the unit to reach the control standard, before being transpoed to thesewage treatment plant for fuher treatment. In addition, the Company closely monitors the pH value, chemical oxygen demand (COD), totalnitrogen, total phosphorus, and other indicators of the incoming and outgoing water of each stage of wastewater treatment in strict accordancewith the relevant state requirements to ensure that the discharge meets the standards.
Shengyuan Chemical Fiber classies and collects wastewater in the plant.Dierent types of wastewater are treated with dierent processes accordinglyto ensure that the treated euent meets the national Class I dischargestandards. To maximize water resource utilization, Shengyuan Chemical Fiberalso implements extensive desalination treatment on the treated wastewater,achieving a water reuse rate of over 85%. In the future, Shengyuan ChemicalFiber will aim to achieve zero wastewater discharge from the plant area throughstrengthened wastewater management measures.
Shengyuan Chemical Fiber'scatego-based sewage treatment
Case
In order to reduce the impact of volatile gases on the environment, in 2023,Yisheng Dahua will install VOCs tail gas treatment devices on the oatingroof paraxylene storage tanks in the tank area, and use the catalyticoxidation process to catalytically oxidize the vapor phase volatile organiccompounds produced in the storage tank into carbon dioxide and waterbefore discharge, and the treated waste gas meets the requirements of GB31571-2015 Emission standard of pollutants for petroleum chemistindust.
Treatment of unorganized VOCsdischarge from storage tanks
Case
SINCERE CREATION PREEMINENT PURSUITSINCERE CREATION PREEMINENT PURSUIT
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The waste lter cakes generated by the hydrogen production unit from residual oil are considered hazardous waste. They have a largeproduction volume and high disposal costs. Additionally, these lter cakes contain valuable heavy metals such as vanadium, nickel andmolybdenum. ZPC has implemented a lter cake incineration and recove project. This project is designed to treat the waste lter cakesgenerated by the residual oil hydrogen production unit and recover the valuable heavy metal ash. With a treatment capacity of 66.7 thousandtons per year, the project has achieved both waste reduction and resource recove.
Residual oil gasication and lter cake incineration and recove projectCase
The Company regards the development of clean energy-related businesses asone of its core pillars. We actively identify and seek out the risks and oppounitiesbrought about by climate change. Eos are focused on developing alternativeenergy sources and technologies to mitigate climate change. We keep searchingnew areas like sustainable use of water resources and reducing the use of sourcewater. We are actively engaged in discussions with multiple new energyenterprises to explore new collaboration oppounities in clean technology,thereby increasing our natural capital through the energy revolution. To fuherexpand our new energy capacity and increase the propoion of investment andintegration in the new energy sector, taking 2022 as the base year, the Companyplans to achieve full coverage of new energy at all of its sites of production andoperation by 2025 and complete the transaction of 1,615 million kWh of greenelectricity by 2028.
Seizing Clean Technology Oppounities
Waste management approaches
Hazardous Waste
Hazardous waste mainly comes from rawmaterials and by-products in the productionprocess.Reduction at the source: reduce the generation ofhazardous waste from the source as much as possiblethrough the application of advanced process.Outsourced for disposal: entrust the hazardouswaste that cannot be fuher utilized to thequalied third pay for disposal.
General Solid WasteGeneral Solid waste is mainly divided into domestic waste, industrial wastewithout residual value, and industrial waste with residual value.Domestic waste: regularly transferred to the domestic waste landll by specialvehicles arranged by the engineering depaments.Industrial waste with no residual value: handed over to the qualied industrialwaste handling entity for disposal.Industrial waste with residual value: sold to the external by the sourcingdepament for comprehensive utilization (for example, gypsum and scrap metal).
Zero waste discharge refers to the absence ofwaste discharge during the sta-up phase of thepelletizing equipment. In October 2023,Yongsheng Technology's Polyester Divisionoptimized their production process andsuccessfully achieved zero waste discharge duringthe sta-up of their functional polyestermasterbatch production line without reting.
Yongsheng Technology Achieves Zero Waste Discharge During PolyesterProduction Staup
Case
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Natural gas for power generation
Photovoltaic power generation
Purchasing green electricity
Self-produced biogas1,197,834 MWh
In 2023, the Company's clean energy consumptionwas approximately
Contributed annual greenhouse gas reductionof about
217,620 t CO2e
Clean energy consumption
2023
The Company's revenue from cleantechnologies related products reachedRMB
92.9 billion
Accounting for about 29%of the Company's total operatingincome of the year
Main Environmental Peormance IndicatorsDuring the repoing period, the main environmental peormance indicators
of Rongsheng Petrochemical are as follows:
1 The statistical scope of environmental peormance indicators covers Rongsheng Petrochemical Co., Ltd. and its holding companies. The holding companies include Ningbo ZhongjinPetrochemical Co., Ltd., Zhejiang Petroleum & Chemical Co., Ltd., Yisheng Dahua Petrochemical Co., Ltd., Zhejiang Yisheng New Materials Co., Ltd., Zhejiang Shengyuan Chemical Fiber Co.,Ltd., Rongxiang Chemical Fiber Co., Ltd., Zhejiang Yongsheng Technology Co., Ltd., Rongsheng New Materials (Zhoushan) Co., Ltd., Rongsheng Petrochemical (Singapore) Pte. Ltd., andRongsheng International Trading Co., Ltd.2 Oil is the Company's main production raw material.3 Since this year, due to the adjustment of relevant policies, raw material energy use is not included in the total energy consumption control, and the Company's comprehensive energyconsumption includes fuel and power energy use.4 The calculation of greenhouse gas emissions data is based on the consolidated nancial statements, and is calculated and aggregated based on the shareholding ratio of each subsidiaenterprise.5 Scope 1 GHG emissions refer to the sum of direct greenhouse gas emissions generated by Rongsheng Petrochemical Co., Ltd. and its holding companies through fuel combustionemissions,process emissions, torch combustion emissions in 2023, minus the amount of greenhouse gas recycling collected and utilized in the production process, with reference to theGuide to Accounting Methods and Repoing of Greenhouse Gas Emissions by China's Petrochemical Companies(Trial), and is calculated and aggregated based on the shareholding ratio ofeach holding enterprise.6 Scope 2 GHG emissions refer to the sum of indirect greenhouse gas emissions generated by Rongsheng Petrochemical Co., Ltd. and its holding companies through net purchases ofelectricity and net purchases of heat in 2023, with reference to the Guide to Accounting Methods and Repoing of Greenhouse Gas Emissions by China's Petrochemical Companies (Trial)and the Notice on Conducting the Work Related to the Management of Greenhouse Gas Emission Repoing for Enterprises in the Power Generation Sector in 2023-2025, and is calculatedand aggregated based on the shareholding ratio of each holding enterprise.
Alternative energy and technologies
Photovoltaic construction project: Yongsheng Technologycurrently has 10.4 MW of rooftop solar power and plans to addan additional 9.1 MW of photovoltaic power generation capacityby 2024. Once fully operational, the annual photovoltaic powergeneration will exceed 19.5 million kWh. The Company intends toconstruct a 60 MWp rooftop photovoltaic plant in ZPC Plant. Theproject is expected to be operational in 2025, and will reducecarbon dioxide emissions by 38 thousand tonnes per year.ZPC 10MW/20MWh energy storage project: ZPC has constructeda batte energy storage system with a total capacity of 20 MWh,which is connected to the aromatics production area and the gasturbine area respectively, with a capacity of 10 MWh each. Thebatte energy storage system charges during o-peak hours usingsurplus transformer capacity and discharges during peak hours. Thisnot only avoids the use of fossil fuel energy when there is a shoageof electricity during peak hours but also saves a poion of theelectricity costs during those hours. The system is also equipped withindependent re protection, temperature control, lighting, videosueillance, and other systems to ensure safe and reliable operation.Yisheng Dahua's multiple uses of self-produced biogas:
Yisheng Dahua utilizes the biogas generated from thewastewater treatment of its comprehensive utilization facility. Apoion of the biogas replaces methanol in the crude oilhydrogenation process. The generated hydrogen sees asfeedstock for the main unit's hydrogenation reactor. Anotherpoion of the biogas is sent to the reactive treatment oxidizing(RTO) unit for combustion gas, while the excess biogas is used asfuel in the thermal medium furnace, reducing the consumption ofcoal fuel. Through this method, Yisheng Dahua can save 4,000tonnes of coal annually and reduce approximately 8,000 tonnesof carbon dioxide emissions.
Prevention and control of pollution
Comprehensive utilization of emissions: ZPC is adding anammonia recove unit to its coal-to-gas production facility,which is expected to be completed and operational in 2024.Once in production, it is estimated to produce 19 thousandtonnes of liquid ammonia while reducing ammonia-containingwastewater by 320 thousand tonnes per year. ZhongjinPetrochemical has conducted prelimina technical work on theuse of industrial waste as fuel rods to paially replace coal in aproject, laying a technical foundation for project implementation.rPET physical recycling project: Hainan Yisheng optimized theproduct structure, introduced advanced manufacture techniques,and has put into operation 50,000 tons/year rPET physicalrecycling production capacity. The company's post-consumerrPET produced through a physical recycling process can be usedto produce 100% recycled PET containers for food contact underconditions of use (COU) A-H and J and has received ceicationfrom the US Food and Drug Administration (FDA).
Sustainable use of water resources
ZPC's strong promotion of seawater desalination project: Oneof ZPC's seawater desalination projects - 100 thousandtonnes/day membrane desalination system, addressed the issueof limited freshwater resources in its island location. The seawaterdesalination project development team adopts a site-specicapproach and utilizes an overhead design to fully utilize veicalspace and maximize freshwater production within the constraintsof limited production area. With the technical experience gainedfrom the rst phase of the project, the Company has successfullydeveloped and put into operation a large-scale seawater reverseosmosis unit with a daily production capacity of 35,280 tonnes.
The Company's energy structure is continuously advancing itstransformation to low-carbon and clean energy. In 2023, theCompany took fuher steps to increase the consumption ofgreen power, aiming to reduce carbon emissions resulting fromenergy consumption.Zhongjin Petrochemical and Yongsheng Technology eachconsumed 60 million kWh of green power, a total of 120 millionkWh for the year.Zhongjin Petrochemical entered into a long-term green powertrading framework agreement with Zhejiang Datang EnergyMarketing Co., Ltd. for the period 2024-2028. This agreementoutlines the annual green power transaction volumes to beachieved by both paies during this period, with an estimatedtotal transaction volume of 1.46 billion kWh over the term.In the future, the Company will continue to expand renewableenergy power trading including wind power, photovoltaic,hydropower, continue to explore trading paners, promote theallocation of green power resources of the Company on a largerscale, and optimize the new power trading strategy combiningtraditional power and green power to esco the sustainabledevelopment of the Company.
SINCERE CREATION PREEMINENT PURSUITSINCERE CREATION PREEMINENT PURSUIT
IssueIndicatorUnit20222023
Emissions
Exhaust gas
Sulfur dioxide (SO
) emissionstonne450623Nitrogen oxide (NOX) emissionstonne4,0746,245
tonne163234Volatile organic compounds (VOCs) emissionstonne7,2397,561Wastewater
Total wastewater dischargetonne25,558,41433,666,402Chemical oxygen demand (COD) dischargetonne1,1031,543
Ammonia nitrogen dischargetonne1711Waste
Hazardous wastetonne376,921412,380Non-hazardous wastetonne437,139844,850
Recycled and disposed wastetonne416,497860,810
Resource use
Direct energyconsumption
Coaltonne6,225,3255,797,497Gasolinetonne69Diesel fueltonne4431,289
Oil
tonne37,027,58643,704,505Indirect energyconsumption
Purchased electricityMWh12,282,64211,686,353Purchased steamGJ252,500303,206Comprehensive energy
consumption
Comprehensive energy consumption
tonne of standard coal37,527,56210,465,704Comprehensive energy consumption intensity
tonne of standard coal per
RMB 10,000 of revenue
10.32
Waterconsumption
Total water consumptiontonne166,593,458189,915,691Water consumption intensity
tonne per RMB 10,000 of
revenue
Desalinationtonne119,877,776139,456,606Municipal water systemtonne39,087,24343,061,283
tonne451,824316,894Reused watertonne27,468,17834,160,412Other sourcestonne07,080,908Packaging material
consumption
Consumption of packaging materialstonne33,33449,795Greenhouse gas (GHG)emissions
Scope 1 GHG emissions
tonne of CO
equivalents26,055,74825,287,836Scope 2 GHG emissions
tonne of CO
equivalents7,561,0843,772,401Total amount of GHG emissionstonne of CO
equivalents33,570,14329,060,237GHG emissions intensity
tonne of CO
equivalents perRMB 10,000 of revenue
Environmentalmanagement
Environmental protection investmentRMB 10,00087,53965,957Environmentalprotection training
Hours of environmental protection traininghours72,66259,241Sessions of environmental protection trainingtimes363661
persons20,07630,843
%100100Number of major environmental pollution accidentcase 00
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Quality andSafety
Working Togetherfor Common ProgressAppendix
SINCERE CREATION PREEMINENT PURSUITSINCERE CREATION PREEMINENT PURSUIT
Creating Momentumby Reinforcing Qualityand Safety
With the spirit of craftsmanship, we ensure strict quality control, stay attuned to customer and market trends, andenforce rigorous product and seice quality management. We strive to increase production eciency throughinnovative technology. Additionally, we actively protect intellectual propey, manage product raw materials, andcontinually enhance our core competitiveness, thus generating greater value for the indust and the Company.
SUSTAINABILITY REPORT 2023
| About the Repo | Chairman's Message | About Rongsheng Petrochemical | Operational Compliance | Conseing Ecology |
Quality andSafety
Working Togetherfor Common ProgressAppendix
During the repoing period, each subsidiaformulated work safety objectives andachieved them through the eectiveoperation of the work safety system and theimplementation of work safety managementmeasures. The achievements include thefollowing:
The Company continuously supeises and inspects safety in production areas. We have established a safety supeision team to conductfull-coverage inspection over production chain in the form of daily inspection, special inspection, and irregular inspection to rectify problems in aclosed-loop manner. At the same time, the Company emphasizes safety and health achievements in the depament and employee peormanceappraisals and implement them with a combination of rewards and penalties. The Company organized employees to sign the Work SafetyResponsibility Statement to strictly assure their prima responsibility in their position to ensure work safety. In case of safety accidents, we shalltake disciplina action or levy economic penalties against relevant depament heads based on the accident grade in accordance with internalpolicies, including the Accident (Incident) Management Procedures, the Management Procedures for Reward and Punishment for Work Safety andposition appraisal plans, and incorporate accident details into the appraisal results of relevant depaments. We will also follow up the results ofaccident handling and the rectication of related problems to ensure that such accidents do not repeat.
Hazard InvestigationGuarding Work SafetyRongsheng Petrochemical upholds the development principle of“safety rst, people-oriented, and environmental protection rst”. Itexcels in risk prevention and proactive forecasting, continuouslystrengthens the "red line awareness" of safe production, promotesthe construction of long-term mechanism for safe production,strictly implements the allocation of major responsibility regardingsafe production, focuses on the identication of various hiddendangers in production activities, and comprehensively improves thelevel of safe production management.Work Safety ManagementThe Company abides by relevant state and local laws and regulations, including the Work Safety Law of the People's Republic of China and theWork Safety Regulations of Zhejiang Province. We have developed and improved a number of internal work safety rules and operationalprocedures, including the Management Regulations on Work Safety and Environmental Protection, the Work Safety Responsibility System and theHazard Identication and Risk Grading Control Procedures. We have been working to standardize the work safety management in all subsidiariesand have established an eective work safety management system. During the repoing period, no work-related fatality occurred in theCompany and its subsidiaries.The Company adheres to two work safety management principles of “all employees paicipate, prevention comes rst, safety and health is thefoundation and continuous improvement is a must” and “the person in charge takes the responsibility.” We signed Annual Safety andEnvironmental Protection Target Responsibility Statement together with the subsidia companies, and signed Safety Responsibility Agreement withemployees to strengthen the work safety accountability system and the awareness of production safety responsibilities. We promote allsubsidiaries and production units to build a top-down HSE management structure, and assign work safety responsibilities at all levels.
2023Safety investmentRMB
541.58 million
The HSE management group or the Work Safety Committeeis responsible for:
Setting annual safety objectives and managing assessment plans;Building and improving the framework of work safety system;Formulating the Company's contingency plans for safety andenvironmental incidents, and ensuring the implementation of emergencydrills;Improving the supeision and inspection systems for safety andenvironmental protection;Inspecting safety hazards and implementation of precautionameasures;Conducting regular safety and environmental meetings to review andanalyze the safety production status, and drawing lessons from recentsafety incidents.
The HSE management group or depamentis responsible for:
Implementing tasks arranged by the leadinggroup;Appointing safety sta by team for thesafety management at grassroots level.
No major res, explosions, signicant production safetyaccidents, major equipment accidents, major occupationaldisease hazards, major environmental pollution incidents, orleaks of hazardous chemicals;The rate of hazard rectication reached 100%;Special equipment annual inspection and regular inspectionpass rates reached 100%;
abc
Emergency Management
The Company establishes an emergency management system
and develops emergency response plans for key procedures.
We peorm emergency drills together with relevant
depaments eve year, and rectify the problems found, so as
to continuously improve the comprehensive emergency
response of the Company.
During the repoing period
The Companypeormed safetyemergency drillstimes1,952
with 43,423 paicipations
SINCERE CREATION PREEMINENT PURSUITSINCERE CREATION PREEMINENT PURSUIT
Emergency drill for hazardous chemicals leaking
Safety emergency drill
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The Company regularly monitors and evaluates occupational disease hazards, organizes occupational health examinations for employees, andestablishes occupational health les for them. The Company provides employees who are exposed to occupational disease hazards with pre-job,on-the-job, and o-the-job physical examinations for occupational disease. During the repoing period, the propoion of employees in theCompany who received occupational physical examination reached 100%.
In 2023, Yisheng Dahua conducted various training sessions, includingreghting knowledge, operation of automatic re systems, emergencyresponse plans for safety production accidents, hazard sourceidentication, graded management and control training of safety risks,the Safety Specications of Special Work in Hazardous ChemicalEnterprises (GB 30871-2022), and safety induction for new employees.Fuhermore, following the guidelines of the Dalian EmergencyManagement Bureau's “Three-Day Safety” initiative, a monthlycomprehensive safety exam was implemented to ensure all employeeshave a solid understanding of safety protocols and procedures.Employees are required to pass this exam before they can sta work.
Yisheng Dahua carries out a safety and health training
Case
During the repoing period
Propoion of employeeswho received occupationalphysical examination
100%
Propoion of employeeswith occupational health les
100%
Emphasizing Occupational Health
Attaching great impoance to employees'physical and mental health, the Companystrictly abides by laws and regulations suchas the Work Safety Law of the People'sRepublic of China and the Law of thePeople's Republic of China on the Preventionand Control of Occupational Diseases. TheCompany continues to strengthen internaloccupational health and safety systemsand implement measures to ensure thehealth and safety of employees in allaspects.
| 职业健康安全管理体系认证证书 注册号：0350222S30316R2M 兹 证 明 浙江永盛科技有限公司 注册地址：浙江省绍兴市柯桥区滨海工业区镜海大道 统一社会信用代码：91330621MA2887DL53 管 理 体 系 符 合 GB/T 45001-2020 / ISO 45001:2018 标准 该管理体系适用于 双向拉伸聚酯薄膜（许可要求内）的设计、生产和服务以及膜级聚酯切片生产和服务（涉及场所：浙江省绍兴市柯桥区滨海工业区镜海大道1号）*** | |||||
| 颁证日期：2022年11月3日 有效期最长可至：2025年10月30日注 | |||||
| 兴原认证中心有限公司 | |||||
| （北京市海淀区上地三街9号嘉华大厦C座7层） | |||||
Policy SuppoOur subsidiaries have developedmanagement plans concerningoccupational disease prevention andcontrol based on their business practicesand potential risks, including the PlanningProcedures for Hazard Source and RiskAssessment and Control and the ListSumma for Hazard SourceIdentication, Risk Assessment, andControl Planning
We conduct annual hazard factordetection and monthly routine monitoringin the workplace, and promptly inform theoperation positions of the test results tocreate a favorable workplace foremployees
Hazard Identication
We distribute personal protectiveequipment as required and supeise andinspect whether they are used properly.Moreover, we have emergency protectiveequipment on demand and regularlycheck their eectiveness
Labor Protective EquipmentOccupation Health Training
We car out occupational healthtraining for employees to enhance theirprotection awareness and skillsWe have optimized the Company'smedical assistance system andcontracted with hospitals for medicalseices for work-related inju, toensure the medical assistance toemployees
Medical Assurance
Construction of Safety CultureThe Company has developed the Management Rules for the Implementation of Safety Training and Education and training plans and launchedsafety training activities covering all employees. This year, we developed special training courses on knowledge regarding safety and environment,rst aid, and other knowledge for new employees, enriching our safety and health training contents. We also invite professional reghtingauthorities to train our employees on reghting and re safety knowledge. In addition, we promote the safety competence and abilityassessment and expand the number of employments with ceicates, regulating the safety behaviors of all employees and creating a safetyculture and values system that integrate knowledge and action.During the repoing period
Number of hoursof safety trainingconductedNumber ofpaicipations ofsafety trainingconducted
536,957hours209,898 paicipations
Coverage of thethree-levelsafety trainings insubsidiariesEmployees onceicate-required postsobtain relevant ceicate
100%100%
SINCERE CREATION PREEMINENT PURSUITSINCERE CREATION PREEMINENT PURSUIT
Occupational health and safety management system ceicates granted to
the Company and some subsidiaries
Measures for occupational health management
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We car out pre-job, on-the-job,o-the-job, and emergency physicalexaminations for employees exposed tooccupational hazards, and establishrelevant les to monitor their healthstatus in real time
Occupational Health File
ZPC's National VI motor gasoline production process meets the requirements of cleanliness, the propoion of green gasoline blendingcomponents such as iso-octane and reformed gasoline reaches more than 40%, and the quality indicators of gasoline products such assulfur content and olen content are far lower than the National VI B motor gasoline standard. Low sulfur, low olen, and low aromatichydrocarbon gasoline for vehicles will eectively reduce engine carbon deposition, lower the content of harmful substances andpollutants such as NOx and dienes in car exhaust, and play a good role in protecting car engines and the environment.The solubilized styrene-butadiene rubber produced by ZPC can replace the traditional rubber to make tires, which is bothwear-resistant and heat-resistant under the premise that the raw materials have less impact on the environment, and has a wide rangeof applications in the tire indust, especially in high-peormance tires, such as green tires, anti-skid tires, and ultra-lightweight tires,which will eectively extend the seice life of tires, thereby extending the tire replacement cycle and reducing the generation of wastetires.The rare-eah cis-butadiene rubber produced by ZPC is characterized by high strength, resistance to exing, low heat generation,resistance to wet sliding and low rolling resistance, etc. It can improve the durability and high-speed peormance of tires, and is thepreferred rubber for the development of high-peormance tires and energy-saving tires. High strength and low rolling resistance tireswill eectively reduce engine fuel consumption, thereby reducing car exhaust emissions.
Substitution of substances with environmental and health impacts
Case
The Company strictly complies with the Regulations on the Safety Administration of Hazardous Chemicals, the Regulation on the Administration ofPrecursor Chemicals, the Safety Code for Special Operations in Hazardous Chemical Enterprise, and other relevant state regulations and hasdeveloped internal policies such as the Chemical Management Policy. Based on our subsidiaries' production conditions, we persuade them todevelop chemical safety management systems, such as the Safety Management Measures for Hazardous Chemicals, the Safety ManagementMeasures for Precursor Chemicals, the Detailed Rules for the Safety Management of Hazardous Chemicals Loading, the Management Regulationsfor the Safety Technology Instructions and Safety Labels of Chemicals, and the Management Regulations for Hazardous Chemicals Storage, etc.,clearly regulating the safety management of storage, safekeeping, use, transpoation, disposal and other handling processes of chemicals. Wealso applied or renewed our registration ceicates and safe production licenses for hazardous chemical products according to the proceduresprescribed by the state. For specic policies, please refer to: https://www.cnrspc.com/newsinfo/6369392.html .
Chemical Safety ManagementChemical management policies
Chemical registration and useThe Company conducts a “Chemical Safety Assessment”eve three years for all chemicals used, peorms chemicalidentication of their type and hazards, and develops arelated management ledger. We engage qualied third-payinstitute to prepare Material Safety Data Sheets (MSDS/SDS)for all of our products and intermediates, and publish theMSDS/SDS on the national "Comprehensive RegistrationSeice System for Hazardous Chemicals" and the big dataplatform for the prevention and control of hazardouschemical risks in the regions where our subsidiaries arelocated. We request MSDS/SDS from suppliers for all rawmaterials and 3 chemical agents (catalysts, solvents andadditives) used by the Company. The MSDS/SDS of all oursubsidiaries are available on our website, please referto:https://www.cnrspc.com/newsinfo/6763395.html .
Hazard assessment and hierarchical management and control of chemicals
The Company strictly adheres to state and local chemical catalogue, such as the Catalogue of Hazardous Chemicals, the Catalogue of the WorkSafety Technology and Equipment of Outdated Hazardous Chemicals to Be Eliminated (First Batch), and the List of Strictly Restricted ToxicChemicals in China. We strengthen chemical control to ensure that our production and business activities do not involve chemicals that areexplicitly prohibited, required to be eliminated, or replaced by the state. Currently, none of the chemicals used by the Company involve substanceson the national restricted list. We regularly submit the information about hazardous chemicals, including the production, transpoation, and use ofhazardous chemicals, to governmental platforms like the Risk Management and Control Platform for Hazardous Chemical Enterprises, theHazardous Chemical Road Transpoation Regist, the Hazardous Chemical Registration Information Management System, and the HazardousChemical Safety Risk Monitoring and Early Warning System of the Depament of Emergency Management for governmental supeision.The Company strengthens chemical hazard assessment and risk control. For the Company's products, we referred to the Globally HarmonizedSystem of Classication and Labelling of Chemicals (GHS), the Catalogue of Hazardous Chemicals, the Catalogue of Hazardous PrecursorChemicals, etc., and identied a number of hazardous chemicals including liqueed petroleum gas, naphtha, propylene, hydrogen, benzene,ammonia, and methylbenzene. We conducted hazard assessments for all the identied hazardous chemicals. For the raw materials, auxiliasubstances, lab reagents, and other chemicals, we require each subsidia to peorm a comprehensive chemical risk identication and hazardassessment once a year, conducts matrix analysis of identied chemical risks, and actively identies and responds to the risks of hazardouschemicals in the process of storage, production, use, disposal and transpoation. The Company carries out risk classication and control andhazard investigation and management for the production and storage units involved in hazardous chemicals, sets up tempora storage rooms forhazardous chemicals, prepares hazardous chemicals allocation tables and reaction matrices, and analyzes the contraindications one by one, so asto ensure that the risks of storing hazardous chemicals are under control. At the same time, we formulate Environmental Hazard Risk Identicationand Evaluation Form and Occupational Hazard Risk Identication and Evaluation Form, draw a four-color cha of safety risks, and set upcorresponding safety warning signs for various risks on site to remind employees to pay attention to them and ensure production safety. In thefuture, we will continue to car out screening of restricted chemicals for all chemicals, and if it involves the use of nationally restricted chemicals,we will immediately stop using them and look for alternative low-impact chemicals.
SINCERE CREATION PREEMINENT PURSUITSINCERE CREATION PREEMINENT PURSUIT
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Shengyuan Chemical Fiber's Card of Reminders for Hazardous Chemicals
Adhering to the principle of “safety rst, prevention prevails”, the Company requires contractors to comply with relevant national laws andregulations on work safety and corporate regulations such as the Safety Management Measures for Outsourcing Construction, the HSEManagement Protocol for Contractors, the Management Systems for Contractors, and the Safety and Environmental Protection Assessment Rules forContractors. Meanwhile, the Company conducts qualication reviews on contractors, and incorporates them into our safety managementthroughout the lifecycle from contract signing to project acceptance. The Company requires contractors to promptly rectify construction safetyissues raised by the Company, accept the Company's assessment and punishment, and strive to prevent and reduce safety accidents.
Contractor Safety ManagementThe Company has developed the Special Emergency Plan for Leakage of Hazardous Chemicals. In response to potential leakage of hazardouschemical that are highly toxic, ammable, or explosive, we have established corresponding emergency plans. These plans clearly specify ouremergency organization network and the responsibilities and response procedures of all depaments under emergency response at all levels. Weregularly organize chemical reagent leakage response training and chemical emergency drills, so as to strengthen the employees' awareness ofhazardous chemical risk prevention. For chemical management personnel, the Company posts “Card of Reminders for Hazardous Chemicals”, andrequires them to wear labor protective equipment properly and master emergency response skills. We also provide safety management trainingand drills to enhance employees’ knowledge of chemical safety and reduce the risk of chemical spills.During the repoing period, no major chemical leakage incident or other safety incidents occurred in the Company.
Chemical leakage accident handling and prevention
We review the safety qualications of contractors and verify theirbusiness licenses, qualication ceicates, and work safety licensesand other qualications. Fuhermore, we conduct systematicevaluation on our contractor's HSE management system.We sign the relevant HSE agreements with our contractors beforeconstruction, including the Contractor's Safety Commitment, theIncoming Construction Safety Accountability Letter, and the Project HSEAssurance Contract.
Before construction, we conduct safety review for personnel, tools andequipment, ensure that contractors sign the Safety Education Record,and provide safety education and training for contractor's managementpersonnel and operators. Contractor's personnel are allowed to enterthe site only after obtaining the training ceicate.
We assign dedicated safety engineers to conduct on-site inspectionsand evaluations, and issue rectication notices for problemsidentied. We terminate relationships with contractors who haveserious violations and refuse to rectify them.We regularly organize contractors to car out emergency drills forhigh-risk operations.We evaluate the contractor's peormance online through ERPsystem. We hold regular HSE meetings for contractors. We willinquire, educate, or punish contractors who are responsible foraccidents or commit serious violations or repeated violations.
SINCERE CREATION PREEMINENT PURSUITSINCERE CREATION PREEMINENT PURSUIT
Contractor safety management process
CARD OF REMINDERS FOR HAZARDOUS CHEMICALS
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Working Togetherfor Common ProgressAppendix
The R&D center is responsible for work planning, construction of policies and evaluation system, application of patents and awards and others. Thesubsidiaries are responsible for the implementation of R&D projects. This year, we established the Dongjiang Innovation Center, a research platform,to coordinate and manage our research work. We have formulated the High-quality Innovation Management Regulations (For Trial Implementation)and other suppoing innovation management mechanisms and measures, standardizing the application and reward of scientic and technologicalachievements. The Company sets special funds for innovation each year. We categorize innovation projects according to their diculty and yields,and provide nancial suppo of dierent amounts to them. Employees' contribution to innovation will be used as one of the criteria for appraisal,promotion, and position transfer.
We uphold a technological R&D mode driven by both independent innovation and opening-up and cooperation. We have established manyworld-class R&D platforms, including a high-tech R&D centre, a workstation for academicians and expes, an enterprise technology centre, and apost-doctorate science and research workstation. Moreover, we engage in active technology exchanges and discussions and promote theindust-university-research collaboration to acquire resources from universities, the community, and the Company. With all sectors from society,we jointly promote our research capabilities and technological advancement and create an innovation ecosystem that is open, healthy and coopera-tive, where eveone can win.
Construction of an Innovation Mechanism and Application ofInnovation Achievements
The new dispropoionation catalyst jointly developed by ZhongjinPetrochemical and Tongji University was successfully applied for the rsttime in the #2 dispropoionation unit (3.5 million tonnes/year) of ZPC.This success is attributed to the improvement of the Company'sresearch and innovation capabilities. In view of the working conditionsof aromatics plant and the conditions of raw materials for reaction, thisproject has completed a whole set of research and developmentprocess from laborato preparation to plant production of industrialcatalysts, such as optimization of new catalysts for small trials, kilogramscale up and industrial trial production of catalysts, according to theR&D process of industrial catalysts research and development andapplication. The success of the project is of great signicance to get ridof foreign technology control, continuously improve the technical levelof the production plant, increase the eciency of raw material conver-sion and utilization, and reduce the consumption and production cost.
First industrial application of the new dispropoionation catalyst jointly developedby Zhongjin Petrochemical and Tongji UniversityCase
Strengthening R&DInnovation
The Company practices the innovation-driven developmentstrategy, steadily advances the construction of the innovationsystem and mechanism, and gains strategic insights into thedevelopment trend of the indust in a forward-lookingmindset. We improve our ability to innovate independentlyand conduct technological R&D to achieve a high level ofindependence. We spark the innovation enthusiasm andunleash the potential of our employees, incubate the newmomentum of doing scientic research, fuher boost andvitalize our productivity.
2023R&D investmentmillionpersonsRMB 6,555.28
2023R&D professionals
3,659
As a member of the National Chemical Fiber Indust Standardization Committee, we have led and paicipated in the formulation of a number ofproduct indust standards. To facilitate the application of innovation achievements, we have strengthened our achievement application mecha-nism, the feasibility study and selection and evaluation of scientic research project to identify promising research projects, actively suppoing theindustrialized project productions with promising futures. Some of the research and innovation achievements of the subsidiaries for 2023:
Joint technology development projects with Tsinghua Univer-sity, including the optimization of low temperature methylalcohol washing process and equipment, the improvement ofthe production process and equipment of dimethyl carbonateand the development of micro reaction technology for theoxidation of isopropylbenzene;
Joint eos with professional companies to conduct theprovincial key R&D project of the Development of the Pilot Plantof α Polyolen with a Capacity of 1,000 Tonnes/Year and theProcess Package with a Ten-thousand-level Capacity. Theproject is still ongoing with 1-hexene product successfullydeveloped.Joint project with the Qingdao Institute of Bioenergy andBioprocess Technology of the Chinese Academy of Sciences(CAS) to conduct the experiment of upgrading the crowbarequipment used for polycarbonate depolymerization, which isa technological innovation in the eld of plastic waste recycling;
Joint eos with Zhejiang University, Zhejiang University ofTechnology and Zhejiang Sci-Tech University to conduct theprovincial key R&D project of the Development and IndustrialDemonstration of Key Technologies for High PeormancePolycarbonate Production by Non-Phosgene Method, a completeset of process technology for low-temperature methanolwashing and dimethyl carbonate production units withindependent intellectual propey rights were formed. By now, apilot plant with a capacity of 200 tonnes/year has been built, andan industrial demonstration plant with a thousand-level capacityis currently under construction.
SINCERE CREATION PREEMINENT PURSUITSINCERE CREATION PREEMINENT PURSUIT
World-class R&D platforms established by Rongsheng Petrochemical
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In 2023, Yongsheng Technology's polyester lm expansion project (Phase II) with an annual capacity of 250 thousand tonnes wassuccessfully completed and put into production. The project uses the world’s leading high speed and wide width lm production linemade by the German company DORNIER. The production line has high single-line capacity, and is far superior in terms of equipmentautomation, and energy conseation and environmental protection peormance, improving the variety of polyester functions andproduct stability. The products can be widely used in key elds such as consumer electronics, photovoltaics, optics, automotive, construc-tion and aicial intelligence, providing high-quality lms for the domestic high-end market.
Successful production of Yongsheng Technology's functional polyester lmCase
Enhancing Quality Management
The Company strictly abides by laws and regulations such as the Law of the People's Republic of China on Product Quality, the Interim Measures forthe Administration of Supeiso Spot Checks on Product Quality, and the Provisions on the Supeision and Administration of the Fulllment ofPrima Quality and Safety Responsibilities by Manufacturers of Industrial Products. At the group level, we have developed several quality manage-ment policies, including the High-quality Innovation Management Regulations, the Product Quality Risk Management Measures, the QualityManagement Measures for Ex-facto Products and the Quality Management Regulations on Production Processes. Our all-round quality controlwith high standards and strict requirements covers the entire production process from raw and auxilia materials entering the facto, throughintermediate production process management, to product delive, packaging, and transpoation.The Company strictly implements our product standards and continuously strengthen our quality control standards against benchmark productsin the indust and car out production according to superior product indicators. We have set critical quality control nodes at the product design,raw material procurement and production stages. We develop new products and new processes according to market demands. We set strictquality evaluation standards for raw material procurement, follow the principle of “Five never letting go
” in production and improve internalquality monitoring and testing mechanisms for more eective quality control in the process. We ensure our product quality by adopting quantita-tive assessment methods and setting up key indicators including the rate of qualied incoming raw materials, the rate of qualied semi-nisheddistillates expos, the rate of qualied outgoing products, and the rate of quality complaints. We actively collect suggestions and feedbacks fromour customers. During the repoing period, ZPC received the GB/T 19001-2016/ISO 9001:2015 quality management system ceication, andRongsheng Petrochemical was awarded the “Hangzhou Municipal People's Government Quality Management Excellence Award”.
Intellectual Propey Rights ProtectionThe Company strictly abides by the Patent Law of the People's Republic of China, the TrademarkLaw of the People's Republic of China, and the Copyright Law of the People's Republic of Chinaand other laws and regulations. We implement the policies and requirements of RongshengHolding, including the Intellectual Propey Management Regulations, the Intellectual PropeyManagement Measures and the Patents Management Measures. By conscientiouslyimplementing contract management, archive management, declaration management, andcondentiality management and other intellectual propey right related work, we ensure theeectiveness of our policies on intellectual propey rights. The Company uses others' patentsprudently and strictly obsees condentiality obligations. If we discover any infringement, wewill immediately eliminate potential risks and stop the infringement.We also provide patent protection training to employees, and constantly enhance employees'intellectual propey protection awareness, ensuring that our intellectual propey rights are notviolated while respecting and avoiding infringement of others' intellectual propey rights. Werequire managerial employees to sign a condentiality agreement and a letter of commitment uponjoining the Company, promising to keep condential the information they learn while working for us.2023
Patentsappliedpieces
piecespiecespieces
piecespieces
IncludingInvention patents
Utility modelpatents
Authorizedpatents
IncludingInvention patents
Utility modelpatents
1 The accident handling process will not end until the cause of the accident is clear, the responsible person is dealt with, the rectication measuresare implemented, the responsible person and other employees are educated and the claim is settled.
SINCERE CREATION PREEMINENT PURSUITSINCERE CREATION PREEMINENT PURSUIT
Quality management system ceicates granted to the Company and some subsidiaries
SUSTAINABILITY REPORT 2023
Chairman'sMessage
About RongshengPetrochemicalAbout theRepo
OperationalCompliance
ConseingEcology
Quality andSafety
Working Together
for Common ProgressAppendix
SUSTAINABILITY REPORT 2023
| About the Repo | Chairman's Message | About Rongsheng Petrochemical | Operational Compliance | Conseing Ecology | Quality and Safety |
Working Togetherfor Common Progress
SINCERE CREATION PREEMINENT PURSUITSINCERE CREATION PREEMINENT PURSUIT
Working Together inHarmony for CommonProgressThe Company implements the philosophy of win-win cooperation with external paies and pursuespeople-oriented development. Specically, we are responsive to the demands of internal and externalstakeholders, and give back to employees and society with practical actions. We are also committed to buildinghigh-quality panerships with enterprises in our supply chain, achieving ecient and sustainable production andoperations, and delivering better products and seices to our customers. It is also impoant for us to helpinternal stakeholders to develop and grow. In this way, we can help our employees to continuously grow, realizetheir values and thus revitalize the Company. Moreover, we are working to build a warm relationship with localcommunities, promoting a viuous circle and developing together with them.
Protecting Employees' Rights and Interests
We strictly abide by the Labor Law of the People's Republic of China, the Labor Contract Law of the People's Republic of China, the Regulations onWork-related Inju Insurances, the Provisions on the Prohibition of Using Child Labor, and the Regulation on the Employment of Persons withDisabilities and other related laws and regulations. We have developed internal rules and regulations in this regard, including the RecruitmentManagement Measures, the Human Resources Management Regulations, and the Recruitment Workbook, which are subject to continuousimprovement and updating. They standardize the management of recruitment requirements, recruitment channels, recruitment processes, talentevaluation, and others to safeguard the equal employment and the legitimate interests of employees.We have strict no-tolerance attitude for child labor and forced labor. We clearly state in the Human Resources Management Regulations that noone under the age of 16 shall be recruited, and rmly forbid and reject all types of forced labor. The Company treat employees of dierentnationalities, ethnicities, races, genders, religious beliefs and cultural backgrounds equally. We provide auxilia jobs for the disabled to meet theiremployment needs. We are committed to providing our employees a healthy and equal workplace, resolutely rejecting any so of employmentdiscrimination and harassment, and ensuring that employee interests are not violated.
Recruitment and Employment
The Company developed and improved the Rules for Implementationof Remuneration Accounting and Payment, the Rules forImplementation of Employees' Insurance Management and otherremuneration and benet regulations. The Company conducts annualpeer compensation assessment and research, making eve eo toprovide employees with competitive remuneration and benets, aswell as enhance the Company's attractiveness and retain talents. Inaddition to statuto benets such as "ve insurances and one housingfund" and holidays, we provide a competitive combination of benetsand subsidies to enhance employees' sense of happiness andsatisfaction based on the Employee Welfare Measures and otherpolicies. During the repoing period, we purchased commercialinsurance for all employees and their children.
Remuneration and Benets
2023
Totalnumber ofemployeespersons
19,191
Socialinsurancecoverage
100%
Propoion ofemployeessigning laborcontracts
100%
2023
Expenditure oncompany-fundedphysical examinationRMB 8.53 million
RMB
8.11 million
Expenditure onholiday gifts foremployees
The Company creates a school-enterprise cooperation model with top universities to achieve systematic talent cultivation and promotethe collaboration between industries, universities, and research institutes. In 2023, we signed cooperation framework agreements withmultiple domestic universities, including Zhejiang University, Zhejiang Sci-Tech University, East China University of Science andTechnology, College of Chemical Engineering under Zhejiang University of Technology, Shanghai Maritime University, and NanjingForest University. This enables us to develop a diversied talent cultivation model, provide a wide range of practice and employmentoppounities for students in universities and colleges, and fuher explore and cultivate talents with innovative spirit and practicalability. It also helps the students to improve their competitiveness and clarify their career path.
School-enterprise cooperation empowers innovationCase
SINCERE CREATION PREEMINENT PURSUITSINCERE CREATION PREEMINENT PURSUIT
HealthCommunicationsLeavesTransportationEducationCanteen anddormitoryCaring
We provide physical examinations for employees and deliver mental health lectures.We subsidize employees' communication costs.We provide adequate leaves for female employees during pregnancy, maternity, andbreastfeeding, paternity leave for male employees, and holiday gifts.We provide shuttle bus and other seices for employees.We set up a reading room, invest in schools for the children of non-local employeesand set up scholarships.We provide free work meals and meal subsidies for employees. We constructemployee apaments and sta buildings, and provide rental subsidy and interest-freeloan for house purchase.We organize sympathetic visits to the employees that work under high temperatureand to the families in need.
Types of benets for Rongsheng Petrochemical Employees
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Talent DevelopmentThe Company values the personal development of its employees. The Company has established a robust career development system to evaluatethe work peormance of employees in a scientic and fair manner. The Company has formulated several career development and appraisaldocuments, including the Appraisal Measurements for Management and Technical Personnel Positions and the Job Appraisal Instructions forFront-line Employees. The direct leaders of each depament conduct the regular appraisal and annual appraisal to evaluate the peormance ofemployees comprehensively and reasonably. The high-peorming employees are rewarded sholy after the appraisal.
In 2023, the subsidiaries of Rongsheng Petrochemical endeavored to improve the skills of their employees, and received several honors:
The third unit of the Ethylene Chemical Depament under ZPC won the honora title of “National Workers' Pioneer in 2023”;ZPC Rening and Aromatics Division, Normal Reduced Pressure Operation Depament, Class A was awarded the honora title of "2023Workers' Pioneer of Zhejiang Province";ZPC employees paicipated in the Zhejiang Province Competition of the Console Operators of Chemical Production and won thesecond group prize and the third individual prize;Zhongjin Petrochemical employees paicipated in the Zhejiang Province Competition of the Console Operators of Chemical Production,and won the individual merit award and the third group prize;Zhongjin Petrochemical employees paicipated in the Zhejiang Province Chemical Inspector Competition and won the individual meritaward;
Rongsheng Petrochemical won multiple vocational skills awardsCase
The Company divides the employees into the categories of technology and management, and provides them with appropriate career paths basedon their capabilities, to maximize their strengths. On one hand, the career path of technology is fuher divided into the categories of engineeringtechnology and functional suppo. On the other hand, corresponding management positions are arranged in the management career path tosuppo technology positions, to realize the collaborated management across dierent career paths. Within the two career paths (management +technology), the Company adjusts employee's promotion and development eve year based on business operation and employee appraisal toprovide them with more growth oppounities. In 2023, the Company focused on promoting the building of three talent teams, namely “seniormanagement team, high potential team and specialized team”. We have designed targeted career development programs for talents at dierentlevels in each business segment of Rongsheng Holding and its subsidiaries. In addition, we require paicipants to take pa in the entire processof learning, assessment and evaluation, as well as special research on practical topics. During the year, the overall attendance rate of employeespaicipating in the career development programs reached 99.81%.In order to improve the employee's professional competitiveness, promote their career development and enhance the core competitiveness of theenterprise, the Company and its subordinate companies have applied for and obtained the auto-identication qualication of independent vocationalskills. The ceicates of vocational qualications issued by the Company are widely recognized by positions across all petrochemical and chemical berindustries in China. Therefore, employees' skills are obviously improved, which lays a solid foundation for the sustainable development of the Company.We provide training to employees according to the business development needs of each sector of the Company. This year, adhering to the core principleof “improving the quality of all employees”, the Company developed an annual internal training plan based on the training principle of “being wellinformed and application, safety and environmental protection, positive empowerment”. The Company supeises and inspects the training of eachsubsidia through regular online and oine sueys, and timely identies and resolves issues during the training.
2023
Total investment in employee training
RMB 5.17 million
Paicipants in employee training
262,631
Total number of employeetraining
3,484personspersons
The Company strives to build equal, diverse, and smooth communication channelsfor employees. The Company has established a labor union and holds theemployee representative forum annually to discuss about employees' concernsand collect their opinions and demands. This enables the paicipation ofemployees, and therefore ensures democratic decision-making. We have built abridge between employees and management through the 900123 employeehotline, online employee communication group, satisfaction suey and othercommunication channels, which enables us to respond promptly to issues raisedand solve problems for employees in a timely manner.
Employee Communication
The labor union of Zhongjin Petrochemical cares about employee health, and includes physical examination in employee healthbenets, conducting physical examination for all employees once a year. In 2023, through the physical examination event themed on“Bringing Mobile Medical Vehicle into the Facto”, the labor union managed to directly deliver the physical examination seice to theemployees, which reduced their trac and waiting time and enabled all of them to take the physical examination.
Zhongjin Petrochemical oers physical examination as employee welfareCase
SINCERE CREATION PREEMINENT PURSUITSINCERE CREATION PREEMINENT PURSUIT
1 The Company's total investment in employee training, paicipants in employee training, and total number of employee training in 2023 are fromthe statistics of Rongsheng Holding
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On Women's Day, Zhongjin Petrochemical organized atea a ceremony, inviting female employees toexperience the traditional tea-making process. Amaster of tea a was invited to give lectures on the teaculture, so that they could taste the a of tea andenjoy the peace and beauty of the Chinese tea culturein the slow-paced tea-making process and thelong-lasting aroma of tea.
Zhongjin Petrochemical's tea a ceremony on Women's DayCase
In 2023, to celebrate the eighth anniversa of the founding of ZPC, ZPC organized a series of sta activities including basketball match,table tennis match, photography contest, singing contest and speech contest, to celebrate with all the employees such a milestonemoment and appreciate the hard work of all employees over the past eight years.
ZPC organizes anniversa activitiesCase
The Company has set up assistance funds to provide employees with timely assistance when they are aected by disasters, serious illnesses, andnancial diculties. In this way, we alleviate diculties caused by special reasons when our employees are in need. Also, the Company pays closeattention to the needs of female employees and actively provides them with suppo, assistance and care, aiding them in achieving their careeraspirations. For retired long-seing employees, we award them with customized silver coins as a token of appreciation and souvenir, in addition tothe statuto employee benets and entitlements. To create a heawarming and harmonious enterprise, we put ourselves in the shoes ofemployees and strive to provide what they truly need.We also provide a rich variety of cultural activities for all employees. This enhances cohesion among employees, helps them relieve stress, andguides them to face their daily life and work with a positive and relaxed attitude. The Company organized various activities for employees in 2023:
Care for Employees
On Women's Day, the Company sent souvenirs to all female employees to thank them for their contributions to the development of theCompany.When the heat in summer got intense, the Company organized a series of consolation activities to send personal care items to employeeswho worked in the high temperature.We organize spos events such as badminton matches and tug-of-war to create passion and memories in the daily lives of our employees.
Group activities
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The Company always centers on customers, continues to improve the seice management system, and actively responds to their variousdemands. We improve customer seice quality and eciency in multiple dimensions, strictly protect customer privacy and information security, toimprove customer satisfaction.Striving for High-Quality Seices
The Company is dedicated to caring out customer management in a standardized and eective manner, and has developed customermanagement measures according to our business attributes and customer characteristics, maintaining regular and close contact with customers.Meanwhile, we have established multi-level and diverse customer seice communication channels such as eld visits, face-to-face talks, onlinequestionnaires, telephone, WeChat and email. In this way, the Company has sucient communication channels to communicate with its customersin detail in the event of changes in plant operations, market conditions, and other circumstances.Attaching great impoance to customer complaints and feedback, the Company strives to keep eective complaint channels, optimize thecomplaint mechanism, strengthen complaint analysis to handle customers' request in a timely manner, and actively investigate for the cause andconduct rectication. For the problems repoed by the customers, the front-line business personnel and professional technicians cooperate toensure that the complaints are 100% handled. Moreover, we arrange customer visits and customer satisfaction sueys that covers topics such asproduct quality, logistics seice, after-sales seice, corporate reputation and integrity, and self-discipline of business personnel. We actively learnabout the needs and expectations of customers and continually improve seice quality.
Customer Seices
The Company has developed sales management systems and measures such as the Marketing Management System, the Sales ManagementSystem, the Detailed Rules for the Implementation of Price Management and the Detailed Rules for the Implementation of Control of the SalesOperation Process to strictly regulate the sales operation process. By implementing these systems, we guide and constrain the entire sales process.The Company pays close attention to product price information, strengthens market research, and promptly adjusts our sales strategy accordingto market changes to continuously meet market demand. The Company has also established well-organized les of customer credit. We payattention to changes in customer credit and take eective measures to manage and control customer credit risks. To make overall improvement inthe ability of our sales personnel, we organize sales personnel to car out workshop internships for them to understand the peormance ofproduct equipment, usage scenarios, production processes and other details on site, so that they could better introduce products to customers. Inaddition, the Company conducts various forms of training for sales employees to enhance the professional ability and business ethics, such asorientation training, integrity and self-discipline training.
Sales Management
The Company is committed to establishing a responsible supply chain and enhancing the compliance management of suppliers. We optimize thesupplier management system operation process. We maintain an equal, mutually benecial, close, and stable cooperative relationship withexcellent suppliers, and work with suppliers to create a positive, clean, transparent, and responsible supply chain ecosystem.The Company strictly abides by the Bidding Law of the People's Republic of China and the Implementation Regulations of the Bidding Law of thePeople's Republic of China and other laws and regulations. We have established and improved internal systems and measures for tendering,sourcing, and supplier management, including the Detailed Rules for the Implementation of Tendering and Bidding Management and theRegulations on the Management of Customers. We continue to standardize suppliers' risk control mechanism and optimize the supplier biddingmechanism, supplier access system and supplier peormance evaluation mechanism, and ensure compliance in the whole process of bidding,sourcing, acceptance and payment, to realise the fairness, openness, and transparency of bidding and procurement, and prevent illegal sourcing.
Practicing Responsible Sourcing
The Company actively promotes IT construction and enhances the awareness of information security and condentiality in accordance with the ITManagement Regulations, the Management Measure for Oce IT Systems, the IT Emergency Response Plan and other regulations formulated byRongsheng Holding. We carried out the security management of computer equipment, data, system operation, and IT system access authorityand other work, standardized IT emergency response, with an attempt to continuously improve our ability to protect information security.The Company carries out information security tests for relevant practitioners, conducts mandato courses on Network Security Training for newemployees, and signs Condentiality Agreements for all information practitioners and software seice providers, making eve eo to ensureinformation security.
IT Construction
Process of IT emergency response
Entity of theincidentEmergencyleading group
Emergencyleading groupoice
Emergencyworking group
Emergencyinitiation
Not initiate theenergency plan
Lifting theemergency
NO (not at Level IlI or above)
YES (at Leve lIII and above)
YES
NO
YES
NO
Repo the incident
Initiate theemergency plan
Controllingthe situationExpandingemergency
Emergency
handling
Emergencyinitiation
Emergencyconcluded
Emergencyresuemption
Emergency reception
of the repo
SINCERE CREATION PREEMINENT PURSUITSINCERE CREATION PREEMINENT PURSUIT
SUSTAINABILITY REPORT 2023
Chairman'sMessage
About RongshengPetrochemicalAbout theRepo
OperationalCompliance
ConseingEcology
Quality andSafety
Working Togetherfor Common ProgressAppendix
Through telephone calls, video conferences, on-site inspections and other methods, the Company maintains a good communication with itssuppliers in order to understand the price trend of their upstream raw materials, as well as their shutdown and overhaul plan, sales direction andchanges in sales volume, with the purpose to judge the subsequent trend of procurement prices and update the procurement plan, and maketargeted improvement and enhancement suggestions for the suppliers according to the Company's use of their products through. We will alsomake targeted improvement suggestions for suppliers based on our use of their products. When necessa, we actively provide relevant technicalguidance or training to suppliers.The Company provides assistance for suppliers by strengthening the suppo and promotion of agricultural products from local andpovey-stricken areas. We give priority to local tea, potte, and silk products in purchasing and oer product trials to local suppliers. Afterpassing the trial, they will be invited to paicipate in the Company's bidding.
Communication and Assistance
The Company has formulated a strict supplier admission process, based on which, the information of suppliers, including supplier peormance,quality management, safety production, environmental protection and contract peormance, is reviewed thoroughly to ensure the product andseice quality of suppliers. The Company takes environmental protection as an essential consideration for the selection of suppliers and learnabout the suppliers' peormance on fullling their responsibility in environmental protection. The Company does not paner with suppliers with ahisto of major environmental pollution penalty and prioritizes the suppliers with better environmental peormance.The Company has newly revised the Regulations on the Management of Customers to detail the customer access and management process: theCompany has categorized the customer access criteria as general and special criteria according to the applicability of related business, andpeorms qualication checking and qualication verication for new customers requesting for joining the customer database. All customers willbe categorized into blacklisted customers, graylisted customers and whitelisted customers according to the results of review and transactionevaluation.To address the corruption related to suppliers, the Company signs the Letter of Integrity Responsibility and Commitment with suppliers and adds aclause on the prohibition of commercial bribe, which clearly requires both paies to the agreement to strictly abide by the anti-commercialbribe laws. The Letter prohibits commercial bribe in contract discussion, negotiation, signing, and fullment and others, and clearly lists therepoing channels and handling depaments.
Review and Admission
The Company assesses the suppliers for their quality,delive time or progress, after-sales seice, HSE andothers at least once per year, and forms a black, grey, andwhite supplier list. For blacklisted suppliers, the Companywill stop the business with them; For grey listed suppliers,the Company will put forward rectication requirementsor set cooperation restrictions. The Company's contractswith suppliers include requirements on business ethics,environmental protection, and safety, and urges suppliersto comply with and implement them, and addsevaluations of related aspects to the follow-upevaluations of suppliers. The Company regularly publishesa list of untrustwohy suppliers and refuses to cooperatewith them.
Assessment and Evaluation
Delive quality
HSE
After-sales
seice
Delive time or
progress
Supplierevaluation
The Company advocates for public welfare, actively organizes charity donations and shares development achievements with the society. TheCompany mainly focuses on education assistance, medical assistance, povey relief and care for disadvantaged groups and encouragesemployees to paicipate in various volunteering activities, including blood donation and visiting the vulnerable. The employees car forward thevolunteering spirit and continue to promote the healthy development of public welfare undeakings and the community, and actively spreadcivilized and harmonious social trends. In December, Mr. Li Shuirong, Chairman of the Board of Directors of the Company, was invited to attendthe First Hangzhou Charity Conference and received the Award for Personal Donation of the First Hangzhou Charity Award.
Building a Better Community
2023
Public welfaredonationRMB 17.60 million
Duration of volunteeractivities1,289 hours
Carried out public welfare activities in community
SINCERE CREATION PREEMINENT PURSUITSINCERE CREATION PREEMINENT PURSUIT
SUSTAINABILITY REPORT 2023
Chairman'sMessage
About RongshengPetrochemicalAbout theRepo
OperationalCompliance
ConseingEcology
Quality andSafety
Working Togetherfor Common ProgressAppendix
Rongsheng Petrochemical suppos Qunying Village for the rst VillageLifestyle Festival
Case
In June 2023, the Company contributed RMB 200 thousand to suppo the rstVillage Lifestyle Festival in Qunying Village, Yinong Township. Themed on“Enjoying the Lifestyle and Passion of Qunying Village”, the village lifestylefestival provided a rich variety of activities such as band peormance, open micshow, local agricultural and sideline product display and bazaar shopping tour.The festival displayed the charm of Qunying Village culture, and broughthappiness to the villagers.
Education AssistanceIn 2023, Rongsheng Education Reward Fund provided RMB996 thousand to 382 outstanding students and teachers inYinong Town.
We established the ZPC Daishan Education Fund and investedRMB 200 million for funding outstanding students, teachersand students in diculties, recruiting talents and drivingscientic research.
Care for Communities
We have set up the Hangzhou Police Care Fund, with an annualcontribution of RMB 500 thousand to suppo the police andauxilia police ocers who died or were injured in the line of duty.
Medical Assistance
We have established the “Health Care Fund for Yinong”. Weuse the fund to hire provincial, municipal and district medicalspecialists from various disciplines to provide year-roundmedical care in the town at various periods, and suppo localhealth centers to increase the number of ambulances to seelocal residents and assist families or individuals hit by seriousillnesses in Yinong.We have set up the “Rongsheng Health Care Fund for Tibetans”program, donating RMB 3 million to the Charity Federation ofXiaoshan District (all contributed in 3 years) to help Sichuan andTibetan families in need of surgical treatment.
Community Health Suppo
Suppoed organization of the 17th Games of Zhejiang Province,provided RMB 180 thousand to suppo the games, in a bid topromote the healthy development of the community.
Assistance
We donated RMB 600thousand to the“Spring Breeze Action”to help low-incomepeople and people indiculties.Donated 500,000 RMB to the "Angel of Protection" Zhao DaanCharity Fund's 100 Children in Distress Sponsorship Program. Theprogram provides assistance to underage children who are indiculties in life and safety.Donated 200,000 RMB to the "Love Teeth" project, whichprovides treatment seices for patients with missing teeth inlow-income groups and people in need.
“Rongsheng Health Care Fund for Tibetans” Project
Case
To help Tibetan disadvantaged families in Tibet and Sichuan and contribute tothe East-West medical collaboration, the Company signed a three-payagreement with Charity Federation of Xiaoshan District and Xiaoshan Hospitalof Traditional Chinese Medicine in 2022. From 2022 to 2024, we donated RMB3 million to the charity federation. Meanwhile, we established the “RongshengHealth Care Fund for Tibetans” program to provide assistance to patients inneed. As of December 2023, the program has assisted 45 people with adonation exceeded RMB 2 million.
Volunteer blood donation by Rongsheng Petrochemical employees
Case
The Company has been running programs for volunta blood donation fornearly 20 consecutive years, and employees from all depaments has takenactive pa in the programs. This year, 160 qualied volunteers from theCompany and its subsidiaries such as Zhongjin donated in total 43,000 mL ofblood, reached a 10-year high record. The Company received the honoraplaque of 2022 Outstanding Enterprise of Blood Donation in Xiaoshan District.
SINCERE CREATION PREEMINENT PURSUITSINCERE CREATION PREEMINENT PURSUIT
SUSTAINABILITY REPORT 2023
Chairman'sMessage
About RongshengPetrochemicalAbout theRepo
OperationalCompliance
ConseingEcology
Quality andSafety
Working Togetherfor Common ProgressAppendix
A new year marks a great beginning for greater development. In2024, Rongsheng Petrochemical will keep addressing thecomplex and changing market with high quality development,and helps to achieve a sustainable economic and socialdevelopment. The Company insists on operating with integrity,explores new business sectors, and continuously improves thequality of its products and seices. We also increase ourinvestment in science and technology innovation and activelyfulll our corporate social responsibility. As one of the enterprisesfrom the pillar industries of the national economy, we maintain astrong sense of responsibility and commitment, and advance allworks earnestly, so as to repay the shareholders and investorswith practical actions. We will strive for quality development andcreate a more splendid era of sustainability.
Future Prospects
SINCERE CREATION PREEMINENT PURSUIT
ISO System Ceication Statistics ofthe CompanyCompany's Name
ISO 50001（EnergyManagement SystemCeication）
ISO 14001（EnvironmentalManagement SystemCeication）
ISO 45001（Occupational Health &Safety ManagementSystem Ceication）
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Rongsheng Petrochemical Co., Ltd.Zhejiang Petroleum & Chemical Co., Ltd.Ningbo Zhongjin Petrochemical Co., Ltd.Yisheng Dahua Petrochemical Co., Ltd.Zhejiang Shengyuan Chemical Fiber Co., Ltd.Zhejiang Yongsheng Technology Co., Ltd.
SUSTAINABILITY REPORT 2023
Chairman'sMessage
About RongshengPetrochemicalAbout theRepo
OperationalCompliance
ConseingEcology
Quality andSafety
Working Togetherfor Common ProgressAppendix
SINCERE CREATION PREEMINENT PURSUIT
Independent Assurance Repo
SINCERE CREATION PREEMINENT PURSUITSINCERE CREATION PREEMINENT PURSUIT
SUSTAINABILITY REPORT 2023
Chairman'sMessage
About RongshengPetrochemicalAbout theRepo
OperationalCompliance
ConseingEcology
Quality andSafety
Working Togetherfor Common ProgressAppendix
SINCERE CREATION PREEMINENT PURSUITSINCERE CREATION PREEMINENT PURSUIT
SUSTAINABILITY REPORT 2023
Chairman'sMessage
About RongshengPetrochemicalAbout theRepo
OperationalCompliance
ConseingEcology
Quality andSafety
Working Togetherfor Common ProgressAppendix
SINCERE CREATION PREEMINENT PURSUITSINCERE CREATION PREEMINENT PURSUIT
SectionGRI Standard Index
About the RepoGRI101/GRI102/ GRI103Chairman's MessageGRI102About Rongsheng PetrochemicalGRI102/ GRI103/GRI201/GRI205Ensuring OperationalCompliance to EnhanceGrowth Strength
Corporate GovernanceGRI102/GRI2Information DisclosureManagement
GRI2Investor RelationsManagement
GRI102/GRI2Business Ethics ManagementGRI103/GRI2/GRI205ESG GovernanceGRI102/GRI2
Conseing Ecologyand Unleashing GreenPotential
Tightening up EnvironmentManagement
GRI103/GRI307Enhancing Carbon EmissionManagement
GRI305Reducing ResourceConsumption
GRI103/GRI302/GRI303/GRI304/GRI305/GRI307Controlling PollutantDischarge
GRI103/GRI303/GRI305/GRI306/GRI307Seizing Clean TechnologyOppounities
GRI103/GRI304/GRI307Main EnvironmentalPeormance Indicators
GRI302/GRI303/GRI305Creating Momentumby Reinforcing Qualityand Safety
Guarding Work SafetyGRI103/GRI403Strengthening R&DInnovation
/Enhancing QualityManagement
GRI416Working Togetherin Harmony for CommonProgress
Protecting Employees' Rightsand Interests
GRI102/GRI401/GRI404/GRI405/Striving for High-QualitySeices
GRI418Practicing ResponsibleSourcing
GRI102/GRI103/GRI204/GRI205/GRI308/GRI409/GRI414Building a Better Community
GRI201/GRI203/GRI413Future Prospects/Independent Assurance RepoGRI102ISO System Ceication Statistics of the CompanyGRI2Index
GRI102Reader's FeedbackQuestionnaire
/
Index
SUSTAINABILITY REPORT 2023
Chairman'sMessage
About RongshengPetrochemicalAbout theRepo
OperationalCompliance
ConseingEcology
Quality andSafety
Working Togetherfor Common ProgressAppendix
Which catego of stakeholders do you belong to?〇Government and regulator 〇Shareholder and investor〇Customer 〇Employee 〇Supplier/paner〇Community 〇Media and NGO 〇Other ( )In your opinion, does the repo completely present Rongsheng Petrochemical's ESG peormance?〇Yes 〇Average 〇NoIn your opinion, has the repo answered the expectations and demands of Rongsheng Petrochemical's stakeholders in allaspects?〇Yes 〇Average 〇NoDo you nd the quantitative information disclosure in the repo objective, true, and valid?〇Yes 〇Average 〇NoDo you nd the writing of the repo clear and easy to understand?〇Yes 〇Average 〇NoIs the graphic design of the repo helpful to you in understanding the information in the repo?〇Yes 〇Average 〇NoDo you have more opinions and suggestions for Rongsheng Petrochemical's social responsibility management andsustainability repo?
Thank you ve much for spending time in reading the sustainability repo of Rongsheng Petrochemical 2023. Your opinions andsuggestions are welcome since they can help us provide more valuable information to you and other stakeholders and promoteRongsheng Petrochemical to improve its social responsibility management capabilities and peormance. You may contact us bysending E-mail to the following mailbox:
Email：rspc@rong-sheng.com
Reader's Feedback Questionnaire
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