Resolutely take the glorious mission of "take the lead and advance on all fronts"－Shandong Energy Group shows its responsibility in building a clean energy supplier and a world-class enterprise
The 12th Party Congress of Shandong Province issued a call to "secure new victories in building a strong modern socialist province for the new era", boosting the morale of state-owned energy enterprises. As a provincial backbone enterprise, Shandong Energy Group firmly shoulders the glorious mission of "take the lead and advance on all fronts", strives to accelerate reforms, and aims to be a clean energy supplier and a world-class enterprise.
Focus on the implementation of missions, and open a new chapter for Shandong's economic growth. We shall resolutely implement the spirit of national and provincial TV work conferences for stabilizing the economic operations, set a higher standard for our work, forge ahead with a broader mind, and seize any policy opportunities to foster development advantages; we shall take our due responsibility, ensure the success of the 2nd quarter and first-half-year performance to perfectly complete preset annual goals, and try best to build SDE into an enterprise with both total assets and revenues up to 1 trillion yuan by the end of the 14th Five-year Plan.
Follow the construction of a green, safe and efficient energy system, and scale a new high in the building of Shandong’s energy security. SDE shall unswervingly shoulder the political task of "ensuring the province's energy security, and optimizing the energy layout and structure". It is imperative to guarantee the safety of coal supply in Shandong, coordinate the relationship between “development and safety”, “reserve and supply guarantee”, and “development within the province and development outside the province”. Within Shandong, SDE shall advocate energy stability, growth driver transformation and efficiency improvement; without Shandong, SDE shall purse the thriving of Shaanxi-Gansu-Inner Mongolia, Australia, Xinjiang, South America bases.
SDE is obliged to optimize the power structure in Shandong, involve itself into the strategies of Transmitting Inner Mongolia’s Electricity to Shandong and Gansu’s Electricity to Shandong, and advance multi-energy complementarity and source-grid-load-storage integration. We will do all we can to construct the new energy platform in Shandong, build on our advantage as the provincial new energy investment platform to grasp high-quality wind and PV resources across China, and cultivate new energy bases composed of industrial parks with capacity exceeding 10 million KW each.
Stress the improvement of innovation and development capabilities, and break new ground as the main role of innovation. We shall revitalize enterprises through sci-tech development and innovation, create a source of innovative technology, and empower the Company’s high-quality development with new concepts, new technologies, new models, and new mechanisms.
We shall put a premium on R&D and innovation, devise never-seen-before ways to reward outstanding personnel or unit, and build “two bases and two centers” in tech innovation industrial park in Jinan. Efforts should be made to promote strategic cooperation and innovation, strengthen cooperation with in five priorities, i.e. Fortune Global 500 companies, China’s central SOE, outstanding private enterprises, scientific research institutes, and local governments, and strengthen the chain development of upstream and downstream industries.
Regarding how to deepen management model innovation, we shall learn from first-class enterprises, implement market-oriented reform and promote lean management. We shall launch a campaign to increase product output and the number of projects with up-to-standard output and efficiency, reduce debt-to-assets ratio, costs and the number of loss-making enterprises, improve enterprise profitability, labor productivity of all employees, and investment in sci-tech R&D. The goal is to add more than RMB20 billion to this year’s revenues.
SDE will further innovate its talents cultivation mechanism by switching from selecting talents through evaluation to cultivating talents through competition and encourage cadres to experience hardships and overcome challenges at the major tasks of reform and development, so as to build a contingent of talented personnel with sufficient numbers, reasonable structure and high quality.
SDE will concentrate its efforts in transforming growth drivers, accelerate the inventory optimization and increment transformation and break new ground in transformative development. Focusing on the top ten and the advantageous industries, SDE will adjust the inventory structure, optimize investment in increment, and strive to transform traditional growth drivers while fostering new ones, so as to enhance the development quality. SDE is committed to improving the quality of inventory, disposing inefficient and ineffective assets in a prudent and orderly manner and accelerating the optimization of the asset structure. Through customized policy-making, SDE will implement targeted governance on loss-generating enterprises with the aim to improve assets quality and profitability. SDE will continue to make incremental breakthrough and boost inventory through increment by implementing a batch of major projects in Shandong including Yulong Island Refining-petrochemical Integration Project, Tai’an Port, Road, Rail and Canal Combined Transport Logistics Industrial Park, New Materials Industry Demonstration Park and others, establishing and operating Shandong Electric Port and SCO International Energy Exchange and fully releasing incremental space for key projects.
SDE will be devoted to building itself into a world-class enterprise, and enhancing its core competitive advantages as a major SOE. SDE will continue to race with the fastest and compete with the strongest so as to complete the three year campaign of SOE reform with high standards, and build a modern SOE governance system with SDE characteristics. SDE will enhance the efficiency of management and control. Based on regional integration by specialized sectors, SDE will comprehensively promote integration among investment and finance, security and fire protection, education and training, construction and others, and create a new management and control pattern of "property rights + management rights". SDE will build seven regional headquarters in Xi'an, Hohhot, Qingdao, Shanghai, Hainan, Xinjiang and Australia, so that each regional headquarter will mobilize the whole economic zone. SDE will take a market-oriented approach to boost the flexible flow of the management and staff (demoting incompetent management, dismissing inept staff and recruiting new ones from the market), tap potential for salary increase and stimulate the innovation and efficiency of all employees. In order to diversify its property rights system, SDE will strengthen efforts in promoting mixed ownership reform, carry out company-listing training programs, conduct mixed ownership reform in Guizhou Mining Group, Shandong Taiwen Salt Chemical and other subsidiaries. In addition to the current 4 Main-Board listed companies and 4 NEEQ listed companies, SDE aims to cultivate a number of new listed companies in 3-5 years so as to form a listing pattern of “one core and multiple poles”, i.e., Yankuang Energy being the core and the listed companies in various industrial sectors as the support.
Priority should be given to the CPC Leadership Enhancement and CPC Party Building so that SDE could take the lead and write a new chapter in SOE Party Brand Building. SDE will take a clear-cut approach to enhance party building, heighten political vision, consolidate its fully-integrated, realistic, innovative and effective party building model, as well as the "1+1+N" mechanism through which the party members forge ties with staff and the public. Committed to the cultivation of a highly-competent cadres team, SDE will deeply implement the "31789" talent project and the "undiscovered jade" talent training program, and rationally optimize composition of its cadres team that will be comprised of cadres born in the 70s, 80s and 90s. Through appropriate inspections, SDE continuously pursues uprightness and strict discipline at workplace, strives to cultivate a working atmosphere that values concrete achievements, responsibilities and good deeds so as to build a clean and transparent SOE.
