External Audit
In order to independently assess the reliability of accounting (financial) statements, the Company annually engages an external auditor to audit IFRS and RAS statements. The candidature of the external auditor of the financial statements is approved by the Annual General Meeting of Shareholders of the Company. The selection of the candidate is based on competitive processes that guarantee an impartial process.
The Audit Committee regularly reviews the results of audits, the effectiveness of the external audit of statements and other aspects related to the interaction between the external auditor and the Company.
The results of the audit, the auditor’s report and the effectiveness of the external audit process for the Company’s 2022 financial statements were reviewed by the Audit Committee at the meeting held on 20 June 2023Minutes of the meeting of the Audit Committee of the Board of Directors No. 156 dated 20 June 2023.. The Audit Committee determined that the audit quality satisfies the Company’s expectations and that the audit report and the procedures for communication between the Committee and the external auditor conform to regulatory requirements based on the findings of the assessment conducted using the methodology approved by the Committee. Based on the analysis’s results, the Committee also made recommendations for raising the calibre of services and communications provided.
The results of the assessment of the effectiveness of the process of external audit of the Company’s financial statements for 2023 will also be submitted to the Audit Committee for review.
In accordance with paragraph 4 of Article 5 of Federal Law No. 307‑FZ dated 30 December 2008 “On Auditing Activities”, the contract for the mandatory audit of the accounting (financial) statements of the organisation, in the authorised (share) capital of which the share of state ownership is at least 25%, is concluded following an open tender process in compliance with the guidelines set forth by Russian laws regarding the contract system for the procurement of goods, works, and services for state and municipal needs.
PJSC Rosseti’s auditor was selected following an open tender process held by PJSC Rosseti in electronic form for the right to conclude a contract for the provision of services for the mandatory audit of RAS and IFRS financial statements of PJSC Rosseti for 2023 as provided for by Federal Law No. 44‑FZ dated 5 April 2013 “On the Contract System in Procurement of Goods, Work, and Services for State and Municipal Needs”.
Auditor of the Company — JSC Technologies of Trust — Audit
Full company name: Joint Stock Company Technologies of Trust — Audit
Abbreviated company name: JSC Technologies of Trust — Audit
Address: Moscow
TIN: 7705051102
OGRN: 1027700148431
On 30 June 2023, the Annual General Meeting of Shareholders resolved to approve the auditing organisation, JSC Technologies of Trust — Audit, as the auditor of PJSC Rosseti (Minutes No. 29 dated 30 June 2023).
The Board of Directors of the CompanyExtract from the Minutes No. 619/10 dated 31 May 2023. resolved to determine the amount of payment for the services of JSC Technologies of Trust — Audit, the auditor of PJSC Rosseti, for the assessment review of the interim condensed IFRS consolidated financial statements of the Rosseti Group for the three and six months ended 30 June 2023, the audit of the annual RAS accounting (financial) statements of PJSC Rosseti for 2023, audit of the annual IFRS accounting (financial) statements of PJSC Rosseti Group for 2023 to be equal to RUB 88,800,000 (Eighty-eight million eight hundred thousand) 00 kopecks, including VAT.
In accordance with the additional agreement to the contract for audit services for 2023, the auditor rendered services on review of the disclosed consolidated interim condensed financial statements for the three and six months ended 30 June 2023 and the revised disclosed consolidated interim condensed financial statements for the three and six months ended 30 June 2023; the fee amounted to RUB 3,600,000 (Three million six hundred thousand) 00 kopecks, including VAT.
The Auditor did not provide any non‑audit or other consulting services to the Company in 2023.