The Company has implemented the Regulations on the Risk Management System, which set the general principles for building the Risk Management System (hereinafter referred to as the RMS), its goals and objectives, general approaches to setting it up as well as to distribution of functions and responsibility between the RMS subjects and the nature of their interaction.
Based on the general requirements to setting up the RMS contained in the Regulations on the Risk Management System, the Company developed the Risk Management Rules of Procedure defining the procedures of interaction between the Company’s business units within the RMS.
The key parameters of the RMS were approved by Company’s Board of Directors. Preferred and admissible risk levels as well as risk assessment scales and the matrix for classifying risks as critical were approved among the key RMS parameters.
The Risk Management Council, approved by the Management Board of Transneft, was formed to coordinate the RMS functions across the Company.
The risk assessment section under the Directorate of Financial Support and Risk Assessment of the Department of Economy is the business unit ensuring that the RMS functions.
For more information on the corporate risk management system, including information on all material risks that might affect the Company’s performance see the Company’s Annual Report.