28 JUN pOi & a93 .1 Audit Service Center of China National Audit Office for Foreign Loan and Assistance Projects Audit Report $h4R (2019) 28# AUDIT REPORT (2019) NO. 28 Project Name: Municipal Solid Waste Management Project Granted by GEF 01 i -: TF018479 Grant No.: TF018479 Project Entity: International Environnental Cooperation Center 4t4 : 2018 Accounting Year: 2018 目录 ContentS 一、审计师意见，.，二，,.,.,,.,．……，.,,.,,.,,.．…，,,............................................．……1 1 .Auditor&sopinion二，二，.,．……，.,，…，.，…，，…，，二，…，.,..．……，.,．…，....．……，..．……，3 二、财务报表及财务报表附注……，．…，.，二，,.，二，, .．……，二，,，二，.，二，.．…，,.，二，,．…，.5 11 .Financial Statements and Notes to the Financial Statements二，.．……，二，.5 （一）资金平衡表．.......．……，................．……，.，…，．……，二，二，.............．……5 1 .Balance Sheet.,......．……，,..............................................................．……5 （二）项目进度表，二，,.，二，……，.．……，...........．……，...........................．……6 11.Summary of Sources and Uses ofFundsbyProjectComponent.．…6 （三）赠款协定执行情况表．............................．……，...................．……8 111.Statement oflmplementation ofGrantAgreement...................．……8 （四）专用账户报表，.,,.,，二，.,,..．……，，…，.,..．……，,．…，,.．…，．…，,,．…，……，．…9 iv.Special Acco切宜Statement........................................................．……9 （五）财务报表附注．....．……，..............．……，................................．……10 v,Notes tothe Financial Statements二，......．……，，二，…，…，,,.，…，二，．…，.,,.，二13 三、审计发现的问题及建议．,,.,.．……，,．…，…，二，.，二，，二，.，…，..................．……17 Hl.Audit Findings and Recommendations.........................................．……18 一、审计师意见 审计师意见 生态环境部对外合作与交流中心： 我们审计了全球环境基金赠款中国城市生活垃圾综合环境管理 项目2018年12月31日的资金平衡表，以及截至该日同年度的项目 进度表、赠款协定执行情况表和专用账户收支表等特定目的财务报表 及财务报表附注（第5页至第16页）。 （一）项目执行单位对财务报表的责任 簖制上述财务报表是你单位的责任，这种责任包括： 1．按照中国的会计准则、会计制度和本项目赠款协定的要求编 制项目财务报表，并使其实现公允反映； 2．设计、执行和维护必要的内部控制，以使项目财务报表不存 在由于舞弊或错误而导致的重大错报。 （二）审计责任 我们的责任是在执行审计工作的基础上对财务报表发表审计意 见。我们按照中国国家审计准则和国际审计准则的规定执行了审计工 作，上述准则要求我们遵守审计职业要求，计划和执行审计工作以对 项目财务报表是否不存在重大错报获取合理保证。 为获取有关财务报表金额和披露信息的有关证据，我们实施了必 要的审计程序。我们运用职业判断选择审计程序，这些程序包括对由 于舞弊或错误导致的财务报表重大错报风险的评估。在进行风险评估 时，为了设计恰当的审计程序，我们考虑了与财务报表相关的内部控 制，但目的并非对内部控制的有效性发表意见。审计工作还包括评价 所选用会计政策的恰当性和作出会计估计的合理性，以及评价财务报 表的总体列报。 我们相信，我们获取的审计证据是适当的、充分的，为发表审计 意见提供了基础。 1 （三）审计意见 我们认为，第一段所列财务报表在所有重大方面按照中国的会计 准则、会计制度和本项目赠款协定的要求编制，公允反映了全球环境 基金赠款中国城市生活垃圾综合环境管理项目2018年12月31日的 财务状况，以及截至该日同年度的财务收支、项目执行和专用账户收 支情况。 （四）其他事项 我们还审查了本期内报送给世界银行的第6、7、8号提款申请书 及所附资料。我们认为，该提款申请书符合赠款协议的要求，可以作 为申请提款的依据。 本审计师意见之后，共同构成审计报告的还有两项内容：财务报 表及财务报表附注、审计发现的问题及建议。 、取气认 审计籲国外贷是祷好甲甲宙计月爵务中心 潮手枷年。二｛日凳－ 、奉／·乒 地址：中国北京市海淀区中关村南大街4号～～尹 邮政簖码：100086 电话：86一10一62150750 2 Auditor's Opinion Auditor's Opinion To International Environmental Cooperation Center We have audited the special purpose financial statements (from Page 5 to Page 16) of Municipal Solid Waste Management Project Granted by GEF, which comprise the Balance Sheet as of December 31, 2018, Summary of Sources and Uses of Funds by Project Component, the Statement of Implementation of Grant Agreement and the Special Account Statement for the year then ended, and Notes to the Financial Statements. Project Entity's Responsibility for the Financial Statements The preparation of the financial statements mentioned above is the responsibility of your entity, which includes: i. Preparing and fair presenting the accompanying financial statements in accordance with Chinese accounting standards and system, and the requirements of the project grant agreement; ii. Designing, implementing and maintaining necessary internal control to ensure that the financial statements are free from material misstatement, whether due to fraud or error. Auditor's Responsibility Our responsibility is to express an opinion on these financial statements based on our audit, We conducted our audit in accordance with the Government Auditing Standards of the People's Republic of China and International Standards on Auditing. Those standards require that we comply with ethical requirements and plan and perform the audit to obtain reasonable assurance about whether the financial statements are free from material misstatement. An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the financial statements. The procedures selected depend on the auditor's judgment, including the assessment of the risks of material misstatement of the financial statements, whether due to fraud or error. In making those risk assessments, the auditor considers internal control relevant to the entity's preparation and fair presentation of the financial statements in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the entity's 3 internal control. An audit also includes evaluating the appropriateness of accounting policies used and the reasonableness of accounting estimates made by management, as well as evaluating the overall presentation of the financial statements. We believe that the audit evidence we have obtained is appropriate and sufficient to provide a basis for our audit opinion. Opinion In our opinion, the financial statements identified in the first paragraph present fairly, in all material respects, financial position of Municipal Solid Waste Management Project Granted by GEF as of December 31, 2018, its financial receipts and disbursements, the project implementation and the receipts and disbursements of the special account for the year then ended in accordance with Chinese accounting standards and system, and the requirements of the project grant agreement. Other Matter We also examined the withdrawal application No.6, 7, 8 and the attached documents submitted to the World Bank during the period. In our opinion, those documents comply with the project grant agreement and can serve as basis for grant withdrawal. The audit report consists of the Auditor's Opinion and two more parts hereinafter: Financial Statements and Notes to the Financial Statements, Audit Findings and Recomme -4 s. Audit Service Center a Nna N tiona a it Office for Foreign Loan and Ass fffibe PrjCA June 28, 2019 Address: No. 4 Zhongguanc 1 Avenue, Haidian District, Beijing, P.R. China Postcode: 100086 Tel.: 86-10-62150750 The English translation is for the convenience of report users; Please take the Chinese audit report as the only official version. 4 IT. Financial Statements and Notes to the Financial Statements i. Balance Sheet BALANCE SHEET 2018 4 12,9 31 9 (As of December 31, 2018) Ad4: 3T A k +kW M±#.t#N¶ - i JRX : TF018479 Name of the Project: Municipal Solid Waste Management Project Granted by GEF Grant No.: TFO 18479 t~aCurrencyhit: ARMBi Entity Name: International Environmental Cooperation Center Currency Unit: RMB Yuan Application of Fund Beginning Ending Sources of Beginning Ending Apliatono Fnd Lie Balance Balance Fund in Balance Balance No. No. Total Project 1 22,789,527.34 43,738,179.38 14 2,150,829.70 16,036,316.50 Expenditures Co-funding Received Fixed Assets 2 0.00 0.00 15 35,067,610.80 45,100,872.84 Transferred Total Grant 2.4 fltAJi fl f =1 1_1fV_6 Construction 3 0.00 0.00 16 5,223,0877 -616,280.59 Expenditures to be 30t 1 53 7 -6 0 Disposed Total Payable 3.¶~zl *,%A Th174 Investments 4 0.00 0.00 t 17 0.00 0.00 Transferred-out Other Payable Construction in 5 22,789,527.34 43,738,179.38 18 0.00 0.00 Progress ~~Other Fund 1 .000 Progress Equipment 6 0.00 0.00 Retained 19 0.00 0.00 Earnings Including: Equipment 7 0.00 0.00 Losses in Suspense T 8 19,652,002.93 16,782,729.37 Total Cash and Bank Cash 9 19,652,002.93 16,782,729.37 in Bank Including: Special 10 19,202,281.00 16,545,011.23 Account 2.11 11 0.00 0.00 Cash on Hand Total Prepaid and 12 0.00 0.00 Receivable Total Application of 13 42,441,530.27 60,520,908.75 Total Sources 20 42,441,530.27 60,520,908.75 Fund I ofFund I 5 ,уΡ�7 � о о_ о о о о о о а ,у� у'д � N N� p�j N � д д � г� а а: �j �п .r �' vi О� О �i� " '� и �д .� � �.' ;� а Е rn 'сУ �- � � � U еУ � Ik�i � Q � V' 'д' 'с}' д 00 и М [7 С7 �О 4 О� [� д д Lгч М оС1 00 и !�1 О '� О\ О 01 О У1 М О О Н� � � н�- �� > 0�0 � �� � � b О д G д ор0 N О О �i ++ .� О� D� гл � о �--� О О N l� о� U�•� � у [� О О VJ 00 � 00 �7 Q� �LJ N � п�n Z�- �� ���" � � м о д т м и о n с. оо г.. .-� о г м rv м �д n W .�р, � � �" � а %Э� � д l� иtr �д � � м �д �i � �ci � с-тс С7 '� U V� U ® � °о °о о °о °о о °о °а °о � А о о о о © о о о о 1� � д�.� о°о о °а � w �i vc�i w � ® �.5 о N aQO аро � N й � n ° ы м v Ео � м cv и г� cv Т} IIII � �л м м N � со мi vi сл \д � М С~ I1 г'•1 М N о N � � О � 33 о � � ы ы Yii � ss. - � � �1 '�- L и 1. 7 � � V � � _ р еЛ �- сУ 6 �Е' о0 д V О С? 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Special Account Statement *A SPECIAL ACCOUNT STATEMENT *M A 12018 * 12 )i 31 El (For the period ended December 31, 2018) -M Y1.1 Ak 41 M M * ± 9 -,:;f P I ff -- * : 1 9 R - - I ff L ) ' -k & * ETA R 3T 111 9 J3q H -t r Project Name: Municipal Solid Waste Depository Bank: China Minsbeng Banking Management Project Granted by GEF Cooperation, Beijing Finance Street Branch Un & V: TFO 18479 )a - -: 697933122 Grant No.: TFO 18479 Account No: 697933122 * TP 44k: A 't Prepared by: International Environmental Currency Unit: USD Cooperation Center :ftV& Item Amount AW : *M-f ffl RKP ik1M& Part A: Account Activity forthe period (2018/l/1) Beginning balance (Jan.1,2018) 2,938,734.91 WQ Add: 1,204,626.35 Total amount deposited by World Bank *M*MMM OV 1,335.74 Total interest earned this period if deposited in Special Account Xl> Deduct: *PAj - J-AMT Total amount withdrawn 1,734,012.20 9 0.00 Total interest transferred out of the Special Account Ul=,* 91(2018/12/3 1) Ending balance (Dec.31, 2018) 2,410,684.70 BV : - MQKPAA I Part B. Account Reconciliation I - I -Y V 4T -9 &; Y V8 IN 3,000,000.00 Amount advanced by World Bank *,J> Deduct: 2.t2-A&4TR 0.00 Total amount recovered by World Bank 3, * M ng,* -V)E W P -9 & 31 kk f SYR Outstanding amount advanced to the Special Account at Dec.3 1, 3,000,000-00 2017 4.1 P)r,;KP7A*,-4tRA (2018/12/31) 2,410,684,70 End balance of Special Account (Dec.31, 2018) WQ Add: 5 - Va * 7A M * E V 4142 M'T * WN WH a MR 590,708.70 Amount withdrawn but yet claimed X/J,1 Deduct: 6JMACA (4,\9 AMPW ) 1,393.40 Interest earned (if included in Special Account) 7 - * M M*, -V ffl Rk P -9 X VhTAR + VR 3,000,000.00 Total advance to Special Account accounted Dec.31, 2018) 9 （五）财务报表附注 财务报表附注 1．项目基本情况 项目全称为全球环境基金赠款中国城市生活垃圾综合环境管理 项目，项目赠款协议于2014年12月30日由国际复兴开发银行（简 称世界银行）与中华人民共和国财政部（简称财政部）共同签署。财 政部与原环境保护部于20 15年9月28日签署转赠协议，由生态环境 部对外合作与交流中心负责赠款的使用、管理和监督。生态环境部对 外合作与交流中心与昆明市人民政府和原云南省环境保护厅、宁波市 人民政府签籲了示范项目实施协议，项目具体实施机构分别为云南省 生态环境对外合作中心（简称云南项目办）、宁波市环保局固体废物 中心（简称宁波项目办）。项目计划资金总额6292万美元，其中： 赠款资金1200万粎元（生态环境部对外合作与交流中心278万美元， 云南项目办782万粎元、宁波项目办140万美元），承诺配套资金 5092万粎元（生态环境部对外合作与交流中心664万美元，云南项 目力、3128万粎元，宁波项目力、1300万美元）。该项目目标为按照《关 于持久性有机污染物（POPS）的斯德哥尔摩公约》要求，运用现有 的BAT/BEP技术，遼免和减少二愿英类和其他污染物的产生和排放。 项目主要内容包括：(1）改善城市生活垃圾焚化厂运行和监管的能 力建设；(2）改进城市生活垃圾管理规划的能力建设；(3）项目管 理与监测结果发布。项目计划于2019年12月31日结束。 2．会计核算原则 2.1本项目财务报表按照财政部《世界银行贷款项目会计核算办 法》（财际字〔200田13号）的要求编制。 2.2本项目采用借贷记账法进行核算。记账本位币为人民币。 2.3会计年度采用公历年制，即从公历每年1月1日起至12月 31日止。本期报表会计核算期间为2018年I月1日至2018年12月 31日。 l0 2.4本项目财务报表采用的汇率说明：除项目进度表（一）中“项 目总计划额”采用世行项目评估文件中的汇率即1美元二人民币6.14 元折算，其余报表采用的期初汇率2017年12月31日汇率，即1美 元＝人民币6.5342元，期末汇率为2018年12月28日汇率，即1美 元二人民币6,8632元。 3．报表编制范围 本期财务报表簖制范围包括：宁波项目办、云南项目办和生态环 境部对外合作与交流中心的项目财务报表，生态环境部对外合作与交 流中心的专用账户报表。生态环境部对外合作与交流中心负责对本 级、各项目办、专用账户报表数据进行汇总，各报表单位对本单位提 供报表的真实性、完整性负责。 4．专用账户情况说明 生态环境部对外合作与交流中心专用账户开立于2016年7月13 日，用于核算全球环境基金世行执行的赠款项目。开户行为中国民生 银行北京金融街支行，粎元账号为697933 122。2017年拨入首存款（即 周转金）3000000.00粎元，本期期初余额为2938734.81美元，本 期世行拨款总额为1204626.35粎元，本期产生利息为1335.74美元， 本期支付总额为1734012.20粎元，截至2018年12月31日，专用 账户期末余额为2410684.70美元。 5．报表科目说明 5.1项目支出 截至2018年12月31日，本期项目支出人民币20948 652.04元， 累计项目支出人民币43738179.38元。其中：改善城市生活垃圾焚 化厂运行和监管的能力建设本期项目支出人民币18 392 351.28元， 累计项目支出人民币35 354 014.05元；改善城市生活垃圾管理规划 的能力建设本期项目支出人民币1704310.30，累计项目支出人民币 6108162.43元；项目管理与监测结果发布本期项目支出人民币 85 1 990.46元，累计项目支出人民币2 276 002.90元。 5.2货币资金 截至2018年12月31日，项目货币资金余额人民币16 782 729.37 lI 元，其中：专用账户存款2410684.70美元，折合人民币16545On.23 元；生态环境部对外合作与交流中心银行存款人民币44800.00元；云 南项目办银行存款人民币30000.00元；宁波项目办银行存款人民币 162 918.14元。 5.3拨入赠款 截至2018年12月31日，该项目累计收到赠款6 571 405,88美 元，折合人民币45100872.84元。 5.4拨入配套资金 截至2018年12月31日，配套资金本期到位人民币13 885 486.80 元，累计到位人民币16036316.50元。其中：生态环境部对外合作 与交流中心配套资金本期到位人民币0.00元，累计到位入民币 908 000.00元；宁波项目办本期配套资金人民币0.00元，累计配套资 金人民币287 890.00元；云南项目办本期配套资金人民币 13 885 486.80元，累计配套资金人民币14 840 426.50元。 5.5应付款期末余额人民币一616 280.59元，包括：生态环境部对 外合作与交流中心垫付未回补资金人民币16296.23元；宁波项目办 预收质保金人民币234 950.00元及质保金产生的利息收入人民币 1663,58元；云南项目办垫付未回补资金人民币79944.44元；专用 账户产生的利息人民币9563.18元；汇率变动产生的汇兑收益人民 币958 698.02元。 6．其他情况说明 6.1本报表配套资金仅反映现金配套部分。 6.2项目进度表（一）全球环境基金赠款本期发生额人民币 10033262.04元，赠款协定执行情况表中本期提款数人民币 8267591.57元，差异人民币1765670.47元为汇率变动产生的差异。 l2 v. Notes to the Financial Statements Notes to the Financial Statements 1. Project Overview The project is Municipal Solid Waste Management Project Granted by GER The Grant Agreement (hereinafter abbr. GA) was signed by the International Bank for Reconstruction and Development (hereinafter abbr. WB) with the Ministry of Finance, People's Republic of China (hereinafter abbr, MOF) on December 30, 2014. An transfer agreement was signed between MOF and the former Ministry of Environmental Protection to designate International Environinental Cooperation Center (hereinafter abbr. IECO) to be responsible for the use, management and supervision of the grant on September 28, 2015. Project implementation agreement has been signed between IECO and Kunming Municipality and the former Yunnan Department of Environmental Protection and Ningbo Municipality, in which it defined clearly that the International Environmental Cooperation Office of Yunnan (hereinafter abbr. Yunnan PMO) and Solid Waste Management Center of Ningbo Bureau of Environmental Protection (hereinafter abbr. Ningbo PMO) act as the project's implementation agencies.The total planned cost of the project is USD 62 920 000.00 with a grant of USD 12 000 000.00 from GEF and a counterpart funding of USD50 920 000.00 (the amount of the grant allocated to IECO, Yunnan PMO and Ningbo PMO are USD2 780 000.00, USD 7 820 000.00 and USDI 400 000.00 respectively;the amount of counterpart fund allocated to IECO, Yunnan PMO and Ningbo PMO are USD 6 640 000.00, USD 31 280 000.00 and USD 1 300 000.00 respectively). The objectives of the project are:(1) Capacity Building for Improved Operation and Regulation of MSW incinerators; (2) Capacity Building for Improved MSW Management Planning; and (3) Project Management and Monitoring Results Dissemination in accordance with the Stockholm Convention on Persistent Organic Pollutants with an aim to avoid and reduce the production and emission of dioxins and other pollutants by application of BAT/BEP technology. The agreed closing date of the project is December 31, 2019. 2. Accounting Policies 2.1 The financial statements was prepared in accordance with the Accounting Principle of the World Bank Loan Project (CaiJiZi [2000] 13) from MOF. 2.2 The debit/credit double entry bookkeeping system is applied for bookkeeping purpose. Currency unit for accounting is RMB. 13 2.3 Accounting period is the Gregorian calendar, which is from January 1 to December 31. Financial Statement for the current accounting period is from January 1, 2018 to December 31, 2018. 2.4 The exchange rate defined in the Project Appraisal Document (PAD) (USD 1=RMB 6.14 yuan) is used as the reporting exchange rate in the Summary of Sources and Uses of Funds by Project Component I when calculating the total project cost (life of PAD), the beginning exchange rate used is the exchange rate as of December 31, 2017 (USD 1=RNB 6.5342 yuan) and the ending exchange rate used is the exchange rate as of December 28, 2018 (USD 1=RMB 6.8632 yuan) in other financial statements if mentioned. 3. Consolidation Scope of the Financial Statements Consolidation scope of the financial statements covers the financial statements of Ningbo PMO, Yunnan PMO and IECO and special account statement. IECO is responsible for preparing its own financial statements and consolidating the financial statements of IECO, two local project implementation PMOs and Special account statement. Each entity has the responsibility for the authenticity and integrity of its own financial statements. 4. Notes to the Application of Special Account This special account was set up on July 13, 2016 by FECO and it is used to record the income and expenditures of WB project granted by GEE. The Special Account was set up in Beijing Finance Street Branch, Minsheng Bank of China by IECO on July 13, 2016. The account number is 697933122 and currency unit is USD and turn-over fund is USD 3 000 000.00. The opening balance of the Special Account is USD 2 938 734.81, total deposit by the WVB for this period is USD 1 204 626.35, interest income is USD 1 335.74, withdrawal for this period is USD 1 734 012.20 and the ending balance is USD 2 410 684.70 as of December 31, 2018. 5. Notes to the Financial Statement Accounts 5.1 Project Expenditure The current project expenditure is RMB 20 948 652.04 yuan and the accumulated project expenditure is RMB 43 738 179.38 yuan as of December 31, 2018, among which the payouts for building capacity for improved operation and regulation of incinerators is RMB 18 392 351.28 yuan and accumulated project expenditure is RMB 35 354 014.05 yuan; improved integration of incineration in MSW management is RMB 14 1 704 310.30 yuan and accumulated project expenditure is RMB 6 108 162.43 yuan; project management and results monitoring information dissemination is RMB 851 990.46 yuan, accumulated project expenditure is RMB 2 276 002.90 yuan. 5.2 Cash and Bank The balance of Cash and Bank accounts is RMB 16 782 729.37 yuan as of December 31, 2018 including the balance of the special account USD 2 410 684.70 which is equivalent to RMB 16 545 011.23 yuan, balance of IECO account is RMB 44 800.00, balance of Yunnan PMO bank account is RMB 30 000.00 yuan and balance of Ningbo PMO bank account is RMB 162 918.14 yuan. 5.3 Grant The accumulated grant received is USD 6 571 405.88, approximately RMB 45 100 872.84 yuan as of December 31, 2018. 5.4 Counterpart Fund The cumulative counterpart fund received is RMB 16 036 316.50 yuan as of December 31, 2018. For current period, counterpart fund received is RMB 13 885 486.80 yuan. Counterpart fund of IECO is RMB 0.00 yuan, cumulative counterpart fund received is RMB 908 000.00 yuan; counterpart fund of Ningbo PMO for current term is RMB 0.00 yuan, cumulative counterpart fund received is RMB 287 890.00 yuan; and counterpart fund of Yunnan PMO for current period is RMB 13 885 486.80 yuan, and cumulative counterpart fund received is RMIB 14 840 426.50 yuan. 5.5 The ending balance of Payables is RMB -616 280.59 yuan, which includes that the prepaid cost incurred by IECO is RMB 16 296.23 yuan, deposit received by Ningbo PMO is RMB 234 950.00 yuan and the interest income is RMB 1 663.58 yuan, the prepaid cost incurred by Yunnan PMO is RMB 79 944.44 yuan, interest of the DA is RMB 9 563.18 yuan, and the exchange rate gain is RMB 958 698.02 yuan. 6. Other Explanation for the Financial Statements 6.1 The counterpart fund in this report reflects the cash counterpart fund only. 6.2 Total source of fund for current period in the Summary of Sources and Uses of Funds by Project Component I is RMB 10 033 262.03 yuan and current-period withdrawal in the Statement of Implementation of Grant Agreement is RMB 8 267 591.57 yuan, the difference between the 15 two is due to the exchange gain or loss which is RMB 1 765 670.47 yuan. 16