Compensation Management System for Directors and Senior Management
Chapter 1 General Provisions
Article 1 To further improve the compensation management mechanism of Henan Senyuan Electric Power Co., Ltd. (hereinafter referred to as the "Company"), fully mobilize the enthusiasm and creativity of directors and senior management, enhance the efficiency of the Company's operations and management, and contribute to the Company's high-quality development, this system is formulated in accordance with the "Company Law of the People's Republic of China," the "Corporate Governance Guidelines for Listed Companies," the "Administrative Measures for Independent Directors of Listed Companies," and other relevant laws and regulations, as well as the "Articles of Association" and the "Rules of Procedure for the Board of Directors' Compensation and Assessment Committee," taking into account the Company's actual operating conditions.
Article 2 This system applies to the following personnel of the Company: (1) Directors, including independent directors and non-independent directors; (2) Senior management personnel, including the general manager, deputy general managers, secretary of the board, financial controller, chief engineer, and other senior management personnel as stipulated in the "Articles of Association."
Article 3 The determination of compensation for directors and senior management personnel shall follow the following principles: (1) Principle of distribution according to work and matching responsibilities, powers, and benefits, with compensation levels matching the requirements of job duties and management responsibilities; (2) Principle of linking compensation to the Company's performance and work objectives, closely integrating with the Company's operating performance, industry development trends, and individual performance; (3) Principle of combining compensation with the Company's long-term interests, balancing short-term incentives with medium- and long-term development, and contributing to the implementation of the Company's strategy; (4) Principle of combining market-based practices with compliance, referencing industry compensation levels and regional development, and strictly adhering to regulatory requirements.