Non provision of tax services by the auditor of accounts

Non provision of tax services by the auditor of accounts

Endesa does not contract tax advisory services with the firm that carries out the audit of its accounts.

The services provided by the Auditor during 2021 amount to those related to Audit of Accounts, as well as limited reviews of the Financial Statements and other minor services related to the Audit.

During 2021, the auditor did not provide tax services, nor did it provide services other than those previously mentioned.  The report of the Integrated Activities of the Committees of the Board of Directors is available at the following link.

Criminal Compliance and Anti-Bribery Policy

Endesa has a solid policy framework that encompasses its values and principles in ethical matters, integrity and corporate responsibility, and establishes guidelines for the purpose of directing the activities of its collaborators, contributing to the construction of a strong ethical culture and one of compliance. The Code of Ethics and the Zero Tolerance of Corruption Plan represent the pillars of this culture, which are reinforced, among other things, by the Model of Criminal Risk Prevention of Endesa.

Endesa has the AENOR certification of its management model for the prevention of criminal offences in line with the Regulation Norma UNE 19601.

The Model is a system of internal management and control destined to prevent the perpetration of illicit behaviour within the business activities. The model is the formation of a structured and organic system of procedures and activities of vigilance and control suited to prevent the commission of crimes under its scope.  In other words, those that could result in a criminal responsibility for the legal persons in the corporate Group.

Among the criminal risks covered by the Model are money laundering and the crime of asset stripping.

All the members of the Company are responsible for the execution and compliance with the Model.  It is available on the intranet of the Company and initiatives are taken to promote its diffusion and comprehension (for example, mandatory online training).

All of the members of the organization commit to comply with the Model through declarations of express undertaking or through clauses incorporated in their labour contracts.  Endesa´s General Contract Conditions for its providers also include clauses of commitment to the ethical Laws and prevention of crime.

Furthermore, the Model is supervised in a continuously by the Supervisory Committee.  Internal Audit carries out periodic reviews of the adequacy of its design and functionality.  The results of that supervision are elevated to the Audit and Compliance Committee that is the body responsible for the supervision of its operation and the compliance of the Model.

The model comprises five elements, which combined, guarantee an adequate control system for the prevention of criminal risks:

• Defining the control environment for the processes, ensuring the teams are informed.
• Evaluation: Assessing the design and operating efficiency of the control activities proposed in the model, as well as the associated risk.
• Defining action plans for any shortcomings.
• Response to non-compliance: In the event of non-compliance, ENDESA applies the measures established in its Fifth Framework Agreement to ensure consistent treatment under current legislation. The SC coordinates the necessary investigations.
• Updating and measuring compliance indicators to monitor the main aspects of ENDESA's Criminal Compliance and Anti-Bribery System and measure its effectiveness.