JO _JUN 2015 • (127o3t

aenj Yj

Jiangsu Provincial Audit Office of the People's Republic of China

it Audit Report

1t *tH:& c2015 J 16 % JIANG SU AUDIT REPORT C 2015 J N0.16

Jj §l 4; ft: 4-Jilf :tJt~ ~ ~~ #x ilfr# * ~ rff fffl JM {P ~Y' ~ ~~ -Ji!x Jffi §l ( * Y,l'I )

Project Name: Large-City Congestion and Carbon Reduction Project

Financed by Global Environment Facility (Suzhou)

liftlm ~+ ..@-. l'E /J)'\. ..; •

Grant No.: · TFO 14206-CN TF014206-CN

:rffi§J~fi~ft: 1tfflrr4-*JF~£~~~M*~rr~*· wtY'~~ft,t" JYi § ~ll4Jfi ~ ;J\i!l.9}-0-'.t

Project Entity: Suzhou Management Office of Large-City

Congestion and Carbon Reduction Project

Financed by Global Environment Facility

%it~lt: 2014

Accounting Year: 2014

Pub

lic D

iscl

osur

e A

utho

rized

Pub

lic D

iscl

osur

e A

utho

rized

Pub

lic D

iscl

osur

e A

utho

rized

Pub

lic D

iscl

osur

e A

utho

rized

1§ ~ Contents

' 't 1)ifj dr- lTI -, Wi V'I' ,i:s,~ .......................... ·· · · · · · ······················ ................. 1

I .Auditor's Opinion ........... . ....... . ....... ... .................................. 3

=., ))0" ~J&*&JJ0" ~J&*~t)i ........ : ...................................... ....... 5

II. Financial Statements and Notes to the Financial Statements . .............. 5

( - ) ~~-1-~*··· .... ................. ············ ............... ......... 5

i .Balance Sheet ............................................................. . ......... 5

( =- ) ~ '§] :rltlJt* .............................. ................................. 7

ii .Summary of Sources and Uses of Funds by Project Component. .. 7

( - ) JiTWI -.hb f-1, ~ -U, _,.- h-'-- ,1;;1 ± ~ 9li'1 ff A 'JJ' Jz. 1JLi fr '1 f.i ..t,;(J 7iX.. ••••••••••••••••••••••••••••••••••••••••. • •••••••••.•. 9

iii.Statement of Implementation of Grant Agreement .................. 9

( tm ) {-JfJ Ji*-? JR3& .............................................................. 10

iv. Special Account Statement.. .............. . .................................... 10

( 1i.. ) yij- jJ--1 R * rsf t ii . . . . . . . . . ............... ................................... 11

v . Notes to the Financial Statements ................... .................. 13

~, $ it it~ E0 IPJ ~ &Jttx. ..... .......... .................................... 16

III. Audit Findings and Recommendations .......................................... 17

J 1'1'!"$ ±Ji1f:lt£i:- "ilM *~ WJJ!Ht, ~Y-1* ;j:lp;t!{" 1y-t § 1f II4Jt ~Jj'> ill y}/;;-- 't.:

~ffi$ttJ±~~~£i:-·~~M*~Wfi~~~Y1*fil~~s ( J1i'I) 2014 ~ 12 JJ 31 s a1g~~f{tij*Zz~~1i s f€1~1tffJ~ s:iitl.i

*--~~~~filt~*~~ffl~P**$~~s~~~**&~~** ¥ft it ( $Jt 5 yf ~ ~ 15 yf t

~~~~~~**~~~~f{tij*.~s*l.i*&•~~~~fi~~ *~~~~·*'~~~ffl~P**~ilW:~~~ff~~*,~#·*~ t§:

1. ~ffl~OO~~**~· ~tt~l.i~*Jy-ts·~~~~~~~~~ s ~ ~ :tR*, #{tJt ~ m1;;--Jt ffi. f#t;

2. ~tt. ~fi~-¥~~~~~~~' ~~~§)~~-*~#~~ -f ~~EX i{Hl im ~ fz ~ t: ~:kJ! 1!L

~ffiffJ~*~~~fi$ttI~~£~~~~~·*~*$tt~~.a ffi~ffl~OOOO*$tt$~~00~$tt$~~~~~fiJ$ttI~,~~$ ~~~am•~tttAA~~~,ttM~~fi$#I~~~Jy-t§l~~**~ ~ ~ # ~ i: * ci{r :t&~ lT!Z.% II 1% i.iE •

~~~**~~**~-~~•1~~~**fil~,am~~1~~~ $ttff~.affi~fflAA~~~~*$tttt~,~~~~~M~~-fff~~ ~~~~~~~-*~*~*~~~~~-~~fi~~w~~,~J~tt

1t% ~ Er'9 'if ittlrf, ~ 1i'J ~ ~ T ~ M :%-:tfL~Afil :#_ EY9 rkJ-$ =& iL 1s § EY9 # ~p: :xt rkJ t~ i$ t 1J Fi9 7FI ~1'Ji JL~~ ~ Jl o 'if it .I 1t :i£ iL Ji5 i-¥ 11r- tJr 121JtJ 4 it jfR. ~ Er'9 1tt ~ ~5fP~ili%#~#Er'9~~~, ~&W~M~**EY9~~~*0 ~ffi~~, ~1fJ ~JRFiJ WitiiE~Jti! ~ Fi9, JE0"-EY9, JiL~t*$ it~Jl~1# J £-Fili"

:rt 1l'J iJ,. :fJ , Jit - &rJr fu Jilt J§--irl* tE rJr ~ @ *- jj W w P.~ o/ 00 Er'9 4 it JJ ~,%#~~5fP*~§·~~~EY9¥*~~,*~&~T~~~~£~· ~~Mkk:!m r1rtm.±t5fP~Y~:t-lF tk.~ 0 c i 1-H ) 2014 if 12 A 31 s Jilt :%-tJt ~&~~~s~~~EY9Jilt~~~, ~§ftfi~~~~JtJaP~~~~o

·*$#ij~~~~,#~~~$#*%EY9~~~~~~=~~**& M:%-**ffl~5fPW#~~EY9~~&~~0

1.~1.L ~~ , ~~~~,, ~~ ~ .11!:i :& : T ~ 'JI ;j}-~ IT-I }f, IP iI ,j} ~'P- 1 7 8 -,y

m~ JE{~-?i~: 210009

It -i!: 025-83758791

,ft Jt: 025-83719333

2

I. Auditor's Opinion Auditor's Opinion

To Suzhou Management Office of Large-City Congestion and Carbon Reduction Project Financed by Global Environment Facility

We have audited the special purpose financial statements (from page 5 to page 15) of Large-City Congestion and Carbon Reduction Project Financed by Global Environment Facility (Suzhou) , which comprise the Balance Sheet as of December 31, 2014, the 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 and Jiangsu Provincial Finance Department's Responsibility for the Financial Statements

The preparation of the Balance Sheet, the Summary of Sources and Uses of Funds by Project Component and the Statement of Implementation of Grant Agreement is the responsibility of your entity, while the preparation of the Special Account Statement is the responsibility of Jiangsu Provincial Finance Depaitment, 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

3

relevant to the entities' 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 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 Large-City Congestion and Carbon Reduction Project Financed by Global Environment Facility (Suzhou) as of December 31, 2014, 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

Since there was no application for withdrawal by the end of 2014, we have not expressed our opinion on it.

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 Recommendations.

Jiangsu Provincial Audit Office of the People's Republic of China June 25, 2015

Address: Jiangsu Road 178, Nanjing, Jiangsu Province, P.R. China Postcode: 210009 Tel.: 86-025-83758791 Fax: 86-025-83719333

The English translation is for the convenience of report users; please take the Chinese audit report as the only official version.

4

JM 4J-**-:&Ylt 4J-**-:JSftJi II .Financial Statements and Notes to the Financial Statements (-) ~~-'¥-~-*

i .Balance Sheet

}1t~f~* BALANCE SHEET

2014:¥12.fBl !:l (AsofDecember31, 2014)

~§~#: ~~~~~~-~-·*--*~~-~---~! (~ffll Project name:Largc- City Congestion and CarbonReduction Project Financed by GEF ( Suzhou l

~~fl.!{111: 1,.1i1 rr 1-~v.;,J;;!~"iU1 ;k:J;i"i:$t~~. td>~':1r.ic~ 131r ;!{yf-!;'- ,Hi#r-0-~ Prepared by: Suzhou Management Office of Large- City Congestion and Carbon Reduction Project Financed byGEF

i;'i ~ r~ m fr ir- WlfJJ~ Application of Fund Line No. Beginning Balance

....• lljji'J~lf'.kit 166,996,000.00 Total Project Expenditures

1

l. 3Ntf'l'.fll~i"" 2 -Fixed Assets Transferred

2. f1t?<i~!!JlH~m 3 -Constmction Expenditures to be Disposed

:l. ~ittH'11;'i: 4 -lnvestmcnts Transferred-out

1. i'filtLi.!.l 5 166,996,000.00 Construction in Procress

~ r,;z4'di"'4i{1tll!!fll'IP; -· 6 -Investment Loan Receivable :tt;,j1: @tl'.d.f'l)l{;'!.1lt.fi'1,~.?.( Including:

7 -World Bank Investment Loan Receivable -· :tlHiffrlmJi;i:UHll'\l'J: ~· 8 -

Appropriation of hl\'estment Loan :J't•f1: W{i1U:MW; Including:

9 -Appropriation of World Bank Investment Loan

[il, ~~{~ 10 -Equipment ~rj,, t'J!L!:J]Jl~§:fffwV~ Including:

11 -Eouioment Losses in Suspense

Ji., ~iflfil{iz:~it 12 -Total Cash and Bank 1. 41Hr#if.X 13 -Cash in Bank

Jt,j,, "!Nil~i!iJ"#tx Including: 14 -

Special Account 2.JJ\!~

15 -Cash on Hand

R~ JM-rE</§lill:tx-tht 16 -Total Prepaid and Receivable 71;,p, 1"14ll!!tM'i~:;f!J.>!!. Including:

17 -World Bank Loan Interest Receivable m~ll1ttwii~11<mm 18 -World Bank Loan Commitment Fee Receivable r,;zql(tti:tTttil'xlfUt,'=i Rl m 19 -World Bank Loan Service-Fee Receivable

·\:: . ~fftiiE~ 20 -Marketable Securities

A. ~)Efil~Z~it 21 -

Total Fixed Assets !DJ ,E !JUr.1§, fft

22 -Fixed Assets, Cost

if.i: JRiHJ?IA 23 -Less: Accumulated Depreciation

151 )E !Ji i''' ri'ffi 24 -Fixed Assets, Net ~,Eillrcifil'J, 25 -Fixed Assets Pendini: Disoosal t;-&i:j)RWJ IE i?if.:ffl:J~ 26 -Fixed Assets Losses in Suspense

~:~tt!'iifl-1:fit 27 166,996,000.00 Total Aoolication of Fund

5

Currency Unit: RMB Yuan

JlJJ,ls:m. Ending Balance

2 l l , 120,300.90

-

-

-

2 l l, 120,300.90

-

-

-

-

--

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

211,120,300.90

~~~~*(~) BALANCE SHEET C continued)

2014{f 12J'i3I H (AsofDecembcr3L 2014)

~§~~: ~~~~£~·-·Af*~~~*-~«~tt~§ (Jffi) Project name:Large- City Congestion and CarbonRcduction Project Financed by GEF ( Suzhou)

~~$ft: ~ffl~~~~~~~···*~~~*-~~«~~"~§·~~~~g~~~ Prepared by: Suzhou Management Office of Large- City Congestion and Carbon Reduction Project Financed

byGEF

'ft /.~ = *il!'.l fr (J( WHJJ~

Sources of Fund Line No. BeginninQ Balance -

' .liJl El i1L¥X il-it 6,292,000.00 Total Project Appropriation Funds

28

- Jj)j§~}p:.!cj.li}jfi~*i~{;( .. 29 160,704,000.00

Project Capital and Capital Surplus ;;:i;q·,, 1PJJ~W.:

30 -lncludin)!: Grants

_, rm~ 1g~B-tt 31 -Total Project Loan

l. Jyj Fl fl~ fl{~; 32 .

Total Project Investment Loan 0) IJil ?'Hg:. t,x 33 -

Foreign Loan Jtt:j1: I~ il,j;ff ~1Ml; Including:

34 -IDA

r:m [l,j; 1n-Hrn~rr 35 .

lBRD

tl # .g-{Hiit't 36 -

Technical Cooperation

~*1flli~ 37 -Co-Financing

(2) ['ii! F'J ft·#.k 38 -

Domestic Loan

2. ;)(ftl!.fil'ft 39 -

Other Loan !ill, .UlHt!:Jd:9: '8HM'#.k 40 -

Appropriation oflnvestment Loan jj;ij·,: :/tl.,i\ tl±M,"'t§.'. Including:

41 -World Bank Loan

Ji. 1bll:'.ftl~'&l:~ 42 "

Bond Fund ....... ffll.\'~§;lt!J ;,.

43 -Construction Expenditures to be Offset

-t. S.11~*it 44 -Total Payable :J\<11, mfttl±rrt'i:~,..o.\l!. Including:

45 -World Bankk Loan Interest Payable

m1trn:frvW:;ifi:mm 46 -

World Bank loan Commitment Fee Payable

fil1ti!tfftW:~~ t!iffl ~ 47 -World Bank Loan Service Fee Payable

}\., *3liX-g.i+ 48 .

Other Payables fl., .t~:/tl.)..'&J:~ 49 -

Appropriation of Fund

-j- ' 'fBJ;x;tj$[,i\ 50 -

Retained Earnings

~~*ilm-@-it Total Sources of Fund

51 166,996,000.00

6

Currency Unit:

RMB Yuan

)!Ji ,i, ~ Ending Balance

50,4 l 6,300.90

160,704,000.00

-

-

.

-

.

-

--

-

-

-

-

-

.

.

-

-

--

-

-

211,120,300.90

__,

( =.. ) * 13 *-lit* ii .Summary of Sources and Uses of Funds by Project Component

Jjit I§*~*(-) SUMMARY OF SOURCES AND USES OF FUNDS BY PROJECT COMPONENT I

;zjl:}tJ];Jl'ft3i20 I 11{f.12Y:J 31 El ( For the period ended December 31.2014 )

~m~#: ~~:q;«a~••••*d$~~-~••a~mc~ffl> Project name:Largc- City Congestion and CarbonReduction Project Financed by GEF (Suzhou) !JH~.Jl!.1i: ;li~1ii $1-1.atlf~JUt~"?l.M-i::J:JJl.$t.lllJ%, ~Y-~Fi!z":iyi m 1'J14.9f !'tiHJl!b·-0-~ Prepared by: · Suzhou Management Office of Large- City Congestion and Carbon Reduction Project

*j!JJ JUfrkJ'l§l: Current Period

Project ;,jqlfj i-j-:l/.lJliyj ;¥Jtll~1'.Wl Component Current period Current period

Budget Actual

U'Hiz *ir.m idr - 44, 124,300.90 Total Sources of Funds

·-, ffil~ifizM!J1gfU.lW~~ - -International ·Financing

IBRD(GEF) - -=- rem~:fiz - 44, 124,300.90 Countemait Financing

1 Jtt n,cw ~f, - 44,124,300.90 Financial Appropriation Funds

2. {!:,:!.& F-l Ufi - -Self-Su1morting Funds iat&iE:mihtct~Jlii l=l r'g~) Total Application ofFunds (by Project· - 44, 124,300.90

Component) 1.&%H~;it3liili - 31,200,000.00 Improving Public Transoort 2.Jin 1ill x:l!li ;r; ;;R>'g'fffi - 540,000.00 Improving Transoortation Demand Management 3.l'W I=J mt;!Jn'v@.i!!U-~W1ft l l,874.300.90 Monitoring a:1d Evaluation of Project Activities

-4.Jy\ F-111\'ml 510,000.00 Management of Project Activities

-~~ . -Difference l. @tl10rJ.:':St1t - -Clwnge in Receivables 2. @N~K.l'l:'.11'.. - -Change in Pavables

3. 1,bfi\f.f{t~ft - -Change in Cash and Bank

4. J('t': - -Other

:4sllfl7tliH~ Current period % comnleted

-

-

-

-

-

-

-

-

-

-

----

--

2-l ·~+ Cumulative

TIJif.l.f,HU.1JM1 \R 1Yfti1&W~! Life of Cumulative PAD Actual

279,026,400.00 2 l l.120.300. 90

24.4 76,000. 00

24,476.000.00 -

254,550,400.00 211, 120.300.90

- 50.416,300. 90

- 160,704,000.00

279,026,400.00 211.120.300. 90

232,338,430.00 l 9 l,904,000.00

8,444,220.00 540,000.00

35,490,200.00 18, 166.300. 90

2,753.550.00 510,000.00

- -

- -

- -- -- -

-'Hr: A..~rfi ;1~ Currency Unit: RMB Yum1

;gty,tJ,xJI: Cumulntive

% Comolctcd

75.66%

82.94%

-

-

75.66%

82.60%

6.39%

5 l.19%

18.52%

-

-

-

-

00

J_m gJ :i!lt,,t (-=.)

SUMMARY OF SOURCES AND USES OF FUNDS BY PROJECT COMPONENT II t,:Wlil&ft:20 [ 4'q: 12;§ 3 I Fl

( for the period ended December 31,2014)

~m~~: ~-~~a*••••*-••*~~«fil•~~($ffll Project name:Large City Congestion and CarbonReduction Project financed by GEF

i.11Ht'¥!-1:?L: $:Hi rr ~Jtlf:lJUH:-"f£M*Mt$ tJ!lijf. ~~·iffeA~~ft!CJ_gi 0 fg' J.ll[4Yl %-1UU1J--»'.t Prepared by: Suzhou Management Office of Large City Congestion and Carbon Reduction Project

Financed by GEF Jyj§Jttl\

rm 13 1.kJli'J Project Expenditure

B 3'.t 1"·HJi f" ~:-l-t":tlH Assets Transferred t l: t ~.T.lhl 1-H i.d~i:f9i El -x:11:

Project Cumulative ltl }Jc l3':ir"' viU~JUir" 7f..J~ \Ji r''' ian.rn±r"' Construction

Component Amount Fixed Current Intangible Deterred Work in Progress Expenditures

Asset Asset Asset Asset to be disposed

I . ~.H!f i~ ti~ 3l ii.ii 19 L904,000.00 - - - - 19 !,904.000.00 Jmnroving Public Transnort -

2.tJus!J\3i:Jfilfr't:iR·ffi'l11l Improving Transportation 540.000.00 - - - - 540.000.00

-Demand Management 3. rJil El mt;i1 rr-1Jl[wrn1=j1;'1'1fr Monitoring and Evaluation of 18,166,300.90 - - - 18,166,300. 90

-Project Activities

4.J_vi § rm'J!J!. 510,000.00 - - - - 510,000.00

Management of Project Activitie -

il-i+ 211, 120.300.90 - - - - 211,120.300.90 -Total

i{!-fft : A. 1k. ,fi Ji: Currency Unit :

RMB Yuan

!fU IIH1U'i lnvcsllncn ts

Trans le rrcd-o u t

-

-

-

-

-

ill

C ~ ) V!i 1:k t~ ;t t)Lfi ·tt ?;L;;&: iii.Statement of Implementation of Grant Agreement

~ #x tdJ- Jt tkAt 'tt ?Yt-* STATEMENT OF IMPLEMENTATION OF GRANT AGiiEEMENT

*~V:Hr&~20141:p 12JJ 31 El (For the period ended December 31,2014)

~§~~: ~~~~£~·-··*~*~--~-~~~§($ffl) Project Name: Large- City Congestion and CarbonReduction Project Financed by GEF (Suzhou ) •*•ft: ~ffl$~~~~£~"tM*~$W-.•~-~~"~§*~~~~-~~~ Prepared by: Suzhou Management Office of Large- City Congestion and Carbon Reduction Project

t~ ff5 $-11 : ~ Jt1A r( m

Financed by GEF Currency Unit: USD/RMB

~ 5;E Yl~ m'>Z ~ iyi :iis:1,IHIM(~ ~ i-1-t!\U~ !J& gHJ1J Grant Amount CmTent-period Withdrawals Cumulative Withdrawals

Category ~7~ ~~ 1Jr -fr A ~ ffi ~~ Jr {t A Fl!: ifJ USD USD RMB USD RMB

].rgf § ~B:gi:!5tr.p B'·r&~~. Ilfil, ~-~fiJWjiHr.iJR~*· ~~<f=HEJ~m *· !~)Jn a'Jili-e';~Jfilitffl' ifflJil tDWfi~·f;; OHli m) Goods,works,non-consulting serivces,consultants' serviccs,TraininI 4,000,000.00 - - - -

and Workshops, and Incremental Operating Costs for Part B of the

project(for Suzhou)

2. -if falHlE.P - - - - -Special Account

-~i:-1- 4,000,000.00 - - - -Total

{\?9) ~m9*l'ffi.*-iv .Special Account statement

-t m * f=1 trti~ SPECIAL ACCOUNT STATEMENT

Jyi §~ft: ( ;t1H)

lf Wlill\(~2014~ 12!J 3 l El C For the period ended December 31, 2014)

~~~~~~•••m*~~~~~~«~~~§ *f•H,#: ~••Ht*~-•tt :t1T

Project Name: Large- City Congestion and CarbonReduction Project

Financed by GEF C Suzhou)

Depository Bank: Nanjing Tianjinxincun Branch, Bank of Communications #t % : 3200066001453 l 9000000

~~ m.:. % : TF14206-CN Grant No.:TF 14206-CN

Account No.: 320006600145319000000 ~ rp ;ff~: ~JG

~:}a i¥'ii: 1I;f~Jiitif~Jf Currency : USD Prepared by: Jiangsu Provincial Finance Department

A',tlHt: * Wl "'&-Hi ~*f' 4:i!: ~ 'r~fl£ {t{{Ji!

Pait A - Account Activity for the Period Amount jtlHJJ*i!Jt Beginning Blance -;i:fi'JJO Add:

I::$: 1Jltt.!: fH&h el f ~ -~· !fii -Total Amount deposited by World Bank

:$:WllLl,\\'!.4~LA,(;H!Jt(HA "'7 ffl¢lU.Jt!il?t) -Total Interest Earned this Period if Deposited in Special Account 4=1Jl~-Si'! y:_ tl:l ~=Jjf,~.l}yi Total Amount Refunded to Cover Ineligible expenditures

-

lJ;:i:J> Deduct: +WJy:_{t.2.fyj Total Amount Withdrawn -*1Jl *'E1,1jsz£y:_{-t:aJii 9'1 H~ mt%·~ y:_ tl:l -Total Service charges if not Included in Above Amount Withdrawn 1Jl*fR!J)f Ending Balance -Bij$5t: "'7 ffl lj!Kpi,F.J"f.j Part B - Account Reconciliation 1.t!:lJHlHrti<J:: rr},.(,fi:.iil1

-Amount Advanced by World Bank oa.£& Deduct: 2. itt :fl-t~ h @I Wit,({;, ~iJi -Total Amount Recovered by World Bank 3.~jtljWJ;fv J:f:lij!Kp §£7'.1-H't ~ivi

-Outstanding Amount Advanced to the Special Account at the End of this Period

4.vm'*f',A*~~Yi -Ending Balance of Special Account i~;IJD Add:

5.if.1G~4:,Jtl!A* B $~1!H!H~f6j*@J1<r~tiii -Amount Claimed but not yet Credited at the End of this Period Ei3i~~·s· 1fi:Wi Application No. Amount

~-~*MM*By:_tt@f6j*$~ffl*1tM -Amount Withdrawn but not yet Claimed

7.l3G%~ ~it:'.ttl1(~0*~-7':E5tll6t~9'1) -Cumulative Service Charges (if not Included in Item 5. or 6.) ~tjQy Deduct:

8.51'U.!.4tA(t¥A vrn*f-'m~5t) -

Interest Earned (ifincluded in Special Account) 9 ·* :llJl ~Jl ;,k "'&-m il*f' §" 1~ tH'b"J{j;~J! -Total Advance to Special Account Accounted for at the End of this Period

10

1. :i:m gr~~ ±~*~£~-~~-*~$~:il!~~,~~~~~~s(iffl)*

ffX % Jb TF014206-CN, ~ § §' 1£ &_%JE-# ~iffi_, JJP 5!~iffi_ ffi ~ l.f :£1, 7f M: m~ }J ;t-r&_ ~ iJf!F.Iff t=J 11t 11 ~, JJ ff :t:~JtM t=.l ~·~ $ -t~ W 1ftii ~ ~ :iOO_ fffl ~ tu :tl I\ 5-§" Jk f~ ~tk1#~~11 ~. J_Iff t=.l i)I fJ ~: ( 1 ) Et %Js-#~:iffi_, 1iL tt l!-r&_~#~~*~ilifi£~~~i~£~i~,~~~~w~~~tmffl ~~mit~~$I$ ~*~~, * Jl"JV-~\#~~JJ %- ~,,~~$ KJltlt.-fiJf % $ ; ( 2 ) ]JP 5! ~ JI! ffl >Jt l.f Jj_ , ~ it 7f Jl ~ ~ fi >Jt l.f Jj_ 11Jf % l'lJ* $ j ;JE Nil ~,J , ~~#~~~~~~~*$~•*•' ~~~~gfi*~*~*~·; (3)~§~~~~~~W~, ~~;t~~$~~~fi~~j~,~$~

iffi_ C02 f-lp ~Jc f{ ffl- 4llt ( 4 ) J_Iff § l.f Jj_. ~ t=.l tdJ- lx. -f 2013 1t- 6 JJ 28 E ~

iT, 2013 t- 9 JJ 2 a 4-:tX, 1¥-JfJ ~? *-f 2018 t- 6 JJ 30 a~ I~. ~ §

l~'~i?f 4,605.00 JJ~Jt, -'A-o/: ±r;ft_*;l:Jf,,£~mtix 400.00 -;j~Jt, !eiq§­~* 4,205.00 E ~Jt.

2. ~ JJ--~*~ tJ re; I *Ji1t 9J--fl* a1 "$1i'l rtf 1:-~~;l:t£~"f!~ ;kJj rff ffflit, ~j;~jf ]"J_"

~§~~~~~~~~~(~~~~~ffl$~§~)L~~~oL~~OO

~M~ffl$J_Iffs~M~~*l'l1iffl$~~~-~-~fflrtf~~~-tfflrtf $~$~~,JfflrtfM*~,Jfflrtf~~~-~ffl$~~~-~fflrtf~~ ~$7~·~~~·ft~*-i**~~~~JJ!r~ff~}f]~,P~*o

3. _i_ *%it*5ri 3.1 *~ s M~1&.*mN¥- «JJit*$OO¥ffiiiJ1fJI~~~1x~ § %ittttw

ii w,5! » ( M ¥ffi m c 2001) 195 % ) ~~>RM.a it

3.2 4itt~Jt::t-JI-*JtJ~mt-tu, &P~Jh 1 JJ 1 .a ~.12 JJ 31 a . .

II

3.3 ;.tlff[ §l ~it;Jst~1;Z"{x.1tK1-wU"1fJSTiG~~}JyllJ, *lt11f~j_i3c ~5iiE~, t;ZA~ fJJ JJ iE~;.t1ft $ o

3.4 WP.~ If 00 A ~ffi.1i 2014 1f 12 }J 31 8 1[$, ~p USDl=A ~ fJJ 6.1190 }Ge

4. :ilttf+ J§ iJt a;g 4.1 Jff[ §] ~ ill 2014 1f :r:VJ: § ~ ill· A-~ $ 44,124,300.90 JG , l it~ ill A ~ $

211,120,300.90 JG, S,~,~1fit~1JMJ 75.66%a Jt4': &~-'t\.:#3<:.:iilit~ ill A~$ 191,904,ooo.oo JG, Sft1fit~u s2.60%; jJp5i3<:.:iil>-R1frIJit ~ ili Ah%$ 540,000.00 JG, S N1fit~1J 6.39%; ~ §J 15 #1 ~ ~)Yl~ lj if-11r l it~iliAh%$ 1s,166,300.90JG, tiNiffit~1J 51.19%; ~§1f:@_Jit~l±l A~$ s10,ooo.oo JG, SN1fit~1J 18.52%0

4 .2 :rffi §l 1£Jx *° :rffi: § * * 20141t-12 JJ 31 a J:W:J§~lx*1J1:vf §l1fl-Js:.i"ffiJSTA~$ 211,120,300.90

JG, i5 !E*-1f~it~1J ~ 82.94%0 Jt If: 20141f 12 fJ 31 8 Jffi J§ ~#x1f;ffi JSTA~$ so,416,300.90JG, :l{qJSTW:V-l'l°$Jiltj£Jc~#x; 20141F-12JJ 31 81:vf §l 1t-*~$f JST A~$ 160,704,ooo.oo JG, JST $1H rr 0-#3<:.il :rT¥l0-iiJ § ~ ·#,.--;?;" ff A J;J~ c

5. ~ }¥] 1*f11t)f] 11! ?JG

7-Js:.~J§~ffl~P~~~il·fi~~~~~#~fi, ~%JST 320006600145319804019, rpflfl~JGo ~~ 20141¥- 12 }J 31 S, ~-tm ,U!Kj17K-it1-~fz~~~o

6. *1tl?,~~i3t a;g ~-~ 1:vi §l it~rJ @Eqftrf-~ 4,205.00 H ~JG, 1'.1%~ ~~~Jilt ~t&* If ffiJJ~MJ

45.00 H~Jt~4mWE*-*~o

12

v. Notes to the Financial Statements

Notes to the Financial Statements

1. Project overview The grant number of Large-City Congestion and Carbon Reduction Project Financed by Global Environment Facility (Suzhou) is TF014206-CN.It aims to improve public transport, enhance transp011 demand management, build capacity and implement the project tasks, so as to provide experience reference for effectively relieving the traffic congestion and air pollution problems prevalent in the cities. The Project components mainly include: (1) improvement of public transport, including the construction of information service system for transit8 riders, assessment of express bus line and acquisition of clean-energy buses for operation, and the canying out of TOD studies and so on; (2) improvement of transport demand management, including the canying out of TDM studies and parking system planning, the formulation and pilot implementation of different parking policy , the development a congestion pricing scheme in the ancient city ; (3) Monitoring and valuation of project activities ,including the development of an urban transport monitoring system ,and data collection for urban transport co2

emissions database; ( 4) management of project activities. The Project Agreement was signed on June 28, 2013 and came into effect on September 2, 2013. The special account will be closed on June 30, 2018. The total investment for the project is USD 46,050,000, including USD 4,000,000 of GEF grants and USD 42,050,000 of counterpa11 funds.

2. Consolidation Scope of the Financial Statements The financial statements are summarized and prepared by Suzhou Management Office (Suzhou PMO) of Large-City Congestion and Carbon Reduction Project financed by Global Environment Facility. The summary contents include the financial statements of Suzhou PMO, revenues and expenditures of counterpaii funds of the leading implementing entities, including Suzhou Transport Bureau, Suzhou Public Security Bureau, Suzhou Environment and Municipal Administration Bureau, Suzhou Bureau of Finance, Suzhou Price Bureau, Suzhou Planning Bureau and Suzhou Environmental Protection Bureau, as well as the Special Account set in Jiangsu Provincial Finance Department.

3. Accounting Policies

13

3 .1 The Financial Statements of the project were prepared according to the requirements of Temporary Accounting Methods for the Granted Project Managed by International Department of Ministry of Finance (Caijihan[200J]No.195).

3 .2 In accounting practice, the Gregorian calendar year is adopted as the fiscal year from January 1 to December 31.

3 .3 The accrual basis and the debit/credit double entry bool<l(eeping method are adopted. RMB is used as the recording currency of bookkeeping.

3 .4 The exchange rate adopted in the financial statements was the exchange rate on December 31, 2014 of the People's Bank of China, which is USDl= RMB6.l l 90yuan.

4. Explanation of Subjects 4.1 Total Project expenditures The project expenditures in 2014 were RMB44,124,300.90 yuan and the accumulative expenditures was RMB 211,120,300.90 yuan, accounting for 75.66% of the total planned investment, including RMB191,904,000.00yuan for improvement of public transport, accounting for 82.60% of the planned investment, RMB540,000.00yuan for improving transport demand management, accounting for 6.39% of the planned investment, RMB18,166,300.90 yuan for monitoring and evaluation the of project activities, accounting for 51.19% of the planned investment, RMB 510,000.00 yuan for management of project activities ,accounting for 18.52% of the planned investment.

4.2 Project Appropriation Funds and Capital The balance of Project Appropriation Funds and Capital on December 31, 2014 were RMB211, 120,300.90yuan, accounting for 82.94% of planned counterpart funds. The balance of project appropriation on Dec. 31, 2014 was RMB 50,416,300.90 yuan which was fiscal appropriation from Suzhou. The balance of project capital on Dec. 31, 2014 was RMB 160, 704,000.00 yuan, which was self-supporting funds of Suzhou Public Transport Co., Ltd.

5. Special Account The Special Account of the grants 1s set in Bank of Communications m ·

14

Nanjing, Tianjinxincun Branch, with the account number of 320006600145319804019, and USD as currency Unit. By the end of 2014, no actives had been occurred in the special account.

6. Other Explanation for the Financial Statements The planned counterpai1 funds of USD 42,050,000.00 exclude USD 450,000.00 of physical counterpart funds unnecessary to be reflected in the finical statements.

15