Internal governance

Here, you will find information on internal governance, which in Vattenfall's view is crucial to maintaining a successful and sustainable organisation.

Guiding business ethics

Vattenfall's internal Code of Conduct builds upon eight principles in the areas of Health and Safety, People, Customers and Suppliers, Business Ethics, Communication, Information Security, Company Resources, and the Environment. It includes references to the Vattenfall Management System (VMS), which elaborates on the principles in more detail. It also provides the employees with the opportunity to report incidents through a whistleblowing function staffed by locally appointed external ombudsmen.

Read more about integrity in Vattenfall

CEO and Executive Group Management

The President of Vattenfall AB, who is also CEO of the Vattenfall Group, is responsible for the day-to-day administration in accordance with the Swedish Companies Act.

The CEO has set up decision-making fora for governance of the Group and makes decisions independently or with the support of these fora. The most important of these are the Executive Group Management (EGM) and the Vattenfall Risk Committee (VRC).

The EGM focuses on the Group's overall direction and decides – within the framework of the CEO's mandate from the Board of Directors – on matters of importance for the Group, such as certain investments.

Read more about the EGM members

The VRC focuses on decisions pertaining to the risk mandate and credit limits, among other things, and exercises oversight of the risk management framework.

Both of these fora conduct preparatory drafting work on matters that are to be decided by the Board of Directors.

The Vattenfall Management System (VMS)

The VMS is the framework that ensures that Vattenfall's governance adheres to formal requirements as well as to requirements made by the Board, the CEO, the business operations and the Staff Functions. It contains the governance required at overall level in Vattenfall. The VMS is documented in binding governance documents consisting of policies, instructions and process documents on three different levels: Corporate level, function level and business level. Certain central documents are approved by the Board of Directors of Vattenfall AB.

The VMS is an integrated management system that applies for the entire Vattenfall Group, along with the limitations that may arise from legal requirements, such as regarding the unbundling of the electricity distribution business. Vattenfall's Environmental Management System is integrated in the VMS. Special routines are in place to ensure adherence to the management system also by subsidiaries.

The Corporate Governance Report describes the most important elements of the VMS, including Vattenfall's governance of sustainability issues.


Vattenfall’s organisational structure comprises six Business areas. Central Staff Functions are organised in a Corporate centre which supports and directs the business.

The legal structure differs from the business structure. Governance is conducted financially, non-financially (such as through Staff Functions) and operationally. Unit scorecards and the VMS are the most important governance tools.

Read more about Vattenfall's organisation

Internal control over the financial reporting

The Corporate Governance Report describes the most important elements in Vattenfall's system of internal control and risk management in connection with the financial reporting.

Last updated: 2017-04-27 12:42