410
THE NEW ZEALAND GAZETTE
No. 18

wealth of Australia (hereinafter referred to as “the company”,
which expression shall include its permitted assigns), of the
other part:

Whereas, by an agreement (hereinafter referred to as “the
1963 agreement”) made the 15th day of August 1963 between
Her Majesty the Queen, in respect of the Government of
New Zealand, acting by and through the Minister of Elec-
tricity (hereinafter referred to as “the Crown”) of the one
part, and the company of the other part, which agreement
was validated by and is set out in the Schedule to the
Manapouri-Te Anau Development Act 1963, it was agreed
inter alia that the Crown should, if so required by the
company, and subject to certain terms and conditions as
therein set forth, make available to the company all electrical
power within the power potential of the water resources other
than two Crown blocks (both those terms being as defined in
the 1963 agreement);

And whereas the Crown desires to take temporarily, not
only from the said two Crown blocks, but also from one deci-
mal eight 100-megawatt blocks (as defined in the 1963
agreement) up to a total of 2,600,000,000 kilowatt hours of
electrical energy per year, and pro rata for part of a year,
so that it may defer construction of other hydro-electric
power stations in New Zealand and for that purpose to
construct as soon as practicable, and within the limits imposed
under section 4 of the said Act, all works requisite to enable
the maximum use of the water resources for the generation of
electrical power;

And whereas it is considered that it is advisable and for
the benefit of both the Crown and the company that the
provisions of the 1963 agreement should be varied in certain
respects as hereinafter set forth in order to permit the best
use to be made of the water resources for the generation of
electrical power;

And whereas clause 22 of the 1963 agreement provides
that, with the approval of the Governor-General, by Order in
Council, the 1963 agreement may be varied pursuant to
agreement between the Minister of Electricity and the com-
pany:

Now, therefore, it is hereby agreed as follows:

1. Clause 1 of the 1963 agreement shall be varied by
   omitting therefrom the definitions of “the power potential
   of the water resources” and “undeveloped portion of the
   power potential of the water resources”, and by substituting
   the following definitions:

“‘the power potential of the water resources’ means such
electrical power, calculated on the basis that it includes two
Crown blocks, and that apart therefrom it comprises 100-
megawatt blocks and a fraction of a 100-megawatt block, as
can be generated on the basis of the maximum usage of the
long-term regulated flow of the water resources by generating
units at the power station at Lake Manapouri, having a total
capacity of 700 megawatts, or by generating units from time
to time installed at the said power station, if those last-
mentioned generating units have a total capacity of more
than 700 megawatts:

“‘long-term regulated flow of the water resources’ means
the maximum average flow which can be obtained over the
long term from the water resources, regulated in accordance
with good engineering and hydrological practices, within the
limits imposed under section 4 of the Manapouri-Te Anau
Development Act 1963; provided however that, until the
works known as the Te Anau control structure and the
Mararoa dam have been completed, ‘long-term regulated flow
of the water resources’ means the maximum average flow which
can be obtained as aforesaid, but without the provision of
the said works:

“‘Stage I’ means the period from the 31st day of January
1963 until the date on which the Crown is first obliged to make
available electrical power to the company pursuant to a
notice given by the company under paragraph (e) of clause 5
hereof:

“‘Stage II’ means the period from the conclusion of Stage I
to the expiration or sooner determination of this agreement:

“‘surplus electrical power’ means electrical power which,
from time to time, can be generated in accordance with good
electrical practices at the power station at Lake Manapouri
in excess of the power potential of the water resources.”

2. Clause 4 of the 1963 agreement shall be varied by:

(a) inserting the letter “(a)” immediately after the figure
“4” at the commencement of the said clause 4;

(b) adding at the end of the said clause 4 the following
paragraphs—

“(b) The Crown will install as soon as possible in the
power station at Lake Manapouri seven generating units,
having a total capacity of at least 700 megawatts. The first
four generating units shall each have a capacity of 100 mega-
watts. Subject to confirmation of present engineering studies,
which indicate that it is feasible for each of the remaining
three generating units to have a greater capacity than 100
megawatts, the Crown shall install those three generating units
with the maximum feasible capacity.

“(c) If the company gives to the Crown a notice in
accordance with paragraph (c) of clause 5 hereof, then the
Crown will construct the works known as the Te Anau
control structure and the Mararoa dam and all works ancillary
thereto as soon as feasible, but in any case so that they shall
be completed not later than the 1st day of January 1976, or
such later date as the company may agree.”

3. Clause 5 of the 1963 agreement shall be varied by omitting
   paragraphs (c) to (g), both inclusive, and by substituting the
   following paragraphs:

“(c) On or before the 31st day of December 1968, the
company may give to the Crown notice requiring the supply
to the company of a number of 100-megawatt blocks, being
not less than one nor more than two decimal four (as the
company may decide) on and from the date specified in the
notice, but not earlier than 30 months after the date the
notice is given.

“(d) After giving the notice referred to in paragraph (c)
of this clause, the company may give the Crown from time
to time a notice requiring the supply to the company of the
number of 100-megawatt blocks stated in the notice on and
from the date specified in the notice (which date shall not
be before the date on which the Crown is obliged to make
available electrical power to the company under the notice
given by the company pursuant to the said paragraph (c));
provided always that the company shall not give a notice
under this paragraph which would require the Crown to make
available to the company pursuant to that notice, and to
notices previously given under this paragraph and under the
said paragraph (c), more than a total of two decimal four
100-megawatt blocks before the 1st day of January 1973, or
more than a total of three 100-megawatt blocks.

“(e) After the company has given notices under paragraphs
(c) and (d) of this clause, requiring the Crown to supply
it with a total of three 100-megawatt blocks, the company
may give to the Crown from time to time a notice requiring
the supply to the company on and from the date specified
in the notice (which date shall not be before the last date
on which the Crown is obliged to commence to make available
electrical power to the company under notices given by the
company pursuant to paragraph (d) of this clause) of the
number of 100-megawatt blocks stated in the notice, but so
that the total number of 100-megawatt blocks required by
all notices given under this paragraph shall not exceed one
decimal eight 100-megawatt blocks; provided that—

“(i) a notice under this paragraph shall not be given
before the 1st day of April 1973;

“(ii) the date specified in a notice given under this para-
graph, on and from which electrical power is required by
the company, shall not, for notices given before the 1st
day of October 1976, be earlier than 42 months after the
date the notice is given, and for notices given on or after
the 1st day of October 1976, be earlier than 30 months
after the date the notice is given.

“(f) In this paragraph ‘excess continuous electrical power’
means—

“(i) in respect of the period prior to the completion of
the said Te Anau control structure and Mararoa dam, the
number of 100-megawatt blocks by which the power poten-
tial of the water resources is determined to exceed two
Crown blocks plus four decimal two 100-megawatt blocks;
and

“(ii) in respect of the period after the completion of the
said Te Anau control structure and Mararoa dam, the
number of 100-megawatt blocks by which the power poten-
tial of the water resources is determined to exceed two
Crown blocks plus four decimal eight 100-megawatt blocks.

“After the date on which the Crown is first obliged to make
available electrical power to the company under the notice
given by the company under paragraph (c) of this clause, the
company may from time to time give to the Crown a notice
(which shall state that it is given under this paragraph) requir-
ing the supply to the company of the excess continuous elec-
trical power or any part thereof as stated in the notice (to the
extent not required under prior notices pursuant to this
paragraph) on and from the date specified in the notice;
provided that, if at any time any estimate or assumption
which was made to determine the excess continuous electrical
power is shown to have been incorrect, then the excess
continuous electrical power shall be redetermined and the
quantity of continuous electrical power required under notices
given by the company under this paragraph shall be reduced
by the quantity (if any) by which it exceeds the excess con-
tinuous electrical power so redetermined. In making the deter-
mination and redetermination as aforesaid the parties shall
take into account their desire to make the maximum use of
the water resources to meet the requirements of both of them
under this agreement.

“(g) After the 30th day of June 1986, or such earlier date
as the Minister may agree, if the total electrical power
required by the company under notices given by it under the
foregoing provisions of this clause is at least equal to the
power potential of the water resources less two Crown blocks,
then the company may at any time or times request the Crown
to supply the company with electrical power of a stated
wattage (either continuously or at a load factor stated in
that request) not exceeding the equivalent of two Crown
blocks, less the electrical power (if any) which the company
has required the Crown to supply under notices given by
the company as hereafter provided in this paragraph. The
Crown shall notify the company as soon as possible whether
or not it will make available all or any part of the two
Crown blocks and, if so, the wattage of the electrical power
and the load factor at which, and the date from which, it
would be available. At any time within six months after the
company is so notified that any electrical power is available
as aforesaid it shall have the right to give to the Crown
notice requiring the supply to the company of electrical power
of the wattage and at the load factor so notified, from the