28 NOVEMBER
NEW ZEALAND GAZETTE
3683

Two to five years 72
Later than five years 0
Total Capital Commitments 26,396

16. OPERATING LEASE COMMITMENTS
    Commitments in respect of non-cancellable operating leases payable:

30 Jun 1994
$000
Within one year 2,426
One to two years 2,183
Two to five years 4,376
Later than five years 5,527
Total Operating Lease Commitments 14,512

17. CONTINGENT LIABILITIES
    There are no material contingent liabilities for the Group (1993, nil).

18. SEGMENTAL INFORMATION
    The Group operates predominantly in one industry, the transmission of bulk electricity. The Group’s operations are carried out in New Zealand and are therefore within one geographical segment for reporting purposes.

19. POST BALANCE DATE EVENTS

Separation
On 1 July 1994 the Trans Power Group of companies were sold by ECNZ. The issued capital of Trans Power, together with its subsidiaries, was acquired directly by the Crown. Trans Power was established as a State Owned Enterprise.

Change in Accounting Policy
With effect in the financial year ending 30 June 1995, the Group will change the basis measurement of its fixed assets from historical cost to modified historical cost. The Directors believe that modified historical cost provides more relevant information to the users of the financial statements about the value of the Group’s fixed assets.

Disclosure of Financial Performance Measures and Efficiency Performance Measures Pursuant to Regulation 13 and Part II of the First Schedule of the Electricity (Information Disclosure) Regulations 1994

1. Financial Performance Measures
   (a) Accounting return on total assets, being earnings before interest and tax, divided by average total funds employed:
   7.5%

(b) Accounting return on equity, being net profit after tax, divided by average total shareholders’ funds:
8.2%

(c) Accounting rate of profit, which shall be calculated in accordance with the following formula:

a - b - c + d

e

where
a is earnings before interest and tax; and
b is cash tax; and
c is interest tax shield; and
d is revaluations; and
e is average total funds employed, minus half the amount of revaluations.
5.8%

2. Efficiency performance measures
   (a) Direct line costs per kilometre, which shall be calculated in accordance with the following formula:

a

b

where
a is direct expenditure (in dollars); and
b is system length (in kilometres);
$11,007

(b) Indirect line costs per electricity customer, which shall be calculated in accordance with the following formula:

a

b

where
a is indirect expenditure (in dollars); and
b is total customers.
$961,347

Disclosure of Energy Efficiency Performance Measures and Statistics Pursuant to Regulation 15 Electricity (Information Disclosure) Regulations 1994

1. Energy delivery efficiency performance measures
   (a) Load factor 68.95%
   Percentage of electrical energy entering the transmission system over maximum demand times hours per year.
   (b) Loss ratio 6.09%
   Transmission losses over energy entering the system.
   (c) Capacity utilisation 66.91%
   Maximum demand over total transformer capacity.

2. Statistics
   (a) System length, broken down by voltage
   Total 17,629 km
   350 kV (HVDC) 611 km
   270 kV (HVDC) 611 km
   0 kV (HVDC earth electrode) 31 km
   220 kV (HVAC) 8,367 km
   110 kV (HVAC) 6,372 km
   66/50/33/11 kV 1,637 km

(b) Circuit length of overhead electric lines, broken down into voltage:
Total 17,549 km
350 kV (HVDC) 571 km
270 kV (HVDC) 571 km
0 kV (HVDC earth electrode) 31 km
220 kV (HVAC) 8,367 km
110 kV (HVAC) 6,372 km
66/50/33/11 kV 1,637 km

N.B.: HVDC Link submarine power cables measure approximately 80 km.
Broken down by voltage:
350 kV (HVDC) 40 km
270 kV (HVDC) 40 km
(c) Total circuit length of underground electric lines 0 km