New Zealand Gazette – 1996 – No. 153

Page 4056

✨ Financial Statement Policies



4056 NEW ZEALAND GAZETTE No. 153

NELSON ELECTRICITY LIMITED

STATEMENT OF ACCOUNTING POLICIES

REPORTING ENTITY

The Nelson City Council corporatised its electrical distribution assets on 1 September 1993 in the name of Nelson Electricity Limited. The Nelson City Council sold its 100% shareholding in Nelson Electricity Limited on 19 June 1996.

As at 1 December 1991 the council leased the distribution assets to Citipower Limited (a fully owned subsidiary of Capital Power Limited) for a period of ten years. At the time of the formation of Nelson Electricity Limited the lease was transferred to the new company.

The balance date was changed from 30 June to 31 March to align with the Electricity (Information Disclosure) Regulations.

ACCOUNTING POLICIES

  1. Authority

    These financial statements have been prepared in accordance with regulation 6 of the Electricity (Information Disclosure) Regulations 1994.

  2. Measurement Base

    Reliance has been placed on the fact that Nelson Electricity Limited remains a going concern and that its funds will continue to be available to maintain operations. The measurement base adopted is historical cost.

  3. Matching of Expenses and Revenue

    Accrual accounting has been employed in matching expenses and related revenue.

  4. Line Business

    As the company is a line business with no energy trading activities, all costs, revenues, assets and liabilities have been allocated to the line business.

  5. Depreciation

    Depreciation has been provided on all major assets, excluding land, on the following bases and at the following rates calculated.

    Buildings 2% SL
    Distribution System 4% SL

  6. Financial Instruments

    The company is party to financial instrument arrangements as part of its everyday operations. These financial instruments include cash and bank, accounts receivable and payable, investments and loans which have all been recognised in the financial statements.



Next Page →

PDF embedding disabled (Crown copyright)

View this page online at:


VUW Te Waharoa — PDF NZ Gazette 1996, No 153


NZLII — PDF NZ Gazette 1996, No 153




✨ LLM interpretation of page content

🏭 Accounting Policies for Nelson Electricity Limited (continued from previous page)

🏭 Trade, Customs & Industry
Accounting Policies, Financial Statements, Nelson Electricity Limited, Depreciation, Financial Instruments