New Zealand Gazette – 1997 – No. 126

Page 2976

✨ Financial Performance Measures



2976 NEW ZEALAND GAZETTE No. 126

BAY OF PLENTY ELECTRICITY LIMITED

Performance Measures for the purposes of
Electricity (Information Disclosure) Regulations 1994

Performance Measures
for the 12 Months ended 31 March 1997

Disclosure of Financial Performance Measures and Efficiency Performance Measures pursuant to
Regulations 13, 15 and 16 of the Electricity (Information Disclosure) Regulations 1994.

1997 1996 1995
Regulation 13:
1) Financial Performance Measures
(a) Accounting Return on Total Assets 6.18% 5.43% 5.60%
(b) Accounting Return on Equity 3.72% 3.63% 3.75%
(c) Accounting Rate of Profit 4.40% $^1$ 4.02% 4.25%

$^1$ The ODV of Bay of Plenty Electricity Limited has increased this year due to the lives of certain
assets being extended. This movement in reported ODV does not reflect an increase in economic
value, rather a change in the basis of calculation. The objective of the measure "Accounting Rate
of Profit" is to calculate the increase in shareholder equity generated by the line business. The
formula detailed in the first schedule of the Electricity (Information Disclosure) Regulations 1994
includes any revaluation as "profit". The increase in the reported ODV has been excluded
from the calculation of the measure as there has been no increase in shareholder equity from the
movement in reported ODV.

  1. Efficiency Performance Measures
1997 1996 1995
(a) Direct line costs per kilometre $ 1,550 $ 1,837 * $ 3,204
(b) Indirect Line costs per Customer
as prescribed $ 267 $ 288 * $ 199 *
as modified $^2$ $ 136 $ 159 * $ 97 *

$^2$ Indirect Line costs - modified

Total Indirect costs as prescribed in the Regulations include all costs
that are not direct costs, after removing Trans Power charges. Bay of
Plenty Electricity, unlike most distribution companies, maintains its
own generation division and has significant avoided charges which are
charged to the Network division, and paid to the Generation division.
The treatment of the avoided charges for the purposes of the efficiency
measures, is to include these costs as indirect costs. The company has
provided additional disclosures to allow comparison with companies that
do not have generation divisions.

  • Denotes a corrected comparative figure


Next Page →

PDF embedding disabled (Crown copyright)

View this page online at:


VUW Te Waharoa — PDF NZ Gazette 1997, No 126


NZLII — PDF NZ Gazette 1997, No 126




✨ LLM interpretation of page content

🏭 Financial Performance Measures for Bay of Plenty Electricity Limited (continued from previous page)

🏭 Trade, Customs & Industry
Financial Performance, Efficiency Measures, Electricity Regulations, Bay of Plenty Electricity Limited