✨ Financial Statements
3016 NEW ZEALAND GAZETTE No. 119
MAINPOWER NEW ZEALAND LTD
Notes to and Forming Part of the Financial Statements
For The Year Ended 31 March 2000
Statement of Accounting Policies Specific to MainPower’s Lines Business Activities
Reporting Entity
The financial statements for the year ended 31 March 2000 have been prepared in accordance with the Electricity (Information Disclosure) Regulations 1999 (as amended).
Measurement Base
The accounting principles recognised as appropriate for the measurement and reporting of earnings and financial position on a modified historic cost basis are followed by the Company, with the exception that certain fixed assets have been revalued.
Accounting Policies
The following particular accounting policies which materially affect the measurement of financial performance and the financial position have been applied:
1.1 Fixed Assets
MainPower has four classes of fixed assets:
- Distribution System
- Motor Vehicles
- Plant and Equipment
- Furniture and Equipment
1.1a All fixed assets are initially recorded at cost.
Distribution assets were revalued by PricewaterhouseCoopers on an Optimised Deprival Valuation (ODV) basis as at 31 March 1999.
1.2 Depreciation
Depreciation is provided on all tangible fixed assets at rates calculated to allocate the assets’ cost or valuation less estimated residual value, over their estimated useful lives. Depreciation on Distribution assets is calculated having regard to each asset’s Optimised Deprival Valuation. All other assets are depreciated on a diminishing value basis.
Major depreciation rates are:
| Asset Class | Depreciation Rate |
|---|---|
| Distribution System | 1.4% to 14.40% |
| Motor Vehicles | 20% to 26% |
| Plant and Equipment | 7.5% to 50% |
| Furniture and Equipment | 10% to 33% |
Gains and losses on disposal of fixed assets are taken into account in determining the operating result for the year.
1.3 Income Tax
The taxation expense charged against the surplus for the year is the estimated liability in respect of that surplus and is calculated after allowance for permanent differences and timing differences not expected to reverse in future periods. This is the partial basis for the calculation of deferred taxation.
MainPower follows the liability method of accounting for deferred taxation. Future taxation benefits attributable to losses carried forward or timing differences are recognised in the financial statements only where there is virtual certainty of realisation.
1.4 Goods and Services Tax
All items in the financial statements are net of Goods and Services Tax except for Receivables and Accounts Payable which are shown in the Statement of Financial Position inclusive of Goods and Services Tax.
1.5 Allocation of Costs, Revenues, Assets and Liabilities
The allocation of costs, revenues, assets and liabilities are in accordance with Regulation 6 of the Electricity (Information Disclosure) Regulations 1999 (as amended).
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Online Sources for this page:
VUW Te Waharoa —
NZ Gazette 2000, No 119
Gazette.govt.nz —
NZ Gazette 2000, No 119
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🏭 Notes to and Forming Part of the Financial Statements for MainPower New Zealand Ltd
🏭 Trade, Customs & IndustryFinancial Statements, Accounting Policies, Electricity, MainPower New Zealand Ltd