NOTES TO THE FINANCIAL STATEMENTS

12 Operating expenditure

a Payment for transmission charges | 2,004 | 1,773

b Transfer payments to the "Other" business for:

(i) Asset maintenance | 534 | 713
(ii) Consumer disconnection/reconnection services | 0 | 0
(iii) Meter data | 0 | 0
(iv) Consumer-based load control services | 0 | 0
(v) Royalty and patent expenses | 0 | 0
(vi) Avoided transmission charges on account of own generation | 0 | 0
(vii) Other goods and services not listed in (i) to (vi) above | 0 | 0

Total transfer payment to the "Other" business | 534 | 713

c Expense to entities that are not related parties for:

(i) Asset maintenance | 376 | 26
(ii) Consumer disconnection/reconnection services | 0 | 0
(iii) Meter data | 18 | 15
(iv) Consumer-based load control services | 0 | 0
(v) Royalty and patent expenses | 0 | 0
Total of specified expenses to non-related parties (sum of (i) to (v)) | 394 | 41

d Employee salaries, wages and redundancies | 121 | 372

e Consumer billing and information system expense | 0 | 0

f Depreciation on:

(i) System fixed assets | 598 | 739
(ii) Other assets not listed in (i) | 2 | 8
Total depreciation | 600 | 747

g Amortisation of:

(i) Goodwill | 0 | 0
(ii) Other intangibles | 0 | 0
Total amortisation of intangibles | 0 | 0

h Corporate and administration | 157 | 0

i Human resource expenses | 0 | 7

j Marketing/advertising | 45 | 83

k Merger and acquisition expenses | 0 | 0

l Takeover defence expenses | 0 | 0

m Research and development expenses | 7 | 4

n Consultancy and legal expenses | 31 | 65

o Donations | 1 | 0

p Directors’ fees | 68 | 66

q Auditors’ fees:

(i) Audit fees paid to principal auditors | 28 | 32
(ii) Audit fees paid to other auditors | 23 | 0
(iii) Fees paid for other services provided by principal and other auditors | 16 | 0
(iv) Total auditors’ fees | 67 | 32

r Costs of offering credit:

(i) Bad debts written off | 0 | 38
(ii) Increase in estimated doubtful debts | 0 | 0
(iii) Total cost of offering credit | 0 | 38

s Local authority rates expense | 0 | 0

t AC loss-rentals (distribution to retailers/customers) expense | 0 | 0

u Rebates to consumers due to ownership interest | 3,067 | 3,214

v Subvention payments | 0 | 0

w Unusual expenses | 0 | 0

x Other expenditure not listed in (a) to (w) | 246 | 367

13 Total operating expenditure | 7,342 | 7,528

14 Operating surplus before interest and income tax| 324 | 1,154