✨ Financial Statements
3. Deferred income
| LINES BUSINESS | 2013 | 2012 |
|---|---|---|
| $M | $M | |
| Customer investment contracts | 22.2 | 16.8 |
| Transmission realignment | 34.7 | 32.3 |
| Other | 3.5 | 1.5 |
| Total deferred income | 60.4 | 50.6 |
Customer investment contracts
Customer investment contracts are contracts entered into with customers to build grid connection assets. Where the customer pays upfront to construct the asset, the revenue is recognised over the contract period. Related imputed interest expense is based on the rate of return in the year the payment was received.
Transmission realignments
The Group has entered into contracts with third parties to underground and realign some transmission line assets. Where appropriate deferred income is recognised over the life of the related transmission assets. Related imputed interest expense is based on the rate of return in the year the payment was received. Certain non-governmental realignments have the resulting revenue recognised immediately.
Other
Other deferred income principally consists of future property settlements.
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NZ Gazette 2013, No 155
✨ LLM interpretation of page content
🏭
Transpower New Zealand Limited Statement of Accounting Policies
(continued from previous page)
🏭 Trade, Customs & IndustryAccounting Policies, Financial Statements, Deferred Income, Customer Investment Contracts, Transmission Realignment