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GAS DISTRIBUTION Asset Management Plan 2018

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GAS DISTRIBUTION Asset Management Plan 2018 GAS DISTRIBUTION Asset Management Plan 2018 Appendices GAS DISTRIBUTION ASSET MANAGEMENT PLAN 2018 – APPENDIX A 1 Disclaimer: The information in this document has been prepared in good faith and represents First Gas’ intentions and opinions at the date of issue. However, First Gas operates in a dynamic environment (for example, the changing requirements of customers, deteriorating asset condition and the impact of severe weather events) and plans are constantly evolving to reflect the most current information and circumstances. Consequently, First Gas does not give any express or implied assurance about the accuracy of the information or whether First Gas will fully implement the plan or undertake the work mentioned in the document. None of First Gas Limited, its directors, officers, shareholders or representatives accepts any liability whatsoever by reason of, or in connection with, any information in this document or any actual or purported reliance on it by any person. First Gas may change any information in this document at any time. 2 GAS DISTRIBUTION ASSET MANAGEMENT PLAN 2018 – APPENDIX A A. GLOSSARY TERM DEFINITION TERM DEFINITION AMMAT Asset Management Maturity Assessment Tool FSP Field Service Provided ALARP As Low as Reasonably Practicable FY2019 Financial year ending 30 September 2019 AMP Asset Management Plan GC Gas Chromatographs Asset Grade 1: means end of service life, immediate GDB Gas Distribution Business grades intervention required GIC Gas Industry Company – New Zealand gas industry Grade 2: means material deterioration but asset regulatory body condition still within serviceable life parameters. Intervention likely to be required within 3 years GIS Geographical Information System Grade 3: means normal deterioration requiring regular monitoring GM General Manager Grade 4: means good or as new condition GMS Gas Measurement System – commonly referred Grade unknown: means condition unknown to as a gas meter or not yet assessed GNS Institute of Geological and Nuclear Sciences ARR Asset Replacement and Renewal GTB Gas Transmission Business CAPEX Capital Expenditure– the expenditure used to create new or upgrade existing physical assets HDD Horizontal Directional Drilling in the network, as well as non-network assets e.g. IT or facilities HSEQ Health, Safety, Environment and Quality CCC Climate Change Commission, government ICA Interconnection Agreement body proposed to be established through the Zero Carbon Bill ICP Installation Control Point – the connection point from a customer to the First Gas network CMMS Computerised Maintenance Management System ICT Information and Communications Technology COO Chief Operating Officer ILI In Line Inspection CS Compressor Station – station that contains Gas Compression Plant. IMs Input Methodologies – documents set by the Commerce Commission which promote certainty CP Cathodic Protection for suppliers and consumers in relation to the rules, requirements, and processes applying to the CPI Consumer Price Index regulation under Part 4 of the Commerce Act 1986 CRM Customer Relationship Management IP Intermediate pressure DCVG Direct Current Voltage Gradient – a survey IPS Invensys Process Systems technique used for assessing the effectiveness of corrosion protection on buried steel structures IS Information Systems DFA Delegated Financial Authority IT Information Technology DP Delivery Point kPa Kilo-Pascal, a unit of pressure DPP Default Price Path KPI Key Performance Indicators DRS District Regulating Station LOS Line of Sight EAM Enterprise Asset Management LPT Low Pressure Trip EHMP Electrical Hazard Management Plan MAOP Maximum Allowable Operating Pressure EPR Earth Potential Rise MINOP Minimum Operating Pressure FDC Finance During Construction MCS Vendor brand of pressure safety valve FEED Front End Engineering Design MLV Main Line Valve – valve installed on the main transmission pipelines used to isolate sections of the FIK Flange Insulation Kits pipeline for emergency or maintenance purposes GAS DISTRIBUTION ASSET MANAGEMENT PLAN 2018 – APPENDIX A 3 TERM DEFINITION MP Medium pressure NRAMS Non-Routine Activity Management System NZTA New Zealand Transport Agency NZUAG New Zealand Utilities Access Group OEM Original Equipment Manufacturer OPEX Operational Expenditure – the ongoing costs directly associated with running the Gas Distribution System. This includes costs both directly related to the network (e.g. routine and corrective maintenance, service interruptions/incidents, land management) and non-network related expenditure (e.g. network and business support) OT Off Take PE Polyethylene PIG Pipeline Inspection Gauge Tool PIMP Pipeline Integrity Management Plan PIMS Pipeline Integrity Management System PLC Programmable Logic Controllers PJ Petajoule (unit of energy) = 1015 Joules = 1,000 TJ PRE Pipeline Reported Escapes PSV Pressure Safety Valve – safety device to relieve excess pressure in system to protect system RAB Regulatory Asset Base – the measure of the net value of network and non-network assets used in price regulation RCI Routine and Corrective Maintenance and Inspection ROAIMS Rosen Asset Integrity Management System RTE Response Time to Emergencies SCADA Supervisory Control and Data Acquisition SCMH Standard Cubic Meters per hour (unit of gas flow rate) SIE Service Interruptions, Incidents and Emergencies SMS Safety Management Study STA Standard Threat Assessment TJ Terajoule (unit of energy) = 1012 Joules WBH Water Bath Heater – a shell and tube heat exchanger utilising to heat gas 4 GAS DISTRIBUTION ASSET MANAGEMENT PLAN 2018 – APPENDIX A APPENDIX B: INFORMATION DISCLOSURE SCHEDULES This appendix includes the following Information Disclosure Schedules: Schedule 11a – Report on Forecast Capital Expenditure Schedule 11b – Report on Forecast Operational Expenditure Schedule 12a – Report on Asset Condition Schedule 12b – Report on Forecast Utilisation Schedule 12c – Report on Forecast Demand Schedule 13 – AMMAT Schedule 14a – Commentary on Escalation GAS DISTRIBUTION ASSET MANAGEMENT PLAN 2018 – APPENDIX B 5 6 GAS DISTRIBUTION ASSET MANAGEMENT PLAN 2018 – APPENDIX B Gas Distribution Asset Management Plan 2018 47 48 Current Year CY CY+1 CY+2 CY+3 CY+4 CY+5 CY+6 CY+7 CY+8 CY+9 CY+10 49 for year ended 30 Sep 18 30 Sep 19 30 Sep 20 30 Sep 21 30 Sep 22 30 Sep 23 30 Sep 24 30 Sep 25 30 Sep 26 30 Sep 27 30 Sep 28 50 Difference between nominal and constant price forecasts $000 51 Consumer connection - 140 305 499 732 979 1,261 1,582 1,949 2,245 2,556 52 System growth - 59 142 199 304 215 253 364 467 546 612 53 Asset replacement and renewal - 90 163 234 325 350 463 604 698 813 912 54 Asset relocations - 17 29 44 63 80 97 114 154 175 197 55 Reliability, safety and environment: 56 Quality of supply - - - - - - - - - - - 57 Legislative and regulatory - - - - - - - - - - - 58 Other reliability, safety and environment - - - - - - - - - - - 59 Total reliability, safety and environment - - - - - - - - - - - 60 Expenditure on network assets - 305 638 977 1,424 1,624 2,073 2,665 3,267 3,778 4,277 61 Expenditure on non-network assets - 58 90 77 97 76 55 21 26 81 26 62 Expenditure on assets - 363 728 1,054 1,521 1,700 2,128 2,686 3,293 3,859 4,304 63 64 65 Current Year CY CY+1 CY+2 CY+3 CY+4 CY+5 66 11a(ii): Consumer Connection for year ended 30 Sep 18 30 Sep 19 30 Sep 20 30 Sep 21 30 Sep 22 30 Sep 23 67 Consumer types defined by GDB* $000 (in constant prices) 68 Mains Extensions/Subdivsions 3,200 3,264 3,329 3,396 3,396 69 Service Connections - Residential 2,841 3,266 3,756 4,321 4,753 70 Service Connections - Commercial 798 888 960 1,056 1,162 71 Customer Easements 43 44 45 45 46 72 73 * include additional rows if needed 74 Consumer connection expenditure - 6,882 7,462 8,090 8,818 9,356 75 less Capital contributions funding consumer connection 76 Consumer connection less capital contributions - 6,882 7,462 8,090 8,818 9,356 77 11a(iii): System Growth 78 Intermediate pressure 79 Main pipe 1,550 2,720 2,510 1,760 100 80 Service pipe - - - - - 81 Stations 840 450 - 1,145 - 82 Line valve - - - - - 83 Special crossings - - - - - 84 Intermediate Pressure total - 2,390 3,170 2,510 2,905 100 85 Medium pressure 86 Main pipe 515 305 720 755 1,956 87 Service pipe - - - - - 88 Stations - - - - - 89 Line valve - - - - - 90 Special crossings - - - - - 91 Medium Pressure total - 515 305 720 755 1,956 GAS DISTRIBUTION ASSET MANAGEMENT PLAN 2018 – APPENDIX B 7 Gas Distribution Asset Management Plan 2018 92 Low Pressure 93 Main pipe - - - - - 94 Service pipe - - - - - 95 Line valve - - - - - 96 Special crossings - - - - - 97 Low Pressure total - - - - - - 98 Other network assets 99 Monitoring and control systems - - - - - - 100 Cathodic protection systems - - - - - - 101 Other assets (other than above) - - - - - - 102 Other network assets total - - - - - - 103 104 System growth expenditure - 2,905 3,475 3,230 3,660 2,056 105 less Capital contributions funding system growth - - - - - - 106 System growth less capital contributions - 2,905 3,475 3,230 3,660 2,056 107 108 109 Current Year CY CY+1 CY+2 CY+3 CY+4 CY+5 for year ended 30 Sep 18 30 Sep 19 30 Sep 20 30 Sep 21 30 Sep 22 30 Sep 23 110 11a(iv): Asset Replacement and Renewal 111 Intermediate pressure $000 (in constant prices) 112 Main pipe 20 20 20 20 20 113 Service pipe - - - - - 114 Stations 1,742 330 150 150 220 115 Line valve 100 100 100 100 100 116 Special crossings 60 60 - - - 117 Intermediate Pressure total - 1,922 510 270 270 340 118 Medium pressure 119 Main pipe 2,214 3,210 3,235 3,485 2,760 120 Service pipe - - - - - 121
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