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Power and Water Annual Report 2011

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Power and Water Annual Report 2011 REPORT ANNUAL power and water corporation water and power ANNUAL REPORT ANNUAL corporation water power and 2011 we value SAFETY INTEGRITY TEAMWORK 2011 COMMITMENT A COMMUNICATION we value SAFETY power and water corporation ANNUAL REPORT2011 1 LETTER TO THE SHAREHOLDER The Hon Delia Lawrie MLA Treasurer Legislative Assembly of the Northern Territory Darwin NT 0800 Dear Treasurer, On behalf of Power and Water Corporation, it gives us great pleasure to present the Corporation’s annual report for the year ended 30 June 2011, in accordance with the provisions of section 44 of the Government Owned Corporations Act. Yours sincerely, Judith King Andrew Macrides Chairman Managing Director 30 September 2011 30 September 2011 we value SAFETY THIS REPORT PURPOSE Power and Water Corporation’s Annual Report 2010-11 provides a record of the Corporation’s operations and achievements for the 2010-11 financial year. Pursuant to section 44 of the Government Owned Corporations Act, the report informs the Northern Territory Parliament, Territorians and other stakeholders of: • Power and Water’s primary services and responsibilities • significant activities of the year, highlighting major projects, key achievements and outcomes • financial management and performance in compliance with the Corporations Act 2001. Power and Water’s Sustainability Report is included to provide a single source of information on the Corporation’s financial, environmental, economic, workforce and community aspects. The annual report has been compiled according to the Energy Supply Association of Australia’s Code of Sustainable Practice. INTENDED AUDIENCE The annual report is tabled in the Northern Territory Legislative Assembly as a reporting mechanism for Power and Water’s shareholding minister and Northern Territory Parliament. It provides a statement of achievement, income and expenditure for the 2010-11 financial year. The annual report also provides we value COMMUNICATION information for others, including the wider public, who have an Engaging in an open, positive and constructive way interest in the provision of water, to obtain better individual and business outcomes. sewerage and electricity services in the Northern Territory. power and water corporation ANNUAL REPORT2011 3 CONTENTS Chairman’s report ............................................................................................................................................................................................................................................4 Managing Director’s report ......................................................................................................................................................................................................... 5 Highlights of 2010–11 .............................................................................................................................................................................................................................. 6 Outlook for 2011–12 ....................................................................................................................................................................................................................................... 7 About us.............................................................................................................................................................................................................................................................................. 9 Power and Water Corporation ...................................................................................................................................................................................... 9 Indigenous Essential Services ....................................................................................................................................................................................10 Corporate structure as at 30 June 2011 ....................................................................................................................................................12 Maps ................................................................................................................................................................................................................................................................................ 13 Our performance ............................................................................................................................................................................................................................................ 17 Services ....................................................................................................................................................................................................................................................................... 17 Financial management ............................................................................................................................................................................................................ 21 Assets .....................................................................................................................................................................................................................................................................................22 Our infrastructure ..............................................................................................................................................................................................................................22 Our stakeholders ..................................................................................................................................................................................................................................29 Our environment ..................................................................................................................................................................................................................................33 Our people ......................................................................................................................................................................................................................................................... 42 Our economics ..........................................................................................................................................................................................................................................46 Financial statements.............................................................................................................................................................................................................................55 we value SAFETY CHAIRMan’S REPORT On behalf of Power and Water Corporation’s Board of Directors, I am pleased to deliver the 2010-11 Annual Report. Power and Water invests substantially work on the Larrakeyah Outfall Project The Corporation continues to look at in maintaining, upgrading and is substantially under way. opportunities for the introduction of expanding electricity, water and renewable energy and this year three The Board understands that achieving sewerage infrastructure across urban, new solar power stations were built in ongoing financial sustainability will rural and remote areas of the Northern remote communities. continue to be a significant challenge Territory. Aligning revenue with for Power and Water Corporation, but it As one of the Northern Territory’s expenditure and achieving financial remains a priority. biggest businesses, Power and Water sustainability is essential for Power and remains committed to providing Water to remain consistent with the Conservative revenue and expenditure its customers with exceptional Government Owned Corporations Act. management, as well as prudent services through open and honest investment in capital works, is essential Power and Water derives its revenue communications. The Corporation has to achieving long term financial via tariffs and charges and community an active program of engagement with sustainability. During the year the service obligation payments. Revenue stakeholders and community groups. Corporation has strengthened the in 2010-2011 was 752 million compared governance and management of its I would like to thank the Managing to 715.8 million in the previous year. In capital program to closely monitor its Director Andrew Macrides for his steady part this was due to the extraordinary projects. leadership of the business, as well as weather pattern in the Northern Territory. the management team and employees In the short term, expenditure for The Corporation is in the midst of a five- for their continued efforts and response repairs and maintenance costs is year 1.5266 billion utility infrastructure to the challenges of implementing the forecast to increase significantly to investment program, the largest ever capital and investment program. $85.3 million. The Corporation expects undertaken in the Northern Territory. this expenditure to result in improved I thank my colleagues for their This investment program extends service delivery while ensuring a support and contribution as Directors across networks, power stations, water more rigorous approach to internal and for their work on the Board
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