Asset Management Plan April 2021 to March 2031 Liability Disclaimer The information in this document has been prepared in good faith and represents Waipa Networks Limited’s intentions and opinions at the date of issue. Waipa Networks Limited does not give any assurance, either explicitly or implied, about the accuracy of the information or whether Waipa Networks Limited will actually implement the plan or undertake any work mentioned in the document. None of Waipa Networks Limited’s Directors, office holders, 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. Waipa Networks Limited may change any information in this document at any time. Waipa Networks Limited Asset Management Plan was Certified by: The Board Directors, Waipa Networks Limited Authorised by: Adam Fletcher Chief Executive Officer, Waipa Networks Limited Prepared by: Pete Armstrong Network Asset Manager, Waipa Networks Limited Certification Date This Asset Management Plan was certified by The Board that it describes actual processes and practices on 31 March 2021. Waipa Networks Asset Management Plan 2 April 2021–March 2031 Table of Contents 1. SUMMARY ................................................................... 10 1.1 Highlights of this AMP ............................................................... 10 1.2 Interaction with Corporate Strategy ......................................... 11 1.3 Duty of care ............................................................................... 11 1.4 Consumer expectations ............................................................ 11 1.5 Network and Asset Description................................................. 11 1.6 Asset Management Systems, Processes and Information ........ 11 1.7 Comparative Performance and Service Levels .......................... 12 1.8 Load growth, distributed generation and electric vehicles ....... 12 1.9 Life-Cycle Asset Management ................................................... 13 1.10 Risk management and resilience to extreme events ................ 14 1.11 Performance and Plans for Improvement ................................. 15 1.12 Energy efficiency ....................................................................... 16 1.13 Disclosure of this AMP .............................................................. 16 1.14 Cost efficiency ........................................................................... 16 2. Background and Objectives .......................................... 16 2.1 Purpose of this AMP ................................................................. 16 2.2 Basis of AMP ............................................................................. 17 2.3 Key stakeholders and objectives ............................................... 17 2.4 Link to other documents ........................................................... 18 2.5 Period covered .......................................................................... 18 2.6 Structure of this AMP ................................................................ 18 3. Network overview ....................................................... 19 3.1 Region and context ................................................................... 20 3.2 Network and demand................................................................ 25 3.3 Supply within Waipa’s network ................................................ 28 4. Stakeholder interests and objectives alignment ........... 35 4.1 Stakeholder interests ................................................................ 35 4.2 Stakeholder engagement .......................................................... 37 4.3 Business and planning response ............................................... 39 5. Network performance and service levels ..................... 50 5.1 Revenue .................................................................................... 51 5.2 Cost performance ..................................................................... 51 5.3 Expenditure vs. budget ............................................................. 53 5.4 Reliability Target ....................................................................... 54 5.5 Targets for Asset and Business Performance ............................ 63 5.6 Consumer responsiveness ........................................................ 65 5.7 Price Quality Expectations ........................................................ 65 5.8 Customer Consultation ............................................................. 67 5.9 Consumer Oriented Performance Targets ................................ 68 5.10 Network continuance ................................................................ 68 5.11 Asset Delivery Efficiency Targets............................................... 75 5.12 Business Efficiency Targets ....................................................... 76 5.13 Public Safety, Amenity Values and EDB Performance Goals ..... 77 5.14 Objective commitments ............................................................ 77 5.15 Performance summary and response ....................................... 77 5.16 Conclusion ................................................................................. 81 6. Asset management strategy ......................................... 81 6.1 Overarching asset strategy ....................................................... 82 6.2 Accountabilities and Responsibilities for Asset Management .. 84 Waipa Networks Asset Management Plan 3 April 2021–March 2031 6.3 Systems and information management .................................... 86 6.4 Compliance ............................................................................... 96 6.5 Risk management...................................................................... 97 6.6 Lifecycle management ............................................................ 107 6.7 Vegetation management ........................................................ 111 6.8 Surveillance ............................................................................. 113 6.9 Network development strategy .............................................. 115 6.10 Prioritisation of development projects ................................... 120 6.11 Policies on Distributed Generation ......................................... 122 6.12 Policies on Non-network Solutions ......................................... 123 6.13 Non-network solutions ........................................................... 125 6.14 Key assumptions ..................................................................... 128 6.15 Asset management maturity assessment ............................... 130 6.16 Asset management improvement........................................... 130 7. Network development ............................................... 134 7.1 Overview ................................................................................. 134 7.2 Growth/demand projections .................................................. 134 7.3 Cambridge area plan ............................................................... 139 7.4 Cambridge GXP Development Plan ......................................... 141 7.5 West Cambridge GXP feeder integration plan ........................ 147 7.6 Te Awamutu GXP and planning area ....................................... 149 7.7 Te Awamutu area plan ............................................................ 150 7.8 Te Awamutu GXP development plan ...................................... 156 7.9 Impact of distributed generation on maximum demand ........ 162 7.10 Voltage constraints ................................................................. 163 7.11 Te Awamutu GXP Cable Upgrade ............................................ 164 7.12 Reliability safety and environment ......................................... 165 8. Customer works ......................................................... 168 8.1 New connections .................................................................... 168 8.2 Asset relocations ..................................................................... 169 9. Fleet management ..................................................... 170 9.1 Fleet management overview .................................................. 170 9.2 Overhead structures (poles) ................................................... 171 9.3 Overhead conductor ............................................................... 179 9.4 Cables ...................................................................................... 181 9.5 Distribution transformers and regulators ............................... 186 9.6 Distribution switchgear ........................................................... 194 9.7 Earthing Systems ..................................................................... 202 9.8 Secondary systems (assets) ..................................................... 204 9.9 Non-Network assets ................................................................ 209 9.10 Operational expenditure ......................................................... 211 10. Expenditure forecast .................................................. 213 10.1 Overview ................................................................................. 213 10.2 Capex ...................................................................................... 214 10.3 Opex .......................................................................................