2017 WEL Networks
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Annual Report
12
FINANCIAL PERFORMANCE
The WEL Group has delivered its first fully consolidated
year end results incorporating Ultrafast Fibre Limited. The
Net Profit after Tax of $106 million includes the recognition
of the fair value gain is $88 million on the previously held
interests in UFF. Net profit after tax, exclusive of fair value of
$19 million, was $5 million higher than budget due to strong
commercial lines consumption, urban development and
capitalisation of additional borrowing costs as part of the
fibre network build.
CUSTOMERS
WEL consistently strives to find ways to reduce the cost of
electricity to our customers and to share in our company’s
success. This year we delivered a total of $22 million (including
GST) to WEL Networks customers across the region via the
annual WEL discount. Over the past 15 years approximately
$293 million has been returned to our communities.
In support of our ‘Best in Service’ vision we have
commenced the implementation of an online connection
portal which will deliver a more efficient service to our
residential and commercial customers.
SAFETY
At WEL Networks safety is our highest priority. We
are committed to ensuring there is sufficient focus on
keeping our staff and our community safe. Directors
actively participated in work site observation visits which
provided an opportunity to observe health and safety at an
operational level; this helps strengthen the understanding
of Health and Safety in the business. The Board endorsed
the Company’s Health, Safety and Wellbeing strategy
which sets the future direction and ensures that focus is
maintained in this area.
REGULATION
We engage constructively with our regulators and continue to
monitor the regulatory environment including recent consultations
on the Transmission Pricing Methodology, IRD review of the
discount tax status and the extended reserves market.
Whilst WEL is exempt from pricing regulation we
remain committed to maintaining our price and quality
performance in line with the regulated companies.
MANAGEMENT AND STAFF
A highlight for our team this year was WEL Networks’
Garth Dibley, being named CEO of the Year at the Waikato
Chamber of Commerce annual business awards while WEL
Networks Asset Management General Manager, Paul Blue,
was a finalist in the Emerging Leader of the Year category.
Congratulations to Richard Jeffares of Ultrafast Fibre who
won this category.
During the year we farewelled three members of the
Executive team. Our appreciation and thanks to David van
Deventer, General Manager WEL Services (who completed
9 years of service with the business), David Fuller, General
Manager People and Performance and Sean Horgan,
General Manager Technology.
Congratulations to Vicky Costain, who has been appointed to
the position of General Manager, People and Performance.
LOOKING FORWARD
The Waikato region is enjoying significant growth. WEL continues to take a progressive approach, engaging with
key business and community partners to ensure our programme of work will benefit them in the short and long-
term and that we will continue to be an innovative business leader and trusted member of the community.
I would like to thank the WEL Board of Directors for their support during my ten year tenure as a Director and in
particular for the past three years in my role as Chairman.
To Garth, the Executive team and all WEL staff, I look forward to observing your continued dedication and future
successes in delivering innovative energy solutions and helping to build sustainable communities.
