57
2017 WEL Networks
|
Annual Report
wel.co.nz
WEL NETWORKS LIMITED
Notes to the financial statements
For the year-ended 31 March 2017
(continued)
(ii)
Related party transactions with WEL Energy Trust
(iii)
Related party transactions between Ultrafast Fibre Limited and Waikato Networks Limited for the five months
to 31 August 2016 prior to acquisition
(v)
Related party transactions with Waipa Networks Limited
(iv)
Related party transactions with SmartCo Limited
2017
$’000
2016
$’000
Interest on convertible note
(2,449)
(2,456)
(2,449)
(2,456)
Sale of fibre assets and related services
29,342
92,138
Provision for management services
163
570
Fibre access services on Velocity network
43
29
29,548
92,737
Trade receivables
-
13,009
Trade payables
-
(15)
Interest expense
2,097
1,080
Pole make ready and lease costs
30
30
Loan from shareholders
63,336
30,455
65,463
31,565
Other income
482
25
482
25
Total dividends paid during the year were $1,127,000 (2016: $351,000).
WEL Networks Limited owns 15% of SmartCo Limited. SmartCo Limited is a joint venture company which has been
set up to contract with supplier and electricity retailers to rollout advanced electronic meters across SmartCo
shareholder networks.
Net advances from Waipa are loans that are interest bearing and repayable on demand. Interest is charged at a rate equal
to the WEL Parent’s average finance expense. The outstanding balance includes interest and advances receivable. The
advances are unsecured and have no repayment terms and conditions. The loans are used to fund the investment in
Ultrafast Fibre Limited.
