April 2018 Operating Report

Monthly Operating Report
April 2018

»For the month of April 2018 Contact recorded:
•Electricity and gas sales of 609 GWh (April 2017:
623 GWh)
•Netback of $90.22/MWh (April 2017: $85.05/MWh)
•Cost of energy was $16.21/MWh (April 2017:
$28.36/MWh)
»Otahuhu futures settlement wholesale price for the 2
nd
quarter of 2018 (ASX):
•As at 15 May 2018: $62/MWh
•As at 30 April 2018: $65/MWh
•As at 31 March 2018: $67/MWh
»As at 15 May 2018, South Island controlled storage was
123% of mean (31 March 2018: 118%) and North Island
controlled storage was 136% of mean (31 March 2018:
129%)
•As at 15 May 2018, total Clutha scheme storage
(including uncontrolled storage) was 79% of mean
•Inflows into Contact’s Clutha catchment for March
2018 were at 117% of mean (March 2018: 112%,
February 2018: 119%, January 2018: 44%)
April overview
Operating reportContact Energy Limited
2
»Contact announced it had signed a financial contract
with Meridian Energy to supply a portion of the
additional 50 MW that will be sold to New Zealand
AluminiumSmelters (NZAS)
»The contract will facilitate additional production at
TiwaiPoint in Southland, with NZAS starting up a
fourth potlineat the smelter.

Hydro storage and forward prices
New Zealand controlled hydro storage against mean
Operating reportContact Energy Limited
Benmore ASX futures settlement
Otahuhu ASX futures settlement
3
-
500
1,000
1,500
2,000
2,500
3,000
3,500
4,000
May
17
Jun
17
Jul
17
Aug
17
Sep
17
Oct
17
Nov
17
Dec
17
Jan
18
Feb
18
Mar
18
Apr
18
GWh
South Island ActualNorth Island Actual
South Island MeanNational Mean
0
20
40
60
80
100
CY18CY19CY20CY21
$/MWh
30/06/201729/03/201830/04/2018
0
20
40
60
80
100
CY18CY19CY20CY21
$/MWh
30/06/201729/03/201830/04/2018

Wholesale market
Wholesale electricity pricing
Operating reportContact Energy Limited
Distribution of wholesale market price by trading periods
Benmore node
Otahuhu node
4
0%
20%
40%
60%
80%
100%
<$35$36-$45$46-$55$56-$65$66-$75$76-$85>$85
% of trading periods
Apr 18Apr 17Mar 18
0%
20%
40%
60%
80%
100%
<$35$36-$45$46-$55$56-$65$66-$75$76-$85>$85
% of trading periods
Apr 18Apr 17Mar 18
0
20
40
60
80
100
120
140
JulAugSepOctNovDecJanFebMarAprMayJun
$/MWh
FY17 BENFY18 BENFY17 OTAFY18 OTA

-
500
1,000
1,500
2,000
2,500
3,000
3,500
4,000
15161715161715161715161715161715161716171816171816171816171816171617
GWh
North IslandSouth IslandNZAS
Electricity demand
Operating reportContact Energy Limited
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Source: Contact and Electricity Authority grid demand (reconciled) http://www.emi.ea.govt.nz
Regional demand change (%) on April 2017
Total national demand (FY16, 17 and 18)
»New Zealand electricity demand was up 2.6% on April 2017 (up 2.8% on April
2016)
•Cumulative 12 months demand for May 2017 to April 2018 of 41,151
GWh is 1.2% higher than the prior comparative period.
Month Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun
(8%)
5%
3%
3%
8%
8%
7%
5%
7%
3%
7%
0%
2%
Year
2%
(1%)
5%
3%
17%

10
15
20
25
30
35
40
45
50
55
60
-
100
200
300
400
500
600
700
800
900
16 17 16 17 16 17 16 17 16 17 16 17 17 18 17 18 17 18 17 18 17 17
$/MWh
GWh
GeothermalHydroThermalCost of Energy
Contact’s Generation business performance
Generation mix and cost of energy (FY17 and 18)
Operating reportContact Energy Limited
6
Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun
Year

60
65
70
75
80
85
90
95
100
105
110
0
100
200
300
400
500
600
700
800
900
16 17 16 17 16 17 16 17 16 17 16 17 17 18 17 18 17 18 17 18 17 17
$/MWh
GWh
Commercial & industrial electricity salesMass market electricity sales
Retail gas salesNetback
Retail sales volumes and netback (FY17 and 18)
Contact’s Customer business performance
7
Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun
Year
Operating reportContact Energy Limited

Contact’s operational performance
8
Operating reportContact Energy Limited
Measure
The month ended The month ended The month ended Ten months endedTen months ended
April 18April 17March 18April 18April 17
CustomerMass market electricity salesGWh285 289 265 2,938 2,983
Commercial & industrial electricity salesGWh267 287 288 2,807 2,980
Retail gas salesGWh57 47 50 630 543
Total electricity and gas salesGWh609 623 603 6,376 6,505
Average electricity sales price$/MWh190.90 185.48 186.64 187.88 184.56
Electricity direct pass thru costs$/MWh(82.71)(81.55)(82.37)(83.54)(81.06)
Electricity and gas cost to serve$/MWh(12.13)(14.50)(13.56)(12.58)(13.78)
Netback$/MWh90.22 85.05 86.51 85.70 84.78
Actual electricity line losses%5%2%4%5%5%
Retail gas salesPJ0.2 0.2 0.2 2.11.9
LPG sales tonnes5,556 5,339 5,293 58,195 57,955
Electricity customer numbers #417,500 422,000 417,500
Gas customer numbers #65,000 63,000 64,500
LPG customer numbers (includes
franchises)
#86,500 78,000 86,000
GenerationThermal generationGWh55 120 38 1,477 1,091
Geothermal generationGWh274 287 275 2,777 2,664
Hydro generationGWh366 206 323 2,782 3,204
Spot market generationGWh694 614 636 7,036 6,958
Spot electricity purchasesGWh582 590 575 6,076 6,290
CfD salesGWh77 41 75 505 571
Steam salesGWh55 50 51 526 563
Commercial & industrial electricity salesGWh8 7 9 85 86
GWAP $/MWh57 44 58 86.16 46.42
LWAP $/MWh(65)(47)(64)(92.81)(52.15)
LWAP/GWAP%114%107%110%108%112%
Gas used in internal generationPJ0.7 1.2 0.6 14.711.6
Gas storage net movementPJ0.5 (0.3)0.3 (0.24)(1.36)
Unit generation cost $/MWh(24.82)(35.06)(28.57)(33.48)(30.99)
Cost of Energy $/MWh(16.21)(28.36)(25.07)(28.49)(24.62)

Glossary of terms
Netback
Measures the performance of
the Customer business.
This enables the performance of
the retail channels to be
measured without using an
energy cost. The netback is
meant to cover, inter alia, the net
purchase cost, capital return,
risk margin and a retail margin.
Electricity revenue from mass market and C&I customers
Add: Revenue from gas sales
Add: Revenue from steam sales and direct electricity sales from Te Rapa
Less: Electricity distribution network costs, meter costs and electricity levies
Less: Gas distribution network costs, meter costs and gas levies
Less: Operating costs to serve the customer, including head office allocation
Cost of Energy
Measures the performance of
the Generation business.
Cost of energy reflects the total
operational costs of generating
and procuring electricity sold to
customers. It does not include
any capital return expectations.
Wholesale electricity revenue from our generating assets
Less: Electricity purchase costs from the wholesale market to supply customers
Less: Electricity transmission costs and levies
Less: Gas and diesel purchase costs (excluding gas purchases for retail gas sales)
Less: Gas transmission costs and levies
Less: Carbon emissions costs
Less: Generation operating costs and head office allocation
Netback and cost of energy is divided by the total retail sales volumes (electricityand gas sales) to be expressed as $/MWh

Keep in touch
Operating reportContact Energy Limited
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contact.co.nz
@ContactEnergy
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investor.centre@contactenergy.co.nz
contact.co.nz/aboutus/investor-centre
+64 4 462 1323
+64 21 072 8578
Investor Relations
Matthew Forbes -Investor Relations Manager
Contact Energy