October 2018 Operating Report

Monthly Operating Report
October 2018

»For the month of October 2018 Contact recorded:
•Electricity and gas sales of 625 GWh (October
2017: 655 GWh)
•Netback of $93.09/MWh (October 2017:
$81.68/MWh)
•Cost of energy was positive $7.96 /MWh (October
2017: (cost -$30.44/MWh))
»Otahuhu futures settlement wholesale price for the 4
th
quarter of 2018 (ASX):
•As at 2 November 2018: $235/MWh
•As at 31 October 2018: $215/MWh
•As at 30 September: $87/MWh
»As at 2November 2018, South Island controlled storage
was 71% of mean (31 October 2018: 72%) and North
Island controlled storage was 75% of mean (31 October
2018: 74%)
•As at 2November 2018, total Clutha scheme
storage (including uncontrolled storage) was 57% of
mean
•Inflows into Contact’s Clutha catchment for October
2018 was 90% of mean (September 2018: 72%,
August 2018: 99%, July 2018: 154%, June 2018:
59%)
Operating reportContact Energy Limited
2
»Contact will host an investor day and operational site
tour for institutional investors and analysts at our Te
Mihipower station including the adjacent geothermal
steamfieldsoutside Taupo on Tuesday 6 November
2018.
»The site tour will include senior management
presentations, starting at approximately 9:15am NZT
which will be live webcast and available via Contact’s
website on https://contact.co.nz/aboutus/investor-
centre/results-webcast.
»A copy of the presentations will also be available in the
investor section of the website once released, with an
archived replay on our website following the event.
»To receive event reminders and streamline registration
in advance of the event, pre-registration is available on
our website at https://contact.co.nz/aboutus/investor-
centre/results-webcast.

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
Nov
17
Dec
17
Jan
18
Feb
18
Mar
18
Apr
18
May
18
Jun
18
Jul
18
Aug
18
Sep
18
Oct
18
GWh
South Island ActualNorth Island Actual
South Island MeanNational Mean
0
20
40
60
80
100
120
CY18CY19CY20CY21
$/MWh
30/06/201728/09/201831/10/2018
0
20
40
60
80
100
120
CY18CY19CY20CY21
$/MWh
30/06/201728/09/201831/10/2018

Wholesale electricity pricing
Operating reportContact Energy Limited
Distribution of wholesale market price by trading periods
Benmore node
Otahuhu node
4
0
50
100
150
200
250
300
JulAugSepOctNovDecJanFebMarAprMayJun
$/MWh
FY18 BENFY19 BENFY18 OTAFY19 OTA
0%
20%
40%
60%
80%
100%
<$35$36-$60$61-$85$86-$110$111-$135$136-$160>$160
% of trading periods
Oct-18Oct-17Sep-18
0%
20%
40%
60%
80%
100%
<$35$36-$60$61-$85$86-$110$111-$135$136-$160>$160
% of trading periods
Oct-18Oct-17Sep-18

Operating reportContact Energy Limited
5
[Data is not available as at time of publishing]

10
15
20
25
30
35
40
45
50
55
60
-
100
200
300
400
500
600
700
800
900
17 18 17 18 17 18 17 18 17 18 17 18 18 19 18 19 18 19 18 19 18 19 18 19
$/MWh
GWh
GeothermalHydroThermalCost of Energy
Generation mix and cost of energy (FY18 and 19)
Operating reportContact Energy Limited
6
Jul Aug Sep Oct* Nov Dec Jan Feb Mar Apr May Jun
Year
*October 2018 cost of energy is positive $7.96/MWh

Retail sales volumes and netback (FY18 and 19)
7
Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun
Year
Operating reportContact Energy Limited
60
65
70
75
80
85
90
95
100
105
110
0
100
200
300
400
500
600
700
800
900
17 18 17 18 17 18 17 18 17 18 17 18 18 19 18 19 18 19 18 19 18 19 18 19
$/MWh
GWh
Commercial & industrial electricity salesMass market electricity sales
Retail gas salesNetback

8
Operating reportContact Energy Limited
Measure
The month ended The month ended The month ended
Four months
ended
Four months
ended
October 18October 17September 18October 18October 17
CustomerMass market electricity salesGWh285 292 320 1,369 1,398
Commercial & industrial electricity saleGWh265 284 255 1,048 1,137
Retail gas salesGWh75 79 89 376 352
Total electricity and gas salesGWh625 655 664 2,794 2,887
Average electricity sales price$/MWh197.16 183.92 191.00 196.52 192.47
Electricity direct pass thru costs$/MWh(81.27)(83.03)(84.17)(84.87)(84.48)
Electricity and gas cost to serve$/MWh(13.54)(12.64)(11.38)(11.52)(11.59)
Netback$/MWh93.09 81.68 86.40 90.26 88.15
Actual electricity line losses%4%6%7%5%6%
Retail gas salesPJ75.1 0.2 0.3 76.21.1
LPG sales tonnes6,409 6,064 6,396 28,129 27,742
Electricity customer numbers #410,000 422,500 410,000
Gas customer numbers #65,000 64,500 65,000
LPG customer numbers (includes
franchises)
#91,000 82,500 90,500
GenerationThermal generationGWh152 29 216 766 649
Geothermal generationGWh293 292 295 1,152 1,181
Hydro generationGWh358 305 243 1,240 1,084
Spot market generationGWh803 625 754 3,158 2,915
Spot electricity purchasesGWh576 611 620 2,557 2,695
Net CfDsalesGWh131 19 79 385 13
Steam salesGWh69 64 68 239 215
Commercial & industrial electricity salesGWh10 10 10 32 31
GWAP $/MWh282.05 52.63 86.60 133.42 85.56
LWAP $/MWh(308.09)(58.59)(90.97)(137.24)(91.91)
LWAP/GWAP%109%111%105%103%107%
Gas used in internal generationPJ1.5 0.5 1.9 7.06.2
Gas storage net movementPJ(0.5)0.6 (1.0)(2.57)(0.08)
Unit generation cost $/MWh(36.48)(29.13)(35.94)(35.12)(34.63)
Cost of Energy $/MWh7.96 (30.44)(24.34)(16.50)(34.34)
At the FY18 results, Contact announced new operating reporting segments. New operating performance metrics will be rolled outinthe coming months

Netback and cost of energy is divided by the total retail sales volumes (electricityand gas sales) to be expressed as $/MWh
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

Operating reportContact Energy Limited
10
contact.co.nz
@ContactEnergy
Linkedin.com/company/contact-energy-ltd
Facebook.com/contactenergy
Youtube.com/ContactEnergy
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