Operational Performance for the 6 months ended 31 December

creating a new energy future


OPERATIONAL PERFORMANCE FOR THE
6 MONTHS ENDED 31 DECEMBER 2019


Operational performance highlights:

• 576,352 electricity network connections, up 1.6% on the same period last year
• 113,094 gas network connections, up 2.4% on the same period last year
• 1.7% lift in 9kg LPG bottle swaps
• 10.9% growth of smart meter fleet (1,642,635 installed across Aus/NZ)

Commentary:

Auckland city continues to grow at a pace which in turn continues to fuel Vector’s strong
network connection numbers. In the six-months to December 31, total ICP connection
numbers grew by 1.6% compared with the same period last year.

Grid connection point (GXP) volume was up by 0.1% on the equivalent period – a welcome
turnaround from the previous quarter which saw volumes drop due to an unseasonably
warmer winter.

Auckland’s rapid growth has also helped drive an uplift in gas network distribution customers,
with a 2.4% increase compared with the same period last year. Gas distribution volume is
also up on last year’s corresponding period.

Vector’s metering business continues to perform in an increasingly competitive market both
here and in Australia. Connection numbers increased by 10.9% on the prior six-month
period, bringing the total fleet number to 1,642,635.

There has been an uplift in 9kg LPG bottle swap sales, however natural gas, gas liquids and
Liquigas LPG tolling sales are down on the corresponding period, with the reduction in
natural gas volumes driven primarily by the loss of a large customer in 2019.

SAIDI minutes for the nine months ending 31 December are 13.7% lower than the
comparable period which is primarily due to fewer extreme weather events and significant
investments and other initiatives being undertaken to improve network resilience.

Vector remains committed to meeting its regulatory compliance targets with a continued
focus on improving electricity network reliability in the 2020 calendar year.







market release
24 January 2020

creating a new energy future


market release
24 January 2020
6 Months ended 31
December


2019 2018 % change
Electricity
Customers
1, 6
576,352 567,009 1.6%
New connections
Net movement in customers
2

6,625
5,227
5,160
3,933
28.4%
32.9%
Volume distributed (GWh)

4,396 4,390 0.1%
SAIDI (minutes) – 9 months to 31 December
3

Normal operations 135.2
4
156.7 (13.7%)
Extreme events 3.0
5
361.4 (99.2%)
Total 138.2 518.1 (73.3%)

Gas Distribution
Customers
1,6
113,094 110,489 2.4%
New connections
Net movement in customers
2

1,863
1,452
1,669
1,260
11.6%
15.2%
Distribution volume (PJ)

7.9 7.7 2.6%

Gas Trading
Natural gas sales (PJ)
7
7.9 8.7 (9.2%)
Gas liquid sales (tonnes)
8
39,401 44,020 (10.5%)
9kg LPG bottles swapped
9

Liquigas LPG tolling (tonnes)
10

364,304
56,761
358,208
58,437
1.7%
(2.9%)

Metering
Electricity: smart meters
1, 11
1,642,635 1,480,851 10.9%

1. As at 31 December.
2. Net number of customers added during the period, includes disconnected, reconnected
and decommissioned ICPs.
3. SAIDI (minutes) for the 9 months ended 31 December 2019 is an unaudited value and
subject to change.
4. Normal Operations SAIDI includes the impact of 1 Major Event Day (MED) at the cap of
3.37 SAIDI minutes for each event.
5. This is the amount over and above the MED cap.
6. Billable ICPs.
7. Excludes gas sold as gas liquids. These sales are included within the gas liquids sales
tonnages.
8. Total of retail and wholesale LPG and natural gasoline.

creating a new energy future


market release
24 January 2020
9. Number of 9kg LPG bottles swapped and sold during the year.
10. The group has revised the methodology for Liquigas LPG tolling to reflect new contractual
terms and calculates product tolling domestic and exports. Product further tolled in South
Island has been removed.
11. The number of smart meters as at 31 December 2019 includes 164,343 meters managed
but not owned by Vector (31 December 2018: 146,062).
The Excel version can be found at: http://vector.co.nz/news


ENDS

Investor contact
Jason Hollingworth, Chief Financial Officer, Vector
Jason.hollingworth@vector.co.nz, 021 312 928

Media contact
Elissa Downey, Senior Manager Corporate Communications, Vector
Elissa.downey@vector.co.nz, 021 866 146


About Vector
Vector is New Zealand’s leading network infrastructure company which runs a portfolio of
businesses delivering energy and communication services to more than one million homes
and commercial customers across the country. Vector is leading the country in creating a
new energy future for customers and continues to grow and invest in the growth of Auckland,
and in a wide range of activities and locations. Vector is listed on the New Zealand Stock
Exchange with ticker symbol VCT. Our majority shareholder, with voting rights of 75.1%, is
Entrust. For further information, visit www.vector.co.nz