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TrustPower Annual Report 2008
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TrustPower’s performance this year, when measured using an overall sustainability framework, was pleasing.

This year was characterised by satisfactory economic performance and continued strong performance with people and the environment. Particularly pleasing was being awarded the country level winner for New Zealand in the Global 2007 Top Companies for Leadership award.

Key results are summarised below with a detailed analysis in the following sections of the report.

 

Area  

Measure  

2006/07 Actual  

2007/08 Actual  

2007/08 Target  

2008/09 Target  

Economic EBITDAF Growth 5% 6% 8-12% 8-12%
Staff Staff Survey1 - 4.9 >4 >5.15
Environmental Resource Consent Breaches 15 8 0 0
Customer Customer
Satisfaction2
95% 97% >85% >85%
Community Stakeholder
Consultation
Completed Completed Complete detailed stakeholder
consultation
Complete detailed stakeholder
consultation
 
1 Scale ranges from 0 to 7.
2 Customers rating good or excellent.
 
In achieving these results TrustPower has addressed a number of risks and challenges. Key risks and challenges are summarised in the following table:

Category

Key Risks / Challenges

Approach

Targets

Economic
  • Meeting future demand for electricity
  • Maintaining growth in shareholder value
  • Develop a pipeline of opportunities
    for new investment
  • Maintain a strong focus on efficiency
    of operation
  • Invest in economic growth projects
  • Focus on long term sustainable
    pricing
  • Costs benchmarked at below industry average
  • New projects all economically viable
  • New projects completed on time and to budget
  • Prices set at levels that ensure customer retention and provide growth opportunities
Environmental
  • Minimise environmental impact of business, including generation schemes
  • Maximise sustainability/minimise greenhouse gas emissions
  • Work closely with special interest groups and the local community to minimise impact of new generation
  • Comply with resource consent conditions
  • Carbon neutrality
  • Zero significant/avoidable resource consent breaches
  • Carbon neutral certification
Our people
  • Retain and develop employees to maximise ongoing business performance
  • Extensive training and development programmes
  • Succession planning and internal promotion
  • Staff survey results exceed international benchmark
  • Continuous improvement in staff survey results
  • 75% of management roles filled by internal promotion
Community
  • Maintain company reputation for community focus, interaction and direct involvement
  • Develop and maintain mutually beneficial relationships in communities where TrustPower operates through sponsorship of community awards and projects
  • Consultation with communities and key stakeholders regarding resource issues
  • No resource consents declined due to lack of consultation
Customer
  • Maintain high levels of customer satisfaction
  • Retain existing and attract new customers
  • Deliver the best possible customer service
  • Provide customer focused information and advice
  • Achieve and promote carbon neutrality
  • Stable customer base
  • >85% satisfaction in survey
  • Carbon neutral certification
 

STAKEHOLDER INTERACTION


 
TrustPower’s key sustainability goals have been established following many years of effective two way interaction with a wide range of stakeholders. Being in touch with the issues of our stakeholders is a key part of the Company’s culture. The following table summarises the interaction TrustPower has had and will continue to have with its stakeholders.

STAKEHOLDER

INTERACTION

KEY INTERESTS AND CONCERNS

HOW WE RESPOND

Generation Communities
  • As required community/stakeholder meetings on key topics of interest
  • Regular community group meetings
  • Stakeholder surveys
  • Charitable donations and sponsorship
  • Community Awards Programme
  • Impact of electricity generation on communities including transport of goods and staff
  • Impact on recreational areas around generation sites
  • Impact on local employment
  • Contribution to economic/ sustainable/social development of affected communities
  • Targeting 100 per cent compliance with consent conditions
  • Mitigation projects
  • Environmental management systems
  • Policy of hiring locally where local skills and expertise are available
  • Sponsorship and management of local community awards
Tangata
Whenua
  • Regular formal and informal meetings with iwi at generation sites
  • Minimisation of any ongoing impact and degradation of tangata whenua cultural and spiritual values
  • Minimisation of, or where appropriate mitigation for, ongoing environmental footprint
  • Seek to understand and acknowledge tangata whenua regarding electricity generation schemes
  • Seek to understand and acknowledge the impact of activities on values held by tangata whenua
  • Where possible and appropriate reach mitigation agreement with iwi impacted by generation operations
Customers
  • Customer interaction through customer service staff, meter readers, account managers and community relation activities
  • Customer surveys
  • Customer newsletters
  • Website
  • Cost, reliability of and access to electricity supply
  • Customer service and satisfaction
  • Energy efficiency and renewable generation
  • Company reputation
  • Treat all customers fairly and with respect
  • Be aware of and seek to minimise risk for customers with vulnerabilities
  • Provide energy efficiency advice to customers
  • Aim to provide the highest possible level of service
  • Deliver open and transparent pricing/ billing
Employees
  • Staff surveys
  • Staff newsletter
  • Intranet
  • Direct engagement on key topics of interest
  • Staff committee
  • Chief Executive’s staff updates
  • Inter-team challenges, sports and fun evenings
  • Employee involvement in community activities
  • Work/life balance
  • Achieving and maintaining zero health and safety incidents
  • Competitive rates of pay
  • Being a socially and environmentally responsible employer
  • Training and development
  • Be regarded and respected as a responsible employer and an employer of choice
  • Monitor staff work levels, performance and feedback
  • Provide Wellness and EAP programmes
  • Promote Safety Week to employees and their children
  • Promote and operate a democratically elected Health and Safety Committee
  • Promote and operate a democratically elected Staff Committee
  • Keep employees well informed about our business
  • Actively engage with employees
  • Promote internally for 75% of positions
  • Deliver market based remuneration
  • Provide leadership development programme
  • Subsidise life, trauma and income protection insurance
Special Interest Groups
  • Meetings to discuss key topics of interest and/or concern
  • Partnerships and funding to deliver, where appropriate, community benefit
  • Respond to information requests
  • Membership of relevant organisations
  • Community Connect website
  • Contribution to climate change
  • Impact on local communities – positive and negative
  • TrustPower’s interest in and ability to support community development
  • Promotion of and support for community voluntary sector
  • Contribution to climate change strategy and policy
  • Submit on the New Zealand Energy Strategy and other key energy policy documents
  • Develop renewable electricity generation
  • Actively engage with and contribute to the community voluntary sector
Government
  • Briefings with Ministers and officials
  • Submissions on policy
  • Contributions to development of policy
  • Participation in working groups, conferences and meetings
  • Security of supply
  • Ensuring company corporate social responsibility
  • Assist with development of climate change strategy
  • Engage with Government and other stakeholders and submit on the New Zealand Energy Strategy and other key energy policy documents
  • Develop renewable electricity generation
Electricity Sector
  • Submissions on electricity sector policy
  • Participation in utility forums
  • Working with other industry stakeholders with mutual interests related to planning and regulation
  • Security of supply
  • Submission on the New Zealand Energy Strategy
  • Participation in working groups, conferences and other key forums on key topics of mutual interest
Suppliers and Contractors
  • Contractual arrangements
  • Procurement policy
  • TrustPower policies/procedures and requirements clearly communicated and understood
  • Development and implementation of a sustainable procurement policy
General Community
  • Media liaison
  • Public meetings
  • Direct mail communications
  • Advertising
  • Website
  • Direct Community involvement
  • Keeping the lights on uninterrupted
  • Contribution to climate change debate/policy
  • Cost and access to energy
  • Impact on local communities positive and negative
  • Climate change strategy
  • Submission to the New Zealand Energy Strategy
  • Direct community involvement, interaction, sponsorship and support.
Shareholders
  • Annual meeting
  • Board representatives
  • Reports and publications
  • Sustainable earnings
  • Growth
  • Growing shareholder value
  • Achieve carbon neutrality
  • Considered economic investment
  • Deliver sustainable shareholder returns


Copyright © 2008 TrustPower Limited.