The Group is controlled by Infratil Limited (incorporated in New Zealand) which owns 50.7% of the Company’s voting shares. The Tauranga Energy Consumer Trust owns 33.1% and the residual balance of 16.2% is widely held.
A related entity of H.R.L. Morrison & Co Limited manages Infratil Limited and M Bogoievski, a Director of TrustPower Limited, is the Chief Executive of H.R.L. Morrison & Co Limited. Infratil Limited is the parent of TrustPower Limited and $56,000 (2011: $40,000) was paid to H.R.L. Morrison & Co Limited and related entities during the year for consultancy services. As at 31 March 2012 all of this amount was outstanding
Consultancy fees of $11,000 (2011: $24,000) were paid to Lumo Energy Pty Ltd which is a subsidiary of the Group’s ultimate parent. As at
31 March 2012 none of this amount was outstanding (2011: nil).
Mr MJ Cooney, a Director of TrustPower Limited, is a partner in the law firm Cooney Lees Morgan. Nothing was paid to Cooney Lees Morgan for legal services in the year to 31 March 2012 (2011: $18,000). As at 31 March 2012 none of this amount was unpaid (2011: nil).
All Directors participate in a share purchase plan where the Directors’ purchase shares in the Company to the value of half of their annual Directors’ fees. In November 2011 all Directors purchased their shares directly from the Company at the average market price for the preceding 20 business days from the treasury stock that the Company was holding. A total of 20,000 shares (2011: nil) were purchased for $146,000
(see note 13).
Mr RH Aitken, a Director of TrustPower Limited, is the Executive Chairman of the engineering firm Beca. $374,000 was paid to Beca for engineering services in the year to 31 March 2012 (2011: $562,000). As at 31 March 2012 $32,000 of this amount was unpaid (2011: $126,000).
Mr RWH Farron, Chief Financial Officer and Company Secretary of TrustPower Limited, was appointed a director of the engineering supplies firm BGH Group Limited and it’s New Zealand based subsidiaries on August 2 2011. Since that time $11,000 has been charged by a subsidiary, Bay Engineers Supplies Limited. As at 31 March 2012 none of this amount was unpaid.
TrustPower Limited owns 20.0% of the ordinary shares of Rangitata Diversion Race Management Limited (RDR) which owns and operates an irrigation canal in Canterbury. RDR’s operating and capital expenditure is funded by advances from its shareholders. During the year the Group advanced RDR $84,000 (2011: $74,000) and the total balance of the advance at 31 March was $1,884,000 (31 March 2011: $1,800,000). This balance is included in other investments on the statement of financial position.
Except as noted above, no transactions took place with related parties during the year. All transactions with related parties take place on an arms length basis. No related party debts were forgiven or written off during the year. Except as noted above there are no amounts outstanding at 31 March 2012 (2011: nil).