About Us
Purpose
Marlborough Electric Power Trust exists to hold 100% of the shares in Marlborough Lines on behalf of beneficiaries (the owners), and ensure that the value of the investment is protected, enhanced and applied for the benefit of current and future beneficiaries as defined by the Trust Deed.
The beneficiaries are all those with a power connection (installation control point) within the boundaries of the Marlborough Lines network.
Responsibilities
Key responsibilities of the Marlborough Electric Power Trust are:
Appointing Directors to Marlborough Lines.
Agreeing the Marlborough Lines Statement of Corporate Intent (SCI).
Monitoring the performance of the Company against the SCI.
Receiving dividends from Marlborough Lines and distributing funds to beneficiaries.
It is important to note Marlborough Lines is independently governed by its own Board of Directors. Marlborough Electric Power Trust do not have any influence on the operations or day-to-day running of Marlborough Lines. That role is undertaken entirely by the Marlborough Lines Board of Directors, and the senior management of Marlborough Lines.
History
Marlborough Electric Power Trust was established in 1993, however the origins of the Trust date back to 1923 with the establishment of the Marlborough Electric Power Board. Learn more about the history on the timeline below.
1923
The Marlborough Electric Power Board (MEPB) was established to build a hydroelectric power scheme on the Waihopai River to meet the electricity needs of the region. The Waihopai Power Scheme was commissioned in 1927 and, for the first time, electric lights shone in the streets of Blenheim.
1936
Two large diesel engines were installed in what is now known as the Murphy's Road Generation Museum. Between 1936 and 1952 the diesel generators, along with the Waihopai Scheme, provided all of Marlborough's electricity needs.
1956
Marlborough was connected to the National Grid.
1984
MEPB established and commissioned the Branch Power Scheme, generating electricity from water stored in Lake Argyle via turbines in the Argyle and Wairau powerhouses, and then transmitted to Blenheim.
1992
The Energy Companies Act required the MEPB to become a commercial power company with a responsibility to operate as a successful business.
1993
MEPB became Marlborough Electric - one of 35 integrated electricity businesses around New Zealand. Marlborough Electric Power Trust was established, and ownership of the shares of Marlborough Electric was vested in the Trust.
1998
Electricity Industry Reform Act required all electricity companies split into either the lines (network) business or the supply business (generating and/or selling electricity) by 1 April 1999.
1999
Marlborough Electric's generation and retail businesses were sold to Trust Power, and the company became Marlborough Lines.
2024
Marlborough Lines now focuses on the operation and maintenance of the province's lines network, while funds from selling the generation assets are now invested through numerous entities which makes up the Marlborough Lines Group.
Marlborough Lines Boundaries
Marlborough Lines takes it supply from the Transpower New Zealand grid via three circuits, to a single point of supply in the Blenheim suburb of Springlands.
The Marlborough Lines network covers a large and diverse geographical area across Marlborough. It supplies the urban populations of Blenheim and Picton, with many overhead lines extending to remote areas including the outer Marlborough Sounds, inland valleys and eastern coast to the south.
Many of the remote areas are characterised by rugged topography, high wind and high vegetation zones with relatively low connection densities.
Investments
Using funds gained from the sale of generation and electrical retail assets in 1999, and further gains from reinvestments, Marlborough Lines has investments outside its core electrical distribution business. This makes up the Marlborough Lines Group.
1. Seaview Capital Limited (100% ownership, holding company)
a) Yealands Wine Group Limited (100% ownership, vineyard and winery)
b) Energy Marlborough Limited (100% ownership, renewable electricity generation)
c) Taylor Pass Vineyards Limited (100% ownership, vineyard and grape grower)
2. Nelson Electricity (50% ownership, electrical distribution business)
MEPT Distribution
Profits generated from investments are returned to Marlborough Lines. At the discretion of the Marlborough Lines Board, a proportion of these profits can be paid to Marlborough Electric Power Trust as an annual shareholder dividend. The dividend may fluctuate depending on the financial performance of the investments.
Upon accepting a dividend, Marlborough Electric Power Trust may pass on some or all of the amount in a distribution to beneficiaries. Any distribution is paid tax-free to electrical retailers, who then apply it as a credit in beneficiaries’ accounts, usually in February of each year.
Any distribution amount is fixed, in that every beneficiary receives the same amount, regardless of how much electricity has been used, or the location of the beneficiary.
The most recently paid distribution was $75 per beneficiary, with a qualifying date of 20 January 2024 (meaning that if you had a power connection on this date, you would receive the payment).
Marlborough Lines Discount
Funded only from Marlborough Lines’ core operation of running a successful electrical distribution business (completely separate from the Trust distribution), the network discount payment is paid as a credit against your electricity retail account in June of each year.
The amount paid is dependent on the type of connection you have, number of days connected and electricity consumption across the year, with the average eligible residential electricity consumer connected for the full year up to May 2024 receiving $242 (including GST).
