Meridian Energy Limited · NZX:MEL
Meridian Energy — Shareholder Meeting (October 2020)
23 slides from Meridian Energy's shareholder meeting presentation, Oct 1, 2020
Slide 1: 2020 Annual Shareholder Meeting
2020 Annual Shareholder Meeting 1 OCTOBER 2020
Slide 2: Today's business
Today’s business Chair’s address Chief Executive’s review Shareholder questions Resolutions and voting 1 O C TO B E R 2 0 2 0 2 0 2 0 A N N UAL S H A REH OL DER M E ETIN G 2
Slide 3: Chair's address
Chair’s address 1 O CT O B ER 2 0 2 0 2 0 2 0 A N N U AL S HA REHOL DER M EET I N G 3
Slide 4: Our COVID-19 response
Our COVID-19 response Tailored payment solutions No disconnection of customers impacted by COVID-19 Removal of late payment fees Suppliers being paid on 7-day terms Working from home allowances for non- senior staff $1 million donation to KidsCan 1 O C TO B E R 2 0 2 0 2 0 2 0 A N N UAL
Slide 5: New Zealand 2018 gross carbon emissions by sector
New Zealand 2018 gross carbon emissions by sector Energy 41% 5% 4% 6% Electricity 21% Transport Stationary energy* Agriculture 16% Industrial proceses** 48% Waste *Manufacturing (including milk processing), construction and commercial sectors and domestic heating **Metal and chemical production, ref
Slide 6: 2020 financial results
2020 financial results Dividends declared Total shareholder return CPS Meridian Peer group median Ordinary dividends Special dividends Total 59% 60% 25 18.38 18.91 19.20 21.30 19.34 50% 4.88 20 2.44 43% 4.88 4.88 4.88 40% 16.90 31% 16.42 30% 15 14.32 13.50 14.03 17% 20% 18% 14% 10 9% 10% 11% 8% 5 0%
Slide 7: Chief Executive's review
Chief Executive’s review 1 O CT O B ER 2 0 2 0 2 0 2 0 A N N U AL S HA REHOL DER M EET I N G 7
Slide 8: Executive team
Executive team 1 O C TO B E R 2 0 2 0 2 0 2 0 A N N UAL S H A REH OL DER M E ETIN G 8
Slide 9: Employee engagement and injury rates
Employee engagement and injury rates Employee engagement Lost time injury frequency rate % 18 Meridian New Zealand Meridian Australia Meridian employees Meridian on-site contractors 90% 15.0 85.0% 85.0% 15 13.6 85% 80.0% 80.0% 12 80% 78.0% 9 7.4 75% 73.0% 6 4.5 70% 4.2 3.1 3.4 65% 3 1.9 1.7 60% 0 0.
Slide 10: COVID-19 impacts on New Zealand electricity demand
COVID-19 impacts on New Zealand electricity demand National demand (weekly) GWh Alert level Alert Alert Alert level 1 Alert Alert level 900 4 level level 2 level 1 2 3 (AKL 2.5-2) (AKL 3) 850 800 750 700 650 600 05-Jan 05-Feb 05-Mar 05-Apr 05-May 05-Jun 05-Jul 05-Aug 05-Sep 05-Oct 05-Nov 05-Dec Rang
Slide 11: 2020 results - customers
2020 results - customers New Zealand retail sales volumes Australian retail sales volume +18% on 2019 +24% on 2019 GWh GWh 7,376 8,000 800 683 5,969 5,981 6,240 5,727 549 553 6,000 600 493 345 4,000 400 2,000 200 0 0 2016 2017 2018 2019 2020 2016 2017 2018 2019 2020 Financial Year ended 30 June Fina
Slide 12: 2020 results - generation
2020 results - generation Average generation prices $/MWh 160 New Zealand Australia (wind) $A156 $A138 140 $NZ123 120 $A110 $A106 100 $A96 $NZ89 $NZ83 80 60 $NZ57 $NZ51 40 20 0 Note: average Australian wind generation prices 2016 2017 2018 2019 2020 include prices for large-scale generation certific
Slide 13: Group EBITDAF
Group EBITDAF1 $M 900 854 838 800 700 657 666 650 618 584 585 600 477 500 400 2012 2013 2014 2015 2016 2017 2018 2019 2020 Financial Year ended 30 June Source: Meridian 1Earnings before interest, tax, depreciation, amortisation, changes in fair value of hedges, impairments and gains or losses on sal
Slide 14: Tiwai Point aluminium smelter
Tiwai Point aluminium smelter October 2019 July 2020 August 2021 Rio Tinto Rio Tinto gives Rio Tinto announces contract expected to Strategic Review termination close Tiwai Point notice Contract Extended exit amendments offers made to offered to Rio Rio Tinto Tinto 1 O C TO B E R 2 0 2 0 2 0 2 0 A N
Slide 15: Transmission pricing methodology (TPM)
Transmission pricing methodology (TPM) Meridian's annual HVDC costs Electricity Authority published final $M decision in June 2020 100 93 Replaces current HVDC1 charge with 80 65 benefit–based and residual charges 60 New TPM expected to be in place by April 39 2023 with transitional cap on cha
Slide 16: Undesirable trading situation
Undesirable trading situation Meridian’s 2019/20 daily combined catchment inflows GWh early December 2019 300 250 200 150 100 50 Source: Electricity Authority 0 01-Jul 01-Aug 01-Sep 01-Oct 01-Nov 01-Dec 01-Jan 01-Feb 01-Mar 01-Apr 01-May 01-Jun Source: Meridian 1 O C TO B E R 2 0 2 0 2 0 2 0 A N N U
Slide 17: Decarbonisation
Decarbonisation 1 O C TO B E R 2 0 2 0 2 0 2 0 A N N UAL S H A REH OL DER M E ETIN G 17
Slide 18: Shareholder questions
Shareholder questions 1 O CT O B ER 2 0 2 0 2 0 2 0 A N N U AL S HA REHOL DER M EET I N G 18
Slide 19: Resolutions and voting
Resolutions and voting 1 O CT O B ER 2 0 2 0 2 0 2 0 A N N U AL S HA REHOL DER M EET I N G 19
Slide 20: Resolution
Resolution Re-election of Mark Verbiest That Mark Verbiest, who retires by rotation and is eligible for re-election, be re-elected as a Director of the Company 1 O C TO B E R 2 0 2 0 2 0 2 0 A N N UAL S H A REH OL DER M E ETIN G 20
Slide 21: Vote totals
Vote totals Re-election of Mark Verbiest Postal and online votes already cast For 1,892,123,730 Against 11,182,324 Abstain 2,336,769 Votes appointed to proxies not yet cast1 8,324,936 Total 1,913,967,759 1 Votes held by the Chair, Directors and other proxies 1 O C TO B E R 2 0 2 0 2 0 2 0 A N N UAL
Slide 22: Closing
Closing 1 O CT O B ER 2 0 2 0 2 0 2 0 A N N U AL S HA REHOL DER M EET I N G 22
Slide 23: Disclaimer
Disclaimer The information in this presentation was prepared by Meridian Energy with they are not defined by GAAP or IFRS, Meridian's calculation of these due care and attention. However, the information is supplied in summary measures may differ from similarly titled measures presented by other for