Tag Archives: ORFU

Hilary Calvert on Deloitte report for Aurora/Delta

ODT 30.12.16 (page 12)

2016-12-30-17-00-18

aurora-webpage-detail-as-at-30-12-16-safety
Aurora – Safety webpage (detail) 30.12.16

WorkSafe New Zealand
Contact WorkSafe 0800 030 040
http://www.worksafe.govt.nz/worksafe

Energy Safety
Part of WorkSafe New Zealand, Energy Safety acts as the regulator for ensuring the safe supply and use of electricity and gas in New Zealand. Energy Safety is responsible for providing an effective investigation, compliance, enforcement, and conformance regime for achieving electrical and gas safety outcomes.
http://www.energysafety.govt.nz/

Note: On Monday 4 April 2016, the new Health and Safety at Work Act 2015 (HSWA) came into effect. HSWA repeals the Health and Safety in Employment Act 1992, with immediate effect.

aurora-delta-bovver-boys-29-11-16-douglas-field-detail‘Delta’ bovver boys by Douglas Field 29.11.16 (detail)

On 19 October 2016 former Delta manager Richard Healey went public about workplace and public safety concerns at Dunedin and across Otago via TV3’s Story (newshub.co.nz).

From 19 October through November posts and comments at What if? Dunedin, including those by Richard Healey, focused on the dangerous network, and poor governance within the council owned companies Aurora/Delta, within the council’s holding company DCHL, and within the duly elected Dunedin City Council itself [relevant trimesters].

The full extent of the dangerous and deliberately degraded network is attributable to criminal negligence and extreme mismanagement of financial resources (public funds).

The young inexperienced chief executive of the companies Aurora/Delta, Grady Cameron, has personally resisted taking any blame for the dangerous network – note, the findings and advice of the 2010 report by LineTech Consulting, commissioned shortly after Cameron’s appointment, have failed to flow into various Asset Management Plans drafted by Aurora, subsequently.

As a result of Richard Healey’s revelations three investigations were to take place:

1. Deloitte report for DCHL (released 12 Dec 2016)
2. Energy Safety (WorkSafe) investigation (no date given for release)
3. Commerce Commission investigation – industry regulator (no date given)

The courts await.

I N ● J U S T ● O N E ● M O N T H

Related Posts and Comments:
28.12.16 Just beginning…. inquiries into council company rogues
27.12.16 Michael Lewis : The Undoing Project —Interview… #RNZ
25.12.16 The very idea
22.12.16 What GIVES : Aurora/Delta/DCHL/DCC…Energy Safety…ComCom ??
20.12.16 Aurora/Delta : RNZ’s Kathryn Ryan with Rod Oram
16.12.16 Tim Hunter, NBR —Aurora/Delta, DCC and ComCom
16.12.16 Delta #EpicPowerFail 8 —Stuart McLauchlan : contamination, code…
15.12.16 DCHL/Aurora/Delta unravelling
14.12.16 Bev Butler queries invoices for Delta hospitality at Stadium #LGOIMA
14.12.16 Aurora/Delta : Richard Healey on the [SOON departing] CEO
13.12.16 DCHL/Aurora/Delta ‘PR fashion statements’ fb DCC rates increases
12.12.16 Deloitte report released #Delta #Aurora
9.12.16 Deloitte report pending —Public Notice at ODT | Facebook entry
7.12.16 Delta/Aurora : Nobody’s willing to call it after misrepresentations
7.12.16 Audit and Review, Deloitte
3.12.16 Delta/Aurora : The Dirty Twist —EXTREME Misrepresentation…
1.12.16 Oi Grady— “It’s Us, Delta’s Electrical Workforce, unanimously!”
30.11.16 Delta #EpicPowerFail 7 : Kyle Cameron —The Money or the Bag?

█ For more, enter the terms *delta*, *aurora*, *grady*, *luggate*, *jacks point*, *dchl*, *auditor-general*, *noble*, *yaldhurst* or *epic fraud* in the search box at right.

delta-mobile-substation-willis-st-12-11-16-1-img_1206Mobile substation Willis St, Harbourside 12.11.16 [photo: Christchurch Driver]

Posted by Elizabeth Kerr

This post is offered in the public interest.

1 Comment

Filed under Aurora Energy, Business, Carisbrook, Central Otago, DCC, DCHL, DCTL, Delta, Democracy, Design, Dunedin, DVL, DVML, Economics, Education, Electricity, Finance, Geography, Health, Highlanders, Infrastructure, Media, Name, New Zealand, NZRU, OAG, Ombudsman, ORFU, People, Perversion, Pet projects, Politics, Project management, Property, Public interest, Queenstown Lakes, Resource management, SFO, Site, Sport, Stadiums, Tourism, Town planning, Travesty, What stadium

Delta #EpicPowerFail 8 —Stuart McLauchlan : contamination, code brown and farting in church

farting-dog-by-mark-cable

Received from Christchurch Driver [CD]
Fri, 16 Dec 2016 at 1:04 a.m.

Your correspondent has been spending some time in airport bookstores recently, and it is hard to escape the plethora of get-a-plan-and-get-your-life-in-order books that seem to breed like unwanted spawn in such places.

While your correspondent has no truck with such boilerplate muck, he will admit to a quiet sense of satisfaction this week of some goals achieved. It is a good thing to have a goal, and a plan to get there. This year, your correspondent was disgusted by the arrogant lawlessness and simply fantastic level of self interest and waste of public funds by DCC and DCHL directors at the Noble subdivision, Yaldhurst. He made it a goal to put his shoulder to directorial posteriors and assist in the push of the dismal Delta directors into the Delta wood chipper (leased of course). Aided by some insider knowledge (what? – reveal my sources – never !) and plenty of tangential side trips, your correspondent is proud to think he has helped (in some small way) What if? and the majestic Richard Healey achieve a clean out at Aurora and Delta.

This week’s dismissal of Parton and McLauchlan is the start, and more will follow.

Mr McLauchlan’s risible statements in the ODT yesterday show your correspondent was 100% correct when he predicted that blame would be sheeted home to That Bad Man, John Walsh.

Mr McLauchlan’s arrogance was in full view with his claims that his decision to step down was unrelated to the billion dollar problem he has co-authored. Mr McLauchlan cannot admit what all of Dunedin knows – he troughed literally while lines exploded, and failed as a director. To do so would jeopardise his other sinecures, and Mr McLauchlan is nothing but self interest. Mr McLauchlan had absolutely nothing to offer the DCC, Delta or DCHL, and we should be at least grateful to Mayor Cull that the scales appear to have finally have fallen from his eyes and he sees Mr McLauchlan for what he is.

Let us not forget the most telling example of Mr McLauchlan’s invertebratedness : In the 2007 directorial decision to waste $8-9M at Luggate Mr McLauchlan’s sole contribution was : “If the other directors agree the I agree”. Not forgetting also that in the case of the Scenic Circle Dunedin City legal dispute with the JV partner, Mr McLauchlan was found by the Court to be an unreliable witness.

Mr McLauchlan is so toxic he doesn’t just need to be signposted, he is a walking talking accounting contamination.

On the subject of contamination, Kyle Cameron – stand up and take a bow, Kyle Cameron! – has made it very sure that Grady Cameron will never lead either of Delta or Aurora, by recommending that they need separate CEOs. As Mr Healey has said, the board will do to Grady what he has done to many others – disestablished their positions, creating new roles, and of course Grady will not quite have the “most appropriate skill sets” for either role. Sorry about that old chap, terribly close call of course, better luck next time– (in another continent please).
Grady, you have just been right-sized.

Another right-sizing would be to appoint Kyle Cameron to the Aurora board, and remove former ORFU/Highlanders director Mr Thompson with links to the $5M ORFU pokies scandal. Mr Thompson is tight with Mr McLauchlan of course, Mr McLauchlan being the Chairman of the Highlanders at the time the South Auckland pokies scandal was in full swing. McLauchlan – scandal – bees – honey.

Not right-sized, of course, is the matter of the Aurora replacement budget. We all know – now – that Aurora were going to spend $443M in deferred maintenance over 10 years (yes, stop dissembling Grady, it’s $443M, not $417M, but what they haven’t set out is where the money is coming from. Lines charges are fixed, and in very, very broad terms if we, the ratepayers, have to spend $443M to basically maintain what we have – then the very big question is – what is the depreciated, deteriorated asset worth …right now?

[An alarming example that comes to mind is the DCC purchase of the Dunedin Railway Station in the early 1990s. A wonderful asset now (pity about the decks) after a number of millions have gone into its restoration and upkeep over a 10-12 year period ….but what did the DCC pay ? ….the answer ? precisely one dollar.]

Now the Aurora 2016 Annual Report says in its headline “Trend Summary” (aka the good news feel-good piece early in the report at page 12) is that the ratepayers have equity of $183M in Aurora, and equity to assets is 42.1%, but unsurprisingly (this is Grady and the gyroscope we are dealing with here) the very bad news – the debt is $253M and is not going away – doesn’t quite make it into the good news piece.

So if we are charitable and assume that only say $250M of the $443M is actually for direct Dunedin infrastructure renewal and the balance being for actual expanded capacity then, then $250M of shareholder equity is needed for the upgrade. But wait Batman ! We only have $185M of equity. Holy exploding potheads Batman !! What do we do ? Batman: Elementary, my dear Doctor Parton —In the immortal words of Christine Fletcher, mayor of Auckland in 1986 when asked the same question by Fletcher Construction (of the cost to finish the Aotea Centre), “That’s what the ratepayers are for.”

Readers, you might well be thinking at this stage, CD has it wrong again – when I put in a new kitchen and bathroom in my villa in Belleknowes, it was worth more, so it didn’t matter that there was more debt ….because the asset was worth more. However, the value of power networks is determined by the Commerce Commission, who regulate what amounts each network can charge ….based on the value of the asset. Your correspondent surmises that the next scandal to unfold at Aurora is that resident Delta toxicologist, Matt Ballard of Capability and Risk, has overseen a massive overstating of the present value of the network. The bottom line is : with $250 – $400M of work needed FOR MAINTENANCE, ie NOT GENERATING EXTRA CAPACITY, it is worth nowhere near $436M right now. What does that mean? It means, readers, that the “jewel in the crown” of the DCHL, our cash cow HAS NO SHAREHOLDER EQUITY and has 100% debt to equity. Hilary Calvert is correct – if this were DC Ross, or any other private company, the receivers would have been called in long ago. However, accountants like the caustic Mr McLauchlan prefer companies with no shareholder equity because the returns on equity are out of this world…. until something happens.

Readers, what dissembling Mayor Cull will never tell you is that just like in Central Otago, as helpfully described by Nick Loughnan in the ODT a few weeks ago, you are about to experience in your future either some eye watering rates increases or, if the Commerce Commission allows, some similar exponential line charge increases. It’s one or the other. There is no other way.

Mayor Cull is aware of the consequences set out above : he said at the outset of Mr Healey’s crusade that he did not want public confidence shaken.

The questions or scenarios above are not pleasant – as the biblical line goes, these are hard questions, who can answer them ? They are the lines industry equivalent of farting in church – rude, inappropriate but better to get it out in the open before there is a big mess (or at least know the mess is coming). Yes, the air will be blue for a while – a long while. Messrs McLauchlan, Parton, Kempton, Frow, Wood, Thompson have done more than farted, they have created a stinking “code brown” mess. They will not be missed.

[ends]

*Note: New Zealand Companies Office records show McLauchlan and Parton ceased being directors of the Aurora/Delta Boards on 12 December 2016.
Aurora Energy | Delta Utility Services

Legal advice to the DCC on new 3-term limits for CCO directorships ‘may have’ forced this change. Debatable.

█ For more, enter the terms *delta*, *aurora*, *grady*, *luggate*, *jacks point*, *dchl*, *auditor-general*, *noble*, *yaldhurst* or *epic fraud* in the search box at right.

Posted by Elizabeth Kerr

This post is offered in the public interest.

*Image: markeweebly.com – farting dog by mark cable, tweaked by whatifdunedin

16 Comments

Filed under Aurora Energy, Business, Central Otago, Corruption, DCC, DCHL, DCTL, Delta, Democracy, Design, Dunedin, DVL, DVML, Economics, Education, Electricity, Finance, Geography, Health, Highlanders, Infrastructure, Media, Name, New Zealand, NZRU, OAG, Ombudsman, ORFU, People, Perversion, Pet projects, Politics, Project management, Property, Public interest, Queenstown Lakes, Resource management, SFO, Sport, Stadiums, Town planning, Travesty, What stadium

Audit and Review, Deloitte

U N N E R V I N G ● N E W S

“If Deloitte was caught with one such brazenly egregious case, just what else is there that goes unreported, and undiscovered when it comes to corporate “books”, not only in Brazil but also in the US.”

### zerohedge.com Dec 5, 2016 9:43 PM
Auditor Deloitte Fined A Record $8 Million For Massive Fraud
By Tyler Durden
Remember when auditors were, by their very definition, supposed to be the embodiment of credibility, trustworthiness and moral fibre? The Brazilian arm of Big Four auditing giant, Deloitte, forgot these simple prerequisites and as a result the US auditing watchdog fined the firm a record $8 million for what amounts to massive fraud: falsifying audit reports, altering documents and providing false testimony during an investigation that unearthed what it described as its “most serious” finding of misconduct.
The US Public Company Accounting Oversight Board, or PCAOB, also penalised or barred 12 former partners, including a national practice director, and auditors of the Brazil-based Deloitte Touche Tohmatsu Auditores Independentes.
The Deloitte Brazil case is the first time the PCAOB has “charged a member of the Big Four auditing firms with fraud and for failing to co-operate with an investigation” according to the FT [Financial Times]. Worse, unlike banks which resolve similar cases without admitting or denying guilt, in settling, Deloitte Brazil admitted it had violated quality control standards and failed to co-operate with the auditing board’s inspection and subsequent investigation.
“This is the most serious misconduct we’ve uncovered. It’s cover-up after cover-up after cover-up,” Claudius Modesti, director of enforcement at the PCAOB, said. “As an investor you’re expecting that the audit was done properly and sufficiently and that wasn’t the case here.”
Not only was that not the case, but the details read like straight out of a fictional account of third-world crime.
Read more

deloitte-svg

Deloitte Touche Tohmatsu Ltd, commonly referred to as Deloitte, is a UK-incorporated multinational professional services firm with operational headquarters in New York City in the United States.
Deloitte is one of the “Big Four” accounting firms and the largest professional services network in the world by revenue and number of professionals. Deloitte provides audit, tax, consulting, enterprise risk and financial advisory services with more than 244,400 professionals globally. In FY 2016, the company earned a record $36.8 billion USD in revenues. As of 2016, Deloitte is the 6th-largest privately owned organisation in the United States.

The Big Four:
● PricewaterhouseCoopers (PwC), largest accounting firm in terms of revenue.
● Deloitte Touche Tohmatsu (Deloitte)
● Ernst & Young (E&Y)
● Klynveld Peat Marwick Goerdeler (KPMG)

OTAGO RUGBY & RACING ASIDE

Remember the old chestnut…. The connection between TTCF (The Trusts Community Foundation Ltd; formerly, The Trusts Charitable Foundation Inc) —and Deloitte.

“TTCF engaged Deloitte when they desperately needed an ‘independent’ audit so as to put the Department of Internal Affairs (DIA) and Audit NZ off the scent. Unfortunately, even though Deloitte uncovered approximately $40k per month in mis-spent funds, TTCF ensured that was left out of the report because after all they were paying the Deloitte bill.”

Related Post and Comments:
2.6.15 Queen’s Birthday honours to rogues #TTCF #ORFU #PokieRorts
11.3.15 DIA —poor job as gambling regulator
2.2.15 Operation Chestnut: DIA, SFO fluffing round the edges #TTCF #ORFU
11.1.15 Southern complainants: IPCA won’t ensure upfront investigation…
14.12.14 DIA regulates what? Not white collar crime, not with govt looking on!
5.8.14 Gambling Commission shuts down racing’s Bluegrass pokie trust
3.2.14 DIA signed up Intralot amid concerns about bribery and corruption
31.12.13 Martin Legge: Operation Chestnut [DIA’s PR exercise]
30.12.13 DIA insights: Pokie rorts, money-go-rounds, names
11.10.13 New Zealand: Pokie trusts same everywhere #pokierorts
10.10.13 Whistleblowers’ message heard ??! #OtagoRacingClub #pokierorts
1.8.13 Politicians keeping DIA/SFO quiet on ORFU and TTCF #pokierorts
31.3.13 DIA and Office of the Auditor General stuff up bigtime #pokierorts
21.2.13 DIA, SFO investigation #pokierorts
11.11.12 Department of Internal Affairs #pokierorts #coverup #TTCF
25.7.12 Martin Legge backgrounds TTCF (pokie trust) and Portage and Waitakere Licensing Trusts #DIA

█ For more, enter the terms *pokies*, *pokie rorts*, *ttcf*, *orfu* or *dia* in the search box at right.

Posted by Elizabeth Kerr

This post is offered in the public interest.

*Image: Deloitte via Wikimedia Commons

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Filed under Aurora Energy, Business, Central Otago, Citifleet, DCC, DCHL, DCTL, Stadiums

The EVIL Blend: Delta, Aurora, Fubar Stadium, Our Rates

Received from nick
2016/11/22 at 11:06 pm

DELTA
Think Rundown Infrastructure
Think Pigs in Troughs
Think High Living at Ratepayers Expense
Think Cynical PR Spin
Think Appalling Attitude to Public Safety
Think Expendable Linesmen
Think Bloody Hard about What Comes Next
Think Richard Healey has Shown Us Up
Think the Game Might Be Over.

****

Angina attack.

Oh my lord! Nooooo. The DCC can’t be ‘surprised’ after ALL these years (each and every year) of information slung at it about ongoing stadium spending and subvention payments (particularly by the likes of Calvin Oaten!), Not after the (effortless?) Stadium Review…. Which planet are you on, DCC ?

Some backside covering ERUPTS at ‘city hall’.

Then there’s poor Grady Cameron, he’s someone just not coping with Questions these days. Mr Cameron has turned into quite the veritable rapidly depreciating, $417M cracked record. After the ‘concretising’ Drifting event, let’s see him Put Out To Pasture at the Stadium —once DVML restores the hallowed Otago Rugby turf, of course.

“It is patently clear that Delta/Aurora/Dunedin City Holdings Ltd’s priority over the last few years has been to support a rugby stadium at the expense of public safety by way of subsidies/subvention payments.” –Bev Butler

### ODT Online Mon, 28 Nov 2016
Delta payments to stadium queried
By David Loughrey
The Dunedin councillor charged with overseeing Delta and Aurora says the beleaguered companies should be concentrating on their business and health and safety before pouring money into the Forsyth Barr Stadium. That came after it was revealed the companies have paid $29.9 million in subvention payments to the stadium in the past five years. It also appears a Deloitte investigation into the companies will consider the payments issue.

“In no way should people’s health and safety be compromised because we’re trying to pay for a stadium.” –Cr Mike Lord

A Local Government Official Information and Meetings Act (LGOIMA) request from stadium critic Bev Butler, passed to the Otago Daily Times, showed the extent of the payments. It also showed Delta had paid $392,499 on its corporate suite and other costs at the stadium since 2010. The details of the spending come after weeks of criticism of the companies in which it has been revealed infrastructure has not been maintained, leaving thousands of power poles compromised and potentially dangerous.
Read more

ODT: Stadium drifting track build ‘ambitious’
The turf at Forsyth Barr Stadium in Dunedin handles 1600kg scrums with ease but it is now bearing a load 500 times heavier….

On the issue of the corporate suite, Mr Cameron said like any large business, “from time to time we host our customers to strengthen the working relationships”. (ODT)

So, Grady:
Question, you splurge Many Dollars on your main customer – Aurora Energy – by entertaining them at the Stadium? The champagne lifestyle. On Our Money.

Related Post and Comments: [THE CHEAPIE INVOICES]
22.11.16 Delta/Aurora spend-up at Stadium —Degraded electricity network, Us ? (said the GOBs) #LGOIMA #Rugby

█ For more, enter the terms *delta*, *aurora*, *dchl*, *grady*, *cameron*, *crombie*, *noble*, *yaldhurst* or *epic fraud* in the search box at right.

Posted by Elizabeth Kerr

This post is offered in the public interest.

cull-evades-the-question-again-18-11-16Douglas Field 18.11.16 [click to enlarge]

11 Comments

Filed under Aurora Energy, Business, Central Otago, Corruption, Delta, Democracy, Design, Dunedin, DVL, DVML, Economics, Education, Electricity, Events, Finance, Geography, Health, Highlanders, Hot air, Infrastructure, Media, Name, New Zealand, NZRU, OAG, Ombudsman, ORFU, People, Perversion, Pet projects, Politics, Project management, Property, Public interest, Queenstown Lakes, Resource management, Site, Sport, Stadiums, Travesty

DCC on Safety of Aurora/Delta network (remember Stadium Review, Citifleet, South Dunedin flood et al)

THE DEPLORABLE JOKE THAT IS LOCAL BODY GOVERNANCE AND MANAGEMENT AT DUNEDIN
…. wait for the soft audit review by Deloitte [watching paint dry]
…. DON’T meet or respond to the WHISTLEBLOWER in any capacity
…. be on the DEFENSIVE because you’re that Professional
…. DON’T for godsake issue ANY media release to Ratepayers and Residents on HOW TO STAY SAFE given the DANGEROUS and DEGRADED Aurora/Delta network —which can injure or kill.

It is true that whistleblower Richard Healey has contacted the Mayor of Dunedin to offer overview and discussion but the Mayor has NOT responded.

ch39-news-3-7-13-dave-cull-whatifdunedin-bw

### ODT Online Sat, 26 Nov 2016
DCC takes pole risk seriously, CEO says
By Vaughan Elder
The Dunedin City Council has denied being soft on Aurora Energy over the risk to the public caused by rotting poles. The Central Otago District Council (CODC) has been applauded by whistle-blower Richard Healey for asking a series of questions over the danger presented by compromised poles, but he has called on other councils in the region to take a tougher line.
….[DCC chief executive Sue Bidrose] disputed Mr Healey’s suggestion the council was more concerned about its role as owner of Aurora and Delta than health and safety.
Read more

****

The Public absolutely know Delta “is guilty of “spin” and trying to minimise the enormity of the issues it faces over safety and network maintenance”.

### ODT Online Sat, 26 Nov 2016
The questions we asked Delta/Aurora
Aurora Energy and its sister company Delta have had another rough couple of weeks as allegations they have mismanaged Dunedin and Central Otago’s power network continue to mount. The two companies regularly choose not to answer questions posed by the Otago Daily Times. Here are some of those questions, which chief executive Grady Cameron belatedly responded to yesterday.
Read more

ODT —Question 5. What is Delta’s response to the suggestion from two current staff that most people who work in the field support Richard Healey’s stance and think it is a good think (sic) he went public?
Mr Cameron: “The feedback I have received from our people in the field is that they welcome the increased investment being planned for the Aurora Energy network.”

That says it all.
No one on the Aurora/Delta executive or the Boards has -For Years- given a flying toss about YOUR Health and Safety —not while they’ve troughed, not while they’ve supported the DCHL regime to pay DCC unholy dividends.
We know The Guilty, can Name and Vilify Every Last One of Them.

stadium-dunedin-espnscrum-com-bw-whatifdunedinDVL/DVML/DCHL/DCC money pit [cost to Ratepayers +$20M per annum]

Posted by Elizabeth Kerr

This post is offered in the public interest.

*Images: channel39.co.nz – dave cull, bw whatifdunedin | espnscrum.com – stadium build, tweaked by whatifdunedin

16 Comments

Filed under Aurora Energy, Baloney, Business, Central Otago, DCC, DCHL, DCTL, Delta, Democracy, Design, Dunedin, DVL, DVML, Economics, Education, Electricity, Events, Finance, Geography, Health, Hot air, Infrastructure, Media, Name, New Zealand, NZRU, OAG, Ombudsman, ORFU, People, Perversion, Pet projects, Politics, Project management, Property, Public interest, Queenstown Lakes, Resource management, South Dunedin, Sport, Stadiums, Tourism, Town planning, Travesty, What stadium

Delta/Aurora spend-up at Stadium —Degraded electricity network, Us ? (said the GOBs) #LGOIMA #Rugby

Received.

From: Bev Butler
Sent: Tuesday, 22 November 2016 7:40 p.m.
To: Sue Bidrose [DCC]; Sandy Graham [DCC]; Lee Vandervis; Elizabeth Kerr
Cc: Vaughan Elder [ODT]
Subject: Re: Urgent LGOIMA Request: Delta/Aurora dangerous power poles – reason for financial restraints/clarification/invoices

Dear Sue, Sandy, Lee and Elizabeth
I have just received the attached table and invoices for Delta’s spending at the stadium. They not only have a $45,000pa corporate suite contracted for 10 years, they also have used ratepayers’ money to purchase Gold tickets to concerts, they have spent thousands of dollars on expensive booze/wines and meals, stadium platters etc whilst watching rugby and concerts at the stadium. All this whilst neglecting the maintenance of basic infrastructure.
I am especially disgusted that this is continuing after the excessive abusive spending by the Carisbrook Stadium Trust which you are all aware of. Disappointingly nothing has changed. My opinion is that’s because no one has ever been held to account for the corrupt behaviour that ensued relentlessly throughout the stadium swindle. Please note that these invoices have been signed off by Grady Cameron and Gary Johnson. You may recall Gary Johnson was Farry’s CST public relations boy who worked for Farry part time on a full time salary – all documented in the CST invoices.
Elizabeth, feel free to post on What if as I am at the airport waiting for a flight to go overseas and will be out of range in two hours time.
Sincerely
Bev

On 22 Nov. 2016 2:05 pm, Glenda McGowan [Delta] wrote:

Dear Bev
I refer to your official information request of 12 November 2016 for a copy of all the invoices in relation to the entry in the table under the sub-heading “Other payments, including Forsyth Barr Stadium corporate suite costs (D)” in our response to you of 11 November 2016. The information you have requested is provided in the attached document.

Regards

GLENDA MCGOWAN
PERSONAL ASSISTANT TO CEO

WEB THINKDELTA.CO.NZ

█ Attachment: invoices_0001

********************************

From: Bev Butler
Sent: Saturday, 12 November 2016 10:46 AM
To: Glenda McGowan [Delta]
Subject: Re: Urgent LGOIMA Request: Delta/Aurora dangerous power poles – reason for financial restraints/clarification/invoices

Dear Glenda

Further to my email below requesting clarification for the other payments included in with the corporate suite costs in row D, would you please send me a copy of all the invoices in relation to the entry in the table below under the sub-heading “Other payments, including Forsyth Barr Stadium corporate suite costs (D)”.

Please send me electronic copies.

Thank you.

Sincerely

Bev Butler

********************************

From: Bev Butler
Sent: Friday, 11 November 2016 3:50 p.m.
To: Glenda McGowan [Delta]
Subject: Re: Urgent LGOIMA Request: Delta/Aurora dangerous power poles – reason for financial restraints/clarification

Thanks, Glenda.
Would you please clarify/list what the other payments were for which have been included in with the corporate suite costs in row D.
Thank you.
Sincerely
Bev

On 11 Nov. 2016 3:02 pm, Glenda McGowan [Delta] wrote:

Dear Bev

I refer to your official information request of 26 October 2016 for information regarding Aurora and Delta dividends and WorkSafe. The information you have requested is provided below.

1. The total yearly amount Aurora and/or Delta have paid to DCC/DVML/DVL for the stadium, including grants, subsidies, subvention payments or other, since 2007.

The total of subvention payments, tax offsets and other payments including Forsyth Barr Stadium corporate suite costs paid by Aurora Energy Limited and Delta Utility Services Limited to Dunedin Venues Management Limited or Dunedin Venues Limited by financial year ending 30 June are set out in the table below.

table[click to enlarge]

Aurora Energy Limited and Delta Utility Services Limited pay dividends to their shareholder, Dunedin City Holdings Limited. We have not included dividend payments to Dunedin City Holdings Limited in the figures above on the basis that these are not stadium-related payments. Dividend payments are disclosed in our publicly available annual reports at www.auroraenergy.co.nz for Aurora Energy and www.thinkdelta.co.nz for Delta.

Delta | Home
http://www.thinkdelta.co.nz
Delta is the infrastructure specialist. We invest in, design, construct, manage and maintain energy and environmental infrastructure.

Home » Aurora Energy
http://www.auroraenergy.co.nz
New Zealand’s sixth-largest electricity distributor delivering electricity supply to homes and businesses throughout the Dunedin and Central Otago community.

2. Please also send me the name and contact email address of the Worksafe Investigation team leader as I want to ensure that the Worksafe Investigation team receive this relevant information.

The contact details are:
Roy Butler
Technical Officer
Energy Safety
Level 9, 280 Queen Street, Auckland Central, Auckland 1010
P +64 9 928 2912
E roy.butler @worksafe.govt.nz
W http://www.worksafe.govt.nz
W http://www.energysafety.govt.nz

Regards,

GLENDA MCGOWAN
PERSONAL ASSISTANT TO CEO

WEB THINKDELTA.CO.NZ

********************************

From: Bev Butler
Sent: Wednesday, 26 October 2016 2:21 PM
To: Grady Cameron [Delta]
Cc: Sandy Graham [DCC] ; Elizabeth Kerr
Subject: Urgent LGOIMA Request: Delta/Aurora dangerous power poles – reason for financial restraints
Importance: High

Wednesday 26 November 2016

Dear Mr Cameron

As you are aware Aurora pay a subsidy of approximately $7.2 million per annum to subsidise the stadium.

At $5000 per power pole this is equivalent to 1440 power poles per year.

I read in the ODT that Aurora’s excuse for not dealing with the backlog of dangerously compromised power poles was that there were financial constraints but nowhere did it mention the reason for these constraints. It is patently clear that Delta/Aurora/DCHL’s priority over the last few years has been to support a rugby stadium at the expense of public safety by way of subsidies/subvention payments.

It is in the pubic interest that Delta/Aurora are transparent especially now that this has become a public safety issue.

I, therefore, urgently request the following:

The total yearly amount Aurora and/or Delta have paid to DCC/DVML/DVL for the stadium, including grants, subsidies, subvention payments or other, since 2007.

Given the total amount is in the vicinity of approximately $40 million, then it is incumbent on you as CEO of both Aurora and Delta to inform the Worksafe Investigation team that Delta/Aurora/DCHL made stadium payments a priority over replacing dangerous power poles.

Please also send me the name and contact email address of the Worksafe Investigation team leader as I want to ensure that the Worksafe Investigation team receive this relevant information.

Yours sincerely

Bev Butler

[ends]

Posted by Elizabeth Kerr

This post is offered in the public interest.

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Delta #EpicPowerFail 6 – Thick as a Brick

gary-larson-the-far-side-1-3-tweaked-by-whatifdunedin-pinimg-com

Received from Christchurch Driver [CD]
Thu, 3 Nov 2016 at 10:59 p.m.

Thick as a brick
Shallow as a bird bath
Not the sharpest knife in the drawer
A few sandwiches short of a picnic
Bought his doctorate online.

Come in Dr Parton….

Your correspondent was both entertained and aghast this morning when enjoying Choysa and a scone, he read Dr Parton, Aurora chair, dutifully parroting Grady Cameron’s lines in the ODT …. “aged network”, “our approach to its management is conservative”. Dr (Polly) Parton also said “it was “not appropriate” for him to respond to comments made by another chairman”. Your correspondent agrees it is not “appropriate”. It is essential to his credibility to do so, as Polly Parton is right – it is amazing that the chairman of a lines company, far away, has felt the need to make scathing comments about the lackadaisical approach to essential infrastructure he has found in the South, and called Aurora’s response “a lame excuse”. When did you last hear the CEO of a council make scathing comments about another ? —or one mayor disparage another in biting terms. It just isn’t done…. so now the attention of the entire lines industry, and the Commerce Commission is riveted upon Aurora as it has just been confirmed by the chair of Marlborough Lines, with no axe to grind, that Aurora’s mess and subsequent evasions are inexcusable.

Some other gems of the re-cycled obvious from Polly in the ODT were “Age … is one reason why we have marked so many poles for replacement” – how fascinating that the board and Mr Cameron only discovered these 40- to 60-year-old poles were aged and needed replacement around the time Mr Healey left three weeks ago.

Readers, while Aurora and Delta have an arrogant disregard for the interest of the consumers and ratepayers, they are very fearful of the Commerce Commission. And the Commerce Commission is under no illusions about the incompetence of Aurora. Not only did Aurora get warned for network failures this year, and are now ranked in the bottom 3 of the 29 lines companies for reliability, they were also warned about their lack of investment and incompetence in 2014 by the Commission.

On 26 June 2014 the Commission wrote to Aurora issuing them with a warning for non-compliance and raising concerns. They said:

“21. There are a number of concerns that we would particularly like to draw to Aurora’s attention … These concerns are:

21.1 Aurora’s vegetation control has been insufficient to prevent significant tree encroachment on lines, which has likely contributed to the frequency and duration of outages….”
Mr Cameron took great delight in waxing lyrical about the dedicated vegetation management unit Delta set up in 2015-16, and how Delta charged Aurora $4M for clearing 34km of lines. We now know it wasn’t anything to do with Mr Cameron, it was forced upon them by the Commerce Commission because they had neglected it for decades. In true Delta form, the cost of $130,000 per km is probably overstated by a factor of 5-10 dependent on difficulty.

“21.2 Aurora has had an increase in defective equipment incidents”.
Oh yes. Aurora’s own Asset Management Plan (AMP) spells out the failures, and impending ones, as noted in #EpicPowerFail 5. In relation to poles, Aurora reduced the number of poles it was going to replace in 2017-18, in its 2016-2026 plan, due to the mendacity of Matt Ballard, GM Capability & Risk. Reacting to public pressure and casting aside the long term plan due to a “perception problem”, without a funding plan in place is just giving the Commerce Commission all the evidence they need that the board isn’t in control and doesn’t know what it’s doing.

“21.3 There seems to be shortcomings in Aurora’s knowledge of its asset condition”.
….(Translated from bureaucratic-ese, this is : YOU ARE USELESS AND INCOMPETENT, and everything we have heard from Aurora recently confirms that this fault has become exponentially worse.

“21.4 Aurora’s reliance on its 6.6kV network as a back up to its aging 33kV cables in Dunedin could lead to major power outages.”

Ominously for the Directors, the Commission was clear about the consequences of further non-compliance, warning Aurora :

“Notwithstanding its 2013 and 2014 compliance, if Aurora fails to comply with the quality standards again, its 2012 non-compliance will be a relevant factor that may lead us towards a stronger enforcement response. Particularly relevant would be the extent to which concerns raised following Aurora’s 2012 non-compliance contributed to the second non-compliance.”

Here we are, four years later, and 3 of the 4 concerns are front and centre of the latest crisis. A lot of words have been written, meetings held, and plans begun, but the network has continued to decline. Unless the Commerce Commission has another spineless apologist like Rebstock of the Audit Office investigating, then the springs in the boardroom ejector seats are tightening.

Readers, we are all frustrated that Mr Cameron, Mr Ballard, and the directors have not a thread of integrity left among them, preferring eventual forcible removal (health problems anyone ?) to decency. But readers, how delicious will it be when they are kicked out, as that will almost certainly be the end of all of their directorial ambitions. Getting kicked out by the Government is the sort of thing that even the Institute of Directors would frown upon, despite overlooking a lot of other venality. As noted at What if?, the Government cannot afford to have tourists killed or suffering from power outages in their #1 tourist region in Central Otago, so it will not be open for Mr McLauchlan to go crawling to Minister Woodhouse, who doesn’t carry a lot of weight now in any case. McLauchlan’s other great fixer, fellow South Canterbury Finance trougher, Denham Shale, is now dead. Mr McLauchlan feeling the chilled air of exposure perhaps ? Perversely, we can be glad that Messrs Parton, Kempton, Thompson, McLauchlan and Frow are all….“thick as a brick”.

Final thought for the evening. If you were Grady Cameron and the board, and wanted to quickly replace 10,000 poles to “restore public confidence” then does buying steel poles from China that are made from less ductile steel (ie more brittle) sound like a good plan ? (Chinese steel is typically 20-25% ductile, whereas NZ seismic requirements generally require 32-34% ductility. It is near impossible to get Chinese steel at this ductility. A recent example is the problems with steel products imported from China by Steel & Tube). Yes readers, you heard it here first, not only did Mr Cameron fail to tell you where the $30M was coming from (they don’t know yet), he also neglected to mention they are buying steel poles from China. And remember, readers, not only did Mr Cameron describe this as “a good plan” on National Radio, but that he “was excited by it”. Truly…… “thick as a brick”.

[ends]

Related Posts and Comments:
2.11.16 Delta #EpicPowerFail 5 : Grady Cameron on RNZ : How many Asset Management Plans does it take to get a Real One ?
1.11.16 Delta/Aurora/DCHL corporate whitewash #dangerousnetwork
31.10.16 Delta #EpicPowerFail 4 : Delta/Aurora, Drugs and Dividends
29.10.16 Mr Crombie, not quite the spent force
28.10.16 Heads of Delta/ Aurora/ DCHL/ DCC out to lunch
27.10.16 Bev Butler says ‘Come in, Grady’ #LGOIMA #Delta
27.10.16 Delta #EpicPowerFail 3 : Rotten Poles and Greedy Algorithms
25.10.16 Delta #EpicPowerFail 2 : Plaudits to Saunders & Elder : Delta…
22.10.16 DCC struggles with Governance…. Delta/Aurora/DCHL…
21.10.16 Dunedin City Council must hang the companies out to dry
20.10.16 Delta #EpicPowerFail : Delta fulfils Adam Smith’s 1776 Prophecy
19.10.16 Grady Cameron and Graham Crombie : Eyes tightly shut #FAIL
13.10.16 COMPLETE Dis-satisfaction with DCC, DCHL, DVML, DVL, Delta….
9.6.16 Aurora Energy Ltd warned by regulator

█ For more, enter the terms *delta*, *aurora*, *epic fraud* or *dchl* in the search box at right.

Posted by Elizabeth Kerr

This post is offered in the public interest.

*Image: pinimg.com – gary larson the far side, tweaked

11 Comments

Filed under Aurora Energy, Business, DCC, DCHL, DCTL, Delta, Democracy, Design, Dunedin, DVL, DVML, Economics, Events, Finance, Geography, Health, Infrastructure, Media, Name, New Zealand, OAG, Ombudsman, People, Perversion, Pet projects, Politics, Project management, Property, Public interest, Resource management, Travesty, What stadium