Appendix G.

TECHNICAL STANDARDS AND SPECIFICATIONS 1 GENERAL This Appendix outlines the current technical policies and standards that WGL uses when designing, constructing, operating and maintaining its Distribution System. Where any of this information conflicts with any provision of a current Distribution Services Agreement, then the Distribution Services Agreement will take precedence.

1.1 Engineering Practice The design, installation, operation and maintenance of WGL’s Distribution System will be to a standard not less than the appropriate New Zealand Standard or where no standard exists, in accordance with good gas engineering practice. WGL will be responsible for the interpretation of any Standard adopted or used for the design, installation, operation and maintenance of its system. WGL will take the needs of a System User into consideration but without compromising the safety of the Distribution System or the rights of other System Users.

2 RECEIPT POINTS
2.1 Ownership The System User is responsible for arranging the construction, operation and maintenance of new Receipt Points.
2.2 Design and Construction The location, design and construction of a Receipt Point for a Distribution System must comply with Appendix Two of the Distribution Services Agreement “Technical Requirements”. The design and construction must not adversely affect the integrity or operational capabilities of WGL’s Distribution System. Adequate pressure regulation and over/under-pressure protection equipment will need to be installed.

The Receipt Point must also contain equipment to prevent dust, oil, condensed hydrocarbons or other deleterious substances from affecting the custody transfer metering equipment or from reaching WGL’s Distribution System.

The Receipt Point must contain equipment to electrically isolate WGL's Distribution System from the Receipt Point. A suitable surge diverter shall be installed across the isolating device. Pipework within the Receipt Point shall be suitably bonded so as to be electrically continuous and must be connected to an earth bed.

2.3 Measurement
Custody transfer metering will be in accordance with NZS 5259:1997 “Gas Measurement”.

2.4 Receipt Point Pressures
System Users must have arrangements in place to ensure that gas pressures at Receipt Points are maintained within the maximum and minimum limits specified in Appendix D.

2.5 Receipt Point Standard Temperatures
System Users must have arrangements in place to ensure that gas temperatures at Receipt Points are maintained within the maximum and minimum limits specified below. Maximum temperature +30 degrees C Minimum temperature 0 degrees C

3 DELIVERY POINTS
3.1 Ownership
WGL will own, operate and maintain all Delivery Points as they are an integral part of the Distribution System, particularly with respect to safety and operational efficiency.

3.2 Design and Construction
The location, design and construction of a Delivery Point, including the Gas Measurement System, will conform with good gas engineering practise and, in particular, comply with the WGL’s standard practise and the requirements of relevant Acts, Standards and Codes.

WGL will arrange for the construction of the Delivery Point and the supply to each Delivery Point will be metered.

The System User must apply in writing to WGL whenever there is a requirement to change the characteristics of the nominated existing Delivery Point, that is, the pressure, the Maximum Instantaneous Quantity (MIQ) or the Maximum Hourly Quantity (MHQ).

The Delivery Point will contain the appropriate pressure regulation and over-pressure protection equipment to an approved standard.

3.3 Metering
Metering and the conversion of measured volume to the standard value of energy will be in accordance with NZS 5259:1997 "Gas Measurement".

WGL will supply and own the metering equipment at all Delivery Points.

In addition to those instances specified in Clause 4.4.7 WGL may install correctors and Time of Use Devices at all Gas Measurement Systems where;

• the delivery pressure is non standard; or
• the load pattern may cause inaccurate metering; or
• the load pattern may have a significant effect on the operation of the Distribution System.

Where the System User or an End user wishes to install check metering, then this must be installed downstream of the last valve or connection point of the Delivery Point facility. The design and installation of this metering equipment must be such that it does not interfere with WGL’s Gas Measurement System.

3.4 Metering pressure
The maximum metering pressures (at the meter outlet), available from each Distribution System pressure regime are set out below:

WGL will consider requests for the standard maximum metering pressure to nondomestic Delivery Points to be raised above the pressures specified above. In considering a request to elevate the delivery pressure, WGL will need to be satisfied that there is no adverse impact on existing System Users' contractual rights. WGL also reserves the right to reduce the pressure to standard maximum metering pressure to allow Distribution Services to be offered at any future Delivery Point on the affected system.

WGL will perform any necessary field checks and will take any necessary actions to ensure that delivery pressures and /or flow rates are maintained within the measurement tolerance of the contractual quantities. WGL reserves the right to install any necessary flow-limiting devices, at the System User’s expense, to maintain nominated gas flows.

The System User must not alter or adjust any Gas measurement System settings.

3.5 Safety of Installations
The System User will ensure that the End user’s installations and operations do not jeopardise the integrity and safety of WGL’s Distribution System.

3.6 Disconnection of Supply
WGL will isolate the Delivery Point when requested by the System User. The isolation procedure will conform to NZS 5258:1995 "Gas Distribution"including the tagging of the service pipe and/or Gas Measurement System.

If WGL has not been advised of any change in status of any inactive service pipes within 12 months of the initial request for isolation, WGL will take such further action as is required under NZS 5258:1995 “Gas Distribution”.

3.7 Remote Data Collection
System Users can apply to WGL to install equipment to WGL’s Gas Measurement System to effect the remote transfer and collection of data relating to gas volumes, flow, pressure and temperature, where a Time of Use Device is already installed.

The fee for this service is available on request from WGL.

WGL reserves the right to install equipment at any Delivery Point to effect the remote transfer and collection of data in order to meet any of its obligations as set out in the Distribution Services Agreement or this Information Memorandum. WGL will be responsible for all costs associated with such installations.

3.8 Meter Reading Frequency
WGL will be responsible for all meter reading (subject to an alternative arrangement).

The frequency of meter reading will be:

1. bimonthly for Delivery Points with a Nominated Annual Quantity of less than 1200 GJ.
2. monthly for Delivery Points with a Nominated Annual Quantity of greater than or equal to 1200 GJ.

4 DISTRIBUTION SYSTEMS
4.1 Ownership and Operation
WGL will retain ownership and control of the Distribution System at all times and will operate and maintain it in accordance with NZS 5258:1995 "Gas Distribution".

4.2 Accidents, Incidents, Callouts and Emergencies
WGL will notify an affected System User as soon as possible of any incident that will, or has the potential to, directly affect End Users supplied by the System User.

WGL will also report to the System User on the investigation of any accident or incident that interrupts or curtails gas deliveries from the Distribution System.

In accordance with the Gas Act 1992, a System User must notify WGL of all incidents occurring at an End User’s installation. Such notification should be given orally or by fax as soon as practicable and, where given orally, must be confirmed in writing within three business days of occurrence.

If a System User is made aware of any signs of damage, gas escapes, loss of supply, or other abnormalities, including near misses, on the Distribution System, then it must report this to WGL. Such notification should be given orally or by fax as soon as practicable and, where given orally, must be confirmed in writing within three business days of occurrence.

The System User must also notify WGL of all incidents occurring on an End User’s installation that are likely to;

1. have been caused by a Distribution System fault, or
2. to have affected the normal operation of the Distribution System.

Unless alternative arrangements are made, WGL will be the principal contact for the public and End Users in relation to gas supply and delivery issues to the outlet of the Gas Measurement System. The System User may wish to make arrangements to respond to its End User's calls relating to the gas supply downstream of the Gas Measurement System. WGL will accommodate these arrangements provided that all safety matters are adequately addressed.

Where the System User has an agreement with WGL to respond to End User's calls relating to the supply of Gas, then the System User will furnish WGL with ongoing and current 24 hour call out rosters and will have agreed procedures for handling calls and for communicating with WGL.

WGL will have procedures for handling calls relating to the Distribution System and will maintain rosters for responding to out of hour calls. Copies of ongoing and current rosters must be provided to the System User.

4.3 Load Management
WGL will be solely responsible for the management of Distribution System emergencies. Emergency management will include the actions necessary to:

1. assess and make safe any situation;
2. control the flow of gas into and out of the Distribution System;
3. make temporary or permanent repairs to any part of the Distribution System;
4. restore the Distribution System back to its previous operational condition;
5. Keep System Users and others informed of developments.

WGL will maintain a written plan outlining the resources available and the actions likely to be taken when handling any foreseeable emergency involving the Distribution System. The plan shall include loadshedding principles and loadshedding schedules provided by the System User(s).

WGL will nominate a person who will act as a Civil Defence Liaison Officer and who will liase with the System User in the event of a Civil Defence or system emergency and will notify the System User of the name of the person. The System User will also nominate a person who will liase with WGL in the event of a Civil Defence or system emergency and will notify WGL of the name of the person.

The System user must take no action during the course of a Distribution System emergency to compromise the ability of WGL to manage the emergency.

Once the Distribution System has been returned to its normal operating condition, WGL will advise the System User(s), who will then be responsible for the safe re-introduction of gas to affected End Users downstream of the affected Delivery Points.

4.4 Load management during Emergencies
Should WGL determine or anticipate that it may be necessary to limit gas deliveries on the grounds of safety, then it reserves the right to take what it considers the appropriate action to protect the interests of System Users, End Users and the wider public generally.

WGL’s current classification of End Users for load shedding purposes is:

1. - End Users on interruptible supply contracts.
2. - Other non-domestic End Users with dual fuel facilities and CNG stations.
3. - Non-domestic customers where loss of supply will not affect plant or product.
4. - Non-domestic customers where loss of supply could cause product loss.
5. - Non-domestic customers where loss of supply could cause plant damage.
6. - Hospitals, schools and other "essential supplies".
7. - Domestic and small non-domestic customers. ]

"A"category End Users are shed first, "G" category End Users last.

In the event that there is disagreement over any End user classification, discussions will be held with the System User but WGL reserves the right to make the final determination to preserve consistency amongst all System users.

Where gas deliveries are interrupted, WGL will be responsible for isolating and tagging the Delivery Points and will, as soon as practicable, advise the System User(s) of the action taken.

4.5 Expansion, Modifications and Renewal
WGL will plan, design and construct the Distribution System to satisfy the requirements set out above and to meet the requirements of any System User(s). The design and construction will conform with the appropriate New Zealand Standard or where no standard exists, in accordance with good gas engineering practice.

If as a consequence of expansion, modification or renewal of the Distribution System, it is necessary to temporarily interrupt a System User’s ability to offtake gas, then WGL will establish the most convenient time for the work in discussion with the System user. In the event that agreement is not reached, WGL will establish a programme taking into account the known requirements of the System User and will advise the System User accordingly. The System User will then be responsible for informing End Users of this planned interruption to gas supply.

4.6 Planned Maintenance
As part of normal operations to maintain a safe and efficient gas transportation system, WGL carries out periodic planned maintenance activities, which may involve visiting Delivery Points on End User’s properties, and could result in a temporary interruption to the System user’s ability to offtake gas.

WGL will endeavour to notify each System User, as early as possible, of any planned maintenance that will result in any interruption to the System User’s customer. If requested by a System User, WGL will liase directly with any affected End Users.

5 ACTS, STANDARDS AND CODES
The following Acts, Standards and Codes, as amended from time to time, are to be read in conjunction with this Information Memorandum:

- Gas Act 1992
- Gas Industry Regulations 1993
- Gas (Information Disclosure) Regulations 1997
- Commerce Act 1986 - Fair Trading Act 1986
- Consumer Guarantees Act 1993
- Hazardous Substances and New Organisms Act 1996
- Health and Safety in Employment Act 1992
- Ministry of Energy Abolition Act 1989
- Resource Management Act 1991
- Transit New Zealand Act 1991
- New Zealand Railways Act 1981
- New Zealand Gas Pipeline Access Code
- NZS 5258: 1995 "Code of Practice for Gas Distribution"
- NZS 5259: 1997 "Gas Measurement”
- NZS 5261: 1996 "Code of Practice for the Installation of Gas Burning Appliances and Equipment"
- NZS 5442: 1990 "Specification for Reticulated Natural Gas"
- NZ GCP 3: 1993 "Code of Practice for Odorisation of Gas"
- AS/NZS 2430.3.4: 1997 “Classification of Hazardous Areas
- Part 3.4: Examples of area Classification - Flammable Gases"