ABOUT THE AECT DIVIDEND

For enquiries phone 0508 AECTINFO (0508 232 846)

Email us here: This e-mail address is being protected from spambots. You need JavaScript enabled to view it

Post:
AECT
Freepost 3539
Private Bag 92119
Victoria Street West
Auckland 1142

Read stories from other beneficiaries here

Want to know if you’re eligible for the dividend? Click Here

ABOUT THE 2012 AECT DIVIDEND

How much is the 2012 dividend?

The payment is $320.00

When is the dividend paid?

Payment was distributed on Wednesday 26 September 2012. All beneficiaries were sent a letter on that day with either a cheque or notification that, if they requested it, their payment was by direct credit to their bank account or a credit to their power account.

Who receives the dividend?

Everyone who was an AECT income beneficiary on 8 August 2012 is eligible for the payment. You are an AECT income beneficiary if you pay Vector Electricity lines charges (these are included in your power bill) in the Trust District of Auckland, Manukau and the northern parts of Papakura. The dividend is paid to AECT beneficiaries regardless of who their electricity retailer is. The customer is the person whose name is on the power bill sent by your electricity retailer. In the case of rental properties, this is usually the tenant rather than the owner of the building.

How does the amount compare with last time?

It’s the same as last year: $320.00

Does everyone get the same amount?

All beneficiaries receive $320 for each installation control point (ICP) on their power account/s. Most beneficiaries have one ICP and receive one payment. But some beneficiaries, such as businesses with branch offices or more than one ICP (who pay more than one power bill) receive more than one payment.

How is the amount calculated?

The amount is calculated by the Auckland Energy Consumer Trust (AECT) from the dividend it receives as majority shareholder of Vector Ltd. A dividend from Vector's profits is paid to the AECT by Vector and most of this is passed on by the AECT to its income beneficiaries.

Why is the eligibility date for the dividend set as 8 August 2012?

We need to make a list of everyone who is eligible for the payout, and it is done on one day to ensure the list is fairly and fully compiled.

What do I do if I haven't received my dividend cheque?

It may take a few days for the mail delivery to be completed, but if you haven’t received your cheque by Monday 8 October please call 0508 AECT INFO (0508 232 846).

What do I do if I have lost my dividend cheque?

Call 0508 AECT INFO (0508 232 846) and we can arrange to reissue your dividend payment. Please note, the original cheque will have to be stopped and the bank charges a fee to do this. This fee may be passed on to you, so please have a good look for the cheque first, and ask anyone else in your household if they have banked it for you.

My dividend was supposed to be direct credited to a bank account but the money isn't there yet.

Call 0508 AECT INFO (0508 232 846) for assistance.

Do I have to bank my cheque at a National bank?

No, you bank it at it your own bank.

I can’t bank my cheque because I don't have a bank account or an account in the same name as the cheque. What do I do?

If you do not have a bank account, or if you are part of a group such as flatmates who do not have a bank account in the group’s names, you can return your cheque and have the amount credited to your power account. Just use the form that came with your cheque or you can call 0508 AECT INFO (0508 232 846). If you have lost the reuseable envelope that came with your cheque, you can post the form and the cheque to: Freepost 3539, AECT, Private Bag 92119, Auckland 1142.

I do not want to send my cheque back for a credit on my power account. I want a new cheque.

The AECT is required to pay the dividend to the person/s named on the power account. The cheque has therefore been made out to that name and we cannot issue a new cheque in another name.

When I return the cheque and request a credit, how long will it take to appear on my power bill?

We will action your request as quickly as possible but depending on your electricity retailer’s billing cycle, it may take up to six weeks for the credit to appear on your power account. For instance, if you return your cheque a day or so after the latest billing cycle closes, the credit won’t appear until the next billing cycle. Please note, the credit cannot be transferred or refunded by the electricity retailer.

What if I am a Glo-bug customer?

You receive a cheque. Because you pre-pay your power and don’t have a power account, we can’t pay the dividend as a credit to a power account. And, for your security, the dividend is not paid by direct credit to a bank account. This is because some pre-pay (Glo-Bug) customers move without notifying their retailer. In that case, payment by direct credit could go to a previous occupier. To ensure the rightful beneficiary receives the dividend, it is paid by cheque to Glo-Bug or pre-pay customers.

I received my dividend by direct credit last year but this year it came as a cheque. Why?

It may be because you have moved or changed electricity retailers since the last dividend. The dividend is paid to the person at the address at the time the dividend roll is struck. We are unable to track customer movements if there has been a change of occupier at the address or a change of retailer between one dividend payment and the next as we receive information from retailers only at the dividend roll date.

Please note that there are careful processes in place to ensure that the rightful beneficiary receives the dividend each year. In the case of payment by direct credit, all the details provided by the retailer must perfectly match the direct credit details held on file. If there are any changes to any of those details, the direct credit may be declined and payment issued by cheque to ensure it goes to the rightful beneficiary.

So, if you have received a cheque instead of a direct credit, this will be for everyone’s security and we apologise for the inconvenience. If you want to have a direct credit next year, you will be sent a new form shortly before next year's dividend.

And if you switch electricity retailers before next year’s dividend make sure you keep all your customer details the same.

I signed up to have my dividend direct credited, but I received a cheque instead. Why is that?

A request for a direct credit could not be processed if:
- the name on the bank account was not the same as the name on the power account
- the request was received too late (after Friday 10 August 2012)
- incomplete information was received
– not all people on the power account signed.
– the person has moved since providing direct credit details
- the person changed electricity retailers and the customer details were altered

We apologise for any inconvenience. A request form for direct credit will be sent in time for next year’s dividend.

I signed up to have my dividend direct credited but moved house since then, and I didn't get the direct credit. Why not?

If you moved within the Trust district, you are still an eligible beneficiary and will have received the dividend as a cheque, but not as a direct credit. The dividend is paid to the person at the address at the time the dividend roll is struck. We are unable to track customer movements as we receive information from retailers only for that date. We apologise for the inconvenience. If you want to have a direct credit next year, you will be sent a new form shortly before next year's dividend.

If you moved out of the Trust district before the roll date (8 August 2012), you are no longer a Trust beneficiary and therefore are not eligible for the dividend. The form you signed requesting a DC was only applicable if you were still an eligible beneficiary when the dividend roll was struck.

Can I get my dividend direct credited to my bank account?

If you didn’t request it to be paid by direct credit in time for this year’s dividend, you will have to wait until next year. All beneficiaries will be sent a form to do this before next year’s payment.

Can I use my payment to pay off my power bill?

Yes, you can use the money for any purpose you wish. If you want to use it to pay your power bill just return the cheque with the form that came with your cheque or you can call 0508 AECT INFO (0508 232 846). If you have lost the reuseable envelope that came with your cheque, you can post the form and the cheque to: Freepost 3539, AECT, Private Bag 92119, Auckland 1142.

You can read how some people have used their payment here

Why is the cheque made out to all the names of the people who live here?

The AECT beneficiary is the person or persons named on the power bill. The cheque is therefore made out to the name or names that appear on the power account. If you are unable to bank the cheque, you can return it for a credit on your power account. Just use the form that came with the cheque.

Can I get the cheque transferred to my name?

For the security of beneficiaries, the cheque is Not Transferable. This means it must be deposited in a bank account of the same name/s shown on the cheque. It cannot be transferred to another person or exchanged for cash. This means that if a cheque is lost or stolen it cannot be banked or used by someone else. Because the AECT is required to pay the dividend to the person/s named on the power account, we cannot issue a new cheque to any other name.

What do I do with the cheque if it is in the name of someone who used to live here?

If the cheque belongs to the previous occupiers, please forward it to them if you know their new address. If you don’t know their address, please return it to Freepost 3539 Auckland Energy Consumer Trust Private Bag 92119 Auckland 1142.

Or if the person whose name is on the cheque has moved out and you were paying the power bill on 8 August 2012 you can sign the form and return the cheque to have it credited to the power account, provided the power account is still in the same name. Please note, we will need to make some additional checks before authorising the credit to your power account, and this may take longer than the usual process for crediting a dividend to the power account.

What do I do if the cheque is made out to someone who is deceased?

If the power account for the person named on the cheque is still being used by the person’s family, the cheque can be returned for a credit to the power account. Just use the form that came with the cheque. Or call 0508 AECT INFO (0508 232 846) for further assistance. The dividend may be reissued to the estate of the deceased person, however copies of relevant documents will be required.

What do I do if the name on my cheque is wrong because I have changed my name since being married / divorced?

If the power account is still in your old name, you can return the cheque for a credit to the power account. Just use the form that came with the cheque. Or call 0508 AECT INFO (0508 232 846) for further assistance. The dividend may be reissued to your correct name, however copies of relevant documents will be required.

My dividend was paid as a credit on my power account, but I never requested that. How did that happen?

It will be because your dividend was paid as credit on your power account last year, most probably because you weren’t able to bank the cheque. The letter that was sent confirming your credit had been actioned also explained that your dividend would continue to be paid this way unless you let us know.

A form confirming this was sent in June.

If we didn’t receive any reply to those notices, the dividend will have stayed as credit on your power account.

I don't want my dividend paid as a credit on my power account. What do I do now?

It is too late to change the way your dividend is paid this year. But you will be sent a form before next year’s payment which gives you the choice about how to have your next dividend paid.

I have received the dividend but it is made out to the previous tenants/occupiers. What do I do with it, and am I entitled to the dividend?

The dividend belongs to the person who was the Vector electricity customer at the property at midnight on Wednesday 8 August. If that was not you, please return the dividend in the reusable envelope supplied, and mark it ‘Gone No Address”. If you don’t have the envelope, post it to Freepost 3539 Auckland Energy Consumer Trust Private Bag 92119 Auckland 1142.

I moved out of a property in the Trust district on/after 8 August. How do I get the dividend?

If you were a Vector electricity customer in the Trust district on 8 August you are entitled to receive the dividend. If your mail has not been re-directed to you, please contact the current occupiers to see if they are holding it for you. If you don’t receive it at all, call 0508 AECT INFO (0508 232 846).

I moved out of a property in the Trust district before 8 August. Do I get the dividend?

The dividend payment is made only to people who were an AECT income beneficiary on 8 August 2012. You are an AECT income beneficiary if you were paying Vector electricity lines charges (included in your power bill) for a property in the Trust district on that date. If you moved out any time before 8 August 2012, you are no longer eligible to receive the dividend. The dividend payment will have gone to the new person paying the account on 8 August 2012.

I moved out just before 8 August, but I was paying the power right up until then. I must be entitled to at least some of the dividend?

Under the Trust Deed that governs the way the AECT dividend is paid, there is no provision for part-payment of the dividend. To receive the dividend you must be an eligible beneficiary on the roll date. Under the Trust Deed that is the only time you are an eligible beneficiary. This year, the roll date was 8 August.

You can see a copy of the Trust Deed here

My name was on the power bill at 8 August but I didn't receive the dividend.

It is possible that you didn’t receive a dividend payment because:
- You are not a Vector electricity customer in the Trust district. The Trust district is Auckland, Manukau and the northern parts of Papakura.
- Your property is connected to an ‘embedded network’ which is not owned by Vector. This means you are not a Vector customer and therefore not an AECT beneficiary. Embedded networks in the AECT area include:

1. Metropolis Building, Kitchener Street
2. Princes Wharf Apartments
3. Q City Apartments, 15 City Rd
4. The Docks, 6 Dockside Lane
5. Parts of:
   Wattle Downs
   Pigeon Mountain
   Dannemora
   Flat Bush.
6. Bolderwood Place, Manukau City
7. Athy Place, Manukau City
8. Westfield Shopping Malls at St Lukes; Customs St West (Downtown), Broadway, Pakuranga, Manukau City.
9. Auckland International Airport
10. AMP NZ Property Retail Ltd: Botany Downs shopping centre
11. MacQuarrie Goodman Property Group: Penrose business park, Great South Road
12. Kiwi Income Property Trust (eg: Sylvia Park)

- The Vector charges on your power account are paid by a third party such as your body corporate or your landlord. Therefore the third party is the AECT beneficiary and will have received the dividend payment.
- Your power charges are included in your rent (see next question)

See the eligibility wizard for more details.

If you are an AECT beneficiary and the situations above do not apply to you, please check your bank statements to confirm the payment has not already been deposited. If you have not received your cheque by 8 October, please call 0508 AECTINFO (0508 232 846) or send an email to This e-mail address is being protected from spambots. You need JavaScript enabled to view it with your name, address, phone number and ICP number. The ICP number can be found on your power account.

I am in a property connected to an embedded network. Why don’t we get the dividend? And can I change to the Vector network?

If your address is part of an embedded network it means you are not connected to Vector's electricity network and do not pay any lines charges to Vector. You pay lines charges to the network owner, which in this case is not Vector.

As you are not part of the Vector electricity network, you are therefore not eligible for the AECT dividend.

The decision about whether to use the Vector network or an embedded network is made by the developer, not by Vector or an electricity retailer. The network has been installed as an entirely separate network to Vector, and it would be up to the developer, property manager or network owner to decide if it can be changed.

I am in an apartment and have been told I don’t get the dividend because my apartment is not connected to the Vector network. Why is that?

This is something to watch out for in apartment living. The reason you haven't received a dividend is because you are not directly connected to the Vector network, with your own ICP (installation connection point). The number of ICPs in apartment buildings is determined by the developer.

Some developers set up an ICP for every apartment and leave the occupier to arrange electricity supply (and to pay the lines charges) with their preferred retailer. In this case each apartment owner has a contractual relationship with Vector, and qualifies as an AECT income beneficiary.

Other developers set up one ICP at the entry to the entire site. The electricity network beyond the ICP is then managed by the developer, owner or property manager who negotiates with electricity retailers for the bulk supply of electricity to the development. The retailer will bill one party for this bulk supply, including Vector's line charges. This means that occupiers are not individual customers of an electricity retailer. Instead, these customers pay the developer or the property manager for the electricity and lines charges. The developer (or property manager) is the only customer with an ICP and with a contractual relationship with Vector. Their name appears on the roll and therefore they receive the dividend.

This arrangement is usually done to give apartment occupiers access to bulk electricity rates, but it is at the expense of forgoing entitlement to the AECT dividend by each apartment owner or tenant.

I pay the power bill as part of my rent/phone bill/body corporate fee; or through a letting agent/real estate agent. Do I get the dividend?

No. The dividend is paid to the Vector customer. In this case, the organisation that you pay has the contract with Vector, not you. This includes rental agencies such as:
IMPRESSION REAL ESTATE
DC ARDERN COLLECTIVE

This may include apartments in buildings such as:
ZEST APARTMENTS
VOLT APARTMENTS
WERI APARTMENTS
COUNTRY CLUB APARTMENTS LTD / QUEST ON MOUNT
ELLIOTT STREET APARTMENTS
HARBOUR CITY APARTMENTS

Please note that the dividend IS paid to customers in these buildings who do have power bills in their own name from electricity retailers such as BOSCO, Contact, Energy Online, Genesis, Mercury, Meridian, Powershop, Pulse or TrustPower. But if your electricity is included in your rent or management costs you may not be eligible and the person or organisation who pays the power bill for you may receive the dividend. Check with the person or organisation that pays the power bill for you.

Someone else pays the power bill but I am the one who uses the power. Do I get the dividend?

No. The dividend is paid to the person or organisation named on the power bill.

What if a business has several branches, will they each get a payout?

Yes, if the branches are in the Trust District.

Why does the payment go to tenants, not the property owner?

The payout goes to AECT beneficiaries, and they are the Vector electricity customers residing in Auckland, Manukau and the northern parts of Papakura. The Vector electricity customer is the person whose name is on the power bill. For rental properties, this is usually the tenant rather than the owner.

How long have I got to bank my dividend cheque?

Your dividend payment is ‘live’ for two years from the day of distribution. For this year the distribution was on 26 September 2012, so it expires on 27 September 2014. After that date, any dividends that have not been banked or claimed are forfeited and credited to the income of the Trust, as covered by clause 3.1(k) of the Trust Deed.

What is the tax situation, do I have to pay tax on this money?

As required by the IRD, the dividend payout has already been taxed at a level of 33%. If you are on a lower tax rate you may be entitled to a refund of tax paid on this distribution if you file a return. For more information you should contact your tax advisor, visit Inland Revenue website www.ird.govt.nz. or call Inland Revenue on 0800 227 774.

I've lost the tax certificate.

The tax certificate for each $320 payment of the 2012 AECT dividend is as follows:

For a copy of the standard tax certificate click here

For a copy of the tax certificate for those with an RWT-exempt certificate, click here

What about people who are in a group and have to split up tax?

Because everyone has different tax rates we are not able to provide calculations for the tax on a share of the dividend. You will need to ask your tax advisor or Inland Revenue. Visit www.ird.govt.nz. or call Inland Revenue on 0800 227 774.

I am a Vector shareholder. Am I still entitled to receive the AECT dividend?

Yes, provided you are also an AECT beneficiary. And as a Vector shareholder you will also receive a dividend from Vector each year.

Will people outside the current Trust District get the dividend now that the new Auckland ‘supercity’ is in place?

No. The AECT is an independent consumer trust and is not affected by the establishment of the Auckland ‘supercity’. The annual AECT dividend will continue to be paid to AECT income beneficiaries only. AECT income beneficiaries are Vector electricity customers in the Trust District only, which is the area that used to be the Auckland Electric Power Board (AEPB) which covered the old Auckland city, Manukau and the northern parts of Papakura.

Why is it only Vector electricity customers in the Trust district who receive the dividend payments?

The Trust was set up to take care of the assets in the old Auckland Electric Power Board area when the electricity industry was reformed in 1993. At that time, consumers in other areas, such as the North Shore and Waitakere, received shares individually for their power boards so they are not entitled to any further payments.

Consumers in the old AEPB area did not receive shares. Instead, ownership of their asset was held by the consumers trust, the AECT, and consumers in the Trust area continue to receive a dividend every year from the Trust.

In other power board districts here’s what happened:

• The Waitemata Electric Power Board (North Shore, West Auckland, Orewa, Whangaparaoa). People were given shares in the power board which they could sell. Became a public company (UNL), which was bought by Vector in 2002.
• The Franklin Electric Power Board (in southern Papakura, Counties and Franklin Districts) Now called Counties Power. Owned by Counties Power Trust which pays out discounts to consumers’ power accounts.
• North Auckland Power Board (includes Kaipara area). Now called Northpower. Owned by Northpower Electric Power Trust which pays out credits to consumers’ power accounts.

Why don't we just pay lower charges instead of having a payout?

Vector is required to run as a commercial company and make returns to its shareholders, including the AECT, by means of a dividend. The dividend comes from profits earned by all Vector’s businesses, not just the electricity lines in the Trust district. For more information about all Vector’s businesses see www.vector.co.nz

Also, please note that Vector charges are only a part of the total power costs. Along with the electricity retailer’s own charges, and Vector lines charges, the power bill also includes transmission charges from Transpower, rates from Council, and regulatory levies from the Commerce Commission and Electricity Authority. A calculator showing how much each of these various charges contributes to your power bill is available at www.vector.co.nz

Who does the dividend payout come from, Vector or the Trust?

The dividend payout is paid by the Auckland Energy Consumer Trust to its beneficiaries. The money originally comes from dividends paid by Vector to its shareholders. The AECT is the majority shareholder of Vector.

Do we get a smaller dividend payout because of the under grounding programme?

Yes, it is likely that the dividend could have been slightly higher if we had not continued with the undergrounding programme. However the AECT believes undergrounding is a benefit both to Vector's assets and to AECT beneficiaries and has an agreement with Vector that at least $11 million will be invested every year in undergrounding projects.

I want to talk to someone.

To send your comment or question right now, you can send an This e-mail address is being protected from spambots. You need JavaScript enabled to view it to This e-mail address is being protected from spambots. You need JavaScript enabled to view it

Or you can call 0508 AECT INFO (0508 232 846).

Or you can write to the AECT, PO Box 109626, Auckland 1149.

Beneficiaries are also welcome to attend the Trust’s annual meeting of beneficiaries, at 7.00pm, Wednesday 24 October 2012, at the Auckland Racing Club and Ellerslie Event Centre, 80-100 Ascot Avenue, Greenlane.