Infratil’s shareholders elect directors for three year terms to represent them and to look after their interests.
maintain a dialogue with shareholders;
participate in the formulation and articulation of the company’s strategy for long-term value creation;
monitor strategy implementation, the pathway to financial performance, risks and legal compliance, and the evolution of the strategy as circumstances change;
ensure effective articulation to external stakeholders of strategy, goals, risks and performance;
maintain awareness of societal and market developments relevant to the Company’s performance; and
offer diversity of perspective and knowledge relevant to the Company;
Infratil has six directors of whom five are independent of management. They have been on the board for between two and 12 years.
Infratil’s directors also have an area of particular responsibility monitoring the performance Infratil’s manager H.R.L. Morrison & Co (“Morrison & Co.”).
Morrison & Co is a specialist manager of infrastructure investments and performs this role for Infratil under an investment management agreement. Infratil benefits from having a management team with great breadth and depth of skills, however the board must be vigilant about potential conflicts of interest and satisfied that the cost is reasonable relative to alternatives.
During the last year the board’s monitoring of Morrison & Co. included commissioning an external review of the management agreement, which concluded that the current arrangements remain fair to Infratil shareholders. In addition, when the board undertook its annual externally- facilitated review of its own capabilities and performance it prioritised the issues of independence and governance over potential conflicts of interest. This review raised no material concerns.
Further commentary on the role of the board, the credentials of directors and their remuneration are set out on pages 101-104 of the annual report.
Director. Chief Executive.
Infratil’s management comprises people employed by Infratil’s manager, H.R.L. Morrison & Co, and those employed by Infratil’s subsidiaries and investee companies.
H.R.L. Morrison & Co is an investment manager with a specialist focus on the infrastructure sector. In addition to managing Infratil it also manages investments on behalf of a number of superannuation funds; including the New Zealand Superannuation Fund and the Commonwealth Superannuation Corporation which have both made investments in partnership with Infratil.
Infratil benefits from its management having the expertise of a larger and more experienced group of individuals than a company of Infratil’s scale could normally retain and from the manager’s contacts and relationships.
Left to right
Chief Executive. Director of Infratil and Longroad Energy
Chief Financial Officer. Director of Snapper
Chair of NZ Bus and Director of Canberra Data Centres and Infratil Infrastructure Property
CEO Canberra Data Centres
Legal and commercial oversight. Director of Wellington Airport and NZ Bus
Capital markets, and economic regulation. Chair of Wellington Airport
Group Treasurer and Risk Manager
CEO Tilt Renewables
Legal, compliance, transaction structuring and execution
Property and social infrastructure. Director of Infratil Infrastructure Property
Australian energy sector activities. Director of Perth Energy
Chair of Perth Energy, Director of RetireAustralia, Trustpower and ANU Student Accommodation
Capital markets and investor relations
CEO NZ Bus
CEO Longroad Energy
Energy team. Chair of Tilt Renewables
Acquisition management and investment performance
Development Director Infratil Infrastructure Property
Company Secretary and legal, compliance, transaction structuring and execution
Social infrastructure. Director ANU Student Accommodation
Social infrastructure. Director ANU Student Accommodation
Asian operations and investment activities
Strategy, sector analysis and transaction execution. Director Tilt Renewables
CEO RetireAustralia. President of the Australian Retirement Living Council
Chair of Trustpower
Infratil Financial Controller
CEO Wellington Airport
Private markets investment activity. Director of RetireAustralia and Canberra Data Centres
Energy team. Director Tilt Renewables and Longroad Energy
Each of Infratil’s businesses provides services that are critical to its community and customers. In addition to these responsibilities, each also recognises its obligations to its own people and to the physical environment. A business is not an end in itself. It represents a coming together of people and resources with the intension to delivering benefits to all stakeholders.
Set out below are four short case studies of how Infratil’s businesses have recognised and are delivering on their responsibilities.
"Lyall Bay is an escape as much as a playground. We would come for sunrise surfs before a school day and for the evening swims and burgers by the sea. Sometimes, even if the surf wasn’t pumping we would just mess around in the water, but either way, we always have a fun time. The beach is a great part of our lives.“ Geena Belle Lloyd Sanders and Isabelle Cushman.
Wellington Airport operates on a site created by flattening hills and reclaiming sea. The extension of the runway into Cook Strait now under consenting involves the creation of 10 hectares of land using two million cubic metres of fill. In addition to its physical impact on the environment, the Airport hosts approximately 100,000 aircraft movements a year and the associated ancillary services of refuelling, passenger embarkation, and so on.
An environmental impact is inevitable, so there is a high level of commitment to reduce adverse effects and to provide offsets. For instance, by working with the local community to reduce the effects of noise, including through an active programme of home insulation, and by working with local surfers to ensure they are fully informed about the impact of extending the runway seawall and about possible benefits as well as costs, and through sponsorship of the Lyall Bay Surf Club.
"I love working for a company whose values align so closely with my own, especially our community involvement. Coming to work every day with the aim of engaging with, and making a difference in, the lives of the people in our communities is pretty special. The Trustpower Community Awards are definitely a highlight too – being able to celebrate and say thank you to New Zealand’s volunteering community is very humbling and rewarding." Alice Boyd Trustpower Community and Communications Advisor.
Trustpower invests in both our local communities and its employees. Annually it works in 24 communities across New Zealand to celebrate their volunteers in a national award program. Its employees value the connection to the community this program provides. Trustpower also prioritise investment in its Trustpower employee community, increasing internal capability via tailored training opportunities and creating development opportunities for cross functional work to share ideas and create impact across traditional hierarchical lines for its customers. Its people are proud to be part of the Trustpower team of 780 people nationwide and with 530 in our head office, Trustpower is one of Tauranga’s largest employers.
"What I love about the wind farm is that we can go on farming, producing 500 bales of fine merino wool a year and meanwhile producing enough electricity to power a town the size of Warrnambool. Its also been a boon for the area, it's brought people here and lifted incomes, including mine.” Peter Coy, farmer and landowner.
Tilt Renewables worked to ensure that local people benefitted from the construction and operation of the Salt Creek wind farm. Construction contractors have been encouraged to maximize their use of local people and services and the project has actively supported volunteer groups such as the local fire service. In addition, the operational project will provide annual funding for an educational scholarship program and a community sponsorship initiative, which elsewhere has contributed to projects ranging from native vegetation restoration, to local sports facilities and to mental health improvement.
Charles McHardie (A/g CIO, Department of Human Services) “the security, confidentiality and availability of the data relating to the citizens we serve is critical to the services we provide hence our trust in Canberra Data Centres.”
Canberra Data Centres was established with the primary objective of meeting the data storage and transmission requirements of government agencies.
Its data halls are secured to government standards along with 24 hours a day, 7 days a week on-site security guards and CCTV monitoring.To compliment Canberra Data Centres’ Top Secret building classification, it operates the SecureNetLINK service to supplement customers' internal network security and governance mechanisms.