ActewAGL business plan
Strategic framework
A message from our Chief Executive Officer
Our values
Objectives
Stakeholders
Customer service standards
People
Community
Owners
About ActewAGL




Strategic framework
Vision
To connect with customers.
Mission
To ensure that the best interests of our customers, owners, people and community are considered in everything that we do.
Customers
To provide residential, business and government customers
with products and services distinguished by their quality and
competitiveness.
People
To look after our people so that they feel committed to ActewAGL and are given the opportunity to expand their skills.
Community
To remain committed to safeguarding the health and safety of the environment, our people and the community – our valued partners.
Owners
To build the value of ActewAGL and provide our owners with a
strong return on investment.


A message from our Chief Executive Officer
The last 12 months have demonstrated yet again what a successful organisation ActewAGL is. I am extremely proud of our achievements.
Through our efforts to deliver excellent results to all our stakeholders, we have: provided better-than-expected returns to our owners; maintained good relationships with our customers; supported our local communities; looked after our employees; and cared for the environment. ActewAGL strives to be a good corporate citizen and operate in the best interests of our stakeholders, including future generations.

The corporate restructure between Alinta and AGL in 2006 saw the introduction of a second top-100 listed company in our shareholder group.

The recent staff survey shows that in general, most people are satisfi ed working at ActewAGL. However, there has been a slight overall drop in satisfaction since the last survey.
ActewAGL will be working with individual divisions to address issues that have been raised through the survey.


It has been disappointing to see an increase in accidents and injuries this year after our outstanding performance in the previous year. While, at the time of writing, we should still meet our target lost time injury frequency rate, we must ensure that safety remains a top priority. On a more positive note, we have renewed our focus on employees' health through the ACTive program, which is proving to be very successful.

Water division is performing well in relation to the Utilities Management Agreement with ACTEW. It has again met all of the service standards and specifi ed key performance indicators. In addition, ActewAGL continues to assist ACTEW in dealing with the most severe drought on record.

Our management alliance with TransACT is assisting that company to continue to grow. At the time of writing, we are renegotiating the TransACT management agreement for a further three years.

Ecowise Environmental continues to grow nationally. ActewAGL is assisting with that process as well as with improvements to Ecowise's corporate governance and management control processes.

ActewAGL faces a number of challenges in the coming years. Retail competition is strong in the electricity and natural gas markets. This means that we must continue to work hard to retain our customer base. Our strategy is to promote the fact that we are the local supplier who strongly supports the community, providing superior customer service at a competitive price through bundling.

The continuing drought threatens not only the ACT's water supplies, but also its electricity supplies as both coal-fi red and hydro generators in south-eastern Australia are faced with water shortages. We will continue to work with ACTEW on water matters. We will also be working with TransGrid and the ACT Government to install a second point of electricity supply into the ACT and will re-examine the case for a local gas-fi red generator.

Climate change is an issue that affects all of us. ActewAGL is an ongoing participant in the Greenhouse Challenge program. Our challenge in the coming year will be to further reduce our greenhouse gas emissions without compromising the quality of our services.

Our objectives for the next three years are listed in more detail on the following pages. I rely on you to join me in achieving these objectives so that ActewAGL will continue to be highly valued by our customers, employees, community and owners.

J A Mackay AM
Chief Executive Officer

Our values
We will consistently strive for:
1. highly reliable services and infrastructure
2. friendly, responsive and effi cient sales and customer service
3. the best possible results for our owners
4. highly ethical business standards
5. an entrepreneurial spirit and a constant eye on cost and risk
6. safe and environmentally friendly practices
7. dignity, equity and fairness for our people
8. high levels of motivation and a sense of fun.

Objectives (subject to annual review)

Customers
Retail
Increase the product range available to a growing Canberra and capital region customer base.
Ensure that:
our customer service and brand recognition is second to none
our range of products are innovative and represent value we retain more than 90 per cent of market share the number of Greenchoice customers increases by five per cent.

People
Further improve our safety performance.
Targets for 2007-08 are:
a lost time injury frequency rate of less than four an average score of more than 85 per cent across the organisation in the 2008 Life Guard audit.
Become an "employer of choice" to attract and retain employees.
Implement the single salary spine framework.
Address issues raised in the 2007 employee survey.
Invest in training and development. Continue to promote ACTive - the
organisation's health and wellness program.

Community
Improve ActewAGL's environmental credentials.
Further reduce our greenhouse gas emissions.
Enhance biodiversity through tree planting.
Promote environmental awareness to our employees and the community.

Networks
Deliver the capex program on time and on budget.
Continue with the pole replacement program.
Work with TransGrid and the ACT Government to install a second point of electricity supply.
Extend our gas network throughout Bungendore.

Owners
Exceed the approved profit and distribution targets.
Target earnings before interest and tax is $110 million.
Distribution target is $82 million.
Pursue new growth opportunities with consistent returns to partners.
Including: investigating renewable energy investments expanding operation and management of water infrastructure
growing Ecowise Environmental's services investigating smart metering options.
ActewAGL Group
Optimise core business performance.
Improve customer interactions.
Review key processes and systems.
Reduce operating cost per customer.
Water
Provide high quality and reliable water and sewerage services to the Canberra community on behalf of ACTEW Corporation.
Renegotiate the UMA with ACTEW so that it is profitable and effective. Deliver influential regulatory
submissions, such as the 2008-13 water pricing submission.
Ecowise
Assist in Ecowise's business improvement and acquisitions program. Extract benefits from integration of the Victorian business.
TransACT
Continue to support TransACT's operations and growth in the capital region. Implement the renegotiated TransACT
management agreement so that it is profitable and effective.

Stakeholders
ActewAGL's primary stakeholders are its customers, its people, the community it serves and its owners.

Customer service standards
ActewAGL has established key service performance targets as outlined below. These targets are in line with the Utilities Act 2000 (ACT).
ActewAGL and its staff are committed to meeting or exceeding these targets throughout the period covered by this plan.

Performance Targets

Electricity
Average number of outages per customer <1.2/year
Average duration of unplanned outages per customer <40 minutes

Sewerage
Disruptions per 1,000 properties <62.5/year
% disruptions corrected within five hours >90%

Water
Interruptions per 1,000 properties <80/year
% interruptions corrected within five hours >95%

Gas
Disruptions per 1,000 properties <10/year
% disruptions corrected within four hours >90%

Contact centre (ActewAGL Retail)
% of calls answered in 20 seconds or less >=80%
% of calls abandoned <5%

Wastewater treatment
Comply with the Lower Molonglo Water Quality Control Centre Effluent Discharge Licence = 100%
Comply with the Southwell Park and North Canberra Water Reuse Environment Protection Agreements = 100%

Water quality
Meet the requirements of the Australian Drinking Water Guidelines for aesthetics = 95%
Meet the requirements of the Australian Drinking Water Guidelines for health = 100%

People
ActewAGL will:

• provide a safe, healthy and non-discriminatory working environment.


• give our people challenges and the chance to develop their skills.


• encourage our staff to identify and seize business opportunities and to be innovative in improving efficiency.


• consult with and involve our staff and their unions in decisions on workplace change.


• develop an enjoyable and satisfying working environment.

TransACT business plan
Strategic framework
A message from our Chief Executive Officer
Our values
Objectives
About TransACT



ActewAGL AnnualReport
Annual & Sustainability reports (PDF file)




Strategic framework
Mission
To provide outstanding communications and entertainment services.
Customers
To provide customers with products and services distinguished by their performance, value, reliability and quality of support.
Staff
To provide a challenging, rewarding and safe workplace for our people.
Community
To support and care for the community and environment.
Shareholders
To build the value of the company.

A message from our Chief Executive Officer
The TransACT business has continued to grow strongly over the last 12 months.
Revenue has increased by over 20 per cent and our customer numbers now stand at 44,000. We have good growth in Phase I and Phase II areas, as well as TransMOBILE. We have also commenced connecting customers to Skydata, our new wireless voice and data product. In Phase I areas we now have 15 suburbs with over 40 per cent of the residences connected to TransACT.
In the next year we aim to win more customers in Phase I and II areas as well as expanding our wireless coverage.
Our commercial customer base continues to expand, with the ACT Government VoIP rollout successfully completed this year.
In the wholesale area, we are breaking into the data centre market with interest in secure data space being expressed by a number of Commonwealth government departments.
The next year will prove to be a busy and challenging one. We have won our fi rst secure data space contract for a Commonwealth department to provide data centre space for the Department of Environment, Science and Technology. This major contract will involve secure fit out of the newly refurbished first floor of the TransACT building annex.
Further system augmentation will also be required with the continuing increase in demand for our metro ethernet product.
TransACT won the tender to provide the telecommunications services to the new suburb of Forde. TransACT will be rolling out new, leading-edge, fi bre to the home technology to residences in Forde, and it is expected that other new greenfields developments will follow.
Competition in the telecommunications industry remains fierce, both from pricing and technology points of view. TransACT continues to look at merger and acquisition opportunities to increase its customer base and geographical coverage, to make itself a key player in Australia’s telecommunications industry.
I am confident that TransACT, with its innovative approach and vision will continue to forge a place for itself in telecommunications. I am also thankful that my job is made easier by the support of my fellow TransACT directors and the fantastic efforts made by TransACT’s staff and management team.

J A Mackay AM

Chief Executive Officer

Our values
We will consistently strive for:
1. highly reliable services and infrastructure
2. friendly, responsive and effi cient sales and customer service
3. the best possible results for our owners
4. highly ethical business standards
5. an entrepreneurial spirit and a constant eye on cost and risk
6. safe and environmentally friendly practices
7. dignity, equity and fairness for our people
8. high levels of motivation and a sense of fun.

Objectives (subject to annual review)

Staff
Provide a challenging, rewarding and safe workplace for our staff.
•Invest in our staff through training and development.
• Maintain the current low-level lost time injury frequency rate.
• Achieve a score of 75 per cent or greater in the 2008 Life Guard audit.

Community
Support and care for the community and environment.
• Be involved and visible in the ACT and south-east NSW community.

Shareholders
Achieve our fi nancial targets.
• Achieve targets set for:
- revenue
- EBITDA
- cash Capex program
- operating cash fl ows.
• Continue to manage the business within draw-down constraints.
• Increase investment in infrastructure through equity funding.
Continue to improve the effi ciency of the business units.
• Review business processes across the organisation and the way we deliver services.
• Continually improve the value TransACT obtains from its information systems.

Customers
Deliver TransACT products and services to an increased customer base.
• Place a renewed emphasis towards “on net” sales including Phase I and Phase II.
• Target selling to pre-cabled TransACT residences.
• Continue the strong sales growth in small and medium enterprise markets.
• Continue to bundle products with ActewAGL.
• Increase the number of TransMOBILE customers.
• Increase the number of Skydata customers.
• Increase the number of TransTALK Flex customers.
• Launch fi bre to the home products.
• Place increased emphasis on customer retention.
Develop innovative products.
• Continually monitor customer needs and, where they add value, develop products to meet demand.
• Continue product development subject to preliminary and ongoing business case justification.
Provide telecommunications and data solutions to the corporate and government sectors.
• Enlarge the team to build on current strategy and success.
• Develop a scalable VoIP product offer.
• Put into place strategic alliances required to implement strategy inclusive of national connectivity.
• Continue growth in secure telehousing and metro ethernet.
Continue to improve the sales and connection process.
• Continue to improve (back and front office) processes to efficiently manage customer provisioning and connection outcomes and improve customer relationships.
• Average cost to connect customers not to exceed budgeted amounts for:
 - Phase I residential
 - Phase II residential
 - Phase I small and medium enterprises
 - Phase II small and medium enterprises.
• Average time to connect not to exceed:
 - Phase I and Phase II residential – 20 days
 - commercial sales – 40 days.
Deliver excellent customer service.
• Measure customer service performance against industry standards.
• 80 per cent of calls answered in 30 seconds or less.
• Less than five per cent of calls abandoned.
Continue the Next Generation rollout.
• Continue implementation of Next Generation Network.
• Development of VoIP enabled switch capacity.
Ensure high network quality and availability.
• 99.9 per cent uptime for narrowband and 99.4 per cent uptime for broadband.


About TransACT
TransACT Communications Pty Limited was offi cially launched on 1 May
2000. It provides mobile, wireless and fi xed-line telephone services;
permanent high-speed connections to the internet; free-to-air and pay
television services; video on demand; and wholesale products. TransACT
is owned by ACTEW Corporation Limited, TVG TransAct Holdings SPRL,
Alinta ATA Pty Limited, Prime Television Limited, Australian Capital
Ventures Limited, MTAA Superannuation Fund (TransACT) Utilities Pty
Ltd and Westscheme Pty Ltd.