CHANGING AS THE WORLD CHANGES.

CHANGING AS THE WORLD CHANGES. Tlcom Corporation of Nw Zaland Limitd CARBON PROFILE For th yar ndd 3 Jun 213

Indx Excutiv Summary 1 Commntary on Emissions 2 Ovrviw of th Carbon Footprint 2 Carbon Intnsity Trnds and Bnchmarks 3 Emission Statmnts 5 Introduction 5 Statmnt of Grnhous Gas Emissions 6 Emission Flow Statmnt 7 Statmnt of Marginal Emissions 8 Marginal Emission Flow Statmnt 9 Stationary Enrgy Emissions 1 Elctricity Emissions 1 Disl Emissions 13 Natural Gas Emissions 14 Transportation Emissions 15 Air Travl Emissions 15 Vhicl Flt Emissions 16 Othr Vhicl Emissions 17 Othr Sourcs 18 Emissions from Wast 18 Rfrigrant Emissions 19 Emission Rmovals 2 Sgmntal Rporting 21 Gn-i s Emissions 22 Ntwork Emissions 25 Discontinud Oprations 26 Nots to th Emission Statmnts 28 Introduction 28 Application of ISO 1464 28 Not 1 Statmnt of Carbon Accounting Policis 28 Not 2 Emissions from Elctricity 31 Not 3 Disl Emissions 32 Not 4 Natural Gas Emissions 33 Not 5 Air Travl Emissions 34 Not 6 Vhicl Flt Emissions 35 Not 7 Othr Vhicl Emissions 36 Not 8 Emissions from Wast 37 Not 9 Rfrigrant Emissions 38 Not 1 Marginal Analysis 39 Pr Rviwr s Rport 4

Excutiv Summary Tlcom s annual carbon profil shows ongoing world-class prformanc. In FY13, w rducd missions by 15 prcnt. With a nw stratgic dirction, as th world movs towards a low-carbon conomy, our carbon prformanc continus to improv. This yar, Tlcom rducd nt missions by 7 kilotonns or 15 prcnt in continuing oprations. Sinc th FY6 baslin, Tlcom has rducd nt missions in continuing oprations by 16 kilotonns or 31 prcnt. This includs rductions in almost vry dirct and indirct sourc. W hav halvd our dirct missions sinc FY6. Ovr ths svn yars w hav mor than halvd annual flt and rfrigrant missions. W hav rducd annual disl consumption for backup powr in xchangs by 15 prcnt. Rductions in lctricity missions ar rprsntd by cumulativ ngativ mission flows of 9 kilotonns, showing an annual rduction of 26 prcnt sinc th bas yar. Sinc th bas yar, Tlcom has rducd indirct valu chain missions by 5 kilotonns, or 35 prcnt: Businss travl missions hav rducd by 4 kilotonns or 42 prcnt with lss travl; Indirct lctricity transmission and distribution missions ar 17 prcnt lowr; and Wast to landfill is up slightly by 3 prcnt. Tlcom continus to mak xcllnt progrss on improving carbon intnsity. Sinc FY6, in continuing oprations missions pr connction hav rducd by 39 prcnt. Tlcom Mobil s ntwork lctricity missions pr connction hav rducd by 57 prcnt. Nw Zaland s lctricity missions intnsity rducd in FY13. Rnwabl sourcs contributd 74 prcnt of th grid-basd lctricity supply, up from 71 prcnt in FY12. At th sam tim, w rducd our lctricity consumption for th scond yar in a row, this yar by a furthr 7 prcnt or 12 Gigawatt hours (GWh). Tlcom rducd transport missions this yar by two kilotonns or on quartr. Air travl missions wr down 29 prcnt and taxis and rntal cars, 19 prcnt. Vhicl flt missions dclind by 14 prcnt. Disl us for backup powr in xchangs was down 22 prcnt. Although wast missions incrasd, wast accountd for lss than on prcnt of total missions and ths wr mor than offst by rductions achivd in othr aras. Rfrigrant missions this yar wr th lowst rcordd lvl sinc FY6. This prformanc was for continuing oprations although prior to th dmrgr of Chorus, Tlcom had also succssfully rducd missions in discontinud oprations. W ar plasd to rport that Tlcom s annual carbon profil for FY13 shows ongoing world-class carbon prformanc. With our nw stratgic dirction, as th world movs towards a low-carbon conomy, a focus on oprational fficincy is ky to sustainability. W viw our carbon prformanc as vital to futur businss succss and w will striv for xcllnc in this ara. With lowr lctricity consumption combind with a lss carbon-intnsiv supply, nt lctricity missions in continuing oprations rducd by four kilotonns this yar whn compard to FY12. 1

Commntary on Emissions Ovrviw of th Carbon Footprint Tlcom rducd its carbon missions again this yar and Tlcom continus to b on of th last carbon-intnsiv tlcommunications companis worldwid. Th following tabl shows th sourcs and flows of missions for Tlcom. Tabl 1. Summary of Grnhous Gas Emissions (tonns ) Continuing Oprations: FY13 P % of Total Dirct Indirct Emission Flows 1 Elctricity 2 28,798 76.8% 28,798 (3,717) Air Travl 5,43 14.5% 5,43 (1,996) Vhicl Flt 1,55 4.1% 1,453 97 (242) Rfrigrant 65 1.7% 65 (727) Disl 515 1.4% 482 33 (141) Wast 38 1.% 38 134 Rntal Cars & Taxis 151.4% (36) Natural Gas 15.% 15 15 - Continuing Oprations 37,489 2,6 34,889 (6,71) Tlcom s nt missions in continuing oprations wr 37,489 tonns-, down 6,71 tonns or 15 prcnt from FY12. Tlcom achivd ongoing rductions in most mission sourcs, with th xcption of wast and natural gas. Tlcom rducd its total carbon footprint significantly with notabl rductions in lctricity, travl, rfrigrant, vhicls and disl. Elctricity contributd th largst rduction in mission flows in FY13. Tlcom rducd lctricity consumption by 7 prcnt and rnwabl lctricity was 74 prcnt of total gnration, up 3 prcnt on 212. With lowr lctricity consumption and a lss carbon intnsiv national grid, lctricity missions rducd by 3,717 tonns or 11 prcnt this yar. Lss air travl in FY13 rducd mission flows by 1,996 tonns, a 27 prcnt rduction. Rfrigrant lakag in FY13 mor than halvd rducing mission flows by 727 tonns. Emissions hav dcrasd ovrall by 1 kilotonns in continuing oprations sinc th FY6 bas yar mainly du to rductions in lctricity, travl and th vhicl flt. Tabl 2. Grnhous Gas Emissions (tonns ) 3 from FY11 to FY13 FY13 FY12 FY11 FY13 % chang FY12 % chang Continuing Oprations: Elctricity 28,798 32,515 26,122 (11%) 25% Air travl 5,43 7,426 8,673 (27%) (14%) Vhicl flt 1,55 1,792 2,45 (14%) (12%) Rfrigrant 65 1,377 721 (53%) 91% Disl 515 656 1,67 (22%) (39%) Othr 546 433 554 26% (22%) - Continuing 37,489 44,199 39,182 (15%) 13% Discontinud - 7, 12,655 - (45%) Oprations Total 37,489 51,199 51,837 (27%) (1%) Th following graph prsnts total missions ovr th last fiv yars and dmonstrats th dclining mdium-trm trnd. 3 Graph 1. Tlcom s -quivalnt Emissions from FY9 to FY13 7 6 5 4 3 2 1 Grnhous Gas Emissions (tonns) FY9 FY1 FY11 FY12 FY13 Elctricity Travl Flt Rfrigrant Othr Discontinud Oprations 1 Emission flows ar th changs in missions from yar to yar. 2 FY13 and FY12 lctricity missions ar basd on provisional stimatd mission factors as this rport has bn prpard in advanc of Govrnmnt s rlas of official data. Elctricity mission factors and masurmnt approachs ar dscribd in th nots to th mission statmnts on pags 28-39 of th full rport. 3 Prior yar missions hav bn rstatd to tak into account rvisd mission factors and othr adjustmnts. Significantly, air travl missions now includ an additional radiativ forcing uplift basd on updatd guidanc. S Rporting Priod sction in Not 1 on pag 29 and Not 5 on air travl on pag 34 of th full Carbon Profil rport. P = Provisional mission figurs stimatd for FY13 and FY12 as this rport has bn prpard in advanc of Govrnmnt s rlas of official guidanc for ths yar.s Emissions will b rstatd onc Govrnmnt has publishd 213 and 212 mission factors and guidanc. 2

Carbon Intnsity Trnds and Bnchmarks Tlcom s carbon intnsity indicators continu to b among th bst in th industry. 4 Tlcom has improvd intnsity pr customr connction in continuing oprations by 39 prcnt sinc th FY6 bas yar. Furthr improvmnt was shown in FY13. Graph 2 shows th improvmnt achivd. Graph 2. Emissions pr Customr Connction Sinc FY6 15 14.6 pr Customr Connction Kilograms (kg) 12.6 12.8 Graph 3. Emissions pr Customr Comparison kg-c 2 7 6 5 4 3 pr Customr Connction Comparison 6 Kilograms (kg) 61 45 68 43 64 43 61 44 56 45 12 11.1 2 kg-c 2 9 6 9.7 8.1 9.6 9. 1 11 1 8 1 9 29 21 211 212 213 Tlcom Tlstra Global 3 26 27 28 29 21 211 212 213 Scop 1 Scop 2 Scop 3 Tlcom s pr-dmrgr lctricity consumption pr connction was around th industry avrag as shown (by Total) in Graph 4. 7 Graph 4. Elctricity Consumption pr Customr Sinc FY6 Tlcom has rducd carbon intnsity across dirct Scop 1 and indirct Scop 2 and 3 missions. Dirct (Scop 1) mission intnsity has mor than halvd sinc th FY6 bas yar, xhibiting ongoing stady improvmnt. Annual dirct missions wr around 6 grams- pr connction in FY13. Indirct (Scop 2) lctricity mission intnsity has improvd by 35 prcnt ovrall sinc th FY6 bas yar. Th improving trnd has bn hlpd by a clanr lctricity supply from th national grid with an incrasing proportion of rnwabl lctricity gnration. Th rvrsal in FY12 was du to th dry Jun quartr which impactd hydro gnration. Tlcom has rducd lctricity consumption ovr th past two yars which has drivn furthr improvmnt. kwh 7 6 5 4 3 2 1 Kilowatt Hours pr Customr Connction kwh 57 4 32 54 37 29 51 36 26 59 59 5 36 24 5 36 56 52 37 23 24 19 56 53 38 57 5 39 21 Indirct (Scop 3) valu chain mission intnsity has improvd by 42 prcnt sinc FY6. Graph 3 shows missions pr customr in kilograms pr connction against Tlstra and th global avrag for th tlcommunications industry, both mor carbon-intnsiv. 5 26 27 28 Continuing Ops Total Mobil 29 21 211 212 213 Tlstra In continuing oprations, lctricity consumption pr connction has rducd slightly ovrall sinc FY6. Global 4 Fw tlcos hav lowr carbon intnsity than Tlcom. Swisscom is on xampl outlir that claims to us 1 prcnt rnwabl lctricity, compard to around 74 prcnt for Tlcom. Yt Tlcom sts an xampl for th industry as although it is low-carbon, Tlcom is rducing its missions and its carbon intnsity. 5 Tlstra s data rlats to its domstic oprations in Australia. Tlstra has vry high carbon intnsity as Australia s lctricity supply is dominatd by coal powr. 6 Global avrags ar calculatd from th SMARTr 22 rport: Th Rol of ICT in Driving a Sustainabl Futur (Global Sustainability Initiativ (GSI, 212). Discontinud oprations and Chorus consumption post-dmrgr adds around 4 to 45 prcnt to Tlcom s figurs. 7 Global avrags ar calculatd from th SMARTr 22 rport: Th Rol of ICT in Driving a Sustainabl Futur (Global Sustainability Initiativ (GSI, 212). Calculations for Total Tlcom (from 26 to 211) ar basd on total lctricity consumption for continuing and discontinud oprations. Tlstra s customr connction comparison is basd on th numbr of accss lins in srvic and rtail mobil and fixd intrnt srvics in opration (SIOs). 213 may not b dirctly comparabl to prior yars du to diffrncs in data mad publicly availabl. 3

Tlcom Mobil s lctricity intnsity pr connction has improvd by 36 prcnt sinc FY6. Graph 5. Emissions pr Rvnu Dollar (millions) from FY9 to FY13 8 Ongoing improvmnts in lctricity intnsity such as this can driv mission intnsity improvmnts in th industry and hlp with th shift to a low-carbon conomy. Th tlcommunications sctor in Nw Zaland is lowr carbon than many othr countris. Although industry missions ar st to grow by 4.6 prcnt pr annum worldwid from now until 22 (a 5 prcnt incras in total this dcad), in Nw Zaland sctor missions ar rmaining low vn with th rquisit incrass in lctricity consumption to powr th xpanding ntworks. With around 4 prcnt growth in lctricity consumption sinc 26 in Nw Zaland, sctor missions hav vn slightly rducd. t-c 2 7 6 5 4 3 51 pr $m Rvnu Tonns (t) 58 56 56 54 Tlcom, with avrag lctricity intnsity and low-carbon lctricity supply, has low mission rvnu intnsity as shown in Graph 5 of missions pr million dollars of rvnu. 2 1 14 12 15 1 13 11 15 9 11 11 15 12 12 12 16 13 11 12 1 29 21 211 212 213 Tlcom Tlstra Vodafon BT Bll Canada Ovrall, Tlcom has rducd mission intnsity in continuing oprations by 18 prcnt sinc FY6 on a rvnu basis. Vodafon Group, BT and Bll Canada ar othr strong prformrs whil Tlstra s carbon intnsity is high. Rgionally th ladrship clustr is in Europ, and Tlcom counts itslf as a pr amongst ths high-prforming Europan tlcos. 8 Rvnus for Tlstra (Australia), Vodafon Group, BT and Bll Canada convrtd into NZ dollars using constant long-trm avrag xchang rats. 213 mission data for Bll Canada was unavailabl at th tim of rport prparation. Tlcom s indicator is for continuing oprations. BT s indicator is basd on nt missions with offsts approximatly halving th company s gross missions. 4

Emission Statmnts Introduction Tlcom s missions for Nw Zaland businss oprations ar prsntd in th Emission statmnts. Th Emission statmnts show dirct and indirct missions and mission flows for th yars ndd 3 Jun 213 and 212 (th 213 fiscal yar is FY13 and th 212 fiscal yar is FY12 ). Th Emission statmnts prsntd for FY13 and FY12 ar: Statmnt of Grnhous Gas Emissions Emission Flow Statmnt Statmnt of Marginal Emissions Marginal Emission Flow Statmnt Th FY13 Statmnt of Grnhous Gas Emissions shows Tlcom s missions from continuing oprations wr 37,489 tonns. Tlcom s dirct Scop 1 missions wr 2,6 tonns, indirct Scop 2 lctricity missions wr 25,724 tonns and Scop 3 valu chain missions wr 9,165 tonns. In continuing oprations, Tlcom rducd dirct missions by 1,71 tonns this yar and indirct missions by 5,639 tonns (3,368 tonns Scop 2 lctricity missions and 2,271 tonns Scop 3 valu chain missions). Th Statmnt of Marginal Emissions shows total marginal missions wr 114,223 tonns. 9 Tlcom s marginal missions hav also rducd this yar as th Marginal Emission Flow Statmnt shows. 1 Nt marginal mission flows show a dcras of 31,47 tonns. Marginal mission flows from continuing oprations show a rduction of 9,88 tonns this yar. Th rduction of 21,167 tonns in discontinud oprations rlats to th dmrgr of Chorus. Th Emission statmnts hav accompanying nots (on pags 28 to 39) dscribing th carbon accounting policis and calculations. Th statmnts hav bn prpard applying intrnational bst practic, including ISO 1464. Th Emission Flow statmnts show th changs in missions (i.. incrass and dcrass) from th prvious yars. 8 Ngativ mission flows dmonstrat Tlcom has rducd its missions. In total (including continuing and discontinud oprations), nt mission flows show a rduction of 13,71 tonns from FY12 to FY13. Tlcom achivd a rduction of 6,71 tonns in continuing oprations, and 7, tonns rlats to discontinud oprations (with th dmrgr of Chorus). 8 Th Emission Flow Statmnt shows changs in avrag missions, and th Marginal Emission Flow Statmnt shows changs in marginal missions. Th FY13 mission flows ar calculatd by subtracting th FY12 missions from th FY13 missions, th FY12 mission flows ar calculatd by subtracting th FY11 missions from th FY12 missions and so forth. Th nt mission flows ar thn addd to th opning invntoris from th statmnts of missions (i, Statmnt of GHG Emissions and Statmnt of Marginal Emissions) to obtain th closing invntory balancs. Ths thn rconcil to th total missions shown in th statmnts of missions. Dirct (Scop 1) mission flows ar dirctly attributabl to Tlcom whras indirct (Scop 2 & 3) mission flows ar dirctly attributabl to its supplirs. 9 A constant marginal lctricity mission factor has bn applid basd on a 24 analysis. For mor information s Not 1 on pag 39. 1 Th Statmnt of Marginal Emissions uss a marginal mission factor for lctricity. National changs in lctricity consumption hav a gratr influnc on th lvl of thrmal gnration than rnwabl gnration and so marginal lctricity missions ar highr than avrag lctricity missions, which ar dominatd by rnwabl sourcs. Nw Zaland has a highr marginal lctricity mission factor than th avrag factors usd in th Statmnt of Grnhous Gas Emissions. Marginal missions ar bttr stimats of potntial impacts of changs in lctricity us. Th Statmnt of Marginal Emissions is usful as a basis for assssing th impact of sustainability initiativs, such as nrgy fficincy and rnwabl nrgy. Whn organisations incras or rduc thir lctricity consumption, th marginal missions ffct is gratr than th avrag owing to th natur of th wholsal markt. Th marginal statmnt is prsntd to show this ffct. 5

Emission Statmnts continud Tlcom Corporation of Nw Zaland Limitd and (Nw Zaland) Subsidiaris Nw Zaland Businss Statmnt of Grnhous Gas Emissions For th yars ndd 3 Jun 213 and 212 Grnhous Gas (GHG) Emissions & Rmovals Yar ndd 3 Jun 213 212 Emissions in tonns of -Equivalnts ( ) Nots t- % of total Dirct Scop 1 Indirct Elctricity Scop 2 Valu Chain Scop 3 t- Continuing Oprations: Stationary Enrgy Emissions Grid Elctricity: Ntwork Elctricity 2 25 797 68.8% 23 43 2 754 29 345 Commrcial Elctricity 2 3 1 8.% 2 681 32 3 17 Total Elctricity Emissions 28 798 76.8% 25 724 3 74 32 515 Disl On-sit 3 515 1.4% 482 33 656 Natural Gas 4 15.% 15 - Total Stationary Enrgy Emissions 29 328 78.2% 497 25 724 3 17 33 171 Transportation Emissions Air Travl 5 5 43 14.6% 5 43 7 426 Vhicl Flt 6 1 55 4.1% 1 453 97 1 792 Rntal Cars & Taxis 7 151.4% 151 187 Total Transport Emissions 7 131 19.% 1 453 5 678 9 45 Othr Emissions Wast 8 38 1.% 38 246 Rfrigrant 9 65 1.7% 65 1 377 Total Othr Emissions 1 3 2.7% 65 38 1 623 Gross Emissions from Continuing Oprations 37 489 2 6 25 724 9 165 44 199 lss Emission Rmovals Carbon Sinks p2 - - - Nt Emissions from Continuing Oprations 37 489 2 6 25 724 9 165 44 199 Nt Emissions from Discontinud Oprations p26 - - - - 7 Nt Emissions 37 489 2 6 25 724 9 165 51 199 S accompanying nots to th mission statmnts. 6

Emission Statmnts continud Tlcom Corporation of Nw Zaland Limitd and (Nw Zaland) Subsidiaris Nw Zaland Businss Emission Flow Statmnt For th yars ndd 3 Jun 213 and 212 Grnhous Gas (GHG) Emission Flows Yar ndd 3 Jun 213 212 Incras/(dcras) in missions in tonns of -Equivalnts ( ) t- % Chang 212/213 Dirct Scop 1 Indirct Elctricity Scop 2 Valu Chain Scop 3 t- Continuing Oprations: Stationary Enrgy Emission Incrass/(Dcrass) Grid Elctricity: Ntwork Elctricity (3 548) (12%) (3 216) (332) 8 113 Commrcial Elctricity (169) (5%) (152) (17) (1 719) Elctricity Emission Flows (3 717) (11%) (3 368) (349) 6 394 Disl On-sit (141) (22%) (132) (9) (412) Natural Gas 15 1% 15 - Nt Stationary Enrgy Emission Flows (3 843) (12%) (117) (3 368) (358) 5 982 Transportation Emission Incrass/(Dcrass) Air Travl (1 996) (27%) (1 996) (1 247) Vhicl Flt (242) (14%) (227) (15) (253) Rntal Cars & Taxis (36) (19%) (36) (9) Nt Transport Emission Flows (2 274) (24%) (227) (2 47) (1 59) Othr Emission Incrass/(Dcrass) Wast 134 54% 134 (3) Rfrigrant (727) (53%) (727) 656 Nt Othr Emission Flows (593) (37%) (727) 134 626 Nt Emission Flows from Continuing Oprations (6 71) (1 71) (3 368) (2 271) 5 18 Nt Emission Flows from Discontinud Oprations (7 ) (658) (5 28) (1 62) (5 655) Nt Emission Flows (13 71) (1 729) (8 648) (3 333) (637) Opning Emission Invntory 51 199 (1%) 51 836 Closing Emission Invntory 37 489 (27%) (1 729) (8 648) (3 333) 51 199 S accompanying nots to th mission statmnts. 7

Emission Statmnts continud Tlcom Corporation of Nw Zaland Limitd and (Nw Zaland) Subsidiaris Nw Zaland Businss Statmnt of Marginal Emissions For th yars ndd 3 Jun 213 and 212 Marginal Grnhous Gas (GHG) Emissions & Rmovals Yar ndd 3 Jun 213 212 Emissions in tonns of -Equivalnts ( ) Nots t- % of total Dirct Scop 1 Indirct Elctricity Scop 2 Valu Chain Scop 3 t- Continuing Oprations: Stationary Enrgy Emissions Grid Elctricity: Ntwork Elctricity 1 94 23 82.5% 94 23 11 459 Commrcial Elctricity 1 11 329 9.9% 11 329 1 96 Marginal Elctricity Emissions 15 532 92.4% 15 532 112 419 Disl On-sit 3 515.5% 482 33 656 Natural Gas 4 15.% 15 - Marginal Stationary Enrgy Emissions 16 62 92.9% 497 15 532 33 113 75 Transportation Emissions Air Travl 5 5 43 4.8% 5 43 7 426 Vhicl Flt 6 1 55 1.4% 1 453 97 1 792 Rntal Cars & Taxis 7 151.1% 151 187 Marginal Transport Emissions 7 131 6.2% 1 453 5 678 9 45 Othr Emissions Wast 8 38.3% 38 246 Rfrigrant 9 65.6% 65 1 377 Othr Marginal Emissions 1 3.9% 65 38 1 623 Gross Marginal Emissions - Continuing Oprations 114 223 2 6 15 532 6 91 124 13 lss Emission Rmovals Carbon Sinks p2 - - - Nt Marginal Emissions - Continuing Oprations 114 223 2 6 15 532 6 91 124 13 Nt Marginal Emissions -Discontinud Oprations p26 - - - - 21 167 Nt Marginal Emissions 114 223 2 6 15 532 6 91 145 27 S accompanying nots to th mission statmnts. 8

Emission Statmnts continud Tlcom Corporation of Nw Zaland Limitd and (Nw Zaland) Subsidiaris Nw Zaland Businss Marginal Emission Flow Statmnt For th yars ndd 3 Jun 213 and 212 Marginal Grnhous Gas (GHG) Emission Flows Yar ndd 3 Jun 213 212 Incras/(dcras) in missions in tonns of -Equivalnts ( ) t- % Chang 212/213 Dirct Scop 1 Indirct Elctricity Scop 2 Valu Chain Scop 3 t- Continuing Oprations: Stationary Enrgy Emission Incrass/(Dcrass) Grid Elctricity: Ntwork Elctricity (7 256) (7%) (7 256) 6 282 Commrcial Elctricity 369 3% 369 (1 962) Nt Marginal Elctricity Emission Flows (6 887) (6%) (6 887) (4 68) Disl On-sit (141) (22%) (132) (9) (412) Natural Gas 15 15 - Nt Marginal Stationary Enrgy Emission Flows (7 13) (6%) (117) (6 887) (9) (5 92) Transportation Emission Incrass/(Dcrass) Air Travl (1 996) (27%) (1 996) (1 247) Vhicl Flt (242) (14%) (227) (15) (253) Rntal Cars & Taxis (36) (19%) (36) (9) Nt Transport Emission Flows (2 274) (24%) (227) (2 47) (1 59) Othr Emission Incrass/(Dcrass) Wast 134 54% 134 (3) Rfrigrant (727) (53%) (727) 656 Nt Othr Emission Flows (593) (37%) (727) 134 626 Nt Marginal Emission Flows - Continuing Oprations (9 88) (8%) (1 71) (6 887) (1 922) (6 56) Nt Marginal Emission Flows - Discontinud Oprations (21 167) (1%) (658) (2 76) (433) (27 538) Nt Marginal Emission Flows (31 47) (21%) (1 729) (26 963) (2 355) (33 594) Opning Marginal Emission Invntory 145 27 (19%) 178 864 Closing Marginal Emission Invntory 114 223 (21%) (1 729) (26 963) (2 355) 145 27 S accompanying nots to th mission statmnts. 9

Stationary Enrgy Emissions Stationary nrgy accountd for 29,328 tonns (78 prcnt) of Tlcom s FY13 missions from continuing oprations. Stationary nrgy includs lctricity, disl, and natural gas. Elctricity Emissions Elctricity accountd for 28,798 tonns (77 prcnt) of Tlcom s FY13 missions from continuing oprations. Emissions rducd 3,717 tonns this yar with lowr consumption and a highr proportion of rnwabl lctricity. In FY13 lctricity missions from continuing oprations wr on quartr lowr than FY6, a rduction of 9.5 kilotonns. Cumulativ mission flows show savings of 43 kilotonns. Graph 6. Carbon Emissions from Elctricity Consumption Graph 7. Elctricity Consumption 3 2 1 233 168 Elctricity Consumption Gigawatt Hours (GWh) 244 252 24 176 18 175 162 5 Emissions from Elctricity Tonns of 29 21 211 212 213 Continuing Oprations Discontinud Oprations 4 3 2 1 6,981 26,87 5,997 24,153 4,89 21,232 3,17 29,345 3,1 25,797 National grid carbon intnsity was on third lowr in 213 than in it s 26 pak, as shown in Graph 8. Th lctricity mission factor rducd this yar by around 5 prcnt aftr incrasing in 212. In Nw Zaland, dry yars affct hydro systm intak and rsulting contribution from low-carbon rnwabl sourcs. Th incras in Tlcom s missions last yar was du to a dry Jun quartr whn th rnwabl contribution fll to 64%. With lss coal-fird and gas-fird powr supply this yar rnwabls incrasd to 74 prcnt of total gnration. 29 21 211 212 213 Ntwork Commrcial Discontinud Oprations Th abov graph of lctricity missions shows rductions achivd including in commrcial offic, and annual variability. In 213, Tlcom consumd 9 prcnt of total powr in th ntwork 11 and 1 prcnt in commrcial offics. This yar Tlcom rducd consumption 7 prcnt and whn combind with lss carbon-intnsiv lctricity supply, missions dclind. Evn though Tlcom rducd consumption in FY12 missions incrasd du to grid-basd lctricity supply drawing mor on thrmal powr. For th yars prior to FY11, lctricity missions dclind as incrasing consumption was mor than offst by lss carbon-intnsiv supply. Graph 7 shows Tlcom usd 162 GWh in FY13 in continuing oprations down from 173 GWh in FY12. Graph 8. Elctricity Emission Factors 25 2 15 1 5 136 Elctricity Gnration Emission Factors Twnty yars from 1994 to 213 Grams pr Kilowatt Hour (g/kwh) 9 92 161 166 159 156 138 191 178 182 191 1994 1995 1996 1997 1998 1999 2 21 22 23 24 25 26 27 28 29 21 211 241 24 29 18 154 128 168 159 212 213 11 Ntwork quipmnt only xcluding lctricity consumption for othr uss (g, offics) in ntwork buildings. For FY12, th accss ntwork transfrrd to Chorus Limitd upon dmrgr is includd in this analysis for th fiv months pr-dmrgr nding 3 Novmbr 211. Chorus consumption post-dmrgr has bn xcludd. 1

Rnwabl Enrgy Elctricity compriss 95 prcnt of Tlcom s nrgy consumption and, whn compard intrnationally, Nw Zaland has on of th clanst lctricity supplis. Combining ths factors, Tlcom has a high proportion of rnwabl nrgy ovrall in its mix. Basd on th avrag rnwabl lctricity gnration mix and on th rnwabl mix in othr aras (nil), Tlcom s proportion of rnwabl nrgy consumd is 7 prcnt. Th graph blow dpicts th annual rnwabl nrgy proportion, which dclins in dry yars. Th high zro/low carbon proportion mans Tlcom has a low carbon profil. In comparison, Vodafon Group and BT sourc 16 prcnt and 41 prcnt rspctivly of thir nrgy rquirmnts from rnwabl fuls. Tlstra has a much lowr rnwabl componnt. Graph 9. Enrgy Consumption from Rnwabl (vs Fossil Ful) Sourcs Graph 1. Emissions from Elctricity Consumption Emissions from Elctricity Consumption 28,798 tonns in FY13 Data Cntrs 8,157 Commrcial 3,1 Data Ntwork 4,958 Fixd Ntwork 5,811 Mobil Ntwork 6,871 29 21 211 212 213 66% 69% 72% 67% 7% In addition, mor than on quartr of ntwork lctricity us is for air conditioning (AC), primarily associatd with cooling at th xchangs to rmov hat gnratd by th quipmnt. Transport quipmnt consums an stimatd 5 prcnt of total ntwork lctricity consumption and Losss (for rctifirs and unintrruptibl powr supply (UPS) quipmnt) consum a furthr 5 prcnt. Ntwork Emissions Intnsity Ntwork lctricity missions wr 6.2 kg pr customr connction. This intnsity indicator improvd this yar, and has rducd by 27 prcnt in continuing oprations in th svn yars sinc th FY6 bas yar...2.4.6.8 1. Rnwabl (Hydro, Gothrmal, Wind tc) Elctricity Dmand & Emissions Coal, Gas & Oil Tlcom uss lctricity for its ntwork (9 prcnt) and commrcial offics (1 prcnt). 12 Elctricity missions in continuing oprations dcrasd this yar, both in th ntwork and in commrcial offic. With a continuous improvmnt in nrgy fficincy, Tlcom has rducd consumption this yar by 7 prcnt driving missions down. Estimatd missions from lctricity usag in continuing oprations wr 28,798 tonns, down from 32,515 tonns last yar. Elctricity missions may b dividd as follows, in scal ordr: data cntrs, 8,157 tonns (29 prcnt) mobil ntwork, 6,871 tonns (24 prcnt) fixd ntwork, 5,811 tonns (2 prcnt) data ntwork, 4,958 tonns (17 prcnt) commrcial offic, 3,1 tonns (1 prcnt). Graph 11. Ntworks Elctricity Emissions pr Customr Connction from 29 to 213 7 6 5 4 3 2 Ntworks Elctricity Emissions Intnsity pr Customr Connction Kilograms (kg) Emissions from th fixd and data ntworks hav rducd significantly following th dmrgr of Chorus. This has incrasd th rlativ importanc of data cntrs and th mobil ntwork in Tlcom s carbon profil. 1 29 21 211 212 213 12 Ntwork covrs lctricity consumption in th fixd ntwork (tlphon lins), mobil ntwork (cllular) and in th data ntwork (communications ntwork transmitting data including broadband) as wll as in data cntrs (facilitis housing information and communication tchnology (ICT) quipmnt). Commrcial covrs lctricity consumption in th lasd ral stat portfolio and in popl spacs in ntwork buildings. Commrcial uss includ corporat/ gnral offic, call cntrs, rtail, ntwork functions and othr. 11

Productivity gains ar apparnt in all thr ntworks th fixd, mobil and data ntworks. Sinc FY6, Tlcom has rducd carbon pr phon call. For th thr graphs 12 to 14, intnsity indicators rprsnt continuing oprations for FY12 and FY13 whil prior yars includ discontinud oprations. Graph 12. Ntworks Elctricity Emissions pr Call Minut Ntworks Elctricity Emissions Intnsitis pr Call Minut Grams (g) of pr Call Minut 7 6 5.8 5.9 6.2 Mobil Ntwork Elctricity Emissions Mobil ntwork mission intnsity pr unit of rvnu has bn dclining. Th carbon intnsity of th mobil ntwork has mor than halvd sinc FY6. Graph 14. Mobil Ntwork Elctricity Emissions pr Rvnu Dollar (millions) from 29 to 213 Mobil Ntwork Elctricity pr $m Rvnu Tonns (t) 15 13.8 5 4 4.2 4. 1 11.3 7.5 1. 7.7 3 3. 2.6 2 2.2 1.6 1.6 5 1 29 21 211 212 213 Fixd Mobil On a pr customr connction basis, ntwork missions intnsity is dclining across th fixd, mobil and data ntworks. Th following graph shows ntwork intnsitis pr customr connction. Th fixd and mobil ntwork intnsitis ar in th low rang of 3 to 4 kg pr customr whil th data ntwork is around 8 kg pr customr. Graph 13. Ntworks Elctricity Emissions Pr Customr 14 12 Ntworks Elctricity Emissions Intnsitis pr Customr Connction Kilograms (kg) of pr Customr 12.1 12. 1.5 29 21 211 212 213 Aftr incrasing in FY12, mobil ntwork lctricity consumption rducd this yar with th dcommissioning of th CDMA ntwork. Commrcial Elctricity Emissions Commrcial offic lctricity consumption, which accounts for 1 prcnt of th total, is around 1,1 kwh pr prson. Elctricity consumption pr prson halvd in FY12. Graph 15. Elctricity Consumption pr Prson Commrcial Offic Elctricity Consumption pr Prson Kilowatt Hours (kwh) 24 1 8.8 18 8.3 8 6.9 6.4 7.8 6 5.9 4 2.7 4.7 4. 12 3.8 4.3 3.7 3.6 6 2 29 21 211 212 213 29 21 211 212 213 Fixd Mobil Data Pr Employ Pr Employ (including Contractors) 12

Tlcom rationalisd its offic spac in Auckland and Wllington to two main buildings constructd with advancd nrgy-saving faturs. Th rsulting rductions in lctricity consumption and missions ar significant as shown in th following graph. Graph 17. Emissions from Disl Consumption Emissions from Disl Tonns of In th yars up until 211, th rduction in missions was mainly drivn by a progrssivly clanr lctricity supply. This is an xcllnt xampl of how Tlcom has takn progrssiv action to improv nvironmntal prformanc and succssfully rduc missions. 16 12 1,97 1,95 1,571 Graph 16. Emissions from Commrcial Offic Elctricity Consumption 8 1,67 773 8 Commrcial Offic Elctricity Emissions Tonns of 4 738 744 656 515 6 29 21 211 212 213 Continuing Oprations Discontinud Oprations 4 2 29 21 211 212 213 Disl gnrators ar primarily a backup powr sourc for mrgncis and ar usually tstd monthly in th larg xchangs. Graph 18. Disl Consumption Disl Consumption Litrs Othr Stationary Enrgy Emissions Othr stationary nrgy accountd for 53 tonns (1.4 prcnt) of Tlcom s missions in FY13. Ths missions wr from disl consumption for on-sit lctricity gnration and natural gas for watr/spac hating. Disl Gnrators Emissions from disl usd for on-sit lctricity gnration during FY13 wr 515 tonns, down 141 tonns or 22 prcnt from FY12. Graph 17 shows this rduction. Ovrall disl missions from continuing oprations wr 15 prcnt lowr in FY13 than in th FY6 bas yar. Th notabl incras in FY11 was du to highr consumption for providing backup ntwork powr in mrgncis including th Cantrbury arthquaks. 6 5 4 3 2 1 29 21 211 212 213 Continuing Oprations Discontinud Oprations Disl accounts for 19 prcnt of Tlcom s dirct (Scop 1) missions. 13

Natural Gas FY13 missions from rticulatd natural gas in continuing oprations wr 15 tonns. Although d minimis for th past two yars, ths ar dirct Scop 1 missions. Discontinud oprations accountd for almost all prior yar missions from natural gas. Graph 19. Emissions from Natural Gas Consumption Graph 2. Gas Consumption by Sit 29 21 Sit Gas Consumption Kilowatt Hours (kwh) 15 Emissions from Natural Gas Consumption Tonns of 134 211 212 12 111 17 213 9 2 4 6 8 6 Continuing Oprations Discontinud Oprations 3 12 29 21 211 212 213 Continuing Oprations 4 Discontinud Oprations 15 S sction on discontinud oprations on pags 26 to 27 and not 4 in accompanying nots to th mission statmnts on pag 33. Tlcom s rticulatd gas consumption in FY13 was for Tlcom Plac, it s Auckland hadquartrs. 14

Transportation Emissions Transportation accountd for 7,131 tonns (19 prcnt) of Tlcom s missions in FY13, including air travl, vhicl flt and othr vhicls. Whil ths ar mostly indirct Scop 3 missions, th vhicl flt accounts for ovr half of Tlcom s dirct missions. Tlcom has rducd transportation missions in continuing oprations by 24 prcnt this yar and by 45 prcnt sinc th FY6 bas yar. Air Travl Emissions Air travl accountd for 5,43 tonns (15 prcnt of total missions), down 1,996 tonns or 27 prcnt. Whil indirct, Tlcom tracks air travl missions du to thir matriality and discrtionary natur. Thy ar classifid as indirct Scop 3 valu chain missions. Around 55 prcnt (2,966 tonns) of missions rlatd to domstic travl, 8 prcnt trans-tasman and 37 prcnt intrnational. Graph 21. Air Travl Emissions Air Travl Emissions Graph 22. Air Travl Emissions Trnd 8 7 6 5 4 3 2 1 7,211 1,76 4,544 Air Travl Emissions Tonns of 29 21 211 212 213 Domstic Air Trans-Tasman Air Graph 23. Air Travl Passngr Kilomtrs (PKMs) 7,166 1,1 3,795 5,487 836 2,35 4,288 529 2,69 2,966 445 2,2 Intrnational Air Air Travl Distancs 16 million Passngr Kilomtrs (PKM) Intrnational 2,2 Domstic 2,966 Trans-Tasman 445 Intrnational 34% Domstic 52% Air travl missions calculations ar basd on total passngr kilomtrs flown. Travl for continuing oprations rducd by 27 prcnt this yar. Domstic, trans-tasman and Intrnational ar down by 27 prcnt,14 prcnt and 28 prcnt rspctivly. Lss travl rsults in lowr missions. Tlcom has rducd travl missions by 41 prcnt sinc th FY6 bas yar drivn by a rduction in travl. Ths rsults ar du to Tlcom s continud focus on cost-fficincy. Trans-Tasman 14% In continuing oprations, Tlcom travllrs flw 16 million kilomtrs in FY13 down 26 prcnt from 21 million last yar. Ovrall in continuing oprations, air travl is 39 prcnt blow FY6 lvls rprsnting a 4 kilotonn rduction in Scop 3 valu chain missions. 15

Graph 24. Air Travl Costs 16 12 8 Air Travl Costs $m Domstic and Trans-Tasman In FY13 domstic flights totalld 8 million kilomtrs rsulting in 2,966 tonns of missions, whil trans-tasman flights totalld 2.2 million kilomtrs and 445 tonns. Australasian travl missions rducd by 1,47 tonns this yar. Graph 26. Air Travl Emissions 25 Domstic & Trans-Tasman Air Travl Distanc Passngr Kilomtrs (PKMs) (millions) 4 2 15 29 21 211 212 213 Domstic Air Intrnational Air Discontinud Oprations 1 With lss ovrall air travl again this yar, costs in continuing oprations wr down a furthr 37 prcnt. 13 Tlcom is rducing its costs and missions in stp. Intrnational 5 29 21 211 212 213 Domstic Air Trans-Tasman Air Intrnational travl accounts for 2,2 tonns (5.4 prcnt of Tlcom s total missions). Intrnational air travl rducd by 28 prcnt this yar rducing mission flows by 589 tonns. Graph 25. Intrnational Air Travl Distanc 14 Intrnational Air Travl Distanc Passngr Kilomtrs (PKMs) (millions) Vhicl Flt Emissions 14 Vhicls accountd for 1,55 tonns (4 prcnt) of Tlcom s missions from continuing oprations in FY13. Emissions wr down 14 prcnt or 242 tonns this yar, and wr lss than half th FY6 lvl. Vhicl flt missions compris 56 prcnt of Tlcom s dirct missions. Graph 27. Vhicl Flt Emissions 12 1 8 3 25 Vhicl Flt Emissions in tonns 6 2 4 2 15 1 29 21 211 212 213 5 29 21 211 212 213 Continuing Oprations Discontinud Oprations 13 Air travl costs allocatd to discontinud oprations for 29 and 21 wr backcast figurs basd on th 211 split. 14 Vhicl data in discontinud oprations xcluds th outsourcd Chorus srvic providr flt. 16

Sinc FY6 ful consumption in continuing oprations has rducd by mor than 5, litrs. Tlcom has 35 cars in th flt down from 383 in FY12 (in continuing oprations). With th shift to smallr vhicls and th ongoing focus on flt fficincy and costs, ful conomy continus to stadily improv and flt ful consumption dclins. Graph 28. Ful Consumption (Litrs) Graph 29. Othr Vhicl Emissions 5 4 Othr Vhicl Emissions in tonns 1.2 Ful Consumption Litrs (millions) 3 2 1. 1.8.6 29 21 211 212 213 Taxis Rntal Cars Privat Cars.4.2. 29 21 211 212 213 Rgular Prmium Disl In this cas rducd ful us has rsultd in cost savings and in rducd missions. Anothr xampl of nvironmntal bnfits achivd from oprational fficincy improvmnts is taxis and rntal cars. Taxis, Rntal Cars and Privat Car Us Othr non-flt vhicls (taxis, rntal cars and privat cars) accountd for 151 tonns (.4 prcnt) of Tlcom s missions in FY13, down 36 tonns or 19 prcnt on FY12 missions in continuing oprations. Ths ar catgorisd as indirct Scop 3 valu chain missions. Tlcom rducd taxi us in continuing oprations by 2 prcnt this yar. Tlcom has mor than halvd missions from taxi us in continuing oprations sinc th FY6 bas yar. Drivn mainly by rductions in air travl, Tlcom has rducd taxi us considrably in rcnt yars and taxis now compris lss than half of ths othr vhicl missions. On of Tlcom s taxi companis, Grn Cabs, is a carbon nutral supplir that offsts its missions via tr planting. 15 Sinc FY9 in continuing oprations, othr vhicl missions hav stadily dclind rducing in total by two thirds. Emission calculations ar basd on kilomtrs drivn, although a highr mission factor is applid for taxis. Graph 3. Othr Vhicl Kilomtrs Travlld (VKT) 16 12 8 4 Othr Vhicl Kilomtrs Travlld (VKTs) 567, Kilomtrs 29 21 211 212 Taxis Rntal Cars Privat Cars 213 Total VKTs in continuing oprations dclind by 19 prcnt to 567, kilomtrs. Tlcom also rducd rntal car us by 22 prcnt this yar with a comnsurat rduction in missions. 15 To b consrvativ, Tlcom has not rcordd ths offsts in its mission statmnts. Rfr Emission Rmovals on pag 2. 17

Othr Sourcs Emissions from Wast Tlcom s missions from wast to landfill during FY13 wr 38 tonns of (1 prcnt of total), up 134 tonns or 54 prcnt (in continuing oprations). Graph 31. Emissions from Wast to Landfill This yar shows an incras in wast to landfill pr staff mmbr. Tlcom staff rcycld around 2 kilograms pr prson monthly. Shown monthly, th amount of wast to landfill has incrasd to around 4 kilograms pr prson. Graph 33. Avrag Monthly Wast pr Prson ovr Fiv Yars 4 Emissions from Wast to Landfill Tonns of 5 Avrag Monthly Wast pr Prson Kilograms (kg) 4 3 3 2 2 1 1 29 21 211 212 213 29 21 211 212 213 Continuing Oprations Discontinud Oprations Wast to Landfill Graph 34. Monthly Wast pr Prson Rcycling Tlcom has rducd wast lvls although this yar landfill wast incrasd with lss rcycling as Graph 32 shows. Graph 32. Wast Lvls 5 Monthly Wast pr Prson 29 to 213 Kilograms (kg) 6 Wast Lvls Tonns (t) 4 3 5 4 266 272 259 2 1 3 145 115 Sp-8 Dc-8 Mar-9 Jun-9 Sp-9 Dc-9 Mar-1 Jun-1 Sp-1 Dc-1 Mar-11 Jun-11 Sp-11 Dc-11 Mar-12 Jun-12 Sp-12 Dc-12 Mar-13 Jun-13 2 1 239 246 195 179 159 Wast to Landfill Rcycling 29 21 211 212 213 Wast to Landfill Rcycling 18

Th following graph shows th proportion of annual rcycling vrsus wast to landfill. Th lowr proportion of rcycling in FY13 has mant mor wast has gon to landfill, driving up missions. Tlcom is invstigating th caus of this rcnt rvrsal with it s supplir, Transpacific Wast Managmnt, and is making oprational changs that will improv spration at th point of collction to incras th lvl of rcycling. Graph 35. Rcycling Lvls Graph 36. Emissions from Rfrigrant 2 15 Emissions from Rfrigrant Losss Tonns (t) 1 Rcycling Proportion % 53 58 59 48 32 1 5 5 47 42 41 29 21 211 212 213 Wast to Landfill Rcycling Whil only 1 prcnt of total missions, givn th organisation s siz, Tlcom s stimatd annual wast is nvrthlss quivalnt to that of 34 housholds. 16 Rfrigrant Emissions Tlcom s missions from rfrigrants wr 65 tonns of (1.7 prcnt of th total), down 727 tonns on last yar in continuing oprations. Rfrigrant missions wr on quartr of dirct (Scop 1) missions this yar. Rfrigrant missions mor than halvd in FY13 and wr back on-trnd following last yar s abov avrag lakag rats. Th spik in FY12 was du to R-22 rquird to kp aging chillr plant oprational at Mayoral Driv. Sinc FY6, th us of R-22 has rlatd solly to losss from xisting systms du to pip fracturs, corrosion, th failur of a sal or fitting, or similar vnts. As wll as contributing to carbon missions, R-22 contributs to ozon dpltion. Undr th Montral Protocol, th supply of nw R-22 will cas in Nw Zaland in 215. Tlcom plans to phas out R-22-basd plant by 217. 52 68 29 21 211 212 213 R22 R47C R41a R134a Discontinud Oprations In FY13 half of missions wr from R-22 and half wr from nwr ozon-frindly rfrigrants: 37 prcnt of missions wr from R134a, 1 prcnt from R41a, and 2 prcnt from R47C. This yar for th first tim, Tlcom rquird mor rchargs of ozon-frindly rfrigrants than R-22. Graph 37. Rfrigrant Rchargs by Typ 29 21 211 212 213 Rfrigrant Rchargs Kilograms (kg) 2 4 6 8 1 R-22 R134a R47C R41a Tlcom uss rfrigrants in air conditioning quipmnt installd in xchang buildings and in th mobil ntwork. 16 Wast lvls contain modlld srtimats which may rsult in som inaccuracis. S sction on Data Accuracy in Not 1 on pag 3. With th nw rporting implmntd by Transpacific Wast Managmnt in FY12, prior yar data may not b dirctly comparabl. -Wast has bn xcludd to dat. Tlcom rcycls -Wast, including for xampl old mobil phons, and is improving th scal and adquacy of its disposal and rcycling fforts. 19

Emission Rmovals Tlcom has no matrial carbon sinks and/or carbon crdits to offst its missions. Although not rcordd in th Emission statmnts, Tlcom uss Grn Cabs, a carbon-nutral supplir that offsts its missions via tr planting. 2

Sgmntal Rporting Gn-i rducd missions and Tlcom rducd ntwork missions in FY13: Gn-i s FY13 missions rducd by 926 tonns or 1 prcnt to 8,425 tonns. Gn-i was rsponsibl for 22 prcnt of Tlcom s missions in continuing oprations, and Ntwork missions rducd by 4,41 tonns or 14 prcnt in FY13. Th ntwork is rsponsibl for around 72 prcnt of Tlcom s missions in continuing oprations. Around 14 prcnt of Tlcom s missions ar attributabl to third partis. Tlhousing srvics providd for customrs in Gn-i s data cntrs account for 4 kilotonns- or 12 prcnt of Tlcom s carbon footprint in continuing oprations, a dcras on last yar. Additionally, Tlcom provids colocation srvics and houss third partis quipmnt in its facilitis, including buildings and th cllular ntwork. Tlcom stimats th lctricity consumption and rlatd missions of this quipmnt. Third party accss skrs ar rsponsibl for around 4 prcnt of th ntwork s lctricity consumption and approximatly 2 prcnt of Tlcom s carbon footprint. Colocation of third party quipmnt accounts for a much smallr amount. Th analysis of Gn-i s and th ntwork s carbon footprints follows. Modlld stimats ar applid whr activity lvl data ar not radily availabl in th dtail rquird for dirct masurmnt. Th mthod for prparing Gn-i s mission statmnt is as follows: Elctricity Ntwork Elctricity Commrcial Offic Othr Stationary Enrgy Air Travl Vhicls Rfrigrant Othr Emissions Gn-i Sgmnt Estimatd lctricity consumption in data cntrs applying th Opus lctricity modl; allocatd othr lctricity consumption lin itms attributabl to data cntrs on a pro-rata basis Allocatd commrcial offic lctricity consumption on basis of numbr of full-tim staff Attributd basd on Gn-i s portion of Tlcom s lctricity consumption in th rlvant facilitis Us actual activity data Us actual consumption data by vhicl/transaction Attributd basd on portion of Tlcom s lctricity consumption Attributd basd on th numbr of full-tim mploys on a pro-rata basis 21

Gn-i s Emissions Th Gn-i sgmnt is rsponsibl for 22 prcnt of Tlcom s missions. For th yar ndd 3 Jun 213, Gn-i s missions wr 8,425 tonns of -quivalnt ( ), down 1 prcnt from FY12. Th tabl blow shows th major sourcs of missions for Gn-i ar lctricity, air travl and th vhicl flt. Gn-i has rducd missions in all catgoris xcpt wast this yar. Tabl 3. Summary of Gn-i s 213 Grnhous Gas Emissions (tonns- ) Ntwork Elctricity - Data Cntrs Commrcial Offic Elctricity Elctricity Emissions 213 212 211 21 29 4,361 52% 4,681 3,912 3,933 3,517 993 12% 1,95 1,74 2,217 2,639 5,354 64% 5,776 5,616 6,15 6,156 Air Travl 1,626 19% 1,829 1,989 3,51 3,761 Vhicl 1,5 12% 1,19 1,354 1,743 1,848 Flt Rfrigrant 121 1% 284 163 19 21 Othr 274 4% 272 458 434 474 Total 8,425 9,351 9,58 11,568 12,449 Gn-i has rducd it s missions ach yar sinc FY9 achiving rductions in vry sourc. Almost two thirds of Gn-i s missions wr from lctricity. Sinc FY9, a 24 prcnt incras in data cntr missions has bn mor than offst by lowr commrcial offic missions. Approximatly 14 prcnt of Gn-i s missions wr dirct and mainly owing to th vhicl flt. Gn-i was rsponsibl for 46 prcnt of Tlcom s dirct (Scop 1) missions. Indirct Scop 3 valu chain missions comprisd 29 prcnt. Graph 38. Gn-i Carbon Emissions in 213 Gn-i s Emission Sourcs 8,425 Tonns of Travl 19% Vhicl Flt 12% Offics 12% Othr 5% Data Cntrs 52% 22

Elctricity Emissions Elctricity accountd for 5,354 tonns (64 prcnt) of Gn-i s FY13 missions, with a 8:2 split btwn data cntrs and commrcial offic. Elctricity missions rducd by 7 prcnt with lss carbon-intnsiv grid supply and lowr consumption. Graph 39. Gn-i Carbon Emissions from Elctricity Consumption Gn-i Emissions from Elctricity Tonns of Gn-i s domstic travl was down 21 prcnt this yar whil both Intrnational and Trans-Tasman incrasd 5 prcnt. Gn-i accountd for around two thirds of Tlcom s Trans- Tasman travl and 3 prcnt of th travl ovrall. Vhicl Flt Emissions Th vhicl flt accountd for 1,5 tonns (12 prcnt) of Gn-i s missions in FY13, down 14 tonns. Gn-i s ful consumption was 42, litrs or about 68 prcnt of Tlcom s total consumption. Gn-i s vhicl flt missions wr 41 prcnt of Tlcom s dirct missions. Rfrigrant Emissions Offics 993 Rfrigrant missions wr 121 tonns (1 prcnt) of Gn-i s missions in FY13, down 163 tonns. Gn-i accountd for around 19 prcnt of Tlcom s total rfrigrant lakag. Othr Emissions Data Cntrs 4,361 Gn-i s lctricity consumption in data cntrs was 25 GWh, down 1.6 prcnt from last yar. Elctricity consumption in offics was 6 GWh, down 4 prcnt. Air Travl Emissions Air travl accountd for 1,626 tonns (19 prcnt) of Gn-i s missions in FY13, down 23 tonns or 11 prcnt on last yar. Graph 4. Gn-i s Air Travl Emissions Gn-i Air Travl Emissions Tonns of Othr mission sourcs of 274 tonns includ othr stationary nrgy, othr vhicls and wast to landfill. Othr stationary nrgy accountd for 99 tonns (1 prcnt) of Gn-i s missions in FY13, a rduction of 23 tonns. Ths missions rlatd mainly to disl consumption for on-sit lctricity gnration as wll as som natural gas for offics. Disl consumption spikd in FY11 du to th Cantrbury arthquaks. Othr vhicls (taxis and rntal cars) accountd for 5 tonns in FY13, down 17 tonns. Gn-i s missions from wast to landfill during FY13 wr 125 tonns of, up 42 tonns offstting th rductions achivd in stationary nrgy and othr vhicls. Graph 41. Emissions from Othr Sourcs Othr Emission Sourcs Tonns of 3 Intrnational 523 Domstic 82 25 2 15 1 Trans-Tasman 284 5 29 21 211 212 213 Domstic travl was rsponsibl for on half of th missions, intrnational on third, and Trans-Tasman 17 prcnt. Stationary Enrgy Othr Vhicls Wast 23

Gn-i Emission Statmnt Tlcom Corporation of Nw Zaland Limitd Gn-i Nw Zaland Businss Statmnt of Grnhous Gas Emissions For th yars ndd 3 Jun 213 and 212 Grnhous Gas (GHG) Emissions & Rmovals Yar ndd 3 Jun Emissions in tonns of -Equivalnts ( ) t- % of total 213 212 Dirct Scop 1 Indirct Elctricity Scop 2 Valu Chain Scop 3 t- Stationary Enrgy Emissions Grid Elctricity: Ntwork Elctricity 4 361 52% 3 895 466 4 681 Commrcial Elctricity 993 12% 887 16 1 95 Total Elctricity Emissions 5 354 64% 4 782 572 5 776 Disl On-sit 96 1% 9 6 116 Natural Gas 3 % 3 6 Total Stationary Enrgy Emissions 5 453 65% 93 4 782 578 5 898 Transportation Emissions Air Travl 1 626 19% 1 626 1 829 Vhicl Flt 1 5 12% 984 66 1 19 Rntal Cars & Taxis 5 1% 5 67 Total Transport Emissions 2 726 32% 984 1 742 3 86 Othr Emissions Wast 125 2% 125 83 Rfrigrant 121 1% 121 284 Total Othr Emissions 246 3% 121 125 367 Gross Emissions 8 425 1 198 4 782 2 445 9 351 lss Emission Rmovals Carbon Sinks - - - Nt Emissions 8 425 1 198 4 782 2 445 9 351 24

Ntwork Emissions Th ntwork was rsponsibl for 72 prcnt of Tlcom s missions in FY13. For th yar nding 3 Jun 213, ntwork missions wr 26,977 tonns of, down 4,41 tonns or 14% on FY12 in continuing oprations. Th following tabl shows all major mission sourcs dcrasd from FY12: Tabl 4. Fiv Yar Summary of Ntwork Emissions (tonns ) Elctricity us had bn growing by around 5 prcnt pr annum, and by FY12 had incrasd in total by 31 prcnt sinc FY6. Until FY11 dclining national lctricity mission factors (s Graph 8) had mor than offst ths incrass in consumption rsulting in ovrall dclining missions. Graph 42. Ntwork Emissions for th Fiv Yars from 29 to 213 213 212 211 21 29 Continuing Oprations: Elctricity 25,797 29,345 21,232 24,153 26,87 Disl 515 656 1,67 744 738 Natural Gas 15 - - - 12 Rfrigrant 65 1,377 721 872 1,76 - continuing 26,977 31,378 23,2 25,768 28,634 oprations - discontinud - 6,341 11,116 12,165 13,913 oprations Total Ntwork 26,977 37,719 34,136 37,933 42,547 5 4 3 2 Ntwork Emissions Tonns of Tlcom s ntwork mission flows this yar show a 7 kilotonn (or 2 prcnt) rduction on FY6 bas yar missions in continuing oprations. Elctricity missions rducd this yar with lowr consumption and a lss carbon-intnsiv grid. Ntwork lctricity consumption in continuing oprations rducd by 7 prcnt this yar rvrsing an upward trnd. 1 Elctricity 29 21 211 212 213 Disl Natural Gas Rfrigrant Discontinud Oprations Cumulativ ntwork mission flows show Tlcom has savd 39 kilotonns sinc th FY6 bas yar. 25

Discontinud Oprations Discontinud oprations sinc th FY6 bas yar includ th Dmrgr of Chorus which was ffctiv from 1 Dcmbr 211 and Yllow Pags which Tlcom sold during FY7. Chorus rsults to 3 Novmbr 211 as a discontinud opration and comparativs ar shown sparatly from Tlcom s continuing oprations. Similarly, Yllow Pags FY6 and FY7 rsults hav bn sparatd out. Th discontinud opration rsults for th priods prsntd in th Emission Statmnts appar on th nxt pag. Th tabl shows a summary of missions from discontinud oprations for th two yars shown in th Emission Statmnts (212 and 211) and for th FY6 bas yar: Tabl 5. Summary of Grnhous Gas Emissions from Discontinud Oprations for 212, 211 and th Bas Yar (tonns ) 212 211 FY6 Bas Yar Ntwork Elctricity 5,82 1,165 16,57 Commrcial Elctricity 17 186 32 Elctricity Emissions 5,99 1,351 16,827 Air Travl 42 1,12 1,663 Rfrigrant 382 34 739 Vhicl Flt 135 298 93 Disl 117 54 292 Othr 55 15 141 in Discontinud Oprations 7, 12,655 2,592 Th mission flows from discontinud oprations wr: Tabl 6. Emission Flows from Discontinud Oprations 213 212 Dirct Scop 1 Emission Flows (658) (54) Indirct Scop 2 Elctricity Emission Flows (5,28) (3,856) Indirct Scop 3 Valu Chain Emission Flows (1,62) (1,259) Flows from Discontinud Oprations (7,) (5,655) In gnral, nt mission flows from discontinud oprations contributd to carbon rductions across all thr scops with indirct Scop 2 lctricity missions dominating most yars. From th FY6 bas yar to 212, mission flows from discontinud oprations show cumulativ rductions of 37 kilotonns. This contributd on half of Tlcom s total rductions in missions achivd, including 41 prcnt of th dirct missions rductions. For th fiv months ndd 3 Novmbr 211, missions from discontinud oprations rlating to Chorus wr 7, tonns of -quivalnt ( ). From th FY6 bas yar to dat, annual missions from discontinud oprations hav avragd around 23 prcnt of total missions or 17 kilotonns in total. Oprations transfrrd to Chorus upon Dmrgr wr rsponsibl for 97 prcnt of ths and Yllow Pags, th rmaining 3 kilotonns. Th Dmrgr of Chorus has rducd Tlcom s missions by almost on quartr. Th vast majority (84 prcnt) of missions from discontinud oprations wr from ntwork lctricity consumption. Givn th dominanc of lctricity missions and th ongoing dclin in carbon intnsity of lctricity supply from th FY6 bas yar to FY11, annual missions from discontinud oprations continually rducd. FY12 missions wr for a fiv month priod pr-dmrgr and show a furthr rduction. Ths mission rductions ar rflctd in ngativ mission flows. 26

Discontinud Oprations Emission Statmnt Tlcom Corporation of Nw Zaland Limitd Nw Zaland Businss Discontinud Oprations Statmnt of Grnhous Gas Emissions For th Fiv Months ndd 3 Novmbr 211 and for th Yar ndd 3 Jun 211 Grnhous Gas (GHG) Emissions & Rmovals Yar ndd 3 Jun S accompanying nots to th mission statmnts. Emissions in tonns of -Equivalnts ( ) Nots t- % of total 212 211 Dirct Scop 1 Indirct Elctricity Scop 2 Valu Chain Scop 3 t-co2 Discontinud Oprations: Stationary Enrgy Emissions Grid Elctricity: Ntwork Elctricity 2 5 82 82.9% 5 185 617 1 165 Commrcial Elctricity 2 17 1.5% 95 12 186 Total Elctricity Emissions 5 99 84.4% 5 28 629 1 351 Disl - On sit 3 117 1.7% 19 8 54 Natural Gas 4 4.6% 4 17 Total Stationary Enrgy Emissions 6 66 86.7% 149 5 28 637 1 962 Transportation Emissions Air Travl 5 42 5.7% 42 1 12 Vhicl Flt 6 135 1.9% 127 8 298 Rntal Cars & Taxis 7 12.2% 12 33 Total Transport Emissions 549 7.8% 127 422 1 343 Othr Emissions Wast 8 3.% 3 1 Rfrigrant 9 382 5.4% 382 34 Total Othr Emissions 385 5.5% 382 3 35 Gross Emissions from Discontinud Oprations 7 658 5 28 1 62 12 655 lss Emission Rmovals Carbon Sinks p2 - - - Nt Emissions from Discontinud Oprations 7 658 5 28 1 62 12 655 27

Nots to th Emission Statmnts Introduction To dvlop Tlcom s carbon profil for th svnth rporting yar, intrnational bst practic in grnhous gas (GHG) missions accounting and rporting has bn applid. ISO 1464 standards-compliant GHG missions data has bn collatd gnrally in accordanc with th Ministry for th Environmnt s Guidanc for Voluntary, Corporat GHG Rporting (212) 17. Application of ISO 1464 ISO 1464-1 is th main standard applid. This standard contains information on th quantification and rporting of GHG missions at th organisational lvl and incorporats many of th rquirmnts containd in th Grnhous Gas (GHG) Protocol. Th ISO 1464 standard for grnhous gas accounting and vrification, publishd on 1 March 26 by ISO, provids Govrnmnt and industry with an intgratd st of tools for programms aimd at rducing grnhous gas missions, as wll as for missions trading. Implmnting ISO 1464 is intndd to achiv th following bnfits: promot consistncy, transparncy and crdibility in GHG quantification, monitoring, rporting and vrification nabl organisations to idntify and manag GHGrlatd liabilitis, assts and risks facilitat th trad of GHG allowancs or crdits, support th dsign, dvlopmnt and implmntation of comparabl and consistnt GHG schms or programms. ISO 1464-1 is on of thr parts of ISO 1464 rspctivly dtailing spcifications and guidanc for th organisational and projct lvls and for validation and vrification. Thy can b usd indpndntly, or as an intgratd suit of tools, to mt th varid nds of GHG accounting and vrification. Th thr parts of ISO 1464 ar: ISO 1464-1:26 Grnhous gass Part 1: Organisational Lvl Spcification with guidanc at th organisation lvl for th quantification and rporting of grnhous gas missions and rmovals. ISO 1464-2:26 Grnhous gass Part 2: Projct Lvl Spcification with guidanc at th projct lvl for th quantification, monitoring and rporting of grnhous gas mission rductions and rmoval nhancmnts. ISO 1464-3:26 Grnhous gass Part 3: Vrification Spcification with guidanc for th validation and vrification of grnhous gas assrtions. Covc Limitd has pr rviwd th mission statmnts of Tlcom Corporation s Nw Zaland businss for th yar ndd 3 Jun 213. Th pr rviw scop includd a rviw of th supporting calculations and nots to th mission statmnts (containd hrin). Th pr rviw xcludd a rviw of th carbon accounting rcords and of application of Part 3 and as such nithr validats nor vrifis assrtions mad. Tlcom is compliant with Part 1 and continuously improvs its mission masurmnt systms and rporting. In futur, xtra stps could b takn to validat and/or vrify th mission statmnts in accordanc with Part 3. Tlcom may also choos to apply Part 2 to proprly account for projcts that rduc missions and to arn carbon crdits. Not 1 Statmnt of Carbon Accounting Policis Basis of Prparation Th Emission statmnts hav bn prpard in accordanc 18 with ISO 1464-1 26, which rquirs complianc with grnhous gas (GHG) programms and is consistnt with th GHG Protocol. In prparing th statmnts, Tlcom has applid Guidanc for Voluntary Corporat GHG Rporting, Ministry for th Environmnt (212). Masurmnt Basis Th statmnts ar xprssd in mtric tonns (t) of carbon dioxid quivalnt ( -). Rfrncs to missions ar in tonns. Th quantity of ach typ of GHG has bn convrtd to tonns of using appropriat Global Warming Potntials (GWPs). 19 Th mission statmnts hav bn prpard in gnral at th aggrgat lvl. Tlcom has analysd spcific individual grnhous gass, which compris mission factors but has not prsntd ths rsults as it asssss this lvl of dtail to b non-ssntial. 17 Th Ministry for th Environmnt has publishd six annual guidanc documnts for th yars 26 to 211. 18 Sinc 29, Tlcom has complid with th standard with th xcption of collating facility-lvl data, which is lss rlvant to a tlcommunications company oprating a ntwork that compriss many thousands of sits of various siz. Tlcom dos, howvr, collat mission data for th major sits. 19 CO2 has a GWP of 1. 28

Organisational and Oprational Profiling Scop Tlcom s main bas of oprations is Nw Zaland but it has subsidiary and associat companis and oprations in multipl countris. Tlcom s main prsnc ovrsas is in Australia. Tlcom also has significant outsourcd oprations in Nw Zaland. Th scop of missions profiling hrin is Tlcom s Nw Zaland businss xcluding outsourcd oprations. Tlcom s Australian businss (including AAPT) is also xcludd from th scop of this rport. Th profiling containd in this rport is gnrally at th Nw Zaland group lvl. Emissions hav bn disaggrgatd furthr by sgmnt for Gn-i and th Ntwork. Most data can b disaggrgatd as ncssary to mt futur rporting nds (g, to rfin and provid furthr dtail on th profil). Tlcom provids co-location srvics to customrs. Emissions rlating to co-location srvics ar includd in th mission statmnts for prudnc. In futur, such missions may instad b dirctly attributabl to customrs and thrfor xcludd. 2 Th sam applis to lctricity consumption in Gn-i data cntrs. Rporting Priod To align GHG missions rporting with financial rporting, Tlcom s mission statmnts hav bn prpard for fiscal yars nding 3 Jun. All missions stimats ar for amounts of mittd during th yar attributabl to Tlcom. Onc mittd, som missions (such as hydrochloroflourocarbon HCFCs from rfrigrant) rmain in th atmosphr for many yars and vn cnturis. Th long-trm impact of annual grnhous gas missions on thir accumulation in th atmosphr (which is undrstood to b causing climat chang) is byond th scop of this rport. Som account of this long-trm impact is implid in th mission factors for non- gass, such as HCFCs rflctd in GWPs. Tlcom has rstatd missions for prior yars whr it has rvisd mission factor stimats. Thrfor missions will vary from thos prviously rportd. For xampl, Govrnmnt has rlasd rvisd backcast lctricity mission factors and it rlass guidanc for corporat rporting for th calndar yar in th following yar. Tlcom rcalculats its carbon profil for prior yars basd on this nw guidanc. Rstatmnt nabls improvd intr-priod comparability and trnd analysis. Tlcom has annual GHG invntory data from a FY6 bas yar, and mission trnd data for most sourcs back to FY3. Virtually all xpnditur casts a carbon shadow, howvr, only th mor dirct missions ar includd in th mission statmnts. Dirct Emissions Rcognition Dirct missions (rfrrd to as Scop 1 undr th GHG Protocol) ar thos from sourcs ownd or controlld by Tlcom. Ths sourcs includ: Elctricity and hat gnration: Tlcom gnrats its own lctricity from disl gnrators for th ntwork and gnrats hat from rticulatd natural gas consumption Transportation: transportation missions includd ar thos from th ownd vhicl flt 21 Fugitiv missions: fugitiv missions includd ar thos from rfrigrant lakag from R22, R134a, R47C and R41a-basd air conditioning systms usd to maintain th appropriat nvironmnt for ntwork quipmnt in xchangs and cll sits. Th majority of dirct missions from lctricity and hat and from transportation ar carbon dioxid ( ). Fugitiv missions includ gass such as hydrochloroflourocarbon (HCFC), CHC1F 2, (s pag 38), which ar matrial to dirct missions. Whil Tlcom can control its dirct missions, it can also hav a dgr of control ovr its indirct missions and so rcogniss ths in its profil. Indirct Emissions Rcognition Indirct missions hav bn dividd into Scop 2 and 3 in accordanc with th GHG Protocol. Scop 2 missions, which includ missions associatd with purchasd lctricity, hav bn accountd for as thy ar th largst sourc of GHG missions for Tlcom. Thy ar also th most significant long-trm opportunity to rduc absolut missions. Scop 3 missions ar includd or xcludd at Tlcom s discrtion. Scop 3 missions includ: mploy businss travl; production of vhicl fuls and disl (as an add-on to missions from ful usd by th vhicl flt and by standby disl gnrators); missions from rntal cars, taxis and prsonal cars (via xpns claims); and missions from wast to landfill. Th mor rmot indirct sourcs hav bn xcludd from Tlcom s carbon profil. Tlcom has xcludd th following sourcs from its profil: outsourcd supplirs missions, including Chorus (post-dmrgr), Transfild and Downr. gnrally, missions from mor rmot indirct sourcs along th supply chain. An xampl is contractors missions; whil contractors businsss hav associatd missions, thy ar on-stp rmovd in th supply chain 2 Tlcom dos not mak adjustmnts (i, rduc th profil) for missions associatd with co-location srvics and accss skrs. In 212, ths wr stimatd to compris around 1-2 prcnt of total missions. 21 Post-Dmrgr missions from Chorus such as thos from its outsourcd flt ar xcludd from th profil. It is at Tlcom s discrtion to includ this mission sourc as ths ar indirct Scop 3 missions outsid Tlcom s dirct control. 29

missions from th manufactur of itms purchasd undr oprating xpnditur. Ths hav bn xcludd for th sam rason. For xampl, HFC-23, a grnhous gas with a vry high GWP (of 14,8) is rlasd during th manufactur of R22, prsntly Tlcom s primary rfrigrant missions from th manufactur of itms purchasd undr capital xpnditur. Ths hav bn xcludd for th sam rason. Th mbodid nrgy in lctronic quipmnt purchasd is an xampl Emissions from mploys commuting to/from work. Ths hav bn xcludd as ths ar tratd as prsonal xpnss. Emission Flow Statmnts Emission flows ar th changs rprsnting th annual incrass and dcrass in GHG missions. Th marginal mission flow statmnt masurs changs in missions applying a marginal lctricity mission factor. S not 1 pag 39. Us of Estimats and Judgmnts Crtain stimats and judgmnts hav bn mad in arriving at Tlcom s carbon profil. This is rquird for th prparation of mission statmnts. Th amounts of missions during th rporting yar ar stimatd basd on activity lvls, gnrally nrgy-rlatd, and mission factors. Both ths componnts ar subjct to uncrtainty; scintific and masurmnt. Actual amounts may diffr to th stimats prsntd. Th principal aras of judgmnt ar laid out blow: Enrgy Activity Lvls Tlcom prforms assssmnts of its annual nrgy-rlatd missions basd on stimats of nrgy consumption by catgory and sourc. Tlcom stimats nrgy consumption for lctricity, fuls usd in stationary nrgy and vhicl fuls. For air travl, Tlcom stimats th distanc travlld and th implid airlin ful consumd could b drivd from th rsults of th missions calculations if ncssary. Th vast majority of Tlcom s missions ar nrgy-rlatd. Othr Activity Lvls Tlcom prforms assssmnts of its annual non-nrgy missions basd on stimats of volums in wight of both wast to landfill and rfrigrant lakag. For wast, Tlcom-wid stimats ar xtrapolatd basd on numbrs of mploys from wast rcycling volum data gathrd at a limitd numbr of larg offic sits. For rfrigrant, Tlcom stimats th amount of lakag basd on stimats of annual rchargs. Emission Factors Tlcom applis publicly availabl annual mission factors for lctricity, fuls usd in stationary nrgy, air passngr kilomtrs (pkm) travlld, vhicl fuls, landfill wast and rfrigrant. Tlcom applis nrgy-rlatd mission factors pr unit of nrgy consumption (in litrs of liquid fuls; and kilowatt hours (kwh) of lctricity and gas). Air travl mission factors applid ar pr pkm. Wast and rfrigrant mission factors applid ar pr unit of wight. Data Accuracy Masurmnt uncrtainty affcts th accuracy of rportd GHG mission data via th quality of undrlying activity paramtr and mission factor data. Th main influncrs of accuracy for Tlcom s missions ar lctricity and air travl mission factors. Elctricity mission factor paramtr data inaccuracis affct total missions by +/- 15 prcnt. Air travl mission factor paramtr data inaccuracis hav not bn quantifid but may b significant. HCFC GWP inaccuracis ar subjct to rror of +/- 2 prcnt and affct total missions by.8 prcnt and Scop 1 missions by 8 prcnt. Activity paramtr data inaccuracis affct total GHG missions by +/- 15 prcnt. Unmtrd lctricity sits including payphons and cabints. Consumption is stimatd; ths sit stimats compris around 3 prcnt of th total lctricity consumption. Othr vhicls (rntal cars, taxis and privat cars). Assumptions ar mad basd on avrag vhicl consumption rats by catgory. Wast from commrcial offic facilitis outsid th rcycling programm (< 25 prcnt). Activity data is xtrapolatd from rcycling sit data, including actual wight of wast rmovd. In gnral, Tlcom is prudnt in prparing its mission statmnts. In applying stimats and judgmnts, Tlcom rrs on th high sid, which may in som cass lad to an ovrstatmnt of missions and undrstatmnt of carbon crdits/offsts. Rporting Transparncy Transparncy is a hallmark of bst practic carbon accounting. 22 To nabl futur rcalculation of missions for prior priod adjustmnts (as ncssary) and to adjust for changs in climat chang scinc, activity drivrs, mission factors and othr undrpinning assumptions ar transparntly prsntd. 22 Each judgmnt and stimat can b confirmd. 3

Not 2 Emissions from Elctricity Yar ndd 3 Jun Unit 213 P 212 P 211 21 29 Elctricity Consumption Continuing Oprations Consumption kwh 161,789,583 172,952,274 18,152,35 176,31,466 168,12,87 Discontinud Oprations Consumption kwh - 31,429,776 71,384,299 67,234,446 65,272,546 Total Elctricity Consumption 23 kwh 161,789,583 24,382,5 251,536,334 243,544,912 233,374,633 Elctricity Emission Factors 24 g- /kwh Elctricity Gnration grams 159 168 128 154 18 Transmission & Distribution Lin Losss P grams 19 2 17 17 21 Elctricity Consumption grams 178 188 145 171 21 Elctricity Emissions Gnration tonns 25,724 29,56 23,59 27,152 3,258 Transmission & Distribution Lin Losss tonns 3,74 3,459 3,63 2,997 3,53 Emissions - Continuing Oprations tonns 28,798 32,515 26,122 3,149 33,788 Emissions - Discontinud Oprations tonns - 5,99 1,351 11,497 13,12 Total Elctricity Emissions tonns 28,798 38,424 36,473 41,646 46,98 Elctricity Consumption Tlcom has stimatd lctricity consumption with allocations basd on modlld invoic data. 23 Thr broad classs of lctricity consumption data analysd ar: half hourly, non-half hourly (NHH) and unmtrd. Half hourly mtring is mployd in th largr sits, including th major xchangs. NHH consumption is invoicd by th supplir monthly typically basd on manual mtr radings and stimats in altrnat months. Consumption by unmtrd payphons and cabints ar stimatd basd on th numbr of units at an avrag consumption lvl. Commrcial lctricity consumption is a combination of NHH data typically for prmiss in th lasd stat and an stimatd allocation of half hourly data typically for ownd ral stat. Consumption applid to discontinud oprations was basd on proportion of full-tim staff. Elctricity End Uss High-lvl nd uss ar prsntd. Opus auditd ntwork lctricity data was usd as th sourc for lctricity nd-us calculations, including backcast figurs. Tlcom dos not captur dtaild rcords of lctricity nd uss, howvr, modls xist stimating and allocating lctricity consumption across ths various activitis. Air conditioning (AC), transport and losss hav bn allocatd to th ntwork catgoris in proportion basd on lctricity us. Elctricity Emission Factors Tlcom has applid mission factors rcommndd in Guidanc for Voluntary, Corporat Grnhous Gas Rporting: 211, Ministry for th Environmnt (212). 24 S also not 1 on pag 39 rgarding marginal lctricity mission factors applid for th statmnt of marginal missions. 23 For FY12, pr-dmrgr figurs rlating to th discontinud oprations of Chorus wr for th fiv months to 3 Novmbr 211. 24 For th currnt rporting yar, in advanc of Govrnmnt s rlas of rlvant guidanc, Tlcom has applid stimatd mission factors basd on Govrnmnt data availabl at th tim. Tlcom has stimatd th lctricity gnration mission factors for 212 and 213 basd on provisional quartrly data for th Jun 213 yar. Emissions will b rstatd onc Govrnmnt has publishd official data and guidanc for 212 and 213. For prior yars, Tlcom has applid rvisd mission factors (as calculatd from Tabl G2.a from th Nw Zaland Enrgy Data Fil, 211 Calndar Yar Edition (212) and from Nw Zaland Enrgy Grnhous Gas Emissions 211, MED (212)). Tlcom has rstatd lctricity missions accordingly. Tlcom has stimatd T&D Lin Loss mission factors basd on calndar yar data. Th 212 and 213 stimats hav bn basd on th 211 ratio. P = Provisional mission figurs (pr abov footnot 24) 31

Not 3 Disl Emissions Yar ndd 3 Jun Unit 213 212 211 21 29 Disl Consumption Disl in Continuing Oprations litrs 181,528 231,377 376,267 262,138 26,834 Disl in Discontinud Oprations litrs - 41,189 177,513 123,945 126,611 Total Disl Consumption litrs 181,528 272,566 553,78 386,83 387,445 Liquid Ful Emission Factors g- /litr Disl Consumption Factor grams 2,656 2,656 2,656 2,655 2,65 Disl Production Factor grams 181 181 181 181 18 Total Disl Emission Factor grams 2,837 2,837 2,837 2,836 2,83 Disl Emissions Continuing Oprations Emissions tonns 515 656 1,67 744 738 Discontinud Oprations Emissions tonns - 117 54 351 359 Total Disl Emissions tonns 515 773 1,571 1,95 1,97 Disl Consumption Litrs of disl consumption ar sourcd from data capturd by ful cards at point of purchas. Consumption applid to discontinud oprations was basd on portion of total lctricity consumption in th rlvant facilitis. Disl Emission Factors Tlcom has applid mission factors rcommndd in Guidanc for Voluntary, Corporat Grnhous Gas Rporting: 211, Ministry for th Environmnt (212) in Tabl 1 on pag 8. Tlcom has applid th production factor to stimat Scop 3 missions. 25 25 Covc, Hal & Twomy and Exrgi Consulting (26) Havy Industry Enrgy Dmand. Rport to Ministry of Economic Dvlopmnt Nw Zaland. 32

Not 4 Natural Gas Emissions Yar ndd 3 Jun Unit 213 212 211 21 29 Gas Consumption Gas in Continuing Oprations kwh 77,125 - - - 63,386 Gas in Discontinud Oprations kwh - 29,246 552,351 573,72 626,3 Total Gas Consumption kwh 77,125 29,246 552,351 573,72 689,389 Gas Emission Factors g- /kwh Natural Gas Emission Factor grams 193 193 193 193 194 Natural Gas Emissions Continuing Oprations tonns 15 - - - 12 Discontinud Oprations tonns - 4 17 111 121 Total Natural Gas Emissions tonns 15 4 17 111 133 Gas Consumption Gas consumption has bn calculatd from supplirs invoics by sit. Gas Emission Factors Tlcom has applid mission factors rcommndd in Guidanc for Voluntary, Corporat Grnhous Gas Rporting: 211, Ministry for th Environmnt (212) in Tabl 1 on pag 8. 33

Not 5 Air Travl Emissions Yar ndd 3 Jun Unit 213 P 212 211 21 29 Passngr Kilomtrs Travlld 26 Continuing Oprations: Domstic Flights pkm 8,187,376 11,243,577 14,721,638 18,288,758 18,447,828 Trans-Tasman Flights pkm 2,185,622 2,525,55 3,893,73 4,585,366 4,833,365 Intrnational Long-haul Flights pkm 4,736,439 6,97,47 5,91,217 8,782,39 11,523,57 Intrnational Short-haul Flights pkm 71,782 596,445 373,334 649,373 1,13,447 Travl Distanc - Continuing Oprations pkm 15,82,219 21,335,619 24,898,919 32,35,536 35,818,21 Travl Distanc - Discontinud Oprations pkm - 1,77,479 2,731,262 4,234,274 4,219,95 Total Passngr Kilomtrs Travlld pkm 15,82,219 22,413,98 27,63,181 36,539,81 4,38,16 Aviation Ful Emission Factors 27 g- /pkm Domstic grams 362 381 373 392 391 Trans-Tasman grams 23 21 215 22 223 Intrnational Long-haul grams 391 352 381 413 372 Intrnational Short-haul grams 238 256 254 258 259 Air Travl Emissions Domstic tonns 2,966 4,288 5,487 7,166 7,211 Trans-Tasman tonns 445 529 836 1,1 1,76 Intrnational long-haul tonns 1851 2,456 2,255 3,628 42,81 Intrnational short-haul tonns 169 152 95 167 262 Emissions from Continuing Oprations tonns 5,43 7,426 8,673 11,972 12,831 Emissions from Discontinud Oprations tonns - 42 1,12 1,641 1,624 Total Air Travl Emissions tonns 5,43 7,827 9,685 13,613 14,454 Air Travl Dmand Tlcom has calculatd passngr kilomtrs travlld from monthly transactional flight sgmnt data providd by supplirs. 26 Air Travl Emission Factors Tlcom has applid mission factors rcommndd in Guidanc for Voluntary, Corporat Grnhous Gas Rporting: 211, Ministry for th Environmnt (212). 27 FY8 travl distancs applid to discontinud oprations wr backcast figurs basd on FY9 proportions. 26 All air travl data includs discontinud oprations of Chorus prior to dmrgr on 3 Novmbr 211. 27 In 213 Tlcom has applid a radiativ forcing uplift of 9 prcnt basd on th updatd 213 guidanc from Dfra. For comparability, Tlcom has rstatd prior yar missions applying th radiativ forcing uplift. This rsults in a matrial incras to missions rportd in prior rports. Tlcom has applid mission factors for intrnational air travl taking into account class of travl in proportion. Tlcom has includd th rcommndd indirct Scop 3 missions rsulting from th ful lifcycl (i.. production and distribution of th rlvant transport ful), and has rstatd prior yars to tak into account ths additional indirct Scop 3 missions. Tlcom has applid an 8 prcnt Grat Circl Distanc uplift factor across all routs for 213 and 9 prcnt for prior yars. This approach uss mission factors takn from th 211 guidanc documnt and its original sourc: 213 Guidlins to Dfra / DECC s GHG Convrsion Factors for Company Rporting (213). Summary roundd avrag mission factors across all sating classs ar prsntd. Emissions will b rstatd as ncssary onc Govrnmnt publishs 213 and 212 mission factors and guidanc. P = Provisional mission figurs (pr abov not 27) 34

Not 6 Vhicl Flt Emissions Yar ndd 3 Jun Unit 213 212 211 21 29 Oil Consumption 28 Continuing Oprations: Prmium litrs 198,325 193,858 272,312 333,462 4,811 Rgular Unladd litrs 388,541 499,974 525,137 667,534 1,74,495 Disl litrs 27,87 19,353 15,57 2,89 18,146 Othr litrs - 36 1,318-2,1 Consumption - Continuing Oprations litrs 614,673 713,221 814,274 1,21,85 1,99,463 Consumption - Discontinud Oprations litrs - 53,347 117,595 96,965 76,17 Total Ful Consumption litrs 614,673 766,569 931,869 1,118,5 1,175,48 Ful Emission Factors g- /litr Prmium grams 2,518 2,518 2,518 2,518 2,55 Rgular Unladd grams 2,496 2,496 2,496 2,498 2,518 Disl grams 2,879 2,879 2,879 2,879 2,87 Othr grams 2,879 2,879 2,879 2,879 2,87 Vhicl Flt Emissions Prmium tonns 499 488 686 84 12 Rgular Unladd tonns 97 1,248 1,31 1,667 2,76 Disl tonns 8 56 45 58 52 Othr tonns - - 4-6 Emissions from Continuing Oprations tonns 1,55 1,792 2,45 2,565 2,776 Emissions from Discontinud Oprations tonns - 135 298 246 192 Total Vhicl Flt Emissions tonns 1,55 1,927 2,343 2,811 2,968 Flt Ful Consumption Ful consumption has bn calculatd from supplirs systms data collatd from mploy ful cards at point of purchas. 28 Ful Emission Factors Tlcom has applid mission factors rcommndd in Guidanc for Voluntary, Corporat Grnhous Gas Rporting: 211, Ministry for th Environmnt (212). 29 Tlcom has applid production factors to stimat Scop 3 missions. 3 28 FY12 consumption data for discontinud oprations of Chorus is for th fiv months prior to th Dmrgr of Chorus on 3 Novmbr 211. 29 Tabl 2 on pag 1. 3 Applid a 6.7 prcnt uplift for th production factor pr: Covc, Hal & Twomy and Exrgi Consulting (26) Havy Industry Enrgy Dmand. Rport to Ministry of Economic Dvlopmnt. 35

Not 7 Othr Vhicl Emissions Yar ndd 3 Jun Unit 213 212 211 21 29 Vhicl Kilomtrs Travlld Continuing Oprations: Taxis kilomtrs 229,617 287,479 51,995 848,751 1,6,2 Rntal Cars kilomtrs 261,47 336,136 431,447 364,951 372,178 Privat Vhicls kilomtrs 76,372 76,372 76,372 76,372 76,372 Kilomtrs Travlld - Continuing Oprations kilomtrs 567,36 699,987 1,18,814 1,29,74 1,58,552 Kilomtrs Travlld - Discontinud Oprations kilomtrs - 41,559 17,336 15,293 119,798 Total Vhicl Kilomtrs Travlld kilomtrs 567,36 741,546 1,126,15 1,395,367 1,628,35 Ful Emission Factors g- /km Taxis grams 38 38 38 312 38 Rntal Cars grams 237 237 237 238 234 Privat Vhicls grams 237 237 237 238 234 Othr Vhicl Emissions Taxis tonns 71 89 157 265 326 Rntal Cars tonns 62 8 12 87 87 Privat Vhicls 31 tonns 18 18 18 18 18 Emissions from Continuing Oprations tonns 151 187 277 37 431 Emissions from Discontinud Oprations tonns - 12 33 33 37 Total Othr Vhicl Emissions tonns 151 199 31 43 468 Othr Vhicl Ful Consumption Ful consumption of rntal cars, taxis and privat cars 31 (for businss purposs) has bn calculatd rspctivly from taxi charg card data, supplirs invoic data and mploy milag claim data. Ful Emission Factors Tlcom has applid mission factors rcommndd in Guidanc for Voluntary, Corporat Grnhous Gas Rporting: 211, Ministry for th Environmnt (212). 31 D minimis stimats for us of privat cars ar basd on actual milag data on xpns claims for FY6 and FY7. 36

Not 8 Emissions from Wast Yar ndd 3 Jun Unit 213 212 211 21 29 Commrcial Offic Wast Offic Wast - Continuing Oprations kilograms 245,567 159,91 178,59 195,116 239,141 Offic Wast - Discontinud Oprations kilograms - 2,2 6,777 6,726 7,153 Total Offic Wast to Landfill kilograms 245,567 161,111 185,367 21,842 246,294 Wast Emission Factors g- /kg Offic Wast to Landfill grams 1,547 1,547 1,547 1,547 1,547 Emissions from Wast Emissions from Continuing Oprations tonns 38 246 276 32 37 Emissions from Discontinud Oprations tonns - 3 1 1 11 Total Emissions from Wast tonns 38 249 287 312 381 Volum of Wast to Landfill Landfill wast is stimatd basd on rcordd daily volums of wast rmovd from th major commrcial offic sits within th rcycling programm. Avrag wast pr prson is xtrapolatd across all Tlcom mploys to calculat th total wast to landfill. Wast Emission Factor Tlcom has applid mission factors rcommndd in Guidanc for Voluntary, Corporat Grnhous Gas Rporting: 211, Ministry for th Environmnt (212). Wast volums applid to discontinud oprations wr basd on th numbr of full-tim mploys on a pro-rata basis. 37

Not 9 Rfrigrant Emissions Yar ndd 3 Jun Unit 213 212 211 21 29 Rfrigrant Rchargs Continuing Oprations: R-22 kilograms 184 485 272 41 528 R134a kilograms 184 159 64 1 - R47C kilograms 9 7 43 41 4 R41a kilograms 37 17 46 41 34 Rchargs for Continuing Oprations kilograms 414 821 425 493 63 Rchargs for Discontinud Oprations kilograms - 228 21 233 292 Total Rchargs kilograms 414 1,49 626 726 895 Gas Global Warming Potntial g- /kg R-22 GWP 34 grams 1,81 1,81 1,81 1,81 1,81 R134a GWP grams 1,3 1,3 1,3 1,3 1,3 R47C GWP grams 1,526 1,526 1,526 1,526 1,526 R41a GWP grams 1,725 1,725 1,725 1,725 1,725 Rfrigrant Emissions R-22 tonns 333 879 493 726 957 R134a tonns 239 27 83 13 - R47C tonns 14 16 65 62 62 R41a tonns 64 185 8 7 58 Emissions from Continuing Oprations tonns 65 1,377 721 872 1,77 Emissions from Discontinud Oprations tonns - 382 34 412 522 Total Rfrigrant Emissions tonns 65 1,759 1,61 1,284 1,599 Rfrigrant Lakag Rfrigrant lakag is basd on Downr Enginring stimats of annual rchargs of R22 32, R134a, R47C and R41a. In FY13, R22 lakag (th major sourc) was quivalnt to 1.7 prcnt of th total stimatd charg capacity (compard to 4.1 prcnt in FY12). Rfrigrant Global Warming Potntials Tlcom has applid GWPs rcommndd in Guidanc for Voluntary, Corporat Grnhous Gas Rporting: 211, Ministry for th Environmnt (212) in Tabl 13 on pag 29. 34 An altrnativ mthod for R22 lakag basd on xpctd avrag annual rats rsults in stimats of 1.6 prcnt pr annum. 33 For accuracy and to b consrvativ, Tlcom has usd th actual stimat; th highr of th two. Rfrigrant volums applid to discontinud oprations wr basd on proportion of lctricity consumption. 32 R22 is a hydrochloroflourocarbon (HCFC), also known as HCFC-22, with th chmical formula CHC1F2. R22 is on of th most common rfrigrants in us. Covrd undr th Montral Protocol, HCFCs ar ozon dplting substancs (ODS), which ar bing phasd out globally. From that dat no nw quipmnt sals using R22 will b allowd (in th US and othr countris) and th manufactur of R22 will cas. Th manufactur of R22 has missions of HFC-23, a potnt GHG with a 1-yr GWP of 14,8. 33 Calculatd from Lif-cycl Climat Prformanc (LCCP) and Total Environmnt Warming Impact (TEWI) data adjustd for Nw Zaland lctricity mission factors and assuming air conditioning quipmnt has a 15-yar usful lif; bas data on commrcial air conditioning systms is sourcd from Arthur D. Littl Inc. Rport to th Allianc for Rsponsibl Atmosphric Policy (March 21, 22); rfr Sction 6: Unitary Air Conditioning (http://www.arap.org/adlittl/toc.html). 34 Tabl 13, Appx B; 1 yar GWP for HCFC-22 from IPCC FAR Tabl 2.14 p212; Sourc: Forstr, P., t al: Changs in Atmosphric Constitunts and in Radiativ Forcing. In: Climat Chang 27: Th Physical Scinc Basis. Contribution of Working Group I to th Fourth Assssmnt Rport of th Intrgovrnmntal Panl on Climat Chang [Solomon, S. t al (ds.)]. Cambridg Univrsity Prss, Cambridg, Unitd Kingdom and Nw York, NY, USA. IPCC sourc citd: Millr, B.R., t al., 1998: Atmosphric trnd and liftim of chlorodifluoromthan (HCFC-22) and th global troposphric OH concntration. J. Gophys. Rs., 13(D11), 13237 13248, doi:1.129/98jd771. 38

Not 1 Marginal Analysis 35 Yar ndd 3 Jun Unit 213 212 211 21 29 Elctricity Consumption Continuing Oprations: Ntwork Consumption kwh 144,359,918 156,9,44 146,424,997 141,243,42 133,368,299 Commrcial Offic Consumption kwh 17,429,665 16,862,23 33,727,38 35,67,424 34,733,788 Total Elctricity Consumption kwh 161,789,583 172,952,274 18,152,35 176,31,466 168,12,87 Marginal Emission Factors g- /kwh Elctricity Consumption grams 65 65 65 65 65 Marginal Elctricity Emissions Ntwork Emissions tonns 94,23 11,459 95,176 91,88 86,689 Commrcial Offic Emissions tonns 11,329 1,96 21,923 22,794 22,577 Total Marginal Elctricity Emissions tonns 15,532 112,419 117,99 114,62 19,266 Marginal Elctricity Emission Factors Tlcom has applid a constant marginal missions factor of 65 grams pr kwh basd on a 24 figur. 36 Givn th natur of th wholsal lctricity markt oprating in Nw Zaland, changs to lctricity consumption at th margin hav a gratr baring on missions than th avrag mission factor. That is changs in lctricity consumption at most tims during th day caus th thrmal gnrators (i, coal and gas) to chang thir gnration lvls. A marginal analysis would b appropriat for calculating missions savings and incrmnts, including annual incrass/dcrass (or mission flows). S also Marginal Emission Statmnts pags 8-9. 35 Th marginal analysis impacts rsults for lctricity missions, whil th calculations of othr missions applying avrag mission factors ar unaffctd. 36 Elctricity Emission Factor Updat, Concpt Consulting, August 24 (MfE). 39

Pr Rviwr s Rport To Tlcom managmnt W hav rviwd th mission statmnts on pags 6 to 9. Th mission statmnts provid information about th past grnhous gas (GHG) mission prformanc and invntory of Tlcom s Nw Zaland businss as at 3 Jun 213. This information is statd in accordanc with th carbon accounting policis st out in th nots on pags 28 to 39. Pr rviwr s rsponsibilitis It is our rsponsibility to xprss an indpndnt opinion on th mission statmnts prsntd by Th Bay and rport our opinion to you. Scop and mthod W hav rviwd th mission statmnts, associatd nots and spradshts usd in thir prparation. W hav not bn involvd in th prparation of th mission statmnts. Th quantification of grnhous gas missions was basd on activity data multiplid by GHG mission factors; in most cass th activity data ar nrgy consumption data. Tlcom providd Th Bay with th appropriat activity data and w ar not vrifying whthr ths ar complt or accurat. Our analysis is limitd to vrifying whthr appropriat mission factors hav bn usd, consistnt with good practic and bst information availabl, and whthr ths mission factors hav bn usd appropriatly with th activity data. Qualifid opinion In our opinion th mission factors usd in compiling th mission statmnts ar appropriat and hav bn takn from th bst sourcs availabl in Nw Zaland. W bliv that thy hav bn usd corrctly with th activity data to produc mission stimats. W conductd our rviw in advanc of Govrnmnt s rlas of official lctricity mission factors for 213. Estimats hav bn applid for this yar. W assum that propr carbon accounting rcords hav bn kpt by Tlcom although w did not xamin thos rcords. W hav no indication that thr ar matrial rrors or omissions in th rcords and th rsulting mission statmnts. Nothing cam to our attntion that would indicat that Tlcom s invntory is incomplt. Our pr rviw was compltd on 2 August 213, and our qualifid opinion is xprssd as at that dat. Dr Tim Dnn, Covc, Auckland W conductd our vrification through dsk rsarch, chcking th mission factors usd with publishd data from Govrnmnt sourcs and assssing how thy had bn usd in calculating th mission stimats. About Covc Covc Limitd is an applid conomics and analytics consultancy spcialist in nrgy, climat chang and nvironmntal analysis. Tim Dnn, a Dirctor, conductd th rviw. H has workd on climat chang issus for ovr 15 yars, including th dvlopmnt, managmnt and pr rviw of company and national grnhous gas mission invntoris. His xprinc includs: working with Govrnmnt officials to dsign th Emission Trading Systm (ETS); working with th Europan Commission to dsign th Europan Community monitoring mchanism; pr rviwing th Unitd Kingdom s national invntory; lading th climat chang tam in th Ministry for th Environmnt, including ovrsight of th invntory rquirmnts; constructing company mission accounts; and dvloping mission projction modls. 4

Th Bay Softwar Limitd PO Box 25-455 Wllington 6146 Nw Zaland P: +64 21 273-6637 E: grant@thbay.co.nz www.thbay.co.nz Prpard for: Tlcom Nw Zaland Limitd Prpard by: Grant Brmnr, Managmnt Consultant Dat: 1 Dcmbr 213, Vrsion: 2. About Th Bay Th Bay is basd in Wllington, Nw Zaland th world s southrn-most capital. Th Bay is a stratgy consulting firm spcialising in carbon. W hlp clints transform to a sustainabl low-carbon futur, and provid carbon accounting and rporting srvics. Acknowldgmnts W hav drawn on th hlp and xprtis of many popl insid Tlcom and various of its supplirs in th prparation of this rport. W apprciat th ffort many popl go to ach yar to updat this profil for Tlcom, and would lik to thank vryon involvd. Our mission is to hlp customrs discovr valu in th nxt stp and our vision is vry stp in harmony with natur. W xplor th nxt stp togthr with clints, advancing nw possibilitis and stratgis that oftn rsult in major chang initiativs. Th Bay hlps organisations focus on th nxt stp to improv prformanc, working across industris including govrnmnt and th privat sctor. Th Bay assists customrs with cuttingdg projcts and innovations, bringing togthr xprt tams to initiat and dlivr nw opportunitis that crat sustainabl valu. Copyright 212-213 Th Bay Softwar Limitd. Disclaimr Th scinc supporting anthropognic climat chang is rapidly volving. In prparing this rport, Th Bay has applid information from a varity of sourcs including various govrnmnt agncis and national and intrnational rfrncs. Th main information sourcs ar listd. Th Bay dos not warrant as to th validity or th accuracy of any such information providd. Th Bay shall hav no rsponsibility for, or liability for costs, loss or damag arising from any rrors in or omissions from data, formula, documnts, plans, dsigns or spcifications providd to or by Th Bay.