1. Tonga Power Reliability Indicators Review Results and Recommendations Pauline Muscat Consultant October 2013

2. Objective  Review historical outage data and develop suitable reliability indicator targets

3. Methodology  Review last 12 months outage data  Investigate and evaluate data measurement, collection and analysis processes, to identify any issues  Wide consultation with staff at all levels  Review reporting calculations and functions  Data set refinement as required  Conduct training for Fault Operator, Fault Repair and Generation staff, in accurate data collection and purpose in company performance  Analysed data  Developed targets  Recommendations

4. Issues - Technical  Calculation for indicators was using LV  Number of customers in network has grown, needed update  Date/time anomaly in FileMaker resulting in escalated results  Incomplete outage records; no finish time, customers affected  Incorrect outage records; HV outage, no of customers = 0 etc, incorrect Fault type selected  Discrepancies between Generation and Distribution records  Incomplete table of number of customers on each transformer

5. Issues – Non-technical  Lack of team work across departments; Departments focused only on their own functions  Lack of understanding of importance of accurate data collection amongst staff  Improvement observed in Fault Operator entries over past months, not recognised or rewarded  Despondent fault entry staff due to feeling they had been kept as trainees for too long (over 18 mths)  Lack of training for Fault Response staff

6. Data Validation  Removed LV outages from SAIDI, SAIFI calculation  Corrected for duration anomaly  Updated number of customers in network (to 15,432)  Completed records that had been left incomplete  Reviewed suspect or invalid records, especially customers affected  Cross checked data against Generation log book  Validated average outage durations by expert review  Checked against reported results in other Pacific utilities  Resulted in overall 20% reduction in reported SAIDI.

7. Data Analysis  Compared old data and adjusted/corrected data and predicted SAIDI improvement 20% by addressing issues with data  Actual improvement after corrections was 20%  Reviewed Data for SAIDI,SAIFI,CAIDI; cumulative yearly and mthly  Reviewed breakdown of indicators between Gen and HV  Reviewed outages for Gen and HV

8. Results  SAIDI  Outages  SAIFI  CAIDI

9. Data Correction 1423 min/cust/yr

10. SAIDI

12. Av: 91.0 min/cust/mth

13. Gen Av: 50.4 min/cust

20. 1273 min

21. 79.2 min/mth

22. Targets  1 Common KPI Target for all to work together to achieve  Target: 5% Improvement on SAIDI, SAIFI, CAIDI  Company wide communication and involvement and reward  Yearly Goal, Reported and Calculated Monthly  Excludes extreme weather events  Continued improved data recording and reporting

23. Av 91.0 min/cust/mth Target: 86.5 min/cust/mth Target: 1082 min/cust/yr Total: 1138 min/cust/yr

24. Target: 1082 m/cust/yr Total: 1138 m/cust/yr Av 1.2 int/cust/mth Target: 1.1 int/cust/mth Total 15 interruptions/cust/mth Target: 14 int/cust/mth

25. Av 79.2 min/mth Target: 75.3 min/mth Total 918 min Target: 826 min

26. PPA Benchmarking SAIDI

27. Any Questions? PPA Benchmarking SAIDI

28. Any Questions? PPA Benchmarking SAIDI

29. PPA Benchmarking SAIFI

32. Recommendations  Extend work to cover outer islands. Reliability indicators will likely improve by incorporating more customers.  Analyse fault response times and LV outages and develop targets  Unify all Tonga Power workers by setting a common set of KPI targets (eg SAIDI, SAIFI, CAIDI), with bonus payments for achieving targets.  Company wide communication and involvement and reward will instill ownership and encourage co-operation and support across department.  Continued improvement in data measurement, collection and analysis  Reinforce and continue training