Public Transport Authority

Infrastructure, property, plant, equipment and vehicles

	2014	2014	2014	2014	2013	2013	2013	2013
	Cost $000	At Fair Value $000	Accumulated depreciation $000	Carrying amount as at 30 June 2014 $000	Cost $000	At Fair Value $000	Accumulated depreciation $000	Carrying amount as at 30 June 2013 $000
Owned Assets:
Land (i)	0	397,769	0	397,769	0	360,833	0	360,833
Buildings (ii)	0	106,450	71,523	34,927	0	211,026	103,185	107,841
Freight network infrastructure (vi)(ix)	0	5,172,542	3,972,366	1,200,176	0	5,153,415	3,962,906	1,190,509
Rollingstock (iii)	0	1,032,778	451,858	580,920	0	1,023,824	435,223	588,601
Railway infrastructure (vii)	0	3,490,766	1,033,345	2,457,421	0	2,968,445	917,805	2,050,640
Plant, equipment and motor vehicles	47,666	0	29,539	18,127	39,940	0	21,484	18,456
Bus infrastructure (ii)	0	237,937	104,269	133,668	0	239,446	114,129	125,317
Vessels (v)	0	3,533	2,220	1,313	0	3,200	1,931	1,269
Buses (iv)	0	798,134	409,089	389,045	0	746,661	372,058	374,603
Construction in progress (viii)	476,978	0	0	476,978	735,176	0	0	735,176
Total	524,644	11,239,909	6,074,209	5,690,344	775,116	10,706,850	5,928,721	5,553,245

Information on fair value measurements is provided in Note 27.

(i) Land controlled by the PTA has been revalued as at 1 July 2013 by Landgate (Valuation Services) and Burgess Rawson. The valuations were performed during the year ended 30 June 2014 and recognised at 30 June 2014. The fair value was determined by reference to market values. See note 2(g).

To ensure the valuations provided by Valuation Services were compliant at 30 June 2014 with the fair value requirements under AASB 116, Valuation Services provided the Department of Treasury with information that tracked the general movement in the market value of land and in building construction costs from 1 July 2013 (the date of valuation) to 30 June 2014. Department of Treasury reviewed the information and determined that the valuations provided by Valuation Services (as at 1 July 2013) were compliant with fair value requirements for 30 June 2014 reporting without further adjustment by reference to market values based on existing use.

Land which is commercially leased was independently valued on the capitalised value of current lease by Burgess Rawson. The valuations were performed during the year ended 30 June 2014 and recognised at 30 June 2014.

(ii) Buildings and Bus Infrastructure have been revalued as at 30 June 2014 by independent valuers Ralph Beattie Bosworth at depreciated replacement cost which represents the fair value of the assets.

(iii) Rollingstock has been revalued as at 30 June 2014 by both independent valuers Interfleet Technologies and by taking up the PTA’s latest contract pricing from EDI Rail at depreciated replacement cost which represents the fair value of the assets. Interfleet Technologies provided valuation advice for the Transwa rollingstock assets and the PTA’s latest contract pricing was utilised for the Perth metropolitan area rollingstock assets.

(iv) Buses have been revalued as at 30 June 2014 by taking up the PTA’s latest contract pricing from Volvo at depreciated replacement cost which represents the fair value of the assets.

(v) Vessels have been revalued as at 30 June 2014 by utilising internal expertise and adjusting for inflation from 30 June 2010 to arrive at depreciated replacement cost which represents the fair value of the assets.

(vi) Freight network infrastructure was revalued on 30 June 2010 at depreciated replacement cost which represents the fair value of the assets. A model was developed using independent third party audited information, engineering and independent valuers.

(vii) Railway infrastructure was revalued on 30 June 2012. Railway infrastructure has been revalued by PTA’s management professionals and third party vendors. The methodology adopted has been depreciated replacement cost with a modern equivalent asset capable of delivering the same service potential. This represents the fair value of the assets.

(viii) Construction in progress is valued at cost.

(ix) The PTA entered into a finance lease with Karara Mining Limited and Gindalbie Metals Limited during the 2013 financial year. The lease is over a railway line from Tilley to Karara which was constructed by Karara for its exclusive use over the period of the lease term of 49 years. While legal ownership is vested in PTA, beneficial ownership is with Karara, therefore the assets are not included in the freight network infrastructure balance, however the asset will be transferred to PTA upon the expiry of the lease.

Reconciliations of the carrying amounts of infrastructure, property, plant, equipment and vehicles at the beginning and end of the reporting period are set out in the table below.

2014	Carrying amount at start of period $000	Additions $000	Transfers (x) $000	Revaluation Increments $000	Disposals $000	Depreciation $000	Carrying amount at end of period $000
Owned Assets:
Land	360,833	0	0	36,936	0	0	397,769
Buildings	107,841	0	(65,323)	(2,686)	0	(4,905)	34,927
Freight network infrastructure	1,190,509	0	109,180	0	(15,257)	(84,256)	1,200,176
Rollingstock	588,601	0	35,289	(9,694)	0	(33,276)	580,920
Railway infrastructure	2,050,640	0	489,867	0	(208)	(82,878)	2,457,421
Plant, equipment and motor vehicles	18,456	37	5,639	0	(10)	(5,995)	18,127
Bus infrastructure	125,317	4,443	2,152	10,587	(1,928)	(6,903)	133,668
Vessels	1,269	0	0	124	0	(80)	1,313
Buses	374,603	0	41,923	7,463	(446)	(34,498)	389,045
Construction in progress	735,176	366,466	(624,664)	0	0	0	476,978
TOTAL	5,553,245	370,946	(5,937)	42,730	(17,849)	(252,791)	5,690,344

(x) On the 30th June 2014, the PTA recognised transferred assets to Main Roads WA for a road over rail bridge (Horseshoe Bridge) and principal shared pathway associated with Perth City Link works ($2.417M). All other transfers relate to movements from Construction in progress and internal transfers made by the PTA between asset classes to more accurately reflect the classification in use to the PTA.

2013	Carrying amount at start of period $000	Additions $000	Transfers $000	Revaluation Increments $000	Disposals $000	Depreciation $000	Carrying amount at end of period $000
Owned Assets:
Land	361,222	160	355	(904)	0	0	360,833
Buildings	112,540	0	0	0	0	(4,699)	107,841
Freight network infrastructure	1,244,690	0	31,608	0	0	(85,789)	1,190,509
Rollingstock	621,279	0	0	0	0	(32,678)	588,601
Railway infrastructure	2,109,059	2,172	16,639	0	0	(77,230)	2,050,640
Plant, equipment and motor vehicles	17,328	4,583	501	0	(15)	(3,941)	18,456
Bus infrastructure	127,576	889	3,042	0	0	(6,190)	125,317
Vessels	1,349	0	0	0	0	(80)	1,269
Buses	349,062	2,737	57,558	0	(1,049)	(33,705)	374,603
Construction in progress	317,002	502,360	(84,186)	0	0	0	735,176
TOTAL	5,261,107	512,901	25,517	(904)	(1,064)	(244,312)	5,553,245

Information on fair value measurements is provided in Note 27.