Annual Report 2019-20

Noosa Shire Council

Notes to the Financial Statements
for the year ended 30 June 2020

Note 12. Equity Investments

Accounting recognition:
As at 1 July 2010 a water distribution and retail business called Unitywater was established in accordance with
the South-East Queensland Water (Distribution and Retail Restructuring) Act 2009 to deliver water and waste
water services to customers within the local government areas of Moreton Bay Regional Council, Sunshine Coast
Regional Council and Noosa Shire Council.

Under the Act, governance arrangements for Unitywater were established in a Participation Agreement which
commenced from 1 July 2010. The agreement provides for participation rights to be held by the participating
Councils. The participating Councils are Noosa Shire Council, Moreton Bay Regional Council and the Sunshine
Coast Regional Council. The Participation Rights effectively represent an investment in an associate by Noosa
Shire Council.
Investment in Associates are accounted for using the Equity Accounting Method - and are disclosed as a one
line entry in both the Income Statement and Statement of Financial Position.

                                                   Council's Share of Net Income           Council's Share of Net Assets
                                                            2020             2019                  2020             2019
                                                             $'000                $'000             $'000           $'000
   Unitywater                                                6,094                6,452            91,639          86,569
   Total                                                     6,094                6,452            91,639          86,569



Associates

Council has incorporated the following Associates into it's Financial Statements.

(a) Net Carrying Amounts - Council's Share
                                               Nature of             Measurement
Name of Entity                                Relationship             Method                       2020               2019
Unitywater                                      Associate                Equity                 88,040             83,342
Total Carrying Amounts                                                                          88,040             83,342

(b) Details

Name of Entity                                      Principal Activity                             Place of Business
                                                                                            Moreton Bay, Sunshine Coast
Unitywater                                   Water and Wastewater Services
                                                                                                and Noosa Regions


(c) Relevant Interests and Fair Values               Quoted                 Interest in      Interest in    Participation
                                                    fair value               outputs         ownership        Portion
Name of Entity                                   2020            2019      2020     2019    2020    2019    2020   2019
Unitywater                                                                                                  4.25% 4.25%




                                                                                                               page 20