Note 28. Property, Plant and Equipment

Property, plant and equipment includes the following classes of assets – land, buildings, leasehold improvements and plant and equipment. Property, plant and equipment does not include assets held for sale.

Land includes leasehold land held by the Directorate.

Buildings include hospital buildings, community health centres and a multi storey car park.

Leasehold improvements represent capital expenditure incurred in relation to leased assets. The Directorate has fit-outs in its leased buildings.

Plant and equipment includes medical equipment, motor vehicles, mobile plant, air conditioning and heating systems, office and computer equipment, furniture and fittings, and other mechanical and electronic equipment.

 

  2013
$’000
2012
$’000
Land and Buildings    
Land at Fair Value 36,827 36,820
Total Land Assets 36,827 36,820
Buildings at Fair Valuea 669,366 551,154
Less: Accumulated Depreciation (48,881) (13,027)
Total Written Down Value of Buildings 620,485 538,127
Total Land and Written Down Value of Buildings 657,312 574,947
     
Leasehold Improvements    
Leasehold Improvements at Fair Value 9,761 9,244
Less: Accumulated Depreciation (3,132) (1,378)
Total Written Down Value of Leasehold Improvements 6,629 7,866
     
Plant and Equipment    
Plant and Equipment at Cost 104,271 96,314
Less: Accumulated Depreciation (59,172) (50,765)
Less: Accumulated Impairment Losses (1,121) (613)
Total Written Down Value of Plant and Equipment 43,978 44,936
Total Written Down Value of Property, Plant and Equipment 707,919 627,749
     
Assets Under a Finance Lease    
Assets under a finance lease are included in the asset class to which they relate in the above disclosure.
Assets under a finance lease are also required to be separately disclosed as outlined below.
Carrying Amount of Assets Under a Finance Lease    
Plant and Equipment Under a Finance Lease 8,775 7,538
Accummulated Depreciation of Plant and Equipment under a Finance Lease (2,130) (2,485)
Total Written Down Value of Assets Under a Finance Lease 6,645 5,053

 

a) The increase mainly relates to completed new building capital works projects including the Centenary Hospital for Women and Children ($90.0 million), the Gungahlin Community Health Centre ($18.7 million) and the Cancer Patient Accommodation property ($1.4 million).

Reconciliation of Property, Plant and Equipment

The following table shows the movement of Property, Plant and Equipment during 2012‑13.

 

  Land
$’000
Buildings
$’000
Leasehold Improvements
$’000
Plant and Equipment
$’000
Total
$’000
Carrying Amount at the Beginning of the Reporting Period 36,820 538,127 7,866 44,936 627,749
Additions 7 118,213 517 13,162 131,899
Assets Classified as Held for Sale (34) (34)
Disposals (4,561) (4,561)
Depreciation (35,854) (1,754) (10,952) (48,560)
Depreciation Write Back for Asset Disposals 1,934 1,934
Impairment Losses Recognised in the
Operating (Deficit)
(1,121) (1,121)
Reversal of Impairment Losses Recognised in the Operating (Deficit) 613 613
           
Carrying Amount at the End of the
Reporting Period
36,827 620,486 6,629 43,978 707,919

 

The following table shows the movement of Property, Plant and Equipment during 2011‑12.

 

  Land
$’000
Buildings
$’000
Leasehold Improvements
$’000
Plant and Equipment
$’000
Total
$’000
Carrying Amount at the Beginning of the Reporting Period 36,820 501,245 8,014 46,521 592,600
Additions 49,910 930 12,378 63,218
Revaluation (Decrement) (994) (994)
Assets Classified as Held for Sale (169) (169)
Disposals (2,428) (2,428)
Depreciation (12,034) (1,078) (11,291) (24,403)
Impairment Losses Recognised in the Operating (Deficit) (613) (613)
Reversal of Impairment Losses Recognised in the Operating (Deficit) 538 538
           
Carrying Amount at the End of the
Reporting Period
36,820 538,127 7,866 44,936 627,749

 

Valuation of Non-Current Assets

Certified practicing registered valuers AON Risks Solutions performed an independent valuation of the Directorate’s Land, Buildings and Leasehold Improvements as at 30 June 2011. Names and qualifications of the valuers are:

  • Mr Heinz Lindeman AAPI – Certified Practising Valuer
  • Mr Shane Welsh ASA – Certified Practising Valuer, Plant & Machinery

The next valuation will be undertaken during 2013‑14.