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identified credit in its billings for electricity delivered,
to be effective for the period of time and in the amount
required to liquidate such surplus. The amounts of such
credits shall be established so as to minimize short-term
and year-to-year fluctuations in China Light's charges to
consumers.
6.
Depreciation
For the purposes of this Scheme, depreciation on fixed assets shall
be calculated on a straight line basis, in accordance with the
following schedule:
a) Assets on Books at Commencement of the Scheme
The net book value at the commencement of the Scheme shall be
written off over the remaining useful life of the asset in
accordance with the agreed "useful life" specified in b)
below.
b) Assets Acquired after the Commencement of the Scheme.
The cost shall be written off on the following basis from the
date the asset is placed in service:
Type of Asset
Land
'Buildings, overhead lines and cables
Useful Life
Period of Lease
25 years
Generating plant, switchgear and
transformers
20 years
Public lighting, meters, furniture,
computers, tools, communication
and office equipment
10 years
Motor vehicles
4 years