Replacement Optimised Annual Cost Depreciated Depreciation Replacement Cost Treatment $- $- $- Storage $3,083,398 $952,818 $19,847 Pumps $86,669 $38,692 $2,665 Reticulation $3,808,779 $2,849,632 $42,179 TOTAL $7,227,088 $4,024,151 $72,620 Wairau Valley Source $12,705 $10,220 $108 Treatment $41,554 $13,208 $1,336 Storage $- $- $- Pumps $3,562 $1,514 $89 Reticulation $888,104 $671,770 $9,526 TOTAL $945,924 $696,712 $11,059 Southern Source Valleys $985,391 $694,226 $32,352 Treatment $- $- $ - Storage $ - $- $- Pumps $3,166,739 $2,275,404 $99,037 Reticulation $19,931,931 $18,102,040 $203,321 TOTAL $24,084,061 $21,071,670 $334,710 Riverlands Source Irrigation $- $- $ - Treatment $- $- $ - Storage $- $- $ - Pumps $- $- $- Reticulation $303,172 $ 167,521 $3,121 TOTAL $303,172 $167,521 $3,121 District Total $200,721,145 $127,568,353 $3,068,051 4.2 Risk Management Risk management within the water supply function has been prepared in accordance with the MDC Risk Management Strategy and Tools. The strategy was initially developed by the Risk5 Management Steering Committee in 2001 in accordance with AS/NZS 4360 Risk Management and later updated to ISO 3100 (2009). The aim of the strategy is stated as: To identify, assess, and manage risks in a consistent and demonstrable way. Our strategy is to: 5 Risk Management Strategy and Tools. V3.2 (Dec 2011) MDC Page 60