Depreciation rates

For purposes of payment of compensation under section 5 (3), the depreciation shall be calculated at annual rates arrived at by dividing ninety per cent of the book-value of each asset by the number of years of life of the asset as specified in the table below. For the account year in which an asset was brought into beneficial use, the depreciation shall be calculated at half the annual rate and for the period after the last account year to the date of taking over, the depreciation shall be calculated pro rata. Depreciation shall not be calculated for any period beyond the life of the asset as prescribed herein. TABLE Description of asset. Number of years or period. A. Land owned under full title . . Infinite. B. Land held under lease :- (a) for investment in the land . . The period of the lease, or the period remaining unexpired on the assignment of the lease. (b) for cost of clearing site . . The period of the lease remaining unexpired at the date of clearing the site. C. Assets purchased new :- (a) Plant and machinery in generating stations, including plant foundations :- (i) Hydro-electric .. Thirty-five. (ii) Steam-electric .. Twenty-five. (iii) Diesel-electric .. Fifteen. (b) Cooling towers and circulating water systems. Thirty. (c) Hydraulic works forming part of a hydro-electric system, including- (i) dams, spillways, weirs, canals, reinforced concrete flumes and syphons. One hundred. (ii) reinforced concrete pipe-lines and surge tanks, steel pipe-lines, sluice gates, steel surge tanks, hydraulic control valves and other hydraulic works. Forty. (d) Buildings and civil engineering works of a permanent character, not mentioned above- (i) offices and show-rooms Fifty. (ii) Containing thermo-electric generating plant. Thirty. (iii) Containing hydro-electric generating plant Thirty-five. (iv) temporary erections such as wooden structures. Five. (v) others Fifty. (e) Transformer, Transformer kiosks, sub-station equipment and other fixed apparatus (including plant foundations) :- (i) transformers (including foundations) having a rating of 100 kilo-volt amperes and over. Thirty-five. (ii) others Twenty-five. (f) Switchgear, including cable connections. Twenty. (g) Batteries .. Ten. (h) (1) Underground cables, including joint boxes and disconnecting boxes. Forty. (2) Cable duct systems .. Sixty. (i) Overhead lines, including supports :- (i) lines on steel or reinforced concrete supports, operating at nominal voltages higher than 13.2 kilo volts. Thirty. (ii) other lines on steel or reinforced concrete supports. Twenty-five. (iii) lines on wood supports .. Twenty. (j) Meters .. Fifteen. (k) Self-propelled vehicles .. Seven. (l) Static machine tools .. Twenty. (m) Air-conditioning plants :- (i) Static .. Fifteen. (ii) Portable .. Seven. (n) (i) Office furniture and fittings .. Twenty. (ii) Office equipment .. Ten. (o) Apparatus let on hire :- (i) other than motors .. Seven. (ii) motors .. Twenty. D. Assets purchased second hand and assets not otherwise provided for in this table. Such reasonable period as the Government determine in each case, having regard to the life, condition, and value of the asset at the time of its acquisition.