8. INTANGIBLE ASSETS AND PROPERTY, PLANT AND EQUIPMENT

8. INTANGIBLE ASSETS AND PROPERTY, PLANT AND EQUIPMENT

The changes in intangible assets and property, plant and equipment in the in the year ended 31 December 2014 were as follows:

January 2014

Changes

December 2014

Cost

Accumulated depreciation

Net book value

Additions

Disposals and write-offs

Transfers 

Depreciation charge

Depreciation - disposals, write-offs and other reclassifications

Cost

Accumulated depreciation

Net book value

Property, plant and equipment

Transmission and eletronic equipment

103

(96)

6

-

-

-

(4)

-

103

(100)

2

Transport equepment

1.386

(579)

806

57

(112)

-

(233)

67

1.330

(746)

585

Office equipment

231

(131)

100

7

(3)

22

(34)

3

257

(162)

95

Property, plant and equipment progress

21

-

21

1

-

(22)

-

-

-

-

-

1.740

(806)

934

65

(115)

-

(272)

70

1.690

(1.008)

682

January 2014

Changes

December 2014

Cost

Accumulated depreciation

Net book value

Additions

Disposals and write-offs

Transfers 

Depreciation charge

Depreciation - disposals, write-offs and other reclassifications

Cost

Accumulated depreciation

Net book value

Intangible assets

Concession assets

6.806.422

(3.014.064)

3.792.358

3.883

(1.870)

190.634

(202.357)

1.849

6.999.069

(3.214.571)

3.784.498

Concession assets in progress

85.062

-

85.062

159.303

-

(190.634)

-

-

53.730

-

53.730

6.891.483

(3.014.064)

3.877.420

163.186

(1.870)

-

(202.357)

1.849

7.052.799

(3.214.571)

3.838.228

Total of property, plant and equipment and intangible assets

6.893.224

(3.014.870)

3.878.354

163.251

(1.985)

-

(202.628)

1.919

7.054.489

(3.215.579)

3.838.910

The changes in intangible assets and property, plant and equipment in the in the year ended 31 December 2013 were as follows:

January 2013 Changes December 2013

Cost

Accumulated depreciation

Net book value

Additions

Disposals and write-offs

Transfers

Depreciation charge

Depreciation - disposals, write-offs and other reclassifications

Cost

Accumulated depreciation

Net book value

Property, plant and equipment
Transmission and electronic equipment 103 (83) 19 - - (13) - 103 (96) 6 2
Transport equipment 1.170 (502) 668 358 (142) (219) 142 1.386 (579) 806 585
Office equipment 222 (102) 120 18 (10) (38) 9 231 (131) 100 95
Property, plant and equipment in progress 20 - 20 1 - - - 21 - 21 -
1.515 (688) 827 377 (151) (270) 151 1.740 (806) 934 682

  

January 2013 Changes December 2013

Cost

Accumulated depreciation

Net book value

Additions

Disposals and write-offs

Transfers

Depreciation charge

Depreciation - disposals, write-offs and other reclassifications

Cost

Accumulated depreciation

Net book value

Intangible assets
Concession assets 6.563.836 (2.814.944) 3.748.892 4.454 (2.389) (200.973) 1.854 6.806.422 (3.014.064) 3.792.358 3.784.498
Concession assets in progress 142.572 - 142.572 183.011 - - - 85.062 - 85.062 53.730
6.706.408 (2.814.944) 3.891.464 187.464 (2.389) (200.973) 1.854 6.891.483 (3.014.064) 3.877.420 3.838.228
Total of property, plant and equipment and intangible assets 6.707.923 (2.815.632) 3.892.291 187.841 (2.541) (201.242) 2.004 6.893.224 (3.014.870) 3.878.354 3.838.910

The additions in the year ended 31 December 2014 and 2013 refers essentially to rights over the investments on construction/renovation and expansion of electrical and gas transportation grid.

The main additions verified in the periods ended 2014 and 2013 are made up as follows:

'14

'13

Electricity segment

  

Power line construction (220 KV)

11.046

64.462
Power line construction (400 KV)

37.003

708
Other power line constructions

12.930

6.072
Construction of new substations

20.779

19.011
Substation Expansion

40.806

53.918
Other renovations in substations

5.185

3.363
Telecommunications and information system

5.290

6.949
Pilot zone construction - wave energy

299

394
Buildings related to concession

1.106

1.172
Other assets

2.966

1.534

Gas segment

  

Expansion and improvements to gas transmission network

6.987

23.288
Construction project of cavity underground storage of natural gas in Pombal

16.842

5.645
Construction project and operating upgrade - LNG facilities

1.947

950

Others segment

  

Other assets

65

374
Total of additions

163.251

187.841

The main transfers that were concluded and began activity during the periods ended 2014 and 2013 are made up as follows: 

'14

'13

Electricity segment

  

Power line construction (220 KV)

11.033

71.044
Power line construction (400 KV)

36.841

289
Other power line constructions

12.255

6.652
Construction of new substations

19.421

32.576
Substation Expansion

50.662

71.762
Other renovations in substations

4.251

6.226
Telecommunications and information system

7.775

-
Other assets under concession

1.135

5.090
Other assets

22

-

Gas segment

  

Expansion and improvements to natural gas transmission network

7.260

44.920
Construction project of cavity underground storage of natural gas in Pombal

38.166

1.273
Construction project and operating upgrade - LNG facilities

1.835

689
Total of transfers

190.656

240.521

The intangible assets in progress at 31 December 2014 and 2013 are as follows:

'14

'13

Electricity segment

  

Power line construction (150KV/220KV e 400KV)

17.132

16.281
Substation Expansion 13.078 22.000
New substations projects

11.359

10.001
Other projects

1.889

4.411
Improvements in buildings related to concession

2.353

2.046

Gas segment

  

Expansion and improvements to natural gas transmission network

6.018

7.172
Construction project of cavity underground storage of natural gas in Pombal

1.598

22.925
Construction project and operating upgrade - LNG facilities

303

226
Total of assets in progress

53.730

85.062

Borrowing costs capitalized on intangible assets in progress in the year ended 31 December 2014 amounted to 5,360 thousand Euros (9,126 thousand Euros in 2013), while overhead and management costs capitalized amounted to 15,032 thousand Euros (16,160 thousand Euros in 2013) (Note 25). The average rate of the borrowing costs capitalized was of 0.3949%.

The net book value of the intangible assets acquired through finance lease contracts at 31 December 2014 and 2013 was as follows:

'14

'13

Cost

4.656

4.270
Accumulated depreciation and amortization

(1.149)

(1.750)
Net book value

3.507

2.521