National Grid pledges £3.8bn to energise business growth

ENERGY firm National Grid has said it expects to invest up to £3.8bn during the year ahead to growth its main businesses in the UK and United States.

In a trading update covering the period from April 1 to July 29, the Midlands-based utility said its operational and financial performance had been “solid”.

In the UK, it said the Transmission and Gas Distribution businesses had received new RIIO performance proposals (Revenue = Incentives + Innovation + Outputs). In the US, the sales of the New Hampshire distribution businesses had completed.

Steve Holliday, National Grid chief executive, said: “Our businesses have started the year well. In the UK, our focus has been on strengthening the resources, processes and organisational model needed to deliver future performance improvements.

“At the same time, we are working with Ofgem to secure appropriate long term financial frameworks for our regulated businesses. In the US, our team continues to focus on improving customer service and returns by securing the benefits of the new organisational model and through filing for new rate agreements in selected service areas.”
 
He said as a result, the firm was maintaining its positive outlook for 2012/13, which reflected the “expected delivery of another year of solid operating and financial performance”.