Superstorm Sandy fails to subdue National Grid
POWER utility National Grid has said the cost of repairs to its US infrastructure in the wake of Hurricane Sandy is unlikely to exceed £100m.
The Midland-based company said the full impact of the super-storm had yet to be determined but it was confident it would be able to restore supplies with minimal disruption.
In the firm’s half-year results statement chief executive Steve Holliday said: “I am pleased with the progress we made in the first half of the year: operating our networks safely and reliably and delivering a record level of investment. More recently, our teams in the US responded in a timely, safe and effective way to restore service to our customers and limit disruption caused by ‘Superstorm’ Sandy.”
The first six months of 2012/13 saw the group’s operating profit rise 7% to £1,592m at constant currency rates but this excludes the impact of timing and major storms. Pre-tax profit was up 21% to £1,155m.
Earnings per share rose 20% at 23p (14% excluding impact of timing and major storms) and interim dividend increased by 4%.
It said investment was up 23% to £1.8bn; mostly in regulated UK and US operations.
In outlook, it said: “In the UK, as we work through the final stages of Ofgem’s RIIO process, our focus is on successfully implementing a number of RIIO readiness initiatives, led by the ongoing development of our new UK operating model. In the US, our priority remains to improve overall returns through improved customer service and efficiency, combined with securing appropriate rate case outcomes in key jurisdictions.
“Our actions in the first six months to deliver our strategic priorities and improve performance combine with a sustained drive to improve safety, reliability and customer service across our businesses. As a result, we are well positioned to deliver another year of good operating and financial performance.”
