National Grid to double spending, plans sale of US onshore renewables

British energy transmission and distribution company National Grid plc (LON:NG) today unveiled plans to invest GBP 60 billion (USD 76.5bn/EUR 70.4bn) over the five-year period till March 2029, nearly double the prior five years.

The utility, which operates in the UK and US, announced its new five-year financial framework as it published results for the year through March 2024.

In addition, the company unveiled plans to sell National Grid Renewables, its US onshore renewables business, and Grain LNG, its UK LNG asset. The decision comes as it is further evolving its strategy to focus on networks and will therefore be streamlining its business, explained chief executive John Pettigrew.

“Governments and regulators are moving with increased urgency to attract the levels of investment required to meet their net zero ambitions, giving us improved visibility and confidence over our medium term investment plan,” Pettigrew stated. The CEO added the envisaged investment is underpinned by the company’s performance in the latest financial year, with underlying operating profit up 6% at constant currency.

Up to USD 35 billion (EUR 32.2bn) of the spending is intended for US energy system improvements in Massachusetts and New York.

To help fund the investment programme, National Grid also announced a fully underwritten equity raise of GBP 7 billion through a rights issue.

(GBP 1 = USD 1.274/EUR 1.174)

(USD 1 = EUR 0.921)

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