National Grid Proposes New Rate Plan for Upstate New York
(Reuters) -Britain's National Grid said on Monday it had filed a three-year rate plan proposal with the New York Public Service Commission for its upstate New York electric and natural gas distribution business.
Niagara Mohawk Power Corporation (NIMO), which serves 1.7 million electric and 600,000 gas customers, represents around 15% of National Grid's regulated asset base.
If the proposed plan is approved, residential electricity customers using an average of 625 kilowatt-hours (kWh) per month would see monthly bills rise by $14.32 in the first year, $6.44 in the second, and $4.34 in the third.
Residential natural gas customers using an average of 78 therms per month would see monthly bills rise by $7.66 in the first year, $8.08 in the second, and $9.18 in the third, the company said.
The plan, which will run from May 2025 to March 2028, includes a return on equity of 9.5%, and capital investment of $1.43 billion in electricity and $351 million in gas for NIMO in the first rate year, National Grid said.
It also includes more than $290 million in bill discounts, and retirement of about 112 miles (180 km) of leak-prone natural gas pipe in the next three years, the company added.
A final decision from the commission is expected in the next few months.
(Reporting by Shashwat Awasthi in Bengaluru; Editing by Janane Venkatraman, Kirsten Donovan)
