LONDON (dpa-AFX) - National Grid plc (NG.L, NGG) announced that, following the rate case filing in April 2017, the Group and the New York Public Service Commission have filed a Joint Proposal for a three-year rate plan settlement for the Niagara Mohawk Power Corporation electric and gas distribution utility. The final decision from the Commission is expected in the spring of 2018 with new rates effective as of April 2018.
The joint proposal, which covers fiscal years 2018/19 to 2020/21, includes revenue increases over each of the three years, an allowed 9% return on equity for both utilities, a capital programme of $2.5 billion in total and incorporates estimated customer savings of $76 million related to the prospective impact of US tax reform. Revenues, before the impact of the deferred credits, would increase by $206 million in 2018/19 which compares to National Grid's initial request of $317 million. For 2019/20 and 2020/21 incremental year-on-year revenue increases would be $36 million and $60 million, respectively.
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