National Grid PLC NG. New NG & LIPA long-term power supply agreement

  National Grid PLC (NG.) - New NG & LIPA long-term power supply agreement

RNS Number : 8413N
National Grid PLC
03 October 2012






03 October 2012

                                      

                              National Grid plc

  National Grid and Long Island Power Authority Announce New Long-term Power
                               Supply Agreement

                                      

National Grid and the Long Island Power Authority ("LIPA") have announced that
they have agreed to  modify and extend their  existing Power Supply  Agreement 
for at least another 12 years.



National Grid owns and manages a number of power plants on Long Island, with a
generation capacity of 3700  megawatts. The company  has been supplying  that 
electricity to communities and businesses across Long Island since 1998, under
an agreement with LIPA that is set to expire in May 2013.



Once all  regulatory approvals  are  received, the  new agreement  would  give 
National Grid and  LIPA new  options for  updating and  modernising the  power 
plants through retiring, or  "repowering," existing facilities while  reducing 
energy costs and improving environmental performance.



                                      

CONTACTS

National Grid:

Investors
John Dawson     +44 20 7004 3170   +44 7810 831944 (m)
Andy Mead       +44 20 7004 3166   +44 7752 890787 (m)
George Laskaris +1 718 403 2526    +1 917 375 0989 (m)
Victoria Davies +44 20 7004 3171   +44 7771 973 447(m)
Tom Hull        +44 20 7004 3172   +44 7890 534833 (m)
Media
Wendy Ladd      +1 516 462 0862    

Chris Mostyn    +44 20 7004 3149   +44 7774 827710 (m)


Brunswick
Tom Burns       +44 20 7404 5959

Kate Holgate    +44 20 7404 5959 





CAUTIONARY STATEMENT

This announcement  contains  certain  statements  that  are  neither  reported 
financial results  nor  other  historical information.  These  statements  are 
forward-looking statements within the meaning of Section 27A of the Securities
Act of 1933, as  amended, and Section  21E of the  Securities Exchange Act  of 
1934, as  amended.  These  statements  include  information  with  respect  to 
National Grid's financial condition, its results of operations and businesses,
strategy, plans  and  objectives.  Words  such  as  'anticipates',  'expects', 
'should', 'intends',  'plans',  'believes', 'outlook',  'seeks',  'estimates', 
'targets', 'may', 'will',  'continue', 'project' and  similar expressions,  as 
well as statements in the  future tense, identify forward-looking  statements. 
These forward-looking statements are not guarantees of National Grid's  future 
performance and are subject to assumptions, risks and uncertainties that could
cause actual future results  to differ materially from  those expressed in  or 
implied by such forward-looking statements.  Many of these assumptions,  risks 
and uncertainties relate to factors that are beyond National Grid's ability to
control or estimate  precisely, such  as changes  in laws  or regulations  and 
decisions by  governmental  bodies  or  regulators  (including  the  new  RIIO 
approach in the UK); breaches of, or changes in, environmental, climate change
and health and safety laws or regulations, including breaches arising from the
potentially harmful nature of its activities; network failure or interruption,
the inability  to carry  out critical  non network  operations and  damage  to 
infrastructure, due  to adverse  weather conditions  including the  result  of 
climate change or due to unauthorised access to or deliberate breaches of  our 
IT systems or otherwise; performance against regulatory targets and  standards 
and against  National Grid's  peers  with the  aim of  delivering  stakeholder 
expectations regarding costs and  efficiency savings, including those  related 
to investment programmes, restructuring and internal transformation projects;
and customers and counterparties failing  to perform their obligations to  the 
Company. Other factors that  could cause actual  results to differ  materially 
from those described  in this  announcement include  fluctuations in  exchange 
rates, interest rates  and commodity price  indices; restrictions in  National 
Grid's borrowing and debt arrangements, funding costs and access to financing;
regulatory requirements for  the Company  to maintain  financial resources  in 
certain  parts  of  its  business  and  restrictions  on  some   subsidiaries' 
transactions, such as paying dividends, lending or levying charges; inflation;
the funding  requirements of  its pension  schemes and  other  post-retirement 
benefit schemes; the loss of key personnel or the ability to attract, train or
retain qualified personnel and any disputes arising with its employees or  the 
breach of laws or  regulations by its employees;  and incorrect or  unforeseen 
assumptions or  conclusions (including  financial and  tax impacts  and  other 
unanticipated effects) relating  to business  development activity,  including 
assumptions in connection with  joint ventures. The  effects of these  factors 
are difficult  to predict.  For further  details regarding  these and  other 
assumptions, risks and uncertainties please  read the Business Review  section 
including the  'Risk factors'  on pages  41 to  43 of  National Grid's  latest 
Annual Report and Accounts. In addition new factors emerge from time to  time 
and National Grid cannot assess the potential impact of any such factor on its
activities or the extent to which  any factor, or combination of factors,  may 
cause actual future results to differ  materially from those contained in  any 
forward-looking statement. Except  as may  be required by  law or  regulation, 
National Grid undertakes no  obligation to update  any of its  forward-looking 
statements, which speak only as of the date of this announcement. The  content 
of any website references herein do not form part of this announcement.

                     This information is provided by RNS
           The company news service from the London Stock Exchange

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AGRFSLFEDFESESS -0- Oct/03/2012 12:08 GMT