National Grid 2008 Annual Report Download - page 259

BOWNE INTEGRATED TYPESETTING SYSTEM
CRC: 63251
Name: NATIONAL GRID
Date: 17-JUN-2008 03:10:51.35Operator: BNY99999TPhone: [phone]Site: BOWNE OF NEW YORK
Y59930.SUB, DocName: EX-2.B.6.1, Doc: 6, Page: 53
Description: EXH 2(B).6.1
0/2657.00.00.00Y59930BNY
[E/O] EDGAR 2 *Y59930/657/2*
BOWNE INTEGRATED TYPESETTING SYSTEM
CRC: 63251
Name: NATIONAL GRID
Date: 17-JUN-2008 03:10:51.35Operator: BNY99999TPhone: [phone]Site: BOWNE OF NEW YORK
Y59930.SUB, DocName: EX-2.B.6.1, Doc: 6, Page: 53 Description: EXH 2(B).6.1
0/2657.00.00.00Y59930BNY
[E/O] EDGAR 2 *Y59930/657/2*
Electricity Transmission
The Issuer owns and operates an electricity transmission network, excludin
g
the mana
g
ed LIPA facilities, of approximately
8,600 miles spanning upstate New York, Massachusetts, Rhode Island, New Hampshire and Vermont. National Grid USA’s
U.S. transmission facilities operate at volta
g
es ran
g
in
g
from 69 kV to 345kV, utilisin
g
nearly 8,500 miles of overhead lines, 89
miles of under
g
round cable and 501 substations. The Issuer is the lar
g
est electricity transmission service provider in the
northeast of the United States, by reference to the length of these high-volta
g
e transmission lines. In addition, as referenced
below, the Issuer owns and operates a 139-mile direct current transmission line rated at 450 kV that is a key section of an
interconnector between New England and Canada.
In New England and New York, the Issuer’s transmission business, managed as part of National Grid plc’s international
transmission business, operates within two independent system operators (“ISOs”), ISO – New England and ISO – New York.
These non-profit entities are the system operators for the New En
g
land and New York transmission networks. The ISOs are
responsible for operatin
g
or
g
anised wholesale markets for ener
g
y, operatin
g
reserves and capacity; for maintainin
g
the
operating reliability of the New England and New York transmission networks; for co-ordinatin
g
the activities of the transmission
owners; and for managing transparent transmission expansion planning processes.
The Issuer is one of several transmission owners operatin
g
within each of these ISOs. The transmission owners are
responsible for certain aspects of the operation of the transmission facilities they each own, such as maintenance, equipment
restoration and switchin
g
operations. The Issuer works closely with the ISOs in New En
g
land and New York to support efficient
market and network operations and transmission investment.
Gas Distribution
National Grid USA’s
g
as distribution businesses in upstate New York, Massachusetts, and Rhode Island, prior to the acquisition
of KeySpan, provided services to 571,000 customers in 216 communities across upstate New York throu
g
h NMPC and 248,000
customers in 33 communities in Rhode Island throu
g
h Narra
g
ansett. With the recent acquisition of KeySpan, the lar
g
est
distributor of
g
as in the northeast of the United States, the Issuer now provides
g
as distribution services to approximately
2.6 million additional gas customers located in downstate New York, Massachusetts, and New Hampshire. National Grid USA’s
g
as distribution companies network, prior to the KeySpan acquisition, was 11,800 miles of
g
as pipelines in upstate New York
and Rhode Island, which covered approximately 5,460 square miles. The
g
as distribution, transmission and stora
g
e systems
owned and operated by KeySpan businesses have increased the Issuer’s
g
as network by approximately 23,336 miles of
g
as
mains and distribution pipelines. Additionally, throu
g
h assets acquired in the KeySpan acquisition, National Grid USA is now
capable of supplementin
g
its winter supply portfolio with peakin
g
supplies that are available on the coldest days of the year to
economically meet the increased requirements of its heatin
g
customers. These peakin
g
supplies include various liquefied
natural gas (“LNG”) interests and operations, includin
g
local production plants that store LNG and liquid propane until
vaporised, which are located strategically across National Grid USA’s service territories in New York, New Hampshire, Rhode
Island and Massachusetts.
National Grid USA’s
g
as distribution operations provide the core services of operation and emer
g
ency response, as well as
billin
g
, customer service, and supply services. Except for residential and small business customers in Rhode Island, customers
may purchase their supply from independent providers, with the option of having billing services for those purchases provided
53