National Grid 2008 Annual Report Download - page 401

BOWNE INTEGRATED TYPESETTING SYSTEM
CRC: 307
Name: NATIONAL GRID
Date: 17-JUN-2008 03:10:51.35Operator: BNY99999TPhone: [phone]Site: BOWNE OF NEW YORK
Y59930.SUB, DocName: EX-2.B.7.1, Doc: 8, Page: 58
Description: EXH 2(B).7.1
0/1812.00.00.00Y59930BNY
[E/O] EDGAR 2 *Y59930/812/1*
BOWNE INTEGRATED TYPESETTING SYSTEM
CRC: 307
Name: NATIONAL GRID
Date: 17-JUN-2008 03:10:51.35Operator: BNY99999TPhone: [phone]Site: BOWNE OF NEW YORK
Y59930.SUB, DocName: EX-2.B.7.1, Doc: 8, Page: 58 Description: EXH 2(B).7.1
0/1812.00.00.00Y59930BNY
[E/O] EDGAR 2 *Y59930/812/1*
58
is workin
g
with Of
g
em to a
g
ree the chan
g
es to its licence applicable to its retained
g
as distribution business to reflect these
proposals which will apply from 1 April 2008.
At Ofgem’s request, National Grid Gas has consulted on incentive scheme structures which will apply to its system operation
activities from 1 April 2008. Followin
g
this consultation process, which ended on 25 January 2008, Of
g
em will take into account
the results of the consultation in decidin
g
on the final
p
ro
p
osals to be
p
ut forward, to a
pp
l
y
from 1 A
p
ril 2008.
On 18 January 2008, National Grid Gas accepted Ofgem’s final proposals in respect of the prices its LNG stora
g
e business
may char
g
e for the provision of certain re
g
ulated services includin
g
the provision of operatin
g
mar
g
ins services. This will permit
these prices to increase in line with inflation. National Grid Gas also derives revenues from the provision of
g
as stora
g
e
services to gas shippers at its LNG storage sites, but these services are sold by auction and the prices are not regulated.
National Grid plc announced an updated dividend policy on 31 January 2008. Its current dividend policy is to increase dividends
per ordinary share by 7 per cent. per annum until 31 March 2008. The board of National Grid plc intends to recommend a new
policy with the following two components: (i) for the current financial year a one-off increase of 15 per cent. over last year’s full
year dividend; and (ii) thereafter a tar
g
eted increase of 8 per cent. per annum from this enhanced base until 31 March 2012.
This will result in a recommended final dividend for the year endin
g
31 March 2008 of 21.3 pence per ordinary share and a full
year dividend of 33 pence per ordinary share.