National Grid 2016 Annual Report Download - page 42

Principal operations continued
US Regulated business
Along with three other leading energy
companies, we announced in January 2016,
a proposal – The Wind and Hydro Response
– to deliver 400 MW of reliable, cost-effective
clean energy to New England. The Wind
and Hydro Response is our answer to a
request for clean energy solutions that was
issued jointly by state agencies and electricity
distribution companies (including National
Grid) in Massachusetts, Rhode Island
and Connecticut.
Priorities for the year ahead
Our Connect21 journey continues to
evolve with these three priorities for
2016/17: Performance excellence, customer
value, and future customer expectations.
Performance excellence: Continue our
safety compliance and performance excellence
journey. Drive new ways of working, including
performance excellence, compliance
improvement programmes, and safety plans.
Customer value: Maximise and communicate
customer value. Deliver tangible value to
customers as identified and measured by
our service-level agreements.
Future customer expectations: Anticipate
future customer needs and transform our
customer experience. Leverage jurisdictional
model, digital customer experience,
Connect21 platform, New Energy Solutions,
and REV/Grid Mod filings.
our Engineering Pipeline Program, to explore
engineering safety, natural gas operations,
electric power systems and smart grid
technologies.
We awarded our two largest energy efficiency
grants since our energy efficiency incentive
programme began in 2009. With a $1.8 million
incentive, Finch Paper in Glens Falls, New
York purchased new equipment to remove
bark and chip wood, reduce its energy use,
yield more fibre, and secure a long-term
supply of eight-foot logs, the company’s
primary raw material. Quad Graphics
in Saratoga Springs, New York used a
$1.1 million grant to install a more efficient
printing press that has increased production
by more than 60%.
We continue to invest more in replacing
gas mains. The NYPSC approved $414 million
gas infrastructure investment in Long Island
to speed up the replacement of ageing
pipe and extend the use of natural gas
to more customers. We added more than
15,600 new gas customers.
Rhode Island
As part of our sea2shore project, we’ve begun
installing an underwater 34.5 kV cable in
preparation for Deepwater Wind, the nation’s
first offshore wind farm. The approximate
20-mile underwater cable will link Deepwater’s
five turbine project off Block Island to the
mainland power grid.
The 30 MW wind farm has the capacity to
generate enough power for 17,000 homes
and will also include a fibreoptic line, bringing
high-speed internet service to Block Island for
the first time. The wind farm is expected to
start operating this autumn.
We added seven miles of new gas mains,
replaced 50 miles of gas mains, and added
more than 1,800 new natural gas customers.
FERC
Partnering with Eversource, we completed
the interstate reliability project, completing the
New England East West Solution – a suite of
projects designed to strengthen the reliability
of the regional power grid.
Our costs for the project, $267.6 million,
include station upgrades and the installation of
a 75-mile, 345 kV transmission line along
rights-of-way in Connecticut, Massachusetts
and Rhode Island.
In focus
Connect21
Connect21 is our strategy to advance
America’s natural gas and electricity
infrastructure beyond its 20th century
limitations, and create a more
customer-centric, resilient, agile,
efcient and environmentally sound
energy network.
16.5bn
standard cubic metres of gas
that we forecast, plan for and
procure annually.
Solar initiative in Massachusetts
Our Solar Phase II initiative installs
large solar systems on sites we
believe will bring the most benet
to the electric distribution system,
regardless of the construction
challenges it may pose.
Approved by MADPU in 2014, the
initiative allows us to install up to
20 MW of utility-owned solar capacity.
During 2015/16 we partnered
with local solar developers and
municipalities to secure 18 sites
in 12 municipalities across
Massachusetts for projects
ranging from 650 kW to 1 MW.
So far, we have constructed and
connected four sites, providing
3.3 MW of solar capacity to the grid.
40 National Grid Annual Report and Accounts 2015/16 Strategic Report