Slide 1: Massachusetts Electric Investor Site Visit
Massachusetts NEW PICTURE HERE Electric Investor Site Visit 4 March 2019
Slide 2: The US is a fast growing part of our portfolio
The US is a fast growing part of our portfolio • Represents 45% of our asset portfolio TOTAL ASSETS As at March 2018 • Underscores our value proposition ‒ attractive combination of asset growth and dividends • While 5% 45% ‒ delivering world-class operational and safety performance US Regulated NG V
Slide 3: Overview by jurisdiction – FY18
Overview by jurisdiction – FY18 $20.7bn $3.3bn 8.9% US RATE BASE CAPITAL INVESTMENT ACHIEVED ROE As at March 2018 For year ended March 2018 For year ended March 2018 New York 9.0% $11.5bn $1.7bn Massachusetts 7.8% New York $2.8bn $0.3bn New York Rhode Island 6.9% FERC FERC 11.5% FERC $0.3bn US Overa
Slide 4: Industry trends driving investment
Industry trends driving investment • Aging infrastructure ELECTRIC INVESTMENT DRIVERS ‒ storm hardening / resilience ~15% • Environmental policy – National Grid ~25% Customer driven Future proofing jurisdictions have aggressive CO2 reduction targets $1.3bn FY18 ELECTRIC • Falling costs of renewables
Slide 5: Our strategic priorities
Our strategic priorities • Deliver world-class network reliability and safety performance • Achieve returns as close as possible to the allowed ‒ delivered 95% in FY18 • Disciplined investment in core networks ‒ timely recovery of capex NEW ENVIRONMENTAL INFRASTRUCTURE POLICY • Propose new solutions
Slide 6: Massachusetts Electric – Business Overview
Massachusetts Electric – Business Overview RATE BASE ($m) CAPEX ($m) 3,000 400 7% 15% growth p.a. growth p.a. 300 2,000 200 1,000 Massachusetts Electric 100 0 0 13/14 15/16 17/18 13/14 15/16 17/18 Massachusetts Electric Investment distribution companies since 2016 • 1.3 million electric customers •
Slide 7: New Massachusetts Electric rate filing
New Massachusetts Electric rate filing Evolving the regulatory deal • National Grid re-filed for Massachusetts Electric in November 2018 • Commission order expected September 2019, with new rates effective October 2019 • Key requests under this filing: Requested financials Requested capex Requested
Slide 8: Today’s visit
Today’s visit Leading the development of tomorrow’s networks Northboro Operations Transmission Control, Security Operations Center and Solar & Storage Program 13.15 Tour of electric transmission control cyber security operations centers 13.45 Solar & Storage Program – Tour of the NBRO canopy NEW ENV
Slide 9: Q & A
NEW PICTURE HERE Q& A