National Grid PLC (LON:NG.) has submitted a request to increase rates it charges at its upstate New York distribution business, Niagra Mohawk, for next year.
The energy distribution group has requested that the New York Public Service Commission update electric and gas distribution rates for Niagara Mohawk that would increase the business’s revenue by US$100mln in total for electric and US$42mln for gas.
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Niagara Mohawk, which serves 1.6mln electric customers and 0.6mln gas customers across its service territory and represents almost 30% of the FTSE 100 company's US rate base, would start charging the new rates as of July 2021.
National Grid said it had made a one-year filing but had submitted revenue data for two additional years to help facilitate a multi-year settlement.
“The filing will fund programmes necessary to continue a safe and reliable service, modernise the electric and gas networks, expand electric vehicle charging, and promote economic growth,” the company said.
Investments in the proposal include those to support affordable de-carbonised heating, including the expansion of renewable natural gas.
The shares were down 0.5% to 895.8p in early trading on Monday.