An appropriately balanced financial framework is key to current and future consumers being fairly charged for the networks they use and the services they receive.
This chapter explains the principles we adopt to ensure a balance is struck between consumers benefitting from sustainably low bills and incentivising continued investment in long term assets which provide benefits over many years.
We work hard to deliver sustainable financing, reducing long term costs for stakeholders.
This Finance Annex is for stakeholders who require a more detailed understanding of how our business plan will be financed.
Notional company - Ofgem package including outperformance wedge
Notional company – Ofgem package excluding outperformance wedge
Notional company – Ofgem package with 5% dividend yield excluding outperformance wedge
Notional company – National Grid financial package
Actual company - Ofgem package including outperformance wedge
Actual company – Ofgem package excluding outperformance wedge
Actual company – Ofgem package with 5% dividend yield excluding outperformance wedge
Actual company – National Grid financial package
The appendices above set out the results of our financeability assessment for variations of Ofgem’s financial package and National Grid’s proposals. We have assessed both the notional and actual company.