UK watchdog to review some gas and electricity transmission projects
LONDON - - Britain's electricity regulator has launched a review into some electricity and gas transmission projects planned by grid operator National Grid.
The regulator Ofgem, sets the amount of cash given to National Grid to maintain and improve the country's gas and electricity networks.
It said the review was needed to establish whether certain energy transmission projects were still needed and required funding.
"Following our consultation in November, Ofgem has today decided to launch a mid-period review into the 2013-2021 price controls which will be limited to National Grid Electricity Transmission and National Grid Gas Transmission," Ofgem said on Thursday.
Ofgem said since the review was targeted to a few projects it would not be re-opening the whole price control package.
"Ofgem's mid-period review announcement this morning should not concern investors, as it is focussed on reviewing 3 specific projects in Transmission," analysts at Bernsteil said in a research note.
"It is not a re-opening of the price control to change crucial aspects such as the allowed cost of capital," they added.
Gas and electricity network operator National Grid made 2.9 billion pounds $4.5 billion in pretax profit in the financial year ending March 31 2015.
Related News

Electricity sales in the U.S. actually dropped over the past 7 years
NEW YORK - Since 2010, the United States has grown by 17 million people, and the gross domestic product (GDP) has increased by $3.6 trillion. Yet in that same time span, electricity sales in the United States actually declined by 3%, according to data released by the U.S. Department of Energy (DOE).
The U.S. decline in electricity sales is remarkable given that the U.S. population increased by 5.8% in that same time span. This means that per capita electricity use fell even more than that; indeed, the Department of Energy pegs residential electricity sales per capita as having declined by 7%.
There…