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National Grid Announces Plan for New Solar Energy Program in Massachusetts

Thu Oct 2, 2008 9:12am EDT
Company First to Respond Under Green Communities Act
WALTHAM, Mass.--(Business Wire)--
National Grid today announced that it has made an informational
filing with the Massachusetts Department of Public Utilities its plan
to develop and own new solar generation in the Commonwealth. The
company is the first in Massachusetts to present its proposal under
the state's new legislation, the Green Communities Act, which allows
utilities to develop and own up to 50 megawatts of solar generating
facilities by 2010.

   National Grid's proposal includes:

   --  Developing, building, and owning solar installations across
        the state, initially at four National Grid-owned locations in
        the Greater Boston area,

   --  Working with customers throughout Massachusetts to identify
        locations where National Grid would install, own and maintain
        solar generation on customer-owned buildings or properties --
        such as state and federal government-owned buildings and
        public schools in the Commonwealth -- and promoting solar
        education and science curricula in schools where solar systems
        are located, and

   --  Providing education and advice to customers who want to
        participate in existing solar initiatives as a supplement to
        National Grid's energy efficiency programs.

   "We are pleased to take a leadership role in promoting renewables,
an important part of the Green Communities Act. We believe that
developing solar generation can offer very real benefits to our
customers and complements our existing portfolio of energy efficiency
programs across the Northeast," said Tom King, president of National
Grid in the U.S.

   "We are taking tangible action now to implement our solar program
that will deliver clean electricity power resources. This is another
way in which we can help safeguard our environment for future
generations by helping to mitigate the effects of global climate
change."

   As part of its plan, National Grid has proposed installation of
solar panels at four company-owned sites that have sufficient space
and can best assist in relieving electricity congestion points. These
locations are in:

   --  Revere -- Wharf Street - National Grid proposes a 1.5 MW solar
        installation;

   --  Dorchester - Victory Road -- The site of National Grid's
        natural gas tank visible from I-93 south of Boston. National
        Grid proposes a 1 mw solar installation at this site;

   --  Everett -- Rover Street - National Grid proposes a 1.5 MW
        solar installation; and

   --  Haverhill -- Hilldale Road - the company proposes a 1 MW solar
        installation at this location.

   Following engineering, licensing and permitting, and working
closely with the host communities, the company expects to break ground
on the new installations during the spring of 2009.

   Preliminarily, National Grid estimates that designing and building
the four new solar sites will cost approximately $38 million, which
could be offset by the amount of energy produced and available
subsidies. If approved, the company anticipates these solar
installations could cost its customers in Massachusetts approximately
8 cents per month.

   "These installations are just a start for us; in the coming
months, we expect to expand our program to include installations on
customers' properties including municipal, state and federally owned
buildings. Massachusetts' public schools also are included, as is
providing education and advice on solar generation for our customers,"
King said. "Through implementation of this plan, we will help
diversify the Commonwealth's renewable energy portfolio and further
develop utility-scale solar generation that will be critical in
advancing the development of the solar industry in the state."

   National Grid has more than 20 years of experience in the solar
industry, beginning with the first large scale photovoltaic
installation on 30 homes during the late 1980s in Gardner, Mass. In
recent years, the company has connected approximately 4.7 MW of
distributed solar generation on the New England electricity system and
it administered the installation of more than 1,700 solar photovoltaic
systems in Long Island, New York.

   National Grid is an international energy delivery company. In the
U.S., National Grid delivers electricity to approximately 3.3 million
customers in Massachusetts, New Hampshire, New York and Rhode Island,
and manages the electricity network on Long Island under an agreement
with the Long Island Power Authority (LIPA). It is the largest
distributor of natural gas in the northeastern U.S., serving
approximately 3.4 million customers in Massachusetts, New Hampshire,
New York and Rhode Island. National Grid also owns over 4,000
megawatts of contracted electricity generation that provides power to
over one million LIPA customers.

National Grid
Debbie Drew, 781-907-1753

Copyright Business Wire 2008



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