National Grid PLC (LON:NG.) expects to invest £30-£35bn in the UK and US over the five-year period to 2025/26.
The commitment was revealed in the energy transmission and distribution company’s full-year results, which showed a 3% fall in underlying profit before tax in the year to March 31 to £2.41bn from £2.49bn the year before.
On a statutory basis, profit before tax was up 19% to £2.90bn from £1.75bn the year before.
The full-year dividend was nudged up 1% to 49.16p from 48.57p the previous year.
"In the past year, we have successfully navigated the challenges of COVID-19, delivered over £5 billion of capital investment and achieved a solid underlying financial performance. This is testament to the strength and resilience of our business model and the unwavering commitment of our employees,” said John Pettigrew, the chief executive of National Grid.
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“We also announced the transformational acquisition of WPD which will ensure National Grid is at the heart of the energy transition in the UK and enhance the future growth profile of the group. National Grid has an exciting future, with numerous opportunities in the UK and US to provide energy security and support the delivery of net-zero. Our critical role in the energy sector, alongside our position as a principal partner at COP26, provides us with a unique opportunity to call for more ambitious action towards a clean energy future and a strong platform from which to generate value for all our stakeholders.
“Our confidence in the group's prospects is reflected in the ambitious five-year outlook for capital investment, asset growth and earnings, which we are announcing today,” he added.
Shares in National Grid were up 0.9% at 939.3p in mid-morning trading.