Company: NEWEN
Filing Date: 2025-05-15
Form Type: 6-K
Source: 0001654954-25-005651
Chunk: 18

Company: NATIONAL GRID PLC
Filing Date: 2025-05-15
Form: 6-K
Chunk 18
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ated for exchange adjustments and to correspond with subsequent regulatory filings and calculations, and are translated at the 2024/25 average exchange rate of $1.266:£1.

| Timing over/(under)-recoveries                        |       |       |
| (£ million)                                           |  2025 | 20241 |
| Balance at start of year (restated)                   | 1,029 |    39 |
| UK Electricity Transmission                           |  -151 |   363 |
| UK Electricity Distribution                           |   407 |  -159 |
| UK Electricity System Operator                        |  -479 |   800 |
| New England                                           |    61 |   -69 |
| New York                                              |  -343 |   -20 |
| In-year (under)/over-recovery - continuing operations |  -505 |   915 |
| Disposal of UK Electricity System Operator            |  -462 |     - |
| Balance at end of year                                |    62 |   954 |

1. March 2024 balances restated to correspond with 2023/24 regulatory filings and calculations.

In 2024/25, we experienced timing under-recoveries of £151 million in UK Electricity Transmission, over-recoveries of £407 million in UK Electricity Distribution and the return of prior period over-recoveries of £479 million in UK Electricity System Operator (up to 1 October 2024, the disposal date of that business). During 2023/24, BSUoS collected revenues in UK Electricity System Operator were significantly more than system balancing costs, resulting in a £800 million over-recovery in that year. In our US regulated businesses we experienced over-recoveries of £61 million in New England, and under-recoveries of £343 million in New York. In calculating the post-tax effect of these timing recoveries, we impute a tax rate based on the regional marginal tax rates, consistent with the relative mix of UK and US balances.

#### Major storm costs
We exclude the impact of major storm costs in the US where the aggregate amount is sufficiently material in any given year. Such costs (net of in-year allowances and deductibles) are recoverable under our rate plans but are expensed as incurred under IFRS. Accordingly, where the aggregate total US major storm costs incurred (net of in-year allowances and deductibles) exceeds $100 million in any given year, we exclude the net costs from underlying earnings. In 2024/25