January 2012 Capital Investment - National Grid

Exhibit ___ (EIOP-19)Page 60 of 684III A. Statutory or RegulatoryStatutory or Regulatory investment levels are based primarily on a review of historicalblanket spending and forecasted spending on known specific work. These estimatesreflect consideration given to inflation, estimates of materials, labor, indirect cost, marketsector analysis, overall economic conditions and historical activity.Variances in planned program spending between the 2012 Plan and the 2011 Plan arealso discussed below.BlanketsSpecific ProjectsTable III-2Statutory or RegulatoryVariance Summary ($millions)CIP FY12 FY13 FY14 FY15 FY16 FY17 Total2011 0.7 0.7 0.8 0.8 0.8 - 3.92012 - 0.7 0.7 0.8 0.8 0.8 3.82011 1.3 0.2 0.7 1.9 0.2 - 4.22012 - 3.4 3.3 3.4 4.7 4.7 19.4Inspection and 2011 10.0 10.9 11.5 11.0 6.0 - 49.5Maintenance 2012 - 13.4 12.7 11.0 11.0 11.0 59.1Total2011 12.0 11.9 12.9 13.7 6.9 - 57.52012 - 17.6 16.7 15.1 16.5 16.5 82.4Aside from blanket and program projects, there is one specific project identified underthis spending rationale that has forecasted spending in excess of $1 million in any singlefiscal year:• Project C34722, DOTR NYS Route 28 White Lake - McKeever Substation(Moose River) Transmission Line: This project provides for the mandatoryrelocation of 6 miles of 46kV overhead sub-transmission facilities along Route 28in the towns of Forestport and Webb to facilitate a NYSDOT.III-2 261