- Power utility National Grid said it had it had submitted a response critical of a new UK regulatory framework that it claims won't allow it to generate high enough returns.

'The overall framework proposals set out by Ofgem in the sector specific consultation are a step in the right direction,' the company said.

However, National Grid suggested the plans did not fairly reflect 'the risk-return balance for consumers and investors alike'.

'Specifically, we show that rectifying the individual errors in the current proposal, taking a balanced view of the full suite of evidence and removing the unjustified 50 basis points outperformance adjustment, results in an allowed return on equity of 5.5%,' it added.

'We also highlight that incentive based regulation has driven at least £15bn of long term consumer value in electricity transmission over the last 25 years and encourage Ofgem to re-embrace the concept of incentivisation to deliver innovation and efficiency.'

At 9:20am: [LON:NG.] National Grid PLC share price was -1.4p at 872.1p

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