National Grid, the largest power producer in New York State, has announced that it is planning to divest its Ravenswood generating station.
Divestiture of the plant was a condition of the New York State Public Service Commission (New York PSC) order approving National Grid’s acquisition of KeySpan.
Steve Holliday, chief executive of National Grid, said: National Grid is committed to moving this process quickly forward to meet the requirements and expectations of the New York PSC. We expect to announce the winning bidder by the end of the first quarter of 2008. Subject to regulatory approvals, this timetable is well in advance of the three year period allowed by the New York PSC.
Ravenswood Generating Station, a 2,400MW facility in Queens, New York, is primarily fueled by natural gas and provides approximately 25% of New York City’s electricity supply.
Merrill Lynch & Co is acting as financial advisor to National Grid in the transaction.