Gas distribution

Together with other leading global infrastructure investors we have invested in four U.K. gas distribution networks (GDNs) - spanning half the country’s connected households and serving 11m customers across a network of 131,000 km of gas pipeline.

The GDNs deliver gas from the high pressure transmission network (owned by National Grid) to the end consumer across the East of England, North London, the North West of England the West Midlands.

The GDNs are well-established, predictable, and strong cash-yielding businesses operating under a stable regulatory framework, allowing a permitted return by investors on the regulated asset base of the business. This regime is overseen by Ofgem and benefits from RPI-linked revenues. Future cash flow generation is predictable with regulatory mechanisms to reduce the risk of unpredictable costs.