KeySpan Acquisition Update

National Grid PLC
10 July 2006

                                                                    10 July 2006

                 UPDATE ON NATIONAL GRID ACQUISITION OF KEYSPAN

National Grid today announces that the Federal Trade Commission granted early
termination of the waiting period under the Hart-Scott-Rodino Antitrust
Improvements Act (HSR) for its proposed acquisition of KeySpan Corporation. HSR
permits the US federal government to review certain proposed transactions for
potential effects on competition.

Remaining approvals for the acquisition include clearance under foreign
investment laws; authorisation by the Federal Energy Regulatory Commission and
by state public utility regulatory commissions, including from the New York
Public Service Commission and the New Hampshire Public Utilities Commission.



CONTACT DETAILS

Investors
David Campbell      [phone]      [phone] (m)
Richard Smith       [phone]      [phone] (m)

Media
Clive Hawkins       [phone]      [phone] (m)

Citigate Dewe Rogerson      [phone]
Anthony Carlisle            [phone](m)



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