FOR IMMEDIATE RELEASE
Media Contact: Dan Lockwood x4108
Investor Relations Contact: Marissa Travaline x4227
May 21, 2014
SJG CONSERVATION INCENTIVE PROGRAM CONTINUATION APPROVED BY NJBPU
FOLSOM, N.J. - South Jersey Gas received approval today from the New Jersey Board of Public Utilities to continue its Conservation Incentive Program. The CIP is designed to encourage conservation while protecting the company from the financial impact of reduced sales volumes. The approval has no immediate impact on current rates charged by SJG. As in the past, any increase in the CIP rate must be accompanied by reductions in Basic Gas Supply Service costs, which is the mechanism to pass through commodity costs to customers. Since its inception, SJG has provided $85 million of BGSS cost reductions to its customers through the CIP mechanism.
SJG`s pilot CIP program, first approved by the NJBPU in October 2006, focused on reducing consumption with the interests of natural gas customers and shareholders aligned. From October 2006 through April 2014, customers have reduced their natural gas usage by a total of 41.6 billion cubic feet, which is enough gas to heat over 469,000 homes annually. The reduced usage has enabled customers to save approximately $454.2 million, while $42.8 million of SJG`s net income was protected.
"Throughout our company`s history, we have implemented conservation programs designed to aid customers in reducing natural gas bill costs," said Jeffrey E. DuBois, president of South Jersey Gas. "As a result of the CIP, SJG has, and will continue to, promote and embrace a conservation-oriented corporate culture," he added.
The approved program has no defined term of years or expiration date, but will be subject to review in 2017.
South Jersey Gas is the principal subsidiary of South Jersey Industries (SJI) and provides natural gas service to approximately 362,000 residential, commercial and industrial customers in Atlantic, Cape May, Cumberland, Salem, and significant portions of Gloucester, Burlington and Camden counties in New Jersey. Visit http://www.southjerseygas.com to learn more about South Jersey Gas and its programs.
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Source: South Jersey Industries via GlobeNewswire
- Utility Industry