New Jersey Natural Gas Announces Bill Credit and Rate Decrease for Residential and Small Commercial Customers

Rhea-AI Summary

New Jersey Resources (NJR) announced a reduction in the Basic Gas Supply Service (BGSS) rate, effective March 1, 2023, resulting in an 8.1% savings for typical customers. This translates to approximately $129.48 in annual savings for customers using 1,000 therms per year. A one-time bill credit of $34.6 million will also be applied during March 2023. The BGSS rate will decrease by $0.0616 per therm, saving customers an additional $61.60 annually. The reductions stem from lower wholesale natural gas prices and effective supply management strategies, with NJNG emphasizing ongoing support for customers facing payment difficulties.

Positive

• 8.1% reduction in annual bills for typical customers using 1,000 therms.
• One-time bill credit of $34.6 million to customers in March 2023.
• Reduction in BGSS rate by $0.0616 per therm, offering further savings.

Negative

• None.

8.1% Reduction to Take Effect March 1, 2023

WALL, N.J.--(BUSINESS WIRE)-- Today, New Jersey Natural Gas (NJNG), the principal subsidiary of New Jersey Resources (NYSE: NJR) notified the New Jersey Board of Public Utilities (BPU) it will implement a bill credit and lower the Basic Gas Supply Service (BGSS) rate for residential and small commercial customers, effective March 1, 2023. With this bill credit and rate decrease, the typical NJNG customer using 1,000 therms per year will see a savings of $129.48, or 8.1%, on their annual bill.

“We never stop working to meet our customers’ expectations for safe, reliable service at a reasonable cost,” said Steve Westhoven, President and CEO of New Jersey Natural Gas. “Following a period of volatility and higher natural gas costs, we are pleased to see prices come down and to pass these savings on to our customers. We will continue to monitor market conditions and use our expertise to manage costs and provide savings to our customers whenever possible.”

The bill credit, totaling $34.6 million, is a one-time reduction that will be in effect March 1, 2023 to March 31, 2023. The typical residential heat customer using 134.3 therms during the month of March 2023 will see a savings of $67.88 on their upcoming natural gas bill.

NJNG is also reducing its BGSS rate by $0.0616 per therm. This represents an annual savings of $61.60 on a typical customers’ annual bill. NJNG does not earn a return on the cost of natural gas used to serve its customers. This bill credit and rate decease does not affect NJNG’s profitability.

NJNG is able to provide this bill credit and rate reduction due to recent lower wholesale natural gas prices, anticipated rate case refunds from interstate pipelines and the company’s supply management strategies.

Even with this bill credit and rate decrease, NJNG recognizes many customers may still be struggling to pay their energy bills and has resources to help. Any customer who is having trouble paying their bills should contact NJNG to learn about available Energy Assistance programs that can provide needed relief, such as deferred payment arrangements, budget plans, utility bill payment assistance, one-time grants and low- or no-cost energy efficiency programs to help reduce consumption and lower bills.

If you or someone you know is a NJNG utility residential customer in need of assistance, call 800-221-0051 and say "energy assistance" at the prompt to speak with an NJNG customer service representative or email us at energyassist@njng.com.

About New Jersey Resources

New Jersey Resources (NYSE: NJR) is a Fortune 1000 company that, through its subsidiaries, provides safe and reliable natural gas and clean energy services, including transportation, distribution, asset management and home services. NJR is composed of five primary businesses:

• New Jersey Natural Gas, NJR’s principal subsidiary, operates and maintains over 7,700 miles of natural gas transportation and distribution infrastructure to serve more than 570,000 customers in New Jersey’s Monmouth, Ocean, Morris, Middlesex and Burlington counties.
• NJR Clean Energy Ventures invests in, owns and operates solar projects with a capacity of more than 430 megawatts, providing residential and commercial customers with low-carbon solutions.
• NJR Energy Services manages a diversified portfolio of natural gas transportation and storage assets and provides physical natural gas services and customized energy solutions to its customers across North America.
• Storage & Transportation serves customers from local distributors and producers to electric generators and wholesale marketers through its ownership of Leaf River Energy Center and the Adelphia Gateway Pipeline, as well as our 50 percent equity ownership in the Steckman Ridge natural gas storage facility.
• NJR Home Services provides service contracts as well as heating, central air conditioning, water heaters, standby generators, solar and other indoor and outdoor comfort products to residential homes throughout New Jersey.

NJR and its more than 1,300 employees are committed to helping customers save energy and money by promoting conservation and encouraging efficiency through Conserve to Preserve^® and initiatives such as The SAVEGREEN Project^® and The Sunlight Advantage^®. For more information about NJR:

www.njresources.com.
Follow us on Twitter @NJNaturalGas.
“Like” us on facebook.com/NewJerseyNaturalGas.

View source version on businesswire.com: https://www.businesswire.com/news/home/20230222005686/en/

Media:

Mike Kinney

732-938-1031

mkinney@njresources.com



Investor:

Adam Prior

732-938-1145

aprior@njresources.com

Source: New Jersey Resources

FAQ

What is the savings amount for NJR customers effective March 1, 2023?

Customers will save approximately $129.48 annually with an 8.1% reduction in bills.

How much is the one-time bill credit provided by NJR?

The one-time bill credit amounts to $34.6 million for March 2023.

What is the new BGSS rate for NJR customers?

The BGSS rate will decrease by $0.0616 per therm for customers.

What factors contributed to the rate decrease by NJR?

The rate decrease is attributed to lower wholesale natural gas prices and anticipated rate case refunds.

What assistance is available for NJR customers struggling to pay bills?

NJR offers several energy assistance programs for customers having payment difficulties.