New Jersey Natural Gas (NJNG), the principal subsidiary of New Jersey Resources, 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.
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