PSE&G drops rates 3.9% as restructuring charge ends
Written By: Stratton Report
December 1, 2015
On December 1, Public Service Electric and Gas Co. announced that effective immediately annual electric bills have dropped by approximately 3.9 percent as a charge related to energy restructuring expires. The reduction was recently approved by the New Jersey Board of Public Utilities.
The December 1 change is in addition to reductions totaling about 2.4 percent that took effect earlier in 2015. As a result of these reductions, the annual bill for a typical residential electric customer who uses 7,200 kilowatt-hours annually and receives electric supply from PSE&G has dropped by about $85, or approximately 6.3 percent since Jan. 1, 2015.
The charges that expired in 2015 are recovered costs incurred by PSE&G for the securitization of stranded costs and associated taxes it paid related to when the state’s electric industry was deregulated.
Additional deregulation-related charges are expected to expire in 2016.