2011-12-21 / Front Page

PSE&G lowers natural gas bills

PSE&G has announced that it is lowering residential gas bills by an additional 4.6 percent, or nearly $8.53 per winter month for the typical residential customer.

The utility said the action represents the eighth decrease in a row for residential customers, for a total of more than $614, or 35 percent, in savings since January 2009. The price reduction takes effect Dec. 1.

PSE&G attributed the cost savings and rate reductions to lower market prices for gas, which are partially due to the availability of abundant and lowercost shale gas.

Under the new supply gas rates, a typ- ical residential gas heating customer who uses 160 therms in a winter month, or 1,050 therms annually, will see a decrease in their annual bill of $56, or approximately 4.6 percent. The same customer’s annual bill will be reduced to $1,151 from $1,207, and their monthly winter bill will be $174.

A residential gas-heating customer who uses 100 therms in a winter month, or 660 therms annually, will see a decrease in their annual bill of $35 or about 4.5 percent. This customer’s annual bill will be reduced to $750 from $785. Their monthly winter bill will be $111.

“The eight decreases over three years, including the additional 4.6 percent now, will provide a much-needed positive impact for our customers in these challenging times,” said Joseph A. Forline, PSE&G vice president for customer operations.

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