New Jersey Natural Gas (NJNG) notified the New Jersey Board of Public Utilities (BPU) on October 27 that, with wholesale gas prices on the downturn, the utility would implement a bill credit, totaling $76 million, to residential and small commercial customers between November 1 of this year and February 29, 2016.
In June 2015, NJNG disclosed that it anticipated issuing a bill credit of $63.7 million. Larger than previously announced because of a greater-than-expected decline in prices, the credit is expected to save the average customer approximately 28 percent on invoices during the 2015-2016 winter season. This translates to an overall 17 percent reduction to the average customer’s bill on an annual basis.
NJNG serves more than half a million ratepayers in New Jersey’s Monmouth, Ocean, Morris, and Middlesex counties. “These savings represent good news for customers, and will be a welcome benefit during the months when natural gas usage and corresponding bills are typically at their highest,” commented NJNG CEO Laurence M. Downes.
The average residential heating customer, using 629 therms over the four-month period, will see a total credit of approximately $166. The bill credit will be $0.264/therm during the time it is in effect. The amount of savings will vary, based on each customer’s individual usage.