PSEG announces plans for five-year infrastructure plan totalling up to $17 billion
The Public Service Enterprise Group (PSEG) announced plans on Thursday to invest up to $17 billion on energy infrastructure in New Jersey over the next five years, including investments in energy efficiency and electric vehicle infrastructure.
The diversified energy company’s plans call for investing $6 billion in transmission projects, $3 billion in natural gas distribution reliability and safety, $2.5 billion in hardening of electric and gas facilities, $2.5 billion in energy efficiency, $300 million in smart electric vehicle infrastructure, and $100 million in utility-scale energy storage. If approved, PSEG projects the plan would grow the company’s annual rate by 8-10 percent annually.
“This ambitious program is all about continuing the positive momentum that the people of PSEG have built over the last 115 years,” PSEG Chairman, President and CEO Ralph Izzo said. “It is the most significant investment program in PSEG’s history, marking a strong commitment to modernization of our infrastructure and a clean energy future. This will help meet growing consumer desire to use less energy, to ensure the energy they use is cleaner, and to lower bills.”
PSEG estimates that its proposed $2.9 billion in investments in energy efficiency would generate 5,000 direct and indirect jobs over a six-year period. The investments would reduce carbon dioxide emissions by 24 million tons and energy usage by 40 million megawatt hours of electricity and by 675 million terms of natural gas.
“This energy efficiency program would be a win-win for the state,” Izzo said. “This program will put New Jersey at the forefront of clean energy policy and will align the utility’s incentives with the rising expectations of our customers.”
Plans also call for PSEG Power, the merchant generation and power marketing business, to continue transitioning to a more efficient and clean power generation fleet. Over the last five years, PSEG Power has retired 4,000 megawatts of inefficient generation and has built three new combined-cycle power plants.
“PSEG Power is helping combat climate change by preserving nuclear generation as a carbon-free resource and developing new highly efficient, combined-cycle plants to displace coal and older, less-efficient gas plants,” Izzo said.
