PSE&G submits energy efficiency plans to NJ BPU
PSE&G on Dec. 1 submitted its blueprint to the New Jersey Board of Public Utilities (NJBPU) for its $3.1 billion energy efficiency programs.
The proposal, called Clean Energy Future – Energy Efficiency II, details 11 energy efficiency programs targeting diverse customer segments. It includes continued support for eight existing energy efficiency programs in residential, multi-family, and commercial and industrial sectors, where a substantial majority of the program achievements occur. Further, it introduces three new initiatives focused on building decarbonization, demand management and support for new technology adoption.
“Today’s filing marks a pivotal moment in our journey towards a cleaner, more sustainable New Jersey,” PSE&G President and COO Kim Hanemann said. “Building on the success of our existing energy efficiency programs, this filing aligns with PSEG’s Powering Progress vision for a future where people use less energy, and it’s cleaner, safer and delivered more reliably than ever.”
The combined lifetime electric and gas energy savings from PSE&G’s programs are expected to avert nearly 10 million metric tons of carbon dioxide emissions. Further, it should put the state on the path toward realizing the goals outlined in the 2018 Clean Energy Act, which requires the state to save energy. These goals include attaining energy savings of 0.75 percent per year for natural gas and 2 percent per year for electricity within five years of implementing the energy efficiency programs.
These investments are also expected to generate economic benefits for New Jersey residents and businesses, supporting 5,500 direct jobs annually. Additionally, PSE&G will expand its job training to include electrification measures, such as heat pump installation. As of October 2023, its job training program facilitated the hiring of more than 2,400 residents.
If approved, on average, the typical residential PSE&G customer could expect to see an increase of $3.05 on their average monthly electric bill. That works out to a roughly 2.6 percent increase. Gas heating customers could expect an average monthly increase of $2.74, approximately a 2.9 percent increase, from the start of the program through 2038.
“PSE&G’s CEF-EE II program is designed to support our state’s clean energy goals by cost-effectively reducing emissions and encouraging customer engagement in minimizing energy usage and costs,” Karen Reif, vice president of Renewables and Energy Solutions at PSE&G, said. “Through the expansion of programs and the introduction new energy efficiency initiatives, we are further shaping a cleaner, more sustainable future that will strengthen the state’s position as a clean energy leader.”
The company’s energy efficiency programs have received over 40 industry awards, acknowledging excellence in program design, marketing, and best practices since 2021. For the second consecutive year, PSE&G was honored with the ENERGY STAR Partner of the Year Award in the Energy Efficiency Program Delivery category by the U.S. Environmental Protection Agency and the U.S. Department of Energy.
Commitments for the proposed $3.1 billion program would begin in January 2025 and be made over the 30-month period of the program with capital investments beginning in 2025 and continuing for six years.
