UNION, N.J. – Elizabethtown Gas has reached an agreement with New Jersey Board of Public Utilities Staff, the New Jersey Division of Rate Counsel and the New Jersey Large Energy Users Coalition that resolves its first rate case since 2009. An administrative law judge has recommended that the commissioners of the New Jersey Board of Public Utilities (NJBPU) accept the agreement as their final decision.
If the settlement is approved by the NJBPU, a typical residential heating customer who uses 1,000 therms will experience an average increase of 6.9 percent in their natural gas bill, or an increase of $57.52, annually.
“Since 2010, Elizabethtown Gas has invested $390 million in system improvements that safeguard the communities it serves, and provide customers with the great service they expect,” said Brian MacLean, president of Elizabethtown Gas. “Although we’ve made significant investments in our systems we have not increased our base rates since 2009. We believe a fair agreement has been reached, look forward to a final resolution and are confident the outcome will be in the best interest of our customers and business.”
The company’s rate case, which was filed with the NJBPU in September 2016, is primarily driven by the need to recover the costs associated with making significant capital investments to modernize its natural gas infrastructure, as well as increases in operational costs.
The NJBPU is expected to review the terms of the settlement between Elizabethtown Gas, the board’s staff, the New Jersey Division of Rate Counsel and the New Jersey Large Energy Users Coalition on June 30.
Pending approval, the new rate will go into effect on July 1.