New Jersey’s largest utility company, Public Service Electric and Gas Co. (PSE&G), has filed a request with the state’s Board of Public Utilities to increase power usage rates so that it can increase overall revenues by roughly 1 percent.
PSE&G called the potential rate hike “a small adjustment” in a public statement. It added that it is being requested to recover investments the utility made to strengthen its power distribution systems over the past four years, especially since Superstorm Sandy hit in 2012. It is the first rate hike PSE&G has requested since 2010. In total, residents should see an annual average of $19.70 to their bill.
“Our customer bills are already among the lowest in the state – and that won’t change,” said David Daly, PSE&G president, in a release. “As a result of strong cost control, our residential customer bills are lower today than they were eight years ago. Together with passing along savings from recent tax law changes, we’ve been able to minimize the impact on our customers.”
Revenues from base rates would be used to maintain and improve the electric and gas delivery infrastructure, such as pipes and wires, and provide customer services. Bills also contain separate charges for the electric and gas supply that is obtained by PSE&G on behalf of its customers.