New Jersey Natural Gas Applies for Rate Cut
New Jersey Natural Gas customers would see monthly bills lowered by anywhere from two to more than four percent starting in October, if applications filed today are approved by the state Board of Public Utilities (BPU)
Under theWall Township company's Basic Gas Supply Service (BGSS) and Conservation Incentive Program (CPI) requests, a typical residential heating bill would drop 4.3 percent, according to data released by NJNG today.
In terms of hard cash, a home-based customer using 100 therms a month for heat would pay about $4.72 less while customers using 1,000 therms a month would save about $47.20.
Residential customers other than those billed for heat would see reductions of about 2.8 percent. Small businesses would save about 3.8 percent. Large commercial users would see rates drop about 2.1 percent.
The firm seeks to reorient its CIP rate to fit the demand created during the long, cold winter. CIP promotes conservation and energy efficiency while leveling steep fluctuations.
NJNG officials say that CIP has resulted in customer savings of $299,000,000 since its inception in 2006.
The BGSS rate would stay as-is under the filing. A December 2013 reduction translated to a 6-percent decrease for a typical customer. BGSS compensates the company's outlay for buying the commodity and usually accounts for about half the bill.