New Jersey Resources (NYSE: NJR) unit pairs 8.9% bill cut with $157.6M base rate increase request
Filing Impact
Filing Sentiment
Form Type
8-K
Rhea-AI Filing Summary
New Jersey Resources’ subsidiary New Jersey Natural Gas is seeking changes to its regulated rates while temporarily lowering customer bills. The company filed a base rate case and related supply and efficiency filings with New Jersey regulators that together are designed to cut residential bills by 8.9% for the 2026–2027 winter, or about $158 per year for an average household, once implemented. At the same time, NJNG is requesting a $157.6 million increase in delivery revenues to recover roughly $950 million of recent system and technology investments, based on a $4,046.1 million rate base and an allowed return on equity of 10.10%. If the filings are approved as submitted, the company expects customer rates to be nearly flat compared with current levels after the core heating season.
Positive
- None.
Negative
- None.
Insights
NJNG pairs near-term bill cuts with a sizable, but regulated, rate case request.
New Jersey Natural Gas, the main subsidiary of New Jersey Resources, is reshaping its rate structure. Filings with the New Jersey Board of Public Utilities combine gas cost and efficiency adjustments with a base rate case tied to around $950 million in recent investments.
The company targets an $157.6 million increase in delivery revenues, derived from a $4,046.1 million rate base and a 7.60% overall return, including a 10.10% return on equity and a 55.50% equity layer. Management emphasizes that, if approved, bill reductions of 8.9% for the 2026–2027 winter and the timing of any base rate increase should keep average bills roughly flat versus today.
Investor impact depends on final BPU outcomes, which are typically negotiated and can take nine to twelve months. The filing underpins potential earnings growth from a larger regulated asset base, but the allowed return, disallowances, and implementation timing will only be clear once the case concludes, which NJNG does not anticipate before 2027.
8-K Event Classification
2 items: 7.01, 9.01
2 items
Item 7.01
Regulation FD Disclosure
Disclosure
Material non-public information disclosed under Regulation Fair Disclosure, often investor presentations or guidance.
Item 9.01
Financial Statements and Exhibits
Exhibits
Financial statements, pro forma financial information, and exhibit attachments filed with this report.
Key Figures
Proposed revenue increase: $157.6 million
Rate base: $4,046.1 million
Return on equity: 10.10%
+5 more
8 metrics
Proposed revenue increase
$157.6 million
Requested delivery revenue increase in 2026 base rate case
Rate base
$4,046.1 million
Total rate base used to calculate revenue requirement
Return on equity
10.10%
Requested ROE in base rate case
Overall rate of return
7.60%
Weighted cost of capital on rate base
Equity ratio
55.50%
Proposed common equity portion of capital structure
Customer bill reduction
8.9%
Targeted cut to typical residential bills for 2026–2027 winter
Annual savings per customer
$158
Estimated yearly savings for an average residential customer
System investments
$950 million
Recent investments NJNG seeks to recover through base rates
Key Terms
Base rate case, Basic Gas Supply Service (BGSS), Conservation Incentive Program (CIP), Rate base, +2 more
6 terms
Base rate case financial
"filed a base rate case with the New Jersey Board of Public Utilities"
The base rate case is the central forecast used in financial models that represents the most likely set of outcomes given current information and standard assumptions. Like a company's everyday budget or a weather app's 'most likely' forecast, it guides valuation, budgeting and risk assessment by showing expected revenues, profits and cash flow under normal conditions; comparing it with upside and downside scenarios helps investors see how sensitive an investment is to changes.
Basic Gas Supply Service (BGSS) financial
"annual Basic Gas Supply Service (BGSS) and Conservation Incentive Program (CIP) filing"
Basic gas supply service (BGSS) is a regulated default natural gas delivery option that ensures households and small businesses receive continuous gas when they lack a fixed-price contract. Investors view BGSS as a source of steady, low-margin revenue where prices are often set or limited by regulators and tied to wholesale costs, so it behaves like a predictable subscription with little upside but clear exposure to commodity price swings and regulatory changes.
Conservation Incentive Program (CIP) financial
"Basic Gas Supply Service (BGSS) and Conservation Incentive Program (CIP) filing"
A conservation incentive program (CIP) is a government or private scheme that pays landowners, businesses, or communities to preserve natural resources, reduce pollution, or adopt environmentally friendly practices. Investors should care because CIPs can change a company's costs, create new revenue streams or tax benefits, and shift long-term land or resource values—much like a subsidy that alters the economics of running and valuing a farm, factory, or real-estate asset.
Rate base financial
"Rate Base $ 4,046.1"
Rate base is the dollar value of the physical assets and capital a regulated utility uses to deliver its service — things like power plants, pipes, or equipment. Regulators use that value as the starting point to set prices the utility can charge by allowing a specific percentage return on that base, so a larger or higher-valued rate base usually means higher permitted revenues and therefore directly affects investor earnings and the company's ability to raise capital.
Return on equity financial
"based on a return on rate base of 7.60 percent and a return on equity of 10.10 percent"
Return on equity shows how effectively a company uses its shareholders' money to generate profit. It is calculated by dividing the company's net profit by its shareholders' equity, indicating how much profit is earned for each dollar invested by owners. Higher return on equity suggests the company is good at turning investments into earnings, which can be an important factor for investors assessing its profitability and efficiency.
Working Capital financial
"Working Capital $ 242.1"
Working capital is the money a business has available to cover its daily expenses, like paying bills and buying supplies. It’s like the cash in your wallet that helps you handle everyday costs; having enough ensures the business can operate smoothly without running into money shortages.
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, DC 20549
FORM 8-K
CURRENT REPORT
PURSUANT TO SECTION 13 OR 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934
Date of Report (Date of earliest event reported): June 1, 2026
(Exact Name of registrant as specified in its charter)
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(State or Other Jurisdiction of Incorporation)
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(Commission File Number)
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(IRS Employer Identification No.)
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(Address of Principal Executive Offices)
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(Zip Code)
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(732 ) 938-1480
(Registrant’s telephone number, including area code)
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the
following provisions:
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Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
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Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
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Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
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Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))
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Securities registered pursuant to Section 12(b) of the Act:
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Title of each class
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Trading Symbol(s)
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Name of each exchange on
which registered
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Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this
chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).
Emerging growth company ☐
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any
new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐
| Item 7.01 |
Regulation FD Disclosure.
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Today, New Jersey Natural Gas Company (“NJNG”) issued a press release announcing it submitted its base rate case, annual Basic Gas Supply Service (BGSS),
Conservation Incentive Program (CIP), and Energy Efficiency filings with the New Jersey Board of Public Utilities on June 1, 2026 (the “Press Release”), and published an investor fact sheet summarizing the base rate case filing (the “Investor Fact
Sheet”). A copy of the Press Release and Investor Fact Sheet are attached hereto as Exhibit 99.1 and Exhibit 99.2, respectively.
The information in Item 7.01 of this Current Report on Form 8-K, including Exhibit 99.1 and Exhibit 99.2, is being furnished and shall not be deemed
“filed” for the purposes of Section 18 of the Securities Exchange Act of 1934, as amended, or otherwise subject to the liabilities of that Section and shall not be deemed to be incorporated by reference into any registration statement or other
document pursuant to the Securities Act of 1933, as amended.
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Item 9.01
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Financial Statements and Exhibits.
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(d)
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Exhibits.
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Exhibit Number
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Exhibit
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99.1
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Press Release dated June 1, 2026 (furnished, not filed)
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99.2
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Investor Fact Sheet (furnished, not filed)
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104
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Cover page in Inline XBRL format
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SIGNATURE
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the
undersigned hereunto duly authorized.
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NEW JERSEY RESOURCES CORPORATION
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Date: June 1, 2026
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By:
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/s/ Roberto F. Bel
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Roberto F. Bel
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Senior Vice President and Chief Financial Officer
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Exhibit 99.1
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NEW JERSEY NATURAL GAS SUBMITS FILINGS TO NJBPU FOR CUSTOMER SAVINGS
AND FUTURE RECOVERY OF RELIABILITY INVESTMENTS
Submissions lower natural gas bills by 8.9 percent this upcoming winter heating season
while advancing review for rate recovery of critical reliability investments
WALL, N.J., June 1, 2026 -- New Jersey Natural Gas
(NJNG), the principal subsidiary of New Jersey Resources (NYSE: NJR), today announced it has submitted filings to the New Jersey Board of Public Utilities (NJBPU) that, taken together, provide customers with a 8.9% reduction in customer bills in
advance of the 2026-2027 winter season – a $158 annual savings for the average residential customer – and rate stability while seeking recovery for investments in the continued delivery of safe, reliable natural gas service, which is the most
affordable energy to heat homes and businesses.
Once all filings are implemented, NJNG anticipates that the overall net result will leave NJNG customer rates nearly flat compared to today’s rates.
"By strategically managing our gas supplies, NJNG is able to bring our customers meaningful bill savings for this upcoming winter heating season,” said Steve Westhoven,
President and Chief Executive Officer of New Jersey Natural Gas. “The investments in system resiliency allow us to deliver heat to homes and businesses without disruption, especially during extreme weather, as we successfully did during this very
challenging, abnormally cold, past winter.”
The submissions include: NJNG’s annual Basic Gas Supply Service (BGSS) and Conservation Incentive Program (CIP) filing, its Energy Efficiency filing, and a request to
adjust base rates to reflect approximately $950 million in system investments that benefit customers but are not reflected in current rates.
The filings are being submitted together in a conscious way to
deliver significant bill savings of approximately $158 per customer over the year beginning on October 1, 2026, or a reduction of 8.9 percent of the typical residential customer bill. At the same time, the base rate case is being intentionally
timed for implementation near the end of the 2026-2027 winter period, when customer usage for home heating needs typically begins to drop.
This request is the beginning of the review process with the NJBPU, which typically results in a negotiated settlement. If approved as filed, NJNG’s request to recover on
investments made in the system would be an increase of 12.7 percent, for the average residential heating customer using approximately 79 therms per month.
NEW JERSEY NATURAL GAS SUBMITS FILINGS TO NJBPU FOR CUSTOMER SAVINGS AND FUTURE RECOVERY OF RELIABILITY INVESTMENTS
Submissions lower natural gas bills by 8.9 percent this upcoming winter heating season while advancing review for rate recovery of critical
reliability investments
“By seeking recovery of our critical reliability investments alongside cost reductions, we are able to provide a meaningful reduction in bills for the upcoming winter and
then stabilize bills to remain nearly flat with current rates after the core heating season,” continued Westhoven.
8.9% Bill Savings for the Upcoming Heating Season
NJNG is positioned to deliver these savings to its customers this upcoming winter because of the responsible steps the company has taken to manage its gas portfolio ahead
of and through the 2025 and early 2026 winter, along with reductions of the rate to recovery its energy efficiency program costs and its CIP rate, which normalizes customer bills and NJNG financial margins year-to-year to reflect fluctuations from
weather and customer usage patterns.
The total savings being delivered to customers for the upcoming winter is approximately $98 million or $158 over the year for the typical residential household.
NJNG’s prudent gas purchases, hedging practices, and gas supply incentive programs allowed proactive purchases of the majority of its natural gas for the winter well in
advance of the heating season, locking in prices when they are typically lower. Over the life of these incentive programs, a total of $1.6 billion has been generated in direct bill savings for
customers.
Recovery of System Investments
The approximately $950 million of investments for which NJNG is seeking recovery include reliability and safety upgrades to the extensive 7,500-mile pipeline network
operated and maintained by the company to serve approximately 600,000 homes, businesses, and critical services. It also reflects costs of workforce wages, safety and environmental compliance enhancements, and the necessary replacement of a
decades-old, customer-facing technology system that is being retired by the provider.
These investments in NJNG’s infrastructure and operations benefit customers, but are not reflected in current rates.
NEW JERSEY NATURAL GAS SUBMITS FILINGS TO NJBPU FOR CUSTOMER SAVINGS AND FUTURE RECOVERY OF RELIABILITY INVESTMENTS
Submissions lower natural gas bills by 8.9 percent this upcoming winter heating season while advancing review for rate recovery of critical
reliability investments
“The majority of NJNG’s capital investments are to maintain the high-quality, safe and extraordinarily reliable service we provide to our customers,” added Westhoven.
NJNG’s system enhancement, renewal and reinforcement investments were made to infrastructure located in over 100 municipalities. Notable investments covered in the
filing include:
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Upgrades to critical infrastructure, including looping and reinforcement projects, trunkline replacements and the replacement of vintage distribution mains and associated service lines to ensure
the safety, reliability and integrity of its delivery systems and support mandates set forth in state and federal regulation.
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The Jamesburg Replacement Project, a 6-mile transmission-scale project in Monmouth County that creates additional service resiliency by eliminating a single point of failure for service to more
than 230,000 customers in Monmouth County.
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Replacement of an aging, customer‑facing technology system that is being retired by its vendor – enhancements that improve our ability to service customers and that support our field, emergency
response, dispatch and engineering operations.
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Investment in cybersecurity consistent with industry standards to safeguard proprietary, personnel and customer information, as well as the operation of NJNG’s systems.
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Increased labor, healthcare and other costs due to inflation that support NJNG’s union workforce.
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Typically, the BPU’s rigorous review of base rate filings takes between nine and twelve months.
On this timeline, any final rate increase stemming from the filing will not take effect until the latter part of the 2026-2027 winter season, as customer usage begins to
fall. The average customer uses approximately 80% of their annual gas usage during the winter period.
As noted, NJNG anticipates that when all filings are implemented, customer rates will be nearly flat compared to where rates are today.
NEW JERSEY NATURAL GAS SUBMITS FILINGS TO NJBPU FOR CUSTOMER SAVINGS AND FUTURE RECOVERY OF RELIABILITY INVESTMENTS
Submissions lower natural gas bills by 8.9 percent this upcoming winter heating season while advancing review for rate recovery of critical
reliability investments
Energy Assistance Available for Customers
NJNG knows that affordability matters, and we are committed to supporting our customers with expanded bill assistance and bill management programs. Customers can visit www.njng.com/energyassistance,
email energyassist@njng.com or call 800-221-0051 to learn more about eligibility and available programs.
NJNG also provides access to financing of an expansive number of energy efficiency solutions, which can reduce annual customer costs by up to 30% annually.
Through SAVEGREEN®, NJNG’s energy efficiency program, customers can access energy-efficiency rebates and financing options for high-efficiency equipment to help save
energy and money. For more information, visit www.savegreen.com.
FORWARD-LOOKING STATEMENTS:
This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, Section 21E of the Securities Exchange
Act of 1934, as amended, and the Private Securities Litigation Reform Act of 1995. NJR cautions readers that the assumptions forming the basis for forward-looking statements include many factors that are beyond NJR’s ability to control or estimate
precisely, such as expectations regarding future market conditions and the behavior of other market participants. Words such as “anticipates,” “estimates,” “expects,” “projects,” “may,” “will,” “intends,” “plans,” “believes,” “should” and similar
expressions may identify forward-looking statements and such forward-looking statements are made based upon management’s current expectations, assumptions and beliefs as of this date concerning future developments and their potential effect upon
NJR. There can be no assurance that future developments will be in accordance with management’s expectations, assumptions and beliefs or that the effect of future developments on NJR will be those anticipated by management. Forward-looking
statements in this release include, but are not limited to, certain statements regarding NJNG’s base rate case and investment programs, projected bill savings and stabilization, expected net rate outcome, projected customer savings amounts, future
service reliability and rate levels, anticipated timing of rate implementation, expected regulatory process outcome, impacts of system investments.
NEW JERSEY NATURAL GAS SUBMITS FILINGS TO NJBPU FOR CUSTOMER SAVINGS AND FUTURE RECOVERY OF RELIABILITY INVESTMENTS
Submissions lower natural gas bills by 8.9 percent this upcoming winter heating season while advancing review for rate recovery of critical
reliability investments
Additional information and factors that could cause actual results to differ materially from NJR’s expectations are contained in NJR’s filings with the U.S. Securities
and Exchange Commission (“SEC”), including NJR’s Annual Reports on Form 10-K and subsequent Quarterly Reports on Form 10-Q, recent Current Reports on Form 8-K, and other SEC filings, which are available at the SEC’s website, http://www.sec.gov.
Information included in this release is representative as of today only and while NJR periodically reassesses material trends and uncertainties affecting NJR's results of operations and financial condition in connection with its preparation of
management's discussion and analysis of results of operations and financial condition contained in its Quarterly and Annual Reports filed with the SEC, NJR does not, by including this statement, assume any obligation to review or revise any
particular forward-looking statement referenced herein in light of new information, future events or otherwise, except as required by law.
About New Jersey Resources
New Jersey Resources (NYSE: NJR) is a diversified energy infrastructure and energy services company that provides safe and reliable natural gas and clean energy services,
including transportation, distribution, asset management and home services. NJR is composed of five primary businesses:
| • |
New Jersey Natural Gas, NJR’s principal subsidiary, operates
and maintains natural gas transportation and distribution infrastructure to serve customers in New Jersey’s Monmouth, Ocean and parts of Morris, Middlesex, Sussex and Burlington counties.
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Clean Energy Ventures invests in, owns and operates solar
projects providing residential and commercial customers with low-carbon solutions.
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Energy Services manages a diversified portfolio of natural
gas transportation and storage assets and provides physical natural gas services and customized energy solutions to its customers across North America.
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Storage and Transportation serves customers from local
distributors and producers to electric generators and wholesale marketers through its ownership of Leaf River Energy Center and the Adelphia Gateway Pipeline, as well as a 50% equity ownership in the Steckman Ridge natural gas storage
facility.
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NEW JERSEY NATURAL GAS SUBMITS FILINGS TO NJBPU FOR CUSTOMER SAVINGS AND FUTURE RECOVERY OF RELIABILITY INVESTMENTS
Submissions lower natural gas bills by 8.9 percent this upcoming winter heating season while advancing review for rate recovery of critical
reliability investments
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Home Services provides service contracts as well as heating,
central air conditioning, water heaters, standby generators and other indoor and outdoor comfort products to residential homes throughout New Jersey.
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NJR and its nearly 1,300 employees are committed to helping customers save energy and money by promoting conservation and encouraging efficiency through Conserve to
Preserve® and initiatives such as SAVEGREEN®.
For more information about NJR visit www.njresources.com
Follow us on X (formerly Twitter) @NJNaturalGas.
“Like” us on facebook.com/NewJerseyNaturalGas.
# # #
Exhibit 99.2
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NJR CONTACT:
Adam Prior
Director, Investor Relations
Office Phone: 732-938-1145
aprior@njresources.com
www.njresources.com
1415 Wyckoff Road Wall, NJ 07719
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June 1, 2026
NEW JERSEY NATURAL GAS COMPANY
2026 BASE RATE CASE FILING SUMMARY
OVERVIEW
Today, New Jersey Natural Gas Company (NJNG), a subsidiary of New Jersey Resources (NYSE:NJR) filed a base rate case with the New Jersey Board of
Public Utilities (BPU). NJNG is seeking a $157.6 million increase in its delivery rates based on a return on rate base of 7.60 percent and a return on equity of 10.10 percent. The proposed increase reflects a 55.50 percent common equity
component.
THE NEED FOR A BASE RATE CASE
Since the conclusion of its last base rate case in 2024, NJNG has invested approximately $950 million to upgrade and enhance the safety and
reliability of its transmission and distribution systems as well as its information technology systems.
Calculating Revenue Requirement
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Rate Base
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$
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4,046.1
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Rate of Return
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7.60
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%
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Operating Income Requirement
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$
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307.5
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Pro-Forma Operating Income
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$
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195.3
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Operating Income Deficiency
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$
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112.2
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Revenue Factor*
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1.4040
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Revenue Requirements
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$
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157.6
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Revenue Factor means a gross-up to account for income taxes (9% NJ corporate income tax and 21% federal income tax) and other expenses, including uncollectibles, BPU assessment, and Division of
Rate Counsel assessment.
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Calculating Rate Base
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Plant in Service
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$
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5,035.0
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Accumulated Depreciation Reserve
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$
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(856.4
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)
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Customer Advances
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$
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(1.7
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)
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Net Plant in Service
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$
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4,176.8
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Gas Supply & LNG Inventory
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$
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134.4
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Working Capital
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$
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242.1
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Deferred Taxes
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$
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(380.2
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)
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Excess Deferred Tax
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$
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(118.5
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)
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Consolidated Tax Adjustment
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$
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(8.4
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)
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Total Rate Base
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$
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4,046.1
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Overall Cost of Capital and Rate of Return
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($ millions)
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Amount
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Percent
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Embedded
Cost
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Weighted
Cost
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||||||||||||
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Long-Term Debt
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$
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2,026.9
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44.50
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%
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4.48
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%
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1.99
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%
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||||||||
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Common Equity
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$
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2,528.0
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55.50
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%
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10.10
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%
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5.61
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%
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||||||||
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Total
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$
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4,554.9
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100.00
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%
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7.60
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%
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||||||||||
THE BASE RATE CASE PROCESS IN NEW JERSEY
Base rate cases in New Jersey are judicial proceedings, with the burden on the public utility to prove that its request is justified. The test year period for
measuring income at current rates is November 1, 2025 through October 31, 2026. The test year, after any adjustments proposed by NJNG, should reflect as closely as possible the conditions NJNG
will face when the rates being established will be in effect. Adjustments to the test period are intended to normalize the actual costs and also reflect known and measurable changes anticipated to occur. NJNG expects that this request will be
thoroughly reviewed and tested, with a conclusion not anticipated before 2027.
FORWARD-LOOKING STATEMENTS:
This investor fact sheet contains forward-looking statements within the meaning of
Section 27A of the Securities Act of 1933, as amended, Section 21E of the Securities Exchange Act of 1934, as amended, and the Private Securities Litigation Reform Act of 1995. NJR cautions readers that the assumptions forming the basis for
forward-looking statements include many factors that are beyond NJR’s ability to control or estimate precisely, such as estimates of future market conditions and the behavior of other market participants. Words such as “anticipates,”
“estimates,” “expects,” “projects,” “may,” “will,” “intends,” “plans,” “believes,” “should” and similar expressions may identify forward-looking statements and such forward-looking statements are made based upon management’s current expectations,
assumptions and beliefs as of this date concerning future developments and their potential effect upon NJR. There can be no assurance that future developments will be in accordance with management’s expectations, assumptions and beliefs or that the effect of future developments on NJR will be those anticipated by management. Forward-looking statements in this investor fact sheet include, but are not limited to, certain statements NJNG’s base
rate case and investment programs.
2
Additional information and factors that could cause actual results to differ materially from NJR’s expectations are contained in NJR’s filings
with the U.S. Securities Exchange Commission (“SEC”), including NJR’s Annual Reports on Form 10-K and subsequent Quarterly Reports on Form 10-Q, recent Current Reports on Form 8-K, and other SEC filings, which are available at the SEC’s web site,
http://www.sec.gov. Information included in this investor fact sheet is representative as of today only and while NJR periodically reassesses material trends and uncertainties affecting NJR's results of operations and financial condition in
connection with its preparation of management's discussion and analysis of results of operations and financial condition contained in its Quarterly and Annual Reports filed with the SEC, NJR does not, by including this statement, assume any
obligation to review or revise any particular forward-looking statement referenced herein in light of future events.
About New Jersey Resources
New Jersey Resources (NYSE: NJR) is a
diversified energy infrastructure and energy services company headquartered in Wall, New Jersey.
NJR is composed of five primary businesses:
| • |
New Jersey Natural Gas, NJR’s principal subsidiary, operates and maintains natural gas transportation and distribution infrastructure to serve customers in New Jersey’s Monmouth, Ocean, Morris, Middlesex, Sussex and
Burlington counties.
|
| • |
Clean Energy Ventures invests in, owns and operates solar
projects, providing customers with low-carbon solutions.
|
| • |
Energy Services manages a diversified portfolio of natural
gas transportation and storage assets and provides physical natural gas services and customized energy solutions to its customers across North America.
|
| • |
Storage and Transportation serves customers from local
distributors and producers to electric generators and wholesale marketers through its ownership of Leaf River and the Adelphia Gateway pipeline, as well as our 50%
equity ownership in the Steckman Ridge natural gas storage facility.
|
| • |
Home Services provides service contracts as well as heating,
central air conditioning, water heaters, standby generators and other indoor and outdoor comfort products to residential homes throughout New Jersey.
|
NJR and its over 1,300 employees are committed to helping customers save energy and money by promoting conservation and encouraging efficiency through Conserve to
Preserve® and initiatives such as SAVEGREEN®.
For more information about NJR:
www.njresources.com.
Follow us on X.com (Twitter) @NJNaturalGas.
“Like” us on facebook.com/NewJerseyNaturalGas.
3
FAQ
What rate changes is New Jersey Natural Gas (NJR) requesting in its 2026 base rate case?
New Jersey Natural Gas is seeking a $157.6 million increase in delivery revenues. The request is based on a $4,046.1 million rate base, a 7.60% overall rate of return and a 10.10% return on equity with a 55.50% common equity component.
How will New Jersey Natural Gas’s filings affect NJR customer bills for winter 2026-2027?
The combined filings are designed to reduce typical residential customer bills by 8.9% for the 2026–2027 winter. That equates to about $158 in annual savings for the average household, while still allowing the utility to seek recovery of its recent reliability investments.
What investments underpin New Jersey Natural Gas’s 2026 base rate request for NJR?
The base rate case reflects approximately $950 million of investments since the prior case. These include reliability and safety upgrades across NJNG’s 7,500-mile pipeline system, workforce and compliance costs, and replacement of an aging customer technology platform no longer supported by its provider.
What returns and capital structure is New Jersey Natural Gas proposing in this NJR filing?
NJNG proposes an overall rate of return of 7.60% on a $4,046.1 million rate base. The utility assumes a 55.50% common equity ratio, a 44.50% long-term debt share, and a 10.10% return on equity, with embedded long-term debt cost of 4.48%.
When might New Jersey Natural Gas’s new rates from this NJR case take effect?
The company notes that base rate cases in New Jersey typically take nine to twelve months to complete. Based on that history, NJNG does not anticipate final rates from this request before 2027, with implementation expected toward the latter part of the 2026–2027 winter season.
How much total winter bill savings does NJR expect from New Jersey Natural Gas’s filings?
NJNG estimates total savings of about $98 million for customers during the upcoming winter period. For a typical residential customer, that translates to approximately $158 in bill reductions over the year beginning October 1, 2026, mainly driven by gas supply and program cost adjustments.