DOW JONES NEWSWIRES
Public Service Enterprise Group Inc. (PEG) said it will raise
its electric rates under an agreement approved Monday by New
Jersey's Board of Public Utilities.
New Jersey's largest utility said it would receive $73.5 million
in additional electric revenue, which would increase the average
residential customer's bill by about $12 per year, or 0.9%.
The board deferred action on the company's request to increase
gas distribution revenues by $26.5 million until a future agenda
meeting, PSEG said.
Shares rose 2.2% to $30.98 in recent trading.
The company also agreed to refund $122 million to customers
during the next two years to resolve a long-standing issue
regarding the Market Transition Charge which was part of the
state's deregulation law implemented in 1999. When the refund is
factored in, the average residential customer's electric bill will
increase about $1 per year for the next two years.
PSEG filed for the increase a year ago, saying at the time that
the additional revenue from electricity and gas delivery rates was
needed to maintain and upgrade the distribution systems. The
company originally asked the board to approve $230.6 million in
additional revenue.
-By John Kell, Dow Jones Newswires; 212-416-2480;
john.kell@dowjones.com