SJG Offers Second Bill Credit in 2011 to Customers

South Jersey Gas has notified the New Jersey Board of Public Utilities that it will offer the Basic Gas Supply Service self-implementing bill credit of approximately $20 million to its customers. This means an average residential customer who buys their natural gas from SJG will receive a credit of approximately $63 on their next bill. SJG is able to offer the BGSS bill credit as a result of continued lower wholesale natural gas prices and the overall management of the company’s gas supply portfolio.

As a result of this credit and another for $23 million offered earlier this year, and in addition to a 3.4 percent rate reduction that went into effect in September, SJG residential customers have seen a 14 percent decrease in bill costs this year. Additionally, customer bills are currently as low as those from 10 years ago.

"As an organization, we continually monitor the market to best manage costs and are pleased to be working with the BPU to help save our customers money,” said Edward J. Graham, chairman, president and CEO of South Jersey Gas. "With the availability and close proximity of Marcellus Shale gas to SJG’s service area, natural gas prices continue to remain low, giving SJG the ability to provide a bill credit for the second time this year. Receiving a lump sum credit will result in many customers having a very minimal payment on their next bill, which will allow them to use their money for other expenses during the holiday season,” added Graham.

The BGSS clause serves as a method to pass along increases or decreases in gas costs to customers; therefore, SJG’s income is not affected by BGSS rate adjustments or credits.

South Jersey Gas is the principal subsidiary of South Jersey Industries (NYSE: SJI) and provides natural gas service to more than 349,000 residential, commercial and industrial customers in Atlantic, Cape May, Cumberland, Salem, and significant portions of Gloucester, Burlington and Camden counties in New Jersey. Visit www.southjerseygas.com to learn more about South Jersey Gas and its programs.