Why some New Jersey residents may see lower gas bills starting next month

Some South Jersey residents may once again see lower gas bills.

PSE&G, which covers parts of Burlington, Camden, and Gloucester Counties, announced Wednesday that the gas supply rate would be reduced by about 7 cents per therm, a unit of heat measurement. The new supply charge — which represents how much a provider pays for the amount of gas a customer uses, with no markup — will go into effect Sunday.

As a result, households that use 100 therms a month will see a $4 decrease in their monthly bill on average, the company said in a statement.

“We continue to work hard to deliver affordable, high quality, safe services while helping our customers manage their energy use and costs,” Dave Johnson, vice president of customer care, said in a statement.

This marks the third supply rate decrease PSE&G gas customers have seen this year. In February, the rate declined by 15 cents per therm. A month later, the rate dropped by 3 cents per therm, as natural gas prices decreased to pre-pandemic levels.

With all three rate decreases, PSE&G said residential gas customers have seen their monthly gas bills drop 18%, or about $23, on average over the course of 2023.

Across New Jersey, PSE&G, the state’s largest electric and gas service provider, serves more than 5 million residents.

In Pennsylvania, residential gas customers of Peco and PGW have also seen their supply charges decrease in recent months.