New Jersey Natural Gas Submits Annual Filings to the New Jersey Board of Public Utilities

Proposed 4 Percent Increase Driven by Warmer Winter Weather and Energy-Efficiency
Program Recovery

WALL, N.J.–(BUSINESS WIRE)–New Jersey Natural Gas (NJNG), the regulated subsidiary of New Jersey
Resources (NYSE: NJR), today submitted its annual Basic Gas Supply
Service (BGSS), Conservation Incentive Program (CIP) and
energy-efficiency program recovery filings to the New Jersey Board of
Public Utilities (BPU). The net effect for the typical residential
heating customer using 100 therms a month is an increase of 4 percent,
or $4.12 per month, driven by last winter’s warmer weather and recovery
of NJNG’s energy-efficiency investments. Even with this proposed rate
increase, customers’ bills would still be 37 percent lower than 2008.

“Providing our customers with safe and reliable service is our top
priority,” said Steve Westhoven, president and COO of New Jersey Natural
Gas. “Through our purchasing strategies and energy-efficiency programs,
we are committed to helping our customers manage their energy use and
costs. We continue to monitor market conditions and look for
opportunities that benefit our customers.”

In its filings, NJNG requested a 1.4 percent BGSS decrease and a 2.4
percent Balancing Charge increase on the typical customer bill. The BGSS
and Balancing Charge recover the cost of natural gas supply delivered to
NJNG’s system to serve its customers and balance deliveries with
customer usage. NJNG also requested a 2.5 percent increase related to
its CIP, a program designed to help normalize rates for annual weather
and usage fluctuations. When combined, the impact of the BGSS and CIP
filing is an increase of 3.5 percent.

NJNG’s BGSS filing represents the commodity charge passed through to
customers based on the company’s cost to acquire natural gas. Any change
to this rate does not result in a change in profits to the company. The
CIP normalizes year-to-year fluctuation from changing weather and usage
patterns on both customers’ bills and NJNG’s financial margins. This
past December to April was 7.6 percent warmer than the same period last
year.

In a separate filing, NJNG also is seeking a 0.5 percent increase
related to its energy-efficiency rate, which recovers costs associated
with The SAVEGREEN Project® offerings, including investment
in energy-efficient equipment upgrades and whole-house improvements.
Since its inception in 2009, NJNG has invested more than $170 million to
assist over 54,000 customers upgrade to energy efficiency and save
energy and money.

Pending BPU approval, the overall 4 percent change would take effect
October 1, 2019.

About New Jersey Resources

New Jersey Resources (NYSE: NJR) is a Fortune 1000 company that provides
safe and reliable natural gas and renewable 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 over 7,400 miles of natural gas transportation and
    distribution infrastructure to serve more than half a million
    customers in New Jersey’s Monmouth, Ocean, Morris, Middlesex and
    Burlington counties.
  • NJR Clean Energy Ventures is a leading renewable energy company that
    invests in, owns and operates residential and commercial solar
    projects with a total capacity in excess of 250 megawatts, providing
    residential and commercial customers with low carbon solutions.
  • NJR Energy Services manages a diversified portfolio of natural gas
    transportation and storage assets, and provides customized energy
    solutions to customers across North America.
  • NJR Midstream serves customers, from local distributors and producers
    to electric generators and wholesale marketers, through its 50 percent
    equity ownership in the Steckman Ridge natural gas storage facility
    and a 20 percent equity interest in the PennEast Pipeline Project.
  • NJR Home Services provides service contracts, as well as heating,
    central air conditioning, water heaters, standby generators, solar and
    other indoor and outdoor comfort products to residential homes and
    businesses throughout New Jersey.

NJR and its more than 1,000 employees are committed to helping customers
save energy and money by promoting conservation and encouraging
efficiency through Conserve to Preserve® and initiatives such
as The SAVEGREEN Project® and The Sunlight Advantage®.

For more information about NJR:

Visit www.njresources.com.
Follow
us on Twitter
@NJNaturalGas
.
“Like” us on facebook.com/NewJerseyNaturalGas.
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our free NJR investor relations app for iPad, iPhone and Android.

Contacts

Media:
Michael Kinney
732-938-1031
mkinney@njresources.com

Investors:
Dennis Puma
732-938-1229
dpuma@njresources.com

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