EJB analysis finds PSE&G will be economic engine for New Jersey

PSEG_nj_economic_infographic_lrgA new economic analysis conducted by researchers at the Bloustein School finds that from 2011 to 2021, Public Service Electric and Gas Company (PSE&G) investments in New Jersey’s electric transmission network will be a powerful stimulant of the state’s economy. The report, released today, concludes the company’s 10-year, $8.1 billion transmission investment program will support 6,000 jobs annually — generating more than $4.3 billion in salary and benefits and more than $640 million in state and local government revenue.

Download the report: Economic Impact Analysis of PSE&G’s Capital Expenditure Program.

“PSE&G’s annual capital expenditures are a large and continuous economic engine for New Jersey,” said Joseph Seneca, University Professor at the  Bloustein School and coauthor of the study. “The aggregate impact from PSE&G’s portfolio of capital investments will increase state GDP by an estimated $6.6 billion and drive much needed economic growth for the state on a sustained basis.”

“Rutgers’ study is powerful proof of the benefits of investing in a better New Jersey,” said Senate President Stephen Sweeney. “Updating our energy systems benefits all concerned. Customers get better reliability and access to lower cost electricity and it creates thousands of badly needed jobs. That allows people to help feed their families, pay their rent and mortgages and educate their children.”

Seneca explained that the employment supported by PSE&G’s capital spending will occur across a wide range of sectors. Seneca said the investments will initially directly support jobs and businesses in construction, engineering and manufacturing, but will also create a ripple effect throughout the broader economy generating indirect employment in retail, transportation and services.

“This study details how our infrastructure investments are stimulating the New Jersey economy,” said Ralph LaRossa, president and COO of PSE&G. “We’re proud to be able to build a more reliable system that will be a competitive advantage for the state and better serve our customers, but we’re equally proud to be able to give people a chance to put their skills to good use and support their families.

“PSE&G’s investments have taken many of our skilled members off the bench and put them to work making New Jersey a better place to live,” said Assemblymen Joseph Egan, business agent of IBEW Local Union 456. “We are pleased to work together with PSE&G to help our members improve the lives of their families, while making New Jersey’s energy system more resilient.”

The report analyzed the impact of seven large-scale projects designed to improve electric transmission capacity across the utility’s service territory. It did not include PSE&G regular operating and maintenance expenditures or the spending on the recently approved $1.22 billion Energy Strong program. PSE&G estimates that the Energy Strong program could support another 2,900 jobs annually for the next three years.

The seven transmission projects include:

  • Southern Reinforcement Project
  • 69 kV Upgrade Portfolio
  • Bergen-Linden Corridor Upgrade
  • Susquehanna-Roseland Project
  • North-Central Reliability Project
  • Burlington-Camden Reliability Project
  • Northeast Grid Project

 

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