PSE&G 2012 Annual Report Download - page 6

helping New Jersey continue to rebuild from Superstorm Sandy,
in ways that not only address immediate needs but provide long-
lasting benefits to the customers and communities we serve.
Energy efficiency is essential to a sustainable energy future.
Overall, PSE&G is investing more than $300 million in a range
of energy efficiency programs that have produced savings for
customers and are expected to create about 1,300 jobs. We
tailor our initiatives to expand access to energy efficiency in
ways that have not been met by the market alone. For example,
we have a highly successful energy efficiency program for
hospitals – the only program of its type in the country where
the utility bears the upfront capital costs. The 19 hospitals
participating in our energy efficiency program to date are
expected to save $8 million a year in energy costs — savings
that are anticipated to grow to $160 million over 20 years.
On another front, PSE&G’s solar energy investments have
played an important role in helping New Jersey to create
green energy and jobs. Certainly, one of the highlights of
2012 was having New Jersey Governor Christie with us for a
groundbreaking event on July 31 for our new solar energy farm
in Hackensack, New Jersey. When completed a few months
later, this project became the fifth PSE&G solar farm that uses
renewable energy to breathe new life into a landfill or former
industrial site. Building on the success of such efforts, we have
proposed an $883 million expansion of our solar programs to
develop an additional 233 megawatts of solar capacity. This
effort would create an estimated 1,500 jobs over five years while
helping reduce emissions.
We continue to invest beyond New Jersey as well to provide
clean, emissions-free solar energy where there are supportive
public policies and attractive opportunities. In October 2012,
our PSEG Solar Source subsidiary began commercial operation
of a new 25 megawatt solar farm in Queen Creek, Arizona. In
December, we began construction of the 15 megawatt New
Milford solar energy farm – the largest solar facility in Delaware.
PSEG Solar Source now has a presence in five states.
building a bright future
In summary, we have continued to execute well on our
objectives. We remain determined to keep on a sound course
that will enable us not only to withstand the current weak power
market, but provide value to our customers and shareholders
over the long term. We are doing this, among other ways, by
investing in regulated utility projects offering reasonable, risk-
adjusted returns; improving the operating capability of our
generating fleet; and maintaining a strong balance sheet to
internally finance growth and improve shareholder returns.
Our employees’ continued support remains fundamental to
all our efforts, and I cannot thank them enough for all their fine
work. As a company with a strong, century-long commitment to
corporate citizenship and leadership, we salute our employees
for all they do as people helping people in their communities.
PSEG has been increasingly recognized for its economic,
environmental and social responsibility efforts. In 2012, PSEG
was named for the second consecutive year to the Dow
Jones Sustainability World Index, which includes leading
sustainability-driven companies around the globe. PSEG is the
only American utility to be on this important international list in
each of the last two years.
We remain as dedicated as ever to long-term leadership in
providing safe, reliable, economic and green energy. We thank
you, our shareholders, for your loyalty and support. We will
continue working hard to maintain your confidence and trust.
Sincerely,
Ralph Izzo
Chairman, President and Chief Executive Officer
Public Service Enterprise Group
February 25, 2013