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South Jersey Gas, a subsidiary of SJI, is headquartered in Atlantic City.
ATLANTIC CITY — Over the next five years, South Jersey Gas will spend $200 million to refine its distribution system through upgrades to its infrastructure, the company said Wednesday.
The improvement program, which was approved by the New Jersey Board of Public Utilities on Wednesday, will begin July 1, the company said in a news release.
South Jersey Gas will start by replacing roughly 250 miles of what it says are “at-risk facilities,” including vintage coated steel and Aldyl-A plastic mains and related services. Excess flow valves also will be installed on new service lines, the company said.
By replacing aging infrastructure, South Jersey Gas said, the distribution system will better serve customers and support conservation measures by reducing emissions, all while promoting job creation.
“At South Jersey Gas, our more than 400,000 customers count on us to provide safe, reliable, affordable natural gas service,” said company President and Chief Operating Officer Brent Schomber. “The Infrastructure Investment Program approved today prioritizes methane emissions reductions and enhances our long-term system reliability, ensuring that we can continue to meet the needs of our customers who rely on us to cost-effectively heat their homes, warm their water and cook their meals, even during the coldest days of the year and under adverse weather conditions.”
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Customers will not see immediate rate changes because of the project’s authorization, and rate hikes are not planned, the company said.
South Jersey Gas, a subsidiary of South Jersey Industries, has tasked itself with other infrastructure work aimed at improving customer service.
In 2021, the company was heralded by the Alliance for Action for taking on a $6.5 million pipeline replacement in the Absecon Inlet, improving service for Brigantine to increase supply demand should a natural disaster, such as a hurricane, yield a surge in needed energy resources.
Before that work, known as “Brigantine Bridge Redundancy Project,” was finished earlier this year, a 10-inch steel pipe suspended from the bridge between Brigantine and Atlantic City was the small seaside community’s only natural gas provider, the company said last year.
“While South Jersey Gas has been making considerable investments to modernize its natural gas system for many years, a significant portion of the company’s legacy distribution system is still comprised of aging, at-risk pipe,” said Melissa Orsen, senior vice president and president of SJI Utilities. “As these aging systems are replaced through an orderly, efficient program like the IIP approved today, South Jersey Gas customers, the communities it serves, and the state, as a whole, will receive immediate and tangible benefits.”
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South Jersey Gas, a subsidiary of SJI, is headquartered in Atlantic City.
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