PUBLIC SERVICE ENTERPRISE GROUP INC (PEG)

The company is a New Jersey public utility holding company, incorporated in 1985 and headquartered at 80 Park Plaza, Newark, New Jersey. Through wholly owned subsidiaries it is a predominantly regulated electric and gas utility and a nuclear generation business. Its strategy is to grow by directing capital mainly toward regulated investments, improving the sustainability and predictability of the business, and realizing the value of carbon-free nuclear generation. Its profitability depends on its subsidiaries' operating results.

The business is conducted mainly through two direct subsidiaries. PSE&G, incorporated in 1924, is a franchised New Jersey public utility that earns revenue from regulated tariffs for electric transmission and for electric and natural gas distribution. It also offers appliance services and repairs, and invests in regulated solar generation, energy efficiency, electric vehicle charging infrastructure and other clean energy programs. Transmission rates are set by FERC through formula rates, and distribution rates by the New Jersey Board of Public Utilities (BPU). PSEG Power LLC, a Delaware company formed in 1999, sells energy, capacity and ancillary services from its nuclear units, mainly into the PJM markets. It also sells wholesale natural gas, primarily to PSE&G under a full-requirements contract, and enters bilateral contracts to optimize its generation and gas supply portfolio. Other subsidiaries include PSEG Long Island LLC, which operates the Long Island Power Authority's transmission and distribution system under contract. PSEG Energy Holdings holds legacy lease investments and competitively bid, FERC-regulated transmission. PSEG Services Corporation provides management and administrative services at cost.

PSE&G serves a territory running diagonally across New Jersey of about 2,600 square miles, home to about 6.8 million people, or roughly 74% of the state's population. It has 2.4 million electric customers and 1.9 million gas customers, spanning residential, commercial and industrial users. In 2025, commercial customers accounted for 57% of electric and 38% of gas sales, residential for 34% and 58%, and industrial for 9% and 4%. Customers may choose their energy suppliers, and PSE&G acts as supplier of last resort, passing commodity costs through with no margin. Electric supply is procured through BPU-authorized annual auctions, and gas is supplied by PSEG Power. A Conservation Incentive Program ties over 90% of distribution margin to customer counts rather than sales volumes. The company expects load growth from electric vehicles, data centers and electrification.

PSE&G is a transmission owner in PJM Interconnection, the regional transmission organization for the Mid-Atlantic. It carries out multi-year BPU-approved investment programs, including energy efficiency, gas main replacement and electric reliability projects. PSEG Power had 3,758 MW of nuclear capacity at year-end 2025, located in New Jersey and Pennsylvania, and is subject to FERC regulation as a public utility under the Federal Power Act. It supplies PSE&G's peak gas needs through firm transportation capacity, storage contracts, peaking supply, and liquefied natural gas and propane.