NJNG's Game-Changing Energy Investment: $482M in SAVEGREEN Expansion Sets New Standards

New Jersey Natural Gas (NJNG) just filed an ambitious proposal that’s about to reshape how the state tackles climate goals. The $482.4 million expansion of their SAVEGREEN program represents the largest energy-efficiency investment in company history—and the numbers are hard to ignore.

The Real Impact: Emissions and Savings Combined

Here’s what makes this filing compelling: if the program reaches full capacity, participating customers will collectively save over 94 million therms of natural gas annually. Translated into climate impact, that’s equivalent to preventing 694,000 metric tons of CO2 from entering the atmosphere—roughly the same environmental benefit as removing 155,000 vehicles from New Jersey roads every single year.

For individual households, the math works too. Residential customers using standard heating loads (1,000 therms annually) can expect an average bill reduction of $44.83, or about 3%, spread across the program cycle.

Financing Structure: The No-Cost Barrier Approach

The proposal’s strategic split reveals smart program design: $245.1 million in direct investment paired with $217.2 million in financing options. Most notable is the continuation of 0% APR on-bill repayment programs, which eliminates upfront costs—a proven customer acquisition lever that addresses the main barrier preventing households from adopting efficiency upgrades.

This structure already demonstrates traction. Since its inception, SAVEGREEN has engaged 93,000 customers through rebates and incentives, with participation numbers reaching 238,000 customers in the past year alone.

Program Scope: Three Strategic Pillars

The expanded SAVEGREEN framework launches January 1, 2025, running through June 30, 2027, and addresses three key areas:

Energy-Efficiency Upgrades: Streamlined offerings targeting residential, commercial, multifamily, hospital and municipal customers—including explicit support for low- and moderate-income segments.

Demand Response Innovation: NJNG is introducing a natural gas demand response (DR) solution using smart thermostat integration and meter-level technology. Real-time insights help customers reduce peak-hour consumption with optional participation and financial incentives.

Building Decarbonization: The company is piloting district geothermal heating systems within its service territory and offering hybrid heat system rebates—positioning customers toward longer-term emission reductions beyond traditional efficiency measures.

Workforce and Economic Multiplier

Beyond customer programs, the proposal expands the Workforce Development Program, offering free training and certification in clean energy technologies. Historical data shows this matters: over its lifetime, SAVEGREEN has generated approximately $595 million in economic activity and built a contractor portfolio that continues sustaining regional employment.

The Regulatory Path Forward

The proposed program requires New Jersey Board of Public Utilities (BPU) approval, with expectations the regulator will green-light a framework that aligns individual customer benefits with the state’s broader climate commitments. NJNG serves approximately 576,000 customers across central and northern Jersey, making this program’s potential reach significant.

This filing signals a company betting on the market viability of efficiency-first energy models—where regulatory approval converts into sustained customer adoption and measurable emissions reductions.