New Jersey's largest utility is proposing to reduce natural gas rates for residential customers by nearly nine percent this winter, bringing rates to their lowest level in 14 years.

Andrew Burton, Getty Images

Public Service Electric and Gas on Thursday proposed cutting its basic gas supply rate from 54 cents to 45 cents per therm. They say the reductions would save customers up to $15 a month during the wintertime and about $100 a year.

Company officials credited shale gas drilling for helping lower costs.

The announcement was made in PSE&G's annual filing with the New Jersey Board of Public Utilities.

The new rate would take effect in October if it's approved by the BPU.


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