Company Profile
When a steel mill threatened to pull out of New Jersey and move to the Southeast where electricity rates are cheaper, Public Service Electric & Gas Co. (PSE&G) did some creative thinking.
How could it keep the mill, Co-Steel Raritan, and its 500 jobs and $36-million annual payroll in Perth Amboy, NJ?
After considerable negotiation, PSE&G proposed an experimental hourly pricing plan that lets Co-Steel Raritan take advantage of the lowest fuel costs within the Pennsylvania-New Jersey-Maryland (PJM) pool.