PSEG Launches Inaugural Climate Report

Public Service Enterprise Group (PSEG) today released its inaugural Climate Report detailing how it is preparing for the opportunities and risks associated with climate change and supporting New Jersey and the region to achieve a sustainable future. PSEG committed to producing the report consistent with the framework of the Task Force on Climate-Related Financial Disclosures (TCFD), which provides guidance on the voluntary assessment and disclosure of climate risk and facilitates reporting of environmental, social and governance (ESG) disclosures.

PSEG’s Climate Report outlines how climate change is integrated in the organization’s corporate strategy and highlights how PSEG tracks progress on its climate change goals through metrics and targets. The Climate Report also assesses potential implications of the International Energy Agency’s “2DS,” a scenario designed to limit global average temperature increases to less than 2°C by 2050. The report also reviews how PSEG incorporates climate change considerations in its governance structure and risk management processes.

“As New Jersey’s largest energy utility, PSEG plays an important part in mitigating the potential impacts of a warming climate,” PSEG Chairman, President and CEO Ralph Izzo said. “We are committed to continuing our leadership role in working to decarbonize our economy and transitioning toward a cleaner, more resilient energy system.”

Izzo continued: “While we have been working on our Climate Report for many months, I must acknowledge the current and unprecedented public health and economic emergency that is the COVID-19 outbreak. It is far too soon to draw even broad conclusions, but the coronavirus outbreak highlights many of the same issues we face in addressing climate change: the threat to public health, the risk of economic harm, the devastating impact on vulnerable communities and the need to correct structural inequities. Never before has safeguarding the health and well-being of our employees, our customers and the diverse communities we serve been so critical.”

At PSEG, climate change has been a key consideration in our long-term strategy for decades, and the recognition of its ongoing impact on our service territory is why we plan to support the preservation of nuclear generation, implement energy efficiency and other strategies to reduce – and avoid – greenhouse gas emissions, and advocate for effective climate policies at the state, regional and national levels.

Further, Izzo said: “To successfully address climate change, we must work urgently and collaboratively with and beyond the energy and investment communities – with regulators, policymakers, legislators and the public – to bring about change. It is our hope that this report helps to foster important dialogue and expands opportunities for collaboration with our stakeholders and communities, across New Jersey and the nation, as we explore the best strategies to address climate change and transition to a clean energy future.”

These organizations had the following statements on PSEG’s Climate Report:

“PSEG has developed a far reaching and significant inaugural climate report. PSEG is laying the path to a 100% clean energy future and in doing so, strongly supports the state of New Jersey’s climate plans. C2ES applauds PSEG’s plans to push forward over the next three decades to deliver a net-zero carbon and 100% clean power supply to the citizens of New Jersey. The plan calls for full transparency following disclosure guidelines developed by the national Task Force on Climate related Financial Disclosures. It also calls for ending the use of coal for power generation in the next year to assure near-tern emission reductions while building a strong base of renewable energy. PSEG participated in C2ES’s initiative to develop a ‘Getting to Zero’ agenda for the United States. They are leaders in New Jersey and they are extending that leadership to help the rest of the country.” – Center for Climate and Energy Solutions (C2ES) President Bob Perciasepe

“Utilities are playing an essential role in reaching 100% carbon-free power by mid-century, despite the slow pace of action from the nation’s capital. We’re delighted to see PSEG continue its effort to reach net-zero by 2050 with the release of this climate report. It’s particularly gratifying to see the embrace of all carbon-free energy sources, including nuclear power, emphasis on the role of innovation, and commitment to retire all coal plants by mid-2021 and not build any new fossil fuel plants. This is an important step toward eliminating climate pollution from electricity. It’s time for others, include the federal government, to follow.” – Third Way Senior Vice President for Climate and Clean Energy Josh Freed

The PSEG Climate Report follows PSEG’s 2019 Sustainability Report, released in December, which included several firsts for PSEG: complete Sustainability Accounting Standards Board (SASB) disclosures, an ESG materiality assessment and map, alignment with the United Nations’ Sustainable Development Goals (SDGs), and 12 new ESG and sustainability goals.