10-K 0001193125-26-077446 (2026-02-26) vs 10-K 0000950170-25-026874 (2025-02-25)
| Section | Compared text | Words now | Changed |
|---|
| Risk Factors | Item 1A | 10,144 |
11.7% |
| MD&A | Item 7 | 11,657 |
19.5% |
| Legal Proceedings | Item 3, via Note 12 – Commitments and Contingent Liabilities | 4,019 |
21.8% |
| Accounting Policies | Item 8, Note 1 – Organization, Basis of Presentation and Summary of Significant Accounting Policies | 3,927 |
7.0% |
The redline: what was cut and what was added
In each section, the paragraph that changed most, marked against last year's 10-K:
cut words struck through, new words highlighted and underlined.
Risk Factors 209 words changed in this paragraph; it is 34% similar to last year's version.
Climate While the CIP protects PSE&G’s margin variances against changes in customer usage of gas and electricity, climate change-related political action and state and federal policy goals, including but not limited to those related to GHG emissions reductions, energy efficient efficiency targets, solar targets, energy storage targets, encouragement of electrification through EV adoption, policies to restrict the use of natural gas in new or existing homes and businesses, or encourage electrification of end use equipment currently fueled by natural gas, and the associated legislative and regulatory responses, may create financial risk as our operations may be subject to additional regulation at either the state or federal level in the future. Increased regulation of GHG emissions could impose significant additional costs on for our electric and natural gas operations, customers and/or our suppliers and ultimately, our customers. Developing and implementing plans for compliance with GHG emissions reduction, clean/renewable energy requirements, or for achieving voluntary climate commitments can lead to additional capital and Operation and Maintenance (O&M) expenditures and business, which could significantly affect the economic position of existing operations and proposed projects. If our regulators do not allow us to recover all or a part of the cost of capital investment or the O&M costs incurred to comply with increasingly rigorous regulatory mandates, it could have a material adverse effect on our results of operations, financial condition or cash flows. On the other hand, in the event that the political, policy, regulatory or legislative support for clean energy projects declines, the benefits or feasibility of certain investments we could potentially make may be reduced. material.
Source: Item 1A, 10-K 0001193125-26-077446 vs Item 1A, 10-K 0000950170-25-026874
MD&A 196 words changed in this paragraph; it is 40% similar to last year's version.
At PSEG Power, we seek to produce low-cost electricity by efficiently operating our nuclear generation assets, mitigate earnings volatility through hedging and the PTC mechanism and hedging, mechanism, and support public policies that preserve these existing carbon-free base load nuclear generating plants. During 2024, 2025, our nuclear units generated approximately 31 30.9 terawatt hours and operated at a capacity factor of approximately 90%. Beginning in 2024, 91.2%. Effective April 2025, PSEG Power revised the estimated useful lives for the Salem 1, Salem 2 and Hope Creek nuclear plants due to our hedging strategy incorporated an estimated range of risk reduction impacts expectation that a 20-year license extension will be approved for these facilities. In October 2025, we completed work to extend the refueling cycle at our Hope Creek facility from the PTCs on our nuclear generation portfolio while retaining the ability 18 months to benefit when market pricing exceeds the phase out threshold. As of December 31, 2024, we expect that our hedged position for 2025 in conjunction with the PTC and market price variability will result in the realized value of our nuclear generation output being at, or above, the PTC phase out. Our strategy will continue to evolve given PTC guidance uncertainty, and potential incremental changes upon final U.S. Treasury guidance. 24 months. In addition, we are exploring opportunities for the planning power uprates at Salem Units 1 and 2 that will increase generation capacity and reliability and support long-term operation of these units, including through a potential sale of power and/or emission credits from our nuclear facilities pursuant to long-term agreements. subsequent license renewal.
Source: Item 7, 10-K 0001193125-26-077446 vs Item 7, 10-K 0000950170-25-026874
Legal Proceedings 156 words changed in this paragraph; it is 37% similar to last year's version.
In 2022, the EPA announced it had has designated approximately 23 river miles of the Lower Hackensack River as a federal Superfund site. The site runs from the river's confluence with Newark Bay north to the Oradell Dam. PSE&G and certain of its predecessors conducted operations at properties in this area, including at the Hudson, Bergen and Kearny generating stations that were transferred to PSEG Power. PSEG Power subsequently contractually transferred all land rights and structures on the Hudson generating station site to a third-party purchaser, along with the assumption of the environmental liabilities for that site. In 2024, the EPA identified PSE&G and four other parties as PRPs for the site and requested that they voluntarily perform a technical study of a portion of the river designated as “Operable Unit 2.” The EPA estimates that the technical study will cost $55 million to complete and PSE&G and PSEG Power have agreed to participate in the technical study. PSE&G and PSEG Power do not believe participation in the technical study will have a material impact on their results of operations and financial condition based upon EPA’s estimate of the study costs; however, future costs related to this matter could be material.
Source: Item 3, via Note 12 – Commitments and Contingent Liabilities, 10-K 0001193125-26-077446 vs Item 3, via Note 13 – Commitments and Contingent Liabilities, 10-K 0000950170-25-026874
Accounting Policies 59 words changed in this paragraph; it is 78% similar to last year's version.
Within PSEG and its affiliate companies, PSEG Power has the most exposure to commodity price risk. PSEG Power is exposed to commodity price risk primarily relating to changes in the market price of electricity, natural gas and other commodities. Fluctuations in market prices result from changes in supply and demand, fuel costs, market conditions, weather, state and federal regulatory policies, environmental policies, transmission availability and other factors. PSEG Power uses a variety of derivative and non-derivative instruments, such as financial options, futures and swaps to manage the exposure to fluctuations in commodity prices and optimize the value of PSEG Power’s expected generation. Changes in the fair market value PSEG Power also uses derivatives to hedge a portion of the derivative contracts are recorded in earnings. Cash flows related to derivative instruments are included as a component of operating, investing or financing cash flows in PSEG’s Consolidated Statements of Cash Flows, depending on the nature of hedges. its anticipated BGSS obligations with PSE&G.
Source: Item 8, Note 1 – Organization, Basis of Presentation and Summary of Significant Accounting Policies, 10-K 0001193125-26-077446 vs Item 8, Note 1 – Organization, Basis of Presentation and Summary of Significant Accounting Policies, 10-K 0000950170-25-026874
Every change, by type
Sentences and paragraphs of PEG's Risk Factors and MD&A, 10-K 2026-02-26 against 10-K 2025-02-25.
Each links to the text at sec.gov.
Quiet changes are sentences kept from last year with one to four words changed, at least one of them a hedge, a modal or a qualifier
(may, could, will, not, significant, material…). A year or date rolling forward is not counted.
The full word list
adverse, adversely, all, although, anticipate, anticipates, any, approximately, believe, believes, can, cannot, certain, could, expect, expects, generally, however, if, intend, intends, largely, likely, many, material, materially, may, might, most, must, never, no, not, possible, primarily, probable, should, significant, significantly, some, substantial, substantially, unlikely, will, would
AddedRisk Factors
Significant resource adequacy challenges present affordability and reliability concerns that could cause policymakers to implement responsive measures that could have a material, adverse impact on our business, strategy, growth rates, cash flows, results of operation, and financial condition and increase regulatory uncertainty for utility investment initiatives and programs.
Read it in 10-K 2026-02-26 at sec.gov ↗
AddedRisk Factors
PJM continues to face significant resource adequacy challenges, driven by a lack of sufficient supply to meet electric demand, which has increased significantly over the past several years and is expected to continue to increase going forward. Increasing demand is caused by data centers, EV adoption, electrification and other factors. Insufficient supply to meet forecasted demand has caused increases in energy and capacity prices which, in turn, have caused the customer rates by which we recover electric supply costs to materially increase. This has resulted in continuing affordability concerns that have caused regulators and other policymakers to consider ways to reduce utility rates, including proposing to mitigate electric rate increases, and create increased regulatory uncertainty for utility investment initiatives and programs. Actions that policymakers could implement in response to these affordability concerns could have a material, adverse impact on our business, strategy, growth rates, cash flows, results of operation, and financial condition.
Read it in 10-K 2026-02-26 at sec.gov ↗
AddedRisk Factors
While the CIP protects PSE&G’s margin variances against changes in customer usage of gas and electricity, climate change-related state policy goals, including but not limited to those related to GHG emissions reductions, energy efficiency targets, solar targets, energy storage targets, encouragement of electrification through EV adoption, policies to encourage electrification of end use equipment currently fueled by natural gas, and the associated legislative and regulatory responses, may create additional costs for our customers and/or our business, which could be material.
Read it in 10-K 2026-02-26 at sec.gov ↗
AddedRisk Factors
Generation activities at the Peach Bottom plants present risks similar to those to which nuclear generation plants that we operate are subject.
Read it in 10-K 2026-02-26 at sec.gov ↗
AddedRisk Factors
Generation activities at, and the operation of, the Peach Bottom plants present risks similar to those described above in GENERAL OPERATIONAL AND FINANCIAL RISKS and RISKS RELATED TO OUR GENERATION BUSINESS and below in REGULATORY, LEGISLATIVE AND LEGAL RISKS.
Read it in 10-K 2026-02-26 at sec.gov ↗
AddedRisk Factors
Hazardous Substance Liability—PSEG’s operations involve substances and byproducts classified by environmental regulations as hazardous. These regulations impose handling, storage and disposal requirements for hazardous materials. They can also impose strict and joint and several liability for damages to the environment, including cash penalties. Federal and state environmental laws and regulations require the cleanup of discharged hazardous substances.
Read it in 10-K 2026-02-26 at sec.gov ↗
RemovedRisk Factors
Climate change-related political action and state and federal policy goals, including but not limited to those related to energy efficient targets, solar targets, energy storage targets, encouragement of electrification through EV adoption, policies to restrict the use of natural gas in new or existing homes and businesses, or encourage electrification of end use equipment currently fueled by natural gas, and the associated legislative and regulatory responses, may create financial risk as our operations may be subject to additional regulation at either the state or federal level in the future. Increased regulation of GHG emissions could impose significant additional costs on our electric and natural gas operations, our suppliers and ultimately, our customers. Developing and implementing plans for compliance with GHG emissions reduction, clean/renewable energy requirements, or for achieving voluntary climate commitments can lead to additional capital and Operation and Maintenance (O&M) expenditures and could significantly affect the economic position of existing operations and proposed projects. If our regulators do not allow us to recover all or a part of the cost of capital investment or the O&M costs incurred to comply with increasingly rigorous regulatory mandates, it could have a material adverse effect on our results of operations, financial condition or cash flows. On the other hand, in the event that the political, policy, regulatory or legislative support for clean energy projects declines, the benefits or feasibility of certain investments we could potentially make may be reduced.
Read it in 10-K 2025-02-25 at sec.gov ↗
RemovedRisk Factors
We are also exposed to the risk of pandemics, which could result in service disruptions and delays or otherwise impair our ability to timely provide service to our customers, complete our investment projects or obtain timely recovery of our costs.
Read it in 10-K 2025-02-25 at sec.gov ↗
RemovedRisk Factors
An increasing demand for power and load growth, potentially compounded by a shift away from natural gas toward increased electrification could cause reliability issues and higher costs for customers, which could lead to potential pressure on fair and timely recovery of our investments and proposed programs.
Read it in 10-K 2025-02-25 at sec.gov ↗
RemovedRisk Factors
energy storage, fuel cells, and DR technologies. Higher electric demand could significantly increase the prices of energy and capacity, as well as raise resource adequacy and reliability concerns within PJM, particularly if that increased demand outpaces the addition of firm generation capacity and in transmission constrained zones. This resource adequacy challenge presents reliability concerns, as well as potential for increasing energy and capacity prices that could place pressure on customer bills, could attract political and regulatory scrutiny and increase regulatory uncertainty for utility investment initiatives and programs.
Read it in 10-K 2025-02-25 at sec.gov ↗
RemovedRisk Factors
PSE&G also is pursuing a number of opportunities to expand its products and services to customers. BPU approval is required for any new endeavor, and is not guaranteed. Rejection or delay of such filings could have an adverse impact on our future growth, or our standing stakeholders.
Read it in 10-K 2025-02-25 at sec.gov ↗
RemovedRisk Factors
Further, some of the market-based mechanisms in which we participate are at times the subject of review or discussion by some of the participants in the New Jersey and federal arenas. We can provide no assurance that these mechanisms will continue to exist in their current form, nor otherwise be modified.
Read it in 10-K 2025-02-25 at sec.gov ↗
RemovedRisk Factors
of these cost increases through our existing regulatory rate structures, in the case of PSE&G, or our contracts with our customers, in the case of PSEG Power.
Read it in 10-K 2025-02-25 at sec.gov ↗
RemovedRisk Factors
Actions by state and federal government agencies could also result in reduced reliance on natural gas and could potentially result in stranding natural gas assets owned and operated by PSE&G, which could materially adversely affect our business, financial condition and results of operations.
Read it in 10-K 2025-02-25 at sec.gov ↗
RewordedRisk Factors
PSEG’s, PSE&G’s and PSEG Power’s bank credit agreements, contain certain limitations on the incurrence of liens and PSEG Power’s bank credit agreements also contain limitations on the incurrence sales of assets and PSEG Power’s debt instruments contain limitations on certain subsidiary debt. sale and leaseback transactions.
Read it in 10-K 2026-02-26 at sec.gov ↗
RewordedRisk Factors
Climate change may increasingly drive change to existing or additional legislation and regulation that may impact our business and shape our customers’ energy preference and sustainability goals. goals, including impacts of potential changes in use of natural gas and electricity due to electrification over the long-term and the impact on need for additional generation to meet those electric needs.
Read it in 10-K 2026-02-26 at sec.gov ↗
RewordedRisk Factors
In PJM’s regional load forecast has increased significantly over the past few years, reflecting increased expectations of large customer growth and in January 2025, 2026, PJM adjusted provided an annual update of its load forecast in the PSEG zone and across PJM to reflect increased continued expectations of large customer growth.
Read it in 10-K 2026-02-26 at sec.gov ↗
RewordedRisk Factors
Further, our business is subject to policy, regulatory, technology and economic uncertainties and contingencies, including regulatory approvals required for our various investments, many of which are beyond our control and may affect planned investments and our ability to meet GHG emissions reduction or climate-related goals that we may set from time to time, in a cost-effective manner or at all.
Read it in 10-K 2026-02-26 at sec.gov ↗
RewordedRisk Factors
We are exposed to the risk of asset and equipment failures, gas explosions, explosions or leaks, accidents, pandemics, natural disasters, severe weather events, acts of war or terrorism or other acts of violence, including active shooter situations, sabotage, physical attacks or security breaches, cyberattacks or other incidents, which could result in damage to or destruction of our substations or other facilities or infrastructure, or damage to persons or property and to property, fire, loss of life, outages, mechanical problems, environmental pollution, electric and gas supply interruptions. interruptions or other adverse impacts to our business.
Read it in 10-K 2026-02-26 at sec.gov ↗
RewordedRisk Factors
Significant reductions in our expected revenues or cash flows for an extended period of time resulting from such events could result in future asset impairment charges, which could have a material adverse impact on our financial condition and results of operations.
Read it in 10-K 2026-02-26 at sec.gov ↗
RewordedRisk Factors
Such developments Advances in distributed generation technologies, such as fuel cells, micro turbines, micro grids, windmills and net-metered solar installations, coupled with subsidies, could (i) affect the price of energy, (ii) reduce energy deliveries as customer-owned generation becomes more cost-effective, (iii) require further improvements to our distribution systems to address changing load demands, and (iv) make portions of our transmission and/or distribution facilities obsolete prior to the end of their useful lives.
Read it in 10-K 2026-02-26 at sec.gov ↗
RewordedRisk Factors
Certain events such as an aging workforce looking to retire without an opportunity to transfer knowledge to a successor, inadequate workforce plans and replacements, lack of skill set to meet current and evolving business needs, a culture that does not foster inclusion leading to turnover, a failure to successfully negotiate new collective bargaining agreements with our labor unions on mutually acceptable terms or at all, acts of violence in the workplace, inadequate training and a workforce that is not engaged may lead to operating challenges, safety concerns and increased costs.
Read it in 10-K 2026-02-26 at sec.gov ↗
RewordedRisk Factors
In addition, changing market design rules, including capacity performance rules and the design and timing of capacity market auctions, and/or failure to follow existing rules – by PJM or market participants – participants, as well as any future supply/demand imbalance in PJM, creates regulatory uncertainty and reliability risk.
Read it in 10-K 2026-02-26 at sec.gov ↗
RewordedRisk Factors
Because of the inherent vulnerability of infrastructure and technology and operational systems to disability or failure due to hacking, viruses, malicious or destructive code, phishing and other social engineering attacks, denial of service attacks, ransomware, acts of war or terrorism, or other cybersecurity incidents, we face increased risk of cyberattack.
Read it in 10-K 2026-02-26 at sec.gov ↗
RewordedRisk Factors
It is uncertain whether Any discontinuation of these contracts will be extended or renewed, which may negatively affect our financial condition and operating results.
Read it in 10-K 2026-02-26 at sec.gov ↗
RewordedRisk Factors
These changes have led to capacity market auction delays. delays and rules changes that have created regulatory and business uncertainty.
Read it in 10-K 2026-02-26 at sec.gov ↗
Quiet changesRisk Factors
If a significant cybersecurity event or breach occurs within our company or with one of our material vendors, we could be exposed to significant loss of revenue, material repair costs to intellectual and physical property, significant fines and penalties if determined that we were in non-compliance with existing laws and regulations, significant litigation costs, increased costs to finance our businesses, negative publicity, damage to our reputation and loss of confidence from our customers, regulators, investors, vendors and employees.
Read it in 10-K 2026-02-26 at sec.gov ↗
Quiet changesRisk Factors
The misappropriation, corruption or loss of personally identifiable information and other confidential data from us or one of our vendors could lead to significant breach notification expenses, mitigation expenses such as credit monitoring, and legal and regulatory fines and penalties.
Read it in 10-K 2026-02-26 at sec.gov ↗
AddedMD&A
Treasury guidance. In addition, we continue to explore opportunities for the potential sale of power, capacity and/or emission credits from our nuclear facilities pursuant to long-term agreements.
Read it in 10-K 2026-02-26 at sec.gov ↗
AddedMD&A
PSEG LI has been operating LIPA’s electric T&D system in Long Island, New York since 2014 under a 12-year OSA with LIPA that expired on December 31, 2025. In 2025, a five year extension of the contract was approved. A competitor in the contract bidding process filed litigation against LIPA challenging the process. LIPA filed a motion to dismiss the competitor’s claim as untimely, which was granted by the New York Supreme Court in December 2025. The competitor filed an appeal in January 2026.
Read it in 10-K 2026-02-26 at sec.gov ↗
AddedMD&A
An increasing demand for power and a lack of sufficient new generation resources in PJM and in New Jersey, has raised resource adequacy concerns and has resulted in higher electricity costs for our customers in 2025. Prices from the July 2024 PJM annual capacity market auction, which were approximately 10 times higher than prices from the 2023 auction and which impacted customer bills, provoked concern from state regulators and legislators and have created regulatory uncertainty. Prices from the July 2025 capacity market auction were higher than those produced by the July 2024 auction and PJM indicated that the prices would have been even higher if not for the existence of a FERC-approved ceiling, which remained in effect for the December 2025 auction and which PJM has recently indicated it will seek to extend for two more auction cycles. In January 2026, the White House’s National Energy Dominance Council signed an agreement with the governors of all 13 states in the PJM region that memorializes a “statement of principles” intended to prompt PJM to make major changes to its capacity market, including running a “reliability backstop auction” to procure new generation capacity to provide 15-year “price certainty”. PJM has committed to run this backstop auction and is targeting a September 2026 date following FERC approval of all needed rule changes. There are outstanding questions associated with this auction, including whether the procurement costs will be disproportionately allocated to zones where demand exceeds supply. In addition, in 2025, FERC both issued an order that will encourage optionality for “large load” customers like data centers by facilitating co-location with generation, and initiated a rulemaking to establish definitive rules for future large customer connections intended to ensure reliability and address resource adequacy concerns. See Item 1. Business—Regulatory Issues—Federal Regulation.
Read it in 10-K 2026-02-26 at sec.gov ↗
AddedMD&A
As a result of the capacity market price increases, the costs of which are flowed through to customers, and per direction to EDCs from the BPU, PSE&G filed a petition in May 2025 that provided proposals to mitigate bill impacts to customers. In June 2025, the BPU approved a settlement under which PSE&G applied a credit to each residential electric customer’s monthly bill for July 2025 and August 2025, with the offset being charged on monthly bills for September 2025 through February 2026. PSE&G agreed to waive carrying costs on the outstanding credit amount. In addition, PSE&G agreed to: extend protections precluding the shut-off of eligible residential customers, normally available during the winter months, to the period from July 1, 2025 through September 30, 2025; offer residential customers deferred payment arrangements with terms of up to twenty-four months for the payment of overdue billed amounts; and waive all reconnection fees for residential customers during the period from July 1, 2025 through September 30, 2025. In September 2025, the New Jersey Legislature enacted a law prohibiting disconnection for non-payment during the period June 15 through August 31, beginning in 2026, and for such period annually thereafter, for certain qualified electric and gas customers. This new requirement for a summer shutoff moratorium and the extended deferred payment arrangements have increased our Accounts Receivable and bad debt expense in 2025 with potential additional increases in the future.
Read it in 10-K 2026-02-26 at sec.gov ↗
AddedMD&A
There have been a number of federal executive orders during the past year, including but not limited to orders requiring retiring generating units to stay on-line beyond their retirement date to mitigate system reliability risk and orders imposing widespread and substantial tariffs on imports.
Read it in 10-K 2026-02-26 at sec.gov ↗
AddedMD&A
There has been increased New Jersey state legislative activity and executive orders regarding energy affordability, resource adequacy and regulatory topics.
Read it in 10-K 2026-02-26 at sec.gov ↗
AddedMD&A
We are continuing to monitor the federal and state legislative activity and executive orders, certain of which may require regulatory actions to implement, and their impacts on our supply chain, business, cash flow, results of operations and financial condition.
Read it in 10-K 2026-02-26 at sec.gov ↗
AddedMD&A
In July 2025, “An Act to Provide for Reconciliation Pursuant to Title II of H. Con. Res. 14” (the Act) was signed into law. The Act made no material changes to the PTC for existing qualified nuclear generation facilities. The Act permanently extends 100% bonus depreciation to qualified business property retroactive to January 19, 2025. The impact of the Act on PSEG’s and PSE&G’s financial statements is subject to continued evaluation.
Read it in 10-K 2026-02-26 at sec.gov ↗
AddedMD&A
•manage the risks and opportunities in federal and state policies related to energy;
Read it in 10-K 2026-02-26 at sec.gov ↗
AddedMD&A
Generation costs increased $6 million due primarily to increased fuel costs at nuclear.
Read it in 10-K 2026-02-26 at sec.gov ↗
AddedMD&A
Depreciation and Amortization decreased $16 million due primarily to revised estimated useful lives in April 2025 for the Salem and Hope Creek nuclear plants based on the expectation that a 20-year license extension will be approved for these facilities.
Read it in 10-K 2026-02-26 at sec.gov ↗
AddedMD&A
In March 2025, PSEG, PSEG Power and PSE&G executed a one year extension to their existing $3.75 billion revolving credit facilities, extending the maturity through March 2029 and PSEG Power amended certain provisions in the Master Credit Facility including removal of subsidiary guarantees of PSEG Power. The PSEG Power letter of credit facilities and term loans were also amended to be consistent with the Master Credit Facility, and the $150 million uncommitted credit facility at a subsidiary of PSEG Power was terminated.
Read it in 10-K 2026-02-26 at sec.gov ↗
RemovedMD&A
A remaining component of our CEF-Electric Vehicle (EV) program related to medium- and heavy-duty charging infrastructure has been the subject of a stakeholder process that the BPU began in 2021. In October 2024, the BPU released an Order that provided program guidance and minimum filing requirements for electric utility operated medium- and heavy-duty charging incentive programs. The Order provides for PSE&G’s program investment up to $30 million and requires electric utilities to submit program filings by February 2025. In November 2024, the BPU released an updated draft Storage Incentive Program proposal. Our proposed CEF-Energy Storage (ES) program for a $109 million investment is being held in abeyance until the BPU concludes its proceedings.
Read it in 10-K 2025-02-25 at sec.gov ↗
RemovedMD&A
In April 2024, PSE&G submitted bids to the BPU for what the BPU has termed the Pre-Build Infrastructure (PBI) project, which is a combination of onshore and near-shore underwater infrastructure. It is unclear when the BPU may take action on this initiative, or parallel processes it has considered for transmission projects to support New Jersey’s offshore wind goal.
Read it in 10-K 2025-02-25 at sec.gov ↗
RemovedMD&A
In 2024, LIPA issued requests for two proposals - one for a service provider to operate its electrical transmission and distribution system and one for power supply and fuel management services, both of which are currently performed under contracts with PSEG that run through December 31, 2025. PSEG is negotiating its proposal with LIPA to continue as operations service provider for LIPA’s electrical transmission and distribution system, though the outcome of this process is uncertain. LIPA has selected another party for the power supply and fuel management services contract which will not have a material impact on PSEG's results of operations.
Read it in 10-K 2025-02-25 at sec.gov ↗
RemovedMD&A
In April 2021, PSEG Power’s Salem 1, Salem 2 and Hope Creek nuclear plants were awarded zero emission certificates (ZECs) for the three-year eligibility period starting June 2022 at the same approximate $10 per megawatt hour (MWh) received during the prior ZEC period through May 2025. Pursuant to a process established by the BPU, ZECs are purchased
Read it in 10-K 2025-02-25 at sec.gov ↗
RemovedMD&A
•the pension settlement charge in 2023 (see Item 8. Note 12. Pension, Other Postretirement Benefits (OPEB) and Savings Plans).
Read it in 10-K 2025-02-25 at sec.gov ↗
RemovedMD&A
Generation costs decreased $10 million due primarily to lower renewable energy credit requirements caused by decreases in load volumes served.
Read it in 10-K 2025-02-25 at sec.gov ↗
RemovedMD&A
The NRC requires a biennial filing of the NDT fund balances against the decommissioning liability estimate. Any funding shortfalls are required to be cured prior to the next NDT reporting period. We do not currently expect to be required to provide supplemental funding of the NDT Fund.
Read it in 10-K 2025-02-25 at sec.gov ↗
RewordedMD&A
Delivery revenues increased $321 $584 million due primarily to $170 $577 million from increased electric and gas revenues primarily as a result of the recently settled 2024 distribution base rate case, $99 $87 million from higher GPRC revenues and a $44 million increase in transmission revenues due primarily to higher rate base investments, $26 offset primarily by a $146 million in increased revenues from Energy Strong II and IAP distribution rate roll ins, $42 million from increased GPRC revenues, $9 million from a reduction increase in revenue credits flowed back to customers as part of our TAC mechanism, offset by a decrease of $25 million in CIP decoupling revenues. mechanism.
Read it in 10-K 2026-02-26 at sec.gov ↗
RewordedMD&A
Many However, aspects of the IRA, including the IRA provisions for CAMT and PTC, PTCs remain unclear and are in need unclear; therefore, the issuance of further guidance; therefore, we continue to analyze the future authoritative guidance could materially impact the IRA will have on PSEG’s and PSE&G’s results of operations, financial condition and cash flows, which could be material. flows.
Read it in 10-K 2026-02-26 at sec.gov ↗
RewordedMD&A
PSE&G’s approved CEF-EE PSE&G has undertaken a number of initiatives that support the reduction of GHG emissions, including our implementation of New Jersey's EE and EE II, CEF-Energy Cloud and CEF-EV related programs and the proposed CEF-ES program that are intended to support New Jersey’s Energy Master Plan (EMP) and Gubernatorial Executive Orders through programs designed to help customers use energy more efficiently, reduce GHG emissions, support the expansion of the EV infrastructure in New Jersey, install energy storage capacity to supplement solar generation and enhance grid resiliency, install smart meters and supporting infrastructure to allow for the integration of other clean energy technologies and to more efficiently respond to weather and other outage events.
Read it in 10-K 2026-02-26 at sec.gov ↗
RewordedMD&A
Net Gains (Losses) on Trust Investments decreased increased $62 million due primarily to NDT investments with $99 a $59 million of lower increase in net unrealized gains in 2025 on equity securities as compared to the prior year, partially offset by $35 securities, and a $4 million of higher increase in net realized gains in 2024. 2025.
Read it in 10-K 2026-02-26 at sec.gov ↗
RewordedMD&A
The Other Comprehensive Income was due primarily to $33 $34 million of net unrealized gains on derivative contracts accounted for as hedges, $26 related to available-for-sale debt securities, $20 million related to pension and other postretirement benefits, partially offset by $13 $12 million of net unrealized losses related to available-for-sale debt securities. on derivative contracts accounted for as hedges.
Read it in 10-K 2026-02-26 at sec.gov ↗
RewordedMD&A
As of December 31, 2024, 2025, we expect that our hedged current portfolio position for 2025 in conjunction with the PTC and market price variability 2026 will result in the realized value of our nuclear generation output being at, or above, above the PTC phase out. level at which we would receive PTCs.
Read it in 10-K 2026-02-26 at sec.gov ↗
RewordedMD&A
The Investment under the GSMP III program extension provides for main replacement will begin in 2026 and continue through December 2025 2028 plus trailing services replacement and paving costs into 2026 and totals approximately $900 million of investment. 2029.
Read it in 10-K 2026-02-26 at sec.gov ↗
RewordedMD&A
Income Tax Expense increased $138 decreased $146 million primarily due primarily to higher pre-tax income and a decrease an increase in the flowback of excess deferred income tax benefits. benefits to customers, partially offset by higher pre-tax income.
Read it in 10-K 2026-02-26 at sec.gov ↗
RewordedMD&A
Income Tax Expense decreased $603 (Benefit) variance of $356 million due primarily to lower pre-tax income in 2024 and the absence of the benefit from PTCs. nuclear PTCs in 2025 and higher pre-tax income.
Read it in 10-K 2026-02-26 at sec.gov ↗
RewordedMD&A
We have established a adjusted our net zero greenhouse gas (GHG) emissions by 2030 goal that includes direct GHG emissions (Scope 1) and indirect GHG emissions from operations (Scope 2) across our business operations, assuming advances in technology, public policy and customer behavior, which goal supports New Jersey's clean energy and climate goals. goals, from 2030 to 2050.
Read it in 10-K 2026-02-26 at sec.gov ↗
RewordedMD&A
The In August 2022, the IRA enacted a new 15% corporate alternative minimum tax (CAMT), which is based on adjusted financial statement income, and established a PTC for existing qualified nuclear generation facilities, discussed above, and allows energy tax credits to be transferable. facilities.
Read it in 10-K 2026-02-26 at sec.gov ↗
RewordedMD&A
In order to increase the predictability of interest expense, we may use interest rate hedges to help limit our exposure to fluctuating interest rates. rates and fix a portion of our interest rate exposure for anticipated long-term financing plans at PSEG and PSEG Power.
Read it in 10-K 2026-02-26 at sec.gov ↗
