NEWARK, N.J., June 20, 2012 /PRNewswire/ -- PSE&G, New Jersey's largest utility, was named an NJBIZ "Healthcare Hero" yesterday in recognition of its innovative energy efficiency program for hospitals. The award was given as part of the newspaper's annual program that honors the efforts of individuals and organizations that are making a significant impact on the quality of health care in New Jersey.
PSE&G won in the innovation category for its $129 million hospital energy efficiency initiative, one of only four programs in the U.S. that specifically targets hospitals for energy efficiency improvements and the only one in which the utility bears all of the upfront capital costs.
"While investing in energy efficiency may seem like an unconventional role for a company like ours, it's where we see the utility of the future," said Ralph LaRossa, PSE&G's president and chief operating officer. "We have been providing energy solutions to our customers for over 100 years and this is a natural extension of our work. Helping our customers make the sometimes costly upfront investments in energy efficiency allows them to use energy wisely, reduce their costs and help the environment. We're incredibly proud of our work in this realm and honored to share the spotlight with people and organizations that are making New Jersey better."
Hospitals are prime candidates to reduce energy consumption because they are 24-hour- a-day, seven-day-a-week facilities that use large amounts of energy. Large upfront costs and long pay-back times associated with energy efficiency improvements can make it difficult for hospitals to make investments that would lower their energy bills and help their bottom line.
PSE&G's program helps hospitals reduce the fiscal burden associated with making capital improvements that can reduce energy costs. It allows hospital leaders to make energy efficiency upgrades without distracting them from their core mission of providing quality healthcare and achieving positive outcomes. It frees up money and creates savings that can be invested in life-saving equipment and training.
The utility provides hospitals with a free investment-grade audit, then proposes various cost effective energy conservation measures that will make a substantial impact on the hospital's energy efficiency and utility costs. These upgrades might include replacing boilers, chillers, motors and pumps or installing sophisticated energy management systems, high efficiency lighting, etc.
PSE&G provides up-front funding for this work, and the hospital repays a portion of the total cost at zero percent interest over 36 months. For the hospitals currently enrolled in the program, the average amount they will repay is about 30 percent. Once the hospital's portion of the grant is repaid, the utility savings continue to benefit their bottom line.
NJBIZ's Healthcare Heroes honors the people and organizations that are leading New Jersey through a rapidly changing health care landscape. More than 350 hospital and healthcare professionals attended the awards breakfast at The Palace at Somerset Park.
Public Service Electric and Gas Company (PSE&G) is New Jersey's oldest and largest regulated gas and electric delivery utility, serving nearly three-quarters of the state's population. PSE&G is the winner of the ReliabilityOne Award for superior electric system reliability. PSE&G is a subsidiary of Public Service Enterprise Group Incorporated (PSEG) (NYSE:PEG), a diversified energy company (www.pseg.com).
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SOURCE Public Service Electric & Gas Company (PSE&G)