CORPORATE SUSTAINABILITY REPORT 2016 / 2017 - Broadridge Corporate Issuer ...
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CORPORATE SUSTAINABILITY REPORT
2016 / 2017
OUR SUSTAINABILITY
VISION AND VALUES
CONTENTS 2
Contents
OUR SUSTAINABILITY VISION AND VALUES . . . . . . . . . . 3 ENVIRONMENTAL HEALTH & SAFETY . . . . . . . . . . . . . 23
Corporate Sustainability Report Highlights. . Environmental Health & Safety Goals . .
JERSEY INDUSTRIES
. . . . . . . . . . . 4 . . . . . . . . . . . . . 24
ABOUT SOUTH
Health and Safety Programs . . . . . . . . . . . . . . . . . . 25
ABOUT SOUTH JERSEY INDUSTRIES . . . . . . . . . . . . . 5 Emergency Response Preparation . . . . . . . . . . . . . . . . 29
Corporate Governance. . . . . . . . . . . . . . . . . . . . . 7 Consumer Protection Awareness . . . . . . . . . . . . . . . . 30
Sustainability at SJI. . . . . . . . . . . . . . . . . . . . . . . 8 Employee Health and Wellness. . . . . . . . . . . . . . . . . 31
Compliance & Ethics Program. . . . . . . . . . . . . . . . . . 9 Environmental Stewardship. . . . . . . . . . . . . . . . . . . 31
Recognition and Awards . . . . . . . . . . . . . . . . . . . . 9 Emissions Tracking . . . . . . . . . . . . . . . . . . . . . . 32
THE ECONOMY
Compliance Commitment. . . . . . . . . . . . . . . . . . . . 33
FUELING
FUELING THE ECONOMY. . . . . . . . . . . . . . . . . . . 11
SJI Financial Performance . . . . . . . . . . . . . . . . . . . 12 ENGAGING OUR STAKEHOLDERS. . . . . . . . . . . . . . . 35
Infrastructure Investments . . . . . . . . . . . . . . . . . . . 13 Partnerships for Collaboration. . . . . . . . . . . . . . . . . . 36
SJG Capital Programs . . . . . . . . . . . . . . . . . . . . . 13 Voice of the Customer . . . . . . . . . . . . . . . . . . . . . 36
EFFICIENCY, COMFORT,
Procurement Strategy . . . . . . . . . . . . . . . . . . . . . 16 Our Workplace . . . . . . . . . . . . . . . . . . . . . . . . 37
AND SAVINGS
Labor Philosophies, Polices, and Practices. . . . . . . . . . . . 37
EFFICIENCY, COMFORT, AND SAVINGS . . . . . . . . . . . . 17 Our Presence and Community Impact. . . . . . . . . . . . . . 40
Utility Initiatives for Reducing Customers’ Energy Usage . . . . . . 18
Non-Utility Initiatives to Reduce Customers’ Energy Consumption. . . 20
Sustainability as a Company-Wide Initiative . . . . . . . . . . . . 22
HEALTH AND SAFETY
ENVIRONMENTAL
STAKEHOLDERS
ENGAGING OUR
OUR SUSTAINABILITY
OUR
OUR SUSTAINABILITY
VISION AND
VISION
CONTENTS 3
SUSTAINABILITY
AND VALUES
VISION AND VALUES
VALUES
JERSEY INDUSTRIES
ABOUT SOUTH
Sustainability is more than just making the choice to become We are fortunate that our industry allows us to offer a variety
sustainable. At South Jersey Industries, we believe it is living of sustainable energy solutions for customers – solutions that
that choice each day, and weighing each area of our business mitigate the customer’s environmental footprint and resource
to assess its impact on stakeholders, and on the long-term demand, while still being economically advantageous. We take
economic and environmental viability of the communities our responsibility one step further—encouraging consumers to
THE ECONOMY
where we live and work. change their mindsets around energy usage, providing training
FUELING
to students for skilled jobs in the energy industry, and supporting
SJI is committed to being a valued, supportive and respectful the communities where we live and work, both through financial
corporate citizen. We are proud to be an energy provider for and time commitments. We do all this while also growing the
more than 380,000 customers in our natural gas utility, as well value of an investment in SJI for our shareholders.
as for thousands of customers served through our non-utility
EFFICIENCY, COMFORT,
businesses. We’re excited for the opportunity to welcome new Reaching our corporate objectives, and doing so sustainably,
AND SAVINGS
customers and employees into the SJI family, once we complete is truly a team effort, from employees, to leadership, to our
the transformational acquisition and integration of Elizabethtown Board of Directors, I am grateful to each of these groups and
and Elkton Gas Companies. And we take seriously the I am thankful for their respective commitment to the customers
responsibility that comes with a commitment to sustainability. who turn to us each and every day. It is for them, and for their
families and their businesses, that we continue down the path
HEALTH AND SAFETY
ENVIRONMENTAL
This is our ninth-annual Corporate Sustainability Report and toward sustainability.
within it we continue to highlight both business and social
responsibility results in driving our strategic priorities. These
outcomes, pursued with a consistent focus on safety, diversity,
corporate governance, environmental stewardship, and
social investment, also represent our opportunity to deliver
Michael J. Renna
exceptional service to our customers.
STAKEHOLDERS
ENGAGING OUR
President and CEO
South Jersey Industries
OUR
OUR SUSTAINABILITY
VISION AND
VISION
CONTENTS 4
SUSTAINABILITY
AND VALUES
Corporate Sustainability Report Highlights
VALUES
About SJI
70%
JERSEY INDUSTRIES
Serves
754
ABOUT SOUTH
6,592 Miles of the homes and
Employees of Utility and
businesses in our
service territory
in 2016 Distribution Mains
Growth
Serving
approximately
$102.8M 11
THE ECONOMY
381K
FUELING
in Economic Fuel Supply
utility customers Earnings in 2016 Management
Contracts Signed
Fueling the
Proposed accelerated
$1.9B $147M
EFFICIENCY, COMFORT,
Economy infrastructure investment
AND SAVINGS
Planned Capital of nearly
Supplies and Services
Investment
2016–2020 $413M from NJ based companies
through 2021
Energy
40% $702K in
at Work
117 775 Tons
HEALTH AND SAFETY
Fewer
ENVIRONMENTAL
Contributions
= of Reduced Green House Gas
excavation
damages
since 2012
to Sustainable Jersey
between 2013-2017
Vehicles Emissions in 2017
Engaging
Stakeholders Interns from $1,000 grants awarded to
52%
14
20
First Responders
STAKEHOLDERS
Diverse
ENGAGING OUR
colleges Organizations
in 2017 in 2017 Workforce
All data is from 2016 unless otherwise noted.
OUR SUSTAINABILITY
VISION AND VALUES
CONTENTS 5
ABOUT SOUTH
JERSEY INDUSTRIES
JERSEY
ABOUT SOUTH
ABOUT
INDUSTRIES
JERSEY INDUSTRIES
SOUTH
THE ECONOMY
FUELING
Corporate Governance. . . . . . . . . . . . . . . . . . . . . 7
Sustainability at SJI. . . . . . . . . . . . . . . . . . . . . . . 8
Compliance & Ethics Program. . . . . . . . . . . . . . . . . . 9
Recognition and Awards . . . . . . . . . . . . . . . . . . . . 9
EFFICIENCY, COMFORT,
AND SAVINGS
HEALTH AND SAFETY
ENVIRONMENTAL
STAKEHOLDERS
ENGAGING OUR
ABOUT SOUTH JERSEY
OUR SUSTAINABILITY
VISION AND VALUES
CONTENTS 6
INDUSTRIES
JERSEY INDUSTRIES
JERSEY
ABOUT SOUTH
ABOUT
South Jersey Industries (SJI) is a customer-focused, -- Marina Energy – owns and operates energy projects for commercial
INDUSTRIES
SOUTH
energy services company providing expertise and and industrial markets that include thermal facilities, cogeneration
resources that meet the diverse energy needs of our facilities, solar installations, and landfill gas-to-electric facilities.
region’s residents, businesses, schools, hospitals, -- South Jersey Energy Service Plus (SJESP) – serviced residential
and more. and commercial heating, air conditioning and water heating systems,
THE ECONOMY
appliances, and provided plumbing services. SJESP’s
FUELING
We do this through three primary subsidiaries:
residential HVAC and plumbing contractor operations
• South Jersey Gas (SJG) – delivers safe, reliable, affordable natural business were sold on September 1, 2017.
gas and promotes energy efficiency to more than 381,000 residential,
• SJI Midstream—houses the company’s interest
commercial, and industrial customers in the seven southernmost
in the PennEast Pipeline Project under the SJI
EFFICIENCY, COMFORT,
counties of New Jersey. In 2016, SJG contributed nearly 67 percent
regulated umbrella.
AND SAVINGS
of SJI’s Economic Earnings.
• South Jersey Energy Solutions – promotes efficiency, clean energy SJI operations span
technology and renewable energy through a group of non-utility eight states in the
businesses:
northeastern portion
-- South Jersey Energy (SJE) – acquires and markets natural gas and of the United States
HEALTH AND SAFETY
ENVIRONMENTAL
electricity for retail customers in New Jersey and offers innovative,
environmentally friendly commercial and industrial energy services
to help customers control energy costs.
-- South Jersey Resource Group (SJRG) – provides wholesale
marketing, natural gas transportation, storage, and commodity
services, as well as fuel supply management for merchant electric
STAKEHOLDERS
ENGAGING OUR
generation facilities.
OUR SUSTAINABILITY
VISION AND VALUES
CONTENTS 7
SJI is headquartered in Folsom, NJ and employs over
South Jersey Industries
750 people in a variety of roles. The company is publicly
traded on the New York Stock Exchange under the
Regulated Non-Utility
trading symbol SJI.
JERSEY INDUSTRIES
JERSEY
Guiding principles: South Jersey Gas SJI Midstream South Jersey Energy Solutions
ABOUT SOUTH
ABOUT
INDUSTRIES
• Our top priority is conducting our operations while Regulated Natural Gas FERC-Regulated
SOUTH
Distribution Company Gas Pipeline/Projects SJ Energy Services SJ Energy Group
protecting the safety of our customers, employees
and the communities we serve. • Energy production • Wholesale and retail
Learn more in the Environmental Health and Safety section. assets (solar, CHP and natural gas and electric
landfill gas to electric) commodity marketing
• We are committed to providing customers exceptional service, • Meter reading • Fuel management
THE ECONOMY
services
FUELING
without compromise and without exception.
Learn more in the Voice of the Customer section. There are seven standing committees of the Board: the Audit Committee,
the Compensation Committee, the Corporate Responsibility Committee,
• SJI provides an inclusive and diverse workplace where employees
the Executive Committee, the Risk Committee, the Strategy and Finance
are empowered to fuel their professional future.
Committee, and the Governance Committee. A listing of Board members
EFFICIENCY, COMFORT,
Learn more in the Engaging Stakeholders section.
with their length of membership and committee participation is online at
AND SAVINGS
• Our company has a long history of investing in the community www.sjindustries.com/about-sji/board-of-directors.
to create a positive impact.
SJI’s ninth Corporate Sustainability Report focuses on the progress and
Learn more in the Community section.
achievements made in 2016 and 2017. Its contents were produced under
the guidance of the Corporate Responsibility Committee of the SJI Board
Corporate Governance of Directors.
HEALTH AND SAFETY
ENVIRONMENTAL
SJI is governed by a 10-member Board of Directors, nine of whom are not During this period, the Board’s Corporate Responsibility Committee was
SJI employees. Our Board of Directors, elected by the shareholders, is the comprised of four Directors. The Committee provides oversight, monitoring,
company’s ultimate decision-making entity, except matters reserved for and guidance of matters related to corporate and social citizenship, public
shareholder consideration. and legal policy, environmental stewardship and compliance, political
activities, sustainability, quality of work life, and economic and social vitality
The Board includes Michael J. Renna (SJI President and CEO), Walter
of the communities and markets where we operate.
M. Higgins III (Chairman), Sarah M. Barpoulis, Thomas A. Bracken, Keith
STAKEHOLDERS
ENGAGING OUR
S. Campbell, Victor A. Fortkiewicz, Sheila Hartnett-Devlin, Sunita Holzer, We welcome your feedback on this report and our programs.
Joseph M. Rigby, and Frank L. Sims. To submit your comments by email, send them to
CorpCommunications@sjindustries.com.
OUR SUSTAINABILITY
VISION AND VALUES
CONTENTS 8
Sustainability at SJI • Hundreds of charitable donations, including time,
community investments, volunteer and in-kind programs
According to the American Gas Association, natural gas is the fuel source
that provides quality, comfort and convenience to 177 million Americans. • Investments to revitalize Atlantic City, a key
economic base for Southern NJ
JERSEY INDUSTRIES
JERSEY
Thanks to an unprecedented abundance of domestic natural gas, this
ABOUT SOUTH
ABOUT
cleaner, lower cost, nearby resource is changing the energy industry and
• Local creation and distribution of Liquefied Natural Gas
our regional economy.
INDUSTRIES
to eliminate trailer transport and ensure ample, reliable,
SOUTH
We believe that business success and corporate social responsibility are affordable supply.
inseparable. Providing safe, reliable, affordable natural gas must be balanced
with safety, diversity, community investments, and environmental stewardship.
THE ECONOMY
South Jersey Gas currently serves over 70 percent of the homes and
FUELING
businesses in our service territory. Natural gas provides our customers with
more than warmth on cold days. It dries their clothes, heats their water, and
cooks their meals, all while emitting up to 56 percent fewer greenhouse
gases than coal for the same amount of electricity.
EFFICIENCY, COMFORT,
SJI businesses incorporate strategies and programs that promote
AND SAVINGS
sustainability, including:
• Compressed Natural Gas Vehicles in operations and fueling
stations in southern New Jersey
From AGA Playbook. Explore the
• Home Energy Reports to help customers reduce consumption Interactive Natural Gas Home at
HEALTH AND SAFETY
www.naturalgashome.org.
ENVIRONMENTAL
• Partnerships that reduce redundancies to help conserve resources
Natural gas emits
• Community Energy Aggregations for municipalities and residents up to 56% fewer
that provide greater affordability greenhouse gases
than coal for the
same amount of
electricity.
STAKEHOLDERS
ENGAGING OUR
Source: American
Gas Association
OUR SUSTAINABILITY
VISION AND VALUES
CONTENTS 9
Compliance & Ethics Program Recognition and Awards
Affiliate Standards and Leader of the Year Award
Identity Theft Training Mike Renna was slected for the 2017 John G. Fitzpatrick Community
JERSEY INDUSTRIES
JERSEY
ABOUT SOUTH
ABOUT
Leader of the Year Award for his long-time commitment to the community
Affiliate standards govern the interactions between NJ energy utilities and recent involvement in the Atlantic City Gateway Project. The Project
INDUSTRIES
SOUTH
and their affiliated companies. NJ energy utilities cannot give an unfair includes a new headquarters for South Jersey Gas, a city campus for
competitive advantage to their affiliated companies. Employees are Stockton University, as well as retail spaces and parking.
routinely provided needed training to ensure affiliate standards compliance.
In addition, affiliate Standards training was conducted as part of the SJI is committed to being a valued and supportive
corporate citizen, and we are proud to be part of the
THE ECONOMY
SJI EmpowerU education series.
collaboration with the Atlantic City Development
FUELING
Identity theft training is conducted to educate and help employees detect, Corporation and Stockton University to help grow
prevent and mitigate identity theft. The employee training identifies “red and diversify the region’s economy.
flags” that are an indication of a potential identity theft. – Mike Renna
President and CEO of South Jersey Industries
Employee Hotline
EFFICIENCY, COMFORT,
AND SAVINGS
SJI continues to offer employees a confidential, anonymous and safe
resource to voice any concerns they may have in the workplace through
MySafeWorkplace®. This is a secure incident reporting system used to
create a bridge between employees and the company. Available 24/7,
365 days a year via a website or by calling a dedicated hotline, this service
HEALTH AND SAFETY
handles issues such as ethics violations, theft, fraud, discrimination,
ENVIRONMENTAL
harassment, and substance abuse.
STAKEHOLDERS
ENGAGING OUR
Pictured (left to right): Dave Robbins, president of South Jersey Gas,
Mike Renna, and Mitchell Zitomer, board chair of the Greater Atlantic
City ChamberOUR SUSTAINABILITY
VISION AND VALUES
CONTENTS 10
Leading Infrastructure Project Award
South Jersey Gas received New Jersey’s Leading Infrastructure Project
Award from the New Jersey Alliance for Action in recognition of the
company’s partnership in the Atlantic City Gateway Project along with
JERSEY INDUSTRIES
JERSEY
Stockton University and the Atlantic City Development Corporation (AC
ABOUT SOUTH
ABOUT
Devco). The award was created to highlight innovative, pioneering and
INDUSTRIES
landmark construction initiatives that greatly benefit the state’s economy.
SOUTH
As a result of the project, an estimated 194 construction jobs were created.
Partnerships such as ours will diversify Atlantic
THE ECONOMY
City’s economy and provide a major step forward Pictured: Lauren Hurtt, Supervisor Public Affairs, United Way Vice
President and Regional Executive Director John Emge (left) and former
FUELING
to spurring its rebirth. United Way President and CEO Jim Cawley (right).
– Dave Robbins
President of South Jersey Gas
• Investing in Impact was awarded for SJI’s additional contribution
to various nonprofits that focus on improving the education, income,
United Way Awards health and basic needs of local communities.
EFFICIENCY, COMFORT,
AND SAVINGS
United Way of Greater Philadelphia and Southern New Jersey recognized
SJI with two awards for its continued efforts in helping the community Executive Women of New Jersey Award
in June 2017: In October 2016 and 2017, the Forum of Executive Women recognized SJI
• Leading the Way Award recognizes contributions by SJI’s leadership along with other companies where women directors comprise at least 25
and a nearly 20 percent increase in employee donations during the percent of the Board.
$106,650
company’s annual Employee
HEALTH AND SAFETY
ENVIRONMENTAL
In 2017, Executive Women of New Jersey (EWNJ) named SJI on the Seat
Giving Campaign, which raised
at the Table Honor Roll, a list of New Jersey-based companies with three
more than $106,000. Through
employee donations to United
Raised in Employee or more women on its corporate boards and in the executive ranks. SJI
Way, the company helps to give United Way Campaign
shares this designation with 21 other companies.
residents the resources they need
to become stronger and more
financially independent.
STAKEHOLDERS
ENGAGING OUROUR SUSTAINABILITY
VISION AND VALUES
CONTENTS 11
FUELING THE
JERSEY INDUSTRIES
ABOUT SOUTH
ECONOMY
THE
THE ECONOMY
FUELING
FUELING
ECONOMY
SJI Financial Performance . . . . . . . . . . . . . . . . . . . 12
Infrastructure Investments . . . . . . . . . . . . . . . . . . . 13
SJG Capital Programs . . . . . . . . . . . . . . . . . . . . . 13
Procurement Strategy . . . . . . . . . . . . . . . . . . . . . 16
EFFICIENCY, COMFORT,
AND SAVINGS
HEALTH AND SAFETY
ENVIRONMENTAL
STAKEHOLDERS
ENGAGING OURFUELING THE
OUR SUSTAINABILITY
VISION AND VALUES
CONTENTS 12
ECONOMY
JERSEY INDUSTRIES
ABOUT SOUTH
South Jersey Industries (SJI) is one the largest
employers in southern New Jersey and promotes SJI Financial Performance
economic activity through our infrastructure Driven by a renewed focus on regulated investments and earnings from
high quality, repeatable sources, SJI is committed to growing economic
and system investments, as well as through our
earnings, improving the quality of our earnings, maintaining a strong
investments in our people.
balance sheet, and maintaining a low to moderate risk profile.
THE
THE ECONOMY
FUELING
FUELING
To ensure the safety of our customers and the resiliency of our natural gas
ECONOMY
Through June 30, 2017, Economic Earnings were $62.0 million or $0.78
distribution system, we have made enormous strides in replacing aging
cents per share as compared with $65.7 million and $0.89 cents per share
infrastructure in our service area and improving the delivery of natural
in the prior year. Results were impacted by warm weather in the winter
gas to our customers.
of 2016/2017, the strategic elimination of investment tax credits from
EFFICIENCY, COMFORT,
Utility operations are spread throughout southern New Jersey in each part earnings, and a higher share count resulting from our secondary offering
in May 2016.
AND SAVINGS
of the region. Through our non-utility businesses we also have employees
based in Pennsylvania. In 2016, we paid base salaries totaling $66 million
For more information about SJI’s 2017
to more than 750 employees, most of whom live in southern New Jersey.
performance to date and the non-GAAP
In August 2016, we broke ground on a new utility headquarters in Atlantic measure of Economic Earnings, please visit
City. This new location provides us a state of the art, beachfront workplace the Investors section of our website.
$102.8M
HEALTH AND SAFETY
while providing a $40M investment and 200 jobs in Atlantic City. in Economic Earnings
ENVIRONMENTAL
in 2016
STAKEHOLDERS
ENGAGING OUROUR SUSTAINABILITY
VISION AND VALUES
CONTENTS 13
Infrastructure Investments SJG Capital Programs
Safety is SJG’s top priority. And we are focused on using what we’ve Safety and reliability programs ensure that
learned from our experiences, as well as the experiences of other utilities, customers receive uninterrupted natural gas
JERSEY INDUSTRIES
to continually improve our infrastructure and performance. service. These programs include compliance and
ABOUT SOUTH
integrity management programs, distribution system
Like most natural gas utilities in the northeast, we had a significant amount upgrades, and maintenance for transmission and
of aging infrastructure within our system. distribution pipelines. $1.9B
Planned Capital
We invest substantial time and capital to update and maintain the quality Investment
In 2016, SJG’s total capital spending for all programs
and integrity of our gas distribution and transmission system. 2016–2020
reached $220.9 million.
Our financial commitment and resources ensure compliance with state
THE
THE ECONOMY
System Improvements
FUELING
FUELING
and federal system integrity and safety regulations.
ECONOMY
The lower price of natural gas from the nearby Marcellus Shale makes SJG’s two infrastructure improvement programs
this the right time to make these investments without overburdening focused on enhancing the safety, reliability, and
our customers. resiliency of our natural gas distribution system.
Proposed accelerated
Both programs involve partnerships—planning
EFFICIENCY, COMFORT,
infrastructure
It also makes it the right time to expand the system to meet the needs and coordinating activities with town and county investment of nearly
AND SAVINGS
of the growing number of interested residents and businesses in both
unserved and under-served pockets of our service area. Our commitments
officials to minimize disruption for their respective $413M
communities. These partnerships are one aspect
to new pipeline capacity projects such as PennEast and our Cape Atlantic of our Stakeholder Engagement strategy which through 2021
Reliability project to repower the B.L. England generating station will focuses on enhancing the collaboration occurring
ultimately fulfill those needs. These projects are also critical to further the across SJG’s service area.
HEALTH AND SAFETY
goals of the New Jersey Energy Master Plan, which includes a need for
ENVIRONMENTAL
additional infrastructure in southern New Jersey to support new, gas-fired Our system improvement efforts began
electric generation. in 2009, with our initial capital investment
program, which created jobs in support
of New Jersey’s Economic Stimulus Plan
while also improving the natural gas delivery 6,592 Miles
infrastructure. Since then, the NJ Board of Utility and
of Public Utilities (NJBPU) has approved Distribution Mains
STAKEHOLDERS
ENGAGING OUR
several vital programs, and extensions,
to continue our infrastructure progress.OUR SUSTAINABILITY
VISION AND VALUES
CONTENTS 14
• Accelerated Infrastructure Replacement Program (AIRP) focuses SJG’s SHARP focused on coastal regions within our service territory,
on the replacement of aging cast iron and bare steel infrastructure Atlantic City, Ocean City, Ventnor, Margate, Longport, Wildwood, North
in our distribution system on a fast-tracked timeline. Wildwood, Wildwood Crest, Cape May, and West Cape May.
Due to the success of the first
Since 2009,
JERSEY INDUSTRIES
We are extremely proud of our overall system
installments of our accelerated program,
ABOUT SOUTH
SJI has replaced improvements, and that our coastal communities
SJG collaborated with the NJBPU to
are better protected against future storms and
create an extension that will allow us
to replace the remaining cast iron and 758 miles saltwater intrusion.
bare steel in our system. Through this These improvements could not have been made
extension, SJG committed to investing of mains without the support of the New Jersey Board
an incremental $302.5 million over a five- and renewed of Public Utilities, the collaborative efforts of
THE
45,773 services
THE ECONOMY
year period ending in 2021. the municipalities, and all those involved in
FUELING
FUELING
completing this work for South Jersey Gas.
ECONOMY
The NJBPU’s support and approval of these programs has been critical – Dave Robbins
to maintaining the safety and reliability of our system. The accelerated President of South Jersey Gas
nature of these programs will allow us to replace all remaining bare steel
and cast iron in our system within 12 years, as opposed to what would
EFFICIENCY, COMFORT,
have taken 50 years without such accelerated programs.
AND SAVINGS
• Storm Hardening and Reliability
Program (SHARP) involved the successful
replacement of low-pressure mains and
services along the barrier islands in 10
municipalities from Cape May to Atlantic Coastal Storm Hardening
HEALTH AND SAFETY
and Reliability
ENVIRONMENTAL
City to fortify against destructive weather
events. Between 2014 and 2017, system $103.5M Pictured: New Jersey Board of Public Utilities
investments totaled $103.5 million to Investment President Richard S. Mroz and Ocean City Mayor
Jay Gillian joined South Jersey Gas President
upgrade 92 miles of main and 11,000 through June 2017
Dave Robbins and Senior Vice President Paul
service lines that lead to residential and Zuccarino in Ocean City on July 31, 2017, to
celebrate the successful transition of 92 miles
business properties. It also created an of coastal infrastructure from a low-pressure
estimated average of 144 jobs annually. to a high-pressure system.
STAKEHOLDERS
ENGAGING OUROUR SUSTAINABILITY
VISION AND VALUES
CONTENTS 15
Creating LNG Locally 12,000 jobs in our region. Federal data shows over half of our state’s
power generation needs come from natural gas, and the PennEast Pipeline
SJG’s new natural gas liquefier at our McKee City, NJ facility went through will allow utilities like SJG to better meet demand by accessing natural
the commissioning process in late-2016 to assure that all systems and gas from the nearby Marcellus Shale region, improve reliability, and ensure
components were designed, installed, tested, and operated per the
JERSEY INDUSTRIES
competitive pricing and price stability.
ABOUT SOUTH
regulated requirements.
The natural gas liquefier, along with other investments, ensure that Cape Atlantic Reliability Project
customers’ demand for natural gas can be met during peak periods,
In February 2017, the Pinelands Commission approved SJG’s application
such as the winter months.
for the Cape Atlantic Reliability Project, which will help with the conversion
The McKee City facility now has the capability to draw natural gas from of B.L. England electric generation facility in Upper Township, NJ from a
the utility’s existing pipeline system, turn it into LNG at extremely low coal-and-oil-fired electric generator to a natural-gas generator. The project
THE
THE ECONOMY
also strengthens the pipeline system in Cape May and Atlantic counties,
FUELING
FUELING
temperatures through the liquefier, store it in an insulated storage tank,
ECONOMY
vaporize it back to natural gas and inject it into SJG’s piping infrastructure ensuring that natural gas services continue for the 142,000 customers,
as an additional source of supply. making them less vulnerable to a service outage. The careful construction
of this pipeline will protect and create jobs and provide a meaningful
In November 2016, the liquefier tank was filled, allowing it to supplement opportunity to significantly reduce air emissions while supporting the state’s
EFFICIENCY, COMFORT,
supplies through the winter to save customers from paying costlier natural Energy Master Plan.
gas prices during times of high demand. Due to an unusually mild winter
AND SAVINGS
season, draw down was less than anticipated. However, in spring 2016 the SJG worked collaboratively and cooperatively with governing agencies and
storage tank was filled again and performance met design expectations. involved stakeholders in this project for over four years to enable the B.L.
System injections predominantly support system pressure to SJG’s entire England facility to use cleaner, more efficient natural gas to generate locally
customer base with additional natural gas supplies reaching the eastern sourced, lower-cost electricity for residents.
portions of SJG’s service territory.
HEALTH AND SAFETY
ENVIRONMENTAL
PennEast Pipeline Project
In support of our commitment to provide reliable, low-cost natural gas,
SJI is a partner in the proposed PennEast Pipeline. This critically important
project will bring over 1 BCF of affordable natural gas from the Marcellus
shale to New Jersey and help us meet the energy needs of our region.
STAKEHOLDERS
ENGAGING OUR
Through a 118-mile underground system, the project will deliver lower
gas and electric costs for families and businesses while creating overOUR SUSTAINABILITY
VISION AND VALUES
CONTENTS 16
Community Partnerships This project represents a major step forward in
supporting the community by helping diversify
As a member of the community, SJI actively supports revitalization, local the city’s economy.
nonprofits, and business and civic organizations that positively impact
customers and the towns in our service area.
More importantly, our commitment and priority
JERSEY INDUSTRIES
focus on customers will continue to improve through
ABOUT SOUTH
Through our social investment programs, we look for ongoing opportunities innovations supported by a state-of-the-art facility
to enrich communities, protect and preserve our environment, encourage and evolving workforce.
educational programs and careers in technology and science, and promote – Mike Renna
healthy living. President and CEO of South Jersey Industries
SJI also fosters a culture of volunteerism in its employees and arranges Procurement Strategy
community service days throughout the year. Details of our community It is our policy to encourage and afford opportunities to minority, women, and
THE
THE ECONOMY
partnerships are provided in our Engaging Stakeholders section of this report.
FUELING
FUELING
service disabled veteran-owned businesses. Of the company’s $278 million
ECONOMY
in purchases during 2016, SJI contributed $147 million to the local economy
Heading Back to our Roots by purchasing supplies and services from New Jersey-based companies.
SJG announced last year that we would be returning our utility
Our utility alone contributed more than $228 million through vendors and
headquarters to our original hometown of Atlantic City. Unable to expand
EFFICIENCY, COMFORT,
partners in 2016; some of whom qualify for our Supplier Diversity Program.
our Folsom, NJ headquarters to accommodate our rapidly growing
Of note, $129 million of these funds were spent with New Jersey-based
AND SAVINGS
workforce, we needed some additional space. This led to a partnership
businesses.
with Stockton University and The Atlantic City Development Corporation
(ACDevco) for what would become the Atlantic City Gateway Project. These funds were paid to pipeline construction
subcontractors, environmental consulting and
Since SJG broke ground on the building in spring 2017, progress has
testing firms, small business owners, traffic
developed quickly. The project will contribute to Atlantic City’s rebirth by
HEALTH AND SAFETY
control firms, temporary staffing firms, law firms,
ENVIRONMENTAL
making it more economically diverse and bringing 200 of our employees
municipalities for permitting and traffic control,
into the city each day.
information technology firms, engineering and $278M
design entities, pipe and valve distributors, uniform Goods and
companies, facilities management, and janitorial Services
companies—among many others. Purchased
The dollars exchanged with vendors through our businesses, as well as the
STAKEHOLDERS
ENGAGING OUR
over $82 million paid in dividends to SJI shareholders in 2016, stimulated
significant economic activity and opportunity both within and well beyond
( LEFT) SJI executives Steve Clark, Jeff DuBois, Dave Robbins, and Mike Renna with cermonial southern New Jersey.
shovels for the Atlantic City Gateway Project. (RIGHT) Mike Renna speaks to guests along with
Governor Chris Christie during the groundbreaking ceremony for our new utility headquarters
on April 20, 2017.OUR SUSTAINABILITY
VISION AND VALUES
CONTENTS 17
EFFICIENCY, COMFORT,
JERSEY INDUSTRIES
ABOUT SOUTH
AND SAVINGS
THE ECONOMY
FUELING
Utility Initiatives for Reducing Customers’ Energy Usage . . . . . . 18
Non-Utility Initiatives to Reduce Customers’ Energy Consumption. . . 20
Sustainability as a Company-Wide Initiative . . . . . . . . . . . . 22
EFFICIENCY, COMFORT,
EFFICIENCY,
AND SAVINGS
AND SAVINGS
COMFORT,
HEALTH AND SAFETY
ENVIRONMENTAL
STAKEHOLDERS
ENGAGING OUREFFICIENCY, COMFORT,
OUR SUSTAINABILITY
VISION AND VALUES
CONTENTS 18
AND SAVINGS
JERSEY INDUSTRIES
ABOUT SOUTH
Utility Initiatives for Reducing Energy Efficiency Programs
Customers’ Energy Usage SJG offers a series of energy efficiency program incentives, in conjunction
with the New Jersey Clean Energy Program (NJCEP), to help customers
South Jersey Gas (SJG) encourages customers to take steps toward reduce energy usage and save money while strengthening the local
lowering their energy consumption. Through marketing and education economy. Since 2009, over 13,000 customers have participated in various
THE ECONOMY
materials, we equip customers with energy conscious ideas and energy residential and commercial/industrial rebate and loan offerings to make
FUELING
efficiency programs that guide customers toward conservation. energy efficiency more affordable.
Our energy efficiency programs, and our partnership in the NJ Clean Most recently, SJG received an extension from the New Jersey Board of
Energy Program have helped our customers eliminate over 18,643 metric Public Utilities’ to continue our investments dedicated to enhancing energy
tons of carbon dioxide through avoided usage. efficiency programs through December 31, 2018.
EFFICIENCY, COMFORT,
EFFICIENCY,
AND SAVINGS
AND
To see what financing or rebate options are available for equipment
Conservation Incentive Program
SAVINGS
upgrades, visit our Residential Incentives link.
COMFORT,
In 2006, SJG was one of the first utilities in the country to implement
a Conservation Incentive Program. Today, the program continues to
encourage customers to use natural gas more efficiently. It benefits both
HEALTH AND SAFETY
SJG and its customers by eliminating the link between utility profits and
ENVIRONMENTAL
the quantity of natural gas sold.
Since inception, customers have reduced their natural gas usage by
a total of 72.3 billion cubic feet, enabling them to save $698 million
in energy costs.
STAKEHOLDERS
ENGAGING OUROUR SUSTAINABILITY
VISION AND VALUES
CONTENTS 19
Comfort Partners Sustainable Jersey
Since 2001, SJG has partnered with the state’s other gas and electric SJG is a partner and major contributor
public utilities in assisting with the Residential Low Income Program to Sustainable Jersey, a nonprofit $702K in
known as Comfort Partners, run by the New Jersey Clean Energy group working with communities and Contributions
JERSEY INDUSTRIES
to Sustainable Jersey
ABOUT SOUTH
Program (NJCEP). their school districts to reduce waste,
between 2013-2017
cut greenhouse gas emissions, and
Over the past 16 years, SJG aided in treating 7,341 homes helping to improve environmental quality.
reduce the high cost of energy by maximizing lifetime energy savings
(therms and kWhs) per dollar spent. Through energy education and Since 2013, SJG has provided Sustainable Jersey with over $702,000
efficiency and conservation measures, this program aims to improve to support the group’s efforts. SJG’s involvement supports energy savings
energy affordability, ensure comfort, and enhance health and safety and sustainable actions throughout our region.
THE ECONOMY
conditions for lower income households.
FUELING
Public Education and Awareness
Home Energy Reports Using SJG’s Pipeline Safety Public Awareness Plan educates our stakeholders on
Custom Technology Home Energy Report
February 3, 2016
Account number
We’ve put together this report
understand your energy
to save.
to help you
use and what you can do
pipeline safety. The plan provides outreach and messages to customers,
those who live or work near a pipeline facility, emergency officials, public
energy-saving products
Find a list of rebates and
and services you can buy.
y Report
EFFICIENCY, COMFORT,
EFFICIENCY,
Home Energ SJGsimple.com
During 2017, SJG delivered 159,000
2016
February 3,
SMITH nt number
JOAN AND JOHNAccou Introducing a new energy
report—
STREET you
101 N MAIN report to help designed for you.
FOLSOM NJ 08037 together this you can do
We’ve put use and what
officials, excavators, and employees.
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your energy
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understand
to save. products
energy-saving
rebates and
Find a list of s
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Here’s how you compare
AND SAVINGS
AND
and services
home energy reports to customers in
SJGsimple.com
84 therms report—
You a new energy Great
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partnership with cloud-based software
Neighbors
Jan 5, 2016 - Feb 3, 2016 hbo
rs
Information is shared with these audiences
SAVINGS
pare to neighomes within approx. 2 mi. Efficient neighbors 17 % less gas
Here’s how you com This is based on 100 similar of gas.
are the 20% who use the
least amount than efficient neighbors
back for details.
Great
84 thermsSee
You Good
over time
COMFORT,
than average
Neighbor comparison
101 therms
Using more
company, Opower. Each personalized
Efficient
2016
Neighbors
through special events, bill inserts, direct mailings,
164 therms
used more than
Average In the last 6 months, you
Neighbors
17% less gas your efficient neighbors.
150
neighbors
Jan 5, 2016
- Feb 3, 2016
homes within
approx. 2 mi. Efficient
100
neighbors
than efficient $28 extra cost
on 100 similar of gas.
This is based least amount
who use the
are the 20%
report provides our customers with
details.
See back for
50
news releases, public service announcements,
n over time
compariso
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Nov Dec Jan Feb
you used more
than
6 months,
Sep Oct
the last
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your efficient
150
$28 extra cost
Tips from efficient neighbors
in-depth energy use data and targeted
Seal air leaks
social media, presentations, and more.
100 water
Wash clothes with cold Save up to $150 per year
Save up to $15 per year
50
Jan Feb Turn over
Dec
Nov
Oct s
9,000
0 therms Sep
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Average Neighbor
recommendations for controlling their
You
bors Seal air leaks per year
efficient neigh
HEALTH AND SAFETY
Tips from
$150
Save up to
water
with cold
Wash clothes
$15 per year
Save up to Turn over
In 2016, SJG mailed nearly 9,000 residents
ENVIRONMENTAL
energy consumption.
Safety information
and businesses an updated Safety Information
$159K Home guides issued to
Guide with a readership survey to measure homes and businesses
Energy Reports its effectiveness. Our response rate increased
to homeowners
significantly—232 versus 148 the previous year.
STAKEHOLDERS
ENGAGING OUROUR SUSTAINABILITY
VISION AND VALUES
CONTENTS 20
SJG personnel are also involved in the
Common Ground Alliance. This group raises
Proactive Partnerships
awareness for infrastructure damage prevention Millennium Account Services, LLC, our joint venture with Pepco
on a national and statewide basis. The “Call Holdings, has provided meter reading services to SJG and Atlantic City
Electric for the past 17 years. Since the two service territories overlap in
JERSEY INDUSTRIES
Before You Dig” national 811 phone number is
ABOUT SOUTH
regularly promoted in communications efforts. many areas, this collaboration provides a cost-effective and environmentally
friendly way for the companies to read customer meters.
Our actions have led to fewer damages per
thousand mark-out tickets. Since 2012, we Millennium employees traveled approximately 907,030 miles across the
have reduced this number from 4.98 to 2.92 territory in 2016, while still preventing 1,185,660 pounds of carbon dioxide
in 2016. from escaping into the atmosphere.
In 2016, Millennium implemented a formalized quality assurance program.
THE ECONOMY
Company leaders oversee this plan to ensure
40%
FUELING
compliance with regulations. At regular The goal was to improve the customer’s experience by ensuring the highest
intervals, evaluations occur to gauge its Fewer quality in safety, daily operations, and employee performance.
ongoing effectiveness and identify opportunities excavation
damages Additionally, to ensure the safety of our employees and to increase
for improvement. since 2012 customer awareness, Millennium made employee uniforms more easily
EFFICIENCY, COMFORT,
EFFICIENCY,
identifiable to customers.
Educational Customer Videos
AND SAVINGS
AND SAVINGS
Videos produced by South Jersey Gas (SJG) show customers how they
Non-Utility Initiatives to Reduce
COMFORT,
can easily improve the energy efficiency of their homes.
The videos allow consumers to follow a pair of “do-it-yourselfers” as they Customers’ Energy Consumption
attempt to improve their home’s comfort, save money, and use less energy. Our non-utility businesses remain uniquely positioned to advance New
HEALTH AND SAFETY
ENVIRONMENTAL
As their efforts go awry, viewers can see the benefit in taking advantage Jersey’s clean energy objectives.
of zero percent financing to upgrade the
efficiency of their natural gas heating South Jersey Energy Solutions (SJE) works to encourage customers to use
equipment or their entire home. energy efficient equipment and measures to reduce energy consumption
and simultaneously stimulate the economy through job creation.
Check out the videos at
SouthJerseyGas.com/energysavings.
STAKEHOLDERS
ENGAGING OUROUR SUSTAINABILITY
VISION AND VALUES
CONTENTS 21
The Power of Aggregation Lacey (LCEA)
• Electric supply at 14 percent cost savings
SJE helps lower energy costs for residents and school districts, preserving
funds for what matters most in their households and classrooms • Typical resident will save approximately $200
JERSEY INDUSTRIES
• Alliance for Competitive Energy Service (ACES) contract with the New • Aggregate savings estimated at nearly $2.1 million
ABOUT SOUTH
Jersey School Boards Association awarded in 2017
Monroe (MTCEA)
$8.4M
• Seven community ‘resident energy
aggregation’ or municipal contracts • Electric supply at 19 percent cost savings
awarded over two years
Under the new ACES contract that spans
SAVED
in energy costs
• Typical resident will save approximately $420
THE ECONOMY
through December 2018, SJE serves for 250 School Boards • Aggregate savings estimated at nearly $7.5 million
FUELING
roughly 1,600 accounts across served in New Jersey
approximately 250 school boards. Cleaner Air through Gas Supply
to Electric Markets
Governmental Energy Aggregations
EFFICIENCY, COMFORT,
EFFICIENCY,
Community Energy Aggregations recently awarded multi-year Fuel Supply Management
AND SAVINGS
AND
contracts to SJE: Over the last two years, South Jersey Resources Group (SJRG) has
SAVINGS
COMFORT,
solidified its standing as a premier partner in the fuel supply management
Hamilton (HCEA)
space. The company matches merchant electric generation facilities with
• Electric supply at 14 percent cost savings natural gas producers to drive cleaner sourced, more affordable electric
generation from the abundant supplies in the Marcellus region.
HEALTH AND SAFETY
• Typical resident will save approximately $250
ENVIRONMENTAL
In 2017, a new multi-year agreement was announced to supply fuel
• Aggregate savings estimated at nearly $7.5 million
management services for Tyr Energy’s Hickory Run energy station. This
agreement marks SJRG’s 11th contract, and exceeds the 10 contracts
needed to support the projected contribution by this business area to the
company’s Economic Earnings goal for 2020.
STAKEHOLDERS
ENGAGING OUROUR SUSTAINABILITY
VISION AND VALUES
CONTENTS 22
Sustainability as a
Company-Wide Initiative 117 = 775 Tons
of Reduced
JERSEY INDUSTRIES
Vehicles Green House Gas
Leadership in the Community
ABOUT SOUTH
Emissions This Year
SJI executives have joined with more than 80 business, public sector, labor, Once fully converted, SJG will have eliminated the use of approximately
and academic leaders as part of the Greater Philadelphia Energy Action 457,000 gallons of gasoline per year and will lower our greenhouse gas
Team for the second consecutive year. The team works to capitalize on emissions by 1,139 tons per year. That’s the equivalent of taking 219
the benefits offered by the Marcellus and Utica natural gas reserves, passenger cars off the road.
leveraging the region’s energy and manufacturing assets to accelerate
THE ECONOMY
economic growth.
CNG Station Expansion
FUELING
SJI representatives have made presentations to community groups during To help make conversion to compressed natural gas possible for more
events like the National League of Cities’ “City Summit,” Chamber of businesses and government vehicle fleets, we continue to evaluate our part
Commerce Southern New Jersey’s “Future of Atlantic City” and “Summer in creating a more expansive fueling station infrastructure.
Institute for Educators”, the Hispanic Business Forum’s “Workforce &
EFFICIENCY, COMFORT,
EFFICIENCY,
Supplier Diversity in the Utility Industry,” and New Jersey Alliance for Local fleets can refuel in areas such as Lindenwold, Paulsboro, Glassboro,
AND SAVINGS
AND
Action’s “NJ Leading Infrastructure Projects.” and Millville, New Jersey. Construction is underway on three new stations
in the South Jersey area, with plans already developed to build additional
SAVINGS
COMFORT,
stations. Currently, there are eight CNG fueling stations available to the
Vehicle Programs general public in South Jersey.
Compressed Natural Gas (CNG) for Vehicles For more information on how to
HEALTH AND SAFETY
convert your fleet to CNG, or where
ENVIRONMENTAL
Compressed natural gas (CNG), the cleanest-burning commercially
to find your nearest fueling
available transportation fuel, is used to improve the air quality and the
station, visit our Natural Gas
CNG Station
health of communities across the country. SJG has committed to building
for Vehicles link.
Locations
an infrastructure for natural gas vehicles in southern New Jersey to
promote the use of this environmentally friendly fuel option.
As part of that commitment, SJG has agreed to convert its entire fleet by
STAKEHOLDERS
ENGAGING OUR
2020. We introduced our 117th CNG vehicle in 2017 and plan on adding
33 more vehicles in 2018 for SJG street, utility, and construction crews.OUR SUSTAINABILITY
VISION AND VALUES
CONTENTS 23
ENVIRONMENTAL
JERSEY INDUSTRIES
ABOUT SOUTH
HEALTH & SAFETY
THE ECONOMY
FUELING
Environmental Health & Safety Goals . . . . . . . . . . . . . . . 24
Health and Safety Programs . . . . . . . . . . . . . . . . . . 25
Emergency Response Preparation . . . . . . . . . . . . . . . . 29
Consumer Protection Awareness . . . . . . . . . . . . . . . . 30
EFFICIENCY, COMFORT,
Employee Health and Wellness. . . . . . . . . . . . . . . . . 31
AND SAVINGS
Environmental Stewardship. . . . . . . . . . . . . . . . . . . 31
Emissions Tracking . . . . . . . . . . . . . . . . . . . . . . 32
Compliance Commitment. . . . . . . . . . . . . . . . . . . . 33
HEALTH AND
HEALTH
ENVIRONMENTAL
ENVIRONMENTAL
AND SAFETY
SAFETY
STAKEHOLDERS
ENGAGING OURENVIRONMENTAL
OUR SUSTAINABILITY
VISION AND VALUES
CONTENTS 24
HEALTH & SAFETY
JERSEY INDUSTRIES
ABOUT SOUTH
Environmental Health Safety is our top priority, and our training
supervisors are one of our greatest assets. They
& Safety Goals use hands on, real-life industry experience, some
from careers that span over 30 years, leveraging
Leadership, program management, and a culture of shared beliefs are knowledge and best practices to provide our
essential for a successful Health, Safety and Environment (HSE) program. employees the training and resources they need
THE ECONOMY
South Jersey Industries’ Environmental Health and Safety Committee is
to do their jobs safely and correctly.
FUELING
comprised of several senior executives who monitor matters that include Kenneth Harrison
remediation efforts, regulatory and legislative topics, and HSE performance. General Manager, Training
The Committee provides the SJI Board of Directors regular updates
about program initiatives and results, and continuously improves HSE
EFFICIENCY, COMFORT,
• Purchase products and services that do the least damage to the
performance and measures effectiveness for future program development.
AND SAVINGS
environment and encourage others to do the same.
SJI recognizes the importance of the following environmental goals:
• Offer our customers the most environmentally friendly energy supplies
• Products and operations comply with or exceed all applicable and encourage them to purchase energy-efficient equipment and
regulations and requirements. implement efficiency measures.
HEALTH AND
HEALTH
• Management systems and procedures are specifically designed to
SJG Occupational Safety and Health
ENVIRONMENTAL
ENVIRONMENTAL
minimize the use of hazardous materials, energy and other natural
AND SAFETY
resources, minimize waste generated, and enable recycling and reuse South Jersey Gas (SJG) based its safety philosophy on six principles:
of materials.
SAFETY
1. All injuries can be prevented
• Minimize energy and water usage in our buildings, vehicles, and 2. All hazards can be controlled
processes to conserve supplies and minimize our consumption 3. Management is dedicated to preventing injuries and illnesses
of nonrenewable natural resources. 4. Safety is a condition of employment
STAKEHOLDERS
ENGAGING OUR
5. Employees must be trained to work safely
• Continuous improvement of air, water, noise, and light pollution from
our premises and reduction of any impacts from our operations on 6. Preventing injuries is good for everyone
the environment and local community.OUR SUSTAINABILITY
VISION AND VALUES
CONTENTS 25
Health and Safety Programs • Conduct and oversee safety inspections; report results and trends
• Review incident reports and monitor the progress of any actions
Steering Committee required to completion
JERSEY INDUSTRIES
SJG Operations’ Safety and Health Strategic Steering Committee leads the • Direct and monitor safety training; recommend training for new
ABOUT SOUTH
development of programs by providing guidance, making decisions and employees and refresher training for safe work practices, procedures
establishing policies that reduce accidents and injuries, and maintain or and emergency response
improve the health of our employees, contractors, and the public.
• Monitor Workers’ Compensation and safety performance and trends
The Committee serves as a forum to collaborate over safety and health-
related topics. In addition, they encourage employees to participate SJG is focused on reducing our number of Occupational, Safety, and
in and adopt a culture of safety. Health Administration (OSHA) recordable incidents and preventable motor
THE ECONOMY
vehicle accidents. The goal in 2016, which continues throughout 2017,
FUELING
The Committee’s responsibilities are to: is to improve safety performance with the ultimate achievement of zero
injuries and zero preventable motor vehicle accidents. We track injuries and
• Establish policies that reduce accidents and injuries, and maintain
their causes as part of our continuous improvement program. Our goal is to
or improve the safety and health of our employees, contractors
achieve and maintain top-quartile performance among our peers by 2021.
and the general public
EFFICIENCY, COMFORT,
Incident/Accident Incident/Accident
AND SAVINGS
• Facilitate effective two-way communication between the Safety
Target Rates Actual Rates
and Health Steering Committee and local safety committees
2016 2016
• Make operational decisions to improve our Company’s safety
OSHA Recordable
performance 1.3 3.47
Work Incidents
Days Away, Restrictions and
HEALTH AND
HEALTH
• Involve employees in achieving a safe, healthful workplace and take 0.8 2.43
ENVIRONMENTAL
ENVIRONMENTAL
action to correct identified workplace hazards Transfers (DART) Injury Rate
Preventable Motor
AND SAFETY
• Promote awareness of the SJG Safety and Health program, including 2.1 4.76
Vehicle Accidents
SAFETY
our Company’s safety and health goals
• Maintain awareness of legislation or regulatory actions
STAKEHOLDERS
ENGAGING OUROUR SUSTAINABILITY
VISION AND VALUES
CONTENTS 26
Peer Review Assessment Utility Safety Training & Technology
SJG participated in a week-long peer review in mid-April 2017 to analyze
our performance in the areas of safety culture, technical training and work
Technical Training Center
procedures, and pipeline risk management. This American Gas Association The SJG Technical Training Center serves as the company’s source
JERSEY INDUSTRIES
for training and testing for street, utility, and construction department
ABOUT SOUTH
(AGA) program, launched in 2015, is a voluntary review that allows
participating companies to be analyzed by peers, share leading practices, employees. We value our talent and believe that well-trained employees
and identify opportunities to improve operational performance. fuel our success. In 2017, we added:
Highlights from the review include the acknowledgment of SJG’s positive • Additional staff focused on delivering exceptional on-the-job training,
safety culture and proactive safety communications, the professionalism classroom instruction, demonstrations, and online training
of our employees, our hands-on training program, effective contractor
• Larger classroom and workshop space
THE ECONOMY
management, and our great partnerships within the community. The
FUELING
reviewers also identified several improvement opportunities for the • Plastic Pipe Joining annual qualifications conducted by SJG Training
company to assess. Supervisors
Over 50 SJG employees participated in the review, ranging from field We also upgraded our technology, including:
employees to the management team. Due to the study, cross-functional
EFFICIENCY, COMFORT,
teams were formed to identify and prioritize the areas where SJG can • “eWallet” cards embedded with employee-specific Operator
AND SAVINGS
improve our performance. qualifications; the cards can be scanned using Smartphone technology
to show important information such as suspensions and expiration dates
• Interactive computer-based training programs
• Paperless secure testing
HEALTH AND
HEALTH
ENVIRONMENTAL
ENVIRONMENTAL
• Learning Management System (LMS) software application for
administration, documentation, tracking, reporting, and delivery
AND SAFETY
of training
SAFETY
STAKEHOLDERS
ENGAGING OURYou can also read
