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DERIVATIVE INSTRUMENTS (Tables)
 9 Months Ended
Jun. 30, 2015
Derivative Instruments and Hedging Activities Disclosure [Abstract]  
Schedule of Derivative Instruments in Statement of Financial Position, Fair Value
The following table reflects the fair value of NJR's derivative assets and liabilities recognized on the Unaudited Condensed Consolidated Balance Sheets as of:
 
 
 
Fair Value
 
 
 
June 30, 2015
 
September 30, 2014
(Thousands)
Balance Sheet Location
Asset
Derivatives
Liability
Derivatives
Asset
Derivatives
Liability
Derivatives
Derivatives designated as hedging instruments:
 
 
 
 
 
 
 
 
NJRES:
 
 
 
 
 
 
 
 
 
Foreign currency contracts
Derivatives - current
 
$
—

 
$
—

 
$
—

 
$
155

Derivatives not designated as hedging instruments:
 
 
 
 
 
 
 
 
NJNG:
 
 
 
 
 
 
 
 
 
Financial commodity contracts
Derivatives - current
 
$
775

 
$
14,701

 
$
2,525

 
$
2,205

 
Derivatives - noncurrent
 
545

 
—

 
82

 
25

Interest rate contracts
Derivatives - noncurrent
 
$
2,905

 
$
—

 
$
—

 
$
—

NJRES:
 
 
 
 
 
 
 
 
 
Physical forward commodity contracts
Derivatives - current
 
11,007

 
16,900

 
15,391

 
30,778

 
Derivatives - noncurrent
 
958

 
—

 
35

 
132

Financial commodity contracts
Derivatives - current
 
26,509

 
21,388

 
46,307

 
46,725

 
Derivatives - noncurrent
 
3,569

 
2,415

 
5,537

 
6,533

Fair value of derivatives not designated as hedging instruments
 
$
46,268

 
$
55,404

 
$
69,877

 
$
86,398

Total fair value of derivatives
 
 
$
46,268

 
$
55,404

 
$
69,877

 
$
86,553
Offsetting Assets and Liabilities
The following table summarizes the reported gross amounts, the amounts that NJR has the right to offset but elects not to, financial collateral, as well as the net amounts NJR could present in the Unaudited Condensed Consolidated Balance Sheets but elects not to.
(Thousands)
Amounts Presented in Balance Sheets (1)
Offsetting Derivative Instruments (2)
Financial Collateral Received/Pledged (3)
Net Amounts (4)
As of June 30, 2015:
 
 
 
 
 
 
 
 
Derivative assets:
 
 
 
 
 
 
 
 
NJRES
 
 
 
 
 
 
 
 
Physical forward commodity contracts
 
$
11,965

 
$
(5,972
)
 
$
—

 
$
5,993

Financial commodity contracts
 
30,078

 
(23,802
)
 
—

 
6,276

Total NJRES
 
$
42,043

 
$
(29,774
)
 
$
—

 
$
12,269

NJNG
 
 
 
 
 
 
 
 
Financial commodity contracts
 
$
1,320

 
$
(1,320
)
 
$
—

 
$
—

Interest rate contracts
 
$
2,905

 
$
—

 
$
—

 
$
2,905

Total NJNG
 
4,225

 
(1,320
)
 
—

 
2,905

Derivative liabilities:
 
 
 
 
 
 
 
 
NJRES
 
 
 
 
 
 
 
 
Physical forward commodity contracts
 
$
16,900

 
$
(5,972
)
 
$
(1,200
)
 
$
9,728

Financial commodity contracts
 
23,803

 
(23,803
)
 
—

 
—

Total NJRES
 
$
40,703

 
$
(29,775
)
 
$
(1,200
)
 
$
9,728

NJNG
 
 
 
 
 
 
 
 
Financial commodity contracts
 
$
14,701

 
$
(1,320
)
 
$
(13,381
)
 
$
—

As of September 30, 2014:
 
 
 
 
 
 
 
 
Derivative assets:
 
 
 
 
 
 
 
 
NJRES
 
 
 
 
 
 
 
 
Physical forward commodity contracts
 
$
15,426

 
$
(11,531
)
 
$
—

 
$
3,895

Financial commodity contracts
 
51,844

 
(51,844
)
 
—

 
—

Total NJRES
 
$
67,270

 
$
(63,375
)
 
$
—

 
$
3,895

NJNG
 
 
 
 
 
 
 
 
Financial commodity contracts
 
$
2,607

 
$
(2,230
)
 
$
(377
)
 
$
—

Derivative liabilities:
 
 
 
 
 
 
 
 
NJRES
 
 
 
 
 
 
 
 
Physical forward commodity contracts
 
$
30,910

 
$
(12,058
)
 
$
(1,200
)
 
$
17,652

Financial commodity contracts
 
53,258

 
(51,844
)
 
(1,414
)
 
—

Foreign currency contracts
 
155

 
—

 
—

 
155

Total NJRES
 
$
84,323

 
$
(63,902
)
 
$
(2,614
)
 
$
17,807

NJNG
 
 
 
 
 
 
 
 
Financial commodity contracts
 
$
2,230

 
$
(2,230
)
 
$
—

 
$
—

(1)
Derivative assets and liabilities are presented on a gross basis in the balance sheet as the Company does not elect balance sheet offsetting under ASC 210-20.
(2)
Offsetting derivative instruments include: transactions with NAESB netting election, transactions held by FCM's with net margining and transactions with ISDA netting.
(3)
Financial collateral includes cash balances at FCMs as well as cash received from or pledged to other counterparties.
(4)
Net amounts represent presentation of derivative assets and liabilities if the Company were to elect balance sheet offsetting under ASC 210-20.
Schedule of Other Derivatives Not Designated as Hedging Instruments, Statements of Financial Performance and Financial Position, Location
The following table reflects the effect of derivative instruments on the Unaudited Condensed Consolidated Statements of Operations as of:
(Thousands)
Location of gain (loss) recognized in income on derivatives
Amount of gain (loss) recognized
in income on derivatives
 
 
Three Months Ended
Nine Months Ended
 
 
June 30,
June 30,
Derivatives not designated as hedging instruments:
2015
 
2014
2015
 
2014
NJRES:
 
 
 
 
 
 
 
Physical commodity contracts
Operating revenues
$
6,183

 
$
5,496

$
21,130

 
$
(52,502
)
Physical commodity contracts
Gas purchases
(11,988
)
 
(7,728
)
(21,781
)
 
(87,202
)
Financial commodity contracts
Gas purchases
2,264

 
2,293

92,781

 
(139,406
)
Total unrealized and realized (losses) gains - NJRES
$
(3,541
)
 
$
61

$
92,130

 
$
(279,110
)
Schedule of Derivative Instruments, Gain (Loss) in Statement of Financial Performance
The following table reflects the effect of derivative instruments designated as cash flow hedges on OCI as of June 30:
(Thousands)
Amount of Gain or (Loss) Recognized in OCI on Derivatives (Effective Portion)
Amount of Gain or (Loss) Reclassified from OCI into Income (Effective Portion)
Amount of Gain or (Loss) Recognized on Derivative (Ineffective Portion and Amount Excluded from Effectiveness Testing)
 
Three Months Ended
Three Months Ended
Three Months Ended
 
June 30,
June 30,
June 30,
Derivatives in cash flow hedging relationships:
2015
2014
2015
2014
2015
2014
Foreign currency contracts
$
3

$
213

$
15

$
44

$
—

$
—

 
Nine Months Ended
Nine Months Ended
Nine Months Ended
 
June 30,
June 30,
June 30,
Derivatives in cash flow hedging relationships:
2015
2014
2015
2014
2015
2014
Foreign currency contracts
$
(402
)
$
(247
)
$
557

$
209

$
—

$
—
Schedule of Derivative Instruments
NJNG and NJRES had the following outstanding long (short) derivatives as of:
 
 
 
Volume (Bcf)
 
 
 
June 30,
2015
 
September 30,
2014
NJNG
Futures
 
26.2

(1) 
17.3

NJRES
Futures
 
(57.4
)
 
(62.1
)
 
Options
 
1.2

 
1.2

 
Physical
 
58.4

 
28.6


(1)
Not included is the notional amount of $125 million related to NJNG’s treasury lock agreement
Schedule of Due to (from) Broker-Dealers and Clearing Organizations
The balances by company, are as follows:
(Thousands)
Balance Sheet Location
June 30,
2015
September 30,
2014
NJNG
NJNG Broker margin - Current assets
$
17,297

$
1,057

NJRES
NJRES Broker margin - Current assets
$
6,576

$
26,282
Schedules of Concentration of Risk, by Risk Factor
The following is a summary of gross credit exposures grouped by investment and noninvestment grade counterparties, as of June 30, 2015. The amounts presented below have not been reduced by any collateral received or netting and exclude accounts receivable for NJNG retail natural gas sales and services.
(Thousands)
Gross Credit Exposure
Investment grade
 
$
101,707

 
Noninvestment grade
 
11,977

 
Internally rated investment grade
 
11,598

 
Internally rated noninvestment grade
 
8,974

 
Total
 
$
134,256