8-K

UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549

FORM 8-K

CURRENT REPORT
Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934

Date of Report (Date of earliest event reported) December 20, 2006

PUBLIC SERVICE ENTERPRISE GROUP INCORPORATED
(Exact name of registrant as specified in its charter)

New Jersey	001-09120	22-2625848
(State or other jurisdiction of incorporation)	(Commission File Number)	(I.R.S. Employer Identification No.)

80 Park Plaza, P.O. Box 1171

Newark, New Jersey 07101-1171

(Address of principal executive offices) (Zip Code)

973-430-7000

(Registrant’s telephone number, including area code)

http://www.pseg.com

PSEG POWER LLC(Exact name of registrant as specified in its charter)

Delaware	000-49614	22-3663480
(State or other jurisdiction of incorporation)	(Commission File Number)	(I.R.S. Employer Identification No.)

80 Park Plaza—T-25
Newark, New Jersey 07102-4194

(Address of principal executive offices) (Zip Code)

973-430-7000

(Registrant’s telephone number, including area code)

http://www.pseg.com

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below):

[   ]	Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
[   ]	Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
[   ]	Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
[   ]	Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

          The information contained in Item 8.01 Other Events in this combined Form 8-K is separately filed, as noted, by Public Service Enterprise Group Incorporated (PSEG) and PSEG Power LLC (Power). Information contained herein relating to any individual company is provided by such company on its own behalf and in connection with its respective Form 8-K. Power makes representations only as to itself and makes no other representations whatsoever as to any other company.

Item 8.01 Other Events

          PSEG and Exelon Corporation announced on December 20, 2006 that PSEG plans to resume direct management of the Salem and Hope Creek nuclear generating stations. A copy of the press release is attached as Exhibit 99.1.

Item 9.01 Financial Statements and Exhibits

Exhibit 99.1 Press Release dated December 20, 2006.

2

SIGNATURE

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized. The signature of the undersigned company shall be deemed to relate only to matters having reference to such company and any subsidiaries thereof.

PUBLIC SERVICE ENTERPRISE GROUP INCORPORATED
(Registrant)
	By:	/s/ Patricia A. Rado
		Patricia A. Rado Vice President and Controller (Principal Accounting Officer)

Date: December 21, 2006

3

SIGNATURE

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized. The signature of the undersigned company shall be deemed to relate only to matters having reference to such company and any subsidiaries thereof.

PSEG POWER LLC
(Registrant)
	By:	/s/ Patricia A. Rado
		Patricia A. Rado Vice President and Controller (Principal Accounting Officer)

Date: December 21, 2006

4

EXHIBIT INDEX

Exhibit No.	Description
99.1	Press Release dated December 20, 2006.

5

EX-99.1

Investor News NYSE:PEG

For further information, contact:

Ø Mort Plawner, VP & Treasurer Phone: 973-430-6474

Ø Greg McLaughlin, Sr. Investor Relations Analyst Phone: 973-430-6568

Ø Yaeni Kim, Sr. Investor Relations Analyst Phone: 973-430-6596

December 20, 2006

PLANS UNVEILED FOR PSEG TO RESUME DIRECT MANAGEMENT

OF SALEM AND HOPE CREEK NUCLEAR STATIONS

Exelon senior management team at plants joining PSEG

Public Service Enterprise Group (PSEG) and Exelon Corporation today announced that PSEG plans to resume direct management of the Salem and Hope Creek nuclear generating stations in New Jersey before expiration of the current Nuclear Operating Services Agreement.

The two companies also announced that three senior leaders from Exelon who have been in place at Salem and Hope Creek since the inception of the services agreement in January, 2005, will leave Exelon and become PSEG employees effective January 1, 2007.

The three new PSEG executives are William Levis, who will continue as chief nuclear officer and become president of PSEG Nuclear, and Thomas Joyce and George Barnes, who will remain as site vice presidents at Salem and Hope Creek, respectively.

Frank Cassidy, president of PSEG Power, parent company of PSEG Nuclear, said: “Bill Levis and his leadership team have done an outstanding job over the last two years. We have made remarkable progress in improving the work environment at both Salem and Hope Creek, which is a key driver of the improvements in safety and reliability.”

Cassidy added: “I’m extremely pleased that Bill Levis, Tom Joyce and George Barnes will continue to lead the way to achieve world-class performance standards. The 95% capacity factor reached this year by the Salem and Hope Creek plants is a clear indication of the progress being made by the leadership team and employees at both plants. In particular, keeping the leadership team together provides for a stable environment that has already achieved a level of excellence upon which we will further improve.”

Levis, who has more than 25 years of diversified experience in the nuclear industry, said: “I appreciate the confidence that PSEG’s Board of Directors and executive leadership has shown in our team. This is a vote of confidence for all employees at Salem and Hope Creek. We have made great strides and we look forward to building on that success.”

(more)

Page 2

Chris Crane, president of Exelon Nuclear, said: “We are also very pleased with the results achieved at Salem and Hope Creek through the application of Exelon’s nuclear management model. As co-owners of Salem station, we remain committed to continued success. We wish Bill and his team well and will do everything we can to support a smooth transition over the coming months.”

Levis and his team assumed management of PSEG’s nuclear facilities when the services agreement was implemented in January, 2005. The agreement will remain in effect during the transition period, which could extend for another two years. As part of the agreement, the other approximately two dozen employees from Exelon will be given an option during the transition period to join PSEG.

Prior to his assignment at PSEG Nuclear, Levis was Exelon Nuclear’s vice president of mid-Atlantic operations where he had oversight of the Limerick, Peach Bottom, Three Mile Island, and Oyster Creek plants.

Prior to assuming the role of site vice president at Salem, Joyce was site vice president at Exelon Nuclear’s Braidwood Station. He has more than 29 years of experience in nuclear power plant operations.

Barnes was site vice president at Exelon Nuclear’s LaSalle County Generating Station before his assignment to Hope Creek and has more than 36 years experience in the nuclear industry.

Hope Creek is an 1100-megawatt boiling water reactor, and Salem Units 1 and 2 are 1,150-megawatt pressurized water reactors. Hope Creek is 100% owned by PSEG. PSEG owns approximately 57% of Salem and Exelon owns the remaining 43%. The three units are located on one site in Salem County, N.J.

PSEG is a diversified energy holding company with headquarters in Newark, NJ. PSEG’s primary subsidiaries are PSEG Power, an independent power producer with more than 14,500 megawatts of electric generating capacity; PSE&G, recently named as America’s most reliable utility, and PSEG Energy Holdings, a holding company for other energy-related businesses.

###