PSEG

Public

Service

Enterprise

Group

Barclays Capital

2011 CEO Energy/Power Conference

September 8, 2011

EXHIBIT 99.1

2

Forward-Looking Statement

Readers are cautioned that statements contained in this presentation about our and our subsidiaries' future performance, including future revenues, earnings, strategies,

prospects, consequences and all other statements that are not purely historical, are forward-looking statements for purposes of the safe harbor provisions under The Private

Securities

Litigation

Reform

Act

of

1995.

When

used

herein,

the

words

“will”,

“anticipate”,

“intend”,

“estimate”,

“believe”,

“expect”,

“plan”,

“should”,

“hypothetical”,

“potential”,

“forecast”, “project”, variations of such words and similar expressions are intended to identify forward-looking statements.  Although we believe that our expectations are based on

reasonable assumptions, they are subject to risks and uncertainties and we can give no assurance they will be achieved.  The results or developments projected or predicted in

these

statements

may

differ

materially

from

what

may

actually

occur.

Factors

which

could

cause

results

or

events

to

differ

from

current

expectations

include,

but

are

not

limited

to:

•

adverse changes in energy industry law, policies and regulation, including market structures and a potential shift away from competitive markets toward subsidized market mechanisms,

transmission

planning

and

cost

allocation

rules,

including

rules

regarding

how

transmission

is

planned

and

who

is

permitted

to

build

transmission

in

the

future,

and

reliability

standards,

•

any inability of our transmission and distribution businesses to obtain adequate and timely rate relief and regulatory approvals from federal and state regulators,

•

changes in federal and state environmental regulations that could increase our costs or limit operations of our generating units,

•

changes in nuclear regulation and/or general developments in the nuclear power industry, including various impacts from any accidents or incidents experienced at our facilities or by others in

the industry that could limit operations of our nuclear generating units,

•

actions

or

activities

at

one

of

our

nuclear

units

located

on

a

multi-unit

site

that

might

adversely

affect

our

ability

to

continue

to

operate

that

unit

or

other

units

located

at

the

same

site,

•

any inability to balance our energy obligations, available supply and trading risks,

•

any deterioration in our credit quality, or the credit quality of our counterparties,

•

availability of capital and credit at commercially reasonable terms and conditions and our ability to meet cash needs,

•

any

inability

to

realize

anticipated

tax

benefits

or

retain

tax

credits,

•

changes in the cost of, or interruption in the supply of, fuel and other commodities necessary to the operation of our generating units,

•

delays in receipt of necessary permits and approvals for our construction and development activities,

•

delays or unforeseen cost escalations in our construction and development activities,

•

adverse changes in the demand for or price of the capacity and energy that we sell into wholesale electricity markets,

•

increase in competition in energy markets in which we compete,

•

challenges associated with recruitment and/or retention of a qualified workforce,

•

adverse performance of our decommissioning and defined benefit plan trust fund investments and changes in discount rates and funding requirements, and

•

changes in technology and customer usage patterns.

For further information, please refer to our Annual Report on Form 10-K, including Item 1A. Risk Factors, and subsequent reports on Form 10-Q and Form 8-K

filed with the Securities and Exchange Commission.  These documents address in further detail our business, industry issues and other factors that could cause actual results to

differ

materially

from

those

indicated

in

this

presentation.

In

addition,

any

forward-looking

statements

included

herein

represent

our

estimates

only

as

of

today

and

should

not

be

relied upon as representing our estimates as of any subsequent date.  While we may elect to update forward-looking statements from time to time, we specifically disclaim any

obligation to do so, even if our internal estimates change, unless otherwise required by applicable securities laws.

3

GAAP Disclaimer

PSEG presents Operating Earnings in addition to its Net Income reported in

accordance with accounting principles generally accepted in the United States

(GAAP). Operating Earnings is a non-GAAP financial measure that differs from

Net Income because it excludes gains or losses associated with Nuclear

Decommissioning Trust (NDT), Mark-to-Market (MTM) accounting, and other

material one-time items. PSEG presents Operating Earnings because

management believes that it is appropriate for investors to consider results

excluding these items in addition to the results reported in accordance with

GAAP. PSEG believes that the non-GAAP financial measure of Operating

Earnings provides a consistent and comparable measure of performance of its

businesses to help shareholders understand performance trends.

This

information is not

intended to be viewed as an alternative to GAAP information.

The last slide in this presentation includes a list of items excluded from Income

from Continuing Operations to reconcile to Operating Earnings, with a reference

to that slide included on each of the slides where the non-GAAP information

appears. 

PSEG

–

Defining

the

Future

Ralph Izzo

Chairman, President and Chief Executive Officer

5

PSEG

Advantage:

Right

platform

to

deliver

value to customers and investor.

PSE&G positioned

to meet NJ’s

energy policy and

economic growth

objectives

with a $5.2 billion

investment program

through 2013

Electric & Gas Delivery

and Transmission

PSEG Power’s

low-cost, base load

and load following fleet

is geographically well

positioned and

environmentally

responsible

Regional Wholesale Energy

PSEG Energy Holdings

positioned to pursue

attractive renewable

generation opportunities

Renewable Investments

$17.3B Market Cap*

$28.8B Assets**

*Market Capitalization based on closing price on August 31, 2011.  ** Total Assets at June 30, 2011.

6

Earnings growth achieved…

…

through increased investment, higher output and lower costs.

* See page 24 for Items excluded from Income from Continuing Operations to reconcile to Operating Earnings;

All periods reflect Texas in Discontinued Operations.

$2.91

$3.09

$3.12

2008 Operating Earnings*

2009 Operating Earnings*

2010 Operating Earnings*

Market Cap (Year-End 2010)

$0.0

$10.0

$20.0

$30.0

$40.0

Net Income (Full Year 2010)

$0.0

$1.0

$2.0

$3.0

7

Advantage …

PSEG is one of the largest power

companies in the US

Source:  EEI 2010 Financial Review; SNL Financial Data as of December 31, 2010.

PSEG $1.56 B

PSEG $16.1B

8

Growth

$4.72 B

69%

Maintenance

$2.13 B

31%

PSEG’s consolidated capital spending

is focused on growth

Parent SC

$0.07 B 

1%

Power

$1.50 B

  22%

PSE&G

$5.24 B

  76%

Holdings

$0.04 B

1%

PSEG 2011-2013E Capital Spending

$6.85 Billion*

by Subsidiary

PSEG 2011-2013E Capital Spending

$6.85 Billion*

Growth vs. Maintenance Spend

*E:

Estimate

.

9

PSE&G’s capital program calls for

investing $5.2 billion…

…through investment in transmission and distribution.

*E: Estimate.

2011-2013E Utility Capital Spending

$5.2 Billion*

Renewables/EMP

$0.7 B

13%

Gas Utility

$0.6 B

11%

Electric Distribution

$1.0 B

20%

Transmission

$2.9 B

56%

10

PSE&G’s investment program provides opportunity

for ~11%* annualized growth in rate base …

PSE&G Projected Rate Base

*Starting from 2010 Rate Base of $7.8 billion.

…

as Transmission grows to 33% of rate base by 2013.

$0

$2,000

$4,000

$6,000

$8,000

$10,000

$12,000

2010

2011

2012

2013

Gas Distribution

Electric Distribution

Electric Transmission

Energy Master Plan

11

Low-cost portfolio

Fuel flexibility

Regional focus in competitive, liquid

markets

Assets favorably located near

customers/load centers

Many units east of PJM constraints

Market knowledge and experience to

maximize the value of our assets

Nuclear plants re-licensed

Multiple emission controls installed

…

and is well positioned to respond to EPA regulations.

Power’s investment program has focused on optimizing

its assets in a dynamic environment …

18%

45%

8%

Fuel Diversity*

Coal

Gas

Oil

Nuclear

Pumped

Storage

1%

Energy Produced*

Total GWh: 56,727

52%

19%

28%

Pumped Storage

& Oil <1%

Nuclear

Coal

Gas

Total MW: 13,538

27%

9%

* Twelve months ended December 31, 2010.

12

…

good location, fuel diversity, and solid markets.

Power’s PJM assets along the dispatch curve …

Energy Revenue

X

X

X

Capacity Revenue

X

X

X

Ancillary Revenue

X

X

Dual Fuel

X

X

Peaking units

Load following units

Nuclear

Coal

Combined Cycle

Steam

Peaking

Baseload units

Illustrative

Salem

Hope

Creek

Keystone

Conemaugh

Hudson 2

Linden 1,2

Burlington 8-9-11

Edison 1-2-3

Essex 10-11-12

Bergen 1

Sewaren 1-4

Hudson 1

Mercer1, 2

Bergen 2

Sewaren 6

Mercer 3

Kearny 10-11

Linden 5-8 / Essex 9

Burlington 12  / Kearny 12

Peach

Bottom

Yards

Creek

National Park

Salem 3

Bergen 3

13

Power’s Coal/Gas fuel mix has changed

from ~50/50…

…to ~40/60 Coal/Gas due to gas commodity pricing vs coal.

52%

42%

42%

39%

48%

58%

58%

61%

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

2008

2009

2010

2011 July YTD

Coal

Gas CC

14

0

50

100

150

200

250

Source: EPA (2009), EIA (2009), and PSEG Projections

0

2

4

6

8

10

12

14

0

10

20

30

40

50

60

PSEG Projected NOx Emission Rate for 2011

versus 2009 400 U.S. Coal Plants

Conemaugh

Hudson

Bridgeport

Mercer   Keystone

NOx

Keystone

Bridgeport

Conemaugh

Hudson   Mercer

SO

2

PSEG Projected SO2

Emission Rate for 2011

versus 2009 400 U.S. Coal Plants

Keystone

Conemaugh

Bridgeport

Mercer

Mercury

PSEG Projected HG Emission Rate for 2011

versus 2009 400 U.S. Coal Plants

Hudson

PSEG Power’s environmental program has

resulted in dramatically lower emissions…

…leaving Power’s coal fleet among the cleanest in the country.

15

…through a balanced portfolio hedging strategy.

Power’s hedging strategy combined with strong operations have supported results

2011 forwards imply continued market challenges, but well positioned for market

response to EPA requirements

Power will continue to utilize a hedging strategy that incorporates full requirement load

contracts and contracting using other products to secure pricing

over a 2-3 year forward

horizon

BGS continues to be an important part of our hedging strategy

Three year nature of BGS provides reduced volatility for customers and

providers

PSEG Power, as part of P3, is an active participant in market discussions challenging

subsidized pricing.

Power’s fleet is economically optimized…

16

Hedge Strategy …

…

open to market improvement.

* Hedge

percentages

and

prices

as

of

July

2011

for

the

August

2011

and

forward

time

frame.

Revenues

of

full

requirement

load

deals

based

on

contract

price,

including

renewable

energy

credits,

ancillary,

and

transmission

components

but

excluding

capacity.

Hedges

include

positions

with

MTM

accounting

treatment

and

options.

2011

2012

2013

Aug - Dec

Volume TWh

14

36

36

Base Load

% Hedged

100%

75%-80%

35%-40%

(Nuclear and Base Load Coal)

Price $/MWh

$68

$64

$63

Volume TWh

9

20

21

Intermediate Coal, Combined

% Hedged

30%-35%

Cycle, Peaking

Price $/MWh

$68

Volume TWh

23

56

57

Total

% Hedged

70%-75%

45%-50%

20%-25%

Price $/MWh

$68

$64

$63

Contracted Energy*

17

Growth

$4.72 B

69%

Maintenance

$2.13 B

31%

PSEG’s consolidated capital spending

is focused on growth …

Parent SC

$0.07 B 

1%

Power

$1.50 B

  22%

PSE&G

$5.24 B

  76%

Holdings

$0.04 B

1%

PSEG 2011-2013E Capital Spending

$6.85 Billion*

by Subsidiary

PSEG 2011-2013E Capital Spending

$6.85 Billion*

Growth vs. Maintenance Spend

*E: Estimate

.

…

with

reasonable,

risk-adjusted

returns.

Sources

Uses

18

PSEG’s internally generated cash flow

between 2011 –

2013 …

…

supports capital investment and the shareholder dividend without

the need for equity issuance.

* Cash from Operations adjusts for securitization principal repayments ~$0.7B.

** 2011-2012 include bonus depreciation of ~$0.9B offset by ~$0.1B in 2013.

Power

Cash

from Ops

Debt

Issued

PSE&G

Investment

Debt

Redeemed

Shareholder

Dividend

PSEG Consolidated                                               

2011 –

2013 Sources and Uses

PSE&G

Cash from

Ops*

Power

Investment

Asset Sale

Proceeds

Includes:

Bonus Depreciation = ~$0.8B**

Pension Contribution = ~($0.5B)

Other Net

Cash Flow

19

25%

30%

35%

40%

45%

50%

2008

2009

2010

2011-2013E

Average

PSEG Power

Funds from Operations / Total Debt

Power’s credit metrics remain strong ...

Power’s free cash

flow produces strong

credit measures and

provides sufficient

cushion for potential

gas price volatility

Free Cash Flow

(1)

~750

~950

~750

Average: ~725

Dividends to Parent

500

850

550

Average: ~475

(in $Millions)

(1)

Free Cash Flow represents cash from operations less cash used for investing; E:estimate.

…

providing opportunities for growth investments.

20

PSEG Dividend –

a major source of return

to shareholders …

PSEG Annual Common Dividend Per Share 2001-2011E

…

with a 104-year track record.

$1.08

$1.08

$1.08

$1.10

$1.12

$1.14

$1.17

$1.29

$1.33

$1.37

$1.37

$1.00

$1.25

$1.50

21

Outlook for 2011 Operating Earnings

Maintained

* See page 24 for Items excluded from Income from Continuing Operations to reconcile to Operating Earnings.

EPS contribution from PSE&G expected to represent 35 to 40% of

2011 forecast earnings versus 27% contribution to 2010 earnings.

$3.12   

$0.00

$0.50

$1.00

$1.50

$2.00

$2.50

$3.00

$3.50

2010 Operating Earnings*

2011E Earnings Guidance*

$2.75E

$2.50E

22

PSEG is responding to investors’

questions

Investors’

Questions

PSEG Position

How is PSEG affected

by environmental policy

changes?

Commercial operation of Back-End Technology puts us in good position

on potential Clean Air rules

What’s the impact of

commodity volatility?

Multi-year hedging

Asset balance dampens relative fuel price volatility

Capacity markets provide stability

How are you responding

to State incursion into

markets?

Recent decision by FERC has upheld competitive market mechanisms

We are also challenging the constitutionality of NJ’s actions

Do you need equity?

Strong cash flow enables us to execute our strategy, with room for additional

investment, without the need to issue equity

How is management

incented

to

deliver

value

to

shareholders?

Management’s long-term incentives are based on a combination of return on 

invested capital and total shareholder return relative to peers over a multi-year

period of time

23

PSEG Advantage:  Asset mix, strong

operations…

Reliability One Award

winner for Mid-Atlantic

Region –

9

th

year in a row

Regulatory agreements

and cost control provide

opportunity for improved

returns

Investment program

focused on growth and 

providing customers with

clean, reliable energy

PSEG Power

PSE&G

…with

balance

sheet

to

support

growth.

Asset mix

Strong platform open to

improvement in the market

Well-run, low-cost

generating fleet combined

with fuel flexibility

supports margins

Hedging strategy mitigates

near-term risk

Major environmental

compliance capital

program completed

Actively working to defend

competitive

power markets

Reducing risk

Building a platform for

renewables and investing

through PPA-supported

projects

International lease

investments terminated

Resources carefully

monitoring remaining

traditional leases and

other investments

PSEG Energy Holdings

24

Please see Page 3 for an explanation of PSEG’s use of Operating Earnings as a non-GAAP financial measure and how it differs from Net Income.

Items Excluded from Income from Continuing

Operations to Reconcile to Operating Earnings

Pro-forma Adjustments, net of tax

2010

2009

2008

Earnings Impact ($ Millions)

Gain (Loss) on Nuclear Decommissioning Trust (NDT)

Fund Related Activity (PSEG Power)

46

$         

9

$           

(71)

$        

Gain (Loss) on Mark-to-Market (MTM) (PSEG Power)

(1)

(11)

14

Market Transition Charge Refund (PSE&G)

(72)

-

-

Net Reversal of Lease Transaction Reserves (Energy Holdings)

-

29

-

Lease Transaction Reserves (Energy Holdings)

-

-

(490)

Asset Impairments

-

-

(13)

Premium on Bond Redemption

-

-

(1)

Total Pro-forma adjustments

(27)

$        

27

$         

(561)

$      

Fully Diluted Average Shares Outstanding (in Millions)

507

507

508

Per Share Impact (Diluted)

Gain (Loss) on Nuclear Decommissioning Trust (NDT)

Fund Related Activity (PSEG Power)

0.09

$      

0.02

$      

(0.14)

$     

Gain (Loss) on Mark-to-Market (MTM) (PSEG Power)

-

(0.02)

0.03

Market Transition Charge Refund (PSE&G)

(0.14)

-

-

Net Reversal of Lease Transaction Reserves (Energy Holdings)

-

0.05

-

Lease Transaction Reserves (Energy Holdings)

-

-

(0.96)

Asset Impairments

-

-

(0.03)

Premium on Bond Redemption

-

-

-

Total Pro-forma adjustments

(0.05)

$     

0.05

$      

(1.10)

$     

December 31,

PUBLIC SERVICE ENTERPRISE GROUP INCORPORATED

Reconciling

Items

Excluded

from

Continuing

Operations

to

Compute

Operating

Earnings

(Unaudited)

For the Twelve Months Ended