Pension and OPEB

9 Months Ended

Sep. 30, 2021

Defined Benefit Plan Disclosure [Line Items]

Pension and Other Postretirement Benefits (OPEB)

Pension and Other Postretirement Benefits (OPEB)

PSEG sponsors qualified and nonqualified pension plans and OPEB plans covering PSEG’s and its participating affiliates’ current and former employees who meet certain eligibility criteria.

PSEG, PSE&G and PSEG Power are required to record the under or over funded positions of their defined benefit pension and OPEB plans on their respective balance sheets. Such funding positions of each PSEG company are required to be measured as of the date of their respective year-end Consolidated Balance Sheets.

The following table provides the components of net periodic benefit credits relating to all qualified and nonqualified pension and OPEB plans on an aggregate basis for PSEG, excluding Servco. Amounts shown do not reflect the impacts of capitalization and co-owner allocations. Only the service cost component is eligible for capitalization, when applicable.

	Pension Benefits				OPEB				Pension Benefits				OPEB
	Three Months Ended				Three Months Ended				Nine Months Ended				Nine Months Ended
	September 30,				September 30,				September 30,				September 30,
	2021		2020		2021		2020		2021		2020		2021		2020
	Millions
Components of Net Periodic Benefit (Credits) Costs
Service Cost (included in O&M Expense)	$	37	$	36	$	3	$	2	$	113	$	106	$	7	$	7
Non-Service Components of Pension and OPEB (Credits) Costs
Interest Cost	35		48		5		8		105		144		16		25
Expected Return on Plan Assets	(119)		(111)		(10)		(10)		(357)		(332)		(31)		(29)
Amortization of Net
Prior Service Credit	—		(3)		(33)		(32)		—		(8)		(97)		(96)
Actuarial Loss	26		23		11		12		77		69		33		35
Non-Service Components of Pension and OPEB (Credits) Costs	(58)		(43)		(27)		(22)		(175)		(127)		(79)		(65)
Total Benefit (Credits) Costs	$	(21)	$	(7)	$	(24)	$	(20)	$	(62)	$	(21)	$	(72)	$	(58)

Pension and OPEB credits for PSE&G, PSEG Power and PSEG’s other subsidiaries, excluding Servco, are detailed as follows:

	Pension Benefits				OPEB				Pension Benefits				OPEB
	Three Months Ended				Three Months Ended				Nine Months Ended				Nine Months Ended
	September 30,				September 30,				September 30,				September 30,
	2021		2020		2021		2020		2021		2020		2021		2020
	Millions
PSE&G	$	(16)	$	(7)	$	(23)	$	(19)	$	(48)	$	(20)	$	(69)	$	(57)
PSEG Power	(4)		(1)		(1)		—		(13)		(4)		(2)		—
Other	(1)		1		—		(1)		(1)		3		(1)		(1)
Total Benefit (Credits) Costs	$	(21)	$	(7)	$	(24)	$	(20)	$	(62)	$	(21)	$	(72)	$	(58)

PSEG does not plan to contribute to its pension and OPEB plans in 2021.

Servco Pension and OPEB

At the direction of LIPA, Servco sponsors benefit plans that cover its current and former employees who meet certain eligibility criteria. Under the OSA, all of these and any future employee benefit costs are to be funded by LIPA. See Note 5. Variable Interest Entities. These obligations, as well as the offsetting long-term receivable, are separately presented on the Condensed Consolidated Balance Sheet of PSEG.

Servco amounts are not included in any of the preceding pension and OPEB cost disclosures. Pension and OPEB costs of Servco are accounted for according to the OSA. Servco recognizes expenses for contributions to its pension plan trusts and for OPEB payments made to retirees. Operating Revenues are recognized for the reimbursement of these costs. As of September 30, 2021, Servco completed its entire 2021 annual planned contribution into its pension plan. Servco’s pension-related revenues and costs were $18 million and $15 million for the three months ended September 30, 2021 and 2020, and $37 million and $30 million for the nine months ended September 30, 2021 and 2020, respectively. The OPEB-related revenues earned and costs incurred were $3 million for each of the three months ended September 30, 2021 and 2020, and $8 million and $7 million for the nine months ended September 30, 2021 and 2020, respectively.

Public Service Electric and Gas Company [Member]

Defined Benefit Plan Disclosure [Line Items]

Pension and Other Postretirement Benefits (OPEB)

Pension and Other Postretirement Benefits (OPEB)

PSEG sponsors qualified and nonqualified pension plans and OPEB plans covering PSEG’s and its participating affiliates’ current and former employees who meet certain eligibility criteria.

PSEG, PSE&G and PSEG Power are required to record the under or over funded positions of their defined benefit pension and OPEB plans on their respective balance sheets. Such funding positions of each PSEG company are required to be measured as of the date of their respective year-end Consolidated Balance Sheets.

The following table provides the components of net periodic benefit credits relating to all qualified and nonqualified pension and OPEB plans on an aggregate basis for PSEG, excluding Servco. Amounts shown do not reflect the impacts of capitalization and co-owner allocations. Only the service cost component is eligible for capitalization, when applicable.

	Pension Benefits				OPEB				Pension Benefits				OPEB
	Three Months Ended				Three Months Ended				Nine Months Ended				Nine Months Ended
	September 30,				September 30,				September 30,				September 30,
	2021		2020		2021		2020		2021		2020		2021		2020
	Millions
Components of Net Periodic Benefit (Credits) Costs
Service Cost (included in O&M Expense)	$	37	$	36	$	3	$	2	$	113	$	106	$	7	$	7
Non-Service Components of Pension and OPEB (Credits) Costs
Interest Cost	35		48		5		8		105		144		16		25
Expected Return on Plan Assets	(119)		(111)		(10)		(10)		(357)		(332)		(31)		(29)
Amortization of Net
Prior Service Credit	—		(3)		(33)		(32)		—		(8)		(97)		(96)
Actuarial Loss	26		23		11		12		77		69		33		35
Non-Service Components of Pension and OPEB (Credits) Costs	(58)		(43)		(27)		(22)		(175)		(127)		(79)		(65)
Total Benefit (Credits) Costs	$	(21)	$	(7)	$	(24)	$	(20)	$	(62)	$	(21)	$	(72)	$	(58)

Pension and OPEB credits for PSE&G, PSEG Power and PSEG’s other subsidiaries, excluding Servco, are detailed as follows:

	Pension Benefits				OPEB				Pension Benefits				OPEB
	Three Months Ended				Three Months Ended				Nine Months Ended				Nine Months Ended
	September 30,				September 30,				September 30,				September 30,
	2021		2020		2021		2020		2021		2020		2021		2020
	Millions
PSE&G	$	(16)	$	(7)	$	(23)	$	(19)	$	(48)	$	(20)	$	(69)	$	(57)
PSEG Power	(4)		(1)		(1)		—		(13)		(4)		(2)		—
Other	(1)		1		—		(1)		(1)		3		(1)		(1)
Total Benefit (Credits) Costs	$	(21)	$	(7)	$	(24)	$	(20)	$	(62)	$	(21)	$	(72)	$	(58)

PSEG does not plan to contribute to its pension and OPEB plans in 2021.

Servco Pension and OPEB

At the direction of LIPA, Servco sponsors benefit plans that cover its current and former employees who meet certain eligibility criteria. Under the OSA, all of these and any future employee benefit costs are to be funded by LIPA. See Note 5. Variable Interest Entities. These obligations, as well as the offsetting long-term receivable, are separately presented on the Condensed Consolidated Balance Sheet of PSEG.

Servco amounts are not included in any of the preceding pension and OPEB cost disclosures. Pension and OPEB costs of Servco are accounted for according to the OSA. Servco recognizes expenses for contributions to its pension plan trusts and for OPEB payments made to retirees. Operating Revenues are recognized for the reimbursement of these costs. As of September 30, 2021, Servco completed its entire 2021 annual planned contribution into its pension plan. Servco’s pension-related revenues and costs were $18 million and $15 million for the three months ended September 30, 2021 and 2020, and $37 million and $30 million for the nine months ended September 30, 2021 and 2020, respectively. The OPEB-related revenues earned and costs incurred were $3 million for each of the three months ended September 30, 2021 and 2020, and $8 million and $7 million for the nine months ended September 30, 2021 and 2020, respectively.

PSEG Power [Member]

Defined Benefit Plan Disclosure [Line Items]

Pension and Other Postretirement Benefits (OPEB)

Pension and Other Postretirement Benefits (OPEB)

PSEG sponsors qualified and nonqualified pension plans and OPEB plans covering PSEG’s and its participating affiliates’ current and former employees who meet certain eligibility criteria.

PSEG, PSE&G and PSEG Power are required to record the under or over funded positions of their defined benefit pension and OPEB plans on their respective balance sheets. Such funding positions of each PSEG company are required to be measured as of the date of their respective year-end Consolidated Balance Sheets.

The following table provides the components of net periodic benefit credits relating to all qualified and nonqualified pension and OPEB plans on an aggregate basis for PSEG, excluding Servco. Amounts shown do not reflect the impacts of capitalization and co-owner allocations. Only the service cost component is eligible for capitalization, when applicable.

	Pension Benefits				OPEB				Pension Benefits				OPEB
	Three Months Ended				Three Months Ended				Nine Months Ended				Nine Months Ended
	September 30,				September 30,				September 30,				September 30,
	2021		2020		2021		2020		2021		2020		2021		2020
	Millions
Components of Net Periodic Benefit (Credits) Costs
Service Cost (included in O&M Expense)	$	37	$	36	$	3	$	2	$	113	$	106	$	7	$	7
Non-Service Components of Pension and OPEB (Credits) Costs
Interest Cost	35		48		5		8		105		144		16		25
Expected Return on Plan Assets	(119)		(111)		(10)		(10)		(357)		(332)		(31)		(29)
Amortization of Net
Prior Service Credit	—		(3)		(33)		(32)		—		(8)		(97)		(96)
Actuarial Loss	26		23		11		12		77		69		33		35
Non-Service Components of Pension and OPEB (Credits) Costs	(58)		(43)		(27)		(22)		(175)		(127)		(79)		(65)
Total Benefit (Credits) Costs	$	(21)	$	(7)	$	(24)	$	(20)	$	(62)	$	(21)	$	(72)	$	(58)

Pension and OPEB credits for PSE&G, PSEG Power and PSEG’s other subsidiaries, excluding Servco, are detailed as follows:

	Pension Benefits				OPEB				Pension Benefits				OPEB
	Three Months Ended				Three Months Ended				Nine Months Ended				Nine Months Ended
	September 30,				September 30,				September 30,				September 30,
	2021		2020		2021		2020		2021		2020		2021		2020
	Millions
PSE&G	$	(16)	$	(7)	$	(23)	$	(19)	$	(48)	$	(20)	$	(69)	$	(57)
PSEG Power	(4)		(1)		(1)		—		(13)		(4)		(2)		—
Other	(1)		1		—		(1)		(1)		3		(1)		(1)
Total Benefit (Credits) Costs	$	(21)	$	(7)	$	(24)	$	(20)	$	(62)	$	(21)	$	(72)	$	(58)

PSEG does not plan to contribute to its pension and OPEB plans in 2021.

Servco Pension and OPEB

At the direction of LIPA, Servco sponsors benefit plans that cover its current and former employees who meet certain eligibility criteria. Under the OSA, all of these and any future employee benefit costs are to be funded by LIPA. See Note 5. Variable Interest Entities. These obligations, as well as the offsetting long-term receivable, are separately presented on the Condensed Consolidated Balance Sheet of PSEG.

Servco amounts are not included in any of the preceding pension and OPEB cost disclosures. Pension and OPEB costs of Servco are accounted for according to the OSA. Servco recognizes expenses for contributions to its pension plan trusts and for OPEB payments made to retirees. Operating Revenues are recognized for the reimbursement of these costs. As of September 30, 2021, Servco completed its entire 2021 annual planned contribution into its pension plan. Servco’s pension-related revenues and costs were $18 million and $15 million for the three months ended September 30, 2021 and 2020, and $37 million and $30 million for the nine months ended September 30, 2021 and 2020, respectively. The OPEB-related revenues earned and costs incurred were $3 million for each of the three months ended September 30, 2021 and 2020, and $8 million and $7 million for the nine months ended September 30, 2021 and 2020, respectively.