XML 38 R23.htm IDEA: XBRL DOCUMENT v3.21.1
REVENUE
 3 Months Ended
Mar. 31, 2021
Revenue from Contract with Customer [Abstract]  
REVENUE REVENUE:
There have been no significant changes to the nature of the Company's revenues or the revenue recognition policies and practices of the Company since December 31, 2020, which are described in Note 19 to the Consolidated Financial Statements in Item 8 of SJI’s and SJG's Annual Report on Form 10-K for the year ended December 31, 2020.

Disaggregated revenues from contracts with customers are disclosed below, by operating segment (in thousands). The presentation of disaggregated revenues for the prior periods has been revised to conform to the realignment of our operating segments as discussed in Note 6.

Three Months Ended
March 31, 2021
SJG Utility OperationsETG Utility OperationsWholesale Energy OperationsRetail ServicesRenewablesCorporate Services and IntersegmentTotal
Customer Type:
Residential$166,589 $105,904 $— $512 $— $— $273,005 
Commercial & Industrial60,313 49,654 373,967 1,607 6,423 (6,777)485,187 
OSS & Capacity Release2,299 — — — — — 2,299 
Other761 192 — 935 — (96)1,792 
$229,962 $155,750 $373,967 $3,054 $6,423 $(6,873)$762,283 
Product/Service Line:
Gas$229,962 $155,750 $373,967 $— $— $(6,699)$752,980 
Electric— — — 1,607 — (78)1,529 
Solar— — — — 1,911 — 1,911 
Landfills— — — — 425 — 425 
Fuel Cells— — — — 4,087 — 4,087 
Other— — — 1,447 — (96)1,351 
$229,962 $155,750 $373,967 $3,054 $6,423 $(6,873)$762,283 
Three Months Ended
March 31, 2020
SJG Utility OperationsETG Utility OperationsELK Utility OperationsWholesale Energy OperationsRetail ServicesRenewables Corporate Services and IntersegmentTotal
Customer Type:
Residential$142,808 $92,409 $1,536 $— $489 $— $— $237,242 
Commercial & Industrial41,835 37,148 1,659 138,995 7,363 6,988 (2,372)231,616 
OSS & Capacity Release2,609 — — — — — — 2,609 
Other557 3,849 83 — — — — 4,489 
$187,809 $133,406 $3,278 $138,995 $7,852 $6,988 $(2,372)$475,956 
Product/Service Line:
Gas$187,809 $133,406 $3,278 $138,995 $— $— $(1,089)$462,399 
Electric— — — — 6,994 — (1,283)5,711 
Solar— — — — — 1,907 — 1,907 
CHP— — — — — 3,502 — 3,502 
Landfills— — — — — 1,579 — 1,579 
Other— — — — 858 — — 858 
$187,809 $133,406 $3,278 $138,995 $7,852 $6,988 $(2,372)$475,956 


The SJG balance is a part of the SJG Utility Operations segment, and is before intercompany eliminations with other SJI entities.

Revenues on the condensed consolidated statements of income that are not with contracts with customers consist of (a) revenues from alternative revenue programs at the SJG and ETG utility operating segments (including CIP and WNC), (b) both utility and nonutility realized revenue from derivative contracts at the SJG and ETG utility, Wholesale Energy Operations and Retail Services operating segments, and (c) unrealized revenues from derivative contracts of the Wholesale Energy Operations and Retail Services operating segments.

The Utilities' rate mechanisms that qualify as alternative revenue programs are described in Note 10 to the Consolidated Financial Statements in Item 8 of SJI’s and SJG's Annual Report on Form 10-K for the year ended December 31, 2020. These mechanisms are subject to compliance filings on at least an annual basis, and the tariff rate adjustments are designed to occur over this compliance period. These rate mechanisms satisfy the criteria in ASC 980-605-25-4, as (a) each mechanism is established by order of the BPU for SJG and ETG; (b) the amounts recoverable under each program are determined by tracking and are probable of recovery; and (c) the adjustments to tariff rates are designed to recover from or refund to customers within a 24 month period. For each individual rate reconciling mechanism, operating revenues are recognized when allowable costs are greater than the amounts billed in the current period and are reduced when allowable costs are less than amounts billed in the current period. Total revenues arising from alternative revenue programs at SJI were $1.0 million and $47.7 million for the three months ended March 31, 2021 and 2020, respectively. Total revenues arising from alternative revenue programs at SJG were $(0.8) million and $37.1 million for the three months ended March 31, 2021 and 2020, respectively.


The following table provides information about SJI's and SJG's receivables (excluding SJG receivables from related parties) and unbilled revenue from contracts with customers (in thousands):
Accounts Receivable (A)Unbilled Revenue (B)
SJI (including SJG and all other consolidated subsidiaries):
Beginning balance as of January 1, 2021$278,723 $85,423 
Ending balance as of March 31, 2021327,832 68,155 
Increase (Decrease)$49,109 $(17,268)
Beginning balance as of January 1, 2020$253,661 $84,821 
Ending balance as of March 31, 2020262,850 51,973 
Increase (Decrease)$9,189 $(32,848)
SJG:
Beginning balance as of January 1, 2021$88,657 $46,837 
Ending balance as of March 31, 2021130,286 35,362 
Increase (Decrease)$41,629 $(11,475)
Beginning balance as of January 1, 2020$84,940 $45,016 
Ending balance as of March 31, 2020112,606 24,916 
Increase (Decrease)$27,666 $(20,100)

(A) Included in Accounts Receivable in the condensed consolidated balance sheets. A receivable is SJI's and SJG's right to consideration that is unconditional, as only the passage of time is required before payment is expected from the customer.
(B) Included in Unbilled Revenues in the condensed consolidated balance sheets. All unbilled revenue for SJI and SJG arises from contracts with customers. Unbilled revenue relates to SJI's and SJG's right to receive payment for commodity delivered but not yet billed. This represents contract assets that arise from contracts with customers, which is defined in ASC 606 as the right to payment in exchange for goods already transferred to a customer, excluding any amounts presented as a receivable. The unbilled revenue is transferred to accounts receivable when billing occurs and the rights to collection become unconditional.