South Jersey Gas Company Natural Gas Distribution BMP Commitment Option Methane Challenge Partner Since 2016 OMB Control No. 2060 0722 Approval expires 08/31/2021 A SOUTH JERSEY V GAS® Background SJG has committed to reducing greenhouse gas emissions through a successful infrastructure modernization program. South Jersey Gas joined the U.S. Environmental Protection Agency's Natural Gas STAR Methane Challenge Program in 2016 as a founding partner. The program is designed to provide a transparent platform to utilities to make, track and communicate commitments to reduce methane emissions. Historical Highlights SJG Greenhouse Gas Emissions Reduction Program Each year, we collaborate with industry peers to make ambitious and transparent commitments to reducing our methane emissions. The STAR Methane challenge aligns with our commitment to protect our region's environmental and natural resources. As part of our participation, South Jersey Gas follows the Cast Iron and Unprotected Steel Best Management Practice. We have pledged to reduce emissions by replacing a significant portion of our aging and leak prone bare steel and cast-iron distribution mains and services with modern, medium-density plastic mains and services. As part of our effort to reduce our environmental impact, we have replaced 810 miles of unprotected steel and 235 miles of cast iron from 2011-2018. As a result in 2018, South Jersey Gas decreased its C02-equivalent fugitive methane and total direct emissions from its system by 45 percent from 2011-2018 as depicted in the chart below. if) c o -*—> if) c o if) if) E LU -i—' c 0 CO > '¦D cr 160,000 140,000 120,000 100,000 80,000 60,000 40,000 SJG C02-e Total Direct Emissions ¦SJG C02-e Fugitive Methane Emissions EPA Form No. 5900 413 ------- |