01:18 PM EST, 11/21/2024 (MT Newswires) -- New Jersey Resources' ( NJR ) utility unit said state regulators approved the settlement of base rate case, resulting in a $157 million increase in natural gas rates.

The rate increase was requested to recover costs associated with the infrastructure investments, system enhancements and overall operation of the business, New Jersey Natural Gas said Thursday in a statement.

"This is a reasonable, fair settlement that recognizes the value" of $850 million of investments since 2021, New Jersey Natural Gas Chief Executive Officer Steve Westhoven said in the statement.

The new settlement reflects a base rate of $3.25 billion, an overall rate of return of 7.08%, and a composite depreciation rate of 3.21%, the utility said.

Shares of New Jersey Resources ( NJR ) rose 1.3% in recent trading Thursday.

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