PSEG: "Still Looking" At Starting Retail Supplier, "Not An Offensive Play"

Public Service Enterprise Group Inc. is still considering launching a retail supplier, but CEO Ralph Izzo said that any retail effort would not be an "offesnive" play.

PSEG first told investors that it was considering starting a retail supplier in August during its second quarter earnings call.

Asked about the company's progress in evaluating a retail effort during Friday's third quarter earnings call, Izzo said:

"We did talk about it and we still are considering different options. Again to the extent that we think about retail, it's only in the context of the effectiveness of our hedges. This is not an offensive play. This is, how do we make sure that assets that we own and operate in places like PS Zone and in places like Eastern MAC and places like Bethlehem, New York are effectively hedged when the liquid hub is at PJM West. So it's really just about the effectiveness of hedging and how to make sure that we optimize that. So, one thing we did to make sure we hedge effectively is by purchasing the Keys Energy Center. That's not retail. That's a way to get at managing basis differentials and effective hedges. So we are still looking at it, but nothing imminent to announce."