You are given a text that consists of multiple sentences. Your task is to perform abstractive summarization on this text. Use your understanding of the content to express the main ideas and crucial details in a shorter, coherent, and natural sounding text. 
Text: pseg.com, and our 10-Q will be filed shortly.
We will discuss non-GAAP operating earnings and non-GAAP adjusted EBITDA, which differ from net income as reported in accordance with Generally Accepted Accounting Principles in the United States.
At the conclusion of their remarks, there will be time for your question.
PSEG reported non-GAAP operating earnings for the third quarter of 2020 of $0.96 per share versus $0.98 per share in last year's third quarter.
PSEG's GAAP results for the third quarter were $1.14 per share compared with $0.79 per share in the third quarter of 2019.
Our results for the third quarter bring non-GAAP operating earnings for the year-to-date to $2.78 per share, up 5.3% compared to the $2.64 per share in the first months of 2019.
This performance reflects the strong contribution from our regulated operations at PSE&G, cost controls at both the utility and PSEG Power, lower pension expense and the favorable settlement of tax audits I mentioned last quarter.
We delivered a solid quarter at both PSE&G and PSEG Power.
We are updating PSEG's non-GAAP operating earnings guidance for 2020 to a range of $3.35 to $3.50 per share, which removes $0.05 per share from the lower end of our original guidance range.
Last month, The New Jersey Board of Public Utilities -- I'll refer to them as the BPU -- approved the settlement of the energy efficiency component of our Clean Energy Future filed.
As you know, we proposed the comprehensive filing covering energy efficiency, energy cloud and electric vehicles and storage in October 2018, to help deliver on the goals of New Jersey's Clean Energy Act.
The BPU's landmark decision on energy efficiency will enable PSE&G to invest $1 billion over three years to help bring universal access to energy efficiency for all New Jersey customers.
These programs will lower customer bills, shrink their carbon footprint and give them greater control of their energy usage.
PSE&G's Clean Energy Future Energy Efficiency program will also establish a clean energy jobs training program, create over 3,200 direct jobs and enable everyone in New Jersey to benefit from the avoidance of 8 million metric tons of carbon emissions through 2050.
The $1 billion of remaining CEF programs we proposed to implement, which in the energy cloud or otherwise known as advanced metering infrastructure, to expand electric vehicle infrastructure and energy storage, are entering hearing stages later this year and we expect them to conclude in the first quarter of 2021.
Our service area experienced significantly warmer weather during the first half of the summer, which along with the continued reopening of the New Jersey economy, served to moderate the 7% load loss seen earlier in the year caused by the COVID-19 pandemic.
New Jersey has aggressively managed its positivity rates since the spring with some recent resurgence that continues a phased reopening of businesses, schools and activities that will determine the pace of economic recovery going forward.
Recognizing the extraordinary economic stress the pandemic has placed on many of our customers, PSE&G, in partnership with governor Murphy and the BPU, extended a non-safety related shut-off moratorium till March of 2021, for residential, electric and gas service.
The shut-off moratoriums for commercial and industrial customers will continue through November 15th.
PSE&G, as always, will work with customers on alternative payment plans, as needed, to maintain essential services and inform customers about assistance programs that are available, such as LIHEAP.
PSEG continues to provide the latest health and safety information and protocols to all of its employees.
And we recently launched the new mobile app that includes a health questionnaire for employees and contractors who physically report to a PSEG location.
Many of our employees continue to effectively work remotely and our responsible reentry planning is ongoing.
Our cross-functional executive crisis management team continues to monitor business impacts of COVID-19 going into these critical winter months.
In early August, tropical storm, Isaias, wreaked havoc across the New York, New Jersey area with powerful winds and heavy rains; and the fast-moving storm did left approximately 1 million of our customers in New Jersey and Long Island without power.
This was by far the most damaging storm we had experienced since superstorm Sandy in 2012.
And its impact was made worse on several fronts by COVID-19 restrictions.
PSE&G and PSEG Long Island worked around the clock alongside nearly 3,000 mutual aid personnel in New Jersey and over 5,000 on Long Island to restore service.
In New Jersey, we restored 90% of our customers within 72 hours.
The storm was mostly a wind event which caused significant physical damage to poles and wires.
PSE&Gs transmission system did not experience any outages during the storm event, underscoring the reliability and resiliency benefits of our transmission investment programs.
The PSEG Long Island experience was more challenging.
We were able to restore 80% of customers who lost service within 72 hours.
However, our customer communications and restoration time estimates were simply not up to our standards, and we are fixing that.
We have spent the past six years making dramatic improvements to customer service on Long Island.
And JD Power recently recognized PSEG Long Island as the most improved utility nationally in customer service metrics over this period.
Our commitment to continuous improvement remains in place and lessons learned from tropical storm Isaias will be leveraged to further improve customer satisfaction.
On the regulatory front, we are continuing confidential settlement discussions with the BPU and other parties concerning the return on equity related to PSE&Gs Federal Energy Regulatory Commissions formula rate for transmission.
At the state level, the energy efficiency decision authorizing a $1 billion investment over three years represents an annual run rate of about $350 million, which is nearly a tenfold increase from our previous annual energy efficiency spend.
These investments will receive recovery of and on capital through a clause mechanism at the current authorized return-on-equity of 9.6% and be amortized over 10 years with no incentives or penalties applied during the first five years from the start of the program.
The 10-year energy efficiency programs approved by the BPU will help New Jersey achieve its preliminary energy savings target of 2.15% for electricity and 1.1% for gas within five years.
In addition, as part of the energy efficiency settlement, the BPU approved a Conservation Incentive program to provide a lost revenue recovery mechanism for sales variations due to energy efficiency, weather and other variables.
This Conservation Incentive program will begin in June 2021 for electric revenues and in October 2021 for gas revenues.
On the Power side, current market conditions continue to be influenced by lower loads due to COVID-19, low natural gas prices and ample generation.
These persistent conditions kept PJM day ahead around the clock prices in the mid-teens to low $20 per megawatt hour for most days during the third quarter, despite a few weather-driven spikes above $30 per megawatt hour over the summer.
Persistently low PJM day ahead power prices made the economic pressures on our baseload carbon-free nuclear units even more challenging.
PSEG Power recently submitted its application to extend the Zero Emission Certificates program -- I'll refer to that as ZEC -- into 2025, as specified in the 2018 ZEC law.
A BPU final decision is expected in April of 2021.
Our application filed on October 1 demonstrates the financial need for the zero-carbon attribute payment has increased in the last two years, as energy prices has further declined and continue to pressure the economic viability of our New Jersey nuclear units.
The addition of the next jury hearings for the second ZEC proceeding will improve transparency and we believe our application supports the need for more than a $10 per megawatt attribute repayment for the Salem and Hope Creek units.
A new Brattle report estimates that preservation of our New Jersey nuclear units through an extension of the $10 per megawatt hour attribute payment saves customers approximately $175 million per year in lower energy costs over the next 10 years.
The New Jersey Department of Environmental Protection also weighed in through a recently issued report evaluating the states progress in reducing its greenhouse gas emission with a goal of 80% by the year 2050.
One of the recommendations in the DEPs 80/50 report, is to retain existing carbon-free resources, including the Stage 3 nuclear power plant.
And that's a direct quote.
And they called it a key path to reducing emissions from the electric power generation sector.
As our state and region move increasingly toward carbon-free energy, preserving existing nuclear generation, currently the reliability backbone of New Jersey's zero-carbon energy mix, will grow in importance.
On the ESG front, I'm pleased to announce that we have incorporated equity into our diversity and inclusion programs, expanding our commitments for new and ongoing initiatives to ensure that all employees have access to the benefits and opportunities the company offers, and promoting equity in our lower income communities.
And regarding governance, we continue to garner first tier scores for our contributions disclosure and transparency, as cited in the 2020 update of the Corporate Political Disclosure and Accountability Index, also known as the CPA-Zicklin Index, with a score of 85.7, which exceeds both the S&P 500 company average as well as the Utility average score of 77.2.
Turning to earnings guidance.
As I mentioned, we are narrowing PSEG's non-GAAP operating earnings guidance for full year 2020 by removing $0.05 per share off the lower end.
This updates our guidance range to $3.35 to $3.50 per share, based on solid results through the first nine months of the year and our ongoing confidence that we can effectively manage costs at both businesses, continue executing our PSE&Gs investment programs and provide New Jersey with safe, reliable sources of efficient and zero-carbon sources of electricity.
We continue to expect regulated operations to contribute nearly 80% of total non-GAAP operating earnings for the year, reflecting the benefits of PSE&Gs ongoing investments in New Jersey's energy infrastructure.
We also remain on-track to execute on the PSEG five-year $13 billion to $15.7 billion capital plan without the need to issue new equity, and our liquidity position at September 30 stood at nearly $5 billion.
PSEG continues its due diligence and negotiations with Orsted, in preparation of making a final recommendation to our Board of Directors on whether to invest up to a 25% equity stake in the Ocean Wind project.
We expect to announce our decision later this year.
Before moving to the financial review, I'd also like to mention that since our late July announcement that PSEG is exploring strategic alternatives for Power's non-nuclear generating fleet, we have received positive feedback from investors and regulators.
Our intent to accelerate the transformation of PSEG into a primarily regulated electric and gas utility and contract to zero-carbon generation is proceeding as planned.
We are still in the early stages of this process and we expect to begin marketing a potential transaction in one or a series of steps by the end of this year.
If successful, we should be able to complete the process during 2021.
As Ralph said, PSEG reported non-GAAP operating earnings for the third quarter of 2020 of $0.96 per share versus $0.98 per share in last year's third quarter.
We provided you with information on Slide 9 regarding contribution to non-GAAP operating earnings by business for the quarter.
Slide 10 contains a waterfall chart that takes you through the net changes quarter-over-quarter in non-GAAP operating earnings by major business.
And I will now review each company in more detail, starting with PSE&G.
PSE&G reported net income of $0.61 per share for the third quarter of 2020 compared with net income of $0.68 per share for the third quarter of 2019, as shown on Slide 14.
Utilities third quarter results reflected ongoing growth from our investment programs, offset by certain items, largely reflecting tax adjustments that are timing in nature.
For the year-to-date period, PSE&G results are on-track to achieve our full year guidance driven by revenue growth from ongoing capital investment programs, low pension expense and cost control.
Investment in transmission added $0.04 per share third quarter net income.
Electric margin was a $0.01 per share favorable compared to the year-earlier quarter, driven by higher weather normalized residential volumes, mostly offset by lower commercial and industrial demand.
Summer 2020 weather was a $0.01 per share ahead of weather experienced in the third quarter of 2019.
O&M expense was $0.03 unfavorable versus the third quarter of 2019, primarily reflecting our internal labor costs on tropical storm Isaias and timing of certain maintenance activities, partly offset by the reversal of certain COVID-19-related cost recognized in prior quarters.
In July, the BPU authorized PSE&G to defer certain expenses incurred because of the COVID-19 pandemic.
To reflect that order, PSE&G deferred certain COVID-19-related O&M and gas bad debt expense previously recorded and established a corresponding regulatory asset of approximately $0.05 per share for future recovery.
Obviously, offsetting this timing item, PSE&G reversed a $0.04 accrual of revenue under the weather normalization costs for collection of lower gas margins resulting from the warmer-than-normal winter earlier in the year due to recovery limitations under that quarters earnings test.
Distribution-related depreciation lowered net income by a $0.01 per share and non-operating pension expense was a $0.01 per share favorable compared with last year's third quarter.
Flow through taxes and other items lowered net income by $0.07 per share compared to the third quarter of 2019, driven largely by timing of taxes and taxes related to bad debt expense.
The majority of these tax items are expected to reverse about half in the fourth quarter, with taxes related to bad debts reversing in the future based upon the timing of actual write-offs.
Summer weather in the third quarter is measured by the Temperature-Humidity Index, was nearly 18% warmer than normal and 7% warmer than the third quarter of 2019.
Weather normalized electric sales for the quarter declined by approximately 1% versus last year, again reflecting the increases that we've seen in residential volumes, which only partially offsets lower commercial industrial sales.
Residential weather normalized sales were up 7% due to the COVID-19 work-from-home impact.
However, C&I sales declined by approximately 6% with many parts of the New Jersey economy not yet fully reopened.
On a net margin basis, however, residential margins -- which are driven by volumes, are 5% year-to-date, weather normalized -- have offset the margin impact of lower C&I demands.
PSE&Gs capital program remains on schedule.
PSE&G invested approximately $700 million in the third quarter and $1.9 billion through September 30th, as part of its 2020 capital investment program of approximately $2.7 billion in infrastructure upgrades to its transmission and distribution facilities to maintain reliability, increase resiliency and replace aging energy infrastructure.
The Clean Energy Future Energy Efficiency Investment will begin later this year and ramp up to approximately $125 million in 2021 before reaching a full annual run rate of about $350 million in 2022.
We continue to forecast that over 90% of PSEGs planned capital investment will be directed to the utility over the 2020 to 2024 timeframe.
Earlier this month, PSE&G filed its annual transmission formula rate update with FERC to reflect, among other updates, net plant additions.
PJM cost reallocations will more than offset the higher revenue requirements of approximately $119 million and result in a net reduction in costs to PSE&G customers when implemented in January of 2021.
PSE&Gs forecast of net income for the full year has been updated to $1,325 million to $1,355 million from $1,310 million to $1,370 million.
Now, move on to Power.
PSEG Power reported non-GAAP operating earnings for the third quarter of $0.33 per share, and non-GAAP adjusted EBITDA of $349 million.
This compares to non-GAAP operating earnings of $0.29 per share and non-GAAP adjusted EBITDA of $322 million for the third quarter of 2019.
Non-GAAP adjusted EBITDA excludes the same items as our non-GAAP operating earnings measure, as well as income tax expense, interest expense, depreciation and amortization expenses.
And we've also provided you with more detail on generation for the quarter and for year-to-date 2020 on Slides 21 and 22.
PSEG Power's third quarter non-GAAP operating earnings were positively affected by several items that have improved results by $0.04 per share compared to the year ago quarter.
The scheduled rise in PJM's capacity revenue on June 1, increased non-GAAP operating earnings comparison by $0.03 per share compared with the third quarter of 2019.
Reduced generation volumes lowered results by $0.02 per share versus the third quarter of '19, reflecting the sale of the Keystone and Conemaugh coal units last year, as well as some lower market demand.
Recontracting and market impacts reduced results by $0.02 per share versus the year ago quarter.
And gas operations were $0.02 per share higher.
Lower O&M expense was $0.03 per share favorable compared to last year's third quarter, reflecting lower fossil maintenance costs, including the absence of a major outage at Lindon that occurred in the third quarter of 2019.
Lower interest and depreciation expense combined to add a $0.01 per share versus the year ago quarter.
And also during the quarter, New Jersey enacted an increase in the corporate surtax to 2.5% as part of the fiscal year 2021 budget, which lowered comparisons of $0.01 per share for the third quarter of 2019.
Gross margin for the third quarter was $33 per megawatt hour, an improvement of $2 per megawatt hour over the third quarter of 2019, nearly reflecting the scheduled increase in capacity prices with the new energy year that began June 1st.
Power prices and natural gas prices stayed low through the summer as reduced commercial activity across PJM, New York and Maryland experienced lower loads and countered most of the weather-related demand surge.
Turning to Power's operations.
Total generating output declined 9% to 14.9 terawatt hours for the third quarter, reflecting the sale of Keystone and Conemaugh.
PSE&G Power's combined cycle fleet produced 6.7 terawatt hours of output, down 7%, reflecting lower market demand driven by ongoing COVID-19-related impacts on economic activity in the state.
The nuclear fleet operated at an average capacity factor of 95.9% -- I'm sorry, 95.7% for the quarter, producing 8.2 terawatt hours, up 5% over the third quarter of '19, and represent 55% of total generation.
PSE&G Power continues to forecast total output of 2020 of 50 to 52 terawatt hours.
For the remainder of 2020, Power has hedged approximately 95% to 100% of production at an average price of $36 per megawatt hour.
For 2021, Power has hedged 75% to 80% of forecast production of 48 to 50 terawatt hours, at an average price of $35 per megawatt hours.
And Power is also forecasting output for 2022 of 48 to 50 terawatt hours, and approximately 35% to 40% of Power's output in 2022 is hedged at an average price of $34 per megawatt hour.
We are updating the forecast of both Power's non-GAAP operating earnings for 2020 to a range of $385 million to $430 million from $345 million to $435 million, and estimate of non-GAAP operating EBITDA to a range of $980 million to a $1,045 million from $950 million to $1,050 million.
I'll briefly address operating results from Enterprise and other.
We reported net income of $8 million or $0.02 per share for the third quarter of 2020 compared to net income of $6 million or $0.01 per share in the third quarter of 2019.
Net income for the quarter reflects ongoing contributions from PSEG Long Island and lower taxes that were partially offset by a small loss on the sale of the Powerton and Joliet investments at Energy Holdings.
And the forecast for PSEG Enterprise and other for 2020 has been updated to a net loss of $10 million from a net loss of $5 million.
PSEG ended the third quarter with over $4.9 billion of available liquidity, including cash on hand of about $966 million and debt representing 52% of our consolidated capital.
In August, PSEG issued $550 million five-year senior notes at 80 basis points and $550 million 10-year senior notes at 1.6%, and retired $500 million of the 364-day term loan agreements issued in the spring.
PSEG has also offered $700 million of floating rate term loans that will mature in November 2020.
Also, in August, PSE&G issued $375 million of 30-year secured medium term notes at a coupon rate of 2.05% and retired $250 million of MTN's at maturity.
Following PSEG's announcement that it would explore strategic alternatives for Power's non-nuclear fleet, S&P lowered PSEG Power's credit ratings to BBB with a stable outlook from BBB plus with a stable outlook.
Turning its view that PSEG Power was no longer viewed as core to PSEG.
S&P's rationale reflects family rating methodology that had previously provided a one notch uplift to Power due to that core designation.
And Moody's also published updated issuer comments following the announcement and left Power's credit ratings unchanged at Baa1 with a stable outlook.
Power's debt as a percentage of capital declined to 28% at September 30th, and we still expect to fully fund PSEG's five-year $13 billion to $15.7 billion capital investment program over the 2020 to 2024 period without the need to issue new equity.
And as Ralph mentioned, we've narrowed our non-GAAP operating earnings guidance for the full year by removing $0.05 per share from the lower end of the original guidance, and updated range to $3.35 per share to $3.50 per share.
That concludes my comments.
And Sylvia, we are now ready to answer questions.

user
compname reports qtrly net income $1.14 per share.
sees fy 2020 non-gaap operating earnings per share $3.35 to $3.50.
qtrly net income $1.14 per share.
qtrly non-gaap operating earnings $0.96 per share.

assistant