ASSET RETIREMENT OBLIGATIONS

12 Months Ended

Sep. 30, 2014

Asset Retirement Obligation Disclosure [Abstract]

NJR recognizes AROs related to the costs associated with cutting and capping its main and service gas distribution pipelines of NJNG, which is required by New Jersey law when taking such gas distribution pipeline out of service.

The following is an analysis of the change in the ARO liability for the fiscal year ended September 30:



(Thousands)	2014			2013
Balance at October 1	$	28,711		$	27,983
Accretion	2,012			1,892
Additions	925			533
Retirements	(1,153		)	(1,697		)
Balance at period end	$	30,495		$	28,711

Accretion amounts are not reflected as an expense on NJR's Consolidated Statements of Operations, but rather are deferred as a regulatory asset and netted against NJNG's regulatory liabilities, for presentation purposes, on the Consolidated Balance Sheets.

Accretion for the next five years is estimated to be as follows:



(Thousands)
Fiscal Year Ended September 30,	Estimated Accretion
2015		$	2,075
2016		2,139
2017		2,194
2018		2,248
2019		2,303
Total		$	10,959