New Jersey Resources (NJR) 10-Q 8 Feb 17 2017 Q1 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	3 Months Ended
	Dec. 31, 2016	Feb. 06, 2017
Document and Entity Information [Abstract]
Entity Registrant Name	NEW JERSEY RESOURCES CORP
Entity Central Index Key	356,309
Current Fiscal Year End Date	--09-30
Entity Filer Category	Large Accelerated Filer
Entity Common Stock, Shares Outstanding		86,313,212
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Dec. 31, 2016
Document Fiscal Year Focus	2,017
Document Fiscal Period Focus	Q1

CONDENSED CONSOLIDATED STATEMEN

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited) - USD ($) shares in Thousands, $ in Thousands	3 Months Ended
	Dec. 31, 2016	Dec. 31, 2015
OPERATING REVENUES
Utility	$ 185,556	$ 151,606
Nonutility	355,472	292,652
Total operating revenues	541,028	444,258
OPERATING EXPENSES
Gas Purchases - Utility	61,320	46,665
Gas Purchases - Nonutility	337,932	254,088
Gas Purchases - Related parties	2,111	2,074
Operation and maintenance	52,228	46,233
Regulatory rider expenses	12,601	9,628
Depreciation and amortization	19,260	16,482
Energy and other taxes	14,101	9,637
Total operating expenses	499,553	384,807
OPERATING INCOME	41,475	59,451
Other income, net	3,776	1,924
Interest expense, net of capitalized interest	10,615	6,777
INCOME BEFORE INCOME TAXES AND EQUITY IN EARNINGS OF AFFILIATES	34,636	54,598
Income tax provision	2,018	6,722
Equity in earnings of affiliates	2,311	2,406
NET INCOME	$ 34,929	$ 50,282
EARNINGS PER COMMON SHARE
Basic (usd per share)	$ 0.41	$ 0.59
Diluted (usd per share)	0.40	0.58
DIVIDENDS DECLARED PER COMMON SHARE (usd per share)	$ 0.255	$ 0.24
WEIGHTED AVERAGE SHARES OUTSTANDING
Basic (in shares)	86,084	85,675
Diluted (in shares)	86,855	86,676

CONDENSED CONSOLIDATED STATEME3

CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (Unaudited) - USD ($) $ in Thousands		3 Months Ended
		Dec. 31, 2016	Dec. 31, 2015
Statement of Comprehensive Income [Abstract]
Net income		$ 34,929	$ 50,282
Other comprehensive income, net of tax
Unrealized gain on available for sale securities, net of tax of $(3,786) and $(2,614), respectively		5,515	3,701
Net unrealized (loss) on derivatives, net of tax of $0 and $19, respectively	[1]	0	(33)
Adjustment to postemployment benefit obligation, net of tax of $(217) and $(174), respectively		317	256
Other comprehensive income		5,832	3,924
Comprehensive income		$ 40,761	$ 54,206
[1]	Effective January 1, 2016, the Company elected not to designate its foreign currency derivatives as accounting hedges and, as a result, changes in fair value of the effective portion of the hedges are no longer recorded in OCI. See Note 4 Derivative Instruments for more information on these transactions.

CONDENSED CONSOLIDATED STATEME4

CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (Unaudited) (Parenthetical) - USD ($) $ in Thousands	3 Months Ended
	Dec. 31, 2016	Dec. 31, 2015
Statement of Comprehensive Income [Abstract]
Tax on unrealized (loss) gain on available for sale securities	$ (3,786)	$ (2,614)
Tax on net unrealized (loss) gain on derivatives	0	19
Tax on adjustment for postemployment benefit obligation	$ (217)	$ (174)

CONDENSED CONSOLIDATED STATEME5

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) - USD ($) $ in Thousands	3 Months Ended
	Dec. 31, 2016	Dec. 31, 2015
CASH FLOWS (USED IN) OPERATING ACTIVITIES
Net income	$ 34,929	$ 50,282
Adjustments to reconcile net income to cash flows from operating activities
Unrealized loss (gain) on derivative instruments	28,302	(1,135)
Depreciation and amortization	19,260	16,482
Allowance for equity used during construction	(584)	(1,215)
Allowance for bad debt expense	230	334
Deferred income taxes	16,262	46,166
Manufactured gas plant remediation costs	(1,619)	(1,520)
Distributions received from equity investees, net of equity in earnings	1,101	1,139
Cost of removal - asset retirement obligations	(198)	(33)
Contributions to postemployment benefit plans	(1,712)	(30,144)
Tax benefit from stock-based compensation	1,188	1,635
Changes in:
Components of working capital	(150,480)	(102,068)
Other noncurrent assets	7,242	(20,270)
Other noncurrent liabilities	15	4,173
Cash flows (used in) operating activities	(46,064)	(36,174)
CASH FLOWS (USED IN) INVESTING ACTIVITIES
Utility plant	(31,396)	(42,465)
Solar and wind equipment	(46,785)	(45,006)
Real estate properties and other	(171)	(797)
Cost of removal	(7,459)	(6,575)
Investments in equity investees	(4,636)	(2,846)
Distribution from equity investees in excess of equity in earnings	688	555
Withdrawal from restricted cash construction fund	0	1,001
Proceeds from sale of investment	3,218	0
Proceeds from sale of property	0	748
Cash flows (used in) investing activities	(86,541)	(95,385)
CASH FLOWS FROM FROM FINANCING ACTIVITIES
Net proceeds from short-term debt	162,900	144,650
Payments of long-term debt	(2,716)	(2,676)
Proceeds from sale-leaseback transaction	9,587	7,107
Payments of common stock dividends	(21,931)	(20,524)
Proceeds from issuance of common stock	4,616	3,807
Purchases of treasury stock	(6,355)	(1,008)
Tax withholding payments related to net settled stock compensation	(4,167)	(3,042)
Cash flows from financing activities	141,934	128,314
Change in cash and cash equivalents	9,329	(3,245)
Cash and cash equivalents at beginning of period	37,546	4,928
Cash and cash equivalents at end of period	46,875	1,683
CHANGES IN COMPONENTS OF WORKING CAPITAL
Receivables	(152,180)	(27,784)
Inventories	(13,954)	(26,772)
Recovery of gas costs	(2,472)	(11,882)
Gas purchases payable	47,767	(7,071)
Gas purchases payable - related parties	5	(406)
Prepaid and accrued taxes	7,954	(27,794)
Accounts payable and other	(12,405)	(22,489)
Restricted broker margin accounts	(26,173)	6,855
Customers' credit balances and deposits	616	10,056
Other current assets	362	5,219
Components of working capital	(150,480)	(102,068)
Cash paid (received) for:
Interest (net of amounts capitalized)	8,153	5,403
Income taxes	(7,020)	202
Accrued capital expenditures	$ 28,442	$ 21,721

CONDENSED CONSOLIDATED BALANCE

CONDENSED CONSOLIDATED BALANCE SHEETS (Unaudited) - USD ($) $ in Thousands	Dec. 31, 2016	Sep. 30, 2016
PROPERTY, PLANT AND EQUIPMENT
Utility plant, at cost	$ 2,123,926	$ 2,107,375
Construction work in progress	131,576	122,268
Solar and wind equipment, real estate properties and other, at cost	747,788	631,696
Construction work in progress	5,903	93,791
Total property, plant and equipment	3,009,193	2,955,130
Accumulated depreciation and amortization, utility plant	(470,444)	(467,702)
Accumulated depreciation and amortization, solar and wind equipment, real estate properties and other	(87,000)	(79,776)
Property, plant and equipment, net	2,451,749	2,407,652
CURRENT ASSETS
Cash and cash equivalents	46,875	37,546
Customer accounts receivable
Billed	252,755	142,658
Unbilled revenues	47,648	5,744
Allowance for doubtful accounts	(4,916)	(4,865)
Regulatory assets	43,140	54,286
Gas in storage, at average cost	220,097	206,251
Materials and supplies, at average cost	10,886	10,778
Prepaid and accrued taxes	26,391	34,179
Derivatives, at fair value	50,215	29,964
Restricted broker margin accounts	79,118	47,644
Asset held for sale	7,660	7,660
Other	35,194	35,419
Total current assets	815,063	607,264
NONCURRENT ASSETS
Investments in equity method investees	145,169	141,148
Regulatory assets	408,481	441,294
Derivatives, at fair value	3,660	5,227
Available for sale securities	64,447	55,789
Other	60,937	60,196
Total noncurrent assets	682,694	703,654
Total assets	3,949,506	3,718,570
CAPITALIZATION
Common stock, $2.50 par value; authorized 150,000,000 shares; outstanding December 31, 2016 — 86,196,239; September 30, 2016 — 86,086,355	222,153	221,654
Premium on common stock	218,476	215,580
Accumulated other comprehensive (loss), net of tax	(9,323)	(15,155)
Treasury stock at cost and other; shares December 31, 2016 — 2,664,765; September 30, 2016 — 2,575,139	(84,450)	(81,044)
Retained earnings	838,505	825,556
Common stock equity	1,185,361	1,166,591
Long-term debt	1,026,682	1,055,038
Total capitalization	2,212,043	2,221,629
CURRENT LIABILITIES
Current maturities of long-term debt	96,832	61,452
Short-term debt	284,600	121,700
Gas purchases payable	187,219	139,452
Gas purchases payable to related parties	1,155	1,150
Accounts payable and other	72,776	107,184
Dividends payable	21,980	21,975
Accrued taxes	1,246	1,080
Regulatory liabilities	12,120	9,469
New Jersey clean energy program	13,180	14,232
Derivatives, at fair value	93,080	61,080
Restricted broker margin accounts	5,294	0
Customers' credit balances and deposits	33,450	32,834
Total current liabilities	822,932	571,608
NONCURRENT LIABILITIES
Deferred income taxes	490,017	473,847
Deferred investment tax credits	4,538	4,619
Deferred gain	28,317	28,519
Derivatives, at fair value	4,527	25,252
Manufactured gas plant remediation	168,506	172,000
Postemployment employee benefit liability	140,978	141,604
Regulatory liabilities	38,726	41,411
Asset retirement obligation	29,664	28,379
Other	9,258	9,702
Total noncurrent liabilities	914,531	925,333
Commitments and contingent liabilities (Note 12)
Total capitalization and liabilities	$ 3,949,506	$ 3,718,570

CONDENSED CONSOLIDATED BALANCE7

CONDENSED CONSOLIDATED BALANCE SHEETS (Unaudited) (Parenthetical) - $ / shares	Dec. 31, 2016	Sep. 30, 2016
Statement of Financial Position [Abstract]
Common stock, par value (usd per share)	$ 2.50	$ 2.50
Common stock, shares authorized	150,000,000	150,000,000
Common stock, shares outstanding	86,196,239	86,086,355
Treasury stock at cost and other, shares	2,664,765	2,575,139

NATURE OF THE BUSINESS

NATURE OF THE BUSINESS	3 Months Ended
	Dec. 31, 2016
Organization, Consolidation and Presentation of Financial Statements [Abstract]
NATURE OF THE BUSINESS	NATURE OF THE BUSINESS New Jersey Resources Corporation provides regulated gas distribution services and operates certain unregulated businesses primarily through the following subsidiaries: New Jersey Natural Gas Company provides natural gas utility service to approximately 525,500 retail customers in central and northern New Jersey and is subject to rate regulation by the BPU. NJNG comprises the Natural Gas Distribution segment; NJR Clean Energy Ventures Corporation, the Company's clean energy subsidiary, comprises the Clean Energy Ventures segment and consists of the Company's capital investments in commercial and residential solar projects located throughout New Jersey and onshore wind investments in Montana, Iowa, Kansas, Wyoming and Pennsylvania; NJR Energy Services Company comprises the Energy Services segment that maintains and transacts around a portfolio of natural gas storage and transportation capacity contracts and provides physical wholesale energy and energy management services in the U.S. and Canada; NJR Midstream Holdings Corporation invests in energy-related ventures through its subsidiaries, NJR Steckman Ridge Storage Company, which holds the Company's 50 percent combined interest in Steckman Ridge, located in Pennsylvania, and NJR Pipeline Company, which holds the Company's 20 percent ownership interest in PennEast and NJNR Pipeline Company, which holds the Company's 1.84 million Common Units of Dominion Midstream Partners, L.P. The investments in Steckman Ridge, PennEast and DM comprise the Midstream segment; and NJR Retail Holdings Corporation has two principal subsidiaries, NJR Home Services Company, which provides heating, central air conditioning, standby generators, solar and other indoor and outdoor comfort products to residential homes throughout New Jersey, and Commercial Realty & Resources Corporation, which owns commercial real estate. NJR Retail Holdings Corporation is included in Home Services and Other operations. NJR Energy Corporation, a subsidiary of CR&R, was dissolved on November 28, 2016, and all assets were moved to CR&R during the first quarter of fiscal 2017.

SUMMARY OF SIGNIFICANT ACCOUNTI

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES	3 Months Ended
	Dec. 31, 2016
Accounting Policies [Abstract]
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES	SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES The accompanying Unaudited Condensed Consolidated Financial Statements have been prepared by NJR in accordance with the rules and regulations of the SEC and GAAP. The September 30, 2016 Balance Sheet data is derived from the audited financial statements of the Company. These Unaudited Condensed Consolidated Financial Statements should be read in conjunction with the consolidated financial statements and the notes thereto included in NJR's 2016 Annual Report on Form 10-K. The Unaudited Condensed Consolidated Financial Statements include the accounts of NJR and its subsidiaries. In the opinion of management, the accompanying Unaudited Condensed Consolidated Financial Statements reflect all adjustments necessary for a fair presentation of the results of the interim periods presented. These adjustments are of a normal and recurring nature. Because of the seasonal nature of NJR's utility and wholesale energy services operations, in addition to other factors, the financial results for the interim periods presented are not indicative of the results that are to be expected for the fiscal year ending September 30, 2017 . Intercompany transactions and accounts have been eliminated. Gas in Storage The following table summarizes gas in storage, at average cost by company as of: December 31, September 30, ($ in thousands) Gas in Storage Bcf Gas in Storage Bcf NJRES $ 163,393 62.9 $ 130,493 62.0 NJNG 56,704 15.9 75,758 21.3 Total $ 220,097 78.8 $ 206,251 83.3 Sales Tax Accounting Sales tax that is collected from customers is presented in both operating revenues and operating expenses on the Unaudited Condensed Consolidated Statements of Operations was $11.2 million and $7.2 million during the three months ended December 31, 2016 and 2015 , respectively. Effective January 1, 2017, the New Jersey sales tax rate decreased from 7 percent to 6.875 percent . Asset Held for Sale NJR’s subsidiary, CR&R, has committed to sell an approximately 56,400 square foot office building on five acres of land located in Monmouth County with a net book value of $7.7 million . Since it is probable that the sale will be completed within the next 12 months, as of September 30, 2016, the Company has classified the property as held for sale in the Unaudited Condensed Consolidated Balance Sheets. Available for Sale Securities Included in available for sale securities on the Unaudited Condensed Consolidated Balance Sheets are investments in two publicly traded energy companies. The Company's available for sale securities had a fair value of $64.4 million and $55.8 million as of December 31, 2016 and September 30, 2016 , respectively. Total unrealized gains associated with these investments are included as a part of accumulated other comprehensive income (loss), a component of common stock equity and were $16.5 million , $9.7 million after tax, and $7.2 million , $4.2 million after tax, as of December 31, 2016 and September 30, 2016 , respectively. During the three months ended December 31, 2016 , NJR received proceeds of approximately $3.2 million from the sale of available-for-sale securities and realized a pre-tax gain of $2.6 million , which is included in other income in the Unaudited Condensed Consolidated Statements of Operations. Reclassifications of realized gains out of other comprehensive income into income are determined based on average cost. Customer Accounts Receivable Customer accounts receivable include outstanding billings from the following subsidiaries as of: (Thousands) December 31, September 30, NJRES $ 173,708 69 % $ 102,884 72 % NJNG (1) 71,404 28 30,951 22 NJRCEV 2,121 1 1,807 1 NJRHS and other 5,522 2 7,016 5 Total $ 252,755 100 % $ 142,658 100 % (1) Does not include unbilled revenues of $47.6 million and $5.7 million as of December 31, 2016 and September 30, 2016 , respectively. Loans Receivable NJNG provides loans, with terms ranging from two to 10 years, to customers that elect to purchase and install certain energy efficient equipment in accordance with its BPU-approved SAVEGREEN program. The loans are recognized at net present value on the Unaudited Condensed Consolidated Balance Sheets. The Company has recorded $8.1 million and $7.8 million in other current assets and $40.3 million and $39.5 million in other noncurrent assets as of December 31, 2016 and September 30, 2016 , respectively, on the Unaudited Condensed Consolidated Balance Sheets, related to the loans. NJNG's policy is to establish an allowance for doubtful accounts when loan balances are in arrears for more than 60 days . As of December 31, 2016 and September 30, 2016 , there was no allowance for doubtful accounts established for the SAVEGREEN loans. Recently Adopted Updates to the Accounting Standards Codification Stock Compensation In March 2016, the FASB issued ASU 2016-09, an amendment to ASC 718, Compensation - Stock Compensation , which simplifies several aspects of the accounting for employee share-based compensation, including the accounting for income taxes and forfeitures. The new guidance also increased the threshold for tax withholding to the maximum statutory rate, as applicable, to maintain equity classification and amended the classification of certain tax transactions within the statement of cash flows. The Company elected to early adopt the amended guidance during the third quarter of fiscal 2016 and applied the new provisions as of the beginning of the year of adoption on a retrospective or prospective basis depending on each amendment’s transition requirements. As such, effective October 1, 2015, NJR is recognizing forfeitures as they occur and is recognizing excess tax benefits (deficiencies) as a component of income tax (benefit) provision in its Unaudited Condensed Consolidated Statements of Operations on a prospective basis. All related information for prior periods has been adjusted throughout this report on a retrospective basis to reflect the effects of the adoption. See Note 11. Income Taxes for more information on these transactions. In addition, the following amounts on the Unaudited Condensed Consolidated Financial Statements have been adjusted retrospectively, for the three months ended December 31, 2015: (Thousands) As Previously Reported Effect of Change As Adjusted Statements of Operations Income tax provision $ 8,357 $ (1,635 ) $ 6,722 Net income $ 48,647 $ 1,635 $ 50,282 Earnings per common share Basic $ 0.57 $ 0.02 $ 0.59 Diluted $ 0.56 $ 0.02 $ 0.58 Cash flows (used in) operating activities Net income $ 48,647 $ 1,635 $ 50,282 Tax benefit from stock based compensation $ — $ 1,635 $ 1,635 Other noncurrent liabilities $ 4,401 $ (228 ) $ 4,173 Net cash flows (used in) operating activities $ (39,216 ) $ 3,042 $ (36,174 ) Cash flows from financing activities Tax withholding payments related to net settled stock compensation $ — $ (3,042 ) $ (3,042 ) Cash flows from financing activities $ 131,356 $ (3,042 ) $ 128,314 There was no impact to the Unaudited Condensed Consolidated Balance Sheets upon adoption of the new guidance. In June 2014, the FASB issued ASU No. 2014-12, an amendment to ASC 718, Compensation - Stock Compensation , which clarifies the accounting for performance awards when the terms of the award provide that a performance target could be achieved after the requisite service period. The Company adopted the new guidance in the first quarter of fiscal 2017 and applied the new provisions on a prospective basis which did not impact its financial position, results of operations or cash flows upon adoption. Consolidation In February 2015, the FASB issued ASU No. 2015-02, an amendment to ASC 810, Consolidation , which changes the consolidation analysis required under GAAP and reevaluates whether limited partnerships and similar entities must be consolidated. The Company adopted the new guidance in the first quarter of fiscal 2017 and applied the new provisions on a full retrospective basis, which did not impact its financial position, results of operations or cash flows upon adoption. Interest In April 2015, the FASB issued ASU No. 2015-03, an amendment to ASC 835, Interest - Imputation of Interest, which simplifies the presentation of debt issuance costs by requiring them to be presented on the balance sheet as a deduction from the carrying amount of the liability. The amendments do not affect the recognition and measurement guidance for debt issuance costs. In August 2015, the FASB issued ASU No. 2015-15, which clarified that the amendments contained within ASU No. 2015-03 do not require companies to modify their accounting for costs incurred in obtaining revolving credit facilities. The Company adopted the new guidance in the first quarter of fiscal 2017 and applied the new provisions on a full retrospective basis. Accordingly, as of December 31, 2016 , the Company reclassified $7.4 million and $949,000 from other non-current assets to long-term debt and current maturities of long-term debt, respectively. In addition, the following amounts on the Unaudited Condensed Consolidated Balance sheets have been adjusted, retrospectively, as of September 30, 2016. (Thousands) As Previously Reported Effect of Change As Adjusted Assets Other noncurrent assets $ 68,708 $ (8,512 ) $ 60,196 Total noncurrent assets $ 712,166 $ (8,512 ) $ 703,654 Total assets $ 3,727,082 $ (8,512 ) $ 3,718,570 Capitalization and Liabilities Long-term debt $ 1,063,550 $ (8,512 ) $ 1,055,038 Total capitalization $ 2,230,141 $ (8,512 ) $ 2,221,629 Total capitalization and liabilities $ 3,727,082 $ (8,512 ) $ 3,718,570 Intangibles In April 2015, the FASB issued ASU No. 2015-05, an amendment to ASC 350, Intangibles - Goodwill and Other - Internal-Use Software, which clarifies the accounting for fees in a cloud computing arrangement. The amendments provide guidance on how an entity should evaluate the accounting for fees paid in a cloud computing arrangement to determine whether an arrangement includes the sale or license of software. The Company adopted the new guidance in the first quarter of fiscal 2017 and applied the new provisions on a prospective basis, which did not impact its financial position, results of operations or cash flows upon adoption. Other Recent Updates to the Accounting Standards Codification Revenue In May 2014, the FASB issued ASU No. 2014-09, and added Topic 606, Revenue from Contracts with Customers , to the ASC. ASC 606 supersedes ASC 605, Revenue Recognition , as well as most industry-specific guidance, and prescribes a single, comprehensive revenue recognition model designed to improve financial reporting comparability across entities, industries, jurisdictions and capital markets. In August 2015, the FASB issued ASU No. 2015-14, which defers the implementation of the new guidance for one year. The new guidance will become effective for the Company’s fiscal year ending September 30, 2019, and interim periods within that year. The Company continues to evaluate the provisions of ASC 606 and monitor industry specific developments and interpretations, however, based on the review of customer contracts to date, it is not anticipating a material impact to its financial position, results of operations or cash flows upon adoption. Accordingly, the Company expects to transition to the new guidance using the modified retrospective approach. Inventory In July 2015, the FASB issued ASU No. 2015-11, an amendment to ASC 330, Inventory , which requires entities to measure most inventory “at the lower of cost or net realizable value,” thereby simplifying the current guidance under which an entity must measure inventory at the lower of cost or market. The guidance is effective for the Company’s fiscal year ending September 30, 2018, and interim periods within that year. Upon adoption, the amendments will be applied on a prospective basis. The Company is currently evaluating the amendment to understand the impact on its financial position, results of operations and cash flows upon adoption. Financial Instruments In January 2016, the FASB issued ASU 2016-01, an amendment to ASC 825, Financial Instruments , to address certain aspects of the recognition, measurement, presentation and disclosure of financial instruments. The standard affects investments in equity securities that do not result in consolidation and are not accounted for under the equity method and the presentation of certain fair value changes for financial liabilities measured at fair value. It also simplifies the impairment assessment of equity investments without a readily determinable fair value by requiring a qualitative assessment. The guidance is effective for the Company’s fiscal year ending September 30, 2019, and interim periods within that year. Upon adoption, the amendments will be applied on a modified-retrospective basis. The Company has evaluated the amendments and noted that, upon adoption, subsequent changes to the fair value of the Company’s available for sale securities will be recorded in the statement of operations as opposed to other comprehensive income. The Company does not expect any other material impacts to its financial position, results of operations or cash flows upon adoption. In June 2016, the FASB issued ASU 2016-13, an amendment to ASC 326, Financial Instruments - Credit Losses, which changes the impairment model for certain financial assets that have a contractual right to receive cash, including trade and loan receivables. The new model requires recognition based upon an estimation of expected credit losses rather than recognition of losses when it is probable that they have been incurred. The guidance is effective for the Company’s fiscal year ending September 30, 2021, and interim periods within that year, with early adoption permitted. The Company is currently evaluating the amendments to understand the impact on its financial position, results of operations and cash flows upon adoption and will apply the new guidance to its trade and loan receivables on a modified retrospective basis. Leases In February 2016, the FASB issued ASU 2016-02, an amendment to ASC 842, Leases , which provides for a comprehensive overhaul of the lease accounting model and changes the definition of a lease within the accounting literature. Under the new standard, all leases with a term greater than one year will be recorded on the balance sheet. Amortization of the related asset will be accounted for using one of two approaches prescribed by the guidance. Additional disclosures will be required to allow the user to assess the amount, timing and uncertainty of cash flows arising from leasing activities. A modified retrospective transition approach is required for leases existing at the time of adoption. The guidance is effective for the Company’s fiscal year ending September 30, 2020, and interim periods within that year, with early adoption permitted. The Company is currently evaluating the amendments to understand the impact on its financial position, results of operations and cash flows upon adoption. Statement of Cash Flows In August 2016, the FASB issued ASU No. 2016-15, an amendment to ASC 230, Statement of Cash Flows, which addresses eight specific cash flow issues for which there has been diversity in practice. The guidance is effective for the Company’s fiscal year ending September 30, 2019, and interim periods within that year with early adoption permitted. Upon adoption, the amendments will be applied on a retrospective basis. The Company is currently evaluating the amendments to understand the impact on its consolidated statements of cash flows upon adoption. Restricted Cash In November 2016, the FASB issued ASU No. 2016-18, an amendment to ASC 230, Statement of Cash Flows, which requires that any amounts that are deemed to be restricted cash or restricted cash-equivalents be included in cash and cash-equivalent balances on the cash flow statement. Transfers between cash and restricted cash accounts will no longer be recognized within the statement of cash flows. The guidance is effective for the Company’s fiscal year ending September 30, 2019, with early adoption permitted. Upon adoption, the amendments will be applied on a retrospective basis. Based on the Company's historical restricted cash balances, it does not expect any material impacts to its financial position, results of operations or cash flows upon adoption.

REGULATION

REGULATION	3 Months Ended
	Dec. 31, 2016
Regulated Operations [Abstract]
REGULATION	REGULATION NJNG is subject to cost-based regulation, therefore, it is permitted to recover authorized operating expenses and earn a reasonable return on its utility capital investments based on the BPU's approval. The impact of the ratemaking process and decisions authorized by the BPU allows NJNG to capitalize or defer certain costs that are expected to be recovered from its customers as regulatory assets and to recognize certain obligations representing amounts that are probable future expenditures as regulatory liabilities in accordance with accounting guidance applicable to regulated operations. NJNG's recovery of costs is facilitated through its base rates, BGSS and other regulatory tariff riders. NJNG is required to make an annual filing to the BPU by June 1 of each year for review of its BGSS, CIP and various other programs and related rates. Annual rate changes are requested to be effective at the beginning of the following fiscal year. In addition, NJNG is also permitted to request approval of certain rate or program changes on an interim basis. All rate and program changes are subject to proper notification and BPU review and approval. In September 2016 , the BPU approved NJNG's base rate case, effective October 1, 2016, which included an increase in base rates in the amount of $45 million . The base rate increase includes a return on common equity of 9.75 percent , a common equity ratio of 52.5 percent and a depreciation rate of 2.4 percent . The approval also included the five -year extension of SAFE II, rate recovery of NJ RISE capital investment costs through June 30, 2016, recovery of NJNG’s SAFE I, NGV and LNG capital investments and recovery of other costs previously deferred in regulatory assets. Regulatory assets and liabilities included on the Unaudited Condensed Consolidated Balance Sheets are comprised of the following: (Thousands) December 31, September 30, Regulatory assets-current Conservation Incentive Program $ 28,662 $ 36,957 New Jersey Clean Energy Program 13,180 14,232 Underrecovered gas costs 1,298 — Derivatives at fair value, net — 3,097 Total current regulatory assets $ 43,140 $ 54,286 Regulatory assets-noncurrent Environmental remediation costs Expended, net of recoveries $ 20,025 $ 19,595 Liability for future expenditures 168,506 172,000 Deferred income taxes 20,599 20,273 Derivatives at fair value, net 2,702 23,384 SAVEGREEN 22,060 25,208 Postemployment and other benefit costs 154,221 157,027 Deferred Superstorm Sandy costs 14,659 15,201 Other noncurrent regulatory assets 5,709 8,606 Total noncurrent regulatory assets $ 408,481 $ 441,294 Regulatory liability-current Overrecovered gas costs $ — $ 9,469 Derivatives at fair value, net 12,120 — Total current regulatory liabilities $ 12,120 $ 9,469 Regulatory liabilities-noncurrent Cost of removal obligation $ 25,318 $ 30,549 New Jersey Clean Energy Program 12,659 10,657 Other noncurrent regulatory liabilities 749 205 Total noncurrent regulatory liabilities $ 38,726 $ 41,411

DERIVATIVE INSTRUMENTS

DERIVATIVE INSTRUMENTS	3 Months Ended
	Dec. 31, 2016
Derivative Instruments and Hedging Activities Disclosure [Abstract]
DERIVATIVE INSTRUMENTS	DERIVATIVE INSTRUMENTS The Company is subject to commodity price risk due to fluctuations in the market price of natural gas, SRECs and electricity. To manage this risk, the Company enters into a variety of derivative instruments including, but not limited to, futures contracts, physical forward contracts, financial options and swaps to economically hedge the commodity price risk associated with its existing and anticipated commitments to purchase and sell natural gas, SRECs and electricity. In addition, the Company may utilize foreign currency derivatives to hedge Canadian dollar denominated gas purchases and/or sales. Therefore, the Company's primary underlying risks include commodity prices, interest rates and foreign currency. These contracts are accounted for as derivatives. Accordingly, all of the financial and certain of the Company's physical derivative instruments are recorded at fair value on the Unaudited Condensed Consolidated Balance Sheets. For a more detailed discussion of the Company's fair value measurement policies and level disclosures associated with NJR's derivative instruments, see Note 5. Fair Value . NJRES Since NJRES chooses not to designate its financial commodity and physical forward commodity derivatives as accounting hedges or to elect NPNS, the changes in the fair value of these derivatives are recorded as a component of gas purchases or operating revenues, as appropriate for NJRES, on the Unaudited Condensed Consolidated Statements of Operations as unrealized gains or (losses). For NJRES at settlement, realized gains and (losses) on all financial derivative instruments are recognized as a component of gas purchases and realized gains and (losses) on all physical derivatives follow the presentation of the related unrealized gains and (losses) as a component of either gas purchases or operating revenues. NJRES also enters into natural gas transactions in Canada and, consequently, is exposed to fluctuations in the value of Canadian currency relative to the U.S. dollar. NJRES may utilize foreign currency derivatives to lock in the exchange rate associated with natural gas transactions denominated in Canadian currency. The derivatives may include currency forwards, futures, or swaps and are accounted for as derivatives. These derivatives are typically used to hedge demand fee payments on pipeline capacity, storage and gas purchase agreements. Accordingly, changes in the fair value of foreign exchange contracts are recognized in gas purchases on the Unaudited Condensed Consolidated Statements of Operations. For transactions occurring on or before December 31, 2015, NJRES' foreign exchange contracts were designated as cash flow hedges, and the effective portion of the hedges were recorded in OCI. As a result of NJRES entering into transactions to borrow natural gas, commonly referred to as “park and loans,” an embedded derivative is recognized relating to differences between the fair value of the amount borrowed and the fair value of the amount that will ultimately be repaid, based on changes in the forward price for natural gas prices at the borrowed location over the contract term. This embedded derivative is accounted for as a forward sale in the month in which the repayment of the borrowed gas is expected to occur, and is considered a derivative transaction that is recorded at fair value on the Unaudited Condensed Consolidated Balance Sheets, with changes in value recognized in current period earnings. Expected production of SRECs is hedged through the use of forward and futures contracts. All contracts require the Company to physically deliver SRECs through the transfer of certificates as per contractual settlement schedules. The Company applies NPNS accounting to SREC forward and futures contracts entered into on or before December 31, 2015. Effective for contracts executed January 1, 2016, and on a prospective basis, NJRES no longer elects NPNS accounting treatment on all SREC forward sales contracts and recognizes changes in the fair value of these derivatives as a component of operating revenues. Upon settlement of the contract, the related revenue is recognized when the SREC is transferred to the counterparty. NPNS is a contract-by-contract election and, where it makes sense to do so, we can and may elect certain contracts to be normal. NJNG Changes in fair value of NJNG's financial commodity derivatives are recorded as a component of regulatory assets or liabilities on the Unaudited Condensed Consolidated Balance Sheets. The Company elects NPNS accounting treatment on all physical commodity contracts that NJNG entered into on or before December 31, 2015, and accounts for these contracts on an accrual basis. Accordingly, physical natural gas purchases are recognized in regulatory assets or liabilities on the Unaudited Condensed Consolidated Balance Sheets when the contract settles and the natural gas is delivered. The average cost of natural gas is charged to expense in the current period earnings based on the BGSS factor times the therm sales. Effective for contracts executed January 1, 2016, and on a prospective basis, NJNG no longer elects NPNS accounting treatment on all physical forward commodity contracts. However, since NPNS is a contract-by-contract election, where it makes sense to do so, we can and may elect certain contracts to be normal. Because NJNG recovers these amounts through future BGSS rates as increases or decreases to the cost of natural gas in NJNG’s tariff for gas service, the changes in fair value of these contracts are deferred as a component of regulatory assets or liabilities on the Unaudited Condensed Consolidated Balance Sheets. In an April 2014 BPU Order, NJNG received regulatory approval to enter into interest rate risk management transactions related to long-term debt securities. On June 1, 2015, NJNG entered into a treasury lock transaction to fix a benchmark treasury rate of 3.26 percent associated with a forecasted $125 million debt issuance expected in May 2018. This forecasted debt issuance coincides with the maturity of NJNG's existing $125 million , 5.6 percent notes due May 15, 2018 . The change in fair value of NJNG's treasury lock agreement is recorded as a component of regulatory assets or liabilities on the Unaudited Condensed Consolidated Balance Sheets since NJNG believes that the market value upon settlement will be recovered in future rates. Upon settlement, any gain or loss will be amortized into earnings over the life of the future underlying debt issuance. Fair Value of Derivatives The following table reflects the fair value of NJR's derivative assets and liabilities recognized on the Unaudited Condensed Consolidated Balance Sheets as of: Fair Value December 31, 2016 September 30, 2016 (Thousands) Balance Sheet Location Asset Derivatives Liability Derivatives Asset Derivatives Liability Derivatives Derivatives not designated as hedging instruments: NJNG: Physical commodity contracts Derivatives - current $ 1,181 $ 76 $ 235 $ 1,154 Financial commodity contracts Derivatives - current 13,931 2,919 805 2,979 Derivatives - noncurrent — — 75 386 Interest rate contracts Derivatives - noncurrent — 2,702 — 23,073 NJRES: Physical commodity contracts Derivatives - current 5,477 5,978 5,994 11,660 Derivatives - noncurrent 2,192 1,193 3,987 1,212 Financial commodity contracts Derivatives - current 29,626 84,016 22,929 45,255 Derivatives - noncurrent 1,468 632 1,165 581 Foreign currency contracts Derivatives - current — 91 1 32 Fair value of derivatives not designated as hedging instruments $ 53,875 $ 97,607 $ 35,191 $ 86,332 Total fair value of derivatives $ 53,875 $ 97,607 $ 35,191 $ 86,332 Offsetting of Derivatives NJR transacts under master netting arrangements or equivalent agreements that allow it to offset derivative assets and liabilities with the same counterparty. However, NJR's policy is to present its derivative assets and liabilities on a gross basis at the contract level unit of account on the Unaudited Condensed Consolidated Balance Sheets. The following table summarizes the reported gross amounts, the amounts that NJR has the right to offset but elects not to, financial collateral, as well as the net amounts NJR could present on the Unaudited Condensed Consolidated Balance Sheets but elects not to. (Thousands) Amounts Presented in Balance Sheets (1) Offsetting Derivative Instruments (2) Financial Collateral Received/Pledged (3) Net Amounts (4) As of December 31, 2016: Derivative assets: NJRES Physical commodity contracts $ 7,669 $ (3,278 ) $ (200 ) $ 4,191 Financial commodity contracts 31,094 (31,094 ) — — Total NJRES $ 38,763 $ (34,372 ) $ (200 ) $ 4,191 NJNG Physical commodity contracts $ 1,181 $ (4 ) $ — $ 1,177 Financial commodity contracts 13,931 (2,919 ) (4,205 ) 6,807 Total NJNG $ 15,112 $ (2,923 ) $ (4,205 ) $ 7,984 Derivative liabilities: NJRES Physical commodity contracts $ 7,171 $ (3,278 ) $ — $ 3,893 Financial commodity contracts 84,648 (31,093 ) (53,555 ) — Foreign currency contracts 91 — — 91 Total NJRES $ 91,910 $ (34,371 ) $ (53,555 ) $ 3,984 NJNG Physical commodity contracts $ 76 $ (4 ) $ — $ 72 Financial commodity contracts 2,919 (2,919 ) — — Interest rate contracts 2,702 — — 2,702 Total NJNG $ 5,697 $ (2,923 ) $ — $ 2,774 As of September 30, 2016: Derivative assets: NJRES Physical commodity contracts $ 9,981 $ (2,837 ) $ (755 ) $ 6,389 Financial commodity contracts 24,094 (17,945 ) (6,149 ) — Foreign currency contracts 1 (1 ) — — Total NJRES $ 34,076 $ (20,783 ) $ (6,904 ) $ 6,389 NJNG Physical commodity contracts $ 235 $ (31 ) $ — $ 204 Financial commodity contracts 880 (880 ) — — Total NJNG $ 1,115 $ (911 ) $ — $ 204 Derivative liabilities: NJRES Physical commodity contracts $ 12,872 $ (2,837 ) $ 1,200 $ 11,235 Financial commodity contracts 45,836 (17,945 ) (27,891 ) — Foreign currency contracts 32 (1 ) — 31 Total NJRES $ 58,740 $ (20,783 ) $ (26,691 ) $ 11,266 NJNG Physical commodity contracts $ 1,154 $ (31 ) $ — $ 1,123 Financial commodity contracts 3,365 (880 ) (2,485 ) — Interest rate contracts 23,073 — — 23,073 Total NJNG $ 27,592 $ (911 ) $ (2,485 ) $ 24,196 (1) Derivative assets and liabilities are presented on a gross basis in the balance sheet as the Company does not elect balance sheet offsetting under ASC 210-20. (2) Includes transactions with NAESB netting election, transactions held by FCMs with net margining and transactions with ISDA netting. (3) Financial collateral includes cash balances at FCMs as well as cash received from or pledged to other counterparties. (4) Net amounts represent presentation of derivative assets and liabilities if the Company were to elect balance sheet offsetting under ASC 210-20. NJRES utilizes financial derivatives to economically hedge the gross margin associated with the purchase of physical gas to be used for storage injection and its subsequent sale at a later date. The gains or (losses) on the financial transactions that are economic hedges of the cost of the purchased gas are recognized prior to the gains or (losses) on the physical transaction, which are recognized in earnings when the natural gas is delivered. Therefore, mismatches between the timing of the recognition of realized gains or (losses) on the financial derivative instruments and gains or (losses) associated with the actual sale of the natural gas that is being economically hedged along with fair value changes in derivative instruments creates volatility in the results of NJRES, although the Company's intended economic results relating to the entire transaction are unaffected. The following table reflects the effect of derivative instruments on the Unaudited Condensed Consolidated Statements of Operations as of: (Thousands) Location of gain (loss) recognized in income on derivatives Amount of gain (loss) recognized in income on derivatives Three Months Ended December 31, Derivatives not designated as hedging instruments: 2016 2015 NJRES: Physical commodity contracts Operating revenues $ 1,743 $ 11,874 Physical commodity contracts Gas purchases (8,799 ) (21,237 ) Financial commodity contracts Gas purchases (30,611 ) 41,276 Foreign currency contracts Gas purchases (86 ) — Total unrealized and realized (losses) gains $ (37,753 ) $ 31,913 NJRES designated its foreign exchange contracts entered into prior to January 1, 2016, as cash flow hedges and, as a result, changes in fair value of the effective portion of the hedges were recorded in OCI and, upon settlement of the contracts, realized gains and (losses) were reclassified from AOCI to gas purchases on the Unaudited Condensed Consolidated Statements of Operations. The following table reflects the effect of derivative instruments that were designated as cash flow hedges on OCI during the three months ended December 31, 2015 : (Thousands) Amount of Gain or (Loss) Recognized in OCI on Derivatives (Effective Portion) Amount of Gain or (Loss) Reclassified from OCI into Income (Effective Portion) Foreign currency contracts $ (64 ) $ 12 NJNG’s derivative contracts are part of the Company's risk management activities that relate to its natural gas purchases, BGSS incentive programs and debt financing. These transactions are entered into pursuant to regulatory approval. At settlement, the resulting gains and/or losses are payable to or recoverable from utility customers and are deferred in regulatory assets or liabilities resulting in no impact to earnings. The following table reflects the gains (losses) associated with NJNG's derivative instruments as of: Three Months Ended December 31, (Thousands) 2016 2015 NJNG: Physical commodity contracts $ 1,050 $ — Financial commodity contracts 11,178 (5,635 ) Interest rate contracts 20,371 2,366 Total unrealized and realized gains (losses) $ 32,599 $ (3,269 ) NJNG and NJRES had the following outstanding long (short) derivatives as of: Volume (Bcf) December 31, September 30, NJNG Futures 24.3 23.6 Physical 4.4 9.2 NJRES Futures (76.4 ) (79.1 ) Options 0.5 1.2 Physical 70.4 94.6 Not included in the previous table are NJRES' gross notional amount of foreign currency transactions of approximately $3.7 million , NJNG’s treasury lock agreement as previously discussed and 179,000 SRECs at NJRES that are open as of December 31, 2016 . Broker Margin Generally, exchange-traded futures contracts require posted collateral, referred to as margin, usually in the form of cash. The amount of margin required is comprised of a fixed initial amount based on exchange requirements and a variable amount based on a daily mark-to-market. The Company maintains separate broker margin accounts for NJNG and NJRES. The balances by company, are as follows: (Thousands) Balance Sheet Location December 31, September 30, NJNG Broker margin - Current assets $ — $ 4,822 Broker margin - Current (liabilities) $ (5,294 ) $ — NJRES Broker margin - Current assets $ 79,118 $ 42,822 We are assessing the impact of rulebook changes that became effective in January 2017 at the CME and other exchanges whereby contracts will now be referred to as settled-to-market, rather than collateralized-to-market contracts and may have different balance sheet presentation for the associated variation margin. Presently, variation margin is reported on the Unaudited Condensed Consolidated Balance Sheets as restricted broker margin accounts. The CME rulebook changes may require us to consider variation margin as a single unit of account, as a settlement payment on the derivative, to be reported on the Unaudited Condensed Consolidated Balance Sheets as derivatives, at fair value. Wholesale Credit Risk NJNG, NJRES and NJRCEV are exposed to credit risk as a result of their sales/wholesale marketing activities. As a result of the inherent volatility in the prices of natural gas commodities, derivatives, SRECs, electricity and RECs, the market value of contractual positions with individual counterparties could exceed established credit limits or collateral provided by those counterparties. If a counterparty fails to perform the obligations under its contract (e.g., failed to deliver or pay for natural gas, SRECs, electricity or RECs), then the Company could sustain a loss. NJR monitors and manages the credit risk of its wholesale operations through credit policies and procedures that management believes reduce overall credit risk. These policies include a review and evaluation of current and prospective counterparties' financial statements and/or credit ratings, daily monitoring of counterparties' credit limits and exposure, daily communication with traders regarding credit status and the use of credit mitigation measures, such as collateral requirements and netting agreements. Examples of collateral include letters of credit and cash received for either prepayment or margin deposit. Collateral may be requested due to NJR's election not to extend credit or because exposure exceeds defined thresholds. Most of NJR's wholesale marketing contracts contain standard netting provisions. These contracts include those governed by ISDA and the NAESB. The netting provisions refer to payment netting, whereby receivables and payables with the same counterparty are offset and the resulting net amount is paid to the party to which it is due. Internally-rated exposure applies to counterparties that are not rated by S&P or Moody's. In these cases, the counterparty's or guarantor's financial statements are reviewed, and similar methodologies and ratios used by S&P and/or Moody's are applied to arrive at a substitute rating. Gross credit exposure is defined as the unrealized fair value of physical and financial derivative commodity contracts, plus any outstanding wholesale receivable for the value of natural gas delivered and/or financial derivative commodity contract that has settled for which payment has not yet been received. The following is a summary of gross credit exposures grouped by investment and noninvestment grade counterparties, as of December 31, 2016 . The amounts presented below have not been reduced by any collateral received or netting and exclude accounts receivable for NJNG retail natural gas sales and services and NJRCEV residential solar installations. (Thousands) Gross Credit Exposure Investment grade $ 200,025 Noninvestment grade 40,457 Internally rated investment grade 14,769 Internally rated noninvestment grade 23,082 Total $ 278,333 Conversely, certain of NJNG's and NJRES' derivative instruments are linked to agreements containing provisions that would require cash collateral payments from the Company if certain events occur. These provisions vary based upon the terms in individual counterparty agreements and can result in cash payments if NJNG's credit rating were to fall below its current level. NJNG's credit rating, with respect to S&P, reflects the overall corporate credit profile of NJR. Specifically, most, but not all, of these additional payments will be triggered if NJNG's debt is downgraded by the major credit agencies, regardless of investment grade status. In addition, some of these agreements include threshold amounts that would result in additional collateral payments if the values of derivative liabilities were to exceed the maximum values provided for in relevant counterparty agreements. Other provisions include payment features that are not specifically linked to ratings, but are based on certain financial metrics. Collateral amounts associated with any of these conditions are determined based on a sliding scale and are contingent upon the degree to which the Company's credit rating and/or financial metrics deteriorate, and the extent to which liability amounts exceed applicable threshold limits. The aggregate fair value of all derivative instruments with credit-risk-related contingent features that were in a liability position on December 31, 2016 and September 30, 2016 , was $2.7 million and $23.1 million , respectively, for which the Company had not posted collateral. If all thresholds related to the credit-risk-related contingent features underlying these agreements had been invoked on December 31, 2016 and September 30, 2016 , the Company would have been required to post an additional $2.7 million and $23.1 million , respectively, to its counterparties. These amounts differ from the respective net derivative liabilities reflected on the Unaudited Condensed Consolidated Balance Sheets because the agreements also include clauses, commonly known as “Rights of Offset,” that would permit the Company to offset its derivative assets against its derivative liabilities for determining additional collateral to be posted, as previously discussed.

FAIR VALUE

FAIR VALUE	3 Months Ended
	Dec. 31, 2016
Fair Value Disclosures [Abstract]
FAIR VALUE	FAIR VALUE Fair Value of Assets and Liabilities The fair value of cash and cash equivalents, accounts receivable, current loan receivables, accounts payable, commercial paper and borrowings under revolving credit facilities are estimated to equal their carrying amounts due to the short maturity of those instruments. Non-current loan receivables are recorded based on what the Company expects to receive, which approximates fair value. The Company regularly evaluates the credit quality and collection profile of its customers to approximate fair value. The estimated fair value of long-term debt at NJNG and NJR, including current maturities, excluding capital leases and debt issuance costs, is as follows: (Thousands) December 31, September 30, Carrying value (1) $ 1,082,845 $ 1,082,845 Fair market value $ 1,079,431 $ 1,131,077 (1) Excludes capital leases of $49 million and $42.2 million as of December 31, 2016 and September 30, 2016 , respectively. NJR utilizes a discounted cash flow method to determine the fair value of its debt. Inputs include observable municipal and corporate yields, as appropriate for the maturity of the specific issue and the Company's credit rating. As of December 31, 2016 , NJR discloses its debt within Level 2 of the fair value hierarchy. Fair Value Hierarchy NJR applies fair value measurement guidance to its financial assets and liabilities, as appropriate, which include financial derivatives and physical commodity contracts qualifying as derivatives, available for sale securities and other financial assets and liabilities. In addition, authoritative accounting literature prescribes the use of a fair value hierarchy that prioritizes the inputs to valuation techniques used to measure fair value based on the source of the data used to develop the price inputs. The hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities and the lowest priority to inputs that are based on unobservable market data and include the following: Level 1 Unadjusted quoted prices for identical assets or liabilities in active markets. NJR's Level 1 assets and liabilities include exchange traded natural gas futures and options contracts, listed equities and money market funds. Exchange traded futures and options contracts include all energy contracts traded on the NYMEX, CME and ICE that NJR refers internally to as basis swaps, fixed swaps, futures and financial options that are cleared through a FCM. Level 2 Other significant observable inputs such as interest rates or price data, including both commodity and basis pricing that is observed either directly or indirectly from publications or pricing services. NJR's Level 2 assets and liabilities include over-the-counter physical forward commodity contracts and swap contracts, SREC forward sales or derivatives that are initially valued using observable quotes and are subsequently adjusted to include time value, credit risk or estimated transport pricing components for which no basis price is available. Level 2 financial derivatives consist of transactions with non-FCM counterparties (basis swaps, fixed swaps and/or options). NJNG's treasury lock is also considered Level 2 as valuation is based on quoted market interest and swap rates as inputs to the valuation model. Inputs are verifiable and do not require significant management judgment. For some physical commodity contracts the Company utilizes transportation tariff rates that are publicly available and that it considers to be observable inputs that are equivalent to market data received from an independent source. There are no significant judgments or adjustments applied to the transportation tariff inputs and no market perspective is required. Even if the transportation tariff input were considered to be a “model,” it would still be considered to be a Level 2 input as the data is: • widely accepted and public; • non-proprietary and sourced from an independent third party; and • observable and published. These additional adjustments are generally not considered to be significant to the ultimate recognized values. Level 3 Inputs derived from a significant amount of unobservable market data. These include NJR's best estimate of fair value and are derived primarily through the use of internal valuation methodologies. Assets and liabilities measured at fair value on a recurring basis are summarized as follows: Quoted Prices in Active Markets for Identical Assets Significant Other Observable Inputs Significant Unobservable Inputs (Thousands) (Level 1) (Level 2) (Level 3) Total As of December 31, 2016: Assets: Physical commodity contracts $ — $ 8,850 $ — $ 8,850 Financial commodity contracts 45,025 — — 45,025 Available for sale equity securities - energy industry 64,447 — — 64,447 Other (1) 33,614 — — 33,614 Total assets at fair value $ 143,086 $ 8,850 $ — $ 151,936 Liabilities: Physical commodity contracts $ — $ 7,247 $ — $ 7,247 Financial commodity contracts 87,567 — — 87,567 Financial commodity contracts - foreign exchange — 91 — 91 Interest rate contracts — 2,702 — 2,702 Total liabilities at fair value $ 87,567 $ 10,040 $ — $ 97,607 As of September 30, 2016: Assets: Physical commodity contracts $ — $ 10,216 $ — $ 10,216 Financial commodity contracts 24,974 — — 24,974 Financial commodity contracts - foreign exchange — 1 — 1 Available for sale equity securities - energy industry 55,789 — — 55,789 Other (1) 35,516 — — 35,516 Total assets at fair value $ 116,279 $ 10,217 $ — $ 126,496 Liabilities: Physical commodity contracts $ — $ 14,026 $ — $ 14,026 Financial commodity contracts 49,201 — — 49,201 Financial commodity contracts - foreign exchange — 32 — 32 Interest rate contracts — 23,073 — 23,073 Total liabilities at fair value $ 49,201 $ 37,131 $ — $ 86,332 (1) Includes various money market funds.

INVESTMENTS IN EQUITY METHOD IN

INVESTMENTS IN EQUITY METHOD INVESTEES	3 Months Ended
	Dec. 31, 2016
Investments, All Other Investments [Abstract]
INVESTMENTS IN EQUITY METHOD INVESTEES	INVESTMENTS IN EQUITY METHOD INVESTEES NJR's investments in equity method investees includes the following as of: (Thousands) December 31, September 30, Steckman Ridge (1) $ 122,431 $ 123,155 PennEast 22,738 17,993 Total $ 145,169 $ 141,148 (1) Includes loans with a total outstanding principal balance of $70.4 million for both December 31, 2016 and September 30, 2016 . The loans accrue interest at a variable rate that resets quarterly and are due October 1, 2023. NJR, through a subsidiary, NJR Pipeline Company, formed PennEast with five other investors, and plans to construct and operate a 120 -mile pipeline that will extend from northeast Pennsylvania to western New Jersey, which is estimated to be in service by the first quarter of fiscal 2019 . NJRES and NJNG have entered into storage and park and loan agreements with Steckman Ridge. In addition, NJNG has entered into a precedent capacity agreement with PennEast. See Note 14. Related Party Transactions for more information on these intercompany transactions.

EARNINGS PER SHARE

EARNINGS PER SHARE	3 Months Ended
	Dec. 31, 2016
Earnings Per Share [Abstract]
EARNINGS PER SHARE	EARNINGS PER SHARE The following table presents the calculation of the Company's basic and diluted earnings per share for: Three Months Ended December 31, (Thousands, except per share amounts) 2016 2015 Net income, as reported $ 34,929 $ 50,282 Basic earnings per share Weighted average shares of common stock outstanding-basic 86,084 85,675 Basic earnings per common share $0.41 $0.59 Diluted earnings per share Weighted average shares of common stock outstanding-basic 86,084 85,675 Incremental shares (1) 771 1,001 Weighted average shares of common stock outstanding-diluted 86,855 86,676 Diluted earnings per common share (2) $0.40 $0.58 (1) Incremental shares consist primarily of unvested stock awards and performance shares. (2) There were no anti-dilutive shares excluded from the calculation of diluted earnings per share for the three months ended December 31, 2016 and 2015 .

COMMON STOCK EQUITY

COMMON STOCK EQUITY	3 Months Ended
	Dec. 31, 2016
Equity [Abstract]
COMMON STOCK EQUITY	COMMON STOCK EQUITY Changes in common stock equity during the three months ended December 31, 2016 , were as follows: (Thousands) Number of Shares Common Stock Premium on Common Stock Accumulated Other Comprehensive (Loss) Income Treasury Stock And Other Retained Earnings Total Balance at September 30, 2016 86,086 $ 221,654 $ 215,580 $ (15,155 ) $ (81,044 ) $ 825,556 $ 1,166,591 Net income 34,929 34,929 Other comprehensive income 5,832 5,832 Common stock issued: Incentive plan 200 499 3,779 4,278 Dividend reinvestment plan (1) 139 (883 ) 5,502 4,619 Cash dividend declared ($.255 per share) (21,980 ) (21,980 ) Treasury stock and other (229 ) — (8,908 ) (8,908 ) Balance at December 31, 2016 86,196 $ 222,153 $ 218,476 $ (9,323 ) $ (84,450 ) $ 838,505 $ 1,185,361 (1) The DRP allows NJR, at its option, to use newly issued shares to raise capital. There were no new shares issued through the waiver discount feature during fiscal 2017 . NJR satisfies its external common equity requirements, if any, through issuances of its common stock, including the proceeds from stock issuances under its DRP. The DRP allows NJR, at its option, to use treasury shares or newly issued shares to raise capital. In December 2015, NJR registered 5 million shares of NJR common stock for issuance under the DRP. NJR raised $4.6 million and $3.8 million of equity through the DRP, by issuing approximately 139,000 and 127,000 shares of treasury stock, during the three months ended December 31, 2016 and 2015 , respectively. Accumulated Other Comprehensive Income (Loss) The following table presents the changes in the components of accumulated other comprehensive income (loss), net of related tax effects: (Thousands) Available for Sale Securities Cash Flow Hedges Postemployment Benefit Obligation Total Balance at September 30, 2016 $ 4,198 $ — $ (19,353 ) $ (15,155 ) Other comprehensive income, net of tax Other comprehensive income, before reclassifications, net of tax of $(4,840), $0, $0, $(4,840) 7,042 — — 7,042 Amounts reclassified from accumulated other comprehensive income, net of tax of $1,054, $0, $(217), $837 (1,527 ) — 317 (2) (1,210 ) Net current-period other comprehensive income, net of tax of $(3,786), $0, $(217), $(4,003) 5,515 — 317 5,832 Balance at December 31, 2016 $ 9,713 $ — $ (19,036 ) $ (9,323 ) Balance as of September 30, 2015 $ 6,385 $ — $ (15,779 ) $ (9,394 ) Other comprehensive income (loss), net of tax Other comprehensive income (loss), before reclassifications, net of tax of ($2,614), $23, $0, ($2,591) 3,701 (41 ) — 3,660 Amounts reclassified from accumulated other comprehensive income, net of tax of $0, ($4), ($174), ($178) — 8 (1) 256 (2) 264 Net current-period other comprehensive income, net of tax of ($2,614), $19, $(174), $(2,769) 3,701 (33 ) 256 3,924 Balance as of December 31, 2015 $ 10,086 $ (33 ) $ (15,523 ) $ (5,470 ) (1) Consists of realized losses related to foreign currency derivatives, which are reclassified to gas purchases on the Unaudited Condensed Consolidated Statements of Operations. (2) Included in the computation of net periodic pension cost, a component of operations and maintenance expense on the Unaudited Condensed Consolidated Statements of Operations.

DEBT

DEBT	3 Months Ended
	Dec. 31, 2016
Debt Disclosure [Abstract]
DEBT	DEBT NJR and NJNG finance working capital requirements and capital expenditures through various short-term debt and long-term financing arrangements, including a commercial paper program, committed unsecured credit facilities and private placement debt shelf facilities. Credit Facilities A summary of NJR's credit facility and NJNG's commercial paper program and credit facility are as follows: (Thousands) December 31, September 30, Expiration Dates NJR Bank revolving credit facilities (1) $ 425,000 $ 425,000 September 2020 Notes outstanding at end of period $ 284,600 $ 121,700 Weighted average interest rate at end of period 1.54 % 1.43 % Amount available at end of period (2) $ 126,010 $ 288,910 NJNG Bank revolving credit facilities (1) $ 250,000 $ 250,000 May 2019 Commercial paper outstanding at end of period $ — $ — Weighted average interest rate at end of period — % — % Amount available at end of period (4) $ 249,269 $ 249,269 (1) Committed credit facilities, which require commitment fees on the unused amounts. (2) Letters of credit outstanding total $14.4 million for both December 31, 2016 and September 30, 2016 , which reduces amount available by the same amount. (3) Uncommitted credit facilities, which require no commitment fees. (4) Letters of credit outstanding total $731,000 for both December 31, 2016 and September 30, 2016 , which reduces the amount available by the same amount. Amounts available under credit facilities are reduced by bank or commercial paper borrowings, as applicable, and any outstanding letters of credit. Neither NJNG nor the results of its operations are obligated or pledged to support the NJR credit or debt shelf facilities. Long-term Debt NJNG In December 2016, the Company decided to call and purchase, in lieu of redemption, three FMBs. As a result, the $10.3 million , 4.5 percent Series II, the $10.5 million , 4.6 percent Series JJ and the $15 million , 4.9 percent Series KK bonds have been reclassified to current maturities of long-term debt on the Unaudited Condensed Consolidated Balance Sheets as of December 31, 2016 . On January 17, 2017, the Company completed the purchase of the three FMBs. NJNG received $9.6 million and $7.1 million in December 2016 and 2015 , respectively, in connection with the sale-leaseback of its natural gas meters. NJNG records a capital lease obligation that is paid over the term of the lease and has the option to purchase the meters back at fair value upon expiration of the lease. During the first quarter of fiscal 2017 , NJNG exercised early purchase options with respect to meter leases by making final principal payments of $1 million . NJNG did not exercise early purchase options during the first quarter of fiscal 2016.

EMPLOYEE BENEFIT PLANS

EMPLOYEE BENEFIT PLANS	3 Months Ended
	Dec. 31, 2016
Compensation and Retirement Disclosure [Abstract]
EMPLOYEE BENEFIT PLANS	EMPLOYEE BENEFIT PLANS Pension and Other Postemployment Benefit Plans The components of the net periodic cost for pension benefits, including the Company's Pension Equalization Plan, and OPEB costs (principally health care and life insurance) for employees and covered dependents were as follows: Pension OPEB Three Months Ended Three Months Ended December 31, December 31, (Thousands) 2016 2015 2016 2015 Service cost $ 2,087 $ 1,898 $ 1,095 $ 1,130 Interest cost 2,443 2,836 1,386 1,564 Expected return on plan assets (4,828 ) (5,029 ) (1,192 ) (1,211 ) Recognized actuarial loss 2,207 1,820 1,093 819 Prior service cost amortization 27 28 (91 ) (91 ) Net periodic benefit cost $ 1,936 $ 1,553 $ 2,291 $ 2,211 The Company made a discretionary contribution of $30 million during the first quarter of fiscal 2016, to improve the funded status of the pension plans based on then current actuarial assumptions, which included the adoption of the most recent mortality table. The Company does not expect to be required to make additional contributions to fund the pension plans during fiscal 2017 or 2018 based on current actuarial assumptions; however, funding requirements are uncertain and can depend significantly on changes in actuarial assumptions, returns on plan assets and changes in the demographics of eligible employees and covered dependents. In addition, as in the past, the Company may elect to make contributions in excess of the minimum required amount to the plans. There were no discretionary contributions made during the three months ended December 31, 2016 .

INCOME TAXES

INCOME TAXES	3 Months Ended
	Dec. 31, 2016
Income Tax Disclosure [Abstract]
INCOME TAXES	INCOME TAXES NJR evaluates its tax positions to determine the appropriate accounting and recognition of potential future obligations associated with unrecognized tax benefits. During the three months ended December 31, 2016 and 2015 , based on its analysis, the Company determined there was no need to recognize any liabilities associated with uncertain tax positions. To calculate the estimated annual effective tax rate, NJR considers forecasted pre-tax book income and estimated permanent book versus tax differences, as well as tax credits associated with solar and wind projects. For investment tax credits the estimate is based on solar projects that are probable of being completed and placed in service during the current fiscal year based on the best information available at each reporting period. For production tax credits the estimate is based on the forecast of electricity produced during the current fiscal year based on the best information available at each reporting period. Adjustments to the effective tax rate and management's estimates will occur as information and assumptions change. The forecasted effective tax rates for the three months ended December 31, 2016 and 2015 , were 8.7 percent and 14.7 percent , respectively. The decreased effective tax rate is due primarily to a decrease in forecasted pre-tax income along with an increase in forecasted tax credits for the fiscal year ended September 30, 2017 , compared with the prior fiscal year. Forecasted tax credits, net of deferred taxes, were $34.1 million and $26.8 million for fiscal 2017 and 2016, respectively. To the extent there are discrete tax items that are not included in the forecasted effective tax rate, the actual effective tax rate will differ from the estimated annual effective tax rate. The Company recognized $1.2 million and $1.6 million during the three months ended December 31, 2016 and 2015 , respectively, in excess tax benefits associated with the vesting of share-based awards, as a component of income tax provision in its Unaudited Condensed Consolidated Statements of Operations. Since the tax effects of the awards are treated as a discrete item, NJR’s actual effective tax rate was 5.5 percent and 11.8 percent as of December 31, 2016 and 2015 , respectively. As of December 31, 2016 , the Company has federal and state income tax net operating losses of approximately $78.7 million and $323.9 million , respectively, which generally have a life of 20 years. The Company has recorded federal and state deferred tax assets of approximately $27.5 million and $19 million , respectively, on the Unaudited Condensed Consolidated Balance Sheets, reflecting the tax benefits associated with these net operating losses. As of September 30, 2016 , the Company had federal and state income tax net operating losses of approximately $78.7 million and $310.6 million , respectively, deferred federal and state tax assets of approximately $27.5 million and $18.2 million , respectively. As of December 31, 2016 and September 30, 2016 , the Company recorded a valuation allowance in the amount of $108,000 and $262,000 , respectively, because it believes that it is more likely than not that the state net operating losses related to CR&R will expire unused. The Company expects to utilize all of the net operating losses not related to CR&R. In addition, as of December 31, 2016 and September 30, 2016 , the Company had an ITC/PTC carryforward of approximately $79.1 million and $74 million , respectively, which has a life of 20 years. The Company expects to utilize this entire carryforward, which would begin to expire in fiscal 2034. In December 2015, the Consolidated Appropriations Act extended the 30 percent ITC for solar property that is under construction on or before December 31, 2019. The credit will decline to 26 percent for property under construction during 2020 and to 22 percent for property under construction during 2021. For any property that is under construction before 2022, but not placed in service before 2024 the ITC will be reduced to 10 percent. In addition, the PTC was extended for five years through December 31, 2019, with a gradual three year phase out for any project for which construction of the facility begins after December 31, 2016.

COMMITMENTS AND CONTINGENT LIAB

COMMITMENTS AND CONTINGENT LIABILITIES	3 Months Ended
	Dec. 31, 2016
Commitments and Contingencies Disclosure [Abstract]
COMMITMENTS AND CONTINGENT LIABILITIES	COMMITMENTS AND CONTINGENT LIABILITIES Cash Commitments NJNG has entered into long-term contracts, expiring at various dates through October 2033 , for the supply, storage and transportation of natural gas. These contracts include annual fixed charges of approximately $60.9 million at current contract rates and volumes, which are recoverable through BGSS. For the purpose of securing storage and pipeline capacity, NJRES enters into storage and pipeline capacity contracts, which require the payment of certain demand charges by NJRES to maintain the ability to access such natural gas storage or pipeline capacity, during a fixed time period, which generally ranges from one to 10 years. Demand charges are established by interstate storage and pipeline operators and are regulated by FERC. These demand charges represent commitments to pay storage providers or pipeline companies for the right to store and/or transport natural gas utilizing their respective assets. Commitments as of December 31, 2016 , for natural gas purchases and future demand fees for the next five fiscal year periods are as follows: (Thousands) 2017 2018 2019 2020 2021 Thereafter NJRES: Natural gas purchases $ 239,269 $ 101,247 $ 51,731 $ — $ — $ — Storage demand fees 25,935 19,079 12,064 9,248 5,914 3,734 Pipeline demand fees 56,144 28,853 6,761 2,931 2,412 1,416 Sub-total NJRES $ 321,348 $ 149,179 $ 70,556 $ 12,179 $ 8,326 $ 5,150 NJNG: Natural gas purchases $ 75,679 $ 4,511 $ — $ — $ — $ — Storage demand fees 21,865 25,766 19,864 12,802 7,023 10,535 Pipeline demand fees 39,065 90,931 91,906 90,998 88,295 732,579 Sub-total NJNG $ 136,609 $ 121,208 $ 111,770 $ 103,800 $ 95,318 $ 743,114 Total (1) $ 457,957 $ 270,387 $ 182,326 $ 115,979 $ 103,644 $ 748,264 (1) Does not include amounts related to intercompany asset management agreements between NJRES and NJNG. Legal Proceedings Manufactured Gas Plant Remediation NJNG is responsible for the remedial cleanup of five MGP sites, dating back to gas operations in the late 1800s and early 1900s, which contain contaminated residues from former gas manufacturing operations. NJNG is currently involved in administrative proceedings with the NJDEP, and participating in various studies and investigations by outside consultants, to determine the nature and extent of any such contaminated residues and to develop appropriate programs of remedial action, where warranted, under Administrative Consent Orders or Memoranda of Agreement with the NJDEP. NJNG may recover its remediation expenditures, including carrying costs, over rolling seven -year periods pursuant to a RA approved by the BPU. In June 2016 , the BPU approved NJNG’s December 2015 filing, which requested approval of its MGP expenditures incurred through June 30, 2015 , with recovery of $9.4 million annually related to the SBC RA factor with rates effective July 9, 2016 . As of December 31, 2016 , $20 million of previously incurred remediation costs, net of recoveries from customers and insurance proceeds, are included in regulatory assets on the Unaudited Condensed Consolidated Balance Sheets. NJNG periodically, and at least annually, performs an environmental review of the MGP sites, including a review of potential liability for investigation and remedial action. NJNG estimated at the time of the most recent review that total future expenditures to remediate and monitor the five MGP sites for which it is responsible, including potential liabilities for Natural Resource Damages that might be brought by the NJDEP for alleged injury to groundwater or other natural resources concerning these sites, will range from approximately $143.9 million to $231.6 million . NJNG's estimate of these liabilities is based upon known facts, existing technology and enacted laws and regulations in place when the review was completed. Where it is probable that costs will be incurred, and the information is sufficient to establish a range of possible liability, NJNG accrues the most likely amount in the range. If no point within the range is more likely than the other, it is NJNG's policy to accrue the lower end of the range. Accordingly, NJNG recorded an MGP remediation liability and a corresponding regulatory asset on the Unaudited Condensed Consolidated Balance Sheets of $172 million as of September 30, 2016 , based on the most likely amount at year end and $168.5 million as of December 31, 2016 , which includes adjustments for actual expenditures. The actual costs to be incurred by NJNG are dependent upon several factors, including final determination of remedial action, changing technologies and governmental regulations, the ultimate ability of other responsible parties to pay and any insurance recoveries. NJNG will continue to seek recovery of MGP-related costs through the RA. If any future regulatory position indicates that the recovery of such costs is not probable, the related non-recoverable costs would be charged to income in the period of such determination. General In February 2015, a natural gas fire and explosion occurred in Stafford Township, New Jersey as a result of a natural gas leak emanating from an underground pipe. There were no fatalities, although several employees of NJNG were injured and several homes were damaged. NJNG notified its insurance carrier and believes that any costs associated with the incident, including attorneys’ fees, property damage and other losses, will be substantially covered by insurance. The Company believes the resolution of any potential claims associated with the incident will not have a material effect on its financial condition, results of operations or cash flows. As of December 31, 2016 , NJNG estimates that liabilities associated with claims will range between $600,000 and $3.2 million and has accrued the lower end of the range. The Company is party to various other claims, legal actions and complaints arising in the ordinary course of business. In the Company's opinion, the ultimate disposition of these matters will not have a material effect on its financial condition, results of operations or cash flows.

BUSINESS SEGMENT AND OTHER OPER

BUSINESS SEGMENT AND OTHER OPERATIONS DATA	3 Months Ended
	Dec. 31, 2016
Segment Reporting [Abstract]
BUSINESS SEGMENT AND OTHER OPERATIONS DATA	BUSINESS SEGMENT AND OTHER OPERATIONS DATA NJR organizes its businesses based on a combination of factors, including its products and its regulatory environment. As a result, the Company manages its businesses through the following reportable segments and other operations: the Natural Gas Distribution segment consists of regulated energy and off-system, capacity and storage management operations; the Clean Energy Ventures segment consists of capital investments in clean energy projects; the Energy Services segment consists of unregulated wholesale energy operations; the Midstream segment consists of NJR's investments in natural gas transportation and storage facilities; the Home Services and Other operations consist of heating, cooling and water appliance sales, installations and services, commercial real estate development, other investments and general corporate activities. Information related to the Company's various business segments and other operations is detailed below: Three Months Ended December 31, (Thousands) 2016 2015 Operating revenues Natural Gas Distribution External customers $ 185,556 $ 151,606 Clean Energy Ventures External customers 7,567 7,794 Energy Services External customers (1) 338,930 276,182 Intercompany (1,749 ) 2,511 Subtotal 530,304 438,093 Home Services and Other External customers 8,975 8,676 Intercompany 1,031 897 Eliminations 718 (3,408 ) Total $ 541,028 $ 444,258 Depreciation and amortization Natural Gas Distribution $ 12,030 $ 11,238 Clean Energy Ventures 7,041 5,110 Energy Services 16 23 Midstream 1 1 Subtotal 19,088 16,372 Home Services and Other 221 227 Eliminations (49 ) (117 ) Total $ 19,260 $ 16,482 Interest income (2) Natural Gas Distribution $ 75 $ 68 Energy Services — 72 Midstream 462 264 Subtotal 537 404 Home Services and Other 121 37 Eliminations (583 ) (371 ) Total $ 75 $ 70 (1) Includes sales to Canada, which accounted for 1.9 and 3.5 percent of total operating revenues during the three months ended December 31, 2016 and 2015 . (2) Included in other income, net on the Unaudited Condensed Consolidated Statements of Operations. Three Months Ended December 31, (Thousands) 2016 2015 Interest expense, net of capitalized interest Natural Gas Distribution $ 6,824 $ 4,588 Clean Energy Ventures 3,324 2,053 Energy Services 571 208 Midstream 56 42 Subtotal 10,775 6,891 Home Services and Other 74 — Eliminations (234 ) (114 ) Total $ 10,615 $ 6,777 Income tax provision (benefit) Natural Gas Distribution $ 14,887 $ 13,507 Clean Energy Ventures (11,887 ) (11,734 ) Energy Services (3,176 ) 4,905 Midstream 1,649 1,640 Subtotal 1,473 8,318 Home Services and Other (245 ) (1,130 ) Eliminations 790 (466 ) Total $ 2,018 $ 6,722 Equity in earnings of affiliates Midstream $ 3,331 $ 3,545 Eliminations (1,020 ) (1,139 ) Total $ 2,311 $ 2,406 Net financial earnings Natural Gas Distribution $ 30,348 $ 30,926 Clean Energy Ventures 2,842 7,652 Energy Services 3,487 10,304 Midstream 2,387 2,344 Subtotal 39,064 51,226 Home Services and Other 1,542 259 Eliminations (223 ) (218 ) Total $ 40,383 $ 51,267 Capital expenditures Natural Gas Distribution $ 38,855 $ 49,040 Clean Energy Ventures 46,785 45,006 Subtotal 85,640 94,046 Home Services and Other 171 797 Total $ 85,811 $ 94,843 Investments in equity investees Midstream $ 4,636 $ 2,846 Total $ 4,636 $ 2,846 The Chief Executive Officer, who uses NFE as a measure of profit or loss in measuring the results of the Company's segments and operations, is the chief operating decision maker of the Company. A reconciliation of consolidated NFE to consolidated net income is as follows: Three Months Ended December 31, (Thousands) 2016 2015 Net financial earnings $ 40,383 $ 51,267 Less: Unrealized loss (gain) on derivative instruments and related transactions 28,302 (1,135 ) Tax effect (9,757 ) 413 Effects of economic hedging related to natural gas inventory (17,939 ) 3,813 Tax effect 6,204 (1,385 ) Net income to NFE tax adjustment (1,356 ) (721 ) Net income $ 34,929 $ 50,282 The Company uses derivative instruments as economic hedges of purchases and sales of physical gas inventory. For GAAP purposes, these derivatives are recorded at fair value and related changes in fair value are included in reported earnings. Revenues and cost of gas related to physical gas flow is recognized when the gas is delivered to customers. Consequently, there is a mismatch in the timing of earnings recognition between the economic hedges and physical gas flows. Timing differences occur in two ways: • Unrealized gains and losses on derivatives are recognized in reported earnings in periods prior to physical gas inventory flows; and • Unrealized gains and losses of prior periods are reclassified as realized gains and losses when derivatives are settled in the same period as physical gas inventory movements occur. NFE is a measure of the earnings based on eliminating these timing differences, to effectively match the earnings effects of the economic hedges with the physical sale of gas, SRECs and foreign currency contracts. Consequently, to reconcile between net income and NFE, current period unrealized gains and losses on the derivatives are excluded from NFE as a reconciling item. Additionally, realized derivative gains and losses are also included in current period net income. However, NFE includes only realized gains and losses related to natural gas sold out of inventory, effectively matching the full earnings effects of the derivatives with realized margins on physical gas flows. NJR also calculates a quarterly tax adjustment based on an estimated annual effective tax rate for NFE purposes. The Company's assets for the various business segments and business operations are detailed below: (Thousands) December 31, September 30, Assets at end of period: Natural Gas Distribution $ 2,554,928 $ 2,517,401 Clean Energy Ventures 677,978 665,696 Energy Services 470,282 327,626 Midstream 201,128 186,259 Subtotal 3,904,316 3,696,982 Home Services and Other 132,427 109,487 Intercompany assets (1) (87,237 ) (87,899 ) Total $ 3,949,506 $ 3,718,570 (1) Consists of transactions between subsidiaries that are eliminated and reclassified in consolidation.

RELATED PARTY TRANSACTIONS

RELATED PARTY TRANSACTIONS	3 Months Ended
	Dec. 31, 2016
Related Party Transactions [Abstract]
RELATED PARTY TRANSACTIONS	RELATED PARTY TRANSACTIONS In January 2010 , NJNG entered into a 10 -year agreement effective April 1, 2010 , for 3 Bcf of firm storage capacity with Steckman Ridge. Under the terms of the agreement, NJNG incurs demand fees, at market rates, of approximately $9.3 million annually, a portion of which is eliminated in consolidation. These fees are recoverable through NJNG's BGSS mechanism and are included in regulatory assets. NJRES may periodically enter into storage or park and loan agreements with its affiliated FERC-regulated natural gas storage facility, Steckman Ridge. As of December 31, 2016 , NJRES has entered into storage and park and loan transactions with Steckman Ridge for varying terms, all of which expire by October 2020 . Demand fees, net of eliminations, associated with Steckman Ridge were as follows: Three Months Ended December 31, (Thousands) 2016 2015 NJNG $ 1,410 $ 1,389 NJRES 701 685 Total $ 2,111 $ 2,074 The following table summarizes demand fees payable to Steckman Ridge as of: (Thousands) December 31, September 30, NJNG $ 778 $ 775 NJRES 377 375 Total $ 1,155 $ 1,150 NJNG and NJRES have entered into various asset management agreements, the effects of which are eliminated in consolidation. Under the terms of these agreements, NJNG releases certain transportation and storage contracts to NJRES. NJNG retains the right to purchase market priced gas or fixed price storage gas from NJRES. As of December 31, 2016 , NJNG and NJRES had three asset management agreements with expiration dates ranging from March 2017 through March 2018 . NJNG has entered into a 15 year transportation precedent agreement for committed capacity of 180,000 Dths per day with PennEast, which is estimated to be in service by the first quarter of fiscal 2019 .

SUMMARY OF SIGNIFICANT ACCOUN22

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies)	3 Months Ended
	Dec. 31, 2016
Accounting Policies [Abstract]
Available for Sale Securities	Available for Sale Securities Included in available for sale securities on the Unaudited Condensed Consolidated Balance Sheets are investments in two publicly traded energy companies.
Loans Receivable	Loans Receivable NJNG provides loans, with terms ranging from two to 10 years, to customers that elect to purchase and install certain energy efficient equipment in accordance with its BPU-approved SAVEGREEN program. The loans are recognized at net present value on the Unaudited Condensed Consolidated Balance Sheets. The Company has recorded $8.1 million and $7.8 million in other current assets and $40.3 million and $39.5 million in other noncurrent assets as of December 31, 2016 and September 30, 2016 , respectively, on the Unaudited Condensed Consolidated Balance Sheets, related to the loans. NJNG's policy is to establish an allowance for doubtful accounts when loan balances are in arrears for more than 60 days . As of December 31, 2016 and September 30, 2016 , there was no allowance for doubtful accounts established for the SAVEGREEN loans.
Recently Adopted Updates to the Accounting Standards Codification	Recently Adopted Updates to the Accounting Standards Codification Stock Compensation In March 2016, the FASB issued ASU 2016-09, an amendment to ASC 718, Compensation - Stock Compensation , which simplifies several aspects of the accounting for employee share-based compensation, including the accounting for income taxes and forfeitures. The new guidance also increased the threshold for tax withholding to the maximum statutory rate, as applicable, to maintain equity classification and amended the classification of certain tax transactions within the statement of cash flows. The Company elected to early adopt the amended guidance during the third quarter of fiscal 2016 and applied the new provisions as of the beginning of the year of adoption on a retrospective or prospective basis depending on each amendment’s transition requirements. As such, effective October 1, 2015, NJR is recognizing forfeitures as they occur and is recognizing excess tax benefits (deficiencies) as a component of income tax (benefit) provision in its Unaudited Condensed Consolidated Statements of Operations on a prospective basis. All related information for prior periods has been adjusted throughout this report on a retrospective basis to reflect the effects of the adoption. See Note 11. Income Taxes for more information on these transactions. In addition, the following amounts on the Unaudited Condensed Consolidated Financial Statements have been adjusted retrospectively, for the three months ended December 31, 2015: (Thousands) As Previously Reported Effect of Change As Adjusted Statements of Operations Income tax provision $ 8,357 $ (1,635 ) $ 6,722 Net income $ 48,647 $ 1,635 $ 50,282 Earnings per common share Basic $ 0.57 $ 0.02 $ 0.59 Diluted $ 0.56 $ 0.02 $ 0.58 Cash flows (used in) operating activities Net income $ 48,647 $ 1,635 $ 50,282 Tax benefit from stock based compensation $ — $ 1,635 $ 1,635 Other noncurrent liabilities $ 4,401 $ (228 ) $ 4,173 Net cash flows (used in) operating activities $ (39,216 ) $ 3,042 $ (36,174 ) Cash flows from financing activities Tax withholding payments related to net settled stock compensation $ — $ (3,042 ) $ (3,042 ) Cash flows from financing activities $ 131,356 $ (3,042 ) $ 128,314 There was no impact to the Unaudited Condensed Consolidated Balance Sheets upon adoption of the new guidance. In June 2014, the FASB issued ASU No. 2014-12, an amendment to ASC 718, Compensation - Stock Compensation , which clarifies the accounting for performance awards when the terms of the award provide that a performance target could be achieved after the requisite service period. The Company adopted the new guidance in the first quarter of fiscal 2017 and applied the new provisions on a prospective basis which did not impact its financial position, results of operations or cash flows upon adoption. Consolidation In February 2015, the FASB issued ASU No. 2015-02, an amendment to ASC 810, Consolidation , which changes the consolidation analysis required under GAAP and reevaluates whether limited partnerships and similar entities must be consolidated. The Company adopted the new guidance in the first quarter of fiscal 2017 and applied the new provisions on a full retrospective basis, which did not impact its financial position, results of operations or cash flows upon adoption. Interest In April 2015, the FASB issued ASU No. 2015-03, an amendment to ASC 835, Interest - Imputation of Interest, which simplifies the presentation of debt issuance costs by requiring them to be presented on the balance sheet as a deduction from the carrying amount of the liability. The amendments do not affect the recognition and measurement guidance for debt issuance costs. In August 2015, the FASB issued ASU No. 2015-15, which clarified that the amendments contained within ASU No. 2015-03 do not require companies to modify their accounting for costs incurred in obtaining revolving credit facilities. The Company adopted the new guidance in the first quarter of fiscal 2017 and applied the new provisions on a full retrospective basis. Accordingly, as of December 31, 2016 , the Company reclassified $7.4 million and $949,000 from other non-current assets to long-term debt and current maturities of long-term debt, respectively. In addition, the following amounts on the Unaudited Condensed Consolidated Balance sheets have been adjusted, retrospectively, as of September 30, 2016. (Thousands) As Previously Reported Effect of Change As Adjusted Assets Other noncurrent assets $ 68,708 $ (8,512 ) $ 60,196 Total noncurrent assets $ 712,166 $ (8,512 ) $ 703,654 Total assets $ 3,727,082 $ (8,512 ) $ 3,718,570 Capitalization and Liabilities Long-term debt $ 1,063,550 $ (8,512 ) $ 1,055,038 Total capitalization $ 2,230,141 $ (8,512 ) $ 2,221,629 Total capitalization and liabilities $ 3,727,082 $ (8,512 ) $ 3,718,570 Intangibles In April 2015, the FASB issued ASU No. 2015-05, an amendment to ASC 350, Intangibles - Goodwill and Other - Internal-Use Software, which clarifies the accounting for fees in a cloud computing arrangement. The amendments provide guidance on how an entity should evaluate the accounting for fees paid in a cloud computing arrangement to determine whether an arrangement includes the sale or license of software. The Company adopted the new guidance in the first quarter of fiscal 2017 and applied the new provisions on a prospective basis, which did not impact its financial position, results of operations or cash flows upon adoption. Other Recent Updates to the Accounting Standards Codification Revenue In May 2014, the FASB issued ASU No. 2014-09, and added Topic 606, Revenue from Contracts with Customers , to the ASC. ASC 606 supersedes ASC 605, Revenue Recognition , as well as most industry-specific guidance, and prescribes a single, comprehensive revenue recognition model designed to improve financial reporting comparability across entities, industries, jurisdictions and capital markets. In August 2015, the FASB issued ASU No. 2015-14, which defers the implementation of the new guidance for one year. The new guidance will become effective for the Company’s fiscal year ending September 30, 2019, and interim periods within that year. The Company continues to evaluate the provisions of ASC 606 and monitor industry specific developments and interpretations, however, based on the review of customer contracts to date, it is not anticipating a material impact to its financial position, results of operations or cash flows upon adoption. Accordingly, the Company expects to transition to the new guidance using the modified retrospective approach. Inventory In July 2015, the FASB issued ASU No. 2015-11, an amendment to ASC 330, Inventory , which requires entities to measure most inventory “at the lower of cost or net realizable value,” thereby simplifying the current guidance under which an entity must measure inventory at the lower of cost or market. The guidance is effective for the Company’s fiscal year ending September 30, 2018, and interim periods within that year. Upon adoption, the amendments will be applied on a prospective basis. The Company is currently evaluating the amendment to understand the impact on its financial position, results of operations and cash flows upon adoption. Financial Instruments In January 2016, the FASB issued ASU 2016-01, an amendment to ASC 825, Financial Instruments , to address certain aspects of the recognition, measurement, presentation and disclosure of financial instruments. The standard affects investments in equity securities that do not result in consolidation and are not accounted for under the equity method and the presentation of certain fair value changes for financial liabilities measured at fair value. It also simplifies the impairment assessment of equity investments without a readily determinable fair value by requiring a qualitative assessment. The guidance is effective for the Company’s fiscal year ending September 30, 2019, and interim periods within that year. Upon adoption, the amendments will be applied on a modified-retrospective basis. The Company has evaluated the amendments and noted that, upon adoption, subsequent changes to the fair value of the Company’s available for sale securities will be recorded in the statement of operations as opposed to other comprehensive income. The Company does not expect any other material impacts to its financial position, results of operations or cash flows upon adoption. In June 2016, the FASB issued ASU 2016-13, an amendment to ASC 326, Financial Instruments - Credit Losses, which changes the impairment model for certain financial assets that have a contractual right to receive cash, including trade and loan receivables. The new model requires recognition based upon an estimation of expected credit losses rather than recognition of losses when it is probable that they have been incurred. The guidance is effective for the Company’s fiscal year ending September 30, 2021, and interim periods within that year, with early adoption permitted. The Company is currently evaluating the amendments to understand the impact on its financial position, results of operations and cash flows upon adoption and will apply the new guidance to its trade and loan receivables on a modified retrospective basis. Leases In February 2016, the FASB issued ASU 2016-02, an amendment to ASC 842, Leases , which provides for a comprehensive overhaul of the lease accounting model and changes the definition of a lease within the accounting literature. Under the new standard, all leases with a term greater than one year will be recorded on the balance sheet. Amortization of the related asset will be accounted for using one of two approaches prescribed by the guidance. Additional disclosures will be required to allow the user to assess the amount, timing and uncertainty of cash flows arising from leasing activities. A modified retrospective transition approach is required for leases existing at the time of adoption. The guidance is effective for the Company’s fiscal year ending September 30, 2020, and interim periods within that year, with early adoption permitted. The Company is currently evaluating the amendments to understand the impact on its financial position, results of operations and cash flows upon adoption. Statement of Cash Flows In August 2016, the FASB issued ASU No. 2016-15, an amendment to ASC 230, Statement of Cash Flows, which addresses eight specific cash flow issues for which there has been diversity in practice. The guidance is effective for the Company’s fiscal year ending September 30, 2019, and interim periods within that year with early adoption permitted. Upon adoption, the amendments will be applied on a retrospective basis. The Company is currently evaluating the amendments to understand the impact on its consolidated statements of cash flows upon adoption. Restricted Cash In November 2016, the FASB issued ASU No. 2016-18, an amendment to ASC 230, Statement of Cash Flows, which requires that any amounts that are deemed to be restricted cash or restricted cash-equivalents be included in cash and cash-equivalent balances on the cash flow statement. Transfers between cash and restricted cash accounts will no longer be recognized within the statement of cash flows. The guidance is effective for the Company’s fiscal year ending September 30, 2019, with early adoption permitted. Upon adoption, the amendments will be applied on a retrospective basis. Based on the Company's historical restricted cash balances, it does not expect any material impacts to its financial position, results of operations or cash flows upon adoption.
Derivative Instruments	The Company is subject to commodity price risk due to fluctuations in the market price of natural gas, SRECs and electricity. To manage this risk, the Company enters into a variety of derivative instruments including, but not limited to, futures contracts, physical forward contracts, financial options and swaps to economically hedge the commodity price risk associated with its existing and anticipated commitments to purchase and sell natural gas, SRECs and electricity. In addition, the Company may utilize foreign currency derivatives to hedge Canadian dollar denominated gas purchases and/or sales. Therefore, the Company's primary underlying risks include commodity prices, interest rates and foreign currency. These contracts are accounted for as derivatives. Accordingly, all of the financial and certain of the Company's physical derivative instruments are recorded at fair value on the Unaudited Condensed Consolidated Balance Sheets. For a more detailed discussion of the Company's fair value measurement policies and level disclosures associated with NJR's derivative instruments, see Note 5. Fair Value . NJRES Since NJRES chooses not to designate its financial commodity and physical forward commodity derivatives as accounting hedges or to elect NPNS, the changes in the fair value of these derivatives are recorded as a component of gas purchases or operating revenues, as appropriate for NJRES, on the Unaudited Condensed Consolidated Statements of Operations as unrealized gains or (losses). For NJRES at settlement, realized gains and (losses) on all financial derivative instruments are recognized as a component of gas purchases and realized gains and (losses) on all physical derivatives follow the presentation of the related unrealized gains and (losses) as a component of either gas purchases or operating revenues. NJRES also enters into natural gas transactions in Canada and, consequently, is exposed to fluctuations in the value of Canadian currency relative to the U.S. dollar. NJRES may utilize foreign currency derivatives to lock in the exchange rate associated with natural gas transactions denominated in Canadian currency. The derivatives may include currency forwards, futures, or swaps and are accounted for as derivatives. These derivatives are typically used to hedge demand fee payments on pipeline capacity, storage and gas purchase agreements. Accordingly, changes in the fair value of foreign exchange contracts are recognized in gas purchases on the Unaudited Condensed Consolidated Statements of Operations. For transactions occurring on or before December 31, 2015, NJRES' foreign exchange contracts were designated as cash flow hedges, and the effective portion of the hedges were recorded in OCI. As a result of NJRES entering into transactions to borrow natural gas, commonly referred to as “park and loans,” an embedded derivative is recognized relating to differences between the fair value of the amount borrowed and the fair value of the amount that will ultimately be repaid, based on changes in the forward price for natural gas prices at the borrowed location over the contract term. This embedded derivative is accounted for as a forward sale in the month in which the repayment of the borrowed gas is expected to occur, and is considered a derivative transaction that is recorded at fair value on the Unaudited Condensed Consolidated Balance Sheets, with changes in value recognized in current period earnings. Expected production of SRECs is hedged through the use of forward and futures contracts. All contracts require the Company to physically deliver SRECs through the transfer of certificates as per contractual settlement schedules. The Company applies NPNS accounting to SREC forward and futures contracts entered into on or before December 31, 2015. Effective for contracts executed January 1, 2016, and on a prospective basis, NJRES no longer elects NPNS accounting treatment on all SREC forward sales contracts and recognizes changes in the fair value of these derivatives as a component of operating revenues. Upon settlement of the contract, the related revenue is recognized when the SREC is transferred to the counterparty. NPNS is a contract-by-contract election and, where it makes sense to do so, we can and may elect certain contracts to be normal. NJNG Changes in fair value of NJNG's financial commodity derivatives are recorded as a component of regulatory assets or liabilities on the Unaudited Condensed Consolidated Balance Sheets. The Company elects NPNS accounting treatment on all physical commodity contracts that NJNG entered into on or before December 31, 2015, and accounts for these contracts on an accrual basis. Accordingly, physical natural gas purchases are recognized in regulatory assets or liabilities on the Unaudited Condensed Consolidated Balance Sheets when the contract settles and the natural gas is delivered. The average cost of natural gas is charged to expense in the current period earnings based on the BGSS factor times the therm sales. Effective for contracts executed January 1, 2016, and on a prospective basis, NJNG no longer elects NPNS accounting treatment on all physical forward commodity contracts. However, since NPNS is a contract-by-contract election, where it makes sense to do so, we can and may elect certain contracts to be normal. Because NJNG recovers these amounts through future BGSS rates as increases or decreases to the cost of natural gas in NJNG’s tariff for gas service, the changes in fair value of these contracts are deferred as a component of regulatory assets or liabilities on the Unaudited Condensed Consolidated Balance Sheets. In an April 2014 BPU Order, NJNG received regulatory approval to enter into interest rate risk management transactions related to long-term debt securities. On June 1, 2015, NJNG entered into a treasury lock transaction to fix a benchmark treasury rate of 3.26 percent associated with a forecasted $125 million debt issuance expected in May 2018. This forecasted debt issuance coincides with the maturity of NJNG's existing $125 million , 5.6 percent notes due May 15, 2018 . The change in fair value of NJNG's treasury lock agreement is recorded as a component of regulatory assets or liabilities on the Unaudited Condensed Consolidated Balance Sheets since NJNG believes that the market value upon settlement will be recovered in future rates. Upon settlement, any gain or loss will be amortized into earnings over the life of the future underlying debt issuance.
Fair Value Hierarchy	Fair Value Hierarchy NJR applies fair value measurement guidance to its financial assets and liabilities, as appropriate, which include financial derivatives and physical commodity contracts qualifying as derivatives, available for sale securities and other financial assets and liabilities. In addition, authoritative accounting literature prescribes the use of a fair value hierarchy that prioritizes the inputs to valuation techniques used to measure fair value based on the source of the data used to develop the price inputs. The hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities and the lowest priority to inputs that are based on unobservable market data and include the following: Level 1 Unadjusted quoted prices for identical assets or liabilities in active markets. NJR's Level 1 assets and liabilities include exchange traded natural gas futures and options contracts, listed equities and money market funds. Exchange traded futures and options contracts include all energy contracts traded on the NYMEX, CME and ICE that NJR refers internally to as basis swaps, fixed swaps, futures and financial options that are cleared through a FCM. Level 2 Other significant observable inputs such as interest rates or price data, including both commodity and basis pricing that is observed either directly or indirectly from publications or pricing services. NJR's Level 2 assets and liabilities include over-the-counter physical forward commodity contracts and swap contracts, SREC forward sales or derivatives that are initially valued using observable quotes and are subsequently adjusted to include time value, credit risk or estimated transport pricing components for which no basis price is available. Level 2 financial derivatives consist of transactions with non-FCM counterparties (basis swaps, fixed swaps and/or options). NJNG's treasury lock is also considered Level 2 as valuation is based on quoted market interest and swap rates as inputs to the valuation model. Inputs are verifiable and do not require significant management judgment. For some physical commodity contracts the Company utilizes transportation tariff rates that are publicly available and that it considers to be observable inputs that are equivalent to market data received from an independent source. There are no significant judgments or adjustments applied to the transportation tariff inputs and no market perspective is required. Even if the transportation tariff input were considered to be a “model,” it would still be considered to be a Level 2 input as the data is: • widely accepted and public; • non-proprietary and sourced from an independent third party; and • observable and published. These additional adjustments are generally not considered to be significant to the ultimate recognized values. Level 3 Inputs derived from a significant amount of unobservable market data. These include NJR's best estimate of fair value and are derived primarily through the use of internal valuation methodologies.

SUMMARY OF SIGNIFICANT ACCOUN23

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Tables)	3 Months Ended
	Dec. 31, 2016
Accounting Policies [Abstract]
Summary of Gas in Storage	The following table summarizes gas in storage, at average cost by company as of: December 31, September 30, ($ in thousands) Gas in Storage Bcf Gas in Storage Bcf NJRES $ 163,393 62.9 $ 130,493 62.0 NJNG 56,704 15.9 75,758 21.3 Total $ 220,097 78.8 $ 206,251 83.3
Accounts Receivable by Subsidiary	Customer accounts receivable include outstanding billings from the following subsidiaries as of: (Thousands) December 31, September 30, NJRES $ 173,708 69 % $ 102,884 72 % NJNG (1) 71,404 28 30,951 22 NJRCEV 2,121 1 1,807 1 NJRHS and other 5,522 2 7,016 5 Total $ 252,755 100 % $ 142,658 100 % (1) Does not include unbilled revenues of $47.6 million and $5.7 million as of December 31, 2016 and September 30, 2016 , respectively.
Schedule of Retrospective Application of New Accounting Standard	In addition, the following amounts on the Unaudited Condensed Consolidated Financial Statements have been adjusted retrospectively, for the three months ended December 31, 2015: (Thousands) As Previously Reported Effect of Change As Adjusted Statements of Operations Income tax provision $ 8,357 $ (1,635 ) $ 6,722 Net income $ 48,647 $ 1,635 $ 50,282 Earnings per common share Basic $ 0.57 $ 0.02 $ 0.59 Diluted $ 0.56 $ 0.02 $ 0.58 Cash flows (used in) operating activities Net income $ 48,647 $ 1,635 $ 50,282 Tax benefit from stock based compensation $ — $ 1,635 $ 1,635 Other noncurrent liabilities $ 4,401 $ (228 ) $ 4,173 Net cash flows (used in) operating activities $ (39,216 ) $ 3,042 $ (36,174 ) Cash flows from financing activities Tax withholding payments related to net settled stock compensation $ — $ (3,042 ) $ (3,042 ) Cash flows from financing activities $ 131,356 $ (3,042 ) $ 128,314 In addition, the following amounts on the Unaudited Condensed Consolidated Balance sheets have been adjusted, retrospectively, as of September 30, 2016. (Thousands) As Previously Reported Effect of Change As Adjusted Assets Other noncurrent assets $ 68,708 $ (8,512 ) $ 60,196 Total noncurrent assets $ 712,166 $ (8,512 ) $ 703,654 Total assets $ 3,727,082 $ (8,512 ) $ 3,718,570 Capitalization and Liabilities Long-term debt $ 1,063,550 $ (8,512 ) $ 1,055,038 Total capitalization $ 2,230,141 $ (8,512 ) $ 2,221,629 Total capitalization and liabilities $ 3,727,082 $ (8,512 ) $ 3,718,570

REGULATION (Tables)

REGULATION (Tables)	3 Months Ended
	Dec. 31, 2016
Regulated Operations [Abstract]
Schedule of Regulatory Assets and Liabilities	Regulatory assets and liabilities included on the Unaudited Condensed Consolidated Balance Sheets are comprised of the following: (Thousands) December 31, September 30, Regulatory assets-current Conservation Incentive Program $ 28,662 $ 36,957 New Jersey Clean Energy Program 13,180 14,232 Underrecovered gas costs 1,298 — Derivatives at fair value, net — 3,097 Total current regulatory assets $ 43,140 $ 54,286 Regulatory assets-noncurrent Environmental remediation costs Expended, net of recoveries $ 20,025 $ 19,595 Liability for future expenditures 168,506 172,000 Deferred income taxes 20,599 20,273 Derivatives at fair value, net 2,702 23,384 SAVEGREEN 22,060 25,208 Postemployment and other benefit costs 154,221 157,027 Deferred Superstorm Sandy costs 14,659 15,201 Other noncurrent regulatory assets 5,709 8,606 Total noncurrent regulatory assets $ 408,481 $ 441,294 Regulatory liability-current Overrecovered gas costs $ — $ 9,469 Derivatives at fair value, net 12,120 — Total current regulatory liabilities $ 12,120 $ 9,469 Regulatory liabilities-noncurrent Cost of removal obligation $ 25,318 $ 30,549 New Jersey Clean Energy Program 12,659 10,657 Other noncurrent regulatory liabilities 749 205 Total noncurrent regulatory liabilities $ 38,726 $ 41,411

DERIVATIVE INSTRUMENTS (Tables)

DERIVATIVE INSTRUMENTS (Tables)	3 Months Ended
	Dec. 31, 2016
Derivative Instruments and Hedging Activities Disclosure [Abstract]
Fair Value of Derivative Assets and Liabilities	The following table reflects the fair value of NJR's derivative assets and liabilities recognized on the Unaudited Condensed Consolidated Balance Sheets as of: Fair Value December 31, 2016 September 30, 2016 (Thousands) Balance Sheet Location Asset Derivatives Liability Derivatives Asset Derivatives Liability Derivatives Derivatives not designated as hedging instruments: NJNG: Physical commodity contracts Derivatives - current $ 1,181 $ 76 $ 235 $ 1,154 Financial commodity contracts Derivatives - current 13,931 2,919 805 2,979 Derivatives - noncurrent — — 75 386 Interest rate contracts Derivatives - noncurrent — 2,702 — 23,073 NJRES: Physical commodity contracts Derivatives - current 5,477 5,978 5,994 11,660 Derivatives - noncurrent 2,192 1,193 3,987 1,212 Financial commodity contracts Derivatives - current 29,626 84,016 22,929 45,255 Derivatives - noncurrent 1,468 632 1,165 581 Foreign currency contracts Derivatives - current — 91 1 32 Fair value of derivatives not designated as hedging instruments $ 53,875 $ 97,607 $ 35,191 $ 86,332 Total fair value of derivatives $ 53,875 $ 97,607 $ 35,191 $ 86,332
Offsetting Assets	The following table summarizes the reported gross amounts, the amounts that NJR has the right to offset but elects not to, financial collateral, as well as the net amounts NJR could present on the Unaudited Condensed Consolidated Balance Sheets but elects not to. (Thousands) Amounts Presented in Balance Sheets (1) Offsetting Derivative Instruments (2) Financial Collateral Received/Pledged (3) Net Amounts (4) As of December 31, 2016: Derivative assets: NJRES Physical commodity contracts $ 7,669 $ (3,278 ) $ (200 ) $ 4,191 Financial commodity contracts 31,094 (31,094 ) — — Total NJRES $ 38,763 $ (34,372 ) $ (200 ) $ 4,191 NJNG Physical commodity contracts $ 1,181 $ (4 ) $ — $ 1,177 Financial commodity contracts 13,931 (2,919 ) (4,205 ) 6,807 Total NJNG $ 15,112 $ (2,923 ) $ (4,205 ) $ 7,984 Derivative liabilities: NJRES Physical commodity contracts $ 7,171 $ (3,278 ) $ — $ 3,893 Financial commodity contracts 84,648 (31,093 ) (53,555 ) — Foreign currency contracts 91 — — 91 Total NJRES $ 91,910 $ (34,371 ) $ (53,555 ) $ 3,984 NJNG Physical commodity contracts $ 76 $ (4 ) $ — $ 72 Financial commodity contracts 2,919 (2,919 ) — — Interest rate contracts 2,702 — — 2,702 Total NJNG $ 5,697 $ (2,923 ) $ — $ 2,774 As of September 30, 2016: Derivative assets: NJRES Physical commodity contracts $ 9,981 $ (2,837 ) $ (755 ) $ 6,389 Financial commodity contracts 24,094 (17,945 ) (6,149 ) — Foreign currency contracts 1 (1 ) — — Total NJRES $ 34,076 $ (20,783 ) $ (6,904 ) $ 6,389 NJNG Physical commodity contracts $ 235 $ (31 ) $ — $ 204 Financial commodity contracts 880 (880 ) — — Total NJNG $ 1,115 $ (911 ) $ — $ 204 Derivative liabilities: NJRES Physical commodity contracts $ 12,872 $ (2,837 ) $ 1,200 $ 11,235 Financial commodity contracts 45,836 (17,945 ) (27,891 ) — Foreign currency contracts 32 (1 ) — 31 Total NJRES $ 58,740 $ (20,783 ) $ (26,691 ) $ 11,266 NJNG Physical commodity contracts $ 1,154 $ (31 ) $ — $ 1,123 Financial commodity contracts 3,365 (880 ) (2,485 ) — Interest rate contracts 23,073 — — 23,073 Total NJNG $ 27,592 $ (911 ) $ (2,485 ) $ 24,196 (1) Derivative assets and liabilities are presented on a gross basis in the balance sheet as the Company does not elect balance sheet offsetting under ASC 210-20. (2) Includes transactions with NAESB netting election, transactions held by FCMs with net margining and transactions with ISDA netting. (3) Financial collateral includes cash balances at FCMs as well as cash received from or pledged to other counterparties. (4) Net amounts represent presentation of derivative assets and liabilities if the Company were to elect balance sheet offsetting under ASC 210-20.
Offsetting Liabilities	The following table summarizes the reported gross amounts, the amounts that NJR has the right to offset but elects not to, financial collateral, as well as the net amounts NJR could present on the Unaudited Condensed Consolidated Balance Sheets but elects not to. (Thousands) Amounts Presented in Balance Sheets (1) Offsetting Derivative Instruments (2) Financial Collateral Received/Pledged (3) Net Amounts (4) As of December 31, 2016: Derivative assets: NJRES Physical commodity contracts $ 7,669 $ (3,278 ) $ (200 ) $ 4,191 Financial commodity contracts 31,094 (31,094 ) — — Total NJRES $ 38,763 $ (34,372 ) $ (200 ) $ 4,191 NJNG Physical commodity contracts $ 1,181 $ (4 ) $ — $ 1,177 Financial commodity contracts 13,931 (2,919 ) (4,205 ) 6,807 Total NJNG $ 15,112 $ (2,923 ) $ (4,205 ) $ 7,984 Derivative liabilities: NJRES Physical commodity contracts $ 7,171 $ (3,278 ) $ — $ 3,893 Financial commodity contracts 84,648 (31,093 ) (53,555 ) — Foreign currency contracts 91 — — 91 Total NJRES $ 91,910 $ (34,371 ) $ (53,555 ) $ 3,984 NJNG Physical commodity contracts $ 76 $ (4 ) $ — $ 72 Financial commodity contracts 2,919 (2,919 ) — — Interest rate contracts 2,702 — — 2,702 Total NJNG $ 5,697 $ (2,923 ) $ — $ 2,774 As of September 30, 2016: Derivative assets: NJRES Physical commodity contracts $ 9,981 $ (2,837 ) $ (755 ) $ 6,389 Financial commodity contracts 24,094 (17,945 ) (6,149 ) — Foreign currency contracts 1 (1 ) — — Total NJRES $ 34,076 $ (20,783 ) $ (6,904 ) $ 6,389 NJNG Physical commodity contracts $ 235 $ (31 ) $ — $ 204 Financial commodity contracts 880 (880 ) — — Total NJNG $ 1,115 $ (911 ) $ — $ 204 Derivative liabilities: NJRES Physical commodity contracts $ 12,872 $ (2,837 ) $ 1,200 $ 11,235 Financial commodity contracts 45,836 (17,945 ) (27,891 ) — Foreign currency contracts 32 (1 ) — 31 Total NJRES $ 58,740 $ (20,783 ) $ (26,691 ) $ 11,266 NJNG Physical commodity contracts $ 1,154 $ (31 ) $ — $ 1,123 Financial commodity contracts 3,365 (880 ) (2,485 ) — Interest rate contracts 23,073 — — 23,073 Total NJNG $ 27,592 $ (911 ) $ (2,485 ) $ 24,196 (1) Derivative assets and liabilities are presented on a gross basis in the balance sheet as the Company does not elect balance sheet offsetting under ASC 210-20. (2) Includes transactions with NAESB netting election, transactions held by FCMs with net margining and transactions with ISDA netting. (3) Financial collateral includes cash balances at FCMs as well as cash received from or pledged to other counterparties. (4) Net amounts represent presentation of derivative assets and liabilities if the Company were to elect balance sheet offsetting under ASC 210-20.
Effect of Derivative Instruments on Consolidated Statements of Operations	The following table reflects the gains (losses) associated with NJNG's derivative instruments as of: Three Months Ended December 31, (Thousands) 2016 2015 NJNG: Physical commodity contracts $ 1,050 $ — Financial commodity contracts 11,178 (5,635 ) Interest rate contracts 20,371 2,366 Total unrealized and realized gains (losses) $ 32,599 $ (3,269 ) The following table reflects the effect of derivative instruments on the Unaudited Condensed Consolidated Statements of Operations as of: (Thousands) Location of gain (loss) recognized in income on derivatives Amount of gain (loss) recognized in income on derivatives Three Months Ended December 31, Derivatives not designated as hedging instruments: 2016 2015 NJRES: Physical commodity contracts Operating revenues $ 1,743 $ 11,874 Physical commodity contracts Gas purchases (8,799 ) (21,237 ) Financial commodity contracts Gas purchases (30,611 ) 41,276 Foreign currency contracts Gas purchases (86 ) — Total unrealized and realized (losses) gains $ (37,753 ) $ 31,913
Effect of Derivative Instruments Designated as Cash Flow Hedges on OCI	The following table reflects the effect of derivative instruments that were designated as cash flow hedges on OCI during the three months ended December 31, 2015 : (Thousands) Amount of Gain or (Loss) Recognized in OCI on Derivatives (Effective Portion) Amount of Gain or (Loss) Reclassified from OCI into Income (Effective Portion) Foreign currency contracts $ (64 ) $ 12
Schedule of Outstanding Long (Short) Derivatives	NJNG and NJRES had the following outstanding long (short) derivatives as of: Volume (Bcf) December 31, September 30, NJNG Futures 24.3 23.6 Physical 4.4 9.2 NJRES Futures (76.4 ) (79.1 ) Options 0.5 1.2 Physical 70.4 94.6 Not included in the previous table are NJRES' gross notional amount of foreign currency transactions of approximately $3.7 million , NJNG’s treasury lock agreement as previously discussed and 179,000 SRECs at NJRES that are open as of December 31, 2016 .
Schedule of Broker Margin Accounts by Company	The balances by company, are as follows: (Thousands) Balance Sheet Location December 31, September 30, NJNG Broker margin - Current assets $ — $ 4,822 Broker margin - Current (liabilities) $ (5,294 ) $ — NJRES Broker margin - Current assets $ 79,118 $ 42,822
Summary of Gross Credit Exposures	The following is a summary of gross credit exposures grouped by investment and noninvestment grade counterparties, as of December 31, 2016 . The amounts presented below have not been reduced by any collateral received or netting and exclude accounts receivable for NJNG retail natural gas sales and services and NJRCEV residential solar installations. (Thousands) Gross Credit Exposure Investment grade $ 200,025 Noninvestment grade 40,457 Internally rated investment grade 14,769 Internally rated noninvestment grade 23,082 Total $ 278,333

FAIR VALUE (Tables)

FAIR VALUE (Tables)	3 Months Ended
	Dec. 31, 2016
Fair Value Disclosures [Abstract]
Fair Value, by Balance Sheet Grouping	The estimated fair value of long-term debt at NJNG and NJR, including current maturities, excluding capital leases and debt issuance costs, is as follows: (Thousands) December 31, September 30, Carrying value (1) $ 1,082,845 $ 1,082,845 Fair market value $ 1,079,431 $ 1,131,077 (1) Excludes capital leases of $49 million and $42.2 million as of December 31, 2016 and September 30, 2016 , respectively.
Schedule of Fair Value Assets and Liabilities Measured on Recurring Basis	Assets and liabilities measured at fair value on a recurring basis are summarized as follows: Quoted Prices in Active Markets for Identical Assets Significant Other Observable Inputs Significant Unobservable Inputs (Thousands) (Level 1) (Level 2) (Level 3) Total As of December 31, 2016: Assets: Physical commodity contracts $ — $ 8,850 $ — $ 8,850 Financial commodity contracts 45,025 — — 45,025 Available for sale equity securities - energy industry 64,447 — — 64,447 Other (1) 33,614 — — 33,614 Total assets at fair value $ 143,086 $ 8,850 $ — $ 151,936 Liabilities: Physical commodity contracts $ — $ 7,247 $ — $ 7,247 Financial commodity contracts 87,567 — — 87,567 Financial commodity contracts - foreign exchange — 91 — 91 Interest rate contracts — 2,702 — 2,702 Total liabilities at fair value $ 87,567 $ 10,040 $ — $ 97,607 As of September 30, 2016: Assets: Physical commodity contracts $ — $ 10,216 $ — $ 10,216 Financial commodity contracts 24,974 — — 24,974 Financial commodity contracts - foreign exchange — 1 — 1 Available for sale equity securities - energy industry 55,789 — — 55,789 Other (1) 35,516 — — 35,516 Total assets at fair value $ 116,279 $ 10,217 $ — $ 126,496 Liabilities: Physical commodity contracts $ — $ 14,026 $ — $ 14,026 Financial commodity contracts 49,201 — — 49,201 Financial commodity contracts - foreign exchange — 32 — 32 Interest rate contracts — 23,073 — 23,073 Total liabilities at fair value $ 49,201 $ 37,131 $ — $ 86,332 (1) Includes various money market funds.

INVESTMENTS IN EQUITY METHOD 27

INVESTMENTS IN EQUITY METHOD INVESTEES (Tables)	3 Months Ended
	Dec. 31, 2016
Investments, All Other Investments [Abstract]
Schedule of Equity Method Investments	NJR's investments in equity method investees includes the following as of: (Thousands) December 31, September 30, Steckman Ridge (1) $ 122,431 $ 123,155 PennEast 22,738 17,993 Total $ 145,169 $ 141,148 (1) Includes loans with a total outstanding principal balance of $70.4 million for both December 31, 2016 and September 30, 2016 . The loans accrue interest at a variable rate that resets quarterly and are due October 1, 2023.

EARNINGS PER SHARE (Tables)

EARNINGS PER SHARE (Tables)	3 Months Ended
	Dec. 31, 2016
Earnings Per Share [Abstract]
Schedule of Earnings Per Share Basic and Diluted	The following table presents the calculation of the Company's basic and diluted earnings per share for: Three Months Ended December 31, (Thousands, except per share amounts) 2016 2015 Net income, as reported $ 34,929 $ 50,282 Basic earnings per share Weighted average shares of common stock outstanding-basic 86,084 85,675 Basic earnings per common share $0.41 $0.59 Diluted earnings per share Weighted average shares of common stock outstanding-basic 86,084 85,675 Incremental shares (1) 771 1,001 Weighted average shares of common stock outstanding-diluted 86,855 86,676 Diluted earnings per common share (2) $0.40 $0.58 (1) Incremental shares consist primarily of unvested stock awards and performance shares. (2) There were no anti-dilutive shares excluded from the calculation of diluted earnings per share for the three months ended December 31, 2016 and 2015 .

COMMON STOCK EQUITY (Tables)

COMMON STOCK EQUITY (Tables)	3 Months Ended
	Dec. 31, 2016
Equity [Abstract]
Changes in Common Stock Equity	Changes in common stock equity during the three months ended December 31, 2016 , were as follows: (Thousands) Number of Shares Common Stock Premium on Common Stock Accumulated Other Comprehensive (Loss) Income Treasury Stock And Other Retained Earnings Total Balance at September 30, 2016 86,086 $ 221,654 $ 215,580 $ (15,155 ) $ (81,044 ) $ 825,556 $ 1,166,591 Net income 34,929 34,929 Other comprehensive income 5,832 5,832 Common stock issued: Incentive plan 200 499 3,779 4,278 Dividend reinvestment plan (1) 139 (883 ) 5,502 4,619 Cash dividend declared ($.255 per share) (21,980 ) (21,980 ) Treasury stock and other (229 ) — (8,908 ) (8,908 ) Balance at December 31, 2016 86,196 $ 222,153 $ 218,476 $ (9,323 ) $ (84,450 ) $ 838,505 $ 1,185,361 (1) The DRP allows NJR, at its option, to use newly issued shares to raise capital. There were no new shares issued through the waiver discount feature during fiscal 2017 .
Components of Accumulated Other Comprehensive Income (Loss), Net of Tax	The following table presents the changes in the components of accumulated other comprehensive income (loss), net of related tax effects: (Thousands) Available for Sale Securities Cash Flow Hedges Postemployment Benefit Obligation Total Balance at September 30, 2016 $ 4,198 $ — $ (19,353 ) $ (15,155 ) Other comprehensive income, net of tax Other comprehensive income, before reclassifications, net of tax of $(4,840), $0, $0, $(4,840) 7,042 — — 7,042 Amounts reclassified from accumulated other comprehensive income, net of tax of $1,054, $0, $(217), $837 (1,527 ) — 317 (2) (1,210 ) Net current-period other comprehensive income, net of tax of $(3,786), $0, $(217), $(4,003) 5,515 — 317 5,832 Balance at December 31, 2016 $ 9,713 $ — $ (19,036 ) $ (9,323 ) Balance as of September 30, 2015 $ 6,385 $ — $ (15,779 ) $ (9,394 ) Other comprehensive income (loss), net of tax Other comprehensive income (loss), before reclassifications, net of tax of ($2,614), $23, $0, ($2,591) 3,701 (41 ) — 3,660 Amounts reclassified from accumulated other comprehensive income, net of tax of $0, ($4), ($174), ($178) — 8 (1) 256 (2) 264 Net current-period other comprehensive income, net of tax of ($2,614), $19, $(174), $(2,769) 3,701 (33 ) 256 3,924 Balance as of December 31, 2015 $ 10,086 $ (33 ) $ (15,523 ) $ (5,470 ) (1) Consists of realized losses related to foreign currency derivatives, which are reclassified to gas purchases on the Unaudited Condensed Consolidated Statements of Operations. (2) Included in the computation of net periodic pension cost, a component of operations and maintenance expense on the Unaudited Condensed Consolidated Statements of Operations.

DEBT (Tables)

DEBT (Tables)	3 Months Ended
	Dec. 31, 2016
Debt Disclosure [Abstract]
Schedule of Line of Credit Facilities	A summary of NJR's credit facility and NJNG's commercial paper program and credit facility are as follows: (Thousands) December 31, September 30, Expiration Dates NJR Bank revolving credit facilities (1) $ 425,000 $ 425,000 September 2020 Notes outstanding at end of period $ 284,600 $ 121,700 Weighted average interest rate at end of period 1.54 % 1.43 % Amount available at end of period (2) $ 126,010 $ 288,910 NJNG Bank revolving credit facilities (1) $ 250,000 $ 250,000 May 2019 Commercial paper outstanding at end of period $ — $ — Weighted average interest rate at end of period — % — % Amount available at end of period (4) $ 249,269 $ 249,269 (1) Committed credit facilities, which require commitment fees on the unused amounts. (2) Letters of credit outstanding total $14.4 million for both December 31, 2016 and September 30, 2016 , which reduces amount available by the same amount. (3) Uncommitted credit facilities, which require no commitment fees. (4) Letters of credit outstanding total $731,000 for both December 31, 2016 and September 30, 2016 , which reduces the amount available by the same amount.

EMPLOYEE BENEFIT PLANS (Tables)

EMPLOYEE BENEFIT PLANS (Tables)	3 Months Ended
	Dec. 31, 2016
Compensation and Retirement Disclosure [Abstract]
Schedule of Net Benefit Costs	The components of the net periodic cost for pension benefits, including the Company's Pension Equalization Plan, and OPEB costs (principally health care and life insurance) for employees and covered dependents were as follows: Pension OPEB Three Months Ended Three Months Ended December 31, December 31, (Thousands) 2016 2015 2016 2015 Service cost $ 2,087 $ 1,898 $ 1,095 $ 1,130 Interest cost 2,443 2,836 1,386 1,564 Expected return on plan assets (4,828 ) (5,029 ) (1,192 ) (1,211 ) Recognized actuarial loss 2,207 1,820 1,093 819 Prior service cost amortization 27 28 (91 ) (91 ) Net periodic benefit cost $ 1,936 $ 1,553 $ 2,291 $ 2,211

COMMITMENTS AND CONTINGENT LI32

COMMITMENTS AND CONTINGENT LIABILITIES (Tables)	3 Months Ended
	Dec. 31, 2016
Commitments and Contingencies Disclosure [Abstract]
Long-term Purchase Commitment	Commitments as of December 31, 2016 , for natural gas purchases and future demand fees for the next five fiscal year periods are as follows: (Thousands) 2017 2018 2019 2020 2021 Thereafter NJRES: Natural gas purchases $ 239,269 $ 101,247 $ 51,731 $ — $ — $ — Storage demand fees 25,935 19,079 12,064 9,248 5,914 3,734 Pipeline demand fees 56,144 28,853 6,761 2,931 2,412 1,416 Sub-total NJRES $ 321,348 $ 149,179 $ 70,556 $ 12,179 $ 8,326 $ 5,150 NJNG: Natural gas purchases $ 75,679 $ 4,511 $ — $ — $ — $ — Storage demand fees 21,865 25,766 19,864 12,802 7,023 10,535 Pipeline demand fees 39,065 90,931 91,906 90,998 88,295 732,579 Sub-total NJNG $ 136,609 $ 121,208 $ 111,770 $ 103,800 $ 95,318 $ 743,114 Total (1) $ 457,957 $ 270,387 $ 182,326 $ 115,979 $ 103,644 $ 748,264 (1) Does not include amounts related to intercompany asset management agreements between NJRES and NJNG.

BUSINESS SEGMENT AND OTHER OP33

BUSINESS SEGMENT AND OTHER OPERATIONS DATA (Tables)	3 Months Ended
	Dec. 31, 2016
Segment Reporting [Abstract]
Schedule of Segment Reporting Information, by Segment	Information related to the Company's various business segments and other operations is detailed below: Three Months Ended December 31, (Thousands) 2016 2015 Operating revenues Natural Gas Distribution External customers $ 185,556 $ 151,606 Clean Energy Ventures External customers 7,567 7,794 Energy Services External customers (1) 338,930 276,182 Intercompany (1,749 ) 2,511 Subtotal 530,304 438,093 Home Services and Other External customers 8,975 8,676 Intercompany 1,031 897 Eliminations 718 (3,408 ) Total $ 541,028 $ 444,258 Depreciation and amortization Natural Gas Distribution $ 12,030 $ 11,238 Clean Energy Ventures 7,041 5,110 Energy Services 16 23 Midstream 1 1 Subtotal 19,088 16,372 Home Services and Other 221 227 Eliminations (49 ) (117 ) Total $ 19,260 $ 16,482 Interest income (2) Natural Gas Distribution $ 75 $ 68 Energy Services — 72 Midstream 462 264 Subtotal 537 404 Home Services and Other 121 37 Eliminations (583 ) (371 ) Total $ 75 $ 70 (1) Includes sales to Canada, which accounted for 1.9 and 3.5 percent of total operating revenues during the three months ended December 31, 2016 and 2015 . (2) Included in other income, net on the Unaudited Condensed Consolidated Statements of Operations. Three Months Ended December 31, (Thousands) 2016 2015 Interest expense, net of capitalized interest Natural Gas Distribution $ 6,824 $ 4,588 Clean Energy Ventures 3,324 2,053 Energy Services 571 208 Midstream 56 42 Subtotal 10,775 6,891 Home Services and Other 74 — Eliminations (234 ) (114 ) Total $ 10,615 $ 6,777 Income tax provision (benefit) Natural Gas Distribution $ 14,887 $ 13,507 Clean Energy Ventures (11,887 ) (11,734 ) Energy Services (3,176 ) 4,905 Midstream 1,649 1,640 Subtotal 1,473 8,318 Home Services and Other (245 ) (1,130 ) Eliminations 790 (466 ) Total $ 2,018 $ 6,722 Equity in earnings of affiliates Midstream $ 3,331 $ 3,545 Eliminations (1,020 ) (1,139 ) Total $ 2,311 $ 2,406 Net financial earnings Natural Gas Distribution $ 30,348 $ 30,926 Clean Energy Ventures 2,842 7,652 Energy Services 3,487 10,304 Midstream 2,387 2,344 Subtotal 39,064 51,226 Home Services and Other 1,542 259 Eliminations (223 ) (218 ) Total $ 40,383 $ 51,267 Capital expenditures Natural Gas Distribution $ 38,855 $ 49,040 Clean Energy Ventures 46,785 45,006 Subtotal 85,640 94,046 Home Services and Other 171 797 Total $ 85,811 $ 94,843 Investments in equity investees Midstream $ 4,636 $ 2,846 Total $ 4,636 $ 2,846
Reconciliation of Consolidated NFE to Consolidated Net Income	A reconciliation of consolidated NFE to consolidated net income is as follows: Three Months Ended December 31, (Thousands) 2016 2015 Net financial earnings $ 40,383 $ 51,267 Less: Unrealized loss (gain) on derivative instruments and related transactions 28,302 (1,135 ) Tax effect (9,757 ) 413 Effects of economic hedging related to natural gas inventory (17,939 ) 3,813 Tax effect 6,204 (1,385 ) Net income to NFE tax adjustment (1,356 ) (721 ) Net income $ 34,929 $ 50,282
Reconciliation of Assets from Segment to Consolidated	The Company's assets for the various business segments and business operations are detailed below: (Thousands) December 31, September 30, Assets at end of period: Natural Gas Distribution $ 2,554,928 $ 2,517,401 Clean Energy Ventures 677,978 665,696 Energy Services 470,282 327,626 Midstream 201,128 186,259 Subtotal 3,904,316 3,696,982 Home Services and Other 132,427 109,487 Intercompany assets (1) (87,237 ) (87,899 ) Total $ 3,949,506 $ 3,718,570 (1) Consists of transactions between subsidiaries that are eliminated and reclassified in consolidation.

RELATED PARTY TRANSACTIONS (Tab

RELATED PARTY TRANSACTIONS (Tables)	3 Months Ended
	Dec. 31, 2016
Related Party Transactions [Abstract]
Schedule Of Demand Fees And Demand Fees Payable	Demand fees, net of eliminations, associated with Steckman Ridge were as follows: Three Months Ended December 31, (Thousands) 2016 2015 NJNG $ 1,410 $ 1,389 NJRES 701 685 Total $ 2,111 $ 2,074 The following table summarizes demand fees payable to Steckman Ridge as of: (Thousands) December 31, September 30, NJNG $ 778 $ 775 NJRES 377 375 Total $ 1,155 $ 1,150

NATURE OF THE BUSINESS (Details

NATURE OF THE BUSINESS (Details) shares in Thousands	3 Months Ended
	Dec. 31, 2016subsidiarycustomershares
Common Units
Nature of Business [Line Items]
Ownership interest exchanged (in shares) | shares	1,840
Steckman Ridge
Nature of Business [Line Items]
Equity method investment, ownership percentage	50.00%
PennEast
Nature of Business [Line Items]
Equity method investment, ownership percentage	20.00%
NJNG
Nature of Business [Line Items]
Total retail customers | customer	525,500
NJR Retail Holdings Corporation
Nature of Business [Line Items]
Number of principal subsidiaries | subsidiary	2

SUMMARY OF SIGNIFICANT ACCOUN36

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - GAS IN STORAGE (Details) $ in Thousands	Dec. 31, 2016USD ($)Bcf	Sep. 30, 2016USD ($)Bcf
Inventory [Line Items]
Gas in Storage, value | $	$ 220,097	$ 206,251
Gas in Storage, Bcf | Bcf	78.8	83.3
NJRES
Inventory [Line Items]
Gas in Storage, value | $	$ 163,393	$ 130,493
Gas in Storage, Bcf | Bcf	62.9	62
NJNG
Inventory [Line Items]
Gas in Storage, value | $	$ 56,704	$ 75,758
Gas in Storage, Bcf | Bcf	15.9	21.3

SUMMARY OF SIGNIFICANT ACCOUN37

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - SALES TAX ACCOUNTING (Details) - USD ($) $ in Millions	3 Months Ended
	Dec. 31, 2016	Dec. 31, 2015	Jan. 01, 2017
Subsequent Event [Line Items]
Sales tax	$ 11.2	$ 7.2
NEW JERSEY
Subsequent Event [Line Items]
State sales tax, percent	7.00%
NEW JERSEY | Subsequent Event
Subsequent Event [Line Items]
State sales tax, percent			6.875%

SUMMARY OF SIGNIFICANT ACCOUN38

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - ASSETS HELD FOR SALE (Details) $ in Thousands	Dec. 31, 2016USD ($)	Dec. 31, 2016a	Dec. 31, 2016ft²	Sep. 30, 2016USD ($)
Accounting Policies [Abstract]
Area of real estate property		5	56,400
Asset held for sale	$ 7,660			$ 7,660

SUMMARY OF SIGNIFICANT ACCOUN39

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - AVAILABLE FOR SALE SECURITIES (Details) - USD ($) $ in Thousands	3 Months Ended		12 Months Ended
	Dec. 31, 2016	Dec. 31, 2015	Sep. 30, 2016
Accounting Policies [Abstract]
Available for sale securities	$ 64,447		$ 55,789
Unrealized gain	16,500		7,200
Unrealized gain, net of tax	9,700		$ 4,200
Proceeds from sale of investment	3,218	$ 0
Pre-tax gain on sale of available-for-sale securities	$ 2,600

SUMMARY OF SIGNIFICANT ACCOUN40

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - CUSTOMER ACCOUNTS RECEIVABLE (Details) - USD ($) $ in Thousands	Dec. 31, 2016	Sep. 30, 2016
Accounts, Notes, Loans and Financing Receivable [Line Items]
Billed	$ 252,755	$ 142,658
Receivable by subsidiary, percentage	100.00%	100.00%
Unbilled revenues	$ 47,648	$ 5,744
NJRES
Accounts, Notes, Loans and Financing Receivable [Line Items]
Billed	$ 173,708	$ 102,884
Receivable by subsidiary, percentage	69.00%	72.00%
NJNG
Accounts, Notes, Loans and Financing Receivable [Line Items]
Billed	$ 71,404	$ 30,951
Receivable by subsidiary, percentage	28.00%	22.00%
NJRCEV
Accounts, Notes, Loans and Financing Receivable [Line Items]
Billed	$ 2,121	$ 1,807
Receivable by subsidiary, percentage	1.00%	1.00%
NJRHS and other
Accounts, Notes, Loans and Financing Receivable [Line Items]
Billed	$ 5,522	$ 7,016
Receivable by subsidiary, percentage	2.00%	5.00%

SUMMARY OF SIGNIFICANT ACCOUN41

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - LOAN RECEIVABLE (Details) - USD ($)	3 Months Ended
	Dec. 31, 2016	Sep. 30, 2016
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans receivable in other current assets	$ 8,100,000	$ 7,800,000
Loans receivable in other noncurrent assets	$ 40,300,000	39,500,000
Threshold period in establishing allowance for doubtful accounts	60 days
Allowance for doubtful accounts	$ 0	$ 0
Minimum
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loan term	2 years
Maximum
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loan term	10 years

SUMMARY OF SIGNIFICANT ACCOUN42

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - NEW ACCOUNTING STANDARD (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended
	Dec. 31, 2016	Dec. 31, 2015	Sep. 30, 2016
Income Statement [Abstract]
Income tax provision	$ 2,018	$ 6,722
Net income	$ 34,929	$ 50,282
EARNINGS PER COMMON SHARE
Basic (usd per share)	$ 0.41	$ 0.59
Diluted (usd per share)	$ 0.40	$ 0.58
Cash flows (used in) operating activities
Net income, as reported	$ 34,929	$ 50,282
Tax benefit from stock-based compensation	1,188	1,635
Other noncurrent liabilities	15	4,173
Net cash flows (used in) operating activities	(46,064)	(36,174)
Cash flows from financing activities
Tax withholding payments related to net settled stock compensation	(4,167)	(3,042)
Cash flows from financing activities	141,934	128,314
Assets
Other noncurrent assets	60,937		$ 60,196
Total noncurrent assets	682,694		703,654
Total assets	3,949,506		3,718,570
Capitalization and Liabilities
Long-term debt	1,026,682		1,055,038
Total capitalization	2,212,043		2,221,629
Total capitalization and liabilities	3,949,506		3,718,570
As Previously Reported
Income Statement [Abstract]
Income tax provision		8,357
Net income		$ 48,647
EARNINGS PER COMMON SHARE
Basic (usd per share)		$ 0.57
Diluted (usd per share)		$ 0.56
Cash flows (used in) operating activities
Net income, as reported		$ 48,647
Tax benefit from stock-based compensation		0
Other noncurrent liabilities		4,401
Net cash flows (used in) operating activities		(39,216)
Cash flows from financing activities
Tax withholding payments related to net settled stock compensation		0
Cash flows from financing activities		131,356
Assets
Other noncurrent assets			68,708
Total noncurrent assets			712,166
Total assets			3,727,082
Capitalization and Liabilities
Long-term debt			1,063,550
Total capitalization			2,230,141
Total capitalization and liabilities			3,727,082
Effect of Change
Income Statement [Abstract]
Income tax provision		(1,635)
Net income		$ 1,635
EARNINGS PER COMMON SHARE
Basic (usd per share)		$ 0.02
Diluted (usd per share)		$ 0.02
Cash flows (used in) operating activities
Net income, as reported		$ 1,635
Tax benefit from stock-based compensation		1,635
Other noncurrent liabilities		(228)
Net cash flows (used in) operating activities		3,042
Cash flows from financing activities
Tax withholding payments related to net settled stock compensation		(3,042)
Cash flows from financing activities		$ (3,042)
Assets
Other noncurrent assets			(8,512)
Total noncurrent assets			(8,512)
Total assets			(8,512)
Capitalization and Liabilities
Long-term debt			(8,512)
Total capitalization			(8,512)
Total capitalization and liabilities			$ (8,512)
Other Noncurrent Assets | Accounting Standards Update 2015-03
New Accounting Pronouncement, Early Adoption [Line Items]
Debt issuance costs	(8,400)
Long-term Debt | Accounting Standards Update 2015-03
New Accounting Pronouncement, Early Adoption [Line Items]
Debt issuance costs	7,400
Short-term Debt | Accounting Standards Update 2015-03
New Accounting Pronouncement, Early Adoption [Line Items]
Debt issuance costs	$ 949

REGULATION - REGULATORY FILINGS

REGULATION - REGULATORY FILINGS (Details) $ in Millions	Oct. 01, 2016USD ($)
Regulated Operations [Abstract]
Increase in base tariff rates	$ 45
Return on equity	9.75%
Public utilities, approved equity capital structure, percentage	52.50%
Composite rate of depreciation	2.40%
Recovery of expenditures, approved rolling period	5 years

REGULATION - REGULATORY ASSETS

REGULATION - REGULATORY ASSETS AND LIABILITIES (Details) - USD ($) $ in Thousands	Dec. 31, 2016	Sep. 30, 2016
Regulatory Assets And Liabilities [Line Items]
Regulatory assets-current	$ 43,140	$ 54,286
Regulatory assets-noncurrent	408,481	441,294
Regulatory liability-current	12,120	9,469
Regulatory liabilities-noncurrent	38,726	41,411
Overrecovered gas costs
Regulatory Assets And Liabilities [Line Items]
Regulatory liability-current	0	9,469
Derivatives at fair value, net
Regulatory Assets And Liabilities [Line Items]
Regulatory liability-current	12,120	0
Cost of removal obligation
Regulatory Assets And Liabilities [Line Items]
Regulatory liabilities-noncurrent	25,318	30,549
New Jersey Clean Energy Program
Regulatory Assets And Liabilities [Line Items]
Regulatory liabilities-noncurrent	12,659	10,657
Other noncurrent regulatory liabilities
Regulatory Assets And Liabilities [Line Items]
Regulatory liabilities-noncurrent	749	205
Conservation Incentive Program
Regulatory Assets And Liabilities [Line Items]
Regulatory assets-current	28,662	36,957
New Jersey Clean Energy Program
Regulatory Assets And Liabilities [Line Items]
Regulatory assets-current	13,180	14,232
Underrecovered gas costs
Regulatory Assets And Liabilities [Line Items]
Regulatory assets-current	1,298	0
Derivatives at fair value, net
Regulatory Assets And Liabilities [Line Items]
Regulatory assets-current	0	3,097
Regulatory assets-noncurrent	2,702	23,384
Expended, net of recoveries
Regulatory Assets And Liabilities [Line Items]
Regulatory assets-noncurrent	20,025	19,595
Liability for future expenditures
Regulatory Assets And Liabilities [Line Items]
Regulatory assets-noncurrent	168,506	172,000
Deferred income taxes
Regulatory Assets And Liabilities [Line Items]
Regulatory assets-noncurrent	20,599	20,273
SAVEGREEN
Regulatory Assets And Liabilities [Line Items]
Regulatory assets-noncurrent	22,060	25,208
Postemployment and other benefit costs
Regulatory Assets And Liabilities [Line Items]
Regulatory assets-noncurrent	154,221	157,027
Deferred Superstorm Sandy costs
Regulatory Assets And Liabilities [Line Items]
Regulatory assets-noncurrent	14,659	15,201
Other noncurrent regulatory assets
Regulatory Assets And Liabilities [Line Items]
Regulatory assets-noncurrent	$ 5,709	$ 8,606

DERIVATIVE INSTRUMENTS - BALANC

DERIVATIVE INSTRUMENTS - BALANCE SHEET RELATED DISCLOSURES (Details) - USD ($)	Dec. 31, 2016	Sep. 30, 2016	Jun. 01, 2015
Derivatives, Fair Value [Line Items]
Benchmark interest rate			3.26%
Notional amount of foreign currency derivatives			$ 125,000,000
Fair Value
Derivative assets, current	$ 50,215,000	$ 29,964,000
Derivative liabilities, current	93,080,000	61,080,000
Derivative assets, noncurrent	3,660,000	5,227,000
Derivative liabilities, noncurrent	4,527,000	25,252,000
Derivative assets	53,875,000	35,191,000
Derivative liabilities	97,607,000	86,332,000
Foreign currency contracts
Derivatives, Fair Value [Line Items]
Notional amount of foreign currency derivatives	3,700,000
Not Designated as Hedging Instrument
Fair Value
Derivative assets	53,875,000	35,191,000
Derivative liabilities	97,607,000	86,332,000
NJNG | Not Designated as Hedging Instrument | Physical commodity contracts
Fair Value
Derivative assets, current	1,181,000	235,000
Derivative liabilities, current	76,000	1,154,000
NJNG | Not Designated as Hedging Instrument | Financial commodity contracts
Fair Value
Derivative assets, current	13,931,000	805,000
Derivative liabilities, current	2,919,000	2,979,000
Derivative assets, noncurrent	0	75,000
Derivative liabilities, noncurrent	0	386,000
NJNG | Not Designated as Hedging Instrument | Interest rate contracts
Fair Value
Derivative assets, noncurrent	0	0
Derivative liabilities, noncurrent	2,702,000	23,073,000
NJRES | Not Designated as Hedging Instrument | Physical commodity contracts
Fair Value
Derivative assets, current	5,477,000	5,994,000
Derivative liabilities, current	5,978,000	11,660,000
Derivative assets, noncurrent	2,192,000	3,987,000
Derivative liabilities, noncurrent	1,193,000	1,212,000
NJRES | Not Designated as Hedging Instrument | Financial commodity contracts
Fair Value
Derivative assets, current	29,626,000	22,929,000
Derivative liabilities, current	84,016,000	45,255,000
Derivative assets, noncurrent	1,468,000	1,165,000
Derivative liabilities, noncurrent	632,000	581,000
NJRES | Not Designated as Hedging Instrument | Foreign currency contracts
Fair Value
Derivative assets, current	0	1,000
Derivative liabilities, current	91,000	$ 32,000
First Mortgage | Series Ll | NJNG
Derivatives, Fair Value [Line Items]
Debt issued	$ 125,000,000
Interest rate, stated percentage	5.60%

DERIVATIVE INSTRUMENTS - OFFSET

DERIVATIVE INSTRUMENTS - OFFSETTING OF ASSETS AND LIABILITIES (Details) - USD ($) $ in Thousands	Dec. 31, 2016	Sep. 30, 2016
NJRES
Derivative assets:
Amounts Presented in Balance Sheets	$ 38,763	$ 34,076
Offsetting Derivative Instruments	(34,372)	(20,783)
Financial Collateral Received/Pledged	(200)	(6,904)
Net Amounts	4,191	6,389
Derivative liabilities:
Amounts Presented in Balance Sheets	91,910	58,740
Offsetting Derivative Instruments	(34,371)	(20,783)
Financial Collateral Received/Pledged	(53,555)	(26,691)
Net Amounts	3,984	11,266
NJRES | Physical commodity contracts
Derivative assets:
Amounts Presented in Balance Sheets	7,669	9,981
Offsetting Derivative Instruments	(3,278)	(2,837)
Financial Collateral Received/Pledged	(200)	(755)
Net Amounts	4,191	6,389
Derivative liabilities:
Amounts Presented in Balance Sheets	7,171	12,872
Offsetting Derivative Instruments	(3,278)	(2,837)
Financial Collateral Received/Pledged	0	1,200
Net Amounts	3,893	11,235
NJRES | Financial commodity contracts
Derivative assets:
Amounts Presented in Balance Sheets	31,094	24,094
Offsetting Derivative Instruments	(31,094)	(17,945)
Financial Collateral Received/Pledged	0	(6,149)
Net Amounts	0	0
Derivative liabilities:
Amounts Presented in Balance Sheets	84,648	45,836
Offsetting Derivative Instruments	(31,093)	(17,945)
Financial Collateral Received/Pledged	(53,555)	(27,891)
Net Amounts	0	0
NJRES | Foreign currency contracts
Derivative assets:
Amounts Presented in Balance Sheets		1
Offsetting Derivative Instruments		(1)
Financial Collateral Received/Pledged		0
Net Amounts		0
Derivative liabilities:
Amounts Presented in Balance Sheets	91	32
Offsetting Derivative Instruments	0	(1)
Financial Collateral Received/Pledged	0	0
Net Amounts	91	31
NJNG
Derivative assets:
Amounts Presented in Balance Sheets	15,112	1,115
Offsetting Derivative Instruments	(2,923)	(911)
Financial Collateral Received/Pledged	(4,205)	0
Net Amounts	7,984	204
Derivative liabilities:
Amounts Presented in Balance Sheets	5,697	27,592
Offsetting Derivative Instruments	(2,923)	(911)
Financial Collateral Received/Pledged	0	(2,485)
Net Amounts	2,774	24,196
NJNG | Physical commodity contracts
Derivative assets:
Amounts Presented in Balance Sheets	1,181	235
Offsetting Derivative Instruments	(4)	(31)
Financial Collateral Received/Pledged	0	0
Net Amounts	1,177	204
Derivative liabilities:
Amounts Presented in Balance Sheets	76	1,154
Offsetting Derivative Instruments	(4)	(31)
Financial Collateral Received/Pledged	0	0
Net Amounts	72	1,123
NJNG | Financial commodity contracts
Derivative assets:
Amounts Presented in Balance Sheets	13,931	880
Offsetting Derivative Instruments	(2,919)	(880)
Financial Collateral Received/Pledged	(4,205)	0
Net Amounts	6,807	0
Derivative liabilities:
Amounts Presented in Balance Sheets	2,919	3,365
Offsetting Derivative Instruments	(2,919)	(880)
Financial Collateral Received/Pledged	0	(2,485)
Net Amounts	0	0
NJNG | Interest rate contracts
Derivative liabilities:
Amounts Presented in Balance Sheets	2,702	23,073
Offsetting Derivative Instruments	0	0
Financial Collateral Received/Pledged	0	0
Net Amounts	$ 2,702	$ 23,073

DERIVATIVE INSTRUMENTS - INCOME

DERIVATIVE INSTRUMENTS - INCOME STATEMENT RELATED DISCLOSURES (Details) - USD ($) $ in Thousands	3 Months Ended
	Dec. 31, 2016	Dec. 31, 2015
Foreign currency contracts | Gas purchases | Cash Flow Hedging
Derivative Instruments, Gain (Loss) [Line Items]
Amount of Gain or (Loss) Recognized in OCI on Derivatives (Effective Portion)		$ (64)
Amount of Gain or (Loss) Reclassified from OCI into Income (Effective Portion)		12
Not Designated as Hedging Instrument | NJRES
Derivative Instruments, Gain (Loss) [Line Items]
Amount of gain (loss) recognized in income on derivatives	$ (37,753)	31,913
Not Designated as Hedging Instrument | NJRES | Physical commodity contracts | Operating revenues
Derivative Instruments, Gain (Loss) [Line Items]
Amount of gain (loss) recognized in income on derivatives	1,743	11,874
Not Designated as Hedging Instrument | NJRES | Physical commodity contracts | Gas purchases
Derivative Instruments, Gain (Loss) [Line Items]
Amount of gain (loss) recognized in income on derivatives	(8,799)	(21,237)
Not Designated as Hedging Instrument | NJRES | Financial commodity contracts | Gas purchases
Derivative Instruments, Gain (Loss) [Line Items]
Amount of gain (loss) recognized in income on derivatives	(30,611)	41,276
Not Designated as Hedging Instrument | NJRES | Foreign currency contracts | Gas purchases
Derivative Instruments, Gain (Loss) [Line Items]
Amount of gain (loss) recognized in income on derivatives	(86)	0
Not Designated as Hedging Instrument | NJNG
Derivative Instruments, Gain (Loss) [Line Items]
Amount of gain (loss) recognized in income on derivatives	32,599	(3,269)
Not Designated as Hedging Instrument | NJNG | Physical commodity contracts
Derivative Instruments, Gain (Loss) [Line Items]
Amount of gain (loss) recognized in income on derivatives	1,050	0
Not Designated as Hedging Instrument | NJNG | Financial commodity contracts
Derivative Instruments, Gain (Loss) [Line Items]
Amount of gain (loss) recognized in income on derivatives	11,178	(5,635)
Not Designated as Hedging Instrument | NJNG | Interest rate contracts
Derivative Instruments, Gain (Loss) [Line Items]
Amount of gain (loss) recognized in income on derivatives	$ 20,371	$ 2,366

DERIVATIVE INSTRUMENTS - VOLUME

DERIVATIVE INSTRUMENTS - VOLUME (Details) certificate in Thousands	Dec. 31, 2016USD ($)Bcfcertificate	Sep. 30, 2016Bcf	Jun. 01, 2015USD ($)
Derivative [Line Items]
Derivative, notional amount | $			$ 125,000,000
Foreign currency contracts
Derivative [Line Items]
Derivative, notional amount | $	$ 3,700,000
NJNG | Long | Futures
Derivative [Line Items]
Volume	24.3	23.6
NJNG | Long | Physical
Derivative [Line Items]
Volume	4.4	9.2
NJRES | Physical commodity contracts
Derivative [Line Items]
Number of SRECs | certificate	179
NJRES | Long | Physical
Derivative [Line Items]
Volume	70.4	94.6
NJRES | Long | Options
Derivative [Line Items]
Volume	0.5	1.2
NJRES | Short | Futures
Derivative [Line Items]
Volume	76.4	79.1

DERIVATIVE INSTRUMENTS - BROKER

DERIVATIVE INSTRUMENTS - BROKER MARGIN DEPOSITS (Details) - USD ($) $ in Thousands	Dec. 31, 2016	Sep. 30, 2016
NJNG
Derivative [Line Items]
Broker margin - Current assets	$ 0	$ 4,822
Broker margin - Current (liabilities)	(5,294)	0
NJRES
Derivative [Line Items]
Broker margin - Current assets	$ 79,118	$ 42,822

DERIVATIVE INSTRUMENTS - CREDIT

DERIVATIVE INSTRUMENTS - CREDIT RISK EXPOSURE (Details) - USD ($) $ in Thousands	3 Months Ended
	Dec. 31, 2016	Sep. 30, 2016
Credit Risk Exposure [Line Items]
Gross Credit Exposure	$ 278,333
Derivative, net liability position, aggregate fair value	2,700	$ 23,100
Additional collateral, aggregate fair value	2,700	$ 23,100
Investment grade
Credit Risk Exposure [Line Items]
Gross Credit Exposure	200,025
Noninvestment grade
Credit Risk Exposure [Line Items]
Gross Credit Exposure	40,457
Internally rated investment grade
Credit Risk Exposure [Line Items]
Gross Credit Exposure	14,769
Internally rated noninvestment grade
Credit Risk Exposure [Line Items]
Gross Credit Exposure	$ 23,082

FAIR VALUE - DEBT (Details)

FAIR VALUE - DEBT (Details) - USD ($) $ in Thousands	Dec. 31, 2016	Sep. 30, 2016
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Capital leases	$ 49,000	$ 42,200
Level 2 | Carrying Value
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Long-term debt, fair value	1,082,845	1,082,845
Level 2 | Fair market value
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Long-term debt, fair value	$ 1,079,431	$ 1,131,077

FAIR VALUE - HIERARCHY (Details

FAIR VALUE - HIERARCHY (Details) - USD ($) $ in Thousands	Dec. 31, 2016	Sep. 30, 2016
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Assets	$ 53,875	$ 35,191
Liabilities	97,607	86,332
Fair Value, Measurements, Recurring [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available for sale equity securities - energy industry	64,447	55,789
Other	33,614	35,516
Total assets at fair value	151,936	126,496
Total liabilities at fair value	97,607	86,332
Fair Value, Measurements, Recurring [Member] | Physical commodity contracts
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Assets	8,850	10,216
Liabilities	7,247	14,026
Fair Value, Measurements, Recurring [Member] | Financial commodity contracts
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Assets	45,025	24,974
Liabilities	87,567	49,201
Fair Value, Measurements, Recurring [Member] | Foreign currency contracts
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Assets		1
Liabilities	91	32
Fair Value, Measurements, Recurring [Member] | Interest rate contracts
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Liabilities	2,702	23,073
Fair Value, Measurements, Recurring [Member] | Quoted Prices in Active Markets for Identical Assets, (Level 1)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available for sale equity securities - energy industry	64,447	55,789
Other	33,614	35,516
Total assets at fair value	143,086	116,279
Total liabilities at fair value	87,567	49,201
Fair Value, Measurements, Recurring [Member] | Quoted Prices in Active Markets for Identical Assets, (Level 1) | Physical commodity contracts
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Assets	0	0
Liabilities	0	0
Fair Value, Measurements, Recurring [Member] | Quoted Prices in Active Markets for Identical Assets, (Level 1) | Financial commodity contracts
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Assets	45,025	24,974
Liabilities	87,567	49,201
Fair Value, Measurements, Recurring [Member] | Quoted Prices in Active Markets for Identical Assets, (Level 1) | Foreign currency contracts
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Assets		0
Liabilities	0	0
Fair Value, Measurements, Recurring [Member] | Quoted Prices in Active Markets for Identical Assets, (Level 1) | Interest rate contracts
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Liabilities	0	0
Fair Value, Measurements, Recurring [Member] | Significant Other Observable Inputs (Level 2)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available for sale equity securities - energy industry	0	0
Other	0	0
Total assets at fair value	8,850	10,217
Total liabilities at fair value	10,040	37,131
Fair Value, Measurements, Recurring [Member] | Significant Other Observable Inputs (Level 2) | Physical commodity contracts
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Assets	8,850	10,216
Liabilities	7,247	14,026
Fair Value, Measurements, Recurring [Member] | Significant Other Observable Inputs (Level 2) | Financial commodity contracts
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Assets	0	0
Liabilities	0	0
Fair Value, Measurements, Recurring [Member] | Significant Other Observable Inputs (Level 2) | Foreign currency contracts
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Assets		1
Liabilities	91	32
Fair Value, Measurements, Recurring [Member] | Significant Other Observable Inputs (Level 2) | Interest rate contracts
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Liabilities	2,702	23,073
Fair Value, Measurements, Recurring [Member] | Significant Unobservable Inputs (Level 3)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available for sale equity securities - energy industry	0	0
Other	0	0
Total assets at fair value	0	0
Total liabilities at fair value	0	0
Fair Value, Measurements, Recurring [Member] | Significant Unobservable Inputs (Level 3) | Physical commodity contracts
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Assets	0	0
Liabilities	0	0
Fair Value, Measurements, Recurring [Member] | Significant Unobservable Inputs (Level 3) | Financial commodity contracts
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Assets	0	0
Liabilities	0	0
Fair Value, Measurements, Recurring [Member] | Significant Unobservable Inputs (Level 3) | Foreign currency contracts
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Assets		0
Liabilities	0	0
Fair Value, Measurements, Recurring [Member] | Significant Unobservable Inputs (Level 3) | Interest rate contracts
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Liabilities	$ 0	$ 0

INVESTMENTS IN EQUITY METHOD 53

INVESTMENTS IN EQUITY METHOD INVESTEES (Details) $ in Thousands	3 Months Ended
	Dec. 31, 2016USD ($)Investormi	Sep. 30, 2016USD ($)
Schedule of Equity Method Investments [Line Items]
Investments in equity investees	$ 145,169	$ 141,148
Steckman Ridge
Schedule of Equity Method Investments [Line Items]
Investments in equity investees	122,431	123,155
Steckman Ridge | Equity Method Investee
Schedule of Equity Method Investments [Line Items]
Total outstanding principal balance of loans	70,400	70,400
PennEast
Schedule of Equity Method Investments [Line Items]
Investments in equity investees	$ 22,738	$ 17,993
Number of investors in pipeline construction and operation | Investor	5
Construction plan, project area (in miles) | mi	120

EARNINGS PER SHARE (Details)

EARNINGS PER SHARE (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended
	Dec. 31, 2016	Dec. 31, 2015
Earnings Per Share [Abstract]
Net income, as reported	$ 34,929	$ 50,282
Basic earnings per share
Weighted average shares of common stock outstanding-basic (shares)	86,084,000	85,675,000
Basic earnings per common share (usd per share)	$ 0.41	$ 0.59
Diluted earnings per share
Weighted average shares of common stock outstanding-basic (shares)	86,084,000	85,675,000
Incremental shares	771,000	1,001,000
Weighted average shares of common stock outstanding-diluted (shares)	86,855,000	86,676,000
Diluted (loss) earnings per common share (usd per share)	$ 0.40	$ 0.58
Anti-dilutive shares excluded from the calculation of diluted earnings per share	0	0

COMMON STOCK EQUITY - CHANGE IN

COMMON STOCK EQUITY - CHANGE IN COMMON STOCK EQUITY (Details) - USD ($) $ / shares in Units, $ in Thousands	1 Months Ended	3 Months Ended
	Dec. 31, 2015	Dec. 31, 2016	Dec. 31, 2015
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Balance as of beginning of period (shares)		86,086,355
Balance as of beginning of period		$ 1,166,591
Net income		34,929	$ 50,282
Other comprehensive income		5,832	$ 3,924
Common stock issued:
Incentive plan		$ 4,278
Dividend reinvestment plan (in shares)	5,000,000	139,000	127,000
Dividend reinvestment plan		$ 4,619
Cash dividend declared ($.255 per share)		(21,980)
Treasury stock and other		$ (8,908)
Balance as of end of period (shares)		86,196,239
Balance as of end of period		$ 1,185,361
Cash dividend declared per share (usd per share)		$ 0.255	$ 0.24
Common Stock
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Balance as of beginning of period (shares)		86,086,000
Balance as of beginning of period		$ 221,654
Common stock issued:
Incentive plan (in shares)		200,000
Incentive plan		$ 499
Dividend reinvestment plan (in shares)		139,000
Treasury stock and other (shares)		(229,000)
Balance as of end of period (shares)		86,196,000
Balance as of end of period		$ 222,153
Premium on Common Stock
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Balance as of beginning of period		215,580
Common stock issued:
Incentive plan		3,779
Dividend reinvestment plan		(883)
Treasury stock and other		0
Balance as of end of period		218,476
Accumulated Other Comprehensive (Loss) Income
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Balance as of beginning of period		(15,155)	$ (9,394)
Other comprehensive income		5,832	3,924
Common stock issued:
Balance as of end of period	$ (5,470)	(9,323)	$ (5,470)
Treasury Stock And Other
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Balance as of beginning of period		(81,044)
Common stock issued:
Dividend reinvestment plan		5,502
Treasury stock and other		(8,908)
Balance as of end of period		(84,450)
Retained Earnings
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Balance as of beginning of period		825,556
Net income		34,929
Common stock issued:
Cash dividend declared ($.255 per share)		(21,980)
Balance as of end of period		$ 838,505

COMMON STOCK EQUITY - COMMON ST

COMMON STOCK EQUITY - COMMON STOCK EQUITY NARRATIVE (Details) - USD ($) $ in Millions	1 Months Ended	3 Months Ended
	Dec. 31, 2015	Dec. 31, 2016	Dec. 31, 2015
Equity [Abstract]
Additional shares issued through the waiver discount feature of the DRP		0
Number of treasury shares issued from raising of equity through the DRP	5,000,000	139,000	127,000
Equity raised through the DRP		$ 4.6	$ 3.8

COMMON STOCK EQUITY - ACCUMULAT

COMMON STOCK EQUITY - ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) (Details) - USD ($) $ in Thousands	3 Months Ended
	Dec. 31, 2016	Dec. 31, 2015
Increase (Decrease) in Accumulated Other Comprehensive Income [Roll Forward]
Balance as of beginning of period	$ 1,166,591
Other comprehensive income	5,832	$ 3,924
Balance as of end of period	1,185,361
Available for Sale Securities
Increase (Decrease) in Accumulated Other Comprehensive Income [Roll Forward]
Balance as of beginning of period	4,198	6,385
Other comprehensive income (loss), before reclassifications, net of tax	7,042	3,701
Amounts reclassified from accumulated other comprehensive income, net of tax	(1,527)	0
Other comprehensive income	5,515	3,701
Balance as of end of period	9,713	10,086
Tax on other comprehensive income (loss) before reclassifications	4,840	2,614
Tax on amounts reclassified from accumulated other comprehensive income	(1,054)	0
Tax on net current-period other comprehensive income (loss)	3,786	2,614
Cash Flow Hedges
Increase (Decrease) in Accumulated Other Comprehensive Income [Roll Forward]
Balance as of beginning of period	0	0
Other comprehensive income (loss), before reclassifications, net of tax	0	(41)
Amounts reclassified from accumulated other comprehensive income, net of tax	0	8
Other comprehensive income	0	(33)
Balance as of end of period	0	(33)
Tax on other comprehensive income (loss) before reclassifications	0	(23)
Tax on amounts reclassified from accumulated other comprehensive income	0	4
Tax on net current-period other comprehensive income (loss)	0	(19)
Postemployment Benefit Obligation
Increase (Decrease) in Accumulated Other Comprehensive Income [Roll Forward]
Balance as of beginning of period	(19,353)	(15,779)
Other comprehensive income (loss), before reclassifications, net of tax	0	0
Amounts reclassified from accumulated other comprehensive income, net of tax	317	256
Other comprehensive income	317	256
Balance as of end of period	(19,036)	(15,523)
Tax on other comprehensive income (loss) before reclassifications	0	0
Tax on amounts reclassified from accumulated other comprehensive income	217	174
Tax on net current-period other comprehensive income (loss)	217	174
Total
Increase (Decrease) in Accumulated Other Comprehensive Income [Roll Forward]
Balance as of beginning of period	(15,155)	(9,394)
Other comprehensive income (loss), before reclassifications, net of tax	7,042	3,660
Amounts reclassified from accumulated other comprehensive income, net of tax	(1,210)	264
Other comprehensive income	5,832	3,924
Balance as of end of period	(9,323)	(5,470)
Tax on other comprehensive income (loss) before reclassifications	4,840	2,591
Tax on amounts reclassified from accumulated other comprehensive income	(837)	178
Tax on net current-period other comprehensive income (loss)	$ 4,003	$ 2,769

DEBT - CREDIT FACILITIES (Detai

DEBT - CREDIT FACILITIES (Details) - USD ($)	Dec. 31, 2016	Sep. 30, 2016
NJR | Letter of Credit
Line of Credit Facility [Line Items]
Letters of credit outstanding, amount	$ 14,400,000	$ 14,400,000
NJR | Notes
Line of Credit Facility [Line Items]
Amount outstanding at end of period	$ 284,600,000	$ 121,700,000
Weighted average interest rate at end of period	1.54%	1.43%
Amount available at end of period	$ 126,010,000	$ 288,910,000
NJR | Revolving Credit Facility | Committed Credit Facilities Due September 2020
Line of Credit Facility [Line Items]
Bank revolving credit facilities	425,000,000	425,000,000
NJNG | Commercial Paper
Line of Credit Facility [Line Items]
Amount outstanding at end of period	$ 0	$ 0
Weighted average interest rate at end of period	0.00%	0.00%
Amount available at end of period	$ 249,269,000	$ 249,269,000
NJNG | Letter of Credit
Line of Credit Facility [Line Items]
Letters of credit outstanding, amount	731,000	731,000
NJNG | Revolving Credit Facility | Committed Credit Facilities Due May 2019
Line of Credit Facility [Line Items]
Bank revolving credit facilities	$ 250,000,000	$ 250,000,000

DEBT - SCHEDULE OF LONG TERM DE

DEBT - SCHEDULE OF LONG TERM DEBT (Details) - USD ($) $ in Thousands	3 Months Ended
	Dec. 31, 2016	Dec. 31, 2015
Debt Instrument [Line Items]
Proceeds from sale-leaseback transaction	$ 9,587	$ 7,107
NJNG
Debt Instrument [Line Items]
Proceeds from sale-leaseback transaction	9,600	$ 7,100
Sale leaseback transaction, other payments required	1,000
Series II | NJNG | First Mortgage
Debt Instrument [Line Items]
Senior notes	$ 10,300
Interest rate, stated percentage	4.50%
Series JJ | NJNG | First Mortgage
Debt Instrument [Line Items]
Senior notes	$ 10,500
Interest rate, stated percentage	4.60%
Series KK | NJNG | First Mortgage
Debt Instrument [Line Items]
Senior notes	$ 15,000
Interest rate, stated percentage	4.90%

EMPLOYEE BENEFIT PLANS (Details

EMPLOYEE BENEFIT PLANS (Details) - USD ($)	3 Months Ended
	Dec. 31, 2016	Dec. 31, 2015
Components of net periodic cost
Discretionary contribution	$ 0	$ 30,000,000
Pension
Components of net periodic cost
Service cost	2,087,000	1,898,000
Interest cost	2,443,000	2,836,000
Expected return on plan assets	(4,828,000)	(5,029,000)
Recognized actuarial loss	2,207,000	1,820,000
Prior service cost amortization	27,000	28,000
Net periodic benefit cost	1,936,000	1,553,000
OPEB
Components of net periodic cost
Service cost	1,095,000	1,130,000
Interest cost	1,386,000	1,564,000
Expected return on plan assets	(1,192,000)	(1,211,000)
Recognized actuarial loss	1,093,000	819,000
Prior service cost amortization	(91,000)	(91,000)
Net periodic benefit cost	$ 2,291,000	$ 2,211,000

INCOME TAXES (Details)

INCOME TAXES (Details) - USD ($) $ in Thousands	3 Months Ended		12 Months Ended
	Dec. 31, 2016	Dec. 31, 2015	Sep. 30, 2017	Sep. 30, 2016
Operating Loss Carryforwards [Line Items]
Forecasted effective tax rate	8.70%	14.70%
Forecasted tax credits, net of deferred tax				$ 26,800
Excess tax benefits associated with vesting of share-based awards	$ 1,200	$ 1,600
Actual effective tax rate since tax effects of awards are treated as discrete item	5.50%	11.80%
Deferred tax assets, federal	$ 27,500			27,500
Deferred tax asset, state	19,000			$ 18,200
ITC carryforward, expiration period				20 years
Federal
Operating Loss Carryforwards [Line Items]
Net operating loss carryforwards	78,700			$ 78,700
State
Operating Loss Carryforwards [Line Items]
Net operating loss carryforwards	323,900			310,600
Valuation allowance	108			262
ITC carryforward	$ 79,100			$ 74,000
Scenario, Forecast
Operating Loss Carryforwards [Line Items]
Forecasted tax credits, net of deferred tax			$ 34,100

COMMITMENTS AND CONTINGENT LI62

COMMITMENTS AND CONTINGENT LIABILITIES - SCHEDULE OF FUTURE COMMITTED EXPENSES (Details) $ in Thousands	3 Months Ended
	Dec. 31, 2016USD ($)
Long-term Purchase Commitment [Line Items]
Current charges recoverable through BGSS	$ 60,900
Natural Gas Purchases and Future Demand Fees, Next Five Fiscal Years
2,017	457,957
2,018	270,387
2,019	182,326
2,020	115,979
2,021	103,644
Thereafter	748,264
NJRES
Natural Gas Purchases and Future Demand Fees, Next Five Fiscal Years
2,017	321,348
2,018	149,179
2,019	70,556
2,020	12,179
2,021	8,326
Thereafter	5,150
NJRES | Natural gas purchases
Natural Gas Purchases and Future Demand Fees, Next Five Fiscal Years
2,017	239,269
2,018	101,247
2,019	51,731
2,020	0
2,021	0
Thereafter	0
NJRES | Storage demand fees
Natural Gas Purchases and Future Demand Fees, Next Five Fiscal Years
2,017	25,935
2,018	19,079
2,019	12,064
2,020	9,248
2,021	5,914
Thereafter	3,734
NJRES | Pipeline demand fees
Natural Gas Purchases and Future Demand Fees, Next Five Fiscal Years
2,017	56,144
2,018	28,853
2,019	6,761
2,020	2,931
2,021	2,412
Thereafter	$ 1,416
NJRES | Minimum
Long-term Purchase Commitment [Line Items]
Storage and pipeline capacity, contract term	1 year
NJRES | Maximum
Long-term Purchase Commitment [Line Items]
Storage and pipeline capacity, contract term	10 years
NJNG
Natural Gas Purchases and Future Demand Fees, Next Five Fiscal Years
2,017	$ 136,609
2,018	121,208
2,019	111,770
2,020	103,800
2,021	95,318
Thereafter	743,114
NJNG | Natural gas purchases
Natural Gas Purchases and Future Demand Fees, Next Five Fiscal Years
2,017	75,679
2,018	4,511
2,019	0
2,020	0
2,021	0
Thereafter	0
NJNG | Storage demand fees
Natural Gas Purchases and Future Demand Fees, Next Five Fiscal Years
2,017	21,865
2,018	25,766
2,019	19,864
2,020	12,802
2,021	7,023
Thereafter	10,535
NJNG | Pipeline demand fees
Natural Gas Purchases and Future Demand Fees, Next Five Fiscal Years
2,017	39,065
2,018	90,931
2,019	91,906
2,020	90,998
2,021	88,295
Thereafter	$ 732,579

COMMITMENTS AND CONTINGENT LI63

COMMITMENTS AND CONTINGENT LIABILITIES - LEGAL PROCEEDINGS (Details)	Jun. 29, 2016USD ($)	Dec. 31, 2016USD ($)site	Sep. 30, 2016USD ($)
Site Contingency [Line Items]
Number of MGP sites | site		5
Recovery of expenditures, including carrying costs, rolling period approved by the BPU		7 years
Regulatory assets		$ 408,481,000	$ 441,294,000
Manufactured gas plant remediation		168,506,000	172,000,000
Minimum
Site Contingency [Line Items]
Litigation settlement, gross		143,900,000
Loss contingency, estimate of possible loss		600,000
Maximum
Site Contingency [Line Items]
Litigation settlement, gross		231,600,000
Loss contingency, estimate of possible loss		3,200,000
Expended, net of recoveries
Site Contingency [Line Items]
Regulatory assets		20,025,000	19,595,000
Liability for future expenditures
Site Contingency [Line Items]
Regulatory assets		$ 168,506,000	$ 172,000,000
SBC | December 2015 SBC Filing
Site Contingency [Line Items]
Public utilities, approved rate, amount	$ 9,400,000

BUSINESS SEGMENT AND OTHER OP64

BUSINESS SEGMENT AND OTHER OPERATIONS DATA - RECONCILIATION OF SEGMENT INCOME TO CONSOLIDATED (Details) - USD ($) $ in Thousands	3 Months Ended
	Dec. 31, 2016	Dec. 31, 2015
Segment Reporting Information [Line Items]
Utility	$ 185,556	$ 151,606
Nonutility	355,472	292,652
Total operating revenues	541,028	444,258
Depreciation and amortization	19,260	16,482
Interest income	75	70
Interest expense, net of capitalized interest	10,615	6,777
Income tax provision (benefit)	2,018	6,722
Equity in earnings of affiliates	2,311	2,406
Net financial earnings	40,383	51,267
Capital expenditures	85,811	94,843
Investments in equity investees	$ 4,636	$ 2,846
Canada
Segment Reporting Information [Line Items]
Percentage to total operating revenues	1.90%	3.50%
Operating Segments
Segment Reporting Information [Line Items]
Total operating revenues	$ 530,304	$ 438,093
Depreciation and amortization	19,088	16,372
Interest income	537	404
Interest expense, net of capitalized interest	10,775	6,891
Income tax provision (benefit)	1,473	8,318
Net financial earnings	39,064	51,226
Capital expenditures	85,640	94,046
Operating Segments | Natural Gas Distribution
Segment Reporting Information [Line Items]
Utility	185,556	151,606
Depreciation and amortization	12,030	11,238
Interest income	75	68
Interest expense, net of capitalized interest	6,824	4,588
Income tax provision (benefit)	14,887	13,507
Net financial earnings	30,348	30,926
Capital expenditures	38,855	49,040
Operating Segments | Clean Energy Ventures
Segment Reporting Information [Line Items]
Nonutility	7,567	7,794
Depreciation and amortization	7,041	5,110
Interest expense, net of capitalized interest	3,324	2,053
Income tax provision (benefit)	(11,887)	(11,734)
Net financial earnings	2,842	7,652
Capital expenditures	46,785	45,006
Operating Segments | Energy Services
Segment Reporting Information [Line Items]
Nonutility	338,930	276,182
Depreciation and amortization	16	23
Interest income	0	72
Interest expense, net of capitalized interest	571	208
Income tax provision (benefit)	(3,176)	4,905
Net financial earnings	3,487	10,304
Operating Segments | Midstream
Segment Reporting Information [Line Items]
Depreciation and amortization	1	1
Interest income	462	264
Interest expense, net of capitalized interest	56	42
Income tax provision (benefit)	1,649	1,640
Equity in earnings of affiliates	3,331	3,545
Net financial earnings	2,387	2,344
Investments in equity investees	4,636	2,846
Intercompany
Segment Reporting Information [Line Items]
Nonutility	1,031	897
Intercompany | Energy Services
Segment Reporting Information [Line Items]
Nonutility	(1,749)	2,511
Home Services and Other
Segment Reporting Information [Line Items]
Nonutility	8,975	8,676
Depreciation and amortization	221	227
Interest income	121	37
Interest expense, net of capitalized interest	74	0
Income tax provision (benefit)	(245)	(1,130)
Net financial earnings	1,542	259
Capital expenditures	171	797
Eliminations
Segment Reporting Information [Line Items]
Nonutility	718	(3,408)
Depreciation and amortization	(49)	(117)
Interest income	(583)	(371)
Interest expense, net of capitalized interest	(234)	(114)
Income tax provision (benefit)	790	(466)
Equity in earnings of affiliates	(1,020)	(1,139)
Net financial earnings	$ (223)	$ (218)

BUSINESS SEGMENT AND OTHER OP65

BUSINESS SEGMENT AND OTHER OPERATIONS DATA - NET FINANCIAL EARNINGS (LOSS) RECONCILIATION (Details) - USD ($) $ in Thousands	3 Months Ended
	Dec. 31, 2016	Dec. 31, 2015
Segment Reporting [Abstract]
Net financial earnings	$ 40,383	$ 51,267
Less:
Unrealized loss (gain) on derivative instruments and related transactions	28,302	(1,135)
Tax effect	(9,757)	413
Effects of economic hedging related to natural gas inventory	(17,939)	3,813
Tax effect	6,204	(1,385)
Net income to NFE tax adjustment	(1,356)	(721)
NET INCOME	$ 34,929	$ 50,282

BUSINESS SEGMENT AND OTHER OP66

BUSINESS SEGMENT AND OTHER OPERATIONS DATA - RECONCILIATION OF SEGMENT ASSETS TO CONSOLIDATED (Details) - USD ($) $ in Thousands	Dec. 31, 2016	Sep. 30, 2016
Segment Reporting, Asset Reconciling Item [Line Items]
Total assets	$ 3,949,506	$ 3,718,570
Operating Segments
Segment Reporting, Asset Reconciling Item [Line Items]
Total assets	3,904,316	3,696,982
Operating Segments | Natural Gas Distribution
Segment Reporting, Asset Reconciling Item [Line Items]
Total assets	2,554,928	2,517,401
Operating Segments | Energy Services
Segment Reporting, Asset Reconciling Item [Line Items]
Total assets	470,282	327,626
Operating Segments | Clean Energy Ventures
Segment Reporting, Asset Reconciling Item [Line Items]
Total assets	677,978	665,696
Operating Segments | Midstream
Segment Reporting, Asset Reconciling Item [Line Items]
Total assets	201,128	186,259
Home Services and Other
Segment Reporting, Asset Reconciling Item [Line Items]
Total assets	132,427	109,487
Intercompany Assets
Segment Reporting, Asset Reconciling Item [Line Items]
Total assets	$ (87,237)	$ (87,899)

RELATED PARTY TRANSACTIONS (Det

RELATED PARTY TRANSACTIONS (Details) $ in Thousands	Apr. 01, 2010USD ($)Bcf	Dec. 31, 2016USD ($)Bcf / dcontract	Dec. 31, 2015USD ($)	Sep. 30, 2016USD ($)
Related Party Transaction [Line Items]
Demand fees expense recognized pertaining to related party agreement		$ 2,111	$ 2,074
Demand fees payable		$ 1,155		$ 1,150
Number of asset management agreements | contract		3
NJNG to NJRES Affilate
Related Party Transaction [Line Items]
Asset management agreement, period	10 years
NJNG to Steckman RIdge Affiliate
Related Party Transaction [Line Items]
Natural gas sold at cost under asset management agreement (in Bcf) | Bcf	3
Approximate annual demand fees under agreement	$ 9,300
Demand fees expense recognized pertaining to related party agreement		$ 1,410	1,389
Demand fees payable		778		775
NJRES to Steckman Ridge Affiliate
Related Party Transaction [Line Items]
Demand fees expense recognized pertaining to related party agreement		701	$ 685
Demand fees payable		$ 377		$ 375
NJNG to PennEast Affiliate
Related Party Transaction [Line Items]
Transportation precedent agreement, period		15 years
Transportation capacity under precedent agreement from NJNG with PennEast (in bcf per day) | Bcf / d		0.18