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REVENUE
 3 Months Ended
Dec. 31, 2021
Revenue from Contract with Customer [Abstract]  
REVENUE
3. REVENUE

Revenue is recognized when a performance obligation is satisfied by transferring control of a product or service to a customer. Revenue is measured based on consideration specified in a contract with a customer using the output method of progress. The Company elected to apply the invoice practical expedient for recognizing revenue, whereby the amounts invoiced to customers represent the value to the customer and the Company’s performance completion as of the invoice date. Therefore, the Company does not disclose related unsatisfied performance obligations. The Company also elected the practical expedient to exclude from the transaction price all sales taxes that are assessed by a governmental authority and therefore presents sales tax net in operating revenues on the Unaudited Condensed Consolidated Statements of Operations.
Below is a listing of performance obligations that arise from contracts with customers, along with details on the satisfaction of each performance obligation, the significant payment terms and the nature of the goods and services being transferred, by reporting segment and other business operations:
Revenue Recognized Over Time:
SegmentPerformance ObligationDescription
Natural Gas DistributionNatural gas utility salesNJNG's performance obligation is to provide natural gas to residential, commercial and industrial customers as demanded, based on regulated tariff rates, which are established by the BPU. Revenues from the sale of natural gas are recognized in the period that natural gas is delivered and consumed by customers, including an estimate for quantities consumed but not billed during the period. Payment is due each month for the previous month's deliveries. Natural gas sales to individual customers are based on meter readings, which are performed on a systematic basis throughout the billing period. The unbilled revenue estimates are based on estimated customer usage by customer type, weather effects and the most current tariff rates. NJNG is entitled to be compensated for performance completed until service is terminated.

Customers may elect to purchase the natural gas commodity from NJNG or may contract separately to purchase natural gas directly from third-party suppliers. As NJNG is acting as an agent on behalf of the third-party supplier, revenue is recorded for the delivery of natural gas to the customer.
Clean Energy VenturesCommercial solar electricity
Clean Energy Ventures operates wholly-owned solar projects that recognize revenue as electricity is generated and transferred to the customer. The performance obligation is to provide electricity to the customer in accordance with contract terms or the interconnection agreement and is satisfied upon transfer of electricity generated.

Revenue is recognized as invoiced and the payment is due each month for the previous month's services.
Clean Energy VenturesResidential solar electricity
Clean Energy Ventures provides access to residential rooftop and ground-mount solar equipment to customers who then pay the Company a monthly fee. The performance obligation is to provide electricity to the customer based on generation from the underlying residential solar asset and is satisfied upon transfer of electricity generated.

Revenue is derived from the contract terms and is recognized as invoiced, with the payment due each month for the previous month's services.
Clean Energy VenturesTransition renewable energy certificates
Clean Energy Ventures generates TRECs, which are created for every MWh of electricity produced by a solar generator. The performance obligation of Clean Energy Ventures is to generate electricity and TRECs, which are purchased monthly by a REC Administrator.

Revenue is recognized upon generation.
Energy ServicesNatural gas services
The performance obligation of Energy Services is to provide the customer transportation, storage and asset management services on an as-needed basis. Energy Services generates revenue through management fees, demand charges, reservation fees and transportation charges centered around the buying and selling of the natural gas commodity, representing one series of distinct performance obligations.

Revenue is recognized based upon the underlying natural gas quantities physically delivered and the customer obtaining control. Energy Services invoices customers in line with the terms of the contract and based on the services provided. Payment is due upon receipt of the invoice. For temporary releases of pipeline capacity, revenue is recognized on a straight-line basis over the agreed upon term.
Storage and Transportation
Natural gas services
The performance obligation of the Storage and Transportation segment is to provide the customer with storage and transportation services. The Storage and Transportation segment generates revenues from firm storage contracts and transportation contracts, injection and withdrawal at the storage facility and the delivery of natural gas to customers. Revenue is recognized over time as customers receive the benefits of its service as it is performed on their behalf using an output method based on actual deliveries.

Demand fees are recognized as revenue over the term of the related agreement.
Home Services and OtherService contractsHome Services enters into service contracts with homeowners to provide maintenance and replacement services of applicable heating, cooling or ventilation equipment. All services provided relate to a distinct performance obligation which is to provide services for the specific equipment over the term of the contract.

Revenue is recognized on a straight-line basis over the term of the contract and payment is due upon receipt of the invoice.
Revenue Recognized at a Point in Time:
Energy ServicesNatural gas services
For a permanent release of pipeline capacity, the performance obligation of NJRES is the release of the pipeline capacity associated with certain natural gas transportation contracts and the transfer of the underlying contractual rights to the counterparty.

Revenue is recognized upon the transfer of the underlying contractual rights.
Storage and Transportation
Natural gas services
The performance obligation of the Storage and Transportation segment is to provide the customer with storage and transportation services. The Storage and Transportation segment generates revenues from usage fees and hub services for the use of storage space, injection and withdrawal from the storage facility. Hub services include park and loan transactions and wheeling.

Usage fees and hub services revenues are recognized as services are performed.
Home Services and OtherInstallationsHome Services installs appliances, including but not limited to, furnaces, air conditioning units, boilers and generators to customers. The distinct performance obligation is the installation of the contracted appliance, which is satisfied at the point in time the item is installed.

The transaction price for each installation differs accordingly. Revenue is recognized at a point in time upon completion of the installation, which is when the customer is billed.
Disaggregated revenues from contracts with customers by product line and by reporting segment and other business operations during the three months ended December 31, 2021 and 2020, are as follows:
(Thousands)Natural Gas DistributionClean Energy Ventures Energy ServicesStorage and TransportationHome Services
and Other		Total
2021
Natural gas utility sales (1)
$223,796 — — — — $223,796 
Natural gas services— — 27,879 12,143 — 40,022 
Service contracts— — — — 8,467 8,467 
Installations and maintenance— — — — 5,484 5,484 
Renewable energy certificates— 846 — — — 846 
Electricity sales— 6,470 — — — 6,470 
Eliminations (2
(337)— — (559)(99)(995)
Revenues from contracts with customers223,459 7,316 27,879 11,584 13,852 284,090 
Alternative revenue programs (3)
10,654 — — — — 10,654 
Derivative instruments40,322 2,867 (4)341,365 — — 384,554 
Eliminations (2)
— — (3,456)— — (3,456)
Revenues out of scope50,976 2,867 337,909 — — 391,752 
Total operating revenues$274,435 10,183 365,788 11,584 13,852 $675,842 
2020
Natural gas utility sales$189,364 — — — — $189,364 
Natural gas services— — 6,428 13,104 — 19,532 
Service contracts— — — — 8,259 8,259 
Installations and maintenance— — — — 4,318 4,318 
Renewable energy certificates— 690 — — — 690 
Electricity sales— 4,388 — — — 4,388 
Eliminations (1)
— — — (657)(167)(824)
Revenues from contracts with customers189,364 5,078 6,428 12,447 12,410 225,727 
Alternative revenue programs (3)
1,568 — — — — 1,568 
Derivative instruments4,797 1,292 (4)223,049 — — 229,138 
Eliminations (2)
— — (2,128)— — (2,128)
Revenues out of scope6,365 1,292 220,921 — — 228,578 
Total operating revenues$195,729 6,370 227,349 12,447 12,410 $454,305 
(1)Includes building rent related to the Wall headquarters, which is eliminated in consolidation.
(2)Consists of transactions between subsidiaries that are eliminated in consolidation.
(3)Includes CIP revenue.
(4)Includes SREC revenue.
Disaggregated revenues from contracts with customers by customer type and by reporting segment and other business operations during the three months ended December 31, 2021 and 2020, are as follows:
(Thousands)Natural Gas DistributionClean Energy VenturesEnergy ServicesStorage and TransportationHome Services
and Other		Total
2021
Residential$151,308 2,972 — — 13,775 $168,055 
Commercial and industrial47,184 4,344 27,879 11,584 77 91,068 
Firm transportation22,675 — — — — 22,675 
Interruptible and off-tariff2,292 — — — — 2,292 
Revenues out of scope50,976 2,867 337,909 — — 391,752 
Total operating revenues$274,435 10,183 365,788 11,584 13,852 $675,842 
2020
Residential$137,224 2,722 — — 12,204 $152,150 
Commercial and industrial29,229 2,356 6,428 12,447 206 50,666 
Firm transportation21,104 — — — — 21,104 
Interruptible and off-tariff1,807 — — — — 1,807 
Revenues out of scope6,365 1,292 220,921 — — 228,578 
Total operating revenues$195,729 6,370 227,349 12,447 12,410 $454,305 

Customer Accounts Receivable/Credit Balances and Deposits

The timing of revenue recognition, customer billings and cash collections resulting in accounts receivables, billed and unbilled, and customers’ credit balances and deposits on the Unaudited Condensed Consolidated Balance Sheets during the three months ended December 31, 2021 and 2020, are as follows:
Customer Accounts ReceivableCustomers' Credit
(Thousands)BilledUnbilledBalances and Deposits
Balance as of September 30, 2021$212,838 $10,351 $32,586 
Increase53,977 62,598 6,080 
Balance as of December 31, 2021$266,815 $72,949 $38,666 
Balance as of September 30, 2020$134,173 $9,226 $25,934 
Increase63,468 44,568 7,014 
Balance as of December 31, 2020$197,641 $53,794 $32,948 

The following table provides information about receivables, which are included within accounts receivable, billed and unbilled, and customers’ credit balances and deposits, respectively, on the Unaudited Condensed Consolidated Balance Sheets as of December 31, 2021 and September 30, 2021:
(Thousands)Natural Gas DistributionClean Energy Ventures Energy ServicesStorage and TransportationHome Services
and Other		Total
December 31, 2021
Customer accounts receivable
Billed$102,890 4,608 153,014 4,339 1,964 $266,815 
Unbilled71,542 1,407 — — — 72,949 
Customers' credit balances and deposits(38,666)— — — — (38,666)
Total$135,766 6,015 153,014 4,339 1,964 $301,098 
September 30, 2021
Customer accounts receivable
Billed$54,514 5,534 147,087 3,956 1,747 $212,838 
Unbilled8,427 1,924 — — — 10,351 
Customers' credit balances and deposits(32,586)— — — — (32,586)
Total$30,355 7,458 147,087 3,956 1,747 $190,603