ACUA Landfill Expansion Leads to More Green Power; Signs Agreement with AC Landfill Energy for Additional Generators.

FOLSOM, N.J. -- It's been said that one man's trash is another man's treasure. In the case of the Atlantic County Utility Authority (ACUA), that treasure is taking the form of green energy.

In August 2004, the ACUA Board of Directors signed an agreement with AC Landfill Energy LLC to develop and install a 1,600-kilowatt methane-to-electric power generation system at its landfill in Egg Harbor Township. Now, 16 months later, the Board has agreed to allow AC Landfill Energy to construct two additional generators to take advantage of the increasing size of the landfill.

"We expect a 1.9 megawatt generator to be fully operational and converting the methane into usable energy by August 2006 followed by a second 1.9 megawatt unit being installed sometime late in 2007," said South Jersey Industries vice president Al Ruggiero.

Rick Dovey, ACUA president, explained, "Since landfill gas occurs naturally, by collecting and converting it to energy, we're putting to use a fuel source that would otherwise be wasted. Landfill gas energy projects like this one can generate electricity over 90 percent of the time, 24 hours a day, 7 days a week. The entire ACUA Environmental Park is powered by landfill gas and the excess energy is sold to the PJM grid."

AC Landfill Energy LLC is a joint venture of DCO Energy and Marina Energy, whose parent company is South Jersey Industries. DCO Energy and Marina Energy recently collaborated on the development and construction of the energy plant that serves the Borgata Hotel Casino and Spa in Atlantic City.

Jim Rutala, ACUA Vice President, noted that the expanded project will use between about 1,000 to 1,500 cubic feet per minute (CFM) of landfill gas which:

--Generates 42,000,000 kilowatt-hours per year, enough energy to power 3,434 homes for a year;

--Yields the same reduction in greenhouse gases as removing 39,632 cars from the road for a year; and

--Has the same greenhouse gas impact as planting 56,475 acres of trees.

--Saves 25,083 barrels of crude oil per year.

South Jersey Industries (NYSE:SJI) is an energy services holding for South Jersey Gas, South Jersey Energy, Marina Energy, LLC, South Jersey Energy Service Plus and South Jersey Resources Group. For more information about SJI and its subsidiaries please visit www.sjindustries.com.