Longtime Public Service Enterprise Group Chairman, President and CEO Ralph Izzo will retire at the end of the year.
Chief Operating Officer Ralph LaRossa will take on the roles of president and CEO on Sept. 1, with Izzo serving as executive chair until his retirement Dec. 31.
On Jan. 1, LaRossa will also take on the role of chair.
“It cannot be overstated how significant an impact Ralph Izzo has had on PSEG over the past 15 years as CEO,” said Shirley Ann Jackson, PSEG’s retiring lead director. “Ralph is a visionary leader, whose passion for clean energy has been the driving force of his career, shaping PSEG’s purpose, culture and transformation. He is a highly respected and influential clean energy voice here in New Jersey and globally. All of this, coupled with his relentless focus on customers, communities and a commitment to building a strong, diverse talent pipeline have strengthened the company and positioned PSEG well for the future.”
Izzo joined the company 30 years ago because he “saw the possibilities to shape a future where customers use less energy, the energy they use is cleaner than ever before, and delivered with reliability unsurpassed in our history while adding shareholder value,” Izzo said.
“Our focus as a company has evolved from delivering electricity and gas to enhancing lives and communities. As corporate citizens, we have a responsibility and obligation to stand up for the equitable treatment of our employees, our customers, and the many diverse communities we serve. Throughout my career, I have endeavored to put the company, our communities and the planet on a sustainable path,” he said. “I am proud of the accomplishments our 12,500 strong workforce has made.”
This year, the 119-year-old company is making historic infrastructure, clean energy and workforce training investments pioneered by Izzo as part of PSEG’s sustainable business strategy. Under Izzo, PSEG has invested billions of dollars to strengthen New Jersey’s infrastructure, from upgrading the electric transmission system to modernizing substations and replacing aging pipes. He helped secure the $1 billion award to PSEG for energy efficiency programs to help customers cut household energy use, which, according to the company, has lead to meaningful improvements in air quality while also saving customers $1 billion on their utility bills and creating 4,300 direct and indirect jobs.
Under Izzo, PSEG also reduced carbon emissions from power generation 98% since 2005, by maintaining the company’s nuclear units, investing in renewables, and exiting or retiring nearly 11,000 megawatts of fossil generation. He led the effort to set Net Zero 2050 goals—and then move up PSEG’s pledge from 2050 to 2030, becoming one of just a handful of energy companies to join the U.N.’s Race to Zero campaign.
Since Izzo took the helm in 2006, PSEG shareholders investing $100 would have realized a total shareholder return resulting in $328 today, an annualized growth rate of close to 10%.
To succeed Izzo, the board of directors unanimously supports LaRossa.
“Ralph LaRossa’s track record showcases his talent in developing and executing business strategy, identifying and leading the implementation of investment priorities across the enterprise, as well as his deep commitment to employees and workforce development,” said Susan Tomasky, who will succeed Jackson as lead director. “I look forward to his leadership and continuing to work with him in the future in this new role.”
LaRossa has also been at PSEG for more than three decades, during which time he held leadership roles overseeing all of the operating businesses of PSEG including Public Service Electric & Gas (PSE&G), PSEG Power, PSEG Long Island, and PSEG Services Corp. functions including information technology, and cyber and physical security.
In his most recent role as COO, LaRossa led the company’s business continuity and response to COVID-19, ranging from protecting the health and safety of employees and customers, to maintaining safe and reliable operations, to achieving financial and operational plans. He also led the recent divestiture of PSEG’s Solar Source and Fossil businesses as well as the development and execution of the offshore wind growth strategy.
“I am honored and humbled by the confidence that the board and Ralph Izzo have placed in me,” LaRossa said in a prepared statement. “My goal is to carry on the vision and strategy that Ralph Izzo has built with our leadership team. With a focus on developing our workforce of the future, I look forward to powering progress for all of the diverse stakeholders and communities we serve.”