WALL, N.J. - Public Service Electric and Gas residential customers will soon see their heating bills go down by about 5 percent.

The utility announced the cut yesterday, citing decreases in the wholesale cost of natural gas.

The lower rates, which take effect Jan. 1, mean a residential customer who uses 100 therms in a winter month will pay $158.74 per month, a savings of $8.22.

PSE&G serves 1.7 million natural gas customers in northern and central New Jersey.