<TABLE> <S> <C>


<ARTICLE> UT
<LEGEND>
This schedule  contains summary  financial  information  extracted from SEC Form
10-Q and is qualified in its entirety by reference to such financial statements.
</LEGEND>
<CIK> 0000081033
<NAME> PUBLIC SERVICE ELECTRIC AND GAS COMPANY
<MULTIPLIER>1000000
       
<S>                                         <C>
<PERIOD-TYPE>                               9-MOS
<FISCAL-YEAR-END>                                  DEC-31-1997
<PERIOD-START>                                     JAN-01-1998
<PERIOD-END>                                       SEP-30-1998
<BOOK-VALUE>                                          PER-BOOK
<TOTAL-NET-UTILITY-PLANT>                               10,873
<OTHER-PROPERTY-AND-INVEST>                                749
<TOTAL-CURRENT-ASSETS>                                   1,727
<TOTAL-DEFERRED-CHARGES>                                 1,574
<OTHER-ASSETS>                                               0
<TOTAL-ASSETS>                                          14,923
<COMMON>                                                 2,563
<CAPITAL-SURPLUS-PAID-IN>                                  594
<RETAINED-EARNINGS>                                      1,455
<TOTAL-COMMON-STOCKHOLDERS-EQ>                           4,612
<PREFERRED-MANDATORY>                                      588
<PREFERRED>                                                 95
<LONG-TERM-DEBT-NET>                                     4,044
<SHORT-TERM-NOTES>                                           0
<LONG-TERM-NOTES-PAYABLE>                                    0
<COMMERCIAL-PAPER-OBLIGATIONS>                           1,082
<LONG-TERM-DEBT-CURRENT-PORT>                              100
<PREFERRED-STOCK-CURRENT>                                    0
<CAPITAL-LEASE-OBLIGATIONS>                                 50
<LEASES-CURRENT>                                             0
<OTHER-ITEMS-CAPITAL-AND-LIAB>                           4,352
<TOT-CAPITALIZATION-AND-LIAB>                           14,923
<GROSS-OPERATING-REVENUE>                                4,193
<INCOME-TAX-EXPENSE>                                       357  <F1>
<OTHER-OPERATING-EXPENSES>                               3,052
<TOTAL-OPERATING-EXPENSES>                               3,403
<OPERATING-INCOME-LOSS>                                    790
<OTHER-INCOME-NET>                                           6
<INCOME-BEFORE-INTEREST-EXPEN>                             796
<TOTAL-INTEREST-EXPENSE>                                   309  <F2>
<NET-INCOME>                                               487
<PREFERRED-STOCK-DIVIDENDS>                                 40
<EARNINGS-AVAILABLE-FOR-COMM>                              480
<COMMON-STOCK-DIVIDENDS>                                   376
<TOTAL-INTEREST-ON-BONDS>                                  230
<CASH-FLOW-OPERATIONS>                                     968
<EPS-PRIMARY>                                                0
<EPS-DILUTED>                                                0
<FN>
<F1>State  Income  Taxes of $1 and Federal  Income  Taxes of $5 for Other Income
were  incorporated  into  this  line item for FDS  purposes.  In the  referenced
financial  statements,  Total Other Income and  Deductions  are net of the above
applicable  Federal and State income taxes. 
<F2>Total interest expense includes Preferred Securities Dividend  Requirements. 
</FN>
        

</TABLE>