Public Service Enterprise Group (NYSE: PEG) is a publicly traded, diversified energy holding company headquartered in Newark, New Jersey with total assets of approximately $50 billion as of December 31, 2020. PSEG's three operating subsidiaries are Public Service Electric & Gas (PSE&G), PSEG Power and PSEG Long Island. PSEG is a Fortune 500 company, included in the S&P 500 Index, and was named to the Dow Jones Sustainability Index -- North America for the 13th year in a row.
PSEG issues long-term debt at three entities, at the Parent level at PSEG and at the subsidiary level at PSE&G and PSEG Power. PSE&G provides electric transmission and electric and gas distribution service to 2.3 million electric and 1.9 million gas customers in a 2,600 square mile service territory in New Jersey, covering approximately 70% of the state's population. PSE&G's landmark Clean Energy Future (CEF) program invests in energy efficiency, smart meter installations and electric vehicle charging infrastructure that will enhance New Jersey’s environmental profile for years to come. In 2020, PSE&G was recognized as the most reliable electric utility in the Mid-Atlantic region for the 19th year in a row by ReliabilityOneTM. PSEG Power owns an 11 gigawatt fleet of efficient generating assets predominantly in the Northeast and Mid-Atlantic regions of the United States that are geographically well positioned and possess a low carbon footprint. We are currently evaluating strategic alternatives for our 467 MWDC Solar Source and over 6,750 MW Fossil portfolios, and we are on track to announce an outcome in the second half of 2021. PSEG Long Island operates the Long Island Power Authority's electric distribution system serving 1.1 million customers under a 12-year management contract that began in January 2014. PSEG's December 2020 announcement on Ørsted's Ocean Wind project to expand its zero-carbon fleet with contracted, renewable generation supports New Jersey’s goal of 100% clean energy by 2050.
The PSE&G $13 to $15 billion 5-year capital spending program includes nearly $2 billion of CEF investments, which help fuel a 6.5% to 8% Rate Base compound annual growth rate. At PSEG Power, over 70% of 2021 gross margin is secured via energy hedges, capacity revenues, Zero Emission Certificates and ancillary service payments.
Operational excellence is producing the financial strength that allows us to invest in a disciplined way for growth through PSEG's robust 5-year, $14 to $16 billion capital spending forecast (2021 to 2025). We expect that our strong cash flow will enable us to fund our entire 5-year capital spending program – as well as our planned offshore wind investments during the 2021-2025 period – without the need to issue new equity. We increased our 2021 indicative annual dividend by $0.08 to $2.04 per share, which marks our 17th increase in the last 18 years, and PSEG's 114th consecutive year of paying a dividend to our shareholders, and reflects our ongoing commitment to returning capital to our shareholders to enhance our total return profile as we also pursue growth.
PSEG continues its leadership in sustainability and its favorable environmental, social and governance (ESG) profile. We issued our inaugural Climate Report in 2020, following the Task Force on Climate-related Financial Disclosures (TCFD) framework, and our first ESG Performance Report in January 2021. To learn more and view all of our current ESG reports, visit ESG Disclosures.