Air travel began returning to normal and Philadelphia International Arport reported it had returned to full operations by late morning.
The Trenton railroad station was flooded after the nearby Assunpink Creek rose to record levels and overflowed its banks, sending a torrent of water flowing through residential streets to the Delaware River.
SEPTA buses, trains and trolleys are operating, but service was suspended on the Cynwyd, Paoli/Thorndale, and Trenton lines because of residual storm-related problems.
N.J. Transit rail service remains suspended until further notice, except on the Atlantic City Rail Line, and bus and light rail lines are running on a modified schedule, the agency says.
Amtrak says its trains are operating between Philadelphia and Washington but not between Philadelphia and Boston.
PECO says 225,000 of its customers are without power following what was one of the worst storms for the utility on record.
PSEG in New Jersey reported that as of noon 265,000 customers remained without power this morning while Atlantic City Electric put its number at 54,000.
Cathy Engel Menendez, a PECO spokeswoman, said utility crews earlier restored power to 300,000 customers.
She said PECO plans to get 90 percent of those still without electricity back on line by Wednesday night with the remaining 10 percent should have their power restored before the weekend.
Engel Mendez said actual numbers are still being tallied, but noted that the worst tropical cyclone for the utility was Hurricane Isabel, which left 517,343 customers without power in September 2003.
Irene was No. 2 overall to the worst event, an ice storm that knocked out electricity to 520,016 customers in January, 1994