DL&W (NJT) Lines in NJ ?

You are correct.  EL did reroute traffic away from the dlw lines and onto the Erie ones, which had a largely river level profile to Binghamton.  However, the dlw route did have it's advantages, being shorter and better engineered and eventually the el shifted freight back onto the dlw route.  Unfortunately this was only after the dlw boonton line had been severed and rerouted over the former Erie greenwood lake line, which was a horribly engineered line.  This didn't work out very well for the el, although it did provide some amusing stories of freight trains getting pulled or shoved up the hill at great notch by commuter trains.  Conrail largely shifted traffic back to the Erie and then eventually off of the el routes altogether.

I may be mistaken but I believe that NS still runs a nightly local on the Boonton line.

 

Poppyl

During the '60s we got one freight on the M&E per week.  This was CS9, early Sunday AM.

There was more prior to EL, but I can't tell you exactly how much.