Fair Value Measurements (Tables)

9 Months Ended

Sep. 30, 2020

Fair value, assets and liabilities measured on a recurring basis [Table Text Block]

The following tables present information about the Registrants’ assets and liabilities (including derivatives that are presented net) measured at fair value on a recurring basis as of September 30, 2020 and December 31, 2019 and indicate the fair value hierarchy of the valuation techniques utilized by the Registrants to determine such fair value.

CenterPoint Energy


	September 30, 2020						December 31, 2019
	Level 1		Level 2		Level 3		Total		Level 1		Level 2		Level 3		Total
Assets	(in millions)
Corporate equities	$	838	$	—	$	—	$	838	$	825	$	—	$	—	$	825
Investments, including money market funds (1)	44		—		—		44		49		—		—		49





Total assets	$	882	$	—	$	—	$	882	$	874	$	—	$	—	$	874
Liabilities
Indexed debt securities derivative	$	—	$	918	$	—	$	918	$	—	$	893	$	—	$	893
Interest rate derivatives	—		24		—		24		—		10		—		10
Natural gas derivatives	—		7		—		7		—		22		—		22



Total liabilities	$	—	$	949	$	—	$	949	$	—	$	925	$	—	$	925

Houston Electric


	September 30, 2020						December 31, 2019
	Level 1		Level 2		Level 3		Total		Level 1		Level 2		Level 3		Total
Assets	(in millions)
Investments, including money market funds (1)	$	27	$	—	$	—	$	27	$	32	$	—	$	—	$	32

Total assets	$	27	$	—	$	—	$	27	$	32	$	—	$	—	$	32

CERC


	September 30, 2020						December 31, 2019
	Level 1		Level 2		Level 3		Total		Level 1		Level 2		Level 3		Total
Assets	(in millions)
Corporate equities	$	2	$	—	$	—	$	2	$	2	$	—	$	—	$	2
Investments, including money market funds (1)	11		—		—		11		11		—		—		11
Total assets	$	13	$	—	$	—	$	13	$	13	$	—	$	—	$	13

(1)Amounts are included in Prepaid expenses and other current assets in the Condensed Consolidated Balance Sheets.

Estimated fair value of financial instruments, debt instruments [Table Text Block]

The fair values of cash and cash equivalents, investments in debt and equity securities classified as “trading” and short-term borrowings are estimated to be approximately equivalent to carrying amounts and have been excluded from the table below. The carrying amounts of non-trading derivative assets and liabilities and CenterPoint Energy’s ZENS indexed debt securities derivative are stated at fair value and are excluded from the table below. The fair value of each debt instrument is determined by multiplying the principal amount of each debt instrument by a combination of historical trading prices and comparable issue data. These liabilities, which are not measured at fair value in the Registrants’ Condensed Consolidated Balance Sheets, but for which the fair value is disclosed, would be classified as Level 2 in the fair value hierarchy.


	September 30, 2020				December 31, 2019
	Carrying Amount		Fair Value		Carrying Amount		Fair Value
	(in millions)
CenterPoint Energy
Long-term debt, including current maturities (1)	$	13,268	$	14,982	$	15,093	$	16,067
Houston Electric
Long-term debt, including current maturities (1)	$	5,089	$	5,968	$	4,950	$	5,457
CERC
Long-term debt, including current maturities	$	2,582	$	2,973	$	2,546	$	2,803

(1)Includes Securitization Bonds debt.