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Hedging Activities and Fair Value Measurements (Tables)
 12 Months Ended
Dec. 31, 2023
Hedging Activities and Fair Value Measurements [Abstract]  
Hedging Instruments Under the FASB's Derivative and Hedging Guidance
The following table summarizes our portfolio of commodity derivative instruments outstanding at December 31, 2023 (volume measures as noted):

 
Volume (1)
 
Accounting
Derivative Purpose
Current (2)
 
Long-Term (2)
 
Treatment
Derivatives designated as hedging instruments:
  
 
  
 
 
Natural gas processing:
          
Forecasted natural gas purchases for plant thermal reduction (Bcf)
7.1
  
n/a
  
Cash flow hedge
Forecasted sales of natural gas (Bcf)
36.5
  
n/a
  
Cash flow hedge
Forecasted sales of NGLs (MMBbls)
2.7
  
n/a
  
Cash flow hedge
Octane enhancement:
          
Forecasted sales of octane enhancement products (MMBbls)
4.9
  
0.4
  
Cash flow hedge
Natural gas marketing:
          
Natural gas storage inventory management activities (Bcf)
1.0
  
n/a
  
Fair value hedge
NGL marketing:
  
 
  
 
 
Forecasted purchases of NGLs and related hydrocarbon products (MMBbls)
71.5
 
3.1
 
Cash flow hedge
Forecasted sales of NGLs and related hydrocarbon products (MMBbls)
65.3
 
11.2
 
Cash flow hedge
Refined products marketing:
  
 
  
 
 
Forecasted purchases of refined products (MMBbls)
1.2
  
0.1
  
Cash flow hedge
Crude oil marketing:
  
 
  
 
 
Forecasted purchases of crude oil (MMBbls)
16.1
 
n/a
 
Cash flow hedge
Forecasted sales of crude oil (MMBbls)
25.2
 
n/a
 
Cash flow hedge
Petrochemical marketing:
          
Forecasted sales of petrochemical products (MMBbls)
0.1
  
n/a
  
Cash flow hedge
Commercial energy:
          
Forecasted purchases of power related to asset operations (terawatt hours (“TWh”))
1.4
  
1.5
  
Cash flow hedge
Derivatives not designated as hedging instruments:
  
 
  
 
 
Natural gas risk management activities (Bcf) (3)
19.1
 
n/a
 
Mark-to-market
NGL risk management activities (MMBbls) (3)
12.5
  
7.8
  
Mark-to-market
Refined products risk management activities (MMBbls) (3)
5.1
  
n/a
  
Mark-to-market
Crude oil risk management activities (MMBbls) (3)
102.5
 
25.2
 
Mark-to-market

(1)
Volume for derivatives designated as hedging instruments reflects the total amount of volumes hedged whereas volume for derivatives not designated as hedging instruments reflects the absolute value of derivative notional volumes.
(2)
The maximum term for derivatives designated as cash flow hedges, derivatives designated as fair value hedges and derivatives not designated as hedging instruments is December 2025, February 2024 and December 2025, respectively.
(3)
Reflects the use of derivative instruments to manage risks associated with our transportation, processing and storage assets.   
Derivative Assets and Liabilities Balance Sheet
The following table provides a balance sheet overview of our derivative assets and liabilities at the dates indicated:
Asset Derivatives
 
Liability Derivatives
 
December 31, 2023
 
December 31, 2022
 
December 31, 2023
 
December 31, 2022
 
Balance
Sheet
Location
Fair
Value
 
Balance
Sheet
Location
Fair
Value
 
Balance
Sheet
Location
Fair
Value
 
Balance
Sheet
Location
Fair
Value
Derivatives designated as hedging instruments
                              
Interest rate derivatives
Current
assets
$
–
  
Current
assets
$
26
  
Current
 liabilities
$
31
  
Current
 liabilities
$
–
Commodity derivatives
Current
assets
$
118
 
Current
assets
$
422
 
Current
liabilities
$
136
 
Current
liabilities
$
316
Commodity derivatives
Other assets
 
31
 
Other assets
 
43
 
Other liabilities
 
35
 
Other liabilities
 
58
Total commodity derivatives
    
149
      
465
      
171
      
374
Total derivatives designated as hedging instruments
  
$
149
    
$
491
    
$
202
    
$
374
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Derivatives not designated as hedging instruments
                              
Commodity derivatives
Current
assets
 $
229
 
Current
assets
$
21
 
Current
liabilities
$
229
 
Current
liabilities
$
38
Commodity derivatives
Other assets
 
72
 
Other assets
  
–
 
Other liabilities
  
71
 
Other liabilities
  
–
Total commodity derivatives
 
 
301
 
 
  
21
 
 
  
300
 
 
  
38
Total derivatives not designated as hedging instruments
  
$
301
    
$
21
    
$
300
    
$
38

Offsetting Financial Assets
Certain of our commodity derivative instruments are subject to master netting arrangements or similar agreements.  The following tables present our derivative instruments subject to such arrangements at the dates indicated:

 
Offsetting of Financial Assets and Derivative Assets
  
 
            
Gross Amounts Not Offset
in the Balance Sheet
      
 
Gross
Amounts of
Recognized
Assets
  
Gross
Amounts
Offset in the
Balance Sheet
  
Amounts
of Assets
Presented
in the
Balance Sheet
  
Financial
Instruments
    
Cash
Collateral
Received
    
Cash
Collateral
Paid
  
Amounts That
Would Have
Been Presented
On Net Basis
  
 
(i)
  
(ii)
  
(iii) = (i) – (ii)
  
(iv)
  
(v) = (iii) + (iv)
  
As of December 31, 2023:
                    
Commodity derivatives
  
$
450
    
$
–
    
$
450
    
$
(450
)
  
$
–
    
$
–
    
$
–
  
As of December 31, 2022:
                                                        
Interest rate derivatives
  
$
26
    
$
–
    
$
26
    
$
–
    
$
–
    
$
–
    
$
26
  
Commodity derivatives
    
486
      
–
      
486
      
(411
)
    
–
      
(74
)
    
1
  
Offsetting Financial Liabilities
Offsetting of Financial Liabilities and Derivative Liabilities
  
 
            
Gross Amounts Not Offset
in the Balance Sheet
      
 
Gross
Amounts of
Recognized
Liabilities
  
Gross
Amounts
Offset in the
Balance Sheet
  
Amounts
of Liabilities
Presented
in the
Balance Sheet
  
Financial
Instruments
  
Cash
Collateral
Received
  
Cash
Collateral
Paid
  
Amounts That
Would Have
Been Presented
On Net Basis
  
 
(i)
  
(ii)
  
(iii) = (i) – (ii)
  
(iv)
  
(v) = (iii) + (iv)
  
As of December 31, 2023:
                            
Interest rate derivatives
  
$
31
    
$
–
    
$
31
    
$
–
    
$
–
    
$
–
    
$
31
  
Commodity derivatives
    
471
      
–
      
471
      
(450
)
    
1
      
(21
)
    
1
  
As of December 31, 2022:
                                                        
Commodity derivatives
  
$
412
    
$
–
    
$
412
    
$
(411
)
  
$
–
    
$
–
    
$
1
  
Derivative Instruments Effects on Statements of Operations
The following tables present the effect of our derivative instruments designated as fair value hedges on our Statements of Consolidated Operations for the years indicated:

 Derivatives in Fair Value
Hedging Relationships
Location
  
Gain (Loss) Recognized in
Income on Derivative
  
 
  
  
For the Year Ended December 31,
  
 
 
  
2023
    
2022
    
2021
  
Commodity derivatives
Revenue
  
$
7
    
$
(103
)
  
$
(243
)
Total
 
  
$
7
    
$
(103
)
  
$
(243
)

 Derivatives in Fair Value
Hedging Relationships
Location
  
Gain (Loss) Recognized in
Income on Hedged Item
  
 
  
  
For the Year Ended December 31,
  
 
 
  
2023
    
2022
    
2021
  
Commodity derivatives
Revenue
  
$
(7
)
  
$
66
    
$
226
  
Total
 
  
$
(7
)
  
$
66
    
$
226
  
Derivative Instruments Effects on Statements of Comprehensive Income
The following tables present the effect of our derivative instruments designated as cash flow hedges on our Statements of Consolidated Operations and Statements of Consolidated Comprehensive Income for the years indicated:

Derivatives in Cash Flow
Hedging Relationships
Change in Value Recognized in
Other Comprehensive Income (Loss)
On Derivative
  
 
For the Year Ended December 31,
  
 
2023
  
2022
  
2021
  
Interest rate derivatives
  
$
(36
)
  
$
26
    
$
183
  
Commodity derivatives – Revenue (1)
    
81
      
227
      
(658
)
Commodity derivatives – Operating costs and expenses (1)
    
12
      
27
      
(20
)
Total
  
$
57
    
$
280
    
$
(495
)

(1)
The fair value of these derivative instruments will be reclassified to their respective locations on the Statement of Consolidated Operations when the forecasted transactions affect earnings.
Gain/(Loss) Reclassified from Accumulated Other Comprehensive Income/(Loss) to Income

 
Derivatives in Cash Flow
Hedging Relationships
Location
  
Gain (Loss) Reclassified from
Accumulated Other Comprehensive
Income (Loss) to Income
  
 
  
  
For the Year Ended December 31,
  
 
 
  
2023
    
2022
    
2021
  
Interest rate derivatives
Interest expense
  
$
5
    
$
(19
)
  
$
(38
)
Commodity derivatives
Revenue
    
106
      
181
      
(893
)
Commodity derivatives
Operating costs and expenses
    
4
      
39
      
(15
)
Total
 
  
$
115
    
$
201
    
$
(946
)
Gain/(Loss) Recognized in Income on Derivative
The following table presents the effect of our derivative instruments not designated as hedging instruments on our Statements of Consolidated Operations for the years indicated:

Derivatives Not Designated as
Hedging Instruments
Location
  
Gain (Loss) Recognized in
Income on Derivative
  
 
  
  
For the Year Ended December 31,
  
 
 
  
2023
    
2022
    
2021
  
Commodity derivatives
Revenue
  
$
213
    
$
74
    
$
150
  
Commodity derivatives
Operating costs and expenses
    
–
      
14
      
1
  
Total
 
  
$
213
    
$
88
    
$
151
  
Unrealized mark-to-market gains (losses)
In total and inclusive of both fair value hedges and derivatives not designated as hedging instruments, unrealized mark-to-market gains (losses) included in gross operating margin were as follows for the years indicated:

   
For the Year Ended December 31,
 
 
  
2023
    
2022
    
2021
  
Mark-to-market gains (losses) in gross operating margin:
                  
NGL Pipelines & Services
  
$
(25
)
  
$
(52
)
  
$
40
  
Crude Oil Pipelines & Services
    
(5
)
    
(30
)
    
(3
)
Natural Gas Pipelines & Services
    
(1
)
    
(3
)
    
(2
)
Petrochemical & Refined Products Services
    
(2
)
    
7
      
(8
)
     Total mark-to-market impact on gross operating margin
  
$
(33
)
  
$
(78
)
  
$
27
  
Fair Value Measurements of Financial Assets and Liabilities Measured on a Recurring Basis

 
  
At December 31, 2023
Fair Value Measurements Using
        
 
  
Quoted Prices
in Active
Markets for
Identical Assets
and Liabilities
(Level 1)
    
Significant
Other
Observable
Inputs
(Level 2)
    
Significant
Unobservable
Inputs
(Level 3)
    
Total
  
Financial assets:
                        
Commodity derivatives:
                        
   Value before application of CME Rule 814
  
$
431
    
$
297
    
$
–
    
$
728
  
   Impact of CME Rule 814
    
(147
)
    
(131
)
    
–
      
(278
)
   Total commodity derivatives
    
284
      
166
      
–
      
450
  
Total
  
$
284
    
$
166
    
$
–
    
$
450
  
 
                                
Financial liabilities:
                                
Interest rate derivatives:
  
$
–
    
$
31
    
$
–
    
$
31
  
Commodity derivatives:
                                
   Value before application of CME Rule 814
    
317
      
308
      
–
      
625
  
   Impact of CME Rule 814
    
(22
)
    
(132
)
    
–
      
(154
)
   Total commodity derivatives
    
295
      
176
      
–
      
471
  
Total
  
$
295
    
$
207
    
$
–
    
$
502
  

 
  
At December 31, 2022
Fair Value Measurements Using
        
 
  
Quoted Prices
in Active
Markets for
Identical Assets
and Liabilities
(Level 1)
    
Significant
Other
Observable
Inputs
(Level 2)
    
Significant
Unobservable
Inputs
(Level 3)
    
Total
  
Financial assets:
                        
Interest rate derivatives:
  
$
–
    
$
26
    
$
–
    
$
26
  
Commodity derivatives:
                                
   Value before application of CME Rule 814
    
166
      
1,170
      
–
      
1,336
  
   Impact of CME Rule 814
    
(161
)
    
(689
)
    
–
      
(850
)
   Total commodity derivatives
    
5
      
481
      
–
      
486
  
Total
  
$
5
    
$
507
    
$
–
    
$
512
  
 
                                
Financial liabilities:
                                
Commodity derivatives:
                                
   Value before application of CME Rule 814
  
$
95
    
$
1,118
    
$
–
    
$
1,213
  
   Impact of CME Rule 814
    
(90
)
    
(711
)
    
–
      
(801
)
   Total commodity derivatives
    
5
      
407
      
–
      
412
  
Total
  
$
5
    
$
407
    
$
–
    
$
412