Revenue

6 Months Ended

Jun. 30, 2021

Revenue from Contract with Customer [Abstract]

Revenue

REVENUE

Duke Energy earns substantially all of its revenues through its reportable segments, Electric Utilities and Infrastructure, Gas Utilities and Infrastructure and Commercial Renewables.

Electric Utilities and Infrastructure

Electric Utilities and Infrastructure earns the majority of its revenues through retail and wholesale electric service through the generation, transmission, distribution and sale of electricity. Duke Energy generally provides retail and wholesale electric service customers with their full electric load requirements or with supplemental load requirements when the customer has other sources of electricity.

The majority of wholesale revenues are full requirements contracts where the customers purchase the substantial majority of their energy needs and do not have a fixed quantity of contractually required energy or capacity. As such, related forecasted revenues are considered optional purchases. Supplemental requirements contracts that include contracted blocks of energy and capacity at contractually fixed prices have the following estimated remaining performance obligations:

	Remaining Performance Obligations
(in millions)	2021		2022		2023		2024		2025		Thereafter		Total
Progress Energy	$	49	$	107	$	44	$	45	$	7	$	51	$	303
Duke Energy Progress	4		8		8		8		—		—		28
Duke Energy Florida	45		99		36		37		7		51		275
Duke Energy Indiana	—		—		7		12		12		24		55

Revenues for block sales are recognized monthly as energy is delivered and stand-ready service is provided, consistent with invoiced amounts and unbilled estimates.

Gas Utilities and Infrastructure

Gas Utilities and Infrastructure earns its revenue through retail and wholesale natural gas service through the transportation, distribution and sale of natural gas. Duke Energy generally provides retail and wholesale natural gas service customers with all natural gas load requirements. Additionally, while natural gas can be stored, substantially all natural gas provided by Duke Energy is consumed by customers simultaneously with receipt of delivery.

Fixed-capacity payments under long-term contracts for the Gas Utilities and Infrastructure segment include minimum margin contracts and supply arrangements with municipalities and power generation facilities. Revenues for related sales are recognized monthly as natural gas is delivered and stand-ready service is provided, consistent with invoiced amounts and unbilled estimates. Estimated remaining performance obligations are as follows:

	Remaining Performance Obligations
(in millions)	2021		2022		2023		2024		2025		Thereafter		Total
Piedmont	$	34	$	67	$	64	$	61	$	60	$	336	$	622

Commercial Renewables

Commercial Renewables earns the majority of its revenues through long-term PPAs and generally sells all of its wind and solar facility output, electricity and Renewable Energy Certificates (RECs) to customers. The majority of these PPAs have historically been accounted for as leases. For PPAs that are not accounted for as leases, the delivery of electricity and the delivery of RECs are considered separate performance obligations.

Other

The remainder of Duke Energy’s operations is presented as Other, which does not include material revenues from contracts with customers.

Disaggregated Revenues

Disaggregated revenues are presented as follows:

	Three Months Ended June 30, 2021
			Duke				Duke		Duke		Duke		Duke
(in millions)	Duke		Energy		Progress		Energy		Energy		Energy		Energy
By market or type of customer	Energy		Carolinas		Energy		Progress		Florida		Ohio		Indiana		Piedmont
Electric Utilities and Infrastructure
Residential	$	2,336	$	683	$	1,216	$	478	$	738	$	171	$	265	$	—
General	1,513		498		720		330		390		106		190		—
Industrial	705		256		229		160		69		33		189		—
Wholesale	521		116		331		285		46		13		63		—
Other revenues	234		62		151		71		80		22		23		—
Total Electric Utilities and Infrastructure revenue from contracts with customers	$	5,309	$	1,615	$	2,647	$	1,324	$	1,323	$	345	$	730	$	—
Gas Utilities and Infrastructure
Residential	$	158	$	—	$	—	$	—	$	—	$	69	$	—	$	88
Commercial	91		—		—		—		—		27		—		59
Industrial	30		—		—		—		—		4		—		27
Power Generation	—		—		—		—		—		—		—		24
Other revenues	20		—		—		—		—		12		—		(1)
Total Gas Utilities and Infrastructure revenue from contracts with customers	$	299	$	—	$	—	$	—	$	—	$	112	$	—	$	197
Commercial Renewables
Revenue from contracts with customers	$	53	$	—	$	—	$	—	$	—	$	—	$	—	$	—
Other
Revenue from contracts with customers	$	6	$	—	$	—	$	—	$	—	$	—	$	—	$	—
Total revenue from contracts with customers	$	5,667	$	1,615	$	2,647	$	1,324	$	1,323	$	457	$	730	$	197
Other revenue sources(a)	$	91	$	(5)	$	32	$	25	$	2	$	(1)	$	5	$	18
Total revenues	$	5,758	$	1,610	$	2,679	$	1,349	$	1,325	$	456	$	735	$	215

(a)    Other revenue sources include revenues from leases, derivatives and alternative revenue programs that are not considered revenues from contracts with customers. Alternative revenue programs in certain jurisdictions include regulatory mechanisms that periodically adjust for over or under collection of related revenues.

	Three Months Ended June 30, 2020
			Duke				Duke		Duke		Duke		Duke
(in millions)	Duke		Energy		Progress		Energy		Energy		Energy		Energy
By market or type of customer	Energy		Carolinas		Energy		Progress		Florida		Ohio		Indiana		Piedmont
Electric Utilities and Infrastructure
Residential	$	2,249	$	677	$	1,173	$	460	$	713	$	169	$	231	$	—
General	1,379		507		611		298		313		103		161		—
Industrial	658		260		212		154		58		33		152		—
Wholesale	435		101		285		240		45		5		44		—
Other revenues	284		62		191		70		121		19		25		—
Total Electric Utilities and Infrastructure revenue from contracts with customers	$	5,005	$	1,607	$	2,472	$	1,222	$	1,250	$	329	$	613	$	—
Gas Utilities and Infrastructure
Residential	$	157	$	—	$	—	$	—	$	—	$	62	$	—	$	96
Commercial	75		—		—		—		—		23		—		52
Industrial	27		—		—		—		—		3		—		22
Power Generation	—		—		—		—		—		—		—		6
Other revenues	12		—		—		—		—		3		—		11
Total Gas Utilities and Infrastructure revenue from contracts with customers	$	271	$	—	$	—	$	—	$	—	$	91	$	—	$	187
Commercial Renewables
Revenue from contracts with customers	$	55	$	—	$	—	$	—	$	—	$	—	$	—	$	—
Other
Revenue from contracts with customers	$	7	$	—	$	—	$	—	$	—	$	—	$	—	$	—
Total revenue from contracts with customers	$	5,338	$	1,607	$	2,472	$	1,222	$	1,250	$	420	$	613	$	187
Other revenue sources(a)	$	83	$	3	$	26	$	21	$	—	$	3	$	4	$	10
Total revenues	$	5,421	$	1,610	$	2,498	$	1,243	$	1,250	$	423	$	617	$	197

(a)    Other revenue sources include revenues from leases, derivatives and alternative revenue programs that are not considered revenues from contracts with customers. Alternative revenue programs in certain jurisdictions include regulatory mechanisms that periodically adjust for over or under collection of related revenues.

	Six Months Ended June 30, 2021
			Duke				Duke		Duke		Duke		Duke
(in millions)	Duke		Energy		Progress		Energy		Energy		Energy		Energy
By market or type of customer	Energy		Carolinas		Energy		Progress		Florida		Ohio		Indiana		Piedmont
Electric Utilities and Infrastructure
Residential	$	4,798	$	1,476	$	2,378	$	1,038	$	1,340	$	366	$	578	$	—
General	2,932		1,000		1,344		636		708		210		379		—
Industrial	1,367		512		436		305		131		64		356		—
Wholesale	1,025		230		657		577		80		26		113		—
Other revenues	460		136		311		154		157		44		41		—
Total Electric Utilities and Infrastructure revenue from contracts with customers	$	10,582	$	3,354	$	5,126	$	2,710	$	2,416	$	710	$	1,467	$	—
Gas Utilities and Infrastructure
Residential	$	618	$	—	$	—	$	—	$	—	$	179	$	—	$	439
Commercial	295		—		—		—		—		75		—		215
Industrial	80		—		—		—		—		11		—		70
Power Generation	—		—		—		—		—		—		—		46
Other revenues	67		—		—		—		—		17		—		25
Total Gas Utilities and Infrastructure revenue from contracts with customers	$	1,060	$	—	$	—	$	—	$	—	$	282	$	—	$	795
Commercial Renewables
Revenue from contracts with customers	$	107	$	—	$	—	$	—	$	—	$	—	$	—	$	—
Other
Revenue from contracts with customers	$	12	$	—	$	—	$	—	$	—	$	—	$	—	$	—
Total Revenue from contracts with customers	$	11,761	$	3,354	$	5,126	$	2,710	$	2,416	$	992	$	1,467	$	795
Other revenue sources(a)	$	147	$	(28)	$	58	$	40	$	10	$	(4)	$	13	$	26
Total revenues	$	11,908	$	3,326	$	5,184	$	2,750	$	2,426	$	988	$	1,480	$	821

(a)    Other revenue sources include revenues from leases, derivatives and alternative revenue programs that are not considered revenues from contracts with customers. Alternative revenue programs in certain jurisdictions include regulatory mechanisms that periodically adjust for over or under collection of related revenues.

	Six Months Ended June 30, 2020
			Duke				Duke		Duke		Duke		Duke
(in millions)	Duke		Energy		Progress		Energy		Energy		Energy		Energy
By market or type of customer	Energy		Carolinas		Energy		Progress		Florida		Ohio		Indiana		Piedmont
Electric Utilities and Infrastructure
Residential	$	4,515	$	1,433	$	2,242	$	962	$	1,280	$	345	$	496	$	—
General	2,887		1,056		1,275		617		658		217		342		—
Industrial	1,351		529		428		308		120		68		327		—
Wholesale	932		215		606		519		87		12		99		—
Other revenues	475		122		309		133		176		39		41		—
Total Electric Utilities and Infrastructure revenue from contracts with customers	$	10,160	$	3,355	$	4,860	$	2,539	$	2,321	$	681	$	1,305	$	—
Gas Utilities and Infrastructure
Residential	$	519	$	—	$	—	$	—	$	—	$	159	$	—	$	360
Commercial	244		—		—		—		—		66		—		178
Industrial	68		—		—		—		—		9		—		58
Power Generation	—		—		—		—		—		—		—		17
Other revenues	42		—		—		—		—		9		—		35
Total Gas Utilities and Infrastructure revenue from contracts with customers	$	873	$	—	$	—	$	—	$	—	$	243	$	—	$	648
Commercial Renewables
Revenue from contracts with customers	$	113	$	—	$	—	$	—	$	—	$	—	$	—	$	—
Other
Revenue from contracts with customers	$	13	$	—	$	—	$	—	$	—	$	—	$	—	$	—
Total Revenue from contracts with customers	$	11,159	$	3,355	$	4,860	$	2,539	$	2,321	$	924	$	1,305	$	648
Other revenue sources(a)	$	211	$	3	$	60	$	42	$	9	$	(3)	$	4	$	61
Total revenues	$	11,370	$	3,358	$	4,920	$	2,581	$	2,330	$	921	$	1,309	$	709

(a)    Other revenue sources include revenues from leases, derivatives and alternative revenue programs that are not considered revenues from contracts with customers. Alternative revenue programs in certain jurisdictions include regulatory mechanisms that periodically adjust for over or under collection of related revenues.

As described in Note 1, Duke Energy adopted the new guidance for credit losses effective January 1, 2020, using the modified retrospective method of adoption, which does not require restatement of prior year reported results. The following table presents the reserve for credit losses for trade and other receivables based on adoption of the new standard.

	Three Months Ended June 30, 2020 and 2021
			Duke				Duke		Duke		Duke		Duke
	Duke		Energy		Progress		Energy		Energy		Energy		Energy
(in millions)	Energy		Carolinas		Energy		Progress		Florida		Ohio		Indiana		Piedmont
Balance at March 31, 2020	$	89	$	11	$	20	$	9	$	11	$	5	$	3	$	9
Write-Offs	(9)		(3)		(3)		(3)		—		—		—		(4)
Credit Loss Expense	15		6		12		8		3		—		—		1
Other Adjustments	7		—		—		—		—		—		—		—
Balance at June 30, 2020	$	102	$	14	$	29	$	14	$	14	$	5	$	3	$	6
Balance at March 31, 2021	$	147	$	34	$	37	$	23	$	15	$	4	$	3	$	14
Write-Offs	(5)		1		(4)		(3)		(1)		—		—		(2)
Credit Loss Expense	12		6		6		4		2		—		—		1
Other Adjustments	(31)		1		(3)		(3)		—		—		—		—
Balance at June 30, 2021	$	123	$	42	$	36	$	21	$	16	$	4	$	3	$	13
	Six Months Ended June 30, 2020 and 2021
			Duke				Duke		Duke		Duke		Duke
	Duke		Energy		Progress		Energy		Energy		Energy		Energy
(in millions)	Energy		Carolinas		Energy		Progress		Florida		Ohio		Indiana		Piedmont
Balance at December 31, 2019	$	76	$	10	$	16	$	8	$	7	$	4	$	3	$	6
Cumulative Change in Accounting Principle	5		1		2		1		1		—		—		1
Write-Offs	(19)		(6)		(7)		(5)		(2)		—		—		(5)
Credit Loss Expense	33		9		18		10		8		1		—		4
Other Adjustments	7		—		—		—		—		—		—		—
Balance at June 30, 2020	$	102	$	14	$	29	$	14	$	14	$	5	$	3	$	6
Balance at December 31, 2020	$	146	$	23	$	37	$	23	$	14	$	4	$	3	$	12
Write-Offs	(26)		(7)		(14)		(8)		(6)		—		—		(3)
Credit Loss Expense	29		16		13		6		7		—		—		4
Other Adjustments	(26)		10		—		—		1		—		—		—
Balance at June 30, 2021	$	123	$	42	$	36	$	21	$	16	$	4	$	3	$	13

Trade and other receivables are evaluated based on an estimate of the risk of loss over the life of the receivable and current and historical conditions using supportable assumptions. Management evaluates the risk of loss for trade and other receivables by comparing the historical write-off amounts to total revenue over a specified period. Historical loss rates are adjusted due to the impact of current conditions, as well as forecasted conditions over a reasonable time period. The calculated write-off rate can be applied to the receivable balance for which an established reserve does not already exist. Management reviews the assumptions and risk of loss periodically for trade and other receivables.

The aging of trade receivables is presented in the table below. Duke Energy considers receivables greater than 30 days outstanding past due.

	June 30, 2021
			Duke				Duke		Duke		Duke		Duke
	Duke		Energy		Progress		Energy		Energy		Energy		Energy
(in millions)	Energy		Carolinas		Energy		Progress		Florida		Ohio		Indiana		Piedmont
Unbilled Revenue(a)(b)	$	894	$	324	$	283	$	156	$	127	$	4	$	30	$	5
0-30 days	1,836		465		781		408		372		55		29		82
30-60 days	148		62		42		22		20		4		2		8
60-90 days	47		20		10		6		4		3		1		5
90+ days	180		74		31		7		24		32		10		12
Deferred Payment Arrangements(c)	106		46		35		24		11		2		—		7
Trade and Other Receivables	$	3,211	$	991	$	1,182	$	623	$	558	$	100	$	72	$	119

	December 31, 2020
			Duke				Duke		Duke		Duke		Duke
	Duke		Energy		Progress		Energy		Energy		Energy		Energy
(in millions)	Energy		Carolinas		Energy		Progress		Florida		Ohio		Indiana		Piedmont
Unbilled Revenue(a)(b)	$	969	$	328	$	283	$	167	$	116	$	2	$	16	$	86
0-30 days	1,789		445		707		398		307		60		26		149
30-60 days	185		80		54		25		29		8		3		8
60-90 days	22		1		10		4		6		2		1		3
90+ days	119		16		32		9		23		30		12		9
Deferred Payment Arrangements(c)	215		96		80		52		28		—		—		7
Trade and Other Receivables	$	3,299	$	966	$	1,166	$	655	$	509	$	102	$	58	$	262

(a)    Unbilled revenues are recognized by applying customer billing rates to the estimated volumes of energy or natural gas delivered but not yet billed and are included within Receivables and Receivables of VIEs on the Condensed Consolidated Balance Sheets.

(b)    Duke Energy Ohio and Duke Energy Indiana sell, on a revolving basis, nearly all of their retail accounts receivable, including receivables for unbilled revenues, to an affiliate, CRC, and account for the transfers of receivables as sales. Accordingly, the receivables sold are not reflected on the Condensed Consolidated Balance Sheets of Duke Energy Ohio and Duke Energy Indiana. See Note 11 for further information. These receivables for unbilled revenues are $66 million and $114 million for Duke Energy Ohio and Duke Energy Indiana, respectively, as of June 30, 2021, and $87 million and $134 million for Duke Energy Ohio and Duke Energy Indiana, respectively, as of December 31, 2020.

(c)    Due to certain customer financial hardships created by the COVID-19 pandemic and resulting stay-at-home orders, Duke Energy permitted customers to defer payment of past-due amounts through an installment payment plan over a period of several months.