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Asset Retirement Obligations
9 Months Ended
Sep. 30, 2023
Asset Retirement Obligation [Abstract]  
Asset Retirement Obligations ASSET RETIREMENT OBLIGATIONS
The Duke Energy Registrants record AROs when there is a legal obligation to incur retirement costs associated with the retirement of a long-lived asset and the obligation can be reasonably estimated. Actual costs incurred could be materially different from current estimates that form the basis of the recorded AROs.
The following table presents the AROs recorded on the Condensed Consolidated Balance Sheets.
September 30, 2023
DukeDukeDukeDukeDuke
DukeEnergyProgressEnergyEnergyEnergyEnergy
(in millions)EnergyCarolinasEnergyProgressFloridaOhioIndianaPiedmont
Decommissioning of nuclear power facilities(a)
$7,459 $3,136 $4,295 $4,069 $226 $ $ $ 
Closure of ash impoundments4,474 2,065 1,530 1,509 21 77 801  
Other300 67 105 44 61 61 41 28 
Total ARO$12,233 $5,268 $5,930 $5,622 $308 $138 $842 $28 
Less: Current portion620 238 261 260 1 8 114  
Total noncurrent ARO$11,613 $5,030 $5,669 $5,362 $307 $130 $728 $28 
(a)Duke Energy amount includes purchase accounting adjustments related to the merger with Progress Energy.
ARO Liability Rollforward
The following table presents the change in liability associated with AROs for the Duke Energy Registrants.
DukeDukeDukeDukeDuke
DukeEnergyProgressEnergyEnergyEnergyEnergy
(in millions) EnergyCarolinasEnergyProgressFloridaOhioIndianaPiedmont
Balance at December 31, 2022(a)
$12,728 $5,382 $6,181 $5,823 $358 $154 $951 $26 
Accretion expense(b)
391 189 178 169 9 5 24 2 
Liabilities settled(c)
(494)(171)(247)(196)(51)(11)(66) 
Revisions in estimates of cash flows(d)
(392)(132)(182)(174)(8)(10)(67) 
Balance at September 30, 2023$12,233 $5,268 $5,930 $5,622 $308 $138 $842 $28 
(a)Primarily relates to decommissioning nuclear power facilities, closure of ash impoundments, asbestos removal, closure of landfills at fossil generation facilities, retirement of natural gas mains and removal of renewable energy generation assets.
(b)For the nine months ended September 30, 2023, substantially all accretion expense relates to Duke Energy's regulated operations and has been deferred in accordance with regulatory accounting treatment.
(c)Primarily relates to ash impoundment closures and nuclear decommissioning.
(d)The amounts recorded represent the discounted cash flows for estimated closure costs as evaluated on a site-by-site basis. The decreases primarily relate to lower unit costs associated with basin closure, routine maintenance and beneficiation activities, as well as a reduction in monitoring wells needed.
Asset retirement costs associated with the AROs for operating plants and retired plants are included in Net property, plant and equipment and Regulatory assets within Other Noncurrent Assets, respectively, on the Condensed Consolidated Balance Sheets.