Plant, Property, and Equipment (Tables)

12 Months Ended

Dec. 31, 2013



In Millions
Years Ended December 31	Estimated Depreciable Life in Years			2013			2012
CMS Energy, including Consumers
Electric
Generation	22	-	125		$	3,992		$	4,254
Distribution	23	-	75			6,140			5,831
Other	5	-	50			770			677
Assets under capital leases and other arrangements						284			279
Gas
Distribution	28	-	80			3,015			2,861
Transmission	17	-	75			821			770
Underground storage facilities1	29	-	65			535			339
Other	5	-	50			465			424
Capital leases						7			6
Enterprises
Independent power production	3	-	30			89			89
Other	3	-	40			26			24
Other	1	-	51			40			38
Construction work in progress						1,149			1,080
Less accumulated depreciation and amortization						(5,087)			(5,121)
Net plant, property, and equipment2					$	12,246		$	11,551
Consumers
Electric
Generation	22	-	125		$	3,992		$	4,254
Distribution	23	-	75			6,140			5,831
Other	5	-	50			770			677
Assets under capital leases and other arrangements						284			279
Gas
Distribution	28	-	80			3,015			2,861
Transmission	17	-	75			821			770
Underground storage facilities1	29	-	65			535			339
Other	5	-	50			465			424
Capital leases						7			6
Other non-utility property	8	-	51			15			15
Construction work in progress						1,147			1,080
Less accumulated depreciation and amortization						(5,022)			(5,061)
Net plant, property, and equipment2					$	12,169		$	11,475

Underground storage includes base natural gas of $26 million at December 31, 2013 and 2012. Base natural gas is not subject to depreciation.

For the year ended December 31, 2013, utility plant additions were $1.3 billion and utility plant retirements were $156 million. Subject to a successful Securitization transaction, Consumers plans to retire seven smaller coal-fueled electric generating units and three smaller gas-fueled electric generating units by April 2016. Accordingly, Consumers removed the net book value of the ten units from plant, property, and equipment and recorded this amount as a regulatory asset at December 31, 2013. As a result, net plant, property, and equipment decreased by $362 million. For additional details, see Note 2, Regulatory Matters.

For the year ended December 31, 2012, utility plant additions were $999 million and utility plant retirements were $168 million.

Public Utilities Property Plant and Equipment Schedule of Accumulated Depreciation and Amortization Table



In Millions
Years Ended December 31	2013			2012
CMS Energy, including Consumers
Utility plant assets		$	5,021		$	5,060
Non-utility plant assets			66			61
Consumers
Utility plant assets		$	5,021		$	5,060
Non-utility plant assets			1			1

Schedule of Finite-Lived Intangible Assets by Major Class Table



In Millions
Years Ended December 31					2013						2012
Description	Amortization Life in years				Gross Cost1			Accumulated Amortization			Gross Cost1			Accumulated Amortization
CMS Energy, including Consumers
Software development		3	-	15		$	508		$	174		$	466		$	172
Plant acquisition adjustments		40	-	46			216			32			214			27
Rights of way		50	-	75			135			42			130			40
Leasehold improvements		various2					14			11			13			10
Franchises and consents		5	-	30			15			7			14			6
Other intangibles		various					21			14			18			14
Total						$	909		$	280		$	855		$	269
Consumers
Software development		3	-	15		$	506		$	173		$	464		$	172
Plant acquisition adjustments		40	-	46			216			32			214			27
Rights of way		50	-	75			135			42			130			40
Leasehold improvements		various2					14			11			13			10
Franchises and consents		5	-	30			15			7			14			6
Other intangibles		various					20			14			18			14
Total						$	906		$	279		$	853		$	269

Net intangible asset additions for Consumers’ utility plant were $53 million during 2013 and $108 million during 2012 and primarily represented software development costs.

Leasehold improvements are amortized over the life of the lease, which may change whenever the lease is renewed or extended.

Schedule of Finite Lived Intangible Assets Amortization Expense Table



In Millions
	CMS Energy, including Consumers						Consumers
Years Ended December 31	Total Amortization Expense			Software Amortization Expense			Total Amortization Expense			Software Amortization Expense
2013		$	48		$	39		$	47		$	39
2012			39			31			38			30
2011			32			24			32			24

Jointly Owned Regulated Utility Facilities



In Millions, Except Ownership Share
	J.H. Campbell Unit 3				Ludington				Distribution
Ownership share			93.3	%			51.0	%			various
Utility plant in service		$	1,073			$	193			$	190
Accumulated depreciation			(456)				(152)				(59)
Construction work-in-progress			81				71				2
Net investment		$	698			$	112			$	133

Consumers Energy Company [Member]

Property, Plant and Equipment Table



In Millions
Years Ended December 31	Estimated Depreciable Life in Years			2013			2012
CMS Energy, including Consumers
Electric
Generation	22	-	125		$	3,992		$	4,254
Distribution	23	-	75			6,140			5,831
Other	5	-	50			770			677
Assets under capital leases and other arrangements						284			279
Gas
Distribution	28	-	80			3,015			2,861
Transmission	17	-	75			821			770
Underground storage facilities1	29	-	65			535			339
Other	5	-	50			465			424
Capital leases						7			6
Enterprises
Independent power production	3	-	30			89			89
Other	3	-	40			26			24
Other	1	-	51			40			38
Construction work in progress						1,149			1,080
Less accumulated depreciation and amortization						(5,087)			(5,121)
Net plant, property, and equipment2					$	12,246		$	11,551
Consumers
Electric
Generation	22	-	125		$	3,992		$	4,254
Distribution	23	-	75			6,140			5,831
Other	5	-	50			770			677
Assets under capital leases and other arrangements						284			279
Gas
Distribution	28	-	80			3,015			2,861
Transmission	17	-	75			821			770
Underground storage facilities1	29	-	65			535			339
Other	5	-	50			465			424
Capital leases						7			6
Other non-utility property	8	-	51			15			15
Construction work in progress						1,147			1,080
Less accumulated depreciation and amortization						(5,022)			(5,061)
Net plant, property, and equipment2					$	12,169		$	11,475

Underground storage includes base natural gas of $26 million at December 31, 2013 and 2012. Base natural gas is not subject to depreciation.

For the year ended December 31, 2012, utility plant additions were $999 million and utility plant retirements were $168 million.

Schedule of Capital Leased Asssets Table



In Millions
Years Ended December 31	2013			2012
Consumers
Balance at beginning of period		$	285		$	280
Additions			12			9
Net retirements and other adjustments			(6)			(4)
Balance at end of period		$	291		$	285

Public Utilities Property Plant and Equipment Schedule of Accumulated Depreciation and Amortization Table



In Millions
Years Ended December 31	2013			2012
CMS Energy, including Consumers
Utility plant assets		$	5,021		$	5,060
Non-utility plant assets			66			61
Consumers
Utility plant assets		$	5,021		$	5,060
Non-utility plant assets			1			1

Public Utilities Property Plant and Equipment Schedule of Composite Depreciation Rate Table




Years Ended December 31	2013			2012			2011
Electric utility property		3.5	%		3.2	%		3.0	%
Gas utility property		2.8	%		2.9	%		2.9	%
Other property		7.0	%		7.2	%		7.4	%

Public Utilities, Allowance for Funds Used During Construction, Schedule of Composite Rate Table



Years Ended December 31	2013			2012			2011
AFUDC capitalization rate		7.3	%		7.3	%		7.6	%

Schedule of Finite-Lived Intangible Assets by Major Class Table



In Millions
Years Ended December 31					2013						2012
Description	Amortization Life in years				Gross Cost1			Accumulated Amortization			Gross Cost1			Accumulated Amortization
CMS Energy, including Consumers
Software development		3	-	15		$	508		$	174		$	466		$	172
Plant acquisition adjustments		40	-	46			216			32			214			27
Rights of way		50	-	75			135			42			130			40
Leasehold improvements		various2					14			11			13			10
Franchises and consents		5	-	30			15			7			14			6
Other intangibles		various					21			14			18			14
Total						$	909		$	280		$	855		$	269
Consumers
Software development		3	-	15		$	506		$	173		$	464		$	172
Plant acquisition adjustments		40	-	46			216			32			214			27
Rights of way		50	-	75			135			42			130			40
Leasehold improvements		various2					14			11			13			10
Franchises and consents		5	-	30			15			7			14			6
Other intangibles		various					20			14			18			14
Total						$	906		$	279		$	853		$	269

Net intangible asset additions for Consumers’ utility plant were $53 million during 2013 and $108 million during 2012 and primarily represented software development costs.

Leasehold improvements are amortized over the life of the lease, which may change whenever the lease is renewed or extended.

Schedule of Finite Lived Intangible Assets Amortization Expense Table



In Millions
	CMS Energy, including Consumers						Consumers
Years Ended December 31	Total Amortization Expense			Software Amortization Expense			Total Amortization Expense			Software Amortization Expense
2013		$	48		$	39		$	47		$	39
2012			39			31			38			30
2011			32			24			32			24

Jointly Owned Regulated Utility Facilities



In Millions, Except Ownership Share
	J.H. Campbell Unit 3				Ludington				Distribution
Ownership share			93.3	%			51.0	%			various
Utility plant in service		$	1,073			$	193			$	190
Accumulated depreciation			(456)				(152)				(59)
Construction work-in-progress			81				71				2
Net investment		$	698			$	112			$	133

- Definition

Tabular disclosure of proportionate interests in jointly owned utility plants. Includes the amount of plants in service, the accumulated provision for depreciation (if available), the amount of plants under construction, and the proportionate share. The amounts presented may be further subdivided to show amounts applicable to plant subcategories (for example, production, transmission, distribution). Includes statements that the amounts represent the utility's share in each joint plant and that it must provide its own financing. Information concerning two or more generating plants on the same site may be combined. States that the utility's share of direct expenses of the joint plants is included in the corresponding operating expenses on its income statement (for example, fuel, maintenance of plant, other operating expense). If the share of direct expenses is charged to purchased power, then disclose the amount so charged and the proportionate amounts charged to specific operating expenses on the records maintained for the joint plants.

+ References+ Details