Pension Benefits

9 Months Ended

Sep. 30, 2021

Retirement Benefits [Abstract]

Pension Benefits

Pension Benefits

Total Periodic Benefit Cost

The components of the Companies’ total periodic benefit cost for the three and nine months ended September 30, 2021 and 2020 were as follows:

	For the Three Months Ended September 30,
	Con Edison		CECONY
(Millions of Dollars)	2021	2020	2021	2020
Service cost – including administrative expenses	$85	$73	$80	$69
Interest cost on projected benefit obligation	118	137	111	129
Expected return on plan assets	(274)	(258)	(260)	(245)
Recognition of net actuarial loss	197	175	187	165
Recognition of prior service credit	(4)	(4)	(5)	(5)
TOTAL PERIODIC BENEFIT COST	$122	$123	$113	$113
Cost capitalized	(41)	(34)	(39)	(32)
Reconciliation to rate level	(54)	(62)	(52)	(59)
Total expense recognized	$27	$27	$22	$22

	For the Nine Months Ended September 30,
	Con Edison		CECONY
(Millions of Dollars)	2021	2020	2021	2020
Service cost – including administrative expenses	$257	$220	$241	$206
Interest cost on projected benefit obligation	353	412	332	387
Expected return on plan assets	(822)	(775)	(779)	(735)
Recognition of net actuarial loss	590	524	559	496
Recognition of prior service credit	(12)	(12)	(15)	(15)
TOTAL PERIODIC BENEFIT COST	$366	$369	$338	$339
Cost capitalized	(120)	(98)	(113)	(93)
Reconciliation to rate level	(165)	(188)	(158)	(179)
Total expense recognized	$81	$83	$67	$67

Components of net periodic benefit cost other than service cost are presented outside of operating income on the Companies' consolidated income statements, and only the service cost component is eligible for capitalization. Accordingly, the service cost component is included in the line "Other operations and maintenance" and the non-service cost components are included in the line "Other deductions" in the Companies' consolidated income statements.

Expected Contributions

Based on estimates as of September 30, 2021, the Companies expect to make contributions to the pension plans during 2021 of $467 million (of which $429 million is to be made by CECONY). The Companies’ policy is to fund the total periodic benefit cost of the qualified plan to the extent tax deductible and to also contribute to the non-qualified supplemental plans. During the first nine months of 2021, the Companies contributed $465 million to the pension plans, $428 million of which was contributed by CECONY. CECONY also contributed $22 million to the external

trust for its non-qualified supplemental plan.