Related Party Transactions (Tables)

6 Months Ended

Jun. 30, 2019

The following table includes the balance of intercompany income tax receivables and payables for the Subsidiary Registrants.



	Duke				Duke		Duke		Duke		Duke
	Energy		Progress		Energy		Energy		Energy		Energy
(in millions)	Carolinas		Energy		Progress		Florida		Ohio		Indiana		Piedmont
June 30, 2019
Intercompany income tax receivable	$	—	$	25	$	—	$	—	$	15	$	—	$	26
Intercompany income tax payable	76		—		41		19		—		1		—

December 31, 2018
Intercompany income tax receivable	$	52	$	47	$	29	$	—	$	—	$	8	$	—
Intercompany income tax payable	—		—		—		16		3		—		45

Material amounts related to transactions with related parties included on the Condensed Consolidated Statements of Operations and Comprehensive Income are presented in the following table.



	Three Months Ended June 30,				Six Months Ended June 30,
(in millions)	2019		2018		2019		2018
Duke Energy Carolinas
Corporate governance and shared service expenses^(a)	$	197	$	213	$	409	$	433
Indemnification coverages^(b)	5		5		10		11
JDA revenue^(c)	17		19		40		53
JDA expense^(c)	20		19		113		73
Intercompany natural gas purchases^(d)	3		4		7		8
Progress Energy
Corporate governance and shared service expenses^(a)	$	183	$	206	$	359	$	397
Indemnification coverages^(b)	10		9		19		17
JDA revenue^(c)	20		19		113		73
JDA expense^(c)	17		19		40		53
Intercompany natural gas purchases^(d)	19		19		38		38
Duke Energy Progress
Corporate governance and shared service expenses^(a)	$	108	$	126	$	214	$	244
Indemnification coverages^(b)	4		3		8		6
JDA revenue^(c)	20		19		113		73
JDA expense^(c)	17		19		40		53
Intercompany natural gas purchases^(d)	19		19		38		38
Duke Energy Florida
Corporate governance and shared service expenses^(a)	$	75	$	80	$	145	$	153
Indemnification coverages^(b)	6		6		11		11
Duke Energy Ohio
Corporate governance and shared service expenses^(a)	$	83	$	90	$	168	$	179
Indemnification coverages^(b)	1		1		2		2
Duke Energy Indiana
Corporate governance and shared service expenses^(a)	$	93	$	96	$	190	$	197
Indemnification coverages^(b)	1		2		3		4
Piedmont
Corporate governance and shared service expenses^(a)	$	37	$	40	$	69	$	76
Indemnification coverages^(b)	—		—		1		1
Intercompany natural gas sales^(d)	22		23		45		46
Natural gas storage and transportation costs^(e)	6		6		11		12

(a)

The Subsidiary Registrants are charged their proportionate share of corporate governance and other shared services costs, primarily related to human resources, employee benefits, information technology, legal and accounting fees, as well as other third-party costs. These amounts are primarily recorded in Operation, maintenance and other on the Condensed Consolidated Statements of Operations and Comprehensive Income.


(b)	The Subsidiary Registrants incur expenses related to certain indemnification coverages through Bison, Duke Energy’s wholly owned captive insurance subsidiary. These expenses are recorded in Operation, maintenance and other on the Condensed Consolidated Statements of Operations and Comprehensive Income.

(c)

Duke Energy Carolinas and Duke Energy Progress participate in a JDA, which allows the collective dispatch of power plants between the service territories to reduce customer rates. Revenues from the sale of power and expenses from the purchase of power pursuant to the JDA are recorded in Operating Revenues and Fuel used in electric generation and purchased power, respectively, on the Condensed Consolidated Statements of Operations and Comprehensive Income.

(d)

Piedmont provides long-term natural gas delivery service to certain Duke Energy Carolinas and Duke Energy Progress natural gas-fired generation facilities. Piedmont records the sales in Operating revenues, and Duke Energy Carolinas and Duke Energy Progress record the related purchases as a component of Fuel used in electric generation and purchased power on their respective Condensed Consolidated Statements of Operations and Comprehensive Income.

(e)

Piedmont has related party transactions as a customer of its equity method investments in Pine Needle, Hardy Storage, and Cardinal natural gas storage and transportation facilities. These expenses are included in Cost of natural gas on Piedmont's Condensed Consolidated Statements of Operations and Comprehensive Income.