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Contingencies and Regulatory Matters (Tables)
 6 Months Ended
Jun. 30, 2016
Commitments and Contingencies Disclosure [Abstract]  
Recovery Balance of Each Regulatory Clause
The balance of each regulatory clause recovery on the balance sheet follows:
Regulatory Clause
Balance Sheet Location
June 30,
2016

December 31, 2015


(in millions)
Fuel Cost Recovery
Other regulatory liabilities, current
$
18


$
18

Purchased Power Capacity Recovery
Under recovered regulatory clause revenues
4


1

Environmental Cost Recovery
Under recovered regulatory clause revenues
1

 
19

Energy Conservation Cost Recovery
Other regulatory liabilities, current
—

 
4

The balance of each regulatory clause recovery on the balance sheet follows:
Regulatory Clause
Balance Sheet Line Item
June 30,
2016

December 31, 2015


(in millions)
Rate CNP Compliance
Under recovered regulatory clause revenues
$
7

 
$
43

 
Deferred under recovered regulatory clause revenues
21

 
—

Rate CNP PPA
Deferred under recovered regulatory clause revenues
115


99

Retail Energy Cost Recovery
Other regulatory liabilities, current
75


238


Deferred over recovered regulatory clause revenues
102


—

Natural Disaster Reserve
Other regulatory liabilities, deferred
72


75
Current And Actual Cost Estimate for Kemper IGCC
Mississippi Power's Kemper IGCC 2010 project estimate, current cost estimate (which includes the impacts of the Mississippi Supreme Court's (Court) decision discussed herein under "Rate Recovery of Kemper IGCC Costs – 2013 MPSC Rate Order"), and actual costs incurred as of June 30, 2016, are as follows:
Cost Category
2010 Project Estimate(a)
 
Current Cost Estimate(b)
 
Actual Costs
 
(in billions)
Plant Subject to Cost Cap(c)(e)
$
2.40

 
$
5.43

 
$
5.15

Lignite Mine and Equipment
0.21

 
0.23

 
0.23

CO2 Pipeline Facilities
0.14

 
0.11

 
0.12

AFUDC(d)
0.17

 
0.72

 
0.66

Combined Cycle and Related Assets Placed in
Service – Incremental(e)
—

 
0.03

 
0.02

General Exceptions
0.05

 
0.10

 
0.09

Deferred Costs(e)
—

 
0.20

 
0.19

Additional DOE Grants(f)
—

 
(0.14
)
 
(0.14
)
Total Kemper IGCC
$
2.97

 
$
6.68

 
$
6.32

(a)
The 2010 Project Estimate is the certificated cost estimate adjusted to include the certificated estimate for the CO2 pipeline facilities approved in 2011 by the Mississippi PSC, as well as the lignite mine and equipment, AFUDC, and general exceptions.
(b)
Amounts in the Current Cost Estimate reflect estimated costs through October 31, 2016.
(c)
The 2012 MPSC CPCN Order approved a construction cost cap of up to $2.88 billion, net of the Initial DOE Grants and excluding the Cost Cap Exceptions. The Current Cost Estimate and the Actual Costs include non-incremental operating and maintenance costs related to the combined cycle and associated common facilities placed in service in August 2014 that are subject to the $2.88 billion cost cap and exclude post-in-service costs for the lignite mine. See "Rate Recovery of Kemper IGCC Costs – 2013 MPSC Rate Order" herein for additional information. The Current Cost Estimate and the Actual Costs reflect 100% of the costs of the Kemper IGCC. See note (e) for additional information.
(d)
Mississippi Power's 2010 Project Estimate included recovery of financing costs during construction rather than the accrual of AFUDC. This approach was not approved by the Mississippi PSC as described in "Rate Recovery of Kemper IGCC Costs – 2013 MPSC Rate Order." The Current Cost Estimate also reflects the impact of a settlement agreement with the wholesale customers for cost-based rates under FERC's jurisdiction. See "FERC Matters" herein for additional information.
(e)
Non-capital Kemper IGCC-related costs incurred during construction were initially deferred as regulatory assets. Some of these costs are now included in rates and are being recognized through income; however such costs continue to be included in the Current Cost Estimate and the Actual Costs at June 30, 2016. The wholesale portion of debt carrying costs, whether deferred or recognized through income, are not included in the Current Cost Estimate and the Actual Costs at June 30, 2016. See "Rate Recovery of Kemper IGCC Costs – Regulatory Assets and Liabilities" herein for additional information.
(f)
On April 8, 2016, Mississippi Power received approximately $137 million in additional grants from the DOE for the Kemper IGCC (Additional DOE Grants), which are expected to be used to reduce future rate impacts for customers.