Contingencies and Regulatory Matters (Tables)

9 Months Ended

Sep. 30, 2015

Commitments and Contingencies Disclosure [Abstract]

Recovery Balance of Each Regulatory Clause

The recovery balance of each regulatory clause follows:

Regulatory Clause	Balance Sheet Line Item	September 30, 2015		December 31, 2014
		(in millions)
Rate CNP Compliance* – Under	Deferred under recovered regulatory clause revenues	$	—	$	2
	Under recovered regulatory clause revenues, current	38		47
Rate CNP PPA – Under	Deferred under recovered regulatory clause revenues	66		29
	Under recovered regulatory clause revenues, current	30		27
Retail Energy Cost Recovery – Over	Deferred over recovered regulatory clause revenues	128		47
Natural Disaster Reserve	Other regulatory liabilities, deferred	76		84

* Formerly Known As Rate CNP Environmental

The recovery balance of each regulatory clause follows:

Recovery Clause	Balance Sheet Location	September 30, 2015		December 31, 2014
		(in millions)
Fuel Cost Recovery – Under	Under recovered regulatory clause revenues	$	2	$	40
Purchased Power Capacity Recovery – Over	Other regulatory liabilities, current	3		—
Environmental Cost Recovery - Over	Other regulatory liabilities, current	5		—
Environmental Cost Recovery – Under	Under recovered regulatory clause revenues	—		10
Energy Conservation Cost Recovery – Over	Other regulatory liabilities, current	3		—
Energy Conservation Cost Recovery – Under	Under recovered regulatory clause revenues	—		3

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), and actual costs incurred as of September 30, 2015, as adjusted for the Court's decision, are as follows:

Cost Category	2010 Project Estimate(f)		Current Estimate(a)		Actual Costs
	(in billions)
Plant Subject to Cost Cap(b)(g)	$	2.40	$	5.11	$	4.66
Lignite Mine and Equipment	0.21		0.23		0.23
CO2 Pipeline Facilities	0.14		0.11		0.11
AFUDC(c)	0.17		0.66		0.55
Combined Cycle and Related Assets Placed in Service – Incremental(d)(g)	—		0.02		—
General Exceptions	0.05		0.10		0.08
Deferred Costs(e)(g)	—		0.20		0.17
Total Kemper IGCC	$	2.97	$	6.43	$	5.80

(a) Amounts in the Current Estimate reflect estimated costs through June 30, 2016.

(b) The 2012 MPSC CPCN Order approved a construction cost cap of up to $2.88 billion, net of the DOE Grants and excluding the Cost Cap Exceptions. The Current Estimate and 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" for additional information. The Current Estimate and Actual Costs reflect 100% of the costs of the Kemper IGCC. See note (g) for additional information.

(c) Mississippi Power's original estimate included recovery of financing costs during construction rather than the accrual of AFUDC. This approach was not approved by the Mississippi PSC in 2012 as described in "Rate Recovery of Kemper IGCC Costs." The current estimate 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.

(d) Incremental operating and maintenance costs related to the combined cycle and associated common facilities placed in service in August 2014, net of costs related to energy sales. See "Rate Recovery of Kemper IGCC Costs – 2013 MPSC Rate Order" for additional information.

(e) The 2012 MPSC CPCN Order approved deferral of non-capital Kemper IGCC-related costs during construction as described in "Rate Recovery of Kemper IGCC Costs – Regulatory Assets and Liabilities."

(f) The 2010 Project Estimate is the certificated cost estimate adjusted to include the certificatedestimate for the CO₂ pipeline facilities which was approved in 2011 by the Mississippi PSC.

(g) Beginning in the third quarter 2015, certain costs, including debt carrying costs (associated with placed in service and other non-construction work in progress accounts), that previously were deferred as regulatory assets are now being recognized through income; however, such costs continue to be included in the current cost estimate and actual costs at September 30, 2015.