Unconsolidated Affiliate (CenterPoint Energy and CERC) (Tables)

6 Months Ended

Jun. 30, 2018

Equity Method Investments and Joint Ventures [Abstract]

Equity Method Investments [Table Text Block]

Limited Partner Interest and Units Held in Enable:

	June 30, 2018
	Limited Partner Interest (1)		Common Units	Series A Preferred Units (2)
CERC Corp.	54.0	%	233,856,623	—
OGE	25.6	%	110,982,805	—
Public unitholders	20.4	%	88,225,208	—
CenterPoint Energy	—		—	14,520,000
Total units outstanding	100.0	%	433,064,636	14,520,000

(1) Excluding the Series A Preferred Units owned by CenterPoint Energy.

(2) The carrying amount of the Series A Preferred Units, reflected as Preferred units - unconsolidated affiliate on CenterPoint Energy’s Condensed Consolidated Balance Sheets, was $363 million as of both June 30, 2018 and December 31, 2017. No impairment charges or adjustment due to observable price changes were made during the current or prior reporting periods. See Note 2 for further discussion.

Summarized unaudited consolidated income information for Enable is as follows:

	Three Months Ended June 30,				Six Months Ended June 30,
	2018		2017		2018		2017
	(in millions)
Operating revenues	$	805	$	626	$	1,553	$	1,292
Cost of sales, excluding depreciation and amortization	444		279		819		587
Operating income	126		122		265		262
Net income attributable to Enable	86		86		191		197
Reconciliation of Equity in Earnings, net:
CenterPoint Energy’s and CERC’s interest	$	46	$	47	$	103	$	107
Basis difference amortization (1)	12		12		24		24
CenterPoint Energy’s and CERC’s equity in earnings, net	$	58	$	59	$	127	$	131

(1) Equity in earnings of unconsolidated affiliate includes CenterPoint Energy’s and CERC’s share of Enable’s earnings adjusted for the amortization of the basis difference of CenterPoint Energy’s and CERC’s original investment in Enable and their underlying equity in Enable’s net assets. The basis difference is amortized over approximately 31 years, the average life of the assets to which the basis difference is attributed.

Summarized unaudited consolidated balance sheet information for Enable is as follows:

	June 30, 2018			December 31, 2017
	(in millions)
Current assets	$	432		$	416
Non-current assets	11,360			11,177
Current liabilities	1,258			1,279
Non-current liabilities	2,963			2,660
Non-controlling interest	11			12
Preferred equity	362			362
Enable partners’ equity	7,198			7,280
Reconciliation of Investment in Enable:
CenterPoint Energy’s and CERC’s ownership interest in Enable partners’ equity	$	3,887		$	3,935
CenterPoint Energy’s and CERC’s basis difference	(1,436		)	(1,463		)
CenterPoint Energy’s and CERC’s equity method investment in Enable	$	2,451		$	2,472

Distributions Received from Enable:

	Three Months Ended June 30,				Six Months Ended June 30,
	2018		2017		2018		2017
	(in millions)
Investment in Enable common units	$	75	$	75	$	149	$	149
Total CERC	75		75		149		149
Investment in Enable Series A Preferred Units	9		9		18		18
Total CenterPoint Energy	$	84	$	84	$	167	$	167

Transactions with Enable (CenterPoint Energy and CERC):

	Three Months Ended June 30,				Six Months Ended June 30,
	2018		2017		2018		2017
	(in millions)
Reimbursement of transition services (1)	$	1	$	1	$	3	$	3
Natural gas expenses, including transportation and storage costs	29		24		66		57

(1) Represents amounts billed under the Transition Agreements for certain support services provided to Enable. Actual transition services costs are recorded net of reimbursement.

	June 30, 2018		December 31, 2017
	(in millions)
Accounts receivable for amounts billed for transition services	$	3	$	1
Accounts payable for natural gas purchases from Enable	8		13