Employee Benefit Plans

9 Months Ended

Sep. 30, 2022

Retirement Benefits [Abstract]

Employee Benefit Plans

Employee Benefit Plans

The Registrants’ net periodic cost, before considering amounts subject to overhead allocations for capital expenditure projects or for amounts subject to deferral for regulatory purposes, includes the following components relating to pension and postretirement benefits:

Pension Benefits (CenterPoint Energy)

	Three Months Ended September 30,				Nine Months Ended September 30,
	2022		2021		2022		2021
	(in millions)
Service cost (1)	$	7	$	9	$	23	$	29
Interest cost (2)	20		15		52		44
Expected return on plan assets (2)	(21)		(26)		(69)		(78)
Amortization of net loss (2)	8		9		22		28
Settlement cost (benefit) (2) (3)	8		27		38		26
Net periodic cost	$	22	$	34	$	66	$	49

(1)Amounts presented in the table above are included in Operation and maintenance expense in CenterPoint Energy’s Condensed Statements of Consolidated Income, net of amounts capitalized and regulatory deferrals.

(2)Amounts presented in the table above are included in Other income, net in CenterPoint Energy’s Condensed Statements of Consolidated Income, net of regulatory deferrals.

(3)Amounts presented represent a one-time, non-cash settlement cost (benefit), prior to regulatory deferrals, which are required when the total lump sum distributions or other settlements of plan benefit obligations during a plan year exceed the service cost and interest cost components of the net periodic cost for that year.

Postretirement Benefits

	Three Months Ended September 30,
	2022						2021
	CenterPoint Energy		Houston Electric		CERC		CenterPoint Energy		Houston Electric		CERC
	(in millions)
Service cost (1)	$	—	$	—	$	1	$	1	$	—	$	—
Interest cost (2)	3		1		1		2		1		1
Expected return on plan assets (2)	(1)		(1)		(1)		(1)		(1)		—
Amortization of prior service credit (2)	(1)		(1)		—		(1)		(1)		—
Amortization of net loss (2)	(1)		(1)		—		—		—		—
Net periodic cost (benefit)	$	—	$	(2)	$	1	$	1	$	(1)	$	1
	Nine Months Ended September 30,
	2022						2021
	CenterPoint Energy		Houston Electric		CERC		CenterPoint Energy		Houston Electric		CERC
	(in millions)
Service cost (1)	$	1	$	—	$	1	$	2	$	—	$	1
Interest cost (2)	7		3		3		6		3		2
Expected return on plan assets (2)	(3)		(3)		(1)		(3)		(3)		—
Amortization of prior service cost (credit) (2)	(2)		(3)		1		(3)		(3)		—
Amortization of net loss (2)	(3)		(2)		(1)		—		—		—
Net periodic cost (benefit)	$	—	$	(5)	$	3	$	2	$	(3)	$	3

(1)Amounts presented in the tables above are included in Operation and maintenance expense in each of the Registrants’ respective Condensed Statements of Consolidated Income, net of amounts capitalized and regulatory deferrals.

(2)Amounts presented in the tables above are included in Other income (expense), net in each of the Registrants’ respective Condensed Statements of Consolidated Income, net of regulatory deferrals.

The table below reflects the expected minimum contributions to be made to the pension and postretirement benefit plans during 2022:

	CenterPoint Energy		Houston Electric		CERC
	(in millions)
Expected minimum contribution to pension plans during 2022	$	7	$	—	$	—
Expected minimum contribution to postretirement benefit plans in 2022	8		1		4

The table below reflects the contributions made to the pension and postretirement benefit plans:

	Three Months Ended September 30, 2022						Nine Months Ended September 30, 2022
	CenterPoint Energy		Houston Electric		CERC		CenterPoint Energy		Houston Electric		CERC
	(in millions)
Pension plans	$	2	$	—	$	—	$	6	$	—	$	—
Postretirement benefit plans	2		—		1		6		1		3