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Related Party Transactions (Houston Electric and CERC)
 12 Months Ended
Dec. 31, 2023
Related Party Transactions [Abstract]  
Related Party Transactions (Houston Electric and CERC) Related Party Transactions (Houston Electric and CERC)
Houston Electric and CERC participate in a money pool through which they can borrow or invest on a short-term basis. Funding needs are aggregated and external borrowing or investing is based on the net cash position. The net funding requirements of the money pool are expected to be met with borrowings under CenterPoint Energy’s revolving credit facility or the sale of CenterPoint Energy’s commercial paper. 

The table below summarizes money pool activity:
December 31, 2023December 31, 2022
Houston ElectricCERCHouston ElectricCERC
 (in millions, except interest rates)
Money pool investments (borrowings) (1)
$238 $1 $(642)$— 
Weighted average interest rate
5.59 %5.59 %4.75 %4.75 %

(1)Included in Accounts and notes receivable (payable)–affiliated companies in Houston Electric’s and CERC’s Consolidated Balance Sheets, as applicable.

Houston Electric and CERC affiliate-related net interest income (expense) were as follows:
Year Ended December 31,
202320222021
Houston ElectricCERCHouston ElectricCERC Houston Electric
CERC (1)
(in millions)
Interest income (expense), net (2)
$2 $10 $— $(18)$— $(38)

(1)Includes affiliate-related net interest expense of Indiana Gas and VEDO to reflect the Restructuring.
(2)Interest income is included in Other, net and interest expense is included in Interest expense and other finance charges on Houston Electric’s and CERC’s respective Statements of Consolidated Income.

CenterPoint Energy provides some corporate services to Houston Electric and CERC. The costs of services have been charged directly to Houston Electric and CERC using methods that management believes are reasonable. These methods include negotiated usage rates, dedicated asset assignment and proportionate corporate formulas based on operating expenses, assets, gross margin, employees and a composite of assets, gross margin and employees. Houston Electric provides certain
services to CERC. These services are billed at actual cost, either directly or as an allocation and include fleet services, shop services, geographic services, surveying and right-of-way services, radio communications, data circuit management and field operations. Additionally, CERC provides certain services to Houston Electric. These services are billed at actual cost, either directly or as an allocation and include line locating and other miscellaneous services. These charges are not necessarily indicative of what would have been incurred had Houston Electric and CERC not been affiliates.

Amounts charged for these services are included primarily in Operation and maintenance expenses:
Year Ended December 31,
202320222021
Houston ElectricCERCHouston ElectricCERCHouston ElectricCERC
(in millions)
Corporate service charges$173 $236 $167 $237 $189 $257 
Net affiliate service charges (billings)
(10)10 15 (15)(7)7 
The table below presents transactions among Houston Electric, CERC and their parent, Utility Holding.
Year Ended December 31,
202320222021
Houston ElectricCERCHouston ElectricCERCHouston ElectricCERC
(in millions)
Cash dividends paid to parent$367 $496 $316 $124 $— $— 
Cash dividend paid to parent related to the sale of the Arkansas and Oklahoma Natural Gas businesses— — — 720 — — 
Cash contribution from parent 885 500 1,143 289 130 140 
Net assets acquired in the Restructuring (1)
— — — 2,345 — — 
Non-cash capital contribution from parent in payment for property, plant and equipment below— — 38 54 — — 
Cash paid to parent for property, plant and equipment below— — 65 61 — — 
Property, plant and equipment from parent (2)
— — 103 115 — — 

(1)The Restructuring was a common control transaction that required the recasting of financial information to the earliest period presented. Therefore, the net asset transfer is not reflected during the year ended December 31, 2022 on CERC’s Statements of Consolidated Changes in Equity.
(2)Property, plant and equipment purchased from CenterPoint Energy at its net carrying value on the date of purchase.