Effects of Regulation |
EFFECTS OF REGULATION
The disclosures in this note apply to all Registrants unless indicated otherwise.
Regulated Generating Units to be Retired (Applies to AEP, PSO and SWEPCo)
In September 2018, management announced that the Oklaunion Power Station is probable of abandonment and is to be retired by October 2020. See “2018 Oklahoma Base Rate Case” for additional information.
In January 2020, management announced that the Dolet Hills Power Station is probable of abandonment and is to be retired by December 2026. See “Dolet Hills Lignite Company Operations” section of Executive Overview, “2019 Arkansas Base Rate Case” section of Note 4, and “DHLC” section of Note 17 for additional information.
The table below summarizes the plant investments and their cost of removal, currently being recovered, as well as regulatory assets for accelerated depreciation for the generating units as of December 31, 2019. | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | Plant | | Gross Investment | | Accumulated Depreciation | | Net Investment | | Accelerated Depreciation Regulatory Asset | | | Materials and Supplies | | Cost of Removal Regulatory Liability | | Expected Retirement Date | | Remaining Recovery Period | | | (dollars in millions) | Oklaunion Power Station | | $ | 106.7 |
| | $ | 86.6 |
| | $ | 20.1 |
| | $ | 27.4 |
| (a) | | $ | 3.2 |
| | $ | 5.1 |
| | 2020 | | 27 years | Dolet Hills Power Station | | 338.9 |
| | 194.2 |
| | 144.7 |
| | — |
| (b) | | 5.8 |
| | 23.6 |
| | 2026 | | 27 years |
| | (a) | In October 2018, PSO changed depreciation rates to utilize the 2020 end-of-life and defer depreciation expense to a regulatory asset for the amount in excess of the previously OCC-approved depreciation rates for Oklaunion Power Station. See “2018 Oklahoma Base Rate Case” section of Note 4 for additional information. |
| | (b) | Beginning in January 2020, SWEPCo began recording a regulatory asset for accelerated depreciation. |
Dolet Hills Power Station and Related Fuel Operations (Applies to AEP and SWEPCo)
During the second quarter of 2019, the Dolet Hills Power Station initiated a seasonal operating schedule. In January 2020, in accordance with the terms of SWEPCo’s settlement of its base rate review filed with the APSC, management announced that SWEPCo will seek regulatory approval to retire the Dolet Hills Power Station by the end of 2026. Management also continues to monitor the economic viability of the Dolet Hills Power Station and DHLC mining operations, which may result in a decision to seek permission from appropriate regulatory agencies to discontinue operations earlier than 2026.
The Dolet Hills Power Station costs are recoverable by SWEPCo through base rates. SWEPCo’s share of the net investment in the Dolet Hills Power Station is $157 million, including CWIP and materials and supplies, before cost of removal.
Fuel costs incurred by the Dolet Hills Power Station are recoverable by SWEPCo through active fuel clauses. Under the Lignite Mining Agreement, DHLC bills SWEPCo its proportionate share of incurred lignite extraction and associated mining-related costs as fuel is delivered. As of December 31, 2019, DHLC has unbilled fixed costs of $106 million that will be billed to SWEPCo prior to the closure of the Dolet Hills Power Station. In 2009, SWEPCo acquired interests in the Oxbow Lignite Company (Oxbow), which owns mineral rights and leases land. Under a Joint Operating Agreement pertaining to the Oxbow mineral rights and land leases, Oxbow bills SWEPCo its proportionate share of incurred costs. As of December 31, 2019, Oxbow has unbilled fixed costs of $22 million that will be billed to SWEPCo prior to the closure of the Dolet Hills Power Station. Additional operational and land-related costs are expected to be incurred by DHLC and Oxbow and billed to SWEPCo prior to the closure of the Dolet Hills Power Station and recovered through fuel clauses.
If any of these costs are not recoverable, it could reduce future net income and cash flows and impact financial condition.
Regulatory Assets and Liabilities
Regulatory assets and liabilities are comprised of the following items: | | | | | | | | | | | | | | AEP | | | December 31, | | Remaining Recovery Period | | | 2019 | | 2018 | | Current Regulatory Assets | | (in millions) | | | Under-recovered Fuel Costs - earns a return | | $ | 44.7 |
| | $ | 101.7 |
| | 1 year | Under-recovered Fuel Costs - does not earn a return | | 48.2 |
| | 48.4 |
| | 1 year | Total Current Regulatory Assets | | $ | 92.9 |
| | $ | 150.1 |
| | | | | | | | | | Noncurrent Regulatory Assets | | | | | | | Regulatory assets pending final regulatory approval: | | | | | | | | | | | | | | Regulatory Assets Currently Earning a Return | | | | | | | Plant Retirement Costs - Unrecovered Plant | | $ | 35.2 |
| | $ | 50.3 |
| | | Kentucky Deferred Purchased Power Expenses | | 30.2 |
| | 14.5 |
| | | Oklaunion Power Station Accelerated Depreciation | | 27.4 |
| | 5.5 |
| | | Other Regulatory Assets Pending Final Regulatory Approval | | 0.7 |
| | 9.3 |
| | | Total Regulatory Assets Currently Earning a Return | | 93.5 |
| | 79.6 |
| | | Regulatory Assets Currently Not Earning a Return | | | | | | | Plant Retirement Costs - Asset Retirement Obligation Costs | | 30.1 |
| | 35.3 |
| | | Vegetation Management Program - AEP Texas (a) | | 29.4 |
| | — |
| | | Cook Plant Study Costs | | 7.6 |
| | — |
| | | Storm-Related Costs (b) | | 7.2 |
| | 152.4 |
| | | Asset Retirement Obligation - Louisiana | | 7.2 |
| | 5.3 |
| | | Other Regulatory Assets Pending Final Regulatory Approval | | 6.7 |
| | 15.4 |
| | | Total Regulatory Assets Currently Not Earning a Return | | 88.2 |
| | 208.4 |
| | | | | | | | | | Total Regulatory Assets Pending Final Regulatory Approval (c) | | 181.7 |
| | 288.0 |
| | | | | | | | | | Regulatory assets approved for recovery: | | | | | | | | | | | | | | Regulatory Assets Currently Earning a Return | | | | | | | Plant Retirement Costs - Unrecovered Plant | | 690.5 |
| | 680.9 |
| | 23 years | Plant Retirement Costs - Asset Retirement Obligation Costs | | 87.4 |
| | 64.3 |
| | 21 years | Meter Replacement Costs | | 65.4 |
| | 74.4 |
| | 8 years | Environmental Control Projects | | 41.0 |
| | 43.4 |
| | 21 years | Cook Plant Uprate Project | | 32.6 |
| | 35.0 |
| | 14 years | Ohio Distribution Decoupling | | 31.4 |
| | 12.3 |
| | 2 years | Advanced Metering System | | 26.5 |
| | 45.3 |
| | 2 years | Storm-Related Costs | | 21.3 |
| | 31.1 |
| | 3 years | Mitchell Plant Transfer - West Virginia | | 16.2 |
| | 17.0 |
| | 21 years | Deferred Cook Plant Life Cycle Management Project Costs - Michigan | | 15.1 |
| | 16.1 |
| | 15 years | Cook Plant Turbine | | 13.4 |
| | 15.8 |
| | 19 years | Ohio Capacity Deferral | | — |
| | 57.8 |
| |
| Other Regulatory Assets Approved for Recovery | | 48.4 |
| | 46.1 |
| | various | Total Regulatory Assets Currently Earning a Return | | 1,089.2 |
| | 1,139.5 |
| | | | | | | | | |
| | | | | | | | | | | | Regulatory Assets Currently Not Earning a Return | | | | | | | Pension and OPEB Funded Status | | 1,309.8 |
| | 1,326.6 |
| | 11 years | Unamortized Loss on Reacquired Debt | | 129.0 |
| | 134.2 |
| | 29 years | Unrealized Loss on Forward Commitments | | 106.8 |
| | 104.6 |
| | 13 years | Cook Plant Nuclear Refueling Outage Levelization | | 63.8 |
| | 37.5 |
| | 3 years | Vegetation Management - West Virginia | | 43.6 |
| | 26.6 |
| | 2 years | Postemployment Benefits | | 34.2 |
| | 35.6 |
| | 4 years | Plant Retirement Costs - Asset Retirement Obligation Costs | | 28.8 |
| | 21.6 |
| | 23 years | Medicare Subsidy | | 23.2 |
| | 27.9 |
| | 5 years | Peak Demand Reduction/Energy Efficiency | | 18.6 |
| | 31.9 |
| | 7 years | PJM/SPP Annual Formula Rate True Up | | 7.3 |
| | 22.0 |
| | 2 years | PJM Costs and Off-system Sales Margin Sharing - Indiana | | — |
| | 20.1 |
| |
| Other Regulatory Assets Approved for Recovery | | 122.8 |
| | 94.3 |
| | various | Total Regulatory Assets Currently Not Earning a Return | | 1,887.9 |
| | 1,882.9 |
| | | | | | | | | | Total Regulatory Assets Approved for Recovery | | 2,977.1 |
| | 3,022.4 |
| | | | | | | | | | Total Noncurrent Regulatory Assets | | $ | 3,158.8 |
| | $ | 3,310.4 |
| | |
| | (a) | Includes $26 million of deferred expenses from a stipulation and settlement agreement filed in February 2020. See “2019 Texas Base Rate Case” section of Note 4 - Rate Matters for additional information. |
| | (b) | In September 2019, AEP Texas securitized $235 million of storm-related costs. As a result of the securitization, the regulatory asset balance was transferred to Securitized Assets on the balance sheets. See “Texas Storm Cost Securitization” section of Note 4 - Rate Matters for additional information. |
| | (c) | In 2015, APCo recorded a $91 million reduction, before cost of removal which was $11 million and $20 million as of December 31, 2019 and 2018, respectively, to Accumulated Depreciation and Amortization related to the remaining net book value of coal plants retired in 2015, primarily related to APCo’s Virginia jurisdiction. The net book value of these plants at the retirement date was $93 million before cost of removal, including materials and supplies inventory. Based on management’s interpretation of Virginia law and more certainty regarding APCo’s triennial revenues, expenses and resulting earnings upon reaching the end of the three-year review period, APCo recorded a pretax expense of $93 million related to its previously retired coal-fired generation assets. This expense is included in Asset Impairments and Other Related Charges on the statements of income. |
APCo is currently in the process of retiring and replacing its Virginia jurisdictional Automated Meter Reading (AMR) meters with Advanced Metering Infrastructure (AMI) meters. As of December 31, 2019, APCo has approximately $51 million of Virginia jurisdictional AMR meters recorded in Total Property, Plant and Equipment - Net on its balance sheets. APCo intends to pursue full recovery of these assets through future depreciation rates. | | | | | | | | | | | | | | AEP | | | December 31, | | Remaining | | | 2019 | | 2018 | | Refund Period | Current Regulatory Liabilities | | (in millions) | | | Over-recovered Fuel Costs - pays a return | | $ | 77.5 |
| | $ | 35.7 |
| | 1 year | Over-recovered Fuel Costs - does not pay a return | | 9.1 |
| | 22.9 |
| | 1 year | Total Current Regulatory Liabilities | | $ | 86.6 |
| | $ | 58.6 |
| | | | | | | | | | Noncurrent Regulatory Liabilities and Deferred Investment Tax Credits | | | | | | | Regulatory liabilities pending final regulatory determination: | | | | | | | | | | | | | | Regulatory Liabilities Currently Not Paying a Return | | | | | | | Other Regulatory Liabilities Pending Final Regulatory Determination | | $ | 0.2 |
| | $ | 0.2 |
| | | Total Regulatory Liabilities Currently Not Paying a Return | | 0.2 |
| | 0.2 |
| | | Income Tax Related Regulatory Liabilities (a) | | | | | | | Excess ADIT Associated with Certain Depreciable Property | | 571.8 |
| | 1,025.3 |
| | (b) | Excess ADIT that is Not Subject to Rate Normalization Requirements | | 291.0 |
| | 695.0 |
| | (c) (g) | Total Income Tax Related Regulatory Liabilities | | 862.8 |
| | 1,720.3 |
| | | | | | | | | | Total Regulatory Liabilities Pending Final Regulatory Determination | | 863.0 |
| | 1,720.5 |
| | | | | | | | | | Regulatory liabilities approved for payment: | | | | | | | | | | | | | | Regulatory Liabilities Currently Paying a Return | | | | | | | Asset Removal Costs | | 2,876.7 |
| | 2,742.8 |
| | (d) | Ohio Basic Transmission Cost Rider | | 37.2 |
| | 68.8 |
| | 2 years | Excess Earnings | | 8.3 |
| | 8.9 |
| | 34 years | Deferred Investment Tax Credits | | 6.2 |
| | 8.7 |
| | 41 years | Other Regulatory Liabilities Approved for Payment | | 6.1 |
| | 8.9 |
| | various | Total Regulatory Liabilities Currently Paying a Return | | 2,934.5 |
| | 2,838.1 |
| | | Regulatory Liabilities Currently Not Paying a Return | | | | | | | Excess Nuclear Decommissioning Funding | | 1,236.0 |
| | 828.5 |
| | (e) | Deferred Investment Tax Credits | | 215.3 |
| | 204.9 |
| | 43 years | PJM Transmission Enhancement Refund | | 67.3 |
| | 164.2 |
| | 6 years | Transition and Restoration Charges - Texas | | 50.5 |
| | 46.0 |
| | 10 years | Spent Nuclear Fuel | | 43.6 |
| | 42.9 |
| | (e) | Ohio Enhanced Service Reliability Plan | | 29.7 |
| | 43.1 |
| | 2 years | Virginia Transmission Rate Adjustment Clause | | 28.1 |
| | 11.3 |
| | 2 years | Deferred Gain on Sale of Rockport Unit 2 | | 27.2 |
| | — |
| | 3 years | Peak Demand Reduction/Energy Efficiency | | 23.0 |
| | 17.5 |
| | 2 years | Unrealized Gain on Forward Commitments | | 17.7 |
| | 45.9 |
| | 5 years | Other Regulatory Liabilities Approved for Payment | | 70.0 |
| | 73.5 |
| | various | Total Regulatory Liabilities Currently Not Paying a Return | | 1,808.4 |
| | 1,477.8 |
| | | Income Tax Related Regulatory Liabilities (a) | | | | | | | Excess ADIT Associated with Certain Depreciable Property | | 3,303.0 |
| | 2,925.7 |
| | (f) | Excess ADIT that is Not Subject to Rate Normalization Requirements | | 890.5 |
| | 864.3 |
| | 17 years | Income Taxes Subject to Flow Through | | (1,341.8 | ) | | (1,286.1 | ) | | 56 years | Total Income Tax Related Regulatory Liabilities | | 2,851.7 |
| | 2,503.9 |
| | | | | | | | | | Total Regulatory Liabilities Approved for Payment | | 7,594.6 |
| | 6,819.8 |
| | | | | | | | | | Total Noncurrent Regulatory Liabilities and Deferred Investment Tax Credits | | $ | 8,457.6 |
| | $ | 8,540.3 |
| | |
| | (a) | This balance primarily represents regulatory liabilities for Excess ADIT as a result of the reduction in the corporate federal income tax rate from 35% to 21% related to the enactment of Tax Reform. The regulatory liability balance predominately pays a return due to the inclusion of Excess ADIT in rate base. See “Federal Tax Reform” section of Note 12 for additional information. |
| | (b) | Includes $275 million that will be refunded using ARAM upon receiving an order in the 2019 Texas Base Rate Case. See “2019 Texas Base Rate Case” section of Note 4 - Rate Matters for additional information. |
| | (c) | Includes $71 million from a stipulation and settlement agreement filed in February 2020. See “2019 Texas Base Rate Case” section of Note 4 - Rate Matters for additional information. |
| | (d) | Relieved as removal costs are incurred. |
| | (e) | Relieved when plant is decommissioned. |
| | (g) | 2019 and 2018 amounts include approximately $172 million related to AEP Transmission Holdco’s investment in ETT and Transource Energy. AEP Transmission Holdco expects to amortize the balance commensurate with the return of Excess ADIT to ETT and Transource Energy’s customers. |
| | | | | | | | | | | | | | AEP Texas | | | December 31, | | Remaining Recovery Period | Regulatory Assets: | | 2019 | | 2018 | | | | (in millions) | | | Noncurrent Regulatory Assets | | | | | | | Regulatory assets pending final regulatory approval: | | | | | | | | | | | | | | Regulatory Assets Currently Not Earning a Return | | | | | | | Vegetation Management Program (a) | | $ | 29.4 |
| | $ | — |
| | | Storm-Related Costs (b) | | — |
| | 152.4 |
| | | Other Regulatory Assets Pending Final Regulatory Approval | | 1.4 |
| | 0.2 |
| | | Total Regulatory Assets Pending Final Regulatory Approval | | 30.8 |
| | 152.6 |
| | | | | | | | | | Regulatory assets approved for recovery: | | | | | | | | | | | | | | Regulatory Assets Currently Earning a Return | | | | | | | Meter Replacement Costs | | 35.2 |
| | 40.1 |
| | 8 years | Advanced Metering System | | 26.5 |
| | 45.3 |
| | 2 years | Total Regulatory Assets Currently Earning a Return | | 61.7 |
| | 85.4 |
| | | Regulatory Assets Currently Not Earning a Return | | | | | | | Pension and OPEB Funded Status | | 172.0 |
| | 176.9 |
| | 11 years | Unamortized Loss on Reacquired Debt | | 6.4 |
| | 6.0 |
| | 18 years | Other Regulatory Assets Approved for Recovery | | 9.7 |
| | 9.1 |
| | various | Total Regulatory Assets Currently Not Earning a Return | | 188.1 |
| | 192.0 |
| | | | | | | | | | Total Regulatory Assets Approved for Recovery | | 249.8 |
| | 277.4 |
| | | | | | | | | | Total Noncurrent Regulatory Assets | | $ | 280.6 |
| | $ | 430.0 |
| | |
| | (a) | Includes $26 million of deferred expenses from a stipulation and settlement agreement filed in February 2020. See “2019 Texas Base Rate Case” section of Note 4 - Rate Matters for additional information. |
| | (b) | In September 2019, AEP Texas securitized $235 million of storm-related costs. As a result of the securitization, the regulatory asset balance was transferred to Securitized Assets on the balance sheets. See “Texas Storm Cost Securitization” section of Note 4 - Rate Matters for additional information. |
| | | | | | | | | | | | | | AEP Texas | | | December 31, | | Remaining Refund Period | Regulatory Liabilities: | | 2019 | | 2018 | | | | (in millions) | | | Noncurrent Regulatory Liabilities and | | | | | | | Deferred Investment Tax Credits | | | | | | | Regulatory liabilities pending final regulatory determination: | | | | | | | | | | | | | | Income Tax Related Regulatory Liabilities (a) | | | | | | | Excess ADIT Associated with Certain Depreciable Property | | $ | 274.9 |
| | $ | 277.1 |
| | (b) | Excess ADIT that is Not Subject to Rate Normalization Requirements | | 87.1 |
| | 141.4 |
| | (c) | Total Regulatory Liabilities Pending Final Regulatory Determination | | 362.0 |
| | 418.5 |
| | | | | | | | | | Regulatory liabilities approved for payment: | | | | | | | | | | | | | | Regulatory Liabilities Currently Paying a Return | | | | | | | Asset Removal Costs | | 689.6 |
| | 645.2 |
| | (d) | Excess Earnings | | 5.8 |
| | 6.3 |
| | 12 years | Advanced Metering Infrastructure Surcharge | | 4.3 |
| | 8.5 |
| | 1 year | Total Regulatory Liabilities Currently Paying a Return | | 699.7 |
| | 660.0 |
| | | Regulatory Liabilities Currently Not Paying a Return | | | | | | | Transition and Restoration Charges | | 50.5 |
| | 46.0 |
| | 10 years | Deferred Investment Tax Credits | | 9.6 |
| | 10.8 |
| | 43 years | Other Regulatory Liabilities Approved for Payment | | 4.8 |
| | — |
| | various | Total Regulatory Liabilities Currently Not Paying a Return | | 64.9 |
| | 56.8 |
| | | Income Tax Related Regulatory Liabilities (a) | | | | | | | Excess ADIT Associated with Certain Depreciable Property | | 236.5 |
| | 251.8 |
| | (e) | Income Taxes Subject to Flow Through | | (46.2 | ) | | (42.8 | ) | | 13 years | Total Income Tax Related Regulatory Liabilities | | 190.3 |
| | 209.0 |
| | | | | | | | | | Total Regulatory Liabilities Approved for Payment | | 954.9 |
| | 925.8 |
| | | | | | | | | | Total Noncurrent Regulatory Liabilities and Deferred Investment Tax Credits | | $ | 1,316.9 |
| | $ | 1,344.3 |
| | |
| | (a) | This balance primarily represents regulatory liabilities for Excess ADIT as a result of the reduction in the corporate federal income tax rate from 35% to 21% related to the enactment of Tax Reform. The regulatory liability balance predominately pays a return due to the inclusion of Excess ADIT in rate base. See “Federal Tax Reform” section of Note 12 for additional information. |
| | (b) | Will be refunded using ARAM upon receiving an order in the 2019 Texas Base Rate Case. See “2019 Texas Base Rate Case” section of Note 4 - Rate Matters for additional information. |
| | (c) | Includes $71 million from a stipulation and settlement agreement filed in February 2020. See “2019 Texas Base Rate Case” section of Note 4 - Rate Matters for additional information. |
| | (d) | Relieved as removal costs are incurred. |
| | | | | | | | | | | | | | AEPTCo | | | December 31, | | Remaining Recovery Period | Regulatory Assets: | | 2019 | | 2018 | | | | (in millions) | | | Noncurrent Regulatory Assets | | | | | | | Regulatory assets approved for recovery: | | | | | | | | | | | | | | Regulatory Assets Currently Not Earning a Return | | | | | | | PJM/SPP Annual Formula Rate True Up | | $ | 4.2 |
| | $ | 12.9 |
| | 2 years | Total Regulatory Assets Approved for Recovery | | 4.2 |
| | 12.9 |
| | | | | | | | | | Total Noncurrent Regulatory Assets | | $ | 4.2 |
| | $ | 12.9 |
| | |
| | | | | | | | | | | | | | AEPTCo | | | December 31, | | Remaining Refund Period | Regulatory Liabilities: | | 2019 | | 2018 | | | | (in millions) | | | Noncurrent Regulatory Liabilities | | | | | | | Regulatory liabilities pending final regulatory determination: | | | | | | | | | | | | | | Income Tax Related Regulatory Liabilities (a) | | | | | | | Excess ADIT Associated with Certain Depreciable Property | | $ | — |
| | $ | 73.9 |
| | | Excess ADIT that is Not Subject to Rate Normalization Requirements | | — |
| | 4.5 |
| | | Total Regulatory Liabilities Pending Final Regulatory Determination | | — |
| | 78.4 |
| | | | | | | | | | Regulatory liabilities approved for payment: | | | | | | | | | | | | | | Regulatory Liabilities Currently Paying a Return | | | | | | | Asset Removal Costs | | 141.0 |
| | 99.5 |
| | (b) | Total Regulatory Liabilities Currently Paying a Return | | 141.0 |
| | 99.5 |
| | | Income Tax Related Regulatory Liabilities (a) | | | | | | | Excess ADIT Associated with Certain Depreciable Property | | 535.7 |
| | 453.4 |
| | (c) | Excess ADIT that is Not Subject to Rate Normalization Requirements | | (35.4 | ) | | (28.5 | ) | | 9 years | Income Taxes Subject to Flow Through | | (100.4 | ) | | (81.5 | ) | | 44 years | Total Income Tax Related Regulatory Liabilities | | 399.9 |
| | 343.4 |
| | | | | | | | | | Total Regulatory Liabilities Approved for Payment | | 540.9 |
| | 442.9 |
| | | | | | | | | | Total Noncurrent Regulatory Liabilities | | $ | 540.9 |
| | $ | 521.3 |
| | |
| | (a) | This balance primarily represents regulatory liabilities for Excess ADIT as a result of the reduction in the corporate federal income tax rate from 35% to 21% related to the enactment of Tax Reform. The regulatory liability balance predominately pays a return due to the inclusion of Excess ADIT in rate base. See “Federal Tax Reform” section of Note 12 for additional information. |
| | (b) | Relieved as removal costs are incurred. |
| | | | | | | | | | | | | | APCo | | | December 31, | | Remaining Recovery Period | Regulatory Assets: | | 2019 | | 2018 | | | | (in millions) | | | Current Regulatory Assets | | | | | | | Under-recovered Fuel Costs, Virginia - earns a return | | $ | 36.8 |
| | $ | 82.4 |
| | 1 year | Under-recovered Fuel Costs, West Virginia - does not earn a return | | 5.7 |
| | 17.2 |
| | 1 year | Total Current Regulatory Assets | | $ | 42.5 |
| | $ | 99.6 |
| | | | | | | | | | Noncurrent Regulatory Assets | | | | | | | Regulatory assets pending final regulatory approval: | | | | | | | | | | | | | | Regulatory Assets Currently Earning a Return | | | | | | | Plant Retirement Costs - Materials and Supplies | | $ | 0.5 |
| | $ | 9.0 |
| | | Total Regulatory Assets Currently Earning a Return | | 0.5 |
| | 9.0 |
| | | Regulatory Assets Currently Not Earning a Return | | | | | | | Plant Retirement Costs - Asset Retirement Obligation Costs | | 30.1 |
| | 35.3 |
| | | Other Regulatory Assets Pending Final Regulatory Approval | | — |
| | 0.6 |
| | | Total Regulatory Assets Currently Not Earning a Return | | 30.1 |
| | 35.9 |
| | | | | | | | | | Total Regulatory Assets Pending Final Regulatory Approval (a) | | 30.6 |
| | 44.9 |
| | | | | | | | | | Regulatory assets approved for recovery: | | | | | | | | | | | | | | Regulatory Assets Currently Earning a Return | | | | | | | Plant Retirement Costs - Unrecovered Plant - West Virginia | | 86.4 |
| | 85.3 |
| | 24 years | Other Regulatory Assets Approved for Recovery | | 0.5 |
| | 1.2 |
| | various | Total Regulatory Assets Currently Earning a Return | | 86.9 |
| | 86.5 |
| | | Regulatory Assets Currently Not Earning a Return | | | | | | | Pension and OPEB Funded Status | | 160.8 |
| | 172.2 |
| | 11 years | Unamortized Loss on Reacquired Debt | | 85.5 |
| | 89.3 |
| | 23 years | Vegetation Management Program - West Virginia | | 43.6 |
| | 26.6 |
| | 2 years | Peak Demand Reduction/Energy Efficiency | | 19.5 |
| | 19.7 |
| | 7 years | Postemployment Benefits | | 15.9 |
| | 18.0 |
| | 4 years | Virginia Generation Rate Adjustment Clause | | 5.1 |
| | 10.3 |
| | 2 years | Other Regulatory Assets Approved for Recovery | | 9.3 |
| | 8.3 |
| | various | Total Regulatory Assets Currently Not Earning a Return | | 339.7 |
| | 344.4 |
| | | | | | | | | | Total Regulatory Assets Approved for Recovery | | 426.6 |
| | 430.9 |
| | | | | | | | | | Total Noncurrent Regulatory Assets | | $ | 457.2 |
| | $ | 475.8 |
| | |
| | (a) | In 2015, APCo recorded a $91 million reduction, before cost of removal which was $11 million and $20 million as of December 31, 2019 and 2018, respectively, to Accumulated Depreciation and Amortization related to the remaining net book value of coal plants retired in 2015, primarily related to APCo’s Virginia jurisdiction. The net book value of these plants at the retirement date was $93 million before cost of removal, including materials and supplies inventory. Based on management’s interpretation of Virginia law and more certainty regarding APCo’s triennial revenues, expenses and resulting earnings upon reaching the end of the three-year review period, APCo recorded a pretax expense of $93 million related to its previously retired coal-fired generation assets. This expense is included in Asset Impairments and Other Related Charges on the statements of income. |
APCo is currently in the process of retiring and replacing its Virginia jurisdictional Automated Meter Reading (AMR) meters with Advanced Metering Infrastructure (AMI) meters. As of December 31, 2019, APCo has approximately $51 million of Virginia jurisdictional AMR meters recorded in Total Property, Plant and Equipment - Net on its balance sheets. APCo intends to pursue full recovery of these assets through future depreciation rates.
| | | | | | | | | | | | | | APCo | | | December 31, | | Remaining Refund Period | Regulatory Liabilities: | | 2019 | | 2018 | | | | (in millions) | | | Noncurrent Regulatory Liabilities and Deferred Investment Tax Credits | | | | | | | Regulatory liabilities pending final regulatory determination: | | | | | | | | | | | | | | Income Tax Related Regulatory Liabilities (a) | | | | | | | Excess ADIT Associated with Certain Depreciable Property | | $ | — |
| | $ | 268.2 |
| | | Excess ADIT that is Not Subject to Rate Normalization Requirements | | — |
| | 283.7 |
| | | Total Regulatory Liabilities Pending Final Regulatory Determination | | — |
| | 551.9 |
| | | | | | | | | | Regulatory liabilities approved for payment: | | | | | | | | | | | | | | Regulatory Liabilities Currently Paying a Return | | | | | | | Asset Removal Costs | | 635.3 |
| | 618.3 |
| | (b) | Deferred Investment Tax Credits | | 0.5 |
| | 1.0 |
| | 41 years | Total Regulatory Liabilities Currently Paying a Return | | 635.8 |
| | 619.3 |
| | | Regulatory Liabilities Currently Not Paying a Return | | | | | | | Virginia Transmission Rate Adjustment Clause | | 28.1 |
| | 11.3 |
| | 2 years | PJM Transmission Enhancement Refund | | 19.5 |
| | 47.7 |
| | 6 years | Unrealized Gain on Forward Commitments | | 9.3 |
| | 34.7 |
| | 5 years | Consumer Rate Relief - West Virginia | | 5.4 |
| | 8.8 |
| | 1 year | Other Regulatory Liabilities Approved for Payment | | 3.3 |
| | 3.9 |
| | various | Total Regulatory Liabilities Currently Not Paying a Return | | 65.6 |
| | 106.4 |
| | | Income Tax Related Regulatory Liabilities (a) | | | | | | | Excess ADIT Associated with Certain Depreciable Property | | 718.9 |
| | 453.5 |
| | (c) | Excess ADIT that is Not Subject to Rate Normalization Requirements | | 210.7 |
| | 84.5 |
| | 9 years | Income Taxes Subject to Flow Through | | (362.3 | ) | | (365.9 | ) | | 23 years | Total Income Tax Related Regulatory Liabilities | | 567.3 |
| | 172.1 |
| | | | | | | | | | Total Regulatory Liabilities Approved for Payment | | 1,268.7 |
| | 897.8 |
| | | | | | | | | | Total Noncurrent Regulatory Liabilities and Deferred Investment Tax Credits | | $ | 1,268.7 |
| | $ | 1,449.7 |
| | |
| | (a) | This balance primarily represents regulatory liabilities for Excess ADIT as a result of the reduction in the corporate federal income tax rate from 35% to 21% related to the enactment of Tax Reform. The regulatory liability balance predominately pays a return due to the inclusion of Excess ADIT in rate base. See “Federal Tax Reform” section of Note 12 for additional information. |
| | (b) | Relieved as removal costs are incurred. |
| | | | | | | | | | | | | | I&M | | | December 31, | | Remaining Recovery Period | Regulatory Assets: | | 2019 | | 2018 | | | | (in millions) | | | Current Regulatory Assets | | | | | | | Under-recovered Fuel Costs - earns a return | | $ | 3.0 |
| | $ | — |
| | 1 Year | Total Current Regulatory Assets | | $ | 3.0 |
| | $ | — |
| | | | | | | | | | Noncurrent Regulatory Assets | | | | | | | Regulatory assets pending final regulatory approval: | | | | | | | | | | | | | | Regulatory Assets Currently Not Earning a Return | | | | | | | Cook Plant Study Costs | | $ | 7.6 |
| | $ | — |
| | | Other Regulatory Assets Pending Final Regulatory Approval | | 0.1 |
| | 3.3 |
| | | Total Regulatory Assets Pending Final Regulatory Approval | | 7.7 |
| | 3.3 |
| | | | | | | | | | Regulatory assets approved for recovery: | | | | | | | | | | | | | | Regulatory Assets Currently Earning a Return | | | | | | | Plant Retirement Costs - Unrecovered Plant | | 214.9 |
| | 232.2 |
| | 9 years | Cook Plant Uprate Project | | 32.6 |
| | 35.0 |
| | 14 years | Deferred Cook Plant Life Cycle Management Project Costs - Michigan | | 15.1 |
| | 16.1 |
| | 15 years | Cook Plant Turbine | | 13.4 |
| | 15.8 |
| | 19 years | Rockport Plant Dry Sorbent Injection System - Indiana | | 10.2 |
| | 11.5 |
| | 8 years | Cook Plant, Unit 2 Baffle Bolts - Indiana | | 5.4 |
| | 5.7 |
| | 19 years | Other Regulatory Assets Approved for Recovery | | 4.8 |
| | 2.4 |
| | various | Total Regulatory Assets Currently Earning a Return | | 296.4 |
| | 318.7 |
| | | Regulatory Assets Currently Not Earning a Return | | | | | | | Pension and OPEB Funded Status | | 67.5 |
| | 84.9 |
| | 11 years | Cook Plant Nuclear Refueling Outage Levelization | | 63.8 |
| | 37.5 |
| | 3 years | Unamortized Loss on Reacquired Debt | | 17.2 |
| | 18.7 |
| | 29 years | Postemployment Benefits | | 7.2 |
| | 6.5 |
| | 4 years | PJM Costs and Off-system Sales Margin Sharing - Indiana | | — |
| | 20.1 |
| |
| Other Regulatory Assets Approved for Recovery | | 22.3 |
| | 22.8 |
| | various | Total Regulatory Assets Currently Not Earning a Return | | 178.0 |
| | 190.5 |
| | | | | | | | | | Total Regulatory Assets Approved for Recovery | | 474.4 |
| | 509.2 |
| | | | | | | | | | Total Noncurrent Regulatory Assets | | $ | 482.1 |
| | $ | 512.5 |
| | |
| | | | | | | | | | | | | | I&M | | | December 31, | | Remaining Refund Period | Regulatory Liabilities: | | 2019 | | 2018 | | | | (in millions) | | | Current Regulatory Liabilities | | | | | | | Over-recovered Fuel Costs, Michigan - pays a return | | $ | — |
| | $ | 4.5 |
| |
| Over-recovered Fuel Costs, Indiana - does not pay a return | | 6.1 |
| | 22.9 |
| | 1 year | Total Current Regulatory Liabilities | | $ | 6.1 |
| | $ | 27.4 |
| | | | | | | | | | Noncurrent Regulatory Liabilities and Deferred Investment Tax Credits | | | | | | | Regulatory liabilities pending final regulatory determination: | | | | | | | | | | | | | | Income Tax Related Regulatory Liabilities (a) | | | | | | | Excess ADIT Associated with Certain Depreciable Property | | $ | — |
| | $ | 125.0 |
| | | Excess ADIT that is Not Subject to Rate Normalization Requirements | | — |
| | 40.6 |
| | | Total Regulatory Liabilities Pending Final Regulatory Determination | | — |
| | 165.6 |
| | | | | | | | | | Regulatory liabilities approved for payment: | | | | | | | | | | | | | | Regulatory Liabilities Currently Paying a Return | | | | | | | Asset Removal Costs | | 166.7 |
| | 182.5 |
| | (b) | Other Regulatory Liabilities Approved for Payment | | 0.3 |
| | — |
| | various | Total Regulatory Liabilities Currently Paying a Return | | 167.0 |
| | 182.5 |
| | | Regulatory Liabilities Currently Not Paying a Return | | | | | | | Excess Nuclear Decommissioning Funding | | 1,236.0 |
| | 828.5 |
| | (c) | Spent Nuclear Fuel | | 43.6 |
| | 42.9 |
| | (c) | Deferred Investment Tax Credits | | 25.8 |
| | 29.4 |
| | 20 years | PJM Costs and Off-system Sales Margin Sharing - Indiana | | 17.0 |
| | — |
| | 2 years | PJM Transmission Enhancement Refund | | 11.8 |
| | 29.1 |
| | 6 years | Deferred Gain on Sale of Rockport Unit 2 | | 10.9 |
| | — |
| | 3 years | Other Regulatory Liabilities Approved for Payment | | 24.9 |
| | 24.0 |
| | various | Total Regulatory Liabilities Currently Not Paying a Return | | 1,370.0 |
| | 953.9 |
| | | Income Tax Related Regulatory Liabilities (a) | | | | | | | Excess ADIT Associated with Certain Depreciable Property | | 470.9 |
| | 362.0 |
| | (d) | Excess ADIT that is Not Subject to Rate Normalization Requirements | | 184.5 |
| | 192.6 |
| | 5 years | Income Taxes Subject to Flow Through | | (301.0 | ) | | (282.1 | ) | | 19 years | Total Income Tax Related Regulatory Liabilities | | 354.4 |
| | 272.5 |
| | | | | | | | | | Total Regulatory Liabilities Approved for Payment | | 1,891.4 |
| | 1,408.9 |
| | | | | | | | | | Total Noncurrent Regulatory Liabilities and Deferred Investment Tax Credits | | $ | 1,891.4 |
| | $ | 1,574.5 |
| | |
| | (a) | This balance primarily represents regulatory liabilities for Excess ADIT as a result of the reduction in the corporate federal income tax rate from 35% to 21% related to the enactment of Tax Reform. The regulatory liability balance predominately pays a return due to the inclusion of Excess ADIT in rate base. See “Federal Tax Reform” section of Note 12 for additional information. |
| | (b) | Relieved as removal costs are incurred. |
| | (c) | Relieved when plant is decommissioned. |
| | | | | | | | | | | | | | OPCo | | | December 31, | | Remaining Recovery Period | Regulatory Assets: | | 2019 |
| 2018 | | | | (in millions) | | | Current Regulatory Assets | | | | | | | Under-recovered Fuel Costs - earns a return | | $ | — |
| | $ | 0.4 |
| |
| Total Current Regulatory Assets | | $ | — |
| | $ | 0.4 |
| | | | | | | | | | Noncurrent Regulatory Assets | | | | | | | Regulatory assets pending final regulatory approval: | | | | | | | | | | | | | | Regulatory Assets Currently Not Earning a Return | | | | | | | Other Regulatory Assets Pending Final Regulatory Approval | | $ | 0.1 |
| | $ | 1.0 |
| | | Total Regulatory Assets Pending Final Regulatory Approval | | 0.1 |
| | 1.0 |
| | | | | | | | | | Regulatory assets approved for recovery: | | | | | | | | | | | | | | Regulatory Assets Currently Earning a Return | | | | | | | Ohio Distribution Decoupling | | 31.4 |
| | 12.3 |
| | 2 years | Ohio Capacity Deferral | | — |
| | 57.8 |
| |
| Other Regulatory Assets Approved for Recovery | | — |
| | 0.9 |
| |
| Total Regulatory Assets Currently Earning a Return | | 31.4 |
| | 71.0 |
| | | Regulatory Assets Currently Not Earning a Return | | | | | | | Pension and OPEB Funded Status | | 167.3 |
| | 181.5 |
| | 11 years | Unrealized Loss on Forward Commitments | | 103.6 |
| | 100.2 |
| | 13 years | Smart Grid Costs | | 13.7 |
| | 8.1 |
| | 2 years | Distribution Investment Rider | | 10.9 |
| | — |
| | 2 years | Postemployment Benefits | | 7.6 |
| | 7.9 |
| | 4 years | Unamortized Loss on Reacquired Debt | | 5.3 |
| | 6.5 |
| | 19 years | Other Regulatory Assets Approved for Recovery | | 11.9 |
| | 11.3 |
| | various | Total Regulatory Assets Currently Not Earning a Return | | 320.3 |
| | 315.5 |
| | | | | | | | | | Total Regulatory Assets Approved for Recovery | | 351.7 |
| | 386.5 |
| | | | | | | | | | Total Noncurrent Regulatory Assets | | $ | 351.8 |
| | $ | 387.5 |
| | |
| | | | | | | | | | | | | | OPCo | | | December 31, | | Remaining Refund Period | | | 2019 | | 2018 | | Regulatory Liabilities: | | (in millions) | | | | | | | | | | Current Regulatory Liabilities | | | | | | | Over-recovered Fuel Costs - does not pay a return | | $ | 2.8 |
| | $ | — |
| | 1 year | Total Current Regulatory Liabilities | | $ | 2.8 |
| | $ | — |
| | | | | | | | | | Noncurrent Regulatory Liabilities and Deferred Investment Tax Credits | | | | | | | Regulatory liabilities pending final regulatory determination: | | | | | | | | | | | | | | Regulatory Liabilities Currently Not Paying a Return | | | | | | | Other Regulatory Liabilities Pending Final Regulatory Determination | | $ | 0.2 |
| | $ | 0.2 |
| | | Total Regulatory Liabilities Pending Final Regulatory Determination | | 0.2 |
| | 0.2 |
| | | | | | | | | | Regulatory liabilities approved for payment: | | | | | | | | | | | | | | Regulatory Liabilities Currently Paying a Return | | | | | | | Asset Removal Costs | | 446.3 |
| | 436.6 |
| | (b) | Ohio Basic Transmission Cost Rider | | 37.2 |
| | 68.8 |
| | 2 years | Other Regulatory Liabilities Approved for Payment | | 1.3 |
| | 0.4 |
| | various | Total Regulatory Liabilities Currently Paying a Return | | 484.8 |
| | 505.8 |
| | | Regulatory Liabilities Currently Not Paying a Return | | | | | | | Ohio Enhanced Service Reliability Plan | | 29.7 |
| | 43.1 |
| | 2 years | PJM Transmission Enhancement Refund | | 29.4 |
| | 71.3 |
| | 6 years | Peak Demand Reduction/Energy Efficiency | | 19.7 |
| | 14.9 |
| | 2 years | Distribution Investment Rider | | — |
| | 7.8 |
| |
| Other Regulatory Liabilities Approved for Payment | | 2.9 |
| | 11.3 |
| | various | Total Regulatory Liabilities Currently Not Paying a Return | | 81.7 |
| | 148.4 |
| | | Income Tax Related Regulatory Liabilities (a) | | | | | | | Excess ADIT Associated with Certain Depreciable Property | | 341.6 |
| | 350.5 |
| | (c) | Excess ADIT that is Not Subject to Rate Normalization Requirements | | 252.3 |
| | 279.1 |
| | 9 years | Income Taxes Subject to Flow Through | | (69.7 | ) | | (62.8 | ) | | 28 years | Total Income Tax Related Regulatory Liabilities | | 524.2 |
| | 566.8 |
| | | | | | | | | | Total Regulatory Liabilities Approved for Payment | | 1,090.7 |
| | 1,221.0 |
| | | | | | | | | | Total Noncurrent Regulatory Liabilities and Deferred Investment Tax Credits | | $ | 1,090.9 |
| | $ | 1,221.2 |
| | |
| | (a) | This balance primarily represents regulatory liabilities for Excess ADIT as a result of the reduction in the corporate federal income tax rate from 35% to 21% related to the enactment of Tax Reform. The regulatory liability balance predominately pays a return due to the inclusion of Excess ADIT in rate base. See “Federal Tax Reform” section of Note 12 for additional information. |
| | (b) | Relieved as removal costs are incurred. |
| | | | | | | | | | | | | | PSO | | | December 31, | | Remaining Recovery Period | | | 2019 | | 2018 | | Regulatory Assets: | | (in millions) | | | | | | | | | | Noncurrent Regulatory Assets | | | | | | | Regulatory assets pending final regulatory approval: | | | | | | | | | | | | | | Regulatory Assets Currently Earning a Return | | | | | | | Oklaunion Power Station Accelerated Depreciation | | $ | 27.4 |
| | $ | 5.5 |
| | | Total Regulatory Assets Currently Earning a Return | | 27.4 |
| | 5.5 |
| | | Regulatory Assets Currently Not Earning a Return | | | | | | | Storm-Related Costs | | 7.2 |
| | — |
| | | Other Regulatory Assets Pending Final Regulatory Approval | | — |
| | 0.5 |
| | | Total Regulatory Assets Currently Not Earning a Return | | 7.2 |
| | 0.5 |
| | | | | | | | | | Total Regulatory Assets Pending Final Regulatory Approval | | 34.6 |
| | 6.0 |
| | | | | | | | | | Regulatory assets approved for recovery: | | | | | | | | | | | | | | Regulatory Assets Currently Earning a Return | | | | | | | Plant Retirement Costs - Unrecovered Plant | | 167.0 |
| | 153.4 |
| | 21 years | Meter Replacement Costs | | 30.2 |
| | 34.3 |
| | 8 years | Environmental Control Projects | | 27.8 |
| | 29.2 |
| | 21 years | Storm-Related Costs | | 21.3 |
| | 31.1 |
| | 3 years | Red Rock Generating Facility | | 8.4 |
| | 8.6 |
| | 37 years | Other Regulatory Assets Approved for Recovery | | 0.6 |
| | 0.5 |
| | various | Total Regulatory Assets Currently Earning a Return | | 255.3 |
| | 257.1 |
| | | Regulatory Assets Currently Not Earning a Return | | | | | | | Pension and OPEB Funded Status | | 73.4 |
| | 84.3 |
| | 11 years | Unamortized Loss on Reacquired Debt | | 6.5 |
| | 4.3 |
| | 15 years | Peak Demand Reduction/Energy Efficiency | | — |
| | 6.3 |
| |
| Other Regulatory Assets Approved for Recovery | | 5.4 |
| | 11.0 |
| | various | Total Regulatory Assets Currently Not Earning a Return | | 85.3 |
| | 105.9 |
| | | | | | | | | | Total Regulatory Assets Approved for Recovery | | 340.6 |
| | 363.0 |
| | | | | | | | | | Total Noncurrent Regulatory Assets | | $ | 375.2 |
| | $ | 369.0 |
| | |
| | | | | | | | | | | | | | PSO | | | December 31, | | Remaining Refund Period | | | 2019 | | 2018 | | Regulatory Liabilities: | | (in millions) | | | | | | | | | | Current Regulatory Liabilities | | | | | | | Over-recovered Fuel Costs - pays a return | | $ | 63.9 |
| | $ | 20.1 |
| | 1 year | Total Current Regulatory Liabilities | | $ | 63.9 |
| | $ | 20.1 |
| | | | | | | | | | Noncurrent Regulatory Liabilities and Deferred Investment Tax Credits | | | | | | | Regulatory liabilities approved for payment: | | | | | | | | | | | | | | Regulatory Liabilities Currently Paying a Return | | | | | | | Asset Removal Costs | | $ | 286.8 |
| | $ | 276.8 |
| | (b) | Total Regulatory Liabilities Currently Paying a Return | | 286.8 |
| | 276.8 |
| | | Regulatory Liabilities Currently Not Paying a Return | | | | | | | Deferred Investment Tax Credits | | 51.5 |
| | 51.5 |
| | 25 years | Other Regulatory Liabilities Approved for Payment | | 4.7 |
| | 2.5 |
| | various | Total Regulatory Liabilities Currently Not Paying a Return | | 56.2 |
| | 54.0 |
| | | Income Tax Related Regulatory Liabilities (a) | | | | | | | Excess ADIT Associated with Certain Depreciable Property | | 405.8 |
| | 415.2 |
| | (c) | Excess ADIT that is Not Subject to Rate Normalization Requirements | | 96.3 |
| | 126.4 |
| | 5 years | Income Taxes Subject to Flow Through | | (7.9 | ) | | (7.7 | ) | | 24 years | Total Income Tax Related Regulatory Liabilities | | 494.2 |
| | 533.9 |
| | | | | | | | | | Total Regulatory Liabilities Approved for Payment | | 837.2 |
| | 864.7 |
| | | | | | | | | | Total Noncurrent Regulatory Liabilities and Deferred Investment Tax Credits | | $ | 837.2 |
| | $ | 864.7 |
| | |
| | (a) | This balance primarily represents regulatory liabilities for Excess ADIT as a result of the reduction in the corporate federal income tax rate from 35% to 21% related to the enactment of Tax Reform. The regulatory liability balance predominately pays a return due to the inclusion of Excess ADIT in rate base. See “Federal Tax Reform” section of Note 12 for additional information. |
| | (b) | Relieved as removal costs are incurred. |
| | | | | | | | | | | | | | SWEPCo | | | December 31, | | Remaining Recovery Period | | | 2019 | | 2018 | | Regulatory Assets: | | (in millions) | | | | | | | | | | Current Regulatory Assets | | | | | | | Under-recovered Fuel Costs - earns a return (a) | | $ | 4.9 |
| | $ | 18.8 |
| | 1 year | Total Current Regulatory Assets | | $ | 4.9 |
| | $ | 18.8 |
| | | | | | | | | | Noncurrent Regulatory Assets | | | | | | | Regulatory assets pending final regulatory approval: | | | | | | | | | | | | | | Regulatory Assets Currently Earning a Return | | | | | | | Plant Retirement Costs - Unrecovered Plant, Louisiana | | $ | 35.2 |
| | $ | 50.3 |
| | | Other Regulatory Assets Pending Final Regulatory Approval | | 0.2 |
| | 0.3 |
| | | Total Regulatory Assets Currently Earning a Return | | 35.4 |
| | 50.6 |
| | | Regulatory Assets Currently Not Earning a Return | | | | | | | Asset Retirement Obligation - Louisiana | | 7.2 |
| | 5.3 |
| | | Rate Case Expense - Texas | | 1.0 |
| | 4.9 |
| | | Other Regulatory Assets Pending Final Regulatory Approval | | 2.7 |
| | 3.6 |
| | | Total Regulatory Assets Currently Not Earning a Return | | 10.9 |
| | 13.8 |
| | | | | | | | | | Total Regulatory Assets Pending Final Regulatory Approval | | 46.3 |
| | 64.4 |
| | | | | | | | | | Regulatory assets approved for recovery: | | | | | | | | | | | | | | Regulatory Assets Currently Earning a Return | | | | | | | Plant Retirement Costs - Unrecovered Plant, Arkansas | | 15.1 |
| | — |
| | 23 years | Environmental Controls Projects | | 13.2 |
| | 14.2 |
| | 13 years | Other Regulatory Assets Approved for Recovery | | 8.9 |
| | 7.2 |
| | various | Total Regulatory Assets Currently Earning a Return | | 37.2 |
| | 21.4 |
| | | Regulatory Assets Currently Not Earning a Return | | | | | | | Pension and OPEB Funded Status | | 102.6 |
| | 108.4 |
| | 11 years | Plant Retirement Costs - Unrecovered Plant, Texas | | 16.6 |
| | 17.1 |
| | 22 years | Unamortized Loss on Reacquired Debt | | 6.6 |
| | 7.4 |
| | 24 years | Rate Case Expense - Arkansas | | 5.2 |
| | 0.8 |
| | 5 years | Other Regulatory Assets Approved for Recovery | | 7.9 |
| | 11.3 |
| | various | Total Regulatory Assets Currently Not Earning a Return | | 138.9 |
| | 145.0 |
| | | | | | | | | | Total Regulatory Assets Approved for Recovery | | 176.1 |
| | 166.4 |
| | | | | | | | | | Total Noncurrent Regulatory Assets | | $ | 222.4 |
| | $ | 230.8 |
| | |
| | (a) | December 31, 2019 amount includes Arkansas jurisdiction. December 31, 2018 amount includes Arkansas and Louisiana jurisdictions. |
| | | | | | | | | | | | | | SWEPCo | | | December 31, | | Remaining Refund Period | | | 2019 | | 2018 | | Regulatory Liabilities: | | (in millions) | | | | | | | | | | Current Regulatory Liabilities | | | | | | | Over-recovered Fuel Costs - pays a return (a) | | $ | 13.6 |
| | $ | 11.1 |
| | 1 year | Total Current Regulatory Liabilities | | $ | 13.6 |
| | $ | 11.1 |
| | | | | | | | | | Noncurrent Regulatory Liabilities and Deferred Investment Tax Credits | | | | | | | Regulatory liabilities pending final regulatory determination: | | | | | | | | | | | | | | Income Tax Related Regulatory Liabilities (b) | | | | | | | Excess ADIT Associated with Certain Depreciable Property | | $ | 297.0 |
| | $ | 280.1 |
| | | Excess ADIT that is Not Subject to Rate Normalization Requirements | | 22.7 |
| | 26.9 |
| | | Total Regulatory Liabilities Pending Final Regulatory Determination | | 319.7 |
| | 307.0 |
| | | | | | | | | | Regulatory liabilities approved for payment: | | | | | | | | | | | | | | Regulatory Liabilities Currently Paying a Return | | | | | | | Asset Removal Costs | | 453.4 |
| | 437.8 |
| | (c) | Other Regulatory Liabilities Approved for Payment | | 2.8 |
| | 2.5 |
| | various | Total Regulatory Liabilities Currently Paying a Return | | 456.2 |
| | 440.3 |
| | | Regulatory Liabilities Currently Not Paying a Return | | | | | | | Peak Demand Reduction/Energy Efficiency | | 6.0 |
| | 2.5 |
| | 2 years | Deferred Investment Tax Credits | | 3.1 |
| | 4.5 |
| | 12 years | Other Regulatory Liabilities Approved for Payment | | 1.7 |
| | 2.4 |
| | various | Total Regulatory Liabilities Currently Not Paying a Return | | 10.8 |
| | 9.4 |
| | | Income Tax Related Regulatory Liabilities (b) | | | | | | | Excess ADIT Associated with Certain Depreciable Property | | 339.4 |
| | 370.5 |
| | (d) | Excess ADIT that is Not Subject to Rate Normalization Requirements | | 27.8 |
| | 54.3 |
| | 1 year | Income Taxes Subject to Flow Through | | (261.6 | ) | | (258.5 | ) | | 28 years | Total Income Tax Related Regulatory Liabilities | | 105.6 |
| | 166.3 |
| | | | | | | | | | Total Regulatory Liabilities Approved for Payment | | 572.6 |
| | 616.0 |
| | | | | | | | | | Total Noncurrent Regulatory Liabilities and Deferred Investment Tax Credits | | $ | 892.3 |
| | $ | 923.0 |
| | |
| | (a) | December 31, 2019 amount includes Texas and Louisiana jurisdictions. December 31, 2018 amount includes Texas jurisdiction. |
| | (b) | This balance primarily represents regulatory liabilities for Excess ADIT as a result of the reduction in the corporate federal income tax rate from 35% to 21% related to the enactment of Tax Reform. The regulatory liability balance predominately pays a return due to the inclusion of Excess ADIT in rate base. See “Federal Tax Reform” section of Note 12 for additional information. |
| | (c) | Relieved as removal costs are incurred. |
(d) Refunded using ARAM.
|