XML 60 R20.htm IDEA: XBRL DOCUMENT v3.22.2.2
Revenue from Contracts with Customers
 9 Months Ended
Sep. 30, 2021
Revenue from Contract with Customer
14. REVENUE FROM CONTRACTS WITH CUSTOMERS

The disclosures in this note apply to all Registrants, unless indicated otherwise.

Disaggregated Revenues from Contracts with Customers

The tables below represent AEP’s reportable segment revenues from contracts with customers, net of respective provisions for refund, by type of revenue:
Three Months Ended September 30, 2022
Vertically Integrated UtilitiesTransmission and Distribution UtilitiesAEP Transmission HoldcoGeneration & MarketingCorporate and OtherReconciling AdjustmentsAEP Consolidated
(in millions)
Retail Revenues:
Residential Revenues$1,298.0 $721.9 $— $— $— $— $2,019.9 
Commercial Revenues725.1 373.0 — — — — 1,098.1 
Industrial Revenues658.5 191.5 — — — (0.3)849.7 
Other Retail Revenues54.3 15.0 — — — — 69.3 
Total Retail Revenues2,735.9 1,301.4 — — — (0.3)4,037.0 
Wholesale and Competitive Retail Revenues:
Generation Revenues 299.3 — — 83.7 — (0.2)382.8 
Transmission Revenues (a)120.3 162.3 424.9 — — (392.7)314.8 
Renewable Generation Revenues (b)— — — 44.3 — (2.5)41.8 
Retail, Trading and Marketing Revenues— — — 482.9 2.2 0.2 485.3 
Total Wholesale and Competitive Retail Revenues
419.6 162.3 424.9 610.9 2.2 (395.2)1,224.7 
Other Revenues from Contracts with Customers (c)69.7 74.5 (0.3)1.7 24.3 (31.9)138.0 
Total Revenues from Contracts with Customers
3,225.2 1,538.2 424.6 612.6 26.5 (427.4)5,399.7 
Other Revenues:
Alternative Revenues (b)0.9 (13.5)6.3 — — 4.4 (1.9)
Other Revenues (b) (d)0.2 5.5 — 122.8 1.8 (2.0)128.3 
Total Other Revenues1.1 (8.0)6.3 122.8 1.8 2.4 126.4 
Total Revenues$3,226.3 $1,530.2 $430.9 $735.4 $28.3 $(425.0)$5,526.1 

(a)Amounts include affiliated and nonaffiliated revenues. The affiliated revenue for AEP Transmission Holdco was $342 million. The remaining affiliated amounts were immaterial.
(b)Amounts include affiliated and nonaffiliated revenues.
(c)Amounts include affiliated and nonaffiliated revenues. The affiliated revenue for Corporate and Other was $18 million. The remaining affiliated amounts were immaterial.
(d)Generation & Marketing includes economic hedge activity.
Three Months Ended September 30, 2021
Vertically Integrated UtilitiesTransmission and Distribution UtilitiesAEP Transmission HoldcoGeneration & MarketingCorporate and OtherReconciling AdjustmentsAEP Consolidated
(in millions)
Retail Revenues:
Residential Revenues$1,144.3 $598.0 $— $— $— $— $1,742.3 
Commercial Revenues618.9 279.9 — — — — 898.8 
Industrial Revenues566.0 95.2 — — — (0.1)661.1 
Other Retail Revenues47.5 11.1 — — — — 58.6 
Total Retail Revenues2,376.7 984.2 — — — (0.1)3,360.8 
Wholesale and Competitive Retail Revenues:
Generation Revenues 233.8 — — 47.8 — — 281.6 
Transmission Revenues (a)99.8 150.6 375.8 — — (317.4)308.8 
Renewable Generation Revenues (b)— — — 24.1 — (0.6)23.5 
Retail, Trading and Marketing Revenues (c)
— — — 397.1 0.1 (3.1)394.1 
Total Wholesale and Competitive Retail Revenues
333.6 150.6 375.8 469.0 0.1 (321.1)1,008.0 
Other Revenues from Contracts with Customers (b)49.4 54.2 5.1 1.4 23.5 (40.1)93.5 
Total Revenues from Contracts with Customers
2,759.7 1,189.0 380.9 470.4 23.6 (361.3)4,462.3 
Other Revenues:
Alternative Revenues (b)0.5 6.4 10.7 — — (11.7)5.9 
Other Revenues (b) (d)(0.9)4.9 — 150.7 3.1 (3.0)154.8 
Total Other Revenues(0.4)11.3 10.7 150.7 3.1 (14.7)160.7 
Total Revenues$2,759.3 $1,200.3 $391.6 $621.1 $26.7 $(376.0)$4,623.0 

(a)Amounts include affiliated and nonaffiliated revenues. The affiliated revenue for AEP Transmission Holdco was $286 million. The remaining affiliated amounts were immaterial.
(b)Amounts include affiliated and nonaffiliated revenues.
(c)Amounts include affiliated and nonaffiliated revenues. The affiliated revenue for Generation & Marketing was $4 million. The remaining affiliated amounts were immaterial.
(d)Generation & Marketing includes economic hedge activity.
Three Months Ended September 30, 2022
AEP TexasAEPTCoAPCoI&MOPCoPSOSWEPCo
(in millions)
Retail Revenues:
Residential Revenues$204.0 $— $360.5 $238.6 $517.9 $299.6 $285.5 
Commercial Revenues107.1 — 161.1 154.3 266.1 153.4 182.3 
Industrial Revenues35.4 — 163.3 155.6 156.1 98.9 108.3 
Other Retail Revenues11.5 — 20.6 1.2 3.5 30.1 0.6 
Total Retail Revenues358.0 — 705.5 549.7 943.6 582.0 576.7 
Wholesale Revenues:
Generation Revenues (a)— — 107.9 126.3 — 9.4 87.6 
Transmission Revenues (b)140.8 411.7 41.5 8.8 21.5 10.2 42.3 
Total Wholesale Revenues140.8 411.7 149.4 135.1 21.5 19.6 129.9 
Other Revenues from Contracts with Customers (c)
9.5 (0.3)33.7 30.6 64.8 6.4 7.6 
Total Revenues from Contracts with Customers
508.3 411.4 888.6 715.4 1,029.9 608.0 714.2 
Other Revenues:
Alternative Revenues (d)0.6 7.1 — — (14.1)0.2 3.3 
Other Revenues (d)— — 0.3 — 5.5 — — 
Total Other Revenues0.6 7.1 0.3 — (8.6)0.2 3.3 
Total Revenues$508.9 $418.5 $888.9 $715.4 $1,021.3 $608.2 $717.5 

(a)Amounts include affiliated and nonaffiliated revenues. The affiliated revenue for APCo was $44 million primarily related to the PPA with KGPCo.
(b)Amounts include affiliated and nonaffiliated revenues. The affiliated revenue for AEPTCo was $339 million. The remaining affiliated amounts were immaterial.
(c)Amounts include affiliated and nonaffiliated revenues. The affiliated revenue for I&M was $15 million primarily related to barging, urea transloading and other transportation services. The remaining affiliated amounts were immaterial.
(d)Amounts include affiliated and nonaffiliated revenues.
Three Months Ended September 30, 2021
AEP TexasAEPTCoAPCoI&MOPCoPSOSWEPCo
(in millions)
Retail Revenues:
Residential Revenues$172.5 $— $340.1 $231.7 $425.4 $236.8 $230.9 
Commercial Revenues89.1 — 146.9 143.9 190.8 120.9 145.4 
Industrial Revenues25.4 — 154.8 146.8 69.8 77.1 85.4 
Other Retail Revenues8.2 — 18.6 1.3 3.1 23.4 2.3 
Total Retail Revenues295.2 — 660.4 523.7 689.1 458.2 464.0 
Wholesale Revenues:
Generation Revenues (a)— — 83.7 80.2 — 7.2 77.1 
Transmission Revenues (b)131.5 360.1 35.2 8.7 19.1 10.6 37.1 
Total Wholesale Revenues131.5 360.1 118.9 88.9 19.1 17.8 114.2 
Other Revenues from Contracts with Customers (c)
6.8 5.0 22.5 24.2 47.3 8.3 6.1 
Total Revenues from Contracts with Customers
433.5 365.1 801.8 636.8 755.5 484.3 584.3 
Other Revenues:
Alternative Revenues (d)(0.9)11.9 2.2 (1.1)7.3 (0.5)(0.2)
Other Revenues (d)— — — — 4.9 — — 
Total Other Revenues(0.9)11.9 2.2 (1.1)12.2 (0.5)(0.2)
Total Revenues$432.6 $377.0 $804.0 $635.7 $767.7 $483.8 $584.1 

(a)Amounts include affiliated and nonaffiliated revenues. The affiliated revenue for APCo was $30 million primarily related to the PPA with KGPCo.
(b)Amounts include affiliated and nonaffiliated revenues. The affiliated revenue for AEPTCo was $281 million. The remaining affiliated amounts were immaterial.
(c)Amounts include affiliated and nonaffiliated revenues. The affiliated revenue for I&M was $17 million primarily related to barging, urea transloading and other transportation services. The remaining affiliated amounts were immaterial.
(d)Amounts include affiliated and nonaffiliated revenues.
Nine Months Ended September 30, 2022
Vertically Integrated UtilitiesTransmission and Distribution UtilitiesAEP Transmission HoldcoGeneration & MarketingCorporate and OtherReconciling AdjustmentsAEP Consolidated
(in millions)
Retail Revenues:
Residential Revenues$3,428.1 $1,884.1 $— $— $— $— $5,312.2 
Commercial Revenues1,922.8 994.4 — — — — 2,917.2 
Industrial Revenues (b)1,863.3 487.3 — — — (0.7)2,349.9 
Other Retail Revenues154.6 39.4 — — — — 194.0 
Total Retail Revenues7,368.8 3,405.2 — — — (0.7)10,773.3 
Wholesale and Competitive Retail Revenues:
Generation Revenues (b)674.8 — — 207.0 — (0.1)881.7 
Transmission Revenues (a)334.4 482.1 1,261.0 — — (1,086.5)991.0 
Renewable Generation Revenues (b)— — — 104.9 — (6.2)98.7 
Retail, Trading and Marketing Revenues (c)— — — 1,280.0 6.7 (11.1)1,275.6 
Total Wholesale and Competitive Retail Revenues1,009.2 482.1 1,261.0 1,591.9 6.7 (1,103.9)3,247.0 
Other Revenues from Contracts with Customers (d)180.5 194.2 (0.3)11.9 59.1 (71.6)373.8 
Total Revenues from Contracts with Customers
8,558.5 4,081.5 1,260.7 1,603.8 65.8 (1,176.2)14,394.1 
Other Revenues:
Alternative Revenues (b)3.4 (21.5)(39.6)— — (7.4)(65.1)
Other Revenues (b) (e)0.3 18.6 — 410.5 6.9 (6.9)429.4 
Total Other Revenues3.7 (2.9)(39.6)410.5 6.9 (14.3)364.3 
Total Revenues$8,562.2 $4,078.6 $1,221.1 $2,014.3 $72.7 $(1,190.5)$14,758.4 

(a)Amounts include affiliated and nonaffiliated revenues. The affiliated revenue for AEP Transmission Holdco was $1 billion. The affiliated revenue for Vertically Integrated Utilities was $120 million. The remaining affiliated amounts were immaterial.
(b)Amounts include affiliated and nonaffiliated revenues.
(c)Amounts include affiliated and nonaffiliated revenues. The affiliated revenue for Generation & Marketing was $11 million. The remaining affiliated amounts were immaterial.
(d)Amounts include affiliated and nonaffiliated revenues. The affiliated revenue for Corporate and Other was $36 million. The remaining affiliated amounts were immaterial.
(e)Generation & Marketing includes economic hedge activity.
Nine Months Ended September 30, 2021
Vertically Integrated UtilitiesTransmission and Distribution UtilitiesAEP Transmission HoldcoGeneration & MarketingCorporate and OtherReconciling AdjustmentsAEP Consolidated
(in millions)
Retail Revenues:
Residential Revenues$3,016.2 $1,641.2 $— $— $— $— $4,657.4 
Commercial Revenues1,642.0 804.1 — — — — 2,446.1 
Industrial Revenues1,602.5 283.8 — — — (0.5)1,885.8 
Other Retail Revenues125.9 32.4 — — — — 158.3 
Total Retail Revenues6,386.6 2,761.5 — — — (0.5)9,147.6 
Wholesale and Competitive Retail Revenues:
Generation Revenues757.1 — — 119.4 — — 876.5 
Transmission Revenues (a)267.3 420.7 1,092.1 — — (901.5)878.6 
Renewable Generation Revenues (b)— — — 66.7 — (1.7)65.0 
Retail, Trading and Marketing Revenues (c)
— — — 1,325.6 0.6 (48.5)1,277.7 
Total Wholesale and Competitive Retail Revenues
1,024.4 420.7 1,092.1 1,511.7 0.6 (951.7)3,097.8 
Other Revenues from Contracts with Customers (b)136.1 149.3 12.5 4.9 46.1 (87.9)261.0 
Total Revenues from Contracts with Customers
7,547.1 3,331.5 1,104.6 1,516.6 46.7 (1,040.1)12,506.4 
Other Revenues:
Alternative Revenues (b)10.7 46.1 42.2 — — (63.5)35.5 
Other Revenues (b) (d)(0.6)14.2 — 175.3 8.4 (8.6)188.7 
Total Other Revenues10.1 60.3 42.2 175.3 8.4 (72.1)224.2 
Total Revenues$7,557.2 $3,391.8 $1,146.8 $1,691.9 $55.1 $(1,112.2)$12,730.6 

(a)Amounts include affiliated and nonaffiliated revenues. The affiliated revenue for AEP Transmission Holdco was $835 million. The remaining affiliated amounts were immaterial.
(b)Amounts include affiliated and nonaffiliated revenues.
(c)Amounts include affiliated and nonaffiliated revenues. The affiliated revenue for Generation & Marketing was $49 million. The remaining affiliated amounts were immaterial.
(d)Generation & Marketing includes economic hedge activity.
Nine Months Ended September 30, 2022
AEP TexasAEPTCoAPCoI&MOPCoPSOSWEPCo
(in millions)
Retail Revenues:
Residential Revenues$520.8 $— $1,131.7 $665.6 $1,363.3 $650.7 $650.0 
Commercial Revenues312.6 — 467.6 419.5 681.9 372.1 458.8 
Industrial Revenues (d)102.6 — 479.0 452.1 384.8 270.0 290.1 
Other Retail Revenues29.2 — 61.4 3.7 10.2 77.1 7.4 
Total Retail Revenues965.2 — 2,139.7 1,540.9 2,440.2 1,369.9 1,406.3 
Wholesale Revenues:
Generation Revenues (a)— — 227.6 310.9 — 19.2 206.2 
Transmission Revenues (b)417.7 1,218.1 123.4 26.3 64.4 28.9 116.8 
Total Wholesale Revenues417.7 1,218.1 351.0 337.2 64.4 48.1 323.0 
Other Revenues from Contracts with Customers (c)
24.4 (0.4)78.6 86.3 169.6 21.4 18.9 
Total Revenues from Contracts with Customers
1,407.3 1,217.7 2,569.3 1,964.4 2,674.2 1,439.4 1,748.2 
Other Revenues:
Alternative Revenues (d)(2.9)(34.4)0.1 7.3 (18.6)(0.7)0.7 
Other Revenues (d)— — 0.4 (0.1)18.6 — — 
Total Other Revenues(2.9)(34.4)0.5 7.2 — (0.7)0.7 
Total Revenues$1,404.4 $1,183.3 $2,569.8 $1,971.6 $2,674.2 $1,438.7 $1,748.9 

(a)Amounts include affiliated and nonaffiliated revenues. The affiliated revenue for APCo was $122 million primarily relating to the PPA with KGPCo. The remaining affiliated amounts were immaterial.
(b)Amounts include affiliated and nonaffiliated revenues. The affiliated revenue for AEPTCo was $992 million. The remaining affiliated amounts were immaterial.
(c)Amounts include affiliated and nonaffiliated revenues. The affiliated revenue for I&M was $44 million primarily relating to barging, urea transloading and other transportation services. The remaining affiliated amounts were immaterial.
(d)Amounts include affiliated and nonaffiliated revenues.
Nine Months Ended September 30, 2021
AEP TexasAEPTCoAPCoI&MOPCoPSOSWEPCo
(in millions)
Retail Revenues:
Residential Revenues$423.7 $— $1,025.0 $624.4 $1,217.5 $516.4 $547.1 
Commercial Revenues265.2 — 409.5 384.5 538.9 286.8 385.4 
Industrial Revenues81.6 — 433.4 418.9 202.2 202.1 247.1 
Other Retail Revenues23.1 — 51.7 3.9 9.4 58.2 7.2 
Total Retail Revenues793.6 — 1,919.6 1,431.7 1,968.0 1,063.5 1,186.8 
Wholesale Revenues:
Generation Revenues (a)— — 231.2 248.1 — 6.8 326.2 
Transmission Revenues (b)364.5 1,045.2 94.1 25.3 56.2 28.8 94.5 
Total Wholesale Revenues364.5 1,045.2 325.3 273.4 56.2 35.6 420.7 
Other Revenues from Contracts with Customers (c)
35.4 12.5 43.6 81.9 113.8 24.8 17.7 
Total Revenues from Contracts with Customers
1,193.5 1,057.7 2,288.5 1,787.0 2,138.0 1,123.9 1,625.2 
Other Revenues:
Alternative Revenues (d)1.8 46.5 9.5 (3.0)44.3 0.5 5.1 
Other Revenues (d)— — — — 14.2 — — 
Total Other Revenues1.8 46.5 9.5 (3.0)58.5 0.5 5.1 
Total Revenues$1,195.3 $1,104.2 $2,298.0 $1,784.0 $2,196.5 $1,124.4 $1,630.3 

(a)Amounts include affiliated and nonaffiliated revenues. The affiliated revenue for APCo was $90 million primarily relating to the PPA with KGPCo.
(b)Amounts include affiliated and nonaffiliated revenues. The affiliated revenue for AEPTCo was $823 million. The remaining affiliated amounts were immaterial.
(c)Amounts include affiliated and nonaffiliated revenues. The affiliated revenue for I&M was $46 million primarily relating to barging, urea transloading and other transportation services. The remaining affiliated amounts were immaterial.
(d)Amounts include affiliated and nonaffiliated revenues.
Fixed Performance Obligations

The following table represents the Registrants’ remaining fixed performance obligations satisfied over time as of September 30, 2022. Fixed performance obligations primarily include wholesale transmission services, electricity sales for fixed amounts of energy and stand ready services into PJM’s RPM market. The Registrant Subsidiaries amounts shown in the table below include affiliated and nonaffiliated revenues.
Company20222023-20242025-2026After 2026Total
(in millions)
AEP$318.7 $172.1 $157.8 $96.9 $745.5 
AEP Texas145.8 — — — 145.8 
AEPTCo369.4 — — — 369.4 
APCo50.1 33.7 26.6 11.5 121.9 
I&M9.7 13.6 9.2 4.5 37.0 
OPCo19.2 3.4 — — 22.6 
PSO3.4 — — — 3.4 
SWEPCo10.9 — — — 10.9 

Contract Assets and Liabilities

Contract assets are recognized when the Registrants have a right to consideration that is conditional upon the occurrence of an event other than the passage of time, such as future performance under a contract. The Registrants did not have material contract assets as of September 30, 2022 and December 31, 2021.

When the Registrants receive consideration, or such consideration is unconditionally due from a customer prior to transferring goods or services to the customer under the terms of a sales contract, they recognize a contract liability on the balance sheets in the amount of that consideration. Revenue for such consideration is subsequently recognized in the period or periods in which the remaining performance obligations in the contract are satisfied. The Registrants’ contract liabilities typically arise from services provided under joint use agreements for utility poles. The Registrants did not have material contract liabilities as of September 30, 2022 and December 31, 2021.

Accounts Receivable from Contracts with Customers

Accounts receivable from contracts with customers are presented on the Registrant Subsidiaries’ balance sheets within the Accounts Receivable - Customers line item. The Registrant Subsidiaries’ balances for receivables from contracts that are not recognized in accordance with the accounting guidance for “Revenue from Contracts with Customers” included in Accounts Receivable - Customers were not material as of September 30, 2022 and December 31, 2021. See “Securitized Accounts Receivable - AEP Credit” section of Note 12 for additional information.

The following table represents the amount of affiliated accounts receivable from contracts with customers included in Accounts Receivable - Affiliated Companies on the Registrant Subsidiaries’ balance sheets:
CompanySeptember 30, 2022December 31, 2021
(in millions)
AEP Texas$— $0.4 
AEPTCo110.6 95.5 
APCo65.8 117.8 
I&M51.1 61.2 
OPCo61.5 51.7 
PSO36.8 18.8 
SWEPCo20.2 24.7