Summary of Significant Accounting Policies (Tables)

12 Months Ended

Dec. 31, 2022

Accounting Policies [Abstract]

Cash, Cash Equivalents, and Restricted Cash

The following table presents the components of total cash, cash equivalents, and restricted cash on the consolidated balance sheets.

(In thousands)	MGE Energy				MGE
As of December 31,	2022		2021		2022		2021
Cash and cash equivalents	$	11,604	$	17,438	$	4,136	$	6,401
Restricted cash		867		847		867		847
Receivable - margin account		5,497		550		5,497		550
Cash, cash equivalents, and restricted cash	$	17,968	$	18,835	$	10,500	$	7,798

Straight-Line Depreciation Rates

Provisions at composite straight-line depreciation rates approximate the following percentages for the cost of depreciable property:

	2022		2021		2020
Electric	3.2	%	3.2	%	3.5	%
Gas	2.1	%	2.2	%	2.2	%
Nonregulated	2.3	%	2.4	%	2.3	%

Approved AFUDC retail rates by rate case

For 2022, 2021, and 2020, as approved by the PSCW, MGE capitalized AFUDC-debt and equity on 50% of applicable average construction work in progress as shown in the following table:

	2022		2021		2020
Approved AFUDC retail rates	7.11	%	6.89	%	7.03	%

Approved AFUDC-debt and equity capitalized amounts

For the years ended 2022, 2021, and 2020, MGE recorded AFUDC-debt and AFUDC-equity as shown in the following table:

(In millions)	2022		2021		2020
AFUDC-debt	$	1.1	$	1.7	$	2.1
AFUDC-equity	$	3.0	$	5.0	$	5.9