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Derivative and Hedging Instruments (Tables)
 12 Months Ended
Dec. 31, 2015
Derivative Instruments and Hedging Activities Disclosure [Abstract]  
Gross Notional Volume of Open Derivatives

The gross notional volume of open derivatives is as follows:

December 31, 2015December 31, 2014
Commodity derivative contracts355,580 MWh448,000 MWh
Commodity derivative contracts5,037,500 Dth4,405,000 Dth
FTRs2,000 MW1,854 MW
Fair Value of Derivative Instruments on the Balance Sheet

The following table summarizes the fair value of the derivative instruments on the consolidated balance sheets. All derivative instruments in this table are presented on a gross basis and are calculated prior to the netting of instruments with the same counterparty under a master netting agreement as well as the netting of collateral. For financial statement purposes, MGE Energy and MGE have netted instruments with the same counterparty under a master netting agreement as well as the netting of collateral. At December 31, 2015 and 2014, MGE Energy and MGE had the right to reclaim collateral (a receivable) of $1.0 million and $2.2 million, respectively.

Asset DerivativesLiability Derivatives
(In thousands)Balance Sheet LocationFair ValueBalance Sheet LocationFair Value
December 31, 2015
Commodity derivative contractsOther current assets$146Derivative liability (current)$1,266
Commodity derivative contractsOther deferred charges144Derivative liability (long-term)70
FTRsOther current assets234Derivative liability (current)-
PPAN/AN/ADerivative liability (current)8,340
PPAN/AN/ADerivative liability (long-term)44,930
December 31, 2014
Commodity derivative contractsOther current assets$130Derivative liability (current)$2,262
Commodity derivative contractsOther deferred charges93Derivative liability (long-term)171
FTRsOther current assets642Derivative liability (current)-
PPAN/AN/ADerivative liability (current)6,870
PPAN/AN/ADerivative liability (long-term)46,560
Offsetting Assets

The following tables show the effect of netting arrangements for recognized derivative assets and liabilities that are subject to a master netting arrangement or similar arrangement on the consolidated balance sheets.

Offsetting of Derivative Assets
Gross AmountsGross Amounts Offset in Balance SheetsCollateral Posted Against Derivative PositionsNet Amount Presented in Balance Sheets
(In thousands)
December 31, 2015
Commodity derivative contracts$290$(290)$-$-
FTRs234--234
December 31, 2014
Commodity derivative contracts$223$(223)$-$-
FTRs642--642
Offsetting Liabilities
Offsetting of Derivative Liabilities
Gross AmountsGross Amounts Offset in Balance SheetsCollateral Posted Against Derivative PositionsNet Amount Presented in Balance Sheets
(In thousands)
December 31, 2015
Commodity derivative contracts$1,336$(290)$(1,038)$8
PPA53,270--53,270
December 31, 2014
Commodity derivative contracts$2,433$(223)$(2,179)$31
PPA53,430--53,430
Derivative Gains and Losses in Balance Sheet

The following tables summarize the unrealized and realized gains (losses) related to the derivative instruments on the consolidated balance sheets at December 31, 2015 and 2014, and the consolidated income statements for the years ended December 31, 2015 and 2014.

20152014
Current and Long-Term Regulatory AssetOther Current AssetsCurrent and Long-Term Regulatory AssetOther Current Assets
(In thousands)
Balance at January 1, $54,998$1,001$63,893$411
Unrealized loss (gain)8,586-(14,518)-
Realized (loss) gain reclassified to a deferred account (2,953)2,953595(595)
Realized (loss) gain reclassified to income statement (6,549)(2,746)5,0281,185
Balance at December 31, $54,082$1,208$54,998$1,001
Derivative Gains and Losses in Income Statement
Realized Losses (Gains)
20152014
Fuel for Electric Generation/ Purchased Power Cost of Gas SoldFuel for Electric Generation/ Purchased Power Cost of Gas Sold
(In thousands)
Year Ended December 31:
Commodity derivative contracts$2,236$2,548$(5,515)$(1,103)
FTRs(309)-(1,110)-
PPA4,820-1,515-