Derivative and Hedging Instruments (Tables)

3 Months Ended

Mar. 31, 2019

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Gross Notional Volume of Open Derivatives

The gross notional volume of open derivatives is as follows:

	March 31, 2019	December 31, 2018
Commodity derivative contracts	440,440 MWh	386,440 MWh
Commodity derivative contracts	2,871,760 Dth	5,260,000 Dth
FTRs	844 MW	2,252 MW
PPA	1,900 MW	2,050 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, instruments are netted with the same counterparty under a master netting agreement as well as the netting of collateral. As of March 31,2019, and December 31, 2018, the receivable margin account balance of $1.6 million and $1.2 million, respectively, is shown net of any collateral posted against derivative positions.

		Derivative		Derivative
(In thousands)		Assets		Liabilities	Balance Sheet Location
March 31, 2019
Commodity derivative contracts	$	546	$	114	Other current assets
Commodity derivative contracts		129		98	Other deferred charges
FTRs		124		-	Other current assets
PPA		N/A		8,730	Derivative liability (current)
PPA		N/A		22,880	Derivative liability (long-term)
December 31, 2018
Commodity derivative contracts	$	727	$	270	Other current assets
Commodity derivative contracts		74		72	Other deferred charges
FTRs		241		-	Other current assets
PPA		N/A		8,550	Derivative liability (current)
PPA		N/A		23,980	Derivative liability (long-term)

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
(In thousands)		Gross Amounts		Gross Amounts Offset in Balance Sheets		Collateral Posted Against Derivative Positions		Net Amount Presented in Balance Sheets
March 31, 2019
Commodity derivative contracts	$	675	$	(212)	$	-	$	463
FTRs		124		-		-		124
December 31, 2018
Commodity derivative contracts	$	801	$	(342)	$	-	$	459
FTRs		241		-		-		241

Offsetting Liabilities

Offsetting of Derivative Liabilities
(In thousands)		Gross Amounts		Gross Amounts Offset in Balance Sheets		Collateral Posted Against Derivative Positions		Net Amount Presented in Balance Sheets
March 31, 2019
Commodity derivative contracts	$	212	$	(212)	$	-	$	-
PPA		31,610		-		-		31,610
December 31, 2018
Commodity derivative contracts	$	342	$	(342)	$	-	$	-
PPA		32,530		-		-		32,530

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 sheetsand the consolidated statements of income.

		2019				2018
(In thousands)		Current and Long-Term Regulatory Asset		Other Current Assets		Current and Long-Term Regulatory Asset		Other Current Assets
Three Months Ended March 31:
Balance at January 1,	$	31,830	$	377	$	41,958	$	806
Unrealized (gain) loss		(922)		-		128		-
Realized (loss) gain reclassified to a deferred account		(260)		260		(158)		158
Realized gain (loss) reclassified to income statement		375		(378)		(687)		(645)
Balance at March 31,	$	31,023	$	259	$	41,241	$	319

Derivative Gains and Losses in Income Statement

		Realized losses (gains)
		2019				2018
(In thousands)		Fuel for Electric Generation/ Purchased Power		Cost of Gas Sold		Fuel for Electric Generation/ Purchased Power		Cost of Gas Sold
Three Months Ended March 31:
Commodity derivative contracts	$	270	$	277	$	374	$	615
FTRs		(135)		-		(175)		-
PPA		(409)		-		518		-