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Credit Risk
6 Months Ended
Jun. 30, 2018
Risks And Uncertainties [Abstract]  
Credit Risk

Note 17. Credit Risk

The Companies’ accounting policies for credit risk are discussed in Note 23 to the Consolidated Financial Statements in the Companies’ Annual Report on Form 10-K for the year ended December 31, 2017 as updated in Current Report on Form 8-K, filed June 6, 2018.

At June 30, 2018, Dominion Energy’s gross credit exposure related to energy marketing and price risk management activities totaled $67 million. Of this amount, investment grade counterparties, including those internally rated, represented 30%. No single counterparty, whether investment grade or non-investment grade, exceeded $7 million of exposure. At June 30, 2018, Virginia Power’s exposure related to wholesale customers totaled $52 million. Of this amount, investment grade counterparties, including those internally rated, represented 24%. No single counterparty, whether investment grade or non-investment grade, exceeded $9 million of exposure. At June 30, 2018, Dominion Energy Gas’ exposure primarily related to wholesale customers totaled less than $1 million. Of this amount, investment grade counterparties, including those internally rated, represented 82%. No single counterparty, whether investment grade or non-investment grade, exceeded $1 million of exposure.  

Credit-Related Contingent Provisions

The majority of Dominion Energy’s derivative instruments contain credit-related contingent provisions. These provisions require Dominion Energy to provide collateral upon the occurrence of specific events, primarily a credit rating downgrade. If the credit-related contingent features underlying these instruments that are in a liability position and not fully collateralized with cash were fully triggered as of June 30, 2018 and December 31, 2017, Dominion Energy would have been required to post $11 million and $62 million, respectively, of additional collateral to its counterparties. The collateral that would be required to be posted includes the impacts of any offsetting asset positions and any amounts already posted for derivatives, non-derivative contracts and derivatives elected under the normal purchases and normal sales exception, per contractual terms. Dominion Energy had posted no collateral at June 30, 2018 or December 31, 2017 related to derivatives with credit-related contingent provisions that are in a liability position and not fully collateralized with cash. The aggregate fair value of all derivative instruments with credit-related contingent provisions that are in a liability position and not fully collateralized with cash at June 30, 2018 and December 31, 2017 was $13 million and $65 million, respectively, which does not include the impact of any offsetting asset positions. Credit-related contingent provisions for Virginia Power and Dominion Energy Gas were not material as of June 30, 2018 and December 31, 2017. See Note 9 for further information about derivative instruments.