Significant Accounting Policies

3 Months Ended

Mar. 31, 2023

Accounting Policies [Abstract]

Schedule of Regulatory Assets

Amounts deferred as regulatory assets and liabilities for NW Holdings and NW Natural were as follows:

	Regulatory Assets
	March 31,				December 31,
In thousands	2023		2022		2022
NW Natural:
Current:
Unrealized loss on derivatives(1)	$	44,370	$	3,855	$	28,728
Gas costs	51,296		33,215		61,223
Environmental Costs(2)	6,947		7,082		7,392
Decoupling(3)	—		469		—
Pension balancing(4)	7,131		7,131		7,131
Income taxes	2,208		2,299		2,208
Other(5)	14,594		10,430		10,809
Total current - NW Natural	$	126,546	$	64,481	$	117,491
Non-current:
Unrealized loss on derivatives(1)	$	15,382	$	592	$	20,838
Pension balancing(4)	30,613		35,974		32,997
Income taxes	10,540		11,129		10,943
Pension and other postretirement benefit liabilities	101,413		113,494		101,413
Environmental Costs(2)	99,541		87,566		104,253
Gas costs	6,546		10,054		22,355
Other(5)	47,359		38,673		47,608
Total non-current - NW Natural	$	311,394	$	297,482	$	340,407
Other (NW Holdings)	25		64		25
Total non-current - NW Holdings	$	311,419	$	297,546	$	340,432

Schedule of Regulatory Liabilities

	Regulatory Liabilities
	March 31,				December 31,
In thousands	2023		2022		2022
NW Natural:
Current:
Gas costs	$	5,670	$	1,922	$	4,121
Unrealized gain on derivatives(1)	8,890		84,438		194,236
Decoupling(3)	12,606		8,236		14,026
Income taxes	5,143		7,318		7,166
Asset optimization revenue sharing	19,040		5,186		26,368
Other(5)	6,145		4,691		2,636
Total current - NW Natural	$	57,494	$	111,791	$	248,553
Other (NW Holdings)	29		—		29
Total current - NW Holdings	$	57,523	$	111,791	$	248,582
Non-current:
Gas costs	$	2,024	$	532	$	12,644
Unrealized gain on derivatives(1)	1,432		6,955		5,045
Decoupling(3)	3,931		3,585		3,814
Income taxes(6)	170,289		176,138		174,212
Accrued asset removal costs(7)	474,764		450,973		467,742
Asset optimization revenue sharing	—		—		8,401
Other(5)	15,908		13,812		16,741
Total non-current - NW Natural	$	668,348	$	651,995	$	688,599
Other (NW Holdings)	980		982		979
Total non-current - NW Holdings	$	669,328	$	652,977	$	689,578

(1)Unrealized gains or losses on derivatives are non-cash items and therefore do not earn a rate of return or a carrying charge. These amounts are recoverable through NGD rates as part of the annual Purchased Gas Adjustment (PGA) mechanism when realized at settlement.

(2)Refer to the Environmental Cost Deferral and Recovery table in Note 16 for a description of environmental costs.

(3)This deferral represents the margin adjustment resulting from differences between actual and expected volumes. 

(4)Balance represents deferred net periodic benefit costs as approved by the OPUC.

(5)Balances consist of deferrals and amortizations under approved regulatory mechanisms and typically earn a rate of return or carrying charge.

(6)Balance represents excess deferred income tax benefits subject to regulatory flow-through.

(7)Estimated costs of removal on certain regulated properties are collected through rates.

Schedule of Cash Flow, Supplemental Disclosures

The following table provides a reconciliation of the cash, cash equivalents and restricted cash balances at NW Holdings as of March 31, 2023 and 2022 and December 31, 2022:

	March 31,				December 31,
In thousands	2023		2022		2022
Cash and cash equivalents	$	140,821	$	24,325	$	29,270
Restricted cash included in other current assets	15,173		11,318		11,694
Cash, cash equivalents and restricted cash	$	155,994	$	35,643	$	40,964

The following table provides a reconciliation of the cash, cash equivalents and restricted cash balances at NW Natural as of March 31, 2023 and 2022 and December 31, 2022:

	March 31,				December 31,
In thousands	2023		2022		2022
Cash and cash equivalents	$	129,731	$	10,165	$	12,977
Restricted cash included in other current assets	15,173		11,318		11,694
Cash, cash equivalents and restricted cash	$	144,904	$	21,483	$	24,671

Accounts Receivable, Allowance for Credit Loss [Table Text Block]

The following table presents the activity related to the NW Holdings provision for uncollectible accounts by pool:

	As of						As of
	December 31, 2022		Three Months Ended March 31, 2023				March 31, 2023
In thousands	Beginning Balance		Provision recorded, net of adjustments		Write-offs recognized, net of recoveries		Ending Balance
Allowance for uncollectible accounts:
Residential	$	2,155	$	1,063	$	(265)	$	2,953
Commercial	400		114		(33)		481
Industrial	188		14		(1)		201
Accrued unbilled and other	336		10		(44)		302
Total NW Natural	3,079		1,201		(343)		3,937
Other - NW Holdings	217		2,606		—		2,823
Total NW Holdings	$	3,296	$	3,807	$	(343)	$	6,760