Leases

3 Months Ended

Mar. 31, 2024

Leases [Abstract]

Lease Revenue

The components of lease revenue at NW Natural were as follows:

	Three Months Ended March 31,
In thousands	2024		2023
Lease revenue
Operating leases	$	22	$	19
Sales-type leases	4,104		3,979
Total lease revenue	$	4,126	$	3,998

Lessor, Operating Lease, Payments to be Received, Maturity

Total future minimum lease payments to be received under non-cancelable leases at March 31, 2024 are as follows:

In thousands	Operating		Sales-Type		Total
NW Natural:
Remainder of 2024	$	452	$	11,900	$	12,352
2025	599		15,306		15,905
2026	36		14,901		14,937
2027	22		14,521		14,543
2028	—		13,983		13,983
Thereafter	—		208,218		208,218
Total minimum lease payments	$	1,109	278,829		$	279,938
Less: imputed interest			151,120
Total leases receivable			$	127,709
Other (NW Holdings):
Remainder of 2024	$	39	$	—	$	39
2025	53		—		53
2026	56		—		56
2027	57		—		57
2028	58		—		58
Thereafter	800		—		800
Total minimum lease payments	$	1,063	$	—	$	1,063

NW Holdings:
Remainder of 2024	$	491	$	11,900	$	12,391
2025	652		15,306		15,958
2026	92		14,901		14,993
2027	79		14,521		14,600
2028	58		13,983		14,041
Thereafter	800		208,218		209,018
Total minimum lease payments	$	2,172	278,829		$	281,001
Less: imputed interest			151,120
Total leases receivable			$	127,709

Lease Expense

The components of lease expense, a portion of which is capitalized, were as follows:

	Three Months Ended March 31,
In thousands	2024		2023
NW Natural:
Operating lease expense	$	1,862	$	1,775
Short-term lease expense	81		80
Other (NW Holdings):
Operating lease expense	$	45	$	40
NW Holdings:
Operating lease expense	$	1,907	$	1,815
Short-term lease expense	81		80

Operating Lease, Lease Asset and Liabilities

Supplemental balance sheet information related to operating leases as of March 31, 2024 and 2023 and December 31, 2023 is as follows:

In thousands	March 31,				December 31,
	2024		2023		2023
NW Natural:
Operating lease right of use asset	$	70,019	$	72,077	$	70,728
Operating lease liabilities - current liabilities	$	1,863	$	1,538	$	2,128
Operating lease liabilities - non-current liabilities	76,624		77,840		76,757
Total operating lease liabilities	$	78,487	$	79,378	$	78,885
Other (NW Holdings):
Operating lease right of use asset	$	528	$	622	$	580

Operating lease liabilities - current liabilities	$	190	$	162	$	205
Operating lease liabilities - non-current liabilities	427		462		410
Total operating lease liabilities	$	617	$	624	$	615
NW Holdings:
Operating lease right of use asset	$	70,547	$	72,699	$	71,308
Operating lease liabilities - current liabilities	$	2,053	$	1,700	$	2,333
Operating lease liabilities - non-current liabilities	77,051		78,302		77,167
Total operating lease liabilities	$	79,104	$	80,002	$	79,500

Operating Lease, Weighted Average Remaining Term and Discount Rates [Table Text Block]

The weighted-average remaining lease terms and weighted-average discount rates for the operating leases at NW Natural were as follows:

In thousands	March 31,				December 31,
	2024		2023		2023
Weighted-average remaining lease term (years)	16.0		17.0		16.2
Weighted-average discount rate	7.3	%	7.3	%	7.3	%

Lessee, Operating Lease, Liability, Maturity

Maturities of operating lease liabilities at March 31, 2024 were as follows:

In thousands	NW Natural		Other (NW Holdings)		NW Holdings
Remainder of 2024	$	5,673	$	138	$	5,811
2025	7,362		176		7,538
2026	7,361		153		7,514
2027	7,538		107		7,645
2028	7,719		6		7,725
Thereafter	101,272		6		101,278
Total lease payments	136,925		586		137,511
Less: imputed interest	58,438		(31)		58,407
Total lease obligations	78,487		617		79,104
Less: current obligations	1,863		190		2,053
Long-term lease obligations	$	76,624	$	427	$	77,051

Lessee, Leases, Supplemental Cash Flow Information

Supplemental cash flow information related to leases was as follows:

	Three Months Ended March 31,
In thousands	2024		2023
NW Natural:
Cash paid for amounts included in the measurement of lease liabilities
Operating cash flows from operating leases	$	1,811	$	1,767
Finance cash flows from finance leases	97		173
Right of use assets obtained in exchange for lease obligations
Finance leases	97		173
Other (NW Holdings):
Cash paid for amounts included in the measurement of lease liabilities

Operating cash flows from operating leases	$	44	$	39
Right of use assets obtained in exchange for lease obligations
Finance leases	—		90
NW Holdings:
Cash paid for amounts included in the measurement of lease liabilities
Operating cash flows from operating leases	$	1,855	$	1,806
Finance cash flows from finance leases	97		173
Right of use assets obtained in exchange for lease obligations
Finance leases	97		263