SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Tables)

3 Months Ended

Mar. 31, 2022

Summary of Revenues Disaggregated by Type of Customer

The following table presents the Utility’s revenues disaggregated by type of customer:


	Three Months Ended March 31,
(in millions)	2022		2021
Electric
Revenue from contracts with customers
Residential	$	1,494	$	1,464
Commercial	1,173		1,013
Industrial	350		327
Agricultural	216		152
Public street and highway lighting	18		17
Other (1)	(14)		(64)
Total revenue from contracts with customers - electric	3,237		2,909
Regulatory balancing accounts (2)	921		486
Total electric operating revenue	$	4,158	$	3,395

Natural gas
Revenue from contracts with customers
Residential	$	1,464	$	1,208
Commercial	344		245
Transportation service only	399		326
Other (1)	(180)		(47)
Total revenue from contracts with customers - gas	2,027		1,732
Regulatory balancing accounts (2)	(387)		(411)
Total natural gas operating revenue	1,640		1,321
Total operating revenues	$	5,798	$	4,716

(1) This activity is primarily related to the change in unbilled revenue and amounts subject to refund, partially offset by other miscellaneous revenue items.

(2) These amounts represent revenues authorized to be billed or refunded to customers.

Schedule of Net Benefit Costs

The net periodic benefit costs reflected in PG&E Corporation’s Condensed Consolidated Financial Statements for the three months ended March 31, 2022 and 2021 were as follows:


	Pension Benefits				Other Benefits
	Three Months Ended March 31,
(in millions)	2022		2021		2022		2021
Service cost for benefits earned (1)	$	144	$	147	$	15	$	16
Interest cost	173		161		13		13
Expected return on plan assets	(297)		(261)		(32)		(35)
Amortization of prior service cost	(1)		(1)		2		4
Amortization of net actuarial (gain) loss	—		1		(10)		(8)
Net periodic benefit cost	19		47		(12)		(10)
Regulatory account transfer (2)	64		37		—		—
Total	$	83	$	84	$	(12)	$	(10)

(1) A portion of service costs are capitalized pursuant to GAAP.

(2) The Utility recorded these amounts to a regulatory account since they are probable of recovery from, or refund to, customers in future rates.

Reporting of Amounts Reclassified Out of Accumulated Other Comprehensive Income

The changes, net of income tax, in PG&E Corporation’s accumulated other comprehensive income (loss) consisted of the following:


	Pension Benefits		Other Benefits		Total
(in millions, net of income tax)	Three Months Ended March 31, 2022
Beginning balance	$	(33)	$	18	$	(15)
Amounts reclassified from other comprehensive income: (1)
Amortization of prior service cost (net of taxes of $0 and $1, respectively)	(1)		1		—
Amortization of net actuarial gain (net of taxes of $0 and $3, respectively)	—		(7)		(7)
Regulatory account transfer (net of taxes of $0 and $2, respectively)	1		6		7
Net current period other comprehensive gain (loss)	—		—		—
Ending balance	$	(33)	$	18	$	(15)

(1) These components are included in the computation of net periodic pension and other post-retirement benefit costs. See the “Pension and Other Post-Retirement Benefits” table above for additional details.


	Pension Benefits		Other Benefits		Total
(in millions, net of income tax)	Three Months Ended March 31, 2021
Beginning balance	$	(39)	$	17	$	(22)
Amounts reclassified from other comprehensive income: (1)
Amortization of prior service cost (net of taxes of $0 and $1, respectively)	(1)		3		2
Amortization of net actuarial (gain) loss (net of taxes of $0 and $2, respectively)	1		(6)		(5)
Regulatory account transfer (net of taxes of $0 and $1, respectively)	1		3		4
Net current period other comprehensive gain (loss)	1		—		1
Ending balance	$	(38)	$	17	$	(21)