OPERATING REVENUES

6 Months Ended

Jun. 30, 2019

Revenue from Contract with Customer [Abstract]

OPERATING REVENUES

OPERATING REVENUES

For more information about our significant accounting policies related to operating revenues, see Note 1(d), Operating Revenues, in our 2018 Annual Report on Form 10-K.

Disaggregation of Operating Revenues

The following tables present our operating revenues disaggregated by revenue source. We do not have any revenues associated with our electric transmission segment, which includes investments accounted for using the equity method. We disaggregate revenues into categories that depict how the nature, amount, timing, and uncertainty of revenues and cash flows are affected by economic factors. For our segments, revenues are further disaggregated by electric and natural gas operations and then by customer class. Each customer class within our electric and natural gas operations have different expectations of service, energy and demand requirements, and are impacted by regulatory activities within their jurisdictions.

(in millions)	Wisconsin		Illinois		Other States		Total Utility Operations		Non-Utility Energy Infrastructure		Corporate and Other		Reconciling Eliminations			WEC Energy Group Consolidated
Three Months Ended June 30, 2019
Electric	$	1,021.9	$	—	$	—	$	1,021.9	$	—	$	—	$	—		$	1,021.9
Natural gas	227.3		232.8		64.0		524.1		9.8		—		(9.1		)	524.8
Total regulated revenues	1,249.2		232.8		64.0		1,546.0		9.8		—		(9.1		)	1,546.7
Other non-utility revenues	—		—		4.2		4.2		15.3		0.8		(3.1		)	17.2
Total revenues from contracts with customers	1,249.2		232.8		68.2		1,550.2		25.1		0.8		(12.2		)	1,563.9
Other operating revenues	4.1		10.1		0.6		14.8		98.2		0.1		(86.8		)	26.3
Total operating revenues	$	1,253.3	$	242.9	$	68.8	$	1,565.0	$	123.3	$	0.9	$	(99.0	)	$	1,590.2

(in millions)	Wisconsin		Illinois			Other States			Total Utility Operations			Non-Utility Energy Infrastructure		Corporate and Other		Reconciling Eliminations			WEC Energy Group Consolidated
Three Months Ended June 30, 2018
Electric	$	1,084.2	$	—		$	—		$	1,084.2		$	—	$	—	$	—		$	1,084.2
Natural gas	236.4		273.8			68.9			579.1			10.0		—		(12.7		)	576.4
Total regulated revenues	1,320.6		273.8			68.9			1,663.3			10.0		—		(12.7		)	1,660.6
Other non-utility revenues	—		0.1			3.9			4.0			9.3		2.8		(3.1		)	13.0
Total revenues from contracts with customers	1,320.6		273.9			72.8			1,667.3			19.3		2.8		(15.8		)	1,673.6
Other operating revenues	4.9		(5.9		)	(0.4		)	(1.4		)	97.7		0.3		(97.7		)	(1.1		)
Total operating revenues	$	1,325.5	$	268.0		$	72.4		$	1,665.9		$	117.0	$	3.1	$	(113.5	)	$	1,672.5

(in millions)	Wisconsin		Illinois		Other States			Total Utility Operations		Non-Utility Energy Infrastructure		Corporate and Other		Reconciling Eliminations			WEC Energy Group Consolidated
Six Months Ended June 30, 2019
Electric	$	2,083.7	$	—	$	—		$	2,083.7	$	—	$	—	$	—		$	2,083.7
Natural gas	792.2		777.4		249.2			1,818.8		26.2		—		(23.8		)	1,821.2
Total regulated revenues	2,875.9		777.4		249.2			3,902.5		26.2		—		(23.8		)	3,904.9
Other non-utility revenues	—		0.1		8.3			8.4		28.6		2.3		(3.8		)	35.5
Total revenues from contracts with customers	2,875.9		777.5		257.5			3,910.9		54.8		2.3		(27.6		)	3,940.4
Other operating revenues	10.8		1.9		(3.5		)	9.2		196.3		0.3		(178.6		)	27.2
Total operating revenues	$	2,886.7	$	779.4	$	254.0		$	3,920.1	$	251.1	$	2.6	$	(206.2	)	$	3,967.6

(in millions)	Wisconsin		Illinois			Other States			Total Utility Operations			Non-Utility Energy Infrastructure		Corporate and Other		Reconciling Eliminations			WEC Energy Group Consolidated
Six Months Ended June 30, 2018
Electric	$	2,151.9	$	—		$	—		$	2,151.9		$	—	$	—	$	—		$	2,151.9
Natural gas	754.4		781.4			241.6			1,777.4			24.9		—		(15.2		)	1,787.1
Total regulated revenues	2,906.3		781.4			241.6			3,929.3			24.9		—		(15.2		)	3,939.0
Other non-utility revenues	—		0.1			7.8			7.9			16.4		4.1		(3.8		)	24.6
Total revenues from contracts with customers	2,906.3		781.5			249.4			3,937.2			41.3		4.1		(19.0		)	3,963.6
Other operating revenues	8.3		(6.2		)	(7.1		)	(5.0		)	193.8		0.4		(193.8		)	(4.6		)
Total operating revenues	$	2,914.6	$	775.3		$	242.3		$	3,932.2		$	235.1	$	4.5	$	(212.8	)	$	3,959.0

Revenues from Contracts with Customers

Electric Utility Operating Revenues

The following table disaggregates electric utility operating revenues into customer class:

	Electric Utility Operating Revenues
	Three Months Ended June 30				Six Months Ended June 30
(in millions)	2019		2018		2019		2018
Residential	$	356.7	$	393.7	$	763.4	$	778.0
Small commercial and industrial	331.3		353.3		665.2		684.0
Large commercial and industrial	217.8		241.6		430.1		445.5
Other	7.3		7.2		15.1		14.9
Total retail revenues	913.1		995.8		1,873.8		1,922.4
Wholesale	44.6		58.4		92.3		113.3
Resale	49.4		25.1		90.2		98.9
Steam	4.3		4.5		14.4		14.2
Other utility revenues	10.5		0.4		13.0		3.1
Total electric utility operating revenues	$	1,021.9	$	1,084.2	$	2,083.7	$	2,151.9

Natural Gas Utility Operating Revenues

The following tables disaggregate natural gas utility operating revenues into customer class:

(in millions)	Wisconsin		Illinois			Other States			Total Natural Gas Utility Operating Revenues
Three Months Ended June 30, 2019
Residential	$	126.2	$	154.1		$	39.3		$	319.6
Commercial and industrial	55.8		45.1			20.5			121.4
Total retail revenues	182.0		199.2			59.8			441.0
Transport	16.2		46.8			6.3			69.3
Other utility revenues *	29.1		(13.2		)	(2.1		)	13.8
Total natural gas utility operating revenues	$	227.3	$	232.8		$	64.0		$	524.1

(in millions)	Wisconsin		Illinois		Other States		Total Natural Gas Utility Operating Revenues
Three Months Ended June 30, 2018
Residential	$	128.1	$	163.7	$	37.9	$	329.7
Commercial and industrial	63.5		47.3		18.7		129.5
Total retail revenues	191.6		211.0		56.6		459.2
Transport	16.4		54.6		6.8		77.8
Other utility revenues *	28.4		8.2		5.5		42.1
Total natural gas utility operating revenues	$	236.4	$	273.8	$	68.9	$	579.1

(in millions)	Wisconsin			Illinois			Other States			Total Natural Gas Utility Operating Revenues
Six Months Ended June 30, 2019
Residential	$	510.1		$	508.1		$	164.5		$	1,182.7
Commercial and industrial	255.5			161.3			92.5			509.3
Total retail revenues	765.6			669.4			257.0			1,692.0
Transport	38.1			134.0			17.4			189.5
Other utility revenues *	(11.5		)	(26.0		)	(25.2		)	(62.7		)
Total natural gas utility operating revenues	$	792.2		$	777.4		$	249.2		$	1,818.8

(in millions)	Wisconsin			Illinois			Other States			Total Natural Gas Utility Operating Revenues
Six Months Ended June 30, 2018
Residential	$	484.8		$	496.3		$	161.1		$	1,142.2
Commercial and industrial	251.4			156.7			83.4			491.5
Total retail revenues	736.2			653.0			244.5			1,633.7
Transport	37.4			132.3			16.7			186.4
Other utility revenues *	(19.2		)	(3.9		)	(19.6		)	(42.7		)
Total natural gas utility operating revenues	$	754.4		$	781.4		$	241.6		$	1,777.4

* Includes amounts collected from (refunded to) customers for purchased gas adjustment costs.

Other Non-Utility Operating Revenues

Other non-utility operating revenues consist primarily of the following:

	Three Months Ended June 30				Six Months Ended June 30
(in millions)	2019		2018		2019		2018
We Power revenues	$	6.3	$	6.2	$	12.7	$	12.6
Appliance service revenues	4.2		3.9		8.3		7.8
Distributed renewable solar project revenues	0.8		2.8		2.3		4.1
Wind generation revenues *	5.9		—		12.1		—
Other	—		0.1		0.1		0.1
Total other non-utility operating revenues	$	17.2	$	13.0	$	35.5	$	24.6

* In 2019, we continued to invest in wind generation facilities and recognize revenues from these wind generation facilities as energy is produced and delivered to the customer within the production month.

As part of the construction of the We Power electric generating units, we capitalized interest during construction, which is included in property, plant, and equipment. As allowed by the PSCW, we collected carrying costs from WE's utility customers during construction. The equity portion of these carrying costs was recorded as deferred revenue, net on our balance sheets and we continually amortize this contract liability to revenues over the life of the related lease term that We Power has with WE.

During the three and six months ended June 30, 2019, we recorded $6.3 million and $12.7 million of revenue, respectively, related to amortization of these deferred carrying costs. During the three and six months ended June 30, 2018, we recorded $6.2 million and $12.6 million of revenue, respectively, related to amortization of these deferred carrying costs.

Other Operating Revenues

Other operating revenues consist primarily of the following:

	Three Months Ended June 30					Six Months Ended June 30
(in millions)	2019		2018			2019			2018
Alternative revenues *	$	1.1	$	(14.2	)	$	(18.6	)	$	(30.3	)
Late payment charges	12.0		11.1			25.2			22.5
Rental revenues	13.2		2.0			20.6			3.2
Total other operating revenues	$	26.3	$	(1.1	)	$	27.2		$	(4.6	)

*

Negative amounts can result from alternative revenues being reversed to revenues from contracts with customers as the customer is billed for these alternative revenues. Negative amounts can also result from revenues to be refunded to customers subject to decoupling mechanisms and wholesale true-ups.