CREDIT LOSSES (Tables)

6 Months Ended

Jun. 30, 2020

Schedule of gross receivables and related allowances for credit losses

We have included a table below that shows our gross third-party receivable balances and the related allowance for credit losses at June 30, 2020 by reportable segment.


(in millions)	Wisconsin			Illinois			Other States			Total Utility Operations			Non-Utility Energy Infrastructure			Corporate and Other			WEC Energy Group Consolidated
Accounts receivable and unbilled revenues	$	771.3		$	298.9		$	42.0		$	1,112.2		$	6.3		$	4.1		$	1,122.6
Allowance for credit losses	77.9			82.7			4.0			164.6			—			0.1			164.7
Accounts receivable and unbilled revenues, net ⁽¹⁾	$	693.4		$	216.2		$	38.0		$	947.6		$	6.3		$	4.0		$	957.9

Total accounts receivable, net – past due greater than 90 days ⁽¹⁾	$	72.6		$	59.3		$	7.1		$	139.0		$	—		$	—		$	139.0
Past due greater than 90 days – collection risk mitigated by regulatory mechanisms ⁽¹⁾	93.8		%	100.0		%	—		%	91.7		%	—		%	—		%	91.7		%

⁽¹⁾Our exposure to credit losses for certain regulated utility customers is mitigated by regulatory mechanisms we have in place. Specifically, rates related to all of the customers in our Illinois segment, as well as the residential rates of WE, WG, and WPS in our Wisconsin segment include riders or other mechanisms for cost recovery or refund of uncollectible expense based on the difference between the actual provision for credit losses and the amounts recovered in rates. As a result, at June 30, 2020, $530.6 million, or 55.4%, of our net accounts receivable and unbilled revenues balance had regulatory protections in place to mitigate the exposure to credit losses. In addition, we have received specific orders related to credit losses incurred as a result of the COVID-19 pandemic. In a March 24, 2020 order, the PSCW authorized the deferral of credit losses at WE, WG, and WPS for commercial and industrial customers, to the extent these losses exceed the amount included in rates, as a result of the COVID-19 pandemic and the actions WE, WG, and WPS have been required to take to ensure essential utility services are available to customers. Pursuant to an April 15, 2020 order addressing certain impacts of the COVID-19 pandemic, the MPSC authorized all Michigan utilities to defer, for potential future recovery, uncollectible expense incurred on or after March 24, 2020 that exceeds the amounts being recovered in rates. On May 22, 2020, the MPUC issued a written order authorizing Minnesota utilities to track and defer COVID-19 related expenses and certain foregone revenues. The additional protections related to our June 30, 2020 accounts receivable and unbilled revenue balances provided by these orders are subject to prudency reviews and are still being assessed. They are not reflected in the percentages in the above table or this note. See Note 23, Regulatory Environment, for more information.

Rollforward of the allowances for credit losses by reportable segment

A rollforward of the allowance for credit losses by reportable segment is included below:


(in millions)	Wisconsin		Illinois		Other States		Total Utility Operations		Corporate and Other		WEC Energy Group Consolidated
Balance at December 31, 2019	$	59.9	$	75.9	$	4.1	$	139.9	$	0.1	$	140.0
Provision for credit losses	26.0		22.0		1.1		49.1		—		49.1
Provision for credit losses deferred for future recovery or refund	9.1		25.6		—		34.7		—		34.7
Write-offs charged against the allowance	(37.7)		(49.5)		(2.0)		(89.2)		—		(89.2)
Recoveries of amounts previously written off	20.6		8.7		0.8		30.1		—		30.1
Balance at June 30, 2020	$	77.9	$	82.7	$	4.0	$	164.6	$	0.1	$	164.7