CREDIT LOSSES (Tables)

9 Months Ended

Sep. 30, 2022

Schedule of gross receivables and related allowances for credit losses

We have included tables below that show our gross third-party receivable balances and the related allowance for credit losses at September 30, 2022 and December 31, 2021, by reportable segment.


(in millions)	Wisconsin			Illinois			Other States			Total Utility Operations			Non-Utility Energy Infrastructure			Corporate and Other			WEC Energy Group Consolidated
September 30, 2022
Accounts receivable and unbilled revenues	$	970.2		$	429.7		$	67.1		$	1,467.0		$	18.5		$	4.8		$	1,490.3
Allowance for credit losses	72.4			89.7			6.4			168.5			—			—			168.5
Accounts receivable and unbilled revenues, net (1)	$	897.8		$	340.0		$	60.7		$	1,298.5		$	18.5		$	4.8		$	1,321.8

Total accounts receivable, net – past due greater than 90 days (1)	$	56.0		$	74.6		$	4.4		$	135.0		$	—		$	—		$	135.0
Past due greater than 90 days – collection risk mitigated by regulatory mechanisms (1)	96.0		%	100.0		%	—		%	95.1		%	—		%	—		%	95.1		%


(in millions)	Wisconsin			Illinois			Other States			Total Utility Operations			Non-Utility Energy Infrastructure			Corporate and Other			WEC Energy Group Consolidated
December 31, 2021
Accounts receivable and unbilled revenues	$	1,053.1		$	523.1		$	105.7		$	1,681.9		$	17.0		$	5.1		$	1,704.0
Allowance for credit losses	84.0			105.5			8.8			198.3			—			—			198.3
Accounts receivable and unbilled revenues, net (1)	$	969.1		$	417.6		$	96.9		$	1,483.6		$	17.0		$	5.1		$	1,505.7

Total accounts receivable, net – past due greater than 90 days (1)	$	46.5		$	36.6		$	3.4		$	86.5		$	—		$	—		$	86.5
Past due greater than 90 days – collection risk mitigated by regulatory mechanisms (1)	97.6		%	100.0		%	—		%	94.8		%	—		%	—		%	94.8		%

(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, WPS, and WG 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 September 30, 2022, $754.7 million, or 57.1%, of our net accounts receivable and unbilled revenues balance had regulatory protections in place to mitigate the exposure to credit losses.

Rollforward of the allowances for credit losses by reportable segment

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


Three Months Ended September 30, 2022 (in millions)	Wisconsin		Illinois		Other States		WEC Energy Group Consolidated
Balance at the beginning of the period	$	78.0	$	91.0	$	6.8	$	175.8
Provision for credit losses	10.0		5.2		0.6		15.8
Provision for credit losses deferred for future recovery or refund	10.2		2.6		—		12.8
Write-offs charged against the allowance	(34.6)		(13.5)		(1.3)		(49.4)
Recoveries of amounts previously written off	8.8		4.4		0.3		13.5
Balance at September 30, 2022	$	72.4	$	89.7	$	6.4	$	168.5

Nine Months Ended September 30, 2022 (in millions)	Wisconsin		Illinois		Other States		WEC Energy Group Consolidated
Balance at the beginning of the period	$	84.0	$	105.5	$	8.8	$	198.3
Provision for credit losses	33.6		23.6		0.7		57.9
Provision for credit losses deferred for future recovery or refund	13.6		3.5		—		17.1
Write-offs charged against the allowance	(85.5)		(58.7)		(3.9)		(148.1)
Recoveries of amounts previously written off	26.7		15.8		0.8		43.3
Balance at September 30, 2022	$	72.4	$	89.7	$	6.4	$	168.5


Three Months Ended September 30, 2021 (in millions)	Wisconsin		Illinois		Other States		WEC Energy Group Consolidated
Balance at the beginning of the period	$	114.4	$	109.0	$	8.3	$	231.7
Provision for credit losses	10.7		4.4		0.8		15.9
Provision for credit losses deferred for future recovery or refund	(38.2)		26.5		—		(11.7)
Write-offs charged against the allowance	(16.2)		(29.9)		(0.7)		(46.8)
Recoveries of amounts previously written off	5.7		4.7		0.2		10.6
Balance at September 30, 2021	$	76.4	$	114.7	$	8.6	$	199.7


Nine Months Ended September 30, 2021 (in millions)	Wisconsin		Illinois		Other States		WEC Energy Group Consolidated
Balance at the beginning of the period	$	102.1	$	111.6	$	6.4	$	220.1
Provision for credit losses	33.8		16.7		3.1		53.6
Provision for credit losses deferred for future recovery or refund	(28.1)		10.7		—		(17.4)
Write-offs charged against the allowance	(51.2)		(36.7)		(1.8)		(89.7)
Recoveries of amounts previously written off	19.8		12.4		0.9		33.1
Balance at September 30, 2021	$	76.4	$	114.7	$	8.6	$	199.7