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Fair Value of Financial Assets and Liabilities (Tables)
 3 Months Ended
Mar. 31, 2020
Fair Value Disclosures [Abstract]  
Gross Notional Amounts of Commodity Forwards and Options
Gross notional amounts of commodity forwards and options:
(Amounts in Millions) (a)(b)
 
March 31, 2020
 
Dec. 31, 2019
MWh of electricity
 
9.4

 
9.3

MMBtu of natural gas
 
50.4

 
32.2

(a) 
Amounts are not reflective of net positions in the underlying commodities.
(b) 
Notional amounts for options are included on a gross basis, but are weighted for the probability of exercise.
Impact of Derivative Activity on Accumulated Other Comprehensive Loss, Regulatory Assets and Liabilities, and Income
 
 
Pre-Tax (Gains) Losses
Reclassified into Income
During the Period from:
 
Pre-Tax Gains
(Losses) Recognized
During the Period in Income
 
(Millions of Dollars)
 
Accumulated
Other
Comprehensive Loss
 
Regulatory Assets and
(Liabilities)
 
 
Three Months Ended March 31, 2019
 
 
 
 
 
 
 
Derivatives designated as cash flow hedges
 
 
 
 
 
 
 
Interest rate
 
$
0.4

(a) 
$
—

 
$
—

 
Total
 
0.4

 
—

 
—

 
Other derivative instruments
 
 
 
 
 
 
 
Commodity trading
 
—

 
—

 
0.9

(b) 
Natural gas commodity
 
—

 
(1.3
)
(c) 
(2.0
)
(c) 
Total
 
$
—

 
$
(1.3
)
 
$
(1.1
)
 
(a) 
Amounts are recorded to interest charges.
(b) 
Amounts are recorded to electric operating revenues. Portions of these gains and losses are subject to sharing with electric customers through margin-sharing mechanisms and deducted from gross revenue as appropriate.
(c) 
Amounts for the three months ended March 31, 2019, included no settlement gain or losses on derivatives entered to mitigate natural gas price risk for electric generation recorded to electric fuel and purchased power, subject to cost-recovery mechanisms and reclassified to a regulatory asset, as appropriate. Remaining derivative settlement losses for the three months ended March 31, 2019, relate to natural gas operations and are recorded to cost of natural gas sold and transported. These gains and losses are subject to cost-recovery mechanisms and reclassified out of income to a regulatory asset or liability, as appropriate.
 
 
Pre-Tax Losses
Reclassified into Income
During the Period from:
 
Pre-Tax
Losses Recognized
During the Period in Income
 
(Millions of Dollars)
 
Accumulated
Other
Comprehensive Loss
 
Regulatory
Assets and (Liabilities)
 
 
Three Months Ended March 31, 2020
 
 
 
 
 
 
 
Derivatives designated as cash flow hedges
 
 
 
 
 
 
 
Interest rate
 
$
0.4

(a) 
$
—

 
$
—

 
Total
 
0.4

 
—

 
—

 
Other derivative instruments
 
 
 
 
 
 
 
Commodity trading
 
—

 
—

 
(2.1
)
(b) 
Natural gas commodity
 
—

 
3.4

(c) 
(3.4
)
(c) 
Total
 
$
—

 
$
3.4

 
$
(5.5
)
 

(a) 
Amounts are recorded to interest charges.
(b) 
Amounts are recorded to electric operating revenues. Portions of these gains and losses are subject to sharing with electric customers through margin-sharing mechanisms and deducted from gross revenue as appropriate.
(c) 
Amounts for the three months ended March 31, 2020, included no settlement gain or losses on derivatives entered to mitigate natural gas price risk for electric generation recorded to electric fuel and purchased power, subject to cost-recovery mechanisms and reclassified to a regulatory asset, as appropriate. Remaining derivative settlement losses for the three months ended March 31, 2020, relate to natural gas operations and are recorded to cost of natural gas sold and transported. These gains and losses are subject to cost-recovery mechanisms and reclassified out of income to a regulatory asset or liability, as appropriate.
 
 
Pre-Tax Fair Value Gains Recognized During the Period in:
(Millions of Dollars)
 
Accumulated Other
Comprehensive Loss
 
Regulatory (Assets) and Liabilities
Three Months Ended March 31, 2019
 
 
 
 
Other derivative instruments
 
 
 
 
Natural gas commodity
 
$
—

 
$
3.3

Total
 
$
—

 
$
3.3
Derivative Assets and Liabilities Measured at Fair Value on a Recurring Basis by Hierarchy Level
 
 
March 31, 2020
 
Dec. 31, 2019
 
 
Fair Value
 
Fair Value
Total
 
Netting (a)
 
 
 
Fair Value
 
Fair Value
Total
 
Netting (a)
 
 
(Millions of Dollars)
 
Level 1
 
Level 2
 
Level 3
 
 
 
Total
 
Level 1
 
Level 2
 
Level 3
 
 
 
Total
Current derivative assets
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Other derivative instruments:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Commodity trading
 
$
4.7

 
$
14.8

 
$
0.6

 
$
20.1

 
$
(15.1
)
 
$
5.0

 
$
1.9

 
$
11.1

 
$
0.9

 
$
13.9

 
$
(10.1
)
 
$
3.8

Natural gas commodity
 
—

 
—

 
—

 
—

 
—

 
—

 
—

 
3.4

 
—

 
3.4

 
—

 
3.4

Total current derivative assets
 
$
4.7

 
$
14.8

 
$
0.6

 
$
20.1

 
$
(15.1
)
 
$
5.0

 
$
1.9

 
$
14.5

 
$
0.9

 
$
17.3

 
$
(10.1
)
 
$
7.2

Noncurrent derivative assets
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Other derivative instruments:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Commodity trading
 
$
0.3

 
$
6.8

 
$
0.4

 
$
7.5

 
$
(7.5
)
 
$
—

 
$
0.4

 
$
8.1

 
$
1.1

 
$
9.6

 
$
(9.6
)
 
$
—

Total noncurrent derivative assets
 
$
0.3

 
$
6.8

 
$
0.4

 
$
7.5

 
$
(7.5
)
 
$
—

 
$
0.4

 
$
8.1

 
$
1.1

 
$
9.6

 
$
(9.6
)
 
$
—


 
 
March 31, 2020
 
Dec. 31, 2019
 
 
Fair Value
 
Fair Value
Total
 
Netting (a)
 
 
 
Fair Value
 
Fair Value
Total
 
Netting (a)
 
 
(Millions of Dollars)
 
Level 1
 
Level 2
 
Level 3
 
 
 
Total
 
Level 1
 
Level 2
 
Level 3
 
 
 
Total
Current derivative liabilities
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Other derivative instruments:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Commodity trading
 
$
4.1

 
$
20.2

 
$
—

 
$
24.3

 
$
(15.6
)
 
$
8.7

 
$
1.7

 
$
16.7

 
$
—

 
$
18.4

 
$
(13.1
)
 
$
5.3

Natural gas commodity
 
—

 
—

 
—

 
—

 
—

 
—

 
—

 
3.4

 
—

 
3.4

 
—

 
3.4

Total current derivative liabilities
 
$
4.1

 
$
20.2

 
$
—

 
$
24.3

 
$
(15.6
)
 
$
8.7

 
$
1.7

 
$
20.1

 
$
—

 
$
21.8

 
$
(13.1
)
 
$
8.7

Noncurrent derivative liabilities
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Other derivative instruments:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Commodity trading
 
$
0.3

 
$
44.9

 
$
15.6

 
$
60.8

 
$
(12.6
)
 
$
48.2

 
$
0.4

 
$
47.0

 
$
14.7

 
$
62.1

 
$
(9.6
)
 
$
52.5

Total noncurrent derivative liabilities
 
$
0.3

 
$
44.9

 
$
15.6

 
$
60.8

 
$
(12.6
)
 
$
48.2

 
$
0.4

 
$
47.0

 
$
14.7

 
$
62.1

 
$
(9.6
)
 
$
52.5

(a) 
PSCo nets derivative instruments and related collateral in its consolidated balance sheet when supported by a legally enforceable master netting agreement, and all derivative instruments and related collateral amounts were subject to master netting agreements at March 31, 2020 and Dec. 31, 2019. At both March 31, 2020 and Dec. 31, 2019, derivative liabilities include no obligations to return cash collateral and the right to reclaim cash collateral of $5.6 million and $3.0 million, respectively. The counterparty netting amounts presented exclude settlement receivables and payables and non-derivative amounts that may be subject to the same master netting agreements.
Carrying Amount and Fair Value of Long-term Debt
Other financial instruments for which the carrying amount did not equal fair value:
 
 
March 31, 2020
 
Dec. 31, 2019
(Millions of Dollars)
 
Carrying
Amount
 
Fair Value
 
Carrying
Amount
 
Fair Value
Long-term debt, including current portion
 
$
5,385.7

 
$
5,891.1

 
$
5,384.7

 
$
6,039.3