Derivative Instruments (Tables) - Southern California Edison

6 Months Ended

Jun. 30, 2020

Derivative Instruments and Hedging Activities Disclosures [Line Items]

Fair Value of Derivative Asset Instruments

The following table summarizes the gross and net fair values of SCE's commodity derivative instruments:

	June 30, 2020
	Derivative Assets						Derivative Liabilities						Net Assets
(in millions)	Short-Term1		Long-Term2		Subtotal		Short-Term3		Long-Term		Subtotal
Commodity derivative contracts
Gross amounts recognized	$	39	$	1	$	40	$	67	$	—	$	67	$	(27)
Gross amounts offset in the consolidated balance sheets	(6)		—		(6)		(6)		—		(6)		—
Cash collateral posted4	—		—		—		(28)		—		(28)		28
Net amounts presented in the consolidated balance sheets	$	33	$	1	$	34	$	33	$	—	$	33	$	1

	December 31, 2019
	Derivative Assets						Derivative Liabilities						Net Assets
(in millions)	Short-Term1		Long-Term2		Subtotal		Short-Term3		Long-Term		Subtotal
Commodity derivative contracts
Gross amounts recognized	$	94	$	8	$	102	$	14	$	2	$	16	$	86
Gross amounts offset in the consolidated balance sheets	(13)		(2)		(15)		(13)		(2)		(15)		—
Cash collateral posted4	—		—		—		—		—		—		—
Net amounts presented in the consolidated balance sheets	$	81	$	6	$	87	$	1	$	—	$	1	$	86

¹  Included in "Other current assets" on Edison International's and SCE's consolidated balance sheets.

² Included in "Other long-term assets" on Edison International's and SCE's consolidated balance sheets.

³ Included in "Other current liabilities" on Edison International's and SCE's consolidated balance sheets.

⁴  At June 30, 2020, SCE posted $43 million of cash, of which $28 million was offset against net derivative liabilities and $15 million was reflected in "Other current assets" on the consolidated balance sheets. At December 31, 2019, SCE posted $24 million of cash, which was not offset against net derivative liabilities and was reflected in "Other current assets" on the consolidated balance sheets.

Fair Value of Derivative Liabilities Instruments

The following table summarizes the gross and net fair values of SCE's commodity derivative instruments:

	June 30, 2020
	Derivative Assets						Derivative Liabilities						Net Assets
(in millions)	Short-Term1		Long-Term2		Subtotal		Short-Term3		Long-Term		Subtotal
Commodity derivative contracts
Gross amounts recognized	$	39	$	1	$	40	$	67	$	—	$	67	$	(27)
Gross amounts offset in the consolidated balance sheets	(6)		—		(6)		(6)		—		(6)		—
Cash collateral posted4	—		—		—		(28)		—		(28)		28
Net amounts presented in the consolidated balance sheets	$	33	$	1	$	34	$	33	$	—	$	33	$	1

	December 31, 2019
	Derivative Assets						Derivative Liabilities						Net Assets
(in millions)	Short-Term1		Long-Term2		Subtotal		Short-Term3		Long-Term		Subtotal
Commodity derivative contracts
Gross amounts recognized	$	94	$	8	$	102	$	14	$	2	$	16	$	86
Gross amounts offset in the consolidated balance sheets	(13)		(2)		(15)		(13)		(2)		(15)		—
Cash collateral posted4	—		—		—		—		—		—		—
Net amounts presented in the consolidated balance sheets	$	81	$	6	$	87	$	1	$	—	$	1	$	86

¹  Included in "Other current assets" on Edison International's and SCE's consolidated balance sheets.

² Included in "Other long-term assets" on Edison International's and SCE's consolidated balance sheets.

³ Included in "Other current liabilities" on Edison International's and SCE's consolidated balance sheets.

⁴  At June 30, 2020, SCE posted $43 million of cash, of which $28 million was offset against net derivative liabilities and $15 million was reflected in "Other current assets" on the consolidated balance sheets. At December 31, 2019, SCE posted $24 million of cash, which was not offset against net derivative liabilities and was reflected in "Other current assets" on the consolidated balance sheets.

Summarization of Economic Hedging Activities

The following table summarizes the components of SCE's economic hedging activity:

	Three months ended June 30,				Six months ended June 30,
(in millions)	2020		2019		2020		2019
Realized (losses) gains	$	(16)	$	(2)	$	(60)	$	30
Unrealized losses	(31)		(78)		(114)		(128)

Notional Volumes of Derivative Instruments

The following table summarizes the notional volumes of derivatives used for SCE's economic hedging activities:

		Economic Hedges
Commodity	Unit of Measure	June 30, 2020	December 31, 2019
Electricity options, swaps and forwards	GWh	4,863	3,155
Natural gas options, swaps and forwards	Bcf	50	43
Congestion revenue rights	GWh	31,945	48,170