Commitments and Contingencies (Tables)

12 Months Ended

Dec. 31, 2023

Commitments and Contingencies

Summary of undiscounted expected payments for PPA

(in millions)	Total
2024	$	2,862
2025		2,917
2026		2,732
2027		2,477
2028		2,261
Thereafter		17,115
Total future commitments1	$	30,364

1 Certain power purchase agreements are treated as operating leases. For further discussion, see Note 13. Includes long-term lease contracts commencing in 2024 with total future minimum lease payments of $69 million.

Summary of Certain Future Other Commitments

The following summarizes the estimated minimum future commitments for SCE's other commitments:

(in millions)	2024		2025		2026		2027		2028		Thereafter		Total
Other contractual obligations	$	49	$	36	$	38	$	32	$	33	$	161	$	349

2017/2018 Wildfire/Mudslide Events

Commitments and Contingencies

Schedule of Contingency Accruals and Changes

(in millions)
Balance at December 31, 20221	$	1,119
Increase in accrued estimated losses		630
Amounts paid		(1,034)
Balance at December 31, 20232	$	715

1 At December 31, 2022, $121 million in current liabilities, wildfire-related claims, on Edison International's and SCE's consolidated balance sheets consisted of $65 million of settlements executed and $56 million of short term payables under the SED Agreement in connection with the 2017/2018 Wildfire/Mudslide Events. At December 31, 2022, the $1,687 million included in deferred credits and other liabilities, wildfire-related claims, on Edison International's and SCE's consolidated balance sheets included Edison International's and SCE's best estimate of expected losses for remaining alleged and potential claims related to the 2017/2018 Wildfire/Mudslide Events of $934 million, $64 million of long term payables under the SED Agreement and other wildfire-related claims estimates of $689 million.

2 At December 31, 2023, $30 million in current liabilities, wildfire-related claims, on Edison International's and SCE's consolidated balance sheets consisted of $16 million of settlements executed and $14 million of short term payables under the SED Agreement in connection with the 2017/2018 Wildfire/Mudslide Events. At December 31, 2023, the $1,368 million included in deferred credits and other liabilities, wildfire-related claims, on Edison International's and SCE's consolidated balance sheets included Edison International's and SCE's best estimate of expected losses for remaining alleged and potential claims related to the 2017/2018 Wildfire/Mudslide Events of $637 million, $48 million of long term payables under the SED Agreement and estimated losses related to other wildfires of $683 million.

For the years-ended December 31, 2023 and 2022, Edison International's and SCE's consolidated statements of income included charges for the estimated losses, net of expected recoveries from insurance and FERC customers, related to the 2017/2018 Wildfire/Mudslide Events claims as follows:

	Years ended December 31,
(in millions)	2023		2022
Charge for wildfire-related claims	$	630	$	1,296
Expected revenue from FERC customers		(37)		(76)
Total pre-tax charge		593		1,220
Income tax benefit		(165)		(341)
Total after-tax charge	$	428	$	879

Post-2018 Wildfires

Commitments and Contingencies

Schedule of Contingency Accruals and Changes

The following table presents changes in estimated losses since December 31, 2022:

(in millions)
Balance at December 31, 2022	$	682
Increase in accrued estimated losses		184
Amounts paid		(190)
Balance at December 31, 2023	$	676

For the years-ended December 31, 2023 and 2022, Edison International's and SCE's consolidated statements of income included charges for the estimated losses (established at the low end of the estimated range of reasonably possible losses), net of expected recoveries from insurance and customers, related to the Post-2018 Wildfires as follows, respectively:

	Years ended December 31,
(in millions)	2023		2022
Edison International:
Charge for wildfire-related claims1	$	184	$	572
Expected insurance recoveries2		(147)		(390)
Expected revenue from CPUC and FERC customers		(2)		(162)
Total pre-tax charge		35		20
Income tax benefit		(10)		(6)
Total after-tax charge	$	25	$	14

	Years ended December 31,
(in millions)	2023		2022
SCE:
Charge for wildfire-related claims1	$	184	$	572
Expected insurance recoveries		(149)		(399)
Expected revenue from CPUC and FERC customers		(2)		(162)
Total pre-tax charge		33		11
Income tax benefit		(9)		(3)
Total after-tax charge	$	24	$	8

1 Includes estimated co-insurance payments recorded as operations and maintenance expense.

2 In the third quarter of 2023 and 2022, Edison Insurance Services, Inc. ("EIS"), a wholly-owned subsidiary of Edison International, incurred $3 million and $9 million insurance expenses, respectively. These amounts were included in the insurance recovery of SCE but were excluded from that of Edison International.