Property, Plant and Equipment, Net

6 Months Ended

Jun. 30, 2017

Property, Plant and Equipment [Line Items]

Property, plant and equipment, net consists of the following (in millions):



		As of
	Depreciable	June 30,			December 31,
	Life	2017			2016
Regulated assets:
Utility generation, transmission and distribution systems	5-80 years	$	72,317		$	71,536
Interstate natural gas pipeline assets	3-80 years	6,969			6,942
		79,286			78,478
Accumulated depreciation and amortization		(24,029		)	(23,603		)
Regulated assets, net		55,257			54,875

Nonregulated assets:
Independent power plants	5-30 years	5,880			5,594
Other assets	3-30 years	1,164			1,002
		7,044			6,596
Accumulated depreciation and amortization		(1,222		)	(1,060		)
Nonregulated assets, net		5,822			5,536

Net operating assets		61,079			60,411
Construction work-in-progress		2,607			2,098
Property, plant and equipment, net		$	63,686		$	62,509

Construction work-in-progress includes $2.3 billion as of June 30, 2017 and $1.8 billion as of December 31, 2016, related to the construction of regulated assets.

During the fourth quarter of 2016, MidAmerican Energy revised its electric and gas depreciation rates based on the results of a new depreciation study, the most significant impact of which was longer estimated useful lives for certain wind-powered generating facilities. The effect of this change was to reduce depreciation and amortization expense by $34 million annually, or $8 million and $17 million for the three- and six-month periods ended June 30, 2017, based on depreciable plant balances at the time of the change.

MidAmerican Funding, LLC and Subsidiaries [Domain]

Property, Plant and Equipment [Line Items]

Property, Plant and Equipment, Net

Refer to Note 3 of MidAmerican Energy's Notes to Financial Statements. In addition to MidAmerican Energy's property, plant and equipment, net, MidAmerican Funding had as of June 30, 2017 and December 31, 2016, nonregulated property gross of $21 million and $22 million, respectively, related accumulated depreciation and amortization of $9 million, and construction work-in-progress of $2 million and $1 million, respectively, which consisted primarily of a corporate aircraft owned by MHC.

MidAmerican Energy Company [Member]

Property, Plant and Equipment [Line Items]

Property, Plant and Equipment, Net

Property, plant and equipment, net consists of the following (in millions):



		As of
		June 30,			December 31,
	Depreciable Life	2017			2016
Utility plant in service, net:
Generation	20-70 years	$	11,308		$	11,282
Transmission	52-75 years	1,794			1,726
Electric distribution	20-75 years	3,260			3,197
Gas distribution	29-75 years	1,588			1,565
Utility plant in service		17,950			17,770
Accumulated depreciation and amortization		(5,660		)	(5,448		)
Utility plant in service, net		12,290			12,322
Nonregulated property, net:
Nonregulated property gross	20-50 years	7			7
Accumulated depreciation and amortization		(1		)	(1		)
Nonregulated property, net		6			6
		12,296			12,328
Construction work-in-progress		746			493
Property, plant and equipment, net		$	13,042		$	12,821

PacifiCorp [Member]

Property, Plant and Equipment [Line Items]

Property, Plant and Equipment, Net

Property, plant and equipment, net consists of the following (in millions):



		As of
		June 30,			December 31,
	Depreciable Life	2017			2016

Property, plant and equipment in-service	5-75 years	$	27,505		$	27,298
Accumulated depreciation and amortization		(9,074		)	(8,793		)
Net property, plant and equipment in-service		18,431			18,505
Construction work-in-progress		710			657
Total property, plant and equipment, net		$	19,141		$	19,162

Nevada Power Company [Member]

Property, Plant and Equipment [Line Items]

Property, Plant and Equipment, Net

Property, plant and equipment, net consists of the following (in millions):



		As of
	Depreciable Life	June 30,			December 31,
	Depreciable Life	2017			2016
Utility plant:
Generation	30 - 55 years	$	3,741		$	4,271
Distribution	20 - 65 years	3,279			3,231
Transmission	45 - 65 years	1,861			1,846
General and intangible plant	5 - 65 years	773			738
Utility plant		9,654			10,086
Accumulated depreciation and amortization		(2,791		)	(3,205		)
Utility plant, net		6,863			6,881
Other non-regulated, net of accumulated depreciation and amortization	45 years	2			2
Plant, net		6,865			6,883
Construction work-in-progress		60			114
Property, plant and equipment, net		$	6,925		$	6,997

Acquisitions

In April 2017, Nevada Power purchased the remaining 25% interest in the Silverhawk natural gas-fueled generating facility for $77 million. The PUCN approved the purchase of the facility in Nevada Power’s triennial Integrated Resource Plan filing in December 2015. The purchase price was allocated to the assets acquired, consisting primarily of generation utility plant, and no significant liabilities were assumed.

Sierra Pacific Power Company [Member]

Property, Plant and Equipment [Line Items]

Property, Plant and Equipment, Net

Property, plant and equipment, net consists of the following (in millions):



		As of
	Depreciable Life	June 30,			December 31,
	Depreciable Life	2017			2016
Utility plant:
Electric generation	25 - 60 years	$	1,140		$	1,137
Electric distribution	20 - 100 years	1,436			1,417
Electric transmission	50 - 100 years	774			771
Electric general and intangible plant	5 - 70 years	176			164
Natural gas distribution	35 - 70 years	385			381
Natural gas general and intangible plant	5 - 70 years	14			15
Common general	5 - 70 years	283			267
Utility plant		4,208			4,152
Accumulated depreciation and amortization		(1,479		)	(1,442		)
Utility plant, net		2,729			2,710
Other non-regulated, net of accumulated depreciation and amortization	70 years	5			5
Plant, net		2,734			2,715
Construction work-in-progress		107			107
Property, plant and equipment, net		$	2,841		$	2,822