SEGMENT OF BUSINESS INFORMATION

12 Months Ended

Dec. 31, 2017

Segment Reporting Information [Line Items]

Segment Reporting Disclosure [Text Block]

SEGMENT OF BUSINESS INFORMATION

Reportable segments, which are described below, follow the same accounting policies as those described in Note 1. Intersegment sales and transfers of electricity and gas are recorded based on rates established by the appropriate regulatory authority. Nonregulated sales and transfers are recorded at current market prices.

Electric Operations primarily generates, transmits and distributes electricity, and is regulated by the SCPSC and FERC. Gas Distribution, comprised of the local distribution operations of SCE&G and PSNC Energy, purchases and sells natural gas, primarily at retail. SCE&G and PSNC Energy are regulated by the SCPSC and the NCUC, respectively. Gas Marketing is comprised of the marketing operations of SCANA Energy, which markets natural gas to retail customers in Georgia and to industrial and large commercial customers and municipalities in the Southeast.

All Other includes the parent company and a services company. In addition, All Other includes gains from the sales of CGT and SCI (see Note 1) and their operating results prior to their sale in the first quarter of 2015. CGT and SCI were nonreportable segments during all periods presented. External revenue and intersegment revenue for All Other related to CGT and SCI were not significant during any period presented.

Regulated reportable segments share a similar regulatory environment and, in some cases, overlapping service areas. However, Electric Operations’ product differs from the other segments, as does its generation process and method of distribution. Gas Marketing operates in a deregulated environment.

Management uses operating income (loss) to measure segment profitability for its regulated operations and evaluates utility plant, net, for segments attributable to SCE&G. As a result, no allocation is made to segments for interest charges, income tax expense (benefit) or assets other than utility plant. For nonregulated operations, management uses net income (loss) as the measure of segment profitability and evaluates total assets for financial position. Intersegment revenue for SCE&G was not significant. Interest income is not reported by segment and is not material. Deferred tax assets are netted with deferred tax liabilities for consolidated reporting purposes.

The consolidated financial statements report operating revenues which are comprised of the energy-related and regulated segments. Revenues from non-reportable and nonregulated segments are included in Other Income. Therefore the adjustments to total operating revenues remove revenues from non-reportable segments. Adjustments to net income (loss) consist of the unallocated net income (loss) of regulated reportable segments.

Segment Assets include utility plant, net for SCE&G’s Electric Operations and Gas Distribution, and all assets for PSNC Energy and the remaining segments. As a result, adjustments to assets include non-utility plant and non-fixed assets for SCE&G.

Adjustments to Interest Expense, Income Tax Expense (Benefit), Expenditures for Assets and Deferred Tax Assets include primarily the amounts that are not allocated to the segments. Interest Expense is also adjusted to eliminate charges between affiliates. Adjustments to Depreciation and Amortization consist of non-reportable segment expenses, which are not included in the depreciation and amortization reported on a consolidated basis. Expenditures for Assets are adjusted for AFC and revisions to estimated cash flows related to AROs, and totals not allocated to other segments. Deferred Tax Assets are adjusted to net them against deferred tax liabilities on a consolidated basis.

Disclosure of Reportable Segments

The Company:



Millions of dollars	Electric Operations			Gas Distribution		Gas Marketing		All Other			Adjustments/ Eliminations			Consolidated Total
2017
External Revenue	$	2,659		$	874	$	874	—			—			$	4,407
Intersegment Revenue	5			2		127		$	389		$	(523	)	—
Operating Income (Loss)	(161		)	186		n/a		—			51			76
Interest Expense	19			28		1		—			315			363
Depreciation and Amortization	295			85		2		16			(16		)	382
Income Tax Expense (Benefit)	8			41		25		(7		)	(179		)	(112		)
Net Income (Loss)	n/a			n/a		27		(46		)	(100		)	(119		)
Segment Assets	11,979			3,259		230		1,042			2,229			18,739
Expenditures for Assets	207			417		2		7			592			1,225
Deferred Tax Assets	6			25		9		—			(40		)	—

2016
External Revenue	$	2,614		$	788	$	825	—			—			$	4,227
Intersegment Revenue	5			2		111		$	414		$	(532	)	—
Operating Income	957			148		n/a		—			48			1,153
Interest Expense	17			25		1		—			299			342
Depreciation and Amortization	287			82		2		16			(16		)	371
Income Tax Expense	8			32		19		—			212			271
Net Income (Loss)	n/a			n/a		30		(18		)	583			595
Segment Assets	11,929			2,892		230		1,124			2,532			18,707
Expenditures for Assets	1,275			276		2		11			15			1,579
Deferred Tax Assets	9			32		11		—			(52		)	—

2015
External Revenue	$	2,551		$	810	$	1,018	$	5		$	(4	)	$	4,380
Intersegment Revenue	6			2		128		413			(549		)	—
Operating Income	876			152		n/a		236			44			1,308



Interest Expense	17	23	1	1	276		318
Depreciation and Amortization	277	77	2	16	(14	)	358
Income Tax Expense	9	32	18	1	333		393
Net Income (Loss)	n/a	n/a	28	185	533		746
Segment Assets	10,883	2,606	201	998	2,458		17,146
Expenditures for Assets	1,087	203	2	15	(154	)	1,153
Deferred Tax Assets	5	29	15	—	(49	)	—

Consolidated SCE&G:



Millions of dollars	Electric Operations			Gas Distribution		Adjustments/ Eliminations			Consolidated Total
2017
External Revenue	$	2,664		$	406	—			$	3,070
Operating Income (Loss)	(161		)	71		—			(90		)
Interest Expense	19			—		$	269		288
Depreciation and Amortization	295			30		(13		)	312
Segment Assets	11,979			869		3,098			15,946
Expenditures for Assets	207			65		656			928
Deferred Tax Assets	6			n/a		(6		)	—


2016
External Revenue	$	2,619		$	367	—			$	2,986
Operating Income	957			56		—			1,013
Interest Expense	17			—		$	253		270
Depreciation and Amortization	287			28		(13		)	302
Segment Assets	11,929			825		3,337			16,091
Expenditures for Assets	1,275			78		46			1,399
Deferred Tax Assets	9			n/a		(9		)	—

2015
External Revenue	$	2,557		$	373	—			$	2,930
Operating Income	876			58		—			934
Interest Expense	17			—		$	231		248
Depreciation and Amortization	277			28		(11		)	294
Segment Assets	10,883			757		3,125			14,765
Expenditures for Assets	1,087			57		(136		)	1,008
Deferred Tax Assets	5			n/a		(5		)	—

SCE&G