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Derivative Financial Instruments (Tables)

12 Months Ended

Dec. 31, 2019

Derivative Instruments And Hedging Activities Disclosure [Abstract]

The table below presents derivative balances by type of financial instrument, if the gross amounts recognized in the Consolidated Balance Sheets were netted with derivative instruments and cash collateral received or paid:

	December 31, 2019								December 31, 2018
			Gross Amounts Not Offset in the Consolidated Balance Sheet								Gross Amounts Not Offset in the Consolidated Balance Sheet
(millions)	Gross Liabilities Presented in the Consolidated Balance Sheet		Financial Instruments		Cash Collateral Paid		Net Amounts		Gross Liabilities Presented in the Consolidated Balance Sheet		Financial Instruments		Cash Collateral Paid		Net Amounts
Interest rate contracts:
Over-the-counter	$	19	$	—	$	19	$	—	$	11	$	—	$	11	$	—
Total derivatives	$	19	$	—	$	19	$	—	$	11	$	—	$	11	$	—

Schedule of Volume of Derivative Activity

The following table presents the volume of derivative activity at December 31, 2019. These volumes are based on open derivative positions and represent the combined absolute value of their long and short positions.

		Current				Noncurrent
Interest rate⁽¹⁾		$	—			$	71,400,000

(1)	Maturity is determined based on final settlement period.

Fair Value of Derivatives

The following table presents the fair values of derivatives and where they are presented in the Consolidated Balance Sheets:

(millions)	Fair Value - Derivatives under Hedge Accounting		Fair Value - Derivatives not under Hedge Accounting		Total Fair Value
At December 31, 2019
Current Liabilities
Interest rate	$	1	$	1	$	2
Total current derivative liabilities⁽¹⁾		1		1		2
Noncurrent Liabilities
Interest rate		11		6		17
Total noncurrent derivative liabilities⁽²⁾		11		6		17
Total derivative liabilities	$	12	$	7	$	19
At December 31, 2018
Current Liabilities
Interest rate	$	1	$	—	$	1
Total current derivative liabilities⁽¹⁾		1		—		1
Noncurrent Liabilities
Interest rate		7		3		10
Total noncurrent derivative liabilities⁽²⁾		7		3		10
Total derivative liabilities	$	8	$	3	$	11

(1)	Current derivative liabilities are presented in other current liabilities in the Consolidated Balance Sheets.

(2)	Noncurrent derivative liabilities are presented in other deferred credits and other liabilities in the Consolidated Balance Sheets.

Derivatives in Cash Flow Hedging Relationships

The following tables present the gains and losses on derivatives, as well as where the associated activity is presented in its Consolidated Balance Sheets and Statements of Comprehensive Income (Loss):

Derivatives in Cash Flow Hedging Relationships

(millions)	Gain (loss) Reclassified from Deferred Accounts into Income			Increase (Decrease) in Derivatives Subject to Regulatory Treatment⁽¹⁾
Year Ended December 31, 2019
Derivative type and location of gains (losses):
Interest rate⁽²⁾	$	—		$	1
Total	$	—		$	1
Year Ended December 31, 2018
Derivative type and location of gains (losses):
Interest rate⁽²⁾	$	(1	)	$	1
Total	$	(1	)	$	1
Year Ended December 31, 2017
Derivative type and location of gains (losses):
Interest rate⁽²⁾	$	(2	)	$	(2	)
Total	$	(2	)	$	(2	)

(1)	Represents net derivative activity deferred into and amortized out of regulatory assets/liabilities. Amounts deferred into regulatory assets/ liabilities have no associated effect in the Consolidated Statements of Comprehensive Loss.

(2)	Amounts recorded in DESC’s Consolidated Statements of Comprehensive Loss are classified in interest charges.

Derivatives Not Designated as Hedging Instruments

Derivatives Not designated as Hedging Instruments

(millions)	Amount of Gain (Loss) Recognized in Income on Derivatives⁽¹⁾
Year Ended December 31,	2019			2018			2017
Derivative type and location of gains (losses):
Interest rate contracts:
Interest charges	$	(1	)	$	(2	)	$	(3	)
Other income		—			115			—
Impairment loss		—			—			(173	)
Total	$	(1	)	$	113		$	(176	)

(1)	Includes derivative activity amortized out of regulatory assets/liabilities. Amounts deferred into regulatory assets/liabilities have no associated effect in the Consolidated Statements of Comprehensive Loss.