Revenue Recognition

9 Months Ended

Sep. 30, 2022

Revenue From Contract With Customer [Abstract]

Revenue Recognition

3. REVENUE RECOGNITION

DESC has disaggregated operating revenues by customer class as follows:

	Three Months Ended				Three Months Ended				Nine Months Ended				Nine Months Ended
	September 30, 2022				September 30, 2021				September 30, 2022				September 30, 2021
(millions)	Electric		Gas		Electric		Gas		Electric		Gas		Electric		Gas
Customer class:
Residential	$	433	$	39	$	366	$	34	$	1,065	$	193	$	912	$	170
Commercial		294		41		244		26		740		124		618		91
Industrial		153		54		112		27		396		128		295		67
Other		56		4		46		4		156		16		117		16
Revenues from contracts with customers		936		138		768		91		2,357		461		1,942		344
Other revenues		8		1		4		—		22		1		12		1
Total Operating Revenues	$	944	$	139	$	772	$	91	$	2,379	$	462	$	1,954	$	345

Contract liabilities represent the obligation to transfer goods or services to a customer for which consideration has already been received from the customer. DESC had contract liability balances of $9 million and $8 million at September 30, 2022 and December 31, 2021, respectively. During the nine months ended September 30, 2022 and 2021, DESC recognized revenue of $6 million and $4 million, respectively, from the beginning contract liability balances as DESC fulfilled its obligations to provide service to its customers. Contract liabilities are recorded in customer deposits and customer prepayments in the Consolidated Balance Sheets.

Balances and activity related to contract costs deferred as regulatory assets were as follows:

	Regulatory Assets
(millions)	September 30, 2022			December 31, 2021
Beginning balance	$	11		$	12
Amortization		(1	)		(1	)
Ending balance	$	10		$	11