Revenue from Contracts with Customers and Lease Income (Tables)

6 Months Ended

Jun. 30, 2021

Revenue from Contract with Customer [Abstract]

The following table disaggregates revenue from contracts with customers for the three and six months ended June 30, 2021 and 2020:


	Southern Company		Alabama Power		Georgia Power		Mississippi Power		Southern Power		Southern Company Gas
	(in millions)
Three Months Ended June 30, 2021
Operating revenues
Retail electric revenues
Residential	$	1,469	$	553	$	852	$	64	$	—	$	—
Commercial	1,176		386		724		66		—		—
Industrial	728		334		321		73		—		—
Other	23		4		17		2		—		—
Total retail electric revenues	3,396		1,277		1,914		205		—		—
Natural gas distribution revenues
Residential	311		—		—		—		—		311
Commercial	73		—		—		—		—		73
Transportation	247		—		—		—		—		247
Industrial	8		—		—		—		—		8
Other	59		—		—		—		—		59
Total natural gas distribution revenues	698		—		—		—		—		698
Wholesale electric revenues
PPA energy revenues	209		38		16		2		158		—
PPA capacity revenues	118		29		14		1		75		—
Non-PPA revenues	55		25		3		75		78		—
Total wholesale electric revenues	382		92		33		78		311		—
Other natural gas revenues

Wholesale gas services	578		—		—		—		—		578
Gas marketing services	63		—		—		—		—		63
Other natural gas revenues	10		—		—		—		—		10
Total natural gas revenues	651		—		—		—		—		651
Other revenues	295		52		137		7		5		—
Total revenue from contracts with customers	5,422		1,421		2,084		290		316		1,349
Other revenue sources(a)	1,179		135		141		13		174		731
Other adjustments(b)	(1,403)		—		—		—		—		(1,403)
Total operating revenues	$	5,198	$	1,556	$	2,225	$	303	$	490	$	677


	Southern Company		Alabama Power		Georgia Power		Mississippi Power		Southern Power		Southern Company Gas
	(in millions)
Six Months Ended June 30, 2021
Operating revenues
Retail electric revenues
Residential	$	2,936	$	1,181	$	1,627	$	128	$	—	$	—
Commercial	2,294		758		1,410		126		—		—
Industrial	1,397		654		606		137		—		—
Other	47		9		34		4		—		—
Total retail electric revenues	6,674		2,602		3,677		395		—		—
Natural gas distribution revenues
Residential	925		—		—		—		—		925
Commercial	243		—		—		—		—		243
Transportation	536		—		—		—		—		536
Industrial	24		—		—		—		—		24
Other	155		—		—		—		—		155
Total natural gas distribution revenues	1,883		—		—		—		—		1,883
Wholesale electric revenues
PPA energy revenues	422		81		30		7		313		—
PPA capacity revenues	237		58		27		4		150		—
Non-PPA revenues	119		57		12		162		139		—
Total wholesale electric revenues	778		196		69		173		602		—
Other natural gas revenues

Wholesale gas services	2,168		—		—		—		—		2,168
Gas marketing services	257		—		—		—		—		257
Other natural gas revenues	17		—		—		—		—		17
Total natural gas revenues	2,442		—		—		—		—		2,442
Other revenues	542		97		249		14		9		—
Total revenue from contracts with customers	12,319		2,895		3,995		582		611		4,325
Other revenue sources(a)	2,488		220		200		28		319		1,745
Other adjustments(b)	(3,699)		—		—		—		—		(3,699)
Total operating revenues	$	11,108	$	3,115	$	4,195	$	610	$	930	$	2,371


	Southern Company		Alabama Power		Georgia Power		Mississippi Power		Southern Power		Southern Company Gas
	(in millions)
Three Months Ended June 30, 2020
Operating revenues
Retail electric revenues
Residential	$	1,430	$	549	$	817	$	64	$	—	$	—
Commercial	1,103		353		689		61		—		—
Industrial	642		302		273		67		—		—
Other	23		6		15		2		—		—
Total retail electric revenues	3,198		1,210		1,794		194		—		—
Natural gas distribution revenues
Residential	239		—		—		—		—		239
Commercial	58		—		—		—		—		58
Transportation	234		—		—		—		—		234
Industrial	5		—		—		—		—		5
Other	49		—		—		—		—		49
Total natural gas distribution revenues	585		—		—		—		—		585
Wholesale electric revenues
PPA energy revenues	167		28		7		2		134		—
PPA capacity revenues	108		25		13		1		71		—
Non-PPA revenues	50		5		2		73		59		—
Total wholesale electric revenues	325		58		22		76		264		—
Other natural gas revenues

Wholesale gas services	341		—		—		—		—		341
Gas marketing services	57		—		—		—		—		57
Other natural gas revenues	8		—		—		—		—		8
Total natural gas revenues	406		—		—		—		—		406
Other revenues	251		44		119		6		4		—
Total revenue from contracts with customers	4,765		1,312		1,935		276		268		991
Other revenue sources(a)	728		53		(7)		7		171		518
Other adjustments(b)	(873)		—		—		—		—		(873)
Total operating revenues	$	4,620	$	1,365	$	1,928	$	283	$	439	$	636


	Southern Company		Alabama Power		Georgia Power		Mississippi Power		Southern Power		Southern Company Gas
	(in millions)
Six Months Ended June 30, 2020
Operating revenues
Retail electric revenues
Residential	$	2,801	$	1,103	$	1,577	$	121	$	—	$	—
Commercial	2,247		717		1,409		121		—		—
Industrial	1,323		623		555		145		—		—
Other	46		11		31		4		—		—
Total retail electric revenues	6,417		2,454		3,572		391		—		—
Natural gas distribution revenues
Residential	736		—		—		—		—		736
Commercial	188		—		—		—		—		188
Transportation	499		—		—		—		—		499
Industrial	17		—		—		—		—		17
Other	144		—		—		—		—		144
Total natural gas distribution revenues	1,584		—		—		—		—		1,584
Wholesale electric revenues
PPA energy revenues	326		55		15		4		259		—
PPA capacity revenues	213		52		25		2		136		—
Non-PPA revenues	100		24		4		142		117		—
Total wholesale electric revenues	639		131		44		148		512		—
Other natural gas revenues

Wholesale gas services	737		—		—		—		—		737
Gas marketing services	220		—		—		—		—		220
Other natural gas revenues	15		—		—		—		—		15
Total natural gas revenues	972		—		—		—		—		972
Other revenues	441		78		214		13		7		—
Total revenue from contracts with customers	10,053		2,663		3,830		552		519		2,556
Other revenue sources(a)	1,599		53		(76)		7		295		1,343
Other adjustments(b)	(2,014)		—		—		—		—		(2,014)
Total operating revenues	$	9,638	$	2,716	$	3,754	$	559	$	814	$	1,885

(a)Other revenue sources relate to revenues from customers accounted for as derivatives and leases, alternative revenue programs at Southern Company Gas, and cost recovery mechanisms and revenues that meet other scope exceptions for revenues from contracts with customers at the traditional electric operating companies.

(b)Other adjustments relate to the cost of Southern Company Gas' energy and risk management activities. Wholesale gas services revenues are presented net of the related costs of those activities on the statement of income. See Notes (K) and (L) under "Southern Company Gas" for information on the sale of Sequent and components of wholesale gas services' operating revenues, respectively.

Schedule of Contract Balances

The following table reflects the closing balances of receivables, contract assets, and contract liabilities related to revenues from contracts with customers at June 30, 2021 and December 31, 2020:


	Southern Company		Alabama Power		Georgia Power		Mississippi Power		Southern Power		Southern Company Gas
	(in millions)
Accounts Receivable
At June 30, 2021	$	2,271	$	633	$	887	$	85	$	129	$	368
At December 31, 2020	2,614		632		806		77		112		788
Contract Assets
At June 30, 2021	$	98	$	—	$	36	$	—	$	1	$	—
At December 31, 2020	158		2		71		—		—		—
Contract Liabilities
At June 30, 2021	$	67	$	5	$	37	$	1	$	1	$	—
At December 31, 2020	61		6		27		1		1		1

Schedule of Remaining Performance Obligations

Revenues from contracts with customers related to these performance obligations remaining at June 30, 2021 are expected to be recognized as follows:


	2021 (remaining)		2022		2023		2024		2025		Thereafter
	(in millions)
Southern Company	$	354	$	464	$	343	$	327	$	307	$	2,667
Alabama Power	23		31		24		7		5		—
Georgia Power	41		58		39		23		21		41

Southern Power	165		323		281		297		281		2,644

Schedule of Lease Income

Lease income for the three and six months ended June 30, 2021 and 2020 is as follows:


	Southern Company		Alabama Power		Georgia Power		Mississippi Power		Southern Power		Southern Company Gas
	(in millions)
For the Three Months Ended June 30, 2021
Lease income - interest income on sales-type leases	$	4	$	—	$	—	$	4	$	—	$	—
Lease income - operating leases	56		21		10		—		21		9
Variable lease income	128		(1)		—		—		138		—
Total lease income	$	188	$	20	$	10	$	4	$	159	$	9

For the Six Months Ended June 30, 2021
Lease income - interest income on sales-type leases	$	7	$	—	$	—	$	7	$	—	$	—
Lease income - operating leases	112		41		21		1		42		17
Variable lease income	212		—		—		—		228		—
Total lease income	$	331	$	41	$	21	$	8	$	270	$	17

For the Three Months Ended June 30, 2020
Lease income - interest income on sales-type leases	$	3	$	—	$	—	$	3	$	—	$	—
Lease income - operating leases	47		6		15		—		21		9
Variable lease income	126		—		—		—		136		—
Total lease income	$	176	$	6	$	15	$	3	$	157	$	9

For the Six Months Ended June 30, 2020
Lease income - interest income on sales-type leases	$	6	$	—	$	—	$	5	$	—	$	—
Lease income - operating leases	97		13		30		—		45		17
Variable lease income	200		—		—		—		215		—
Total lease income	$	303	$	13	$	30	$	5	$	260	$	17