Cover Page
Cover Page - shares | 3 Months Ended | |
Mar. 31, 2024 | Apr. 17, 2024 | |
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Period End Date | Mar. 31, 2024 | |
Document Transition Report | false | |
Entity File Number | 1-12609 | |
Entity Incorporation, State or Country Code | CA | |
Entity Tax Identification Number | 94-3234914 | |
Entity Address, Address Line One | 300 Lakeside Drive | |
Entity Address, City or Town | Oakland, | |
Entity Address, State or Province | CA | |
Entity Address, Postal Zip Code | 94612 | |
City Area Code | 415 | |
Local Phone Number | 973-1000 | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Large Accelerated Filer | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Bankruptcy Proceedings, Reporting Current | true | |
Entity Common Stock, Shares Outstanding (in shares) | 2,614,901,996 | |
Amendment Flag | false | |
Document Fiscal Year Focus | 2024 | |
Document Fiscal Period Focus | Q1 | |
Entity Registrant Name | PG&E CORP | |
Entity Central Index Key | 0001004980 | |
Current Fiscal Year End Date | --12-31 | |
Pacific Gas & Electric Co (Utility) | ||
Entity File Number | 1-2348 | |
Entity Incorporation, State or Country Code | CA | |
Entity Tax Identification Number | 94-0742640 | |
Entity Address, Address Line One | 300 Lakeside Drive | |
Entity Address, City or Town | Oakland, | |
Entity Address, State or Province | CA | |
Entity Address, Postal Zip Code | 94612 | |
City Area Code | 415 | |
Local Phone Number | 973-7000 | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Non-accelerated Filer | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Bankruptcy Proceedings, Reporting Current | true | |
Entity Common Stock, Shares Outstanding (in shares) | 264,374,809 | |
Amendment Flag | false | |
Entity Registrant Name | PACIFIC GAS & ELECTRIC CO | |
Entity Central Index Key | 0000075488 | |
The New York Stock Exchange | Common stock, no par value | ||
Title of 12(b) Security | Common stock, no par value | |
Trading Symbol | PCG | |
Security Exchange Name | NYSE | |
NYSE American LLC | First preferred stock, cumulative, par value $25 per share, 6% nonredeemable | ||
Title of 12(b) Security | First preferred stock, cumulative, par value $25 per share, 6% nonredeemable | |
Trading Symbol | PCG-PA | |
Security Exchange Name | NYSEAMER | |
NYSE American LLC | First preferred stock, cumulative, par value $25 per share, 5.50% nonredeemable | ||
Title of 12(b) Security | First preferred stock, cumulative, par value $25 per share, 5.50% nonredeemable | |
Trading Symbol | PCG-PB | |
Security Exchange Name | NYSEAMER | |
NYSE American LLC | First preferred stock, cumulative, par value $25 per share, 5% nonredeemable | ||
Title of 12(b) Security | First preferred stock, cumulative, par value $25 per share, 5% nonredeemable | |
Trading Symbol | PCG-PC | |
Security Exchange Name | NYSEAMER | |
NYSE American LLC | First preferred stock, cumulative, par value $25 per share, 5% redeemable | ||
Title of 12(b) Security | First preferred stock, cumulative, par value $25 per share, 5% redeemable | |
Trading Symbol | PCG-PD | |
Security Exchange Name | NYSEAMER | |
NYSE American LLC | First preferred stock, cumulative, par value $25 per share, 5% series A redeemable | ||
Title of 12(b) Security | First preferred stock, cumulative, par value $25 per share, 5% series A redeemable | |
Trading Symbol | PCG-PE | |
Security Exchange Name | NYSEAMER | |
NYSE American LLC | First preferred stock, cumulative, par value $25 per share, 4.80% redeemable | ||
Title of 12(b) Security | First preferred stock, cumulative, par value $25 per share, 4.80% redeemable | |
Trading Symbol | PCG-PG | |
Security Exchange Name | NYSEAMER | |
NYSE American LLC | First preferred stock, cumulative, par value $25 per share, 4.50% redeemable | ||
Title of 12(b) Security | First preferred stock, cumulative, par value $25 per share, 4.50% redeemable | |
Trading Symbol | PCG-PH | |
Security Exchange Name | NYSEAMER | |
NYSE American LLC | First preferred stock, cumulative, par value $25 per share, 4.36% series A redeemable | ||
Title of 12(b) Security | First preferred stock, cumulative, par value $25 per share, 4.36% redeemable | |
Trading Symbol | PCG-PI | |
Security Exchange Name | NYSEAMER |
CONDENSED CONSOLIDATED STATEMEN
CONDENSED CONSOLIDATED STATEMENTS OF INCOME - USD ($) shares in Millions, $ in Millions | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Operating Revenues | ||
Total operating revenues | $ 5,861 | $ 6,209 |
Operating Expenses | ||
Operating and maintenance | 2,636 | 2,677 |
SB 901 securitization charges, net | 0 | 273 |
Wildfire-related claims, net of recoveries | (1) | (2) |
Wildfire Fund expense | 78 | 117 |
Depreciation, amortization, and decommissioning | 1,022 | 1,077 |
Total operating expenses | 4,585 | 5,580 |
Operating Income | 1,276 | 629 |
Interest income | 137 | 112 |
Interest expense | (715) | (602) |
Other income, net | 76 | 85 |
Income Before Income Taxes | 774 | 224 |
Income tax provision (benefit) | 39 | (348) |
Net Income | 735 | 572 |
Preferred stock dividend requirement of subsidiary | 3 | 3 |
Income Available for Common Shareholders | $ 732 | $ 569 |
Weighted Average Common Shares Outstanding, Basic (in shares) | 2,134 | 1,991 |
Weighted Average Common Shares Outstanding, Diluted (in shares) | 2,139 | 2,132 |
Net Income Per Common Share, Basic (in dollars per share) | $ 0.34 | $ 0.29 |
Net Income Per Common Share, Diluted (in dollars per share) | $ 0.34 | $ 0.27 |
Electric | ||
Operating Revenues | ||
Total operating revenues | $ 4,052 | $ 4,119 |
Operating Expenses | ||
Cost of electricity and natural gas | 321 | 522 |
Natural gas | ||
Operating Revenues | ||
Total operating revenues | 1,809 | 2,090 |
Operating Expenses | ||
Cost of electricity and natural gas | $ 529 | $ 916 |
CONDENSED CONSOLIDATED STATEM_2
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Statement of Comprehensive Income [Abstract] | ||
Net Income (Loss) | $ 735 | $ 572 |
Other Comprehensive Income (Loss) | ||
Net unrealized gains (losses) on available-for-sale securities (net of taxes of $1 and $2, respectively) | (1) | 5 |
Total other comprehensive income (loss) | (1) | 5 |
Comprehensive Income (Loss) | 734 | 577 |
Preferred stock dividend requirement of subsidiary | 3 | 3 |
Comprehensive Income (Loss) Attributable to Common Shareholders | $ 731 | $ 574 |
CONDENSED CONSOLIDATED STATEM_3
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (Parenthetical) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Statement of Comprehensive Income [Abstract] | ||
Net unrealized losses on available for sale securities, tax | $ 1 | $ 2 |
CONDENSED CONSOLIDATED BALANCE
CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($) $ in Millions | Mar. 31, 2024 | Dec. 31, 2023 |
Current Assets | ||
Cash and cash equivalents | $ 658 | $ 635 |
Restricted cash (includes $345 million and $282 million related to VIEs at respective dates) | 362 | 297 |
Accounts receivable | ||
Customers (net of allowance for doubtful accounts of $400 million and $445 million at respective dates) (includes $1.8 billion and $1.7 billion related to VIEs, net of allowance for doubtful accounts of $400 million and $445 million at respective dates) | 2,160 | 2,048 |
Accrued unbilled revenue (includes $1.2 billion and $1.1 billion related to VIEs at respective dates) | 1,323 | 1,254 |
Regulatory balancing accounts | 6,442 | 5,660 |
Other | 1,509 | 1,494 |
Regulatory assets | 256 | 300 |
Inventories | ||
Gas stored underground and fuel oil | 44 | 65 |
Materials and supplies | 777 | 805 |
Wildfire Fund asset | 305 | 450 |
Other | 1,395 | 1,375 |
Total current assets | 15,231 | 14,383 |
Property, Plant, and Equipment | ||
Electric | 81,906 | 80,345 |
Gas | 30,213 | 29,830 |
Construction work in progress | 4,466 | 4,452 |
Financing lease ROU asset and other | 784 | 787 |
Total property, plant, and equipment | 117,369 | 115,414 |
Accumulated depreciation | (33,718) | (33,093) |
Net property, plant, and equipment | 83,651 | 82,321 |
Other Noncurrent Assets | ||
Regulatory assets | 16,333 | 17,189 |
Customer credit trust | 507 | 233 |
Nuclear decommissioning trusts | 3,710 | 3,574 |
Operating lease ROU asset | 585 | 598 |
Wildfire Fund asset | 4,365 | 4,297 |
Income taxes receivable | 24 | 24 |
Other | 3,239 | 3,079 |
Total other noncurrent assets | 28,763 | 28,994 |
TOTAL ASSETS | 127,645 | 125,698 |
Current Liabilities | ||
Short-term borrowings | 2,818 | 3,971 |
Long-term debt, classified as current (includes $177 million and $176 million related to VIEs at respective dates) | 926 | 1,376 |
Accounts payable | ||
Trade creditors | 2,147 | 2,309 |
Regulatory balancing accounts | 2,161 | 1,669 |
Other | 844 | 851 |
Operating lease liabilities | 80 | 80 |
Financing lease liabilities | 271 | 259 |
Interest payable (includes $136 million and $67 million related to VIEs at respective dates) | 581 | 679 |
Wildfire-related claims | 1,169 | 1,422 |
Other | 4,456 | 4,698 |
Total current liabilities | 15,453 | 17,314 |
Noncurrent Liabilities | ||
Long-term debt (includes $10.4 billion and $10.4 billion related to VIEs at respective dates) | 53,415 | 50,975 |
Regulatory liabilities | 19,667 | 19,444 |
Pension and other postretirement benefits | 474 | 476 |
Asset retirement obligations | 5,505 | 5,512 |
Deferred income taxes | 2,225 | 1,980 |
Operating lease liabilities | 505 | 518 |
Financing lease liabilities | 553 | 554 |
Other | 3,865 | 3,633 |
Total noncurrent liabilities | 86,209 | 83,092 |
Shareholders’ Equity | ||
Common stock, no par value, authorized 3,600,000,000 and 3,600,000,000 shares at respective dates; 2,137,156,228 and 2,133,597,758 shares outstanding at respective dates | 30,356 | 30,374 |
Treasury stock, at cost; 0 and 0 shares at respective dates | 0 | 0 |
Reinvested earnings | (4,611) | (5,321) |
Accumulated other comprehensive loss | (14) | (13) |
Total shareholders’ equity | 25,731 | 25,040 |
Noncontrolling Interest - Preferred Stock of Subsidiary | 252 | 252 |
Total equity | 25,983 | 25,292 |
TOTAL LIABILITIES AND EQUITY | $ 127,645 | $ 125,698 |
CONDENSED CONSOLIDATED BALANC_2
CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) $ in Millions | Mar. 31, 2024 | Dec. 31, 2023 |
Restricted cash (includes $345 million and $282 million related to VIEs at respective dates) | $ 362 | $ 297 |
Allowance for doubtful accounts | 400 | 445 |
Customers (net of allowance for doubtful accounts of $400 million and $445 million at respective dates) (includes $1.8 billion and $1.7 billion related to VIEs, net of allowance for doubtful accounts of $400 million and $445 million at respective dates) | 2,160 | 2,048 |
Accrued unbilled revenue (includes $1.2 billion and $1.1 billion related to VIEs at respective dates) | 1,323 | 1,254 |
Long-term debt, classified as current (includes $177 million and $176 million related to VIEs at respective dates) | 926 | 1,376 |
Interest payable (includes $136 million and $67 million related to VIEs at respective dates) | 581 | 679 |
Long-term debt (includes $10.4 billion and $10.4 billion related to VIEs at respective dates) | $ 53,415 | $ 50,975 |
Common stock, par value (in dollars per share) | $ 0 | $ 0 |
Common stock, shares authorized (in shares) | 3,600,000,000 | 3,600,000,000 |
Common stock, shares outstanding (in shares) | 2,137,156,228 | 2,133,597,758 |
Treasury stock, shares at cost (in shares) | 0 | 0 |
Variable Interest Entity, Primary Beneficiary | ||
Restricted cash (includes $345 million and $282 million related to VIEs at respective dates) | $ 345 | $ 282 |
Allowance for doubtful accounts | 400 | 445 |
Customers (net of allowance for doubtful accounts of $400 million and $445 million at respective dates) (includes $1.8 billion and $1.7 billion related to VIEs, net of allowance for doubtful accounts of $400 million and $445 million at respective dates) | 1,800 | 1,700 |
Accrued unbilled revenue (includes $1.2 billion and $1.1 billion related to VIEs at respective dates) | 1,200 | 1,100 |
Long-term debt, classified as current (includes $177 million and $176 million related to VIEs at respective dates) | 177 | 176 |
Interest payable (includes $136 million and $67 million related to VIEs at respective dates) | 136 | 67 |
Long-term debt (includes $10.4 billion and $10.4 billion related to VIEs at respective dates) | $ 10,400 | $ 10,400 |
CONDENSED CONSOLIDATED STATEM_4
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Cash Flows from Operating Activities | ||
Net income | $ 735 | $ 572 |
Adjustments to reconcile net income to net cash provided by operating activities: | ||
Depreciation, amortization, and decommissioning | 1,022 | 1,077 |
Bad debt expense | 70 | 139 |
Allowance for equity funds used during construction | (39) | (41) |
Deferred income taxes and tax credits, net | 239 | (163) |
Wildfire Fund expense | 78 | 117 |
Other | (101) | (6) |
Effect of changes in operating assets and liabilities: | ||
Accounts receivable | (341) | 826 |
Wildfire-related insurance receivable | 75 | 51 |
Inventories | 49 | 7 |
Accounts payable | 608 | 303 |
Wildfire-related claims | (253) | (396) |
Other current assets and liabilities | (585) | (239) |
Regulatory assets, liabilities, and balancing accounts, net | 666 | (1,069) |
Other noncurrent assets and liabilities | 38 | 7 |
Net cash provided by operating activities | 2,261 | 1,185 |
Cash Flows from Investing Activities | ||
Capital expenditures | (2,638) | (2,288) |
Proceeds from sales and maturities of nuclear decommissioning trust investments | 457 | 277 |
Purchases of nuclear decommissioning trust investments | (484) | (303) |
Proceeds from sales and maturities of customer credit trust investments | 81 | 169 |
Purchases of customer credit investments | (350) | 0 |
Other | 4 | 5 |
Net cash used in investing activities | (2,930) | (2,140) |
Cash Flows from Financing Activities | ||
Borrowings under credit facilities | 2,458 | 4,071 |
Repayments under credit facilities | (3,612) | (4,785) |
Proceeds from issuance of long-term debt, net of premium, discount and issuance costs of $9 and $27 at respective dates | 2,259 | 2,223 |
Repayments of long-term debt | (450) | (7) |
Repayments of recovery bonds | (23) | (14) |
Common stock dividends paid | (21) | 0 |
Proceeds from DWR loan | 232 | 0 |
Other | (86) | (65) |
Net cash provided by financing activities | 757 | 1,423 |
Net change in cash, cash equivalents, and restricted cash | 88 | 468 |
Cash, cash equivalents, and restricted cash at January 1 | 932 | 947 |
Cash, cash equivalents, and restricted cash at March 31 | 1,020 | 1,415 |
Less: Restricted cash and restricted cash equivalents | (362) | (387) |
Cash and cash equivalents at March 31 | 658 | 1,028 |
Cash paid for: | ||
Interest, net of amounts capitalized | (712) | (598) |
Supplemental disclosures of noncash investing and financing activities | ||
Capital expenditures financed through accounts payable | 666 | 664 |
Operating lease liabilities arising from ROU assets | 1 | 195 |
Financing lease liabilities arising from obtaining ROU assets | 12 | 0 |
Changes to PG&E Corporation common stock and treasury stock in connection with share exchanges with the Fire Victim Trust | 0 | (610) |
DWR loan forgiveness and performance-based disbursements | 34 | 33 |
Common stock dividends declared but not yet paid | $ 21 | $ 0 |
CONDENSED CONSOLIDATED STATEM_5
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (Parenthetical) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Statement of Cash Flows [Abstract] | ||
Premium, discount, and issuance costs on proceeds from long-term debt | $ 9 | $ 27 |
CONDENSED CONSOLIDATED STATEM_6
CONDENSED CONSOLIDATED STATEMENTS OF EQUITY - USD ($) $ in Millions | Total | Total Shareholders' Equity | Common Stock | Treasury Stock | Reinvested Earnings | Accumulated Other Comprehensive Income (Loss) | Non- controlling Interest - Preferred Stock of Subsidiary |
Beginning balance (in shares) at Dec. 31, 2022 | 1,987,784,948 | ||||||
Beginning balance at Dec. 31, 2022 | $ 23,075 | $ 22,823 | $ 32,887 | $ (2,517) | $ (7,542) | $ (5) | $ 252 |
Beginning balance, treasury (in shares) at Dec. 31, 2022 | 247,743,590 | ||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||
Net Income (Loss) | 572 | 572 | 572 | ||||
Other comprehensive income (loss) | 5 | 5 | 5 | ||||
Common stock issued, net (in shares) | 7,989,135 | ||||||
Common stock issued, net | (610) | (610) | $ (610) | ||||
Treasury stock disposition (in shares) | (60,000,000) | ||||||
Treasury stock disposition | 610 | 610 | $ 610 | ||||
Stock-based compensation amortization | (63) | (63) | $ (63) | ||||
Preferred stock dividend requirement of subsidiary | (3) | (3) | (3) | ||||
Ending balance (in shares) at Mar. 31, 2023 | 1,995,774,083 | ||||||
Ending balance at Mar. 31, 2023 | $ 23,586 | 23,334 | $ 32,214 | $ (1,907) | (6,973) | 0 | 252 |
Ending balance, treasury (in shares) at Mar. 31, 2023 | 187,743,590 | ||||||
Beginning balance (in shares) at Dec. 31, 2023 | 2,133,597,758 | 2,133,597,758 | |||||
Beginning balance at Dec. 31, 2023 | $ 25,292 | 25,040 | $ 30,374 | $ 0 | (5,321) | (13) | 252 |
Beginning balance, treasury (in shares) at Dec. 31, 2023 | 0 | 0 | |||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||
Net Income (Loss) | $ 735 | 735 | 735 | ||||
Other comprehensive income (loss) | (1) | (1) | (1) | ||||
Common stock issued, net (in shares) | 3,558,470 | ||||||
Stock-based compensation amortization | (18) | (18) | $ (18) | ||||
Common stock dividends declared | (22) | (22) | (22) | ||||
Preferred stock dividend requirement of subsidiary | $ (3) | (3) | (3) | ||||
Ending balance (in shares) at Mar. 31, 2024 | 2,137,156,228 | 2,137,156,228 | |||||
Ending balance at Mar. 31, 2024 | $ 25,983 | $ 25,731 | $ 30,356 | $ 0 | $ (4,611) | $ (14) | $ 252 |
Ending balance, treasury (in shares) at Mar. 31, 2024 | 0 | 0 |
CONDENSED CONSOLIDATED STATEM_7
CONDENSED CONSOLIDATED STATEMENTS OF INCOME, UTILITY - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Operating Revenues | ||
Total operating revenues | $ 5,861 | $ 6,209 |
Operating Expenses | ||
Operating and maintenance | 2,636 | 2,677 |
SB 901 securitization charges, net | 0 | 273 |
Wildfire-related claims, net of recoveries | (1) | (2) |
Wildfire Fund expense | 78 | 117 |
Depreciation, amortization, and decommissioning | 1,022 | 1,077 |
Total operating expenses | 4,585 | 5,580 |
Operating Income | 1,276 | 629 |
Interest income | 137 | 112 |
Interest expense | (715) | (602) |
Other income, net | 76 | 85 |
Income Before Income Taxes | 774 | 224 |
Income tax provision (benefit) | 39 | (348) |
Net Income | 735 | 572 |
Preferred stock dividend requirement | 3 | 3 |
Income Available for Common Shareholders | 732 | 569 |
Pacific Gas & Electric Co (Utility) | ||
Operating Revenues | ||
Total operating revenues | 5,861 | 6,209 |
Operating Expenses | ||
Operating and maintenance | 2,631 | 2,674 |
SB 901 securitization charges, net | 0 | 273 |
Wildfire-related claims, net of recoveries | (1) | (2) |
Wildfire Fund expense | 78 | 117 |
Depreciation, amortization, and decommissioning | 1,022 | 1,077 |
Total operating expenses | 4,580 | 5,577 |
Operating Income | 1,281 | 632 |
Interest income | 134 | 110 |
Interest expense | (654) | (520) |
Other income, net | 79 | 84 |
Income Before Income Taxes | 840 | 306 |
Income tax provision (benefit) | 59 | (320) |
Net Income | 781 | 626 |
Preferred stock dividend requirement | 3 | 3 |
Income Available for Common Shareholders | 778 | 623 |
Electric | ||
Operating Revenues | ||
Total operating revenues | 4,052 | 4,119 |
Operating Expenses | ||
Cost of electricity and natural gas | 321 | 522 |
Electric | Pacific Gas & Electric Co (Utility) | ||
Operating Revenues | ||
Total operating revenues | 4,052 | 4,119 |
Operating Expenses | ||
Cost of electricity and natural gas | 321 | 522 |
Natural gas | ||
Operating Revenues | ||
Total operating revenues | 1,809 | 2,090 |
Operating Expenses | ||
Cost of electricity and natural gas | 529 | 916 |
Natural gas | Pacific Gas & Electric Co (Utility) | ||
Operating Revenues | ||
Total operating revenues | 1,809 | 2,090 |
Operating Expenses | ||
Cost of electricity and natural gas | $ 529 | $ 916 |
CONDENSED CONSOLIDATED STATEM_8
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME, UTILITY - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Net Income (Loss) | $ 735 | $ 572 |
Other Comprehensive Income (Loss) | ||
Net unrealized gains (losses) on available-for-sale securities (net of taxes of $1 and $2, respectively) | (1) | 5 |
Total other comprehensive income (loss) | (1) | 5 |
Comprehensive Income (Loss) | 734 | 577 |
Pacific Gas & Electric Co (Utility) | ||
Net Income (Loss) | 781 | 626 |
Other Comprehensive Income (Loss) | ||
Net unrealized gains (losses) on available-for-sale securities (net of taxes of $1 and $2, respectively) | (1) | 6 |
Total other comprehensive income (loss) | (1) | 6 |
Comprehensive Income (Loss) | $ 780 | $ 632 |
CONDENSED CONSOLIDATED STATEM_9
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (Parenthetical) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Net unrealized losses on available for sale securities, tax | $ 1 | $ 2 |
Pacific Gas & Electric Co (Utility) | ||
Net unrealized losses on available for sale securities, tax | $ 1 | $ 2 |
CONDENSED CONSOLIDATED BALANC_3
CONDENSED CONSOLIDATED BALANCE SHEETS, UTILITY - USD ($) $ in Millions | Mar. 31, 2024 | Dec. 31, 2023 |
Current Assets | ||
Cash and cash equivalents | $ 658 | $ 635 |
Restricted cash (includes $345 million and $282 million related to VIEs at respective dates) | 362 | 297 |
Accounts receivable | ||
Customers (net of allowance for doubtful accounts of $400 million and $445 million at respective dates) (includes $1.8 billion and $1.7 billion related to VIEs, net of allowance for doubtful accounts of $400 million and $445 million at respective dates) | 2,160 | 2,048 |
Accrued unbilled revenue (includes $1.2 billion and $1.1 billion related to VIEs at respective dates) | 1,323 | 1,254 |
Regulatory balancing accounts | 6,442 | 5,660 |
Other | 1,509 | 1,494 |
Regulatory assets | 256 | 300 |
Inventories | ||
Gas stored underground and fuel oil | 44 | 65 |
Materials and supplies | 777 | 805 |
Wildfire Fund asset | 305 | 450 |
Other | 1,395 | 1,375 |
Total current assets | 15,231 | 14,383 |
Property, Plant, and Equipment | ||
Electric | 81,906 | 80,345 |
Gas | 30,213 | 29,830 |
Construction work in progress | 4,466 | 4,452 |
Financing lease ROU asset and other | 784 | 787 |
Total property, plant, and equipment | 117,369 | 115,414 |
Accumulated depreciation | (33,718) | (33,093) |
Net property, plant, and equipment | 83,651 | 82,321 |
Other Noncurrent Assets | ||
Regulatory assets | 16,333 | 17,189 |
Customer credit trust | 507 | 233 |
Nuclear decommissioning trusts | 3,710 | 3,574 |
Operating lease ROU asset | 585 | 598 |
Wildfire Fund asset | 4,365 | 4,297 |
Income taxes receivable | 24 | 24 |
Other | 3,239 | 3,079 |
Total other noncurrent assets | 28,763 | 28,994 |
TOTAL ASSETS | 127,645 | 125,698 |
Current Liabilities | ||
Short-term borrowings | 2,818 | 3,971 |
Long-term debt, classified as current (includes $177 million and $176 million related to VIEs at respective dates) | 926 | 1,376 |
Accounts payable | ||
Trade creditors | 2,147 | 2,309 |
Regulatory balancing accounts | 2,161 | 1,669 |
Other | 844 | 851 |
Operating lease liabilities | 80 | 80 |
Financing lease liabilities | 271 | 259 |
Interest payable (includes $136 million and $67 million related to VIEs at respective dates) | 581 | 679 |
Wildfire-related claims | 1,169 | 1,422 |
Other | 4,456 | 4,698 |
Total current liabilities | 15,453 | 17,314 |
Noncurrent Liabilities | ||
Long-term debt (includes $10.4 billion and $10.4 billion related to VIEs at respective dates) | 53,415 | 50,975 |
Regulatory liabilities | 19,667 | 19,444 |
Pension and other postretirement benefits | 474 | 476 |
Asset retirement obligations | 5,505 | 5,512 |
Deferred income taxes | 2,225 | 1,980 |
Operating lease liabilities | 505 | 518 |
Financing lease liabilities | 553 | 554 |
Other | 3,865 | 3,633 |
Total noncurrent liabilities | 86,209 | 83,092 |
Shareholders’ Equity | ||
Common stock, $5 par value, authorized 800,000,000 shares; 800,000,000 shares outstanding at respective dates | 30,356 | 30,374 |
Reinvested earnings | (4,611) | (5,321) |
Accumulated other comprehensive loss | (14) | (13) |
Total shareholders’ equity | 25,731 | 25,040 |
TOTAL LIABILITIES AND EQUITY | 127,645 | 125,698 |
Pacific Gas & Electric Co (Utility) | ||
Current Assets | ||
Cash and cash equivalents | 527 | 442 |
Restricted cash (includes $345 million and $282 million related to VIEs at respective dates) | 357 | 294 |
Accounts receivable | ||
Customers (net of allowance for doubtful accounts of $400 million and $445 million at respective dates) (includes $1.8 billion and $1.7 billion related to VIEs, net of allowance for doubtful accounts of $400 million and $445 million at respective dates) | 2,160 | 2,048 |
Accrued unbilled revenue (includes $1.2 billion and $1.1 billion related to VIEs at respective dates) | 1,323 | 1,254 |
Regulatory balancing accounts | 6,442 | 5,660 |
Other | 1,543 | 1,495 |
Regulatory assets | 256 | 300 |
Inventories | ||
Gas stored underground and fuel oil | 44 | 65 |
Materials and supplies | 777 | 805 |
Wildfire Fund asset | 305 | 450 |
Other | 1,394 | 1,374 |
Total current assets | 15,128 | 14,187 |
Property, Plant, and Equipment | ||
Electric | 81,906 | 80,345 |
Gas | 30,213 | 29,830 |
Construction work in progress | 4,466 | 4,452 |
Financing lease ROU asset and other | 784 | 787 |
Total property, plant, and equipment | 117,369 | 115,414 |
Accumulated depreciation | (33,718) | (33,093) |
Net property, plant, and equipment | 83,651 | 82,321 |
Other Noncurrent Assets | ||
Regulatory assets | 16,333 | 17,189 |
Customer credit trust | 507 | 233 |
Nuclear decommissioning trusts | 3,710 | 3,574 |
Operating lease ROU asset | 585 | 598 |
Wildfire Fund asset | 4,365 | 4,297 |
Income taxes receivable | 22 | 22 |
Other | 3,092 | 2,934 |
Total other noncurrent assets | 28,614 | 28,847 |
TOTAL ASSETS | 127,393 | 125,355 |
Current Liabilities | ||
Short-term borrowings | 2,818 | 3,971 |
Long-term debt, classified as current (includes $177 million and $176 million related to VIEs at respective dates) | 926 | 1,376 |
Accounts payable | ||
Trade creditors | 2,145 | 2,307 |
Regulatory balancing accounts | 2,161 | 1,669 |
Other | 804 | 820 |
Operating lease liabilities | 80 | 80 |
Financing lease liabilities | 271 | 259 |
Interest payable (includes $136 million and $67 million related to VIEs at respective dates) | 525 | 621 |
Wildfire-related claims | 1,169 | 1,422 |
Other | 4,158 | 4,391 |
Total current liabilities | 15,057 | 16,916 |
Noncurrent Liabilities | ||
Long-term debt (includes $10.4 billion and $10.4 billion related to VIEs at respective dates) | 48,813 | 46,376 |
Regulatory liabilities | 19,667 | 19,444 |
Pension and other postretirement benefits | 404 | 405 |
Asset retirement obligations | 5,505 | 5,512 |
Deferred income taxes | 2,700 | 2,436 |
Operating lease liabilities | 505 | 518 |
Financing lease liabilities | 553 | 554 |
Other | 3,898 | 3,670 |
Total noncurrent liabilities | 82,045 | 78,915 |
Shareholders’ Equity | ||
Preferred stock | 258 | 258 |
Common stock, $5 par value, authorized 800,000,000 shares; 800,000,000 shares outstanding at respective dates | 1,322 | 1,322 |
Additional paid-in capital | 31,010 | 30,570 |
Reinvested earnings | (2,285) | (2,613) |
Accumulated other comprehensive loss | (14) | (13) |
Total shareholders’ equity | 30,291 | 29,524 |
TOTAL LIABILITIES AND EQUITY | $ 127,393 | $ 125,355 |
CONDENSED CONSOLIDATED BALANC_4
CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) $ in Millions | Mar. 31, 2024 | Dec. 31, 2023 |
Restricted cash (includes $345 million and $282 million related to VIEs at respective dates) | $ 362 | $ 297 |
Allowance for doubtful accounts | 400 | 445 |
Customers (net of allowance for doubtful accounts of $400 million and $445 million at respective dates) (includes $1.8 billion and $1.7 billion related to VIEs, net of allowance for doubtful accounts of $400 million and $445 million at respective dates) | 2,160 | 2,048 |
Accrued unbilled revenue (includes $1.2 billion and $1.1 billion related to VIEs at respective dates) | 1,323 | 1,254 |
Long-term debt, classified as current (includes $177 million and $176 million related to VIEs at respective dates) | 926 | 1,376 |
Interest payable (includes $136 million and $67 million related to VIEs at respective dates) | 581 | 679 |
Long-term debt (includes $10.4 billion and $10.4 billion related to VIEs at respective dates) | $ 53,415 | $ 50,975 |
Common stock, par value (in dollars per share) | $ 0 | $ 0 |
Common stock, shares authorized (in shares) | 3,600,000,000 | 3,600,000,000 |
Common stock, shares outstanding (in shares) | 2,137,156,228 | 2,133,597,758 |
Pacific Gas & Electric Co (Utility) | ||
Restricted cash (includes $345 million and $282 million related to VIEs at respective dates) | $ 357 | $ 294 |
Allowance for doubtful accounts | 400 | 445 |
Customers (net of allowance for doubtful accounts of $400 million and $445 million at respective dates) (includes $1.8 billion and $1.7 billion related to VIEs, net of allowance for doubtful accounts of $400 million and $445 million at respective dates) | 2,160 | 2,048 |
Accrued unbilled revenue (includes $1.2 billion and $1.1 billion related to VIEs at respective dates) | 1,323 | 1,254 |
Long-term debt, classified as current (includes $177 million and $176 million related to VIEs at respective dates) | 926 | 1,376 |
Interest payable (includes $136 million and $67 million related to VIEs at respective dates) | 525 | 621 |
Long-term debt (includes $10.4 billion and $10.4 billion related to VIEs at respective dates) | $ 48,813 | $ 46,376 |
Common stock, par value (in dollars per share) | $ 5 | $ 5 |
Common stock, shares authorized (in shares) | 800,000,000 | 800,000,000 |
Common stock, shares outstanding (in shares) | 800,000,000 | 800,000,000 |
Variable Interest Entity, Primary Beneficiary | ||
Restricted cash (includes $345 million and $282 million related to VIEs at respective dates) | $ 345 | $ 282 |
Allowance for doubtful accounts | 400 | 445 |
Customers (net of allowance for doubtful accounts of $400 million and $445 million at respective dates) (includes $1.8 billion and $1.7 billion related to VIEs, net of allowance for doubtful accounts of $400 million and $445 million at respective dates) | 1,800 | 1,700 |
Accrued unbilled revenue (includes $1.2 billion and $1.1 billion related to VIEs at respective dates) | 1,200 | 1,100 |
Long-term debt, classified as current (includes $177 million and $176 million related to VIEs at respective dates) | 177 | 176 |
Interest payable (includes $136 million and $67 million related to VIEs at respective dates) | 136 | 67 |
Long-term debt (includes $10.4 billion and $10.4 billion related to VIEs at respective dates) | 10,400 | 10,400 |
Variable Interest Entity, Primary Beneficiary | Pacific Gas & Electric Co (Utility) | ||
Restricted cash (includes $345 million and $282 million related to VIEs at respective dates) | 345 | 282 |
Allowance for doubtful accounts | 400 | 445 |
Customers (net of allowance for doubtful accounts of $400 million and $445 million at respective dates) (includes $1.8 billion and $1.7 billion related to VIEs, net of allowance for doubtful accounts of $400 million and $445 million at respective dates) | 1,800 | 1,700 |
Accrued unbilled revenue (includes $1.2 billion and $1.1 billion related to VIEs at respective dates) | 1,200 | 1,100 |
Long-term debt, classified as current (includes $177 million and $176 million related to VIEs at respective dates) | 177 | 176 |
Interest payable (includes $136 million and $67 million related to VIEs at respective dates) | 136 | 67 |
Long-term debt (includes $10.4 billion and $10.4 billion related to VIEs at respective dates) | $ 10,400 | $ 10,400 |
CONDENSED CONSOLIDATED STATE_10
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS, UTILITY - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Cash Flows from Operating Activities | ||
Net income | $ 735 | $ 572 |
Adjustments to reconcile net income to net cash provided by operating activities: | ||
Depreciation, amortization, and decommissioning | 1,022 | 1,077 |
Bad debt expense | 70 | 139 |
Allowance for equity funds used during construction | (39) | (41) |
Deferred income taxes and tax credits, net | 239 | (163) |
Wildfire Fund expense | 78 | 117 |
Other | (101) | (6) |
Effect of changes in operating assets and liabilities: | ||
Accounts receivable | (341) | 826 |
Wildfire-related insurance receivable | 75 | 51 |
Inventories | 49 | 7 |
Accounts payable | 608 | 303 |
Wildfire-related claims | (253) | (396) |
Other current assets and liabilities | (585) | (239) |
Regulatory assets, liabilities, and balancing accounts, net | 666 | (1,069) |
Other noncurrent assets and liabilities | 38 | 7 |
Net cash provided by operating activities | 2,261 | 1,185 |
Cash Flows from Investing Activities | ||
Capital expenditures | (2,638) | (2,288) |
Proceeds from sales and maturities of nuclear decommissioning trust investments | 457 | 277 |
Purchases of nuclear decommissioning trust investments | (484) | (303) |
Proceeds from sales and maturities of customer credit trust investments | 81 | 169 |
Purchases of customer credit investments | (350) | 0 |
Other | 4 | 5 |
Net cash used in investing activities | (2,930) | (2,140) |
Cash Flows from Financing Activities | ||
Borrowings under credit facilities | 2,458 | 4,071 |
Repayments under credit facilities | (3,612) | (4,785) |
Proceeds from issuance of long-term debt, net of premium, discount and issuance costs of $9 and $27 at respective dates | 2,259 | 2,223 |
Repayments of long-term debt | (450) | (7) |
Repayments of recovery bonds | (23) | (14) |
Common stock dividends paid | (21) | 0 |
Proceeds from DWR loan | 232 | 0 |
Other | (86) | (65) |
Net cash provided by financing activities | 757 | 1,423 |
Net change in cash, cash equivalents, and restricted cash | 88 | 468 |
Cash, cash equivalents, and restricted cash at January 1 | 932 | 947 |
Cash, cash equivalents, and restricted cash at March 31 | 1,020 | 1,415 |
Less: Restricted cash and restricted cash equivalents | (362) | (387) |
Cash and cash equivalents at March 31 | 658 | 1,028 |
Supplemental disclosures of cash flow information | ||
Interest, net of amounts capitalized | (712) | (598) |
Supplemental disclosures of noncash investing and financing activities | ||
Capital expenditures financed through accounts payable | 666 | 664 |
Operating lease liabilities arising from obtaining ROU assets | 1 | 195 |
Financing lease liabilities arising from obtaining ROU assets | 12 | 0 |
DWR loan forgiveness and performance-based disbursements | 34 | 33 |
Pacific Gas & Electric Co (Utility) | ||
Cash Flows from Operating Activities | ||
Net income | 781 | 626 |
Adjustments to reconcile net income to net cash provided by operating activities: | ||
Depreciation, amortization, and decommissioning | 1,022 | 1,077 |
Bad debt expense | 70 | 139 |
Allowance for equity funds used during construction | (39) | (41) |
Deferred income taxes and tax credits, net | 260 | (129) |
Wildfire Fund expense | 78 | 117 |
Other | (90) | 42 |
Effect of changes in operating assets and liabilities: | ||
Accounts receivable | (374) | 765 |
Wildfire-related insurance receivable | 75 | 51 |
Inventories | 49 | 7 |
Accounts payable | 599 | 278 |
Wildfire-related claims | (253) | (396) |
Other current assets and liabilities | (573) | (217) |
Regulatory assets, liabilities, and balancing accounts, net | 666 | (1,069) |
Other noncurrent assets and liabilities | 38 | 12 |
Net cash provided by operating activities | 2,309 | 1,262 |
Cash Flows from Investing Activities | ||
Capital expenditures | (2,638) | (2,288) |
Proceeds from sales and maturities of nuclear decommissioning trust investments | 457 | 277 |
Purchases of nuclear decommissioning trust investments | (484) | (303) |
Proceeds from sales and maturities of customer credit trust investments | 81 | 169 |
Purchases of customer credit investments | (350) | 0 |
Other | 4 | 5 |
Net cash used in investing activities | (2,930) | (2,140) |
Cash Flows from Financing Activities | ||
Borrowings under credit facilities | 2,458 | 4,071 |
Repayments under credit facilities | (3,612) | (4,785) |
Proceeds from issuance of long-term debt, net of premium, discount and issuance costs of $9 and $27 at respective dates | 2,259 | 2,223 |
Repayments of long-term debt | (450) | 0 |
Repayments of recovery bonds | (23) | (14) |
Preferred stock dividends paid | (3) | (3) |
Common stock dividends paid | (450) | (425) |
Equity contribution from PG&E Corporation | 440 | 310 |
Proceeds from DWR loan | 232 | 0 |
Other | (82) | (63) |
Net cash provided by financing activities | 769 | 1,314 |
Net change in cash, cash equivalents, and restricted cash | 148 | 436 |
Cash, cash equivalents, and restricted cash at January 1 | 736 | 822 |
Cash, cash equivalents, and restricted cash at March 31 | 884 | 1,258 |
Less: Restricted cash and restricted cash equivalents | (357) | (387) |
Cash and cash equivalents at March 31 | 527 | 871 |
Supplemental disclosures of cash flow information | ||
Interest, net of amounts capitalized | (651) | (495) |
Supplemental disclosures of noncash investing and financing activities | ||
Capital expenditures financed through accounts payable | 666 | 664 |
Operating lease liabilities arising from obtaining ROU assets | 1 | 195 |
Financing lease liabilities arising from obtaining ROU assets | 12 | 0 |
DWR loan forgiveness and performance-based disbursements | $ 34 | $ 33 |
CONDENSED CONSOLIDATED STATE_11
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS, UTILITY (Parenthetical) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Premium, discount, and issuance costs on proceeds from long-term debt | $ 9 | $ 27 |
Pacific Gas & Electric Co (Utility) | ||
Premium, discount, and issuance costs on proceeds from long-term debt | $ 9 | $ 27 |
CONDENSED CONSOLIDATED STATE_12
CONDENSED CONSOLIDATED STATEMENTS OF EQUITY, UTILITY - USD ($) $ in Millions | Total | Pacific Gas & Electric Co (Utility) | Total Shareholders' Equity | Total Shareholders' Equity Pacific Gas & Electric Co (Utility) | Preferred Stock Pacific Gas & Electric Co (Utility) | Common Stock | Common Stock Pacific Gas & Electric Co (Utility) | Additional Paid-in Capital Pacific Gas & Electric Co (Utility) | Reinvested Earnings | Reinvested Earnings Pacific Gas & Electric Co (Utility) | Accumulated Other Comprehensive Income (Loss) | Accumulated Other Comprehensive Income (Loss) Pacific Gas & Electric Co (Utility) |
Beginning balance at Dec. 31, 2022 | $ 23,075 | $ 22,823 | $ 27,484 | $ 258 | $ 32,887 | $ 1,322 | $ 29,280 | $ (7,542) | $ (3,368) | $ (5) | $ (8) | |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||||||
Net Income (Loss) | 572 | $ 626 | 572 | 626 | 572 | 626 | ||||||
Other comprehensive income (loss) | 5 | 6 | 5 | 6 | 5 | 6 | ||||||
Equity contribution | 310 | 310 | ||||||||||
Common stock dividend | (425) | (425) | ||||||||||
Preferred stock dividend requirement | (3) | (3) | ||||||||||
Ending balance at Mar. 31, 2023 | 23,586 | 23,334 | 27,998 | 258 | 32,214 | 1,322 | 29,590 | (6,973) | (3,170) | 0 | (2) | |
Beginning balance at Dec. 31, 2023 | 25,292 | 25,040 | 29,524 | 258 | 30,374 | 1,322 | 30,570 | (5,321) | (2,613) | (13) | (13) | |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||||||
Net Income (Loss) | 735 | 781 | 735 | 735 | ||||||||
Other comprehensive income (loss) | (1) | $ (1) | (1) | (1) | ||||||||
Common stock dividend | (22) | (22) | (22) | |||||||||
Ending balance at Mar. 31, 2024 | $ 25,983 | $ 25,731 | $ 30,291 | $ 258 | $ 30,356 | $ 1,322 | $ 31,010 | $ (4,611) | $ (2,285) | $ (14) | $ (14) |
ORGANIZATION AND BASIS OF PRESE
ORGANIZATION AND BASIS OF PRESENTATION | 3 Months Ended |
Mar. 31, 2024 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
ORGANIZATION AND BASIS OF PRESENTATION | ORGANIZATION AND BASIS OF PRESENTATION Organization and Basis of Presentation PG&E Corporation is a holding company whose primary operating subsidiary is Pacific Gas and Electric Company, a public utility serving northern and central California. The Utility generates revenues mainly through the sale and delivery of electricity and natural gas to customers. The Utility is primarily regulated by the CPUC and the FERC. In addition, the NRC oversees the licensing, construction, operation, and decommissioning of the Utility’s nuclear generation facilities. This quarterly report on Form 10-Q is a combined report of PG&E Corporation and the Utility. PG&E Corporation’s Condensed Consolidated Financial Statements include the accounts of PG&E Corporation, the Utility, and other wholly owned and controlled subsidiaries. The Utility’s Condensed Consolidated Financial Statements include the accounts of the Utility and its wholly owned and controlled subsidiaries. All intercompany transactions have been eliminated in consolidation. The Notes to the Condensed Consolidated Financial Statements apply to both PG&E Corporation and the Utility. PG&E Corporation and the Utility assess financial performance and allocate resources on a consolidated basis (i.e., the companies operate in one segment). The accompanying Condensed Consolidated Financial Statements have been prepared in conformity with GAAP and in accordance with the interim period reporting requirements of Form 10-Q and reflect all adjustments that management believes are necessary for the fair presentation of PG&E Corporation’s and the Utility’s financial condition, results of operations, and cash flows for the periods presented. The information as of December 31, 2023 in the Condensed Consolidated Balance Sheets included in this quarterly report on Form 10-Q was derived from the audited Consolidated Balance Sheets in Item 8 of the 2023 Form 10-K. This quarterly report on Form 10-Q should be read in conjunction with the 2023 Form 10-K. The preparation of financial statements in conformity with GAAP requires the use of estimates and assumptions that affect the reported amounts of assets, liabilities, revenues and expenses and the disclosure of contingent assets and liabilities. Some of the more significant estimates and assumptions relate to the Utility’s regulatory assets and liabilities, wildfire-related liabilities, legal and regulatory contingencies, the Wildfire Fund, environmental remediation liabilities, asset retirement obligations, wildfire-related receivables, and pension and other post-retirement benefit plan obligations. Management believes that its estimates and assumptions reflected in the Condensed Consolidated Financial Statements are appropriate and reasonable. A change in management’s estimates or assumptions could result in an adjustment that would have a material impact on PG&E Corporation’s and the Utility’s financial condition, results of operations, liquidity, and cash flows during the period in which such change occurred. |
SUMMARY OF SIGNIFICANT ACCOUNTI
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | 3 Months Ended |
Mar. 31, 2024 | |
Accounting Policies [Abstract] | |
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Revenue Recognition Revenue from Contracts with Customers The Utility recognizes revenues when electricity and natural gas services are delivered. The Utility records unbilled revenues for the estimated amount of energy delivered to customers but not yet billed at the end of the period. Unbilled revenues are included in Accounts receivable on the Condensed Consolidated Balance Sheets. Rates charged to customers are based on CPUC and FERC authorized revenue requirements. Revenues can vary significantly from period to period because of seasonality, weather, and customer usage patterns. Regulatory Balancing Account Revenue The CPUC authorizes most of the Utility’s revenues in the Utility’s GRCs, which occur every four years. CPUC and FERC rates decouple authorized revenue from the volume of electricity and natural gas sales, so the Utility receives revenue equal to the amounts authorized by the relevant regulatory agencies. As a result, the volume of electricity and natural gas sold does not have a direct impact on PG&E Corporation’s and the Utility’s financial results. The Utility recognizes revenues that have been authorized for rate recovery, are objectively determinable and probable of recovery, and are expected to be collected within 24 months. Generally, electric and natural gas operating revenue is recognized ratably over the year. The Utility records a balancing account asset or liability for differences between customer billings and authorized revenue requirements that are probable of recovery or refund. The Utility also collects additional revenue requirements to recover costs that the CPUC has authorized the Utility to pass on to customers, including costs to purchase electricity and natural gas, and to fund public purpose, demand response, and customer energy efficiency programs. In general, the revenue recognition criteria for pass-through costs billed to customers are met at the time the costs are incurred. The Utility records a regulatory balancing account asset or liability for differences between incurred costs and customer billings or authorized revenue meant to recover those costs, to the extent that these differences are probable of recovery or refund. As a result, these differences have no impact on net income. The following table presents the Utility’s revenues disaggregated by type of customer: Three Months Ended March 31, (in millions) 2024 2023 Electric Revenue from contracts with customers Residential $ 1,799 $ 1,289 Commercial 1,505 1,144 Industrial 413 353 Agricultural 180 155 Public street and highway lighting 25 19 Other, net (1) 121 43 Total revenue from contracts with customers - electric 4,043 3,003 Regulatory balancing accounts (2) 9 1,116 Total electric operating revenue $ 4,052 $ 4,119 Natural gas Revenue from contracts with customers Residential $ 1,517 $ 1,883 Commercial 373 513 Transportation service only 475 444 Other, net (1) (64) (153) Total revenue from contracts with customers - gas 2,301 2,687 Regulatory balancing accounts (2) (492) (597) Total natural gas operating revenue 1,809 2,090 Total operating revenues $ 5,861 $ 6,209 (1) This activity is primarily related to the change in unbilled revenue and amounts subject to refund, partially offset by other miscellaneous revenue items. (2) These amounts represent revenues authorized to be billed or refunded to customers. Financial Assets Measured at Amortized Cost – Credit Losses PG&E Corporation and the Utility use the current expected credit loss model to estimate the expected lifetime credit loss on financial assets measured at amortized cost. PG&E Corporation and the Utility evaluate credit risk in their portfolio of financial assets quarterly. As of March 31, 2024, PG&E Corporation and the Utility identified the following significant categories of financial assets. Trade Receivables Trade receivables are represented by customer accounts. PG&E Corporation and the Utility record an allowance for doubtful accounts to recognize an estimate of expected lifetime credit losses. The allowance is determined on a collective basis based on the historical amounts written-off and an assessment of customer collectability. Furthermore, economic conditions are evaluated as part of the estimate of expected lifetime credit losses. Expected credit losses of $70 million and $139 million were recorded in Operating and maintenance expense on the Condensed Consolidated Statements of Income for credit losses associated with trade and other receivables during the three months ended March 31, 2024 and 2023, respectively. The portion of expected credit losses that are deemed probable of recovery are deferred to the RUBA, CPPMA, and a FERC regulatory asset. As of March 31, 2024, the RUBA current balancing accounts receivable balance was $55 million, and CPPMA and FERC noncurrent regulatory asset balances were $6 million and $79 million, respectively. As of December 31, 2023, the RUBA current balancing accounts receivable balance was $507 million, and CPPMA and FERC noncurrent regulatory asset balances were $5 million and $78 million, respectively. The RUBA current balancing account balance decreased from December 31, 2023 to March 31, 2024 primarily due to the annual electric and gas true-up which allows the Utility to recover approximately $500 million in undercollections from residential customers in 2024. Other Receivables and Available-For-Sale Debt Securities Insurance receivables are related to the liability insurance policies PG&E Corporation and the Utility carry. Insurance receivable risk is related to each insurance carrier’s risk of defaulting on their individual policies. Wildfire Fund receivables are the funds available from the statewide fund established under AB 1054 for payment of eligible claims related to the 2021 Dixie fire that exceed $1.0 billion and available insurance coverage. For more information, see Note 10 below. Wildfire Fund receivables risk is related to the Wildfire Fund’s durability, which is a measurement of its claim-paying capacity. Lastly, PG&E Corporation and the Utility are required to determine if the fair value is below the amortized cost basis for their available-for-sale debt securities (i.e., impairment). If such an impairment exists and does not otherwise result in a write-down, then PG&E Corporation and the Utility must determine whether a portion of the impairment is a result of expected credit loss. As of March 31, 2024, expected credit losses for insurance receivables, Wildfire Fund receivables, and available-for-sale debt securities were immaterial. Government Assistance The Utility participated in various government assistance programs during the three months ended March 31, 2024 and 2023. The Utility’s accounting policy is to apply a grant accounting model by analogy to International Accounting Standards 20, Accounting for Government Grants and Disclosure of Government Assistance . Assembly Bill 180 On June 30, 2022, AB 180 became law. AB 180 authorized the DWR to use up to $75 million to support contracts with the owners of electric generating facilities pending retirement, such as Diablo Canyon, to fund, reimburse or compensate the owner for any costs, expenses or financial commitments incurred to retain the future availability of such generating facilities pending further legislation. The resulting agreement between DWR and the Utility was effective beginning October 1, 2022, and will continue until full disbursement of funds or termination per the agreement. In the event of a termination, the Utility will take reasonable steps to end activities associated with this agreement and will return to DWR any unused funds. During the three months ended March 31, 2024, the amount reflected in the Condensed Consolidated Statements of Income as a deduction to Cost of electricity for income related to government grants for incurred eligible costs to purchase nuclear fuel was immaterial. DWR Loan Agreement On October 18, 2022, the DWR and the Utility executed a $1.4 billion loan agreement to support the extension of Diablo Canyon, up to approximately $1.1 billion of which could be repaid by funds received from the DOE (see “U.S. DOE’s Civil Nuclear Credit Program” below). Under the loan agreement, the DWR pays the Utility a monthly performance-based disbursement equal to $7 for each MWh generated by Diablo Canyon, effective September 2, 2022. The Utility may use the proceeds of the performance-based disbursements for any business purpose, except as profits or dividends to shareholders or as otherwise prohibited by SB 846. The Utility began earning performance-based disbursements beginning on September 2, 2022 and is eligible to earn performance-based disbursements until the previously-approved retirement dates for Diablo Canyon Unit 1 and Unit 2 (2024 and 2025, respectively). The performance-based disbursements are contingent upon the Utility’s ongoing efforts to pursue extension of and continued safe and reliable operation of Diablo Canyon. The aggregate amount of performance-based disbursements under this agreement will not exceed $300 million. The Utility initially accounts for all disbursements from the DWR loan agreement pursuant to ASC 470, Debt . When there is reasonable assurance that the Utility will have loan disbursements forgiven by the DWR, such as when the Utility earns a performance-based disbursement or when funds expected to be received from the DOE are less than incurred eligible costs to support the extension of Diablo Canyon, the Utility will recognize those forgiven loans as income related to government grants. The Utility records the income related to government grants as a deduction to expense in the same period(s) that eligible costs are incurred. The following table provides a summary of where the DWR loan activity is presented in PG&E Corporation’s and the Utility’s Condensed Consolidated Financial Statements for the three months ended March 31, 2024 and 2023, respectively: (in millions) 2024 2023 Long-term debt: DWR Loan Outstanding at January 1 $ 98 $ 312 Proceeds received 232 — Operating Expenses: Operating and maintenance expense - Performance-based disbursements (22) (33) Other current liabilities: Performance-based disbursements deferred (12) — Long-term debt: DWR Loan Outstanding at March 31 $ 296 $ 279 U.S. DOE’s Civil Nuclear Credit Program On January 11, 2024, the Utility and DOE entered into a Credit Award and Payment Agreement for up to $1.1 billion related to Diablo Canyon as part of the DOE’s Civil Nuclear Credit Program. The Utility will use these funds to repay its loans outstanding under the DWR Loan Agreement (see “DWR Loan Agreement” above). Final award amounts will be determined following completion of each year of the award period, and amounts awarded over a four-year award period ending in 2026 will be based on a number of factors, including actual costs incurred to extend the Diablo Canyon operations. When there is reasonable assurance that the Utility will receive funding and comply with the conditions of the DOE’s Civil Nuclear Credit Program, the Utility will recognize such funding as income and will record a receivable related to government grants. During the three months ended March 31, 2024, the Condensed Consolidated Statements of Income reflected $140 million as a deduction to Operating and maintenance expense Variable Interest Entities A VIE is an entity that does not have sufficient equity at risk to finance its activities without additional subordinated financial support from other parties, or whose equity investors lack any characteristics of a controlling financial interest. An enterprise that has a controlling financial interest in a VIE is a primary beneficiary and is required to consolidate the VIE. Consolidated VIEs Receivables Securitization Program The SPV was created in connection with the Receivables Securitization Program and is a bankruptcy remote, limited liability company wholly owned by the Utility, and its assets are not available to creditors of PG&E Corporation or the Utility. Pursuant to the Receivables Securitization Program, the Utility sells certain of its receivables and certain related rights to payment and obligations of the Utility with respect to such receivables, and certain other related rights to the SPV, which, in turn, obtains loans secured by the receivables from financial institutions (the “Lenders”). The pledged receivables and the corresponding debt are included in Accounts receivable, Accrued unbilled revenue, and Long-term debt on the Condensed Consolidated Balance Sheets. The SPV is considered a VIE because its equity capitalization is insufficient to support its activities. The most significant activities that impact the economic performance of the SPV are decisions made to manage receivables. The Utility is considered the primary beneficiary and consolidates the SPV as it makes these decisions. No additional financial support was provided to the SPV during the three months ended March 31, 2024 or is expected to be provided in the future that was not previously contractually required. As of March 31, 2024 and December 31, 2023, the SPV had net accounts receivable of $3.0 billion and $2.7 billion, respectively, and outstanding borrowings of $1.5 billion under the Receivables Securitization Program. For more information, see Note 4 below. AB 1054 Securitization PG&E Recovery Funding LLC is a bankruptcy remote, limited liability company wholly owned by the Utility, and its assets are not available to creditors of PG&E Corporation or the Utility. Pursuant to the financing orders for the first and second AB 1054 securitization transactions, the Utility sold its right to receive revenues from the non-bypassable wildfire hardening fixed recovery charges (“Recovery Property”) to PG&E Recovery Funding LLC, which, in turn, issued two separate series of recovery bonds secured by separate Recovery Property. PG&E Recovery Funding LLC is considered a VIE because its equity capitalization is insufficient to support its operations. The most significant activities that impact the economic performance of PG&E Recovery Funding LLC are decisions made by the servicer of the Recovery Property. The Utility is considered the primary beneficiary and consolidates PG&E Recovery Funding LLC as it acts in this role as servicer. No additional financial support was provided to PG&E Recovery Funding LLC during the three months ended March 31, 2024 or is expected to be provided in the future that was not previously contractually required. On November 12, 2021, PG&E Recovery Funding LLC issued approximately $860 million of Senior Secured Recovery Bonds. On November 30, 2022, PG&E Recovery Funding LLC issued approximately $983 million of Series 2022-A Senior Secured Recovery Bonds. As of March 31, 2024 and December 31, 2023, PG&E Recovery Funding LLC had outstanding borrowings of $1.8 billion included in Long-term debt and Long-term debt, classified as current on the Condensed Consolidated Balance Sheets. SB 901 Securitization PG&E Wildfire Recovery Funding LLC is a bankruptcy remote, limited liability company wholly owned by the Utility, and its assets are not available to creditors of PG&E Corporation or the Utility. Pursuant to the financing order for the first and second SB 901 securitization transactions, the Utility sold its right to receive revenues from the non-bypassable fixed recovery charges (“SB 901 Recovery Property”) to PG&E Wildfire Recovery Funding LLC, which, in turn, issued two separate series of recovery bonds secured by separate SB 901 Recovery Property. PG&E Wildfire Recovery Funding LLC is considered a VIE because its equity capitalization is insufficient to support its operations. The most significant activities that impact the economic performance of PG&E Wildfire Recovery Funding LLC are decisions made by the servicer of the SB 901 Recovery Property. The Utility is considered the primary beneficiary and consolidates PG&E Wildfire Recovery Funding LLC as it acts in this role as servicer. No additional financial support was provided to PG&E Wildfire Recovery Funding LLC during the three months ended March 31, 2024 or is expected to be provided in the future that was not previously contractually required. On May 10, 2022, PG&E Wildfire Recovery Funding LLC issued $3.6 billion aggregate principal amount of senior secured recovery bonds (the “Series 2022-A Recovery Bonds”). On July 20, 2022, PG&E Wildfire Recovery Funding LLC issued $3.9 billion aggregate principal amount of senior secured recovery bonds (the “Series 2022-B Recovery Bonds”). As of March 31, 2024 and December 31, 2023, PG&E Wildfire Recovery Funding LLC had outstanding borrowings of $7.3 billion included in Long-term debt and Long-term debt, classified as current on the Condensed Consolidated Balance Sheets. For more information, see Note 5 below. Non-Consolidated VIEs Power Purchase Agreement s Some of the counterparties to the Utility’s power purchase agreements are considered VIEs. Each of these VIEs was designed to own a power plant that would generate electricity for sale to the Utility. To determine whether the Utility was the primary beneficiary of any of these VIEs as of March 31, 2024, the Utility assessed whether it absorbs any of the VIE’s expected losses or receives any portion of the VIE’s expected residual returns under the terms of the power purchase agreement, analyzed the variability in the VIE’s gross margin, and considered whether it had any decision-making rights associated with the activities that are most significant to the VIE’s performance, such as dispatch rights or operating and maintenance activities. The Utility’s financial obligation is limited to the amount the Utility pays for delivered electricity and capacity. The Utility did not have any decision-making rights associated with any of the activities that are most significant to the economic performance of any of these VIEs. Since the Utility was not the primary beneficiary of any of these VIEs as of March 31, 2024, it did not consolidate any of them. The Lakeside Building BA2 300 Lakeside LLC, a wholly owned subsidiary of TMG Bay Area Investments II, LLC, and the Utility are parties to an office lease agreement for approximately 910,000 rentable square feet of space within the Lakeside Building, which serves as the Utility’s principal administrative headquarters. BA2 300 Lakeside LLC is considered a VIE because the group that holds the equity investment at risk lacks the right to receive the expected residual returns of the entity due to a fixed-price purchase option covering more than 50% of the fair value of the assets held by the entity. The most significant activities that impact the economic performance of BA2 300 Lakeside LLC are decisions related to significant maintenance and remarketing of the property. The Utility is not considered the primary beneficiary and does not consolidate BA2 300 Lakeside LLC as it does not have any decision-making rights associated with these activities. The Utility’s financial obligation is limited to the issued letter of credit as well as the amounts it pays for base rent and certain costs, per the office lease agreement. For more information, see “Oakland Headquarters Lease and Purchase” in Note 11 below. Contributions to the Wildfire Fund Established Pursuant to AB 1054 PG&E Corporation and the Utility account for contributions to the Wildfire Fund by capitalizing an asset, amortizing over the life of the fund ratably based on an estimated period of coverage, and incrementally adjusting for accelerated amortization as the level of coverage declines, as further described below. However, AB 1054 did not specify a period of coverage for the Wildfire Fund; therefore, this accounting treatment is subject to significant accounting judgments and estim ates. In esti mating the period of coverage, PG&E Corporation and the Utility used a dataset of historical, publicly available fire-loss data caused by electrical equipment to create Monte Carlo simulations of expected loss. The number of years of historic fire-loss data and the effectiveness of mitigation efforts by the California electric utility companies are significant assumptions used to estimate the period of coverage. Other assumptions include the estimated costs to settle wildfire claims for participating electric utilities including the Utility, the CPUC’s determinations of whether costs were just and reasonable in cases of electric utility-caused wildfires and amounts required to be reimbursed to the Wildfire Fund, the impacts of climate change, the FERC-allocable portion of loss recovery, and the future transmission and distribution equity rate base growth of participating electric utilities. These assumptions create a high degree of uncertainty for the estimated useful life of the Wildfire Fund. PG&E Corporation and the Utility re-evaluate the estimated period of coverage annually and as required by additional information. Changes in any of the assumptions could materially impact the estimated period of coverage. PG&E Corporation and the Utility assess the Wildfire Fund asset for acceleration of the amortization of the asset in the event that it is probable that a participating utility’s electrical equipment will be found to be the substantial cause of a catastrophic wildfire. PG&E Corporation and the Utility initially estimated a period of coverage of 15 years. In the first quarter of 2024, the annual assessment resulted in the expected life of the Wildfire Fund increasing to 20 years after incorporating 2023 loss information into the dataset with no events triggering a claim against the Wildfire Fund. As of March 31, 2024, PG&E Corporation and the Utility recorded $193 million in Other current liabilities, $752 million in Other noncurrent liabilities, $305 million in Current assets - Wildfire Fund asset, and $4.4 billion in Noncurrent assets - Wildfire Fund asset in the Condensed Consolidated Balance Sheets. During the three months ended March 31, 2024 and 2023, the Utility recorded amortization and accretion expense of $78 million and $117 million, respectively. The amortization of the asset, accretion of the liability, and applicable acceleration of the amortization of the asset is reflected in Wildfire Fund expense in the Condensed Consolidated Statements of Income. As of March 31, 2024, PG&E Corporation and the Utility recorded $450 million in Accounts receivable - other and $150 million in Other noncurrent assets in the Condensed Consolidated Balance Sheets, for Wildfire Fund receivables related to the 2021 Dixie fire. For more information, see “Wildfire Fund under AB 1054” in Note 10 below. Pension and Other Post-Retirement Benefits PG&E Corporation and the Utility sponsor a non-contributory defined benefit pension plan and cash balance plan. Both plans are included in “Pension Benefits” below. Post-retirement medical and life insurance plans are included in “Other Benefits” below. The net periodic benefit costs reflected in PG&E Corporation’s Condensed Consolidated Financial Statements for the three months ended March 31, 2024 and 2023 were as follows: Pension Benefits Other Benefits Three Months Ended March 31, (in millions) 2024 2023 2024 2023 Service cost for benefits earned (1) $ 99 $ 95 $ 10 $ 10 Interest cost 229 228 18 18 Expected return on plan assets (253) (245) (35) (33) Amortization of prior service cost (credit) (1) (1) 1 1 Amortization of net actuarial gain — — (6) (5) Net periodic benefit cost 74 77 (12) (9) Regulatory account transfer (2) 10 6 — — Total $ 84 $ 83 $ (12) $ (9) (1) A portion of service costs is capitalized pursuant to GAAP. (2) The Utility recorded these amounts to a regulatory account since they are probable of recovery or refund through rates in future periods. Non-service costs are reflected in Other income, net on the Condensed Consolidated Statements of Income. Service costs are reflected in Operating and maintenance on the Condensed Consolidated Statements of Income. There was no material difference between PG&E Corporation and the Utility for the information disclosed above. Reporting of Amounts Reclassified Out of Accumulated Other Comprehensive Income (Loss) The changes, net of income tax, in PG&E Corporation’s accumulated other comprehensive income (loss) consisted of the following: Pension Other Customer Credit Trust Total (in millions, net of income tax) Three Months Ended March 31, 2024 Beginning balance $ (28) $ 18 $ 2 $ (8) Other comprehensive income before reclassification Loss on investments (net of taxes of $0, $0 and $1, respectively) — — (1) (1) Amounts reclassified from other comprehensive income: (1) Amortization of prior service cost (net of taxes of $0, $0 and $0, respectively) (1) — — (1) Amortization of net actuarial gain (net of taxes of $0, $1 and $0, respectively) — (4) — (4) Regulatory account transfer (net of taxes of $0, $1 and $0, respectively) 1 4 — 5 Net current period other comprehensive loss — — (1) (1) Ending balance $ (28) $ 18 $ 1 $ (9) (1) These components are included in the computation of net periodic pension and other post-retirement benefit costs. See the “Pension and Other Post-Retirement Benefits” table above for additional details. Pension Benefits Other Customer Credit Trust Total (in millions, net of income tax) Three Months Ended March 31, 2023 Beginning balance $ (12) $ 18 $ (6) $ — Other comprehensive income before reclassification Gain on investments (net of taxes of $0, $0 and $2, respectively) — — 5 5 Amounts reclassified from other comprehensive income: (1) Amortization of prior service cost (net of taxes of $0, $0 and $0, respectively) (1) 1 — — Amortization of net actuarial gain (net of taxes of $0, $1 and $0, respectively) — (4) — (4) Regulatory account transfer (net of taxes of $0, $1 and $0, respectively) 1 3 — 4 Net current period other comprehensive gain — — 5 5 Ending balance $ (12) $ 18 $ (1) $ 5 (1) These components are included in the computation of net periodic pension and other post-retirement benefit costs. See the “Pension and Other Post-Retirement Benefits” table above for additional details. There was no material difference between PG&E Corporation and the Utility for the information disclosed above. Accounting Standards Issued But Not Yet Adopted Segment Reporting In November 2023, the FASB issued ASU No. 2023-07, Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures , which amends the existing guidance to improve reportable segment disclosure requirements, primarily through enhanced disclosures about significant segment expenses. This ASU will become effective for PG&E Corporation and the Utility for fiscal years beginning after December 15, 2023, and interim periods within fiscal years beginning after December 15, 2024, with early adoption permitted. PG&E Corporation and the Utility are currently evaluating the impact the guidance will have on their Condensed Consolidated Financial Statements and related disclosures. Income Taxes In December 2023, the FASB issued ASU No. 2023-09 , Income Taxes (Topic 740): Improvements to Income Tax Disclosures, which amends the existing guidance to enhance the transparency and decision usefulness of income tax disclosures. The standard requires consistent categories and greater disaggregation of information in the rate reconciliation, and income taxes paid disaggregated by jurisdiction. This ASU will become effective for PG&E Corporation and the Utility for fiscal years beginning after December 15, 2024. PG&E Corporation and the Utility are currently evaluating the impact the guidance will have on their Condensed Consolidated Financial Statements and related disclosures. |
REGULATORY ASSETS, LIABILITIES,
REGULATORY ASSETS, LIABILITIES, AND BALANCING ACCOUNTS | 3 Months Ended |
Mar. 31, 2024 | |
Regulated Operations [Abstract] | |
REGULATORY ASSETS, LIABILITIES, AND BALANCING ACCOUNTS | REGULATORY ASSETS, LIABILITIES, AND BALANCING ACCOUNTS Regulatory Assets Noncurrent regulatory assets are comprised of the following: Balance at (in millions) March 31, 2024 December 31, 2023 Pension benefits $ 339 $ 348 Environmental compliance costs 1,122 1,218 Price risk management 166 160 Catastrophic event memorandum account 1,031 1,074 Wildfire-related accounts 2,455 2,915 Deferred income taxes 3,748 3,543 Financing costs 192 196 SB 901 securitization 5,247 5,249 General rate case memorandum accounts 992 1,291 Other 1,041 1,195 Total noncurrent regulatory assets $ 16,333 $ 17,189 Regulatory Liabilities Noncurrent regulatory liabilities are comprised of the following: Balance at (in millions) March 31, 2024 December 31, 2023 Cost of removal obligations $ 8,355 $ 8,191 Public purpose programs 1,300 1,238 Employee benefit plans 1,037 1,032 Transmission tower wireless licenses 342 384 SFGO sale 138 185 SB 901 securitization 6,550 6,628 Wildfire self-insurance 498 407 Other 1,447 1,379 Total noncurrent regulatory liabilities $ 19,667 $ 19,444 Regulatory Balancing Accounts Current regulatory balancing accounts receivable and payable are comprised of the following: Balance at (in millions) March 31, 2024 December 31, 2023 Electric distribution $ 1,757 $ 1,092 Electric transmission 105 99 Gas distribution and transmission 165 144 Energy procurement 1,122 1,002 Public purpose programs 340 137 Wildfire-related accounts 798 729 Insurance premium costs 37 227 Residential uncollectibles balancing accounts 55 507 Catastrophic event memorandum account 374 413 General rate case memorandum accounts 1,108 1,097 Other 581 213 Total regulatory balancing accounts receivable $ 6,442 $ 5,660 Balance at (in millions) March 31, 2024 December 31, 2023 Electric transmission $ 178 $ 200 Gas distribution and transmission 379 224 Energy procurement 408 77 Public purpose programs 391 299 SFGO sale 20 79 Wildfire-related accounts 163 125 Nuclear decommissioning adjustment mechanism 176 216 Other 446 449 Total regulatory balancing accounts payable $ 2,161 $ 1,669 For more information, see Note 3 of the Notes to the Consolidated Financial Statements in Item 8 of the 2023 Form 10-K. |
DEBT
DEBT | 3 Months Ended |
Mar. 31, 2024 | |
Debt Disclosure [Abstract] | |
DEBT | DEBT Credit Facilities and Term Loans The following table summarizes PG&E Corporation’s and the Utility’s outstanding borrowings and availability under their credit facilities as of March 31, 2024: (in millions) Termination Maximum Facility Limit Loans Outstanding Letters of Credit Outstanding Facility Utility revolving credit facility June 2028 $ 4,400 (1) $ (595) $ (545) $ 3,260 Utility Receivables Securitization Program (2) June 2025 1,500 (3) (1,500) — — (3) PG&E Corporation revolving credit facility June 2026 500 — — 500 Total credit facilities $ 6,400 $ (2,095) $ (545) $ 3,760 (1) Includes a $2.0 billion letter of credit sublimit. (2) For more information on the Receivables Securitization Program, see “Variable Interest Entities” in Note 2 above. (3) The amount the Utility may borrow under the Receivables Securitization Program is limited to the lesser of the facility limit and the facility availability. The facility limit fluctuates between $1.25 billion and $1.5 billion depending on the periods set forth in the transaction documents. Further, the facility availability may vary based on the amount of accounts receivable that the Utility owns that are eligible for sale to the SPV and the portion of those accounts receivable that are sold to the SPV that are eligible for advances by the lenders under the Receivables Securitization Program. Utility On April 16, 2024, the Utility amended its existing term loan agreement to combine its $400 million 2-year tranche loan maturing April 19, 2024 and its $125 million 364-day tranche loan maturing April 16, 2024 into a single loan of $525 million maturing April 15, 2025. The loan bears interest based on the Utility’s election of either (1) Term SOFR (plus a 0.10% credit spread adjustment) plus an applicable margin of 1.375% or (2) the alternative base rate plus an applicable margin of 0.375%. Long-Term Debt Issuances and Redemptions Utility On February 28, 2024, the Utility completed the sale of (i) $850 million aggregate principal amount of 5.550% First Mortgage Bonds due 2029, (ii) $1.1 billion aggregate principal amount of 5.800% First Mortgage Bonds due 2034 and (iii) $300 million aggregate principal amount of 6.750% First Mortgage Bonds due 2053. The Utility used the net proceeds for the repayment of borrowings outstanding under the Utility’s revolving credit facility pursuant to the Utility Revolving Credit Agreement. Convertible Notes On December 4, 2023, PG&E Corporation completed the sale of $2.15 billion aggregate principal amount of 4.25% Convertible Senior Secured Notes due December 1, 2027 (the “Convertible Notes”). For more information about the Convertible Notes, see Note 4 of the Notes to the Consolidated Financial Statements in Item 8 of the 2023 Form 10-K. As of March 31, 2024, none of the conditions allowing holders of the Convertible Notes to convert had been met. Pursuant to the financing order for the SB 901 securitization transactions, the Utility sold its right to receive revenues from the SB 901 Recovery Property to PG&E Wildfire Recovery Funding LLC, which, in turn, issued the recovery bonds secured by separate fixed recovery charges and separate SB 901 Recovery Property. The fixed recovery charges are designed to recover the full scheduled principal amount of the applicable series of recovery bonds along with any associated interest and financing costs. In the context of the customer harm threshold decision, which is intended to insulate customers from the fixed recovery charge, there is a customer credit, which is designed to equal the recovery bond principal, interest, and financing costs over the life of the recovery bonds. The customer credit is funded by the customer credit trust (see Note 9 below). The fixed recovery charges and customer credits are presented on a net basis in Operating revenues in the Condensed Consolidated Statements of Income and had no net impact on Operating revenues in the Condensed Consolidated Statements of Income for the three months ended March 31, 2024 and 2023. Upon issuance of the Series 2022-A Recovery Bonds in May 2022 (“inception”), the Utility recorded a $5.5 billion SB 901 securitization regulatory asset reflecting PG&E Wildfire Recovery Funding LLC’s right to recover $7.5 billion in wildfire claims costs associated with the 2017 Northern California wildfires, partially offset by the $2.0 billion in required upfront shareholder contributions to the customer credit trust. Of the $2.0 billion in required upfront shareholder contributions, $1.0 billion was contributed to the customer credit trust in 2022, $350 million was contributed on March 28, 2024, and $650 million is required to be contributed no later than March 31, 2025 unless certain conditions are met requiring an earlier contribution or unless otherwise ordered by the CPUC. The Utility also recorded a $5.54 billion SB 901 securitization regulatory liability at inception, which represents certain shareholder tax benefits the Utility had previously recognized that will be returned to customers. As the Fire Victim Trust sold PG&E Corporation common stock shares it held, the SB 901 securitization regulatory liability increased accordingly. As tax benefits are monetized, contributions will be made to the customer credit trust, up to $7.59 billion. The Utility expects to amortize the SB 901 securitization regulatory asset and liability over the life of the recovery bonds, with such amortization reflected in Operating and maintenance expense in the Condensed Consolidated Statements of Income. During the three months ended March 31, 2024, the Utility recorded $80 million for amortization of the regulatory asset and liability in the Condensed Consolidated Statements of Income. During the three months ended March 31, 2023, the Utility recorded SB 901 securitization charges, net, of $273 million for tax benefits realized within income tax expense related to the Fire Victim Trust’s sale of PG&E Corporation common stock and $87 million for amortization of the regulatory asset and liability in the Condensed Consolidated Statements of Income. The following tables illustrate the changes in the SB 901 securitization’s impact on the Utility’s regulatory assets and liabilities: SB 901 securitization regulatory asset (in millions) 2024 2023 Balance at January 1 $ 5,249 $ 5,378 Amortization (2) (49) Balance at March 31 $ 5,247 $ 5,329 SB 901 securitization regulatory liability (in millions) 2024 2023 Balance at January 1 $ (6,628) $ (5,800) Amortization 82 136 Additions (1) (4) (273) Balance at March 31 $ (6,550) $ (5,937) (1) |
SB 901 SECURITIZATION AND CUSTO
SB 901 SECURITIZATION AND CUSTOMER CREDIT TRUST | 3 Months Ended |
Mar. 31, 2024 | |
Debt Disclosure [Abstract] | |
SB 901 SECURITIZATION AND CUSTOMER CREDIT TRUST | DEBT Credit Facilities and Term Loans The following table summarizes PG&E Corporation’s and the Utility’s outstanding borrowings and availability under their credit facilities as of March 31, 2024: (in millions) Termination Maximum Facility Limit Loans Outstanding Letters of Credit Outstanding Facility Utility revolving credit facility June 2028 $ 4,400 (1) $ (595) $ (545) $ 3,260 Utility Receivables Securitization Program (2) June 2025 1,500 (3) (1,500) — — (3) PG&E Corporation revolving credit facility June 2026 500 — — 500 Total credit facilities $ 6,400 $ (2,095) $ (545) $ 3,760 (1) Includes a $2.0 billion letter of credit sublimit. (2) For more information on the Receivables Securitization Program, see “Variable Interest Entities” in Note 2 above. (3) The amount the Utility may borrow under the Receivables Securitization Program is limited to the lesser of the facility limit and the facility availability. The facility limit fluctuates between $1.25 billion and $1.5 billion depending on the periods set forth in the transaction documents. Further, the facility availability may vary based on the amount of accounts receivable that the Utility owns that are eligible for sale to the SPV and the portion of those accounts receivable that are sold to the SPV that are eligible for advances by the lenders under the Receivables Securitization Program. Utility On April 16, 2024, the Utility amended its existing term loan agreement to combine its $400 million 2-year tranche loan maturing April 19, 2024 and its $125 million 364-day tranche loan maturing April 16, 2024 into a single loan of $525 million maturing April 15, 2025. The loan bears interest based on the Utility’s election of either (1) Term SOFR (plus a 0.10% credit spread adjustment) plus an applicable margin of 1.375% or (2) the alternative base rate plus an applicable margin of 0.375%. Long-Term Debt Issuances and Redemptions Utility On February 28, 2024, the Utility completed the sale of (i) $850 million aggregate principal amount of 5.550% First Mortgage Bonds due 2029, (ii) $1.1 billion aggregate principal amount of 5.800% First Mortgage Bonds due 2034 and (iii) $300 million aggregate principal amount of 6.750% First Mortgage Bonds due 2053. The Utility used the net proceeds for the repayment of borrowings outstanding under the Utility’s revolving credit facility pursuant to the Utility Revolving Credit Agreement. Convertible Notes On December 4, 2023, PG&E Corporation completed the sale of $2.15 billion aggregate principal amount of 4.25% Convertible Senior Secured Notes due December 1, 2027 (the “Convertible Notes”). For more information about the Convertible Notes, see Note 4 of the Notes to the Consolidated Financial Statements in Item 8 of the 2023 Form 10-K. As of March 31, 2024, none of the conditions allowing holders of the Convertible Notes to convert had been met. Pursuant to the financing order for the SB 901 securitization transactions, the Utility sold its right to receive revenues from the SB 901 Recovery Property to PG&E Wildfire Recovery Funding LLC, which, in turn, issued the recovery bonds secured by separate fixed recovery charges and separate SB 901 Recovery Property. The fixed recovery charges are designed to recover the full scheduled principal amount of the applicable series of recovery bonds along with any associated interest and financing costs. In the context of the customer harm threshold decision, which is intended to insulate customers from the fixed recovery charge, there is a customer credit, which is designed to equal the recovery bond principal, interest, and financing costs over the life of the recovery bonds. The customer credit is funded by the customer credit trust (see Note 9 below). The fixed recovery charges and customer credits are presented on a net basis in Operating revenues in the Condensed Consolidated Statements of Income and had no net impact on Operating revenues in the Condensed Consolidated Statements of Income for the three months ended March 31, 2024 and 2023. Upon issuance of the Series 2022-A Recovery Bonds in May 2022 (“inception”), the Utility recorded a $5.5 billion SB 901 securitization regulatory asset reflecting PG&E Wildfire Recovery Funding LLC’s right to recover $7.5 billion in wildfire claims costs associated with the 2017 Northern California wildfires, partially offset by the $2.0 billion in required upfront shareholder contributions to the customer credit trust. Of the $2.0 billion in required upfront shareholder contributions, $1.0 billion was contributed to the customer credit trust in 2022, $350 million was contributed on March 28, 2024, and $650 million is required to be contributed no later than March 31, 2025 unless certain conditions are met requiring an earlier contribution or unless otherwise ordered by the CPUC. The Utility also recorded a $5.54 billion SB 901 securitization regulatory liability at inception, which represents certain shareholder tax benefits the Utility had previously recognized that will be returned to customers. As the Fire Victim Trust sold PG&E Corporation common stock shares it held, the SB 901 securitization regulatory liability increased accordingly. As tax benefits are monetized, contributions will be made to the customer credit trust, up to $7.59 billion. The Utility expects to amortize the SB 901 securitization regulatory asset and liability over the life of the recovery bonds, with such amortization reflected in Operating and maintenance expense in the Condensed Consolidated Statements of Income. During the three months ended March 31, 2024, the Utility recorded $80 million for amortization of the regulatory asset and liability in the Condensed Consolidated Statements of Income. During the three months ended March 31, 2023, the Utility recorded SB 901 securitization charges, net, of $273 million for tax benefits realized within income tax expense related to the Fire Victim Trust’s sale of PG&E Corporation common stock and $87 million for amortization of the regulatory asset and liability in the Condensed Consolidated Statements of Income. The following tables illustrate the changes in the SB 901 securitization’s impact on the Utility’s regulatory assets and liabilities: SB 901 securitization regulatory asset (in millions) 2024 2023 Balance at January 1 $ 5,249 $ 5,378 Amortization (2) (49) Balance at March 31 $ 5,247 $ 5,329 SB 901 securitization regulatory liability (in millions) 2024 2023 Balance at January 1 $ (6,628) $ (5,800) Amortization 82 136 Additions (1) (4) (273) Balance at March 31 $ (6,550) $ (5,937) (1) |
EQUITY
EQUITY | 3 Months Ended |
Mar. 31, 2024 | |
Equity [Abstract] | |
EQUITY | EQUITY Dividends Under the Utility’s Articles of Incorporation, the Utility cannot pay common stock dividends unless all cumulative preferred dividends on the Utility’s preferred stock have been paid. Additionally, the CPUC requires the Utility to maintain a capital structure composed of at least 52% equity on average. The CPUC has granted the Utility a temporary waiver from compliance with its authorized capital structure until 2025 for the financing in place upon the Utility’s emergence from Chapter 11. Subject to the foregoing restrictions, any decision to declare and pay dividends in the future will be made at the discretion of PG&E Corporation’s and the Utility’s Boards of Directors and will depend on, among other things, results of operations, financial condition, cash requirements, contractual restrictions and other factors that the Boards of Directors may deem relevant. Utility On February 13, 2024, the Board of Directors of the Utility declared dividends on its outstanding series of preferred stock totaling $3.5 million, payable on May 15, 2024 to holders of record as of April 30, 2024. On February 13, 2024, the Board of Directors of the Utility declared common stock dividends of $450 million, which was paid to PG&E Corporation on March 25, 2024. PG&E Corporation On February 13, 2024, the Board of Directors of PG&E Corporation declared a quarterly common stock dividend of $0.01 per share, totaling $21 million, which was paid on April 15, 2024 to holders of record as of March 28, 2024. |
EARNINGS PER SHARE
EARNINGS PER SHARE | 3 Months Ended |
Mar. 31, 2024 | |
Earnings Per Share [Abstract] | |
EARNINGS PER SHARE | EARNINGS PER SHARE PG&E Corporation’s basic EPS is calculated by dividing the income available for common shareholders by the weighted average number of common shares outstanding. PG&E Corporation applies the treasury stock method of reflecting the dilutive effect of outstanding share-based compensation in the calculation of diluted EPS. The following is a reconciliation of PG&E Corporation’s income available for common shareholders and weighted average common shares outstanding for calculating diluted EPS: Three Months Ended March 31, (in millions, except per share amounts) 2024 2023 Income available for common shareholders $ 732 $ 569 Weighted average common shares outstanding, basic 2,134 1,991 Add incremental shares from assumed conversions: Employee share-based compensation 5 4 Equity Units — 137 Weighted average common shares outstanding, diluted 2,139 2,132 Total income per common share, diluted $ 0.34 $ 0.27 For each of the periods presented above, the calculation of outstanding common shares on a diluted basis excluded an insignificant amount of options and securities that were antidilutive. In addition, the Convertible Notes (as defined in Note 4) issued in December 2023 did not have a material impact on the calculation of diluted EPS. |
DERIVATIVES
DERIVATIVES | 3 Months Ended |
Mar. 31, 2024 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
DERIVATIVES | DERIVATIVES Use of Derivative Instruments The Utility is exposed to commodity price risk as a result of its electricity and natural gas procurement activities. Procurement costs are recovered through rates. The Utility uses both derivative and non-derivative contracts to manage volatility in customer rates due to fluctuating commodity prices. Derivatives include contracts, such as power purchase agreements, forwards, futures, swaps, options, and CRRs that are traded either on an exchange or over-the-counter. Derivatives are presented in the Utility’s Condensed Consolidated Balance Sheets and recorded at fair value and on a net basis in accordance with master netting arrangements for each counterparty. The fair value of derivative instruments is further offset by cash collateral paid or received where the right of offset and the intention to offset exist. Price risk management activities that meet the definition of derivatives are recorded at fair value on the Condensed Consolidated Balance Sheets. These instruments are not held for speculative purposes and are subject to certain regulatory requirements. The Utility expects to fully recover through rates all costs related to derivatives under the applicable ratemaking mechanism in place as long as the Utility’s price risk management activities are carried out in accordance with CPUC directives. Therefore, all unrealized gains and losses associated with the change in fair value of these derivatives are deferred and recorded within the Utility’s regulatory assets The Utility elects the normal purchase and sale exception for eligible derivatives. Eligible derivatives are those that require physical delivery in quantities that are expected to be used by the Utility over a reasonable period in the normal course of business and do not contain pricing provisions unrelated to the commodity delivered. These items are not reflected in the Condensed Consolidated Balance Sheets at fair value. Volume of Derivative Activity The volumes of the Utility’s outstanding derivatives were as follows: Contract Volume at Underlying Product Instruments March 31, 2024 December 31, 2023 Natural Gas (1) (MMBtus (2) ) Forwards, Futures and Swaps 210,862,229 196,063,296 Options 31,407,500 30,695,000 Electricity (MWh) Forwards, Futures and Swaps 8,392,963 9,169,967 Options 646,800 92,400 Congestion Revenue Rights (3) 162,810,719 170,465,674 (1) Amounts shown are for the combined positions of the electric fuels and core gas supply portfolios. (2) Million British Thermal Units. (3) CRRs are financial instruments that enable the holders to manage variability in electric energy congestion charges due to transmission grid limitations. Presentation of Derivative Instruments in the Financial Statements As of March 31, 2024, the Utility’s outstanding derivative balances were as follows: Commodity Risk (in millions) Gross Derivative Netting Cash Collateral Total Derivative Current assets – other $ 156 $ (6) $ 5 $ 155 Other noncurrent assets – other 254 — — 254 Current liabilities – other (126) 6 2 (118) Noncurrent liabilities – other (166) — — (166) Total commodity risk $ 118 $ — $ 7 $ 125 As of December 31, 2023, the Utility’s outstanding derivative balances were as follows: Commodity Risk (in millions) Gross Derivative Netting Cash Collateral Total Derivative Current assets – other $ 134 $ (8) $ 50 $ 176 Other noncurrent assets – other 280 — — 280 Current liabilities – other (172) 8 46 (118) Noncurrent liabilities – other (160) — — (160) Total commodity risk $ 82 $ — $ 96 $ 178 Cash inflows and outflows associated with derivatives are included in operating cash flows on the Utility’s Condensed Consolidated Statements of Cash Flows. Some of the Utility’s derivative instruments, including power purchase agreements, contain collateral posting provisions tied to the Utility’s credit rating from each of the major credit rating agencies, also known as a credit-risk-related contingent feature. Multiple credit agencies continue to rate the Utility below investment grade, which results in the Utility posting additional collateral. As of March 31, 2024, the Utility satisfied or has otherwise addressed its obligations related to the credit-risk related contingency features. |
FAIR VALUE MEASUREMENTS
FAIR VALUE MEASUREMENTS | 3 Months Ended |
Mar. 31, 2024 | |
Fair Value Disclosures [Abstract] | |
FAIR VALUE MEASUREMENTS | FAIR VALUE MEASUREMENTS PG&E Corporation and the Utility measure their cash equivalents, trust assets, and price risk management instruments at fair value. A three-tier fair value hierarchy is established that prioritizes the inputs to valuation methodologies used to measure fair value: • Level 1 – Observable inputs that reflect quoted prices (unadjusted) for identical assets or liabilities in active markets. • Level 2 – Other inputs that are directly or indirectly observable in the marketplace. • Level 3 – Unobservable inputs which are supported by little or no market activities. The fair value hierarchy requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. Assets and liabilities measured at fair value on a recurring basis for PG&E Corporation and the Utility are summarized below. Assets held in rabbi trusts are held by PG&E Corporation and not the Utility. Fair Value Measurements At March 31, 2024 (in millions) Level 1 Level 2 Level 3 Netting (1) Total Assets: Short-term investments (2) $ 567 $ — $ — $ — $ 567 Nuclear decommissioning trusts Short-term investments 37 — — — 37 Global equity securities 2,283 — — — 2,283 Fixed-income securities 1,135 993 — — 2,128 Assets measured at NAV — — — — 20 Total nuclear decommissioning trusts (3) 3,455 993 — — 4,468 Customer credit trust Short-term investments 351 — — — 351 Global equity securities 47 — — — 47 Fixed-income securities 21 88 — — 109 Total customer credit trust 419 88 — — 507 Price risk management instruments (Note 8) Electricity — 15 385 — 400 Gas — 10 — (1) 9 Total price risk management instruments — 25 385 (1) 409 Rabbi trusts Short-term investments 103 — — — 103 Global equity securities 5 — — — 5 Life insurance contracts — 65 — — 65 Total rabbi trusts 108 65 — — 173 Long-term disability trust Short-term investments 7 — — — 7 Assets measured at NAV — — — — 131 Total long-term disability trust 7 — — — 138 TOTAL ASSETS $ 4,556 $ 1,171 $ 385 $ (1) $ 6,262 Liabilities: Price risk management instruments (Note 8) Electricity $ — $ 49 $ 240 $ (6) $ 283 Gas — 3 — (2) 1 TOTAL LIABILITIES $ — $ 52 $ 240 $ (8) $ 284 (1) Includes the effect of the contractual ability to settle contracts under master netting agreements and cash collateral. (2) Includes $438 million in money market funds to be used for the administration of wildfire liability self-insurance. For more information see “Self-insurance” in Note 10 below. (3) Represents amount before deducting $757 million primarily related to deferred taxes on appreciation of investment value. Fair Value Measurements December 31, 2023 (in millions) Level 1 Level 2 Level 3 Netting (1) Total Assets: Short-term investments $ 203 $ — $ — $ — $ 203 Nuclear decommissioning trusts Short-term investments 52 — — — 52 Global equity securities 2,144 — — — 2,144 Fixed-income securities 1,168 909 — — 2,077 Assets measured at NAV — — — — 18 Total nuclear decommissioning trusts (2) 3,364 909 — — 4,291 Customer credit trust Short-term investments 49 — — — 49 Global equity securities 71 — — — 71 Fixed-income securities 29 84 — — 113 Total customer credit trust 149 84 — — 233 Price risk management instruments (Note 8) Electricity — 7 404 (1) 410 Gas — 3 — 43 46 Total price risk management instruments — 10 404 42 456 Rabbi trusts Short-term investments 102 — — — 102 Global equity securities 5 — — — 5 Life insurance contracts — 65 — — 65 Total rabbi trusts 107 65 — — 172 Long-term disability trust Short-term investments 7 — — — 7 Assets measured at NAV — — — — 139 Total long-term disability trust 7 — — — 146 TOTAL ASSETS $ 3,830 $ 1,068 $ 404 $ 42 $ 5,501 Liabilities: Price risk management instruments (Note 8) Electricity $ — $ 43 $ 213 $ (6) $ 250 Gas — 76 — (48) 28 TOTAL LIABILITIES $ — $ 119 $ 213 $ (54) $ 278 (1) Includes the effect of the contractual ability to settle contracts under master netting agreements and cash collateral. (2) Represents amount before deducting $717 million, primarily related to deferred taxes on appreciation of investment value. Valuation Techniques The following describes the valuation techniques used to measure the fair value of the assets and liabilities shown in the tables above. There are no restrictions on the terms and conditions upon which the investments may be redeemed. There were no material transfers between any levels for the three months ended March 31, 2024 and 2023. Trust Assets Assets Measured at Fair Value In general, investments held in the trusts are exposed to various risks, such as interest rate, credit, and market volatility risks. Nuclear decommissioning trust assets, customer credit trust assets and other trust assets are composed primarily of equity and fixed-income securities and also include short-term investments that are money market funds classified as Level 1. Global equity securities primarily include investments in common stock that are valued based on quoted prices in active markets and are classified as Level 1. Fixed-income securities are primarily composed of U.S. government and agency securities, municipal securities, and other fixed-income securities, including corporate debt securities. U.S. government and agency securities primarily consist of U.S. Treasury securities that are classified as Level 1 because the fair value is determined by observable market prices in active markets. A market approach is generally used to estimate the fair value of fixed-income securities classified as Level 2 using evaluated pricing data such as broker quotes, for similar securities adjusted for observable differences. Significant inputs used in the valuation model generally include benchmark yield curves and issuer spreads. The external credit ratings, coupon rate, and maturity of each security are considered in the valuation model, as applicable. Assets Measured at NAV Using Practical Expedient Investments in the nuclear decommissioning trusts and the long-term disability trust that are measured at fair value using the NAV per share practical expedient have not been classified in the fair value hierarchy tables above. The fair value amounts are included in the tables above in order to reconcile to the amounts presented in the Condensed Consolidated Balance Sheets. These investments include commingled funds that are composed of equity securities traded publicly on exchanges as well as fixed-income securities that are composed primarily of U.S. government securities, credit securities and asset-backed securities. Price Risk Management Instruments Price risk management instruments include physical and financial derivative contracts, such as power purchase agreements, forwards, futures, swaps, options, and CRRs that are traded either on an exchange or over-the-counter. Power purchase agreements, forwards, and swaps are valued using a discounted cash flow model. Exchange-traded futures that are valued using observable market forward prices for the underlying commodity are classified as Level 1. Over-the-counter forwards and swaps that are identical to exchange-traded futures or are valued using forward prices from broker quotes that are corroborated with market data are classified as Level 2. Exchange-traded options are valued using observable market data and market-corroborated data and are classified as Level 2. Long-dated power purchase agreements that are valued using significant unobservable data are classified as Level 3. These Level 3 contracts are valued using either estimated basis adjustments from liquid trading points or techniques, including extrapolation from observable prices, when a contract term extends beyond a period for which market data is available. The Utility utilizes models to derive pricing inputs for the valuation of the Utility’s Level 3 instruments using pricing inputs from brokers and historical data. The Utility holds CRRs to hedge the financial risk of CAISO-imposed congestion charges in the day-ahead market. Limited market data is available in the CAISO auction and between auction dates; therefore, the Utility utilizes historical prices to forecast forward prices. CRRs are classified as Level 3. Level 3 Measurements and Uncertainty Analysis Inputs used and the fair value of Level 3 instruments are reviewed period-over-period and compared with market conditions to determine reasonableness. Significant increases or decreases in any of those inputs would result in a significantly higher or lower fair value, respectively. All reasonable costs related to Level 3 instruments are expected to be recoverable through rates; therefore, there is no impact on net income resulting from changes in the fair value of these instruments. See Note 8 above. Fair Value at (in millions) At March 31, 2024 Valuation Unobservable Fair Value Measurement Assets Liabilities Range (1) /Weighted-Average Price (2) Congestion revenue rights $ 356 $ 145 Market approach CRR auction prices $ (3,804.15) - 16,696.90 / 1.44 Power purchase agreements $ 29 $ 95 Discounted cash flow Forward prices $ 0.77 - 154.60 / 54.02 (1) Represents price per MWh. (2) Unobservable inputs were weighted by the relative fair value of the instruments. Fair Value at (in millions) At December 31, 2023 Valuation Unobservable Fair Value Measurement Assets Liabilities Range (1) /Weighted-Average Price (2) Congestion revenue rights $ 357 $ 134 Market approach CRR auction prices $ (923.72) - 16,696.90 / 1.43 Power purchase agreements $ 47 $ 79 Discounted cash flow Forward prices $ 0.86 - 189.80 / 60.03 (1) Represents price per MWh. (2) Unobservable inputs were weighted by the relative fair value of the instruments. Level 3 Reconciliation The following table presents the reconciliation for Level 3 price risk management instruments for the three months ended March 31, 2024 and 2023, respectively: Price Risk Management Instruments (in millions) 2024 2023 Asset balance as of January 1 $ 191 $ 199 Net realized and unrealized gains (losses): Included in regulatory assets and liabilities or balancing accounts (1) (46) 13 Asset balance as of March 31 $ 145 $ 212 (1) The costs related to price risk management activities are recovered through rates. Accordingly, unrealized gains and losses are deferred in regulatory liabilities and assets and net income is not impacted. Financial Instruments PG&E Corporation and the Utility use the following methods and assumptions in estimating fair value for financial instruments: the fair values of cash, net accounts receivable, short-term borrowings, accounts payable, customer deposits, and the Utility’s variable rate pollution control bond loan agreements approximate their carrying values as of March 31, 2024 and December 31, 2023, as they are short-term in nature. The carrying amount and fair value of PG&E Corporation’s and the Utility’s long-term debt instruments were as follows (the table below excludes financial instruments with carrying values that approximate their fair values): At March 31, 2024 At December 31, 2023 (in millions) Carrying Amount Level 2 Fair Value Carrying Amount Level 2 Fair Value Debt (Note 4) PG&E Corporation (1) $ 4,343 $ 4,587 $ 4,548 $ 4,695 Utility 38,359 35,576 35,909 32,866 (1) As of March 31, 2024, the net carrying amount and the estimated fair value (Level 2) of the Convertible Notes were $2.1 billion and $2.2 billion, respectively. Nuclear Decommissioning Trust Investments The following table provides a summary of equity securities and available-for-sale debt securities: (in millions) Amortized Total Total Total Fair As of March 31, 2024 Nuclear decommissioning trusts Short-term investments $ 37 $ — $ — $ 37 Global equity securities 378 1,937 (12) 2,303 Fixed-income securities 2,184 34 (90) 2,128 Total (1) $ 2,599 $ 1,971 $ (102) $ 4,468 As of December 31, 2023 Nuclear decommissioning trusts Short-term investments $ 52 $ — $ — $ 52 Global equity securities 381 1,792 (11) 2,162 Fixed-income securities 2,103 60 (86) 2,077 Total (1) $ 2,536 $ 1,852 $ (97) $ 4,291 (1) Represents amounts before deducting $757 million and $717 million as of March 31, 2024 and December 31, 2023, respectively, primarily related to deferred taxes on appreciation of investment value. The fair value of fixed-income securities by contractual maturity is as follows: As of (in millions) March 31, 2024 Less than 1 year $ 28 1–5 years 694 5–10 years 435 More than 10 years 971 Total maturities of fixed-income securities $ 2,128 The following table provides a summary of activity for the fixed-income and equity securities: Three Months Ended (in millions) 2024 2023 Proceeds from sales and maturities of nuclear decommissioning trust investments $ 457 $ 277 Gross realized gains on securities 41 5 Gross realized losses on securities (11) (8) Customer Credit Trust The following table provides a summary of equity securities and available-for-sale debt securities: (in millions) Amortized Total Total Total Fair As of March 31, 2024 Customer credit trust Short-term investments $ 351 $ — $ — $ 351 Global equity securities 34 14 (1) 47 Fixed-income securities 109 1 (1) 109 Total $ 494 $ 15 $ (2) $ 507 As of December 31, 2023 Customer credit trust Short-term investments $ 49 $ — $ — $ 49 Global equity securities 56 16 (1) 71 Fixed-income securities 111 2 — 113 Total $ 216 $ 18 $ (1) $ 233 The fair value of fixed-income securities by contractual maturity is as follows: As of (in millions) March 31, 2024 Less than 1 year $ — 1–5 years 15 5–10 years 29 More than 10 years 65 Total maturities of fixed-income securities $ 109 The following table provides a summary of activity for the fixed-income and equity securities: Three Months Ended March 31, (in millions) 2024 2023 Proceeds from sales and maturities of customer credit trust investments $ 81 $ 169 Gross realized gains on securities 8 2 Gross realized losses on securities (1) (5) |
WILDFIRE-RELATED CONTINGENCIES
WILDFIRE-RELATED CONTINGENCIES | 3 Months Ended |
Mar. 31, 2024 | |
Commitments and Contingencies Disclosure [Abstract] | |
WILDFIRE-RELATED CONTINGENCIES | WILDFIRE-RELATED CONTINGENCIES Liability Overview PG&E Corporation and the Utility have significant contingencies arising from their operations, including contingencies related to wildfires. PG&E Corporation and the Utility record a provision for a loss contingency when they determine that it is both probable that a liability has been incurred and the amount of the liability can be reasonably estimated. PG&E Corporation and the Utility evaluate which potential liabilities are probable and the related range of reasonably estimated losses and record a charge that reflects their best estimate or the lower end of the range, if there is no better estimate. Assessing whether a loss is probable or reasonably possible, whether the loss or a range of losses is estimable, and the amount of the best estimate or lower end of the range often requires management to exercise significant judgment about future events. Management makes these assessments based on a number of assumptions and subjective factors, including negotiations (including those during mediations with claimants), discovery, settlements and payments, rulings, advice of legal counsel, and other information and events pertaining to a particular matter, and estimates based on currently available information and prior experience with wildfires. Unless expressly noted otherwise, the loss accruals in this Note reflect the lower end of the range of the reasonably estimable range of losses. PG&E Corporation and the Utility believe that it is reasonably possible that the amount of loss could be greater than the accrued estimated amounts but are unable to reasonably estimate the additional loss or the upper end of the range because, as described below, there are a number of unknown facts and legal considerations that may impact the amount of any potential liability, including the total scope and nature of claims that may be asserted against PG&E Corporation and the Utility. Loss contingencies are reviewed quarterly, and estimates are adjusted to reflect the impact of all known information. As more information becomes available, including from potential claimants as litigation or resolution efforts progress, management estimates and assumptions regarding the potential financial impacts of wildfire events may change. PG&E Corporation’s and the Utility’s provision for loss and expense excludes anticipated legal costs, which are expensed as incurred. PG&E Corporation’s and the Utility’s financial condition, results of operations, liquidity, and cash flows may be materially affected by the outcome of the following matters. Potential liabilities related to wildfires depend on various factors, including the cause of the fire, contributing causes of the fire (including alternative potential origins, weather- and climate-related issues, and forest management and fire suppression practices), the number, size and type of structures damaged or destroyed, the contents of such structures and other personal property damage, the number and types of trees damaged or destroyed, attorneys’ fees for claimants, the nature and extent of any personal injuries, including the loss of lives, the amount of fire suppression and clean-up costs, other damages the Utility may be responsible for if found negligent, and the amount of any penalties, fines, or restitution that may be imposed by courts or other governmental entities. PG&E Corporation and the Utility are aware of numerous civil complaints related to the following wildfire events and expect that they may receive further complaints. The complaints include claims based on multiple theories of liability, including inverse condemnation, negligence, violations of the Public Utilities Code, violations of the Health & Safety Code, premises liability, trespass, public nuisance, and private nuisance. The plaintiffs in each action principally assert that PG&E Corporation’s and the Utility’s alleged failure to properly maintain, inspect, and de-energize their power lines was the cause of the relevant wildfire. The timing and outcome for resolution of any such claims or investigations are uncertain. The Utility believes it will continue to receive additional information from potential claimants in connection with these wildfire events as litigation or resolution efforts progress. Any such additional information may potentially allow PG&E Corporation and the Utility to refine the estimates of their accrued losses and may result in changes to the accrual depending on the information received. PG&E Corporation and the Utility intend to vigorously defend themselves against both criminal charges and civil complaints. If the Utility’s facilities, such as its electric distribution and transmission lines, are judicially determined to be the substantial cause of the following matters, and the doctrine of inverse condemnation applies, the Utility could be liable for property damage, business interruption, interest, and attorneys’ fees without having been found negligent. California courts have imposed liability under the doctrine of inverse condemnation in legal actions brought by property holders against utilities on the grounds that losses borne by the person whose property was damaged through a public use undertaking should be spread across the community that benefited from such undertaking, and based on the assumption that utilities have the ability to recover these costs through rates. Further, California courts have determined that the doctrine of inverse condemnation is applicable regardless of whether the CPUC ultimately allows recovery by the utility for any such costs. The CPUC may decide not to authorize cost recovery even if a court decision were to determine that the Utility is liable as a result of the application of the doctrine of inverse condemnation. In addition to claims for property damage, business interruption, interest, and attorneys’ fees under inverse condemnation, PG&E Corporation and the Utility could be liable for fire suppression costs, evacuation costs, medical expenses, personal injury damages, punitive damages and other damages under other theories of liability in connection with the following wildfire events, including if PG&E Corporation or the Utility were found to have been negligent. If the liability for wildfires were to exceed $1.0 billion in the aggregate in any Coverage Year, the Utility may be eligible to make a claim to the Wildfire Fund under AB 1054 to satisfy settled or finally adjudicated eligible claims in excess of such amount, except that claims related to the 2019 Kincade fire would be subject to the 40% limitation on the allowed amount of claims arising before emergence from bankruptcy. PG&E Corporation and the Utility intend to continue to review the available information and other information as it becomes available, including evidence in the possession of Cal Fire, USFS, or the relevant district attorney’s office, evidence from or held by other parties, claims that have not yet been submitted, and additional information about the nature and extent of personal and business property damages and losses, the nature, number and severity of personal injuries, and information made available through the discovery process. The following table presents the cumulative amounts PG&E Corporation and the Utility have paid through March 31, 2024. Payments (in millions) 2019 Kincade Fire $ 780 2020 Zogg Fire 392 2021 Dixie Fire 869 2022 Mosquito Fire 15 Total at March 31, 2024 $ 2,056 2019 Kincade Fire According to Cal Fire, on October 23, 2019 at approximately 9:27 p.m. Pacific Time, a wildfire began northeast of Geyserville in Sonoma County, California (the “2019 Kincade fire”), located in the service area of the Utility. According to a Cal Fire incident update dated March 3, 2020, 3:35 p.m. Pacific Time, the 2019 Kincade fire consumed 77,758 acres and resulted in no fatalities, four first responder injuries, 374 structures destroyed, and 60 structures damaged. In connection with the 2019 Kincade fire, state and local officials issued numerous mandatory evacuation orders and evacuation warnings. Based on County of Sonoma information, PG&E Corporation and the Utility understand that the geographic zones subject to either a mandatory evacuation order or an evacuation warning between October 23, 2019 and November 4, 2019 included approximately 200,000 persons. On July 16, 2020, Cal Fire issued a press release with its determination that the Utility’s equipment caused the 2019 Kincade fire. As of April 17, 2024, PG&E Corporation and the Utility are aware of approximately 132 complaints on behalf of at least 2,913 plaintiffs related to the 2019 Kincade fire. The plaintiffs filed master complaints on July 16, 2021; PG&E Corporation’s and the Utility’s response was filed on August 16, 2021; and PG&E Corporation and the Utility filed a demurrer with respect to the plaintiffs’ inverse condemnation claims. On December 10, 2021, the court overruled the demurrer. On July 20, 2022, PG&E Corporation and the Utility filed a motion for summary adjudication on individual plaintiffs’ claims for punitive damages. The court has rescheduled the hearing on this summary adjudication motion for July 25, 2024. On July 28, 2023, the court scheduled a new trial date for August 26, 2024. PG&E Corporation and the Utility are also aware of a complaint on behalf of Geysers Power Company, Calpine Corporation, and CPN Insurance Corporation. In addition, on January 5, 2022, Cal Fire filed a complaint against the Utility in the coordinated proceeding seeking to recover approximately $90 million for fire suppression and other costs incurred in connection with the 2019 Kincade fire. The Utility filed an answer to Cal Fire’s complaint on February 4, 2022. On August 8, 2023, PG&E Corporation and the Utility entered into an agreement with Cal Fire to resolve its claims arising from the 2019 Kincade fire. On January 24, 2024, Cal Fire filed a request to dismiss its complaint with prejudice in the coordinated proceeding, which the court entered. On October 11, 2022, the Utility entered into a tolling agreement with the California Governor’s Office of Emergency Services (“Cal OES”), which remains in effect. Based on the current state of the law concerning inverse condemnation in California and the facts and circumstances available to PG&E Corporation and the Utility as of the date of this filing, including Cal Fire’s determination of the cause and the information gathered as part of PG&E Corporation’s and the Utility’s investigation, PG&E Corporation and the Utility believe it is probable that they will incur a loss in connection with the 2019 Kincade fire. Based on the facts and circumstances available to PG&E Corporation and the Utility as of the date of this filing, including their experience with settlements, PG&E Corporation and the Utility recorded a liability in the aggregate amount of $1.125 billion as of December 31, 2023 (before available insurance). The aggregate liability remained unchanged as of March 31, 2024. PG&E Corporation’s and the Utility’s accrued estimated losses of $1.125 billion do not include, among other things: (i) any punitive damages, (ii) any amounts in respect of compensation claims by federal or state agencies other than state fire suppression costs, or (iii) any other amounts that are not reasonably estimable. The following table presents changes in the lower end of the range of PG&E Corporation’s and the Utility’s reasonably estimable range of losses for claims arising from the 2019 Kincade fire since December 31, 2023. Loss Accrual (in millions) Balance at December 31, 2023 $ 458 Accrued Losses — Payments (113) Balance at March 31, 2024 $ 345 The Utility has liability insurance coverage for third-party liability attributable to the 2019 Kincade fire in an aggregate amount of $430 million, which was fully collected as of December 31, 2023. 2020 Zogg Fire According to Cal Fire, on September 27, 2020, at approximately 4:03 p.m. Pacific Time, a wildfire began in the area of Zogg Mine Road and Jenny Bird Lane, north of Igo in Shasta County, California (the “2020 Zogg fire”), located in the service area of the Utility. According to a Cal Fire incident update dated October 16, 2020, 3:08 p.m. Pacific Time, the 2020 Zogg fire consumed 56,338 acres and resulted in four fatalities, one injury, 204 structures destroyed, and 27 structures damaged. On March 22, 2021, Cal Fire issued a press release with its determination that the 2020 Zogg fire was caused by a pine tree contacting electrical facilities owned and operated by the Utility located north of the community of Igo. As of April 17, 2024, PG&E Corporation and the Utility have settled or reached settlements in principle with substantially all known individual plaintiffs. On September 26, 2022, the Utility entered into a tolling agreement with Cal OES, which remains in effect. Based on the current state of the law concerning inverse condemnation in California and the facts and circumstances available to PG&E Corporation and the Utility as of the date of this filing, including Cal Fire’s determination of the cause and the information gathered as part of PG&E Corporation’s and the Utility’s investigation, PG&E Corporation and the Utility believe it is probable that they will incur a loss in connection with the 2020 Zogg fire. Based on the facts and circumstances available to PG&E Corporation and the Utility as of the date of this report, PG&E Corporation and the Utility recorded a liability in the aggregate amount of $400 million as of December 31, 2023 (before available insurance). The aggregate liability remained unchanged as of March 31, 2024. PG&E Corporation’s and the Utility’s accrued estimated losses represent the best estimate of the liability and does not include any claims related to the Cal OES complaint or any punitive damages. The following table presents changes in the best estimate of PG&E Corporation’s and the Utility’s reasonably estimable range of losses for claims arising from the 2020 Zogg fire since December 31, 2023. Loss Accrual (in millions) Balance at December 31, 2023 $ 10 Accrued Losses — Payments (2) Balance at March 31, 2024 $ 8 The Utility has liability insurance for third-party liability attributable to the 2020 Zogg fire in an aggregate amount of $611 million. As of March 31, 2024, the Utility recorded an insurance receivable for $374 million for probable insurance recoveries in connection with the 2020 Zogg fire, which equals the $400 million probable loss estimate less an initial self-insured retention of $60 million, plus $34 million in legal fees incurred. Recovery under the Utility’s wildfire insurance policies for the 2021 Dixie fire will reduce the amount of insurance proceeds available for the 2020 Zogg fire by the same amount up to $600 million and vice versa. 2021 Dixie Fire According to the Cal Fire Investigation Report on the 2021 Dixie fire (the “Cal Fire Investigation Report”), on July 13, 2021, at approximately 5:07 p.m. Pacific Time, a wildfire began in the Feather River Canyon near Cresta Dam (the “2021 Dixie fire”), located in the service area of the Utility. According to the Cal Fire Investigation Report, the 2021 Dixie fire consumed 963,309 acres and resulted in 1,311 structures destroyed and 94 structures damaged (including 763 residential homes, 12 multi-family homes, 8 commercial residential homes, 148 nonresidential commercial structures, and 466 detached structures), and four first-responder injuries. The Cal Fire Investigation Report does not attribute a fatality that was previously published in an October 25, 2021 Cal Fire incident report to the 2021 Dixie fire. On January 4, 2022, Cal Fire issued a press release with its determination that the 2021 Dixie fire was caused by a tree contacting electrical distribution lines owned and operated by the Utility. On June 7, 2022, the Utility received a copy of the Cal Fire Investigation Report, which states that the fire ignited when a tree fell and contacted electrical distribution lines owned and operated by the Utility, and the Cal Fire Investigation Report has been made publicly available. The Cal Fire Investigation Report alleges that the Utility acted negligently in its response to the initial outage and fault that caused the 2021 Dixie fire. The Cal Fire Investigation Report also alleges that the subject tree had visible outward signs of damage and decay which would have been noticeable at the ground level, and that a brief visual inspection should have discovered the decay. Based on the information currently available to the Utility, through its ongoing investigation, including its inspection records, operating and inspection protocols and procedures, implementation of those protocols and procedures, and day-of-event response, the Utility believes its personnel acted reasonably (within the meaning of the applicable prudency standard discussed under “Regulatory Recovery” below) given the information available at the time and followed applicable policies and protocols both before ignition and in the day-of-event response. While an intervenor in a future cost recovery proceeding may argue the Cal Fire Investigation Report itself creates serious doubt with respect to the reasonableness of the Utility’s conduct, PG&E Corporation and the Utility do not believe the report identifies sufficient facts to shift the burden of proof applicable in a proceeding for cost recovery to the Utility. (See “Regulatory Recovery” and “Wildfire Fund under AB 1054” below.) PG&E Corporation and the Utility disagree with many allegations in the Cal Fire Investigation Report and plan to vigorously contest them. However, if the CPUC or the FERC were to reach conclusions similar to those of the Cal Fire Investigation Report, it may determine that the Utility had been imprudent, in which case some or all of its costs recorded to the WEMA would not be recoverable, the Utility would not be able to recover costs through FERC TO rates, or the Utility would be required to reimburse the Wildfire Fund for the costs and expenses that are allocated to it. On October 9, 2023, the SED submitted for adoption by the CPUC a draft resolution approving an Administrative Consent Order and Agreement between the SED and the Utility (the “Dixie ACO”). The Dixie ACO would resolve the SED’s investigation into the 2021 Dixie fire. The Dixie ACO provides that the Utility would (i) pay $2.5 million to California’s General Fund; (ii) pay $2.5 million to tribes impacted by the 2021 Dixie fire; (iii) and undertake an initiative to transition to electronic records for specified patrols and inspections of distribution facilities, at an approximate cost of $40 million over five years, and the Utility may not seek recovery of such costs. The SED agreed to refrain from instituting any further enforcement proceedings against the Utility related to the 2021 Dixie fire. The Dixie ACO states that it does not constitute an admission or evidence of any wrongdoing, fault, omission, negligence, imprudence, or liability on the part of the Utility. The Dixie ACO also states that the parties to it intend that it shall not affect whether the Utility may obtain recovery of costs and expenses incurred in connection with the 2021 Dixie fire, including for amounts drawn from the Wildfire Fund or otherwise sought through a cost recovery application to the CPUC. On February 2, 2024, the CPUC issued a final decision approving the Dixie ACO. In connection with the Dixie ACO, PG&E Corporation and the Utility recorded a liability of $5 million reflected in Other current liabilities on the Condensed Consolidated Financial Statements as of March 31, 2024. For the recordkeeping initiative costs for which the Utility will not seek recovery, the Utility expects to record disallowances as such costs are incurred. As of April 17, 2024, PG&E Corporation and the Utility are aware of approximately 167 complaints on behalf of at least 8,478 individual plaintiffs and a separate putative class complaint related to the 2021 Dixie fire and expect that they may receive further complaints. The plaintiffs seek damages that include wrongful death, property damage, economic loss, medical monitoring, punitive damages, exemplary damages, attorneys’ fees and other damages. On March 15, 2024, the court scheduled a new trial date for October 14, 2024. The court also set a subsequent trial date for February 24, 2025. Based on the current state of the law concerning inverse condemnation in California and the facts and circumstances available to PG&E Corporation and the Utility as of the date of this filing, including Cal Fire’s determination of the cause and the information gathered as part of PG&E Corporation’s and the Utility’s investigation, PG&E Corporation and the Utility believe it is probable that they will incur a loss in connection with the 2021 Dixie fire. Based on the facts and circumstances available to PG&E Corporation and the Utility as of the date of this filing, including their experience to date in settling the claims of individual plaintiffs, PG&E Corporation and the Utility recorded a liability in the aggregate amount of $1.6 billion as of December 31, 2023 (before available insurance). The aggregate liability remained unchanged as of March 31, 2024. PG&E Corporation’s and the Utility’s accrued estimated losses of $1.6 billion do not include, among other things: (i) any amounts for potential penalties or fines that may be imposed by courts or other governmental entities on PG&E Corporation or the Utility, (ii) any punitive damages, (iii) any amounts in respect of compensation claims by federal or state agencies including for state or federal fire suppression costs and damages related to federal land, (iv) medical monitoring costs, or (v) any other amounts that are not reasonably estimable. As noted above, the aggregate estimated liability for claims in connection with the 2021 Dixie fire does not include potential claims for fire suppression costs from federal, state, county, or local agencies or damage to land and vegetation in national parks or national forests. As to these damages, PG&E Corporation and the Utility have not concluded that a loss is probable. PG&E Corporation and the Utility are unable to reasonably estimate the range of possible losses for any such claims due to, among other factors, incomplete information as to facts pertinent to potential claims and defenses, as well as facts that would bear on the amount, type, and valuation of vegetation loss, potential reforestation, habitat loss, and other resources damaged or destroyed by the 2021 Dixie fire. PG&E Corporation and the Utility believe, however, that such losses could be significant with respect to fire suppression costs due to the size and duration of the 2021 Dixie fire and corresponding magnitude of fire suppression resources dedicated to fighting the 2021 Dixie fire and with respect to claims for damage to land and vegetation in national parks or national forests due to the very large number of acres of national parks and national forests that were affected by the 2021 Dixie fire. According to the Cal Fire Investigation Report, over $650 million of costs had been incurred in suppressing the 2021 Dixie fire. The Utility estimates that the fire burned approximately 70,000 acres of national parks and approximately 685,000 acres of national forests. The following table presents changes in the lower end of the range of PG&E Corporation’s and the Utility’s reasonably estimable range of losses for claims arising from the 2021 Dixie fire since December 31, 2023. Loss Accrual (in millions) Balance at December 31, 2023 $ 870 Accrued Losses — Payments (138) Balance at March 31, 2024 $ 732 The Utility has liability insurance coverage for third-party liability in an aggregate amount of $900 million. Recovery under the Utility’s wildfire insurance policies for the 2020 Zogg fire will reduce the amount of insurance proceeds available for the 2021 Dixie fire by the same amount up to $600 million and vice versa. As of March 31, 2024, the Utility recorded an insurance receivable of $526 million for probable insurance recoveries in connection with the 2021 Dixie fire, which equals the aggregate $900 million of available insurance coverage for third-party liability attributable to the 2021 Dixie fire, less the $374 million insurance receivable recorded in connection with the 2020 Zogg fire. As of March 31, 2024, the Utility recorded a Wildfire Fund receivable of $600 million for probable recoveries in connection with the 2021 Dixie fire. AB 1054 provides that the CPUC may allocate costs and expenses in the application for cost recovery in full or in part taking into account factors both within and beyond the utility’s control that may have exacerbated the costs and expenses, including humidity, temperature, and winds. PG&E Corporation and the Utility believe that, even if it found that the Utility acted unreasonably, the CPUC would nevertheless authorize recovery in part. See “Wildfire Fund under AB 1054” below. As of March 31, 2024, the Utility also recorded a $92 million reduction to its regulatory liability for wildfire-related claims costs that were determined to be probable of recovery through the FERC TO formula rate and a $484 million regulatory asset for costs that were determined to be probable of recovery through the WEMA. See “Regulatory Recovery” below. Decreases in the amount of the insurance receivable for the 2021 Dixie fire may also increase the amount that is probable of recovery through the FERC TO formula rate and the WEMA. 2022 Mosquito Fire On September 6, 2022, at approximately 6:17 p.m. Pacific Time, the Utility was notified that a wildfire had ignited near Oxbow Reservoir in Placer County, California (the “2022 Mosquito fire”), located in the service area of the Utility. The National Wildfire Coordinating Group’s InciWeb incident overview dated November 4, 2022 at 6:30 p.m. Pacific Time indicated that the 2022 Mosquito fire had consumed approximately 76,788 acres at that time. It also indicated no fatalities, no injuries, 78 structures destroyed, and 13 structures damaged (including 44 residential homes and 40 detached structures) and that the fire was 100% contained. The USFS has indicated to the Utility an initial assessment that the fire started in the area of the Utility’s power line on National Forest System lands and that the USFS is conducting a criminal investigation into the 2022 Mosquito fire. On September 24, 2022, the USFS removed and took possession of one of the Utility’s transmission poles and attached equipment. The USFS has not issued a determination as to the cause. The cause of the 2022 Mosquito fire remains under investigation by the USFS and the United States Department of Justice, and PG&E Corporation and the Utility are cooperating with the investigation. It is uncertain when any such investigations will be complete. PG&E Corporation and the Utility are also conducting their own investigation into the cause of the 2022 Mosquito fire. This investigation is ongoing. The CPUC is investigating the 2022 Mosquito fire, and other entities may also be investigating. It is uncertain when any such investigations will be complete. As of April 17, 2024, PG&E Corporation and the Utility are aware of approximately six complaints on behalf of at least 233 individual plaintiffs related to the 2022 Mosquito fire and expect that they may receive further complaints. PG&E Corporation and the Utility also are aware of a complaint on behalf of the PCWA, a complaint on behalf of the Middle Fork Project Finance Authority, a complaint on behalf of El Dorado County, Placer County, Georgetown Divide Public Utility District, Georgetown Fire Protection District, and El Dorado County Water Agency. The plaintiffs seek damages that include property damage, economic loss, punitive damages, exemplary damages, attorneys’ fees and other damages. On April 24, 2024, PG&E Corporation and the Utility filed cross-complaints against PCWA, alleging that conduct by PCWA was a substantial cause of the 2022 Mosquito fire. The cross-complaints seek property damages, indemnification, attorneys’ fees, and other damages. Based on the current state of the law concerning inverse condemnation in California and the facts and circumstances available to PG&E Corporation and the Utility as of the date of this filing, including the information gathered as part of PG&E Corporation’s and the Utility’s investigation, PG&E Corporation and the Utility believe it is probable that they will incur a loss in connection with the 2022 Mosquito fire. Based on the facts and circumstances available to PG&E Corporation and the Utility as of the date of this report, PG&E Corporation and the Utility recorded a liability in the aggregate amount of $100 million as of December 31, 2023 (before available insurance). The aggregate liability remained unchanged as of March 31, 2024. PG&E Corporation’s and the Utility’s accrued estimated losses do not include, among other things: (i) any amounts for potential penalties or fines that may be imposed by courts or other governmental entities on PG&E Corporation or the Utility, (ii) any punitive damages, (iii) any amounts in respect of compensation claims by federal or state agencies including for state or federal fire suppression costs and damages related to federal land, or (iv) any other amounts that are not reasonably estimable. As noted above, the aggregate estimated liability for claims in connection with the 2022 Mosquito fire does not include potential claims for fire suppression costs from federal, state, county, or local agencies or damage to land and vegetation in national parks or national forests. As to these damages, PG&E Corporation and the Utility have not concluded that a loss is probable. PG&E Corporation and the Utility are unable to reasonably estimate the range of possible losses for any such claims due to, among other factors, incomplete information as to facts pertinent to potential claims and defenses, as well as facts that would bear on the amount, type, and valuation of vegetation loss, potential reforestation, habitat loss, and other resources damaged or destroyed by the 2022 Mosquito fire. The following table presents changes in the lower end of the range of PG&E Corporation’s and the Utility’s reasonably estimable range of losses for claims arising from the 2022 Mosquito fire since December 31, 2023. Loss Accrual (in millions) Balance at December 31, 2023 $ 85 Accrued Losses — Payments — Balance at March 31, 2024 $ 85 The Utility has liability insurance coverage for third-party liability in an aggregate amount of $733 million, with a deductible of $60 million. As of March 31, 2024, the Utility recorded an insurance receivable of $68 million for probable insurance recoveries in connection with the 2022 Mosquito fire, including legal fees. As of March 31, 2024, the Utility also recorded a $8 million reduction to its regulatory liability for wildfire-related claims costs that were determined to be probable of recovery through the FERC TO formula rate and a $52 million regulatory asset for costs that were determined to be probable of recovery through the WEMA. See “Regulatory Recovery” below. Loss Recoveries PG&E Corporation and the Utility have recovery mechanisms available for wildfire liabilities including from insurance, customers, and the Wildfire Fund. PG&E Corporation and the Utility record a receivable for a recovery when it is deemed probable that recovery of a recorded loss will occur, and the Utility can reasonably estimate the amount or its range. While the Utility plans to seek recovery of all insured losses, it is unable to predict the ultimate amount and timing of such recoveries. For more information on the applicable facts and circumstances of the corresponding wildfires, see “2019 Kincade Fire,” “2020 Zogg Fire,” “2021 Dixie Fire,” and “2022 Mosquito Fire.” Total probable recoveries for the 2021 Dixie fire and the 2022 Mosquito fire as of March 31, 2024 are: Potential Recovery Source (in millions) 2021 Dixie fire 2022 Mosquito fire Insurance $ 526 $ 68 FERC TO rates 92 8 WEMA 484 52 Wildfire Fund 600 — Probable recoveries at March 31, 2024 (1) $ 1,702 $ 128 (1) Includes legal costs of $96 million and $28 million related to the 2021 Dixie fire and 2022 Mosquito fire, respectively, as of March 31, 2024. The Utility could be subject to significant liability in connection with these wildfire events. If such liability is not recoverable from insurance or the other mechanisms described in t |
OTHER CONTINGENCIES AND COMMITM
OTHER CONTINGENCIES AND COMMITMENTS | 3 Months Ended |
Mar. 31, 2024 | |
Commitments and Contingencies Disclosure [Abstract] | |
OTHER CONTINGENCIES AND COMMITMENTS | WILDFIRE-RELATED CONTINGENCIES Liability Overview PG&E Corporation and the Utility have significant contingencies arising from their operations, including contingencies related to wildfires. PG&E Corporation and the Utility record a provision for a loss contingency when they determine that it is both probable that a liability has been incurred and the amount of the liability can be reasonably estimated. PG&E Corporation and the Utility evaluate which potential liabilities are probable and the related range of reasonably estimated losses and record a charge that reflects their best estimate or the lower end of the range, if there is no better estimate. Assessing whether a loss is probable or reasonably possible, whether the loss or a range of losses is estimable, and the amount of the best estimate or lower end of the range often requires management to exercise significant judgment about future events. Management makes these assessments based on a number of assumptions and subjective factors, including negotiations (including those during mediations with claimants), discovery, settlements and payments, rulings, advice of legal counsel, and other information and events pertaining to a particular matter, and estimates based on currently available information and prior experience with wildfires. Unless expressly noted otherwise, the loss accruals in this Note reflect the lower end of the range of the reasonably estimable range of losses. PG&E Corporation and the Utility believe that it is reasonably possible that the amount of loss could be greater than the accrued estimated amounts but are unable to reasonably estimate the additional loss or the upper end of the range because, as described below, there are a number of unknown facts and legal considerations that may impact the amount of any potential liability, including the total scope and nature of claims that may be asserted against PG&E Corporation and the Utility. Loss contingencies are reviewed quarterly, and estimates are adjusted to reflect the impact of all known information. As more information becomes available, including from potential claimants as litigation or resolution efforts progress, management estimates and assumptions regarding the potential financial impacts of wildfire events may change. PG&E Corporation’s and the Utility’s provision for loss and expense excludes anticipated legal costs, which are expensed as incurred. PG&E Corporation’s and the Utility’s financial condition, results of operations, liquidity, and cash flows may be materially affected by the outcome of the following matters. Potential liabilities related to wildfires depend on various factors, including the cause of the fire, contributing causes of the fire (including alternative potential origins, weather- and climate-related issues, and forest management and fire suppression practices), the number, size and type of structures damaged or destroyed, the contents of such structures and other personal property damage, the number and types of trees damaged or destroyed, attorneys’ fees for claimants, the nature and extent of any personal injuries, including the loss of lives, the amount of fire suppression and clean-up costs, other damages the Utility may be responsible for if found negligent, and the amount of any penalties, fines, or restitution that may be imposed by courts or other governmental entities. PG&E Corporation and the Utility are aware of numerous civil complaints related to the following wildfire events and expect that they may receive further complaints. The complaints include claims based on multiple theories of liability, including inverse condemnation, negligence, violations of the Public Utilities Code, violations of the Health & Safety Code, premises liability, trespass, public nuisance, and private nuisance. The plaintiffs in each action principally assert that PG&E Corporation’s and the Utility’s alleged failure to properly maintain, inspect, and de-energize their power lines was the cause of the relevant wildfire. The timing and outcome for resolution of any such claims or investigations are uncertain. The Utility believes it will continue to receive additional information from potential claimants in connection with these wildfire events as litigation or resolution efforts progress. Any such additional information may potentially allow PG&E Corporation and the Utility to refine the estimates of their accrued losses and may result in changes to the accrual depending on the information received. PG&E Corporation and the Utility intend to vigorously defend themselves against both criminal charges and civil complaints. If the Utility’s facilities, such as its electric distribution and transmission lines, are judicially determined to be the substantial cause of the following matters, and the doctrine of inverse condemnation applies, the Utility could be liable for property damage, business interruption, interest, and attorneys’ fees without having been found negligent. California courts have imposed liability under the doctrine of inverse condemnation in legal actions brought by property holders against utilities on the grounds that losses borne by the person whose property was damaged through a public use undertaking should be spread across the community that benefited from such undertaking, and based on the assumption that utilities have the ability to recover these costs through rates. Further, California courts have determined that the doctrine of inverse condemnation is applicable regardless of whether the CPUC ultimately allows recovery by the utility for any such costs. The CPUC may decide not to authorize cost recovery even if a court decision were to determine that the Utility is liable as a result of the application of the doctrine of inverse condemnation. In addition to claims for property damage, business interruption, interest, and attorneys’ fees under inverse condemnation, PG&E Corporation and the Utility could be liable for fire suppression costs, evacuation costs, medical expenses, personal injury damages, punitive damages and other damages under other theories of liability in connection with the following wildfire events, including if PG&E Corporation or the Utility were found to have been negligent. If the liability for wildfires were to exceed $1.0 billion in the aggregate in any Coverage Year, the Utility may be eligible to make a claim to the Wildfire Fund under AB 1054 to satisfy settled or finally adjudicated eligible claims in excess of such amount, except that claims related to the 2019 Kincade fire would be subject to the 40% limitation on the allowed amount of claims arising before emergence from bankruptcy. PG&E Corporation and the Utility intend to continue to review the available information and other information as it becomes available, including evidence in the possession of Cal Fire, USFS, or the relevant district attorney’s office, evidence from or held by other parties, claims that have not yet been submitted, and additional information about the nature and extent of personal and business property damages and losses, the nature, number and severity of personal injuries, and information made available through the discovery process. The following table presents the cumulative amounts PG&E Corporation and the Utility have paid through March 31, 2024. Payments (in millions) 2019 Kincade Fire $ 780 2020 Zogg Fire 392 2021 Dixie Fire 869 2022 Mosquito Fire 15 Total at March 31, 2024 $ 2,056 2019 Kincade Fire According to Cal Fire, on October 23, 2019 at approximately 9:27 p.m. Pacific Time, a wildfire began northeast of Geyserville in Sonoma County, California (the “2019 Kincade fire”), located in the service area of the Utility. According to a Cal Fire incident update dated March 3, 2020, 3:35 p.m. Pacific Time, the 2019 Kincade fire consumed 77,758 acres and resulted in no fatalities, four first responder injuries, 374 structures destroyed, and 60 structures damaged. In connection with the 2019 Kincade fire, state and local officials issued numerous mandatory evacuation orders and evacuation warnings. Based on County of Sonoma information, PG&E Corporation and the Utility understand that the geographic zones subject to either a mandatory evacuation order or an evacuation warning between October 23, 2019 and November 4, 2019 included approximately 200,000 persons. On July 16, 2020, Cal Fire issued a press release with its determination that the Utility’s equipment caused the 2019 Kincade fire. As of April 17, 2024, PG&E Corporation and the Utility are aware of approximately 132 complaints on behalf of at least 2,913 plaintiffs related to the 2019 Kincade fire. The plaintiffs filed master complaints on July 16, 2021; PG&E Corporation’s and the Utility’s response was filed on August 16, 2021; and PG&E Corporation and the Utility filed a demurrer with respect to the plaintiffs’ inverse condemnation claims. On December 10, 2021, the court overruled the demurrer. On July 20, 2022, PG&E Corporation and the Utility filed a motion for summary adjudication on individual plaintiffs’ claims for punitive damages. The court has rescheduled the hearing on this summary adjudication motion for July 25, 2024. On July 28, 2023, the court scheduled a new trial date for August 26, 2024. PG&E Corporation and the Utility are also aware of a complaint on behalf of Geysers Power Company, Calpine Corporation, and CPN Insurance Corporation. In addition, on January 5, 2022, Cal Fire filed a complaint against the Utility in the coordinated proceeding seeking to recover approximately $90 million for fire suppression and other costs incurred in connection with the 2019 Kincade fire. The Utility filed an answer to Cal Fire’s complaint on February 4, 2022. On August 8, 2023, PG&E Corporation and the Utility entered into an agreement with Cal Fire to resolve its claims arising from the 2019 Kincade fire. On January 24, 2024, Cal Fire filed a request to dismiss its complaint with prejudice in the coordinated proceeding, which the court entered. On October 11, 2022, the Utility entered into a tolling agreement with the California Governor’s Office of Emergency Services (“Cal OES”), which remains in effect. Based on the current state of the law concerning inverse condemnation in California and the facts and circumstances available to PG&E Corporation and the Utility as of the date of this filing, including Cal Fire’s determination of the cause and the information gathered as part of PG&E Corporation’s and the Utility’s investigation, PG&E Corporation and the Utility believe it is probable that they will incur a loss in connection with the 2019 Kincade fire. Based on the facts and circumstances available to PG&E Corporation and the Utility as of the date of this filing, including their experience with settlements, PG&E Corporation and the Utility recorded a liability in the aggregate amount of $1.125 billion as of December 31, 2023 (before available insurance). The aggregate liability remained unchanged as of March 31, 2024. PG&E Corporation’s and the Utility’s accrued estimated losses of $1.125 billion do not include, among other things: (i) any punitive damages, (ii) any amounts in respect of compensation claims by federal or state agencies other than state fire suppression costs, or (iii) any other amounts that are not reasonably estimable. The following table presents changes in the lower end of the range of PG&E Corporation’s and the Utility’s reasonably estimable range of losses for claims arising from the 2019 Kincade fire since December 31, 2023. Loss Accrual (in millions) Balance at December 31, 2023 $ 458 Accrued Losses — Payments (113) Balance at March 31, 2024 $ 345 The Utility has liability insurance coverage for third-party liability attributable to the 2019 Kincade fire in an aggregate amount of $430 million, which was fully collected as of December 31, 2023. 2020 Zogg Fire According to Cal Fire, on September 27, 2020, at approximately 4:03 p.m. Pacific Time, a wildfire began in the area of Zogg Mine Road and Jenny Bird Lane, north of Igo in Shasta County, California (the “2020 Zogg fire”), located in the service area of the Utility. According to a Cal Fire incident update dated October 16, 2020, 3:08 p.m. Pacific Time, the 2020 Zogg fire consumed 56,338 acres and resulted in four fatalities, one injury, 204 structures destroyed, and 27 structures damaged. On March 22, 2021, Cal Fire issued a press release with its determination that the 2020 Zogg fire was caused by a pine tree contacting electrical facilities owned and operated by the Utility located north of the community of Igo. As of April 17, 2024, PG&E Corporation and the Utility have settled or reached settlements in principle with substantially all known individual plaintiffs. On September 26, 2022, the Utility entered into a tolling agreement with Cal OES, which remains in effect. Based on the current state of the law concerning inverse condemnation in California and the facts and circumstances available to PG&E Corporation and the Utility as of the date of this filing, including Cal Fire’s determination of the cause and the information gathered as part of PG&E Corporation’s and the Utility’s investigation, PG&E Corporation and the Utility believe it is probable that they will incur a loss in connection with the 2020 Zogg fire. Based on the facts and circumstances available to PG&E Corporation and the Utility as of the date of this report, PG&E Corporation and the Utility recorded a liability in the aggregate amount of $400 million as of December 31, 2023 (before available insurance). The aggregate liability remained unchanged as of March 31, 2024. PG&E Corporation’s and the Utility’s accrued estimated losses represent the best estimate of the liability and does not include any claims related to the Cal OES complaint or any punitive damages. The following table presents changes in the best estimate of PG&E Corporation’s and the Utility’s reasonably estimable range of losses for claims arising from the 2020 Zogg fire since December 31, 2023. Loss Accrual (in millions) Balance at December 31, 2023 $ 10 Accrued Losses — Payments (2) Balance at March 31, 2024 $ 8 The Utility has liability insurance for third-party liability attributable to the 2020 Zogg fire in an aggregate amount of $611 million. As of March 31, 2024, the Utility recorded an insurance receivable for $374 million for probable insurance recoveries in connection with the 2020 Zogg fire, which equals the $400 million probable loss estimate less an initial self-insured retention of $60 million, plus $34 million in legal fees incurred. Recovery under the Utility’s wildfire insurance policies for the 2021 Dixie fire will reduce the amount of insurance proceeds available for the 2020 Zogg fire by the same amount up to $600 million and vice versa. 2021 Dixie Fire According to the Cal Fire Investigation Report on the 2021 Dixie fire (the “Cal Fire Investigation Report”), on July 13, 2021, at approximately 5:07 p.m. Pacific Time, a wildfire began in the Feather River Canyon near Cresta Dam (the “2021 Dixie fire”), located in the service area of the Utility. According to the Cal Fire Investigation Report, the 2021 Dixie fire consumed 963,309 acres and resulted in 1,311 structures destroyed and 94 structures damaged (including 763 residential homes, 12 multi-family homes, 8 commercial residential homes, 148 nonresidential commercial structures, and 466 detached structures), and four first-responder injuries. The Cal Fire Investigation Report does not attribute a fatality that was previously published in an October 25, 2021 Cal Fire incident report to the 2021 Dixie fire. On January 4, 2022, Cal Fire issued a press release with its determination that the 2021 Dixie fire was caused by a tree contacting electrical distribution lines owned and operated by the Utility. On June 7, 2022, the Utility received a copy of the Cal Fire Investigation Report, which states that the fire ignited when a tree fell and contacted electrical distribution lines owned and operated by the Utility, and the Cal Fire Investigation Report has been made publicly available. The Cal Fire Investigation Report alleges that the Utility acted negligently in its response to the initial outage and fault that caused the 2021 Dixie fire. The Cal Fire Investigation Report also alleges that the subject tree had visible outward signs of damage and decay which would have been noticeable at the ground level, and that a brief visual inspection should have discovered the decay. Based on the information currently available to the Utility, through its ongoing investigation, including its inspection records, operating and inspection protocols and procedures, implementation of those protocols and procedures, and day-of-event response, the Utility believes its personnel acted reasonably (within the meaning of the applicable prudency standard discussed under “Regulatory Recovery” below) given the information available at the time and followed applicable policies and protocols both before ignition and in the day-of-event response. While an intervenor in a future cost recovery proceeding may argue the Cal Fire Investigation Report itself creates serious doubt with respect to the reasonableness of the Utility’s conduct, PG&E Corporation and the Utility do not believe the report identifies sufficient facts to shift the burden of proof applicable in a proceeding for cost recovery to the Utility. (See “Regulatory Recovery” and “Wildfire Fund under AB 1054” below.) PG&E Corporation and the Utility disagree with many allegations in the Cal Fire Investigation Report and plan to vigorously contest them. However, if the CPUC or the FERC were to reach conclusions similar to those of the Cal Fire Investigation Report, it may determine that the Utility had been imprudent, in which case some or all of its costs recorded to the WEMA would not be recoverable, the Utility would not be able to recover costs through FERC TO rates, or the Utility would be required to reimburse the Wildfire Fund for the costs and expenses that are allocated to it. On October 9, 2023, the SED submitted for adoption by the CPUC a draft resolution approving an Administrative Consent Order and Agreement between the SED and the Utility (the “Dixie ACO”). The Dixie ACO would resolve the SED’s investigation into the 2021 Dixie fire. The Dixie ACO provides that the Utility would (i) pay $2.5 million to California’s General Fund; (ii) pay $2.5 million to tribes impacted by the 2021 Dixie fire; (iii) and undertake an initiative to transition to electronic records for specified patrols and inspections of distribution facilities, at an approximate cost of $40 million over five years, and the Utility may not seek recovery of such costs. The SED agreed to refrain from instituting any further enforcement proceedings against the Utility related to the 2021 Dixie fire. The Dixie ACO states that it does not constitute an admission or evidence of any wrongdoing, fault, omission, negligence, imprudence, or liability on the part of the Utility. The Dixie ACO also states that the parties to it intend that it shall not affect whether the Utility may obtain recovery of costs and expenses incurred in connection with the 2021 Dixie fire, including for amounts drawn from the Wildfire Fund or otherwise sought through a cost recovery application to the CPUC. On February 2, 2024, the CPUC issued a final decision approving the Dixie ACO. In connection with the Dixie ACO, PG&E Corporation and the Utility recorded a liability of $5 million reflected in Other current liabilities on the Condensed Consolidated Financial Statements as of March 31, 2024. For the recordkeeping initiative costs for which the Utility will not seek recovery, the Utility expects to record disallowances as such costs are incurred. As of April 17, 2024, PG&E Corporation and the Utility are aware of approximately 167 complaints on behalf of at least 8,478 individual plaintiffs and a separate putative class complaint related to the 2021 Dixie fire and expect that they may receive further complaints. The plaintiffs seek damages that include wrongful death, property damage, economic loss, medical monitoring, punitive damages, exemplary damages, attorneys’ fees and other damages. On March 15, 2024, the court scheduled a new trial date for October 14, 2024. The court also set a subsequent trial date for February 24, 2025. Based on the current state of the law concerning inverse condemnation in California and the facts and circumstances available to PG&E Corporation and the Utility as of the date of this filing, including Cal Fire’s determination of the cause and the information gathered as part of PG&E Corporation’s and the Utility’s investigation, PG&E Corporation and the Utility believe it is probable that they will incur a loss in connection with the 2021 Dixie fire. Based on the facts and circumstances available to PG&E Corporation and the Utility as of the date of this filing, including their experience to date in settling the claims of individual plaintiffs, PG&E Corporation and the Utility recorded a liability in the aggregate amount of $1.6 billion as of December 31, 2023 (before available insurance). The aggregate liability remained unchanged as of March 31, 2024. PG&E Corporation’s and the Utility’s accrued estimated losses of $1.6 billion do not include, among other things: (i) any amounts for potential penalties or fines that may be imposed by courts or other governmental entities on PG&E Corporation or the Utility, (ii) any punitive damages, (iii) any amounts in respect of compensation claims by federal or state agencies including for state or federal fire suppression costs and damages related to federal land, (iv) medical monitoring costs, or (v) any other amounts that are not reasonably estimable. As noted above, the aggregate estimated liability for claims in connection with the 2021 Dixie fire does not include potential claims for fire suppression costs from federal, state, county, or local agencies or damage to land and vegetation in national parks or national forests. As to these damages, PG&E Corporation and the Utility have not concluded that a loss is probable. PG&E Corporation and the Utility are unable to reasonably estimate the range of possible losses for any such claims due to, among other factors, incomplete information as to facts pertinent to potential claims and defenses, as well as facts that would bear on the amount, type, and valuation of vegetation loss, potential reforestation, habitat loss, and other resources damaged or destroyed by the 2021 Dixie fire. PG&E Corporation and the Utility believe, however, that such losses could be significant with respect to fire suppression costs due to the size and duration of the 2021 Dixie fire and corresponding magnitude of fire suppression resources dedicated to fighting the 2021 Dixie fire and with respect to claims for damage to land and vegetation in national parks or national forests due to the very large number of acres of national parks and national forests that were affected by the 2021 Dixie fire. According to the Cal Fire Investigation Report, over $650 million of costs had been incurred in suppressing the 2021 Dixie fire. The Utility estimates that the fire burned approximately 70,000 acres of national parks and approximately 685,000 acres of national forests. The following table presents changes in the lower end of the range of PG&E Corporation’s and the Utility’s reasonably estimable range of losses for claims arising from the 2021 Dixie fire since December 31, 2023. Loss Accrual (in millions) Balance at December 31, 2023 $ 870 Accrued Losses — Payments (138) Balance at March 31, 2024 $ 732 The Utility has liability insurance coverage for third-party liability in an aggregate amount of $900 million. Recovery under the Utility’s wildfire insurance policies for the 2020 Zogg fire will reduce the amount of insurance proceeds available for the 2021 Dixie fire by the same amount up to $600 million and vice versa. As of March 31, 2024, the Utility recorded an insurance receivable of $526 million for probable insurance recoveries in connection with the 2021 Dixie fire, which equals the aggregate $900 million of available insurance coverage for third-party liability attributable to the 2021 Dixie fire, less the $374 million insurance receivable recorded in connection with the 2020 Zogg fire. As of March 31, 2024, the Utility recorded a Wildfire Fund receivable of $600 million for probable recoveries in connection with the 2021 Dixie fire. AB 1054 provides that the CPUC may allocate costs and expenses in the application for cost recovery in full or in part taking into account factors both within and beyond the utility’s control that may have exacerbated the costs and expenses, including humidity, temperature, and winds. PG&E Corporation and the Utility believe that, even if it found that the Utility acted unreasonably, the CPUC would nevertheless authorize recovery in part. See “Wildfire Fund under AB 1054” below. As of March 31, 2024, the Utility also recorded a $92 million reduction to its regulatory liability for wildfire-related claims costs that were determined to be probable of recovery through the FERC TO formula rate and a $484 million regulatory asset for costs that were determined to be probable of recovery through the WEMA. See “Regulatory Recovery” below. Decreases in the amount of the insurance receivable for the 2021 Dixie fire may also increase the amount that is probable of recovery through the FERC TO formula rate and the WEMA. 2022 Mosquito Fire On September 6, 2022, at approximately 6:17 p.m. Pacific Time, the Utility was notified that a wildfire had ignited near Oxbow Reservoir in Placer County, California (the “2022 Mosquito fire”), located in the service area of the Utility. The National Wildfire Coordinating Group’s InciWeb incident overview dated November 4, 2022 at 6:30 p.m. Pacific Time indicated that the 2022 Mosquito fire had consumed approximately 76,788 acres at that time. It also indicated no fatalities, no injuries, 78 structures destroyed, and 13 structures damaged (including 44 residential homes and 40 detached structures) and that the fire was 100% contained. The USFS has indicated to the Utility an initial assessment that the fire started in the area of the Utility’s power line on National Forest System lands and that the USFS is conducting a criminal investigation into the 2022 Mosquito fire. On September 24, 2022, the USFS removed and took possession of one of the Utility’s transmission poles and attached equipment. The USFS has not issued a determination as to the cause. The cause of the 2022 Mosquito fire remains under investigation by the USFS and the United States Department of Justice, and PG&E Corporation and the Utility are cooperating with the investigation. It is uncertain when any such investigations will be complete. PG&E Corporation and the Utility are also conducting their own investigation into the cause of the 2022 Mosquito fire. This investigation is ongoing. The CPUC is investigating the 2022 Mosquito fire, and other entities may also be investigating. It is uncertain when any such investigations will be complete. As of April 17, 2024, PG&E Corporation and the Utility are aware of approximately six complaints on behalf of at least 233 individual plaintiffs related to the 2022 Mosquito fire and expect that they may receive further complaints. PG&E Corporation and the Utility also are aware of a complaint on behalf of the PCWA, a complaint on behalf of the Middle Fork Project Finance Authority, a complaint on behalf of El Dorado County, Placer County, Georgetown Divide Public Utility District, Georgetown Fire Protection District, and El Dorado County Water Agency. The plaintiffs seek damages that include property damage, economic loss, punitive damages, exemplary damages, attorneys’ fees and other damages. On April 24, 2024, PG&E Corporation and the Utility filed cross-complaints against PCWA, alleging that conduct by PCWA was a substantial cause of the 2022 Mosquito fire. The cross-complaints seek property damages, indemnification, attorneys’ fees, and other damages. Based on the current state of the law concerning inverse condemnation in California and the facts and circumstances available to PG&E Corporation and the Utility as of the date of this filing, including the information gathered as part of PG&E Corporation’s and the Utility’s investigation, PG&E Corporation and the Utility believe it is probable that they will incur a loss in connection with the 2022 Mosquito fire. Based on the facts and circumstances available to PG&E Corporation and the Utility as of the date of this report, PG&E Corporation and the Utility recorded a liability in the aggregate amount of $100 million as of December 31, 2023 (before available insurance). The aggregate liability remained unchanged as of March 31, 2024. PG&E Corporation’s and the Utility’s accrued estimated losses do not include, among other things: (i) any amounts for potential penalties or fines that may be imposed by courts or other governmental entities on PG&E Corporation or the Utility, (ii) any punitive damages, (iii) any amounts in respect of compensation claims by federal or state agencies including for state or federal fire suppression costs and damages related to federal land, or (iv) any other amounts that are not reasonably estimable. As noted above, the aggregate estimated liability for claims in connection with the 2022 Mosquito fire does not include potential claims for fire suppression costs from federal, state, county, or local agencies or damage to land and vegetation in national parks or national forests. As to these damages, PG&E Corporation and the Utility have not concluded that a loss is probable. PG&E Corporation and the Utility are unable to reasonably estimate the range of possible losses for any such claims due to, among other factors, incomplete information as to facts pertinent to potential claims and defenses, as well as facts that would bear on the amount, type, and valuation of vegetation loss, potential reforestation, habitat loss, and other resources damaged or destroyed by the 2022 Mosquito fire. The following table presents changes in the lower end of the range of PG&E Corporation’s and the Utility’s reasonably estimable range of losses for claims arising from the 2022 Mosquito fire since December 31, 2023. Loss Accrual (in millions) Balance at December 31, 2023 $ 85 Accrued Losses — Payments — Balance at March 31, 2024 $ 85 The Utility has liability insurance coverage for third-party liability in an aggregate amount of $733 million, with a deductible of $60 million. As of March 31, 2024, the Utility recorded an insurance receivable of $68 million for probable insurance recoveries in connection with the 2022 Mosquito fire, including legal fees. As of March 31, 2024, the Utility also recorded a $8 million reduction to its regulatory liability for wildfire-related claims costs that were determined to be probable of recovery through the FERC TO formula rate and a $52 million regulatory asset for costs that were determined to be probable of recovery through the WEMA. See “Regulatory Recovery” below. Loss Recoveries PG&E Corporation and the Utility have recovery mechanisms available for wildfire liabilities including from insurance, customers, and the Wildfire Fund. PG&E Corporation and the Utility record a receivable for a recovery when it is deemed probable that recovery of a recorded loss will occur, and the Utility can reasonably estimate the amount or its range. While the Utility plans to seek recovery of all insured losses, it is unable to predict the ultimate amount and timing of such recoveries. For more information on the applicable facts and circumstances of the corresponding wildfires, see “2019 Kincade Fire,” “2020 Zogg Fire,” “2021 Dixie Fire,” and “2022 Mosquito Fire.” Total probable recoveries for the 2021 Dixie fire and the 2022 Mosquito fire as of March 31, 2024 are: Potential Recovery Source (in millions) 2021 Dixie fire 2022 Mosquito fire Insurance $ 526 $ 68 FERC TO rates 92 8 WEMA 484 52 Wildfire Fund 600 — Probable recoveries at March 31, 2024 (1) $ 1,702 $ 128 (1) Includes legal costs of $96 million and $28 million related to the 2021 Dixie fire and 2022 Mosquito fire, respectively, as of March 31, 2024. The Utility could be subject to significant liability in connection with these wildfire events. If such liability is not recoverable from insurance or the other mechanisms described in t |
Insider Trading Arrangements
Insider Trading Arrangements - John R. Simon [Member] | 3 Months Ended |
Mar. 31, 2024 shares | |
Trading Arrangements, by Individual | |
Material Terms of Trading Arrangement | On February 29, 2024, John R. Simon, who serves as Executive Vice President, General Counsel and Chief Ethics & Compliance Officer of PG&E Corporation, adopted a Rule 10b5-1 trading arrangement that is intended to satisfy the affirmative defense of Rule 10b5-1(c), for the sale of up to 50,000 shares of PG&E Corporation common stock. The trading arrangement will terminate on the earlier of March 1, 2025 or the execution of the sale of all 50,000 shares. |
Name | John R. Simon |
Title | Executive Vice President, General Counsel and Chief Ethics & Compliance Officer |
Rule 10b5-1 Arrangement Adopted | true |
Non-Rule 10b5-1 Arrangement Adopted | false |
Adoption Date | February 29, 2024 |
Rule 10b5-1 Arrangement Terminated | false |
Non-Rule 10b5-1 Arrangement Terminated | false |
Arrangement Duration | 366 days |
Aggregate Available | 50,000 |
SUMMARY OF SIGNIFICANT ACCOUN_2
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies) | 3 Months Ended |
Mar. 31, 2024 | |
Accounting Policies [Abstract] | |
Revenue Recognition | Revenue from Contracts with Customers The Utility recognizes revenues when electricity and natural gas services are delivered. The Utility records unbilled revenues for the estimated amount of energy delivered to customers but not yet billed at the end of the period. Unbilled revenues are included in Accounts receivable on the Condensed Consolidated Balance Sheets. Rates charged to customers are based on CPUC and FERC authorized revenue requirements. Revenues can vary significantly from period to period because of seasonality, weather, and customer usage patterns. Regulatory Balancing Account Revenue The CPUC authorizes most of the Utility’s revenues in the Utility’s GRCs, which occur every four years. CPUC and FERC rates decouple authorized revenue from the volume of electricity and natural gas sales, so the Utility receives revenue equal to the amounts authorized by the relevant regulatory agencies. As a result, the volume of electricity and natural gas sold does not have a direct impact on PG&E Corporation’s and the Utility’s financial results. The Utility recognizes revenues that have been authorized for rate recovery, are objectively determinable and probable of recovery, and are expected to be collected within 24 months. Generally, electric and natural gas operating revenue is recognized ratably over the year. The Utility records a balancing account asset or liability for differences between customer billings and authorized revenue requirements that are probable of recovery or refund. The Utility also collects additional revenue requirements to recover costs that the CPUC has authorized the Utility to pass on to customers, including costs to purchase electricity and natural gas, and to fund public purpose, demand response, and customer energy efficiency programs. In general, the revenue recognition criteria for pass-through costs billed to customers are met at the time the costs are incurred. The Utility records a regulatory balancing account asset or liability for differences between incurred costs and customer billings or authorized revenue meant to recover those costs, to the extent that these differences are probable of recovery or refund. As a result, these differences have no impact on net income. |
Financial Assets Measured at Amortized Cost – Credit Losses | PG&E Corporation and the Utility use the current expected credit loss model to estimate the expected lifetime credit loss on financial assets measured at amortized cost. PG&E Corporation and the Utility evaluate credit risk in their portfolio of financial assets quarterly. As of March 31, 2024, PG&E Corporation and the Utility identified the following significant categories of financial assets. Trade Receivables Trade receivables are represented by customer accounts. PG&E Corporation and the Utility record an allowance for doubtful accounts to recognize an estimate of expected lifetime credit losses. The allowance is determined on a collective basis based on the historical amounts written-off and an assessment of customer collectability. Furthermore, economic conditions are evaluated as part of the estimate of expected lifetime credit losses. Expected credit losses of $70 million and $139 million were recorded in Operating and maintenance expense on the Condensed Consolidated Statements of Income for credit losses associated with trade and other receivables during the three months ended March 31, 2024 and 2023, respectively. The portion of expected credit losses that are deemed probable of recovery are deferred to the RUBA, CPPMA, and a FERC regulatory asset. As of March 31, 2024, the RUBA current balancing accounts receivable balance was $55 million, and CPPMA and FERC noncurrent regulatory asset balances were $6 million and $79 million, respectively. As of December 31, 2023, the RUBA current balancing accounts receivable balance was $507 million, and CPPMA and FERC noncurrent regulatory asset balances were $5 million and $78 million, respectively. The RUBA current balancing account balance decreased from December 31, 2023 to March 31, 2024 primarily due to the annual electric and gas true-up which allows the Utility to recover approximately $500 million in undercollections from residential customers in 2024. Other Receivables and Available-For-Sale Debt Securities Insurance receivables are related to the liability insurance policies PG&E Corporation and the Utility carry. Insurance receivable risk is related to each insurance carrier’s risk of defaulting on their individual policies. Wildfire Fund receivables are the funds available from the statewide fund established under AB 1054 for payment of eligible claims related to the 2021 Dixie fire that exceed $1.0 billion and available insurance coverage. For more information, see Note 10 below. Wildfire Fund receivables risk is related to the Wildfire Fund’s durability, which is a measurement of its claim-paying capacity. Lastly, PG&E Corporation and the Utility are required to determine if the fair value is below the amortized cost basis for their available-for-sale debt securities (i.e., impairment). If such an impairment exists and does not otherwise result in a write-down, then PG&E Corporation and the Utility must determine whether a portion of the impairment is a result of expected credit loss. |
Government Assistance | The Utility participated in various government assistance programs during the three months ended March 31, 2024 and 2023. The Utility’s accounting policy is to apply a grant accounting model by analogy to International Accounting Standards 20, Accounting for Government Grants and Disclosure of Government Assistance . Assembly Bill 180 On June 30, 2022, AB 180 became law. AB 180 authorized the DWR to use up to $75 million to support contracts with the owners of electric generating facilities pending retirement, such as Diablo Canyon, to fund, reimburse or compensate the owner for any costs, expenses or financial commitments incurred to retain the future availability of such generating facilities pending further legislation. The resulting agreement between DWR and the Utility was effective beginning October 1, 2022, and will continue until full disbursement of funds or termination per the agreement. In the event of a termination, the Utility will take reasonable steps to end activities associated with this agreement and will return to DWR any unused funds. During the three months ended March 31, 2024, the amount reflected in the Condensed Consolidated Statements of Income as a deduction to Cost of electricity for income related to government grants for incurred eligible costs to purchase nuclear fuel was immaterial. DWR Loan Agreement On October 18, 2022, the DWR and the Utility executed a $1.4 billion loan agreement to support the extension of Diablo Canyon, up to approximately $1.1 billion of which could be repaid by funds received from the DOE (see “U.S. DOE’s Civil Nuclear Credit Program” below). Under the loan agreement, the DWR pays the Utility a monthly performance-based disbursement equal to $7 for each MWh generated by Diablo Canyon, effective September 2, 2022. The Utility may use the proceeds of the performance-based disbursements for any business purpose, except as profits or dividends to shareholders or as otherwise prohibited by SB 846. The Utility began earning performance-based disbursements beginning on September 2, 2022 and is eligible to earn performance-based disbursements until the previously-approved retirement dates for Diablo Canyon Unit 1 and Unit 2 (2024 and 2025, respectively). The performance-based disbursements are contingent upon the Utility’s ongoing efforts to pursue extension of and continued safe and reliable operation of Diablo Canyon. The aggregate amount of performance-based disbursements under this agreement will not exceed $300 million. The Utility initially accounts for all disbursements from the DWR loan agreement pursuant to ASC 470, Debt . When there is reasonable assurance that the Utility will have loan disbursements forgiven by the DWR, such as when the Utility earns a performance-based disbursement or when funds expected to be received from the DOE are less than incurred eligible costs to support the extension of Diablo Canyon, the Utility will recognize those forgiven loans as income related to government grants. The Utility records the income related to government grants as a deduction to expense in the same period(s) that eligible costs are incurred. The following table provides a summary of where the DWR loan activity is presented in PG&E Corporation’s and the Utility’s Condensed Consolidated Financial Statements for the three months ended March 31, 2024 and 2023, respectively: (in millions) 2024 2023 Long-term debt: DWR Loan Outstanding at January 1 $ 98 $ 312 Proceeds received 232 — Operating Expenses: Operating and maintenance expense - Performance-based disbursements (22) (33) Other current liabilities: Performance-based disbursements deferred (12) — Long-term debt: DWR Loan Outstanding at March 31 $ 296 $ 279 U.S. DOE’s Civil Nuclear Credit Program On January 11, 2024, the Utility and DOE entered into a Credit Award and Payment Agreement for up to $1.1 billion related to Diablo Canyon as part of the DOE’s Civil Nuclear Credit Program. The Utility will use these funds to repay its loans outstanding under the DWR Loan Agreement (see “DWR Loan Agreement” above). Final award amounts will be determined following completion of each year of the award period, and amounts awarded over a four-year award period ending in 2026 will be based on a number of factors, including actual costs incurred to extend the Diablo Canyon operations. When there is reasonable assurance that the Utility will receive funding and comply with the conditions of the DOE’s Civil Nuclear Credit Program, the Utility will recognize such funding as income and will record a receivable related to government grants. During the three months ended March 31, 2024, the Condensed Consolidated Statements of Income reflected $140 million as a deduction to Operating and maintenance expense |
Variable Interest Entities | A VIE is an entity that does not have sufficient equity at risk to finance its activities without additional subordinated financial support from other parties, or whose equity investors lack any characteristics of a controlling financial interest. An enterprise that has a controlling financial interest in a VIE is a primary beneficiary and is required to consolidate the VIE. Consolidated VIEs Receivables Securitization Program The SPV was created in connection with the Receivables Securitization Program and is a bankruptcy remote, limited liability company wholly owned by the Utility, and its assets are not available to creditors of PG&E Corporation or the Utility. Pursuant to the Receivables Securitization Program, the Utility sells certain of its receivables and certain related rights to payment and obligations of the Utility with respect to such receivables, and certain other related rights to the SPV, which, in turn, obtains loans secured by the receivables from financial institutions (the “Lenders”). The pledged receivables and the corresponding debt are included in Accounts receivable, Accrued unbilled revenue, and Long-term debt on the Condensed Consolidated Balance Sheets. The SPV is considered a VIE because its equity capitalization is insufficient to support its activities. The most significant activities that impact the economic performance of the SPV are decisions made to manage receivables. The Utility is considered the primary beneficiary and consolidates the SPV as it makes these decisions. No additional financial support was provided to the SPV during the three months ended March 31, 2024 or is expected to be provided in the future that was not previously contractually required. As of March 31, 2024 and December 31, 2023, the SPV had net accounts receivable of $3.0 billion and $2.7 billion, respectively, and outstanding borrowings of $1.5 billion under the Receivables Securitization Program. For more information, see Note 4 below. AB 1054 Securitization PG&E Recovery Funding LLC is a bankruptcy remote, limited liability company wholly owned by the Utility, and its assets are not available to creditors of PG&E Corporation or the Utility. Pursuant to the financing orders for the first and second AB 1054 securitization transactions, the Utility sold its right to receive revenues from the non-bypassable wildfire hardening fixed recovery charges (“Recovery Property”) to PG&E Recovery Funding LLC, which, in turn, issued two separate series of recovery bonds secured by separate Recovery Property. PG&E Recovery Funding LLC is considered a VIE because its equity capitalization is insufficient to support its operations. The most significant activities that impact the economic performance of PG&E Recovery Funding LLC are decisions made by the servicer of the Recovery Property. The Utility is considered the primary beneficiary and consolidates PG&E Recovery Funding LLC as it acts in this role as servicer. No additional financial support was provided to PG&E Recovery Funding LLC during the three months ended March 31, 2024 or is expected to be provided in the future that was not previously contractually required. On November 12, 2021, PG&E Recovery Funding LLC issued approximately $860 million of Senior Secured Recovery Bonds. On November 30, 2022, PG&E Recovery Funding LLC issued approximately $983 million of Series 2022-A Senior Secured Recovery Bonds. As of March 31, 2024 and December 31, 2023, PG&E Recovery Funding LLC had outstanding borrowings of $1.8 billion included in Long-term debt and Long-term debt, classified as current on the Condensed Consolidated Balance Sheets. SB 901 Securitization PG&E Wildfire Recovery Funding LLC is a bankruptcy remote, limited liability company wholly owned by the Utility, and its assets are not available to creditors of PG&E Corporation or the Utility. Pursuant to the financing order for the first and second SB 901 securitization transactions, the Utility sold its right to receive revenues from the non-bypassable fixed recovery charges (“SB 901 Recovery Property”) to PG&E Wildfire Recovery Funding LLC, which, in turn, issued two separate series of recovery bonds secured by separate SB 901 Recovery Property. PG&E Wildfire Recovery Funding LLC is considered a VIE because its equity capitalization is insufficient to support its operations. The most significant activities that impact the economic performance of PG&E Wildfire Recovery Funding LLC are decisions made by the servicer of the SB 901 Recovery Property. The Utility is considered the primary beneficiary and consolidates PG&E Wildfire Recovery Funding LLC as it acts in this role as servicer. No additional financial support was provided to PG&E Wildfire Recovery Funding LLC during the three months ended March 31, 2024 or is expected to be provided in the future that was not previously contractually required. On May 10, 2022, PG&E Wildfire Recovery Funding LLC issued $3.6 billion aggregate principal amount of senior secured recovery bonds (the “Series 2022-A Recovery Bonds”). On July 20, 2022, PG&E Wildfire Recovery Funding LLC issued $3.9 billion aggregate principal amount of senior secured recovery bonds (the “Series 2022-B Recovery Bonds”). As of March 31, 2024 and December 31, 2023, PG&E Wildfire Recovery Funding LLC had outstanding borrowings of $7.3 billion included in Long-term debt and Long-term debt, classified as current on the Condensed Consolidated Balance Sheets. For more information, see Note 5 below. Non-Consolidated VIEs Power Purchase Agreement s Some of the counterparties to the Utility’s power purchase agreements are considered VIEs. Each of these VIEs was designed to own a power plant that would generate electricity for sale to the Utility. To determine whether the Utility was the primary beneficiary of any of these VIEs as of March 31, 2024, the Utility assessed whether it absorbs any of the VIE’s expected losses or receives any portion of the VIE’s expected residual returns under the terms of the power purchase agreement, analyzed the variability in the VIE’s gross margin, and considered whether it had any decision-making rights associated with the activities that are most significant to the VIE’s performance, such as dispatch rights or operating and maintenance activities. The Utility’s financial obligation is limited to the amount the Utility pays for delivered electricity and capacity. The Utility did not have any decision-making rights associated with any of the activities that are most significant to the economic performance of any of these VIEs. Since the Utility was not the primary beneficiary of any of these VIEs as of March 31, 2024, it did not consolidate any of them. The Lakeside Building BA2 300 Lakeside LLC, a wholly owned subsidiary of TMG Bay Area Investments II, LLC, and the Utility are parties to an office lease agreement for approximately 910,000 rentable square feet of space within the Lakeside Building, which serves as the Utility’s principal administrative headquarters. BA2 300 Lakeside LLC is considered a VIE because the group that holds the equity investment at risk lacks the right to receive the expected residual returns of the entity due to a fixed-price purchase option covering more than 50% of the fair value of the assets held by the entity. The most significant activities that impact the economic performance of BA2 300 Lakeside LLC are decisions related to significant maintenance and remarketing of the property. The Utility is not considered the primary beneficiary and does not consolidate BA2 300 Lakeside LLC as it does not have any decision-making rights associated with these activities. The Utility’s financial obligation is limited to the issued letter of credit as well as the amounts it pays for base rent and certain costs, per the office lease agreement. For more information, see “Oakland Headquarters Lease and Purchase” in Note 11 below. |
Pension and Other Post-Retirement Benefits | PG&E Corporation and the Utility sponsor a non-contributory defined benefit pension plan and cash balance plan. Both plans are included in “Pension Benefits” below. Post-retirement medical and life insurance plans are included in “Other Benefits” below. Non-service costs are reflected in Other income, net on the Condensed Consolidated Statements of Income. Service costs are reflected in Operating and maintenance on the Condensed Consolidated Statements of Income. |
Recently Adopted Accounting Standards and Accounting Standards Issued But Not Yet Adopted | Accounting Standards Issued But Not Yet Adopted Segment Reporting In November 2023, the FASB issued ASU No. 2023-07, Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures , which amends the existing guidance to improve reportable segment disclosure requirements, primarily through enhanced disclosures about significant segment expenses. This ASU will become effective for PG&E Corporation and the Utility for fiscal years beginning after December 15, 2023, and interim periods within fiscal years beginning after December 15, 2024, with early adoption permitted. PG&E Corporation and the Utility are currently evaluating the impact the guidance will have on their Condensed Consolidated Financial Statements and related disclosures. Income Taxes In December 2023, the FASB issued ASU No. 2023-09 , Income Taxes (Topic 740): Improvements to Income Tax Disclosures, which amends the existing guidance to enhance the transparency and decision usefulness of income tax disclosures. The standard requires consistent categories and greater disaggregation of information in the rate reconciliation, and income taxes paid disaggregated by jurisdiction. This ASU will become effective for PG&E Corporation and the Utility for fiscal years beginning after December 15, 2024. PG&E Corporation and the Utility are currently evaluating the impact the guidance will have on their Condensed Consolidated Financial Statements and related disclosures. |
Earnings Per Share | PG&E Corporation’s basic EPS is calculated by dividing the income available for common shareholders by the weighted average number of common shares outstanding. PG&E Corporation applies the treasury stock method of reflecting the dilutive effect of outstanding share-based compensation in the calculation of diluted EPS. |
Use of Derivative Instruments | The Utility is exposed to commodity price risk as a result of its electricity and natural gas procurement activities. Procurement costs are recovered through rates. The Utility uses both derivative and non-derivative contracts to manage volatility in customer rates due to fluctuating commodity prices. Derivatives include contracts, such as power purchase agreements, forwards, futures, swaps, options, and CRRs that are traded either on an exchange or over-the-counter. Derivatives are presented in the Utility’s Condensed Consolidated Balance Sheets and recorded at fair value and on a net basis in accordance with master netting arrangements for each counterparty. The fair value of derivative instruments is further offset by cash collateral paid or received where the right of offset and the intention to offset exist. Price risk management activities that meet the definition of derivatives are recorded at fair value on the Condensed Consolidated Balance Sheets. These instruments are not held for speculative purposes and are subject to certain regulatory requirements. The Utility expects to fully recover through rates all costs related to derivatives under the applicable ratemaking mechanism in place as long as the Utility’s price risk management activities are carried out in accordance with CPUC directives. Therefore, all unrealized gains and losses associated with the change in fair value of these derivatives are deferred and recorded within the Utility’s regulatory assets The Utility elects the normal purchase and sale exception for eligible derivatives. Eligible derivatives are those that require physical delivery in quantities that are expected to be used by the Utility over a reasonable period in the normal course of business and do not contain pricing provisions unrelated to the commodity delivered. These items are not reflected in the Condensed Consolidated Balance Sheets at fair value. |
SUMMARY OF SIGNIFICANT ACCOUN_3
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Accounting Policies [Abstract] | |
Summary of Revenues Disaggregated by Type of Customer | The following table presents the Utility’s revenues disaggregated by type of customer: Three Months Ended March 31, (in millions) 2024 2023 Electric Revenue from contracts with customers Residential $ 1,799 $ 1,289 Commercial 1,505 1,144 Industrial 413 353 Agricultural 180 155 Public street and highway lighting 25 19 Other, net (1) 121 43 Total revenue from contracts with customers - electric 4,043 3,003 Regulatory balancing accounts (2) 9 1,116 Total electric operating revenue $ 4,052 $ 4,119 Natural gas Revenue from contracts with customers Residential $ 1,517 $ 1,883 Commercial 373 513 Transportation service only 475 444 Other, net (1) (64) (153) Total revenue from contracts with customers - gas 2,301 2,687 Regulatory balancing accounts (2) (492) (597) Total natural gas operating revenue 1,809 2,090 Total operating revenues $ 5,861 $ 6,209 (1) This activity is primarily related to the change in unbilled revenue and amounts subject to refund, partially offset by other miscellaneous revenue items. (2) These amounts represent revenues authorized to be billed or refunded to customers. |
Schedule Of Government Assistance | The following table provides a summary of where the DWR loan activity is presented in PG&E Corporation’s and the Utility’s Condensed Consolidated Financial Statements for the three months ended March 31, 2024 and 2023, respectively: (in millions) 2024 2023 Long-term debt: DWR Loan Outstanding at January 1 $ 98 $ 312 Proceeds received 232 — Operating Expenses: Operating and maintenance expense - Performance-based disbursements (22) (33) Other current liabilities: Performance-based disbursements deferred (12) — Long-term debt: DWR Loan Outstanding at March 31 $ 296 $ 279 |
Schedule of Net Benefit Costs | The net periodic benefit costs reflected in PG&E Corporation’s Condensed Consolidated Financial Statements for the three months ended March 31, 2024 and 2023 were as follows: Pension Benefits Other Benefits Three Months Ended March 31, (in millions) 2024 2023 2024 2023 Service cost for benefits earned (1) $ 99 $ 95 $ 10 $ 10 Interest cost 229 228 18 18 Expected return on plan assets (253) (245) (35) (33) Amortization of prior service cost (credit) (1) (1) 1 1 Amortization of net actuarial gain — — (6) (5) Net periodic benefit cost 74 77 (12) (9) Regulatory account transfer (2) 10 6 — — Total $ 84 $ 83 $ (12) $ (9) (1) A portion of service costs is capitalized pursuant to GAAP. (2) The Utility recorded these amounts to a regulatory account since they are probable of recovery or refund through rates in future periods. |
Reporting of Amounts Reclassified Out of Accumulated Other Comprehensive Income | The changes, net of income tax, in PG&E Corporation’s accumulated other comprehensive income (loss) consisted of the following: Pension Other Customer Credit Trust Total (in millions, net of income tax) Three Months Ended March 31, 2024 Beginning balance $ (28) $ 18 $ 2 $ (8) Other comprehensive income before reclassification Loss on investments (net of taxes of $0, $0 and $1, respectively) — — (1) (1) Amounts reclassified from other comprehensive income: (1) Amortization of prior service cost (net of taxes of $0, $0 and $0, respectively) (1) — — (1) Amortization of net actuarial gain (net of taxes of $0, $1 and $0, respectively) — (4) — (4) Regulatory account transfer (net of taxes of $0, $1 and $0, respectively) 1 4 — 5 Net current period other comprehensive loss — — (1) (1) Ending balance $ (28) $ 18 $ 1 $ (9) (1) These components are included in the computation of net periodic pension and other post-retirement benefit costs. See the “Pension and Other Post-Retirement Benefits” table above for additional details. Pension Benefits Other Customer Credit Trust Total (in millions, net of income tax) Three Months Ended March 31, 2023 Beginning balance $ (12) $ 18 $ (6) $ — Other comprehensive income before reclassification Gain on investments (net of taxes of $0, $0 and $2, respectively) — — 5 5 Amounts reclassified from other comprehensive income: (1) Amortization of prior service cost (net of taxes of $0, $0 and $0, respectively) (1) 1 — — Amortization of net actuarial gain (net of taxes of $0, $1 and $0, respectively) — (4) — (4) Regulatory account transfer (net of taxes of $0, $1 and $0, respectively) 1 3 — 4 Net current period other comprehensive gain — — 5 5 Ending balance $ (12) $ 18 $ (1) $ 5 (1) These components are included in the computation of net periodic pension and other post-retirement benefit costs. See the “Pension and Other Post-Retirement Benefits” table above for additional details. |
REGULATORY ASSETS, LIABILITIE_2
REGULATORY ASSETS, LIABILITIES, AND BALANCING ACCOUNTS (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Regulated Operations [Abstract] | |
Long-Term Regulatory Assets | Noncurrent regulatory assets are comprised of the following: Balance at (in millions) March 31, 2024 December 31, 2023 Pension benefits $ 339 $ 348 Environmental compliance costs 1,122 1,218 Price risk management 166 160 Catastrophic event memorandum account 1,031 1,074 Wildfire-related accounts 2,455 2,915 Deferred income taxes 3,748 3,543 Financing costs 192 196 SB 901 securitization 5,247 5,249 General rate case memorandum accounts 992 1,291 Other 1,041 1,195 Total noncurrent regulatory assets $ 16,333 $ 17,189 |
Long-Term Regulatory Liabilities | Noncurrent regulatory liabilities are comprised of the following: Balance at (in millions) March 31, 2024 December 31, 2023 Cost of removal obligations $ 8,355 $ 8,191 Public purpose programs 1,300 1,238 Employee benefit plans 1,037 1,032 Transmission tower wireless licenses 342 384 SFGO sale 138 185 SB 901 securitization 6,550 6,628 Wildfire self-insurance 498 407 Other 1,447 1,379 Total noncurrent regulatory liabilities $ 19,667 $ 19,444 |
Current Regulatory Balancing Accounts Receivable | Current regulatory balancing accounts receivable and payable are comprised of the following: Balance at (in millions) March 31, 2024 December 31, 2023 Electric distribution $ 1,757 $ 1,092 Electric transmission 105 99 Gas distribution and transmission 165 144 Energy procurement 1,122 1,002 Public purpose programs 340 137 Wildfire-related accounts 798 729 Insurance premium costs 37 227 Residential uncollectibles balancing accounts 55 507 Catastrophic event memorandum account 374 413 General rate case memorandum accounts 1,108 1,097 Other 581 213 Total regulatory balancing accounts receivable $ 6,442 $ 5,660 |
Current Regulatory Balancing Accounts Payable | Balance at (in millions) March 31, 2024 December 31, 2023 Electric transmission $ 178 $ 200 Gas distribution and transmission 379 224 Energy procurement 408 77 Public purpose programs 391 299 SFGO sale 20 79 Wildfire-related accounts 163 125 Nuclear decommissioning adjustment mechanism 176 216 Other 446 449 Total regulatory balancing accounts payable $ 2,161 $ 1,669 |
DEBT (Tables)
DEBT (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Debt Disclosure [Abstract] | |
Schedule of Line of Credit Facilities | The following table summarizes PG&E Corporation’s and the Utility’s outstanding borrowings and availability under their credit facilities as of March 31, 2024: (in millions) Termination Maximum Facility Limit Loans Outstanding Letters of Credit Outstanding Facility Utility revolving credit facility June 2028 $ 4,400 (1) $ (595) $ (545) $ 3,260 Utility Receivables Securitization Program (2) June 2025 1,500 (3) (1,500) — — (3) PG&E Corporation revolving credit facility June 2026 500 — — 500 Total credit facilities $ 6,400 $ (2,095) $ (545) $ 3,760 (1) Includes a $2.0 billion letter of credit sublimit. (2) For more information on the Receivables Securitization Program, see “Variable Interest Entities” in Note 2 above. (3) The amount the Utility may borrow under the Receivables Securitization Program is limited to the lesser of the facility limit and the facility availability. The facility limit fluctuates between $1.25 billion and $1.5 billion depending on the periods set forth in the transaction documents. Further, the facility availability may vary based on the amount of accounts receivable that the Utility owns that are eligible for sale to the SPV and the portion of those accounts receivable that are sold to the SPV that are eligible for advances by the lenders under the Receivables Securitization Program. |
SB 901 SECURITIZATION AND CUS_2
SB 901 SECURITIZATION AND CUSTOMER CREDIT TRUST (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Debt Disclosure [Abstract] | |
Schedule of Financial Statement Impact of Securitization | The following tables illustrate the changes in the SB 901 securitization’s impact on the Utility’s regulatory assets and liabilities: SB 901 securitization regulatory asset (in millions) 2024 2023 Balance at January 1 $ 5,249 $ 5,378 Amortization (2) (49) Balance at March 31 $ 5,247 $ 5,329 SB 901 securitization regulatory liability (in millions) 2024 2023 Balance at January 1 $ (6,628) $ (5,800) Amortization 82 136 Additions (1) (4) (273) Balance at March 31 $ (6,550) $ (5,937) (1) |
EARNINGS PER SHARE (Tables)
EARNINGS PER SHARE (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Earnings Per Share [Abstract] | |
Schedule of Earnings Per Share, Diluted, by Common Class, Including Two Class Method | The following is a reconciliation of PG&E Corporation’s income available for common shareholders and weighted average common shares outstanding for calculating diluted EPS: Three Months Ended March 31, (in millions, except per share amounts) 2024 2023 Income available for common shareholders $ 732 $ 569 Weighted average common shares outstanding, basic 2,134 1,991 Add incremental shares from assumed conversions: Employee share-based compensation 5 4 Equity Units — 137 Weighted average common shares outstanding, diluted 2,139 2,132 Total income per common share, diluted $ 0.34 $ 0.27 |
DERIVATIVES (Tables)
DERIVATIVES (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Volumes of Outstanding Derivative Contracts | The volumes of the Utility’s outstanding derivatives were as follows: Contract Volume at Underlying Product Instruments March 31, 2024 December 31, 2023 Natural Gas (1) (MMBtus (2) ) Forwards, Futures and Swaps 210,862,229 196,063,296 Options 31,407,500 30,695,000 Electricity (MWh) Forwards, Futures and Swaps 8,392,963 9,169,967 Options 646,800 92,400 Congestion Revenue Rights (3) 162,810,719 170,465,674 (1) Amounts shown are for the combined positions of the electric fuels and core gas supply portfolios. (2) Million British Thermal Units. (3) CRRs are financial instruments that enable the holders to manage variability in electric energy congestion charges due to transmission grid limitations. |
Offsetting Liabilities | As of March 31, 2024, the Utility’s outstanding derivative balances were as follows: Commodity Risk (in millions) Gross Derivative Netting Cash Collateral Total Derivative Current assets – other $ 156 $ (6) $ 5 $ 155 Other noncurrent assets – other 254 — — 254 Current liabilities – other (126) 6 2 (118) Noncurrent liabilities – other (166) — — (166) Total commodity risk $ 118 $ — $ 7 $ 125 As of December 31, 2023, the Utility’s outstanding derivative balances were as follows: Commodity Risk (in millions) Gross Derivative Netting Cash Collateral Total Derivative Current assets – other $ 134 $ (8) $ 50 $ 176 Other noncurrent assets – other 280 — — 280 Current liabilities – other (172) 8 46 (118) Noncurrent liabilities – other (160) — — (160) Total commodity risk $ 82 $ — $ 96 $ 178 |
Offsetting Assets | As of March 31, 2024, the Utility’s outstanding derivative balances were as follows: Commodity Risk (in millions) Gross Derivative Netting Cash Collateral Total Derivative Current assets – other $ 156 $ (6) $ 5 $ 155 Other noncurrent assets – other 254 — — 254 Current liabilities – other (126) 6 2 (118) Noncurrent liabilities – other (166) — — (166) Total commodity risk $ 118 $ — $ 7 $ 125 As of December 31, 2023, the Utility’s outstanding derivative balances were as follows: Commodity Risk (in millions) Gross Derivative Netting Cash Collateral Total Derivative Current assets – other $ 134 $ (8) $ 50 $ 176 Other noncurrent assets – other 280 — — 280 Current liabilities – other (172) 8 46 (118) Noncurrent liabilities – other (160) — — (160) Total commodity risk $ 82 $ — $ 96 $ 178 |
FAIR VALUE MEASUREMENTS (Tables
FAIR VALUE MEASUREMENTS (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Fair Value Disclosures [Abstract] | |
Assets and Liabilities Measured at Fair Value on a Recurring Basis | Assets and liabilities measured at fair value on a recurring basis for PG&E Corporation and the Utility are summarized below. Assets held in rabbi trusts are held by PG&E Corporation and not the Utility. Fair Value Measurements At March 31, 2024 (in millions) Level 1 Level 2 Level 3 Netting (1) Total Assets: Short-term investments (2) $ 567 $ — $ — $ — $ 567 Nuclear decommissioning trusts Short-term investments 37 — — — 37 Global equity securities 2,283 — — — 2,283 Fixed-income securities 1,135 993 — — 2,128 Assets measured at NAV — — — — 20 Total nuclear decommissioning trusts (3) 3,455 993 — — 4,468 Customer credit trust Short-term investments 351 — — — 351 Global equity securities 47 — — — 47 Fixed-income securities 21 88 — — 109 Total customer credit trust 419 88 — — 507 Price risk management instruments (Note 8) Electricity — 15 385 — 400 Gas — 10 — (1) 9 Total price risk management instruments — 25 385 (1) 409 Rabbi trusts Short-term investments 103 — — — 103 Global equity securities 5 — — — 5 Life insurance contracts — 65 — — 65 Total rabbi trusts 108 65 — — 173 Long-term disability trust Short-term investments 7 — — — 7 Assets measured at NAV — — — — 131 Total long-term disability trust 7 — — — 138 TOTAL ASSETS $ 4,556 $ 1,171 $ 385 $ (1) $ 6,262 Liabilities: Price risk management instruments (Note 8) Electricity $ — $ 49 $ 240 $ (6) $ 283 Gas — 3 — (2) 1 TOTAL LIABILITIES $ — $ 52 $ 240 $ (8) $ 284 (1) Includes the effect of the contractual ability to settle contracts under master netting agreements and cash collateral. (2) Includes $438 million in money market funds to be used for the administration of wildfire liability self-insurance. For more information see “Self-insurance” in Note 10 below. (3) Represents amount before deducting $757 million primarily related to deferred taxes on appreciation of investment value. Fair Value Measurements December 31, 2023 (in millions) Level 1 Level 2 Level 3 Netting (1) Total Assets: Short-term investments $ 203 $ — $ — $ — $ 203 Nuclear decommissioning trusts Short-term investments 52 — — — 52 Global equity securities 2,144 — — — 2,144 Fixed-income securities 1,168 909 — — 2,077 Assets measured at NAV — — — — 18 Total nuclear decommissioning trusts (2) 3,364 909 — — 4,291 Customer credit trust Short-term investments 49 — — — 49 Global equity securities 71 — — — 71 Fixed-income securities 29 84 — — 113 Total customer credit trust 149 84 — — 233 Price risk management instruments (Note 8) Electricity — 7 404 (1) 410 Gas — 3 — 43 46 Total price risk management instruments — 10 404 42 456 Rabbi trusts Short-term investments 102 — — — 102 Global equity securities 5 — — — 5 Life insurance contracts — 65 — — 65 Total rabbi trusts 107 65 — — 172 Long-term disability trust Short-term investments 7 — — — 7 Assets measured at NAV — — — — 139 Total long-term disability trust 7 — — — 146 TOTAL ASSETS $ 3,830 $ 1,068 $ 404 $ 42 $ 5,501 Liabilities: Price risk management instruments (Note 8) Electricity $ — $ 43 $ 213 $ (6) $ 250 Gas — 76 — (48) 28 TOTAL LIABILITIES $ — $ 119 $ 213 $ (54) $ 278 (1) Includes the effect of the contractual ability to settle contracts under master netting agreements and cash collateral. (2) Represents amount before deducting $717 million, primarily related to deferred taxes on appreciation of investment value. |
Fair Value Measurement Inputs and Valuation Techniques | Fair Value at (in millions) At March 31, 2024 Valuation Unobservable Fair Value Measurement Assets Liabilities Range (1) /Weighted-Average Price (2) Congestion revenue rights $ 356 $ 145 Market approach CRR auction prices $ (3,804.15) - 16,696.90 / 1.44 Power purchase agreements $ 29 $ 95 Discounted cash flow Forward prices $ 0.77 - 154.60 / 54.02 (1) Represents price per MWh. (2) Unobservable inputs were weighted by the relative fair value of the instruments. Fair Value at (in millions) At December 31, 2023 Valuation Unobservable Fair Value Measurement Assets Liabilities Range (1) /Weighted-Average Price (2) Congestion revenue rights $ 357 $ 134 Market approach CRR auction prices $ (923.72) - 16,696.90 / 1.43 Power purchase agreements $ 47 $ 79 Discounted cash flow Forward prices $ 0.86 - 189.80 / 60.03 (1) Represents price per MWh. (2) Unobservable inputs were weighted by the relative fair value of the instruments. |
Level 3 Reconciliation | The following table presents the reconciliation for Level 3 price risk management instruments for the three months ended March 31, 2024 and 2023, respectively: Price Risk Management Instruments (in millions) 2024 2023 Asset balance as of January 1 $ 191 $ 199 Net realized and unrealized gains (losses): Included in regulatory assets and liabilities or balancing accounts (1) (46) 13 Asset balance as of March 31 $ 145 $ 212 (1) The costs related to price risk management activities are recovered through rates. Accordingly, unrealized gains and losses are deferred in regulatory liabilities and assets and net income is not impacted. |
Carrying Amount and Fair Value of Financial Instruments | The carrying amount and fair value of PG&E Corporation’s and the Utility’s long-term debt instruments were as follows (the table below excludes financial instruments with carrying values that approximate their fair values): At March 31, 2024 At December 31, 2023 (in millions) Carrying Amount Level 2 Fair Value Carrying Amount Level 2 Fair Value Debt (Note 4) PG&E Corporation (1) $ 4,343 $ 4,587 $ 4,548 $ 4,695 Utility 38,359 35,576 35,909 32,866 (1) As of March 31, 2024, the net carrying amount and the estimated fair value (Level 2) of the Convertible Notes were $2.1 billion and $2.2 billion, respectively. |
Schedule of Unrealized Gains (Losses) Related to Available-for-sale Investments | The following table provides a summary of equity securities and available-for-sale debt securities: (in millions) Amortized Total Total Total Fair As of March 31, 2024 Nuclear decommissioning trusts Short-term investments $ 37 $ — $ — $ 37 Global equity securities 378 1,937 (12) 2,303 Fixed-income securities 2,184 34 (90) 2,128 Total (1) $ 2,599 $ 1,971 $ (102) $ 4,468 As of December 31, 2023 Nuclear decommissioning trusts Short-term investments $ 52 $ — $ — $ 52 Global equity securities 381 1,792 (11) 2,162 Fixed-income securities 2,103 60 (86) 2,077 Total (1) $ 2,536 $ 1,852 $ (97) $ 4,291 (1) Represents amounts before deducting $757 million and $717 million as of March 31, 2024 and December 31, 2023, respectively, primarily related to deferred taxes on appreciation of investment value. |
Schedule of Available for Sale Securities Table | The fair value of fixed-income securities by contractual maturity is as follows: As of (in millions) March 31, 2024 Less than 1 year $ 28 1–5 years 694 5–10 years 435 More than 10 years 971 Total maturities of fixed-income securities $ 2,128 The following table provides a summary of equity securities and available-for-sale debt securities: (in millions) Amortized Total Total Total Fair As of March 31, 2024 Customer credit trust Short-term investments $ 351 $ — $ — $ 351 Global equity securities 34 14 (1) 47 Fixed-income securities 109 1 (1) 109 Total $ 494 $ 15 $ (2) $ 507 As of December 31, 2023 Customer credit trust Short-term investments $ 49 $ — $ — $ 49 Global equity securities 56 16 (1) 71 Fixed-income securities 111 2 — 113 Total $ 216 $ 18 $ (1) $ 233 |
Schedule of Activity for Debt and Equity Securities | The following table provides a summary of activity for the fixed-income and equity securities: Three Months Ended (in millions) 2024 2023 Proceeds from sales and maturities of nuclear decommissioning trust investments $ 457 $ 277 Gross realized gains on securities 41 5 Gross realized losses on securities (11) (8) The fair value of fixed-income securities by contractual maturity is as follows: As of (in millions) March 31, 2024 Less than 1 year $ — 1–5 years 15 5–10 years 29 More than 10 years 65 Total maturities of fixed-income securities $ 109 The following table provides a summary of activity for the fixed-income and equity securities: Three Months Ended March 31, (in millions) 2024 2023 Proceeds from sales and maturities of customer credit trust investments $ 81 $ 169 Gross realized gains on securities 8 2 Gross realized losses on securities (1) (5) |
WILDFIRE-RELATED CONTINGENCIES
WILDFIRE-RELATED CONTINGENCIES (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Commitments and Contingencies Disclosure [Abstract] | |
Summary of Wildfire-Related Claims | The following table presents the cumulative amounts PG&E Corporation and the Utility have paid through March 31, 2024. Payments (in millions) 2019 Kincade Fire $ 780 2020 Zogg Fire 392 2021 Dixie Fire 869 2022 Mosquito Fire 15 Total at March 31, 2024 $ 2,056 The following table presents changes in the lower end of the range of PG&E Corporation’s and the Utility’s reasonably estimable range of losses for claims arising from the 2019 Kincade fire since December 31, 2023. Loss Accrual (in millions) Balance at December 31, 2023 $ 458 Accrued Losses — Payments (113) Balance at March 31, 2024 $ 345 The following table presents changes in the best estimate of PG&E Corporation’s and the Utility’s reasonably estimable range of losses for claims arising from the 2020 Zogg fire since December 31, 2023. Loss Accrual (in millions) Balance at December 31, 2023 $ 10 Accrued Losses — Payments (2) Balance at March 31, 2024 $ 8 The following table presents changes in the lower end of the range of PG&E Corporation’s and the Utility’s reasonably estimable range of losses for claims arising from the 2021 Dixie fire since December 31, 2023. Loss Accrual (in millions) Balance at December 31, 2023 $ 870 Accrued Losses — Payments (138) Balance at March 31, 2024 $ 732 The following table presents changes in the lower end of the range of PG&E Corporation’s and the Utility’s reasonably estimable range of losses for claims arising from the 2022 Mosquito fire since December 31, 2023. Loss Accrual (in millions) Balance at December 31, 2023 $ 85 Accrued Losses — Payments — Balance at March 31, 2024 $ 85 Total probable recoveries for the 2021 Dixie fire and the 2022 Mosquito fire as of March 31, 2024 are: Potential Recovery Source (in millions) 2021 Dixie fire 2022 Mosquito fire Insurance $ 526 $ 68 FERC TO rates 92 8 WEMA 484 52 Wildfire Fund 600 — Probable recoveries at March 31, 2024 (1) $ 1,702 $ 128 (1) Includes legal costs of $96 million and $28 million related to the 2021 Dixie fire and 2022 Mosquito fire, respectively, as of March 31, 2024. The balances for insurance receivables with respect to wildfires are included in Other accounts receivable in PG&E Corporation’s and the Utility’s Condensed Consolidated Balance Sheets: Insurance Receivable (in millions) 2020 Zogg fire 2021 Dixie fire 2022 Mosquito fire Total Balance at December 31, 2023 $ 47 $ 326 $ 63 $ 436 Accrued insurance recoveries — — 5 5 Reimbursements (5) (75) — (80) Balance at March 31, 2024 $ 42 $ 251 $ 68 $ 361 |
OTHER CONTINGENCIES AND COMMI_2
OTHER CONTINGENCIES AND COMMITMENTS (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Commitments and Contingencies Disclosure [Abstract] | |
Schedule of Environmental Remediation Liability | The Utility’s environmental remediation liability is primarily included in Noncurrent liabilities on the Condensed Consolidated Balance Sheets and is comprised of the following: Balance at (in millions) March 31, 2024 December 31, 2023 Topock natural gas compressor station $ 293 $ 276 Hinkley natural gas compressor station 105 104 Former MGP sites owned by the Utility or third parties (1) 800 809 Utility-owned generation facilities (other than fossil fuel-fired), other facilities, and third-party disposal sites (2) 79 107 Fossil fuel-fired generation facilities and sites (3) 18 19 Total environmental remediation liability $ 1,295 $ 1,315 (1) Primarily driven by the following sites: San Francisco Beach Street, Napa, and San Francisco East Harbor. (2) Primarily driven by geothermal landfill and Shell Pond site. (3) Primarily driven by the San Francisco Potrero Power Plant. |
ORGANIZATION AND BASIS OF PRE_2
ORGANIZATION AND BASIS OF PRESENTATION (Details) | 3 Months Ended |
Mar. 31, 2024 numberOfSegment | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Number of operating segments (segment) | 1 |
SUMMARY OF SIGNIFICANT ACCOUN_4
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - 10Q Narrative (Details) ft² in Thousands | 3 Months Ended | |||||||||
Jan. 11, 2024 USD ($) | Oct. 18, 2022 USD ($) | Mar. 31, 2024 USD ($) ft² | Mar. 31, 2023 USD ($) | Dec. 31, 2023 USD ($) | Nov. 30, 2022 USD ($) | Jul. 20, 2022 USD ($) | May 10, 2022 USD ($) | Nov. 12, 2021 USD ($) | Jul. 12, 2019 | |
Public Utility, Property, Plant and Equipment [Line Items] | ||||||||||
Period for probable revenue recovery | 24 months | |||||||||
Credit losses | $ 70,000,000 | $ 139,000,000 | ||||||||
Regulatory assets | $ 16,333,000,000 | $ 17,189,000,000 | ||||||||
Government Assistance, Statement of Income or Comprehensive Income [Extensible Enumeration] | Operating and maintenance | |||||||||
Litigation liability, current | $ 193,000,000 | |||||||||
Wildfire Fund asset | 305,000,000 | 450,000,000 | ||||||||
Litigation contribution, net | 4,400,000,000 | |||||||||
Amortization and accretion | 78,000,000 | 117,000,000 | ||||||||
Insurance receivable | 361,000,000 | 436,000,000 | ||||||||
Performance-Based Disbursement | ||||||||||
Public Utility, Property, Plant and Equipment [Line Items] | ||||||||||
Disbursement | $ 7 | |||||||||
Maximum disbursement | 300,000,000 | |||||||||
Civil Nuclear Credit Program | ||||||||||
Public Utility, Property, Plant and Equipment [Line Items] | ||||||||||
Disbursement | $ 1,100,000,000 | |||||||||
Civil Nuclear Credit Program | Cost of Goods and Services Sold, Electricity | ||||||||||
Public Utility, Property, Plant and Equipment [Line Items] | ||||||||||
Reimbursement amount | 140,000,000 | |||||||||
Regulatory Balancing Accounts Receivable | ||||||||||
Public Utility, Property, Plant and Equipment [Line Items] | ||||||||||
Total regulatory balancing accounts | 6,442,000,000 | 5,660,000,000 | ||||||||
Regulatory Balancing Accounts Receivable | Residential uncollectibles balancing accounts | ||||||||||
Public Utility, Property, Plant and Equipment [Line Items] | ||||||||||
Total regulatory balancing accounts | 55,000,000 | 507,000,000 | ||||||||
Decrease in regulatory balancing accounts | 500,000,000 | |||||||||
COVID-19 pandemic protection memorandum account, undercollection bad debt | ||||||||||
Public Utility, Property, Plant and Equipment [Line Items] | ||||||||||
Regulatory assets | 6,000,000 | 5,000,000 | ||||||||
FERC | ||||||||||
Public Utility, Property, Plant and Equipment [Line Items] | ||||||||||
Regulatory assets | 79,000,000 | 78,000,000 | ||||||||
2021 Dixie fire | ||||||||||
Public Utility, Property, Plant and Equipment [Line Items] | ||||||||||
Insurance receivable | $ 251,000,000 | 326,000,000 | ||||||||
Wildfire Fund Asset | ||||||||||
Public Utility, Property, Plant and Equipment [Line Items] | ||||||||||
Finite-lived intangible asset, useful life | 20 years | 15 years | ||||||||
Other Current Liabilities | ||||||||||
Public Utility, Property, Plant and Equipment [Line Items] | ||||||||||
Wildfire fund, noncurrent | $ 752,000,000 | |||||||||
Other noncurrent assets – other | 2021 Dixie fire | ||||||||||
Public Utility, Property, Plant and Equipment [Line Items] | ||||||||||
Insurance receivable | 450,000,000 | |||||||||
Pacific Gas & Electric Co (Utility) | ||||||||||
Public Utility, Property, Plant and Equipment [Line Items] | ||||||||||
Regulatory assets | 16,333,000,000 | 17,189,000,000 | ||||||||
Wildfire Fund asset | 305,000,000 | 450,000,000 | ||||||||
Amortization and accretion | $ 78,000,000 | $ 117,000,000 | ||||||||
Pacific Gas & Electric Co (Utility) | The Lakeside Building | ||||||||||
Public Utility, Property, Plant and Equipment [Line Items] | ||||||||||
Rentable square feet | ft² | 910 | |||||||||
Pacific Gas & Electric Co (Utility) | Other noncurrent assets – other | 2021 Dixie fire | ||||||||||
Public Utility, Property, Plant and Equipment [Line Items] | ||||||||||
Insurance receivable | $ 150,000,000 | |||||||||
Senate Bill 846 | Pacific Gas & Electric Co (Utility) | ||||||||||
Public Utility, Property, Plant and Equipment [Line Items] | ||||||||||
Debt instrument, face amount | 1,100,000,000 | |||||||||
Senate Bill 846 | Pacific Gas & Electric Co (Utility) | Maximum | ||||||||||
Public Utility, Property, Plant and Equipment [Line Items] | ||||||||||
Debt instrument, face amount | $ 1,400,000,000 | |||||||||
Receivables Securitization Program | Pacific Gas & Electric Co (Utility) | ||||||||||
Public Utility, Property, Plant and Equipment [Line Items] | ||||||||||
Outstanding borrowings | 1,500,000,000 | 1,500,000,000 | ||||||||
Receivables Securitization Program | PG&E AR Facility, LLC (SPV) | ||||||||||
Public Utility, Property, Plant and Equipment [Line Items] | ||||||||||
Accounts receivable, net | 3,000,000,000 | 2,700,000,000 | ||||||||
Recovery Bonds | Secured Debt | ||||||||||
Public Utility, Property, Plant and Equipment [Line Items] | ||||||||||
Debt instrument, face amount | 1,800,000,000 | 1,800,000,000 | $ 860,000,000 | |||||||
Series 2022-A Recovery Bonds | ||||||||||
Public Utility, Property, Plant and Equipment [Line Items] | ||||||||||
Debt instrument, face amount | $ 983,000,000 | |||||||||
SB 901 Securitization | Secured Debt | ||||||||||
Public Utility, Property, Plant and Equipment [Line Items] | ||||||||||
Debt instrument, face amount | $ 7,300,000,000 | $ 7,300,000,000 | $ 3,900,000,000 | $ 3,600,000,000 |
SUMMARY OF SIGNIFICANT ACCOUN_5
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Revenues Disaggregated by Type of Customer) (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Disaggregation of Revenue [Abstract] | ||
Total operating revenues | $ 5,861 | $ 6,209 |
Electric | ||
Disaggregation of Revenue [Abstract] | ||
Total operating revenues | 4,052 | 4,119 |
Natural gas | ||
Disaggregation of Revenue [Abstract] | ||
Total operating revenues | 1,809 | 2,090 |
Pacific Gas & Electric Co (Utility) | ||
Disaggregation of Revenue [Abstract] | ||
Total operating revenues | 5,861 | 6,209 |
Pacific Gas & Electric Co (Utility) | Electric | ||
Disaggregation of Revenue [Abstract] | ||
Total operating revenues | 4,043 | 3,003 |
Regulatory balancing accounts | 9 | 1,116 |
Total operating revenues | 4,052 | 4,119 |
Pacific Gas & Electric Co (Utility) | Electric | Residential | ||
Disaggregation of Revenue [Abstract] | ||
Total operating revenues | 1,799 | 1,289 |
Pacific Gas & Electric Co (Utility) | Electric | Commercial | ||
Disaggregation of Revenue [Abstract] | ||
Total operating revenues | 1,505 | 1,144 |
Pacific Gas & Electric Co (Utility) | Electric | Industrial | ||
Disaggregation of Revenue [Abstract] | ||
Total operating revenues | 413 | 353 |
Pacific Gas & Electric Co (Utility) | Electric | Agricultural | ||
Disaggregation of Revenue [Abstract] | ||
Total operating revenues | 180 | 155 |
Pacific Gas & Electric Co (Utility) | Electric | Public street and highway lighting | ||
Disaggregation of Revenue [Abstract] | ||
Total operating revenues | 25 | 19 |
Pacific Gas & Electric Co (Utility) | Electric | Other, net | ||
Disaggregation of Revenue [Abstract] | ||
Total operating revenues | 121 | 43 |
Pacific Gas & Electric Co (Utility) | Natural gas | ||
Disaggregation of Revenue [Abstract] | ||
Total operating revenues | 2,301 | 2,687 |
Regulatory balancing accounts | (492) | (597) |
Total operating revenues | 1,809 | 2,090 |
Pacific Gas & Electric Co (Utility) | Natural gas | Residential | ||
Disaggregation of Revenue [Abstract] | ||
Total operating revenues | 1,517 | 1,883 |
Pacific Gas & Electric Co (Utility) | Natural gas | Commercial | ||
Disaggregation of Revenue [Abstract] | ||
Total operating revenues | 373 | 513 |
Pacific Gas & Electric Co (Utility) | Natural gas | Transportation service only | ||
Disaggregation of Revenue [Abstract] | ||
Total operating revenues | 475 | 444 |
Pacific Gas & Electric Co (Utility) | Natural gas | Other, net | ||
Disaggregation of Revenue [Abstract] | ||
Total operating revenues | $ (64) | $ (153) |
SUMMARY OF SIGNIFICANT ACCOUN_6
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - DWR Loan (Details) - DWR Loan - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Debt Instrument [Line Items] | ||
Beginning balance | $ 98 | $ 312 |
Proceeds received | 232 | 0 |
Ending balance | 296 | 279 |
Other Current Liabilities | ||
Debt Instrument [Line Items] | ||
Total deduction | (12) | 0 |
Performance-Based Disbursements | ||
Debt Instrument [Line Items] | ||
Total deduction | $ (22) | $ (33) |
SUMMARY OF SIGNIFICANT ACCOUN_7
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Components of Net Periodic Benefit Cost) (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Pension Benefits | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Service cost for benefits earned | $ 99 | $ 95 |
Interest cost | 229 | 228 |
Expected return on plan assets | (253) | (245) |
Amortization of prior service cost (credit) | (1) | (1) |
Amortization of net actuarial gain | 0 | 0 |
Net periodic benefit cost | 74 | 77 |
Regulatory account transfer | 10 | 6 |
Net periodic benefit cost | 84 | 83 |
Other Benefits | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Service cost for benefits earned | 10 | 10 |
Interest cost | 18 | 18 |
Expected return on plan assets | (35) | (33) |
Amortization of prior service cost (credit) | 1 | 1 |
Amortization of net actuarial gain | (6) | (5) |
Net periodic benefit cost | (12) | (9) |
Regulatory account transfer | 0 | 0 |
Net periodic benefit cost | $ (12) | $ (9) |
SUMMARY OF SIGNIFICANT ACCOUN_8
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Reclassifications Out of Accumulated Other Comprehensive Income) (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | ||
Beginning balance | $ 25,292 | $ 23,075 |
Loss on investments | (1) | 5 |
Net current period other comprehensive gain (loss) | (1) | 5 |
Ending balance | 25,983 | 23,586 |
Pension Benefits | ||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | ||
Amount attributable to tax, before reclassification | 0 | 0 |
Loss on investments | 0 | 0 |
Net current period other comprehensive gain (loss) | 0 | 0 |
Other Benefits | ||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | ||
Amount attributable to tax, before reclassification | 0 | 0 |
Loss on investments | 0 | 0 |
Net current period other comprehensive gain (loss) | 0 | 0 |
Customer Credit Trust | ||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | ||
Amount attributable to tax, before reclassification | 1 | 2 |
Loss on investments | (1) | 5 |
Net current period other comprehensive gain (loss) | (1) | 5 |
Accumulated Other Comprehensive Income (Loss) | ||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | ||
Beginning balance | (8) | 0 |
Ending balance | (9) | 5 |
Accumulated Other Comprehensive Income (Loss) | Pension Benefits | ||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | ||
Beginning balance | (28) | (12) |
Ending balance | (28) | (12) |
Accumulated Other Comprehensive Income (Loss) | Other Benefits | ||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | ||
Beginning balance | 18 | 18 |
Ending balance | 18 | 18 |
Accumulated Other Comprehensive Income (Loss) | Customer Credit Trust | ||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | ||
Beginning balance | 2 | (6) |
Ending balance | 1 | (1) |
Amortization of prior service cost | ||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | ||
Amounts reclassified from other comprehensive income | (1) | 0 |
Amortization of prior service cost | Pension Benefits | ||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | ||
Amount attributable to tax, reclassification | 0 | 0 |
Amounts reclassified from other comprehensive income | (1) | (1) |
Amortization of prior service cost | Other Benefits | ||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | ||
Amount attributable to tax, reclassification | 0 | 0 |
Amounts reclassified from other comprehensive income | 0 | 1 |
Amortization of prior service cost | Customer Credit Trust | ||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | ||
Amount attributable to tax, reclassification | 0 | 0 |
Amounts reclassified from other comprehensive income | 0 | 0 |
Amortization of net actuarial gain (loss) | ||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | ||
Amounts reclassified from other comprehensive income | (4) | (4) |
Amortization of net actuarial gain (loss) | Pension Benefits | ||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | ||
Amount attributable to tax, reclassification | 0 | 0 |
Amounts reclassified from other comprehensive income | 0 | 0 |
Amortization of net actuarial gain (loss) | Other Benefits | ||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | ||
Amount attributable to tax, reclassification | 1 | 1 |
Amounts reclassified from other comprehensive income | (4) | (4) |
Amortization of net actuarial gain (loss) | Customer Credit Trust | ||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | ||
Amount attributable to tax, reclassification | 0 | 0 |
Amounts reclassified from other comprehensive income | 0 | 0 |
Regulatory account transfer | ||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | ||
Amounts reclassified from other comprehensive income | 5 | 4 |
Regulatory account transfer | Pension Benefits | ||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | ||
Amount attributable to tax, reclassification | 0 | 0 |
Amounts reclassified from other comprehensive income | 1 | 1 |
Regulatory account transfer | Other Benefits | ||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | ||
Amount attributable to tax, reclassification | 1 | 1 |
Amounts reclassified from other comprehensive income | 4 | 3 |
Regulatory account transfer | Customer Credit Trust | ||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | ||
Amount attributable to tax, reclassification | 0 | 0 |
Amounts reclassified from other comprehensive income | $ 0 | $ 0 |
REGULATORY ASSETS, LIABILITIE_3
REGULATORY ASSETS, LIABILITIES, AND BALANCING ACCOUNTS (Long-Term Regulatory Assets) (Details) - USD ($) $ in Millions | Mar. 31, 2024 | Dec. 31, 2023 | Jun. 30, 2022 |
Regulatory Assets [Line Items] | |||
Regulatory assets | $ 16,333 | $ 17,189 | |
Pension benefits | |||
Regulatory Assets [Line Items] | |||
Regulatory assets | 339 | 348 | |
Environmental compliance costs | |||
Regulatory Assets [Line Items] | |||
Regulatory assets | 1,122 | 1,218 | |
Price risk management | |||
Regulatory Assets [Line Items] | |||
Regulatory assets | 166 | 160 | |
Catastrophic event memorandum account | |||
Regulatory Assets [Line Items] | |||
Regulatory assets | 1,031 | 1,074 | |
Wildfire expense memorandum account | |||
Regulatory Assets [Line Items] | |||
Regulatory assets | 2,455 | 2,915 | |
Deferred income taxes | |||
Regulatory Assets [Line Items] | |||
Regulatory assets | 3,748 | 3,543 | |
Financing costs | |||
Regulatory Assets [Line Items] | |||
Regulatory assets | 192 | 196 | |
SB 901 Securitization | |||
Regulatory Assets [Line Items] | |||
Regulatory assets | 5,247 | 5,249 | $ 5,500 |
General rate case memorandum accounts | |||
Regulatory Assets [Line Items] | |||
Regulatory assets | 992 | 1,291 | |
Other | |||
Regulatory Assets [Line Items] | |||
Regulatory assets | $ 1,041 | $ 1,195 |
REGULATORY ASSETS, LIABILITIE_4
REGULATORY ASSETS, LIABILITIES, AND BALANCING ACCOUNTS (Long-Term Regulatory Liabilities) (Details) - USD ($) $ in Millions | Mar. 31, 2024 | Dec. 31, 2023 | Jun. 30, 2022 |
Regulatory Liabilities [Line Items] | |||
Total noncurrent regulatory liabilities | $ 19,667 | $ 19,444 | |
Cost of removal obligations | |||
Regulatory Liabilities [Line Items] | |||
Total noncurrent regulatory liabilities | 8,355 | 8,191 | |
Public purpose programs | |||
Regulatory Liabilities [Line Items] | |||
Total noncurrent regulatory liabilities | 1,300 | 1,238 | |
Employee benefit plans | |||
Regulatory Liabilities [Line Items] | |||
Total noncurrent regulatory liabilities | 1,037 | 1,032 | |
Transmission tower wireless licenses | |||
Regulatory Liabilities [Line Items] | |||
Total noncurrent regulatory liabilities | 342 | 384 | |
SFGO sale | |||
Regulatory Liabilities [Line Items] | |||
Total noncurrent regulatory liabilities | 138 | 185 | |
SB 901 Securitization | |||
Regulatory Liabilities [Line Items] | |||
Total noncurrent regulatory liabilities | 6,550 | 6,628 | $ 5,540 |
Wildfire self-insurance | |||
Regulatory Liabilities [Line Items] | |||
Total noncurrent regulatory liabilities | 498 | 407 | |
Other | |||
Regulatory Liabilities [Line Items] | |||
Total noncurrent regulatory liabilities | $ 1,447 | $ 1,379 |
REGULATORY ASSETS, LIABILITIE_5
REGULATORY ASSETS, LIABILITIES, AND BALANCING ACCOUNTS (Current Regulatory Balancing Accounts, Net) (Details) - USD ($) $ in Millions | Mar. 31, 2024 | Dec. 31, 2023 |
Regulatory Balancing Accounts Payable | ||
Regulatory Assets [Line Items] | ||
Total regulatory balancing accounts | $ 2,161 | $ 1,669 |
Regulatory Balancing Accounts Receivable | ||
Regulatory Assets [Line Items] | ||
Total regulatory balancing accounts | 6,442 | 5,660 |
Electric distribution | Regulatory Balancing Accounts Receivable | ||
Regulatory Assets [Line Items] | ||
Total regulatory balancing accounts | 1,757 | 1,092 |
Electric transmission | Regulatory Balancing Accounts Payable | ||
Regulatory Assets [Line Items] | ||
Total regulatory balancing accounts | 178 | 200 |
Electric transmission | Regulatory Balancing Accounts Receivable | ||
Regulatory Assets [Line Items] | ||
Total regulatory balancing accounts | 105 | 99 |
Gas distribution and transmission | Regulatory Balancing Accounts Payable | ||
Regulatory Assets [Line Items] | ||
Total regulatory balancing accounts | 379 | 224 |
Gas distribution and transmission | Regulatory Balancing Accounts Receivable | ||
Regulatory Assets [Line Items] | ||
Total regulatory balancing accounts | 165 | 144 |
Energy procurement | Regulatory Balancing Accounts Payable | ||
Regulatory Assets [Line Items] | ||
Total regulatory balancing accounts | 408 | 77 |
Energy procurement | Regulatory Balancing Accounts Receivable | ||
Regulatory Assets [Line Items] | ||
Total regulatory balancing accounts | 1,122 | 1,002 |
Public purpose programs | Regulatory Balancing Accounts Payable | ||
Regulatory Assets [Line Items] | ||
Total regulatory balancing accounts | 391 | 299 |
Public purpose programs | Regulatory Balancing Accounts Receivable | ||
Regulatory Assets [Line Items] | ||
Total regulatory balancing accounts | 340 | 137 |
SFGO sale | Regulatory Balancing Accounts Payable | ||
Regulatory Assets [Line Items] | ||
Total regulatory balancing accounts | 20 | 79 |
Wildfire mitigation balancing account | Regulatory Balancing Accounts Payable | ||
Regulatory Assets [Line Items] | ||
Total regulatory balancing accounts | 163 | 125 |
Wildfire mitigation balancing account | Regulatory Balancing Accounts Receivable | ||
Regulatory Assets [Line Items] | ||
Total regulatory balancing accounts | 798 | 729 |
Insurance premium costs | Regulatory Balancing Accounts Receivable | ||
Regulatory Assets [Line Items] | ||
Total regulatory balancing accounts | 37 | 227 |
Residential uncollectibles balancing accounts | Regulatory Balancing Accounts Receivable | ||
Regulatory Assets [Line Items] | ||
Total regulatory balancing accounts | 55 | 507 |
Catastrophic event memorandum account | Regulatory Balancing Accounts Receivable | ||
Regulatory Assets [Line Items] | ||
Total regulatory balancing accounts | 374 | 413 |
General rate case memorandum accounts | Regulatory Balancing Accounts Receivable | ||
Regulatory Assets [Line Items] | ||
Total regulatory balancing accounts | 1,108 | 1,097 |
Nuclear decommissioning adjustment mechanism | Regulatory Balancing Accounts Payable | ||
Regulatory Assets [Line Items] | ||
Total regulatory balancing accounts | 176 | 216 |
Other | Regulatory Balancing Accounts Payable | ||
Regulatory Assets [Line Items] | ||
Total regulatory balancing accounts | 446 | 449 |
Other | Regulatory Balancing Accounts Receivable | ||
Regulatory Assets [Line Items] | ||
Total regulatory balancing accounts | $ 581 | $ 213 |
DEBT (Outstanding Borrowings an
DEBT (Outstanding Borrowings and Availability) (Details) - USD ($) | Mar. 31, 2024 | Dec. 31, 2023 |
Revolving Credit Facility | ||
Debt [Line Items] | ||
Line of credit facility, maximum borrowing capacity | $ 6,400,000,000 | |
Loans Outstanding | (2,095,000,000) | |
Letters of Credit Outstanding | (545,000,000) | |
Facility Availability | 3,760,000,000 | |
Revolving Credit Facility | PG&E Corporation | ||
Debt [Line Items] | ||
Line of credit facility, maximum borrowing capacity | 500,000,000 | |
Loans Outstanding | 0 | |
Letters of Credit Outstanding | 0 | |
Facility Availability | 500,000,000 | |
Revolving Credit Facility | Pacific Gas & Electric Co (Utility) | ||
Debt [Line Items] | ||
Line of credit facility, maximum borrowing capacity | 4,400,000,000 | |
Loans Outstanding | (595,000,000) | |
Letters of Credit Outstanding | (545,000,000) | |
Facility Availability | 3,260,000,000 | |
Letter of credit sublimit | 2,000,000,000 | |
Receivables Securitization Program | Pacific Gas & Electric Co (Utility) | ||
Debt [Line Items] | ||
Line of credit facility, maximum borrowing capacity | 1,500,000,000 | |
Loans Outstanding | (1,500,000,000) | $ (1,500,000,000) |
Letters of Credit Outstanding | 0 | |
Facility Availability | 0 | |
Receivables Securitization Program | Pacific Gas & Electric Co (Utility) | Minimum | ||
Debt [Line Items] | ||
Line of credit facility, maximum borrowing capacity | 1,250,000,000 | |
Receivables Securitization Program | Pacific Gas & Electric Co (Utility) | Maximum | ||
Debt [Line Items] | ||
Line of credit facility, maximum borrowing capacity | $ 1,500,000,000 |
DEBT (Narrative) (Details)
DEBT (Narrative) (Details) - USD ($) $ in Millions | Apr. 16, 2024 | Feb. 28, 2024 | Dec. 04, 2023 |
2 Year Term Loan | Pacific Gas & Electric Co (Utility) | Subsequent Event | |||
Debt [Line Items] | |||
Debt instrument, face amount | $ 400 | ||
364-Day 2023 Tranche Loans | Pacific Gas & Electric Co (Utility) | Subsequent Event | |||
Debt [Line Items] | |||
Debt instrument, face amount | 125 | ||
364 Day 2024 Term Loan | Pacific Gas & Electric Co (Utility) | Subsequent Event | |||
Debt [Line Items] | |||
Debt instrument, face amount | $ 525 | ||
364 Day 2024 Term Loan | Pacific Gas & Electric Co (Utility) | Subsequent Event | SOFR | |||
Debt [Line Items] | |||
Credit spread adjustment | 0.10% | ||
Basis spread on variable rate | 1.375% | ||
364 Day 2024 Term Loan | Pacific Gas & Electric Co (Utility) | Subsequent Event | Base Rate | |||
Debt [Line Items] | |||
Basis spread on variable rate | 0.375% | ||
First Mortgage Bonds Due 2029 | Pacific Gas & Electric Co (Utility) | |||
Debt [Line Items] | |||
Debt instrument, face amount | $ 850 | ||
Interest rate | 5.55% | ||
First Mortgage Bonds Due 2034 | Pacific Gas & Electric Co (Utility) | |||
Debt [Line Items] | |||
Debt instrument, face amount | $ 1,100 | ||
Interest rate | 5.80% | ||
First Mortgage Bonds Due 2053 | Pacific Gas & Electric Co (Utility) | |||
Debt [Line Items] | |||
Debt instrument, face amount | $ 300 | ||
Interest rate | 6.75% | ||
Convertible Notes Due 2027 | PG&E Corporation | Secured Debt | |||
Debt [Line Items] | |||
Debt instrument, face amount | $ 2,150 | ||
Interest rate | 4.25% |
SB 901 SECURITIZATION AND CUS_3
SB 901 SECURITIZATION AND CUSTOMER CREDIT TRUST (Narrative) (Details) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | |||||
Mar. 28, 2024 | Mar. 31, 2024 | Mar. 31, 2023 | Jun. 30, 2022 | Dec. 31, 2024 | Dec. 31, 2022 | Dec. 31, 2023 | |
Debt [Line Items] | |||||||
Regulatory assets | $ 16,333 | $ 17,189 | |||||
Regulatory liabilities | 19,667 | 19,444 | |||||
SB 901 securitization charges, net | 0 | $ 273 | |||||
SB 901 Securitization | |||||||
Debt [Line Items] | |||||||
Regulatory liabilities | 6,550 | $ 5,540 | 6,628 | ||||
SB 901 Securitization | Secured Debt | |||||||
Debt [Line Items] | |||||||
Initial shareholder contribution | $ 350 | 2,000 | $ 1,000 | ||||
Additional contributions funded by tax benefits | 7,590 | ||||||
SB 901 securitization charges, net | 273 | ||||||
Amortization of regulatory asset and liability | 80 | $ 87 | |||||
SB 901 Securitization | Secured Debt | Forecast | |||||||
Debt [Line Items] | |||||||
Initial shareholder contribution | $ 650 | ||||||
Nothern California Wild Fire | |||||||
Debt [Line Items] | |||||||
Loss contingency, costs incurred | 7,500 | ||||||
SB 901 Securitization | |||||||
Debt [Line Items] | |||||||
Regulatory assets | $ 5,247 | $ 5,500 | $ 5,249 |
SB 901 SECURITIZATION AND CUS_4
SB 901 SECURITIZATION AND CUSTOMER CREDIT TRUST (Financial Statement Impact) (Details) - USD ($) $ in Millions | 3 Months Ended | |||
Mar. 31, 2024 | Mar. 31, 2023 | Dec. 31, 2023 | Dec. 31, 2022 | |
Debt [Line Items] | ||||
Regulatory assets | $ 16,333 | $ 17,189 | ||
Ending balance | 16,333 | |||
Beginning balance | (19,444) | |||
Ending balance | (19,667) | |||
SB 901 Securitization Inception | ||||
Debt [Line Items] | ||||
Beginning balance | (6,628) | $ (5,800) | ||
Amortization | 82 | 136 | ||
Additions | (4) | (273) | ||
Ending balance | (6,550) | (5,937) | ||
SB 901 Securitization Inception | Customer credit trust | ||||
Debt [Line Items] | ||||
Additions | (4) | 0 | ||
SB 901 Securitization Inception | ||||
Debt [Line Items] | ||||
Regulatory assets | 5,247 | 5,329 | $ 5,249 | $ 5,378 |
Amortization | (2) | (49) | ||
Ending balance | $ 5,247 | $ 5,329 |
EQUITY (Narrative) (Details)
EQUITY (Narrative) (Details) - USD ($) $ / shares in Units, $ in Millions | 3 Months Ended | |||
Mar. 25, 2024 | Feb. 13, 2024 | Mar. 31, 2024 | Mar. 31, 2023 | |
Schedule Of Changes In Equity [Line Items] | ||||
Equity capital structure percentage | 52% | |||
Preferred stock dividend requirement | $ 3 | $ 3 | ||
Common stock dividends declared | $ 21 | 22 | ||
Common stock dividend declared (in dollars per share) | $ 0.01 | |||
Pacific Gas & Electric Co (Utility) | ||||
Schedule Of Changes In Equity [Line Items] | ||||
Preferred stock dividend requirement | $ 3.5 | $ 3 | $ 3 | |
Common stock dividends declared | $ 450 |
EARNINGS PER SHARE (Reconciliat
EARNINGS PER SHARE (Reconciliation of PG&E Corporation's Income Available for Common Shareholders and Weighted Average Shares of Common Stock Outstanding for Calculating Diluted EPS) (Details) - USD ($) $ / shares in Units, shares in Millions, $ in Millions | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Earnings Per Share [Abstract] | ||
Income (loss) available for common shareholders | $ 732 | $ 569 |
Weighted average common shares outstanding, basic (in shares) | 2,134 | 1,991 |
Add incremental shares from assumed conversions: | ||
Employee share-based compensation (in shares) | 5 | 4 |
Equity Units (in shares) | 0 | 137 |
Weighted average common share outstanding, diluted (in shares) | 2,139 | 2,132 |
Total earnings (loss) per common share, diluted (in dollars per share) | $ 0.34 | $ 0.27 |
DERIVATIVES (Narrative) (Detail
DERIVATIVES (Narrative) (Details) | Mar. 31, 2024 | Dec. 31, 2023 |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | ||
Derivative Asset, Statement of Financial Position [Extensible Enumeration] | Regulatory assets | Regulatory assets |
DERIVATIVES (Volumes of Outstan
DERIVATIVES (Volumes of Outstanding Derivative Contracts) (Details) | Mar. 31, 2024 MMBTU MWh | Dec. 31, 2023 MMBTU MWh |
Forwards, Futures and Swaps | Natural Gas (MMBtus) | ||
Derivative [Line Items] | ||
Contract Volume | 210,862,229 | 196,063,296 |
Forwards, Futures and Swaps | Electricity (MWh) | ||
Derivative [Line Items] | ||
Contract Volume | MWh | 8,392,963 | 9,169,967 |
Options | Natural Gas (MMBtus) | ||
Derivative [Line Items] | ||
Contract Volume | 31,407,500 | 30,695,000 |
Options | Electricity (MWh) | ||
Derivative [Line Items] | ||
Contract Volume | 646,800 | 92,400 |
Congested Revenue Rights | Electricity (MWh) | ||
Derivative [Line Items] | ||
Contract Volume | MWh | 162,810,719 | 170,465,674 |
DERIVATIVES (Outstanding Deriva
DERIVATIVES (Outstanding Derivative Balances) (Details) - Commodity Contract - Pacific Gas & Electric Co (Utility) - USD ($) $ in Millions | Mar. 31, 2024 | Dec. 31, 2023 |
Derivatives And Hedging Activities [Line Items] | ||
Netting | $ 118 | $ 82 |
Netting | 0 | 0 |
Cash Collateral | 7 | 96 |
Total Derivative Balance | 125 | 178 |
Current assets – other | ||
Derivatives And Hedging Activities [Line Items] | ||
Netting | 156 | 134 |
Netting | (6) | (8) |
Cash Collateral | 5 | 50 |
Total Derivative Balance | 155 | 176 |
Other noncurrent assets – other | ||
Derivatives And Hedging Activities [Line Items] | ||
Netting | 254 | 280 |
Netting | 0 | 0 |
Cash Collateral | 0 | 0 |
Total Derivative Balance | 254 | 280 |
Current liabilities – other | ||
Derivatives And Hedging Activities [Line Items] | ||
Gross Derivative Balance | (126) | (172) |
Netting | 6 | 8 |
Cash Collateral | 2 | 46 |
Total Derivative Balance | (118) | (118) |
Noncurrent liabilities – other | ||
Derivatives And Hedging Activities [Line Items] | ||
Gross Derivative Balance | (166) | (160) |
Netting | 0 | 0 |
Cash Collateral | 0 | 0 |
Total Derivative Balance | $ (166) | $ (160) |
FAIR VALUE MEASUREMENTS (Assets
FAIR VALUE MEASUREMENTS (Assets and Liabilities Measured at Fair Value on a Recurring Basis) (Details) - USD ($) $ in Millions | Mar. 31, 2024 | Dec. 31, 2023 |
Assets: | ||
Price risk management instruments, netting | $ (1) | $ 42 |
Price risk management instruments, assets | 409 | 456 |
TOTAL ASSETS | 6,262 | 5,501 |
Liabilities: | ||
Price risk management instruments, netting | (8) | (54) |
TOTAL LIABILITIES | 284 | 278 |
Amount primarily related to deferred taxes on appreciation of investment value | 757 | 717 |
Short-term investments (2) | ||
Assets: | ||
Short-term investments (2) | 567 | 203 |
Short-term investments (2) | Wildfire self-insurance | ||
Assets: | ||
Short-term investments (2) | 438 | |
Nuclear decommissioning trusts | ||
Assets: | ||
Short-term investments (2) | 37 | 52 |
Global equity securities | 2,283 | 2,144 |
Fixed-income securities | 2,128 | 2,077 |
TOTAL ASSETS | 4,468 | 4,291 |
Customer credit trust | ||
Assets: | ||
Short-term investments (2) | 351 | 49 |
Global equity securities | 47 | 71 |
Fixed-income securities | 109 | 113 |
TOTAL ASSETS | 507 | 233 |
Rabbi trusts | ||
Assets: | ||
Short-term investments (2) | 103 | 102 |
Global equity securities | 5 | 5 |
Life insurance contracts | 65 | 65 |
TOTAL ASSETS | 173 | 172 |
Long-term disability trust | ||
Assets: | ||
Short-term investments (2) | 7 | 7 |
TOTAL ASSETS | 138 | 146 |
Electricity | ||
Assets: | ||
Price risk management instruments, netting | 0 | (1) |
Price risk management instruments, assets | 400 | 410 |
Liabilities: | ||
Price risk management instruments, netting | (6) | (6) |
Price risk management instruments, liabilities | 283 | 250 |
Gas | ||
Assets: | ||
Price risk management instruments, netting | (1) | 43 |
Price risk management instruments, assets | 9 | 46 |
Liabilities: | ||
Price risk management instruments, netting | (2) | (48) |
Price risk management instruments, liabilities | 1 | 28 |
Level 1 | ||
Assets: | ||
Price risk management instruments, gross subject to netting | 0 | 0 |
TOTAL ASSETS | 4,556 | 3,830 |
Liabilities: | ||
TOTAL LIABILITIES | 0 | 0 |
Level 1 | Short-term investments (2) | ||
Assets: | ||
Short-term investments (2) | 567 | 203 |
Level 1 | Nuclear decommissioning trusts | ||
Assets: | ||
Short-term investments (2) | 37 | 52 |
Global equity securities | 2,283 | 2,144 |
Fixed-income securities | 1,135 | 1,168 |
TOTAL ASSETS | 3,455 | 3,364 |
Level 1 | Customer credit trust | ||
Assets: | ||
Short-term investments (2) | 351 | 49 |
Global equity securities | 47 | 71 |
Fixed-income securities | 21 | 29 |
TOTAL ASSETS | 419 | 149 |
Level 1 | Rabbi trusts | ||
Assets: | ||
Short-term investments (2) | 103 | 102 |
Global equity securities | 5 | 5 |
Life insurance contracts | 0 | 0 |
TOTAL ASSETS | 108 | 107 |
Level 1 | Long-term disability trust | ||
Assets: | ||
Short-term investments (2) | 7 | 7 |
TOTAL ASSETS | 7 | 7 |
Level 1 | Electricity | ||
Assets: | ||
Price risk management instruments, gross subject to netting | 0 | 0 |
Liabilities: | ||
Price risk management instruments, gross subject to netting | 0 | 0 |
Level 1 | Gas | ||
Assets: | ||
Price risk management instruments, gross subject to netting | 0 | 0 |
Liabilities: | ||
Price risk management instruments, gross subject to netting | 0 | 0 |
Level 2 | ||
Assets: | ||
Price risk management instruments, gross subject to netting | 25 | 10 |
TOTAL ASSETS | 1,171 | 1,068 |
Liabilities: | ||
TOTAL LIABILITIES | 52 | 119 |
Level 2 | Short-term investments (2) | ||
Assets: | ||
Short-term investments (2) | 0 | 0 |
Level 2 | Nuclear decommissioning trusts | ||
Assets: | ||
Short-term investments (2) | 0 | 0 |
Global equity securities | 0 | 0 |
Fixed-income securities | 993 | 909 |
TOTAL ASSETS | 993 | 909 |
Level 2 | Customer credit trust | ||
Assets: | ||
Short-term investments (2) | 0 | 0 |
Global equity securities | 0 | 0 |
Fixed-income securities | 88 | 84 |
TOTAL ASSETS | 88 | 84 |
Level 2 | Rabbi trusts | ||
Assets: | ||
Short-term investments (2) | 0 | 0 |
Global equity securities | 0 | 0 |
Life insurance contracts | 65 | 65 |
TOTAL ASSETS | 65 | 65 |
Level 2 | Long-term disability trust | ||
Assets: | ||
Short-term investments (2) | 0 | 0 |
TOTAL ASSETS | 0 | 0 |
Level 2 | Electricity | ||
Assets: | ||
Price risk management instruments, gross subject to netting | 15 | 7 |
Liabilities: | ||
Price risk management instruments, gross subject to netting | 49 | 43 |
Level 2 | Gas | ||
Assets: | ||
Price risk management instruments, gross subject to netting | 10 | 3 |
Liabilities: | ||
Price risk management instruments, gross subject to netting | 3 | 76 |
Level 3 | ||
Assets: | ||
Price risk management instruments, gross subject to netting | 385 | 404 |
TOTAL ASSETS | 385 | 404 |
Liabilities: | ||
TOTAL LIABILITIES | 240 | 213 |
Level 3 | Short-term investments (2) | ||
Assets: | ||
Short-term investments (2) | 0 | 0 |
Level 3 | Nuclear decommissioning trusts | ||
Assets: | ||
Short-term investments (2) | 0 | 0 |
Global equity securities | 0 | 0 |
Fixed-income securities | 0 | 0 |
TOTAL ASSETS | 0 | 0 |
Level 3 | Customer credit trust | ||
Assets: | ||
Short-term investments (2) | 0 | 0 |
Global equity securities | 0 | 0 |
Fixed-income securities | 0 | 0 |
TOTAL ASSETS | 0 | 0 |
Level 3 | Rabbi trusts | ||
Assets: | ||
Short-term investments (2) | 0 | 0 |
Global equity securities | 0 | 0 |
Life insurance contracts | 0 | 0 |
TOTAL ASSETS | 0 | 0 |
Level 3 | Long-term disability trust | ||
Assets: | ||
Short-term investments (2) | 0 | 0 |
TOTAL ASSETS | 0 | 0 |
Level 3 | Electricity | ||
Assets: | ||
Price risk management instruments, gross subject to netting | 385 | 404 |
Liabilities: | ||
Price risk management instruments, gross subject to netting | 240 | 213 |
Level 3 | Gas | ||
Assets: | ||
Price risk management instruments, gross subject to netting | 0 | 0 |
Liabilities: | ||
Price risk management instruments, gross subject to netting | 0 | 0 |
Assets measured at NAV | Nuclear decommissioning trusts | ||
Assets: | ||
Assets measured at NAV | 20 | 18 |
Assets measured at NAV | Long-term disability trust | ||
Assets: | ||
Assets measured at NAV | $ 131 | $ 139 |
FAIR VALUE MEASUREMENTS (Level
FAIR VALUE MEASUREMENTS (Level 3 Measurements and Sensitivity Analysis) (Details) $ in Millions | Mar. 31, 2024 USD ($) $ / shares | Dec. 31, 2023 USD ($) $ / shares |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets | $ | $ 409 | $ 456 |
Market approach | Congested Revenue Rights | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets | $ | 356 | 357 |
Liabilities | $ | 145 | 134 |
Discounted cash flow | Power purchase agreements | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets | $ | 29 | 47 |
Liabilities | $ | $ 95 | $ 79 |
CRR auction prices | Market approach | Congested Revenue Rights | Minimum | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Range (in dollars per mwh) | (3,804.15) | (923.72) |
CRR auction prices | Market approach | Congested Revenue Rights | Maximum | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Range (in dollars per mwh) | 16,696.9 | 16,696.9 |
CRR auction prices | Market approach | Congested Revenue Rights | Weighted average price | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Range (in dollars per mwh) | 1.44 | 1.43 |
Forward prices | Discounted cash flow | Power purchase agreements | Minimum | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Range (in dollars per mwh) | 0.77 | 0.86 |
Forward prices | Discounted cash flow | Power purchase agreements | Maximum | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Range (in dollars per mwh) | 154.60 | 189.80 |
Forward prices | Discounted cash flow | Power purchase agreements | Weighted average price | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Range (in dollars per mwh) | 54.02 | 60.03 |
FAIR VALUE MEASUREMENTS (Leve_2
FAIR VALUE MEASUREMENTS (Level 3 Reconciliation) (Details) - Level 3 - Price risk management instruments - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Asset (Liability) balance, beginning of period | $ 191 | $ 199 |
Included in regulatory assets and liabilities or balancing accounts | (46) | 13 |
Asset balance, end of period | $ 145 | $ 212 |
FAIR VALUE MEASUREMENTS (Carryi
FAIR VALUE MEASUREMENTS (Carrying Amount and Fair Value of Financial Instruments) (Details) - USD ($) $ in Millions | Mar. 31, 2024 | Dec. 31, 2023 |
Carrying Amount | ||
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||
Debt financial instrument | $ 4,343 | $ 4,548 |
Carrying Amount | Convertible Notes Due 2027 | Secured Debt | ||
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||
Debt financial instrument | 2,100 | |
Carrying Amount | Pacific Gas & Electric Co (Utility) | ||
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||
Debt financial instrument | 38,359 | 35,909 |
Level 2 | Fair Value | ||
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||
Debt financial instrument | 4,587 | 4,695 |
Level 2 | Fair Value | Convertible Notes Due 2027 | Secured Debt | ||
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||
Debt financial instrument | 2,200 | |
Level 2 | Fair Value | Pacific Gas & Electric Co (Utility) | ||
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||
Debt financial instrument | $ 35,576 | $ 32,866 |
FAIR VALUE MEASUREMENTS (Schedu
FAIR VALUE MEASUREMENTS (Schedule of Unrealized Gains Losses Related to Available-for-sale Investments) (Details) - USD ($) $ in Millions | Mar. 31, 2024 | Dec. 31, 2023 |
Debt Securities, Available-for-sale [Line Items] | ||
Amount primarily related to deferred taxes on appreciation of investment value | $ 757 | $ 717 |
Nuclear decommissioning trusts | ||
Debt Securities, Available-for-sale [Line Items] | ||
Amortized Cost | 2,599 | 2,536 |
Total Unrealized Gains | 1,971 | 1,852 |
Total Unrealized Losses | (102) | (97) |
Total Fair Value | 4,468 | 4,291 |
Nuclear decommissioning trusts | Short-term investments | ||
Debt Securities, Available-for-sale [Line Items] | ||
Amortized Cost | 37 | 52 |
Total Unrealized Gains | 0 | 0 |
Total Unrealized Losses | 0 | 0 |
Total Fair Value | 37 | 52 |
Nuclear decommissioning trusts | Global equity securities | ||
Debt Securities, Available-for-sale [Line Items] | ||
Amortized Cost | 378 | 381 |
Total Unrealized Gains | 1,937 | 1,792 |
Total Unrealized Losses | (12) | (11) |
Total Fair Value | 2,303 | 2,162 |
Nuclear decommissioning trusts | Fixed-income securities | ||
Debt Securities, Available-for-sale [Line Items] | ||
Amortized Cost | 2,184 | 2,103 |
Total Unrealized Gains | 34 | 60 |
Total Unrealized Losses | (90) | (86) |
Total Fair Value | 2,128 | 2,077 |
Customer credit trust | ||
Debt Securities, Available-for-sale [Line Items] | ||
Amortized Cost | 494 | 216 |
Total Unrealized Gains | 15 | 18 |
Total Unrealized Losses | (2) | (1) |
Total Fair Value | 507 | 233 |
Customer credit trust | Short-term investments | ||
Debt Securities, Available-for-sale [Line Items] | ||
Amortized Cost | 351 | 49 |
Total Unrealized Gains | 0 | 0 |
Total Unrealized Losses | 0 | 0 |
Total Fair Value | 351 | 49 |
Customer credit trust | Global equity securities | ||
Debt Securities, Available-for-sale [Line Items] | ||
Amortized Cost | 34 | 56 |
Total Unrealized Gains | 14 | 16 |
Total Unrealized Losses | (1) | (1) |
Total Fair Value | 47 | 71 |
Customer credit trust | Fixed-income securities | ||
Debt Securities, Available-for-sale [Line Items] | ||
Amortized Cost | 109 | 111 |
Total Unrealized Gains | 1 | 2 |
Total Unrealized Losses | (1) | 0 |
Total Fair Value | $ 109 | $ 113 |
FAIR VALUE MEASUREMENTS (Sche_2
FAIR VALUE MEASUREMENTS (Schedule of Maturities on Debt Securities) (Details) - USD ($) $ in Millions | Mar. 31, 2024 | Dec. 31, 2023 |
Nuclear decommissioning trusts | ||
Debt Securities, Available-for-sale [Line Items] | ||
Total maturities of fixed-income securities | $ 4,468 | $ 4,291 |
Nuclear decommissioning trusts | Fixed-income securities | ||
Debt Securities, Available-for-sale [Line Items] | ||
Less than 1 year | 28 | |
1–5 years | 694 | |
5–10 years | 435 | |
More than 10 years | 971 | |
Total maturities of fixed-income securities | 2,128 | 2,077 |
Customer credit trust | ||
Debt Securities, Available-for-sale [Line Items] | ||
Total maturities of fixed-income securities | 507 | 233 |
Customer credit trust | Fixed-income securities | ||
Debt Securities, Available-for-sale [Line Items] | ||
Less than 1 year | 0 | |
1–5 years | 15 | |
5–10 years | 29 | |
More than 10 years | 65 | |
Total maturities of fixed-income securities | $ 109 | $ 113 |
FAIR VALUE MEASUREMENTS (Sche_3
FAIR VALUE MEASUREMENTS (Schedule of Activity for Debt and Equity Securities) (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Proceeds from sales and maturities of nuclear decommissioning trust investments | $ 457 | $ 277 |
Nuclear decommissioning trusts | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Proceeds from sales and maturities of nuclear decommissioning trust investments | 457 | 277 |
Gross realized gains on securities | 41 | 5 |
Gross realized losses on securities | (11) | (8) |
Customer credit trust | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Proceeds from sales and maturities of nuclear decommissioning trust investments | 81 | 169 |
Gross realized gains on securities | 8 | 2 |
Gross realized losses on securities | $ (1) | $ (5) |
WILDFIRE-RELATED CONTINGENCIE_2
WILDFIRE-RELATED CONTINGENCIES - Litigation Payments (Details) $ in Millions | Mar. 31, 2024 USD ($) |
Loss Contingencies [Line Items] | |
Litigation payment | $ 2,056 |
2019 Kincade Fire | |
Loss Contingencies [Line Items] | |
Litigation payment | 780 |
2020 Zogg fire | |
Loss Contingencies [Line Items] | |
Litigation payment | 392 |
2021 Dixie fire | |
Loss Contingencies [Line Items] | |
Litigation payment | 869 |
2022 Mosquito fire | |
Loss Contingencies [Line Items] | |
Litigation payment | $ 15 |
WILDFIRE-RELATED CONTINGENCIE_3
WILDFIRE-RELATED CONTINGENCIES (2019 Kincade Fire, 2020 Zogg Fire, 2021 Dixie Fire and 2022 Mosquito Fire) (Details) numberOfPeople in Millions, $ in Millions | 3 Months Ended | |||||||||||
Oct. 18, 2023 USD ($) | Jan. 05, 2022 USD ($) | Jul. 13, 2021 USD ($) a injury structure | Nov. 04, 2019 numberOfPeople | Mar. 31, 2024 USD ($) | Apr. 17, 2024 complaint plaintiff numberOfClaimHolder notice | Dec. 31, 2023 USD ($) | Oct. 09, 2023 USD ($) | Sep. 06, 2022 a structure numberOfFatality injury | Aug. 31, 2022 USD ($) | Sep. 27, 2020 a fatality injury structure | Oct. 23, 2019 a numberOfFatality structure injury | |
2019 Kincade Fire | ||||||||||||
Loss Contingencies [Line Items] | ||||||||||||
Number of acres burned (acre) | a | 77,758 | |||||||||||
Number of fatalities (fatality) | numberOfFatality | 0 | |||||||||||
Number of injuries | injury | 4 | |||||||||||
Number of structures destroyed (structure) | structure | 374 | |||||||||||
Number of structures damaged (structure) | structure | 60 | |||||||||||
Number of people part of mandatory evacuation order | numberOfPeople | 0.2 | |||||||||||
Fire fighting costs recovery requested | $ 90 | |||||||||||
Loss contingency liability | $ 1,125 | |||||||||||
Insurance receivable | $ 430 | |||||||||||
2020 Zogg fire | ||||||||||||
Loss Contingencies [Line Items] | ||||||||||||
Number of acres burned (acre) | a | 56,338 | |||||||||||
Number of fatalities (fatality) | fatality | 4 | |||||||||||
Number of injuries | injury | 1 | |||||||||||
Number of structures destroyed (structure) | structure | 204 | |||||||||||
Number of structures damaged (structure) | structure | 27 | |||||||||||
Insurance receivable | $ 374 | |||||||||||
Potential loss contingency | 400 | |||||||||||
Liability insurance coverage | 611 | |||||||||||
Initial self-insured retention per occurrence | 60 | |||||||||||
Legal fees | 34 | |||||||||||
Insurance Coverage for Wildfire Events | ||||||||||||
Loss Contingencies [Line Items] | ||||||||||||
Liability insurance coverage | $ 600 | |||||||||||
Initial self-insured retention per occurrence | 60 | |||||||||||
2021 Dixie fire | ||||||||||||
Loss Contingencies [Line Items] | ||||||||||||
Number of acres burned (acre) | a | 963,309 | |||||||||||
Number of structures destroyed (structure) | structure | 1,311 | |||||||||||
Number of structures damaged (structure) | structure | 94 | |||||||||||
Insurance receivable | 526 | |||||||||||
Liability insurance coverage | 900 | |||||||||||
Number of residential structures destroyed (structure) | structure | 763 | |||||||||||
Number of multi-family residential structures destroyed (structure) | structure | 12 | |||||||||||
Number of commercial residential structures destroyed (structure) | structure | 8 | |||||||||||
Number of commercial non-residential structures destroyed (structure) | structure | 148 | |||||||||||
Number of detached structures destroyed (structure) | structure | 466 | |||||||||||
Number of first responder injuries (injury) | injury | 4 | |||||||||||
Loss contingency approximate cost | $ 40 | |||||||||||
Loss contingency approximate cost, period | 5 years | |||||||||||
Estimated losses | 1,600 | |||||||||||
Loss contingency, costs incurred | $ 650 | |||||||||||
Probable of recovery | 1,702 | |||||||||||
2021 Dixie fire | California General Fund | ||||||||||||
Loss Contingencies [Line Items] | ||||||||||||
Settlement amount proposed | $ 2.5 | |||||||||||
2021 Dixie fire | 2021 Dixie Fire, Tribes Impacted | ||||||||||||
Loss Contingencies [Line Items] | ||||||||||||
Settlement amount proposed | $ 2.5 | |||||||||||
2021 Dixie fire | Other Current Liabilities | ||||||||||||
Loss Contingencies [Line Items] | ||||||||||||
Potential loss contingency | 5 | |||||||||||
2022 Mosquito fire | ||||||||||||
Loss Contingencies [Line Items] | ||||||||||||
Number of acres burned (acre) | a | 76,788 | |||||||||||
Number of fatalities (fatality) | numberOfFatality | 0 | |||||||||||
Number of injuries | injury | 0 | |||||||||||
Number of structures destroyed (structure) | structure | 78 | |||||||||||
Number of structures damaged (structure) | structure | 13 | |||||||||||
Loss contingency liability | 100 | |||||||||||
Insurance receivable | 68 | |||||||||||
Liability insurance coverage | 733 | |||||||||||
Number of residential structures destroyed (structure) | structure | 44 | |||||||||||
Number of detached structures destroyed (structure) | structure | 40 | |||||||||||
Probable of recovery | 128 | |||||||||||
Percentage of fire contained | 100% | |||||||||||
Subsequent Event | 2019 Kincade Fire | ||||||||||||
Loss Contingencies [Line Items] | ||||||||||||
Number of complaints (complaint) | complaint | 132 | |||||||||||
Number of plaintiffs represented by complaints | plaintiff | 2,913 | |||||||||||
Subsequent Event | 2021 Dixie fire | ||||||||||||
Loss Contingencies [Line Items] | ||||||||||||
Number of complaints (complaint) | numberOfClaimHolder | 167 | |||||||||||
Number of plaintiffs represented by complaints | numberOfClaimHolder | 8,478 | |||||||||||
Subsequent Event | 2022 Mosquito fire | ||||||||||||
Loss Contingencies [Line Items] | ||||||||||||
Number of complaints (complaint) | complaint | 6 | |||||||||||
Number of plaintiffs represented by complaints | notice | 233 | |||||||||||
FERC TO rates | 2021 Dixie fire | ||||||||||||
Loss Contingencies [Line Items] | ||||||||||||
Probable of recovery | 92 | |||||||||||
FERC TO rates | 2022 Mosquito fire | ||||||||||||
Loss Contingencies [Line Items] | ||||||||||||
Probable of recovery | 8 | |||||||||||
WEMA | 2021 Dixie fire | ||||||||||||
Loss Contingencies [Line Items] | ||||||||||||
Probable of recovery | 484 | |||||||||||
WEMA | 2022 Mosquito fire | ||||||||||||
Loss Contingencies [Line Items] | ||||||||||||
Probable of recovery | $ 52 | |||||||||||
National Park | 2021 Dixie fire | ||||||||||||
Loss Contingencies [Line Items] | ||||||||||||
Number of acres burned (acre) | a | 70,000 | |||||||||||
National Forrest | 2021 Dixie fire | ||||||||||||
Loss Contingencies [Line Items] | ||||||||||||
Number of acres burned (acre) | a | 685,000 |
WILDFIRE-RELATED CONTINGENCIE_4
WILDFIRE-RELATED CONTINGENCIES (Losses For Claims) (Details) $ in Millions | 3 Months Ended |
Mar. 31, 2024 USD ($) | |
2019 Kincade Fire | |
Loss Contingency Accrual [Roll Forward] | |
Loss accrual, beginning balance | $ 458 |
Accrued Losses | 0 |
Payments | (113) |
Loss accrual, ending balance | 345 |
2020 Zogg fire | |
Loss Contingency Accrual [Roll Forward] | |
Loss accrual, beginning balance | 10 |
Accrued Losses | 0 |
Payments | (2) |
Loss accrual, ending balance | 8 |
2021 Dixie fire | |
Loss Contingency Accrual [Roll Forward] | |
Loss accrual, beginning balance | 870 |
Accrued Losses | 0 |
Payments | (138) |
Loss accrual, ending balance | 732 |
2022 Mosquito fire | |
Loss Contingency Accrual [Roll Forward] | |
Loss accrual, beginning balance | 85 |
Accrued Losses | 0 |
Payments | 0 |
Loss accrual, ending balance | $ 85 |
WILDFIRE-RELATED CONTINGENCIE_5
WILDFIRE-RELATED CONTINGENCIES (Loss Recoveries) (Details) $ in Millions | 3 Months Ended |
Mar. 31, 2024 USD ($) | |
2021 Dixie fire | |
Loss Contingencies [Line Items] | |
Probable of recovery | $ 1,702 |
Probable of recovery, legal costs | 96 |
2022 Mosquito fire | |
Loss Contingencies [Line Items] | |
Probable of recovery | 128 |
Probable of recovery, legal costs | 28 |
Insurance | 2021 Dixie fire | |
Loss Contingencies [Line Items] | |
Probable of recovery | 526 |
Insurance | 2022 Mosquito fire | |
Loss Contingencies [Line Items] | |
Probable of recovery | 68 |
FERC TO rates | 2021 Dixie fire | |
Loss Contingencies [Line Items] | |
Probable of recovery | 92 |
FERC TO rates | 2022 Mosquito fire | |
Loss Contingencies [Line Items] | |
Probable of recovery | 8 |
WEMA | 2021 Dixie fire | |
Loss Contingencies [Line Items] | |
Probable of recovery | 484 |
WEMA | 2022 Mosquito fire | |
Loss Contingencies [Line Items] | |
Probable of recovery | 52 |
Wildfire Fund | 2021 Dixie fire | |
Loss Contingencies [Line Items] | |
Probable of recovery | 600 |
Wildfire Fund | 2022 Mosquito fire | |
Loss Contingencies [Line Items] | |
Probable of recovery | $ 0 |
WILDFIRE-RELATED CONTINGENCIE_6
WILDFIRE-RELATED CONTINGENCIES (Insurance Coverage) (Details) - Insurance Coverage for Wildfire Events - USD ($) $ in Millions | Mar. 31, 2024 | Aug. 31, 2022 |
Loss Contingencies [Line Items] | ||
Liability insurance coverage | $ 600 | |
Initial self-insured retention per occurrence | $ 60 |
WILDFIRE-RELATED CONTINGENCIE_7
WILDFIRE-RELATED CONTINGENCIES (Self-Insurance) (Details) - CPUC $ in Millions | 12 Months Ended | |
Dec. 31, 2024 USD ($) | Mar. 31, 2024 USD ($) | |
Loss Contingencies [Line Items] | ||
Self insurance deductible, percent | 0.05 | |
Self insurance deductible maximum | $ 50 | |
Forecast | ||
Loss Contingencies [Line Items] | ||
Self insurance rate | $ 1,000 |
WILDFIRE-RELATED CONTINGENCIE_8
WILDFIRE-RELATED CONTINGENCIES (Insurance Receivable) (Details) $ in Millions | 3 Months Ended |
Mar. 31, 2024 USD ($) | |
Insurance Receivable [Roll Forward] | |
Insurance Receivable, Beginning Balance | $ 436 |
Accrued insurance recoveries | 5 |
Reimbursements | (80) |
Insurance Receivable, Ending Balance | 361 |
2020 Zogg fire | |
Insurance Receivable [Roll Forward] | |
Insurance Receivable, Beginning Balance | 47 |
Accrued insurance recoveries | 0 |
Reimbursements | (5) |
Insurance Receivable, Ending Balance | 42 |
Insurance receivable | 374 |
2021 Dixie fire | |
Insurance Receivable [Roll Forward] | |
Insurance Receivable, Beginning Balance | 326 |
Accrued insurance recoveries | 0 |
Reimbursements | (75) |
Insurance Receivable, Ending Balance | 251 |
Insurance receivable | 526 |
2022 Mosquito fire | |
Insurance Receivable [Roll Forward] | |
Insurance Receivable, Beginning Balance | 63 |
Accrued insurance recoveries | 5 |
Reimbursements | 0 |
Insurance Receivable, Ending Balance | 68 |
Insurance receivable | $ 68 |
WILDFIRE-RELATED CONTINGENCIE_9
WILDFIRE-RELATED CONTINGENCIES (Regulatory Recovery) (Details) $ in Millions | 3 Months Ended |
Mar. 31, 2024 USD ($) | |
2021 Dixie fire | |
Loss Contingencies [Line Items] | |
Probable of recovery | $ 1,702 |
2021 Dixie fire | FERC TO rates | |
Loss Contingencies [Line Items] | |
Probable of recovery | 92 |
2021 Dixie fire | WEMA | |
Loss Contingencies [Line Items] | |
Probable of recovery | 484 |
2022 Mosquito fire | |
Loss Contingencies [Line Items] | |
Probable of recovery | 128 |
2022 Mosquito fire | FERC TO rates | |
Loss Contingencies [Line Items] | |
Probable of recovery | 8 |
2022 Mosquito fire | WEMA | |
Loss Contingencies [Line Items] | |
Probable of recovery | $ 52 |
WILDFIRE-RELATED CONTINGENCI_10
WILDFIRE-RELATED CONTINGENCIES (Wildfire Fund) (Details) - USD ($) $ in Millions | 3 Months Ended | ||
Aug. 23, 2019 | Mar. 31, 2024 | Dec. 31, 2023 | |
Loss Contingencies [Line Items] | |||
Disallowance cap, transmission and distribution 2022 equity rate base | $ 4,100 | ||
Initial safety certification, documentation provided, period | 90 days | ||
Initial safety certification, period | 12 months | ||
Expected capitalization, proceeds of bond | $ 10,500 | ||
Extension period | 15 years | ||
Expected capitalization, initial contribution | $ 7,500 | ||
Expected capitalization, annual contribution | $ 300 | ||
Annual contribution period | 10 years | ||
Insurance receivable | $ 361 | $ 436 | |
2021 Dixie fire | |||
Loss Contingencies [Line Items] | |||
Insurance receivable | 251 | $ 326 | |
2021 Dixie fire | Other noncurrent assets – other | |||
Loss Contingencies [Line Items] | |||
Insurance receivable | 450 | ||
2021 Dixie fire | Other noncurrent assets – other | Pacific Gas & Electric Co (Utility) | |||
Loss Contingencies [Line Items] | |||
Insurance receivable | $ 150 |
WILDFIRE-RELATED CONTINGENCI_11
WILDFIRE-RELATED CONTINGENCIES (Wildfire-Related Securities Securities Litigation and Claims in District Court) (Details) - Wildfire-Related Class Action $ in Millions | Mar. 31, 2024 USD ($) | Feb. 22, 2019 notice | Jun. 30, 2018 lawsuit |
Loss Contingencies [Line Items] | |||
Loss contingency liability | $ | $ 300 | ||
Number of lawsuits filed against company (lawsuit, complaint) | lawsuit | 2 | ||
Number of public offerings of notes with complaints against underwriters (offering) | notice | 4 | ||
Percentage of common stock owned, Fire Victim Trust if common issues additional shares | 22.19% |
WILDFIRE-RELATED CONTINGENCI_12
WILDFIRE-RELATED CONTINGENCIES (District Attorneys Offices Investigations) (Details) - Pacific Gas & Electric Co (Utility) - Complaints Brought By Butte County District Attorney - Loss from Wildfires | Mar. 17, 2020 count |
Loss Contingencies [Line Items] | |
Number of guilty involuntary manslaughter pleas | 84 |
Number of count related to unlawfully causing a fire (count) | 1 |
OTHER CONTINGENCIES AND COMMI_3
OTHER CONTINGENCIES AND COMMITMENTS (Transmission Owner Rate) (Details) - USD ($) $ in Millions | Mar. 17, 2022 | Dec. 20, 2018 | Mar. 31, 2024 |
Transmission Owner Rate Case Revenue | |||
Loss Contingencies [Line Items] | |||
Regulatory liabilities | $ 484 | ||
Regulatory assets | $ 233 | ||
Pacific Gas & Electric Co (Utility) | Electric | |||
Loss Contingencies [Line Items] | |||
Requested return on equity rate | 9.26% | ||
Requested return on equity rate, incentive component | 0.50% | ||
Actual return on equity rate | 9.76% | ||
Requested revenue rate | 98.85% |
OTHER CONTINGENCIES AND COMMI_4
OTHER CONTINGENCIES AND COMMITMENTS (Interim Rate Relief Subject to Refund) (Details) - Pacific Gas & Electric Co (Utility) - USD ($) $ in Millions | Mar. 07, 2024 | Jun. 15, 2023 | Jun. 08, 2023 | Dec. 15, 2022 |
WMCE Interim Rate Relief | ||||
Loss Contingencies [Line Items] | ||||
Cost recovery | $ 1,360 | |||
Interim revenue requirement | 1,290 | |||
Recorded expenditures, expenses | 1,200 | |||
Recorded expenditures, capital expenditures | $ 136 | |||
Interim rate relief | $ 1,100 | |||
Remaining value recoverable | $ 224 | |||
Wildfire and Gas Safety Costs Interim Rate Relief | ||||
Loss Contingencies [Line Items] | ||||
Cost recovery | $ 2,500 | |||
Interim revenue requirement | 688 | |||
Interim rate relief | $ 516 | |||
Remaining value recoverable | $ 172 | |||
Wildfire Costs Interim Rate Relief | ||||
Loss Contingencies [Line Items] | ||||
Recorded expenditures, expenses | 726 | |||
Recorded expenditures, capital expenditures | 1,500 | |||
Gas Safety Costs Interim Rate Relief | ||||
Loss Contingencies [Line Items] | ||||
Recorded expenditures, expenses | 120 | |||
Recorded expenditures, capital expenditures | $ 118 |
OTHER CONTINGENCIES AND COMMI_5
OTHER CONTINGENCIES AND COMMITMENTS (Other Matters) (Details) - USD ($) $ in Millions | Mar. 31, 2024 | Dec. 31, 2023 |
Commitments and Contingencies Disclosure [Abstract] | ||
Accrued legal liabilities | $ 87 | $ 89 |
OTHER CONTINGENCIES AND COMMI_6
OTHER CONTINGENCIES AND COMMITMENTS (Tax Matters) (Details) $ in Millions | 3 Months Ended |
Mar. 31, 2024 USD ($) | |
Commitments and Contingencies Disclosure [Abstract] | |
Income tax deduction, repair costs | $ 850 |
Income tax deduction, customer bill credits | $ 400 |
OTHER CONTINGENCIES AND COMMI_7
OTHER CONTINGENCIES AND COMMITMENTS (Schedule Environmental Remediation Liability Composed) (Details) - USD ($) $ in Millions | Mar. 31, 2024 | Dec. 31, 2023 |
Disclosure Commitments And Contingencies Environmental Remediation Liability Composed [Abstract] | ||
Topock natural gas compressor station | $ 293 | $ 276 |
Hinkley natural gas compressor station | 105 | 104 |
Former manufactured gas plant sites owned by the Utility or third parties | 800 | 809 |
Utility-owned generation facilities (other than fossil fuel-fired), other facilities, and third-party disposal sites | 79 | 107 |
Fossil fuel-fired generation facilities and sites | 18 | 19 |
Total environmental remediation liability | $ 1,295 | $ 1,315 |
OTHER CONTINGENCIES AND COMMI_8
OTHER CONTINGENCIES AND COMMITMENTS (Environmental Remediation Contingencies Narrative) (Details) $ in Millions | Mar. 31, 2024 USD ($) |
Long-term Purchase Commitment [Line Items] | |
Amount of environmental loss accrual expected to be recovered | $ 1,100 |
Topock Site | |
Long-term Purchase Commitment [Line Items] | |
Utility undiscounted future costs | $ 212 |
Topock Site | Pacific Gas & Electric Co (Utility) | |
Long-term Purchase Commitment [Line Items] | |
Remediation cost recovery percentage | 90% |
Hinkley Natural Gas Compressor Station | |
Long-term Purchase Commitment [Line Items] | |
Utility undiscounted future costs | $ 129 |
Former Manufactured Gas Plant | |
Long-term Purchase Commitment [Line Items] | |
Utility undiscounted future costs | $ 576 |
Former Manufactured Gas Plant | Pacific Gas & Electric Co (Utility) | |
Long-term Purchase Commitment [Line Items] | |
Remediation cost recovery percentage | 90% |
Utility Owned Generation Facilities and Third Party Disposal Sites | |
Long-term Purchase Commitment [Line Items] | |
Utility undiscounted future costs | $ 79 |
Utility Owned Generation Facilities and Third Party Disposal Sites | Pacific Gas & Electric Co (Utility) | |
Long-term Purchase Commitment [Line Items] | |
Remediation cost recovery percentage | 90% |
Fossil Fuel Fired Generation | |
Long-term Purchase Commitment [Line Items] | |
Utility undiscounted future costs | $ 20 |
OTHER CONTINGENCIES AND COMMI_9
OTHER CONTINGENCIES AND COMMITMENTS (Nuclear Insurance and Purchase Commitments) (Details) | 3 Months Ended |
Mar. 31, 2024 USD ($) nuclear_generating_unit | |
Long-term Purchase Commitment [Line Items] | |
Number of nuclear generating units (nuclear generating unit) | nuclear_generating_unit | 2 |
Nuclear Electric Insurance Limited and European Mutual Association for Nuclear Insurance | |
Long-term Purchase Commitment [Line Items] | |
Insurance coverage, loss | $ 400,000,000 |
Humboldt Bay Unit | |
Long-term Purchase Commitment [Line Items] | |
Amount of property damage coverage provided by NEIL | 50,000,000 |
Nuclear Incident | |
Long-term Purchase Commitment [Line Items] | |
Amount of property damage and business interruption coverage provided by NEIL for Diablo Canyon | 3,200,000,000 |
Non-Nuclear Incident | |
Long-term Purchase Commitment [Line Items] | |
Amount of property damage and business interruption coverage provided by NEIL for Diablo Canyon | 2,500,000,000 |
European Mutual Association for Nuclear Insurance | |
Long-term Purchase Commitment [Line Items] | |
Full insurance policy limit | 200,000,000 |
Potential premium obligation | 5,000,000 |
Nuclear Electric Insurance Limited | |
Long-term Purchase Commitment [Line Items] | |
Potential premium obligation | $ 42,000,000 |
OTHER CONTINGENCIES AND COMM_10
OTHER CONTINGENCIES AND COMMITMENTS (Purchase Commitments) (Details) $ in Billions | Dec. 31, 2023 USD ($) |
Commitments and Contingencies Disclosure [Abstract] | |
Total purchase commitments | $ 32 |
OTHER CONTINGENCIES AND COMM_11
OTHER CONTINGENCIES AND COMMITMENTS (Oakland Headquarters Lease) (Details) ft² in Thousands, $ in Millions | Jun. 30, 2025 USD ($) | Jul. 11, 2024 USD ($) | Mar. 31, 2024 USD ($) ft² | Dec. 31, 2023 USD ($) | Jul. 11, 2023 USD ($) | Oct. 23, 2020 ft² |
Operating Leased Assets [Line Items] | ||||||
Financing lease, right of use asset, net | $ 781 | |||||
Accumulated amortization | 85 | |||||
Leasehold improvements | 207 | |||||
Leasehold incentives | 126 | |||||
Current financing lease liabilities | 271 | $ 259 | ||||
Noncurrent financing lease liabilities | 553 | 554 | ||||
Pacific Gas & Electric Co (Utility) | ||||||
Operating Leased Assets [Line Items] | ||||||
Current financing lease liabilities | 271 | 259 | ||||
Noncurrent financing lease liabilities | $ 553 | $ 554 | ||||
Oakland Headquarters Lease | Pacific Gas & Electric Co (Utility) | ||||||
Operating Leased Assets [Line Items] | ||||||
Rentable square feet | ft² | 715 | 910 | ||||
Purchase price | $ 906 | |||||
Purchase price, deposits | $ 150 | |||||
Oakland Headquarters Lease | Pacific Gas & Electric Co (Utility) | Forecast | ||||||
Operating Leased Assets [Line Items] | ||||||
Purchase price, deposits | $ 506 | $ 250 | ||||
Purchase price, deposits credit | $ 172 | |||||
All But Vehicle Lease Agreements | ||||||
Operating Leased Assets [Line Items] | ||||||
Noncurrent financing lease liabilities | $ 552 |
Uncategorized Items - pcg-20240
Label | Element | Value |
Retained Earnings [Member] | Pacific Gas & Electric Co [Member] | ||
Net Income (Loss), Including Portion Attributable to Noncontrolling Interest | us-gaap_ProfitLoss | $ 781,000,000 |
Dividends, Preferred Stock, Less Dividends in Arrears | pcg_DividendsPreferredStockLessDividendsInArrears | 3,000,000 |
Dividends, Common Stock | us-gaap_DividendsCommonStock | 450,000,000 |
Parent [Member] | Pacific Gas & Electric Co [Member] | ||
Net Income (Loss), Including Portion Attributable to Noncontrolling Interest | us-gaap_ProfitLoss | 781,000,000 |
Dividends, Preferred Stock, Less Dividends in Arrears | pcg_DividendsPreferredStockLessDividendsInArrears | 3,000,000 |
Adjustments To Additional Paid In Capital, Contribution From Parent | pcg_AdjustmentsToAdditionalPaidInCapitalContributionFromParent | 440,000,000 |
Other Comprehensive Income (Loss), Net of Tax, Portion Attributable to Parent | us-gaap_OtherComprehensiveIncomeLossNetOfTaxPortionAttributableToParent | (1,000,000) |
Dividends, Common Stock | us-gaap_DividendsCommonStock | 450,000,000 |
Additional Paid-in Capital [Member] | Pacific Gas & Electric Co [Member] | ||
Adjustments To Additional Paid In Capital, Contribution From Parent | pcg_AdjustmentsToAdditionalPaidInCapitalContributionFromParent | 440,000,000 |
AOCI Attributable to Parent [Member] | Pacific Gas & Electric Co [Member] | ||
Other Comprehensive Income (Loss), Net of Tax, Portion Attributable to Parent | us-gaap_OtherComprehensiveIncomeLossNetOfTaxPortionAttributableToParent | $ (1,000,000) |